Company Registration No. 03311330 (England and Wales)
DON CONSTRUCTION CHEMICALS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
DON CONSTRUCTION CHEMICALS LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
3 - 7
DON CONSTRUCTION CHEMICALS LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2019
31 December 2019
- 1 -
2019
2018
Notes
£
£
£
£
Non-current assets
Investments
3
2,171
2,171
Current assets
Trade and other receivables
5
745,569
747,684
Cash and cash equivalents
13,249
11,254
758,818
758,938
Current liabilities
6
(7,639)
(2,133)
Net current assets
751,179
756,805
Total assets less current liabilities
753,350
758,976
Equity
Called up share capital
7
1,765,000
1,765,000
Retained earnings
8
(1,011,650)
(1,006,024)
Total equity
753,350
758,976
The directors of the company have elected not to include a copy of the income statement within the financial statements.
true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on
24 December 2020
and are signed on its behalf by:
Mr T Ghandour
Director
Company Registration No. 03311330
DON CONSTRUCTION CHEMICALS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2019
- 2 -
Share capital
Other reserves
Retained earnings
Total
£
£
£
£
Balance at 1 January 2018
1,765,000
879,975
(1,004,331)
1,640,644
Year ended 31 December 2018:
Loss and total comprehensive income for the year
-
-
(1,693)
(1,693)
Transfers
-
(879,975)
-
(879,975)
Balance at 31 December 2018
1,765,000
-
(1,006,024)
758,976
Year ended 31 December 2019:
Loss and total comprehensive income for the year
-
-
(5,626)
(5,626)
Balance at 31 December 2019
1,765,000
-
(1,011,650)
753,350
DON CONSTRUCTION CHEMICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
- 3 -
1
Accounting policies
Company information
Don Construction Chemicals Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Hawthorn House, Helions Bumpstead Road, Haverhill, Suffolk, CB9 7AA.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest
pound
.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
A
true
t the time of approving the financial statements
,
t
he directors have a reasonable expectation that the
company
has adequate resources to continue in operational existence for the foreseeable future
after consideration of the impact of the transfer of trade to Don Construction Products Limited
. Thus
t
he directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Non-current investments
Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
The investments are assessed for impairment at each reporting date
and
any
impairment
losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company
. Control is
the power to govern the financial and operating policies of
the
entity so as to obtain benefits from its activities.
1.4
Cash and cash equivalents
Cash and cash equivalents
are basic financial assets
and
include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.5
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
DON CONSTRUCTION CHEMICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 4 -
Basic financial assets
Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
Impairment of financial assets
Financial assets
are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.
If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including trade and other payables, bank loans
and
loans from
fellow group companies, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the debt instrument to the net carrying amount on initial recognition.
Trade payables
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade payables are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
1.6
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
DON CONSTRUCTION CHEMICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 5 -
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.7
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
2
Employees
There were 0
employees of the company during the year other than the directors.
3
Fixed asset investments
2019
2018
£
£
Investments
2,171
2,171
The company has not designated any financial assets that are not classified as financial assets at fair value through profit or loss.
Movements in non-current investments
Shares in group undertakings
£
Cost or valuation
At 1 January 2019 & 31 December 2019
2,171
Carrying amount
At 31 December 2019
2,171
At 31 December 2018
2,171
4
Subsidiaries
Details of the company's subsidiaries at 31 December 2019 are as follows:
Name of undertaking
Registered
Nature of business
Class of
% Held
office
shares held
Direct
Indirect
DCP Baltics OU
Estonia
Construction product manufacturer
Ordinary
50
DON CONSTRUCTION CHEMICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
4
Subsidiaries
(Continued)
- 6 -
The aggregate capital and reserves and the result for the year of the subsidiaries noted above was as follows:
Name of undertaking
Profit/(Loss)
Capital and Reserves
£
£
DCP Baltics OU
21,943
365,330
5
Trade and other receivables
2019
2018
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
745,569
747,504
Other receivables
-
180
745,569
747,684
Trade receivables disclosed above are measured at amortised cost.
6
Current liabilities
2019
2018
£
£
Bank loans and overdrafts
46
-
Taxation and social security
138
-
Other payables
7,455
2,133
7,639
2,133
7
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
1,765,000 Ordinary shares of £1 each
1,765,000
1,765,000
DON CONSTRUCTION CHEMICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 7 -
8
Retained earnings
The retained earnings account represents the cumulative profits and losses net of dividends and other adjustments.
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements
,
the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006
:
The auditor's report was unqualified.
The senior statutory auditor was Richard Hayward.
The auditor was Ward Williams.
10
Related party transactions
Transactions with related parties
The company has taken advantage of the exemption in FRS102 section 33 from the requirement to disclose transactions with group companies on the grounds that consolidated financial statements are prepared by the parent company. The consolidated financial statements are available from Hawthorn House, Helions Bumpstead Road, Haverhill, Suffolk, CB9 7AA.
11
Parent company
The ultimate parent company is Don Construction Holdings Limited, a company registered in England and Wales.
The consolidated financial statements of Don Construction Holdings Limited can be obtained from Hawthorn House, Helions Bumpstead Road, Haverhill, Suffolk, CB9 7AA.