Company Registration No. SC181158 (Scotland)
ADROK LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
ADROK LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Statement of changes in equity
3
Notes to the financial statements
4 - 10
ADROK LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2019
31 December 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Intangible assets
3
8,993
11,523
Tangible assets
4
310,595
409,814
Investments
5
115,909
115,909
435,497
537,246
Current assets
Debtors
6
1,088,968
1,155,778
Cash at bank and in hand
116,719
205,360
1,205,687
1,361,138
Creditors: amounts falling due within one year
7
(259,273)
(273,183)
Net current assets
946,414
1,087,955
Total assets less current liabilities
1,381,911
1,625,201
Creditors: amounts falling due after more than one year
8
(39,689)
(129,240)
Net assets
1,342,222
1,495,961
Capital and reserves
Called up share capital
9
1,693
1,693
Share premium account
3,446,301
3,446,301
Profit and loss reserves
(2,105,772)
(1,952,033)
Total equity
1,342,222
1,495,961
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
ADROK LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2019
31 December 2019
- 2 -
For the financial year ended 31 December 2019 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
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 30 March 2020 and are signed on its behalf by:
G C Stove
Director
Company Registration No. SC181158
ADROK LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2019
- 3 -
Share capital
Share premium account
Profit and loss reserves
Total
£
£
£
£
Balance at 1 January 2018
1,693
3,446,301
(1,403,185)
2,044,809
Year ended 31 December 2018:
Loss and total comprehensive income for the year
-
-
(548,848)
(548,848)
Balance at 31 December 2018
1,693
3,446,301
(1,952,033)
1,495,961
Year ended 31 December 2019:
Loss and total comprehensive income for the year
-
-
(153,739)
(153,739)
Balance at 31 December 2019
1,693
3,446,301
(2,105,772)
1,342,222
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
- 4 -
1
Accounting policies
Company information
Adrok Limited is a
private
company
limited by shares
incorporated in Scotland.
The registered office is
50 Lothian Road, Festival Square, Edinburgh, EH3 9WJ.
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 £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section
399
of the
Companies Act 2006 not to prepare consolidated accounts
, on the basis that the group of which this is the parent qualifies as a small group
. The financial statements present information about the company as an individual entity and not about its group
.
1.2
Turnover
Turnover represents amounts receivable for research and design of radar applications net of VAT and trade discounts.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that
it is probable will be
recover
ed
.
1.3
Research and development expenditure
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated
.
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date
where
it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the
fair
value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Patents
10 years straight line
Trademarks
10 years straight line
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 5 -
1.5
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold improvements
10 years straight line
Plant and machinery
10 years straight line
Fixtures, fittings & equipment
5 years straight line
Computer equipment
5 years straight line
Motor vehicles
4 years straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and
is credited or charged to profit or loss
.
1.6
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities 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.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities
.
1.7
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company
estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 6 -
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit)
in
prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.8
Cash and cash equivalents
Cash and cash equivalents
are basic financial assets
and
include cash in hand
and
deposits held at call with banks, other short-term liquid investments with original maturities of three months or less
.
1.9
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 balance sheet 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.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are measured at transaction price including transaction costs
.
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 creditors, bank loans, 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.
Trade creditors
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
.
1.10
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.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 7 -
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The
company’s
liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the
company
has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.12
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.13
Retirement benefits
The company operates a defined contribution scheme for the benefit of directors and qualifying employees. Contributions payable are charged to the profit and loss account in the year they are payable.
1.14
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair
value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases,
including
any lease incentives received, are charged to
profit or loss
on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease
s
asset are consumed.
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 8 -
1.15
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met
. Where a
grant does not specify performance conditions
it
is recognised in income when the proceeds are received or receivable
. A grant received before the recognition criteria are satisfied is recognised as a liability.
1.16
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 are included in the profit and loss account for the period.
1.17
The financial statements present information about the company as an individual undertaking and not about its group. The company and its subsidiary undertaking comprise a small-sized group. The company has therefore taken advantage of the exemptions provided by section 399 of the Companies Act 2006 not to prepare group accounts.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was 8 (2018 - 8
).
3
Intangible fixed assets
Other
£
Cost
At 1 January 2019 and 31 December 2019
191,901
Amortisation and impairment
At 1 January 2019
180,378
Amortisation charged for the year
2,530
At 31 December 2019
182,908
Carrying amount
At 31 December 2019
8,993
At 31 December 2018
11,523
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 9 -
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 January 2019 and 31 December 2019
35,982
1,140,046
1,176,028
Depreciation
At 1 January 2019
17,864
748,349
766,213
Depreciation charged in the year
3,600
95,620
99,220
At 31 December 2019
21,464
843,969
865,433
Carrying amount
At 31 December 2019
14,518
296,077
310,595
At 31 December 2018
18,118
391,696
409,814
5
Fixed asset investments
2019
2018
£
£
Investments
115,909
115,909
Movements in fixed asset investments
Investments other than loans
£
Cost or valuation
At 1 January 2019 & 31 December 2019
115,909
Carrying amount
At 31 December 2019
115,909
At 31 December 2018
115,909
ADROK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 10 -
6
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
254,330
319,329
Corporation tax recoverable
108,594
133,203
Amounts owed by group undertakings
685,870
656,433
Other debtors
18,340
28,548
Prepayments and accrued income
21,834
18,265
1,088,968
1,155,778
7
Creditors: amounts falling due within one year
2019
2018
£
£
Bank loans
82,910
72,208
Trade creditors
116,743
112,661
Amounts owed to group undertakings
-
100
Taxation and social security
15,813
19,363
Other creditors
43,807
68,851
259,273
273,183
The directors have provided a personal guarantee in respect of the bank loan. The bank loan is secured by a floating charge over the assets of the company.
8
Creditors: amounts falling due after more than one year
2019
2018
£
£
Bank loans and overdrafts
34,555
117,465
Other creditors
5,134
11,775
39,689
129,240
9
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
139,724 A Ordinary shares of 1p each
1,397
1,397
29,639 B Ordinary shares of 1p each
296
296
1,693
1,693
2019-12-31
2019-01-01
false
31 March 2020
CCH Software
CCH Accounts Production 2020.200
No description of principal activity
Dr C Stove
G C Stove
M Robinson
C Joudrie
W McLucas
Burness Paull LLP
SC181158
2019-01-01
2019-12-31
SC181158
2019-12-31
SC181158
core:IntangibleAssetsOtherThanGoodwill
2019-12-31
SC181158
core:IntangibleAssetsOtherThanGoodwill
2018-12-31
SC181158
2018-01-01
2018-12-31
SC181158
2018-12-31
SC181158
core:LandBuildings
2019-12-31
SC181158
core:OtherPropertyPlantEquipment
2019-12-31
SC181158
core:LandBuildings
2018-12-31
SC181158
core:OtherPropertyPlantEquipment
2018-12-31
SC181158
core:CurrentFinancialInstruments
core:WithinOneYear
2019-12-31
SC181158
core:CurrentFinancialInstruments
core:WithinOneYear
2018-12-31
SC181158
core:CurrentFinancialInstruments
2019-12-31
SC181158
core:CurrentFinancialInstruments
2018-12-31
SC181158
core:Non-currentFinancialInstruments
2019-12-31
SC181158
core:Non-currentFinancialInstruments
2018-12-31
SC181158
core:ShareCapital
2019-12-31
SC181158
core:ShareCapital
2018-12-31
SC181158
core:SharePremium
2019-12-31
SC181158
core:SharePremium
2018-12-31
SC181158
core:RetainedEarningsAccumulatedLosses
2019-12-31
SC181158
core:RetainedEarningsAccumulatedLosses
2018-12-31
SC181158
core:ShareCapital
2017-12-31
SC181158
core:SharePremium
2017-12-31
SC181158
core:RetainedEarningsAccumulatedLosses
2017-12-31
SC181158
2017-12-31
SC181158
core:ShareCapitalOrdinaryShares
2019-12-31
SC181158
core:ShareCapitalOrdinaryShares
2018-12-31
SC181158
bus:Director2
2019-01-01
2019-12-31
SC181158
core:RetainedEarningsAccumulatedLosses
2018-01-01
2018-12-31
SC181158
core:RetainedEarningsAccumulatedLosses
2019-01-01
2019-12-31
SC181158
core:IntangibleAssetsOtherThanGoodwill
2019-01-01
2019-12-31
SC181158
core:PatentsTrademarksLicencesConcessionsSimilar
2019-01-01
2019-12-31
SC181158
core:DevelopmentCostsCapitalisedDevelopmentExpenditure
2019-01-01
2019-12-31
SC181158
core:LandBuildings
core:LongLeaseholdAssets
2019-01-01
2019-12-31
SC181158
core:PlantMachinery
2019-01-01
2019-12-31
SC181158
core:FurnitureFittings
2019-01-01
2019-12-31
SC181158
core:ComputerEquipment
2019-01-01
2019-12-31
SC181158
core:MotorVehicles
2019-01-01
2019-12-31
SC181158
core:IntangibleAssetsOtherThanGoodwill
2018-12-31
SC181158
core:LandBuildings
2018-12-31
SC181158
core:OtherPropertyPlantEquipment
2018-12-31
SC181158
2018-12-31
SC181158
core:LandBuildings
2019-01-01
2019-12-31
SC181158
core:OtherPropertyPlantEquipment
2019-01-01
2019-12-31
SC181158
bus:PrivateLimitedCompanyLtd
2019-01-01
2019-12-31
SC181158
bus:SmallCompaniesRegimeForAccounts
2019-01-01
2019-12-31
SC181158
bus:FRS102
2019-01-01
2019-12-31
SC181158
bus:AuditExemptWithAccountantsReport
2019-01-01
2019-12-31
SC181158
bus:Director1
2019-01-01
2019-12-31
SC181158
bus:Director3
2019-01-01
2019-12-31
SC181158
bus:Director4
2019-01-01
2019-12-31
SC181158
bus:Director5
2019-01-01
2019-12-31
SC181158
bus:CompanySecretary1
2019-01-01
2019-12-31
SC181158
bus:FullAccounts
2019-01-01
2019-12-31
xbrli:pure
xbrli:shares
iso4217:GBP