Kenray Forming Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: 05097462 (England and Wales)

Kenray Forming Limited

Unaudited Financial Statements

for the Year Ended 31 July 2019

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

4

DIRECTORS:

W M Evans

A P Dennis

SECRETARY:

A P Dennis

REGISTERED OFFICE:

Telford Way

Stephenson Industrial Estate

Coalville

Leicestershire

LE67 3HE

REGISTERED NUMBER:

05097462 (England and Wales)

ACCOUNTANTS:

Haines Watts

6 Charter Point Way

Ashby Business Park

Ashby De La Zouch

Leicestershire

LE65 1NF

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

539,791

587,956

Investments

6

90

90

539,881

588,046

CURRENT ASSETS

Stocks

244,825

183,620

Debtors

7

901,955

849,679

Cash at bank and in hand

336,081

436,543

1,482,861

1,469,842

CREDITORS

Amounts falling due within one year

8

309,289

555,707

NET CURRENT ASSETS

1,173,572

914,135

TOTAL ASSETS LESS CURRENT LIABILITIES

1,713,453

1,502,181

CREDITORS

Amounts falling due after more than one year

9

(198,920

)

(247,049

)

PROVISIONS FOR LIABILITIES

(43,587

)

(50,738

)

NET ASSETS

1,470,946

1,204,394

CAPITAL AND RESERVES

Called up share capital

126,315

126,315

Share premium

23,685

23,685

Retained earnings

1,320,946

1,054,394

SHAREHOLDERS' FUNDS

1,470,946

1,204,394

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 July 2019.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 July 2019 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors on 11 November 2019 and were signed on its behalf by:

W M Evans - Director

A P Dennis - Director

1.	STATUTORY INFORMATION

Kenray Forming 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.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Significant judgements and estimates

In the application of the company's accounting policies, the directors are required to make judgement,

estimates and assumptions about carrying amounts of assets and liabilities that are not readily apparent from

other sources. The estimates and associated assumptions are based on historical experience and other factors

that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting

estimates are recognised in the period in which the estimate is revised where the revision affects only that

period, or in the period of revision and future periods where the revision affects both current and future periods.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates

and value added tax.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2004, is being amortised evenly over its estimated useful life of twelve years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost

less any accumulated amortisation and any accumulated impairment losses.

Patents and licences are being amortised evenly over their estimated useful life of nil years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

33% on reducing balance, 25% on reducing balance and 20% on reducing balance

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost less any provision for impairment.

Stocks

Stocks and work in progress are valued at the lower of cost and net realisable value, after making due

allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in

bringing stocks to their present location and condition.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to

the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or

substantively enacted by the statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the

statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different

from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and

laws that have been enacted or substantively enacted by the year end and that are expected to apply to the

reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they

will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those

held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance

leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital

element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the

lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's

pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 45 (2018 - 44 ) .

4.	INTANGIBLE FIXED ASSETS

Other

intangible

Goodwill

assets

Totals

£

£

£

COST

At 1 August 2018

and 31 July 2019

1,003,826

3,989

1,007,815

AMORTISATION

At 1 August 2018

and 31 July 2019

1,003,826

3,989

1,007,815

NET BOOK VALUE

At 31 July 2019

-

-

-

At 31 July 2018

-

-

-

5.	TANGIBLE FIXED ASSETS

Plant and

Land and

machinery

buildings

etc

Totals

£

£

£

COST

At 1 August 2018

362,600

1,064,611

1,427,211

Additions

-

1,967

1,967

At 31 July 2019

362,600

1,066,578

1,429,178

DEPRECIATION

At 1 August 2018

-

839,255

839,255

Charge for year

-

50,132

50,132

At 31 July 2019

-

889,387

889,387

NET BOOK VALUE

At 31 July 2019

362,600

177,191

539,791

At 31 July 2018

362,600

225,356

587,956

Land and buildings were valued at the previous year end by the directors. Based upon their knowledge of the

local market and condition of the properties they feel that the value shown in the accounts is materially correct.

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

etc

£

COST

At 1 August 2018

and 31 July 2019

257,993

DEPRECIATION

At 1 August 2018

125,065

Charge for year

29,414

At 31 July 2019

154,479

NET BOOK VALUE

At 31 July 2019

103,514

At 31 July 2018

132,928

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 August 2018

and 31 July 2019

64,496

PROVISIONS

At 1 August 2018

and 31 July 2019

64,406

NET BOOK VALUE

At 31 July 2019

90

At 31 July 2018

90

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Trade debtors

596,880

614,152

Amounts owed by group undertakings

119,690

103,764

Other debtors

185,385

131,763

901,955

849,679

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2019

2018

£

£

Bank loans and overdrafts

20,256

22,534

Hire purchase contracts

27,600

39,839

Trade creditors

141,337

147,342

Taxation and social security

56,357

193,388

Other creditors

63,739

152,604

309,289

555,707

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2019

2018

£

£

Bank loans

165,447

185,976

Hire purchase contracts

33,473

61,073

198,920

247,049

Amounts falling due in more than five years:

Repayable by instalments

Bank loans more 5 yr by instal

105,111

120,457

10.	SECURED DEBTS

The following secured debts are included within creditors:

2019

2018

£

£

Bank loans

185,703

208,510

Hire purchase contracts

61,073

100,912

246,776

309,422

11.	RELATED PARTY DISCLOSURES

During the year the company made a loan to Kenray India LLP, of which Kenray Forming Limited is a corporate

member, which was interest free and repayable on demand. The amount loaned was £46,615 (2018 -

£24,895), the maximum outstanding during the year and as at 31 July 2019 was £46,615 (2018 - £24,895).

The company also made loans to Kenray France SARL which were interest free and repayable on demand.

The amount loaned during the year was £27,586 (2018 - £5,655). The maximum outstanding during the year

was £131,349 (2018 - £107,219) and as at 31 July 2019 the amount outstanding was £119,690 (2018 -

£103,764).

The company also made loans to Mr D Evans who is the son of the Director, Mr W Evans. The amount loaned

during the year was £38,668 (2018 - 38,668). The maximum outstanding during the year and the amount

outstanding as at 31 July 2019 was £109,559 (2018 - £70,891).