Pacific Manufacturing (UK) Ltd
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Registered number: |
02784764
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Directors' Report |
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The directors present their report and accounts for the year ended 30 September 2014. |
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Principal activities |
The company's principal activity during the year continued to be that of exportation of chemicals and commodities including provision of facilities of an export confirming house.
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Review of the business |
The trading profit on ordinary activities before taxation for the year under review was £107,753 (2013: £261,102). Turnover decreased by 2.23% (2013: 21.2%), nonetheless, it was an improvement on the previous year's figures. This is an indication that the measures put in place by management have made and would continue to make a positive impact on the Company's trading. The Directors continue to monitor business risks and have measures in place to mitigate such risks as and when they do occur. |
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Dividends |
The directors recommend a final dividend of 130p per share - ie. £39,000 (2013: £39,000) |
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Events since the balance sheet date |
No significant events have occured after the year end nor are any future events presently envisaged. |
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Directors |
The following persons served as directors during the year: |
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M Syed
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T Jaffer
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Political and charitable donations |
There were no political donations during the year under consideration. Charitable donations however amounted to £390.00 (2013: £414.00) |
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Directors' responsibilities |
Pacific Manufacturing (UK) Ltd
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Strategic Report |
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Pacific Manufacturing ( UK) Ltd is a privately owned export & distribution company based in the UK for over two decades. We have 20 years of exporting & trading experience, having also secured exclusive arrangements by well known groups of established medium & large companies in the fast moving consumer goods industry in Africa, who have generated a very healthy annual turnover. Our core expertise is in sourcing out raw & packaging materials, spare parts and complete machinery plants for the soap, cosmetic, food & beverage industry. We believe that due to our area of expertise we can also offer and deliver turn key projects for the sector which we have mentioned above. As we have a significant level of involvement with several companies in the fast moving consumer goods industry and the fact we follow the market trend for the commodities we supply in bulk, we are in a position to provide competitive prices to existing and potential customers. For us top priority remains in meeting the demands of our customer base & also ensuring efficiency and cost saving. Our company continued its principal role as provider of competitive and efficient service, despite the stiff competition in the market. Although compared to last year our turnover has dropped by 2.23%, which is mainly due to the fact that last year we successfully delivered a couple of turn key projects to our customers in Africa, besides this there is also slowing down in the economies in our target markets, resulting in lower demand. The company strategy is to combat further reduction in turnover by obtaining exclusive arrangements with our customers to distribute their brand, these are products manufactured in the EU and conform to all the necessary EU food standard regulations.This strategy has been applied with the hope to compensate. Apart from what we have been sourcing out on a regular basis, we can also offer logistical support by road, sea and air. Having established a strong relationship with several well established freight companies, we can also offer competitive prices from shipping lines & forwarder for exporting commodities. |
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This report was approved by the board on 29 May 2015 and signed on its behalf. |
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M Syed |
Director |
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Pacific Manufacturing (UK) Ltd
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Independent auditors' report |
to the members of Pacific Manufacturing (UK) Ltd |
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We have audited the accounts of Pacific Manufacturing (UK) Ltd for the year ended 30 September 2014 which comprise the Profit and Loss Account, the Balance Sheet, the Cash Flow Statement and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
Respective responsibilities of directors and auditors |
As explained more fully in the Statement of Directors' Responsibilities, the directors are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the accounts in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors. |
Scope of the audit of the accounts |
A description of the scope of an audit of financial statements is provided on the APB’s website at www.frc.org.uk/auditscopeukprivate |
Opinion on the accounts |
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Opinion on other matters prescribed by the Companies Act 2006 |
In our opinion the information given in the Directors' Report and the Strategic Report for the financial year for which the accounts are prepared is consistent with the accounts. |
Matters on which we are required to report by exception |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
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the accounts are not in agreement with the accounting records and returns; or |
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certain disclosures of directors’ remuneration specified by law are not made; or |
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we have not received all the information and explanations we require for our audit. |
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I Mawji
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(Senior Statutory Auditor) |
Fairman Law House
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for and on behalf of |
Park Terrace
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Fairman Law
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Worcester Park
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Accountants and Statutory Auditors |
Surrey
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29 May 2015
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KT4 7JZ
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Pacific Manufacturing (UK) Ltd |
Cash Flow Statement |
for the year ended 30 September 2014 |
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Notes |
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2014 |
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2013 |
£ |
£ |
Reconciliation of operating profit to net cash |
inflow from operating activities |
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Operating profit |
326,548 |
|
333,176 |
Depreciation and amortisation |
1,991 |
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2,342 |
(Increase)/decrease in debtors |
(936,857) |
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839,702 |
Increase/(decrease) in creditors |
302,622 |
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(753,179) |
Currency Losses |
(218,823) |
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(72,104) |
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Net cash (outflow)/inflow from operating activities |
(524,519) |
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349,937 |
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CASH FLOW STATEMENT |
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Net cash (outflow)/inflow from operating activities |
(524,519) |
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349,937 |
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Returns on investments and servicing of finance |
15 |
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27 |
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30 |
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Taxation |
(53,017) |
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(45,355) |
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Capital expenditure |
15 |
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- |
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(192) |
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(577,509) |
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304,420 |
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Equity dividends paid |
(39,000) |
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(39,000) |
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(616,509) |
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265,420 |
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(Decrease)/increase in cash |
(616,509) |
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265,420 |
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Reconciliation of net cash flow to movement in net debt |
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(Decrease)/increase in cash in the period |
(616,509) |
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265,420 |
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Change in net debt |
16 |
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(616,509) |
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265,420 |
Net funds at 1 October |
2,384,596 |
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2,119,176 |
Net funds at 30 September |
1,768,087 |
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2,384,596 |
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Pacific Manufacturing (UK) Ltd
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Notes to the Accounts |
for the year ended 30 September 2014
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1 |
Accounting policies |
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Basis of preparation |
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The accounts have been prepared under the historical cost convention and in accordance with applicable United Kingdom Accounting Standards.
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Turnover |
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Turnover represents the value, net of value added tax and discounts, of goods provided to customers and work carried out in respect of services provided to customers.
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Depreciation |
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Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: |
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Fixtures, fittings and equipment |
15% Reducing balance
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Deferred taxation |
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Full provision is made for deferred taxation resulting from timing differences between the recognition of gains and losses in the accounts and their recognition for tax purposes. Deferred tax is calculated at the tax rates which are expected to apply in the periods when the timing differences will reverse, and discounted to reflect the time value of money using rates based on the post-tax yields to maturity that could be obtained at the balance sheet date on government bonds with similar maturity dates. |
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Foreign currencies |
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Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. All differences are taken to the profit and loss account. |
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2 |
Analysis of turnover |
2014 |
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2013 |
£ |
£ |
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By activity: |
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Export
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9,752,821 |
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9,975,236 |
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By geographical market: |
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East Africa |
9,752,821 |
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9,975,236 |
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3 |
Operating profit |
2014 |
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2013 |
£ |
£ |
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This is stated after charging: |
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Depreciation of owned fixed assets |
1,991 |
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2,342 |
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Auditors' remuneration for audit services |
4,500 |
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4,500 |
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4 |
Directors' emoluments |
2014 |
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2013 |
£ |
£ |
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Emoluments |
50,960 |
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53,440 |
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5 |
Staff costs |
2014 |
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2013 |
£ |
£ |
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Wages and salaries |
141,395 |
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137,652 |
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Social security costs |
10,591 |
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12,237 |
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151,986 |
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149,889 |
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Average number of employees during the year |
Number |
Number |
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Administration |
6 |
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6 |
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Sales |
1 |
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1 |
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7 |
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7 |
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6 |
Taxation |
2014 |
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2013 |
£ |
£ |
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Analysis of charge in period |
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Current tax: |
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UK corporation tax on profits of the period |
22,276 |
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53,017 |
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Deferred tax: |
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Origination and reversal of timing differences |
1,845 |
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- |
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Tax on profit on ordinary activities |
24,121 |
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53,017 |
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Factors affecting tax charge for period |
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The differences between the tax assessed for the period and the standard rate of corporation tax are explained as follows: |
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2014 |
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2013 |
£ |
£ |
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Profit on ordinary activities before tax |
107,752 |
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261,102 |
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Standard rate of corporation tax in the UK |
20% |
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20% |
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£ |
£ |
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Profit on ordinary activities multiplied by the standard rate of corporation tax |
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21,550 |
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52,220 |
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Effects of: |
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Expenses not deductible for tax purposes |
816 |
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945 |
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Capital allowances for period in excess of depreciation |
(90) |
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(148) |
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Current tax charge for period |
22,276 |
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53,017 |
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7 |
Tangible fixed assets |
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Fixtures, fittings, tools and equipment |
£ |
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Cost |
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At 1 October 2013 |
46,351 |
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At 30 September 2014 |
46,351 |
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Depreciation |
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At 1 October 2013 |
33,077 |
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Charge for the year |
1,991 |
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At 30 September 2014 |
35,068 |
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Net book value |
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At 30 September 2014 |
11,283 |
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At 30 September 2013 |
13,274 |
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8 |
Debtors |
2014 |
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2013 |
£ |
£ |
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Trade debtors |
5,038,207 |
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4,097,256 |
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Other debtors |
10,342 |
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14,436 |
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5,048,549 |
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4,111,692 |
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9 |
Creditors: amounts falling due within one year |
2014 |
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2013 |
£ |
£ |
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Trade creditors |
1,932,362 |
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1,566,182 |
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Corporation tax |
22,276 |
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53,017 |
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Other taxes and social security costs |
3,158 |
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3,527 |
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Other creditors |
39,000 |
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38,400 |
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Accruals and deferred income |
4,500 |
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4,500 |
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2,001,296 |
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1,665,626 |
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10 |
Creditors: amounts falling due after one year |
2014 |
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2013 |
£ |
£ |
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Other creditors |
4,129,548 |
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4,193,337 |
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11 |
Share capital |
Nominal |
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|
2014 |
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2013 |
value |
Number |
£ |
£ |
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Allotted, called up and fully paid: |
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Ordinary shares
|
£1 each |
|
30,000 |
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30,000 |
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30,000 |
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12 |
Profit and loss account |
2014 |
£ |
|
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At 1 October 2013 |
620,599 |
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Profit for the financial year |
83,631 |
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Dividends |
(39,000) |
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At 30 September 2014 |
665,230 |
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13 |
Dividends |
2014 |
|
2013 |
£ |
£ |
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Dividends for which the company became liable during the year: |
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Dividends paid |
39,000 |
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39,000 |
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14 |
Reconciliation of movement in shareholders' funds |
2014 |
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2013 |
£ |
£ |
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At 1 October |
650,599 |
|
481,514 |
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Profit for the financial year |
83,631 |
|
208,085 |
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Dividends |
(39,000) |
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(39,000) |
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At 30 September |
695,230 |
|
650,599 |
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15 |
Gross cash flows |
2014 |
|
2013 |
£ |
£ |
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Returns on investments and servicing of finance |
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Interest received |
27 |
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- |
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16 |
Analysis of changes in net debt |
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At 1 Oct 2013 |
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Cash flows |
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Non-cash changes |
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At 30 Sep 2014 |
£ |
£ |
£ |
£ |
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Cash at bank and in hand |
2,384,596 |
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(615,766) |
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1,768,830 |
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Overdrafts |
- |
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(743) |
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(743) |
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(616,509) |
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Total |
2,384,596 |
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(616,509) |
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- |
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1,768,087 |
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17 |
Related party transactions |
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There were no related party transactions during the year under review.
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18 |
Ultimate controlling party |
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The ultimate controlling party is Nadeem Syed by virtue of the fact that he owns 51% of the issued share capital of the company.
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