Exception PCB Limited - Accounts to registrar (filleted) - small 23.2.5

REGISTERED NUMBER: 01338479 (England and Wales)

Financial Statements for the Year Ended 31 December 2023

for

Exception PCB Limited

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

X Cai

J Li

T To

REGISTERED OFFICE:

Alexandra Way

Ashchurch Business Centre

Tewksbury

Gloucestershire

GL20 8NB

REGISTERED NUMBER:

01338479 (England and Wales)

SENIOR STATUTORY AUDITOR:

Matthew Dobbins FCA

AUDITORS:

Dunkley's Statutory Auditors Chartered Accountants

Woodlands Grange

Woodlands Lane

Bradley Stoke

Bristol

BS32 4JY

BANKERS:

HSBC Bank Plc

Gloucestershire Corporate Banking Centre

109 Bath Road

Cheltenham

GL53 7RA

SOLICITORS:

Gateley LLP

One Eleven Edmund Street

Birmingham

B3 2HJ

FIXED ASSETS

Tangible assets

4

3,055

1,768

CURRENT ASSETS

Stocks

1,078

722

Debtors

5

2,058

2,237

Cash at bank

7

96

3,143

3,055

CREDITORS

Amounts falling due within one year

6

2,233

2,966

NET CURRENT ASSETS

910

89

TOTAL ASSETS LESS CURRENT LIABILITIES

3,965

1,857

CREDITORS

Amounts falling due after more than one year

7

(6,140

)

(4,633

)

PROVISIONS FOR LIABILITIES

(20

)

(20

)

NET LIABILITIES

(2,195

)

(2,796

)

CAPITAL AND RESERVES

Called up share capital

9

11

11

Revaluation reserve

10

365

365

Interest-free loan reserve

10

463

676

Retained earnings

10

(3,034

)

(3,848

)

SHAREHOLDERS' FUNDS

(2,195

)

(2,796

)

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 Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 18 March 2024 and were signed on its behalf by:

J Li - Director

1.	STATUTORY INFORMATION

Exception PCB 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.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

The financial statements have been prepared on a going concern basis. The Company reported a Profit after tax of £815,000 (2022 - £1,107,000) for the year and has net current liabilities of £454,000 (2022 - net current assets of £89,000) at the balance sheet date.

The Company's trading and main items of debtors and creditor balances are with other group undertakings and the ultimate parent company has confirmed its ongoing financial support and specifically that further intercompany funding will be provided for at least 12 months from the date of approval of these financial statements.

The directors have considered the basis of preparation of the financial statements, and based on the assessment of budgets and cash flow forecasts, have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the 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 is recognised on despatch of goods to customers.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Improvements to property

-

10% per annum

Plant and machinery

-

15% per annum

Fixtures, vehicles and computer equipment

-

between 15% and 33% per annum

Tangible fixed assets are valued using the revaluation model determined by market rates. If there is no market-based evidence of fair value because of the specialised nature of the item of property, plant and equipment and the item is rarely sold, the depreciated replacement cost is used. For assets that are bespoke and have no available replacement, the depreciated cost is used.

Stocks and work in progress

Net realisable value is based on estimated selling prices less further costs expected to be incurred to completion and disposal.

Work in progress is calculated using the percentage stage of completion method.

Financial instruments

Trade and other debtors / creditors

Trade and other debtors are recognised initially at transaction price less attributable transaction costs. Trade and other creditors are recognised initially at transaction price plus attributable transaction costs. Subsequent to initial recognition they are measured at amortised cost using the effective interest method, less any impairment losses in the case of trade debtors. If the arrangement constitutes a financing transaction, for example if payment is deferred beyond normal business terms, then it is measured at the present value of future payments discounted at a market rate of interest for a similar debt instrument.

Interest-bearing borrowings classified as basic financial instruments

Interest-bearing borrowings are recognised initially at the present value of future payments discounted at a market rate of interest. Subsequent to initial recognition, interest-bearing borrowings are stated at amortised cost using the effective interest method, less any impairment losses.

Other financial instruments

Derivative financial instruments

Derivative financial instruments are recognised at fair value. The gain or loss on re-measurement to fair value is recognised immediately in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income 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.

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 written off 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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.

Provisions

A provision is recognised in the balance sheet when the Company has a present legal obligation or constructive obligation as a result of a past event, that can be reliably measured and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are recognised at the best estimate of the amount required to settle the obligation at the balance sheet date.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 91 (2022 - 98 ) .

4.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

to

Plant and

and

Computer

property

machinery

fittings

equipment

Totals

£'000

£'000

£'000

£'000

£'000

COST OR VALUATION

At 1 January 2023

571

4,734

81

509

5,895

Additions

-

1,585

15

31

1,631

Disposals

-

(119

)

-

-

(119

)

At 31 December 2023

571

6,200

96

540

7,407

DEPRECIATION

At 1 January 2023

525

3,083

76

443

4,127

Charge for year

5

295

2

37

339

Eliminated on disposal

-

(114

)

-

-

(114

)

At 31 December 2023

530

3,264

78

480

4,352

NET BOOK VALUE

At 31 December 2023

41

2,936

18

60

3,055

At 31 December 2022

46

1,651

5

66

1,768

Cost or valuation at 31 December 2023 is represented by:

Improvements

Fixtures

to

Plant and

and

Computer

property

machinery

fittings

equipment

Totals

£'000

£'000

£'000

£'000

£'000

Valuation in 2018

115

(5,845

)

(678

)

(262

)

(6,670

)

Valuation in 2019

5

(157

)

(1

)

-

(153

)

Cost

451

12,202

775

802

14,230

571

6,200

96

540

7,407

If tangible fixed assets had not been revalued they would have been included at the following historical cost:

31.12.23

31.12.22

£'000

£'000

Cost

7,402

10,933

Aggregate depreciation

4,348

10,428

Tangible fixed asset were valued on an open market basis on 31 December 2023 by the directors .

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

£'000

COST OR VALUATION

At 1 January 2023

2,545

Disposals

(114

)

At 31 December 2023

2,431

DEPRECIATION

At 1 January 2023

2,302

Charge for year

54

Eliminated on disposal

(114

)

At 31 December 2023

2,242

NET BOOK VALUE

At 31 December 2023

189

At 31 December 2022

243

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.23

31.12.22

£'000

£'000

Trade debtors

1,456

1,100

Other debtors

258

63

Confidential invoice

discounting liability

-

557

Tax

140

344

VAT

-

2

Prepayments

204

171

2,058

2,237

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.23

31.12.22

£'000

£'000

Hire purchase contracts

86

67

Trade creditors

1,329

865

Confidential invoice discounting liability

267

-

Amounts owed to group undertakings

414

1,780

Social security and other taxes

-

90

VAT

45

-

Other creditors

12

5

Accrued expenses

80

159

2,233

2,966

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.23

31.12.22

£'000

£'000

Hire purchase contracts

21

91

Amounts owed to group undertakings

6,119

4,542

6,140

4,633

8.	SECURED DEBTS

The following secured debts are included within creditors:

31.12.23

31.12.22

£'000

£'000

Hire purchase contracts

107

158

The hire purchase agreements are secured against the assets as indicated in the Tangible Fixed Assets note.

The confidential invoice discounting liability is secured against the trade debtors to which it relates and accrues interest at a rate of 1.55% over base rate.

The bank overdraft has a fixed charge over all present freehold and leasehold property; First Fixed Charge over book and other debts, chattels, goodwill and uncalled capital, both present and future; and First Floating Charge over all assets and undertaking both present and future dated 02 February 2015.

Composite Company Limited Multilateral Guarantee dated 05 September 2017 given by Exception PCB Solutions Limited to Exception PCB Limited.

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.12.23

31.12.22

value:

£'000

£'000

11,000

Ordinary shares

£1

11

11

The holders of Ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.

10.

RESERVES

Interest-free

Retained

Revaluation

loan

earnings

reserve

reserve

Totals

£'000

£'000

£'000

£'000

At 1 January 2023

(3,848

)

365

676

(2,807

)

Profit for the year

814

814

Net present value movement

-

-

(213

)

(213

)

At 31 December 2023

(3,034

)

365

463

(2,206

)

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

The Report of the Auditors was unqualified.

Matthew Dobbins FCA (Senior Statutory Auditor)

for and on behalf of Dunkley's Statutory Auditors Chartered Accountants

12.	PENSION COMMITMENTS

The Company operates a number of defined contribution schemes.

The total expense to the Company during the financial year was £93,951 (2022 - £69,000).

At the balance sheet date, outstanding payments totalled nil (2022 - £22,000).

13.	CONTINGENT LIABILITIES

The Company had no contingent liabilities as at 31 December 2023 or 31 December 2022.

14.	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.

All transactions with related parties were at arm's length.

Exception PCB Limited is exempt from disclosing transactions with entities within a 100% groups per the disclosure in the policies.

Shenzhen Fastprint Circuit Tech Co., Ltd (incorporated in China ) is regarded by the directors as being the company's ultimate parent company.

The largest group in which the results of the Company are consolidated is that headed by Shenzhen Fastprint Circuit Tech Co., Ltd, incorporated in China. The consolidated financial statements are available to the public.

15.	ULTIMATE CONTROLLING PARTY

The controlling party is Exception PCB Solutions Limited.

The smallest group in which the results of the Company are consolidated is that headed by Fastprint HongKong Co. Limited, incorporated in Hongkong.Its registered 22/F., Effectual Building, 16 Hennessy Road,Wanchai.

The largest group in which the results of the Company are consolidated is that headed by Shenzhen Fastprint Circuit Tech Co.,Ltd incorporated in China.Its registered 8/F,Block A,Building No. 2,Section 1, Shenzhen Bay Eco-Technology Park,Nanshan District,Shenzhen,China.