Landcatch Natural Selection Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC214851 (Scotland)

LANDCATCH NATURAL SELECTION LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

to

8

DIRECTORS:

D Danson

B Geurts

Hendrix Genetics B.V.

J W P Van Den Berg

REGISTERED OFFICE:

Ormsary Fish Farm

Ormsary

Lochgilphead

Argyll

PA31 8PE

REGISTERED NUMBER:

SC214851 (Scotland)

SENIOR STATUTORY AUDITOR:

Timothy Godson FCA

AUDITORS:

Duncan & Toplis Limited, Statutory Auditor

15 Chequergate

Louth

Lincolnshire

LN11 0LJ

BANKERS:

Royal Bank of Scotland

122 Cathcart Street

Greenock

PA15 1BA

SOLICITORS:

Murray Snell

40 North Castle Street

Edinburgh

EH2 3BN

FIXED ASSETS

Tangible assets

4

2,755,123

1,541,244

CURRENT ASSETS

Stocks

5

622,864

566,163

Debtors

6

1,162,236

1,841,084

Cash at bank

3,592,618

1,711,580

5,377,718

4,118,827

CREDITORS

Amounts falling due within one year

7

2,073,912

1,823,421

NET CURRENT ASSETS

3,303,806

2,295,406

TOTAL ASSETS LESS CURRENT LIABILITIES

6,058,929

3,836,650

PROVISIONS FOR LIABILITIES

9

26,324

-

NET ASSETS

6,032,605

3,836,650

CAPITAL AND RESERVES

Called up share capital

10

1,985,367

1,985,367

Retained earnings

4,047,238

1,851,283

SHAREHOLDERS' FUNDS

6,032,605

3,836,650

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 Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 28 March 2022 and were signed on its behalf by:

J W P Van Den Berg - Director

1.	STATUTORY INFORMATION

Landcatch Natural Selection Limited is a private company, limited by shares , registered in Scotland. 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.

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised.

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

- the company has transferred the significant risks and rewards of ownership to the buyer;

- the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

- the amount of revenue can be measured reliably;

- it is probable that the company will receive the consideration due under the transaction; and

- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

- the amount of revenue can be measured reliably;

- it is probable that the company will receive the consideration due under the contract;

- the stage of completion of the contract at the end of the reporting period can be measured reliably; and

- the costs incurred and the costs to complete the contract can be measured reliably.

Providing genetic services

Revenue from when Landcatch Natural Selection Limited act as an agent for genetic services contracts is recognised based on commission on the invoice value following delivery of the service.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Land and buildings

- 4% to 10% straight line and Nil

Plant and machinery

- 6% to 25% straight line

Fixtures and fittings

- 10 to 20% straight line

Computer equipment

- 50% straight line

Stocks

Stocks are valued at the lower of cost and net realisable value as follows:

Cost is actual purchase cost, feeding costs, attributable labour and production overheads, based on a normal activity level less an allowance for mortalities during the growth cycle. Net realisable value is based on estimated selling prices less estimated selling costs.

At each balance sheet date, stocks are assessed for impairment. If stock is 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.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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.

Research and development

As it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

RDEC tax credits are treated as government grants.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date, which has been provided by the group. 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.

Operating leases

Rentals paid under operating leases are charge to profit or loss on a straight line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

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.

Defined contribution pension plan

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Provisions for liabilities

Provisions are made where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.

Provisions are charged as an expense to profit or loss in the year that the company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 30 (2020 - 30 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Land and

Plant and

and

Computer

buildings

machinery

fittings

equipment

Totals

£

£

£

£

£

COST

At 1 January 2021

406,839

6,652,646

95,954

81,712

7,237,151

Additions

-

1,466,679

-

-

1,466,679

Disposals

(18,881

)

(363,989

)

-

(818

)

(383,688

)

At 31 December 2021

387,958

7,755,336

95,954

80,894

8,320,142

DEPRECIATION

At 1 January 2021

344,257

5,198,529

71,409

81,712

5,695,907

Charge for year

13,021

231,525

8,254

-

252,800

Eliminated on disposal

(18,881

)

(363,989

)

-

(818

)

(383,688

)

At 31 December 2021

338,397

5,066,065

79,663

80,894

5,565,019

NET BOOK VALUE

At 31 December 2021

49,561

2,689,271

16,291

-

2,755,123

At 31 December 2020

62,582

1,454,117

24,545

-

1,541,244

5.

STOCKS

2021

2020

£

£

Stocks

101,344

126,679

Livestock

521,520

439,484

622,864

566,163

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

658,583

1,090,921

Amounts owed by group undertakings

5,665

-

Other debtors

21,875

-

Tax

-

22,252

VAT

52,794

80,539

Deferred tax asset

Accelerated capital allowances

-

244,150

Prepayments

423,319

403,222

1,162,236

1,841,084

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Bank overdrafts

14,186

2,273

Trade creditors

532,540

666,727

Amounts owed to group undertakings

11,428

272,390

Other taxes and social security

19,444

24,684

Other creditors

42,745

30,058

Accruals and deferred income

1,453,569

827,289

2,073,912

1,823,421

8.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follow:

2021

2020

£

£

Property

Not later than 1 year

240,239

241,488

Later than 1 year and not later than 5 years

960,955

965,953

Later than 5 years

1,267,442

1,491,519

2,468,636

2,698,960

2021

2020

£

£

Utilities

Not later than 1 year

537,295

535,018

Later than 1 year and not later than 5 years

2,149,179

2,140,074

Later than 5 years

2,417,826

2,942,601

5,104,300

5,617,693

9.	PROVISIONS FOR LIABILITIES

2021

£

Deferred tax

Accelerated capital allowances

26,324

Deferred

tax

£

Balance at 1 January 2021

(244,150

)

Charge to Statement of Income and Retained Earnings during year

270,474

Balance at 31 December 2021

26,324

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

1

Ordinary

£1

1

1

1,985,366

Class A Ordinary

£1

1,985,366

1,985,366

1,985,367

1,985,367

11.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Timothy Godson FCA (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Limited, Statutory Auditor

12.	PENSION COMMITMENTS

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in a independently administered fund. The pension charge amounted to £36,639 (2020 - £36,351). Contributions amounting to £3,681 (2020 - £6,058) were payable to the fund and are included in creditors.

13.	CAPITAL COMMITMENTS

At 31 December 2021 the company had capital commitments of £Nil (2020 - £80,244).

14.	RELATED PARTY DISCLOSURES

Lancatch Natural Selection Limited are exempt from disclosing the related parties as per FRS 102 33.1A, which states 'disclosures need not be given of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member'.

Remuneration paid to key management personnel for the year ended 31 December 2021 was £75,385 (2020 - £75,768)

15.	ULTIMATE CONTROLLING PARTY

The company is a subsidiary of Joice and Hill Poultry Limited which is incorporated in the UK.

The largest group in which the results of the company are consolidated is that headed by Hendrix Genetics B.V., incorporated in the Netherlands. The consolidated accounts are available to the public and may be obtained from the parent company address at Villa 'de Korver', Spoorstraat 69, 5830 AC BOXMEER, Netherlands.

The ultimate controlling party is Thijs Hendrix Beheer B.V.