Registered number:
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
COMPANY INFORMATION
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JOHN MORRIS HOLDINGS LIMITED
CONTENTS
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JOHN MORRIS HOLDINGS LIMITED
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2020
The Directors present their Strategic Report to the financial statements for the year ended 31 December 2020.
During 2020 the Group was challenged by the combined uncertainties arising from the Covid-19 Pandemic and the continuing Brexit negotiations. Turnover fell compared to the previous year. However, achieving a respectable margin on the lower level of sales, resulted in a satisfactory level of profitability.
Despite external pressures, the Group continued to expand into new markets and to develop new products while making significant investments in the latest equipment. New sales channels have been identified to contribute towards future growth and minimise any reliance on a single customer, group of customers or particular market segment. At the start of the year the Group had 213 employees and due to a reduction in sales with associated reduction in production the number of employees fell to 177. However, since the year end production has increased with the present number employed being 210. The Group continues to fund its closed defined benefit pension scheme at a level which will eliminate any deficit or surplus over an agreed period. This deficit or surplus is recognised in the Company’s balance sheet and is subject to the volatility inherent in the accounting valuation from year to year. At the start of the year the Group introduced an upgraded ERP system whereby the production system was able to introduce standard costing which will be able to monitor performance and productivity through a system of variance analysis. A consequence of introducing standard costing was that the basis for valuing finished goods has varied to include actual costs of production and overhead absorption. The introduction of this variation resulted in an uplift in the stock valuation compared to the previous year end where this uplift has been regarded as effectively relating to the previous year resulting in the requirement to show a prior year adjustment of £1,112,237. We have been fortunate not to have had any outbreaks of Covid-19 within the business and the Directors have ensured that all employees can feel safe in their working environments. We have experienced a number of instances where employees have had to self-isolate because of external factors, this has caused some minor disruption to production. We received Government support during 2020 with the receipt of a Coronavirus Business Interruption Loan of £1 million, this was repaid in May 2021. The Group is making repayments under the VAT deferral scheme which will clear the amount deferred by December 2021. The Trustees of the closed defined benefits pension scheme agreed to a payment holiday for three months in 2020, this has now all been brought up to date.
The risks facing the Group are constantly monitored and assessed.
The Group’s business activities, financial condition and trading results could be affected by any or all of the following risks and uncertainties: General business conditions and economy The Directors are of the opinion that the principal risks facing the Group relate to the wider economic conditions, in particular global inflationary pressures which will influence raw material costs, pricing and an anticipated growth in the demand for its products. The Group seeks to manage these risks by maintaining an appropriate spread of market segments, product range, supplier base, production systems and active cash management.
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JOHN MORRIS HOLDINGS LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
Information Systems
The Group is reliant upon a number of business systems which, if disrupted for any length of time due to damage or interruption from loss of power, failure of telecommunications, sabotage or vandalism could have an adverse effect on the efficient running of the Group's business. As part of its Business Continuity Plan the Group has put in place a number of contingency plans, utilising the Group’s multi site set up and access to cloud based IT support, to ensure that such system failures could not adversely affect the efficient running of the Group’s business. Health and safety In common with all manufacturing businesses the factory environment exposes the Group to health and safety risk. The Directors take the health and safety of its employees and any third party on its sites very seriously and are mindful of health and safety regulatory compliance. Consequently, they have in place stringent policies and procedures which are appropriately communicated and monitored by a designated Health and Safety Compliance Officers. The Directors are proud of the Group’s health and safety record and have strived to present a working environment where everyone can feel safe. Financial Risk Management The Group’s operations expose it to a variety of financial risks that include the effects of credit risk, currency risk, liquidity risk and interest rate risk. The Group has in place a risk management programme that seeks to limit any adverse effects on the financial performance of the Group. Credit risk The Group operates procedures that require appropriate credit checks on potential customers before sales are made. Credit insurance is taken out on major debtors, where available, with credit insurers and credit limits are set in accordance with that insurance. The amount of exposure to any uninsured debtors is also subject to an appropriate limit, which is reassessed on an ongoing basis by using appropriate Credit Reference Agencies. Currency risk The Group's principal currency exposures are to the Euro and US Dollar. The Group has something of a natural hedge for much of its currency risk as it has sales and purchases in both currencies. When there is an imbalance in the natural hedge for both currencies and this is managed through other hedging techniques such as, but not limited to, forward foreign exchange contracts. The Group continues to monitor potential exposures and risks, and consider effective risk management solutions. Liquidity risk Liquidity risk relates to the Group having sufficient financial resources to pay for the goods and services required to operate. The Directors are confident that the banking and financing facilities currently in place are more than adequate for the Group's working capital requirements and that the Group will have sufficient available funds for operations, planned expansions and any other opportunity that may arise.
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JOHN MORRIS HOLDINGS LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
Interest rate risk
The Group maintains a mix of fixed and variable rate borrowing, all of which are linked to Bank of England Base Rate. The Directors are of the opinion that the Group benefits from competitive interest rates, in comparison to industry averages, by virtue of its strong balance sheet and profitability. The proportions of fixed and variable rate borrowings and any hedging requirement are constantly reviewed in the light of current and anticipated Money Market movements.
The Balance Sheet of the business remains strong and profits have remained relatively strong over the period. The Statement of Comprehensive Income, Balance Sheet, and associated notes (as detailed on the following pages) adequately show the development, performance and position of the Group over the course of the year ending 31 December 2020. In the opinion of the Directors there are no Key Performance Indicators whose disclosure is necessary to add to an understanding of these financial results.
The Group also uses a suite of non financial KPI's to monitor and measure success on a weekly basis which cover the whole business operating spectrum reflecting the changing needs of the business.
The Group has a policy to protect the environment wherever it operates or sources materials with KPI's being used to measure the proportion of timber purchased from forests that are well managed environmentally according to the Forest Stewardship Council (FSC) Standards. In addition other non financial areas of the business such as customer service, staff productivity and wellbeing indicators considered key to the business are also monitored using KPI's.
This report was approved by the board
and signed on its behalf.
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JOHN MORRIS HOLDINGS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2020
The Directors present their report and the financial statements for the year ended 31 December 2020.
The Directors are responsible for preparing the Group strategic report, the Directors' report and the
consolidated
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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 the Group and of the profit or loss of the Group for that period.
In preparing these financial statements, the Directors are required to:
∙
select suitable accounting policies for the Group's financial statements and then apply them consistently;
∙
make judgments and accounting estimates that are reasonable and prudent;
∙
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group 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 the Group and to 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Group's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements and other information included in Directors' reports may differ from legislation in other jurisdictions.
The profit for the year, after taxation and minority interests, amounted to £
760,821
(2019 -
£
3,213,152
)
.
During the year, dividends of £340,750 were paid
(2019: £380,000)
.
The Directors who served during the year were:
Trading during 2020 was satisfactory and with careful control over costs produced a satisfactory result, the Directors' projections for 2021 have been to see a reasonable amount of growth in sales and the maintenance of profitability.
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JOHN MORRIS HOLDINGS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
The Group is actively engaged in research and development activities through continuous new product development
There were no post balance sheet events considered material to these financial statements.
The auditors, WR Partners, will be proposed for reappointment in accordance with
section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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JOHN MORRIS HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JOHN MORRIS HOLDINGS LIMITED
We have audited the financial statements of John Morris Holdings Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2020, which comprise the Group Income statement, the Group Statement of comprehensive income, the Group and Company Balance sheets, the Group Statement of cash flows, the Group and Company Statement of changes in equity
and the related notes, 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).
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
In auditing the financial statements, we have concluded that the Directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Directors with respect to going concern are described in the relevant sections of this report.
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JOHN MORRIS HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JOHN MORRIS HOLDINGS LIMITED (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The Directors are responsible for the other information contained within the Annual Report. 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. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.
In our opinion, based on the work undertaken in the course of the audit:
∙
the information given in the Group strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙
the Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group strategic report or the Directors' report.
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JOHN MORRIS HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JOHN MORRIS HOLDINGS LIMITED (CONTINUED)
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 Auditors' 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 Group financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
The audit team obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and the Group and determined that the most significant are those that relate to the reporting framework (FRS102 and the Companies Act 2006), the relevant tax compliance regulations, employment law, Health and Safety Regulations and the EU General Data Protection Regulation (GDPR). We understood how the Company and the Group are complying with these frameworks by making enquiries of management and those responsible for legal and compliance procedures. We also reviewed board minutes to identify any recorded instances of irregularity or non compliance that might have a material impact on the financial statements. We assessed the susceptibility of the Company and Group's financial statements to material misstatement, including how fraud might occur by meeting with key management to understand where they considered there was susceptibility to fraud. Based on our understanding our procedures involved enquiries of management and those charged with governance, manual journal entry testing, cashbook reviews for large and unusual items and the challenge of significant accounting estimates used in preparing the 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 Auditors' report.
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JOHN MORRIS HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JOHN MORRIS HOLDINGS LIMITED (CONTINUED)
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.
for and on behalf of
Chartered Accountants
Statutory Auditors
Hafren House
5 St Giles Business Park
Powys
SY16 3AJ
Date:
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JOHN MORRIS HOLDINGS LIMITED
CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
REGISTERED NUMBER:
06816610
CONSOLIDATED BALANCE SHEET
AS AT
31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
REGISTERED NUMBER:
06816610
CONSOLIDATED BALANCE SHEET
(CONTINUED)
AS AT
31 DECEMBER 2020
The financial statements were approved and authorised for issue by the board and were signed on its behalf by
:
The notes on pages 22 to 50 form part of these financial statements.
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JOHN MORRIS HOLDINGS LIMITED
REGISTERED NUMBER:
06816610
COMPANY BALANCE SHEET
AS AT
31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
REGISTERED NUMBER:
06816610
COMPANY BALANCE SHEET
(CONTINUED)
AS AT
31 DECEMBER 2020
The financial statements were approved and authorised for issue by the board and were signed on its behalf by
:
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED
31 DECEMBER 2020
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED
31 DECEMBER 2019
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JOHN MORRIS HOLDINGS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED
31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2020
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
The principal activities of the Group are that of the manufacture and sale of wallcoverings, laminated boards and profiles.
The Company operates in England and Wales and is a private company limited by shares and is incorporated and domiciled in the UK. The address of its registered office is Madoc Works, Henfaes Lane, Welshpool, Powys, SY21 7BE.
2.
Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in
the UK and the Republic of Ireland and the Companies Act 2006
.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Income statement in these financial statements.
The following principal accounting policies have been applied:
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated income statement from the date on which control is obtained. They are deconsolidated from the date control ceases. In accordance with the transitional exemption available in FRS 102, the group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102, being 01 January 2014.
Therefore, the Group continues to recognise a merger reserve which arose on a past business combination that was accounted for as a merger in accordance with UK GAAP as applied at that time.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
- the requirements of Section 7 Statement of Cash Flows; - the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d); - the requirements of Section 33 Related Party Disclosures paragraph 33.7. This information is included within the consolidated financial statements.
After making enquires, the Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. The Group therefore continues to adopt the going concern basis in preparing its financial statements.
The Directors have also assessed the potential impact on the future operations of the Group with regard to the Covid-19 outbreak. The Group is considered to be well positioned given the current environment with no impact on the going concern basis of the financial statements.
Functional and presentation currency
Transactions and balances
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
Grants of a revenue nature are recognised in the Consolidated income statement in the same period as the related expenditure.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
Defined benefit pension plan
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
No further depreciation is being provided on Freehold Property on the basis that the net book value is equal to the residual value of the asset.
In the consolidated accounts, interests in associated undertakings are accounted for using the equity method of accounting. Under this method an equity investment is initially recognised at the transaction price (including transaction costs) and is subsequently adjusted to reflect the investors share of the profit or loss, other comprehensive income and equity of the associate. The Consolidated income statement includes the Group's share of the operating results, interest, pre-tax results and attributable taxation of such undertakings applying accounting policies consistent with those of the Group. In the Consolidated balance sheet, the interests in associated undertakings are shown as the Group's share of the identifiable net assets, including any unamortised premium paid on acquisition. Any premium on acquisition is dealt with in accordance with the goodwill policy.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
Provisions are charged as an expense to profit or loss in the year that the Group becomes aware of the obligation, and are measured at the best estimate at the Balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. When payments are eventually made, they are charged to the provision carried in the Balance sheet.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
2.
Accounting policies (continued)
The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. In the opinion of the Directors there are no estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Stocks
During the period the Group has revised its accounting policy in relation to the valuation of stock in the Morland division due to the introduction of an upgraded ERP system, as referenced in the strategic report. As a result of this, expenditure on labour and other relevant overheads are now included in the value of stock in line with the other divisions which follow the Group's accounting policy. Following the application of this updated policy, the prior year figures for stock and cost of sales have been revised and restated in these financial statements, leading to an increase in profit for the prior year of £1,112,237. In accordance with section 10.12 of FRS 102, the Group has applied the new accounting policy to the carrying amounts of stock for the period commencing 1 January 2019. This is the earliest period that the Directors have deemed it practicable to do so.
The whole of the turnover is attributable to the manufacture and sale of wallcoverings, laminated boards and profiles.
Analysis of turnover by country of destination:
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 31
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 32
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 33
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 34
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
15.
Taxation (continued)
From 1 April 2023, the main rate of Corporation Tax is due to increase from 19% to 25% for companies with profits exceeding £250,000.
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Income statement in these financial statements. The profit after tax of the parent Company for the year was £
Page 35
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 36
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
18.
Tangible fixed assets (continued)
The carrying amount of investment property, which the Company rents to another group entity when it has chosen to account for such properties using the cost model is
£
3,139,657 (
2019
-
£
3,139,657
)
Page 37
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 38
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 39
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 40
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Bank loans are secured by a first legal charge over specific freehold properties held by the Group.
Net obligations under finance lease and hire purchase contracts are secured upon the assets to which they relate.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Bank loans are secured by a first legal charge over specific freehold properties held by the Group.
Net obligations under finance lease and hire purchase contracts are secured upon the assets to which they relate.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 43
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Page 44
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
27.
Deferred taxation (continued)
Page 45
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
During the year 500,000 Redeemable C Preference shares were issued at par value.
The Redeemable shares are entitled to dividends as determined by the holders of the Ordinary shares. The redemption options are determined by the holders of the Ordinary shares.
Capital redemption reserve
Pension benefit reserve The pension benefit reserve is used to show cumulative actuarial gains/losses on the defined benefit pension scheme separately from the Group's profit and loss reserve.
Merger Reserve
Profit and loss account
Page 46
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents conributions payable by the Company to the fund and amounted to £211,728 (2019: £141,276). There were no outstanding amounts as at 31 December 2020.
The Group operates a Defined benefit pension scheme in addition to the defined contrbution scheme.
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
30.
Pension commitments (continued)
Page 48
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
30.
Pension commitments (continued)
Page 49
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JOHN MORRIS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
The Group is under the control of J. M. O. Morris, Director, by virtue of his shareholding in this parent Company.
Page 50
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