Accrol Group Holdings plc 
Annual Report and Accounts 2016
Converting
opportunity
into growth
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We are a leading 
independent 
tissue converter
Accrol is a leading independent tissue converter manufacturing toilet rolls, 
kitchen rolls, facial tissues and away from home products (AFH). We supply  
a range of Independents, Discounters and Multiples as well as a variety  
of AFH customers throughout the UK. Accrol imports Parent Reels from around 
the world and converts them into finished goods at its 350,000 sq. ft. 
manufacturing, storage and distribution facility in Blackburn, Lancashire. 
Strategic Report
Introduction and Highlights IFC
What We Do 2
Our History 4
Chairman’s Statement 6
Chief Executive’s Q&A 8
Market Overview 10
Business Model 12
Strategy 14
CFO’s Report 16
Principal Risks 20
Governance
Meet Our Board 22
Corporate Governance Statement 24
Remuneration Committee 28
Directors’ Report 33
Directors’ Responsibilities Statement 35
Financial Statements
Independent Auditor’s Report  
Consolidated 36
Consolidated Income Statement 37
Consolidated Statement of 
Comprehensive Income 37
Consolidated Statement of 
Financial Position 38
Consolidated Statement of 
Change in Equity 39
Consolidated Cash Flow Statement 40
Notes to the Consolidated 
Financial Information 41
Independent Auditor’s Report Company 65
Company Statement of 
Financial Position 66
Company Statement of 
Changes in Equity 67
Company Cash Flow Statement  68
Notes to the Company 
Financial Information 69
Company Information 72
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Introduction and Highlights
Strategic Report
IFC Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 1
Operational highlights
• 35% share of the Discount market  
which is the fastest growing sector  
at 10% per annum
• Focused on Private Label products which 
are taking market share from Brands
• 60% of our plant is less than 5 years old
• 143,000 tonnes of potential capacity with 
c.25% headroom for new business
• 16.3m products produced per week
Financial highlights
Revenue
£118m
+17% YoY
Revenue CAGR1
+16.5%
Over last 3 years
Adjusted EBITDA
£15.0m
+22.5% YoY
EBITDA CAGR1
+16.5%
Over last 3 years
Investment in machinery 
£18.2m
Over last 3 years
1 Compound Annual Growth Rate
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What We Do
We produce 
quality products at 
competitive prices
The Group’s competitive advantage lies in its market positioning, 
operational process and flexibility.
Our sales
The Discount market represents 14% of the overall tissue market and is the fastest growing 
sector at 10% per annum. Accrol’s decision to focus on this sector in 2008, has delivered 
sales CAGR of 16.5% since 2013. Accrol is the market leader in the Discount segment with 
35% share by market value.
Technology and converting lines
Accrol has invested c.£18.2m in machinery over the last three years. The Group currently has 15 
converting lines in operation providing capacity of approximately 118,000 tonnes per annum. 
Additional capacity of c.25,000 tonnes per annum has recently been obtained with the purchase 
of two new machines which are yet to be installed. The Group’s operating machinery allows 
conversion of a wide variety of tissue grades, adding flexibility to the Parent Reel sourcing 
process and allowing manufacture of a wide range of product types.
Products manufactured 
per week 
16.3m
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What We Do Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 3
Product range
Accrol is able to manufacture toilet rolls, kitchen rolls, facial tissue and AFH products, providing  
a ‘one stop shop’ solution for customers. We believe the ability to produce all four key segments 
is a competitive advantage.
Discounters’ tissue offerings are skewed towards Private Label and this is driving the growth  
of Private Label in the market as a whole. Discounters typically look for lower prices and  
suppliers that offer high, sustainable volumes. Discounters typically dedicate 3% of their shelf 
space to tissue products, compared to 2% in the Multiples. The majority of Accrol’s products  
are Private Label.
T oilet tissue 
revenue
1
£52.9m
Kitchen towels 
revenue
1
£26.5m
Facial tissue 
revenue1
£10.8m
Away from home (AFH) 
revenue
1 
£23.1m
1 Revenues are for current year 
ended 30 April 2016 but exclude 
Bought in product of £4.9m.
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Our History
Building a 
sustainable 
business
2005
2003
1993… 
2008
2009
2011
The Group’s competitive advantage lies in its market 
positioning, operational process and flexibility.
Building the business foundations
After founding in 1993, Jawid Hussain built the business and 
invested in capacity in anticipation of growth.
Growing through the recession
Consumer trends begin to change, 
Discounters offer good quality, own brand 
goods at low prices. They start to take market 
share from the Multiples.
People Jawid Hussain
Move to current 
Blackburn site. 
3 converting lines 
installed
3 more lines –  
extends 
converting 
capacity
Hussain brothers 
buy business 
from their father
Sign terms with 
the first of the 
Discounters
149 employees
4 more 
converting lines 
installed
Customers
Capacity
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Accrol Group Holdings plc / Annual Report and Accounts 2016 5
Market move from brands to own brands
Private Label share of market starts increasing, 
taking share from Brands.
Listing as a public limited company
10 June 2016, we list on the AIM Market of 
the London Stock Exchange.
2012
2013
2014
New storage 
facility
Begin to  
establish 
relationships 
with the
Multiples
2 facial tissue 
lines installed
2015
2016+
NorthEdge 
acquire 46.25% 
stake
3 additional lines – 
2 x toilet paper
1 x kitchen roll
•  P e t e r C h e u n g  
becomes 
Chairman
•  J am e s F lud e  
becomes CFO
Senior team strengthened:
•  CEO Steve Crossley and 
Non-Execs Joanne Lake 
and Steve Hammett 
appointed on listing
•  4 6 0 em p l o y e e s
2 x paper converting  
lines acquired,  
not yet installed
More Discounter 
account wins
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Chairman’s Statement
Our results show 
another year of 
excellent progress
Overview of the year
I am pleased to report that 2016 was another successful year for 
the Group. Revenue grew 17% year on year to £118.2m with 
adjusted EBITDA up 22.5% to £15.0m
1
. Our strong financial 
performance has been driven by continued focus on our strategy of 
growth through Private Label products into Discounter and Multiple 
retailers, supported by our flexible supply chain and continued 
investment ahead of growth in state of the art machinery.
Peter Cheung
Executive Chairman
Debt structure
1.5x
EBITDA
Dividend policy
6%
Progressive yield at IPO 
placing price
Operational review
We operate 15 converting lines, producing 16.3m units per 
week with a c.7% share of the UK tissue market. We continue 
to invest in machinery, with a further £3.2m committed on two 
high-speed converting lines. Capacity headroom is expected 
to be approximately 25%, ensuring we continue to deliver new 
business opportunities. 
With a 35% share of the Discount segment we continue 
to dominate this sector. The Multiple sector is the largest 
segment of the market and growth in this area remains a 
key strategic objective. 
We have continued to grow existing contracts, both organically 
and through new products, with the more significant growth 
through Discounters.
Financial performance
Revenues grew by £17 .2m year on year with Discounters 
providing the majority of the growth. This segment now 
accounts for 69% of our revenues, up 6% year on year, 
reinforcing our already strong relationships. Revenues from 
Multiple customers showed an encouraging 15%
1
 increase 
year-on-year growth in this key strategic area. Adjusted 
EBITDA increased by £2.8m
1
 year-on-year mainly due  
to greater revenues and favourable paper prices. This was 
partially offset by an increase in overheads due to growing 
our headcount.
Strategy
We continued to focus on organic growth through Discounters 
as this sector represents the fastest growing retail sector in  
the UK tissue market and is projected to continue to grow at  
a rate of 10% per annum. The Discounters’ tissue offerings  
are skewed towards Private Label and this is driving growth of 
Private Label in the market as a whole. Our strategy of focusing 
on the Discounters and providing Private Label products  
to Multiples, positions Accrol well to take advantage of 
new opportunities. 
Listing on the AIM Market
On 10 June 2016 Accrol successfully listed on the AIM Market. 
This listing has reduced the Company’s debt burden and will 
increase Accrol’s profile and reputation, enable us to incentivise 
key employees and provide a platform to execute our strategy.
The listing also provided a partial exit for the founders, the 
Hussain family and NorthEdge Capital who invested in Accrol in 
July 2014. The family will continue to support the management 
team as external consultants, and I would like to thank both  
the Hussain family and NorthEdge Capital for their support 
and commitment.
1 See the Adjusted income statement on page 17 for further explanation on the 
proforma result.
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Chairman’s Statement Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 7
Dividend policy
As a listed Company, one of our key ongoing objectives is to 
create shareholder value. The Board have committed to a 
progressive dividend policy with the intention of paying both an 
interim and final dividend expected, in aggregate, to represent a 
strong 6% yield at the IPO placing price, for the financial year 
ending 30 April 2017 . 
Outlook
We have ambitious plans for future growth by building on our 
customer relationships supported by solid financial performance. 
Our focus on Private Label, 35% share of the Discount market and 
capital investment over the last five years, positions us well to take 
advantage of future opportunities. 
In the event that there is a period of reduced consumer 
expenditure following the UK’s decision to leave the European 
Union, it is possible that the move towards non-discretionary 
Economy and Private Label products will accelerate. If this 
happens, we believe we are well positioned to benefit as over 50% 
of our sales are generated from the Discount segment and we are 
primarily focused on supplying Private Label products to both 
Discounters and Multiple retailers.
We have started FY17 strongly and we believe we are in a good 
position to deliver the next stage of our strategic plan. We remain 
confident in the outlook for Accrol in FY17 .
On behalf of all our stakeholders, I would like to thank our 
employees for their hard work and commitment over the past 
year and I look forward to a successful 2017 . 
Peter Cheung
Executive Chairman
22 July 2016
Meet the team
On listing, Steve Crossley was appointed as Chief Executive Officer 
with Joanne Lake and Steve Hammett appointed as Independent  
Non-Executive Directors. Myself as Executive Chairman and Chief  
Financial Officer James Flude, complete the plc Board. Each individual 
brings a wealth of experience and expertise to the team. To demonstrate  
our intention of moving towards best practice, the Board adopted on  
listing the provision of the Quoted Companies Alliance Code (QCA) for 
Corporate Governance.
Reasons for IPO
• Strengthen the balance sheet
• Reduce the interest burden and drive organic growth
• Incentivise management to deliver shareholder returns
• Enhance the profile of the business
Use of funds
• NorthEdge equity cash out of c.£9.6m and repay loan notes of £22.4m
• The Hussain family equity cash out of c.£8.9m and repay loan notes 
of £22.4m
• Management equity cash out of c.£1.6m and repay loan notes of £0.3m
• Refinance existing third party debt of c.£21.5m to flexible new facilities 
of £23.1m
 – c.£10.1m invoice Discounting facility
 – c.£13.0m revolving credit facility
Capital structure
Debt structure on admission c.1.5x FY16 adjusted EBITDA as £3.2m 
investment in machinery was brought forward from FY17 .
Shareholder list
As at 20 July 2016, the Company had been notified of, in accordance with 
the Disclosure and Transparency Rules, or was otherwise aware of,  
the following substantial interests of 3% or more in the Ordinary Share 
Capital of the Company.
Investor Amount Holding
Majid Hussain 4,652,590 5.0%
Wajid Hussain 4,652,590 5.0%
Mozam Hussain 4,646,621 5.0%
NorthEdge Capital 13,987,377 15.0%
Miton Asset Management Limited 8,800,000 9.5%
AXA Investment Managers UK 8,400,000 9.0%
Schroder Investment Management 8,000,000 8.6%
Majedie Asset Management Limited 5,411,105 5.8%
Ruffer LLP (for its discretionary clients of the 
Ruffer Group) 5,000,000 5.4%
Premier Fund Managers Limited 3,600,000 3.9%
 
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Chief Executive’s Q&A
Introducing
our new
Chief Executive
Steve Crossley
Chief Executive Officer
What were your reasons for joining the business? 
A Accrol has already established itself as a major player in  
a non-discretionary and significant marketplace and there 
is huge opportunity for continued growth both within  
the Discount sector and with the Multiples. We have high 
quality assets with available capacity. Flexibility in sourcing 
Parent Reels also gives us a competitive advantage both  
in terms of pricing, availability and developments in new 
technologies. Finally, yet importantly, the opportunity  
to lead the transition of Accrol from a very successful 
privately owned business into a very successful publicly 
owned company on AIM is also very exciting.
What are your first impressions?
A Our short and remarkable rise to our AIM listing is huge 
testament to the capability and foresight of Jawid and 
the rest of the Hussain family. The business continues 
to have a family feel despite its significant size and 
rapid growth. The management team are very capable, 
committed, enthusiastic and focused on long-term future 
success. The assets are all relatively new and further 
investment continues at pace. There are significant 
opportunities to consolidate and improve operational 
performance, enhancing operational margins without 
losing our competitive edge. Tight overhead control will 
need to be maintained as the business continues its rapid 
growth. All these elements combine to create significant 
opportunity over the coming years.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 9
74%
capacity utilised
60%
production lines less 
than 5 years old
£34m
gross profit
What are your key objectives for the coming year?
A Following yet another year of strong sales growth and 
further investment in new capacity, Accrol will continue 
to build on its core strengths and maximise market 
place opportunities for FY17. The Discount sector 
continues to grow at c.10% per annum and challenge 
the Multiples as they, in turn, all reset their ranging and 
shopper offer. Accrol are well positioned to benefit from 
this continued growth in the Discount sector and have 
made a number of significant customer wins that will 
further strengthen this position. At the same time the 
business will seek to expand its position within the 
Multiples Private Label sector which presents significant 
growth opportunities.
 This growth will also require the business to continually 
review its capacity and capabilities in order to take 
advantage of opportunities gained, and ones being 
evaluated. The two manufacturing lines purchased at 
the end of the current financial year, will be located on 
a new site. As part of the investment in new plant, 
utilisation from existing manufacturing lines will receive 
greater focus as the business seeks to optimise capacity 
from current capability. 
 The Company remains committed to its strategy of 
sourcing Parent Reels from tissue paper mills around 
the globe and has a number of long-term relationships 
with major tissue manufacturers. This strategy allows 
us to be the most competitive supplier to the UK market. 
New capacity for pulp and tissue manufacturing 
continues to be installed globally and so availability 
remains high and values competitive. We are uniquely 
placed to take advantage of this position in comparison 
to the vertically integrated competitor set.
What are your immediate priorities?
1 Maintain great service, quality and value to 
our customers.
2 Demonstrate consistent, steady growth and security 
of investment to our new and existing investors 
and shareholders.
3 Focus on improving operational utilisation and 
performance from existing capability.
4 Ensure the business has the appropriate resource 
to deliver the above whilst maintaining tight control 
on cost and overhead.
5 Transition the business from a privately run business 
into a public listed entity without losing all the great 
things that have created the success to date.
6 Install and commission the two lines recently purchased 
into a new facility that will allow space for further 
additional lines to meet sales opportunities.
Steve Crossley
Chief Executive Officer
22 July 2016
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74%
Multiples
14%
Discounters
12%
Others
Market Overview
We are  
a leading  
player
Accrol represents 7% of the UK tissue market share by revenue and is 
the fifth largest operator by capacity. 
The UK tissue market
The UK tissue market is worth £1.43 billion at 
manufacturer’s selling price per annum. The market 
is growing at 1% per annum by value, driven 
primarily by macro-economic factors such as 
population growth, unemployment and consumer 
affluence. The market is dominated by the Multiples 
with a 74% share by value. The Discounters 
represent 14% by value.
Total UK  
tissue market
£1.43bn
at manufacturers’ 
retail price
Market by customer mix 
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Accrol Group Holdings plc / Annual Report and Accounts 2016 11
Accrol customer mix 
Opportunity in Multiples
74%
Multiples total UK revenue market share
We are under-represented in the biggest sector of  
the market where Multiples have invested into Private 
Label and offer a greater range of such products 
compared to other retailers. Multiples are expected  
to continue to increase their Private Label offerings  
and Private Label market share.
Range of customers
We have established long term relationships with many leading  
retailers in a range of market sectors.
Discounters  
forecast growth
c.10%
per annum
Focus on Discounters 
35%
sector market share
9%
Multiples
69%
Discounters
22%
Others
Our focus 
Changes in consumer attitudes towards Discounters 
have driven the rise in their market share in the 
overall grocery sector in the last five years, at the 
expense of the big four Multiples, all of which have 
lost revenues directly to Discounters such as Aldi 
and Lidl.
Management’s decision in 2008 to focus on the 
Discount market has driven contract wins in the 
sector and has led to Accrol becoming the market 
leader, holding 35% share of the Discount market.
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Business Model
Facial 
tissues
AFH lines
Kitchen roll
Toilet roll Sourcing
The UK consumes 1.2m tonnes of tissue paper 
per annum, of which c.0.3m tonnes is imported. 
Accrol does not operate a paper mill and 
instead it imports Parent Reels from around the 
world. As such, the UK is a net importer of 
Parent Reels, of which Accrol takes 23% of all 
imports. 
There is a global over-supply of both pulp and 
Parent Reels and additional capacity is forecast 
to be brought on stream through to 2019. 
Parent Reel prices are driven by pulp prices and 
excess capacity in both the pulp and Parent 
Reel production. Excess global supply has 
suppressed Parent Reel prices allowing Accrol 
to compete on price compared to those 
competitors that operate mills. 
Converting
Modern, efficient machinery
Investment in state-of-the-art lines 
(>60% of the lines are less than 
five years old) has reduced our 
operating cost per unit to a market 
leading position.
Production flexibility
Our operating machinery allows 
conversion of a variety of input 
tissue grades, adding flexibility to the 
Parent Reel sourcing process and 
allowing manufacture of a wide range 
of product types.
Segments
Our products span the quality spectrum 
and are available in economy, luxury or 
premium variants.
An established 
base with capacity 
to grow
Our model of purchasing and converting Parent Reels (as opposed to 
manufacturing the Parent Reels from pulp and recycled fibre), requires 
lower fixed overhead and moreover provides flexibility in sourcing to 
capitalise on favourable pricing opportunities and production 
technology advancements.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 13
Storage and distribution
We have benefited from the rise of 
Discounters, and are well positioned 
to capitalise on market shifts towards 
Discounters’ and Multiples’ increased 
focus on Private Label products.
The breadth of our range and relationships 
with Multiples, Discounters and 
Independents and the AFH market are a 
source of competitive advantage.
Discounters R&D
Accrol has taken advantage of customer led growth in the 
Private Label market. This includes our development of a 
true quilted toilet tissue to compete against leading brands 
and the development of a multi-purpose wiper.
Our machinery is very flexible allowing us to convert a range of 
different tissue paper types. Not having a paper mill, means 
we are not tied to one particular type of tissue paper and as 
such, we are able to take advantage of new developments  
in paper technology. We have secured UK exclusivity for a 
new type of luxury tissue called NTT (New Textured Tissue) 
and we are working with our customers to develop a new 
luxury offering. 
Multiples
Independents
AFH distributors
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Strategy
Vision
To be the leading independent 
supplier of Private Label tissue 
products to both the Discount 
and Multiple sectors.
Strategic priorities
Organic growth through Discounters
We believe Accrol will benefit from continued growth in the sector, providing our 
quality and cost standards can be maintained. This is a key focus for the Group.
Increase share through Multiples
We intend to leverage our ability to supply Private Label products across the toilet, 
kitchen and facial tissue segments to increase orders and win new contracts with 
the Multiples.
We believe the Multiples will increase their Private Label offerings in response to 
growth in the Discount sector.
Operational improvements and capacity utilisation
We believe there is scope to increase efficiency of the current converting process 
through incremental changes to production line management, as well as running 
additional capacity through our newest machinery.
We will build on 
our competitive  
strength
We have identified key areas of operation to focus on improving the 
Group’s performance going forwards.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 15
 Progress against strategy
Channel Objective Progress
Discounters – Organic growth
– New customer wins
£22m annual sales 
from 3 new major contracts won 
at start of FY2017
Multiples – Increase share
2new lines up and running  
in the current year
Operations – Improve utilisation and performance from existing capabilities 
– Utilise capacity
y
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CFO’s Report
James Flude
Chief Financial Officer
Continued strong  
sales, profit and  
cash growth
Sales of Private Label products into Discounters 
and Multiples delivered a 17% year on year 
growth in revenues and a 22.5% growth in 
adjusted EBITDA. Investment in machinery 
continued with an additional £3.2m invested at 
the end of the year.
Key performance indicators
Statutory Unaudited Proforma*
2016
£’000
2015 
£’000 Change
2015 
£’000 Change
Revenue 118,219 81,904 +44.3% 101,056 +17.0%
Adjusted gross margin
1
28.1% 27.8% 26.0%
Adjusted EBITDA
2
15,038 9,971 +50.8% 12,279 +22.5%
Adjusted EBITDA to revenue margin 12.7% 12.2% 12.2%
Investment in machinery
3
3,152 6,645 6,645
Net debt 60,656 61,698 +1.7% 61,698 +1.7%
Net debt/adjusted EBITDA 4.0 times 6.2 times 5.0 times
* See the Adjusted income statement for further explanation on the proforma result.
• Revenues increased year on year by 17 .0% to £118.2m.
• Adjusted gross margin increased year on year by 2.1% to 28.1%.
• Adjusted EBITDA increased by 22.5% year on year to £15.0m.
• Continued strong cash generation year on year which included a £4.1m repayment of loan note interest.
• Net debt reduced £1.0m year on year to £60.7m with net debt to adjusted EBITDA reducing from 5.0 times to 4.0 times in the current year.
• Continued investment in machinery with £3.2m invested on two high-speed converting lines following the prior year investment of £6.6m in three 
high-speed lines. 
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Accrol Group Holdings plc / Annual Report and Accounts 2016 17
Growth in revenue 
17%
Growth in adjusted 
EBITDA 
22.5%
Adjusted income statement
The statutory income statement in the financial statement section of this Annual Report presents the trading results of the 
Group post the acquisition of the main trading entity, Accrol Papers Limited, on 14 July 2014 by Accrol Group Holdings 
Limited through its subsidiary, Accrol UK Limited. As such, the revenues and costs in the statutory income statement are 
presented for the period from 14 July 2014 onwards rather than for the full twelve months. To facilitate the review of the 
underlying trends, we have included the proforma results for the full twelve months for the year ended 30 April 2015.
Statutory Unaudited Proforma
2016
£’000
2015
£’000 Change
2015
£’000 Change
Revenue 118,219 81,904 +44% 101,056 +17%
Cost of sales before gain/(loss) on derivative financial 
instruments (84,996) (59,162) (74,823)
Gain/(loss) on derivative instruments 1,266 (1,455) (1,027)
Cost of sales (83,730) (60,617) (75,850)
Gross profit 34,489 21,287 +62% 25,206 +37%
Administration expenses (13,138) (8,954) (10,598)
Distribution (9,431) (8,549) (8,086)
Operating profit 11,920 3,784 +215% 6,522 +83%
Analysed as:      
– Adjusted EBITDA
2
15,038 9,971 +51% 12,279 +22%
– Depreciation (1,831) (1,511) (1,509)
– Amortisation (2,060) (1,691) (1,691)
– Gain/(loss) on derivative financial instruments 1,266 (1,455) (1,027)
– Exceptional items (493) (1,530) (1,530)
Operating profit 11,920 3,784 +215% 6,522 +83%
Finance costs (4,941) (4,132) (4,231)
Profit/(loss) before tax 6,979 (348) 2,291
Tax charge (1,274) (352) (871)
Profit/(loss) for the year attributable to equity 
shareholders 5,705 (700) 1,420
Gross margin % 29.2% 26.0% 24.9%
Adjusted gross margin % 28.1% 27.8% 26.0%
1 Adjusted gross margin, which is defined as gross profit excluding the (loss)/gain on derivative financial instruments is a non-GAAP metric used by management 
and is not an IFRS disclosure.
2 Adjusted EBITDA, which is defined as profit before finance costs, tax, depreciation, amortisation, (loss)/gain on derivative financial instruments and exceptional 
items, is a non-GAAP metric used by management and is not an IFRS disclosure.
3 Investment in machinery is the investment the business has made on converting machinery and for the prior year related to three high speed converting lines 
(two toilet and one kitchen) and in the current year related to two high speed converting lines that have yet to be installed and commissioned. 
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CFO’s Report Continued
Revenues
FY16 FY15 VAR
Discounter 69% 63% 6%
Multiple 9% 9% 0%
Other 22% 28% (6)%
100% 100% 0%
Revenues grew by 17 .0% or £17 .2m year on year with the majority 
of the growth from the Discounters. The Discount segment of the 
UK tissue market continues to grow strongly, taking share from the 
Multiples. Multiples, however, continue to be the biggest market 
segment and throughout the year, we have continued to work closely 
with our Multiple customers delivering a 15% increase year on year 
in the value of sales to this segment. In terms of products, toilet 
tissue revenues showed the highest year on year growth of 35.5% 
or £14.0m. As a proportion of revenue, toilet tissue has increased 
from 38% in the prior year to 44% in the current year, which reflects 
our investment last year in two toilet tissue converting lines. 
Gross margin
Reported gross margin increased by 4.3% to 29.2% for the year to 
30 April 2016. Adjusted gross margin excludes the impact of unrealised 
gains and losses on outstanding forward foreign currency contracts 
valued at the Balance Sheet date. Adjusted gross margin increased by 
2.1% from 26.0% for the year ended 30 April 2015 to 28.1% for the year 
ended 30 April 2016. The increase of 2.1% is mainly due to:
• In the prior year, we invested in, installed and commissioned three 
new high-speed converting lines ahead of the anticipated sales 
increase. In the current year, we have filled two of these lines with 
some capacity remaining on the third line which overall has 
contributed to an increase in gross margin year on year of c.0.8%. 
• Our average £:US$ transacted exchange rate decreased by c.6% 
year on year versus our average transacted US$ per tonnage paper 
purchase price decreasing by more at c.9%. As such, in the current 
year, we have a favourable purchase price variance of c.1.3% of 
gross margin. 
To mitigate adverse movements in exchange rates on both the US$ and 
Euro versus Sterling, we enter into forward currency contracts selling 
Sterling and purchasing both US$ and Euros. Prior to the UK’s decision to 
exit the EU in the recent referendum, we entered into additional forward 
currency contracts in both US$ and Euro. 
Administration costs
Administrative expenses have increased year on year by £2.5m with 
£1.5m due to an increased headcount to support the sales growth, £0.4m 
due to an increase in the amortisation charge, with all of the following due 
to the three new lines installed during the prior year; £0.3m of the increase 
due to an increase in the depreciation charge, £0.3m due to an increase in 
rents and £0.3m due to increase in electricity costs. 
The amortisation charge relates to the writing down over 10 years of the 
intangible, customer relationships, that arose on the acquisition of Accrol 
Holdings Limited on 14 July 2014. The year on year increase is due to the 
acquisition occurring part way through the prior year. 
Exceptional costs of £1.5m in the prior year related to the expensing of the 
deal fees incurred as part of the acquisition of Accrol Holdings Limited on 
14 July 2014. Current year exceptional costs of £0.5m relate to one off 
consultancy fees of £0.3m and £0.2m relating to a fire in September 2015 
in the embossing unit in one of our converting lines. The line was back up 
and running within one week with no disruption to customer orders. 
Distribution costs
Distribution costs as a percentage of sales have remained consistent year 
on year at 8.0%. We regularly review transport costs and use a variety of 
hauliers in order to ensure we are getting value and good service. 
Adjusted EBITDA
Adjusted EBITDA has increased by £2.8m or 22.5% year on year from 
£12.3m to £15.0m. 
Finance costs
Finance costs include the interest payable on the 10% fixed rate secured 
manager loan notes and the 10% fixed rate secured investor loan notes. 
Finance costs increased year on year by £0.7m, mainly due to the loan 
note interest and the bank loan interest being for a 12 month period in the 
current year versus part of the year in the prior period. One of the reasons 
for the listing on AIM in June 2016 was to reduce the debt burden on the 
business and reduce the financing costs by repaying both tranches of 
10% fixed rate secured loan notes. 
Taxation
The effective tax rate for the proforma period was high at 38.0% due to 
the add back of the amortisation of the customer relationships intangible 
and the add back of the loss on financial instruments. The effective tax 
rate for the current year is lower at 18.3% as the latter adjustment in the 
current was a gain.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 19
Balance sheet
Property, plant and equipment
In the previous financial period, we installed and commissioned three new 
high-speed converting lines, two toilet tissue lines and one kitchen towel 
line. At the end of the current financial year, two further converting lines 
were acquired for £3.2m, of which £0.3m was paid in cash and the 
balance of £2.9m funded through finance leases. These assets are key 
to supporting our strategy. 
Intangibles
Intangibles comprise mainly of goodwill and customer relationships. Under 
IFRS, goodwill is not amortised but is subject to an impairment review 
on at least an annual basis. Consequently, during the year, the directors 
performed a review, which involved making assumptions about the future 
performance of the business. After carefully considering various scenarios 
that could occur and after looking at sensitivities on these scenarios, 
the directors concluded that no impairment was required. Customer 
relationships have been recognised at fair value and are amortised over 
10 years. 
Working capital
Actual
2016 
£’m
2015 
£’m
Var 
£’m
Inventories 9.4 9.4 –
Trade and other receivables 21.3 19.3 2.0
Trade and other payables (15.5) (17.1) 1.6
15.2 11.6 3.6
Raw material stocks increased by £0.6m in line with the sales growth 
with finished goods stocks decreasing by a similar amount. Finished 
goods stocks at the year-end were lower than expected due to higher 
than expected demand around the year-end.
Trade receivables increased by £1.6m in line with the sales growth, 
showing our continued tight control of cash collection. 
Trade payables decreased by £1.2m due to our decision to accept more 
favourable Parent Reel pricing versus credit terms. 
Borrowings and cashflow
Actual
2016 
£’m
2015
 £’m
Var 
£’m
Bank loan facility 3.7 4.8 1.1
Finance leases 10.8 11.0 0.2
Shareholder loans 41.1 40.8 (0.3)
Factoring facility 7.5 5.8 (1.7)
Borrowings 63.1 62.4 (0.7)
Cash and cash equivalents (2.5) (0.7) 1.8
Net debt 60.6 61.7 1.1
The decrease in the bank facility is due to quarterly repayments of £0.3m 
per quarter made during the current year. 
Finance lease creditor reduced in the current year by the monthly capital 
repayments of £3.1m, offset by an increase of £2.9m due to financing of 
the two lines acquired towards the end of the current financial year. 
Shareholder loan interest of £4.1m was paid in July 2015 which was similar 
to the annual charge and so overall, the shareholder loans maintained a 
similar level year on year. 
Net cash generated during the year was £1.7m which supported a £1.1m 
decrease in net debt. On listing on AIM, the shareholder loan notes were 
repaid with part of the proceeds. In addition, on 13 June 2016, the bank 
loan facility and the finance leases were also repaid from a new Revolving 
Credit Facility (RCF). The RCF is a five-year £18m facility with a day 
1 drawdown of £13.0m. The RCF reduces to £10m subject to the following 
profile:
30 April 2017: £16m
30 April 2018: £14m
30 April 2019: £12m
30 April 2020: £10m
Looking forward
After successfully completing our AIM listing, we are looking forward 
to the next chapter as a publicly owned company. As before, our 
goal is to provide shareholder value through the provision of quality 
products and services to our existing and new customers. We have 
committed to a 6% dividend yield at the IPO placing price which 
is supported by our strong historical cash generation. Trading in 
the first few months of the financial year ending 30 April 2017 is in 
line with management expectations and we remain confident in 
the financial outlook for the financial year end 30 April 2017 . 
James Flude
Chief Financial Officer
22 July 2016
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Principal Risks
In order to gain an understanding of the risk exposure of the Group we review each area  
of our business annually and use a methodology that will assist the Group in measuring, 
evaluating, documenting and monitoring its risks within all areas of its operations. We use 
our risk management process as described to identify, monitor, evaluate and escalate risks 
as they emerge, enabling management to take appropriate action wherever possible in 
order to control them and also enabling the Board to keep risk management under review. 
The risk factors addressed below are those which we believe to be the most material to  
our business model, which could adversely affect the operations, revenue, profit, cash flow 
or assets of the Group and which may prevent us from achieving the Group’s strategic 
objectives. Additional risks and uncertainties currently unknown to us, or which we currently 
believe are immaterial, may also have an adverse effect on the Group.
Principal risk Impact Mitigation
Customer concentration
The loss of a major customer. • The loss of a major customer and/or being 
too dependent on a small number of high 
value customers could seriously impact the 
sales revenue and hence profitability of the 
business.
• Nurture relationships with key 
customers. 
• Understand our customers’ business in 
order to spot opportunities.
• Ensure customer service levels are high.
• Be ready to take advantage of market 
opportunities to take on new customers.
Cost of input goods and materials
Parent Reel and pulp pricing and capacity.
 
• The Group considers that due to 
oversupply of Parent Reels and Pulp at 
present, Parent Reel prices are currently low. 
However, if prices rise above management 
expectations this could have a material 
adverse effect on the Group’s ability to 
achieve strategic objectives.
• Nurture relationships with key 
suppliers. 
• Buy ahead. 
• Take spot opportunities when available. 
• Remain close to market dynamics on 
pulp price and capacity. 
• Increase knowledge of overall capacity 
in market to identify new opportunities. 
•  Remain flexible with regard to new 
suppliers.
Market and production capacity
New entrant into market. • A new entrant into the market creating extra 
capacity and competition.
• Ensure that the Group remains cost 
competitive, delivering best quality 
and service to customers. 
Winning a large customer contract. • The winning of a large contract could absorb 
all capacity headroom and could lead to 
supply issues if not managed closely.
• Ensure that we optimise the 
performance from our current 
production capacity and have clear 
plans to establish new production lines 
in line with business growth/winning 
new contracts.
Installation of new converting capacity. • As the Group grows it needs to install new 
converting capacity to supply customers.
• We have done this on numerous 
occasions, most recently on the 
three new machines purchased in the 
previous financial year.
• Regarding the two machines purchased 
in the current year, the original machine 
manufacturers have decommissioned 
and stored the machines. The 
manufacturers will re-install and 
commission them at a new site.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 21
Risk description Impact Mitigation
Financial
Volatility of foreign exchange rates. • The majority of our Parent Reel purchases 
are in US$ or Euros. Fluctuations in the 
exchange rates could adversely affect input 
costs and hence profitability.
• We have a hedging policy.
• Currency purchased in line with 
hedging policy and budgets/forecasts.
• Flex purchasing towards US$, Euro or 
Sterling where appropriate.
Information technology dependency
The Group relies on IT systems in its day 
to day operations. 
• Disruption in critical IT systems could 
have a negative impact on production and 
important business processes. 
• A recent detailed IT review and 
mapping exercise has been 
undertaken. The IT strategy is in place 
and is reviewed on an ongoing basis.
• Critical business continuity plans and 
disaster recovery contingencies are 
in place.
Human resources 
Key person dependency. • Loss of key individuals could impact the 
Company’s ability to deliver its strategic 
goals, and result in declining performance 
and loss of investor confidence.
The Group uses a variety of techniques 
to attract, retain and motivate its staff, 
with particular attention paid to those in 
key roles to help ensure the long-term 
success of the Group. These techniques 
include: 
• The regular review of remuneration 
packages, including share incentive 
schemes; 
• Regular communication with staff; and 
• An annual performance review process.
Regulatory
Failure to adhere to regulatory 
requirements such as taxation, the Data 
Protection Act, Health and Safety and Fire 
Safety regulations in particular. 
• A major fire would lead to production 
loss and even factory loss. Due to the 
inflammable nature of tissue and the dust 
created during the converting process; the 
Group is at a greater risk of fire than many 
other industries.
• Non compliance to Data Protection and 
Health & Safety regulations could result in 
fines, litigation and reputational damage.
• Ensure Group have robust operational 
policies, procedures, risk assessments 
and contingencies. 
• The Board has oversight over the 
management of regulatory risk and 
compliance and designates specific 
responsibilities to senior management 
who will seek external advice where 
relevant.
• Update and test the Disaster Recovery 
Plan annually.
Increasing Decreasing No movement
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Meet Our Board
Since the IPO our Board of Directors now comprises:
Peter Cheung Steve Crossley James Flude Joanne Lake Steve Hammett
Position Executive Chairman Chief Executive Officer Chief Financial Officer Independent Non-Executive 
Director
Independent Non-Executive 
Director
Key strengths 30 years of operational and financial 
experience in blue chip manufacturing, 
FMCG and retail.
Extensive experience in the soft tissue 
industry.
35 years of experience in UK food 
manufacturing and distribution at senior 
management or board level.
Extensive experience in managing finance 
functions and financial reporting.
Extensive Board experience gained in a 
plc environment and also with AIM 
companies.
Range of retail experience.
Date joined the Board Chairman since November 2014. June 2016. January 2015. June 2016. June 2016.
Previous experience 20 years as a main board director.
Peter has worked alongside private equity 
firms since 1997 and served on the board of 
AM Paper (SCA Soft Tissue) as Corporate 
Development Director, TMD Friction as Chief 
Financial Officer, Jemella Group (ghd) as 
Chief Operating Officer and Chairman of the 
Operating Board. He is a qualified CIMA 
accountant.
Steve spent 27 years at Unigate plc and 
Northern Foods plc latterly as an 
Operating Board Director and Divisional 
Managing Director of Chilled Foods.
Most recently, as Chief Executive Officer at 
Bright Blue Foods, he helped restructure, 
transition and re-finance the Company 
with a new investor. Steve has also had 
roles as Group Executive Board Director of 
Samworth Brothers (November 2010 to 
August 2014) and Managing Director of 
Grampian Country Pork (September 2006 
to September 2008).
Steve has experience working with venture 
capitalists and banks to raise capital for 
investment. 
James has 13 years of industry experience 
in finance roles gained in blue chip and 
private equity backed businesses. 
He held various financial reporting and 
internal audit roles at Northern Foods plc.
James spent six years at ghd where he 
was key in delivering the first private equity 
buyout with Lloyds Development Capital in 
July 2006 and the second buyout with 
Montagu Private Equity in July 2007.
James qualified as a Chartered Accountant 
with Arthur Andersen and holds a BSc 
Hons in Pure Mathematics from 
Birmingham University and a PhD in 
Mathematical Physics from the University 
of Nottingham.
Joanne has over 30 years’ experience in 
accountancy and investment banking 
primarily with Panmure Gordon, Evolution 
Securities, Williams de Broë and Price 
Waterhouse. 
Steve has held a number of CEO roles 
with Tesco in Turkey, Thailand, Czech 
Republic and Slovakia.
He was President of Al Futtaim Private and 
responsible for the growth of its retail 
brands, through c.400 stores in nine 
Middle East and North Africa markets. 
Other commitments Deputy Chairman of AIM quoted Mattioli 
Woods plc and main market listed Henry 
Boot PLC and is also a Non-Executive 
Director of AIM quoted Gateley (Holdings) 
Plc and Morses Club PLC.
Interim Customer Director and a member 
of the Food Board of the Co-operative 
Group. Responsible for c.3,000 stores.
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Meet Our Board
Governance Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 23
Peter Cheung Steve Crossley James Flude Joanne Lake Steve Hammett
Position Executive Chairman Chief Executive Officer Chief Financial Officer Independent Non-Executive 
Director
Independent Non-Executive 
Director
Key strengths 30 years of operational and financial 
experience in blue chip manufacturing, 
FMCG and retail.
Extensive experience in the soft tissue 
industry.
35 years of experience in UK food 
manufacturing and distribution at senior 
management or board level.
Extensive experience in managing finance 
functions and financial reporting.
Extensive Board experience gained in a 
plc environment and also with AIM 
companies.
Range of retail experience.
Date joined the Board Chairman since November 2014. June 2016. January 2015. June 2016. June 2016.
Previous experience 20 years as a main board director.
Peter has worked alongside private equity 
firms since 1997 and served on the board of 
AM Paper (SCA Soft Tissue) as Corporate 
Development Director, TMD Friction as Chief 
Financial Officer, Jemella Group (ghd) as 
Chief Operating Officer and Chairman of the 
Operating Board. He is a qualified CIMA 
accountant.
Steve spent 27 years at Unigate plc and 
Northern Foods plc latterly as an 
Operating Board Director and Divisional 
Managing Director of Chilled Foods.
Most recently, as Chief Executive Officer at 
Bright Blue Foods, he helped restructure, 
transition and re-finance the Company 
with a new investor. Steve has also had 
roles as Group Executive Board Director of 
Samworth Brothers (November 2010 to 
August 2014) and Managing Director of 
Grampian Country Pork (September 2006 
to September 2008).
Steve has experience working with venture 
capitalists and banks to raise capital for 
investment. 
James has 13 years of industry experience 
in finance roles gained in blue chip and 
private equity backed businesses. 
He held various financial reporting and 
internal audit roles at Northern Foods plc.
James spent six years at ghd where he 
was key in delivering the first private equity 
buyout with Lloyds Development Capital in 
July 2006 and the second buyout with 
Montagu Private Equity in July 2007.
James qualified as a Chartered Accountant 
with Arthur Andersen and holds a BSc 
Hons in Pure Mathematics from 
Birmingham University and a PhD in 
Mathematical Physics from the University 
of Nottingham.
Joanne has over 30 years’ experience in 
accountancy and investment banking 
primarily with Panmure Gordon, Evolution 
Securities, Williams de Broë and Price 
Waterhouse. 
Steve has held a number of CEO roles 
with Tesco in Turkey, Thailand, Czech 
Republic and Slovakia.
He was President of Al Futtaim Private and 
responsible for the growth of its retail 
brands, through c.400 stores in nine 
Middle East and North Africa markets. 
Other commitments Deputy Chairman of AIM quoted Mattioli 
Woods plc and main market listed Henry 
Boot PLC and is also a Non-Executive 
Director of AIM quoted Gateley (Holdings) 
Plc and Morses Club PLC.
Interim Customer Director and a member 
of the Food Board of the Co-operative 
Group. Responsible for c.3,000 stores.
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Corporate Governance Statement
I am pleased to introduce the Corporate Governance Report for Accrol 
Group Holdings plc for the year ended 30 April 2016. This report includes 
my statement, an introduction to the members of the Accrol Board and the 
Corporate Governance Report. 
The Directors place a significant emphasis on ensuring that Accrol has the appropriate 
governance structures in place. The appropriate governance structure for a publicly listed 
entity looks very different to that required for an entrepreneurial business. As part of the 
preparatory work that was undertaken prior to our Initial Public Offering (IPO) on the AIM 
market, a review of the kind of governance structure that was required and that would be 
appropriate for Accrol at this time, was undertaken and began to be implemented.
This review process is ongoing and will be continued by a Board that is committed to 
upholding the appropriate standards of corporate governance to ensure that there is an 
effective and efficient approach to managing the Group for the long-term benefit of all 
shareholders.
The Committees noted below were formed upon our IPO and therefore after our current April 
2016 year end. In this Corporate Governance Report, the Board take the opportunity to set out 
and explain our framework for Corporate Governance for future periods.
Peter Cheung
Executive Chairman
22 July 2016
Chairman’s 
introduction to 
Corporate Governance
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Statement Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 25
Governance statement
The Company’s shares are listed on AIM and are subject to the AIM 
Rules of the London Stock Exchange and consequently are not 
required to comply with the provisions or report in accordance with 
the UK Corporate Governance Code issued by the Financial Reporting 
Council in 2014. However, the Board is committed to the principles 
of good corporate governance covering leadership, effectiveness, 
accountability, remuneration and shareholder relations. Since 
Admission, the Directors have moved towards applying the Quoted 
Companies Alliance (QCA) Corporate Governance Code for Small 
and Mid-size Quoted Companies 2013, as far as is practicable and 
appropriate for a public company of the Group’s size and nature.
Role of the Board
The role of the Board is to establish the vision and strategy for the 
Group, to deliver shareholder value and be responsible for the long-term 
success of the Company. Individual members of the Board have 
equal responsibility for the overall stewardship, management and 
performance of the Group and for the approval of its long-term objectives 
and strategic plans.
Division of responsibilities
There is a clear division of responsibilities between the role of the 
Executive Chairman and that of the Chief Executive Officer of the 
Company and the roles are clearly set out in writing and reviewed by the 
Board. The primary responsibility of the Chairman is to lead and manage 
the Board and that of the Chief Executive is to manage the business of 
the Group.
The Chairman
Peter Cheung was appointed as Chairman in November 2014. The 
Chairman is responsible for leading and managing the Board and ensuring 
its effectiveness in all aspects of its role. He works closely with the Chief 
Executive on developing Group strategy and provides general advice 
and support.
The Chief Executive Officer
Steve Crossley is the Company’s Chief Executive. His principal responsibility 
is to manage the Group’s business and to lead the Senior Management 
Team in delivering the Company’s strategic and operational objectives.
The Non-Executive Directors
The Non-Executive Directors are each considered by the Board to be 
independent, in both character and judgement, in accordance with the 
recommendations of the Code.
The operation of the Board
The Board has the authority for ensuring that the Group is appropriately 
managed and achieves the strategic objectives it sets. To achieve this, 
the Board reserves certain matters for its own determination including 
matters relating to Group strategy, approval of interim and annual financial 
results, dividend policy, major capital expenditure, budgets, monitoring 
performance, treasury policy, risk management, corporate governance 
and the effectiveness of its internal control systems. It has a schedule of 
matters specifically reserved for its approval. The Board performs its 
responsibilities through an annual programme of meetings and by 
continuous monitoring of the performance of the Group.
Matters considered by the Board going forwards will include:
• Finance and operations review
• Annual budget and forecasts
• Risk review
• Strategic plans
• Health and safety
• Potential merger and acquisition targets
• Reports from the Board Committees
• Board evaluation
The Board also delegates a number of its responsibilities to committees 
and management as described below.
Board Committees
The Board has delegated specific authority to the Audit Committee, 
Remuneration Committee and the Nomination Committee. 
Joanne Lake is Chairman of the Audit Committee which also comprises 
Peter Cheung and Steve Hammett. The Audit Committee has the primary 
responsibility for monitoring the quality of internal controls, ensuring that 
the financial performance of the Group is properly measured and reported 
on and reviewing reports from the Group’s auditors relating to the Group’s 
accounting and internal controls, in all cases having due regard to the 
interests of shareholders. The Audit Committee will meet at least 3  
times a year. 
Peter Cheung is Chairman of the Nomination Committee which also 
comprises Joanne Lake and Steve Hammett. The Nomination Committee 
will identify and nominate, for the approval of the Board, candidates to fill 
Board vacancies as and when they arise. The Nomination Committee will 
meet as required. 
Steve Hammett is Chairman of the Remuneration Committee which also 
comprises Peter Cheung and Joanne Lake. The Remuneration 
Committee will review the performance of the Executive Directors 
and determine their terms and conditions of service, including their 
remuneration and the grant of options, having due regard to the interests 
of shareholders. The Remuneration Committee will meet at least once 
a year.
Board and Committee meetings
The Board will meet on a formal basis regularly. Members will be supplied 
with financial and operational information in good time for review in 
advance of the meetings. 
All Directors will have access to the advice and services of the Company 
Secretary. The Board approves the appointment and removal of the 
Company Secretary. The Non-Executive Directors are able to contact the 
Executive Directors, Company Secretary or Senior Managers at any time 
for further information.
Effectiveness
Board composition
The Board comprises the Executive Chairman, the Chief Executive, the 
Chief Financial Officer and two Non-Executive Directors. The Directors’ 
profiles appear on pages 22 and 23 and detail their experience and 
suitability for leading and managing the Group. Together they bring a 
valuable range of expertise and experience to the Group. No individual or 
group of individuals dominate the Board’s decision making process. The 
Chairman will foster a climate of debate and challenge in the boardroom, 
built on his challenging but supportive relationship with the Chief Executive 
which will set the tone for Board interaction and discussions.
Diversity
Vacancies on the Board are filled following a rigorous evaluation of 
candidates who possess the required balance of skills, knowledge 
and experience, using recruitment consultants where appropriate. 
The process for the appointment of Non-Executive Directors is managed 
by the Nomination Committee. The Company recognises the importance 
of diversity at Board level and the Board comprises individuals with a wide 
range of skills and experiences from a variety of business backgrounds. 
Our current female representation on the Board is 20%. 
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Appointment of Non-Executive Directors
Non-Executive Directors are appointed to the Board following a formal, 
rigorous and transparent process, involving external recruitment agencies, 
to select individuals who have a depth and breadth of relevant experience, 
thus ensuring that the selected candidates will be capable of making 
an effective and relevant contribution to the Board. The process for  
the appointment of Non-Executive Directors is managed by the 
Nomination Committee.
Terms of appointment and time commitment
All Non-Executive Directors are appointed for an initial term of 6 months 
after which the appointments are terminable by either the Company or 
the Non-Executive Director on one month’s notice. All Non-Executive 
Directors are expected to devote such time as is necessary for the proper 
performance of their duties. Directors are expected to attend all Board 
meetings and committee meetings of which they are members and any 
additional meetings as required.
Further details of their terms and conditions are summarised in the 
Remuneration Report on pages 28 to 32 and the terms and conditions 
of appointment of the Non-Executive Directors are available at the 
Company’s Registered Office.
Induction and professional development
New Directors are given a formal induction process including details of how 
the Board and Committees operate, meetings with Senior Management 
and information on Group strategy, products and performance. Training and 
development needs of Directors are reviewed regularly. The Directors are 
kept appraised of developments in legal, regulatory and financial matters 
affecting the Group from the Company Secretary, the Chief Financial Officer 
and the Group’s external auditors and advisers.
Professional advice, indemnities and insurance
There is provision for Directors to take independent professional advice 
relating to the discharge of their responsibilities should they feel they need 
it. The Company has arranged Directors’ and Officers’ liability insurance 
against certain liabilities and defence costs. However, the Directors’ 
insurance does not provide protection in the event of a Director being 
found to have acted fraudulently or dishonestly.
Board and committee evaluation
The performance evaluation of the Board, its Committees and Directors will 
be undertaken by the Chairman annually and implemented in collaboration 
with the Committee Chairmen. 
Election and re-election of Directors
At each Annual General Meeting the shareholders shall vote on resolutions 
to both elect any director who has been appointed since the last Annual 
General Meeting and also to re-elect any director who has not been 
appointed, elected or re-elected at one of the two previous annual 
general meetings.
Remuneration Committee
The Remuneration Committee comprises Steve Hammett, Peter Cheung, 
and Joanne Lake. The Committee has Terms of Reference that will be 
reviewed at least annually. 
The role of the Committee is to:
• Set the remuneration policy for all Executive Directors and the 
Chairman of the Board;
• Recommend and monitor the level and structure of senior 
management remuneration; 
• Ensure that the remuneration payments made to any director are 
consistent with the approved policy; and
• Oversee incentives-based remuneration for senior management 
or employees.
In carrying out these duties the committee shall ensure the 
appropriateness, relevance and market practice in respect of such 
remuneration policy. 
Nomination Committee
The Nomination Committee comprises Peter Cheung, Joanne Lake and 
Steve Hammett and will meet as and when it is necessary to do so. The 
Committee has Terms of Reference that will be reviewed at least annually. 
The Committee’s role is to:
• Ensure that appropriate procedures are in place for the nomination  
and selection of candidates for appointment to the Board considering 
the balance of skills, knowledge and experience of the Board;
• Make recommendations to the Board regarding re-election of 
Directors, succession planning and Board composition, having due 
regard for diversity, including gender; and
• Consider succession planning for Senior Management and 
membership of the Audit and Remuneration Committees.
Audit Committee
The Chief Executive Officer, Chief Financial Officer and external audit 
partner will attend a number of these meetings. The Audit Committee will 
also meet with the external audit partner without the Executives present. 
The role of the Committee will be to:
• Consider the appointment, fees, independence and effectiveness of 
the auditor and the audit process, and discuss the scope of the audit 
and its findings;
• Review audit and non audit services and fees;
• Monitor the Group’s accounting policies;
• Review and challenge the Group’s assessment of business risks and 
internal controls to mitigate these risks;
• Review the annual and interim statements prior to their submission for 
approval by the Board;
• Review and challenge the going concern assumptions for the Group;
• Review the Group’s whistle-blowing policy; and
• Annually assess the performance of the external auditor.
It is the task of the Audit Committee to ensure that auditor objectivity and 
independence is safeguarded when non-audit services are provided by 
the auditor. To ensure auditor objectivity and independence there is a 
process in place to approve any non-audit work.
The Audit Committee provides advice to the Board on whether the 
Annual Report is fair, balanced and provides the necessary information 
shareholders require to assess the Company’s performance, business 
model and strategy. In doing so, the following issues have been addressed:
• Review of key strategic risks – the Audit Committee will conduct 
a review of the key strategic risks every six months. The review 
will highlight the key risks based on a combination of likelihood and 
impact and then also considers what appropriate mitigation has 
been and should be implemented. The key risks are included in the 
Strategic Review;
• Review of judgements made by management, including the discount 
rate used in determining whether there has been an impairment of 
goodwill; and
• Going concern – the conclusion of the review of the going concern 
assessment is included below.
The Board is confident that the collective experience of the Audit 
Committee will enable them to act as an effective committee. The Audit 
Committee has access to the financial expertise of the Group and its 
auditors and can seek professional advice at the Company’s expense 
if required.
Corporate Governance Statement Continued
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Accrol Group Holdings plc / Annual Report and Accounts 2016 27
Risk management
The Group’s corporate objective is to maximise long-term shareholder 
value. In doing so, the Directors recognise that creating value is the reward 
for taking and accepting risk. The Directors consider risk management to 
be crucial to the Group’s success and give a high priority to ensuring that 
adequate systems are in place to evaluate and limit risk exposure.
Management will report to the Audit Committee regularly on their review of 
risks, how the risks are managed and monitored, and what actions have 
been assigned in relation to those risks. The Audit Committee will review 
the inherent risks, including the key risks and the system of control 
necessary to manage such risks. The Audit Committee will review the 
effectiveness of the Group’s procedures in managing risk. The business 
risks and controls to mitigate the risks will be formally reviewed by the 
Audit Committee and the Board at least twice a year. The Board are 
satisfied that this will be an ongoing process, which will operate 
throughout the year, for identifying, evaluating and managing the 
significant risks faced by the Group.
Internal control
The Board are responsible for the Group’s system of internal control and 
for reviewing its effectiveness, taking guidance from the Audit Committee. 
In the context of the Group’s business any such system can only 
reasonably be expected to manage rather than eliminate risks arising from 
its operations. It can therefore only provide reasonable and not absolute 
assurance against material loss or misstatement.
Key features of the internal control system are as follows:
• The Group has an organisational structure with clear responsibilities 
and lines of accountability. The Group promotes the values of integrity 
and professionalism. The members of the Board are available to hear, 
in confidence, any individual’s concerns about improprieties;
• The Board has a schedule of matters expressly reserved for its 
consideration. This schedule includes potential acquisitions, major 
capital projects, treasury, risk management policies, approval of 
budgets and health & safety;
• The Board monitors the activities of the Group through the 
management accounts, monthly forecasts and other reports on 
current activities and plans. The Senior Management Team regularly 
monitors financial and operational performance in detail;
• The Group has set appropriate levels of authorisation which must be 
adhered to as the Group concludes its business; and
• The Group operates a whistle-blowing policy which is communicated 
to all employees via the Employee Handbook.
Going concern
In carrying out their duties in respect of going concern, the Directors 
have carried out a review of the Group’s financial position and cash flow 
forecasts for the foreseeable future. These have been based on a 
comprehensive review of revenue, expenditure and cash flows, taking into 
account specific business risks and the current economic environment.
With regard to the Group’s financial position, it had cash and cash 
equivalents at the year end of £2.5m (2015: £0.7m).
Having taken the above into consideration, the Directors have reached the 
conclusion that the Group is well placed to manage its business risks in 
the current economic environment. Accordingly, they continue to adopt 
the going concern basis in preparing the financial statements.
Remuneration
The level of remuneration of the Directors is set out in the Remuneration 
Report on page 29.
Relations with shareholders
The Board appreciates that effective communication with the Company’s 
shareholders and the investment community as a whole is a key objective. 
The Chairman’s Statement, the Chief Executive’s Statement and the 
Strategic Report and Financial Review, together with the information in the 
Annual Report of the Group, provides a detailed review of the business. 
The views of both institutional and private shareholders are important, 
and these can be varied and wide-ranging, as is their interest in the 
Company’s strategy, reputation and performance. The Executive Directors 
have overall responsibility for ensuring effective communication and the 
Company maintains a regular dialogue with its shareholders, mainly in 
the periods following the announcement of the interim and final results, 
but also at other times during the year. The views of shareholders are 
sought through direct contact and via feedback from advisors and are 
communicated to the Board as a whole. The Board encourages the 
participation of shareholders at its Annual General Meeting, notice of 
which is sent to shareholders at least 14 working days before the meeting. 
The Company’s website ‘www.accrol.co.uk’ is regularly updated and 
provides additional information on the Group including information on the 
Group’s products and technology.
Annual General Meeting
This year’s AGM includes a presentation by the Chief Executive on the 
current progress of the business and allows the opportunity for questions 
on this or any of the resolutions before the meeting. The Company 
proposes separate resolutions for each issue and specifically relating 
to the Reports and Accounts. The Company ensures all proxy votes are 
counted and indicates the level of proxies on each resolution along with 
the abstentions after it has been dealt with on a show of hands.
After the meeting, shareholders have the opportunity to talk informally to 
the Board and raise any further questions or issues they may have. The 
outcome of the AGM, a copy of the AGM presentation and details of the 
poll results will be posted on the Company’s website after the meeting.
Richard Almond
Company Secretary
22 July 2016
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Remuneration Committee
I am pleased to introduce the Directors’ Remuneration 
Report for Accrol Group Holdings plc for the year ended 
30 April 2016. This report includes my statement, the 
Annual Report on remuneration for the period and sets out 
our forward-looking directors’ remuneration policy. 
The Directors acknowledge the importance of the principles set out in the 
Quoted Companies Alliance (QCA) Corporate Governance Code and we 
intend to apply this Code as far as we consider appropriate given the size 
of the Company. As part of this we have chosen to include information in 
this report which we believe is important to shareholders, notwithstanding 
that this goes beyond what we are required to disclose. We hope that you 
will find this useful.
Statement from the  
Chairman of the  
Remuneration 
Committee
Our directors’ remuneration policy
In the lead up to Admission the Company undertook a review of the 
underlying policy and remuneration structures of companies in the 
competitive marketplace in which we operate. We considered the 
approach necessary to attract and retain individuals with the relevant 
experience and skills to help drive future value creation and the 
achievement of our strategic goals and objectives.
Our overall goal is to have a remuneration strategy which stimulates 
sustainable value creation for the business and rewards the performance 
of management accordingly. 
The policy is set out in the following pages, with a summary of key 
principles provided below:
• Fixed levels of remuneration will be set at an appropriate level for 
each individual and in doing so the Remuneration Committee will 
take into account the levels of fixed remuneration for similar positions 
with comparable status, responsibility and skills. This will ensure we 
can attract and retain the individuals needed to grow the Company.
• Recognising our growth aspirations and the need to deliver ongoing 
superior returns for shareholders, the Executive Directors are eligible 
to participate in market competitive incentive arrangements. They will 
have the opportunity to receive appropriate levels of remuneration 
based on achievement of quantitative and qualitative objectives and 
measures as relevant for their role.
Business context and Remuneration Committee decisions on 
remuneration
The following factors have been identified as key areas of focus for 
improving the Group’s performance going forward:
• Organic growth through Discounters;
• Increasing market share through multiples; and
• Operational improvements and capacity utilisation.
In addition to these key areas, the Board will also consider complementary 
acquisitions.
It is intended that our remuneration policy reflects and is aligned to the 
Company’s long-term strategy and facilitates the achievement of the 
above objectives. 
 
During the year the Board considered and approved the implementation 
of an annual bonus plan and management incentive plan to incentivise key 
management to generate growth post-Admission. Further detail on these 
are set out in the Remuneration Policy section of this report.
The remainder of this report is split out into the following two sections:
• Annual Report on Remuneration providing details of the payments 
made to directors in the year ending 30 April 2016, pages 29 to 32.
• Directors’ Remuneration Policy setting out the Company’s forward 
looking remuneration policy, pages 29 to 32.
Steve Hammett
Chairman of the Remuneration Committee
22 July 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 29
Remuneration policy
This policy has been developed to apply from the time of Admission. The 
Remuneration Committee will periodically review the policy to confirm the 
remuneration framework continues to align with the strategy and 
objectives of the business.
In developing the policy, the Remuneration Committee has taken into 
account the best interests of the business and the agreed terms and 
conditions of employment for each director of the Company. The overall 
remuneration philosophy aims:
• To recognise the importance of ensuring that employees of the Group 
are effectively and appropriately incentivised.
• To operate a remuneration policy that is a mix of fixed and variable pay. 
Variable pay is both short term and long-term. 
• To align directors’ interests with those of the Company. 
• To have a pay for performance approach. 
• To provide a market competitive level of remuneration to enable the 
company to attract and retain high level individuals, to support the 
ongoing success of the Company. 
As part of this an annual bonus plan has been introduced which takes 
effect from the start of the financial year ending 30 April 2017 . The 
Company has also adopted the Management Incentive Plan (‘MIP’), to 
align the interests of senior management with those of the shareholders. 
There are no other employee share plans currently in place however, the 
Company may, in the future, look to introduce an employee share plan for 
the broader employee base. 
Annual Remuneration Report for 2016
Remuneration Committee
On Admission, the Company established a Remuneration Committee 
comprising of the following members: 
• Steve Hammett
• Peter Cheung
• Joanne Lake 
The Remuneration Committee has responsibility for setting the 
remuneration policy for all Executive Directors and the Chairman of 
the Board, including pension rights and any compensation payments. 
This includes reviewing the performance of the Executive Directors and 
determining their terms and conditions of service, their remuneration and 
the grant of any options, having due regard to the interests of shareholders.
In setting the remuneration policy, the Remuneration Committee takes 
into account the objective to attract, retain and motivate executive 
management of the quality required to run the Company successfully 
without paying more than is necessary. The remuneration policy also 
has regard to the risk appetite of the Company and alignment to the 
Company’s long term strategic goals. 
The Remuneration Committee also recognises that a significant proportion 
of remuneration should be structured so as to link rewards to corporate 
and individual performance and designed to promote the long-term 
success of the Company. 
The Remuneration Committee meets at least once a year and otherwise 
as required.
Directors’ remuneration 
The tables below set out the total remuneration for Executive and 
Non-Executive Directors for the financial year ending 30 April 2016 and 
30 April 2015.
Executive Director 
Total 
remuneration 
2016 
£
Total 
remuneration 
2015 
£
Majid Hussain
1
84,000 64,578
Jawid Hussain
1
108,000 74,624
John Flanagan
1
102,180 89,123
Gary Earle
1
204,804 150,260
Colin Platt
1, 4
96,000 51,693
James Flude
2,4
114,000 38,000
Non-Executive Director
Total fees 
2016
 £
Total fees 
2015 
£
Peter Cheung
2, 3
72,000 37,500
  
1 On 10 June 2016, Majid Hussain, Jawid Hussain, John Flanagan, Gary Earle and Colin Platt 
resigned as Directors of the Company as part of the Admission process. 
2 James Flude purchased 100 C Shares and 572 D Shares and Peter Cheung purchased 250 
C Shares and 572 D Shares in June 2015. 50% of the shares were sold on Admission and the 
remaining 50% are subject to a lock-in which expires on 10 June 2017. There are no 
performance conditions or other conditions attaching to these shares which are fully vested 
in the individuals.
3 At the time of Admission, Peter Cheung took on an Executive Chairman role. He will continue 
this role for a short period post-Admission before moving back into a Non-Executive role. 
4 Colin Platt and James Flude became Directors of the Company part way through the year 
ended 30 April 2015.
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Remuneration Committee Continued
Remuneration policy summary – Executive Directors
 
Purpose and link to strategy Operation
Base salary
To reflect market value of the role and individual’s performance 
and contribution and enable the Group to recruit and retain 
directors of sufficient calibre required to support achievement 
of both short and long-term value creation.
The salary of each Executive Director will be reviewed annually by the 
Remuneration Committee without any obligation to increase such salary.
Base salaries are benchmarked against the AIM companies of a comparable size 
with a targeted approach of median positioning against the market, subject to 
satisfactory performance.
There may be reviews and changes to base salary during the year if considered 
appropriate by the Remuneration Committee.
The Remuneration Committee will take account of relevant comparator group 
data as well as pay increases awarded to other groups of employees within 
the Company.
Benefits
To attract and retain the right individuals and level of talent 
required to support achievement of both short and long-term 
value creation.
Benefits include but may not be limited to private medical insurance, cash car 
allowance and life assurance cover. 
Other benefits may be provided to the Directors if considered appropriate by 
the Committee. 
Pension 
To attract and retain the right individuals and level of talent 
required to support achievement of both short and long-term 
value creation.
An annual pension allowance equivalent to 12.5% of base salary which is paid 
either into a pension scheme operated by the Company or a personal pension 
held by the individual, with the balance paid as an additional cash payment 
through payroll. 
Consideration of the new rules applying to pensions, taking into account the 
individual lifetime and annual allowances, are made when determining the most 
appropriate mix of pension and cash contributions for each individual on an 
annual basis.
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Accrol Group Holdings plc / Annual Report and Accounts 2016 31
Purpose and link to strategy Operation
Annual Bonus Plan 
To incentivise delivery of the Group’s annual financial and 
strategic goals.
The annual bonus payment will depend on the level of performance delivered 
against specific targets, with a threshold level being set below which no bonus will 
be paid. The performance range is outlined below: 
• Threshold performance – achieving 90% of the relevant target – pay out of 25% 
of the relevant part of the award. 
• Budget performance – achieving 100% of the relevant target – pay out of 60% 
of the relevant part of the award. 
• Maximum performance – achieving 110% of the relevant target – pay out of 
100% of the relevant part of the award. 
In measuring performance, the following performance measures will be used: 
• Profit before tax – 80% of award.
• Cash generation – 20% of the award.
The maximum bonus available is 100% of base salary per annum. This would only 
be paid out if the maximum targets are met.
The Remuneration Committee will review the bonus plan each year and may 
amend the terms of the plan to ensure it remains fit for purpose.
Management Incentive Plan (MIP)
To incentivise the delivery of key performance measures over 
the long-term.
To retain key executives and ultimately increase their share 
ownership in the Company, thus aligning their interests with 
those of shareholders. 
The MIP is a one-off award in connection with the Admission, there is no intention 
to make ongoing annual awards. 
The MIP involves the use of shares (‘MIP Shares’) which entitles the holders to 
a proportion of the value of the business above a pre-determined hurdle level. 
The hurdle has been set at a premium of 30% to the share price of the Company 
on Admission.
The MIP has a three year vesting period after which a participant can choose to 
sell their MIP Shares to the Company (or the Company could choose to call for 
their MIP Shares). 
MIP participants will also be able to sell their MIP Shares prior to the end of the 
vesting period should the Company be acquired by a third party.
The Company may, at its discretion, purchase the MIP Shares for cash or by way 
of the issue of Ordinary share in the Company as consideration. The number of 
Company shares that can be acquired in exchange for the vested growth shares 
will be calculated based on the value of the growth shares held by an individual at 
the time of the exchange and the share price of the Company on that date.
Footnotes to the Remuneration Policy 
• Ancillary benefits include private medical insurance expenses, life assurance cover (at four times basic salary), provision of a £10,000 per annum car allowance (Steve Crossley only) and the 
reimbursement of all reasonable and authorised expenses (including, for Peter Cheung only, the reimbursement of reasonable travel expenses to and from the Company’s offices in Blackburn).
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Remuneration Committee Continued
Termination of employment 
Each Executive Director has a service agreement which may be terminated by either party serving twelve months written notice. However, payment 
of remuneration during the notice period will be made monthly and terminated at the discretion of the Company should the individual take-up 
alternative employment.
Annual Bonus Plan
Payment of the bonus is conditional upon notice to terminate the employment not having been served by either party for any reason on or prior to 
the relevant bonus payment date.
MIP 
During the vesting period, if a participant ceases to be a director or employee of a member of the Group other than in certain ‘Good Leaver’ 
circumstances, participants can be required to transfer their MIP shares at the lower of fair value and the cost value of the MIP shares (subject to 
a minimum amount of £2,000). 
A Good Leaver is someone who ceases employment as a result of death, ill health, injury or disability evidenced to the satisfaction of the Board with 
Remuneration Committee consent; retirement at the normal retirement age in accordance with the Group’s internal policies; or any other reason the 
Board (acting with Remuneration Committee consent) permits. 
If the participant’s employment is deemed to have ceased in any of these ‘Good Leaver’ circumstances, they will be permitted to retain their MIP Shares 
until the expiry of the normal vesting period. They will then be able to transfer their MIP shares to the Company at their fair value, pro-rated by reference 
to the period of employment as a proportion of the vesting period. The Company will have flexibility to buy back the relevant proportion of MIP Shares 
that have not vested, at cost (subject to a minimum amount of £2,000), at the end of the vesting period or at an earlier date.
Remuneration policy summary – Non-Executive Directors 
Purpose and link to strategy Operation
Non-Executive Directors’ fees
To attract and retain the right individuals required to support the 
achievement of both short and long-term value creation.
Fees for Non-Executive Directors are based on market practice and are reviewed 
by the Board each year. 
All Non-Executive Directors receive a basic fee each year with an additional fee 
provided for each committee chairmanship and membership. 
The maximum aggregate amount of fees that the Company may pay to all the 
Directors who do not hold executive office for their services as such is £120,000 
per annum, or such larger amount as the Company may by ordinary resolution 
decide. 
These fees are to be divided among the Directors as the Board decides or, if no 
decision is made, equally. 
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Accrol Group Holdings plc / Annual Report and Accounts 2016 33
Directors’ Report
Corporate structure 
In anticipation of Admission, Accrol Group Holdings Limited, completed 
a capital restructuring on 1 June 2016 in which all existing A, B, C  
and D Ordinary shares were converted into simply Ordinary and  
Deferred shares. Following the capital restructuring, on the same day, 
1 June 2016, Accrol Group Holdings Limited re-registered as Accrol 
Group Holdings plc, a public company limited by shares. On 10 June 
2016, Accrol Group Holdings plc was admitted to the AIM market of the 
London Stock Exchange.
The Board
The Directors who served during the year under review were:
Peter Cheung 
Steve Roy Crossley (appointed 10 June 2016)
James Paul Maurice Flude 
Joanne Carolyn Lake (appointed 10 June 2016)
Steve Hammett (appointed 10 June 2016)
Dan Wright (resigned 10 June 2016)
Majid Hussain MBE (resigned 10 June 2016)
Jawid Hussain (resigned 10 June 2016)
John Flanagan (resigned 10 June 2016)
Gary Earle (resigned 10 June 2016)
Colin Platt (resigned 10 June 2016)
Details of the Directors’ remuneration are shown in the Report of the 
Remuneration Committee on pages 28 to 32. Details of the Directors’ 
interests in the share capital of the Company are set out below. The roles 
and biographies of the Directors as at the date of this report are on pages 
22 to 23.
Directors’ indemnity and insurance
The Company has granted a third-party indemnity to each of its Directors 
against any liability that attaches to them in defending proceedings 
brought against them, to the extent permitted by English law. In addition, 
Directors and officers of the Company and its subsidiaries are covered by 
Directors’ and Officers’ liability insurance.
Dividends
In respect of the year ended 30 April 2016, the Directors do not 
recommend payment of a dividend. Going forward to the year ending 
30 April 2017 , the Directors’ have stated their intention to approve a 6% 
dividend payment at the IPO placing price. 
Financial instruments
Details of the Group’s financial risk management objectives and policies 
are disclosed in note 18 to the financial statements. 
Post balance sheet events
On Admission, the net proceeds of the Placing receivable by the 
Company were £41.4m being the gross proceeds of £43.3m less 
estimated fees and expenses related to the Placing of £1.9m. 
The Directors believe that this has:
• Strengthened the Company’s capital structure and positioned it for the 
continued implementation of its growth strategy;
• Given the Company access to a wider range of capital-raising options 
which may be of use in the future; and
• Further improved the ability of the Company to recruit, retain and 
incentivise its key management and staff.
As a consequence, the Directors believe that the Company is in a  
strong financial position to continue in operational existence for the 
foreseeable future. 
Future developments in the business of the Company
The likely future developments in respect of the business of the Company 
can be found in the Strategic Report on pages 1 to 21 and forms part of 
this report by reference.
Corporate governance
A report on Corporate Governance and compliance with the QCA 
Corporate Governance Code is set out on pages 22 to 27 , and forms 
part of this report by reference.
Health & Safety
The Group is committed to providing a safe working environment for all 
employees. Group policies are reviewed regularly to ensure that policies 
relating to training, risk assessment and accident management are 
appropriate. Health and safety issues are reported at each Board and 
Operations meeting.
Charitable and political donations
Charitable donations of £35,230 (2015: £41,457) were made during the 
year. There were no political donations during the year.
Employee involvement and policy regarding disabled persons 
The Company operates an equal opportunities policy that aims to treat 
individuals fairly and not to discriminate on the basis of sex, race, ethnic 
origin, disability or on any other basis. The Company’s policy and 
procedures are designed to provide for full and fair consideration and 
selection of disabled applicants, to ensure they are properly trained to 
perform safely and effectively and to provide career opportunities that 
allow them to fulfil their potential. Where a member of staff becomes 
disabled in the course of their employment the Company will actively seek 
to retain them wherever possible by making adjustments to their work 
content and environment or by retraining them to undertake new roles. 
The Group provides staff with information on the Group’s performance 
and on matters concerning them on a regular basis. Considerable value 
is placed on the involvement of its staff; regular, open, fair and respectful 
communication; zero tolerance for human rights violations; fair 
remuneration and, above all, a safe working environment.
Share capital
The details of the issued share capital at the end of the year can be found 
in note 20 to the consolidated financial statements. On the 1 June 2016 
the Company completed a capital restructuring of the Group in which all 
existing A, B, C and D Ordinary shares were converted into one class 
of Ordinary and Deferred shares. The rights attached to the Company’s 
Ordinary and Deferred shares are set out in the Articles of Association.
Pursuant to the Placing agreement, each of the Directors and the pre 
Admission shareholders have undertaken not to dispose of any Ordinary 
shares (without the consent of Zeus Capital), for a period of 12 months 
from the date of Admission. Additionally, shareholders have agreed for a 
further 6 months to comply with certain conditions prior to any disposal. 
Authority for the Company to purchase its own shares
On 1 June 2016, the Company passed resolutions and entered into a 
share buyback contract with each member of the Company to buy back, 
on 11 July 2016, all of the deferred shares of £0.001 each held by each 
member, buying back in aggregate, 27 ,476,142 deferred shares of £0.001 
each for an aggregate consideration price of £1.
Authority to allot shares
Powers related to the issue and buy-back of the Company’s shares are 
included in the Company’s Articles of Association and such authorities are 
reviewed annually by shareholders at the Annual General Meeting.
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Directors’ Report Continued
Directors’ interests
The interests in the shares of the Company of those Directors serving 
at 30 April 2016, and as at the date of signing of these financial 
statements, all of which are beneficial, in the share capital of the 
Company were as follows:
Class of share 
As at 30 April 2016
Number of £1  
Ordinary share 
As at 30 April 2016
% of issued  
share capital 
As at 30 April 2016
Majid Hussain B 1,542 12.1%
Peter Cheung C and D 250 C & 572 D 6.3% in total
Gary Earle C and D 100 C and 572 D 5.3% in total
John Flanagan C and D 100 C and 572 D 5.3% in total
Colin Platt C and D 100 C and 572 D 5.3% in total
James Flude C and D 100 C and 572 D 5.3% in total
Number of £0.001 
Ordinary shares 
As at 20 July 2016
% of issued  
share capital 
As at 20 July 2016
Peter Cheung 611,683 0.66%
James Flude 244,680 0.26%
Joanne Lake 25,000 0.03%
Substantial shareholders 
As at 30 April 2016, the Company was aware of the following interests 
representing 3% or more of the issued share capital of the Company, 
correct as at the date of notification.
Investor
Number of 
shares Percentage
Majid Hussain 1,542 12.1%
Wajid Hussain 1,542 12.1%
Mozam Hussain 1,541 12.1%
NorthEdge Capital 4,625 36.2%
Peter Cheung 822 6.3%
Gary Earle 672 5.3%
John Flanagan 672 5.3%
Colin Platt 672 5.3%
James Flude 672 5.3%
As at 20 July 2016, the Company was aware of the following interests 
representing 3% or more of the issued share capital of the Company, 
correct as at the date of notification. It should be noted that these holdings 
may have changed since notified to the Company, however notification of 
any change is not required until the next applicable threshold is crossed.
Investor
Number of 
shares Percentage
Majid Hussain 4,652,590 5.0%
Wajid Hussain 4,652,590 5.0%
Mozam Hussain 4,646,621 5.0%
NorthEdge Capital 13,987,377 15.0%
Miton Asset Management Limited 8,800,000 9.5%
AXA Investment Managers UK 8,400,000 9.0%
Schroder Investment Management 8,000,000 8.6%
Majedie Asset Management Limited 5,411,105 5.8%
Ruffer LLP (for its discretionary clients of  
the Ruffer Group) 5,000,000 5.4%
Premier Fund Managers Limited 3,600,000 3.9%
Significant agreements
The Company is not a party to any significant agreements that would take 
effect, alter or terminate on a change of control of the Company.
Going concern
The Chairman’s review and the Chief Executive’s Review on pages 6 and 
8, outline the business activities of the Group along with the factors which 
may affect its future development and performance. The financial review 
discusses the Group’s financial position, along with details of its cash flow 
and liquidity. Note 18 to the financial statements sets out the Group’s 
financial risks and the management of those risks.
Having prepared management forecasts and made appropriate enquiries, 
the directors are satisfied that the Group has adequate resources for the 
foreseeable future, as the Group is at the start up stage of its business life 
cycle. Accordingly, they have continued to adopt the going concern basis 
in preparing the Group and Company financial statements.
Disclosure of information to the Auditor
Each of the persons who is a Director at the date of approval of this 
Annual Report confirms that: 
a So far as each Director is aware, there is no relevant audit information 
of which the Company’s Auditor is unaware; and 
b Each of the Directors has taken all the steps that he/she ought to have 
taken as a Director in order to make himself/herself aware of any 
relevant audit information and to establish that the Company’s Auditor 
is aware of that information. 
PricewaterhouseCoopers LLP have expressed their willingness to continue 
in office as Auditors and a resolution to reappoint them will be proposed at 
the forthcoming Annual General Meeting.
Annual General Meeting
Your attention is drawn to the Notice of Annual General Meeting 
accompanying this Annual Report which sets out the resolutions to 
be proposed at the forthcoming Annual General Meeting. The meeting 
will be held at Stanley House Hotel, Mellor, Lancashire, BB2 7NP on 
30 September 2016 at 11am. 
On behalf of the Board
Steve Crossley
Chief Executive Officer 
22 July 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 35
Directors’ Responsibilities Statement
The Directors are responsible for preparing the Annual Report and the 
financial statements in accordance with applicable law and regulations.
Company law requires the Directors to prepare financial statements for 
each financial year. Under that law the Directors have prepared the Group 
and Parent Company financial statements in accordance with International 
Financial Reporting Standards (IFRSs) as adopted by the European Union. 
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 Group and the Company and of the profit or loss 
of the Group for that period. In preparing these financial statements, the 
Directors are required to:
• select suitable accounting policies and then apply them consistently;
• make judgements and accounting estimates that are reasonable and 
prudent; and
• state whether IFRSs as adopted by the European Union have been 
followed, subject to any material departures disclosed and explained in 
the financial statements.
The Directors are responsible for keeping adequate accounting records 
that are sufficient to show and explain the Company’s transactions and 
disclose with reasonable accuracy at any time the financial position of the 
Company and the Group enable them to ensure that the financial 
statements comply with the Companies Act 2006. They are also 
responsible for safeguarding the assets of the Company and the Group 
and hence for taking reasonable steps for the prevention and detection of 
fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the 
Company’s website. Legislation in the United Kingdom governing the 
preparation and dissemination of financial statements may differ from 
legislation in other jurisdictions. 
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Directors’ Responsibilities 
Statement Accrol Group Holdings plc / Annual Report and Accounts 2016 36
Independent Auditor’s Report to the Members of Accrol Group Holdings plc
For year ended 30 April 2016
Report on the group financial statements
Our opinion
In our opinion, Accrol Group Holdings plc’s group financial statements 
(the ‘financial statements’):
• give a true and fair view of the state of the group’s affairs as at 
30 April 2016 and of its profit and cash flows for the year then 
ended;
• have been properly prepared in accordance with International 
Financial Reporting Standards (‘IFRSs’) as adopted by the 
European Union; and
• have been prepared in accordance with the requirements of the 
Companies Act 2006.
What we have audited
The financial statements, included within the Annual report and 
Accounts (the ‘Annual Report’), comprise:
• the Consolidated statement of financial position as at 30 April 2016;
• the Consolidated income statement and Consolidated statement of 
comprehensive income for the year then ended;
• the Consolidated cash flow statement for the year then ended;
• the Consolidated statement of changes in equity for the year then 
ended; and
• the notes to the financial statements, which include a summary of 
significant accounting policies and other explanatory information.
The financial reporting framework that has been applied in the 
preparation of the financial statements is IFRSs as adopted by the 
European Union, and applicable law.
In applying the financial reporting framework, the directors have  
made a number of subjective judgements, for example in respect of 
significant accounting estimates. In making such estimates, they have 
made assumptions and considered future events.
Opinion on other matter prescribed by the Companies Act 
2006
In our opinion, the information given in the Strategic Report and  
the Directors’ Report for the financial year for which the financial 
statements are prepared is consistent with the financial statements.
Other matters on which we are required to report by exception
Adequacy of information and explanations received
Under the Companies Act 2006 we are required to report to you if, in 
our opinion, we have not received all the information and explanations 
we require for our audit. We have no exceptions to report arising from 
this responsibility. 
Directors’ remuneration
Under the Companies Act 2006 we are required to report to you if, in 
our opinion, certain disclosures of directors’ remuneration specified by 
law are not made. We have no exceptions to report arising from this 
responsibility. 
Responsibilities for the financial statements and the audit
Our responsibilities and those of the directors
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) (‘ISAs (UK & Ireland)’). Those 
standards require us to comply with the Auditing Practices Board’s 
Ethical Standards for Auditors.
This report, including the opinions, has been prepared for and only for 
the company’s members as a body in accordance with Chapter 3 of 
Part 16 of the Companies Act 2006 and for no other purpose. We do 
not, in giving these opinions, accept or assume responsibility for any 
other purpose or to any other person to whom this report is shown or 
into whose hands it may come save where expressly agreed by our 
prior consent in writing.
What an audit of financial statements involves
We conducted our audit in accordance with ISAs (UK & Ireland). An 
audit involves obtaining evidence about the amounts and disclosures 
in the financial statements sufficient to give reasonable assurance that 
the financial statements are free from material misstatement, whether 
caused by fraud or error. This includes an assessment of: 
• whether the accounting policies are appropriate to the group’s 
circumstances and have been consistently applied and adequately 
disclosed; 
• the reasonableness of significant accounting estimates made by 
the directors; and 
• the overall presentation of the financial statements. 
We primarily focus our work in these areas by assessing the directors’ 
judgements against available evidence, forming our own judgements, 
and evaluating the disclosures in the financial statements.
We test and examine information, using sampling and other auditing 
techniques, to the extent we consider necessary to provide a 
reasonable basis for us to draw conclusions. We obtain audit evidence 
through testing the effectiveness of controls, substantive procedures 
or a combination of both. 
In addition, we read all the financial and non-financial information in  
the Annual Report to identify material inconsistencies with the audited 
financial statements and to identify any information that is apparently 
materially incorrect based on, or materially inconsistent with, the 
knowledge acquired by us in the course of performing the audit. 
If we become aware of any apparent material misstatements or 
inconsistencies we consider the implications for our report.
Other matter
We have reported separately on the company financial statements of 
Accrol Group Holdings plc for the year ended 30 April 2016.
Hazel Macnamara (Senior Statutory Auditor)
for and on behalf of PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
Manchester
22 July 2016
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Financial 
Statements
Independent Auditor’s 
Report  
Consolidated Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 37
Continuing operations Note
2016
£’000
2015
£’000
Revenue 4 118,219 81,904 
– Cost of sales before gain/(loss) on derivative financial instruments (84,996) (59,162)
– Gain/(loss) on derivative financial instruments
1,266 (1,455)
Cost of sales   (83,730) (60,617)
Gross profit 34,489 21,287 
Administration expenses (13,138) (8,954)
Distribution (9,431) (8,549)
Operating profit 5 11,920 3,784 
Analysed as:
– Adjusted EBITDA
1
  15,038 9,971 
– Depreciation 10 (1,831) (1,511)
– Amortisation 11 (2,060) (1,691)
– Gain/(loss) on derivative financial instruments 1,266 (1,455)
– Exceptional items 5 (493) (1,530)
Operating profit 11,920 3,784 
Finance costs 8 (4,941) (4,132)
Profit/(loss) before tax 6,979 (348)
Tax charge 9 (1,274) (352)
Profit/(loss) for the year attributable to equity shareholders 5,705 (700)
Consolidated Statement of Comprehensive Income
Note
2016
£’000
2015
£’000
Profit/(loss) for the year attributable to equity shareholders 5,705 (700)
Other comprehensive income for the year  –  –
Total comprehensive income/(loss) attributable to equity shareholders 5,705 (700)
Earnings per share £ £
Basic and Diluted 6 576.26 (73.58)
Adjusted 25 865.15 510.51
The notes on pages 41 to 64 are an integral part of these consolidated financial statements.
Note 1: Adjusted EBITDA, which is defined as profit before finance costs, tax, depreciation, amortisation, gain/(loss) on derivative financial instruments and exceptional items, is 
a non-GAAP metric used by management and is not an IFRS disclosure.
Consolidated Income Statement
For year ended 30 April 2016
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Consolidated Income 
Statement
Consolidated Statement of 
Comprehensive Income Accrol Group Holdings plc / Annual Report and Accounts 2016 38
Note
2016
£’000
2015
£’000
ASSETS
Non-current assets
Property, plant and equipment 10 24,407 22,740 
Intangible assets 11 31,744 33,804 
Total non-current assets   56,151 56,544 
Current assets
Inventories 12 9,361 9,381 
Trade and other receivables 13 21,277 19,301 
Cash and cash equivalents 14 2,456 735 
Total current assets   33,094 29,417 
Total assets   89,245 85,961 
Non-current liabilities
Borrowings 16 50,919 49,968 
Deferred tax liabilities 9 4,478 4,984 
Total non-current liabilities   55,397 54,952 
Current liabilities
Borrowings 16 12,193 12,465 
Trade and other payables 15 15,454 17,143 
Income taxes payable 909 586 
Derivative financial instruments 17 190 1,455 
Total current liabilities   28,746 31,649 
Total liabilities   84,143 86,601 
Net assets/(liabilities)   5,102 (640)
Capital and reserves
Share capital 20 13 10 
Share premium 84 50 
Retained earnings/(deficit) 5,005 (700)
Total equity shareholders’ funds/(deficit)   5,102 (640)
The financial statements on pages 37 to 40 were approved by the Board of Directors on 22 July 2016.
Signed on behalf of the Board of Directors
Steve Crossley      James Flude
Chief Executive Officer     Chief Financial Officer
Company Registration Number 9019496
Consolidated Statement of Financial Position
As at 30 April 2016
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Consolidated Statement of 
Financial Position Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 39
Note
Share
capital
£’000
Share 
premium
£’000
Retained 
earnings/ 
(deficit)
£’000
Total
equity/
(deficit)
£’000
Balance at 30 April 2014 – – – –
Transactions with owners
Issue of Ordinary shares 20 10 50 – 60
Total for transactions with owners   10 50 – 60
Comprehensive income
Loss for the year – – (700) (700)
Total comprehensive income   – – (700) (700)
Balance at 30 April 2015   10 50 (700) (640)
Transactions with owners
Issue of Ordinary shares 20 3 34 – 37
Total for transactions with owners   3 34 – 37
Comprehensive income
Profit for the year – – 5,705 5,705
Total comprehensive income   – – 5,705 5,705
Balance at 30 April 2016   13 84 5,005 5,102
Consolidated Statement of Change in Equity
For year ended 30 April 2016
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Consolidated Statement of 
Change in Equity Accrol Group Holdings plc / Annual Report and Accounts 2016 40
Note
2016
£’000
2015
£’000
Cash flows from operating activities
Operating profit 11,920 3,784
Adjustment for:
Depreciation 5,10 1,831 1,511
Amortisation 5,11 2,060 1,691
(Gain)/loss on derivative financial instruments (1,266) 1,455
Grant income (61) (22)
(Profit)/loss on disposals   (22) 11
Operating cash flows before movements in working capital 14,462 8,430
Decrease in inventories 20 2,375
Increase in trade and other receivables (1,975) (2,534)
(Decrease)/increase in trade and other payables   (1,433) 1,238
Cash generated from operations 11,074 9,509
Tax paid (1,460) (1,105)
Interest paid   (4,918) (581)
Net cash flows from operating activities   4,696 7,823
Cash flows from investing activities  
Purchase of property, plant and equipment (683) (761)
Proceeds from sale of property, plant and equipment 48 –
Government grants received – 1,000
Purchase of subsidiary 22 – (25,100)
Net cash acquired with subsidiary   – (850)
Net cash flows used in investing activities   (635) (25,711)
Cash flows from financing activities  
Proceeds of issue of Ordinary share 37 60
Cost of raising finance – (781)
Increase/(decrease) in amounts due to factors 1,656 (4,395)
Repayment of capital element of finance leases (3,082) (1,856)
Repayment of bank loans (1,200) (900)
Drawdown of bank loans – 6,000
Drawdown of shareholder loans/loan notes   249 20,495
Net cash flows used in/(from) financing activities (2,340) 18,623
Net increase in cash and cash equivalents   1,721 735
Cash and cash equivalents at beginning of the year 14 735 –
Cash and cash equivalents at year end 14  2,456 735
Consolidated Cash Flow Statement
For the year ended 30 April 2016
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Consolidated Cash Flow 
Statement Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 41
1. General information
Accrol Group Holdings plc (formerly Accrol Group Holdings Limited) (the ‘Company’) was incorporated in the United Kingdom on 30 April 
2014 with company number 9019496. The registered address of the Company is the Delta Building, Roman Road, Blackburn, United 
Kingdom, BB1 2LD. Accrol UK Limited, which was incorporated on 24 April 2014, subsequently became a direct wholly owned subsidiary 
undertaking of the Company on 14 July 2014. On 14 July 2014, Accrol UK Limited acquired Accrol Holdings Limited and its trading 
subsidiary, Accrol Papers Limited (the ‘Acquisition’). Accrol Papers Limited is engaged in the business of soft tissue paper conversion. The 
Company’s subsidiaries are listed in note 21, which together with the Company form the Accrol Group Holdings plc Group (the ‘Group’).
2. Summary of significant accounting policies
A summary of the significant accounting policies is set out below. These have been applied consistently in the financial statements.
Statement of compliance
The consolidated financial statements of the Company have been prepared in accordance with International Financial Reporting Standards 
(‘IFRS’) as adopted for use in the EU, International Financial Reporting Interpretations Committee (‘IFRIC’) interpretations and with those parts of 
the Companies Act 2006 applicable to companies reporting under IFRS.
Basis of preparation
The consolidated financial statements have been prepared on a going concern basis under the historical cost convention as modified by 
financial liabilities (including derivative instruments) at fair value through the profit and loss. The consolidated financial statements are presented 
in pounds sterling and all values are rounded to the nearest thousand pounds, except where otherwise indicated.
Transition to IFRS
This is the Group’s first set of financial statements prepared in accordance with IFRS. The Group previously prepared its financial statements 
under UK Generally Accepted Accounting Practice. The Group’s deemed transition date to IFRS is 1 May 2014, the beginning of the first year 
presented, and the requirements of IFRS 1 First-time Adoption of International Financial Reporting Standards (‘IFRS 1’) have been applied as of 
that date. IFRS 1 allows certain exemptions in the application of particular IFRS to prior years in order to assist companies with the transition 
process. The exemptions applied are detailed in note 23.
Standards issued not yet effective
At the date of authorisation of this financial information, the following new standards and interpretations which have not been applied in this 
financial information were in issue but not yet effective (and in some cases, had not yet been adopted by the EU):
• IAS 16 and IAS 38 amendments – Clarification of Acceptable Methods of Depreciation and Amortisation (effective 1 January 2016)
• IFRS 11 amendments – Accounting for Acquisitions of Interests in Joint Operations (effective 1 January 2016)
• IAS 16 and IAS 41 amendments – Agriculture: Bearer Plants (effective 1 January 2016)
• IAS 27 amendments – Equity Method in Separate Financial Statements (effective 1 January 2016)
• IFRS 10 and IAS 28 amendments – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture (effective 1 January 2016)
• IAS 1 amendments – Disclosure Initiative (effective 1 January 2016)
• Annual Improvements 2012–2014 Cycle (effective 1 January 2016)
• IFRS 15 – Revenue from Contracts with Customers (effective 1 January 2018)
• IFRS 9 Financial Instruments (effective 1 January 2018)
The adoption of these Standards and Interpretations is not expected to have a material impact on the consolidated financial statements of the 
Group in the year of initial application when the relevant standards come into effect.
IFRS 16 ‘Leases’ is a new standard that has been published and is effective from 1 January 2019 but has not been early adopted by the Group 
and could have a material impact on the Group financial information. At the time of preparing this financial information, the Group continues to 
assess the possible impact of the adoption of this standard in future years. However, it is likely to result in an increase in leases recognised in 
the statement of financial position as finance leases and a reduction in the number of leases treated as operating leases and hence not 
recognised in the statement of financial position.
Going Concern
The Directors have made appropriate enquiries and formed a judgement at the time of approving the financial information that there is a 
reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. For this reason, 
the Directors continue to adopt the going concern basis in preparing the financial information.
Consolidation
Subsidiaries
A subsidiary is an entity controlled, either directly or indirectly, by the Company. Control is achieved when the Group is exposed, or has rights, 
to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. 
Specifically, the Group controls an investee if and only if the Group has:
• power over the investee (i.e. existing rights that give it the current ability to direct the relevant activities of the investee);
• exposure, or rights, to variable returns from its involvement with the investee; and
• the ability to use its power over the investee to affect its returns.
Notes to the Consolidated Financial Information
For the year ended 30 April 2016
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Notes to the Consolidated 
Financial Information Accrol Group Holdings plc / Annual Report and Accounts 2016 42
2. Summary of significant accounting policies continued
When the Group has less than a majority of the voting or similar rights of an investee, the Group considers all relevant facts and circumstances 
in assessing whether it has power over an investee, including:
• the contractual arrangement with the other vote holders of the investee;
• rights arising from other contractual arrangements; and
• the Group’s voting rights and potential voting rights.
The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the 
three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group 
loses control of the subsidiary. Assets, liabilities, income and expenses of a subsidiary acquired or disposed of during the year are included in 
the statement of comprehensive income from the date the Group gains control until the date the Group ceases to control the subsidiary. 
When necessary, adjustments are made to the financial information of subsidiaries to bring their accounting policies into line with the Group’s 
accounting policies. All intra-group assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of 
the Group are eliminated in full on consolidation.
Subsidiaries are all entities (including special purpose entities) over which the Group has the power to govern the financial and operating policies 
generally accompanying a shareholding of more than one half of the voting rights. Subsidiaries are fully consolidated from the date on which 
control is transferred to the Group. They are de-consolidated from the date that control ceases.
The acquisition method of accounting is used to account for the acquisition of subsidiaries by the Group. The cost of an acquisition is measured 
as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange. Identifiable assets 
acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition 
date, irrespective of the extent of any minority interest. The excess of the cost of acquisition over the fair value of the Group’s share of the 
identifiable net assets acquired is recorded as goodwill. If the cost of acquisition is less than the fair value of the net assets of the subsidiary 
acquired, the difference is recognised directly in the income statement.
Segments
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker. The chief 
operating decision maker, who is responsible for allocating resources and assessing performance of the operating segment, has been identified 
as the Board of Directors. The Group’s activities consist solely of the conversion of paper products, primarily within the United Kingdom. It is 
managed as one entity and management have consequently determined that there is only one operating segment.
Segment results are measured using adjusted earnings before interest, tax, depreciation, amortisation, gain/(loss) on derivative financial 
instruments and exceptional items. Segment assets are measured at cost less any recognised impairment. Revenue is attributed to 
geographical regions based on the country of residence of the customer. All revenue arises in and all non-current assets are located in the 
United Kingdom. The accounting policies used for segment reporting reflects those used for the Group.
Revenue
Revenue representing sales to external customers, which is stated excluding Value Added Tax and trade discounts, is measured at the fair value 
of the consideration receivable for goods supplied.
Revenue from the sale of goods is recognised at the point of dispatch of goods from the warehouse as this reflects the transfer of risks and 
rewards of ownership.
Revenue is presented net of trade spend, including customer rebates, which consists primarily of customer pricing allowances, listing fees and 
promotional allowances (overriders) which are governed by agreements with our trade customers. Accruals are recognised under the terms of 
these agreements, to reflect the expected promotional activity and our historical experience. These accruals are reported within trade and 
other payables.
Cost of sales
Cost of sales comprise costs arising in connection with the conversion of paper products. Cost is based on the cost of a purchase on a first in 
first out basis and includes all direct costs and an appropriate portion of fixed and variable overheads where they are directly attributable to 
bringing the inventories into their present location and condition.
Exceptional items
Items that are material in size or unusual or infrequent in nature are included within operating profit and disclosed separately as exceptional 
items in the consolidated income statement.
The separate reporting of exceptional items, which are presented as exceptional within the relevant category in the consolidated income 
statement, helps provide an indication of the Group’s underlying business performance.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 43
EBITDA and Adjusted EBITDA
Earnings before Interest, Taxation, Depreciation and Amortisation (EBITDA) and Adjusted EBITDA are non-GAAP measures used by 
management to assess the operating performance of the Group. EBITDA is defined as profit before finance costs, tax, depreciation and 
amortisation. Depreciation is the write down of fixed assets and amortisation of the write down of customer relationships held in intangibles. 
Exceptional items and gains/(losses) on derivative financial instruments are excluded from EBITDA to calculate Adjusted EBITDA.
The Directors primarily use the Adjusted EBITDA measure when making decisions about the Group’s activities. As these are non-GAAP measures, 
EBITDA and Adjusted EBITDA measures used by other entities may not be calculated in the same way and hence are not directly comparable.
Foreign currency 
Functional and presentation currency
Items included in the financial information are measured using the currency of the primary economic environment in which the Group operates 
(‘the functional currency’). The financial information is presented in Sterling, which is the functional currency of all companies in the Group.
Transactions and balances
Transactions in foreign currencies are initially recorded in the functional currency by applying the spot exchange rate ruling at the date of the 
transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the functional currency rate of exchange ruling 
at the balance sheet date. All differences are taken to the income statement.
Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates as at the dates of 
the initial transactions. Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date 
when the fair value was determined.
Property, plant and equipment
Property, plant and equipment are included at cost less accumulated depreciation and any recognised impairment loss.
Depreciation is calculated to write down the cost of the assets on a straight-line or reducing balance basis over the estimated useful lives on the 
following bases:
• Land and buildings     straight line over term of lease
• Plant and machinery     10% straight line, 40% residual value
• Motor vehicles      30% straight line
• Fixtures, fittings and office equipment   25% reducing balance
Assets under construction are not depreciated, but transferred into the appropriate asset class when they are ready for use. The estimated 
useful lives are reviewed at the end of each reporting period and adjusted if appropriate. The carrying values of tangible fixed assets are 
reviewed for impairment if events or changes in circumstances indicate the carrying value may not be recoverable.
Intangible assets
Goodwill
Goodwill represents the excess of the cost of an acquisition over the fair value of the group’s share of the net identifiable assets of the acquired 
subsidiary at the date of acquisition. Goodwill on acquisitions of subsidiaries is included in ‘intangible assets’. Goodwill is tested annually for 
impairment and carried at cost less accumulated impairment losses. Impairment losses on goodwill are not reversed. Gains and losses on the 
disposal of an entity include the carrying amount of goodwill relating to the entity sold.
Goodwill is allocated to cash-generating units for the purpose of impairment testing. The allocation is made to those cash-generating units or 
groups of cash-generating units that are expected to benefit from the business combination in which the goodwill arose and was identified 
according to operating segment.
Customer relationships and order books
Customer relationships are shown at historical cost. Customer relationships have finite useful lives and are carried at cost less accumulated 
amortisation. Amortisation is calculated using the straight-line method to allocate the cost of customer relationships over their estimated useful 
lives of 10 years. 
Customer order books relate to order for goods awaiting dispatch at the date of acquisition on 14 July 2014. Amortisation is calculated using the 
straight-line method to allocate the cost of customer order books over their estimated useful lives up to 1 year.
Impairment of non-financial assets
Goodwill is tested for impairment annually and when circumstances indicate that the carrying value may be impaired. Assets that are subject to 
depreciation and amortisation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may 
not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The 
recoverable amount is the higher of an asset’s fair value less costs to sell and value in use. Where the asset does not generate cash flows that 
are independent from other assets, the Group estimates the recoverable amount of the cash-generating unit (‘CGU’) to which the asset belongs. 
All tangibles and intangibles are allocated to the Group’s sole CGU (see note 11). 
Any impairment charge is recognised in the income statement in the period in which it occurs. Impairment losses relating to goodwill cannot be 
reversed in future periods. Where an impairment loss on other assets, subsequently reverses due to a change in the original estimate, the 
carrying amount of the asset is increased to the revised estimate of its recoverable amount.
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2. Summary of significant accounting policies continued
Financial instruments
Financial Assets
The Group classifies its financial assets as loans and receivables. Loans and receivables are non-derivative financial assets with fixed or 
determinable payments that are not quoted in an active market. They are included in current assets, except for maturities greater than 
12 months after the end of the reporting date, which are classified as non-current assets. The Group’s loans and receivables comprise ‘trade 
and other receivables’ and cash and cash equivalents in the balance sheet. Subsequent to initial recognition, these assets are carried at 
amortised cost using the effective interest method. Income from these financial assets is calculated on an effective yield basis and is recognised 
in the income statement.
Financial liabilities
The Group initially recognises its financial liabilities at fair value net of transaction costs where applicable and subsequently they are measured 
at amortised cost using the effective interest method. Transaction costs are amortised using the effective interest rate method over the maturity 
of the loan.
Derivative financial instruments 
The Group’s activities expose it to financial risks associated with movements in foreign exchange rates. The Group uses forward foreign 
exchange rate contracts to hedge its foreign exchange rate exposure. The Group does not apply hedge accounting and re-measurements of 
the derivative financial instruments are recognised in the income statement. The use of financial derivatives is governed by the Group’s treasury 
policies, as approved by the Board. The Group does not use derivative financial instruments for speculative purposes.
All derivative financial instruments are initially measured at fair value on the contract date and are also measured at fair value at subsequent 
reporting dates.
Leases
Finance leases
Assets funded through finance leases are capitalised as property, plant and equipment, and are depreciated over their estimated useful lives or 
the lease term, whichever is shorter. The amount capitalised is the lower of the fair value of the asset or the present value of the minimum lease 
payments during the lease term at the inception of the lease. The resulting lease obligations are included in liabilities net of finance charges. 
Finance costs on finance leases are charged directly in the income statement on an effective interest rate basis.
Material lease arrangements do not include any contingent rental conditions, options to purchase or escalation clauses. There are no 
restrictions imposed by these lease arrangements.
Operating leases
Leases in which a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. 
Payments made under operating leases (net of any incentives received from the lessor) are charged to the income statement on a straight-line 
basis over the period of the lease.
Government grants
Government grants relating to tangible fixed assets are treated as deferred income and released to the income statement over the expected 
useful lives of the assets concerned. Other grants are credited to the profit and loss account as the related expenditure is incurred.
Inventories
Inventories are valued at the lower of cost and net realisable value. Cost is based on the purchase on a first in first out basis and includes all 
direct costs and an appropriate portion of fixed and variable overheads. Net realisable value is the estimated selling price reduced by all costs of 
completion, marketing, selling and distribution. Supplier rebates are credited to the carrying value of inventory to which they relate. Once the 
inventory is sold, the rebate amount is then recognised in the income statement.
Trade and other receivables
Trade and other receivables relate mainly to the sale of paper products to trade customers.
Cash and cash equivalents (excluding bank overdraft)
Cash and cash equivalents in the balance sheet comprise cash at bank, short-term deposits held at call with banks and other short-term highly 
liquid investments with original maturities of three months or less, excluding any bank overdrafts which are disclosed separately within 
borrowings within current liabilities. 
Trade payables
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts 
payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. 
Current taxation
Current tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the 
taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the balance 
sheet date.
Income tax relating to items recognised in comprehensive income or directly in equity is recognised in comprehensive income or equity and not 
in the income statement.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 45
Deferred taxation
Deferred income tax is provided using the liability method on all temporary differences at the balance sheet date between the tax bases of 
assets and liabilities and their carrying amounts for financial reporting purposes, with the following exceptions:
• where the temporary difference arises from the initial recognition of goodwill or of an asset or liability in a transaction that is not a business 
combination that at the time of the transaction affects neither accounting nor taxable profit or loss;
• in respect of taxable temporary differences associated with investments in subsidiaries, where the timing of the reversal of the temporary 
differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future; and
• deferred income tax assets are recognised only to the extent that it is probable that taxable profit will be available against which deductible 
temporary differences, carried forward tax credits or tax losses can be utilised.
The carrying amount of deferred income tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer 
probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilised.
The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and 
liabilities. Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply to the period when the asset is 
realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date.
Provisions
Provisions are recognised when the Group has a present legal or constructive obligation as a result of a past event; it is probable that an outflow 
of resources will be required to settle the obligation; and a reliable estimate can be made of the amount of the obligation.
Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that 
reflects current market assessments of the time value of money and risks specific to the obligation. The increase in the provision due to the 
passage of time is recognised as interest expense.
3. Significant accounting judgements, estimates and assumptions
The preparation of the financial information in accordance with IFRS requires estimates and assumptions to be made that affect the value at 
which certain assets and liabilities are held at the balance sheet date and also the amounts of revenue and expenditure recorded in the year. 
The Directors believe the accounting policies chosen are appropriate to the circumstances and that the estimates, judgements and 
assumptions involved in its financial reporting are reasonable. 
Accounting estimates made by the Group’s management are based on information available to management at the time each estimate is made. 
Accordingly, actual outcomes may differ materially from current expectations under different assumptions and conditions. The estimates and 
assumptions for which there is a significant risk of a material adjustment to the financial information within the next financial year are set out below.
Critical accounting estimates and judgements in applying the entity’s accounting policies
Goodwill impairment
The Group is required to test, on an annual basis, whether goodwill has suffered any impairment based on the recoverable amount of its sole 
CGU. The recoverable amount is determined based on value in use calculations. The use of this method requires the estimation of future cash 
flows and the determination of a pre-tax discount rate in order to calculate the present value of the cash flows. More information including 
carrying values is included in note 11.
Determining carry values of intangibles identified in business combinations 
Valuation of separable intangible assets identified on new business combinations during the year requires management to make assumptions 
and estimates regarding the expected future cash generation of the intangibles identified, for which management employed the use of external 
valuation services to facilitate this exercise. Details of the intangible assets identified are set out in note 11.
Income taxes
The Group recognises expected liabilities for tax based on an estimation of the likely taxes due, which requires significant judgement as to the 
ultimate tax determination of certain items. Where the actual liability arising from these issues differs from these estimates, such differences will 
have an impact on income tax and deferred tax provisions in the period when such determination is made. Detail of the tax charge and deferred 
tax are set out in note 9.
Customer rebates
The Group provides for amounts payable to customers in relation to rebates and promotional activity. Whilst the Directors do not consider the 
Group’s rebates to be highly complex as they are predominantly volume related, there is judgement required in calculating amounts due, as 
terms vary by customer. 
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4. Revenue
The analysis of geographical area of destination of the Group’s revenue is set out below:
2016
£’000
2015
£’000
United Kingdom 118,041 81,624
Europe 178 280
Total 118,219 81,904 
Major customers
In 2016 there were four major customers that individually accounted for at least 10% of total revenues (2015: two customers). The revenues 
relating to these customers in 2016 were £25,369,000, £14,300,000 and £13,769,000, £12,375,000 (2015: £21,701,000 and £9,444,000).
5. Operating profit
Operating profit is stated after charging/(crediting):
2016
£’000
2015
£’000
Employee benefit expense 9,927 6,172
Depreciation of property, plant and equipment (included in administration expenses) 1,831 1,511
Amortisation of intangible assets (included in administration expenses) 2,060 1,691
(Profit)/loss on disposal of property, plant and equipment (22) 11
Operating lease rentals 1,946 1,283
Net foreign exchange (gains)/losses (1,332) 1,396
Grants income (61) (22)
Auditor’s remuneration 59 52
Inventories recognised as expenses 66,807 44,332
Exceptional items
Acquisition deal fees – 1,530
Consultancy fees 334 –
Other 159 –
  493 1,530
The exceptional items are described below:
Year ended 30 April 2015 
On 14 July 2014, Accrol Group Holdings plc through its subsidiary, Accrol UK Limited, purchased the entire issued share capital of Accrol 
Holdings Limited for a consideration of £45,600,000. Deal fees of £1,530,000 were incurred and have been fully expensed in the year 
of acquisition.
Year ended 30 April 2016
One off consultancy fees totalling £334,000 were incurred in relation to a market, competitor, customer and working capital review to support 
the growth strategy following the acquisition in July 2014.
In September 2015, there was a fire within the embossing unit of one of the converting lines. The line was back up and running within one week 
with no disruption to customer orders. The cost of repair was £159,000.
Auditor's remuneration
2016
£’000
2015
£’000
Audit services 36 28
Non audit services:
Tax compliance services 10 11
Tax advisory services 13 13
  59 52
A fee of £556,000 was paid to the Group’s auditors for services provided as part of the Group restructuring in the year ended 30 April 2015.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 47
6. Earnings per share
The basic earnings per share is calculated by dividing the profit attributable to ordinary equity holders of the parent by the weighted average 
number of Ordinary shares outstanding during the year. The following reflects the income and share data used in the basic earnings 
per share calculation:
2016
£’000
2015
£’000
Profit/(loss) for the year attributable to shareholders 5,705 (700)
Number Number
Basic weighted average number of shares
1
9,900 9,514
£ £
Basic earnings per share 576.26 (73.58)
Diluted earnings per share 576.26 (73.58)
Note 1: The basic weighted average number of shares is calculated by excluding the D class of shares as this class is subject to a dividend cap that does not materially impact 
upon the profit due to the remaining Ordinary equity shareholders.
During the year under review the group had no shares or options with a dilutive effect and, therefore, the basic and diluted earnings per share 
are the same.
7. Employee costs
2016
£’000
2015
£’000
Employee costs during the year amounted to:
 Wages and salaries 9,171 5,712
 Social security costs 684 411
 Other pension costs 72 49
  9,927 6,172 
The average number of employees (including the executive directors) during the year were:
Number Number
Production 431 296
Administration 29 39
  460 335 
8. Finance costs
2016
£’000
2015
£’000
Shareholder loans 4,099 3,263
Bank loans and overdrafts 158 154
Finance lease interest 358 284
Interest on factoring facility 183 143
Amortisation of finance fees 143 288
  4,941 4,132 
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9. Income tax expense
Tax charged in the income statement
2016
£’000
2015
£’000
Current income tax
Current tax on profits for the year 1,780 895
Total current income tax 1,780 895
Deferred tax
Origination and reversal of temporary differences (31) (348)
Change in tax rate (475) (195)
Total deferred tax (506) (543)
Tax charge in the income statement 1,274 352
The tax charge for the period is lower (2015: higher) than the effective rate of Corporation Tax in the UK of 20% (2015: 20%). The differences are 
explained below:
2016
£’000
2015
£’000
Profit/(loss) before income tax 6,979 (348)
Effective rate 20% 20%
At the effective income tax rate 1,396 (70)
Expenses not deductible for tax purposes 353 617
Change in rate (475) (195)
  1,274 352
During the year the Group recognised the following deferred tax (assets)/liabilities:
Accelerated 
capital 
allowances
£’000
Intangibles
£’000
Other
£’000
Total
£’000
30 April 2014 – – – –
Acquired 1,237 4,291 – 5,528
Charge in year 349 (354) (344) (349)
Change in deferred tax rate (10) (203) 18 (195)
30 April 2015 1,576 3,734 (326) 4,984
Acquired – – – –
Charge in year 127 (412) 254 (31)
Change in deferred tax rate (176) (306) 7 (475)
30 April 2016 1,527 3,016 (65) 4,478
The Finance Act 2013 reduced the main rate of corporation tax to 21% from 1 April 2014 and to 20% from 1 April 2015. Further future rate 
reductions, to 19% from 1 April 2017 and 18% from 1 April 2020, were substantively enacted on 26 October 2015. Therefore, the rate of 20% 
(2015: 21%) has been reflected in the consolidated financial statements and deferred tax assets and liabilities have been measured at the rate 
expected to be in effect when the deferred tax asset or liability reverses. Deferred tax has been provided at the rate of 18% as at 30 April 2016 
(2015: 20%).
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 49
10. Property, plant and equipment
Leasehold 
land & 
buildings
£’000
Fixtures & 
fittings
£’000
Plant and 
machinery
£’000
Motor 
vehicles
£’000
Assets under 
construction
£’000
Total 
£’000
Cost
30 April 2014 – – – – – –
Acquisition of subsidiary 126 435 15,138 133 – 15,832
Additions 30 97 3,899 – 4,417 8,443
Disposals – – (24) – – (24)
At 30 April 2015 156 532 19,013 133 4,417 24,251
Transfer – – 4,417 – (4,417) –
Additions – 173 162 37 3,152 3,524
Disposals – – (49) (35) – (84)
At 30 April 2016 156 705 23,543 135 3,152 27,691
Accumulated depreciation
30 April 2014 – – – – – –
Charge 39 86 1,335 51 – 1,511
Disposals – – – – – –
At 30 April 2015 39 86 1,335 51 – 1,511
Charge 10 119 1,626 76 – 1,831
Disposals – – (23) (35) – (58)
At 30 April 2016 49 205 2,938 92 – 3,284
Net book value
At 30 April 2015 117 446 17,678 82 4,417 22,740 
At 30 April 2016 107 500 20,605 43 3,152 24,407 
The net book value of tangible fixed assets includes an amount of £16,052,000 (2015: £13,718,000) in respect of plant and machinery assets 
held under finance leases and £3,152,000 (2015: £4,417,000) in respect of assets under construction held under finance leases.
11. Intangible assets
 Goodwill 
£’000
Customer 
lists 
£’000
 Order 
book 
£’000
 Total 
£’000
Cost
30 April 2014 – – – –
Additions 14,982 20,427 86 35,495
At 30 April 2015 14,982 20,427 86 35,495
Additions – – – –
At 30 April 2016 14,982 20,427 86 35,495
Amortisation
30 April 2014 – – – –
Charge – 1,623 68 1,691
At 30 April 2015 – 1,623 68 1,691
Charge – 2,042 18 2,060
At 30 April 2016 – 3,665 86 3,751 
Net book value
At 30 April 2015 14,982 18,804 18 33,804
At 30 April 2016 14,982 16,762 – 31,744
The balance for Goodwill, Customer relationships and Order book arose on the Group’s Acquisition of Accrol Holdings Limited (note 22) and are 
attributed to the sole cash-generating unit (‘CGU’).
Impairment test for goodwill
Goodwill is monitored for internal management purposes at the Group’s sole CGU level. The recoverable amount of the CGU has been 
determined based on a value in use calculation using cash flow projections based on financial budgets approved by the board covering a three 
to five year period. Cash flows beyond this period are extrapolated using the estimated growth rates stated in the key assumptions.
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11. Intangible assets continued
The key assumptions used in the value in use calculations are a pre-tax discount rate of 16% (2015: 16%) and a long term growth rate of 2% 
(2015: 2%). The discount rate is derived from the Group’s weighted average cost of capital and is calculated with reference to latest market 
assumptions for the risk free rate, equity market risk premium and the cost of debt.
Goodwill is tested for impairment on at least an annual basis, or more frequently if events or changes in circumstance indicate that the carrying 
value may be impaired. In the years under review management’s value in use calculations have indicated no requirement to impair.
Sensitivity to changes in assumptions
The estimates of the recoverable amounts associated with these CGU affords significant head room over the carrying value, consequently only 
significant adverse changes in these key assumptions would cause the group to recognize an impairment loss.
12. Inventories
2016
£’000
2015
£’000
Raw materials 6,996 6,416 
Finished goods and goods for resale 2,365 2,965 
9,361 9,381 
13. Trade and other receivables
2016
£’000
2015
£’000
Trade receivables 20,793 19,206 
Less: provision for impairment of trade receivables (85) (62)
Trade receivables – net of provisions 20,708 19,144 
Prepayments 569 157 
  21,277 19,301 
The trade receivables balance is aged as follows:
2016
£’000
2015
£’000
Less than one month past due 12,831 11,705 
Between one and two months past due 7,120 6,909 
Between two and three months past due 383 342 
Between three and six months past due 459 250 
  20,793 19,206 
Trade and other receivables which are less than three months past due are not considered impaired unless specific information indicates 
otherwise. Trade and other receivables greater than three months past due are considered for recoverability, and where appropriate, a provision 
against bad debt is recognised. There are no trade receivables amounts more than six months past due.
The directors consider that the carrying amount of trade and other receivables is approximately equal to their fair value.
The movement in the provision for trade and other receivables is analysed below:
2016
£’000
2015
£’000
At the beginning of the year (62) –
Acquisition of subsidiary – (52)
Provisions made for receivables impairment (23) (28)
Amounts unused reversed – 18
  (85) (62)
The creation and release of the provision for impaired receivables has been included in administrative expenses in the Income Statement. 
Amounts charged to the allowance account are generally written off when there is no expectation of recovering additional cash.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 51
14. Cash and cash equivalents
2016
£’000
2015
£’000
Cash and cash equivalents 2,456 735 
Cash and cash equivalents earn interest at floating rates based on daily bank deposit rates. Short-term deposits are made for varying periods of 
between one day and one month depending on the immediate cash requirements of the Group, and earn interest at the respective short-term 
deposit rates.
15. Trade and other payables
Trade payables are non-interest bearing and are payable on average within 29 days at 30 April 2016 (2015: 36 days).
2016
£’000
2015
£’000
Trade payables 7,868 9,149 
Social security and other taxes 1,947 1,821 
Accruals and deferred income 4,613 5,086 
Deferred government grant income 1,026 1,087 
  15,454 17,143 
Deferred government grant income relates to grants received for purchase of plant and machinery.
16. Borrowings
2016
£’000
2015
£’000
Non-current
Bank facility 2,600 3,700 
Finance leases 7,232 5,444 
Shareholder loans 41,087 40,824 
  50,919 49,968 
Current
Bank facility 1,103 1,070 
Factoring facility 7,485 5,829 
Finance leases 3,605 5,566 
  12,193 12,465 
Loan maturity analysis
Within one year 12,294 12,465 
Between one and two years 4,164 3,515 
Between two and five years 5,768 5,629 
After five years 41,240 41,321 
  63,466 62,930 
The following amounts remain undrawn and available:
2016
£’000
2015
£’000
Factoring facility 9,879 10,051
  9,879 10,051
The Group’s bank borrowings are secured by way of fixed and floating charge over the Group’s assets.
Term loan under the £20.495m 10% Fixed Rate Secured Manager Loan Notes 2023 (‘Shareholder loans’)
On 14 July 2014 the Group entered into a 9 year, £20.495m credit facility with Majid Hussain, Wajid Hussain, Mozam Hussain to part finance the 
Group’s acquisition of Accrol Holdings Limited. Interest is accrued on the loan from date of issue at the rate of 10% per annum and 
compounded on each anniversary. Interest is then also payable on the PIK notes at a rate of 10% per annum by the issue of further PIK notes. 
The shareholder loans are repayable in full in June 2023. These notes were listed on the Channel Island Securities Exchange. 
Term loan under the £20.495m 10% Fixed Rate Secured Investor Loan Notes 2023 (‘Shareholder loans’)
On 14 July 2014 the Group entered into a 9 year, £20.495m credit facility with NorthEdge Capital LLP to part finance the Group’s acquisition of 
Accrol Holdings Limited. Interest is accrued on the loan from date of issue at the rate of 10% per annum and compounded on each anniversary. 
Interest is then also payable on the PIK notes at a rate of 10% per annum by the issue of further PIK notes. The shareholder loans are repayable 
in full in June 2023. These notes were listed on the Channel Island Securities Exchange.
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16. Borrowings continued
HSBC term loan under the £6.0m revolving bank facility (‘Bank facility’)
On 8 August 2014 the Group entered into a 5 year, £6.0m sterling revolving credit facility. The facility was to part finance the Group’s acquisition 
of Accrol Holdings Limited and to provide financing for general corporate and working capital requirements. The variable interest rate payable 
under the facility is LIBOR plus a variable margin between 2–3% (dependent upon gearing ratio) plus mandatory costs. The loan is repayable in 
quarterly instalments commencing 31 October 2014. All amounts outstanding under the facility are repayable on 8 August 2019. 
HSBC £20m factoring credit facility (‘Factoring facility’)
On 8 August 2014 the Group entered into a £20.0m multi-currency revolving credit facility to provide factoring financing for general working 
capital requirements for a minimum period of 3 years. Under the terms of this facility the drawdown is based upon gross debtors less a retention 
with 90% of the remaining debt funded. Each drawing under the facility is repayable within a maximum of 90 days from date of invoice for 
jurisdictions within the United Kingdom and 120 days for other countries. 
Covenants
The Group is subject to financial covenants in relation to the Bank Facility and the Factoring Facility. The covenants in relation to the Bank 
Facility cover the following ratios: a) Cash flow cover, b) Interest cover and c) Leverage. The covenants in relation to the Factoring Facility cover 
the following: a) Debt turn, b) Debt dilution, c) Disputed debt and d) Tangible net worth. The Group has been in compliance with all of the 
covenants during the periods under review. Breach of the covenants would render any outstanding borrowings subject to immediate settlement.
Finance fees
Finance fees incurred for the arrangement of Shareholder loans by the Group’s lenders are not included in the Loan Maturity Analysis table. The 
finance fees after amortisation are as follows:
 2016
£’000
2015
£’000
Finance fees 354 497
17. Financial instruments
Derivative financial instruments
Derivative financial instruments represent the Group’s forward foreign exchange contracts. The liabilities representing the valuations of the 
forward foreign exchange contracts at the year end are:
Current
 2016
£’000
2015
£’000
Foreign currency contracts 190 1,455
The Group has entered into a number of foreign exchange contracts that were open as at the year end. The total value of open foreign 
exchange contracts at the Balance Sheet date are as follows:
2016 2015
EUR (in €’000) – 26,000
USD (in $’000) 19,500 19,700
The fair value of a derivative financial instrument is split between current and non-current depending on the remaining maturity of the derivative 
contract and its contractual cash flows. The foreign currency swaps are designated as fair value through profit or loss at initial recognition. The 
fair value of the Group’s foreign currency derivatives is calculated as the difference between the contract rates and the mark to market rates 
which are current at the balance sheet date. This valuation is obtained from the counterparty bank and at each period end is categorised as a 
Level 2 valuation, see below. The maximum exposure to credit risk is the fair value of the derivative as a financial asset.
Fair value hierarchy
IFRS 7 requires fair value measurements to be recognised using a fair value hierarchy that reflects the significance of the inputs used in the value 
measurements:
Level 1: inputs are quoted prices in active markets.
Level 2: a valuation that uses observable inputs for the asset or liability other than quoted prices in active markets.
Level 3: a valuation using unobservable inputs i.e. a valuation technique.
There were no transfers between levels throughout the years under review.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 53
Fair values
The fair values of the Group’s financial instruments approximates closely with their carrying values, which are set out in the table below:
Fair values and carrying 
values
2016
£’000
2015
£’000
Financial assets
Current
Trade and other receivables 21,277 19,301 
Cash and short-term deposits 2,456 735 
Financial liabilities
Current
Borrowings 12,193 12,465 
Trade and other payables 15,454 17,143 
Derivative financial instruments 190 1,455 
Non-Current
Borrowings 50,919 49,968 
18. Capital and financial risk management objectives and policies
(a) Capital risk management
The Group’s objective when managing capital is to safeguard the group’s ability to continue as a going concern in order to provide returns for 
shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital. In order to maintain 
or adjust capital the group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell 
assets to reduce debt.
Consistent with others in the industry, the group monitors net debt. Net debt is calculated as total borrowings less cash and cash equivalents.
2016
£’000
2015
£’000
Total borrowings 63,112 62,433 
Less: cash and cash equivalents (2,456) (735)
Net debt 60,656 61,698 
(b) Financial risk management
The Group has exposure to the following risks from its use of financial instruments:
• Foreign currency risk
• Interest rate risk 
• Liquidity risk
• Credit risk 
This note presents information about the Group’s exposure to each of the above risks, and the Group’s objectives, policies and procedures for 
measuring and managing risk. The Board of Directors has overall responsibility for the establishment and oversight of the Group’s risk 
management framework.
(i) Foreign currency risk
The Group has transactional currency exposures arising from purchases in currencies other than the Group’s functional currency. These 
exposures are forecast on a monthly basis and are monitored by the Finance Department. Under the Group’s foreign currency policy, such 
exposures are hedged on a reducing percentage basis over a number of forecast time horizons using forward foreign currency contracts.
The Group’s largest exposures are the US Dollar and Euro forward contracts. The derivative analysis below had been prepared by reperforming 
the calculations used to determine the balance sheet values assuming a 1% strengthening of Sterling:
2016
£’000
2015
£’000
Euro – gain – 157
USD – gain/(loss) 135 (81)
135 76
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18. Capital and financial risk management objectives and policies continued
(ii) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest 
rates. The Group’s exposure to the risk of changes in market interest rates relates primarily to the Group’s Factoring facility and Bank facility, 
both of which have floating interest rates.
The Group manages its interest rate risk by holding the majority of borrowings in fixed rate secured loan notes. The exposure to the remaining 
risk is deemed to be manageable and is reviewed on a continual basis. The Group are not expecting any reduction in interest rates over the next 
12 months, the impact of 0.5% increase in interest rates on profit before tax is shown below:
2016
£’000
2015
£’000
Change in interest rate 56 55
(iii) Liquidity risk
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. Ultimate responsibility for liquidity risk 
management rests with the Board of Directors. The Group manages liquidity risk by continuously monitoring forecast and actual cash flows, 
matching the maturity profiles of financial assets and operational liabilities and by maintaining adequate cash reserves. 
The table below summaries the maturity profile of the Group’s financial liabilities:
As at 30 April 2016
Due within
1 year 
£’000
Due 
between 
1 and 2 
years 
£’000
Due 
between 
2 and 5 
years 
£’000
Due in more 
than 5 years
£’000
Total 
£’000
Borrowings 12,295 4,163 5,768 41,240 63,466 
Trade and other payables 15,454 – – – 15,454 
Derivative financial instruments 190 – – – 190 
Total financial liabilities 27,939 4,163 5,768 41,240 79,110 
As at 30 April 2015
Due within
 1 year 
£’000
Due 
between 
1 and 2 
years 
£’000
Due 
between 
2 and 5 
years 
£’000
Due in more 
than 5 years
£’000
Total 
£’000
Borrowings 12,465 3,515 5,629 41,321 62,930 
Trade and other payables 17,143 – – – 17,143 
Derivative financial instruments 1,455 – – – 1,455 
Total financial liabilities 31,063 3,515 5,629 41,321 81,528 
(iv) Credit risk
The Group’s principal financial assets are bank balances and cash, trade and other receivables and investments. The group’s credit risk is low. 
The credit risk on liquid funds and derivative financial instruments is limited because the counterparties are banks with high credit ratings 
assigned by international credit-rating agencies.
19. Commitments and contingencies 
Operating lease commitments 
The Group has entered into leases on commercial real estate. These leases have an average life of 12.6 years with no renewal option included in 
the contracts. There are no restrictions placed upon the Group by entering into these leases. The lease expenditure charged to the income 
statement during the year is disclosed in note 5.
Future minimum rentals payable under non-cancelable operating leases as at the year end, analysed by the period in which they fall due, are 
as follows:
2016
£’000
2015
£’000
Within one year 1,740 1,740 
Between one and two years 1,740 1,740 
Between two and five years 5,220 5,220 
Greater than five years 6,516 8,256 
  15,216 16,956 
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 55
Finance lease commitments 
Future minimum lease payments under finance leases and hire purchase contracts together with the present value of the net minimum lease 
payments are, as follows:
2016
£’000
2015
£’000
Within one year 3,989 5,917 
Between one and two years 3,228 2,687 
Between two and five years 4,617 3,302 
11,834 11,906 
Future finance charges (997) (896)
Present value 10,837 11,010 
The present value of finance lease liabilities is as follows: 
2016
£’000
2015
£’000
Within one year 3,605 5,566 
Between one and two years 2,963 2,415 
Between two and five years 4,269 3,029 
  10,837 11,010 
Capital commitments
2016
£’000
2015
£’000
Contracted for but not provided – –
20. Share capital and reserves
Called up, allotted and fully paid
2016
£
2015
£
Class A Ordinary shares of £1 each 4,625 4,625 
Class B Ordinary shares of £1 each 4,625 4,625 
Class C Ordinary shares of £1 each 650 300 
Class D Ordinary shares of £1 each 2,860 –
  12,760 9,550
The number of Ordinary shares in issue is set out below:
Number Number
Class A Ordinary shares of £1 each 4,625 4,625 
Class B Ordinary shares of £1 each 4,625 4,625 
Class C Ordinary shares of £1 each 650 300
Class D Ordinary shares of £1 each 2,860 –
The movements in shares occurred on the following dates set out below:
Number Number
14 July 2014
Issue of A Ordinary shares of £1 each – 4,625 
Issue of B Ordinary shares of £1 each – 4,625 
Issue of C Ordinary shares of £1 each – 200 
10 September 2014  
Issue of C Ordinary shares of £1 each – 100
4 March 2015 (transacted on 19 June 2015)  
Issue of C Ordinary shares of £1 each 350 –
Issue of D Ordinary shares of £1 each 2,860 –
On 14 July 2014, Accrol Group Holdings plc through its subsidiary, Accrol UK Limited, purchased the entire issued share capital of Accrol 
Holdings Limited for a consideration of £45,600,000 which comprised of £20,500,000 loan notes (‘Shareholder Loans’) issued by Accrol UK 
Limited to the Vendors and cash of £25,100,000. The vendors of Accrol Holdings Limited, entered into put and call options with Accrol Group 
Holdings plc over £4,625 of their loan notes in Accrol UK Limited. The options were exercised such that the Shareholder loans notes were 
transferred to Accrol Group Holdings plc in exchange for new B Ordinary share in Accrol Group Holdings with a nominal value of £4,625 with no 
impact on cash.
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20. Share capital and reserves continued
The issue of the A, B and C Ordinary shares in July and September 2014 were satisfied by the receipt of £55,000 in cash and the exchange of 
£4,625 of shareholder loan notes, resulting in share premium of £50,000. The issue of the C and D Ordinary shares in March 2015 (transacted 
on 19 June 2015) were satisfied by the receipt of £37,000 in cash, resulting in share premium of £34,000.
The A Shares, B Shares and C Shares rank pari passu in all respects. The D Ordinary shares rank pari passu with the other share classes 
except that the dividend payable to D shareholders are subject to a cap.
Each holder of an A Share, B Share or D Share is entitled to vote at general meetings of the Company. The C Shares do not confer on the 
holders any right to vote at general meetings of the Company. Every holder of an A Share or B Share shall have one vote for each A Share or B 
Share held; and the D Shares entitle the holders to such number of votes (in aggregate) as is equal to 30% of the total votes to be cast, such 
votes being divided proportionately between the holders of such D shares being cast on such poll.
No dividends have been paid or proposed in either 30 April 2016 or 30 April 2015.
21. Related party disclosures 
(a) Identity of related parties 
The Company is under joint control. The Company’s controlling shareholders are NorthEdge Capital LLP and members of the Hussain family. 
Phoenix Court Blackburn Limited is a company under the control of the Hussain family providing commercial premises for letting. Alklar Limited 
is an entity under the common directorship of Peter Cheung, to which payments for Peter Cheung’s services as a director for Accrol UK Limited 
are made.
The subsidiaries of the Group are as follows:
Company Principal activity Country of incorporation
Holding
%
Accrol UK Limited Holding company United Kingdom 100%
Accrol Holdings Limited Holding company United Kingdom 100%
Accrol Papers Limited Paper convertor United Kingdom 100%
(b) Transactions with related parties
The following table provides the total amounts owed to/(due from) related parties as at the end of each year:
Transactions
2016
£’000
2015
£’000
NorthEdge Capital LP 21,704 21,668
NorthEdge Capital – GP 460 460
The Hussain family 22,126 22,126
Alklar Limited 270 8
Owed from related parties 44,560 44,262
Opening balance 44,262 –
Loans advanced during year 249 40,990
Interest charged 4,099 3,264
Purchases 1,898 1,190
Repayments (5,948) (1,182)
Owed from related parties 44,560 44,262
Borrowings 41,239 40,990
Trade & other payables 3,321 3,272
Owed from related parties 44,560 44,262
Note 16 details loan notes net of financing fees.
The following table provides the total amounts of purchases and interest charged from related parties for the relevant financial year:
Transactions
2016
£’000
2015
£’000
NorthEdge Capital LP 2,129 1,698
The Hussain family 2,050 1,632
Phoenix Court Blackburn Limited 1,740 1,085
Alklar Limited 78 39
Total 5,997 4,454
Terms and conditions of transactions with related parties
The purchases and loans from related parties are made at normal market prices. Outstanding balances at the year end are unsecured, interest 
free and settlement occurs in cash. There have been no guarantees provided for any related party payables. Loans from related parties carry 
interest at 10%. Payments to Phoenix Court Blackburn Limited are in respect of the provision of services.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 57
(c) Directors’ emoluments
2016
£’000
2015
£’000
Directors’ fees 72 38
Emoluments 709 565
Other pension costs – –
  781 603
During the year retirement benefits were accruing to nil directors under defined contribution schemes (2015: nil). The aggregate amount of 
emoluments paid to the highest paid director was £204,000 (2015: £150,000). 
Key management personnel comprises the directors of the Company and the trading subsidiary. The remuneration of all directors who have 
been identified as the key management personnel of the group is set out below in aggregate for each of the categories specified in IAS 24 
Related Party Disclosures:
2016
£’000
2015
£’000
Short-term employee benefits 986 663 
Post-employment benefits – –
Other long-term benefits – –
  986 663 
22. Acquisitions
On 14 July 2014, Accrol Group Holdings plc through its subsidiary, Accrol UK Limited, purchased the entire issued share capital of Accrol 
Holdings Limited for a consideration of £45,600,000. The operations of Accrol Papers Limited, a wholly owned subsidiary of Accrol Holdings 
Limited, are focussed on soft tissue paper conversion from its premises in Blackburn, Lancashire from where it produces toilet rolls, kitchen 
rolls and boxes of facial tissues. The acquisition brought additional funding into the business allowing it to focus and deliver its growth strategy. 
Goodwill represents the expected benefits to the wider Group arising from the acquisition. The fair value of assets and liabilities acquired are set 
out below:
Fair value
£’000
Net assets acquired
Intangibles 20,513
Property, plant and equipment 15,832
Inventories 11,756
Trade and other receivables 17,642
Bank overdraft (850)
Trade and other payables (28,747)
Deferred tax liabilities (5,528)
Net assets 30,618
Goodwill 14,982
Total consideration 45,600
Satisfied by:
Cash 25,100
Loan notes 20,495
Shares issued 5
Total consideration 45,600
Net cash outflow arising on acquisition:
Cash consideration 25,100
Bank overdraft acquired 850
Net cash outflow 25,950
Professional deal fees of £1,530,000 incurred in effecting the acquisition were fully expensed during the year ended 30 April 2015. These costs 
are classed as an exceptional item and are included in ‘Administrative expenses’.
The amount of revenue and profit for Accrol Papers Limited from 1 May 2014 to 14 July 2014 was £19.2m and £2.0m respectively. 
For analysis of the full year revenue and profit of the Group including Accrol Papers Limited, refer to note 26 Proforma result.
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23. Explanation of transition to IFRS
This is the first time that the Group has presented its financial information under IFRS. The last financial information under UK GAAP was for the 
year to 30 April 2015 and the date of transition to IFRS was 1 May 2014. 2015 is the earliest year for which Accrol Group Holdings plc has 
published UK GAAP financial information.
IFRS 1 ‘First-time Adoption of International Financial Reporting Standards’ offers a number of exemptions from full retrospective application of 
applicable standards on transition to IFRS. Following a review of these exemptions it has been concluded the Group has taken advantage of the 
exemption not to adopt retrospective application of IFRS 3 ‘Business Combinations’ to historic acquisitions prior to the date of transition 
to IFRS.
Set out below are the UK GAAP to IFRS consolidated statements of financial position reconciliations for Accrol Group Holdings plc at 30 April 
2015 (last financial information under UK GAAP) and profit reconciliation for Accrol Group Holdings plc for the 10 months ended 30 April 2015.
UK GAAP to IFRS reconciliation of the Consolidated Statement of Financial Position as at 30 April 2015 of Accrol Group 
Holdings plc
Note
UK GAAP
£’000
IFRS
adjustments
£’000
IFRS
£’000
ASSETS
Non-current assets
Property, plant and equipment a(i) 22,124 616 22,740 
Intangible assets b(ii),c 31,430 2,374 33,804 
Investments in subsidiaries   – – –
Total non-current assets   53,554 2,990 56,544 
Current assets
Inventories d 9,306 75 9,381 
Trade and other receivables 19,301 – 19,301 
Cash and cash equivalents   735 – 735 
Total current assets   29,342 75 29,417 
Total assets   82,896 3,065 85,961 
Current liabilities
Borrowings a(ii) 11,834 631 12,465 
Trade and other payables e 16,823 320 17,143 
Income taxes payable f(iii) 496 90 586 
Derivative financial instruments (g) – 1,455 1,455 
Total current liabilities   29,153 2,496 31,649 
Non-current liabilities
Borrowings 49,968 – 49,968 
Deferred tax liabilities f(ii) 1,539 3,445 4,984 
Total non-current liabilities   51,507 3,445 54,952 
Total liabilities   80,660 5,941 86,601 
Net assets/(liabilities)   2,236 (2,876) (640)
Capital and reserves
Issued capital 10 – 10 
Share premium 50 – 50 
Retained earnings/(deficit) a(iii),b(i),c,d,e,f(i),f(ii),g 2,176 (2,876) (700)
Total equity shareholders’ funds/(deficit) 2,236 (2,876) (640)
(a) IAS 17 ‘Leases’
The Group reclassified leases previously treated as operating leases to finance leases as they satisfied the recognition criteria outlined under 
IAS 17. This resulted in the following impact in the years under review as follows:
2015
£’000
Tangible assets – recognition (i) 616 
Borrowings – recognition of lease liability (ii) (631)
Net reduction in net assets resulting from IAS 17 (iii) (15)
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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(b) IFRS 3 ‘Business Combinations’ – Intangible assets
Under IFRS 3 ‘Business Combinations’ the Group is required an assessment of the fair value of any identifiable intangibles assets that exist at 
the date of acquisition and to also identify any transaction fees that were capitalised in determining the carrying value of goodwill in the 
acquisition accounting. The carrying value of goodwill is reduced by these amounts under IFRS 3, the transaction fees being recognised in the 
income statement in the year of acquisition and the separately identified intangibles recognised as assets alongside goodwill. The recognition of 
these intangibles also gives rise to a deferred tax liability at the date of acquisition in July 2014 which will unwind as the intangible assets are 
amortised. The table below itemises the impact of goodwill during the year ended 30 April 2013 and subsequent years.
2015
£’000
Transaction fees expensed in the year (i) (1,530)
Recognition of identifiable intangibles on acquisition (20,508)
Deferred tax 4,290 
Net reduction in goodwill carrying value resulting from IFRS 3   (17,748)
Increase in other intangible assets carrying value under IFRS   20,508 
Net impact in goodwill carrying value resulting from IFRS 3 (ii) 2,760 
(c) IAS 38 ‘Intangible Assets’
Amortisation of intangible assets
Under IAS 38 ‘Intangible Assets’ goodwill is treated as an intangible asset with an indefinite useful life and is not amortised as such all 
amortisation recognised under the previous UK GAAP treatment must be written back. In addition, the intangible assets recognised in (b) do not 
have indefinite useful lives and as such give rise to amortisation in the years under review as follows:
2015
£’000
Writeback of amortisation of goodwill (cumulative) 1,305 
Amortisation of intangibles recognised on acquisition (cumulative) (1,691)
Net decrease due to amortisation under IAS 38 (386)
(d) IAS 2 ‘Inventories’
Overheads absorbed have been re-evaluated to ensure compliance with IAS 2.
2015
£’000
Overhead absorption (cumulative) 91 
Supplier rebates absorption (cumulative) (16)
Net increase in inventories arising under IAS 2 75 
(e) IAS 19 ‘Employee Benefits’
IAS 19 requires the accrual of unpaid holiday benefits.
2015
£’000
Holiday pay accrual (320)
(f) IAS 12 ‘Income Taxes’
2015
£’000
Deferred taxes
Net decrease in deferred tax liabilities due to IFRS adjustments (i) 845
Net (increase) in deferred tax following recognition of intangibles on acquisition (4,290)
Net (increase) in deferred taxes (ii) (3,445)
Incomes taxes
Net increase in income taxes payable due to IFRS adjustments  (iii) (90)
(g) IAS 39 ‘Financial Instruments’
Under IFRS the group are required to recognise financial derivatives at fair value. However the group did not qualify for hedge accounting under 
IAS 39 ‘Financial instruments’ and as such all movements in fair value are recognised in the income statement. The net impact on net assets is 
as follows:
2015
£’000
Fair value of foreign currency contracts (1,455)
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23. Explanation of transition to IFRS continued
Statement of Comprehensive Income for the Year ended 30 April 2015
Note
UKGAAP
£’000
IFRS 
adjustments
£’000
IFRS
£’000
Revenue 81,904 – 81,904 
Cost of sales d,e,g (58,917) (1,700) (60,617)
Gross profit/(loss) 22,987 (1,700) 21,287 
Administration expenses a(i),b,c (7,067) (1,887) (8,954)
Distribution (8,549) – (8,549)
Operating profit/(loss) 7,371 (3,587) 3,784 
Analysed as:        
– EBITDA
1
9,786 185 9,971 
– Depreciation (1,110) (401) (1,511)
– Amortisation (1,305) (386) (1,691)
– Gain/(loss) on derivative financial instruments – (1,455) (1,455)
– Exceptional items   – (1,530) (1,530)
Operating profit/(loss) 7,371 (3,587) 3,784 
Finance costs a(ii) (4,088) (44) (4,132)
Loss before tax 3,283 (3,631) (348)
Tax (charge)/credit f (1,107) 755 (352)
Profit/(loss) for the year attributable to equity shareholders   2,176 (2,876) (700)
Note 1: Adjusted EBITDA, which is defined as profit before finance costs, tax, depreciation, amortisation, gain/loss on derivative financial instruments and exceptional items, is 
a non-GAAP metric used by management and is not an IFRS disclosure.
Notes to the Consolidated Statements of Comprehensive Income
(a) IAS 17 ‘Leases’
The Group reclassified leases previously treated as operating leases to finance leases as they satisfied the recognition criteria outlined under 
IAS 17. This resulted in the following impact in the year under review as follows:
2015
£’000
Depreciation (P&L) (400)
Operating lease rental (P&L)   429 
Net impact on Administrative expenses resulting from IAS 17 (i) 29
Interest (P&L) (ii) (44)
(b) IFRS 3 ‘Business Combinations’ – Intangible assets
Under IFRS 3’Business Combinations’ the group have expensed transaction fees associated with the acquisition in 2014. The net impact in the 
years under review is as follows:
2015
£’000
Transaction fees expensed in the year (1,530)
(c) IAS 38 ‘Intangible Assets’
Under IAS 38 ‘Intangible Assets’ goodwill is treated as an intangible asset with an indefinite useful life and is not amortised, as such, all 
amortisation recognised under the previous UK GAAP must be written back. In addition the intangible assets recognised in (a) do not have 
indefinite useful lives and as such give rise to amortisation in the years under review as follows: 
2015
£’000
Writeback of amortisation of goodwill (cumulative) 1,305
Amortisation of intangibles recognised on acquisition (cumulative) (1,691)
Net increase/(decrease) due to amortisation under IAS 38  (386)
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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(d) IAS 2 ‘Inventories’
2015
£’000
Overhead absorption (cumulative) 91 
Supplier rebates absorption (cumulative) (16)
Net reduction in ‘Cost of Sales’ under IAS 2  75
(e) IAS 19 ‘Employee Benefits’
IAS 19 requires the accrual of unpaid employee holiday benefits.
2015
£’000
Holiday pay accrual (320)
(f) Income taxes
Other than the deferred tax arising on the recognition of separately identifiable intangibles there are income and deferred tax effects arising on 
recognition of the IFRS adjustments. The impact of taxes payable and deferred tax liabilities are as follows:
2015
£’000
Deferred taxes 845 
Incomes taxes (90)
Net impact of recognition of IFRS adjustments  755
(g) Financial instruments
(i) IFRS adjustment – derivative financial instruments
Under IFRS the Group are required to recognise financial derivatives at fair value. However the Group did not qualify for hedge accounting under 
IAS 39 ‘Financial Instruments’ and as such all movements in fair value are recognised in the income statement. The net impact on net assets is 
as follows:
2015
£’000
Fair value of foreign currency contracts (1,455)
Cash flow statement
The move from UK GAAP to IFRS does not change any of the cash flows of the Group. The IFRS cash flow format is similar to UK GAAP but 
presents various cash flows in different categories and in a different order from the UK GAAP cash flow statement. All of the IFRS accounting 
adjustments net out within cash generated from operations except for the intangible assets reclassification and the inclusion of liquid 
investments with a maturity of less than three months on acquisition, together with related exchange adjustments, within cash and cash 
equivalents under IFRS.
24. Subsequent events
Re-registration as Accrol Group Holdings plc
On 26 May 2016, the Group issued a notice of intention to seek admission to AIM (the ‘Admission’) through a share reorganisation in the parent 
company, Accrol Group Holdings Limited, and then re-registering the Company as a public limited company by the name of Accrol Group 
Holdings plc.
Share re-organisation
On 2 June 2016 Accrol Group Holdings plc issued 50 new A Ordinary share of £1 each and 50 new B Ordinary share of £1 each to NorthEdge 
Capital LLP and the Principal Shareholders (Majid Hussain, Wajid Hussain and Mozam Hussain) respectively. Accrol Group Holdings plc 
undertook a bonus issue of 4 A, B, C or D Ordinary share for each existing A, B, C and D ordinary share, respectively, to existing shareholders 
financed from the share premium reserve in order to enable Accrol Group Holdings plc to have a minimum nominal share capital of £50,000. 
The bonus shares were issued in the same proportions to the existing shareholdings. Each A, B, C and D ordinary share of £1 each was then 
sub-divided into 1,000 A, B, C and D Ordinary share of £0.001 each. Immediately prior to Admission, Accrol Group Holdings plc converted and 
re-designated the existing A, B, C and D shares of £0.001 each into Ordinary share of £0.001 each and deferred shares of £0.001 each. 
Following Admission, Accrol Group Holdings plc purchased all of the deferred shares of £0.001 each in its capital for an aggregate 
consideration of £1.
Adoption of employee share plans 
On 2 June 2016, the Group adopted a Management Incentive Plan (MIP). Initially, there are three participants in the MIP. Participation in the 
MIP is at the discretion of the Board. There is an intention that at a future date, further shares will be issued to a member or members of the 
senior team. 
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24. Subsequent events continued
Relationship agreements 
On Admission, Accrol Group Holdings plc entered into two relationship agreements, the first with the Principal Shareholders (Majid Hussain, 
Wajid Hussain and Mozam Hussain) and the second with NorthEdge Capital Fund I LP and NorthEdge Capital I GP LLP (the ‘NorthEdge Capital 
Funds’). The principal purpose of the relationship agreements was to ensure that the Company is capable of carrying on its business 
independently of each of the Principal Shareholders and the NorthEdge Capital Funds and their respective associates.
The relationship agreements contain undertakings from each of the Principal Shareholders and the NorthEdge Capital Funds that: 
(i)  transactions and relationships with them and their connected persons will be conducted at arm’s length and on a commercial basis; 
(ii)  neither them nor any of their connected persons will take any action that would have the effect of preventing the Company from complying 
with its obligations under the AIM Rules; and 
(iii)  neither them nor any of their connected persons will propose or procure the proposal of certain shareholder resolutions. 
The relationship agreements were effective from Admission and will remain in effect until: 
(i)  the Principal Shareholders in aggregate cease to hold in aggregate a shareholding to which attaches in excess of 10% of the total voting 
shares in the Company from time to time; and
(ii)  the NorthEdge Capital Funds cease to hold in aggregate a shareholding to which attaches in excess of 10% of the total voting shares in the 
Company from time to time (as the case may be).
Initial Public Offering (IPO)
On the 10 June 2016 the company listed on AIM. The net proceeds of the Placing receivable by the Company being gross proceeds of £43.3m 
less estimated fees and expenses related to the Placing of £1.9m.
Authority for the Company to purchase its own shares
On 1 June 2016, the Company passed resolutions and entered into a share buyback contract with each member of the Company to buy back, 
on 11 July 2016, all of the deferred shares of £0.001 each held by each member, buying back in aggregate, 27,476,142 deferred shares of 
£0.001 each for an aggregate consideration price of £1.
Revolving Credit Facility agreement
At 30 April 2016, the Group had borrowings under a committed bank loan facility of £4m provided by HSBC plc, a factoring facility of £20 million 
and finance leases of £8m. Subsequent to the year end, on 13 June 2016, the bank loan facility and the finance leases have been repaid from a 
new Revolving Credit Facility (‘RCF’). The RCF is a 5 year £18m facility with a day 1 drawdown of £13m. The RCF reduces to £10m subject to 
the following profile:
30 April 2017: £16m
30 April 2018: £14m
30 April 2019: £12m
30 April 2020: £10m
The minimum drawing is: £500,000 with the maximum number of outstanding drawings at any one time being 10. Interest is charged on the 
RCF at LIBOR plus a margin of 2.0% subject to the below ratchet:
≥2.0x Net Debt: EBITDA = 2.25 basis points 
≥1.5x Net Debt: EBITDA = 2.00 basis points
≥1.0x Net Debt: EBITDA = 1.75 basis points
<1.0x Net Debt: EBITDA = 1.50 basis points
An arrangement fee of 1.5% of the RCF is payable at inception. An annual commitment fee of 40% of applicable margin on any undrawn 
RCF commitment is also payable. There is no commitment fee or ticking fee arising between signing and Admission. The facility is subject to 
financial covenants and each of Accrol Group Holdings plc, Accrol UK Limited, Accrol Holdings Limited and Accrol Papers Limited will enter into 
a guarantee and the security each have previously granted in favour of HSBC shall remain in respect of all liabilities arising under the 
RCF agreement.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 63
25. Non-GAAP measures
Adjusted earnings per share
The adjusted earnings per share is calculated by dividing the adjusted earnings attributable to ordinary equity holder of the parent by the 
weighted average number of Ordinary share outstanding during the year. The following reflects the income and share data used in the adjusted 
earnings per share calculation.
2016
£’000
2015
£’000
Earnings attributable to shareholders 5,705 (700)
Adjustment for:
Depreciation 1,831 1,511
Amortisation 2,060 1,691
Gain/(loss) on derivatives (1,266) 1,455
Exceptional items – deal costs – 1,530
Exceptional items – consultancy 493 –
Tax effect of adjustments above (258) (630)
Adjusted earnings attributable to shareholders 8,565 4,857
Number Number
Basic weighted average number of shares1 9,900 9,514
£ £
Basic adjusted earnings per share 865.15 510.51
Diluted adjusted earnings per share 865.15 510.51
Note 1: The basic weighted average number of shares is calculated by excluding the D class of shares as this class is subject to a dividend cap that does not materially impact 
upon the profit due to the remaining ordinary equity shareholders.
26. Proforma result
The consolidated financial statements contain comparative information for the year to 30 April 2015 which does not include a full year of 
trading information.
The statutory consolidated income statement contains 10 months of trading results as the acquisition of the trading subsidiary, Accrol Papers 
Limited occurred on 14 July 2014 and not at the beginning of the financial year.
In order to aid year on year comparison, the statutory audited income statement has been adjusted to include the results relating to the period 
1 May 2014 to 13 July 2014 that would have been included in the Accrol Group Holdings plc financial statements for year ended 30 April 2015 
had the acquisition occurred on 1 May 2014. 
2015 is the first year reporting under IFRS for Accrol Group Holdings plc, and there are a number of IFRS adjustments. As Accrol Group 
Holdings plc was incorporated in the financial period, the opening balance sheet did not include these IFRS adjustments and the cumulative 
IFRS impact has been included in the statutory comparatives. The adjustments column in the table on page 64, adjusts this cumulative IFRS 
impact and includes only the element of the IFRS adjustment relating to the year to 2015.
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26. Proforma result continued
Proforma consolidated income statement for the year ended 30 April 2015
Statutory 
2015 
£’000
Adjustments
£’000
Unaudited
proforma 
2015
£’000
Revenue 81,904 19,152 101,056
Cost of sales before gain/(loss) on derivative financial instruments (59,162) (15,661) (74,823)
(Loss)/gain on derivative instruments (1,455) 428 (1,027)
Cost of sales (60,617) (15,233) (75,850)
Gross profit 21,287 3,919 25,206
Administration expenses (8,954) (1,644) (10,598)
Distribution (8,549) 463 (8,086)
Operating profit 3,784 2,738 6,522
Analysed as:      
– EBITDA1 9,971 2,308 12,279
– Depreciation (1,511) 2 (1,509)
– Amortisation (1,691) – (1,691)
– (Loss)/gain on derivative financial instruments (1,455) 428 (1,027)
– Exceptional items (1,530) – (1,530)
Operating profit 3,784 2,738 6,522
Finance costs (4,132) (99) (4,231)
       
(Loss)/profit before tax (348) 2,639 2,291
Tax charge (352) (519) (871)
(Loss)/profit for the year attributable to equity shareholders (700) 2,120 1,420
This approach enables the reader of the financial statement to easily reconcile the statutory 2015 results to those that would have been 
presented in 2015 had a full year of trade been included under ongoing IFRS accounting treatment which was presented in the Historical 
Financial Information presented within the Admission document.
Notes to the Consolidated Financial Information Continued
For the year ended 30 April 2016
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Report on the company financial statements
Our opinion
In our opinion, Accrol Group Holdings plc’s company financial 
statements (the ‘financial statements’):
• give a true and fair view of the state of the company’s affairs as  
at 30 April 2016 and of its cash flows for the year then ended;
• have been properly prepared in accordance with International 
Financial Reporting Standards (‘IFRSs’) as adopted by the 
European Union and as applied in accordance with the provisions 
of the Companies Act 2006; and
• have been prepared in accordance with the requirements of the 
Companies Act 2006.
What we have audited
The financial statements, included within the Annual report and 
Accounts (the ‘Annual Report’), comprise:
• the Company statement of financial position as at 30 April 2016;
• the Company cash flow statement for the year then ended;
• the Company statement of changes in equity for the year then 
ended; and
• the notes to the financial statements, which include a summary of 
significant accounting policies and other explanatory information.
Certain required disclosures have been presented elsewhere in the 
Annual Report, rather than in the notes to the financial statements. 
These are cross-referenced from the financial statements and are 
identified as audited.
The financial reporting framework that has been applied in the 
preparation of the financial statements is IFRSs as adopted by the 
European Union, and applicable law, and as applied in accordance 
with the provisions of the Companies Act 2006.
In applying the financial reporting framework, the directors have  
made a number of subjective judgements, for example in respect of 
significant accounting estimates. In making such estimates, they have 
made assumptions and considered future events.
Opinion on other matter prescribed by the Companies Act 
2006
In our opinion, the information given in the Strategic Report and  
the Directors’ Report for the financial year for which the financial 
statements are prepared is consistent with the financial statements.
Other matters on which we are required to report by exception
Adequacy of accounting records and information and 
explanations received
Under the Companies Act 2006 we are required to report to you if, in 
our opinion:
• we have not received all the information and explanations we 
require for our audit; or
• adequate accounting records have not been kept by the company, 
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.
We have no exceptions to report arising from this responsibility.
Directors’ remuneration
Under the Companies Act 2006 we are required to report to you if, in 
our opinion, certain disclosures of directors’ remuneration specified by 
law are not made. We have no exceptions to report arising from this 
responsibility.
Responsibilities for the financial statements and the audit
Our responsibilities and those of the directors
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) (‘ISAs (UK & Ireland)’). Those 
standards require us to comply with the Auditing Practices Board’s 
Ethical Standards for Auditors.
This report, including the opinions, has been prepared for and only for 
the company’s members as a body in accordance with Chapter 3 of 
Part 16 of the Companies Act 2006 and for no other purpose. We do 
not, in giving these opinions, accept or assume responsibility for any 
other purpose or to any other person to whom this report is shown or 
into whose hands it may come save where expressly agreed by our 
prior consent in writing.
What an audit of financial statements involves
We conducted our audit in accordance with ISAs (UK & Ireland). An 
audit involves obtaining evidence about the amounts and disclosures 
in the financial statements sufficient to give reasonable assurance that 
the financial statements are free from material misstatement, whether 
caused by fraud or error. This includes an assessment of: 
• whether the accounting policies are appropriate to the company’s 
circumstances and have been consistently applied and adequately 
disclosed; 
• the reasonableness of significant accounting estimates made by 
the directors; and 
• the overall presentation of the financial statements. 
We primarily focus our work in these areas by assessing the directors’ 
judgements against available evidence, forming our own judgements, 
and evaluating the disclosures in the financial statements.
We test and examine information, using sampling and other auditing 
techniques, to the extent we consider necessary to provide a 
reasonable basis for us to draw conclusions. We obtain audit 
evidence through testing the effectiveness of controls, substantive 
procedures or a combination of both. 
In addition, we read all the financial and non-financial information in 
the Annual Report to identify material inconsistencies with the audited 
financial statements and to identify any information that is apparently 
materially incorrect based on, or materially inconsistent with, the 
knowledge acquired by us in the course of performing the audit. 
If we become aware of any apparent material misstatements or 
inconsistencies we consider the implications for our report.
Other matter
We have reported separately on the group financial statements of 
Accrol Group Holdings plc for the year ended 30 April 2016.
Hazel Macnamara (Senior Statutory Auditor)
for and on behalf of PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
Manchester
22 July 2016
Independent Auditor’s Report to the Members of Accrol Group Holdings plc
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Independent Auditor’s 
Report Company Accrol Group Holdings plc / Annual Report and Accounts 2016 66
Note
2016
£’000
2015
£’000
ASSETS
Non-current assets
Investments in subsidiaries 3 10 10 
Total non-current assets   10 10 
Current assets
Trade and other receivables 4 25 50 
Cash and cash equivalents   262 –
Total current assets   287 50 
Total assets   297 60 
Current liabilities
Trade and other payables 5 200 –
Total current liabilities   200 –
Total liabilities   200 –
Net assets   97 60 
Capital and reserves
Share capital 6 13 10 
Share premium 6 84 50 
Retained earnings 6 – –
Total equity shareholders’ funds   97 60 
The financial statements on pages 66 to 68 were approved by the Board of Directors on 22 July 2016.
Signed on behalf of the Board of Directors
Steve Crossley     James Flude
Chief Executive Officer    Chief Financial Officer
Company Registration Number 9019496
Company Statement of Financial Position
For the year ended 30 April 2016
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Company Statement of 
Financial Position Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 67
Note
Share  
capital 
£’000
Share 
premium 
£’000
Retained 
earnings 
£’000
Total  
equity 
£’000
Balance at 30 April 2014 – – – –
Transactions with owners – – – –
Issue of ordinary shares 6 10 50 – 60
Total for transactions with owners 10 50 – 60
Comprehensive income
Loss for the year – – – –
Total comprehensive income – – – –
Balance at 30 April 2015 10 50 – 60
Transactions with owners
Issue of ordinary shares 6 3 34 – 37
Total for transactions with owners 3 34 – 37
Comprehensive income
Profit for the year – – – –
Total comprehensive income – – – –
Balance at 30 April 2016 13 84 – 97
Company Statement of Changes in Equity
For the year ended 30 April 2016
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Company Statement of 
Changes in Equity Accrol Group Holdings plc / Annual Report and Accounts 2016 68
2016
£’000
2015
£’000
Cash flows from operating activities – –
Operating profit
Decrease/(increase) in trade and other receivables 25 (50)
Increase in trade and other payables 200 –
Cash generated from/(used in) operations 225 (50)
Tax paid – –
Interest paid – –
Net cash flows from/(used in) operating activities 225 (50)
Cash flows from investing activities
Purchase of subsidiary – (10)
Net cash flows used in investing activities – (10)
Cash flows from financing activities
Proceeds of issue of ordinary shares 37 60
Net cash flows from financing activities 37 60
Net increase in cash and cash equivalents 262 –
Cash and cash equivalents at beginning of the year – –
Cash and cash equivalents at year end 262 –
Company Cash Flow Statement 
For the year ended 30 April 2016
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Company Cash Flow 
Statement  Financial Statements Governance Strategic Report 
Accrol Group Holdings plc / Annual Report and Accounts 2016 69
1. General information
Accrol Group Holdings plc (formerly Accrol Group Holdings Limited) (the ‘Company’) was incorporated in the United Kingdom on 30 April 2014 with 
company number 9019496. The registered address of the Company is the Delta Building, Roman Road, Blackburn, United Kingdom, BB1 2LD. 
Accrol UK Limited, which was incorporated on 24 April 2014, subsequently became a direct wholly owned subsidiary undertaking of the Company 
on 14 July 2014. On 14 July 2014, Accrol UK Limited acquired Accrol Holdings Limited and its trading subsidiary, Accrol Papers Limited (the 
‘Acquisition’). Accrol Papers Limited is engaged in the business of soft tissue paper conversion. The Company’s subsidiaries are listed in note 21 to 
the consolidated financial statements, which together with the Company form the Accrol Group Holdings plc Group (the ‘Group’).
2. Summary of significant accounting policies
A summary of the significant accounting policies is set out below. These have been applied consistently during the financial year.
Statement of compliance
The financial statements of the Company have been prepared in accordance with International Financial Reporting Standards (‘IFRS’) as 
adopted for use in the EU, International Financial Reporting Interpretations Committee (‘IFRIC’) interpretations and with those parts of the 
Companies Act 2006 applicable to companies reporting under IFRS. 
Basis of preparation
The financial statements have been prepared on a going concern basis under the historical cost convention as modified by financial liabilities 
(including derivative instruments) at fair value through the profit and loss. The financial statements are presented in pounds sterling and all values 
are rounded to the nearest thousand pounds, except where otherwise indicated.
The Company has taken advantage of the exemption in Section 408(3) of the Companies Act 2006 not to present its individual profit and loss 
account and related notes that form part of the approved Company financial statements.
Transition to IFRS
This is the Company’s first set of financial statements prepared in accordance with IFRS. The Company previously prepared its financial 
statements under UK Generally Accepted Accounting Practice. The Company’s deemed transition date to IFRS is 1 May 2014, the beginning of 
the first year presented, and the requirements of IFRS 1 First-time Adoption of International Financial Reporting Standards (‘IFRS 1’) have been 
applied as of that date. IFRS 1 offers a number of exemptions from full retrospective application of applicable standards on transition to IFRS 
and it has been concluded that no exemptions are applicable to the Company.
Standards issued not yet effective
At the date of authorisation of this financial information, the following new standards and interpretations which have not been applied in this 
financial information were in issue but not yet effective (and in some cases, had not yet been adopted by the EU):
• IAS 16 and IAS 38 amendments – Clarification of Acceptable Methods of Depreciation and Amortisation (effective 1 January 2016)
• IFRS 11 amendments – Accounting for Acquisitions of Interests in Joint Operations (effective 1 January 2016)
• IAS 16 and IAS 41 amendments – Agriculture: Bearer Plants (effective 1 January 2016)
• IAS 27 amendments – Equity Method in Separate Financial Statements (effective 1 January 2016)
• IFRS 10 and IAS 28 amendments – Sale or Contribution of Assets between an Investor and its Associate or Joint Venture  
(effective 1 January 2016)
• IAS 1 amendments – Disclosure Initiative (effective 1 January 2016)
• Annual Improvements 2012–2014 Cycle (effective 1 January 2016)
• IFRS 15 – Revenue from Contracts with Customers (effective 1 January 2018)
• IFRS 9 Financial Instruments (effective 1 January 2018)
The adoption of these Standards and Interpretations is not expected to have a material impact on the Company financial statements in the year 
of initial application when the relevant standards come into effect.
IFRS 16 ‘Leases’ is a new standard that has been published and is effective from 1 January 2019 but has not been early adopted by the Group. 
Its unlikely to have a material impact on the Company. At the time of preparing this financial information, the Company continues to assess the 
possible impact of the adoption of this standard in future years. 
Going concern
The Directors have made appropriate enquiries and formed a judgement at the time of approving the financial statements that there is a 
reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this 
reason, the Directors continue to adopt the going concern basis in preparing the financial statements.
Investments
On initial recognition, investments in subsidiaries are recorded at cost, which is the fair value of the consideration paid. Where consideration is 
paid by way of shares, the excess of fair value of the shares over nominal value of those shares is recorded in share premium. Investments in 
subsidiaries are reviewed for impairment at each balance sheet date with any impairment charged to the income statement. 
Notes to the Company Financial Information
For the year ended 30 April 2016
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Notes to the Company 
Financial Information Accrol Group Holdings plc / Annual Report and Accounts 2016 70
Financial instruments
Financial assets
The Company classifies its financial assets as loans and receivables. Loans and receivables are non-derivative financial assets with fixed or 
determinable payments that are not quoted in an active market. They are included in current assets. The Company’s loans and receivables 
comprise debtors and cash and cash equivalents in the balance sheet. Subsequent to initial recognition, these assets are carried at amortised 
cost using the effective interest method. Income from these financial assets is calculated on an effective yield basis and is recognised in the 
income statement.
Financial liabilities
The company initially recognises its financial liabilities at fair value and subsequently they are measured at amortised cost using the effective 
interest method.
3. Investments in subsidiaries
Group 
undertakings
£’000
Cost
30 April 2015 and 2016 10
The Company’s subsidiary undertakings are shown in note 21 to the consolidated financial statements.
4. Trade and other receivables
2016
£’000
2015
£’000
Prepayments and accrued income 25 – 
Amounts owed by group undertakings – 50 
25 50 
Amounts owed by group undertakings and falling due within one year are unsecured, interest free and repayable on demand. 
5. Trade and other payables
2016
£’000
2015
£’000
Amounts owed to group undertakings 200 –
200 – 
Amounts owed to group undertakings and falling due within one year are unsecured, interest free and repayable on demand. 
Notes to the Company Financial Information Continued
For the year ended 30 April 2016
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Accrol Group Holdings plc / Annual Report and Accounts 2016 71
6. Issued capital and reserves
Called up, allotted and fully paid
2016
£
2015
£
Class A Ordinary shares of £1 each 4,625 4,625 
Class B Ordinary shares of £1 each 4,625 4,625 
Class C Ordinary shares of £1 each 650 300 
Class D Ordinary shares of £1 each 2,860 –
  12,760 9,550
The number of Ordinary shares in issue is set out below:
Number Number
Class A Ordinary shares of £1 each 4,625 4,625 
Class B Ordinary shares of £1 each 4,625 4,625 
Class C Ordinary shares of £1 each 650 300
Class D Ordinary shares of £1 each 2,860 –
The movements in shares occurred on the following dates set out below:
Number Number
14 July 2014  
Issue of A Ordinary shares of £1 each – 4,625 
Issue of B Ordinary shares of £1 each – 4,625 
Issue of C Ordinary shares of £1 each – 200 
10 September 2014  
Issue of C Ordinary shares of £1 each – 100
4 March 2015 (transacted on 19 June 2015)  
Issue of C Ordinary shares of £1 each 350 –
Issue of D Ordinary shares of £1 each 2,860 –
The issue of the A, B and C Ordinary shares during July and September 2014 were satisfied by the receipt of £55,000 in cash and the exchange 
of £4,625 of shareholder loan notes, resulting in share premium of £50,000. The issue of the C and D Ordinary shares in March 2015 (transacted 
on 19 June 2015) were satisfied by the receipt of £37,000 in cash, resulting in share premium of £34,000.
The A Shares, B Shares and C Shares rank pari passu in all respects. The D Ordinary shares rank pari passu with the other share classes 
except that the dividend payable to D shareholders are subject to a cap.
Each holder of an A Share, B Share or D Share is entitled to vote at general meetings of the Company. The C Shares do not confer on the 
holders any right to vote at general meetings of the Company. Every holder of an A Share or B Share shall have one vote for each A Share or 
B Share held; and the D Shares entitle the holders to such number of votes (in aggregate) as is equal to 30% of the total votes to be cast, such 
votes being divided proportionately between the holders of such D shares being cast on such poll.
No dividends have been paid or proposed in 30 April 2016 or 30 April 2015.
Page Title at start: Content Section at start: Accrol Group Holdings plc / Annual Report and Accounts 2016 72
Directors
Peter Cheung (Executive Chairman)
Steve Crossley (Chief Executive Officer)
James Flude (Chief Financial Officer)
Joanne Lake (Independent Non-Executive Director)
Steve Hammett (Independent Non-Executive Director)
Secretary
Richard Almond
Registered office
Delta Building
Roman Road
Blackburn 
Lancashire
BB1 2LD
Registered number
9019496
Share capital
The Ordinary share capital of Accrol Group Holdings Limited plc is 
listed on AIM, a market operated by London Stock Exchange plc. 
The shares are listed under the trading ticker ACRL. The ISIN  
number is GB00BZ6VT592 and SEDOL number is BZ6VT59.
Registrars
Capita Asset Services
The Registry
34 Beckenham Road
Beckenham
Kent
BR3 4TU
Auditors
PricewaterhouseCoopers LLP
101 Barbirolli Square
Lower Mosley Street
Manchester
M2 3PW
Nominated advisor and broker
Zeus Capital Limited
82 King Street 
Manchester
M2 4WQ
41 Conduit Street 
London 
W1S 2YQ
Solicitors
Addleshaw Goddard LLP
100 Barbirolli Square
Manchester
M2 3AB
Company Information
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Company Information Page Title at start: Content Section at start: Accrol Group Holdings plc
Roman Road
Blackburn
Lancashire 
BB1 2LD
www.accrol.co.uk
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