Registration number:
Smartbox Assistive Technology Limited
for the Year Ended 31 December 2019
Smartbox Assistive Technology Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Statement of Income and Retained Earnings |
|
Balance Sheet |
|
Notes to the Financial Statements |
Smartbox Assistive Technology Limited
Company Information
Directors |
J Inott D Hawes |
Registered office |
|
Auditors |
|
Page 1 |
Smartbox Assistive Technology Limited
Strategic Report for the Year Ended 31 December 2019
The directors present their strategic report and business review, which includes the principal risks and uncertainties of the business and key performance indicators, for the year ended 31 December 2019.
Principal activity
The principal activity of the company is information technology service activities.
Fair review of the business
Smartbox Assistive Technology Limited provide Augmentative and Alternative Communication (AAC) products and services directly to customers in the UK and Ireland and also globally through a network of partners.
Smartbox Group turnover remained unchanged in the year at £10.4m but operating profit rose from £355k to £737k (+107.6%). Turnover through Smartbox Assistive Technology Limited rose by £213k (+2.1%) and operating profit rose by £4k (+0.4%), in line with company forecasts, therefore the directors are pleased with the performance.
Smartbox Group enjoys a very healthy balance sheet with high levels of liquidity and no debt. This has enabled the group to launch market leading products in 2019 with more planned for 2020.
The Company's key financial and other performance indicators during the year were as follows:
Turnover Growth: +2.1% (2019); 8.6% (2018)
Gross Margin % Turnover: 53.4% (2019); 51.7% (2018)
Operating Profit % Turnover: 9.4% (2019); 9.6% (2018)
The Company's other key performance indicators during the year were as follows:
Customer Satisfaction (Net Promoter Score)
Quality - First Time Pass Rate
Customer Retention
Principal risks and uncertainties
The fall in value of GBP vs USD continues to depress margins and represents an ongoing risk. This is mitigated through increasing USD revenues providing a natural hedge.
Brexit represents a considerable risk to the groups’ EU export revenue, however a contingency plan has been enacted to mitigate the risk of “no deal” by establishing a subsidiary company based in the EU.
The AAC industry relies on the funding provided by local healthcare providers (i.e. NHS in UK). There is a risk that this funding could be reduced or interrupted depending on political priorities.
Page 2 |
Smartbox Assistive Technology Limited
Strategic Report for the Year Ended 31 December 2019
In October 2018, the UK Competitions and Markets Authority (CMA) opened an investigation into the acquisition by Tobii AB of Smartbox Assistive Technology Limited (SATL) and Sensory Software International Limited (SSIL). Following a lengthy process, during which time the two companies were held separate, the CMA issued its Final Order in December 2019. The order requires Tobii AB to divest SATL and SSIL. The timeline for divestiture is uncertain.
Approved by the
.........................................
Director
Page 3 |
Smartbox Assistive Technology Limited
Directors' Report for the Year Ended 31 December 2019
The directors present their report and the financial statements for the year ended 31 December 2019.
Principal activity
The principal activity of the Company during the period was to provide Augmentative and Alternative Communication (AAC) products and services in the UK, Ireland and, through a network of partners, the rest of the world.
Results and dividends
The profit for the year, after taxation, amounted to £1,098k (2018: £1,100k).
No dividends were declared in the year ending 31st December 2019 or subsequently (2018: £NIL).
Directors of the Company
The directors who held office during the year were as follows:
Future developments
The impact of the upcoming Brexit on the Company has been considered and the following key risks have been identified: in-bound carriage delays, out-bound carriage delays, exporter administration, increased tariffs, regulatory alignment and talent retention and attraction. Procedures have been put in place to mitigate these risks.
In 2020, Smartbox Assistive Technology Limited will expand the range and reach of its industry leading AAC products and services which are highly regarded for their functionality, ease of use, unrivaled support and successful user outcomes. We therefore expect to help many more people with disabilities to communicate and live more independent lives.
Reappointment of auditors
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Bourner Bullock as auditors of the company is to be proposed at the forthcoming Annual General Meeting.
Approved by the
.........................................
Director
Page 4 |
Smartbox Assistive Technology Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The directors confirm that so far as they are aware, there is no relevant audit information (as defined by section 418(3) of the Companies Act 2006) of which the company’s auditors are unaware. They have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.
Page 5 |
Smartbox Assistive Technology Limited
Independent Auditor's Report to the Members of Smartbox Assistive Technology Limited
Opinion
We have audited the financial statements of Smartbox Assistive Technology Limited (the 'Company') for the year ended 31 December 2019, which comprise the Statement of Income and Retained Earnings, Balance Sheet, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• |
give a true and fair view of the state of the Company's affairs as at 31 December 2019 and of its profit for the year then ended; |
• |
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• |
have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
• |
the directors’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or |
• |
the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. |
Page 6 |
Smartbox Assistive Technology Limited
Independent Auditor's Report to the Members of Smartbox Assistive Technology Limited
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
• |
the information given in the Strategic Report Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared are consistent with the financial statements; and |
• |
the Strategic Report Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report Strategic Report or the Directors' Report.
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:
• |
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• |
the financial statements are not in agreement with the accounting records and returns; or |
• |
certain disclosures of directors’ remuneration specified by law are not made; or |
• |
we have not received all the information and explanations we require for our audit; or |
• |
the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Directors' Report and from the requirement to prepare a Strategic Report. |
Page 7 |
Smartbox Assistive Technology Limited
Independent Auditor's Report to the Members of Smartbox Assistive Technology Limited
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 5, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
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 auditor’s 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.
......................................
For and on behalf of
Sovereign House
212-224 Shaftesbury Avenue
WC2H 8HQ
Page 8 |
Smartbox Assistive Technology Limited
Statement of Income and Retained Earnings for the Year Ended 31 December 2019
Note |
2019 |
2018 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating profit |
|
|
|
Other interest receivable and similar income |
|
|
|
Profit before tax |
|
|
|
Taxation |
( |
|
|
Profit for the financial year |
|
|
|
Retained earnings brought forward |
4,951,053 |
3,851,049 |
|
Retained earnings carried forward |
6,094,822 |
4,951,053 |
Page 9 |
Smartbox Assistive Technology Limited
(Registration number: 05541084)
Balance Sheet as at 31 December 2019
Note |
2019 |
2018 |
|
Fixed assets |
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Tangible assets |
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Current assets |
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Stock |
|
|
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Debtors |
|
|
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Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
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Total assets less current liabilities |
|
|
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Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Profit and loss account |
|
|
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Shareholders' funds |
|
|
Approved and authorised by the
.........................................
Director
Page 10 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
England
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the requirements of the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Summary of disclosure exemptions
As a qualifying entity, the individual company has taken advantage of the exemption, under Section 1.12 of FRS 102, not to prepare a Statement of Cash Flows; from the requirement to present financial instrument disclosures, as required by FRS 102 paragraphs 11.40 to 11.48A, 12.26 to 12.29A; and to disclose key management personnel compensation. It has also taken advantage of the exemption under Section 33.1A not to disclose related party transactions between the company and its parent company.
Name of parent of group
These financial statements are consolidated in the financial statements of Tobii AB (publ).
The financial statements of Tobii AB (publ) may be obtained from Tobii AB, Box 743, S-182 17 Danderyd, Sweden.
Going concern
The financial statements have been prepared on a going concern basis.
Page 11 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Exemption from preparing group accounts
The financial statements contain information about Smartbox Assistive Technology Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under section 401 of the Companies Act 2006 from the requirement to prepare consolidated financial statements as it and its subsidiary undertakings are included by full consolidation in the consolidated financial statements of its parent, Tobii AB (publ.), a company incorporated in Sweden.
Turnover recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the Company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The Company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the Company's activities.
Foreign currency transactions and balances
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the Company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Page 12 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Leasehold improvements |
Straight line over 5 to 10 years |
Fixtures and fittings |
25% straight line |
Motor vehicles |
25% straight line |
Computer equipment |
50% straight line |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Stock
Stock is stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the average cost method.
Financial instruments
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit or loss.
Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an 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.
Page 13 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Debtors
Basic financial assets, including trade and other debtors, are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Creditors
Basic financial liabilities, including trade and other creditors, loans from third parties and loans from related parties, 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 payments discounted at a market rate of interest. Such instruments are subsequently carried at amortised cost using the effective interest method, less any impairment.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the Company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Provisions
Provisions are recognised when the Company has an obligation at the reporting date as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The anticipated cost of future warranty claims is provided for on the basis of historical repair rates and anticipated costs per unit for the in-service population of devices under warranty and backlog awaiting repair.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Page 14 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the Company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Research and development
Expenditure on research and development is charged to the profit and loss account in the year in which it is incurred.
Critical accounting estimates and judgements |
Judgements
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year.
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources.
The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis.
Revision to accounting estimates are recognised in the period in which the estimates are revised, if the revision affects only that period, or in the period of revision and future periods if the revision affects both the current and future periods.
Page 15 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below:
Impairment of stock
The company manufactures products which are subject to technological developments and customer demands. As a result it is necessary to consider the recoverability of cost of stock and the associated provision required. When calculating stock provisions, management considers the nature and condition of the stock, as well as applying assumptions around anticipated future demand of stock lines. The carrying amount at the year end is £199,182 (2018: £234,370).
Warranty provisions
The company offer warranties of 2 or 3 years, or extended warranties of 5 years, depending on the product line. The warranty provision has been calculated by the Directors based on the repair costs incurred during this timeframe to provide a cost per unit repair. This cost per unit repair has then been applied to the total products to calculate the overall warranty provision. In calculating this provision, the Directors consider any costs which have been incurred by the repairs department as part of their cost per unit repair calculation. The carrying amount at the year end is £313,849 (2018: £299,371).
Impairment of subsidiary loan balances
The company has assessed the recoverability of subsidiary loan debtors by reference to a prudent forecast of the subsidiary's future ability to repay the loan. Based on these forecasts, the directors consider that the loan balance is recoverable. The carrying amount at the year end is £2,123,986 (2018: £1,562,923).
Turnover |
The analysis of the company's turnover for the year from continuing operations is as follows:
2019 |
2018 |
|
Sale of goods |
|
|
Page 16 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
The analysis of the company's turnover for the year by market is as follows:
2019 |
2018 |
|
UK |
|
|
Europe |
|
|
Rest of world |
|
|
|
|
Operating profit |
Arrived at after charging/(crediting)
2019 |
2018 |
|
Depreciation expense |
|
|
Research and development cost |
|
|
Operating lease expense - plant and machinery |
|
|
Profit on disposal of property, plant and equipment |
( |
- |
Other interest receivable and similar income |
2019 |
2018 |
|
Interest income from group undertakings |
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2019 |
2018 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
Other employee expense |
|
|
|
|
Page 17 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
2019 |
2018 |
|
Sales, marketing and distribution |
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
2019 |
2018 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
296,929 |
246,550 |
In respect of the highest paid director:
2019 |
2018 |
|
Remuneration |
|
|
Company contributions to money purchase pension schemes |
|
|
Auditors' remuneration |
2019 |
2018 |
|
Audit of the financial statements |
|
|
Page 18 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Taxation |
Tax charged/(credited) in the income statement
2019 |
2018 |
|
Current taxation |
||
UK corporation tax |
|
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
( |
( |
Tax expense/(receipt) in the income statement |
|
( |
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2018 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2019 |
2018 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Effect of tax losses |
- |
( |
Decrease from effect of tax incentives |
( |
( |
Tax increase from effect of capital allowances and depreciation |
|
|
Tax decrease from other short-term timing differences |
( |
( |
Tax decrease arising from group relief |
- |
( |
Tax decrease from effect of adjustment in research and development tax credit |
( |
( |
Other tax effects for reconciliation between accounting profit and tax expense (income) |
- |
|
Total tax charge/(credit) |
|
( |
Page 19 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Deferred tax
Deferred tax assets and liabilities
2018 |
Liability |
Arising on temporary timing differences |
|
Tangible assets |
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
Cost or valuation |
||||
At 1 January 2019 |
|
|
|
|
Additions |
|
|
|
|
Disposals |
- |
- |
( |
( |
At 31 December 2019 |
|
|
|
|
Depreciation |
||||
At 1 January 2019 |
|
|
|
|
Charge for the year |
|
|
- |
|
Eliminated on disposal |
- |
- |
( |
( |
At 31 December 2019 |
|
|
|
|
Carrying amount |
||||
At 31 December 2019 |
|
|
- |
|
At 31 December 2018 |
|
|
- |
|
Page 20 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Investments in subsidiaries |
Subsidiary undertakings
The company has an investment in a subsidiary and the aggregate cost is £0.01 (2018 - £0.01).
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
||||
2019 |
2018 |
||||||
Subsidiary undertakings |
|||||||
|
2831 Leechburg Road,
United States |
|
|
|
Stock |
2019 |
2018 |
|
Stock |
|
|
Debtors |
Note |
2019 |
2018 |
|
Trade debtors |
|
|
|
Amounts owed by group undertakings |
|
|
|
Other debtors |
|
|
|
Prepayments |
|
|
|
Corporation tax refund due |
- |
|
|
|
|
Page 21 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Cash and cash equivalents |
2019 |
2018 |
|
Cash at bank |
|
|
Short-term deposits |
|
|
|
|
Creditors |
Note |
2019 |
2018 |
|
Due within one year |
|||
Trade creditors |
|
|
|
Amounts due to group undertakings |
|
|
|
Social security and other taxes |
|
|
|
Other payables |
|
|
|
Accruals |
|
|
|
Income tax liability |
146,128 |
- |
|
Deferred income |
|
- |
|
|
|
Provisions for liabilities |
Warranties |
Deferred tax |
Total |
|
At 1 January 2019 |
|
|
|
Increase (decrease) in existing provisions |
|
( |
|
At 31 December 2019 |
|
|
|
A provision is recognised for expected warranty claims on products sold during the last 12 months. It is expected that these costs will be incurred in the next financial year.
Page 22 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Share capital |
Allotted, called up and fully paid shares
2019 |
2018 |
|||
No. |
£ |
No. |
£ |
|
|
|
16 |
|
16 |
Rights, preferences and restrictions
Ordinary shares have the following rights, preferences and restrictions: |
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
2019 |
2018 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
Later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Page 23 |
Smartbox Assistive Technology Limited
Notes to the Financial Statements for the Year Ended 31 December 2019
Parent and ultimate parent undertaking |
On 1 October 2018, 100% of the share capital of Smartbox Assistive Technology Limited was acquired by Tobii AB (publ.). In the prior year, the ultimate controlling party was P M Hawes and A S Hawes by virtue of their majority shareholding.
The company's immediate parent is Tobii AB (publ.), incorporated in Sweden. The directors consider there to be no one ultimate controlling party.
The parent company of the largest group to prepare consolidated financial statements is Tobii AB (publ.). These financial statements are available upon request from Tobii AB (publ.), Box 743, S-182 17 Danderyd, Sweden.
Developments in the year |
On 21 August 2019 the Competition and Markets Authority (CMA) took the decision that Smartbox Assistive Technology Limited could no longer continue to be owned within the Tobii AB (publ.) group. The order issued in December 2019 requires Tobii AB to divest Smartbox Assistive Technology Limited and Sensory Software International Limited. The timeline for divestiture is uncertain.
Page 24 |