REGISTERED NUMBER:
|
|
|
|
|
|
|
|
Strategic Report, Report of the Director and |
|
Financial Statements |
|
for the Year Ended 31 December 2021 |
|
for
|
|
CD (UK) Limited |
|
REGISTERED NUMBER:
|
|
|
|
|
|
|
|
Strategic Report, Report of the Director and |
|
Financial Statements |
|
for the Year Ended 31 December 2021 |
|
for
|
|
CD (UK) Limited |
|
CD (UK) Limited (Registered number: 02905619)
|
|
Contents of the Financial Statements
|
for the Year Ended 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
Page
|
|
|
|
Company Information
|
1
|
|
|
|
Strategic Report
|
2
|
|
|
|
Report of the Director
|
4
|
|
|
|
Report of the Independent Auditors
|
5
|
|
|
|
Statement of Comprehensive Income
|
8
|
|
|
|
Balance Sheet
|
9
|
|
|
|
Statement of Changes in Equity
|
11
|
|
|
|
Cash Flow Statement
|
12
|
|
|
|
Notes to the Cash Flow Statement
|
13
|
|
|
|
Notes to the Financial Statements
|
14
|
|
|
CD (UK) Limited
|
|
Company Information
|
for the Year Ended 31 December 2021
|
|
|
|
|
|
|
|
|
DIRECTOR:
|
|
|
|
|
|
|
|
REGISTERED OFFICE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REGISTERED NUMBER:
|
|
|
|
|
|
|
|
AUDITORS:
|
|
|
Statutory Auditor
|
|
28 Prescott Street
|
|
Halifax
|
|
West Yorkshire
|
|
HX1 2LG
|
CD (UK) Limited (Registered number: 02905619)
|
|
Strategic Report
|
for the Year Ended 31 December 2021
|
|
|
The director presents his strategic report for the year ended 31 December 2021.
|
|
REVIEW OF BUSINESS
|
The Company continues to meet the demands of the commercial market and the domestic market for Solid Surface
material in the UK and Ireland. The company has the infrastructure in place to cope with the current level of sales and
for future growth.
|
|
The Company has also continued the distribution of the Air Uno line of goods.
|
|
The COVID-19 pandemic continued to impact the business during 2021 and the company continued to take measures
to mitigate the risks. Office based employees returned to working from site in the safest conditions possible, with
regularly reviewed COVID guidance. The impact of COVID-19 was that turnover has not returned to the same levels as
seen in 2019 but did increase slightly by 2% on 2020.
|
|
In October 2021, the business launched a new complementary, sustainable, solid surface product; PaperStone®.
PaperStone® is primarily made with FSC certified recycled paper cardboard combined with a patented natural phenolic
resin, PetroFree®.
|
|
The business has seen a slight increase in turnover in 2021 compared with 2020, with sales for 2021 of £20.153 million
and an increase in gross profit to £5.911 million. The maintenance of this level of turnover in the light of the difficult
trading conditions brought about by the Covid 19 restrictions has continued to be from serving the existing customers
and from broadening the nature of projects the company undertakes as well as broadening its customer base. The
company has continued to review and make improvements to both its operational infrastructure and human resources in
2021.
|
|
The director and leadership team monitor the key performance indicators of sales, profitability, overhead costs and
working capital on a very regular basis, together with stock availability, customer service and operational key
performance indicators.
|
|
PRINCIPAL RISKS AND UNCERTAINTIES
|
The principal risks and uncertainties facing the business are economic risks which will affect the economy in general,
and construction in particular, together with any unforeseen supply interruptions. COVID-19 has continued to show this
to be the case in 2021. The company monitors cash flow closely to ensure that it is not exposed to undue cash flow
risks. Political risks and environmental risks are considered by the directors on a regular basis. The exposure of the
company to foreign exchange rate fluctuations is monitored regularly and steps are taken to mitigate risks by strategic
purchase of foreign currency. Brexit has brought about additional challenges relating to both the import of goods from
Europe and North America and the export of goods to Ireland which the company is managing by close control of the
necessary protocols and procedures.
|
|
DEVELOPMENT AND PERFORMANCE OF THE BUSINESS
|
The company has continued to sell Solid Surface material and Air Uno products in the UK and Ireland. Turnover has
increased to £20.153 million in 2021 from £19.858 million in 2020. Gross profit has increased to £5.911 million in 2021
from £5.870 million in 2020.
|
|
In 2019 the company introduced Next Day Delivery by dedicated liveried transport to customers in mainland UK, in order
to enhance customer service. This had an increased cost to the company but reduced by a substantial amount the
number of miles travelled by hauliers and had a positive environmental benefit. During the 2020 lockdown period this
service was not the highest priority for most customers and so deliveries returned to being a two-day service. The next
day service was reinstated in the second quarter of 2021.
|
|
The company actively encourages all staff to undertake a range of further training, which it supports, and to participate
in quarterly company meetings and staff social events.
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Strategic Report
|
for the Year Ended 31 December 2021
|
|
POSITION OF THE COMPANY'S BUSINESS AT THE YEAR END
|
At the end of 2021, the company's balance sheet showed capital and reserves of £7.078 million compared with £7.216
million at the end of 2020..
|
|
On 4th October 2021 Mrs C Baker transferred 2,426 C shares to Mr G M Baker.
|
|
The company monitors all elements of working capital, being stock, debtors, creditors and cash, carefully throughout the
year.
|
|
ON BEHALF OF THE BOARD:
|
|
|
|
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Report of the Director
|
for the Year Ended 31 December 2021
|
|
|
The director presents his report with the financial statements of the company for the year ended 31 December 2021.
|
|
DIVIDENDS
|
Interim dividends totalling £160,527.52 were paid during the year as follows:
|
Ordinary C £1 shares £14.0962 per share
|
|
DIRECTOR
|
|
|
STATEMENT OF DIRECTOR'S RESPONSIBILITIES
|
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
|
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is required to: |
|
- | select suitable accounting policies and then apply them consistently; |
- | make judgements 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 company will continue in business. |
|
The director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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. |
|
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
|
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
|
AUDITORS
|
The auditors, Lindley Adams Limited Chartered Accountants, will be proposed for re-appointment at the forthcoming
Annual General Meeting.
|
|
ON BEHALF OF THE BOARD:
|
|
|
|
|
|
|
|
|
|
Report of the Independent Auditors to the Members of
|
CD (UK) Limited
|
|
|
Opinion
|
We have audited the financial statements of CD (UK) Limited (the 'company') for the year ended 31 December 2021 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 2021 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 Auditors' 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
|
In auditing the financial statements, we have concluded that the director's 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 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 director with respect to going concern are described in the relevant
sections of this report.
|
|
Other information
|
The director is responsible for the other information. The other information comprises the information in the Strategic
Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors
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 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.
|
|
Opinions on other matters 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 and the Report of the Director for the financial year for which the
financial statements are prepared is consistent with the financial statements; and
|
-
|
the Strategic Report and the Report of the Director have been prepared in accordance with applicable legal
requirements.
|
|
Matters on which we are required to report by exception
|
In the light of the 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 or the Report of the Director.
|
|
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 director's remuneration specified by law are not made; or
|
-
|
we have not received all the information and explanations we require for our audit.
|
Report of the Independent Auditors to the Members of
|
CD (UK) Limited
|
|
|
Responsibilities of director
|
As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has no realistic
alternative but to do so.
|
|
Auditors' 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 a Report of the Auditors 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.
|
|
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
|
|
As part of our audit, we determined a level for materiality and assessed the risk of material misstatement in the financial
statements. Based on our understanding of the company and discussions with the management, we gained an
understanding of the legal and regulatory framework applicable to the company and the industry in which it operates.
We identified the laws and regulations which we considered to have a direct effect on the financial statements and
considered that the most significant are the Companies Act 2006, Financial Reporting Standards and UK tax legislation.
|
|
The engagement partner assessed that the engagement team had the appropriate competence and capabilities to
identify or recognise non-compliance with the laws and regulations.
|
|
We enquired with management and those charged with governance as to any known instances of non-compliance or
suspected non-compliance with laws and regulations including fraud. We also designed specific appropriate audit
procedures including:
|
|
- Agreeing financial statement disclosures to supporting documentation.
|
- Analytical procedures to identify any unusual or unexpected relationships.
|
- Testing appropriateness of journal entries.
|
- Review of accounting estimates for potential bias.
|
- Review of minutes of meetings of those charged with governance.
|
- Enquire with management as to actual and potential litigation and claims.
|
- Review of correspondence.
|
|
We are not aware of any actual or suspected non-compliance with laws and regulations, and we are not responsible for
preventing or detecting non-compliance with all laws and regulations. The primary responsibility for the prevention and
detection of fraud rests with management and those charged with governance.
|
|
There are inherent limitations in audit procedures and there is an unavoidable risk that we may not have detected
material misstatements within the financial statements, even though the audit is properly planned and performed in
accordance with ISA's UK. The further removed non-compliance with laws and regulations are from the events and
transactions reflected in the financial statements, the less likely we are to become aware of it. The risk of not detecting
a material misstatement due to fraud is higher than the risk due to error as fraud may involve a deliberate concealment
or collusion.
|
|
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 Report of the Auditors.
|
Report of the Independent Auditors to the Members of
|
CD (UK) Limited
|
|
|
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 a Report of the Auditors 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
|
Statutory Auditor
|
28 Prescott Street
|
Halifax
|
West Yorkshire
|
HX1 2LG
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Statement of Comprehensive
|
Income
|
for the Year Ended 31 December 2021
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
|
Notes
|
£
|
£
|
|
|
TURNOVER
|
3
|
|
|
|
|
|
|
Cost of sales
|
(
|
)
|
(
|
)
|
|
GROSS PROFIT
|
|
|
|
|
|
|
Distribution costs
|
(
|
)
|
(
|
)
|
|
Administrative expenses
|
(
|
)
|
(
|
)
|
|
(133,111
|
)
|
(240,107
|
)
|
|
|
Other operating income
|
|
|
|
|
|
OPERATING PROFIT
|
5
|
|
|
|
|
|
|
Interest receivable and similar income
|
|
|
|
|
|
49,565
|
|
52,507
|
|
|
Amounts written off investments
|
7
|
-
|
|
(79,020
|
)
|
|
49,565
|
|
(26,513
|
)
|
|
|
Interest payable and similar expenses
|
8
|
(
|
)
|
(
|
)
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
|
|
(
|
)
|
|
|
Tax on profit/(loss)
|
9
|
(
|
)
|
(
|
)
|
|
PROFIT/(LOSS) FOR THE FINANCIAL YEAR
|
|
|
(
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Balance Sheet
|
31 December 2021
|
|
|
31.12.21
|
31.12.20
|
|
|
as restated
|
|
|
Notes
|
£
|
£
|
£
|
£
|
|
FIXED ASSETS
|
Intangible assets
|
12
|
|
|
|
|
|
Tangible assets
|
13
|
|
|
|
|
|
Investments
|
14
|
|
|
|
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
Stocks
|
15
|
|
|
|
|
|
Debtors
|
16
|
|
|
|
|
|
Cash at bank and in hand
|
|
|
|
|
|
|
|
|
|
|
CREDITORS
|
Amounts falling due within one year
|
17
|
|
|
|
|
|
NET CURRENT ASSETS
|
|
|
|
|
|
TOTAL ASSETS LESS CURRENT
LIABILITIES
|
|
|
|
|
|
|
CREDITORS
|
Amounts falling due after more than one
year
|
18
|
(
|
)
|
(
|
)
|
|
|
PROVISIONS FOR LIABILITIES
|
22
|
(
|
)
|
(
|
)
|
|
NET ASSETS
|
|
|
|
|
|
|
CAPITAL AND RESERVES
|
Called up share capital
|
23
|
|
|
|
|
|
Share premium
|
24
|
|
|
|
|
|
Capital redemption reserve
|
24
|
|
|
|
|
|
Retained earnings
|
24
|
|
|
6,734,298
|
|
|
SHAREHOLDERS' FUNDS
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Balance Sheet - continued
|
31 December 2021
|
|
|
|
The financial statements were approved by the director and authorised for issue on
|
|
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Statement of Changes in Equity
|
for the Year Ended 31 December 2021
|
|
|
Called up
|
|
Capital
|
|
|
share
|
|
Retained
|
|
Share
|
|
redemption
|
|
Total
|
|
capital
|
|
earnings
|
|
premium
|
|
reserve
|
|
equity
|
£
|
£
|
£
|
£
|
£
|
|
|
Balance at 1 January 2020
|
|
|
|
|
|
|
|
|
|
|
|
Prior year adjustment
|
-
|
|
(
|
)
|
-
|
|
-
|
|
(
|
)
|
|
As restated
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes in equity
|
Purchase of own shares
|
(70,265
|
)
|
(2,884,380
|
)
|
-
|
|
70,265
|
|
(2,884,380
|
)
|
|
Dividends
|
-
|
|
(
|
)
|
-
|
|
-
|
|
(
|
)
|
|
Total comprehensive income
|
-
|
|
(82,400
|
)
|
-
|
|
|
|
(82,400
|
)
|
|
Balance at 31 December 2020
|
16,268
|
|
6,706,399
|
|
389,707
|
|
|
|
7,188,751
|
|
|
Prior year adjustment
|
-
|
|
|
|
-
|
|
-
|
|
|
|
|
As restated
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes in equity
|
Dividends
|
-
|
|
(
|
)
|
-
|
|
-
|
|
(
|
)
|
|
Total comprehensive income
|
-
|
|
|
|
-
|
|
|
|
|
|
|
Balance at 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Cash Flow Statement
|
for the Year Ended 31 December 2021
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
|
Notes
|
£
|
£
|
|
Cash flows from operating activities
|
Cash generated from operations
|
1
|
(
|
)
|
|
|
|
Interest paid
|
(
|
)
|
(
|
)
|
|
Interest element of hire purchase payments
paid
|
(
|
)
|
(
|
)
|
|
Tax paid
|
(
|
)
|
(
|
)
|
|
Net cash from operating activities
|
(
|
)
|
|
|
|
|
Cash flows from investing activities
|
Purchase of tangible fixed assets
|
(
|
)
|
(
|
)
|
|
Purchase of fixed asset investments
|
(100
|
)
|
-
|
|
|
Sale of tangible fixed assets
|
|
|
(
|
)
|
|
Interest received
|
|
|
|
|
|
Net cash from investing activities
|
(
|
)
|
|
|
|
|
Cash flows from financing activities
|
New loans in year
|
|
|
|
|
|
Loan repayments in year
|
(
|
)
|
(
|
)
|
|
Amounts repaid to other loan creditor
|
(1,053,846
|
)
|
-
|
|
|
HP capital repayments in year
|
(
|
)
|
(
|
)
|
|
Amount introduced by directors
|
-
|
|
2,273,696
|
|
|
Amount withdrawn by directors
|
(59,389
|
)
|
(18,414
|
)
|
|
Share buyback
|
|
|
(
|
)
|
|
Equity dividends paid
|
(
|
)
|
(
|
)
|
|
Net cash from financing activities
|
(
|
)
|
|
|
|
|
(Decrease)/increase in cash and cash equivalents
|
(
|
)
|
|
|
|
Cash and cash equivalents at beginning
of year
|
2
|
|
|
2,486,339
|
|
|
|
Cash and cash equivalents at end of year
|
2
|
1,108,558
|
|
5,502,915
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Cash Flow Statement
|
for the Year Ended 31 December 2021
|
|
|
1.
|
RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Profit/(loss) before taxation
|
|
|
(
|
)
|
|
|
Depreciation charges
|
|
|
|
|
|
|
(Profit)/loss on disposal of fixed assets
|
(
|
)
|
|
|
|
|
Increase in provision for dilapidations
|
35,238
|
|
27,687
|
|
|
|
Write off fixed asset investment
|
-
|
|
79,020
|
|
|
|
Prior year adjustment to stock
|
-
|
|
(263,500
|
)
|
|
|
Finance costs
|
16,809
|
|
17,264
|
|
|
|
Finance income
|
(236
|
)
|
(5,651
|
)
|
|
184,237
|
|
(61,860
|
)
|
|
|
(Increase)/decrease in stocks
|
(
|
)
|
|
|
|
|
(Increase)/decrease in trade and other debtors
|
(
|
)
|
|
|
|
|
(Decrease)/increase in trade and other creditors
|
(
|
)
|
|
|
|
|
Cash generated from operations
|
(
|
)
|
|
|
|
|
2.
|
CASH AND CASH EQUIVALENTS
|
|
|
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of
these Balance Sheet amounts:
|
|
|
Year ended 31 December 2021
|
|
31.12.21
|
|
1.1.21
|
£
|
£
|
|
|
Cash and cash equivalents
|
1,108,558
|
|
5,502,915
|
|
|
|
Year ended 31 December 2020
|
|
31.12.20
|
|
1.1.20
|
|
as restated
|
|
£
|
£
|
|
|
Cash and cash equivalents
|
5,502,915
|
|
2,486,339
|
|
|
|
|
3.
|
ANALYSIS OF CHANGES IN NET FUNDS/(DEBT)
|
|
|
At 1.1.21
|
Cash flow
|
At 31.12.21
|
£
|
£
|
£
|
|
|
Net cash
|
|
|
Cash at bank and in hand
|
5,502,915
|
|
(4,394,357
|
)
|
1,108,558
|
|
|
5,502,915
|
|
(
|
)
|
1,108,558
|
|
|
|
Debt
|
|
Finance leases
|
(93,104
|
)
|
30,488
|
|
(62,616
|
)
|
|
|
Debts falling due within 1 year
|
(93,397
|
)
|
(205,173
|
)
|
(298,570
|
)
|
|
|
Debts falling due after 1 year
|
(1,106,569
|
)
|
307,276
|
|
(799,293
|
)
|
|
(1,293,070
|
)
|
132,591
|
|
(1,160,479
|
)
|
|
|
Total
|
4,209,845
|
|
(4,261,766
|
)
|
(51,921
|
)
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements
|
for the Year Ended 31 December 2021
|
|
|
1.
|
STATUTORY INFORMATION
|
|
|
CD (UK) Limited is a
|
|
|
The company's principal activity is that of the distribution of Corian and complementary products and services.
|
|
2.
|
ACCOUNTING POLICIES
|
|
|
Basis of preparing the financial statements
|
|
|
|
|
The financial statements are presented in sterling and are rounded to the nearest £.
|
|
The significant accounting policies applied in the preparation of these financial statements are set out below.
These policies have been consistently applied to all years presented unless otherwise stated.
|
|
|
Going concern
|
|
After reviewing the company's forecasts and projections, including consideration of the uncertainties arising from
the current difficult economic environment, the directors have a reasonable expectation that the company has
adequate resources to continue in operational existence for the foreseeable future. The company therefore
continues to adopt the going concern basis in preparing its financial statements.
|
|
|
Preparation of consolidated financial statements
|
The financial statements are exempt from containing consolidated accounts as the parent of a group under the Companies Act Section 405 and FRS 102 on the grounds that the subsidiary is held exclusively with a view to resale. |
|
|
Significant judgements and estimates
|
The preparation of the financial statements requires judgements, estimations and assumptions to be made that affect the reported values of assets, liabilities, revenues and expenses. The nature of estimation means that the actual outcomes could differ from those estimates. Significant areas of estimation for the company are the stock provision (£552,554), the provision for doubtful debts (£101,279) and the dilapidation provision (£310,688). |
|
|
Turnover
|
|
Turnover represents the fair value of consideration received or receivable net of value added tax.
|
|
Turnover from the sale of goods is recognised when the goods have been delivered.
|
|
Turnover from the provision of training services is recognised at the date of the training.
|
|
|
Intangible assets
|
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
|
|
|
|
|
Tangible fixed assets
|
|
|
|
Plant and machinery
|
-
|
|
|
Fixtures and equipment
|
-
|
|
|
Motor vehicles
|
-
|
|
|
Computer equipment
|
-
|
|
|
Tangible fixed assets are measured at cost less accumulated depreciation. |
|
|
Investments in subsidiaries
|
|
Other investments are measured at fair value, changes in fair value are recognised in the profit and loss.
|
|
Where fair value can not be measured reliably the investment is carried at cost less impairment.
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
2.
|
ACCOUNTING POLICIES - continued
|
|
|
Stocks
|
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
|
Stock is valued at the latest cost price at which the line of stock was bought prior to the year end. |
Obsolete stock is notified to the client by the supplier and any relevant stockholding is reduced to its net realisable value. Net realisable value is based on estimated selling prices. Other stock items are reviewed for obsolescence on a regular basis. |
|
|
Foreign currencies
|
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are recognised in the profit and loss account. |
|
|
Hire purchase and leasing commitments
|
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
|
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
|
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
|
|
Pension costs and other post-retirement benefits
|
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
|
|
Derivative financial instruments
|
|
Derivative financial instruments are recognised at fair value using a valuation technique with any gains or losses
being reported in profit or loss. Outstanding derivatives at reporting date are included under the appropriate
format heading depending on the nature of the derivative.
|
|
|
Provisions
|
|
Provisions are recognised when the Company has a present obligation as a result of a past event, it is more
likely than not that an outflow of resources will be required to settle the obligation, and the amount can be
reliably estimated.
|
|
|
Taxation
|
|
Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the
current or past reporting periods. It is measured at the amount expected to be paid or received using the tax
rates and laws that have been enacted or substantively enacted by the balance sheet date.
|
|
|
Deferred taxation
|
|
Deferred tax represents the future tax consequence of transactions and events recognised in the financial
statements of current and previous periods. It is recognised in respect of all timing differences that have
originated but not reversed at the balance sheet date.
|
|
|
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the
balance sheet date that are expected to apply to the reversal of timing differences.
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
3.
|
TURNOVER
|
|
|
The turnover and profit (2020 - loss) before taxation are attributable to the one principal activity of the company.
|
|
|
An analysis of turnover by class of business is given below:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
An analysis of turnover by geographical market is given below:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
United Kingdom
|
|
|
|
|
|
|
Europe
|
|
|
|
|
|
|
Rest of world
|
104,301
|
|
135,235
|
|
|
|
|
|
|
|
|
4.
|
EMPLOYEES AND DIRECTORS
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Wages and salaries
|
|
|
|
|
|
|
Social security costs
|
|
|
|
|
|
|
Other pension costs
|
|
|
|
|
|
|
|
|
|
|
|
|
The average number of employees during the year was as follows:
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
|
|
Manufacturing
|
2
|
|
2
|
|
|
|
Distribution
|
5
|
|
8
|
|
|
|
Administration
|
17
|
|
23
|
|
|
|
Sales & marketing
|
26
|
|
29
|
|
|
|
|
|
|
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Directors' remuneration
|
|
|
|
|
|
|
Directors' pension contributions to money purchase schemes
|
|
|
|
|
|
|
|
The number of directors to whom retirement benefits were accruing was as follows:
|
|
|
Money purchase schemes
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
4.
|
EMPLOYEES AND DIRECTORS - continued
|
|
|
Directors' remuneration includes benefits in kind.
|
|
5.
|
OPERATING PROFIT
|
|
|
The operating profit is stated after charging/(crediting):
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Hire of plant and machinery
|
|
|
|
|
|
|
Other operating leases
|
|
|
|
|
|
|
Depreciation - owned assets
|
|
|
|
|
|
|
Depreciation - assets on hire purchase contracts
|
|
|
|
|
|
|
(Profit)/loss on disposal of fixed assets
|
(
|
)
|
|
|
|
|
Computer software amortisation
|
|
|
|
|
|
|
Auditors' remuneration
|
|
|
|
|
|
|
Foreign exchange differences
|
(
|
)
|
(
|
)
|
|
|
6.
|
IMPAIREMENT OF FINANCIAL ASSET
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Intelligent Appliance Ltd loan
|
(109,090
|
)
|
-
|
|
|
|
7.
|
AMOUNTS WRITTEN OFF INVESTMENTS
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
VARM Ltd
|
-
|
|
79,020
|
|
|
|
8.
|
INTEREST PAYABLE AND SIMILAR EXPENSES
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Loan interest
|
|
|
|
|
|
|
Hire purchase
|
|
|
|
|
|
|
|
|
|
|
|
9.
|
TAXATION
|
|
|
Analysis of the tax charge
|
|
The tax charge on the profit for the year was as follows:
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Current tax:
|
|
UK corporation tax
|
|
|
|
|
|
|
|
Deferred tax provision change
|
(
|
)
|
(
|
)
|
|
|
Tax on profit/(loss)
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
9.
|
TAXATION - continued
|
|
|
Reconciliation of total tax charge included in profit and loss
|
|
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is
explained below:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Profit/(loss) before tax
|
|
|
(
|
)
|
|
|
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of
|
|
|
(
|
)
|
|
|
|
Effects of:
|
|
Expenses not deductible for tax purposes
|
|
|
|
|
|
|
Depreciation in excess of capital allowances
|
|
|
|
|
|
|
Group relief losses received
|
(20,727
|
)
|
-
|
|
|
|
Deferred tax
|
(2,580
|
)
|
(19,211
|
)
|
|
|
Total tax charge
|
10,369
|
|
10,724
|
|
|
|
10.
|
DIVIDENDS
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Ordinary A shares of £1 each
|
|
Interim
|
|
|
|
|
|
|
Ordinary B shares of £1 each
|
|
Interim
|
-
|
|
7,397
|
|
|
|
Ordinary C shares of £1 each
|
|
Interim
|
|
|
|
|
|
|
|
|
|
|
|
11.
|
PRIOR YEAR ADJUSTMENT
|
|
The prior year figures have been restated in respect of stock value changes and the write off of overpaid debts due to the company. |
|
12.
|
INTANGIBLE FIXED ASSETS
|
|
Computer
|
|
software
|
£
|
|
|
COST
|
|
At 1 January 2021
|
|
and 31 December 2021
|
|
|
|
|
AMORTISATION
|
|
At 1 January 2021
|
|
|
|
|
Amortisation for year
|
|
|
|
|
At 31 December 2021
|
|
|
|
|
NET BOOK VALUE
|
|
At 31 December 2021
|
|
|
|
|
At 31 December 2020
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
13.
|
TANGIBLE FIXED ASSETS
|
|
Fixtures
|
|
|
Plant and
|
|
and
|
|
Motor
|
|
Computer
|
|
|
machinery
|
|
equipment
|
|
vehicles
|
|
equipment
|
|
Totals
|
£
|
£
|
£
|
£
|
£
|
|
|
COST
|
|
At 1 January 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions
|
|
|
|
|
|
|
|
|
|
|
|
|
At 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
DEPRECIATION
|
|
At 1 January 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge for year
|
|
|
|
|
|
|
|
|
|
|
|
|
At 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
NET BOOK VALUE
|
|
At 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
At 31 December 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
|
|
Fixtures
|
|
|
Plant and
|
|
and
|
|
Motor
|
|
|
machinery
|
|
equipment
|
|
vehicles
|
|
Totals
|
£
|
£
|
£
|
£
|
|
|
COST
|
|
At 1 January 2021
|
|
and 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
DEPRECIATION
|
|
At 1 January 2021
|
|
|
|
|
|
|
|
|
|
|
Charge for year
|
|
|
|
|
|
|
|
|
|
|
At 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
NET BOOK VALUE
|
|
At 31 December 2021
|
|
|
|
|
|
|
|
|
|
|
At 31 December 2020
|
|
|
|
|
|
|
|
|
|
|
14.
|
FIXED ASSET INVESTMENTS
|
|
Shares in
|
|
group
|
|
undertakings
|
£
|
|
|
COST
|
|
Additions
|
|
|
|
|
At 31 December 2021
|
|
|
|
|
NET BOOK VALUE
|
|
At 31 December 2021
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
14.
|
FIXED ASSET INVESTMENTS - continued
|
|
|
The company's investments at the Balance Sheet date in the share capital of companies include the following:
|
|
|
|
|
Registered office:
Clockwise Offices, Greek Street, Leeds, LS1 5SH
|
|
Nature of business:
|
|
%
|
|
Class of shares:
|
holding
|
|
|
|
|
|
|
31.12.21
|
|
£
|
|
|
|
Aggregate capital and reserves
|
(
|
)
|
|
|
Loss for the year
|
(
|
)
|
|
|
15.
|
STOCKS
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Stocks
|
|
|
|
|
|
|
16.
|
DEBTORS
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Amounts falling due within one year:
|
|
Trade debtors
|
|
|
|
|
|
|
Other debtors
|
|
|
|
|
|
|
Directors' pension scheme
|
-
|
|
85,220
|
|
|
|
Forge House (Rufforth) Ltd
|
916,266
|
|
410,218
|
|
|
|
Intelligent Appliance Ltd
|
878,128
|
|
-
|
|
|
|
Directors' current accounts
|
1,376,677
|
|
1,317,287
|
|
|
|
Tax
|
|
|
|
|
|
|
Prepayments
|
|
|
|
|
|
|
VAT
|
(31,808
|
)
|
-
|
|
|
|
|
|
|
|
|
|
Amounts falling due after more than one year:
|
|
Recoverable tax
|
707,884
|
|
688,550
|
|
|
|
|
Aggregate amounts
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
17.
|
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Bank loans and overdrafts (see note 19)
|
|
|
|
|
|
|
Other loans (see note 19)
|
|
|
|
|
|
|
Hire purchase contracts (see note 20)
|
|
|
|
|
|
|
Trade creditors
|
|
|
|
|
|
|
Tax
|
|
|
|
|
|
|
Social security and other taxes
|
|
|
|
|
|
|
VAT
|
348,265
|
|
1,071,299
|
|
|
|
Other creditors
|
|
|
|
|
|
|
Directors' current accounts
|
-
|
|
1,053,845
|
|
|
|
Accrued expenses
|
|
|
|
|
|
|
|
|
|
|
|
18.
|
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Bank loans (see note 19)
|
|
|
|
|
|
|
Other loans (see note 19)
|
|
|
|
|
|
|
Hire purchase contracts (see note 20)
|
|
|
|
|
|
|
|
|
|
|
|
19.
|
LOANS
|
|
|
An analysis of the maturity of loans is given below:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Amounts falling due within one year or on demand:
|
|
Bank loans
|
|
|
|
|
|
|
Other loans
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts falling due between one and two years:
|
|
Bank loans - 1-2 years
|
|
|
|
|
|
|
Other loans - 1-2 years
|
51,017
|
|
|
|
|
|
|
|
|
|
|
|
Amounts falling due between two and five years:
|
|
Bank loans - 2-5 years
|
|
|
|
|
|
|
Other loans - 2-5 years
|
|
|
|
|
|
|
|
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
20.
|
LEASING AGREEMENTS
|
|
|
Minimum lease payments fall due as follows:
|
|
|
Hire purchase contracts
|
|
|
31.12.21
|
|
31.12.20
|
|
|
as restated
|
|
£
|
£
|
|
|
Gross obligations repayable:
|
|
Within one year
|
|
|
|
|
|
|
Between one and five years
|
|
|
|
|
|
|
|
|
|
|
|
|
Finance charges repayable:
|
|
Within one year
|
|
|
|
|
|
|
Between one and five years
|
|
|
|
|
|
|
|
|
|
|
|
|
Net obligations repayable:
|
|
Within one year
|
|
|
|
|
|
|
Between one and five years
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-cancellable
|
operating leases
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Within one year
|
|
|
|
|
|
|
Between one and five years
|
|
|
|
|
|
|
|
|
|
|
|
21.
|
SECURED DEBTS
|
|
|
The following secured debts are included within creditors:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Bank loans
|
|
|
|
|
|
|
Other loans
|
|
|
|
|
|
|
Hire purchase contracts
|
62,616
|
|
93,104
|
|
|
|
|
|
|
|
|
|
The bank loan is secured by a fixed and floating charge over all the company's assets.
|
|
Other loans includes a loan from the pension scheme which is secured on the shareholding of the director, GM
Baker.
|
|
The hire purchase creditors are secured on the relevant assets.
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
22.
|
PROVISIONS FOR LIABILITIES
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Deferred tax
|
|
Accelerated capital allowances
|
|
|
|
|
|
|
Dilapidation provision
|
310,688
|
|
275,450
|
|
|
|
|
|
|
|
|
|
Dilapidati
|
|
|
Deferred
|
|
on
|
|
|
tax
|
|
provision
|
|
£
|
£
|
|
|
Balance at 1 January 2021
|
|
|
|
|
|
|
Provided during year
|
(
|
)
|
|
|
|
|
Balance at 31 December 2021
|
|
|
|
|
|
|
The dilapidation provision is an estimate by the directors of the potential costs involved in putting the leased premises back to their original state at the end of the lease period. |
|
23.
|
CALLED UP SHARE CAPITAL
|
|
|
|
|
|
Allotted, issued and fully paid:
|
|
Number:
|
Class:
|
Nominal
|
31.12.21
|
|
31.12.20
|
|
value:
|
|
as restated
|
|
£
|
£
|
|
|
|
Ordinary A
|
£1
|
4,880
|
|
4,880
|
|
|
|
|
Ordinary C
|
£1
|
11,388
|
|
11,388
|
|
|
16,268
|
|
16,268
|
|
|
|
24.
|
RESERVES
|
|
Capital
|
|
|
Retained
|
|
Share
|
|
redemption
|
|
|
earnings
|
|
premium
|
|
reserve
|
|
Totals
|
£
|
£
|
£
|
£
|
|
|
|
At 1 January 2021
|
|
|
|
|
|
|
7,172,483
|
|
|
|
Prior year adjustment
|
|
|
|
|
|
|
|
|
|
|
|
Profit for the year
|
|
|
|
|
|
|
Dividends
|
(
|
)
|
(
|
)
|
|
|
At 31 December 2021
|
|
|
|
|
|
|
7,062,241
|
|
|
CD (UK) Limited (Registered number: 02905619)
|
|
Notes to the Financial Statements - continued
|
for the Year Ended 31 December 2021
|
|
|
25.
|
DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES
|
|
|
The following advances and credits to a director subsisted during the years ended 31 December 2021 and
31 December 2020:
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
|
|
Balance outstanding at start of year
|
|
|
|
|
|
|
Amounts advanced
|
|
|
|
|
|
|
Amounts repaid
|
|
|
|
|
|
|
Amounts written off
|
-
|
|
-
|
|
|
|
Amounts waived
|
-
|
|
-
|
|
|
|
Balance outstanding at end of year
|
|
|
|
|
|
|
Loans provided to the director of the company are interest free and repayable on demand. |
|
26.
|
RELATED PARTY DISCLOSURES
|
|
|
During the year, total dividends of £104,790 (2020 - £26,437) were paid to the directors
.
|
|
|
During the year the company entered into transactions with companies/individuals which were under the control
of the directors, their families or shareholders of the company. These transactions are considered to have been
made under normal market conditions and related to the following:
|
|
|
|
|
31.12.21
|
|
31.12.20
|
|
as restated
|
|
£
|
£
|
|
|
Loan interest paid - pension scheme
|
8,459
|
|
10,005
|
|
|
|
Rent - Forge House (Rufforth) Ltd
|
115,126
|
|
114,952
|
|
|
|
Amount due from related parties - Forge House (Rufforth) Ltd & C Baker
|
|
|
|
|
|
|
Amount due to related party - pension scheme
|
|
|
|
|
|
|
|
Loans to and from related parties are unsecured, interest free & repayable on demand.
|
|
|
In September 2019 the company entered into an omnibus guarantee for all borrowings made by Forge House (Rufforth) Limited, a company controlled by G M Baker the director and his wife.
|
|
27.
|
ULTIMATE CONTROLLING PARTY
|
|
|
|