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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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TRADEWAY (SHIPPING) LIMITED |
REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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FOR |
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TRADEWAY (SHIPPING) LIMITED |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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Company Information | 1 |
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Strategic Report | 2 |
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Report of the Directors | 3 |
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Report of the Independent Auditors | 5 |
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Income Statement | 8 |
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Other Comprehensive Income | 9 |
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Balance Sheet | 10 |
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Statement of Changes in Equity | 11 |
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Notes to the Financial Statements | 12 |
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TRADEWAY (SHIPPING) LIMITED |
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COMPANY INFORMATION |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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DIRECTORS: |
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SECRETARY: |
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REGISTERED OFFICE: |
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REGISTERED NUMBER: |
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SENIOR STATUTORY AUDITOR: |
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AUDITORS: |
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Statutory Auditors |
Regency Court |
62-66 Deansgate |
Manchester |
M3 2EN |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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STRATEGIC REPORT |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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The directors present their strategic report for the year ended 28 February 2021. |
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REVIEW OF BUSINESS AND PRINCIPAL RISKS AND UNCERTAINTIES |
Throughout the year, the effect of the Covid 19 pandemic has been, and continues to be, the overriding issue facing not just the company, but the whole sector and world economy. Whilst the first few months of the year saw a dramatic reduction in volumes when the United Kingdom national lockdown was imposed, the recovery has been gradual, and there was some pent up demand in the sectors in which the company operates. |
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One of the understandable consequences of the pandemic was a global increase in freight rates which meant that the reduction in gross billings of 14% from £21.63m to £18.49m was less than reduction in volumes shipped during the period. Due to the company's ability to secure long term favourable rates, margins ,in fact, increased during the period. |
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The uncertainty of Brexit continued to be a factor during the year, although the company remained well positioned to deal with the uncertainties as the vast majority of the its business is transported to regions outside of the European market. Indeed, the deal announced at the end of December could open new revenue streams for the company, as more exporters need to access professional advice to maintain or build on existing export markets. |
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Following a successful year, the company is looking to expand its offering by increasing the amount of import business that it does, particularly from the Far East. The company is well placed to grow this area of the business due to existing in-house expertise, and its membership of a wider global group, with representation in the Far East region. |
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As noted, the Covid 19 pandemic will undoubtedly continue to affect the company and the wider global economy. As discussed in note 3 to the financial statements, the directors consider that the company is in a strong position to come through this period, and they expect the company will be able to meet the risks and uncertainties that arise. |
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ON BEHALF OF THE BOARD: |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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The directors present their report with the financial statements of the company for the year ended 28 February 2021. |
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PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of freight forwarders. |
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DIVIDENDS |
Interim dividends per share were paid as follows: |
£300,000 | - 25 November 2020 |
£200,000 | - 24 December 2020 |
£150,000 | - 3 February 2021 |
650000 |
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The directors recommend that no final dividend be paid. |
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The total distribution of dividends for the year ended 28 February 2021 will be £ 650,000 . |
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FUTURE DEVELOPMENTS |
Future developments are considered in detail within the Strategic Report. |
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DIRECTORS |
The directors shown below have held office during the whole of the period from 1 March 2020 to the date of this report. |
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POLITICAL DONATIONS AND EXPENDITURE |
During the year the company made no political donations. |
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EMPLOYEE INVOLVEMENT |
The company has continued to provide relevant information to the employees about developments and changes within the business. |
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SUPPLIER PAYMENT POLICY |
It is company policy to agree and clearly communicate the terms of payment as part of the commercial arrangement negotiated with suppliers and then to pay according to those terms based upon the timely receipt of an accurate invoice. |
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The number of average days purchases of the company were represented by trade creditors at 28 February 2021 was 35 (2020 - 6). |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
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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: |
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- | 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. |
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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. |
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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 company'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 company's auditors are aware of that information. |
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AUDITORS |
Sedulo Audit Limited will be proposed for re-appointment at the forthcoming Annual General Meeting. |
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ON BEHALF OF THE BOARD: |
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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TRADEWAY (SHIPPING) LIMITED |
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Opinion |
We have audited the financial statements of Tradeway (Shipping) Limited (the 'company') for the year ended 28 February 2021 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity 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 Financial Reporting Standard 101 'Reduced Disclosure Framework' (United Kingdom Generally Accepted Accounting Practice). |
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In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 28 February 2021 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. |
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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 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. |
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Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
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Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
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Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
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Emphasis of matter |
We draw attention to note 3 to the financial statements which explains the directors assessment of uncertainties arising from the ongoing Covid-19 pandemic and its impact on the company. |
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Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
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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. |
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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 this gives rise to a material misstatement in the financial statements themselves. 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TRADEWAY (SHIPPING) LIMITED |
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Opinions 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 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 Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
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Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
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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. |
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Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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. |
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In preparing the financial statements, the directors are 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TRADEWAY (SHIPPING) LIMITED |
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Auditors' 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. |
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Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
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Extent to which the audit was capable of detecting irregularities, including fraud |
The primary responsibility for the prevention and detection of fraud rests with directors and management, and we cannot be expected to detect non-compliance with all laws and regulations. |
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We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our knowledge of the business and sector, enquiries of directors and management, and review of regulatory information and correspondence. We communicated identified laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. |
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We discussed with directors and management the policies and procedures in place to ensure compliance with laws and regulations and otherwise prevent, deter and detect fraud. |
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Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations identified as potentially having a material effect on the financial statements. Our procedures included review of financial statement information and testing of that information, enquiry of management and examination of relevant documentation, analytical procedures to identify unusual or unexpected relationships that may indicate fraud, and procedures to address the risk of fraud through director or management override of controls. |
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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. |
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Use of our report |
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. |
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for and on behalf of
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Statutory Auditors |
Regency Court |
62-66 Deansgate |
Manchester |
M3 2EN |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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INCOME STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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28.2.21 | 29.2.20 |
Notes | £ | £ |
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TURNOVER | 4 |
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Cost of sales |
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GROSS PROFIT |
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Administrative expenses |
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471,215 | 1,036,545 |
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Other operating income |
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OPERATING PROFIT |
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Income from shares in group undertakings |
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1,284,864 | 1,395,314 |
Amounts written off investments | 6 | - | 886,137 |
1,284,864 | 509,177 |
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Interest payable and similar expenses | 7 |
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PROFIT BEFORE TAXATION | 8 |
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Tax on profit | 9 |
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PROFIT FOR THE FINANCIAL YEAR |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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28.2.21 | 29.2.20 |
Notes | £ | £ |
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PROFIT FOR THE YEAR |
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OTHER COMPREHENSIVE INCOME |
Item that will not be reclassified to profit or loss: |
Share option scheme |
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Income tax relating to item that will not be reclassified to
profit or loss |
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OTHER COMPREHENSIVE INCOME
FOR THE YEAR, NET OF INCOME TAX |
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TOTAL COMPREHENSIVE INCOME
FOR THE YEAR |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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BALANCE SHEET |
28 FEBRUARY 2021 |
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28.2.21 | 29.2.20 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 12 |
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Investments | 13 |
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CURRENT ASSETS |
Debtors | 14 |
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Cash at bank and in hand |
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CREDITORS |
Amounts falling due within one year | 15 |
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NET CURRENT ASSETS/(LIABILITIES) |
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TOTAL ASSETS LESS CURRENT
LIABILITIES |
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CREDITORS |
Amounts falling due after more than one year | 16 |
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NET ASSETS |
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CAPITAL AND RESERVES |
Called up share capital | 17 |
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Retained earnings - |
non-distributable |
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Capital redemption reserve |
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Other reserves |
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Retained earnings | 3,136,301 | 2,644,489 |
SHAREHOLDERS' FUNDS |
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The financial statements were approved by the Board of Directors and authorised for issue on
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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Called up | Retained |
share | Retained | earnings |
capital | earnings | - non-distribu |
£ | £ | £ |
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Balance at 1 March 2019 |
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Changes in equity |
Dividends | - | ( |
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Total comprehensive income | - |
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Balance at 29 February 2020 |
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2,644,489 |
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Changes in equity |
Dividends | - | ( |
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Total comprehensive income | - |
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Balance at 28 February 2021 |
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Capital |
redemption | Other | Total |
reserve | reserves | equity |
£ | £ | £ |
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Balance at 1 March 2019 |
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Changes in equity |
Dividends | - | - | ( |
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Total comprehensive income |
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Balance at 29 February 2020 |
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Changes in equity |
Dividends | - | - | ( |
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Total comprehensive income | - | 2,422 |
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Balance at 28 February 2021 |
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TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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1. | STATEMENT OF CHANGES IN EQUITY |
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Total comprehensive income is fully attributable to owners of the parent. |
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2. | STATUTORY INFORMATION |
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Tradeway (Shipping) 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. |
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3. | ACCOUNTING POLICIES |
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Basis of preparation |
These financial statements have been prepared in accordance with Financial Reporting Standard 101 Reduced Disclosure Framework (FRS 101) and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
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The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest pound. |
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The financial statements show the results and financial position of the company only. The company has taken advantage of the exemption from preparing consolidated financial statements incorporating its subsidiary undertaking, SAI Logistics Limited as the results are included within consolidated financial statements prepared by the company's ultimate parent undertaking, Santova Limited, a company registered in South Africa. |
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Going concern |
In common with virtually every other business in the country, the company has been experiencing the effects of the ongoing Coronavirus pandemic and its continuing effect on world trade and business operations. Whilst the full impact of this exceptional situation cannot be assessed with complete certainty the directors believe they have taken all possible measures to protect the company, including accessing relevant Government assistance through the furlough scheme where necessary and appropriate in order to mitigate costs. |
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The company has prepared forecasts for the next twelve months, taking into account fluctuations in market conditions, which indicate that the company is expected to continue to make profits. |
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Moreover, the directors note that the company had significant cash reserves as at the year end and based on their forecasts they expect the company to be able to meet all its cash flow requirements, with no recourse required for additional third-party funding. |
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The company has received confirmation from the parent undertaking that repayment of the loan of £547k (£1.827m) will not be sought unless the company has sufficient surplus funds and does not impact on its ability to meet its liabilities as and when they fall due. |
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Accordingly, at the time of signing these accounts the Directors are of the opinion that the Company will remain viable for the foreseeable future and therefore these Financial Statements have been prepared on the going concern basis. |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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3. | ACCOUNTING POLICIES - continued |
Disclosure exemptions |
The company has taken advantage of certain disclosure exemptions available under FRS 101 in relation to: |
-financial instruments where disclosure requirements appear in the group accounts; |
-fair value measurement; |
-share based payments; |
-the presentation of a cash flow statement and associated notes; |
-the presentation of comparative information in respect of tangible fixed assets; |
-capital management; |
-related party disclosures and transactions |
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Where required, equivalent disclosures are given in the group accounts of the ultimate parent company. |
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Critical accounting judgements and key sources of estimation uncertainty |
The presentation of financial statements in accordance with FRS 101 requires the use of certain critical accounting estimates. It also requires directors to exercise judgement in applying the company's accounting policies as follows: |
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- the directors have had to determine whether there are indications of impairment of the company's fixed asset investment |
- the directors have had to determine whether there are potential material non recoveries of debtor balances |
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Turnover |
Turnover represents the net provision of services exclusive of value added tax. |
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Turnover is recognised on the date when the company has fulfilled its performance obligations in relation to their contract with the customer i.e. the date on which goods are shipped by the relevant shipping line. |
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Tangible fixed assets |
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Plant and machinery | - |
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Fixtures and fittings | - |
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Depreciation is not provided in respect of freehold property. The directors consider that this departure from Companies Act 2006 is necessary to provide a true and fair view as depreciation is only one of the factors affecting the residual value of the property, which in the opinion of the directors will be considerable in light of the location of the property.The directors do not consider that any potential depreciation charge has a material impact upon the financial statements either individually in the current year or cumulatively. |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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3. | ACCOUNTING POLICIES - continued |
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Financial instruments |
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
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The company only enters into transactions in 'basic' financial instruments which result in the recognition of assets and liabilities; these include trade and other debtors and creditors, bank balances, loans from banks and other third parties, and loans to related parties. |
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Basic financial assets (other than those classified as payable within one year) are initially measured at cost, and are subsequently carried at cost or amortised cost using the effective interest method, less any impairment losses. Basic financial assets classified as receivable within one year are not amortised. |
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Basic financial liabilities (other than those classified as payable within one year) are initially recognised at present value of future cash flows and subsequently at amortised costs using the effective interest method. Basic financial liabilities classified as payable within one year are not amortised. |
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Financial assets and liabilities are offset, with the net amounts reported in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
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Taxation |
The tax expense represents the sum of the tax currently payable and deferred tax. |
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Current tax |
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income and expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date. |
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Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit not the accounting profit. |
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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.Foreign exchange gains and losses resulting from the settlement of such transactions, and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies, are recognised in the income statement |
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Employee benefit costs |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to the income statement in the period to which they relate. |
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Investments in subsidiaries |
Investments in subsidiaries are held at cost less accumulated impairment losses. |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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4. | TURNOVER |
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The turnover and profit before taxation are attributable to the one principal activity of the company. |
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An analysis of turnover by geographical market is given below: |
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28.2.21 | 29.2.20 |
£ | £ |
United Kingdom |
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Rest of the world |
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5. | EMPLOYEES AND DIRECTORS |
28.2.21 | 29.2.20 |
£ | £ |
Wages and salaries | 994,395 | 1,107,730 |
Social security costs |
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Other pension costs |
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The average number of employees during the year was as follows: |
28.2.21 | 29.2.20 |
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Administrative | 18 | 20 |
Sales | 7 | 7 |
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28.2.21 | 29.2.20 |
£ | £ |
Directors' remuneration |
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Directors' pension contributions to money purchase schemes |
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The number of directors to whom retirement benefits were accruing was as follows: |
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Money purchase schemes |
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6. | AMOUNTS WRITTEN OFF INVESTMENTS |
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Amounts written off investments in the prior year relates to the write down of the carrying value of the former subsidiary Tradeway North West Limited which had ceased to trade. |
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
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7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
28.2.21 | 29.2.20 |
£ | £ |
Other interest | 130,572 | 226,976 |
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Interest payable relates to a loan from the company's parent undertaking and other financial liabilities. |
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8. | PROFIT BEFORE TAXATION |
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The profit before taxation is stated after charging/(crediting): |
28.2.21 | 29.2.20 |
£ | £ |
Depreciation - owned assets |
|
|
Auditors' remuneration |
|
|
Foreign exchange differences | ( |
) | ( |
) |
Auditors remuneration - other services | 2,100 | 748 |
|
9. | TAXATION |
|
Analysis of tax expense |
28.2.21 | 29.2.20 |
£ | £ |
Current tax: |
Tax |
|
|
Group relief | 146 | 44,573 |
|
Total tax expense in income statement |
|
|
|
Factors affecting the tax expense |
The tax assessed for the year is lower (2020 - higher) than the standard rate of corporation tax in the UK. The difference is explained below: |
|
28.2.21 | 29.2.20 |
£ | £ |
Profit before income tax |
|
|
Profit multiplied by the standard rate of corporation tax in the UK of
(2020 - |
219,315 |
53,618 |
|
Effects of: |
Expenses not deductible in determining taxable profit | 2,889 | 171,175 |
Capital allowances in excess of depreciation | 1,207 | 1,208 |
Income deductible in determining taxable profit | (109,294 | ) | (47,500 | ) |
Under-provision in prior year | 114 | - |
Tax expense |
|
|
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
|
|
9. | TAXATION - continued |
|
Tax effects relating to effects of other comprehensive income |
|
28.2.21 |
Gross | Tax | Net |
£ | £ | £ |
Share option scheme |
|
- | 2,422 |
|
29.2.20 |
Gross | Tax | Net |
£ | £ | £ |
Share option scheme |
|
- | 1,748 |
|
10. | DIVIDENDS |
28.2.21 | 29.2.20 |
£ | £ |
Ordinary shares of £1 each |
Interim | 650,000 | 400,000 |
|
11. | EXCEPTIONAL ITEMS |
|
Included in administrative expenses is an exceptional bad debt charge of £582,581 in relation to a part provision against a trade debtor balance which is subject to dispute between the customer and a shipping merchant. |
|
12. | TANGIBLE FIXED ASSETS |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings | Totals |
£ | £ | £ | £ |
COST |
At 1 March 2020 |
|
|
|
|
Additions |
|
|
|
|
Disposals | ( |
) |
|
|
( |
) |
At 28 February 2021 |
|
|
|
|
DEPRECIATION |
At 1 March 2020 |
|
|
|
|
Charge for year |
|
|
|
|
At 28 February 2021 |
|
|
|
|
NET BOOK VALUE |
At 28 February 2021 |
|
|
|
|
At 29 February 2020 |
|
|
|
|
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
|
|
13. | INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
At 1 March 2020 | 3,550,753 |
Disposals | (731,081 | ) |
At 28 February 2021 | 2,819,672 |
NET BOOK VALUE |
At 28 February 2021 | 2,819,672 |
At 29 February 2020 | 3,550,753 |
|
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
|
|
|
Registered office: Unit D Libra Maidstone Road, Kingston, Milton Keynes, MK10 0BD |
Nature of business:
|
% |
Class of shares: | holding |
|
|
|
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
28.2.21 | 29.2.20 |
£ | £ |
Trade debtors |
|
|
Amounts owed by group undertakings |
|
|
Other debtors |
|
|
VAT |
|
|
Prepayments |
|
|
|
|
|
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
28.2.21 | 29.2.20 |
£ | £ |
Trade creditors |
|
|
Amounts owed to group undertakings |
|
|
Tax |
|
|
Social security and other taxes |
|
|
Other creditors |
|
|
Accrued expenses |
|
|
|
|
TRADEWAY (SHIPPING) LIMITED (REGISTERED NUMBER: 01475410) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2021 |
|
|
16. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
28.2.21 | 29.2.20 |
£ | £ |
Other creditors |
|
|
|
17. | CALLED UP SHARE CAPITAL |
|
|
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 28.2.21 | 29.2.20 |
value: | £ | £ |
|
Ordinary | £1 | 10,000 | 10,000 |
|
Full voting and dividend rights are attached to the Ordinary shares. |
|
18. | PENSION COMMITMENTS |
|
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £97,121 (2020: £101,188). Contributions totalling £7,267 were accrued at the year end (2020: £7,405). |
|
19. | ULTIMATE CONTROLLING PARTY |
|
The immediate parent undertaking is Santova International Holdings (PTY) Limited, registered in South Africa. |
|
The ultimate parent undertaking and the smallest and largest group to consolidate these financial statements is Santova Limited, registered in South Africa. Consolidated financial statements, prepared in accordance with IFRS, are available from www.santova.com |
|
The company is under the control of the shareholders of Santova Limited, the company's ultimate parent undertaking. |