Company Registration No. 02958872 (England and Wales)
CASTING SUPPORT SYSTEMS LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2020
PAGES FOR FILING WITH REGISTRAR
CASTING SUPPORT SYSTEMS LIMITED
CONTENTS
Page
Balance sheet
2
Notes to the financial statements
3 - 6
CASTING SUPPORT SYSTEMS LIMITED
COMPANY INFORMATION
- 1 -
Directors
Mr E J Head
Mr J Head
Company number
02958872
Registered office
Wessex House
Teign Road
Newton Abbot
Devon
TQ12 4AA
Accountants
Darnells Chartered Accountants
Quay House
Quay Road
Newton Abbot
Devon
TQ12 2BU
Business address
Kemmings Close
Long Road
Paignton
Devon
TQ4 7TW
CASTING SUPPORT SYSTEMS LIMITED
BALANCE SHEET
AS AT
30 APRIL 2020
30 April 2020
- 2 -
2020
2019
Notes
£
£
£
£
Current assets
Stocks
123,650
92,338
Debtors
3
2,133,095
1,522,502
Cash at bank and in hand
384,071
39,488
2,640,816
1,654,328
Creditors: amounts falling due within one year
4
(1,793,859)
(1,104,569)
Net current assets
846,957
549,759
Capital and reserves
Called up share capital
318
318
Share premium account
60,957
60,957
Profit and loss reserves
785,682
488,484
Total equity
846,957
549,759
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.
true
For the financial year ended 30 April 2020 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
T
he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476
.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 12 November 2020 and are signed on its behalf by:
Mr E J Head
Director
Company Registration No. 02958872
CASTING SUPPORT SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2020
- 3 -
1
Accounting policies
Company information
Casting Support Systems Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
Wessex House, Teign Road, Newton Abbot, Devon, TQ12 4AA.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in
sterling
, which is the functional currency of the company.
Monetary a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business
, and
is shown net of VAT and other sales related taxes
.
The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer
(usually on dispatch of the goods)
, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
1.3
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
1.4
Financial instruments
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented 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.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
CASTING SUPPORT SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2020
1
Accounting policies
(Continued)
- 4 -
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade creditors are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.5
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.6
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
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 or 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.
1.7
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.8
Government grants
Government grants are recognised at the fair value of the asset receive
d
or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met
. Where a
grant does not specify performance conditions
it
is recognised in income when the proceeds are received or receivable
. A grant received before the recognition criteria are satisfied is recognised as a liability.
1.9
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation
in the period
are included in profit or loss.
CASTING SUPPORT SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2020
1
Accounting policies
(Continued)
- 5 -
1.10
Factoring
The company factors its trade debts. The accounting policy is to include trade debtors factored with recourse within trade debtors due within one year, and the returnable element of proceeds is recorded in bank loans and overdrafts due within one year. Factoring fees and interest are charged to the profit and loss account when paid. Bad debts borne by the company are charged to the profit and loss account when incurred.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2020
2019
Number
Number
Total
30
24
3
Debtors
2020
2019
Amounts falling due within one year:
£
£
Trade debtors
1,042,681
542,652
Amounts owed by group undertakings
1,053,747
936,151
Other debtors
3,527
3,569
Prepayments and accrued income
33,140
40,130
2,133,095
1,522,502
The value of trade debtors which are secured under a confidential discounting agreement is £1,051,394. The cash advanced by the factoring company is included within creditors falling due within one year.
Amounts owed by group undertakings are unsecured, interest free and repayable on demand.
CASTING SUPPORT SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2020
- 6 -
4
Creditors: amounts falling due within one year
2020
2019
£
£
Bank loans and overdrafts
876,976
371,324
Trade creditors
593,020
481,111
Corporation tax
102,546
60,760
Other taxation and social security
176,240
105,465
Other creditors
3,120
5,022
Accruals and deferred income
41,957
80,887
1,793,859
1,104,569
All bank facilities, including the amount owed to the factoring company under a confidential invoice discounting agreement are secured by fixed and floating charges over all the assets of the company.
5
Events after the reporting date
Although the ultimate financial effects of the Covid-19 outbreak and the resultant lockdown cannot be quantified at this point, the directors believe that there was little or no financial impact on the company. They are confident that there will soon be a return to normality, and that the company will continue to operate without a significant reduction in its capacity for the foreseeable future.
6
Related party transactions
The company has taken advantage of the exemption under section
1A
of
FRS 102
not to
disclose related party transactions between a parent and a wholly owned subsidiary, and other related party transactions arising in the normal course of business.
7
Parent company
The ultimate parent company is Investment Casting Systems Limited, a company incorporated in England & Wales.