European Freeze Dry Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 02979293 (England and Wales)

Financial Statements

for the Year Ended 31 December 2019

for

EUROPEAN FREEZE DRY LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

Directors:

J Jensen

T Marstrand

P T Valstorp

B Dalgaard Loft

P R Anderson

Secretary:

D M Morris

Registered office:

45 Roman Way

Longridge Road

Ribbleton

Preston

Lancashire

PR2 5BD

Registered number:

02979293 (England and Wales)

Auditors:

Haines Watts Manchester Limited, Statutory Auditor

Northern Assurance Buildings

9-21 Princess Street

Manchester

M2 4DN

Fixed assets

Intangible assets

5

77,797

76,371

Tangible assets

6

1,173,321

1,196,833

Investments

7

2

2

1,251,120

1,273,206

Current assets

Stocks

1,766,060

2,044,653

Debtors

8

1,274,867

1,740,513

Cash at bank and in hand

145,114

150,995

3,186,041

3,936,161

Creditors

Amounts falling due within one year

9

1,874,793

2,670,795

Net current assets

1,311,248

1,265,366

Total assets less current liabilities

2,562,368

2,538,572

Provisions for liabilities

144,273

137,920

Net assets

2,418,095

2,400,652

Capital and reserves

Called up share capital

11

1,600,000

1,600,000

Retained earnings

818,095

800,652

Shareholders' funds

2,418,095

2,400,652

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 3 August 2020 and were signed on its behalf by:

P R Anderson - Director

1.	Statutory information

European Freeze Dry Limited is a private company, limited by shares , registered in England and Wales. The

company's registered number and registered office address can be found on the Company Information page.

2.	Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006.

3.	Accounting policies

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The financial statements have been prepared on a going concern basis. The Directors have reviewed and

considered relevant information, including the annual budget and future cash flows in making their assessment.

The company is in a sector that has remained in demand during the lockdown period and has sufficient working

capital on a standalone basis, and is part of a wider group if further support is required beyond the government

measures that have been announced. Based on these assessments, given the measures that could be

undertaken to mitigate any adverse conditions, and the current resources available, the Directors have

concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors,

including expectations of future events that are believed to be reasonable under the circumstances. There are

not considered to be any critical judgements in applying the company's accounting policies. The company

makes estimates and assumptions concerning the future. The resulting accounting estimates will by definition,

seldom equal the actual results.The company applies an overhead absorption rate to finished goods. Other

than those discussed above there are no estimates or assumptions which give a significant risk of causing a

material adjustment to the carrying amounts of assets or liabilities within the next financial year.

Preparation of consolidated financial statements

The financial statements contain information about European Freeze Dry Limited as an individual company and

do not contain consolidated financial information as the parent of a group. The company is exempt under

Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial

statements.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates,

value added tax and other sales taxes.

Turnover in respect of goods supplied is recognised on the despatch of goods to customers.

Turnover in respect of contract drying services is recognised when the service has been performed.

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.

Amortisation is provided at 33% in order to write off each asset over it's estimated useful life.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Short leasehold

-

between 6% and 10% on cost

Plant and machinery

-

between 5% and 50% on cost

Motor vehicles

-

20% straight line

No depreciation is charged on assets in the course of construction.

Tangible assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost

includes the original purchase price, costs directly attributable to bringing the asset to its working condition for

its intended use, dismantling and restoration costs and borrowing costs capitalised.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Inventories are measured at the lower of cost and net realisable value. The cost of inventories is based on the

first-in, first-out principle (FIFO method). Cost of raw material and consumables consists of purchase price plus

direct costs. Cost of manufactured goods and work in progress consists of raw materials, consumables, direct

labour and other direct costs. Net realisable value is the estimated selling price in the ordinary course of

business, less completion costs and applicable variable selling expenses.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account,

except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or

substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the

balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different

from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and

laws that have been enacted or substantively enacted by the year end and that are expected to apply to the

reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they

will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks other short-term highly liquid

investments with original maturities of three months or less and bank overdrafts. Bank overdrafts are shown

within borrowings in current liabilities.

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 taken into account in arriving at the operating result.

Hire purchase and leasing commitments

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.

Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

Financial assets

Basic financial assets, including trade and other debtors and cash and bank balances, are initially recognised at

transaction price, unless the arrangement constitutes a financing transaction, where the transaction is

measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective

evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying

amount and the present value of the estimated cash flows discounted at the asset's original effective interest

rate. The impairment loss is recognised in the profit or loss.

There are no assets which are initially measured at fair value.

Financial liabilities

Basic financial liabilities, including trade and other creditors and bank loans, are initially recognised at

transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is

measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is

discharged, cancelled or expires.

Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary

shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Dividends

Dividends and other distributions to the company's shareholder are recognised as a liability in the financial

statements in the period in which the dividends and the other distributions are approved by the company's

shareholders. These amounts are recognised in the statement of changes in equity.

4.	Employees and directors

The average number of employees during the year was 32 (2018 - 32 ) .

5.	Intangible fixed assets

Other

intangible

assets

£

Cost

At 1 January 2019

108,096

Additions

44,282

At 31 December 2019

152,378

Amortisation

At 1 January 2019

31,725

Charge for year

42,856

At 31 December 2019

74,581

Net book value

At 31 December 2019

77,797

At 31 December 2018

76,371

6.	Tangible fixed assets

Short

Plant and

Motor

leasehold

machinery

vehicles

Totals

£

£

£

£

Cost

At 1 January 2019

152,838

3,455,042

13,500

3,621,380

Additions

23,511

162,721

-

186,232

At 31 December 2019

176,349

3,617,763

13,500

3,807,612

Depreciation

At 1 January 2019

99,023

2,312,024

13,500

2,424,547

Charge for year

8,218

201,526

-

209,744

At 31 December 2019

107,241

2,513,550

13,500

2,634,291

Net book value

At 31 December 2019

69,108

1,104,213

-

1,173,321

At 31 December 2018

53,815

1,143,018

-

1,196,833

7.	Fixed asset investments

Shares in

group

undertakings

£

Cost

At 1 January 2019

and 31 December 2019

2

Net book value

At 31 December 2019

2

At 31 December 2018

2

8.

Debtors: amounts falling due within one year

2019

2018

£

£

Trade debtors

1,158,223

1,570,088

Other debtors

116,644

170,425

1,274,867

1,740,513

9.

Creditors: amounts falling due within one year

2019

2018

£

£

Trade creditors

559,572

797,454

Amounts owed to group undertakings

1,155,528

1,687,665

Taxation and social security

37,408

21,904

Other creditors

122,285

163,772

1,874,793

2,670,795

10.	Leasing agreements

Minimum lease payments under non-cancellable operating leases fall due as follows:

2019

2018

£

£

Within one year

65,277

112,391

Between one and five years

250,815

240,520

In more than five years

201,455

270,585

517,547

623,496

11.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2019

2018

value:

£

£

1,600,000

Ordinary

£1

1,600,000

1,600,000

12.	Disclosure under Section 444(5B) of the Companies Act 2006

The Report of the Auditors was unqualified.

Antony Sassen (Senior Statutory Auditor)

for and on behalf of Haines Watts Manchester Limited, Statutory Auditor

13.	Related party disclosures

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The

Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party

transactions with wholly owned subsidiaries within the group.

14.	Ultimate controlling party

The company's immediate parent undertaking and the smallest group of undertakings to consolidate these

financial statements is European Freeze Dry ApS, a company incorporated in Denmark. The company's

ultimate parent and controlling party is EFD Investment A/S, which is incorporated in Denmark.

EFD Investment A/S, is the parent undertaking of the largest group of undertakings to consolidate these

financial statements at 31 December 2019. The consolidated financial statements of European Freeze Dry ApS

and EFD Investment A/S are available from Erhvervsinvest Management A/S, Jaegersborg Alle 4, 5. sal,

DK-2920 Charlottenlund.