REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
FOR |
HEWICKS HAULAGE LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
FOR |
HEWICKS HAULAGE LIMITED |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 5 |
Statement of Comprehensive Income | 8 |
Balance Sheet | 9 |
Statement of Changes in Equity | 10 |
Cash Flow Statement | 11 |
Notes to the Cash Flow Statement | 12 |
Notes to the Financial Statements | 13 |
HEWICKS HAULAGE LIMITED |
COMPANY INFORMATION |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
BUSINESS ADDRESS: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditor |
Fleming Court |
Leigh Road |
Eastleigh |
Southampton |
Hampshire |
SO50 9PD |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
STRATEGIC REPORT |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
The directors present their strategic report for the period 1 December 2020 to 31 January 2022. |
REVIEW OF BUSINESS, DEVELOPMENT AND PERFORMANCE |
The Company provides specialist liquids transport, traction and freight. The Company uses an established modern fleet of vehicles to provide these services throughout the United Kingdom and has a team of dedicated, highly qualified and experienced drivers with specialist knowledge and training in the handling of foodstuffs and feed products. |
The Directors consider the two main key performance indicators of the business to be turnover and profit. |
Turnover for the 14 month period to 31 January 2022 was £9,942,620 compared to £6,879,647 for the 12 months to 30 November 2020. This is a 23.9% increase when compared to annualised figures for the period. |
Profit for the 14 month period to 31 January 2022 was £344,059 compared to £267,097 for the 12 months to 30 November 2020. This is a 10.4% increase when compared to annualised figures for the period. |
The Company has seen an increase for its services in the period. Part of this increase can be explained by the effect caused by the lockdown period during the Covid 19 pandemic. During lockdown, there was a restriction on freight services, however once the United Kingdom came out of lockdown the company experienced the usual demand plus the backlog from the period when there were restrictions. |
During the period the Company invested in new fleet vehicles. The increase in the number of vehicles in the fleet enabled the Company to cope with the increased demand for services and as a result increased the turnover of the business. The Directors also believe that it is important to invest in new fleet vehicles on a regular basis so that the Company has a modern fleet and so that it can provide its customers with the best possible service. |
In addition to the key performance indicators above, the company also monitors revenue per vehicle and revenue per mile as well as costs per vehicle. The Directors keep these under review to ensure the whole fleet is working in the most efficient way. |
Subsequent to the year end the Company acquired 100% of Cave Liquid Haulage Limited. The trade, assets and liabilities of Cave Liquid Haulage Limited were hived up into the Company. This reorganisation will enable the Company to expand to different areas of the industry such as 'bulk liquids' and 'farm infrastructure' along with streamlining costs and overheads as one combined trading entity. |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
STRATEGIC REPORT |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The Directors consider that there are several principal risks to the Company: |
Financing |
The Company uses various financial instruments for financing, including bank loans, other loans and hire purchase contracts. The main purpose of these financial instruments is to provide financing for the investment in the fleet of haulage vehicles. The risk to the Company is the increased cost of borrowing. The Directors look to minimise this risk by taking out finance under fixed rate agreements. |
Experienced Drivers |
The industry in general has a shortage of experienced, high quality drivers. The Company needs to ensure that the drivers it uses are experienced and trained to the highest standard. The Directors of the company are very experienced within the industry and use this experience in the recruitment process to ensure the highest quality drivers are recruited. |
Transport Costs |
Transport costs are a significant proportion of cost of sales for the Company. The Company keeps these costs under constant review as any change in transport costs can have an impact on profitability of the Company. |
Covid 19 Pandemic |
The Covid 19 pandemic continues to pose a risk to the business through the potential for disruption and restrictions to haulage services. However, as the country learns to live and adapt to the effects of the pandemic, the Company expects the demand for haulage services to remain stable. |
BY ORDER OF THE BOARD: |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
REPORT OF THE DIRECTORS |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
The directors present their report with the financial statements of the company for the period 1 December 2020 to 31 January 2022. |
DIVIDENDS |
No dividends will be distributed for the period ended 31 January 2022. |
RESEARCH AND DEVELOPMENT |
Hewicks Haulage Limited has not directly undertaken any research and development activities. |
FUTURE DEVELOPMENTS |
Since the year end, Hewicks Haulage Limited has acquired a subsidiary company, Cave Liquid Haulage Limited, by way of a share for share exchange.The trade, assets and liabilities of Cave Liquid Haulage Limited have been hived up to Hewicks Haulage Limited. |
EVENTS SINCE THE END OF THE PERIOD |
Information relating to events since the end of the period is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 December 2020 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company 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; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Langdowns DFK Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
BY ORDER OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
HEWICKS HAULAGE LIMITED |
Opinion |
We have audited the financial statements of Hewicks Haulage Limited (the 'company') for the period ended 31 January 2022 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 January 2022 and of its profit for the period then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
HEWICKS HAULAGE LIMITED |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
As part of our audit planning procedures we identify the significant laws and regulations applicable to the company based upon our knowledge of the company, the industry in which it operates and from making enquiries with management. We consider those laws and regulations where non-compliance may have a material effect on the financial statements and those which have a direct impact on the financial statements. We identified that the most significant laws and regulations applicable during the year were compliance with the requirements of the Companies Act 2006 and compliance with regulations in connection with haulage and specialist liquids transportation. |
Audit procedures performed by the engagement team in relation to laws and regulations include making enquiries of management as to any known or suspected instances of non-compliance, maintaining awareness throughout the course of the audit as to any indications of instances of non-compliance and undertaking a review of the disclosures in the financial statements to supporting information and to disclosure checklists. |
We also consider areas that are at a higher risk of causing material misstatement in the financial statements due to irregularities, including those resulting from fraud and how such fraud may occur. We discuss with senior management the key controls in place to mitigate the risk of fraud and enquire as to whether they are aware of, or suspect, any fraudulent activities having taken place. |
Throughout the audit, we maintain an appropriate level of professional scepticism when provided with information and explanations. We consider the appropriateness of significant accounting journals that were processed during the year, assess the reasonableness of any significant accounting estimates and consider whether there were any indications of bias by management during the year that represents a risk of material misstatement due to fraud. We also carry out analytical procedures to identify any unusual or unexpected variances to expectations as these may be an indication of management over-ride or management bias. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Other matter |
The comparative figures of the company for the year ended 30 November 2020 were not audited. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
HEWICKS HAULAGE LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditor |
Fleming Court |
Leigh Road |
Eastleigh |
Southampton |
Hampshire |
SO50 9PD |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
STATEMENT OF COMPREHENSIVE INCOME |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
467,518 | 347,536 |
Other operating income |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
537,370 | 419,388 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 |
PROFIT FOR THE FINANCIAL PERIOD |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
BALANCE SHEET |
31 JANUARY 2022 |
2022 | 2020 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
CURRENT ASSETS |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
13 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 December 2019 |
Changes in equity |
Total comprehensive income | - |
Balance at 30 November 2020 |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - |
Bonus share issue | - | (98 | ) | (98 | ) |
Balance at 31 January 2022 |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
CASH FLOW STATEMENT |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Interest element of hire purchase payments paid |
( |
) |
( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Cash inflow from long term loans |
Loan repayments in year | ( |
) |
Capital repayments in year | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of period |
2 |
218,587 |
Cash and cash equivalents at end of period |
2 |
943,628 |
615,236 |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Profit before taxation |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Finance costs | 132,708 | 88,187 |
Finance income | - | (37 | ) |
1,774,105 | 1,327,233 |
Increase in trade and other debtors | ( |
) | ( |
) |
Increase in trade and other creditors |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Period ended 31 January 2022 |
31.1.22 | 1.12.20 |
£ | £ |
Cash and cash equivalents | 943,628 | 615,236 |
Year ended 30 November 2020 |
30.11.20 | 1.12.19 |
£ | £ |
Cash and cash equivalents | 615,236 | 218,587 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1.12.20 | Cash flow | changes | At 31.1.22 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 615,236 | 328,392 | 943,628 |
615,236 | 943,628 |
Debt |
Finance leases | (1,530,580 | ) | 1,358,105 | (1,611,315 | ) | (1,783,790 | ) |
Debts falling due |
within 1 year | (247,228 | ) | 163,478 | (195,653 | ) | (279,403 | ) |
Debts falling due |
after 1 year | (388,101 | ) | (402,510 | ) | 195,653 | (594,958 | ) |
(2,165,909 | ) | 1,119,073 | (1,611,315 | ) | (2,658,151 | ) |
Total | (1,550,673 | ) | 1,447,465 | (1,611,315 | ) | (1,714,523 | ) |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
1. | STATUTORY INFORMATION |
Hewicks Haulage Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
The financial statements cover the period 1 December 2020 to 31 January 2022. The company changed its accounting reference date to 31 January 2022 due to a reorganisation in the company and the acquisition of a 100% subsidiary from 1 February 2022. The comparatives are for the period 1 December 2019 to 30 November 2020. |
The company's principal place of business is Loft Farm, Cockfield, Bury St Edmunds, Suffolk, IP30 0LJ. |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The company prepares its financial statements under Financial Reporting Standard 102 (FRS 102) issued by the Financial Reporting Council. The previous financial statements, for the year ended 30 November 2020, were prepared in accordance with FRS 102 including the provisions of Section 1A "Small Entities". The current financial statements, for the period ended 31 January 2022, have been prepared in accordance with FRS 102, but not including the provisions of Section 1A "Small Entities" due to the current size of Hewicks Haulage Limited. |
Significant judgements and estimates |
In the application of the Company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and the underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
The company makes significant investment in tangible fixed assets due to the industry it is in. The company has to consider the estimated useful life and depreciation rates to ensure the value of the tangible fixed assets are written down each year at the most appropriate value. The directors have to consider the type of asset and use their considerable knowledge of the industry to set these policies. The directors keep these under review and assess the levels of profit or loss made on disposals of tangible fixed assets to consider if they are using the most appropriate rates. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover from the sale of goods is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Turnover from the sale of haulage services is recognised when the outcome of a transaction can be estimated reliably and is recognised by reference to the stage of completion at the balance sheet date. Stage of completion is measured by reference to the date the haulage service is provided. |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
3. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Equipment | - |
All fixed assets are initially recorded at cost. |
Government grants |
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the company will comply with conditions attaching to them and the grants will be received using the accrual model. |
Taxation |
Taxation for the period comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to the profit and loss account over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company contributes to a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Financial instruments |
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
3. | ACCOUNTING POLICIES - continued |
Debtors and creditors receivable / payable within one year |
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the Income Statement in administrative expenses. |
Provisions |
Provisions are recognised when the Company has a present legal or constructive obligation arising as a result of a past event, it is probable that an outflow of economic benefit will be required to settle the obligation and a reliable estimate can be made. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by class of business is given below: |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
5. | EMPLOYEES AND DIRECTORS |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the period was as follows: |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
Driver staff | 52 | 50 |
Admin staff | 10 | 9 |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
5. | EMPLOYEES AND DIRECTORS - continued |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
The key management personnel of Hewicks Haulage Limited are the board of directors. |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
Period | Year Ended |
1.12.20 | 30.11.20 |
to |
31.1.22 |
£ | £ |
Depreciation | 1,354,793 | 923,952 |
Profit on disposal of fixed assets | (118,058 | ) | (16,070 | ) |
Operating leases - land and buildings | 167,673 | 143,720 |
Auditors' remuneration | 10,000 | - |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Other interest payable |
Hire purchase |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the period was as follows: |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Deferred tax |
Tax on profit |
UK corporation tax has been charged at 19% . |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
8. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the period is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
1.12.20 |
to | Year Ended |
31.1.22 | 30.11.20 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2020 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Timing differences |
Tax losses carried forward |
Deferred tax | 60,603 | 64,104 |
Total tax charge | 60,603 | 64,104 |
9. | GOVERNMENT GRANTS |
During the period the company received government grant income, under the Coronavirus Job Retention Scheme, totalling £nil (2020: £28,330) and under Coronavirus Business Interruption Loan Scheme, totalling £26,482 (2020: £nil). |
10. | TANGIBLE FIXED ASSETS |
Improvements | Fixtures |
to | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 December 2020 |
Additions |
Disposals | ( |
) |
At 31 January 2022 |
DEPRECIATION |
At 1 December 2020 |
Charge for period |
Eliminated on disposal | ( |
) |
At 31 January 2022 |
NET BOOK VALUE |
At 31 January 2022 |
At 30 November 2020 |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
10. | TANGIBLE FIXED ASSETS - continued |
Motor |
vehicles | Equipment | Totals |
£ | £ | £ |
COST |
At 1 December 2020 |
Additions |
Disposals | ( |
) |
At 31 January 2022 |
DEPRECIATION |
At 1 December 2020 |
Charge for period |
Eliminated on disposal | ( |
) |
At 31 January 2022 |
NET BOOK VALUE |
At 31 January 2022 |
At 30 November 2020 |
The net book value of plant and machinery assets, included in the above, which are held under hire purchase contracts are £2,594,763 (2020: £2,103,012). |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2020 |
£ | £ |
Trade debtors |
Other debtors |
Prepayments and accrued income |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2020 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Other loans (see note 14) |
Hire purchase contracts (see note 15) |
Trade creditors |
Social security and other taxes |
VAT | 133,573 | 184,482 |
Other creditors |
Directors' current accounts | 427 | 427 |
Accruals and deferred income |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2022 | 2020 |
£ | £ |
Bank loans (see note 14) |
Other loans (see note 14) |
Hire purchase contracts (see note 15) |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
14. | LOANS |
An analysis of the maturity of loans is given below: |
2022 | 2020 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Other loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Other loans - 1-2 years | 139,431 |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
Other loans - 2-5 years |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans | - | 25,000 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Hire purchase contracts |
2022 | 2020 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Non-cancellable | operating leases |
2022 | 2020 |
£ | £ |
Within one year |
Between one and five years |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
16. | SECURED DEBTS |
The following secured debts are included within creditors: |
2022 | 2020 |
£ | £ |
Bank loans |
Other loans |
Hire purchase contracts | 1,783,790 | 1,530,580 |
Hire purchase contracts are secured over the assets acquired under the agreements. |
Other loans are secured by way of a Debenture and Fixed Charge. |
Bank loans are secured by way of a Mortgage of Chattels and a Debenture. |
Bank loans include £220,833 (2020: £250,000) borrowed under the Coronavirus Business Interruption Loan Scheme. The UK Government has provided the lender with a limited guarantee of up to 80% of the capital of the loan. |
17. | PROVISIONS FOR LIABILITIES |
2022 | 2020 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 350,908 | 290,305 |
Deferred |
tax |
£ |
Balance at 1 December 2020 |
Provided during period |
Balance at 31 January 2022 |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2020 |
value: | £ | £ |
Ordinary | £1 | 100 | 2 |
(2020 - 2 ) |
98 Ordinary shares of £1 were issued during the period |
Ordinary shares carry the right to one vote per share and are entitled to dividend and other distributions. |
19. | RESERVES |
Retained |
earnings |
£ |
At 1 December 2020 |
Profit for the period |
Bonus share issue | (98 | ) |
At 31 January 2022 |
HEWICKS HAULAGE LIMITED (REGISTERED NUMBER: 04314395) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1 DECEMBER 2020 TO 31 JANUARY 2022 |
20. | RELATED PARTY DISCLOSURES |
2022 | 2020 |
£ | £ |
Amount due to related party |
2022 | 2020 |
£ | £ |
Sales |
Purchases |
Wages paid | 1,487 | 1,854 |
Rent paid | 167,673 | 143,720 |
Interest paid | 76,399 | 43,767 |
Amount due to related party |
21. | POST BALANCE SHEET EVENTS |
Subsequent to the year end, on 1 February 2022, Cave Liquid Haulage Limited became a 100% subsidiary of Hewicks Haulage Limited and hived up all of its trade, assets and liabilities to Hewicks Haulage Limited. Cave Liquid Haulage Limited became a dormant company from 1 February 2022. Hewicks Haulage Limited acquired the shares in Cave Liquid Haulage Limited by way of a share for share exchange. |