Roilvest Limited - Limited company accounts 17.3

REGISTERED NUMBER: 07316246 (England and Wales)

GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30TH JUNE 2017

FOR

ROILVEST LIMITED

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Statement of Comprehensive Income

7

Consolidated Balance Sheet

8

Company Balance Sheet

9

Consolidated Statement of Changes in Equity

10

Company Statement of Changes in Equity

11

Consolidated Cash Flow Statement

12

Notes to the Consolidated Cash Flow Statement

13

Notes to the Consolidated Financial Statements

14

DIRECTORS:

P D M Davenport

J M StJ Harris

M W Lloyd

SECRETARY:

B Gardner

REGISTERED OFFICE:

Unit 51 Clywedog Road North

Wrexham Industrial Estate

Wrexham

LL13 9XN

REGISTERED NUMBER:

07316246 (England and Wales)

AUDITORS:

M. D. Coxey and Co. Limited

Chartered Accountants

and Statutory Auditors

25 Grosvenor Road

Wrexham

LL11 1BT

SOLICITORS:

Brabners LLP

Horton House

Exchange Flags

Liverpool

L2 3YL

The directors present their strategic report of the company and the group for the year ended 30th June 2017.

REVIEW OF BUSINESS

Strong world demand and tightening European supply level led to rapid and significant increase in butterfat prices

throughout Europe. Sales volumes were down 15.3% in 2016/17 financial year, but higher prices meant turnover was

up by 51.9%.

The directors are satisfied with the company's trading performance during the year.

The directors aim to continue to invest in its operation in order to maintain growth.

PRINCIPAL RISKS AND UNCERTAINTIES

The company uses various financial instruments in the normal course of running its business. These include cash, trade

debtors and trade creditors that arise directly from its operations.

The existence of these financial instruments exposes the company to a number of financial risks, which are described in

more detail below.

The main risks arising from the company's financial instruments are currency risk, liquidity risk and credit risk. The

directors review and agree policies for managing each of these risks and they are summarised below. These policies

have remained unchanged from previous years.

Currency risk

The company's transactions are mainly denominated in £Sterling. The ultimate consumers of much of the company's

products are overseas and the rate of the Euro against the Sterling impact on the price of raw materials and selling

prices. The company has the ability to use forward currency contracts to hedge those transactions denominated in

foreign currencies. Whilst the aim is to achieve an economic hedge the company does not adopt an accounting policy

of hedge accounting for these financial statements.

Liquidity risk

The company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and

to invest cash assets safely and profitably. The company policy throughout the year has been to ensure continuity of

funding.

Credit risk

Then company's principal financial assets are cash and trade debtors. The credit risk associated with the cash is limited

as the counter-parties have good credit ratings assigned by international credit-rated agencies. The principal credit risk

arises therefore from its trade debtors. In order to manage credit risk the directors set limits for customers based on a

combination of payment history and checking their financial standing. Credit limits are reviewed by the credit

controller on a regular basis in conjunction with debt ageing and collection history. The company has credit insurance

in respect of most of its debtors.

ON BEHALF OF THE BOARD:

P D M Davenport - Director

2nd October 2017

The directors present their report with the financial statements of the company and the group for the year ended

30th June 2017.

DIVIDENDS

No dividends will be distributed for the year ended 30th June 2017.

DIRECTORS

The directors set out in the table below have held office during the whole of the period from 1st July 2016 to the date of

this report unless otherwise stated.

The beneficial interests of the directors holding office at 30th June 2017 in the shares of the company, according to the

register of directors' interests, were as follows:

1.7.16

or date of

appointment

30.6.17

if later

Ordinary shares of 1p each

P D M Davenport - appointed 22.3.17

-

-

J M StJ Harris

5,625

5,625

M W Lloyd

2,000

2,000

These directors did not hold any non-beneficial interests in the shares of the company.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors 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 the group and of the profit or loss of the group for that period. In preparing these financial statements,

the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the

company and the group 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 the group and hence for taking reasonable

steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies

Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have

taken as a director in order to make himself aware of any relevant audit information and to establish that the group's

auditors are aware of that information.

AUDITORS

The auditors, M. D. Coxey and Co. Limited, will be proposed for re-appointment at the forthcoming Annual General

Meeting.

ON BEHALF OF THE BOARD:

P D M Davenport - Director

2nd October 2017

Opinion

We have audited the financial statements of Roilvest Limited (the 'parent company') and its subsidiaries (the 'group') for

the year ended 30th June 2017 on pages seven to twenty three. The financial reporting framework that has been applied

in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting

Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom

Generally Accepted Accounting Practice).

This report is made solely to the company's members, 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 members those

matters we are required to state to them in a Report of the Auditors 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

members as a body, for our audit work, for this report, or for the opinions we have formed.

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 30th June 2017 and of the group's profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law.

Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the

financial statements section of our report. We are independent of the group in accordance with the ethical requirements

that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have

fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we

have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to

you where:

-	the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

-

the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the group's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group

Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the

Auditors thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of

assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing

so, consider whether the other information is materially inconsistent with the financial statements or our knowledge

obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we

conclude that there is a material misstatement of this other information, we are required to report that fact. We have

nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in

the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the

Directors.

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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are

responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and

for such internal control as the directors determine necessary to enable the preparation of financial statements that are

free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's

ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going

concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease

operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from

material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion.

Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with

ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and

are considered material if, individually or in the aggregate, they could reasonably be expected to influence the

economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial

Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the

Auditors.

Anthony Lewis (Senior Statutory Auditor)

for and on behalf of M. D. Coxey and Co. Limited

Chartered Accountants

and Statutory Auditors

25 Grosvenor Road

Wrexham

LL11 1BT

2nd October 2017

TURNOVER

3

58,486,545

38,501,673

Cost of sales

55,911,317

35,608,644

GROSS PROFIT

2,575,228

2,893,029

Administrative expenses

2,065,610

2,197,210

OPERATING PROFIT

5

509,618

695,819

Interest receivable and similar income

158

-

509,776

695,819

Interest payable and similar expenses

6

128,823

101,716

PROFIT BEFORE TAXATION

380,953

594,103

Tax on profit

7

123,046

180,608

PROFIT FOR THE FINANCIAL YEAR

257,907

413,495

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

257,907

413,495

Profit attributable to:

Owners of the parent

257,907

413,495

Total comprehensive income attributable to:

Owners of the parent

257,907

413,495

FIXED ASSETS

Intangible assets

10

1,297,645

1,696,920

Tangible assets

11

1,675,219

1,749,543

Investments

12

-

-

2,972,864

3,446,463

CURRENT ASSETS

Stocks

13

3,075,628

1,605,955

Debtors

14

5,827,354

3,642,431

Cash at bank

1,054,560

149,472

9,957,542

5,397,858

CREDITORS

Amounts falling due within one year

15

7,785,775

4,907,611

NET CURRENT ASSETS

2,171,767

490,247

TOTAL ASSETS LESS CURRENT LIABILITIES

5,144,631

3,936,710

CREDITORS

Amounts falling due after more than one year

16

(500,000

)

(500,000

)

PROVISIONS FOR LIABILITIES

20

(1,693,438

)

(743,424

)

NET ASSETS

2,951,193

2,693,286

CAPITAL AND RESERVES

Called up share capital

21

97

97

Share premium

22

1,336,430

1,336,430

Capital redemption reserve

22

850,973

850,973

Retained earnings

22

763,693

505,786

SHAREHOLDERS' FUNDS

2,951,193

2,693,286

The financial statements were approved by the Board of Directors on 2nd October 2017 and were signed on its behalf

by:

P D M Davenport - Director

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

-

-

Investments

12

5,007,264

5,007,264

5,007,264

5,007,264

CREDITORS

Amounts falling due within one year

15

2,819,764

2,819,764

NET CURRENT LIABILITIES

(2,819,764

)

(2,819,764

)

TOTAL ASSETS LESS CURRENT LIABILITIES

2,187,500

2,187,500

CAPITAL AND RESERVES

Called up share capital

21

97

97

Share premium

22

1,336,430

1,336,430

Capital redemption reserve

22

850,973

850,973

SHAREHOLDERS' FUNDS

2,187,500

2,187,500

Company's profit for the financial year

-

-

The financial statements were approved by the Board of Directors on 2nd October 2017 and were signed on its behalf by:

P D M Davenport - Director

Called up

Capital

share

Retained

Share

redemption

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1st July 2015

150

2,192,291

1,336,430

850,973

4,379,844

Changes in equity

Issue of share capital

(53

)

-

-

-

(53

)

Dividends

-

(2,100,000

)

-

-

(2,100,000

)

Total comprehensive income

-

413,495

-

-

413,495

Balance at 30th June 2016

97

505,786

1,336,430

850,973

2,693,286

Changes in equity

Total comprehensive income

-

257,907

-

-

257,907

Balance at 30th June 2017

97

763,693

1,336,430

850,973

2,951,193

Called up

Capital

share

Retained

Share

redemption

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1st July 2015

150

-

1,336,430

850,973

2,187,553

Changes in equity

Issue of share capital

(53

)

-

-

-

(53

)

Balance at 30th June 2016

97

-

1,336,430

850,973

2,187,500

Changes in equity

Balance at 30th June 2017

97

-

1,336,430

850,973

2,187,500

Cash flows from operating activities

Cash generated from operations

1

1,362,780

2,219,280

Interest paid

(128,823

)

(89,216

)

Tax paid

(168,578

)

(142,912

)

Net cash from operating activities

1,065,379

1,987,152

Cash flows from investing activities

Purchase of tangible fixed assets

(160,449

)

(373,304

)

Interest received

158

-

Net cash from investing activities

(160,291

)

(373,304

)

Cash flows from financing activities

New loans in year

-

500,000

Equity dividends paid

-

(2,100,000

)

Net cash from financing activities

-

(1,600,000

)

Increase in cash and cash equivalents

905,088

13,848

Cash and cash equivalents at beginning of year

2

149,472

135,624

Cash and cash equivalents at end of year

2

1,054,560

149,472

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.6.17

30.6.16

£

£

Profit before taxation

380,953

594,103

Depreciation charges

634,048

603,045

Finance costs

128,823

101,716

Finance income

(158

)

-

1,143,666

1,298,864

Increase in stocks

(1,469,673

)

(179,265

)

(Increase)/decrease in trade and other debtors

(2,184,923

)

862,811

Increase in trade and other creditors

3,873,710

236,870

Cash generated from operations

1,362,780

2,219,280

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of

these Balance Sheet amounts:

Year ended 30th June 2017

30.6.17

1.7.16

£

£

Cash and cash equivalents

1,054,560

149,472

Year ended 30th June 2016

30.6.16

1.7.15

£

£

Cash and cash equivalents

149,472

135,624

1.	STATUTORY INFORMATION

Roilvest 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 General Information page.

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

The company's principal activity is a holding company for it's subsidiary Roil Foods Limited, which is engaged

in the manufacture of Butteroil.

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" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Basis of consolidation

The consolidated financial statements present the results of the group and it's own subsidiary ("the group") as

they formed a single entity. Intercompany transactions and balances between group companies are therefore

eliminated in full.

The consolidated financial statements incorporate the results of business combinations using the purchase

method. In the Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent

liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations

are included in the consolidated Statement of Comprehensive Income from the date on which control is

obtained. They are de-consolidated from the date control ceases.

Significant judgements and estimates

Preparation of the financial statements requires management to make significant judgements and estimates. The

items in the financial statements where these judgements and estimates have been made include a bad debt

provision based on history of debtors and payment profiles, stock provision based on the ageing of stock, a

further provision in relation to stock quality issues experienced during this year and the prior year and also the

useful economic lives of tangible assets.

Turnover

Turnover comprises revenue recognised by the group in respect of goods supplied during the year, exclusive of

Value Added Tax and trade discounts.

Turnover is recognised on despatch of goods when risks and rewards of ownership pass to the customer.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2010, is being amortised evenly over its estimated useful life of ten years.

Goodwill represents the difference between amounts paid on the cost of the business combination and the

acquirer's interest in fair value of the group's share of its identifiable assets and liabilities of the acquiree at the

date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated

amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis to the Income

Statement over its useful economic life.

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are

measured at cost less any accumulated amortisation and any accumulated impairment losses. Intangible assets

are initially recognised at cost. After recognition, under the revaluation model, intangible assets shall be carried

at a revalued amount, being its fair value at the date of revaluation less any subsequent accumulated

amortisation and subsequent impairment losses - provided that the fair value can be determined by reference to

an active market.

Revaluations are made with sufficient regularity to ensure the carrying amount does not differ materially from

that which would be determined using fair value at the end of the reporting date.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be

made, the useful life shall not exceed ten years.

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

-

The length of the lease

Plant and machinery

-

10% on cost

Fixtures and fittings

-

15% on cost

Computer equipment

-

20% on cost

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any

accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the

asset to the location and condition necessary for it to be capable of operating in the manner intended by

management.

The group adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when

the cost is incurred, if the replacement part is expected to provide incremental future benefits to the group. The

carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss

during the period in which they are incurred.

The assets' residual values, useful lives and depreciation methods are reviewed and adjusted prospectively if

appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are

recognised within the 'other operating income' in the Income Statement.

Stocks

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

moving items.

Cost is based on the cost of purchase on a first in, first out basis.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced

to its selling price less cost to complete and sell. The impairment loss is recognised immediately in the Income

Statement.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of

Comprehensive Income, 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.