Glassworks International Limited - Limited company accounts 18.2

REGISTERED NUMBER: 05128445 (England and Wales)

REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2017

FOR

GLASSWORKS INTERNATIONAL LIMITED

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

3

Profit and Loss Account

5

Balance Sheet

6

Notes to the Financial Statements

7

DIRECTORS:

Mr P M Morgan

Mrs S J Morgan

SECRETARY:

Mrs S J Morgan

REGISTERED OFFICE:

Unit 1, Cambridge House

Camboro Business Park

Oakington Road, Girton

CAMBRIDGE

Cambridgeshire

CB3 0QH

REGISTERED NUMBER:

05128445 (England and Wales)

INDEPENDENT AUDITORS:

Staffords

Chartered Accountants

& Statutory Auditors

Unit 1, Cambridge House

Camboro Business Park

Oakington Road, Girton

CAMBRIDGE

Cambridgeshire

CB3 0QH

BANKERS:

National Westminster Bank PLC

Chelmsford

The directors present their report with the financial statements of the company for the year ended 31 December 2017.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2017 to the date of this

report.

Mr P M Morgan

Mrs S J Morgan

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with

applicable law and regulations.

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), including Financial Reporting Standard 102 'The

Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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:

-	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.

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.

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 or she ought to have

taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the

company's auditors are aware of that information.

AUDITORS

The auditors, Staffords, will be proposed for re-appointment at the forthcoming Annual General Meeting.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small

companies.

ON BEHALF OF THE BOARD:

Mrs S J Morgan - Secretary

17 September 2018

Opinion

We have audited the financial statements of Glassworks International Limited (the 'company') for the year ended

31 December 2017 which comprise the Profit and Loss Account, Balance Sheet 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 102

'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted

Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2017 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.

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.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to

you where:

-	the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

-

the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The directors are responsible for the other information. The other information comprises the information in the Report of

the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of

assurance conclusion thereon.

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, 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.

Opinion 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors has been prepared in accordance with applicable legal requirements.

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 Report of the Directors.

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; or

-	the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, 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.

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.

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.

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.

Use of our report

This report is made solely to the company's shareholders, 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 shareholders 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

shareholders as a body, for our audit work, for this report, or for the opinions we have formed.

Matthew Pettifer FCA (Senior Statutory Auditor)

for and on behalf of Staffords

Chartered Accountants

& Statutory Auditors

Unit 1, Cambridge House

Camboro Business Park

Oakington Road, Girton

CAMBRIDGE

Cambridgeshire

CB3 0QH

17 September 2018

TURNOVER

10,454,741

8,516,778

Cost of sales

8,965,885

7,021,154

GROSS PROFIT

1,488,856

1,495,624

Distribution costs

362,062

280,647

Administrative expenses

698,448

859,541

1,060,510

1,140,188

428,346

355,436

Other operating income

-

42,229

OPERATING PROFIT

4

428,346

397,665

Interest receivable and similar income

458

-

428,804

397,665

Interest payable and similar expenses

1,120

-

PROFIT BEFORE TAXATION

427,684

397,665

Tax on profit

43,954

82,509

PROFIT FOR THE FINANCIAL YEAR

383,730

315,156

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

383,730

315,156

FIXED ASSETS

Intangible assets

6

172,332

124,583

Tangible assets

7

280,699

219,752

453,031

344,335

CURRENT ASSETS

Stocks

3,503,741

3,076,408

Debtors

8

2,173,076

1,966,279

Cash at bank

2,254

20,563

5,679,071

5,063,250

CREDITORS

Amounts falling due within one year

9

5,765,733

5,062,102

NET CURRENT (LIABILITIES)/ASSETS

(86,662

)

1,148

TOTAL ASSETS LESS CURRENT LIABILITIES

366,369

345,483

CREDITORS

Amounts falling due after more than one year

10

12,126

16,519

NET ASSETS

354,243

328,964

CAPITAL AND RESERVES

Called up share capital

12

100

100

Retained earnings

354,143

328,864

SHAREHOLDERS' FUNDS

354,243

328,964

The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the Board of Directors on 17 September 2018 and were signed on its behalf by:

Mr P M Morgan - Director

1.	STATUTORY INFORMATION

Glassworks International 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.

The presentation currency of the financial statements is the Pound Sterling (£).

The address of the principal place of business of the company is Saffron House, 67 High Street, Saffron Walden.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The

Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party

transactions with wholly owned subsidiaries within the group.

Turnover

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

value added tax and other sales taxes.

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 twenty years.

Intangible assets

Development costs have not been amortised as the development was not complete at the year end.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

20% on cost

Plant and machinery

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow

moving items.

Financial instruments

The company uses forward foreign currency contracts to reduce exposure to foreign exchange rates. Derivative

financial instruments are initially measured at fair value on the date when a derivative contract is entered into and

are subsequently measured at fair value through the profit and loss. Derivatives are carried as assets when the

fair value is positive, and liabilities where the fair value is negative.

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.

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.

Invoice discounting

The company utilises an invoice discounting facility. The terms of this facility are judged to be that the risks and

rewards of ownership do not pass to the finance company. As such, trade debtors are not derecognised on

drawdown of funds against this facility, and the facility is recognised as a liability for the amount drawn and

included within Other Creditors.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 7 (2016 - 8 ) .

2017

2016

£

£

Directors' remuneration

42,986

57,829

4.	OPERATING PROFIT

The operating profit is stated after charging:

2017

2016

£

£

Depreciation - owned assets

67,396

33,845

Goodwill amortisation

16,250

16,250

Auditors' remuneration

17,838

16,120

5.

DIVIDENDS

2017

2016

£

£

Final

358,451

313,885

6.	INTANGIBLE FIXED ASSETS

Other

intangible

Goodwill

assets

Totals

£

£

£

COST

At 1 January 2017

325,000

-

325,000

Additions

-

63,999

63,999

At 31 December 2017

325,000

63,999

388,999

AMORTISATION

At 1 January 2017

200,417

-

200,417

Charge for year

16,250

-

16,250

At 31 December 2017

216,667

-

216,667

NET BOOK VALUE

At 31 December 2017

108,333

63,999

172,332

At 31 December 2016

124,583

-

124,583

7.	TANGIBLE FIXED ASSETS

Fixtures

and

Plant and

Motor

fittings

machinery

vehicles

Totals

£

£

£

£

COST

At 1 January 2017

1,810

90,324

225,455

317,589

Additions

118,068

34,532

-

152,600

Disposals

(1,810

)

-

(42,931

)

(44,741

)

At 31 December 2017

118,068

124,856

182,524

425,448

DEPRECIATION

At 1 January 2017

1,696

63,202

32,939

97,837

Charge for year

12,049

10,598

44,749

67,396

Eliminated on disposal

(1,810

)

-

(18,674

)

(20,484

)

At 31 December 2017

11,935

73,800

59,014

144,749

NET BOOK VALUE

At 31 December 2017

106,133

51,056

123,510

280,699

At 31 December 2016

114

27,122

192,516

219,752

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Trade debtors

1,856,846

1,610,379

Other debtors

316,230

355,900

2,173,076

1,966,279

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

£

Hire purchase contracts

3,393

2,273

Trade creditors

3,798,972

3,445,023

Taxation and social security

623,577

651,485

Other creditors

1,339,791

963,321

5,765,733

5,062,102

10.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2017

2016

£

£

Hire purchase contracts

12,126

16,519

11.	SECURED DEBTS

The following secured debts are included within creditors:

2017

2016

£

£

Other Creditors

790,257

730,953

Secured amounts within other creditors relate to amounts drawndown in accordance with the company's invoice

discounting facility, and these are secured by a debenture over all the assets of the company.

12.	CALLED UP SHARE CAPITAL

Allotted and issued:

Number:

Class:

Nominal

2017

2016

value:

£

£

100

Ordinary

£1

100

100

13.	RELATED PARTY DISCLOSURES

Glassworks International Limited is wholly owned subsidiary of GWI Investments Limited, Unit 1, Camboro

Business Park, Oakington Road, Girton, Cambs, CB3 0QH