REGISTERED NUMBER: 03475627 (England and Wales) |
Randalls (Holdings) Limited |
Group Strategic Report, |
Report of the Directors and |
Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
REGISTERED NUMBER: 03475627 (England and Wales) |
Randalls (Holdings) Limited |
Group Strategic Report, |
Report of the Directors and |
Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 8 |
Consolidated Income Statement | 12 |
Consolidated Other Comprehensive Income | 13 |
Consolidated Statement of Financial Position | 14 |
Company Statement of Financial Position | 15 |
Consolidated Statement of Changes in Equity | 16 |
Company Statement of Changes in Equity | 17 |
Consolidated Statement of Cash Flows | 18 |
Notes to the Consolidated Statement of Cash Flows | 19 |
Notes to the Consolidated Financial Statements | 20 |
Randalls (Holdings) Limited |
Company Information |
for the Year Ended 31 March 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
& Statutory Auditors |
Highdale House |
7 Centre Court |
Treforest Industrial Estate |
Pontypridd |
Rhondda Cynon Taff |
CF37 5YR |
Randalls (Holdings) Limited (Registered number: 03475627) |
Group Strategic Report |
for the Year Ended 31 March 2023 |
The directors present their strategic report of the company and the group for the year ended 31 March 2023. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Group Strategic Report |
for the Year Ended 31 March 2023 |
REVIEW OF BUSINESS |
The annexed financial statements indicate the results for the year along with the financial standing and accounting details of the company. |
Randalls Holdings Limited |
The company is the parent company of a group of companies, which includes four trading companies, to which it provides management consultancy services. |
Randalls Civils Limited |
The company continues to operate as a building contractor and consultant to the commercial sector for projects such as care homes, factories and housing associations within South Wales. The workload of the company is dependant on the release of projects by the main building contractors within South Wales. |
The company had continued to secure new contracts as well as safely and efficiently deliver their existing contracts. |
The company's key performance indicator of the effectiveness of its operations is gross profit margin, the directors continue to improve efficiencies within the company where possible. |
2023 | 2022 | 2021 |
Turnover | £15,013,390 | £12,487,700 | £8,914,363 |
Turnover Growth | 20.23% | 40.09% | 51.47% |
Gross profit margin | 15.20% | 11.19% | 16.67% |
Net profit margin | 4.42% | 2.34% | 1.94% |
The long term goal of the company is to increase turnover and profitability whilst maintaining its reputation and financial decision making. The company's management team continue to monitor the wider economic climate and respond proactively. |
Randalls (Groundworks) Limited |
The company continues to operate as a groundwork contractor to major UK house builders within the South Wales region. The company saw revenue increase by 27.24% to £17.4m (2022: £13.7m). The company has also seen a return of the gross profit margin to pre pandemic levels. During the year, the company had been awarded new contracts with an average length of three years. The company continues to successfully tender for new contracts post year end. |
The company continued to employ strong personnel with reputable backgrounds, this policy along with other business strategies taken by the directors, ensured that the company has a strong platform to build upon. It is in the view of the directors that the company ended the year with the necessary structure and resources to continue. |
The company's key performance indicators of the effectiveness of its operations is both the gross and net profit margin, the directors continues to improve efficiencies within the company. |
2023 | 2022 | 2021 |
Turnover | £17,394,004 | £13,699,964 | £9,650,633 |
Turnover growth | 27.24% | 41.65% | (53.74% | ) |
Gross profit margin | 9.02% | 8.71% | 0.06% |
Profit before tax | £528,116 | £267,137 | £82,754 |
The long term goal of the company is to increase turnover and profitability whilst maintaining its reputation and financial decision making. The company has continued to invest within the group, with investment in fixed assets, its employees, training and improvement of IT systems, this approach as resulted in an increase in the company's net profit margin |
The company has maintained a strong balance sheet, with cash reserves healthy at all times. Bad debt is very low, and risk is subsequently a lot lower than the construction industry as a whole, due to reputable client base and the company's business plan. |
RGW Plant Limited |
RGW Plant Limited operates as a hire company, providing equipment and vehicles to the operating subsidiaries within the group. The company continually monitors group requirements for plant and machinery and vehicles and invests in the fleet accordingly. The liquidity and reserves of the company are both strong. Together with good relationships with suppliers, this puts the company in an excellent position to make the most of business opportunities that arise in the new financial year. |
Randalls Properties Limited |
Randalls Properties Limited was inactive during the year. |
Randalls Resources Limited |
Randalls Resources Limited was dormant during the year. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Group Strategic Report |
for the Year Ended 31 March 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group operates in a highly competitive market which is a continuing risk to the group and could result in losing sales to its key competitors. The group manages this risk by focusing on quality of service. |
The group principle financial instruments comprise of bank balances, bank overdrafts, trade creditors, trade debtors, loans to the company and finance lease agreements. The group does not use derivative financial instruments for speculative purposes. |
The group principal financial assets are bank balances, cash, trade and other receivables. |
The group credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. The group has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers. |
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the group uses a mixture of long term equity and short term debt finance and a mixture of factoring facilities and bank overdraft funding. |
The directors are optimistic about the future prospects of the group as the much publicised shortage of housing in the country ensures demand for our services. |
Labour shortages - the industry has experienced a record number of labour shortages and as such, is continuously high on the company's risk register. We have managed to deliver our services in line with client requirements, even through times of difficult recruitment periods. The group has a low turnover of staff in management positions, which maintains consistency in our workforce. |
Inflation and material increases - consumer price inflation has continually increased, and like other sectors has hit the cost of materials, goods and services. The company has continued to negotiate terms and prices with supply chain and procured in bulk for economies of scale to reduce costs on high usage materials. The company's long term contracts have consumer price inflation increases built in and as such have worked with clients to apply these appropriately across the contracts. Any new contracts have been priced appropriately and where approvals are taking longer than expected, have been re-priced appropriately in line with the period inflation. |
The directors are confident that the group has sufficient working capital to fund the business during these uncertain times. |
RESEARCH AND DEVELOPMENT |
The company is currently undertaking research and development to improve and develop on groundwork activities within the sector. |
ON BEHALF OF THE BOARD: |
Randalls (Holdings) Limited (Registered number: 03475627) |
Report of the Directors |
for the Year Ended 31 March 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 March 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of a groundwork contractor and consultants. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 March 2023 will be £ 725,000 . |
FUTURE DEVELOPMENTS |
The board of directors and the senior management team have collectively implemented initiatives to achieve a sustainable future for the group. The directors continue to monitor each group company individually and also at group to level to ensure decisions made are beneficial for each of the companies and also the group as a whole. |
We are confident that this multi-faceted approach to improve the businesses will place the group in a sustainable position for the future. |
Randalls Civils Limited |
The company actively tenders for development contracts and continues to be successful in being awarded new contracts. The company continues to invest in IT systems and its workforce. |
Randalls (Groundworks) Limited |
The company actively tenders for housing development contracts and continues to be successful in being awarded new contracts post year end. The company continues to invest in IT systems and also in its workforce. |
The board of directors and the senior management team have collectively implemented initiatives to achieve a sustainable future for the business. Whilst the Covid-19 pandemic did have a clear impact upon the business we have taken decisive action to reduce our cost base, to reduce our capital expenditure and reduce the effect of revenue downturn on our cash flow. We have taken action in relation to liquidity, funding and financial risk management to ensure the company is well positioned to manage during any period of uncertainty. We have also effectively put in place rigorous new procedures and policies to allow works to continue in a safe and efficient manner. The actions that we have taken provide a solid foundation and the directors are confident of continued successful growth.. |
RGW Plant Limited |
The directors continue to review the requirements to hire plant and equipment and vehicles to its fellow group companies and in doing so adjust the company's assets accordingly. |
Randalls Properties Limited |
The company will remain dormant for the foreseeable future. |
Randalls Resources Limited |
The company will remain dormant for the foreseeable future. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Report of the Directors |
for the Year Ended 31 March 2023 |
FINANCIAL INSTRUMENTS |
The group's principal financial instruments comprise of bank balances, bank overdrafts, factoring facilities, trade creditors, trade debtors, loans to the company and finance lease agreements. The main purpose of these instruments is to raise funds for the company's operations and to finance the company's operations. |
Due to the nature of the financial instruments used by the group there is no exposure to price risk. The group's approach to managing other risks applicable to the financial instruments concerned is shown below. |
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. |
In respect of loans, these comprise loans from directors and bank loans. The interest rates on the directors loans are variable and repayable on demand. The interest on the bank loan is variable and the loan is repayable on demand. |
The group is a lessee in respect of finance leased assets. The group manages the liquidity risk by ensuring 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 group factors its debtors. |
Trade creditors liquidity risk is managed by ensuring sufficient funds are available to meet amounts due. |
EMPLOYMENT POLICIES |
Group companies adopt employment policies best suited to their operations and in compliance with UK legislation. Personnel policies are designed to provide equal opportunities to all in accordance with the group policy. In particular, the employment of those who have become disabled is continued wherever possible and opportunities are provided for the recruitment, training and development of disabled people. |
Directors and senior management are directly involved in regular management meetings in relation to the relevant companies and are therefore informed of the companies' activities and development. As a management team, they are responsible for the involvement and consultation of their relevant staff. |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DISCLOSURE IN THE STRATEGIC REPORT |
Information relating to the group's exposure to key risks is given in the group's strategic report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group 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), 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group'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 group's auditors are aware of that information. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Report of the Directors |
for the Year Ended 31 March 2023 |
AUDITORS |
The auditors, Xeinadin Audit Limited, 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 |
Randalls (Holdings) Limited |
Opinion |
We have audited the financial statements of Randalls (Holdings) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, 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 group's and of the parent company affairs as at 31 March 2023 and of the group's 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 group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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 |
Randalls (Holdings) Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page six, 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Randalls (Holdings) Limited |
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: |
In identifying and assessing risks of material misstatement in respect of irregularities including fraud and non-compliance with laws and regulations we have considered the following: |
- | The nature of the industry and sector, control environment and business performance including the company's |
performance targets and tenders for new contracts; |
- | Results of the enquiries of management about their own identification and assessment of the risks of |
irregularities; |
- | Any matters we have identified having obtained and reviewed the company's documentation of their |
policies and procedures relating to: |
-- | identifying, evaluating and complying with laws and regulations and whether they were aware of any |
instances of noncompliance; |
-- | detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected |
or alleged fraud; |
-- | the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; |
-- | the matters discussed among the audit engagement team regarding how and where fraud might occur in |
the financial statements and any potential indicators of fraud. |
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: timing of recognition of income, provisions for foreseeable losses on contracts and value of stocks. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. |
We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act, employment law, health and safety, pensions legislation and tax legislation. |
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. |
Audit response to risks identified |
Our procedures to respond to risks identified included the following: |
- | reviewing the financial statement disclosures and testing to supporting documentation to assess compliance |
with provisions of relevant laws and regulations described as having a direct effect on the financial statements; |
- | enquiring of management concerning actual and potential litigation and claims; |
- | performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of |
material misstatement due to fraud; |
- | reviewing correspondence with HMRC; |
and |
- | in addressing the risk of fraud through management override of controls, testing the appropriateness of journal |
entries and other adjustments; assessing whether the judgements made in making accounting estimates are |
indicative of a potential bias; and evaluating the business rationale of any significant transactions that are |
unusual or outside the normal course of business. |
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members including internal specialists, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. |
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. |
As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK). |
Report of the Independent Auditors to the Members of |
Randalls (Holdings) Limited |
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. |
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 |
Chartered Accountants |
& Statutory Auditors |
Highdale House |
7 Centre Court |
Treforest Industrial Estate |
Pontypridd |
Rhondda Cynon Taff |
CF37 5YR |
Randalls (Holdings) Limited (Registered number: 03475627) |
Consolidated |
Income Statement |
for the Year Ended 31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
TURNOVER | 28,737,066 | 26,190,588 |
Cost of sales | 24,034,973 | 23,312,474 |
GROSS PROFIT | 4,702,093 | 2,878,114 |
Administrative expenses | 2,339,370 | 1,518,951 |
2,362,723 | 1,359,163 |
Other operating income | 19,845 | 16,469 |
OPERATING PROFIT | 6 | 2,382,568 | 1,375,632 |
Income from other participating interests | 4,222 | 5,579 |
2,386,790 | 1,381,211 |
Interest payable and similar expenses | 7 | 84,999 | 50,531 |
PROFIT BEFORE TAXATION | 2,301,791 | 1,330,680 |
Tax on profit | 8 | 537,785 | 147,685 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 1,764,006 | 1,182,995 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Consolidated |
Other Comprehensive Income |
for the Year Ended 31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 1,764,006 | 1,182,995 |
OTHER COMPREHENSIVE INCOME |
Revaluation of investment | - | (184,595 | ) |
Income tax relating to other comprehensive income | - | - |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
(184,595 |
) |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
1,764,006 |
998,400 |
Total comprehensive income attributable to: |
Owners of the parent | 1,764,006 | 998,400 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Consolidated Statement of Financial Position |
31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 | 2,842,767 | 2,174,948 |
Investments | 12 | 32,151 | 32,151 |
Investment property | 13 | 597,484 | 646,751 |
3,472,402 | 2,853,850 |
CURRENT ASSETS |
Stocks | 14 | 686,642 | 979,693 |
Debtors | 15 | 5,663,677 | 4,535,321 |
Cash at bank and in hand | 5,109,292 | 2,923,939 |
11,459,611 | 8,438,953 |
CREDITORS |
Amounts falling due within one year | 16 | 8,476,444 | 6,280,384 |
NET CURRENT ASSETS | 2,983,167 | 2,158,569 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 6,455,569 | 5,012,419 |
CREDITORS |
Amounts falling due after more than one year | 17 | (847,946 | ) | (722,428 | ) |
PROVISIONS FOR LIABILITIES | 22 | (1,471,094 | ) | (1,192,468 | ) |
NET ASSETS | 4,136,529 | 3,097,523 |
CAPITAL AND RESERVES |
Called up share capital | 23 | 200 | 200 |
Other reserves | 24 | 100,200 | 100,200 |
Retained earnings | 24 | 4,036,129 | 2,997,123 |
SHAREHOLDERS' FUNDS | 4,136,529 | 3,097,523 |
The financial statements were approved by the Board of Directors and authorised for issue on 21 August 2023 and were signed on its behalf by: |
M Randall - Director |
Randalls (Holdings) Limited (Registered number: 03475627) |
Company Statement of Financial Position |
31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 |
Investments | 12 |
Investment property | 13 |
CURRENT ASSETS |
Debtors | 15 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 17 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 23 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 1,595,535 | 1,032,150 |
The financial statements were approved by the Board of Directors and authorised for issue on |
Randalls (Holdings) Limited (Registered number: 03475627) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 March 2023 |
Called up |
share | Retained | Other | Total |
capital | earnings | reserves | equity |
£ | £ | £ | £ |
Balance at 1 April 2021 | 200 | 2,523,723 | 100,200 | 2,624,123 |
Changes in equity |
Dividends | - | (525,000 | ) | - | (525,000 | ) |
Total comprehensive income | - | 998,400 | - | 998,400 |
Balance at 31 March 2022 | 200 | 2,997,123 | 100,200 | 3,097,523 |
Changes in equity |
Dividends | - | (725,000 | ) | - | (725,000 | ) |
Total comprehensive income | - | 1,764,006 | - | 1,764,006 |
Balance at 31 March 2023 | 200 | 4,036,129 | 100,200 | 4,136,529 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Company Statement of Changes in Equity |
for the Year Ended 31 March 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 April 2021 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2023 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Consolidated Statement of Cash Flows |
for the Year Ended 31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 3,812,442 | 1,579,921 |
Interest paid | (29,160 | ) | (23,133 | ) |
Interest element of hire purchase payments paid | (55,839 | ) | (27,398 | ) |
Tax paid | (5,544 | ) | (108,999 | ) |
Net cash from operating activities | 3,721,899 | 1,420,391 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,498,975 | ) | (1,116,581 | ) |
Purchase of investment property | (350,000 | ) | (184,595 | ) |
Sale of tangible fixed assets | 696,503 | 271,976 |
Sale of investment property | - | 328,166 |
Other interest received | 4,222 | 5,579 |
Net cash from investing activities | (1,148,250 | ) | (695,455 | ) |
Cash flows from financing activities |
New loans in year | 1,271,115 | 932,032 |
Loan repayments in year | (141,250 | ) | (126,393 | ) |
Capital repayments in year | (771,272 | ) | (745,299 | ) |
Amount introduced by directors | - | 81,828 |
Amount withdrawn by directors | (21,889 | ) | - |
Equity dividends paid | (725,000 | ) | (525,000 | ) |
Net cash from financing activities | (388,296 | ) | (382,832 | ) |
Increase in cash and cash equivalents | 2,185,353 | 342,104 |
Cash and cash equivalents at beginning of year | 2 | 2,923,939 | 2,581,835 |
Cash and cash equivalents at end of year | 2 | 5,109,292 | 2,923,939 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Statement of Cash Flows |
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 | 2,301,791 | 1,330,680 |
Depreciation charges | 959,137 | 825,120 |
Profit on disposal of fixed assets | (425,216 | ) | (385,951 | ) |
Increase/(decrease) in provision | 100,625 | 30,993 |
Finance costs | 84,999 | 50,531 |
Finance income | (4,222 | ) | (5,579 | ) |
3,017,114 | 1,845,794 |
Decrease/(increase) in stocks | 293,051 | (423,429 | ) |
Increase in trade and other debtors | (1,167,286 | ) | (236,242 | ) |
Increase in trade and other creditors | 1,669,563 | 393,798 |
Cash generated from operations | 3,812,442 | 1,579,921 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 31 March 2023 |
31.3.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 5,109,292 | 2,923,939 |
Year ended 31 March 2022 |
31.3.22 | 1.4.21 |
£ | £ |
Cash and cash equivalents | 2,923,939 | 2,581,835 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.4.22 | Cash flow | At 31.3.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,923,939 | 2,185,353 | 5,109,292 |
2,923,939 | 2,185,353 | 5,109,292 |
Debt |
Finance leases | (935,701 | ) | (499,843 | ) | (1,435,544 | ) |
Debts falling due within 1 year | (140,462 | ) | 6,946 | (133,516 | ) |
Debts falling due after 1 year | (290,554 | ) | 134,304 | (156,250 | ) |
(1,366,717 | ) | (358,593 | ) | (1,725,310 | ) |
Total | 1,557,222 | 1,826,760 | 3,383,982 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
1. | COMPANY INFORMATION |
Randalls (Holdings) Limited ('the Company' is a holding company and the activities of its main subsidiaries are disclosed in the Group Strategic Report. |
2. | STATUTORY INFORMATION |
Randalls (Holdings) Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
3. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The group and individual financial statements of Randalls (Holdings) Limited have been prepared in accordance with United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland' and the Companies Act 2006. |
4. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These consolidated and separated financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value. |
The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Group and Company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements note are detailed in accounting policy 'significant judgements and estimates'. |
The company has taken advantage of the exemptions in section 408 of the Companies Act 2006 from disclosing its individual profit and loss account. |
Exemptions for qualifying entities under FRS102 |
FRS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions, which have been complied with, including notification of, and no objection to, the use of exemptions by the Company's shareholders. |
The Company has taken advantage of the following exemptions: |
(i) from preparing a statement of cash flows, on the basis that it is a qualifying entity and the consolidated statement of cash flows, included in these financial statements, includes the Company's cash flows; |
(ii) from the financial instrument disclosures, required under FRS 102 paragraphs 11.39 to 11.48A and paragraphs 12.26 to 12.29, as the information is provided in the consolidated financial statement disclosures; |
(iii) from disclosing the Company key management personnel compensation, as required by FRS 102 paragraph 33.7. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Basis of consolidation |
The Group consolidated financial statements include the financial statements of the Company and all its subsidiary undertakings made up to 31 March 2023. |
A subsidiary is an entity controlled by the Group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Where the Group owns less than 50% of the voting powers of an entity but controls the entity by virtue of an agreement with other investors which give it control of the financial and operating policies of the entity it accounts for that entity as a subsidiary. |
Where a subsidiary has different accounting policies to the Group, adjustments are made to those subsidiary financial statements to apply the Group's accounting policies when preparing the consolidated financial statements. |
Any subsidiary undertakings sold or acquired during the year are included up to, or from, the dates of change of control or change of significant influence respectively |
Where control of a subsidiary is lost, the gain or loss is recognised in the consolidated income statement. The cumulative amounts of any exchange differences on translation, recognised in equity, are not included in the gain or loss on disposal and are transferred to retained earnings. The gain or loss also included in other comprehensive income that are required to be reclassified to profit and loss but excludes those amounts that are not required to be reclassified. |
Where control of a subsidiary is achieved in stages, the initial acquisition that gave the Group control is accounted for as a business combination. Thereafter where the Group increased its controlling interest in the subsidiary the transaction is treated as a transaction between equity holders. Any difference between the fair value of the consideration paid and the carrying amount of the non-controlling interest acquired is recognised directly in equity. No changes are made to the carrying value of assets, liabilities or provisions for contingent liabilities. |
All inter-group transactions, balances, income and expenditure are eliminated on consolidation. Adjustments are made to eliminate the profit or loss on transactions with associates to the extend of the Group's interest in the entity. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
The application of the Group's accounting policies, the 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 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 key sources of estimation uncertainty that have significant effect on the amounts recognised in the financial statements are described below: |
a) Impairment of intangible assets and goodwill |
The Group considers whether intangible assets and/or goodwill are impaired. Where an indication of impairment is identified the estimation of recoverable value requires estimation of the recoverable value of the asset. This requires estimation of the future cash flows from the associated asset and also selection of appropriate discount rates in order to calculate the net present value of those cash flows. |
b) Useful economic lives of intangible assets |
The annual amortisation charge for intangible assets is sensitive to changes in the estimated useful economic lives of the assets. The useful economic lives are re-assessed annually. They are amended when necessary to reflect current estimates. |
c) Useful economic lives of tangible assets |
The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates and physical condition of the assets. |
d) Impairment of debtors |
The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. |
e) Provisions |
Provision is made for asset retirement obligations, foreseeable losses, site accruals, plant renovations, dilapidations and contingencies. These provisions require management's best estimate of the costs that will be incurred based on legislative and contractual requirements. In addition, the timing of the cash flows and the discount rates used to establish net present value of the obligations require management's judgement. |
Turnover |
Turnover is recognised at the fair value of the consideration received or receivable for good and services provided in the normal course of business, and is shown net of VAT and other sales related taxed. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. |
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that are recoverable. |
Government grants |
Grants are credited to deferred revenue. Grants towards capital expenditure are released to the profit and loss account over the expected useful life of the assets. Grants towards revenue expenditure are released to the profit and loss account as the related expenditure is incurred |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Tangible fixed assets are measured at cost less depreciation and any accumulated impairment losses. Costs includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use, dismantling and restoration costs. |
The assets' residual values and useful lives are reviewed and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively. |
Tangible assets are derecognised on disposal or when no future economic benefits are expected. On disposal, the difference between the net disposal proceeds and the carrying value is recognised in the profit and loss. |
Impairment of assets |
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss. If an impairment loss subsequently reverses, the carry amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss |
Investment property |
Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using the fair value model and stated at its fair value as the reporting end date. The surplus or deficit on revaluation is recognised in the profit and loss account. |
Where the fair value cannot be achieved without undue cost or effort, investment property is accounted for as a tangible fixed asset. |
Depreciation is not provided in respect of investment properties. The directors consider that this accounting policy, which represents a departure from the statutory accounting rules, is necessary to provide a true and fair view as required under FRS 102. The financial effect of the departure from the statutory accounting rules is not material. |
Inventories |
Stock of land purchased for development, and other stocks, are stated at the lower of cost, using the first in first out method, and selling price less costs to complete and sell. |
The cost of work in progress includes all direct overheads and an attributable proportion of indirect overheads based on the normal level of activity. Work in progress is valued at the lower of cost and net realisable value. |
At the end of each reporting period stocks are assessed for impairment. If an item of inventory is impaired, the identified inventory is reduced to its selling price less costs to complete and sell and an impairment charge is recognised in the profit and loss account. Where a reversal of the impairment is required the impairment charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss account. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated 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 statement of financial position date. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
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. |
At inception the Group assesses agreements that transfer the right to use assets. The assessment considers whether the arrangement is, or contains, a lease based on the substance of the arrangement. |
i) Finance leased assets |
Leases of assets that transfer substantially all the risks and rewards incidental to ownership are classified as finance leases. |
Finance leases are capitalised at commencement of the lease as assets at the fair value of the leased asset or, if lower, the present value of the minimum lease payments calculated using the interest rate implicit in the lease. Where the implicit rate cannot be determined the Group's incremental borrowing rate is used. Incremental direct costs, incurred in negotiating and arranging the lease, are included in the cost of the asset. |
Assets are depreciated over the shorter of the lease term and the estimated useful life of the asset. Assets are assessed for impairment at each reporting date. |
The capital element of lease obligations is recorded as a liability on inception of the arrangement. Lease payments are apportioned between capital repayment and finance charge, using the effective interest rate method, to produce a constant rate of charge on the balance of the capital repayments outstanding. |
ii) Operating leased assets |
Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments under operating leases are charged to the profit and loss account on a straight-line basis over the period of the lease. |
iii) Lease incentives |
Incentives received to enter into a finance lease reduce the fair value of the asset and are included in the calculation of present value of minimum lease payments. |
Incentives received to enter into an operating lease are credited to the profit and loss account, to reduce the lease expense, on a straight-line basis over the period of the lease. |
Employee benefits |
The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the group pays fixed contributions into a separate entity. Once contributions have been paid the Group has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the Group in independently administered funds. |
Other employee benefits such as paid holiday arrangements are recognised as an expense in the period in which they are incurred. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Construction contracts |
Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable. |
When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately. |
Where the outcome of a construction contract cannot be estimated reliably, contract costs are recognised as expenses in the period in which they are incurred and contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. |
The 'percentage of completion method' is used to determine the appropriate amount to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the estimated total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as stocks, prepayments or other assets depending on their nature and it is probable they will be recovered. |
Bank interest accruing on capital borrowed to fund the production of long term contracts is carried forward within long term contract balances. |
Provisions and contingencies |
i) Provisions |
Provisions are recognised when the Group has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably. |
Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations might be small. |
Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as a finance cost. |
ii) Contingencies |
Contingent liabilities are not recognised, except those acquired in a business combination. Contingent liabilities arise as a result of past events when (i) it is not probable that there will be an outflow of resources or that the amount cannot be reliably measured at the reporting date or (ii) when the existence will be confirmed by the occurrence or non-occurrence of uncertain future events not wholly within the Group's control. Contingent liabilities are disclosed in the financial statements unless the probability of an outflow of resources is remote. |
Contingent assets are not recognised. Contingent assets are disclosed in the financial statements when an inflow of economic benefits is probable. |
Share-based payments |
Equity settled share-based payments are measured at fair value at the date of grant by reference to the fair value of the equity instruments granted using the Black Scholes model. The fair value determined at the grant date is expensed on a straight line basis over the vesting period, based on the estimate of shares that will eventually vest. A corresponding adjustment is made to equity. |
When the terms and conditions of equity settled share-based payments at the time they were granted are subsequently modified, the fair value of the share-based payment under the original terms and conditions and modified fair value over the original fair value is recognised over the remaining vesting period in addition to the grant date fair value of the original share-based payment. The share-based payment expense is not adjusted if the modified fair value is less than the original fair value. |
Cancellations or settlements (including those resulting from employee redundancies) are treated as an acceleration of vesting and the amount that would have been recognised over the remaining vesting period is recognised immediately. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Financial instruments |
The Group has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments. |
i) Financial assets |
Basic financial assets, including trade and other receivables, and cash and bank balances, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. |
Such assets are subsequently carried at amortised cost using the effective interest method. |
A financial asset held as an equity instrument is recognised initially at the transaction price (including transaction costs). |
At the end of each reporting period, unlisted investments are recorded at fair value, where appropriate, or at cost less impairment if their fair value cannot be reliably measured. Objective evidence of the impairment of financial assets is assessed at each period end and any impairment loss recognised in the profit or loss immediately. Impairment loss is calculated as the difference between the carrying amount of the instrument and the best estimate of the cash flows expected to be derived from the asset (including sales proceeds if sold) at the balance sheet date. |
Investment income is recognised in the financial statements when the company becomes entitled to its share of profits from the financial instrument. |
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Other financial assets which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss. |
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
ii) Financial liabilities |
Basic financial liabilities, including trade and other payables, bank loans, and loans from fellow Group companies are classified as debt, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates. |
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
Share capital |
Ordinary shares |
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares are shown in equity as a deduction, net of tax, from the proceeds. |
Distributions to equity holders |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
4. | ACCOUNTING POLICIES - continued |
Dividends and other distributions to the Group's shareholders are recognised as a liability in the financial statements in the period in which the dividends and other distributions are approved by the shareholders. These are recognised in the statements of changes in equity. |
Related party transactions |
The Group discloses transactions with related parties which are not wholly owned within the same Group. Where appropriate, transactions of a similar nature are aggregated unless, in the opinion of the directors, separate disclosure is necessary to understand the effect of the transactions on the Group financial statements. |
5. | EMPLOYEES AND DIRECTORS |
31.3.23 | 31.3.22 |
£ | £ |
Wages and salaries | 8,332,993 | 10,145,012 |
Social security costs | 152,879 | 108,590 |
Other pension costs | 115,692 | 87,523 |
8,601,564 | 10,341,125 |
The average number of employees during the year was as follows: |
31.3.23 | 31.3.22 |
Direct labour | 96 | 113 |
Administrative | 47 | 45 |
Directors | 3 | 3 |
31.3.23 | 31.3.22 |
£ | £ |
Directors' remuneration | 268,074 | 230,770 |
Directors' pension contributions to money purchase schemes | 46,158 | 45,055 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 3 |
Information regarding the highest paid director is as follows: |
31.3.23 | 31.3.22 |
£ | £ |
Emoluments etc | 131,560 | 128,658 |
Pension contributions to money purchase schemes | 3,619 | 2,725 |
Key management compensation |
The remuneration paid key management personnel excluding directors was as follows: |
2023 | 2022 |
£ | £ |
Aggregate emoluments | 139,028 | 110,160 |
Pension contributions to money purchase scheme | 3,473 | 2,980 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.3.23 | 31.3.22 |
£ | £ |
Hire of plant and machinery | 4,003,834 | 4,411,621 |
Depreciation - owned assets | 451,490 | 254,732 |
Depreciation - assets on hire purchase contracts | 507,647 | 570,388 |
Profit on disposal of fixed assets | (425,216 | ) | (385,951 | ) |
Auditors' remuneration | 18,900 | 17,500 |
Taxation compliance services | 2,501 | - |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.3.23 | 31.3.22 |
£ | £ |
Bank interest | 29,160 | 23,133 |
Hire purchase | 55,839 | 27,398 |
84,999 | 50,531 |
8. | 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 | 345,330 | 88,517 |
Overprovision in prior period | 14,454 | - |
Total current tax | 359,784 | 88,517 |
Deferred tax | 178,001 | 59,168 |
Tax on profit | 537,785 | 147,685 |
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 | 2,301,791 | 1,330,680 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
437,340 |
252,829 |
Effects of: |
Expenses not deductible for tax purposes | 140,283 | 166,207 |
Capital allowances in excess of depreciation | (60,768 | ) | (234,798 | ) |
Utilisation of tax losses | - | (49,184 | ) |
Adjustments to tax charge in respect of previous periods | - | 12,631 |
forward |
respect of prior years |
Origination and reversal of timing differences | 20,930 | - |
Total tax charge | 537,785 | 147,685 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
8. | TAXATION - continued |
Tax effects relating to effects of other comprehensive income |
There were no tax effects for the year ended 31 March 2023. |
31.3.22 |
Gross | Tax | Net |
£ | £ | £ |
Revaluation of investment | (184,595 | ) | - | (184,595 | ) |
9. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
10. | DIVIDENDS |
31.3.23 | 31.3.22 |
£ | £ |
Interim | 725,000 | 525,000 |
11. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 April 2022 | 696,677 | 3,213,399 | 283,756 |
Additions | - | 990,651 | - |
Disposals | (331,334 | ) | (461,398 | ) | - |
Transfer from investment property | 399,267 | - | - |
At 31 March 2023 | 764,610 | 3,742,652 | 283,756 |
DEPRECIATION |
At 1 April 2022 | 116,920 | 2,177,831 | 184,696 |
Charge for year | 6,962 | 550,342 | 30,681 |
Eliminated on disposal | (69,531 | ) | (455,664 | ) | - |
At 31 March 2023 | 54,351 | 2,272,509 | 215,377 |
NET BOOK VALUE |
At 31 March 2023 | 710,259 | 1,470,143 | 68,379 |
At 31 March 2022 | 579,757 | 1,035,568 | 99,060 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
11. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 April 2022 | 1,980,106 | 50,184 | 6,224,122 |
Additions | 508,325 | - | 1,498,976 |
Disposals | (248,479 | ) | - | (1,041,211 | ) |
Transfer from investment property | - | - | 399,267 |
At 31 March 2023 | 2,239,952 | 50,184 | 7,081,154 |
DEPRECIATION |
At 1 April 2022 | 1,519,985 | 49,742 | 4,049,174 |
Charge for year | 371,134 | 18 | 959,137 |
Eliminated on disposal | (244,729 | ) | - | (769,924 | ) |
At 31 March 2023 | 1,646,390 | 49,760 | 4,238,387 |
NET BOOK VALUE |
At 31 March 2023 | 593,562 | 424 | 2,842,767 |
At 31 March 2022 | 460,121 | 442 | 2,174,948 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 April 2022 | 2,098,045 | 745,381 | 2,843,426 |
Additions | 792,791 | 478,325 | 1,271,116 |
Transfer to ownership | (823,889 | ) | (180,234 | ) | (1,004,123 | ) |
At 31 March 2023 | 2,066,947 | 1,043,472 | 3,110,419 |
DEPRECIATION |
At 1 April 2022 | 1,150,339 | 393,200 | 1,543,539 |
Charge for year | 350,789 | 156,858 | 507,647 |
Transfer to ownership | (754,980 | ) | (65,078 | ) | (820,058 | ) |
At 31 March 2023 | 746,148 | 484,980 | 1,231,128 |
NET BOOK VALUE |
At 31 March 2023 | 1,320,799 | 558,492 | 1,879,291 |
At 31 March 2022 | 947,706 | 352,181 | 1,299,887 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
11. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixtures |
Freehold | Plant and | and | Motor |
property | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 April 2022 |
Transfer from investment property |
At 31 March 2023 |
DEPRECIATION |
At 1 April 2022 |
Charge for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 April 2022 |
and 31 March 2023 |
DEPRECIATION |
At 1 April 2022 |
Charge for year |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
12. | FIXED ASSET INVESTMENTS |
Group |
Listed |
investments |
£ |
COST OR VALUATION |
At 1 April 2022 |
and 31 March 2023 | 32,151 |
NET BOOK VALUE |
At 31 March 2023 | 32,151 |
At 31 March 2022 | 32,151 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
12. | FIXED ASSET INVESTMENTS - continued |
Group |
Cost or valuation at 31 March 2023 is represented by: |
Listed |
investments |
£ |
Valuation in 2017 | 2,971 |
Cost | 29,180 |
32,151 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 April 2022 |
and 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Subsidiaries |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
12. | FIXED ASSET INVESTMENTS - continued |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
All subsidiary undertakings are included in these consolidated financial statements. |
The shares in all subsidiary undertakings are held by Randalls (Holdings) Limited. |
13. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 April 2022 | 646,751 |
Additions | 350,000 |
Transfer to freehold property | (399,267 | ) |
At 31 March 2023 | 597,484 |
NET BOOK VALUE |
At 31 March 2023 | 597,484 |
At 31 March 2022 | 646,751 |
The fair value of the investment property has been arrived at on the basis of a valuation carried out by the directors at the year end and as such have revalued the investment accordingly. |
Fair value at 31 March 2023 is represented by: |
£ |
Valuation in 2018 | (214,376 | ) |
Valuation in 2019 | (145,745 | ) |
Valuation in 2020 | (132,668 | ) |
Valuation in 2021 | (188,772 | ) |
Valuation in 2022 | (184,595 | ) |
Cost | 1,463,640 |
597,484 |
Company |
Total |
£ |
FAIR VALUE |
At 1 April 2022 |
Additions |
Transfer to freehold property | (399,267 | ) |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
13. | INVESTMENT PROPERTY - continued |
Company |
Fair value at 31 March 2023 is represented by: |
£ |
Valuation in 2018 | (214,376 | ) |
Valuation in 2019 | (145,745 | ) |
Valuation in 2020 | (132,668 | ) |
Valuation in 2021 | (188,772 | ) |
Valuation in 2022 | (184,595 | ) |
Cost | 1,463,640 |
597,484 |
If investment property had not been revalued it would have been included at the following historical cost: |
31.3.23 | 31.3.22 |
£ | £ |
Cost | 597,484 | 1,328,312 |
Investment property was valued on an open market basis on 31 March 2023 by the directors . |
14. | STOCKS |
Group |
31.3.23 | 31.3.22 |
£ | £ |
Stocks | 630,328 | 455,233 |
Work-in-progress | 56,314 | 524,460 |
686,642 | 979,693 |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Trade debtors | 4,400,419 | 4,038,601 |
Amounts owed by group undertakings | - | - |
Other debtors | 86,288 | 36,855 |
Tax | - | 38,932 |
VAT | 431,396 | 192,002 |
Prepayments and accrued income | 745,574 | 228,931 |
5,663,677 | 4,535,321 |
Included within trade debtors are retentions due of £1,456,610 (2022: £1,424,253) |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 133,516 | 140,462 |
Hire purchase contracts (see note 19) | 743,848 | 503,827 |
Trade creditors | 2,996,064 | 2,473,228 |
Amounts owed to group undertakings | - | - |
Tax | 345,305 | 29,998 |
Social security and other taxes | 156,390 | 160,799 |
VAT | - | - | 11,498 | 19,747 |
Other creditors | 1,972,582 | 1,521,427 |
Payment received on account | 397,970 | 48,533 | - | - |
Directors' current accounts | - | 21,889 | - | 21,889 |
Accruals and deferred income | 1,730,769 | 1,380,221 |
8,476,444 | 6,280,384 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Bank loans (see note 18) | 156,250 | 290,554 |
Hire purchase contracts (see note 19) | 691,696 | 431,874 |
847,946 | 722,428 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Amounts falling due within one year or on demand: |
Bank overdrafts | - | - |
Bank loans | 133,516 | 140,462 |
133,516 | 140,462 |
Amounts falling due between one and two years: |
Bank loans - 1-2 years | 125,000 | 125,000 |
Amounts falling due between two and five years: |
Bank loans - 2-5 years | 31,250 | 165,554 |
The long-term loans are secured by fixed charges over freehold property. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
31.3.23 | 31.3.22 |
£ | £ |
Net obligations repayable: |
Within one year | 743,848 | 503,827 |
Between one and five years | 691,696 | 431,874 |
1,435,544 | 935,701 |
Company |
Hire purchase contracts |
31.3.23 | 31.3.22 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period and no restrictions are placed on the use of the assets. The average lease term is 3 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments. |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Bank loans | 289,766 | 431,016 |
Hire purchase contracts | 1,435,544 | 935,701 | - | - |
1,725,310 | 1,366,717 |
Amounts due under finance lease and hire purchase contracts are secured on the assets to which they relate. |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
21. | FINANCIAL INSTRUMENTS |
Group |
The Group has the following financial instruments: |
31.3.23 | 31.3.22 |
£ | £ |
Financial assets measured at fair value through profit or loss | - | - |
Financial assets that are debt instruments measured at amortised cost: |
Trade debtors | 4,400,419 | 4,038,601 |
Other debtors | 494,664 | 267,789 |
4,895,083 | 4,306,390 |
Financial instruments that are equity instruments measured at cost less impairment |
32,151 |
32,151 |
Financial liabilities measured at fair value through the profit or loss | - | - |
Financial liabilities measured at amortised cost: |
Bank loans and overdrafts | 289,766 | 431,016 |
Other loans | - | - |
Hire purchase contracts | 1,435,543 | 935,700 |
Trade creditors | 2,996,064 | 2,473,229 |
Directors current accounts | - | 21,889 |
Other creditors | 2,872,245 | 1,760,757 |
7,593,619 | 5,622,591 |
Company |
The Company has the following financial instruments: |
31.3.23 | 31.3.22 |
£ | £ |
Financial assets measured at fair value through profit or loss | - | - |
Financial assets that are debt instruments measured at amortised cost: |
Trade debtors | - | - |
Other debtors | 15,828 | 61,362 |
Amounts due by group undertakings | 510,569 | 701,248 |
526,397 | 762,610 |
Financial instruments that are equity instruments measured at cost less impairment |
200 |
200 |
Financial liabilities measured at fair value through the profit or loss | - | - |
Financial liabilities measured at amortised cost: |
Bank loans and overdrafts | 281,250 | 511,962 |
Hire purchase contracts | - | 16,756 |
Trade creditors | 33,947 | 16,731 |
Other creditors | 300,376 | 42,333 |
Directors loan | - | 21,889 |
Amounts due to group undertakings | 7,181 | 38,490 |
622,754 | 648,161 |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
22. | PROVISIONS FOR LIABILITIES |
Group |
31.3.23 | 31.3.22 |
£ | £ |
Deferred tax | 302,230 | 124,229 |
Other provisions |
Other provisions | 200,000 | - |
Provision for foreseeable loss | 968,864 | 1,068,239 |
1,168,864 | 1,068,239 |
Aggregate amounts | 1,471,094 | 1,192,468 |
Group |
Deferred |
tax |
£ |
Balance at 1 April 2022 | 124,229 |
Charge to Income Statement during year | 178,001 |
Balance at 31 March 2023 | 302,230 |
23. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.3.23 | 31.3.22 |
value: | £ | £ |
Ordinary | £1 | 200 | 200 |
There was no movement in share capital during the year. The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the company. |
24. | RESERVES |
Group |
Retained | Other |
earnings | reserves | Totals |
£ | £ | £ |
At 1 April 2022 | 2,997,123 | 100,200 | 3,097,323 |
Profit for the year | 1,764,006 | 1,764,006 |
Dividends | (725,000 | ) | (725,000 | ) |
At 31 March 2023 | 4,036,129 | 100,200 | 4,136,329 |
25. | PENSION COMMITMENTS |
A defined contribution scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension charge represents contributions payable by the group to the scheme and amounted to £115,693 (2022: £87,523). At the year end the amounts outstanding was £nil (2022: £nil). |
Randalls (Holdings) Limited (Registered number: 03475627) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
26. | OTHER FINANCIAL COMMITMENTS, GUARANTEES AND CONTINGENT LIABILITIES |
A company unlimited multilateral guarantee has been given by Randalls (Holdings) Limited, Randalls (Groundworks) Limited, Randalls Civils Limited, Randalls Properties Limited, Randalls Resource Limited and RGW Plant Limited to guarantee liabilities to Barclays Bank plc. |
Barclays Bank plc hold a debenture including a fixed and floating charges over all assets and undertaking both present and future. |
27. | ULTIMATE CONTROLLING PARTY |
The controlling party is M Randall. |
28. | SHARE-BASED PAYMENT TRANSACTIONS |
Randalls (Holdings) Limited operates an unapproved option scheme for the directors and senior management. |
2023 | 2022 |
Number | Number |
Outstanding at 1 April | 24 | 24 |
Lapsed option |
Outstanding as 31 March | 24 | 24 |
Exercisable at 31 March | 24 | 24 |
The options outstanding at 31 March 2023 had an exercise value of £8,342 and a remaining contractual life of 2 years. |
The total intrinsic value at 31 March 2023 amounted to £nil (2022 - £nil) for the group and £nil (2022 - £nil) for the company. |
The fair value of the options granted was calculated using the Black Scholes model; the value was deemed to be £600 per option. |