W & G Baird Limited 31/12/2018 iXBRL
W & G Baird Limited 31/12/2018 iXBRL
Company registration number:
NI016666
Financial statements
Contents
Directors and other information
Strategic report
Directors report
Independent auditor's report to the members
Statement of income and retained earnings
Statement of financial position
Statement of cash flows
Notes to the financial statements
Directors and other information
Directors | ||
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Secretary |
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Company number |
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Registered office |
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Business address |
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Auditor |
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22 Great Victoria Street | ||
Belfast | ||
BT2 7BA | ||
Bankers |
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5th Floor | ||
1 Donegall Square South | ||
Belfast | ||
BT1 5LR | ||
Strategic report
Year ended 31 December 2018
Review of the business
The principal activity of the business remains the printing of magazines, brochures, books and promotional material for clients across Ireland and the U.K.
Results and performance
Both the level of business and the year end position were considered satisfactory and the directors expect that the current level of activity will be improved in the foreseeable future.
Risk and uncertainties
The company is exposed to a variety of risks including credit risk, currency risk, raw material price control risk and risk inherent in the general printing environment.
The company's management endeavour to mitigate these risks by implementing regular strategic and operational reviews.
Credit risk
The nature of the business necessitates the provision of customer credit facilities. The company has implemented policies through its credit control procedures to manage this risk and ensure appropriate credit checks are performed on customers when sales are made.
Currency risk
The company operates in several currency markets and uses both natural hedges and banking financial instruments as part of its overall currency risk strategy.
Market risk
The company continually monitors and reviews market penetration and customer profitability and works to generate new access to market opportunities wherever possible.
Key performance indicators
The company uses several key performance indicators to manage the day to day running of the business. The directors do not feel however that the use of KPI's in the statutory accounts are necessary currently.
Future development
The company recognises the need to constantly review its market offering and will continue to invest through the purchase and development of modern technology. The company also realises that alongside new equipment, there is a need to continually develop internal processes and intends to recruit and develop suitably qualified staff to this end.
Capital expenditure
The company constantly researches and invests in ways to improve the consistency and quality of its printed products. An agreement has been reached with Komori UK to further upgrade current press room capability in 2019 with the addition of a new Komori printing press to include camera control quality monitoring and improvement systems.
Brexit
The company is monitoring the ongoing events relating to BREXIT for any potential impact this may have on the business. We will continue to manage any potential business challenges that may arise to maintain the ability of the company to support our customers and trading partners with the high standard of service we strive to deliver.
This report was approved by the board of directors on 14 June 2019 and signed on behalf of the board by:
Director
Director
Directors report
Year ended 31 December 2018
The directors present their report and the financial statements of the company for the year ended 31 December 2018.
Directors
The directors who served the company during the year were as follows:
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Dividends
Particulars of recommended dividends are detailed in note 11 to the financial statements.
Future developments
The Company recognises the need to constantly review its market offering and will continue to invest and develop internal processes through the purchase of modern technology and equipment ensuring it maintains a competitive product offering to all customers.
Financial instruments
W & G Baird can be exposed to price risk because of changes in commodity prices.
Other matters
The directors ongoing commitment is to continue to pursue a strategy of continual capital investment. After the year end one of the main printing press operated by the company proved unreliable. The directors decided to replace this unreliable printing press with a new state of the art Komori printing press which ensures the company has the most up to date and reliable production facility in Ireland for the future.
Disclosure of information in the strategic report.
Directors responsibilities statement
The directors are responsible for preparing the strategic report, directors report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period.
In preparing these financial statements, the directors are required to:
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select suitable accounting policies and then apply them consistently;
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make judgments and accounting estimates that are reasonable and prudent; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
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so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.
This report was approved by the board of directors on
14 June 2019
and signed on behalf of the board by:
Director
Director
Independent auditor's report to the members of
Year ended 31 December 2018
Opinion
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
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the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
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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.
Other Information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 the audit:
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the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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the strategic report and the directors' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
Responsibilities of directors
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an 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 and Statutory Auditor
22 Great Victoria Street
Belfast
BT2 7BA
Statement of income and retained earnings
Year ended 31 December 2018
2018 | 2017 | |||||
Note | £ | £ | ||||
Turnover | 4 |
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Cost of sales |
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Gross profit |
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Distribution costs |
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Administrative expenses |
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Other operating income | 5 |
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Operating profit | 6 |
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Interest payable and similar expenses | 8 |
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Profit before taxation |
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Tax on profit | 9 |
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Profit for the financial year and total comprehensive income |
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Dividends declared and paid or payable during the year | 11 |
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Retained earnings at the start of the year |
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Retained earnings at the end of the year |
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All the activities of the company are from continuing operations.
Statement of financial position
31 December 2018
2018 | 2017 | ||||||||
Note | £ | £ | £ | £ | |||||
Fixed assets | |||||||||
Tangible assets | 12 |
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Current assets | |||||||||
Stocks | 13 |
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Debtors | 14 |
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Cash at bank and in hand |
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Creditors: amounts falling due | |||||||||
within one year | 16 |
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Net current assets |
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Total assets less current liabilities |
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Creditors: amounts falling due | |||||||||
after more than one year | 17 |
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Provisions for liabilities | 19 |
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Net assets |
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Capital and reserves | |||||||||
Called up share capital | 24 |
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Share premium account | 25 |
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Profit and loss account | 25 |
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Shareholders funds |
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These financial statements were approved by the
board of directors
and authorised for issue on
14 June 2019
, and are signed on behalf of the board by:
Director
Director
Company registration number:
NI016666
Statement of cash flows
Year ended 31 December 2018
2018 | 2017 | ||||
Note | £ | £ | |||
Cash flows from operating activities | |||||
Profit for the financial year |
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Adjustments for: | |||||
Depreciation of tangible assets |
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Government grant income |
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Interest payable and similar expenses |
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Gain/(loss) on disposal of tangible assets |
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Tax on profit |
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Accrued expenses/(income) |
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Changes in: | |||||
Stocks |
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Trade and other debtors |
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Trade and other creditors |
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Cash generated from operations |
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Interest paid |
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Tax paid |
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Net cash from operating activities |
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Cash flows from investing activities | |||||
Purchase of tangible assets |
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Proceeds from sale of tangible assets |
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Net cash used in investing activities |
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Cash flows from financing activities | |||||
Proceeds from borrowings |
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Repayments of borrowings |
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Government grant income |
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Payment of finance lease liabilities |
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Equity dividends paid |
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Net cash used in financing activities |
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Net increase/(decrease) in cash and cash equivalents |
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Cash and cash equivalents at beginning of year | 15 | (630,954) | (573,397) | ||
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Cash and cash equivalents at end of year | 15 |
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Notes to the financial statements
Year ended 31 December 2018
1.
General information
The company is a private company limited by shares, registered in Northern Ireland. The address of the registered office is W & G Baird Ltd, Newpark Industrial Estate, Greystone Press, Caulside Drive, Antrim, BT41 2RS.
2.
Statement of compliance
3.
Accounting policies
Basis of preparation
Judgements and key sources of estimation uncertainty
Turnover
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer, usually on despatch of the goods; the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Taxation
Foreign currencies
Operating leases
Tangible assets
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Plant and machinery | - |
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Motor vehicles | - |
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Impairment
Stocks
Hire purchase and finance leases
Government grants
Provisions
Financial instruments
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
Defined contribution plans
4.
Turnover
Turnover arises from:
2018 | 2017 | |||
£ | £ | |||
Sale of goods |
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The turnover is attributable to the one principal activity of the company. An analysis of turnover by the geographical markets that substantially differ from each other is given below:
2018 | 2017 | |||
£ | £ | |||
UK |
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ROI |
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5.
Other operating income
2018 | 2017 | |||
£ | £ | |||
Government grant income |
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Other operating income |
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6.
Operating profit
Operating profit is stated after charging/(crediting):
2018 | 2017 | ||||
£ | £ | ||||
Depreciation of tangible assets |
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(Gain)/loss on disposal of tangible assets |
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Cost of stocks recognised as an expense |
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Impairment of trade debtors | 120,248 | 137,288 | |||
Operating lease rentals |
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Foreign exchange differences |
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Fees payable for the audit of the financial statements |
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7.
Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
2018 | 2017 | |||
Production staff |
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Distribution staff |
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Administrative staff |
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_________ | _________ | |||
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The aggregate payroll costs incurred during the year were:
2018 | 2017 | |||
£ | £ | |||
Wages and salaries |
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Social security costs |
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Other pension costs |
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_________ | _________ | |||
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8.
Interest payable and similar expenses
2018 | 2017 | ||||
£ | £ | ||||
Bank loans and overdrafts |
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Other loans made to the company: | |||||
Finance leases and hire purchase contracts |
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Other interest payable and similar expenses | - |
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_________ | _________ | ||||
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9.
Tax on profit
Major components of tax expense
2018 | 2017 | |||
£ | £ | |||
Current tax: | ||||
UK current tax expense |
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Adjustments in respect of previous periods | - |
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Deferred tax: | ||||
Origination and reversal of timing differences |
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_________ | _________ | |||
Tax on profit |
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Reconciliation of tax expense
The tax assessed on the profit for the year is higher than (2017: lower than) the
standard rate of corporation tax in the UK
of
19.00
% (2017: 19.00%).
2018 | 2017 | |||
£ | £ | |||
Profit before taxation |
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_________ | _________ | |||
Profit multiplied by rate of tax |
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Adjustments in respect of prior periods | - |
(
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Effect of expenses not deductible for tax purposes |
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Effect of capital allowances and depreciation | - |
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Effect of different UK tax rates on some earnings | - |
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_________ | _________ | |||
Tax on profit |
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_________ | _________ | |||
10.
Earnings per share
Basic earnings/(loss) per share
The earnings/(loss) and weighted average number of shares used in the calculation of basic earnings/(loss) per share are as follows:
2018 | 2017 | |||
£ | £ | |||
Profit for the year attributable to the owners of the company |
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_________ | _________ | |||
Diluted earnings/(loss) per share
The earnings/(loss) and weighted average number of shares used in the calculation of diluted earnings/(loss) per share are as follows:
2018 | 2017 | |||
£ | £ | |||
Earnings/(loss) used in calculation of basic earnings/(loss) per share |
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_________ | _________ | |||
11.
Dividends
Equity dividends
2018 | 2017 | |||
£ | £ | |||
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year) |
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_________ | _________ | |||
12.
Tangible assets
Plant and machinery | Motor vehicles | Total | ||
£ | £ | £ | ||
Cost | ||||
At 1 January 2018 |
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Additions |
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- |
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Disposals | - |
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_________ | _________ | _________ | ||
At 31 December 2018 |
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Depreciation | ||||
At 1 January 2018 |
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Charge for the year |
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Disposals | - |
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At 31 December 2018 |
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Carrying amount | ||||
At 31 December 2018 |
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At 31 December 2017 |
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Obligations under finance leases
Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:
Plant and machinery | ||
£ | ||
At 31 December 2018 |
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At 31 December 2017 |
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13.
Stocks
2018 | 2017 | |||
£ | £ | |||
Raw materials |
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Work in progress |
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_________ | _________ | |||
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_________ | _________ | |||
14.
Debtors
2018 | 2017 | |||
£ | £ | |||
Trade debtors |
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Amounts owed by group undertakings |
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Prepayments and accrued income |
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Other debtors |
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_________ | _________ | |||
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_________ | _________ | |||
15.
Cash and cash equivalents
2018 | 2017 | |||
£ | £ | |||
Cash at bank and in hand |
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Bank overdrafts |
(
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_________ | _________ | |||
(
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_________ | _________ | |||
16.
Creditors: amounts falling due within one year
2018 | 2017 | |||
£ | £ | |||
Bank loans and overdrafts |
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Trade creditors |
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Accruals and deferred income |
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Corporation tax |
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Social security and other taxes |
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Obligations under finance leases |
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Other creditors |
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_________ | _________ | |||
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_________ | _________ | |||
17.
Creditors: amounts falling due after more than one year
2018 | 2017 | |||
£ | £ | |||
Obligations under finance leases |
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Other creditors |
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_________ | _________ | |||
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_________ | _________ | |||
18.
Obligations under finance leases
Company lessee
The total future minimum lease payments under finance lease agreements are as follows:
2018 | 2017 | |||
£ | £ | |||
Not later than 1 year |
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Later than 1 year and not later than 5 years |
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Later than 5 years |
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_________ | _________ | |||
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_________ | _________ | |||
Present value of minimum lease payments |
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_________ | _________ | |||
19.
Provisions
Deferred tax (note 20) | Total | ||
£ | £ | ||
At 1 January 2018 |
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Additions |
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_________ | _________ | ||
At 31 December 2018 |
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_________ | _________ | ||
20.
Deferred tax
The deferred tax included in the statement of financial position is as follows:
2018 | 2017 | |||
£ | £ | |||
Included in provisions (note 19) |
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_________ | _________ | |||
The deferred tax account consists of the tax effect of timing differences in respect of:
2018 | 2017 | |||
£ | £ | |||
Accelerated capital allowances |
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_________ | _________ | |||
21.
Employee benefits
The amount recognised in profit or loss in relation to defined contribution plans was £
25,595
(2017: £
29,522
).
22.
Government grants
The amounts recognised in the financial statements for government grants are as follows:
2018 | 2017 | |||
£ | £ | |||
Recognised in other operating income: | ||||
Government grants released to profit or loss |
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_________ | _________ | |||
23.
Financial instruments
The carrying amount for each category of financial instrument is as follows:
2018 | 2017 | |||
£ | £ | |||
Financial assets that are debt instruments measured at amortised cost | ||||
Trade debtors | 3,617,115 | 4,130,473 | ||
Other debtors | 93,014 | 424,453 | ||
Amounts owed by group undertaking | 4,270,776 | 4,316,867 | ||
Cash at bank and in hand | 83,595 | 524,631 | ||
_________ | _________ | |||
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_________ | _________ | |||
Financial liabilities measured at amortised cost | ||||
Bank and other loans | 2,961,222 | 4,576,172 | ||
Trade creditors | 3,143,246 | 3,052,392 | ||
Other creditors | 207,691 | 423,592 | ||
_________ | _________ | |||
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_________ | _________ | |||
24.
Called up share capital
Issued, called up and fully paid
2018 | 2017 | ||||||||
No | £ | No | £ | ||||||
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2 | 2 | 2 | 2 | |||||
_________ | _________ | _________ | _________ | ||||||
25.
Reserves
26.
Operating leases
The company as lessee
The total future minimum lease payments under non-cancellable operating leases are as follows:
£ | £ | |
Not later than 1 year |
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Later than 1 year and not later than 5 years |
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_________ | _________ | |
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_________ | _________ | |
27.
Related party transactions
28.
Key management personnel
Key management personnel & the company's directors are the same persons. During the year they received compensation of £57,112 (2017 £50,222) from the parent company, Sarcon (No.191) Limited.
29.
Controlling party