Company Registration No. 05089968 (England and Wales)
MATHYS ORTHOPAEDICS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2018
PAGES FOR FILING WITH REGISTRAR
MATHYS ORTHOPAEDICS LIMITED
INDEPENDENT AUDITOR'S REPORT TO MATHYS ORTHOPAEDICS LIMITED
UNDER SECTION 449 OF THE COMPANIES ACT 2006
1
Qualified opinion on financial statements
We have audited the financial statements of Mathys Orthopaedics Limited (the 'company') for the year ended 31 December 2018 which comprise , the balance sheet, the statement of changes in equity and notes to the financial statements, including a summary of significant accounting policies.
The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102
The Financial Reporting Standard applicable in the UK and Republic of Ireland
(United Kingdom Generally Accepted Accounting Practice).
In our opinion, except for the effects of the matter described in the Basis for Qualified Opinion paragraph, the financial statements:
-
give a true and fair view of the state of the company's affairs as at 31 December 2018 and of its loss 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 qualified opinion
The company recognises a deferred tax asset on its Balance Sheet as at 31 December 2018. The asset has arisen from tax losses and amounts to £714,741. The asset will only be realised should the company make sufficient taxable profits in the future. At current tax rates, profits of £4.2m will be needed to realise the asset. We have been unable to obtain sufficient appropriate audit evidence to satisfy ourselves that this level of profits will be achieved and given this material uncertainty, we are unable to form an opinion on the recoverability of this asset.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's
responsibilities for the audit of the financial statements
section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard
, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
-
the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
-
the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue
.
MATHYS ORTHOPAEDICS LIMITED
INDEPENDENT AUDITOR'S REPORT TO MATHYS ORTHOPAEDICS LIMITED (CONTINUED)
UNDER SECTION 449 OF THE COMPANIES ACT 2006
2
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the
financial statements
does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit
:
-
the information given in the directors' r
eport for the financial year for which the financial statements are prepared is consistent with the financial statements
; and
-
the directors' report has 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 identifie
d
material misstatements in the directors'
r
eport
.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of directors' remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit
Responsibilities of directors
As explained more fully in the directors'
r
esponsibilities
s
tatement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
MATHYS ORTHOPAEDICS LIMITED
INDEPENDENT AUDITOR'S REPORT TO MATHYS ORTHOPAEDICS LIMITED (CONTINUED)
UNDER SECTION 449 OF THE COMPANIES ACT 2006
3
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the
Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities
.
This description forms part of our auditor’s report.
In the previous accounting period the directors of the company took advantage of audit exemption under s477 of the Companies Act. The prior period financial statements were therefore not audited.
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
C J Goodhead FCA (Senior Statutory Auditor)
for and on behalf of Knight Goodhead Limited
30 September 2019
Chartered Accountants
Statutory Auditor
7 Bournemouth Road
Chandler's Ford
Eastleigh
Hampshire
SO53 3DA
MATHYS ORTHOPAEDICS LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2018
31 December 2018
4
2018
2017
Note
£
£
£
£
Fixed assets
Tangible assets
2
419,525
506,237
Current assets
Stocks
3
1,480,625
1,530,871
Debtors
4
514,141
456,193
Cash at bank and in hand
193,923
104,199
2,188,689
2,091,263
Creditors: amounts falling due within one year
5
(650,917)
(677,265)
Net current assets
1,537,772
1,413,998
Total assets less current liabilities
1,957,297
1,920,235
Creditors: amounts falling due after more than one year
6
(2,218,000)
(2,218,000)
Deferred tax asset
4
714,741
810,539
Net assets
454,038
512,774
Capital and reserves
Called up share capital
9
700,000
700,000
Other reserves
1,100,000
1,100,000
Profit and loss reserves
(1,345,962)
(1,287,226)
Total equity
454,038
512,774
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
MATHYS ORTHOPAEDICS LIMITED
BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2018
31 December 2018
5
The financial statements were approved by the board of directors and authorised for issue on 30 September 2019 and are signed on its behalf by:
U H Fluck
Director
Company Registration No. 05089968
MATHYS ORTHOPAEDICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2018
6
1
Accounting policies
Company information
Mathys Orthopaedics Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
6 Riverwey Industrial Park, Newman Lane, Alton, Hampshire, GU34 2QL.
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 is reliant on the continued financial support of the its parent company, Mathys AG Bettlach. The parent company has confirmed that they have no intention of withdrawing that financial support in the foreseeable future. The accounts have therefore been prepared on a going concern basis.
1.2
Turnover
Turnover represents the invoiced value of sales excluding value added tax and arises solely from activities within the United Kingdom.
1.3
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.
Tangible fixed assets are capitalised for ongoing use within the company, where the individual cost of the asset exceeds £100.
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:
Surgical instrument
20% straight line
Office equipment
33% straight line
Course material
20% 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
.
MATHYS ORTHOPAEDICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2018
1
Accounting policies (Continued)
7
1.4
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
1.5
Cash and cash equivalents
Cash at bank and in hand
are basic financial assets
and
include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.6
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
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.
1.8
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.
1.9
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
MATHYS ORTHOPAEDICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2018
1
Accounting policies (Continued)
8
1.10
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.
2
Tangible fixed assets
Surgical instrument
Office equipment
Course material
Total
£
£
£
£
Cost
At 1 January 2018
1,542,176
23,574
2,098
1,567,848
Additions
110,198
2,025
-
112,223
GSM additions
4,721
-
-
4,721
Disposals
(139,316)
(2,386)
-
(141,702)
At 31 December 2018
1,517,779
23,213
2,098
1,543,090
Depreciation and impairment
At 1 January 2018
1,037,161
22,352
2,098
1,061,611
Depreciation charged in the year
168,206
1,030
-
169,236
GSM depreciation
3,251
-
-
3,251
Eliminated in respect of disposals
(111,398)
(2,386)
-
(113,784)
At 31 December 2018
1,100,471
20,996
2,098
1,123,565
Carrying amount
At 31 December 2018
417,308
2,217
-
419,525
At 31 December 2017
505,016
1,221
-
506,237
3
Stocks
2018
2017
£
£
Stocks
1,480,625
1,530,871
MATHYS ORTHOPAEDICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2018
9
4
Debtors
2018
2017
Amounts falling due within one year:
£
£
Trade debtors
468,306
427,321
Other debtors
45,835
28,872
514,141
456,193
5
Creditors: amounts falling due within one year
2018
2017
£
£
Trade creditors
361,265
442,169
Taxation and social security
145,757
133,040
Other creditors
143,895
102,056
650,917
677,265
6
Creditors: amounts falling due after more than one year
2018
2017
£
£
Other creditors
2,218,000
2,218,000
7
Retirement benefit schemes
Defined contribution schemes
The company operates a defined contribution pension scheme on behalf of its employees. The assets of the scheme are held separately from those of the company in an independently administered fund. The annual commitment under the scheme is for contributions of £45,337(2017: £44,499).
MATHYS ORTHOPAEDICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2018
10
8
Guarantees & other financial commitments
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases as follows:
2018
£
Total financial commitment
98,289
9
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
700,000 ordinary shares of £1 each
700,000
700,000
700,000
700,000
10
Parent company
The company's parent company is Mathys AG Bettlach, a company incorporated in Switzerland.
11
Employees
The average monthly number of persons (including directors) employed by the company during the year was 10 (2017 - 10).
2018-12-31
2018-01-01
false
CCH Software
CCH Accounts Production 2019.100
No description of principal activity
30 September 2019
This audit opinion is unqualified
H Mathys
U H Fluck
MB Reinmann
R Koch
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