Seacross Pharmaceuticals Ltd - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 07650983 (England and Wales)

Financial Statements for the Year Ended 31 December 2019

for

Seacross Pharmaceuticals Ltd

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

DIRECTORS:

Z Ding

Mrs P He

SECRETARY:

Mrs P He

REGISTERED OFFICE:

Bedford Business Centre

61-63 St Peters Street

Bedford

Bedfordshire

MK40 2PR

REGISTERED NUMBER:

07650983 (England and Wales)

AUDITOR:

Collett Hulance LLP

Chartered Certified Accountants

and Registered Auditor

40 Kimbolton Road

Bedford

Bedfordshire

MK40 2NR

ACCOUNTANTS:

Thompsons Accountants & Advisors Limited

Grove House

1 Grove Place

Bedford

Bedfordshire

MK40 3JJ

FIXED ASSETS

Intangible assets

6

1,138,327

1,239,327

Tangible assets

7

2,134

1,264

Investments

8

26,167

58,259

1,166,628

1,298,850

CURRENT ASSETS

Stocks

303,200

393,492

Debtors

9

9,269,568

5,037,978

Cash at bank

715,399

145,606

10,288,167

5,577,076

CREDITORS

Amounts falling due within one year

10

9,785,721

6,008,310

NET CURRENT ASSETS/(LIABILITIES)

502,446

(431,234

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,669,074

867,616

CAPITAL AND RESERVES

Called up share capital

6,000,000

6,000,000

Retained earnings

(4,330,926

)

(5,132,384

)

SHAREHOLDERS' FUNDS

1,669,074

867,616

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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 23 December 2020 and were signed on its behalf by:

Mrs P He - Director

1.	STATUTORY INFORMATION

Seacross Pharmaceuticals Ltd 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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 are prepared on a going concern basis as the parent company has confirmed its willingness to support the company for at least 12 months from the date of the approval of these financial statements. The directors are satisfied that these sources of finance are adequate to ensure that the company will continue as a going concern for the foreseeable future.

Preparation of consolidated financial statements

The financial statements contain information about Seacross Pharmaceuticals Ltd 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.

Intangible fixed assets

Intangible fixed assets are patents and licences which have a finite useful life. Intangible fixed assets are stated at cost less accumulated amortisation and accumulated impairment losses. Amortisation begins when the intangible asset is available for use.

Amortisation rates are between 5 and 15 years. Intangible fixed assets are subject to regular impairment reviews.

Tangible fixed assets

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

Plant and machinery

-

33% on cost

Fixtures and fittings

-

33% on cost

Computer equipment

-

33% on cost

Investments in subsidiaries and associates

Investments in associates are measured at cost less impairment.

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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 statement of financial position date.

Deferred tax

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

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.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 3 (2018 - 1 ) .

5.	AUDITORS' REMUNERATION

31.12.19

31.12.18

£

£

Fees payable to the company's auditor for the audit of the company's financial statements

5,000

4,950

6.	INTANGIBLE FIXED ASSETS

Patents

and

licences

£

COST

At 1 January 2019

and 31 December 2019

1,735,472

AMORTISATION

At 1 January 2019

496,145

Amortisation for year

101,000

At 31 December 2019

597,145

NET BOOK VALUE

At 31 December 2019

1,138,327

At 31 December 2018

1,239,327

7.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Computer

machinery

fittings

equipment

Totals

£

£

£

£

COST

At 1 January 2019

2,679

502

5,884

9,065

Additions

-

168

1,590

1,758

At 31 December 2019

2,679

670

7,474

10,823

DEPRECIATION

At 1 January 2019

2,679

502

4,620

7,801

Charge for year

-

37

851

888

At 31 December 2019

2,679

539

5,471

8,689

NET BOOK VALUE

At 31 December 2019

-

131

2,003

2,134

At 31 December 2018

-

-

1,264

1,264

8.	FIXED ASSET INVESTMENTS

Shares in

Interest

group

in

undertakings

associate

Totals

£

£

£

COST

At 1 January 2019

-

172,614

172,614

Additions

89

-

89

At 31 December 2019

89

172,614

172,703

PROVISIONS

At 1 January 2019

-

114,355

114,355

Provision for year

-

32,181

32,181

At 31 December 2019

-

146,536

146,536

NET BOOK VALUE

At 31 December 2019

89

26,078

26,167

At 31 December 2018

-

58,259

58,259

The company owns 25% of the issued share capital of Seacross Pharmaceuticals (Sichuan) Limited, a company incorporated in the People's Republic of China.

During the year the company purchased 100% of the issued share capital of Seacross Pharma (Europe) Limited, a company incorporated in the Republic of Ireland.

9.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.19

31.12.18

£

£

Trade debtors

9,122,379

4,977,345

Amounts owed by group undertakings

118,493

-

Other debtors

1,393

1,850

VAT

-

2,987

Prepayments and accrued income

27,303

55,796

9,269,568

5,037,978

10.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.19

31.12.18

£

£

Trade creditors

8,409,117

4,674,119

Amounts owed to group undertakings

1,223,457

1,307,697

Social security and other taxes

4,463

1,872

VAT

85,099

-

Other creditors

25,155

8,142

Accrued expenses

38,430

16,480

9,785,721

6,008,310

11.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditor was unqualified.

Andrew Robert Upton FCCA (Senior Statutory Auditor)

for and on behalf of Collett Hulance LLP

The auditors' report was signed on 23 December 2020.

12.	ULTIMATE CONTROLLING PARTY

Sichuan Huiyu Pharmaceutical Limited (incorporated in the People's Republic of China) is regarded by the directors as the company's ultimate parent company.

The ultimate parent company's registered office is situated at Shuangsu Road, Shizhong Qu, Neijiang Shi, Sichuan Sheng, People's Republic of China.