Pafra Adhesives Limited - Accounts to registrar (filleted) - small 18.2
Pafra Adhesives Limited - Accounts to registrar (filleted) - small 18.2
| PAFRA ADHESIVES LIMITED |
| Audited Financial Statements |
| for the Year Ended 31 March 2021 |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Contents of the Financial Statements |
| for the year ended 31 March 2021 |
| Page |
| Company Information | 1 |
| Balance Sheet | 2 |
| Notes to the Financial Statements | 3 |
| PAFRA ADHESIVES LIMITED |
| Company Information |
| for the year ended 31 March 2021 |
| Directors: |
| Secretary: |
| Registered office: |
| Registered number: |
| Auditors: |
| Chartered Accountants and Statutory Auditor |
| New Derwent House |
| 69-73 Theobalds Road |
| London |
| WC1X 8TA |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Balance Sheet |
| 31 March 2021 |
| 2021 | 2020 |
| Notes | £ | £ |
| Fixed assets |
| Intangible assets | 5 |
| Tangible assets | 6 |
| Investments | 7 |
| Current assets |
| Stocks |
| Debtors | 8 |
| Cash at bank |
| Creditors |
| Amounts falling due within one year | 9 | ( |
) | ( |
) |
| Net current assets |
| Total assets less current liabilities |
| Creditors |
| Amounts falling due after more than one year |
10 |
( |
) |
( |
) |
| Provisions for liabilities | 12 | ( |
) | ( |
) |
| Pension asset/(liability) | 16 | ( |
) |
| Net assets |
| Capital and reserves |
| Called up share capital | 13 |
| Share premium | 14 |
| Revaluation reserve | 14 |
| Capital redemption reserve | 14 |
| Retained earnings | 14 |
| Shareholders' funds |
| In accordance with Section 444 of the Companies Act 2006, the Statement of Comprehensive Income has not been delivered. |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements |
| for the year ended 31 March 2021 |
| 1. | Statutory information |
| Pafra Adhesives Limited is a |
| 2. | Accounting policies |
| Basis of preparing the financial statements |
| 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. In particular, in response to the COVID-19 pandemic, the Directors have taken into account the impact on their business of possible scenarios brought on by the impact of COVID-19, alongside the measures that they can take to mitigate the impact. Based on these assessments, given the measures that could be undertaken to mitigate the current 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 |
| Following a review by the Directors of the presentation of expenditure in the Statement of Comprehensive income, £38,592 of expenditure has been transferred from administrative expenses to cost of sales in the comparative figures. |
| Preparation of consolidated financial statements |
| The financial statements contain information about Pafra Adhesives 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. |
| Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer on dispatch of the goods and when sales invoices are issued, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
| Goodwill |
| Goodwill acquired is capitalised and amortised over 10 years as in the opinion of the directors this represents the period over which the goodwill is effective. |
| 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. |
| Depreciation is recognised so as to amortise the cost or valuation of assets less their residual values over their useful lives on the following bases: |
| Land and buildings Freehold | Straight line over 50 years on buildings |
| Plant and machinery | Straight line over 4 or 10 years |
| Fixtures, fittings & equipment | Straight line over 4 years |
| Laboratory equipment | Straight line over 4 years |
| 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. |
| Investments in subsidiaries |
| Investments in subsidiary undertakings are recognised at cost less impairment. |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 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. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the statement of comprehensive incomeIncome Statement, 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. |
| The company is a beneficiary of Research & Development (R&D) tax relief from the UK Government in the form of reductions in its annual tax liability, as well as repayable tax credits. Current tax assets or reductions in current tax liabilities for R&D claims are only recognised when the amount can be reliably determined and the probability of HM Revenue & Customs accepting the claim is considered high. |
| 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. |
| Research and development |
| Expenditure on research and development is expensed in the year in which it is incurred. |
| 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. |
| Pension costs and other post-retirement benefits |
| Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. |
| The company operates a defined benefit scheme which was withdrawn for all contributing members with effect from 31 October 2001. |
| The company adopted FRS17-'Retirement Benefits' in full in 2005. As a result of this, the regular cost of providing retirement pensions and related benefits is charged to the profit and loss account over the employees' service lives on the basis of a constant percentage of earnings. Any difference between the charge to the profit and loss account and the contributions paid to the scheme is shown as an asset or liability in the balance sheet. |
| Payments in respect of other post-retirement benefits are charged to profit or loss in the period to which they relate. |
| 3. | Employees and directors |
| The average number of employees during the year was |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 4. | Auditors' remuneration |
| 2021 | 2020 |
| £ | £ |
| Fees payable to the company's auditors for the audit of the company's financial statements |
13,000 |
12,500 |
| Included in the auditor's remuneration is £1,000 (2020: £1,000) charged to The Pafra Limited 1978 Retirement and Death Benefit Scheme. |
| 5. | Intangible fixed assets |
| Goodwill |
| £ |
| Cost |
| At 1 April 2020 |
| and 31 March 2021 |
| Amortisation |
| At 1 April 2020 |
| Amortisation for year |
| At 31 March 2021 |
| Net book value |
| At 31 March 2021 |
| At 31 March 2020 |
| 6. | Tangible fixed assets |
| Fixtures |
| Freehold | Plant and | and | Computer |
| property | machinery | fittings | equipment | Totals |
| £ | £ | £ | £ | £ |
| Cost or valuation |
| At 1 April 2020 |
| Additions |
| Disposals | ( |
) | ( |
) |
| Revaluations |
| At 31 March 2021 |
| Depreciation |
| At 1 April 2020 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) |
| Revaluation adjustments | ( |
) | ( |
) |
| At 31 March 2021 |
| Net book value |
| At 31 March 2021 |
| At 31 March 2020 |
| Included in cost or valuation of land and buildings is freehold land of £ 920,000 (2020 - £ 920,000 ) which is not depreciated. |
| Freehold land and buildings were valued by Kemsley LLP on 4 March 2021. The figure above represents the valuation plus subsequent additions. |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 7. | Fixed asset investments |
| Shares in |
| group |
| undertakings |
| £ |
| Cost |
| At 1 April 2020 |
| Impairments | ( |
) |
| At 31 March 2021 |
| Net book value |
| At 31 March 2021 |
| At 31 March 2020 |
| The company's investments at the Balance Sheet date in the share capital of companies include the following: |
| Registered office: UK |
| Nature of business: |
| % |
| Class of shares: | holding |
| 2021 | 2020 |
| £ | £ |
| Aggregate capital and reserves |
| Registered office: France |
| Nature of business: |
| % |
| Class of shares: | holding |
| 2021 | 2020 |
| £ | £ |
| Aggregate capital and reserves |
| Loss for the year | ( |
) |
| Pafra France Sàrl was closed on 31st March 2020. |
| 8. | Debtors: amounts falling due within one year |
| 2021 | 2020 |
| £ | £ |
| Trade debtors |
| Amounts owed by group undertakings |
| Other debtors |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 9. | Creditors: amounts falling due within one year |
| 2021 | 2020 |
| £ | £ |
| Bank loans and overdrafts |
| Trade creditors |
| Amounts owed to group undertakings |
| Taxation and social security |
| Other creditors |
| 10. | Creditors: amounts falling due after more than one year |
| 2021 | 2020 |
| £ | £ |
| Bank loans |
| 11. | Leasing agreements |
| Minimum lease payments under non-cancellable operating leases fall due as follows: |
| 2021 | 2020 |
| £ | £ |
| Within one year |
| Between one and five years |
| 12. | Provisions for liabilities |
| 2021 | 2020 |
| £ | £ |
| Deferred tax |
| Other timing differences | 213,750 | - |
| Accelerated capital |
| allowances | 46,660 | 54,640 |
| 260,410 | 54,640 |
| Deferred tax |
| £ |
| Balance at 1 April 2020 |
| Provided during year |
| Balance at 31 March 2021 |
| 13. | Called up share capital |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2021 | 2020 |
| value: | £ | £ |
| Ordinary share capital | 1 | 792,210 | 792,210 |
| Preference share capital | 1 | 1,500 | 1,500 |
| 793,710 | 793,710 |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 13. | Called up share capital - continued |
| The preference shares are non voting fixed cumulative shares with dividends of 7% payable per annum. The holders of preference shares have priority over the holders of ordinary shares in the event of the company being wound up. |
| On 14th August 2019, A G Steward was granted options of 80,000 ordinary shares of £1 each with an exercise price of £1.95. |
| The period of exercise for the share options is within 5 years from the date of grant. |
| 14. | Reserves |
| Capital |
| Retained | Share | Revaluation | redemption |
| earnings | premium | reserve | reserve | Totals |
| £ | £ | £ | £ | £ |
| At 1 April 2020 | 3,703,296 |
| Profit for the year |
| Dividends | ( |
) | ( |
) |
| Actuarial gain/(loss) | 95,720 | - | - | - | 95,720 |
| Gain on revaluation of |
| freehold property | - | - | 911,250 | - | 911,250 |
| At 31 March 2021 | 4,990,915 |
| 15. | Disclosure under Section 444(5B) of the Companies Act 2006 |
| The Auditors' Report was unqualified. |
| for and on behalf of |
| 16. | Employee benefit obligations |
| The pension scheme asset of £72,090 (2020: liability of £261,630) consists of the scheme surplus of £89,000 (2020: deficit of £323,000) less the related deferred tax liability of £16,910 (2020: asset of £61,370). |
| The company operates a pension scheme providing benefits based on final pensionable pay. On 5 October 2001 the company withdrew the scheme for all contributing members with effect from 31 October 2001. The assets of the scheme are held separately from those of the company, being invested with an insurance company. The contributions of the scheme were previously charged to the profit and loss account so as to spread the cost of the pensions over employees' working lives with the company. The contribution were determined by a qualified actuary on the basis of triennial valuations using the projected unit method. |
| The company adopted FRS17 - 'Retirement Benefits' in full in 2005. An independent actuarial assessment as at 31 March 2021 showed the market value of the scheme assets at the date as £3,960,000 (2020: £3,140,000). |
| The actuary's statement, dated 12 May 2021, is based on a valuation with an effective date of 31 March 2021. |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 16. | Employee benefit obligations - continued |
| The amounts recognised in the balance sheet are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Present value of funded obligations | ( |
) | ( |
) |
| Fair value of plan assets |
| 89,000 | (323,000 | ) |
| Present value of unfunded obligations |
| Surplus/(Deficit) | ( |
) |
| Deferred tax (liability)/asset | ( |
) |
| Net asset/(liability) | ( |
) |
| The amounts recognised in profit or loss are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Current service cost |
| Net interest on defined benefit liability | 4,000 | 5,000 |
| Past service cost |
| 4,000 | 5,000 |
| Actual return on plan assets | ( |
) |
| Changes in the present value of the defined benefit obligation are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Opening pension scheme liabilities |
| Interest on scheme liabilities |
| Actuarial gains and losses on scheme liabilities |
( |
) |
| Benefits paid | ( |
) | ( |
) |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 16. | Employee benefit obligations - continued |
| Changes in the fair value of scheme assets are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Opening fair value of scheme assets |
| Contributions by employer |
| Interest on scheme assets | 74,000 | 87,000 |
| Actuarial gains and losses on scheme assets |
( |
) |
| Benefits paid | (124,000 | ) | (104,000 | ) |
| The amounts recognised in other comprehensive income are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Actuarial gains/(losses) | ( |
) |
| Tax relating to actuarial gains/(losses) | (78,280 | ) | 14,370 |
| 95,720 | (98,630 | ) |
| The major categories of scheme assets as amounts of total scheme assets are as follows: |
| Defined benefit |
| pension plans |
| 2021 | 2020 |
| £ | £ |
| Equities |
| Bonds |
| Property |
| Cash | 257,000 | 39,000 |
| 3,960,000 | 3,140,000 |
| Principal actuarial assumptions at the balance sheet date (expressed as weighted averages): |
| 2021 | 2020 |
| Discount rate |
| Retail Prices Index | 3.30% | 2.60% |
| Consumer Prices Index | 2.30% | 1.60% |
| Mortality assumptions | 2021 | 2020 |
| Assumed life expectations on retirement at age 65: |
| Current age 65 |
| - Males | 86.7 | 86.7 |
| - Females | 89.0 | 88.9 |
| Current age 45 |
| - Males | 87.8 | 87.7 |
| - Females | 90.1 | 90.1 |
| PAFRA ADHESIVES LIMITED (REGISTERED NUMBER: 00644949) |
| Notes to the Financial Statements - continued |
| for the year ended 31 March 2021 |
| 16. | - continued |
| Defined contribution scheme |
| The company operates a defined contribution retirement benefit scheme for all qualifying employees. The assets of the scheme are held separately from those of the company. During the year the company contributed £80,257 (2020: £53,181). |
| 17. | Related party disclosures |
| During the year ordinary dividends of £12,764 (2020: £12,764) and preference dividends of £53 (2020: £53) were paid to the directors. |
| During the year, sales of £nil (2020: £306,691) were made to Pafra France Sàrl. |
| At the year end, the company owed Pafra Limited £nil (2020: £16,000) in respect of an interest free loan. |