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COMPANY REGISTRATION NUMBER: 706392
EDWARDES BROS. (DULWICH) LIMITED
FINANCIAL STATEMENTS
31 March 2023
EDWARDES BROS. (DULWICH) LIMITED
FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2023
Contents
Pages
Officers and professional advisers
1
Strategic report
2
Directors' report
3 to 4
Independent auditor's report to the members
5 to 8
Statement of comprehensive income
9
Statement of financial position
10
Statement of changes in equity
11
Statement of cash flows
12
Notes to the financial statements
13 to 21
EDWARDES BROS. (DULWICH) LIMITED
OFFICERS AND PROFESSIONAL ADVISERS
The board of directors
C J Buxton
J L Edwardes
R L J Edwardes
M D Edwardes
E C C Li
Company secretary
C J Buxton
Registered office
Edwardes Bros. (Dulwich) Limited
Suite One
677 Princes Road
Dartford
Kent
DA2 6EF
Auditor
Opass Billings Wilson & Honey LLP
Chartered Certified Accountants & statutory auditor
Numeric House
98 Station Road
Sidcup
Kent
DA15 7BY
Bankers
National Westminster Bank Plc
5 The Mall
London Road
Swanley
Kent
BR8 7YZ
Solicitors
Judge & Priestley LLP
100 Station Road
Sidcup
Kent
DA15 7DT
EDWARDES BROS. (DULWICH) LIMITED
STRATEGIC REPORT
YEAR ENDED 31 MARCH 2023
Strategic Management The objective of the company is to be the largest electrical wholesaler in the South East of England. To achieve this objective the company stocks over 16,000 quality electrical products across 3 branches, together with a fleet of 12 delivery vans, servicing the South East of England. The company's personnel have a wealth of experience and knowledge in the products they sell and are dedicated to providing an excellent service.
Business Environment The sector the company operates in remains competitive due to the increasing raw materials costs. As a member of a large buying group this allows the company to purchase electrical products at discounted prices and remain competitive. The company is subjected to potential liquidity risks due to customers defaulting on their credit terms, however the risks are minimised by careful management and insuring all debts. To reduce any liquidity risks the company uses the services of an invoice discounting company and this helps the company to maintain positive liquidity and working capital ratios.
Key Performance Indicators The board regularly monitors the performance of the company and the items below are considered to be the company's key performance indicators. 1. Gross Profit Percentage The Gross Profit Percentage achieved in 2023 was 21.82% and in 2022 was 23.17%. The board is satisfied with this result given the current challenging economic environment. 2. Current Ratio The ratio of current assets to current liabilities at 31 March 2023 was 2.27 and at 31 March 2022 it was 2.21. The board is satisfied with this result. 3. Debtor Days The average debtors collection period for the year ending 31 March 2023 was 32 days and 31 March 2022 was 35 days. This result is inline with the directors' expectations.
This report was approved by the board of directors on 5 October 2023 and signed on behalf of the board by:
C J Buxton
Company Secretary
EDWARDES BROS. (DULWICH) LIMITED
DIRECTORS' REPORT
YEAR ENDED 31 MARCH 2023
The directors present their report and the financial statements of the company for the year ended 31 March 2023 .
Directors
The directors who served the company during the year were as follows:
C J Buxton
J L Edwardes
R L J Edwardes
M D Edwardes
E C C Li
Dividends
The directors do not recommend the payment of a dividend.
Future developments
The Company's objective is to maintain its current position in the market place.
Directors' responsibilities statement
The directors are responsible for preparing the strategic report, 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). 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 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 judgments 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. Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
This report was approved by the board of directors on 5 October 2023 and signed on behalf of the board by:
C J Buxton
Company Secretary
EDWARDES BROS. (DULWICH) LIMITED
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EDWARDES BROS. (DULWICH) LIMITED
YEAR ENDED 31 MARCH 2023
Opinion
We have audited the financial statements of Edwardes Bros. (Dulwich) Limited (the 'company') for the year ended 31 March 2023 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, statement of cash flows and the related notes, 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 FRS 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; - 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 auditor's 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
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 in relation to which 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 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, and for such internal control as the directors determine is 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.
Auditor's 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 an auditor’s report 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: We identify and assess the key risk areas of material misstatement and then design and perform audit procedures in relation to those risks. Materiality has been calculated based on a percentage of the income and has been assessed at a level of £75,000. The key risk areas were considered to be the level of stock, stock existence and the valuations of stock provision used by the company to write off obsolete stock, trade debtors and rebates due at the balance sheet date. The appropriate audit approach was considered and applied to each of these areas. We performed analytical procedures to identify any unusual or unexpected ratios or variances that may indicate risks of material misstatement due to fraud. We reviewed the financial statement disclosures and assessed compliance with relevant laws and regulations. Irregularities which result from fraud are inherently more difficult to detect than irregularities which result from error, however there have never been any instances of fraud encountered with the company and there are controls in place through the segregation of duties and regular reviews of management accounts which reduce the risk of fraud through management override. In addition we have also considered any transactions which are outside the normal course of the company. All audit team members were made aware of the relevant laws & regulations applicable to the company together with potential fraud risks and remained alert to any indications of fraud non compliance with the laws & regulations throughout the audit. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Philip Benson Woodman FCCA
(Senior Statutory Auditor)
For and on behalf of
Opass Billings Wilson & Honey LLP
Chartered Certified Accountants & statutory auditor
Numeric House
98 Station Road
Sidcup
Kent
DA15 7BY
5 October 2023
EDWARDES BROS. (DULWICH) LIMITED
STATEMENT OF COMPREHENSIVE INCOME
YEAR ENDED 31 MARCH 2023
2023
2022
Note
£
£
Turnover
4
14,340,982
12,727,386
Cost of sales
11,212,025
9,778,392
--------------
--------------
Gross profit
3,128,957
2,948,994
Administrative expenses
2,606,816
2,416,919
Other operating income
5
87,294
------------
------------
Operating profit
6
522,141
619,369
Other interest receivable and similar income
10
11,720
211
Interest payable and similar expenses
11
4,882
4,339
------------
------------
Profit before taxation
528,979
615,241
Tax on profit
12
110,011
113,683
----------
----------
Profit for the financial year and total comprehensive income
418,968
501,558
----------
----------
All the activities of the company are from continuing operations.
EDWARDES BROS. (DULWICH) LIMITED
STATEMENT OF FINANCIAL POSITION
31 March 2023
2023
2022
Note
£
£
£
Fixed assets
Tangible assets
13
277,773
204,368
Current assets
Stocks
14
2,272,578
2,159,376
Debtors
15
1,563,705
1,392,570
Cash at bank and in hand
2,308,042
2,018,594
------------
------------
6,144,325
5,570,540
Creditors: amounts falling due within one year
16
2,706,491
2,515,052
------------
------------
Net current assets
3,437,834
3,055,488
------------
------------
Total assets less current liabilities
3,715,607
3,259,856
Creditors: amounts falling due after more than one year
17
26,670
14,388
Provisions
Taxation including deferred tax
19
45,241
20,740
------------
------------
Net assets
3,643,696
3,224,728
------------
------------
Capital and reserves
Called up share capital
23
25,000
25,000
Profit and loss account
24
3,618,696
3,199,728
------------
------------
Shareholders funds
3,643,696
3,224,728
------------
------------
These financial statements were approved by the board of directors and authorised for issue on 5 October 2023 , and are signed on behalf of the board by:
C J Buxton
Director
Company registration number: 706392
EDWARDES BROS. (DULWICH) LIMITED
STATEMENT OF CHANGES IN EQUITY
YEAR ENDED 31 MARCH 2023
Called up share capital
Profit and loss account
Total
£
£
£
At 1 April 2021
25,000
2,698,170
2,723,170
Profit for the year
501,558
501,558
--------
------------
------------
Total comprehensive income for the year
501,558
501,558
At 31 March 2022
25,000
3,199,728
3,224,728
Profit for the year
418,968
418,968
--------
------------
------------
Total comprehensive income for the year
418,968
418,968
--------
------------
------------
At 31 March 2023
25,000
3,618,696
3,643,696
--------
------------
------------
EDWARDES BROS. (DULWICH) LIMITED
STATEMENT OF CASH FLOWS
YEAR ENDED 31 MARCH 2023
2023
2022
£
£
Cash flows from operating activities
Profit for the financial year
418,968
501,558
Adjustments for:
Depreciation of tangible assets
61,311
65,249
Government grant income
( 87,294)
Other interest receivable and similar income
( 11,720)
( 211)
Interest payable and similar expenses
4,882
4,339
Gains on disposal of tangible assets
( 19,851)
Tax on profit
110,011
113,683
Accrued expenses
34,388
4,260
Changes in:
Stocks
( 113,202)
( 274,059)
Trade and other debtors
( 171,135)
( 289,210)
Trade and other creditors
208,618
315,486
----------
----------
Cash generated from operations
542,121
333,950
Interest paid
( 4,882)
( 4,339)
Interest received
11,720
211
Tax paid
( 121,426)
( 101,573)
----------
----------
Net cash from operating activities
427,533
228,249
----------
----------
Cash flows from investing activities
Purchase of tangible assets
( 134,716)
( 57,176)
Proceeds from sale of tangible assets
42,074
----------
----------
Net cash used in investing activities
( 134,716)
( 15,102)
----------
----------
Cash flows from financing activities
Government grant income
87,294
Payments of finance lease liabilities
( 3,369)
( 11,175)
----------
----------
Net cash (used in)/from financing activities
( 3,369)
76,119
----------
----------
Net increase in cash and cash equivalents
289,448
289,266
Cash and cash equivalents at beginning of year
2,018,594
1,729,328
------------
------------
Cash and cash equivalents at end of year
2,308,042
2,018,594
------------
------------
EDWARDES BROS. (DULWICH) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2023
1. General information
The company is a private company limited by shares, registered in England & Wales. The address of the registered office is Edwardes Bros. (Dulwich) Limited, Suite One, 677 Princes Road, Dartford, Kent, DA2 6EF.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through the statement of comprehensive income. The financial statements are prepared in sterling, which is the functional currency of the entity.
Debtors
Debtors are initially recorded at fair value and are assessed for impairment at each year end date. If any impairments exist the debtors are re-measured to the present value of the expected future cash inflows
Creditors
Creditors are initially recorded at fair value and are then re-measured to the present value of the expected future cash outflows.
Judgements and key sources of estimation uncertainty
There are no significant estimates or assumptions made that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
Revenue recognition
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Income tax
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. 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. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Leasehold property
-
10% straight line
Plant and machinery
-
25% reducing balance
Fixtures and fittings
-
25% reducing balance
Motor vehicles
-
25% reducing balance
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to sell on a FIFO basis. Cost includes all costs of purchase less any discounts and rebates.
Finance leases and hire purchase contracts
Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.
Government grants
Government grants are recognised using the accrual model. Under the accrual model, government grants relating to revenue are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support to the entity with no future related costs are recognised in income in the period in which it becomes receivable.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in the statement of comprehensive income unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in the statement of comprehensive income in the period it arises
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.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
4. Turnover
Turnover arises from:
2023
2022
£
£
Sale of goods
14,340,982
12,727,386
--------------
--------------
The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.
5. Other operating income
2023
2022
£
£
Government grant income
87,294
----
--------
6. Operating profit
Operating profit or loss is stated after charging/crediting:
2023
2022
£
£
Depreciation of tangible assets
61,311
65,249
Gains on disposal of tangible assets
( 19,851)
Impairment of trade debtors
3,154
1,659
--------
--------
Operating profit or loss is the profit or loss from business operations before deduction of interest and taxes.
7. Auditor's remuneration
2023
2022
£
£
Fees payable for the audit of the financial statements
12,000
12,000
--------
--------
8. Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
2023
2022
No.
No.
Management staff
5
5
Number of staff
36
34
----
----
41
39
----
----
The aggregate payroll costs incurred during the year, relating to the above, were:
2023
2022
£
£
Wages and salaries
1,495,144
1,489,883
Social security costs
165,955
153,807
Other pension costs
30,139
25,070
------------
------------
1,691,238
1,668,760
------------
------------
9. Directors' remuneration
The directors' aggregate remuneration in respect of qualifying services was:
2023
2022
£
£
Remuneration
378,056
361,056
----------
----------
Remuneration of the highest paid director in respect of qualifying services:
2023
2022
£
£
Aggregate remuneration
87,800
82,800
--------
--------
10. Other interest receivable and similar income
2023
2022
£
£
Interest on cash and cash equivalents
11,720
211
--------
----
11. Interest payable and similar expenses
2023
2022
£
£
Interest on obligations under finance leases and hire purchase contracts
4,779
4,304
Other interest payable and similar charges
103
35
-------
-------
4,882
4,339
-------
-------
12. Tax on profit
Major components of tax expense
2023
2022
£
£
Current tax:
UK current tax expense
85,510
121,426
Deferred tax:
Origination and reversal of timing differences
24,501
( 7,743)
----------
----------
Tax on profit
110,011
113,683
----------
----------
Reconciliation of tax expense
The tax assessed on the profit on ordinary activities for the year is higher than (2022: lower than) the standard rate of corporation tax in the UK of 19 % (2022: 19 %).
2023
2022
£
£
Profit on ordinary activities before taxation
528,979
615,241
----------
----------
Profit on ordinary activities by rate of tax
100,506
116,896
Effect of expenses not deductible for tax purposes
( 15,812)
( 394)
Effect of capital allowances and depreciation
816
4,924
Effect of deferred tax
24,501
( 7,743)
----------
----------
Tax on profit
110,011
113,683
----------
----------
13. Tangible assets
Land and buildings
Plant and machinery
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2022
31,046
200,115
100,252
388,798
720,211
Additions
9,582
774
1,002
123,358
134,716
--------
----------
----------
----------
----------
At 31 March 2023
40,628
200,889
101,254
512,156
854,927
--------
----------
----------
----------
----------
Depreciation
At 1 April 2022
20,446
170,605
96,764
228,028
515,843
Charge for the year
2,906
7,459
949
49,997
61,311
--------
----------
----------
----------
----------
At 31 March 2023
23,352
178,064
97,713
278,025
577,154
--------
----------
----------
----------
----------
Carrying amount
At 31 March 2023
17,276
22,825
3,541
234,131
277,773
--------
----------
----------
----------
----------
At 31 March 2022
10,600
29,510
3,488
160,770
204,368
--------
----------
----------
----------
----------
Finance leases and hire purchase contracts
Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:
Motor vehicles
£
At 31 March 2023
92,989
--------
At 31 March 2022
115,283
----------
14. Stocks
2023
2022
£
£
Finished goods and goods for resale
2,272,578
2,159,376
------------
------------
15. Debtors
2023
2022
£
£
Trade debtors
1,261,695
1,206,858
Prepayments and accrued income
145,647
94,552
Other debtors
156,363
91,160
------------
------------
1,563,705
1,392,570
------------
------------
16. Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
2,307,522
1,924,097
Accruals and deferred income
100,652
66,264
Corporation tax
85,510
121,426
Social security and other taxes
106,819
130,524
Obligations under finance leases and hire purchase contracts
24,214
39,865
Other creditors
81,774
232,876
------------
------------
2,706,491
2,515,052
------------
------------
17. Creditors: amounts falling due after more than one year
2023
2022
£
£
Obligations under finance leases and hire purchase contracts
26,670
14,388
--------
--------
Hire purchase agreements are secured over the company's motor vehicles.
18. Finance leases and hire purchase contracts
The total future minimum lease payments under finance leases and hire purchase contracts are as follows:
2023
2022
£
£
Not later than 1 year
24,214
39,865
Later than 1 year and not later than 5 years
26,670
14,388
--------
--------
50,884
54,253
--------
--------
19. Provisions
Deferred tax (note 20)
£
At 1 April 2022
20,740
Additions
24,501
--------
At 31 March 2023
45,241
--------
20. Deferred tax
The deferred tax included in the statement of financial position is as follows:
2023
2022
£
£
Included in provisions (note 19)
45,241
20,740
--------
--------
The deferred tax account consists of the tax effect of timing differences in respect of:
2023
2022
£
£
Accelerated capital allowances
45,241
20,740
--------
--------
21. Employee benefits
Defined contribution plans
The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 30,139 (2022: £ 25,070 ).
22. Government grants
The amounts recognised in the financial statements for government grants are as follows:
2023
2022
£
£
Recognised in other operating income:
Government grants recognised directly in income
87,294
----
--------
23. Called up share capital
Issued, called up and fully paid
2023
2022
No.
£
No.
£
Ordinary shares of £ 1 each
25,000
25,000
25,000
25,000
--------
--------
--------
--------
24. Reserves
Profit and loss account - This reserve records retained earnings and accumulated losses.
25. Analysis of changes in net debt
At 1 Apr 2022
Cash flows
At 31 Mar 2023
£
£
£
Cash at bank and in hand
2,018,594
289,448
2,308,042
Debt due within one year
(39,865)
15,651
(24,214)
Debt due after one year
(14,388)
(12,282)
(26,670)
------------
----------
------------
1,964,341
292,817
2,257,158
------------
----------
------------
26. Operating leases
The total future minimum lease payments under non-cancellable operating leases are as follows:
2023
2022
£
£
Not later than 1 year
238,818
15,666
Later than 1 year and not later than 5 years
872,857
------------
--------
1,111,675
15,666
------------
--------
27. Controlling party
There is no one controlling party that controlled the company throughout the current and previous period.