Agrimar (U.K.) Limited - Period Ending 2016-12-31

Agrimar (U.K.) Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2016

Agrimar (U.K.) Limited

Contents

Company Information	1
Accountants' Report	2
Statement of Comprehensive Income	3
Balance Sheet	4
Statement of Changes in Equity	5
Notes to the Financial Statements	6 to 14

Agrimar (U.K.) Limited

Company Information

Director

Mr G J Barnacle

Registered office

1 Canal Court
152-154 High Street
Brentford
Middlesex
TW8 8JA

Accountants

Milsted Langdon LLP
Chartered Accountants
One Redcliff Street
Bristol
BS1 6NP

Page 1

Chartered Accountants' Report to the Director on the preparation of the Unaudited Statutory Accounts of
Agrimar (U.K.) Limited
for the Year Ended 31 December 2016

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Agrimar (U.K.) Limited for the year ended 31 December 2016 as set out on pages 3 to 14 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements.

This report is made solely to the Board of Directors of Agrimar (U.K.) Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of Agrimar (U.K.) Limited and state those matters that we have agreed to state to the Board of Directors of Agrimar (U.K.) Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Agrimar (U.K.) Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that Agrimar (U.K.) Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of Agrimar (U.K.) Limited. You consider that Agrimar (U.K.) Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of Agrimar (U.K.) Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

Milsted Langdon LLP
Chartered Accountants
One Redcliff Street
Bristol
BS1 6NP

30 May 2017

Page 2

Agrimar (U.K.) Limited

Statement of Comprehensive Income for the Year Ended 31 December 2016

	Note	2016 £	2015 £
Profit for the year		20,065	519,171
Total comprehensive income for the year		20,065	519,171

The notes on pages 6 to 14 form an integral part of these financial statements.

Page 3

Agrimar (U.K.) Limited

(Registration number: 01562933)
Balance Sheet as at 31 December 2016

	Note	2016 £	2015 £
Fixed assets
Tangible assets	4	1,945,433	1,961,846
Current assets
Stocks	5	27,407	21,840
Debtors	6	627,818	764,206
Cash at bank and in hand		182,583	155,959
		837,808	942,005
Creditors: Amounts falling due within one year	7	(1,138,124)	(1,144,913)
Net current liabilities		(300,316)	(202,908)
Total assets less current liabilities		1,645,117	1,758,938
Creditors: Amounts falling due after more than one year	7	(1,248,885)	(1,382,771)
Net assets		396,232	376,167
Capital and reserves
Called up share capital		100,000	100,000
Profit and loss account		296,232	276,167
Total equity		396,232	376,167

For the financial year ending 31 December 2016 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

Approved and authorised by the director on 23 May 2017

Mr G J Barnacle

Director

The notes on pages 6 to 14 form an integral part of these financial statements.

Page 4

Agrimar (U.K.) Limited

Statement of Changes in Equity for the Year Ended 31 December 2016

	Share capital £	Profit and loss account £	Total £
At 1 January 2016	100,000	276,167	376,167
Profit for the year	-	20,065	20,065
Total comprehensive income	-	20,065	20,065
At 31 December 2016	100,000	296,232	396,232

	Share capital £	Profit and loss account £	Total £
At 1 January 2015	100,000	(243,004)	(143,004)
Profit for the year	-	519,171	519,171
Total comprehensive income	-	519,171	519,171
At 31 December 2015	100,000	276,167	376,167

The notes on pages 6 to 14 form an integral part of these financial statements.

Page 5

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

1	General information

The company is a private company limited by share capital incorporated in United Kingdom.

The address of its registered office is:
1 Canal Court
152-154 High Street
Brentford
Middlesex
TW8 8JA

These financial statements were authorised for issue by the director on 23 May 2017.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The date of transition of the company was 1 January 2015.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non- monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing on the initial transaction dates. All exchange differences are included in the profit and loss account.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Furniture, fittings and equipment	10% Straight line
Motor vehicles	25% Straight line

Page 6

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Investment property

In accordance with the requirement of FRS 102 Section 1A, investment properties owned by the company are stated at their open market value at the balance sheet date and any aggregate surplus or deficit is recognised through the profit and loss account. No depreciation is charged on these assets.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are 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.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Page 7

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3	Staff numbers

The average number of persons employed by the company (including the director) during the year, was 4 (2015 - 5).

4	Tangible assets

Investment properties
£

Furniture, fittings and equipment
£

Motor vehicles
£

Total
£

Cost or valuation

At 1 January 2016

1,940,000

91,561

35,000

2,066,561

Additions

-

1,198

-

1,198

Disposals

-

-

(35,000)

(35,000)

At 31 December 2016

1,940,000

92,759

-

2,032,759

Depreciation

At 1 January 2016

-

85,965

18,750

104,715

Charge for the year

-

1,361

-

1,361

Eliminated on disposal

-

-

(18,750)

(18,750)

At 31 December 2016

-

87,326

-

87,326

Carrying amount

At 31 December 2016

1,940,000

5,433

-

1,945,433

At 31 December 2015

1,940,000

5,596

16,250

1,961,846

Included within the net book value of investment properties above is £1,200,000 (2015 - £1,200,000) in respect of freehold land and buildings and £740,000 (2015 - £740,000) in respect of long leasehold land and buildings.

Page 8

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Revaluation

The fair value of the company's Freehold land and buildings was revalued on 10 December 2015 by an independent valuer.
The basis of this valuation was existing use market value. The directors do not believe that the fair value had changed materially from the most recent valuation. The name and qualification of the independent valuer are Darby Mountbank Chartered Surveyors.
Had this class of asset been measured on a historical cost basis, the carrying amount would have been £925,787 (2015 - £925,787).

The fair value of the company's Long leasehold land and buildings was revalued on 10 December 2015 by an independent valuer.
The basis of this valuation was existing use market value. The directors do not believe that the fair value had changed materially from the most recent valuation. The name and qualification of the independent valuer are Darby Mountbank Chartered Surveyors.
Had this class of asset been measured on a historical cost basis, the carrying amount would have been £521,251 (2015 - £521,251).

Stocks

	2016 £	2015 £
Other inventories	27,407	21,840

Debtors

	2016 £	2015 £
Trade debtors	602,823	718,564
Other debtors	24,995	45,642
Total current trade and other debtors	627,818	764,206

Creditors

	Note	2016 £	2015 £
Due within one year
Bank loans and overdrafts	8	82,177	51,574
Trade creditors		799,516	605,375
Taxation and social security		3,351	7,286
Other creditors		253,080	480,678
		1,138,124	1,144,913
Due after one year
Other non-current financial liabilities		1,248,885	1,382,771

The non-current financial liability is denominated in GBP and is due in more than one year. The carrying amount at the year end is £1,248,885 (2015 - £1,382,771). The company has given security on the non-current financial liability in respect of the company’s assets.

Page 9

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

8	Loans and borrowings

2016
£

2015
£

Current loans and borrowings

Bank overdrafts

82,177

51,574

The bank overdraft is denominated in GBP and is repayable on demand. The carrying amount at the year end is £82,177 (2015 - £51,574). The company has given security on the bank overdraft in respect of the company’s assets.

9	Share capital

2016
£

2015
£

Allotted, called up and fully paid

Odinary £1 shares

100,000

100,000

10

Related party transactions

Key management compensation

	2016 £	2015 £
Salaries and other short term employee benefits	93,069	106,342
Post-employment benefits	134,576	3,409
	227,645	109,751

Summary of transactions with parent

Agrimatco Limited
The company has taken advantage of the exemption from disclosing transactions with other members of the group.

11	Parent and ultimate parent undertaking

The company's immediate parent is Agrimatco Limited, incorporated in Cyprus.

These financial statements are available upon request from 114, Gladstonos str.
Oasis Center
P.O Box 57078
CY-3312 Limassol, Cyprus

Relationship between entity and parents

The parent of the largest group in which these financial statements are consolidated is Agrimatco Limited, incorporated in Cyprus.

Page 10

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

The address of Agrimatco Limited is:
114, Gladstonos str.
Oasis Center
P.O Box 57078
CY-3312 Limassol, Cyprus

Agrimatco Limited is the 100% shareholder in Agrimar (UK) Limited.

The parent of the smallest group in which these financial statements are consolidated is Agrimatco Limited, incorporated in Cyprus.

The address of Agrimatco Limited is:
114, Gladstonos str.
Oasis Center
P.O Box 57078
CY-3312 Limassol, Cyprus

Agrimatco Limited is the 100% shareholder in Agrimar (UK) Limited.

Page 11

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

12	Transition to FRS 102

The company transitioned to FRS 102 Section 1A as at 1 January 2015.

The following are changes in accounting policies from the transition to FRS 102 Section 1A:

Unrealised fair value gains were previously recognised through the statement of recognised gains and losses. This is no longer appropriate under FRS 102 Section 1A and as a result the gain has been reclassified to be recognised in the profit and loss account. In addition the revaluation reserve balance which relates fully to the year ended 31 December 2015 has been moved to the profit and loss reserve.

Foreign exchange gains and losses have previously been treated as a cost of sale. This is no longer appropiate under FRS 102 Section 1A and as a result, foreign exchange gains and losses have been restated as interest payable and similar charges. The company did not present financial statements for previous periods.

Balance Sheet at 1 January 2015

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		29,521	-	-	29,521
Investment property		1,447,038	-	-	1,447,038
		1,476,559	-	-	1,476,559
Current assets
Stocks		21,791	-	-	21,791
Debtors		384,789	-	-	384,789
Cash at bank and in hand		16,056	-	-	16,056
		422,636	-	-	422,636
Creditors: Amounts falling due within one year		(804,432)	-	-	(804,432)
Net current liabilities		(381,796)	-	-	(381,796)
Total assets less current liabilities		1,094,763	-	-	1,094,763
Creditors: Amounts falling due after more than one year		(1,237,767)	-	-	(1,237,767)
Net liabilities		(143,004)	-	-	(143,004)
Capital and reserves
Called up share capital		(100,000)	-	-	(100,000)
Profit and loss account		243,004	-	-	243,004
Total equity		143,004	-	-	143,004

Page 12

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Balance Sheet at 31 December 2015

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		21,846	-	-	21,846
Investment property		1,940,000	-	-	1,940,000
		1,961,846	-	-	1,961,846
Current assets
Stocks		21,840	-	-	21,840
Debtors		764,206	-	-	764,206
Cash at bank and in hand		155,959	-	-	155,959
		942,005	-	-	942,005
Creditors: Amounts falling due within one year		(1,144,913)	-	-	(1,144,913)
Net current liabilities		(202,908)	-	-	(202,908)
Total assets less current liabilities		1,758,938	-	-	1,758,938
Creditors: Amounts falling due after more than one year		(1,382,771)	-	-	(1,382,771)
Net assets		376,167	-	-	376,167
Capital and reserves
Called up share capital		(100,000)	-	-	(100,000)
Revaluation reserve		(492,962)	492,962	-	-
Profit and loss account		216,795	(492,962)	-	(276,167)
Total equity		(376,167)	-	-	(376,167)

Page 13

Agrimar (U.K.) Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Profit and Loss Account for the year ended 31 December 2015

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Turnover		2,520,253	-	-	2,520,253
Cost of sales		(2,247,584)	16,232	-	(2,231,352)
Gross profit		272,669	16,232	-	288,901
Administrative expenses		(335,494)	-	-	(335,494)
Other operating income		97,404	-	-	97,404
Operating profit		34,579	16,232	-	50,811
Gain on investment properties at fair value through profit and loss account		-	492,962	-	492,962
Other interest receivable and similar income		267	-	-	267
Interest payable and similar expenses		(1,178)	(16,232)	-	(17,410)
		(911)	476,730	-	475,819
Profit before tax		33,668	492,962	-	526,630
Taxation		(7,459)	-	-	(7,459)
Profit for the financial year		26,209	492,962	-	519,171

Page 14

	Investment properties £	Furniture, fittings and equipment £	Motor vehicles £	Total £
Cost or valuation
At 1 January 2016	1,940,000	91,561	35,000	2,066,561
Additions	-	1,198	-	1,198
Disposals	-	-	(35,000)	(35,000)
At 31 December 2016	1,940,000	92,759	-	2,032,759
Depreciation
At 1 January 2016	-	85,965	18,750	104,715
Charge for the year	-	1,361	-	1,361
Eliminated on disposal	-	-	(18,750)	(18,750)
At 31 December 2016	-	87,326	-	87,326
Carrying amount
At 31 December 2016	1,940,000	5,433	-	1,945,433
At 31 December 2015	1,940,000	5,596	16,250	1,961,846

	2016 £	2015 £
Current loans and borrowings
Bank overdrafts	82,177	51,574

	2016 £	2015 £
Allotted, called up and fully paid
Odinary £1 shares	100,000	100,000