REGISTERED NUMBER: 00916454 (England and Wales)

KEMPPI (U.K.) LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2018

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

V P Vuori

H T Jokela

REGISTERED OFFICE:

Martti Kemppi Building

Fraser Road

Priory Business Park

Bedford

Bedfordshire

MK44 3WH

REGISTERED NUMBER:

00916454 (England and Wales)

AUDITORS:

Keens Shay Keens Limited

Chartered Accountants &

Statutory Auditors

2nd Floor Exchange Building

16 St Cuthberts Street

Bedford

Bedfordshire

MK40 3JG

BANKERS:

Nordea Bank AB

6th Floor

5 Aldermanbury Square

London

EC2V 7AZ

FIXED ASSETS

Tangible assets

4

614,348

690,669

CURRENT ASSETS

Stocks

112,989

105,179

Debtors

5

969,860

1,218,479

Cash at bank and in hand

294,869

272,202

1,377,718

1,595,860

CREDITORS

Amounts falling due within one year

6

653,999

979,040

NET CURRENT ASSETS

723,719

616,820

TOTAL ASSETS LESS CURRENT LIABILITIES

1,338,067

1,307,489

CREDITORS

Amounts falling due after more than one year

7

-

(16,357

)

PROVISIONS FOR LIABILITIES

9

(3,874

)

(6,456

)

NET ASSETS

1,334,193

1,284,676

CAPITAL AND RESERVES

Called up share capital

10

5,000

5,000

Retained earnings

1,329,193

1,279,676

SHAREHOLDERS' FUNDS

1,334,193

1,284,676

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

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

The financial statements were approved by the Board of Directors on 27 March 2019 and were signed on its behalf by:

H T Jokela - Director

1.	STATUTORY INFORMATION

Kemppi (U.K.) 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 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.

Turnover

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

value added tax and other sales taxes.

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.

Long leasehold property

-

4% on cost and Straight line over 125 years

Plant and machinery

-

30% on reducing balance

Fixtures and fittings

-

30% on reducing balance

Motor vehicles

-

30% 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.

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 balance sheet date.

Deferred tax

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

sheet 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.

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.

Operating lease agreements

Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the

period of the lease.

Pension costs

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

scheme are charged to the profit and loss account in the period to which they relate. The assets of the scheme are

held separately from those of the company.

Hire purchase

Assets obtained under hire purchase contracts are capitalised in the balance sheet and depreciated over their

useful economic lives.

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

capital element of the future payments is treated as a liability.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 10 (2017 - 10 ) .

4.	TANGIBLE FIXED ASSETS

Long

Fixtures

leasehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2018

1,112,294

21,240

82,591

205,164

1,421,289

Additions

-

693

309

-

1,002

Disposals

-

-

-

(82,286

)

(82,286

)

At 31 December 2018

1,112,294

21,933

82,900

122,878

1,340,005

DEPRECIATION

At 1 January 2018

506,138

19,125

64,678

140,679

730,620

Charge for year

36,750

669

5,464

17,606

60,489

Eliminated on disposal

-

-

-

(65,452

)

(65,452

)

At 31 December 2018

542,888

19,794

70,142

92,833

725,657

NET BOOK VALUE

At 31 December 2018

569,406

2,139

12,758

30,045

614,348

At 31 December 2017

606,156

2,115

17,913

64,485

690,669

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

Motor

vehicles

£

COST

At 1 January 2018

86,172

Disposals

(53,450

)

Transfer to ownership

(32,722

)

At 31 December 2018

-

DEPRECIATION

At 1 January 2018

53,289

Charge for year

10,560

Eliminated on disposal

(40,070

)

Transfer to ownership

(23,779

)

At 31 December 2018

-

NET BOOK VALUE

At 31 December 2018

-

At 31 December 2017

32,883

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2018

2017

£

£

Trade debtors

958,585

1,177,900

Corporation tax

-

9,152

Prepayments and accrued income

11,275

31,427

969,860

1,218,479

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2018

2017

£

£

Amounts owed to group

undertakings

417,831

678,659

Hire purchase contracts (see note 8)

-

16,554

Trade creditors

18,655

27,462

Corporation tax

14,433

-

Social security and other taxes

14,860

13,834

VAT

150,393

208,469

Accruals and deferred income

37,827

34,062

653,999

979,040

Obligations held under hire purchase contracts are secured on the assets concerned.

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2018

2017

£

£

Hire purchase contracts (see note 8)

-

16,357

Obligations held under hire purchase contracts are secured on the assets concerned.

8.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts

2018

2017

£

£

Net obligations repayable:

Within one year

-

16,554

Between one and five years

-

16,357

-

32,911

Non-cancellable

operating leases

2018

2017

£

£

Within one year

412

124

Between one and five years

730

16

In more than five years

412

416

1,554

556

9.	PROVISIONS FOR LIABILITIES

2018

2017

£

£

Deferred tax

3,874

6,456

Deferred

tax

£

Balance at 1 January 2018

6,456

Depreciation in excess of

capital allowances

(2,582

)

Balance at 31 December 2018

3,874

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2018

2017

value:

£

£

5,000

Ordinary shares

£1

5,000

5,000

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

The Report of the Auditors was unqualified.

Michael Grange BA (Hons) FCA (Senior Statutory Auditor)

for and on behalf of Keens Shay Keens Limited

12.	CAPITAL COMMITMENTS

2018

2017

£

£

Contracted but not provided for in the

financial statements

32,240

-

13.	RELATED PARTY DISCLOSURES

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

1A) 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related

party transactions with wholly owned group undertakings.

14.	ULTIMATE PARENT COMPANY

Control and ultimate control of the company rests with Kemppi Oy, a company incorporated in Finland.

The financial statements for Kemppi Oy are publicly available in Finland. The registered office for Kemppi Oy is

Kempinkatu 1, 15810, Lahti, Finland.