2015 - 2016 - Ubico · The full financial statement for the period ending 31 March 2016 can be...

Ubico Annual Report2015 - 2016

Contents

Our Vision 1

Introduction 2

Financial Review 4

Quality 6

Our People 7

Environment 9

Support for Local Communities 10

Reports and Accounts 12

Produced in-house by Ubico and Cotswold District Council Print Services

Our Vision

By 2021 Ubico Ltd will have consolidated its position in the public sector as a provider of choice for sustainable, value for money services and will have built a solid reputation for business excellence.

In addition to securing new long term agreements with existing shareholders, the company will have further expanded partnership working and external sources of income by offering a wide range of competitively priced, reliable, integrated, environmental services.

We will have enhanced our ability to rapidly adapt to market and environmental circumstances and the challenge of constant change. We will also have a strong organisational culture that values and rewards customer focused, safety conscious, committed and productive staff.

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2

Introduction

Ubico Limited is a local authority company created to deliver a wide range of integrated environmental services to the public sector.

During 2015/16 the ownership of the company expanded from the original two authorities, Cotswold District Council and Cheltenham Borough Council, to include Forest Of Dean District Council, Tewkesbury Borough Council and West Oxfordshire District Council. These five authorities owned the company jointly and entirely during the reporting period. Stroud District Council also joined as a shareholder towards the end of the year.

All of the shareholding authorities are committed to improving value for money and share aims as members of Ubico to deliver cost efficiencies, flexibility and increased resilience in service delivery.

The company has been structured so that additional shareholders and other complimentary services can be incorporated at any time. During 2015/16 garden waste services were commenced with Stroud District Council, with provision of domestic waste and recycling services to be commenced during 2016/17, and agreement was secured to include Gloucestershire County Council in the partnership during 2016/17.

Services to Cheltenham Borough Council were extended as Ubico took operational responsibility for recyclate bulking at the Swindon Road depot, a service that had previously been outsourced to Printwaste.

In 2015/16 the company had turnover of £18.2 million and the average number of full time equivalent employees during the year was 345, a 53% increase compared to 2014/15.

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Services provided by Ubico in 2015/16

Public ToiletCleaning

StreetCleaningTransfer

StationManagement

Grounds & Cemetry

Maintenance

BuildingCleaning

CaretakingServices

PestControl

CommercialWaste &Recycling

Collections

Household Recycling

Centre

Clinical Waste

Collection

Fleet Management

ResidualWaste

Collection

OrganicWaste

CollectionWinter

MaintenanceRecycling Collections

NurseryHorticulturalOperartions

Fleet Maintenance

Financial Review

The full financial statement for the period ending 31 March 2016 can be found at page 12 of this report. A summary of the key management accounts is provided overleaf. The tables in this section of the report only refer to the management accounts and make no reference to any impact on the financial statement or the balance sheet arising from the annual valuation of the Local Government Pension Scheme.

Cumulative efficiency savings in our first three years of trading were £3.9 million (using the 2011/12 budget as baseline).

Further operational savings of £379,000 were built into the 2015/16 base budget and were delivered. Underspends of over £500k on the Cheltenham, Cotswold, Tewkesbury and West Oxfordshire contracts were returned. The total efficiency savings in year were £0.89 million.

Cumulative efficiency savings over Ubico’s first four years of trading now exceed £ 5.5 million (using the 2011/12 budget as baseline).

A turnover of £18.2 million places Ubico in the top 100 companies in Gloucestershire (source: Southwestbusiness.co.uk).

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5

Sales/Cost of Sales Analysis 2015/16 £,000s £,000s

Sales /Turnover

Service Level Agreements 17,667

Non SLA income 231

Other operational income 306 18,203

Cost of Sales

Employees 9,123

Premises 580

Transport 2,396

Supplies and Services 4,445

Depreciation 735 17,279

Financial ReviewProfit and Loss Account 2015/16 £,000s

Turnover 18,203

Cost of Sales 17,279

Gross Profit 924

Administrative & Operating Expenses 1,178

Operating Profit/(Loss) (255)

Net Interest payable 108

Profit/(Loss) for the financial year (363)

Other comprehensive income / (expenditure) 1,791

Total comprehensive income / (expenditure) for the financial year

1,428

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Quality

The performance of the company is routinely monitored by the service commissioners via quarterly Environmental Services Partnership Boards. There are also ad-hoc scrutiny reviews. Overall performance during the fourth year of trading has been good, feedback has been positive and there were no significant concerns raised about the performance of the company or the standard of service provided.

For recyclable materials collected in Cheltenham, Ubico took over the bulking activities to prepare them for collection and haulage. We are now able to provide a joined up, high quality process from collection, through storage to transfer.

For the Forest of Dean District Council we supported soft market testing for their waste and recycling and street cleaning services. This contributed to an immediate service improvement from their current provider and a commitment to transfer street cleaning to Ubico from October 2018.

Ubico has continued to work closely with service commissioners and customer service teams to improve service quality and reliability and to quickly resolve any service failures. Joint projects and initiatives have been planned and delivered with officers of both councils, other agencies and local communities to improve outcomes for residents, visitors and businesses. Examples of this are the results of the Heart of England in Bloom awards, where two gold medals, one silver-gilt and one silver were awarded to four of the Cheltenham parks tended by the Ubico team. All four also achieved the prestigious Green Flag award managed by Keep Britain Tidy on behalf of the Department for Communities and Local Government.

We supported Cotswold District Council during the Stow Horse Fair, which has been held in the historic market town since the 15th century, with enhanced waste collection and street cleaning services. We provided similar support to the Tewkesbury Mop Fair, which dates back even further to the 12th century. We also supported Tewkesbury Borough Council with their entry in the Britain in Bloom competition, in which they reached the final representing the Heart of England and were awarded Silver-gilt in the Town category.

Thank you for your kind donation towards the redevelopment of the much loved play area in Pittville Park. Your gift will help make it more likely that when the play area reopens in June, it will be complete and there will be no need for further disruption in the future.

Thank you very much for all your help with the Litter Pick on Saturday. You stayed cheerful and friendly throughout, despite the rather miserable weather! We were delighted with the turnout - we counted 40+ people altogether. We hope to run the event again next year, and will be pleased if you can support us again.

I just wanted to thank you very much for responding so promptly to my request last week for a clean-up of leaves and debris from our road. The Ubico team literally ‘swept in’ yesterday and did a magnificent job. Although I did speak to them on the day, I would be grateful if you could forward this feedback on to them.

Our People

2015/16 saw four new authorities becoming shareholders in Ubico and staff joining from three of them. We also transferred in five workshop staff from SITA into the Cotswolds contract following the end of the SITA fleet maintenance contract. The average number of full time equivalent employees during the year was 345. This places Ubico in the top 30 employers in Gloucestershire based on data from the Southwestbusiness.co.uk website. Employee costs were £ 9.1 million with an average salary of £ 26,377. All of our employees were paid at or above the living wage as calculated by the Living Wage Foundation.

We continue to provide sustainable local employment opportunities for the communities we serve and to provide our employees with learning and development opportunities.

In 2015/16 we supported five apprentices working towards a variety of qualifications in horticulture, engineering and business administration. We are committed to give continuing support to apprenticeship schemes to develop the skills we need in our workforce for the future.

Other areas where we invested in our people were:

• Certificate of Professional Competence for Transport Managers (Road Haulage)• Inst. of Occupational Safety and Health – Managing Safely• Large Goods Vehicle Drivers Certificate of Professional Competence• Fork lift Truck Drivers Licence• Certificate of Technical Competence Waste Transfer Operations• LGV Driver Licence Training – Loader to Driver Scheme• Health and Safety Training, Coaching and Mentoring

Our employee reward scheme recognises those within our team who have gone that extra mile to deliver exceptional customer service or suggest efficiency improvements. In 2015/16 13 individuals were formally recognised in this way.

We continue to foster good industrial relations with the trades unions and will continue to do so. Embedded in this is a hierarchy of local, operational and strategic consultative arrangements which facilitate two way communication and joint commitment to the success of the business.

We also make a significant investment to ensure there are effective mechanisms for two way employee communications with fortnightly briefings, monthly newsletters, employee workshops, an employee suggestion scheme and quarterly briefings with the Managing Director open to all employees.

With the expansion of the company during the year Health and Safety remained a very high priority for Ubico and we continue to develop a positive and proactive health and safety culture. To supplement the existing external support arrangements provided by Go Shared Services, a dedicated in-house post of Quality Assurance Manager was created during the year, with specific responsibility for the development of Ubico’s Health & Safety strategy and policies.

It is company policy that all managers and supervisors are appropriately qualified in the management of health and safety. During 2015/16 alongside our business partners from Go Shared Services we developed an IOSH Managing Safely course for delivery to all managers and supervisors throughout the company, rolling out in 2016/17.

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The company also continued the employee fitness and wellbeing campaign which includes free medical checks and advice. Many of our new employees have taken this opportunity to change their lifestyle and are making good progress towards their personal health goals.

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Environment

To manage the company’s environmental impact our Senior Operations Manager further developed our Environmental Management System (EMS) and established a dedicated Environmental Management Group (EMG) to embed the EMS in the business.

As we strive to continue to make significant improvements in our environmental performance, the EMG will ensure that improvements continue through ongoing maintenance and monitoring of the EMS. It will also ensure that environmental performance and other related issues are raised regularly with senior management, and that the momentum for making improvements is maintained.

Our EMS defines environmental responsibilities for all staff and helps them understand the environmental impact of our business activities and their individual actions. It will ensure that all operations have procedures that minimise their impacts and will record environmental performance against set targets. It will continue to develop and be auditable, and our aim is to achieve ISO 14001:2015 EMS accreditation by 2017.

In 2015/16 the company:

• Worked with Cheltenham Borough Council to expand its development of wildlife meadows across the town• Continued to achieve 95% peat free operations at Cheltenham’s horticultural nursery• Increased the use of water preserving hanging baskets • Increased the number of enhanced ecological options included in specification of new vehicles and plant• Increased the level of car sharing within Ubico• Launched promotional campaigns to reduce instances of lights left on, taps running and PC equipment left on overnight• Introduced an audited Environmental Management System• Used route optimisation software to reduce distances travelled and fuel consumption• Continued to improve maintenance on plant and equipment to increase longevity

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Support for Local Communities

Ubico is a local owned company created to meet the needs of local communities. The delivery of our services touches on all members of the community with the potential to improve quality of life and the local environment. Our relationship with the communities we serve continues to be very important to us and is an essential part of our business.

Employees of Ubico play a key role in supporting community safety. Our teams provide a noticeable presence and often intervene to deter or interrupt anti-social behaviour. We also act as the eyes and ears of the community by reporting suspicious or illegal activities.

Throughout the year Ubico continued to work with Parish Councils, local community groups and charities to protect and enhance the environment. Organisations or events we have supported are:

• Montpellier Midsummer Fiesta• Heart of Gloucestershire Community Awards• The National Hunt Festival• Stow Horse Fair• Le Mans Sponsored Bike Ride Committee• Cenotaph cleaning at numerous locations prior to Remembrance Sunday• Tetbury Woolsack races• Local MOP fairs in Cotswold and Tewkesbury District Council areas• Cheltenham In Bloom• Stroud In Bloom• Tewkesbury in Bloom

During periods of heavy rain and local floods we undertook emergency sandbagging work in the north of the Cotswolds to prevent local houses from flooding and undertook clean up operations in areas of Tewkesbury after flood waters had subsided.

We attended Witney College Careers Fair and hosted Marlborough School children at the Witney depot to discuss careers opportunities.

Charitable contributions of £630 were raised from Ubico employees in the Christmans raffle for the following charities:

• Diabetes UK• The Sue Ryder hospice at Leckhampton

In June Ubico was the main sponsor for the Heart of Gloucestershire Community Awards, in association with three local newspapers. We also supported funding for the Cheltenham Cobalt Unit, a medical charity that helps people affected by cancer, dementia and other life-limiting conditions.

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Reports and Accounts2015 - 2016

For the year ended 31st March 2016

12

Company Registration No. 07824292

Ubico Limited

REPORT and ACCOUNTS

For the year ended

31st March 2016

Ubico Limited

CONTENTS OF THE FINANCIAL STATEMENTS For the year ended 31 March 2016

Page No.

Officers and Professional Advisers 1

Directors’ Report 2 – 4

Strategic Report 5 – 6

Independent Auditor’s Report 7 – 8

Statement of Comprehensive Income 9

Statement of Financial Position 10

Statement of Changes in Equity 11

Statement of Cash Flows 12

Notes to the Financial Statements 13 - 30

Supplementary Information 31

Ubico Limited

OFFICERS AND PROFESSIONAL ADVISERS For the year ended 31 March 2016

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Directors

Mr. Robert Bell Managing Director Mr. John Hays Commercial Director (appointed 17/02/2016) Mr. Frank Wilson Non-executive Finance Director (terminated 15/02/2016) Mrs. Joanna Walker Non-executive Director (appointed 17/02/2016) Mr. Andrew North Non-executive Director (terminated 10/03/2016) Mr. Mark Sheldon Non-executive Director (terminated 10/03/2016) Mr. Ralph Young Non-executive Director Mr. Peter Williams Non-executive Director (appointed 01/04/2015) Mr. David Neudegg Non-executive Director (appointed 01/04/2015) Mrs. Rachel North Non-executive Director (terminated 20/09/2016) Mrs. Joanne Jordon Non-executive Director (appointed 19/02/2016) Executive Management Team Robert Bell Managing Director John Hays Commercial Director Legal Advisors One-Legal (a shared legal service between Cheltenham Borough Council and Tewkesbury Borough Council).

Financial and Human Resources Advisors

GO Shared Services (a shared service between Cotswold District Council, Cheltenham Borough Council, Forest of Dean District Council and West Oxfordshire District Council). Registered Office Central Depot Swindon Road Cheltenham GL51 9JZ Company no. 07824292 Auditors Bankers

Grant Thornton UK LLP Chartered Accountants Hartwell House 55-61 Victoria Street Bristol BS1 6FT

Lloyds Bank PLC 130 High Street Cheltenham GL50 1EW

Solicitors

One Legal C/O Tewkesbury Borough Council Council Offices Gloucester Road Tewkesbury Gloucestershire GL20 5TT

appointed 10/03/2016)

Ubico Limited

DIRECTORS’ REPORT For the year ended 31 March 2016

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The directors submit their report and financial statements of Ubico Limited (the Company) for the period 1 April 2015 to 31 March 2016.

Principal Activities The principal activities of the Company during the year were the delivery of a range of integrated environmental services to Cotswold District Council, Cheltenham Borough Council, Tewkesbury Borough Council, West Oxfordshire District Council and Forest of Dean District Council. Stroud District Council joined the partnership in February 2016 when the company carried out container deliveries and garden waste collection services on their behalf prior to the transfer of their multi service contract in July 2016. The company also provided grounds maintenance services to Gloucestershire County Council and numerous other public sector customers (e.g. Parish Councils).

Our extended portfolio of services includes household and commercial refuse collection, recycling, street cleaning, grounds maintenance, horticulture, fleet management and maintenance, building cleaning, pest control and winter maintenance.

It has been agreed to expand the partnership in 2016/17 to include Gloucestershire County Council with the operation of five household waste recycling centres in the county.

As a company wholly owned by local authorities, Ubico operates as a not for profit enterprise. The average number of full time equivalent staff employed by the Company during the year was 345. Support services were provided by other local authority partnerships involving shareholding councils.

Objectives and Strategy The Company has a business plan which is reviewed and approved by the Board of Directors and Shareholders on an annual basis. Objectives are realised through a targeted and prioritised annual action plan. The core strategy of the Company continues to be the development of a low cost base to primarily meet the needs of the shareholding councils and to permit competitive pricing. At the same time we seek to add value wherever conditions allow. Our key objectives are to achieve growth and economies of scale by attracting additional partners, expanding the range of services provided to partners and by actively seeking contract opportunities from external organisations.

Events since the Balance Sheet date On 7th August 2016 Gloucestershire County Council became an equal shareholder in Ubico, increasing the number of Ubico shareholders from six to seven. The change has no impact upon the ‘going concern’ status of the Company.

Ubico Limited


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The directors submit their report and financial statements of Ubico Limited (the Company) for the period 1 April 2015 to 31 March 2016.

Principal Activities The principal activities of the Company during the year were the delivery of a range of integrated environmental services to Cotswold District Council, Cheltenham Borough Council, Tewkesbury Borough Council, West Oxfordshire District Council and Forest of Dean District Council. Stroud District Council joined the partnership in February 2016 when the company carried out container deliveries and garden waste collection services on their behalf prior to the transfer of their multi service contract in July 2016. The company also provided grounds maintenance services to Gloucestershire County Council and numerous other public sector customers (e.g. Parish Councils).

Our extended portfolio of services includes household and commercial refuse collection, recycling, street cleaning, grounds maintenance, horticulture, fleet management and maintenance, building cleaning, pest control and winter maintenance.

It has been agreed to expand the partnership in 2016/17 to include Gloucestershire County Council with the operation of five household waste recycling centres in the county.

As a company wholly owned by local authorities, Ubico operates as a not for profit enterprise. The average number of full time equivalent staff employed by the Company during the year was 345. Support services were provided by other local authority partnerships involving shareholding councils.

Objectives and Strategy The Company has a business plan which is reviewed and approved by the Board of Directors and Shareholders on an annual basis. Objectives are realised through a targeted and prioritised annual action plan. The core strategy of the Company continues to be the development of a low cost base to primarily meet the needs of the shareholding councils and to permit competitive pricing. At the same time we seek to add value wherever conditions allow. Our key objectives are to achieve growth and economies of scale by attracting additional partners, expanding the range of services provided to partners and by actively seeking contract opportunities from external organisations.

Events since the Balance Sheet date On 7th August 2016 Gloucestershire County Council became an equal shareholder in Ubico, increasing the number of Ubico shareholders from six to seven. The change has no impact upon the ‘going concern’ status of the Company.

Ubico Limited


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Directors Responsibilities Statements The Directors are responsible for preparing 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 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 estimates that are reasonable and prudent; State whether applicable UK accounting standards and Statement of Recommended

Practice have been followed, subject to any material departures disclosed and explained in the financial statements; and

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, to disclose with reasonable accuracy at any time the financial position of the Company and to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as each of the Directors is aware: There is no relevant audit information of which the Company’s auditors are unaware;

and The Directors have taken all steps that they ought to have taken to make themselves

aware of any relevant audit information and to establish that the auditors are aware of that information.

The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website.

Ubico Limited


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Auditors Grant Thornton UK LLP ('Grant Thornton') have expressed their willingness to continue in office as auditors and a resolution proposing their reappointment will be presented at the forthcoming Annual General Meeting. This report was approved by the board on 7th December 2016 and signed on its behalf. Robert Bell Managing Director

Ubico Limited


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Auditors Grant Thornton UK LLP ('Grant Thornton') have expressed their willingness to continue in office as auditors and a resolution proposing their reappointment will be presented at the forthcoming Annual General Meeting. This report was approved by the board on 7th December 2016 and signed on its behalf. Robert Bell Managing Director

Ubico Limited STRATEGIC REPORT For the year ended 31 March 2016

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Strategic Report 2015/16 During 2015/16 the company completed a review of performance and concluded that the 5 year Vision set in 2011 had largely been achieved. A new Vision has been developed in consultation with stakeholders and is: By 2021 Ubico Ltd will have consolidated its position in the public sector as a provider of choice for sustainable, value for money services and will have built a solid reputation for business excellence. In addition to securing new long term agreements with existing shareholders, the company will have further expanded partnership working and external sources of income by offering a wide range of competitively priced, reliable, integrated, environmental services. We will have enhanced our ability to rapidly adapt to market and environmental circumstances and the challenge of constant change. We will also have a strong organisational culture that values and rewards customer focused, safety conscious, committed and productive staff. In March 2016 the Board of Directors approved a business plan to deliver the new Vision and this was subsequently recommended to and approved by the shareholders. The business plan is considered challenging but achievable. Key objectives within the plan are the expansion of the business through additional new shareholders, adding West Oxfordshire’s waste and recycling service and Forest of Dean’s street cleaning service to our contract portfolio and increasing turnover from other contracts to £1 million per annum. Contracts with the shareholding councils continue to perform well and Ubico exceeded efficiency targets for the year. Feedback continues to be positive and no major contractual or service delivery issues have been raised at quarterly performance monitoring meetings. Health and Safety performance is satisfactory and plans are in place to achieve ISO accreditation for both H&S and Environmental Management. The Company’s trading results as shown in this document were solid and in line with expectations. Turnover in 2015/16 was £18.2m, up from £11.8m in 2014/15. Total Comprehensive income for the year shows a surplus of £1,428,000 (2015: loss of £2,453,000), consisting of a loss for the year of £363,000 (2015: £171,000) and movements in the actuarial valuation of the pension fund (under FRS102) of positive £1,791,000 (2015: negative £2,282,000). The deficit on the pension fund remains underwritten by the local authority clients. The directors of Ubico Ltd believe that the Company maintains a healthy future and remains a ‘going concern’, particularly with an expanded shareholding and major contracts running to 2022.


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Strategic Report 2015/16 During 2015/16 the company completed a review of performance and concluded that the 5 year Vision set in 2011 had largely been achieved. A new Vision has been developed in consultation with stakeholders and is: By 2021 Ubico Ltd will have consolidated its position in the public sector as a provider of choice for sustainable, value for money services and will have built a solid reputation for business excellence. In addition to securing new long term agreements with existing shareholders, the company will have further expanded partnership working and external sources of income by offering a wide range of competitively priced, reliable, integrated, environmental services. We will have enhanced our ability to rapidly adapt to market and environmental circumstances and the challenge of constant change. We will also have a strong organisational culture that values and rewards customer focused, safety conscious, committed and productive staff. In March 2016 the Board of Directors approved a business plan to deliver the new Vision and this was subsequently recommended to and approved by the shareholders. The business plan is considered challenging but achievable. Key objectives within the plan are the expansion of the business through additional new shareholders, adding West Oxfordshire’s waste and recycling service and Forest of Dean’s street cleaning service to our contract portfolio and increasing turnover from other contracts to £1 million per annum. Contracts with the shareholding councils continue to perform well and Ubico exceeded efficiency targets for the year. Feedback continues to be positive and no major contractual or service delivery issues have been raised at quarterly performance monitoring meetings. Health and Safety performance is satisfactory and plans are in place to achieve ISO accreditation for both H&S and Environmental Management. The Company’s trading results as shown in this document were solid and in line with expectations. Turnover in 2015/16 was £18.2m, up from £11.8m in 2014/15. Total Comprehensive income for the year shows a surplus of £1,428,000 (2015: loss of £2,453,000), consisting of a loss for the year of £363,000 (2015: £171,000) and movements in the actuarial valuation of the pension fund (under FRS102) of positive £1,791,000 (2015: negative £2,282,000). The deficit on the pension fund remains underwritten by the local authority clients. The directors of Ubico Ltd believe that the Company maintains a healthy future and remains a ‘going concern’, particularly with an expanded shareholding and major contracts running to 2022.


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Principal Risks and Uncertainties The recognition and understanding of risks relevant to the Company and the services it provides is key to the successful management of the business and the delivery of the vision and objectives. A register of business risks is maintained and reviewed monthly by the management team. This is accompanied by action plans to mitigate identified risks. The Board of Directors receive quarterly monitoring reports on the Company’s finances and the key risk areas of the business. The Company has appropriate insurance cover for assets and business operations, including directors’ and officers’ indemnity. The Directors have identified that the key business risks at present are around capacity to effectively manage the expanded business. To mitigate this we have appointed an executive Commercial Director and an Assurance Manager and will review our management structure and corporate resources to further develop the business and support the Board of Directors. This report was approved by the board on 7th December 2016 and signed on its behalf. Robert Bell Managing Director


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Principal Risks and Uncertainties The recognition and understanding of risks relevant to the Company and the services it provides is key to the successful management of the business and the delivery of the vision and objectives. A register of business risks is maintained and reviewed monthly by the management team. This is accompanied by action plans to mitigate identified risks. The Board of Directors receive quarterly monitoring reports on the Company’s finances and the key risk areas of the business. The Company has appropriate insurance cover for assets and business operations, including directors’ and officers’ indemnity. The Directors have identified that the key business risks at present are around capacity to effectively manage the expanded business. To mitigate this we have appointed an executive Commercial Director and an Assurance Manager and will review our management structure and corporate resources to further develop the business and support the Board of Directors. This report was approved by the board on 7th December 2016 and signed on its behalf. Robert Bell Managing Director

Ubico Limited INDEPENDENT AUDITOR’S REPORT TO THE UBICO LTD. BOARD OF DIRECTORS For the year ended 31 March 2016

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Independent auditor's report to the members of Ubico Limited We have audited the financial statements of Ubico Limited for the year ended 31 March 2016, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of cash flows, the Statement of changes in equity and the related notes. The relevant financial reporting framework that has been applied in their preparation is the Companies Act 2006 and the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. This report is made solely to the Company’s members, 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 members those matters we are required to state to them in an Auditor’s report 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 members as a body, for our audit work, for this report, or for the opinions we have formed. Respective responsibilities of directors and auditor As explained more fully in the Directors’ Responsibilities Statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Financial Reporting Council’s Ethical Standards for Auditors. Scope of the audit of the financial statements A description of the scope of an audit of financial statements is provided on the Financial Reporting Council's website at www.frc.org.uk/auditscopeukprivate. Opinion on financial statements In our opinion the financial statements: give a true and fair view of the state of the Company's affairs as at 31 March 2016 and

of its loss 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.


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Opinion on other matter prescribed by the Companies Act 2006 In our opinion the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements and the Director's report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception 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.

John Golding (Senior Statutory Auditor) for and on behalf of Grant Thornton UK LLP Statutory Auditor Chartered Accountants Bristol


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Opinion on other matter prescribed by the Companies Act 2006 In our opinion the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements and the Director's report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception 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.

John Golding (Senior Statutory Auditor) for and on behalf of Grant Thornton UK LLP Statutory Auditor Chartered Accountants Bristol

Ubico Limited

STATEMENT OF COMPREHENSIVE INCOME For the year ended 31 March 2016

9

Notes

31 March 2016 £

31 March 2015

£ Restated

TURNOVER 4 181818,203,254.

11,835,755.

Cost of sales (17,279,483) (10,955,470)

Gross profit 923,771. 880,285.

Administrative expenses (903,373) (974,448) Other operating expense 20 (275,000) (58,000)

OPERATING LOSS - continuing operations 5 (254,602) (152,163)

Interest receivable and similar income 8,271. -. Interest payable and similar charges 6 (116,669) (43,837)

Loss) on ordinary activities before taxation (363,000) (196,000)

Tax on loss on ordinary activities 8 -. 25,000.

Loss for the financial year (363,000) (171,000)

Other comprehensive income / (expenditure) Effect of business combinations [pensions liability] 20 -. (107,000) Re-measurement of the net defined benefit liability 20 1,791,000. (2,175,000)

Total comprehensive income / (expenditure) for the financial year

1,428,000. (2,453,000)

The 2014/15 comparative figures shown above have been restated – see note 21 for further information. The notes on pages 13 to 30 form part of these financial statements.

Ubico Limited

STATEMENT OF FINANCIAL POSITION As at 31 March 2016

10

Notes

31 March 2016

£

31 March 2015

£ Restated

FIXED ASSETS Tangible assets 9 1,611,153. 1,597,884.

CURRENT ASSETS

Inventories 10 47,894. 45,821.

Debtors 11 400,454. 1,481,198.

Cash at bank and in hand 12 1,501,896. 158,020.

1,950,244. 1,685,039. CURRENT LIABILITIES

Creditors: Amounts falling due within one year 13 (2,617,675) (2,244,466)

NET CURRENT LIABILITIES (667,431)- (559,427)-

TOTAL ASSETS LESS CURRENT LIABILITIES 943,722 1,038,457.

Creditors: Amounts falling due after one year 14 (943,716) (1,038,455) Net pension liability 20 (1,207,000) (2,635,000)

NET ASSETS (1,206,994) (2,634,998)

CAPITAL AND RESERVES Called up share capital 18 6. 2. Pensions Reserve 19 (1,207,000) (2,635,000)

(1,206,994) (2,634,998)

The 2014/15 comparative figures shown above have been restated – see note 21 for further information. The notes on pages 13 to 30 form part of these financial statements. These financial statements were approved and authorised for issue by the Board of Directors on 7th December 2016 and signed on their behalf by: Robert Bell John Hays Managing Director Commercial Director Company Registration No. 07824292

Ubico Limited

STATEMENT OF CHANGES IN EQUITY For the year ended 31 March 2016

11

Called-up

Share Capital

£

Profit and Loss

Account £

Pensions Reserve

£ Total

£

At 1 April 2014 2. 85,000. (267,000) (181,998)

Loss for the year -. (171,000) - (171,000) Other comprehensive expenditure -. -. (2,282,000) (2,282,000) Total comprehensive expenditure for the year

-. (86,000) (2,549,000) (2,453,000)

Transfer between funds -. 86,000. (86,000) -.

At 31 March 2015 2. -. (2,635,000) (2,634,998)

Loss for the year -. (363,000). - (363,000) Other comprehensive income -. -. 1,791,000. 1,791,000. Total comprehensive income for the year -. (363,000). 1,791,000. 1,428,000.


Issues of shares 4. -. -. -.

At 31 March 2016 6. -. (1,207,000) (1,206,994)

The notes on pages 13 to 30 form part of these financial statements.

Ubico Limited

STATEMENT OF CHANGES IN EQUITY For the year ended 31 March 2016

11

Called-up

Share Capital

£

Profit and Loss

Account £

Pensions Reserve

£ Total

£

At 1 April 2014 2. 85,000. (267,000) (181,998)

Loss for the year -. (171,000) - (171,000) Other comprehensive expenditure -. -. (2,282,000) (2,282,000) Total comprehensive expenditure for the year

-. (86,000) (2,549,000) (2,453,000)


At 31 March 2015 2. -. (2,635,000) (2,634,998)

Loss for the year -. (363,000). - (363,000) Other comprehensive income -. -. 1,791,000. 1,791,000. Total comprehensive income for the year -. (363,000). 1,791,000. 1,428,000.


Issues of shares 4. -. -. -.

At 31 March 2016 6. -. (1,207,000) (1,206,994)

The notes on pages 13 to 30 form part of these financial statements.

Ubico Limited

STATEMENT OF CASH FLOWS For the year ended 31 March 2016

12

31 March

2016 £

31 March 2015

£ Restated

Cash flows from operating activities Loss profit for the financial year (363,000) (171,000) Adjustments for Depreciation of tangible assets 737,779. 615,216.

Interest paid 28,669. 30,837.

Interest received (8,271) -.

Decrease / (increase) in debtors 1,080,748. (1,152,134)

(Increase) in inventories (2,073) (774)

Increase in creditors 265,200. 828,382.

Movement in defined benefit obligation (pension liability) 363,000. 71,000.

Cash flow from operations 2,102,052. 221,527.

Tax paid -. (25,000)

Net cash flow from operating activities 2,102,052. 196,527.

Cash flows from investing activities

Interest received 8,271. -.

Purchase of tangible fixed assets (763,047). (42,500).

Net cash flow from investing activities (754,776) (42,500)

Cash flows from financing activities

New finance leases 763,047 42,500

Repayment of finance lease obligations (737,779) (615,635)

Interest paid (28,669) (30,837)

Net cash flow used in financing activities (3,401) (603,972)

Net increase / (decrease) in cash and cash equivalents 1,343,875. (449,945)

Cash and cash equivalents at 1 April 158,021. 607,966. Cash and cash equivalents at 31 March 1,501,896. 158,021.

The 2014/15 comparative figures shown above have been restated – see note 21 for further information. The notes on pages 13 to 30 form part of these financial statements.

Ubico Limited

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2016

13

1. LEGAL STATUS

The Company is registered under the Companies Act 2006, and was incorporated on 26 October 2011. The accounting period covers the financial year to 31 March 2016.

2. ACCOUNTING POLICIES

Basis of Accounting These financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102, The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland, and with the Companies Act 2006. Information on the impact of first time adoption of FRS 102 is given in note 21. The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company’s accounting policies (see note 3). The following principle accounting policies have been applied: Going Concern All operations are continuing, and none of the Company’s activities were discontinued during the reporting period. The financial statements have been prepared on a ‘going concern’ basis as there is no reason to believe that the Company will be unable to meet its liabilities as they fall due. Turnover Turnover comprises service income receivable in the year from the partner Shareholders, income from non-shareholding council business, external bodies and other ad-hoc income streams included at the invoiced value (excluding VAT) of goods and services supplied in the year. Turnover is recognised as contract activity progresses, and as the right to consideration is earned. The fair value of the income receivable reflects the amount expected to be recovered from clients and is based on time spent, skills and expertise provided and expenses incurred. Interest payable Interest is payable on the finance leases for vehicles, plant and equipment utilised by the Company which are owned by partner Shareholders. The interest payable is charged to profit or loss on ordinary activities in the year.

Ubico Limited


14

Tangible fixed assets Fixed assets are capitalised at cost/purchase price and stated at historical cost less accumulated depreciation and any accumulated impairment losses. Assets with a cost of less than £10,000 are treated as de-minimus and may not be capitalised, except where the sum of a group of similar assets together have a value in excess of this. Depreciation Depreciation is charged so as to allocate the cost of fixed assets (less their residual value) over the estimated useful life of the asset. Assets are depreciated over the following lives, using the straight-line method as follows: Vehicles and plant 14% straight line (7 years) Equipment 10% straight line (10 years) For assets in existence at 1st April 2013, when Ubico was formed, asset valuations and useful lives were estimated by the Ubico Fleet Services Manager at the point of transfer. Assets acquired after 1st April 2013 have been capitalised at their purchase price. For any purchases of ‘used’ assets, the useful life of the asset will be determined at the point of acquisition. Inventory Inventory is valued at the lower of cost and net realisable value. Leasing Commitments Assets held under finance leases (those where substantially all the risks and rewards of ownership of the asset have passed to the Company) are capitalised in the Statement of Financial Position and depreciated over their useful lives. The corresponding lease obligation is treated in the Statement of Financial Position as a liability. The interest element of the lease obligations is charged to profit or loss on ordinary activities over the period of the lease. Taxation The charge for taxation is based on the profit for the period and is measured at the amounts expected to be paid based on the tax rates and laws substantively enacted at the balance sheet date. Current and deferred tax is recognised in the Statement of Comprehensive Income. Ubico is a local authority company wholly owned by the partner councils. As a result any surplus generated in-year is returned to the partner Councils at the end of the year. Value Added Tax The Company charges value added tax (VAT) on all of its income and is able to recover all of the VAT it incurs on expenditure. The balance of VAT payable or recoverable at the year-end is included as a current liability or asset.

Ubico Limited


15

Pensions The Company operates a contributory pension scheme, of the defined benefit type, for employees. The scheme is administered by Gloucestershire County Council and is independent of the Company finances. Contributions are paid to the scheme in accordance with the recommendations of an independent actuary in order that the benefits accruing in respect of current and future service can be met.

The liability recognised in the Statement of Financial Position in respect of the defined benefit plan is the present value of the defined benefit obligation at the end of the reporting date less the fair value of plan assets at the reporting date. Pension scheme assets are measured at fair value in accordance with the FRS 102 fair value hierarchy. Liabilities are measured using a projected unit method and discounted at the current rate of return on a high quality corporate bond of equivalent term and currency to the liability. The cost of the defined benefit plan, recognised in profit or loss as employee costs, except where included in the cost of an asset, comprises: a) the increase in pension benefit liability arising from employee service during the

period; and b) the cost of plan introductions, benefit changes, curtailments and settlements. The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is recognised as a finance expense. Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions, together with the return on plan assets (excluding amounts in net interest), are charged or credited to other comprehensive income or expenditure. The Scheme’s surpluses, to the extent that they are considered recoverable, or deficits, are recognised in full and presented on the face of the Statement of Financial Position. The Company also offers a Stakeholder pension administered by Scottish Life. Employee contributions are matched by employer’s contributions. Cash and cash equivalents

For the purpose of the cash flow statement, cash comprises cash in hand and deposits repayable on demand. Liquid resources are current asset investments which are disposable without curtailing or disrupting the business and are either readily convertible into known amounts of cash at, or close to, their carrying values or traded on an active market. Liquid resources comprise term deposits of less than one year (other than cash).

Ubico Limited


15

Pensions The Company operates a contributory pension scheme, of the defined benefit type, for employees. The scheme is administered by Gloucestershire County Council and is independent of the Company finances. Contributions are paid to the scheme in accordance with the recommendations of an independent actuary in order that the benefits accruing in respect of current and future service can be met.

The liability recognised in the Statement of Financial Position in respect of the defined benefit plan is the present value of the defined benefit obligation at the end of the reporting date less the fair value of plan assets at the reporting date. Pension scheme assets are measured at fair value in accordance with the FRS 102 fair value hierarchy. Liabilities are measured using a projected unit method and discounted at the current rate of return on a high quality corporate bond of equivalent term and currency to the liability. The cost of the defined benefit plan, recognised in profit or loss as employee costs, except where included in the cost of an asset, comprises: a) the increase in pension benefit liability arising from employee service during the

period; and b) the cost of plan introductions, benefit changes, curtailments and settlements. The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is recognised as a finance expense. Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions, together with the return on plan assets (excluding amounts in net interest), are charged or credited to other comprehensive income or expenditure. The Scheme’s surpluses, to the extent that they are considered recoverable, or deficits, are recognised in full and presented on the face of the Statement of Financial Position. The Company also offers a Stakeholder pension administered by Scottish Life. Employee contributions are matched by employer’s contributions. Cash and cash equivalents

For the purpose of the cash flow statement, cash comprises cash in hand and deposits repayable on demand. Liquid resources are current asset investments which are disposable without curtailing or disrupting the business and are either readily convertible into known amounts of cash at, or close to, their carrying values or traded on an active market. Liquid resources comprise term deposits of less than one year (other than cash).

Ubico Limited


16

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. Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration, expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Income statement. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date. Financial assets and liabilities are offset and the net amount reported in the Statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Ubico Limited


16

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. Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration, expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Income statement. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date. Financial assets and liabilities are offset and the net amount reported in the Statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Ubico Limited


17

3. JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF

ESTIMATION UNCERTAINTY

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include:

Depreciation The company exercises judgement to determine useful lives and residual values of

tangible fixed assets. The assets are depreciated down to their residual values over their estimated useful lives.

Basis of preparation of the financial statements

As per the accounting policy within note 2 above management is of the opinion that the preparation of the financial statements on a going concern basis is reasonable.

Valuation of pension scheme

Management has reviewed the estimates and assumptions within the FRS 102 Defined Benefit Pension Scheme valuation and consider them to be reasonable.

4. ANALYSIS OF TURNOVER

Principal Activity

31 March 2016

£

31 March 2015

£ Service Level Agreements (SLAs) 17,666,562 11,025,192

Non-partner Council’s 230,944 570,093 Other 305,748 240,470

18,203,254 11,835,755

All turnover is generated in the United Kingdom. 5. OPERATING PROFIT / (LOSS)

Operating profit or loss is stated after charging

31 March

2016 £

31 March 2015

£ Depreciation of tangible assets 737,779 615,216 External Audit costs: Audit Fee 14,800 16,480 Tax Advice 3,050 2,975

Ubico Limited


17

3. JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF

ESTIMATION UNCERTAINTY

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include:

Depreciation The company exercises judgement to determine useful lives and residual values of

tangible fixed assets. The assets are depreciated down to their residual values over their estimated useful lives.

Basis of preparation of the financial statements

As per the accounting policy within note 2 above management is of the opinion that the preparation of the financial statements on a going concern basis is reasonable.

Valuation of pension scheme

Management has reviewed the estimates and assumptions within the FRS 102 Defined Benefit Pension Scheme valuation and consider them to be reasonable.

4. ANALYSIS OF TURNOVER

Principal Activity

31 March 2016

£

31 March 2015

£ Service Level Agreements (SLAs) 17,666,562 11,025,192

Non-partner Council’s 230,944 570,093 Other 305,748 240,470

18,203,254 11,835,755

All turnover is generated in the United Kingdom. 5. OPERATING PROFIT / (LOSS)

Operating profit or loss is stated after charging

31 March

2016 £

31 March 2015

£ Depreciation of tangible assets 737,779 615,216 External Audit costs: Audit Fee 14,800 16,480 Tax Advice 3,050 2,975

17

Ubico Limited


18

6. INTEREST PAYABLE

31 March

2016 £

31 March 2015

£ Restated

Finance lease interest payable 28,669 30,837 Net interest on net defined benefit pension liability 88,000 13,000 116,669 43,837

The 2014/15 comparative figures shown above have been restated – see note 21 for further information.

7. EMPLOYEES and DIRECTORS REMUNERATION

Staff costs, including directors’ remuneration, during the year were as follows:

31 March

2016 £

31 March 2015

£ Wages and salaries 8,709,218 5,637,179 Employer’s NI contributions 475,389 329,916 Employer’s superannuation payments 822,874 516,719 10,007,481 6,483,814

Employees are entitled to participate in a retirement benefit scheme. The Company participates in two schemes:

The Local Government Pension Scheme (‘LGPS’), a defined benefit scheme. This is a closed scheme for new employees unless the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply.

a Stakeholder pension administered by Scottish Life. Employee contributions are matched by employer’s contributions to a maximum of 3% .

The average monthly number of employees, including the directors, during the period was as follows: 31 March

2016 No.

31 March 2015

No. Administrative staff 10 10 Operational staff 335 215

345 225

Ubico Limited


18

6. INTEREST PAYABLE

31 March

2016 £

31 March 2015

£ Restated

Finance lease interest payable 28,669 30,837 Net interest on net defined benefit pension liability 88,000 13,000 116,669 43,837


7. EMPLOYEES and DIRECTORS REMUNERATION

Staff costs, including directors’ remuneration, during the year were as follows:

31 March

2016 £

31 March 2015

£ Wages and salaries 8,709,218 5,637,179 Employer’s NI contributions 475,389 329,916 Employer’s superannuation payments 822,874 516,719 10,007,481 6,483,814

Employees are entitled to participate in a retirement benefit scheme. The Company participates in two schemes:

The Local Government Pension Scheme (‘LGPS’), a defined benefit scheme. This is a closed scheme for new employees unless the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply.

a Stakeholder pension administered by Scottish Life. Employee contributions are matched by employer’s contributions to a maximum of 3% .

The average monthly number of employees, including the directors, during the period was as follows: 31 March

2016 No.

31 March 2015

No. Administrative staff 10 10 Operational staff 335 215

345 225

Ubico Limited


19

Remuneration in respect of directors* was as follows:

31 March

2016 £

31 March 2015

£ Emoluments 93,978 73,770 Employer’s superannuation payments 19,641 16,891 113,619 90,661 *The Commercial Director was appointed on 17 February 2016.

The amounts above include remuneration in respect of the highest paid director as follows:

31 March

2016 £

31 March 2015

£ Emoluments 85,677 73,770 Employer’s superannuation payments 19,641 16,891 105,318 90,661

The Managing Director has retirement benefits accruing under the defined benefit pension scheme in respect of qualifying service.

8. TAXATION i) Tax on profit on ordinary activities

(a) Analysis of charge in period

31 March

2016 £

31 March 2015

£ Current tax:

UK Corporation tax on profits of the period -. -. Corporation tax adjustment re. Tax liability -. (25,000)

Total current tax -. (25,000) Deferred tax:

Total deferred tax (note ii) - 25,000.

Ubico Limited


20

(b) Factors affecting tax charge for period

The tax assessed for the period differs from the standard rate of the corporation tax in the UK (20 per cent). The differences are explained below: 31 March

2016 £

31 March 2015

£ Restated

Profit/(loss) on ordinary activities before tax (363,000) (196,000) x 20% x 20% Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 20% (72,600) (39,200)

Effects of: Transfer from deferred tax to Current Tax liabilities -. 25,000. Pension contribution adjustment 72,600. 14,200. Utilisation of tax losses -. (25,000)

Current tax charge for period (note (a)) -. (25,000) (c) Factors that may affect future tax changes

The current tax payable is based upon the taxable profit for the year. In 2013/14 Ubico determined that tax was represented by ‘deferred tax’ liabilities. The tax liability was re-classified as ‘current tax’ during 2014/15 and was subsequently paid to HMRC during the year. The Statement of Financial Position contains no deferred tax liabilities at 31st March 2016.

ii) Provision for deferred tax

31 March

2016 £

31 March 2015

£

Provision at start of period -. 25,000. Transfer to tax liabilities -. (25,000) Provision at end of period -. -.

Ubico Limited


21

9. TANGIBLE FIXED ASSETS – VEHICLES, PLANT AND EQUIPMENT

31 March

2016 £

31 March 2015

£ Gross cost or valuation: Opening balance - 1st April 3,433,458. 3,390,958 Additions 763,047. 42,500 Derecognition and disposals (14,999) -

Closing balance 31st March 4,181,506. 3,433,458

Accumulated depreciation: Opening balance - 1st April (1,835,574) (1,220,358) Depreciation charge for the year (737,779) (615,635) Depreciation written-out on disposal 3,000. -. Other adjustments -. 419.

Closing balance – 31st March (2,570,353) (1,835,574)

Net book value of assets: At 31st March 2015 1,597,884 2,170,600 At 31st March 2016 1,611,153 1,597,884

Ubico Limited has no land, property or investment property assets.

Ubico Limited


21

9. TANGIBLE FIXED ASSETS – VEHICLES, PLANT AND EQUIPMENT

31 March

2016 £

31 March 2015

£ Gross cost or valuation: Opening balance - 1st April 3,433,458. 3,390,958 Additions 763,047. 42,500 Derecognition and disposals (14,999) -

Closing balance 31st March 4,181,506. 3,433,458

Accumulated depreciation: Opening balance - 1st April (1,835,574) (1,220,358) Depreciation charge for the year (737,779) (615,635) Depreciation written-out on disposal 3,000. -. Other adjustments -. 419.

Closing balance – 31st March (2,570,353) (1,835,574)

Net book value of assets: At 31st March 2015 1,597,884 2,170,600 At 31st March 2016 1,611,153 1,597,884

Ubico Limited has no land, property or investment property assets.

Ubico Limited


22

10. INVENTORIES Ubico Ltd holds a small number of consumable stocks and stores. These can be broken down as follows:

31 March

2016 £

31 March 2015

£ Consumables – fuel stores 17,476 29,815 Other stocks and stores 30,418 16,005 47,894 45,820

11. DEBTORS

31 March

2016 £

31 March 2015

£ Restated

Amounts falling due within one year: Cheltenham Borough Council 151,216 753,687 Cotswold District Council 1,312 504,927 Tewkesbury Borough Council 47,658 - Other debtors 192,265 222,584

392,451 1,481,198 Amounts falling due after more than one year:

Employee Car Loans 8,003 -

400,454 1,481,198 The 2014/15 comparative figures shown above have been restated – see note 21 for further information 12. CASH and CASH EQUIVALENTS

31 March

2016 £

31 March 2015

£ Cash at hand and in bank 1,501,896 158,021 1,501,896 158,021

Ubico Limited


22

10. INVENTORIES Ubico Ltd holds a small number of consumable stocks and stores. These can be broken down as follows:

31 March

2016 £

31 March 2015

£ Consumables – fuel stores 17,476 29,815 Other stocks and stores 30,418 16,005 47,894 45,820

11. DEBTORS

31 March

2016 £

31 March 2015

£ Restated

Amounts falling due within one year: Cheltenham Borough Council 151,216 753,687 Cotswold District Council 1,312 504,927 Tewkesbury Borough Council 47,658 - Other debtors 192,265 222,584

392,451 1,481,198 Amounts falling due after more than one year:

Employee Car Loans 8,003 -

400,454 1,481,198 The 2014/15 comparative figures shown above have been restated – see note 21 for further information 12. CASH and CASH EQUIVALENTS

31 March

2016 £

31 March 2015

£ Cash at hand and in bank 1,501,896 158,021 1,501,896 158,021

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23

13. CREDITORS - due within one year

31 March

2016 £

31 March 2015

£ Restated

Trade creditors 679,168 475,521 Cheltenham Borough Council 386,993 463,113 Cotswold District Council 235,273 280,098 West Oxfordshire District Council 208,279 - Tewkesbury Borough Council 86,449 - Forest Of Dean District Council 20,788 - Amounts due under finance leases 667,437 559,429 Taxation and social security 246,620 283,305 Other creditors 86,668 183,000 2,617,675 2,244,466


14. CREDITORS – due in greater than one year

Capital payments outstanding under finance lease arrangements

31 March 2016

£

31 March 2015

£ Amounts due under finance leases 943,716 1,038,455

943,716 1,038,455 15. OBLIGATIONS UNDER FINANCE LEASES

The total obligations under finance leases shown below include interest payable under the agreements in place. The timing of those obligations is as follows:

31 March

2016 £

31 March 2015

£ Amounts payable: Within one year 692,744 582,051 Within two to five years 958,014 1,054,135 After five years 13,266 11,886

1,664,024 1,648,072

Ubico Limited


23

13. CREDITORS - due within one year

31 March

2016 £

31 March 2015

£ Restated

Trade creditors 679,168 475,521 Cheltenham Borough Council 386,993 463,113 Cotswold District Council 235,273 280,098 West Oxfordshire District Council 208,279 - Tewkesbury Borough Council 86,449 - Forest Of Dean District Council 20,788 - Amounts due under finance leases 667,437 559,429 Taxation and social security 246,620 283,305 Other creditors 86,668 183,000 2,617,675 2,244,466


14. CREDITORS – due in greater than one year

Capital payments outstanding under finance lease arrangements

31 March 2016

£

31 March 2015

£ Amounts due under finance leases 943,716 1,038,455

943,716 1,038,455 15. OBLIGATIONS UNDER FINANCE LEASES

The total obligations under finance leases shown below include interest payable under the agreements in place. The timing of those obligations is as follows:

31 March

2016 £

31 March 2015

£ Amounts payable: Within one year 692,744 582,051 Within two to five years 958,014 1,054,135 After five years 13,266 11,886

1,664,024 1,648,072

Ubico Limited


24

16. RELATED PARTY TRANSACTIONS

Services provided by Ubico Ltd: Ubico Limited (the Company), is a not-for-profit company limited by shares, that provides environmental services across Gloucestershire and Oxfordshire. Of its clients, Cheltenham Borough Council, Cotswold District Council, West Oxfordshire District Council, Tewkesbury Borough Council, Forest of Dean District Council and Stroud District Council are all shareholders in the Company. During the period the Company supplied services to the Councils totalling £17,972,310 (2014/15 £11,265,662).

Services provided to Ubico Ltd: ‘GO Shared Services' provides Finance, Payroll, Health & Safety and Human Resources services to Ubico Ltd. GO Shared Services is a collaboration operated by Cheltenham Borough Council, Cotswold District Council, West Oxfordshire District Council and the Forest of Dean District Council. ‘One Legal’ provides Legal Services to Ubico Ltd. ‘One Legal’ is a collaboration involving Cheltenham Borough Council and Tewkesbury Borough Councils. ‘Audit Cotswolds’ provide Internal Audit Services to Ubico Ltd. ‘Audit Cotswolds’ is a collaboration involving Cheltenham Borough Council, Cotswold District Council and West Oxfordshire District Council. These services are all provided under Service Level Agreements. The Company purchased goods and services of £2,150,191 (2014/15 £1,362,937) from the Councils during the period. During the period temporary loans of £nil (2015: £300,000) were received from Cheltenham Borough Council to fund temporary cash flow positions, and all were repaid in the year. Balances outstanding at the period end were as follows:

31 March

2016 £

31 March 2015

£ Restated

Cheltenham Borough Council (235,777) 290,574.

Cotswold District Council (233,961) 224,829. West Oxfordshire District Council (208,279) -. Tewkesbury Borough Council (38,791) -. Stroud District Council -. -. Forest of Dean District Council (20,788) -.

Net owed (by) / to the Company (767,596) 515,403

Ubico Limited


25

17. FINANCIAL INSTRUMENTS

FINANCIAL ASSETS 31 March

2016 £

31 March 2015

£

Financial assets that are debt instruments measured at amortised cost 1,859,809 1,639,219.

1,859,809 1,639,219

FINANCIAL LIABILITIES 31 March

2016 £

31 March 2015

£

Financial liabilities measured at amortised cost (3,314,770) (2,999,616).

(3,314,770) (2,999,616) Financial assets measured at amortised cost comprise cash, trade debtors, amounts due from members, other debtors and employee car loans. Financial liabilities measured at amortised cost comprise finance lease obligations, trade creditors, other creditors and amounts owed to members. 18. SHARE CAPITAL

31 March

2016 £

31 March 2015

£ Authorised & Issued - Ordinary shares of £1 each 6 2 During the year, the Company issued 4 ordinary shares of £1. The Company is a local authority company limited by shares, with each council having equal voting rights. It is governed by its memorandum and articles of association. The shareholders are listed in the Company’s Register of Members. The liability, as set out in the memorandum of association, is limited to £1 per member of the Company.

19. RESERVES Profit & loss account Includes all current and prior period retained profits and losses. Pensions reserve Includes all current and prior period movements on the defined benefit pension scheme.

Ubico Limited


26

20. PENSIONS

As part of the terms and conditions of employment, employees of Ubico Ltd are entitled to participate in a retirement benefit scheme. The Company participates in two schemes:

the Local Government Pension Scheme (‘LGPS’), administered by Gloucestershire County Council. This is a funded scheme, meaning that both employer and employees pay contributions into the fund, calculated at a level that is estimated to balance the pensions’ liabilities with investment assets. This is a closed scheme for new employees unless the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply.

a Stakeholder pension administered by Scottish Life. Employee contributions are

matched by employer’s contributions to a maximum of 3%. Local Government Pension Scheme The following figures for the defined benefit Local Government Pension Scheme have been prepared by the actuary as at 31 March 2016 in compliance with the provisions of FRS 102 and based on the most recent full actuarial valuation at 31st March 2013. The post-retirement mortality assumptions are based on the Fund's Vita Curves in line with the CMI model assuming the current rate of improvements has peaked and will converge to a long term rate of 1.25%. Based on these assumptions, the average future life expectancies at age 65 are as follows:

Males Females Current Pensioners Future Pensioners: *

22.5 years 24.4 years


*Figures assume members aged 45 as at the last formal valuation date. Reconciliation of present value of plan liabilities

31 March 2016

£

31 March 2015

£ Opening position 1 April (20,440,000) (12,024,000) Current service costs (1,019,000) (567,000) Interest cost (669,000) (524,000) Plan participant contributions (199,000) (139,000) Benefits paid 251,000. 360,000. Remeasurements 2,350,000. (3,411,000) Effect of business combinations -. (4,135,000)

Closing position 31 March (19,726,000) (20,440,000)

Ubico Limited


26

20. PENSIONS

As part of the terms and conditions of employment, employees of Ubico Ltd are entitled to participate in a retirement benefit scheme. The Company participates in two schemes:

the Local Government Pension Scheme (‘LGPS’), administered by Gloucestershire County Council. This is a funded scheme, meaning that both employer and employees pay contributions into the fund, calculated at a level that is estimated to balance the pensions’ liabilities with investment assets. This is a closed scheme for new employees unless the Transfer of Undertakings (Protection of Employment) Regulations 2006 apply.

a Stakeholder pension administered by Scottish Life. Employee contributions are

matched by employer’s contributions to a maximum of 3%. Local Government Pension Scheme The following figures for the defined benefit Local Government Pension Scheme have been prepared by the actuary as at 31 March 2016 in compliance with the provisions of FRS 102 and based on the most recent full actuarial valuation at 31st March 2013. The post-retirement mortality assumptions are based on the Fund's Vita Curves in line with the CMI model assuming the current rate of improvements has peaked and will converge to a long term rate of 1.25%. Based on these assumptions, the average future life expectancies at age 65 are as follows:

Males Females Current Pensioners Future Pensioners: *



*Figures assume members aged 45 as at the last formal valuation date. Reconciliation of present value of plan liabilities

31 March 2016

£

31 March 2015

£ Opening position 1 April (20,440,000) (12,024,000) Current service costs (1,019,000) (567,000) Interest cost (669,000) (524,000) Plan participant contributions (199,000) (139,000) Benefits paid 251,000. 360,000. Remeasurements 2,350,000. (3,411,000) Effect of business combinations -. (4,135,000)

Closing position 31 March (19,726,000) (20,440,000)

Ubico Limited


27

Reconciliation of present value of plan assets

31 March 2016

£

31 March 2015

£ Opening position 1 April 17,805,000. 11,742,000. Interest on plan assets 581,000. 511,000. Plan participant contributions 199,000. 139,000. Employer contributions 744,000. 509,000. Benefits paid (251,000) (360,000) Remeasurements (559,000) 1,236,000. Effect of business combinations -. 4,028,000.

Closing position 31 March 18,519,000. 17,805,000. Composition of plan assets

31 March 2016

£

31 March 2015

£ Equities 70% 74% Bonds 21% 17% Property 8% 7% Cash 1% 2% The bid value of the Gloucestershire County Council Fund assets as at 31 March 2016 is £1,719,000,000 (31 March 2015 £1,704,000,000) as provided by the Administering Authority. The amounts recognised in the Statement of Comprehensive Income are as follows:

31 March 2016

£

31 March 2015

£ Current service cost (1,019,000) (567,000) Net interest cost (88,000) (13,000) (1,107,000) (580,000)

Effect of business combinations [pensions liability] -. (107,000)

Re-measurement of the net defined benefit liability 1,791,000. (2,175,000)

684,000. (2,862,000)

Ubico Limited


27

Reconciliation of present value of plan assets

31 March 2016

£

31 March 2015

£ Opening position 1 April 17,805,000. 11,742,000. Interest on plan assets 581,000. 511,000. Plan participant contributions 199,000. 139,000. Employer contributions 744,000. 509,000. Benefits paid (251,000) (360,000) Remeasurements (559,000) 1,236,000. Effect of business combinations -. 4,028,000.

Closing position 31 March 18,519,000. 17,805,000. Composition of plan assets

31 March 2016

£

31 March 2015

£ Equities 70% 74% Bonds 21% 17% Property 8% 7% Cash 1% 2% The bid value of the Gloucestershire County Council Fund assets as at 31 March 2016 is £1,719,000,000 (31 March 2015 £1,704,000,000) as provided by the Administering Authority. The amounts recognised in the Statement of Comprehensive Income are as follows:

31 March 2016

£

31 March 2015

£ Current service cost (1,019,000) (567,000) Net interest cost (88,000) (13,000) (1,107,000) (580,000)

Effect of business combinations [pensions liability] -. (107,000)

Re-measurement of the net defined benefit liability 1,791,000. (2,175,000)

684,000. (2,862,000)

Ubico Limited


28

Assumptions The major assumptions used by the Actuary in assessing scheme liabilities were as follows:

Period Ended

31 March 2016

31 March 2015

% % Rate of increase in pensions in payment 2.2 2.4 Rate of increase in salaries 3.7 3.8 Discount rate 3.5 3.2

21. TRANSITION TO FRS 102

The Company has adopted FRS 102 for the year ended 31 March 2016 and has restated the comparative prior year amounts where applicable.

Under FRS 102 the accounting treatment in a number of areas is different to that previously applied under UK GAAP. Ubico does not have balances or transactions in the majority of these areas however changes have been applied in relation to accounting for defined benefit pension schemes (retirement benefits). The principal requirements are as follows:

Gains / losses on re-measurement of the net defined benefit liability are recorded in other comprehensive income

Net interest (recorded in profit or loss) includes interest income. This is calculated as the fair value of the plan assets multiplied by the discount rate applied to calculate the interest cost.

The liability for benefits which vest over time is recognised immediately but measurement takes into account the likelihood of vesting.

There is no requirement to use an independent actuary to perform the actuarial valuation.

The table on the following page shows the effect of the re-statement on the Statement of Comprehensive Income.

Ubico Limited


28

Assumptions The major assumptions used by the Actuary in assessing scheme liabilities were as follows:

Period Ended

31 March 2016

31 March 2015

% % Rate of increase in pensions in payment 2.2 2.4 Rate of increase in salaries 3.7 3.8 Discount rate 3.5 3.2

21. TRANSITION TO FRS 102

The Company has adopted FRS 102 for the year ended 31 March 2016 and has restated the comparative prior year amounts where applicable.

Under FRS 102 the accounting treatment in a number of areas is different to that previously applied under UK GAAP. Ubico does not have balances or transactions in the majority of these areas however changes have been applied in relation to accounting for defined benefit pension schemes (retirement benefits). The principal requirements are as follows:

Gains / losses on re-measurement of the net defined benefit liability are recorded in other comprehensive income

Net interest (recorded in profit or loss) includes interest income. This is calculated as the fair value of the plan assets multiplied by the discount rate applied to calculate the interest cost.

The liability for benefits which vest over time is recognised immediately but measurement takes into account the likelihood of vesting.

There is no requirement to use an independent actuary to perform the actuarial valuation.

The table on the following page shows the effect of the re-statement on the Statement of Comprehensive Income.

Ubico Limited


29

Statement of Comprehensive Income [Profit and Loss Account]

31 March 2015 as published

£

Current Service Cost

Adjustment £

Remove Net Interest

(FRS17) £

Net Interest (FRS102)

£

Remove Actuarial

Gains / Losses (FRS17)

£

Re-measurement

of NDBL (FRS102)

£

31 March 2015 RESTATED

£ Turnover 11,835,755. -. -. -. -. -. 11,835,755.

Cost of Sales (11,013,470) 58,000. -. -. -. -. (10,955,470)

Gross Profit 822,285. 58,000. -. -. -. -. 880,285. Administration expense (974,448) -. -. -. -. -. (974,448)

Other operating expense -. (58,000) -. -. -. -. (58,000)

Operating loss (152,163) -. -. -. -. -. (152,163) Interest payable (30,837) -. -. (13,000) -. -. (43,837)

Other finance income 172,000. -. (172,000) -. -. -. -.

Loss on ordinary activities (11,000) -. (172,000) (13,000) -. -. (196,000) Tax on ordinary activities 25,000. -. -. -. -. -. 25,000. Profit / (loss) for the financial year 14,000. -. (172,000) (13,000) -. -. (171,000) Actuarial gains and (losses) (2,467,000) -. -. -. 2,467,000. -. -.

Effect of business combinations (pensions) -. -. -. -. -. (107,000) (107,000)

Re-measurements of net defined benefit liability -. -. -. -. -. (2,175,000) (2,175,000)

Total comprehensive expenditure (2,453,000) -. (172,000) (13,000) 2,467,000. (2,282,000) (2,453,000)

Ubico Limited


29

Statement of Comprehensive Income [Profit and Loss Account]

31 March 2015 as published

£

Current Service Cost

Adjustment £

Remove Net Interest

(FRS17) £

Net Interest (FRS102)

£

Remove Actuarial

Gains / Losses (FRS17)

£

Re-measurement

of NDBL (FRS102)

£

31 March 2015 RESTATED

£ Turnover 11,835,755. -. -. -. -. -. 11,835,755.

Cost of Sales (11,013,470) 58,000. -. -. -. -. (10,955,470)

Gross Profit 822,285. 58,000. -. -. -. -. 880,285. Administration expense (974,448) -. -. -. -. -. (974,448)

Other operating expense -. (58,000) -. -. -. -. (58,000)

Operating loss (152,163) -. -. -. -. -. (152,163) Interest payable (30,837) -. -. (13,000) -. -. (43,837)

Other finance income 172,000. -. (172,000) -. -. -. -.

Loss on ordinary activities (11,000) -. (172,000) (13,000) -. -. (196,000) Tax on ordinary activities 25,000. -. -. -. -. -. 25,000. Profit / (loss) for the financial year 14,000. -. (172,000) (13,000) -. -. (171,000) Actuarial gains and (losses) (2,467,000) -. -. -. 2,467,000. -. -.

Effect of business combinations (pensions) -. -. -. -. -. (107,000) (107,000)

Re-measurements of net defined benefit liability -. -. -. -. -. (2,175,000) (2,175,000)

Total comprehensive expenditure (2,453,000) -. (172,000) (13,000) 2,467,000. (2,282,000) (2,453,000)

29

Ubico Limited


30

Whilst undertaking the restatement for FRS102, corrections of prior period errors have also been made.

Debtor and creditor balances have been adjusted to remove the offsetting of repayments due to / from the Company

Unpaid share capital is now included in debtors; this was previously debited to

retained profits and losses

The balance of retained profits and losses has been corrected to separately identify the Pensions Reserve balance.

The following table shows the effect of the restatement on the Statement of Financial Position. 31 March

2015 as

published £

Prior Period

Corrections £

31 March 2015

RESTATED £

FIXED ASSETS Tangible assets 1,597,884. -. 1,597,884. CURRENT ASSETS

Inventories 45,821. -. 45,821.

Debtors 855,247. 625,951. 1,481,198.

Cash at bank and in hand 158,020. -. 158,020.

1,059,088. 625,951. 1,685,039. CURRENT LIABILITIES

Creditors: Amounts falling due within one year (1,059,088) (625,949) (1,685,037) NET CURRENT ASSETS -. 2. 2. TOTAL ASSETS LESS CURRENT LIABILITIES 1,597,884. 2. 1,597,886. Creditors: Amounts falling due after one year (1,597,884) -. (1,597,884) Net pension liability (2,635,000) -. (2,635,000) NET ASSETS (2,635,000) 2. (2,634,998)

CAPITAL AND RESERVES Called up share capital 2. -. 2. Profit and loss account 98,998. (98,998) -. Pensions Reserve (2,734,000) 99,000. (2,635,000) (2,635,000) 2. (2,634,998)

Ubico Limited


30

Whilst undertaking the restatement for FRS102, corrections of prior period errors have also been made.

Debtor and creditor balances have been adjusted to remove the offsetting of repayments due to / from the Company

Unpaid share capital is now included in debtors; this was previously debited to

retained profits and losses

The balance of retained profits and losses has been corrected to separately identify the Pensions Reserve balance.

The following table shows the effect of the restatement on the Statement of Financial Position. 31 March

2015 as

published £

Prior Period

Corrections £

31 March 2015

RESTATED £

FIXED ASSETS Tangible assets 1,597,884. -. 1,597,884. CURRENT ASSETS

Inventories 45,821. -. 45,821.

Debtors 855,247. 625,951. 1,481,198.

Cash at bank and in hand 158,020. -. 158,020.

1,059,088. 625,951. 1,685,039. CURRENT LIABILITIES

Creditors: Amounts falling due within one year (1,059,088) (625,949) (1,685,037) NET CURRENT ASSETS -. 2. 2. TOTAL ASSETS LESS CURRENT LIABILITIES 1,597,884. 2. 1,597,886. Creditors: Amounts falling due after one year (1,597,884) -. (1,597,884) Net pension liability (2,635,000) -. (2,635,000) NET ASSETS (2,635,000) 2. (2,634,998)

CAPITAL AND RESERVES Called up share capital 2. -. 2. Profit and loss account 98,998. (98,998) -. Pensions Reserve (2,734,000) 99,000. (2,635,000) (2,635,000) 2. (2,634,998)

Ubico Limited

SUPPLEMENTARY INFORMATION For the year ended 31 March 2016

31

The following page does not form part of the statutory financial statements which are the subject of the independent auditor’s report on pages 7 to 8.

31 March 2016

31 March 2015

Restated £ £ TURNOVER Service Level Agreements 17,666,562 11,025,192 Non partner council income 230,944 570,093 Other operational income 305,748 240,470 18,203,254 11,835,755 COST OF SALES Employees 9,123,361 6,225,398 Premises 579,784 296,286 Transport 2,396,339 845,587 Supplies and Services 4,445,220 2,972,568 Depreciation 734,779 615,634 17,279,483 10,955,470 Gross profit 923,771 880,285 OVERHEADS Administrative expenses Other operating expenses

903,373 275,000

974,448 58,000

1,178,373 1,032,448 OPERATING LOSS (254,602) (152,163) Interest payable 116,669 43,837 Interest receivable (8,271) -.

LOSS ON ORDINARY ACTIVITIES (363,000) (196,000).

Ubico Limited

SUPPLEMENTARY INFORMATION For the year ended 31 March 2016

31

The following page does not form part of the statutory financial statements which are the subject of the independent auditor’s report on pages 7 to 8.

31 March 2016

31 March 2015

Restated £ £ TURNOVER Service Level Agreements 17,666,562 11,025,192 Non partner council income 230,944 570,093 Other operational income 305,748 240,470 18,203,254 11,835,755 COST OF SALES Employees 9,123,361 6,225,398 Premises 579,784 296,286 Transport 2,396,339 845,587 Supplies and Services 4,445,220 2,972,568 Depreciation 734,779 615,634 17,279,483 10,955,470 Gross profit 923,771 880,285 OVERHEADS Administrative expenses Other operating expenses

903,373 275,000

974,448 58,000

1,178,373 1,032,448 OPERATING LOSS (254,602) (152,163) Interest payable 116,669 43,837 Interest receivable (8,271) -.

LOSS ON ORDINARY ACTIVITIES (363,000) (196,000).

Ubico LtdCentral DepotSwindon RoadCheltenhamGL51 9JZ

Telephone: 0300 300 9000Fax: 0300 300 9001

Email: [email protected]

2015 - 2016 - Ubico · The full financial statement for the period ending 31 March 2016 can be...

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