ACCOUNTS - Final Accounts preparation

FIXED ASSETS

Intangible assets

Tangible assets

2013-04-01 false true 2014-03-312014-03-312014-03-31Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that: so far as that Director is aware, there is no relevant audit information of which the Company's auditor is unaware, and that Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information. 02022221 2013-04-01 2014-03-31 02022221 2012-04-01 2013-03-31 02022221 2014-03-31 02022221 2013-03-31 02022221 d:CompanySecretary 2013-04-01 2014-03-31 02022221 c:FixturesFittingsToolsEquipment 2013-04-01 2014-03-31 02022221 c:FixturesFittingsToolsEquipment 2013-03-31 02022221 c:FixturesFittingsToolsEquipment 2014-03-31 02022221 d:OrdinaryShareClass1 2014-03-31 02022221 d:OrdinaryShareClass1 2013-04-01 2014-03-31 02022221 d:Director1 2013-04-01 2014-03-31 02022221 d:Director2 2013-04-01 2014-03-31 02022221 d:Director3 2013-04-01 2014-03-31 02022221 d:EntityAccountantsOrAuditors 2014-03-31 02022221 c:LandBuildings c:ShortLeaseholdProperties 2013-04-01 2014-03-31 02022221 c:LandBuildings c:ShortLeaseholdProperties 2013-03-31 02022221 c:LandBuildings c:ShortLeaseholdProperties 2014-03-31 02022221 d:RegisteredOffice 2013-04-01 2014-03-31 02022221 c:OwnedOrFreeholdTangibleFixedAssets 2013-04-01 2014-03-31 02022221 c:OwnedOrFreeholdTangibleFixedAssets 2012-04-01 2013-03-31 02022221 c:NetGoodwill 2013-04-01 2014-03-31 02022221 c:NetGoodwill 2013-03-31 02022221 c:NetGoodwill 2014-03-31 02022221 c:BeforeAnyAdjustmentsForExceptionalItems 2013-04-01 2014-03-31 02022221 c:BeforeAnyAdjustmentsForExceptionalItems 2012-04-01 2013-03-31 02022221 c:AfterAnyAdjustmentsForExceptionalItems 2013-04-01 2014-03-31 02022221 c:AfterAnyAdjustmentsForExceptionalItems 2012-04-01 2013-03-31 02022221 c:ProvisionsForDeferredTaxation 2012-04-01 02022221 c:ProvisionsForDeferredTaxation 2013-03-31 02022221 c:ProvisionsForDeferredTaxation 2012-04-01 2013-03-31 02022221 d:EntityAccountantsOrAuditors 2012-04-01 2013-03-31 02022221 d:EntityAccountantsOrAuditors 2013-04-01 2014-03-31 02022221 c:ProvisionsForDeferredTaxation 2014-03-31 02022221 c:WithinOneYear 2014-03-31 02022221 c:WithinOneYear 2013-03-31 02022221 c:AfterOneYear 2013-03-31 02022221 c:DividendsPaid d:AllOrdinaryShares 2013-04-01 2014-03-31 02022221 c:DividendsPaid d:AllOrdinaryShares 2012-04-01 2013-03-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 02022221

TAYZANA LIMITED

DIRECTORS' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

TAYZANA LIMITED

COMPANY INFORMATION

DIRECTORS	Mr J C Patel
	Mr T Mohamedbhai
	Miss Heena Patel (appointed 31 March 2014)


COMPANY SECRETARY	Mr A R Patel


REGISTERED NUMBER	02022221


REGISTERED OFFICE	Lion House
	Red Lion Street
	London
	WC1R 4GB


INDEPENDENT AUDITOR	KPMG LLP
	1 Forest Gate
	Brighton Road
	Crawley
	RH11 9PT

TAYZANA LIMITED

CONTENTS

	Page
Directors' report	1 - 2
Independent auditor's report	3 - 4
Profit and loss account	5
Balance sheet	6
Notes to the financial statements	7 - 14

TAYZANA LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2014

The Directors present their report and the financial statements for the year ended 31 March 2014.

PRINCIPAL ACTIVITIES

The principal activity of the company continued to be that of retail chemists and druggists.

RESULTS AND DIVIDENDS

The results for the year are set out on page 5.

Prescription items increased by 0.1% and on a like for like basis the increase was 0.1%.

Net debt has decreased by £0.19m to £0.17m (2013: £0.36m). Gearing ratio (Net debt/shareholders funds) reduced from 0.41 to 0.16.

Interim ordinary dividends were paid during the year amounting to £234,592 (2013: £203,980).
 

DIRECTORS

The Directors who served during the year were:

Mr J C Patel

Mr T Mohamedbhai

Miss Heena Patel (appointed 31 March 2014)

DIRECTORS' RESPONSIBILITIES STATEMENT

The Directors are responsible for preparing the 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 of the profit or loss of the Company for that period. In preparing these financial statements, the Directors are required to:

·select suitable accounting policies and then apply them consistently;

·make judgments and accounting estimates that are reasonable and prudent;

·state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

·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.

Page 1

TAYZANA LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2014

DISCLOSURE OF INFORMATION TO AUDITOR

Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that:

·so far as that Director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

·that Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

AUDITOR

Under section 487(2) of the Companies Act 2006, KPMG LLP will be deemed to have been reappointed as auditor 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

In preparing this report, the Directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board and signed on its behalf.

Mr T Mohamedbhai

Director

Date: 26 September 2014

Page 2

TAYZANA LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TAYZANA LIMITED

We have audited the financial statements of Tayzana Limited for the year ended 31 March 2014, set out on pages 5 to 14. The financial reporting framework that has been applied in their preparation is applicable law and the Financial Reporting Standard for Smaller Entities (effective April 2008) (United Kingdom Generally Accepted Accounting Practice applicable to Smaller Entities).

This report is made solely to the Company's shareholders, 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 shareholders those matters we are required to state to them in an Auditor's 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 shareholders as a body, for our audit work, for this report, or for the opinions we have formed.

RESPECTIVE RESPONSIBILITIES OF DIRECTORS AND AUDITOR

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. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors.

SCOPE OF THE AUDIT OF THE FINANCIAL STATEMENTS

A description of the scope of an audit of financial statements is provided on the Financial Reporting Council's website at www.frc.org.uk/auditscopeukprivate.

OPINION ON FINANCIAL STATEMENTS

In our opinion the financial statements:

·give a true and fair view of the state of the Company's affairs as at 31 March 2014 and of its profit for the year then ended;

·have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice applicable to Smaller Entities; and

·have been prepared in accordance with the requirements of the Companies Act 2006.

OPINION ON OTHER MATTER PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion the information given in the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements.

Page 3

TAYZANA LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF TAYZANA LIMITED

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

·adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

·the financial statements are not in agreement with the accounting records and returns; or

·certain disclosures of directors' remuneration specified by law are not made; or

·we have not received all the information and explanations we require for our audit; or

·the Directors were not entitled to prepare the financial statements in accordance with the small companies regime and to take advantage of the small companies' exemption from the requirement to prepare a Strategic report.

Timothy Rush (Senior statutory auditor)

for and on behalf of

KPMG LLP

1 Forest Gate

Brighton Road

Crawley

RH11 9PT

29 September 2014

Page 4

TAYZANA LIMITED

PROFIT AND LOSS ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2014

		2014	2013
	Note	£000	£000
TURNOVER	1,2	4,133	3,924
Cost of sales		(2,813)	(2,597)
GROSS PROFIT		1,320	1,327

Administrative expenses		(943)	(956)
Exceptional administrative expenses		-	(18)


Total administrative expenses		(943)	(974)
Other operating income	3	16	15
OPERATING PROFIT	4	393	368
Interest payable and similar charges		(7)	(4)
PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION		386	364
Tax on profit on ordinary activities	6	(92)	(83)
PROFIT FOR THE FINANCIAL YEAR	15	294	281

The notes on pages 7 to 14 form part of these financial statements.

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TAYZANA LIMITED

REGISTERED NUMBER: 02022221

BALANCE SHEET

AS AT 31 MARCH 2014

2014

2013

CURRENT ASSETS
Stocks	9	213		203
Debtors	10	337		549
Cash at bank		10		9

		560		761
CREDITORS: amounts falling due within one year	11	(699)		(928)
NET CURRENT LIABILITIES			(139)		(167)

TOTAL ASSETS LESS CURRENT LIABILITIES

987

966

CREDITORS: amounts falling due after more than one year	12	-	(38)
PROVISIONS FOR LIABILITIES
Deferred tax	13	(27)	(27)
NET ASSETS		960	901

CAPITAL AND RESERVES
Called up share capital	14	-	-
Profit and loss account	15	960	901

SHAREHOLDERS' FUNDS

960

901

The financial statements have been prepared in accordance with the provisions applicable to small companies within Part 15 of the Companies Act 2006 and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Mr T Mohamedbhai

Director

Date: 26 September 2014

The notes on pages 7 to 14 form part of these financial statements.

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

1.ACCOUNTING POLICIES

	1.1	Basis of preparation of financial statements
		The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

	1.2	Compliance with accounting standards
		The financial statements are prepared in accordance with applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), which have been applied consistently (except as otherwise stated).

	1.3	Going concern
		In assessing the validity of the going concern basis, the Directors have considered the level of bank facilities available to the Company and the Group, and its compliance with bank covenant tests both during the period and for the period ahead. The Group has passed all covenants during the period just ended. Having considered the Company’s financial budget, investment and financing commitments and cash flow commitment requirements for the year until 30 September 2015, the Board expects to continue to meet all financial covenants as well as ensuring that liabilities are settled as they fall due. Having considered the above, the Board conclude that it is appropriate to adopt the going concern basis of accounting because there are no material uncertainties related to events or conditions that may cast significant doubt about the ability of the company to continue as a going concern.

	1.4	Cash flow
		The financial statements do not include a Cash flow statement because the Company, as a small reporting entity, is exempt from the requirement to prepare such a statement under the Financial Reporting Standard for Smaller Entities (effective April 2008).

	1.5	Turnover
		Turnover comprises revenue recognised by the Company in respect of goods and services supplied during the year, exclusive of Value Added Tax and trade discounts.

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

1.ACCOUNTING POLICIES (continued)

	1.6	Retail pharmacy licences
		The difference between amounts paid on the acquisition of a business and the fair value of its identifiable assets and liabilities is capitalised as an intangible asset as the retail pharmacy licence. The Directors believe that the right for dispensing UK NHS prescriptions, being the pharmacy licence which is attached to a particular pharmacy, has a continuing value. Such rights, conferred by the Department of Health as contracts to dispense prescriptions, are not generally granted to new pharmacies in the same locality. Consequently the Directors consider that the value of retail pharmacy licences have an indefinite life and are therefore not amortised. Retail pharmacy licences are grouped into cash generating units as appropriate and are subject to an annual impairment review by the directors in accordance with FRS 10. The period before steady long term growth rates has been assumed to be 10 years because pharmacy is a stable industry comprised of established businesses and steady margins. The Directors consider the life and economic benefits of pharmacy licences to be foreseeable for this period Any deficiency arising from the impairment review is written off to the profit and loss account in the year in which it arises. Any increases in value are not recognised in the financial statements. This departure from the requirements of the Companies Act 2006 is, in the opinion of the directors, necessary for the financial statements to give a true and fair view.

	1.7	Tangible fixed assets and depreciation
		Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

				Leasehold Property	-	over the period of the lease
				Fixtures, fittings and equipment	-	15% reducing balance

	1.8	Operating leases
		Rentals under operating leases are charged to the Profit and loss account on a straight line basis over the lease term.

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

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

1.ACCOUNTING POLICIES (continued)

	1.10	Deferred taxation
		Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.
		A net deferred tax asset is recognised only if it can be regarded as more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted. Deferred tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse. Deferred tax assets and liabilities are not discounted.

2.TURNOVER

The total turnover of the company for the year has been derived from its principal activity wholly undertaken in the United Kingdom.

3.OTHER OPERATING INCOME

	2014	2013
	£000	£000
Rent receivable	16	15

4.OPERATING PROFIT

The operating profit is stated after charging:

	2014	2013
	£000	£000
Depreciation of tangible fixed assets:
- owned by the company	7	9
Rent - operating leases	85	86

During the year, no Director received any emoluments (2013 - £NIL).

5.AUDITORS' REMUNERATION

	2014	2013
	£000	£000
Fees payable to the Company's auditor and its associates for the audit of the Company's annual accounts	3	3

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

6.TAXATION

			2014	2013
			£000	£000

Analysis of tax charge in the year
Current tax
UK corporation tax charge on profit for the year	87	84
Adjustments in respect of prior periods	5	-


Total current tax	92	84
Deferred tax (see note 13)
Origination and reversal of timing differences	-	(1)

Tax on profit on ordinary activities	92	83

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2013 - lower than) the standard rate of corporation tax in the UK of 23% (2013 - 24%). The differences are explained below:

	2014	2013
	£000	£000
Profit on ordinary activities before tax	386	364
Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23% (2013 - 24%)	89	87
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	1	-
Adjustments to tax charge in respect of prior periods	5	-
Intagible amortisation allowance	(3)	(3)


Current tax charge for the year (see note above)	92	84

Factors that may affect future tax charges

The deferred tax liability has been calculated based on the future rate of 20% as at 31 March 2014.

Reductions in the UK corporation tax rate from 26% to 24% (effective from 1 April 2012) and to 23% (effective 1 April 2013) were substantively enacted on 26 March 2012 and 3 July 2012 respectively. Further reductions to 21% (effective from 1 April 2014) and 20% (effective from 1 April 2015) were substantively enacted on 2 July 2013. This will reduce the company's future current tax charge accordingly.

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

7.INTANGIBLE FIXED ASSETS

		Retail pharmacy licenses
		£000
	Cost
	At 1 April 2013 and 31 March 2014	1,084

	Net book value
	At 31 March 2014	1,084
	At 31 March 2013	1,084

8.TANGIBLE FIXED ASSETS

	Leasehold Property	Fixtures, fittings and equipment	Total
	£000	£000	£000
Cost
At 1 April 2013 and 31 March 2014	51	335	386

Depreciation
At 1 April 2013	51	286	337
Charge for the year	-	7	7
At 31 March 2014	51	293	344

Net book value
At 31 March 2014	-	42	42
At 31 March 2013	-	49	49

9.STOCKS

	2014	2013
	£000	£000
Finished goods and goods for resale	213	203

The difference between purchase price of stocks and their replacement cost is not material.

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

10.DEBTORS

	2014	2013
	£000	£000

Trade debtors	288	495
Amounts owed by group undertakings	7	-
Prepayments and accrued income Other debtors	18 24	18 36


	337	549

11.CREDITORS:
Amounts falling due within one year

	2014	2013
	£000	£000
Bank loans and overdrafts	184	344
Trade creditors	364	299
Amounts owed to group undertakings	36	201
Corporation tax	23	16
Accruals and deferred income Directors's current accounts Other creditors	41 1 50	18 1 49


	699	928

Bank debt due within one year or less

106

12.CREDITORS:
Amounts falling due after more than one year

	2014	2013
	£000	£000
Bank loans	-	38

Included within the above are amounts falling due as follows:

	2014	2013
	£000	£000
Between one and two years

Bank loans	-	38

The bank loans are secured by a fixed and floating charge over the assets of the company and by an unlimited inter-company guarantee from certain group companies.

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TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

13.DEFERRED TAXATION

	2014	2013
	£000	£000

At beginning of year	27	28
Charge for/(released during) year (P&L)	-	(1)


At end of year	27	27

The provision for deferred taxation is made up as follows:

	2014	2013
	£000	£000

Accelerated capital allowances	27	27

Deferred tax is calculated using the company's expected furture rate of corporation tax of 20%.

14.SHARE CAPITAL

	2014	2013
	£000	£000
Allotted, called up and fully paid

100 Ordinary shares of £1 each	-	-

15.RESERVES

		Profit and loss account
		£000

	At 1 April 2013	901
	Profit for the financial year	294
	Dividends paid	(235)


	At 31 March 2014	960

16.DIVIDENDS

			2014	2013
			£000	£000

Ordinary
Interim dividend paid	235	204

235

204

Page 13

TAYZANA LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2014

17.CONTINGENT LIABILITIES

The company is a party to intra-group cross guarantees in respect of bank borrowing within the group

- Unlimited inter-company guarantees supported by legal charges over various properties and other respective associated assets.

18.OPERATING LEASE COMMITMENTS

At 31 March 2014 the Company had annual commitments under non-cancellable operating leases as follows:

	2014	2013
	£000	£000
Expiry date:
Within 1 year	32	33
Between 2 and 5 years	14	80
After more than 5 years	39	301

19.TRANSACTIONS WITH DIRECTORS

During the year dividends totalling £114,950 (2013: £99,950) were paid to the family of Mr T Mohamedbhai, a director of the company.

20.RELATED PARTY TRANSACTIONS

During the year the company made purchases totalling £987,688 (2013: £1,036,350) from and made sales totalling £331,421 (2013: £270,140) to Day Lewis Medical Limited, a fellow subsidiary of the company's parent company Day Lewis Plc. As at 31 March 2014 the company owed £33,900 (2013: £96,554) to Day Lewis Medical Limited.

During the year, the company carried out the following transactions with extended related parties:

Rent of £22,800 (2013: £22,800) was paid in respect of a property occupied by the company in which the directors Mr J C Patel and Mr T Mohamadbhai have a material interest. As at 31 March 2014 the company owed £nil (2013: £nil).

21.ULTIMATE PARENT UNDERTAKING AND CONTROLLING PARTY

The company's immediate parent company is Day Lewis PLC, a company registered in England. It prepares group accounts which are availiable at Day Lewis House, 2 Peterwood Way, Croydon, Surrey, CR0 4UQ.

The ultimate parent company is Day Lewis Holdings Limited, a company registered in Cyprus. Mr K C Patel, a director of the immediate parent company, is the controlling shareholder.

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