Registration number:
HarbisonWalker International Limited
for the Year Ended 31 December 2022
HarbisonWalker International Limited
Contents
Company Information |
|
Director's Report |
|
Independent Auditor's Report |
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Balance Sheet |
|
Notes to the Financial Statements |
HarbisonWalker International Limited
Company Information
Director |
Mr E Bachman |
Company secretary |
Mrs L Barnett |
Registered office |
|
Auditors |
|
HarbisonWalker International Limited
Director's Report for the Year Ended 31 December 2022
The director presents his report and the financial statements for the year ended 31 December 2022.
Directors of the company
The directors who held office during the year were as follows:
Principal activity
The principal activity of the company is sale of refractories products and services.
Going concern
On 20th of February 2023, Platinum Equity announced it had successfully completed the acquisition of HarbisonWalker International Inc. of which HarbisonWalker International Limited is a subsidiary.
This came after the earlier announcement on 31st of January that they had acquired Calderys.
The new owner announced to merge the two groups of entities into one group and that the activities of HarbisonWalker International Limited are integrated into Calderys EMEA.
After the review of production facilities and capacities the final decision to close and cease the trade of the Bromborough facility (HarbisonWalker International Limited) by December 31st, 2023 was announced on September 6th, 2023.
We have informed the auditors accordingly and reviewed the closing of the 2022 accounts.
The intention for the owners is to end the activities of the plant by December 31st latest with the aim of fulfilling all obligations and requirements before the final closure.
Disclosure of information to the auditors
The director has taken 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 company's auditors are aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditors are unaware.
Small companies provision statement
This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
Approved and authorised by the
......................................... |
HarbisonWalker International Limited
Independent Auditor's Report to the Members of HarbisonWalker International Limited
Opinion
We have audited the financial statements of HarbisonWalker International Limited (the 'company') for the year ended 31 December 2022, which comprise the Balance Sheet, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 Section 1A 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the company's affairs as at 31 December 2022 and of its 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company 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.
Emphasis of matter
We draw attention to directors' report note on going concern in the financial statements which explains that the directors intend to cease the trade of the business at the end of December 2023 and therefore do not consider it to be appropriate to adopt the going concern basis of accounting in preparing the financial statements. Accordingly the financial statements have been prepared on a basis other than going concern. Our opinion is not modified in respect of this matter.
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
HarbisonWalker International Limited
Independent Auditor's Report to the Members of HarbisonWalker International Limited
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 we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 matter 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 Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Director's Report has been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Director's Report.
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 |
Responsibilities of the director
As explained more fully in the [set out on page ], the director is 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 director determines is 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 director is responsible for assessing the 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor Responsibilities for the audit of the financial statements
HarbisonWalker International Limited
Independent Auditor's Report to the Members of HarbisonWalker International Limited
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 an auditor’s report 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
The following laws and regulations were identified as being of significance to the entity:
• Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law and distributable profits legislation.
• Those laws and regulations for which non-compliance may have a direct effect on the operating aspects of the business and therefore may have a material effect on the financial
statements include, anti-bribery and anti-corruption laws and compliance with tax legislation.
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriateness of entries in the nominal ledger, including journal entries; reviewing transactions around the end of the reporting period; and the performance of analytical procedures to identify unexpected movements in account balances which may be indicative of fraud.
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).
HarbisonWalker International Limited
Independent Auditor's Report to the Members of HarbisonWalker International Limited
A further description of our responsibilities is available on the FRC’s website at:
https://www.frc.org.uk/auditors/audit-assurance/auditor-s-responsibilities-for-the-audit-of-the-fi
/description-of-the-auditor%E2%80%99s-responsibilities-for.
This description forms part of our auditor’s report.
......................................
For and on behalf of
Stanhope House
Mark Rake
Bromborough
Merseyside
CH62 2DN
HarbisonWalker International Limited
(Registration number: 00175893)
Balance Sheet as at 31 December 2022
Note |
2022 |
2021 |
|
Fixed assets |
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Tangible assets |
|
|
|
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Provisions for liabilities |
( |
( |
|
Net assets excluding pension asset/(liability) |
3,177,473 |
3,168,264 |
|
Net pension liability 1 |
- |
(229,800) |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
408,000 |
408,000 |
|
Retained earnings |
2,769,473 |
2,530,464 |
|
Shareholders' funds |
3,177,473 |
2,938,464 |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.
Approved and authorised by the
.........................................
Director
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The presentation currency is sterling (£) and level of rounding is to the pound.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
The tax expense for the period comprises current tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Long leashold |
2% costs |
Plant and machinery |
at varying rates on costs |
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Staff numbers |
The average number of persons employed by the company (including the director) during the year, was
Tangible assets |
Land and buildings |
Furniture, fittings and equipment |
Total |
|
Cost or valuation |
|||
At 1 January 2022 |
|
|
|
Additions |
- |
|
|
Disposals |
- |
( |
( |
At 31 December 2022 |
|
|
|
Depreciation |
|||
At 1 January 2022 |
|
|
|
Charge for the year |
|
|
|
Eliminated on disposal |
- |
( |
( |
At 31 December 2022 |
|
|
|
Carrying amount |
|||
At 31 December 2022 |
|
|
|
At 31 December 2021 |
|
|
|
Included within the net book value of land and buildings above is £68,654 (2021 - £72,412) in respect of long leasehold land and buildings.
At the year end the directors have considered the valuation of the land and property in the accounts to be line with the realisable value of the land and buildings.
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Stocks |
2022 |
2021 |
|
Raw materials and consumables |
|
|
Work in progress |
|
|
Finished goods and goods for resale |
|
|
|
|
Debtors |
Current |
2022 |
2021 |
Trade debtors |
|
|
Prepayments |
|
|
Other debtors |
|
|
|
|
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Creditors |
Creditors: amounts falling due within one year
Note |
2022 |
2021 |
|
Due within one year |
|||
Trade creditors |
|
|
|
Amounts owed to group undertakings and undertakings in which the company has a participating interest |
|
|
|
Taxation and social security |
|
|
|
Accruals and deferred income |
|
|
|
Other creditors |
|
|
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Defined benefit pension schemes
The company operates a defined benefit pension scheme. This is a separate trustee administered fund holding pension scheme assets to meet long term pension liabilities. The company has agreed with the trustees that it will aim to eliminate the deficit over a period of 12 years and 7 months from 6 April 2018 by the payment of monthly contributions of £9,700 in respect of the deficit.
The date of the most recent comprehensive actuarial valuation was
The total cost relating to defined benefit schemes for the year recognised in profit or loss as an expense was £3,000 (2021 - £12,000).
The total cost relating to defined benefit schemes for the year included in the cost of an asset was £Nil (2021 - £-).
Reconciliation of scheme assets and liabilities to assets and liabilities recognised
The amounts recognised in the statement of financial position are as follows:
2022 |
2021 |
|
Fair value of scheme assets |
|
|
Present value of defined benefit obligation |
( |
( |
513,000 |
(241,000) |
|
Other amounts not recognised in the balance sheet |
(513,000) |
- |
Defined benefit pension scheme deficit |
- |
( |
Defined benefit obligation
Changes in the defined benefit obligation are as follows:
2022 |
|
Present value at start of year |
|
Interest cost |
|
Actuarial gains and losses |
( |
Benefits paid |
( |
Present value at end of year |
|
Fair value of scheme assets
Changes in the fair value of scheme assets are as follows:
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
2022 |
|
Fair value at start of year |
|
Interest income |
|
Actuarial gains and losses |
( |
Employer contributions |
|
Benefits paid |
( |
Fair value at end of year |
|
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Analysis of assets
The major categories of scheme assets are as follows:
2022 |
2021 |
|
Cash and cash equivalents |
|
|
Equity instruments |
|
|
Debt Insurments |
|
|
Property |
|
|
Other |
298,000 |
353,000 |
|
|
Return on scheme assets
2022 |
2021 |
|
Return on scheme assets |
( |
|
The pension scheme has not invested in any of the company's own financial instruments or in properties or other assets used by the company.
Principal actuarial assumptions
The principal actuarial assumptions at the statement of financial position date are as follows:
2022 |
2021 |
|
5.00 |
1.80 |
|
3.20 |
3.45 |
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Post retirement mortality assumptions
2022 |
|
Current UK pensioners at retirement age - male |
22.00 |
Current UK pensioners at retirement age - female |
23.00 |
Future UK pensioners at retirement age - male |
22.00 |
Future UK pensioners at retirement age - female |
24.00 |
Share capital |
Allotted, called up and fully paid shares
2022 |
2021 |
|||
No. |
£ |
No. |
£ |
|
|
|
405,000 |
|
405,000 |
|
|
3,000 |
|
3,000 |
|
|
|
|
Reserves |
The changes to each component of equity resulting from items of other comprehensive income for the current year were as follows:
Retained earnings |
Total |
|
Remeasurement gain/loss on defined benefit pension schemes |
|
|
|
The changes to each component of equity resulting from items of other comprehensive income for the prior year were as follows:
Retained earnings |
Total |
|
Remeasurement gain/loss on defined benefit pension schemes |
|
|
|
Financial commitments, guarantees and contingencies |
Amounts not provided for in the balance sheet
HarbisonWalker International Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
The total amount of financial commitments not included in the balance sheet is £
Parent and ultimate parent undertaking |
The company's immediate parent is
The ultimate parent is