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Annual report and accounts for the year ended 25 March 2023

15. Interests in JVs and associates

15. Interests in JVs and associates banner image

15. Interests in JVs and associates

The Group has an interest in an associated company and two joint ventures as follows:

Holding
%		Class of
capital
Associated companies:
Fabsec Limited — Development of fire beam25.0Ordinary
Joint ventures:
JSW Severfield Structures Limited — Structural steelwork serving the Indian market50.0Ordinary
Construction Metal Forming Limited — Manufacturer of cold rolled metal products50.0Ordinary

In 2008 a formal agreement was signed in India with JSW Building Systems Limited (a subsidiary of JSW Steel Limited of India) to form a 50/50 joint venture, JSW Severfield Structures Limited, to create a structural steelwork business in Bellary and Mumbai, India, primarily serving the Indian market.

The Group did not make any further investments in either CMF Limited, JSW Severfield Structures Limited, or Fabsec Limited during the year (2022: £nil).

Goodwill
£000		Share of net
assets/
(liabilities)
£000		Total
£000
At 28 March 20215,32623,46428,790
Profit retained–1,3461,346
At 27 March 20225,32624,81030,136
Profit retained–1,8981,898
Deferred tax adjustments–(250)(250)
At 25 March 20235,32626,45831,784

The Group's share of the retained profit for the year of JVs and associates is made up as follows:

Share of resultsFabsec
Limited
£000		JSW Severfield
Structures Limited
£000		CMF
Limited
£000		Total
£000
2023–1,3155831,898
2022–7965501,346

Summarised financial information in respect of the Group's JVs and associates is as follows:

Fabsec
Limited
£000		JSW Severfield
Structures Limited
£000		CMF
Limited
£000		2023
£000		2022
£000
Current assets1,372110,56810,627122,567103,316
Non-current assets127,3289,05136,38032,989
Current liabilities(15)(100,306)(7,375)(107,696)(93,021)
Non-current liabilities(2,239)(1,107)(3,248)(6,594)(5,228)
Net assets(881)36,4839,05544,65738,056
Group's share of net (liabilities)/assets(220)18,2424,52822,55019,274
Goodwill––5,3265,3265,326
Investment––2,4442,4442,444
Impact of foreign exchange on share of net assets–671–6712,454
Accounting policy alignment22055221793638
Carrying amount of interest in JVs and associates–19,46512,31931,78430,136
Revenue196137,74940,626178,571135,883
Depreciation and amortisation(1)(2,271)(96)(2,368)(1,677)
Net finance expense–(5,121)(387)(5,508)(3,349)
Taxation–(951)(272)(1,223)(561)
Profit after tax542,6311,1663,8512,770
Group's share of profit after tax–1,3155831,8981,346

There were no contingent liabilities or capital commitments (2022: none) associated with the Group's JVs and associates.