REGISTERED NUMBER: |
Strategic Report, Directors' Report and |
Financial Statements for the Year Ended 31 March 2023 |
for |
Courier Logistics Limited |
REGISTERED NUMBER: |
Strategic Report, Directors' Report and |
Financial Statements for the Year Ended 31 March 2023 |
for |
Courier Logistics Limited |
Courier Logistics Limited (Registered number: 02958861) |
Contents of the Financial Statements |
for the Year Ended 31 March 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Directors' Report | 4 |
Report of the Independent Auditors | 6 |
Income Statement | 9 |
Other Comprehensive Income | 10 |
Balance Sheet | 11 |
Statement of Changes in Equity | 12 |
Cash Flow Statement | 13 |
Notes to the Cash Flow Statement | 14 |
Notes to the Financial Statements | 16 |
Courier Logistics Limited |
Company Information |
for the Year Ended 31 March 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
INDEPENDENT AUDITORS: |
Statutory Auditor |
68 Queen Street |
Sheffield |
South Yorkshire |
S1 1WR |
BANKERS: |
Unit 3 Carmel House |
49-63 Fargate |
Sheffield |
South Yorkshire |
S1 2HD |
SOLICITORS: |
Gray Court |
99 Saltergate |
Chesterfield |
South Yorkshire |
S40 1LD |
Courier Logistics Limited (Registered number: 02958861) |
Strategic Report |
for the Year Ended 31 March 2023 |
The directors present their strategic report for the year ended 31 March 2023. |
REVIEW OF BUSINESS |
The Directors are pleased to report that we achieved a net profit before tax of £1,076,423. |
The year as a whole has been challenging, the cost of living increased sharply during 2022 and remained high into 2023. The annual inflation rate reached 11.1% in October 2022, a 41 year high, and although it has dropped slightly since it remains at a level not seen for many years. |
As a result of the inflationary pressures, we have seen a number of our main input costs rise sharply. In particular, the cost of diesel increased to unprecedented levels, peaking in July 2022 when average pump prices were just below the £2.00 per litre mark. Fortunately, as a company, we have a mechanism in place to protect against fuel price changes through our "Fuel Surcharge Mechanism", which applies a variable surcharge to our collection charges based on the average diesel prices as per the Government Department for Business, Energy and Industrial Strategy. The application of this mechanism has helped to maintain our gross margin during this volatile trading period. |
Phase 3 (the final part) of our re-location plan was completed at the end of 2022, this now means that all our main services are provided from the same site in Dinnington. This consolidated site is significantly larger than our old sites, allowing for future growth and in addition will provide efficiencies due to the proximity of all the services. |
Despite the cost pressures experienced, the company's overall performance has been encouraging. We have already started to experience internal operating efficiencies due to the re-location and re-organisation of our operating activities, which has helped increase our profit margins. Furthermore, we have also experienced growth in our underlying customer volume which helped contribute to an increase in turnover of approximately 10% when compared to the previous financial year. |
There is no doubt that trading over the last couple of years has been hugely challenging, however, the company has successfully overcome the challenges it faced and the Directors are confident about what the future holds. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The main factor outside our control includes the actions of our competitors and government policy. Our senior management regularly review the competitive threats we face in order to identify the appropriate actions to be taken. |
The main factor within our control is how we are organised internally, and the recruitment, retention and training of staff with the appropriate skills. |
Courier Logistics Limited (Registered number: 02958861) |
Strategic Report |
for the Year Ended 31 March 2023 |
KEY PERFORMANCE INDICATORS |
We rely on the below indicators, together with other financial and non-financial key performance indicators to monitor the performance of the business. All indicators are reported and analysed regularly through the provision of management information and business reviews with senior personnel. |
unit | 2023 | 2022 |
Turnover | £ | 22,090,961 | 19,687,438 |
Turnover growth | % | 12.21 | 16.81 |
Gross profit margin | % | 23.08 | 19.94 |
Operating profit | £ | 1,038,875 | 741,554 |
Profit before tax | £ | 1,076,423 | 788,440 |
ON BEHALF OF THE BOARD: |
Courier Logistics Limited (Registered number: 02958861) |
Directors' Report |
for the Year Ended 31 March 2023 |
The directors present their report with the financial statements of the company for the year ended 31 March 2023. |
PRINCIPAL ACTIVITIES |
The principal activities of the company in the year under review were those of providing courier services. |
DIVIDENDS |
Interim dividends of £448,938 on the Ordinary £0.50 shares were paid during the year. |
The directors recommend that no final dividend be paid on these shares. |
No interim dividends were paid on the Ordinary B redeemable £0.05 shares. |
The directors recommend that no final dividend be paid on these shares. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
FINANCIAL INSTRUMENTS |
Objectives and policies |
During the year ended 31 March 2022 we continue to further establish and retain a strong financial position. This has arisen due to the successful application of stringent financial policies. |
Price risk, credit risk and cash flow risk |
The business' principal financial instruments comprise bank balances, loans, trade debtors and trade creditors. The main purpose of these instruments is to finance the business' operations. |
In respect of bank balances, the liquidity risk is managed by maintaining a balance between the continuity of funding and flexibility through the use of overdrafts at floating rates of interest. |
Loans comprise loans from financial institutions. The interest rates are variable and monthly repayments are fixed. The business manages the liquidity risk by ensuring that there are sufficient funds to meet the payments. |
Trade debtors are managed in respect of credit and cash flow risk by policies concerning the credit offered to customers and the regular monitoring of amounts outstanding for both time and credit limits. The amounts represented in the balance sheet are net of allowances for doubtful debts. |
Trade creditors' liquidity risk is managed by ensuring sufficient funds are available to meet amounts due. |
ENVIRONMENTAL MATTERS |
The directors recognise environmental protection as one of our guiding principles and a key component for sound business performance. We are committed to providing a quality service in a manner that ensures a safe and healthy workplace for our employees and minimises our potential impact on the environment. We will operate in compliance with all environmental legislation and will strive to use pollution prevention and environmental best practices in all areas of the business. We will maintain an environmental management system at all sites which will be reviewed on an annual basis to ensure continual improvement. |
Courier Logistics Limited (Registered number: 02958861) |
Directors' Report |
for the Year Ended 31 March 2023 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Directors' 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 elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss 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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Landin Wilcock & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Courier Logistics Limited |
Opinion |
We have audited the financial statements of Courier Logistics Limited (the 'company') for the year ended 31 March 2023 which comprise the Income Statement, Other 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 March 2023 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
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 Directors' Report, 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Courier Logistics Limited |
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 Directors' Report. |
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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
- minimal reliance was placed upon the operating effectiveness of internal controls in the design and performance of our substantive procedures; |
- discussions were held with management considering known or suspected non-compliance with laws, regulations and fraud; |
- journal entries were reviewed for any entries made outside the ordinary reporting process with particular emphasis on those with unusual account combinations, entries crediting revenue and those without specific descriptions; |
- management assumptions in their significant accounting estimates were challenged and scrutinised. |
There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. |
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. |
Report of the Independent Auditors to the Members of |
Courier Logistics 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 |
68 Queen Street |
Sheffield |
South Yorkshire |
S1 1WR |
Courier Logistics Limited (Registered number: 02958861) |
Income Statement |
for the Year Ended 31 March 2023 |
31/3/23 | 31/3/22 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Administrative expenses | ( |
) | ( |
) |
1,011,114 | 716,057 |
Other operating income |
OPERATING PROFIT | 5 |
Income from fixed asset investments |
Interest receivable and similar income |
1,091,607 | 800,124 |
Interest payable and similar expenses | 6 | ( |
) | ( |
) |
PROFIT BEFORE TAXATION |
Tax on profit | 7 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
Courier Logistics Limited (Registered number: 02958861) |
Other Comprehensive Income |
for the Year Ended 31 March 2023 |
31/3/23 | 31/3/22 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Courier Logistics Limited (Registered number: 02958861) |
Balance Sheet |
31 March 2023 |
31/3/23 | 31/3/22 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Stocks | 12 |
Debtors | 13 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 14 | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
15 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Capital redemption reserve | 21 |
Retained earnings | 21 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Courier Logistics Limited (Registered number: 02958861) |
Statement of Changes in Equity |
for the Year Ended 31 March 2023 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 April 2021 |
Changes in equity |
Purchase of own shares | (4 | ) | - | 4 | - |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2023 |
Courier Logistics Limited (Registered number: 02958861) |
Cash Flow Statement |
for the Year Ended 31 March 2023 |
31/3/23 | 31/3/22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Interest element of hire purchase payments paid |
( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of intangible fixed assets | ( |
) |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
Interest received |
Dividends received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans in year |
Loan repayments in year | ( |
) | ( |
) |
Capital repayments in year | ( |
) |
Share buyback | ( |
) |
(Repayment)/increase of other borrowings | ( |
) |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
121,936 |
Cash and cash equivalents at end of year |
2 |
4,109 |
39,181 |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Cash Flow Statement |
for the Year Ended 31 March 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31/3/23 | 31/3/22 |
£ | £ |
Profit before taxation |
Depreciation charges |
Loss/(profit) on disposal of fixed assets | ( |
) |
Finance costs | 15,184 | 11,684 |
Finance income | (52,732 | ) | (58,570 | ) |
1,229,369 | 847,923 |
Decrease/(increase) in stocks | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
(Decrease)/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: |
Year ended 31 March 2023 |
31/3/23 | 1/4/22 |
£ | £ |
Cash and cash equivalents | 4,109 | 39,181 |
Year ended 31 March 2022 |
31/3/22 | 1/4/21 |
£ | £ |
Cash and cash equivalents | 39,181 | 121,936 |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Cash Flow Statement |
for the Year Ended 31 March 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1/4/22 | Cash flow | changes | At 31/3/23 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 39,181 | (35,072 | ) | 4,109 |
39,181 | ( |
) | 4,109 |
Debt |
Finance leases | - | 7,397 | (47,997 | ) | (40,600 | ) |
Debts falling due |
within 1 year | (42,194 | ) | (1,367 | ) | - | (43,561 | ) |
Debts falling due |
after 1 year | (80,907 | ) | 43,561 | - | (37,346 | ) |
(123,101 | ) | 49,591 | (47,997 | ) | (121,507 | ) |
Total | (83,920 | ) | 14,519 | (47,997 | ) | (117,398 | ) |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements |
for the Year Ended 31 March 2023 |
1. | STATUTORY INFORMATION |
Courier Logistics Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Going concern |
The directors have reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements. |
Preparation of consolidated financial statements |
The financial statements contain information about Courier Logistics Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Significant judgements and estimates |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and evaluated and are based upon historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
Critical accounting judgements and key sources of estimation uncertainty |
The company regularly reviews and assesses the carrying value of its investments, intangible assets and debtors by monitoring profitability, cash flows and transactional activities in the relevant sectors. If there were any indication that the recoverability of such items had been materially impacted the company would recognise any such changes in the financial statements as necessary. |
New unlisted investments are initially valued at cost. Historic unlisted investments are valued and discounted on a minority shareholding basis. All unlisted investments are carried at fair value and assessed annually by the directors. |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover represents amounts chargeable, net of valued added tax, in respect of the sale of courier services and storage rent to customers. Revenue is recognised when services are rendered, goods are delivered or work is complete. |
Revenue from services is recognised when: |
- the company has transferred to a buyer the significant risks and rewards of ownership of the goods and services; |
- the company retains neither continuing management involvement to a degree usually associated with ownership nor effective control of the goods and services sold; |
- the amount of revenue can be measured reliably; |
- it is probable that the economic benefits associated with the transaction will flow to the company; |
- the costs to be incurred in respect of the transaction can be measured reliably; and |
- the stage of completion of the transaction at the balance sheet date can be measured reliably |
Amounts received in advance are recorded as accrued liabilities until services are rendered to customers or goods are delivered. |
Goodwill |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Leasehold improvements | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Tangible fixed assets are initially measured at cost. Subsequently, they are measured at cost less accumulated depreciation and impairment losses. |
Government grants |
Government grants relating to revenue expenditure are recognised in income on a systematic basis over the period in which the company recognises the related costs to which the grants are intended to compensate. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
Financial assets and financial liabilities are recognised when the company becomes party to the contractual provisions of the instrument. |
Financial assets |
Trade and other debtors |
Trade and other debtors are initially measured at the transaction price. Trade and other debtors are subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses. |
A provision for impairment of trade debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in profit and loss for the excess of the carrying value of the trade debtors over the future cash flows discounted using the original effective interest rate.Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in profit and loss. |
Investments |
Investments in non-convertible and non-puttable preference shares, or non-puttable ordinary shares, are measured at fair value through profit and loss. |
Financial liability and equity |
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the asset of the company after deducting all of its liabilities. |
Equity instruments |
Financial instruments classified as equity instruments are recognised at the fair value of the cash or other resources received or receivable, net of direct costs of issuing the equity instruments. |
Trade and other creditors |
Trade and other creditors are initially measured at the transaction price and subsequently measured at amortised cost, being the transaction price less any amounts settled. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
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 estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates 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. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the principal activities of the company. |
An analysis of turnover by class of business is given below: |
31/3/23 | 31/3/22 |
£ | £ |
4. | EMPLOYEES AND DIRECTORS |
31/3/23 | 31/3/22 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
31/3/23 | 31/3/22 |
Administration and support | 55 | 51 |
Sales, marketing and distribution | 101 | 104 |
31/3/23 | 31/3/22 |
£ | £ |
Directors' remuneration |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31/3/23 | 31/3/22 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Depreciation - assets on hire purchase contracts |
Loss/(profit) on disposal of fixed assets | ( |
) |
Goodwill amortisation |
Patents and licences amortisation |
Auditors' remuneration |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31/3/23 | 31/3/22 |
£ | £ |
Bank loan interest |
Factoring interest |
Hire purchase |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31/3/23 | 31/3/22 |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax |
Tax on profit |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31/3/23 | 31/3/22 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Expenses not deductible for tax purposes |
Income not taxable for tax purposes | ( |
) | ( |
) |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Increase in tax rates | - | 15,493 |
Total tax charge | 206,076 | 164,797 |
8. | DIVIDENDS |
31/3/23 | 31/3/22 |
£ | £ |
Ordinary shares of £0.50 each |
Interim |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
9. | INTANGIBLE FIXED ASSETS |
Patents |
and |
Goodwill | licences | Totals |
£ | £ | £ |
COST |
At 1 April 2022 |
Additions |
At 31 March 2023 |
AMORTISATION |
At 1 April 2022 |
Amortisation for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
Goodwill brought forward represents the goodwill acquired within a company that was acquired in 2018. The trade and assets of this company were subsequently hived up and the subsidiary remains dormant. Additions in the year represents an acquisition of a franchise fee and is amortised over a 3 year period. |
10. | TANGIBLE FIXED ASSETS |
Fixtures |
Leasehold | and | Motor | Computer |
improvements | fittings | vehicles | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 April 2022 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) | ( |
) |
At 31 March 2023 |
DEPRECIATION |
At 1 April 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) | ( |
) |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
Additions |
At 31 March 2023 |
DEPRECIATION |
Charge for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
11. | FIXED ASSET INVESTMENTS |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 April 2022 |
and 31 March 2023 | 39,185 |
NET BOOK VALUE |
At 31 March 2023 | 39,185 |
At 31 March 2022 | 39,185 |
Cost or valuation at 31 March 2023 is represented by: |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
Valuation in 2020 | - | 6,000 | 6,000 |
Valuation in 2018 | - | 3,000 | 3,000 |
Valuation in 2017 | - | 3,000 | 3,000 |
Valuation in 2016 | - | 3,750 | 3,750 |
Cost | 3 | 23,432 | 23,435 |
3 | 39,182 | 39,185 |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
11. | FIXED ASSET INVESTMENTS - continued |
If fixed asset investments had not been revalued they would have been included at the following historical cost: |
31/3/23 | 31/3/22 |
£ | £ |
Cost | 23,435 | 23,435 |
Fixed asset investments were valued on an open market basis on 31 March 2023 by the directors . |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Registered office: Unit 22-27 Kingfisher Way, Dinnington, Sheffield S25 3AF |
Nature of business: |
% |
Class of shares: | holding |
31/3/23 | 31/3/22 |
£ | £ |
Aggregate capital and reserves |
Registered office: Unit 22-27 Kingfisher Way, Dinnington, Sheffield S25 3AF |
Nature of business: |
% |
Class of shares: | holding |
31/3/23 | 31/3/22 |
£ | £ |
Aggregate capital and reserves |
12. | STOCKS |
31/3/23 | 31/3/22 |
£ | £ |
Stocks |
13. | DEBTORS |
31/3/23 | 31/3/22 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Other debtors |
Section 455 tax | 44,139 | 42,134 |
Directors' loan accounts | 440,525 | 406,288 |
Prepayments |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
13. | DEBTORS - continued |
31/3/23 | 31/3/22 |
£ | £ |
Amounts falling due after more than one year: |
Section 455 tax |
Other debtors | 659,476 | 616,976 |
Aggregate amounts |
Other debtors due over one year represent loan notes receivable. |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31/3/23 | 31/3/22 |
£ | £ |
Bank loans and overdrafts (see note 16) |
Hire purchase contracts (see note 17) |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Social security and other taxes |
VAT | 332,476 | 302,175 |
Factoring creditor |
Pension contributions due | 21,195 | 19,513 |
Wages due | 310 | 873 |
Accrued expenses |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
31/3/23 | 31/3/22 |
£ | £ |
Bank loans (see note 16) |
Hire purchase contracts (see note 17) |
16. | LOANS |
An analysis of the maturity of loans is given below: |
31/3/23 | 31/3/22 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
16. | LOANS - continued |
31/3/23 | 31/3/22 |
£ | £ |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Hire purchase contracts |
31/3/23 | 31/3/22 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Non-cancellable | operating leases |
31/3/23 | 31/3/22 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
18. | SECURED DEBTS |
The following secured debts are included within creditors: |
31/3/23 | 31/3/22 |
£ | £ |
Bank loans |
Hire purchase contracts | 40,600 | - |
Invoice finance | 248,533 | 421,714 |
The bank loan is secured by a debenture over the assets of the company. |
The invoice finance liability is secured against trade debts and a debenture over the assets of the company. |
The hire purchase liabilities are secured against the related assets. |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
19. | PROVISIONS FOR LIABILITIES |
31/3/23 | 31/3/22 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Other timing differences | (25,039 | ) | (20,931 | ) |
126,870 | 105,856 |
Deferred |
tax |
£ |
Balance at 1 April 2022 |
Provided during year |
Balance at 31 March 2023 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31/3/23 | 31/3/22 |
value: | £ | £ |
Ordinary | £0.50 | 74 | 74 |
Ordinary B redeemable | £0.05 | 5 | 5 |
79 | 79 |
The Ordinary B shares are redeemable. They are redeemable at £5 in total and carry no voting rights. The winding up value for redeemable preference shares is £5 in total. |
21. | RESERVES |
Retained earnings |
Represents all current and prior period retained profit and losses, net of dividends and transfers. |
Capital redemption reserve |
Represents all current and prior period purchase of own shares. |
22. | OTHER FINANCIAL COMMITMENTS |
A guarantee is in place, dated 12 September 2007, in favour of HM Revenue & Customs for £20,000. |
Courier Logistics Limited (Registered number: 02958861) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2023 |
23. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 31 March 2023 and 31 March 2022: |
31/3/23 | 31/3/22 |
£ | £ |
Balance outstanding at start of year |
Amounts advanced |
Amounts repaid | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
Balance outstanding at start of year |
Amounts repaid | ( |
) | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
Balance outstanding at start of year |
Amounts advanced |
Amounts repaid | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
24. | ULTIMATE CONTROLLING PARTY |
As at the year end date, the company was controlled by the directors who own 100% of the ordinary shares. |
Post year end, all the shares were acquired by Omnidynamic Group Limited, a company which is also controlled by the directors D Franey and I Crossley. |