Company Registration No. 07661469 (England and Wales)
HYDRO FUSION LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2018
PAGES FOR FILING WITH REGISTRAR
HYDRO FUSION LIMITED
CONTENTS
Page
Balance sheet
1
Statement of changes in equity
2
Notes to the financial statements
3 - 7
HYDRO FUSION LIMITED
BALANCE SHEET
AS AT 30 JUNE 2018
30 June 2018
- 1 -
2018
2017
Notes
£
£
£
£
Fixed assets
Intangible assets
2
226,326
226,326
Tangible assets
3
11,953
1,023
Current assets
Stocks
163,883
163,883
Debtors
4
10,507
10,507
Cash at bank and in hand
36,081
29,712
210,471
204,102
Creditors: amounts falling due within one year
5
(7,042)
(23,469)
Net current assets
203,429
180,633
Total assets less current liabilities
441,708
407,982
Capital and reserves
Called up share capital
6
27,331
27,202
Share premium account
7
946,827
792,180
Profit and loss reserves
(532,450)
(411,400)
Total equity
441,708
407,982
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 June 2018 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 29 March 2019 and are signed on its behalf by:
Mr N B Sandstrom
Director
Company Registration No. 07661469
HYDRO FUSION LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2018
- 2 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 July 2016
27,037
660,345
(361,420)
325,962
Year ended 30 June 2017:
Loss and total comprehensive income for the year
-
-
(49,980)
(49,980)
Issue of share capital
6
165
131,835
-
132,000
Balance at 30 June 2017
27,202
792,180
(411,400)
407,982
Year ended 30 June 2018:
Loss and total comprehensive income for the year
-
-
(121,050)
(121,050)
Issue of share capital
6
129
154,647
-
154,776
Balance at 30 June 2018
27,331
946,827
(532,450)
441,708
HYDRO FUSION LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2018
- 3 -
1
Accounting policies
Company information
Hydro Fusion Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
66 Prescot Street, London, E1 8NN.
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
Intangible fixed assets other than goodwill
License and Website and development cost are valued at cost less accumulated amortisation. Amortisation is calculated to write off the cost in equal instalments over their estimated useful lives. As the benefit from the intangible assets has not started to be realised, these are not being amortised and are carried at cost.
1.3
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:
Laboratory equipment
20% reducing balance
Computer equipment
20% reducing balance
1.4
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company
estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.5
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.
Stocks held for distribution at no or nominal consideration are measured at the lower of replacement cost and cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
HYDRO FUSION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 4 -
1.6
Cash at bank and in hand
Cash at bank and in hand
are basic financial assets
and
include deposits held at call with banks.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Basic financial assets
Basic financial assets, which include debtors and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method.
Financial assets classified as receivable within one year are not amortised.
Impairment of financial assets
Financial assets, other than those
held
at
fair value through profit and loss
, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.
If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when
the company
transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
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.
Basic financial liabilities
Basic financial liabilities, including creditors are
initially recognised at transaction price
.
Financial liabilities classified as payable within one year are not amortised.
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.
HYDRO FUSION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
1
Accounting policies
(Continued)
- 5 -
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations
expire or are discharged or cancelled.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.
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 are included in the profit and loss account for the period.
2
Intangible fixed assets
Patents
Website and development costs
Total
£
£
£
Cost
At 1 July 2017
181,508
44,818
226,326
Additions - separately acquired
-
43,621
43,621
At 30 June 2018
181,508
88,439
269,947
Amortisation and impairment
At 1 July 2017
-
-
-
Impairment losses
-
43,621
43,621
At 30 June 2018
-
43,621
43,621
Carrying amount
At 30 June 2018
181,508
44,818
226,326
At 30 June 2017
181,508
44,818
226,326
More information on the impairment arising in the year is given in note .
HYDRO FUSION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
- 6 -
3
Tangible fixed assets
Laboratory equipment
Computer equipment
Total
£
£
£
Cost
At 1 July 2017
-
2,228
2,228
Additions
13,917
-
13,917
At 30 June 2018
13,917
2,228
16,145
Depreciation and impairment
At 1 July 2017
-
1,205
1,205
Depreciation charged in the year
2,783
204
2,987
At 30 June 2018
2,783
1,409
4,192
Carrying amount
At 30 June 2018
11,134
819
11,953
At 30 June 2017
-
1,023
1,023
4
Debtors
2018
2017
Amounts falling due within one year:
£
£
Other debtors
10,507
10,507
5
Creditors: amounts falling due within one year
2018
2017
£
£
Trade creditors
1,110
1,110
Other creditors
5,932
22,359
7,042
23,469
6
Called up share capital
2018
2017
£
£
Ordinary share capital
Issued and fully paid
5,460,146 Ordinary shares of 0.5p each
27,331
27,202
27,331
27,202
25,796 shares were issued during the year at
£6
per share.
7
Share premium account
HYDRO FUSION LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2018
7
Share premium account
(Continued)
- 7 -
2018
2017
£
£
At beginning of year
792,180
660,345
Issue of new shares
154,647
131,835
At end of year
946,827
792,180
8
Related Party Transactions
At the reporting date, the company owed £3,932 (201
7: 20,35
9) to the directors of the company.