Registration number:
Sudbury Dry Lining Group Limited
for the Year Ended 30 April 2023
Sudbury Dry Lining Group Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Independent Auditor's Report |
|
Consolidated Profit and Loss Account and Statement of Retained Earnings |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Cash Flows |
|
Notes to the Financial Statements |
Sudbury Dry Lining Group Limited
Company Information
Directors |
Mr C P Duffy Mr P Duffy |
Registered office |
|
Auditors |
|
Sudbury Dry Lining Group Limited
Strategic Report for the Year Ended 30 April 2023
The directors present their strategic report for the year ended 30 April 2023.
Principal activity
The principal activity of the group is that of a parent holding company and plastering contractor.
Fair review of the business
The directors are pleased that the group has performed well in the financial year ending April 2023. As in previous years, the market is extremely competitive with continued pressure on margins. Having recognized this, the group has taken a cautious approach to the projects they have undertaken in order to ensure profitability. The outlook for the year ahead is positive with multiple projects secured and increased levels of turnover and profits expected for the coming year.
We have maintained good working relationships will all our key clients, having been awarded our largest residential project to date the group is looking to build on this and take on new clients over the coming year.
During the prior year the group underwent a restructuring to rationalise operations, with the parent company Sudbury Dry Lining Group Limited acquiring the trade and assets of its subsidiary Sudbury Plastering Services Limited. Following this restructuring, new contracts undertaken by the group are now being carried out by Sudbury Dry Lining Group Limited.
The group's key financial and other performance indicators during the year were as follows:
Financial KPIs |
Unit |
2023 |
2022 |
Turnover |
£ |
14,341,640 |
11,533,699 |
Gross Profit |
£ |
2,157,025 |
346,166 |
Gross Profit % |
% |
15 |
3 |
Administration Expenses |
£ |
1,304,528 |
1,504,277 |
Operating Profit/(Loss) |
£ |
852,497 |
(1,158,111) |
Profit/(Loss) for the Financial Year |
£ |
589,390 |
(1,066,582) |
Principal risks and uncertainties
The directors understand the need to manage the risks to the group and continue to monitor trading performance on a regular basis and consider the following matters to be the principal risks and uncertainties.
In relation to the key financial risks on price, credit, liquidity, and cash flow, the directors have familiarised themselves with the concepts of these risks and have assessed that at this time there is no significant exposure to the group.
The directors will continue to improve the group’s processes and explore other areas for expansion. The directors will continue to monitor the group’s activities to address any significant risks that do arise to ensure these are minimised to the maximum possible extent.
Approved and authorised by the
......................................... |
Sudbury Dry Lining Group Limited
Directors' Report for the Year Ended 30 April 2023
The directors present their report and the for the year ended 30 April 2023.
Directors of the group
The directors who held office during the year were as follows:
Statement of directors' responsibilities
The directors acknowledge their responsibilities for preparing the Annual 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
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.
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Reappointment of auditors
The auditors Landmark Audit Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.
Approved and authorised by the
......................................... |
Sudbury Dry Lining Group Limited
Independent Auditor's Report to the Members of Sudbury Dry Lining Group Limited
Opinion
We have audited the financial statements of Sudbury Dry Lining Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 April 2023, which comprise the Consolidated Profit and Loss Account and Statement of Retained Earnings, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Cash Flows, and 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 the parent company's affairs as at 30 April 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 auditor 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 director's 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 ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 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.
Sudbury Dry Lining Group Limited
Independent Auditor's Report to the Members of Sudbury Dry Lining Group Limited
Opinion on other matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and 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 our 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 and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept 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. |
Responsibilities of directors
As explained more fully in the statement of directors' responsibilities [set out on page 3], 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 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.
Auditor 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Sudbury Dry Lining Group Limited
Independent Auditor's Report to the Members of Sudbury Dry Lining Group Limited
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
• the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
• we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;
• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
• performed analytical procedures to identify any unusual or unexpected relationships;
• tested journal entries to identify unusual transactions;
• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
• investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
• agreeing financial statement disclosures to underlying supporting documentation;
• reading the minutes of meetings of those charged with governance;
• enquiring of management as to actual and potential litigation and claims; and
• reviewing correspondence with HMRC, relevant regulators, and the company’s legal advisors.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Sudbury Dry Lining Group Limited
Independent Auditor's Report to the Members of Sudbury Dry Lining Group Limited
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in 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.
......................................
For and on behalf of
Chartered Accountants
Statutory Auditors
Leavesden Park
5 Hercules Way
Hertfordshire
WD25 7GS
Sudbury Dry Lining Group Limited
Consolidated Profit and Loss Account and Statement of Retained Earnings
for the Year Ended 30 April 2023
Note |
2023 |
2022 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating profit/(loss) |
|
( |
|
Income from other fixed asset investments |
|
( |
|
Other interest receivable and similar income |
|
|
|
Interest payable and similar charges |
- |
( |
|
14,958 |
(22,622) |
||
Profit/(loss) before tax |
|
( |
|
Taxation |
( |
|
|
Profit/(loss) for the financial year |
|
( |
|
Profit/(loss) attributable to: |
|||
Owners of the company |
|
( |
|
Retained earnings brought forward |
(357,870) |
708,712 |
|
Dividends paid |
( |
- |
|
Retained earnings carried forward |
141,520 |
(357,870) |
Sudbury Dry Lining Group Limited
(Registration number: 12473811)
Consolidated Balance Sheet as at 30 April 2023
Note |
2023 |
2022 |
|||
£ |
£ |
£ |
£ |
||
Fixed assets |
|||||
Intangible assets |
|
|
|||
Tangible assets |
|
|
|||
Other financial assets |
600,354 |
597,532 |
|||
|
|
||||
Current assets |
|||||
Debtors |
|
|
|||
Cash at bank and in hand |
|
|
|||
|
|
||||
Creditors: Amounts falling due within one year |
( |
( |
|||
Net current assets |
|
|
|||
Total assets less current liabilities |
|
|
|||
Creditors: Amounts falling due after more than one year |
( |
( |
|||
Provisions for liabilities |
( |
( |
|||
Net assets |
|
|
|||
Capital and reserves |
|||||
Called up share capital |
|
|
|||
Merger relief reserve |
|
|
|||
Retained earnings |
|
( |
|||
Equity attributable to owners of the company |
|
|
|||
Shareholders' funds |
|
|
Approved and authorised by the
......................................... |
Sudbury Dry Lining Group Limited
(Registration number: 12473811)
Balance Sheet as at 30 April 2023
Note |
2023 |
2022 |
|||
£ |
£ |
£ |
£ |
||
Fixed assets |
|||||
Intangible assets |
|
|
|||
Tangible assets |
|
|
|||
Investments |
|
|
|||
|
|
||||
Current assets |
|||||
Debtors |
|
|
|||
Cash at bank and in hand |
|
|
|||
|
|
||||
Creditors: Amounts falling due within one year |
( |
( |
|||
Net current assets/(liabilities) |
|
( |
|||
Total assets less current liabilities |
|
|
|||
Creditors: Amounts falling due after more than one year |
( |
( |
|||
Net assets |
|
|
|||
Capital and reserves |
|||||
Called up share capital |
|
|
|||
Profit and loss account |
|
|
|||
Total equity |
|
|
The company made a profit after tax for the financial year of £518,994 (2022 - profit of £1,873,905).
Approved and authorised by the
......................................... |
Sudbury Dry Lining Group Limited
Consolidated Statement of Cash Flows for the Year Ended 30 April 2023
Note |
2023 |
2022 |
|
Cash flows from operating activities |
|||
Profit/(loss) for the year |
|
( |
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Other financial assets net gains (losses) through profit and loss |
( |
|
|
Loss/(profit) on disposal of tangible assets |
|
( |
|
Finance income |
( |
( |
|
Finance costs |
- |
|
|
Corporation tax expense |
|
( |
|
|
( |
||
Working capital adjustments |
|||
(Increase)/decrease in trade debtors |
( |
|
|
Increase/(decrease) in trade creditors |
|
( |
|
Increase in provisions |
|
|
|
Cash generated from operations |
|
( |
|
Corporation tax received/(paid) |
|
( |
|
Net cash flow from operating activities |
|
( |
|
Cash flows from investing activities |
|||
Interest received |
|
|
|
Acquisitions of tangible assets |
( |
- |
|
Proceeds from sale of tangible assets |
- |
|
|
Purchase of subsidiaries (net of cash acquired) |
(1,000,000) |
(1,450,000) |
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
- |
( |
|
Dividends paid |
( |
- |
|
Net cash flows from financing activities |
( |
( |
|
Net decrease in cash and cash equivalents |
( |
( |
|
Cash and cash equivalents at 1 May |
|
|
|
Cash and cash equivalents at 30 April |
3,231,779 |
3,310,081 |
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
United Kingdom
The principal place of business is:
College House
17 King Edwards Road
Ruislip
Middlesex
HA4 7AE
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The presentational currency of these accounts is £ Sterling and the level of rounding is to the nearest £.
Summary of disclosure exemptions
The company has taken advantage of disclosure exemptions in FRS 102 1.12 relating to Section 7 Statement of Cash Flows.
The company has taken advantage of the exemption under FRS 102 Section 33.1A not to disclose transactions with group undertakings that are wholly owned by the group.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 April 2023.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis.
Revenue recognition
Turnover comprises the fair value of the consideration received for the provision of services in the ordinary course of the group's activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.
The group recognises revenue by reference to the stage of completion of the contract activity at the balance sheet date.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when 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 and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Plant and machinery |
15% reducing balance |
Fixtures and fittings |
15% reducing balance |
Motor vehicles |
15% reducing balance |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Asset class |
Amortisation method and rate |
Goodwill |
10% straight line |
Investments
Investments in equity shares where fair value cannot be measured reliably are measured at cost less impairment.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors 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 the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised at the transaction price.
Provisions
Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
Provisions for legal claims and actions are recognised at the best estimate of the expected outflow to settle the company's liability.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease. Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Share capital
Ordinary shares are classified as equity.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Financial instruments
Classification
Recognition and measurement
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
2023 |
2022 |
|
Sales |
|
|
Other gains and losses |
The analysis of the group's other gains and losses for the year is as follows:
2023 |
2022 |
|
(Loss)/gain on disposal of property, plant and equipment |
( |
|
Gain/(Loss) on changes in fair value of investments |
2,822 |
(21,927) |
(6,711) |
(21,760) |
Operating profit/(loss) |
Arrived at after charging/(crediting)
2023 |
2022 |
|
Depreciation expense |
|
|
Amortisation expense |
|
|
Loss/(profit) on disposal of property, plant and equipment |
|
( |
Other interest receivable and similar income |
2023 |
2022 |
|
Interest income on bank deposits |
|
|
Other finance income |
|
- |
|
|
Interest payable and similar expenses |
2023 |
2022 |
|
Interest expense on other finance liabilities |
- |
|
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2023 |
2022 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
2023 |
2022 |
|
Management and administration |
|
|
Directors |
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
2023 |
2022 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
- |
|
8,928 |
159,196 |
During the year the number of directors who were receiving benefits and share incentives was as follows:
2023 |
2022 |
|
Accruing benefits under money purchase pension scheme |
- |
|
Auditors' remuneration |
2023 |
2022 |
|
Audit of these financial statements |
15,000 |
8,000 |
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
2023 |
2022 |
|
Current taxation |
||
UK corporation tax |
|
( |
Deferred taxation |
||
Arising from origination and reversal of timing differences |
|
( |
Tax expense/(receipt) in the income statement |
|
( |
The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2022 - higher than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2023 |
2022 |
|
Profit/(loss) before tax |
|
( |
Corporation tax at standard rate |
|
( |
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Deferred tax expense relating to changes in tax rates or laws |
|
- |
Tax decrease from effect of capital allowances and depreciation |
( |
- |
Total tax charge/(credit) |
|
( |
Deferred tax
Group
Deferred tax assets and liabilities
2023 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
- |
|
2022 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Tax losses carried forward |
|
- |
|
|
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Company
Deferred tax assets and liabilities
2023 |
Asset |
Liability |
Accelerated capital allowances |
|
- |
|
- |
2022 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Tax losses carried forward |
|
- |
|
|
Intangible assets |
Group
Goodwill |
Total |
|
Cost or valuation |
||
At 1 May 2022 |
|
|
At 30 April 2023 |
|
|
Amortisation |
||
At 1 May 2022 |
|
|
Amortisation charge |
|
|
At 30 April 2023 |
|
|
Carrying amount |
||
At 30 April 2023 |
|
|
At 30 April 2022 |
|
|
Amortisation of intangible fixed assets is included in administrative expenses.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Company
Goodwill |
Total |
|
Cost or valuation |
||
At 1 May 2022 |
|
|
At 30 April 2023 |
|
|
Amortisation |
||
At 1 May 2022 |
|
|
Amortisation charge |
|
|
At 30 April 2023 |
|
|
Carrying amount |
||
At 30 April 2023 |
|
|
At 30 April 2022 |
|
|
Amortisation of intangible fixed assets is included in administrative expenses.
Tangible assets |
Group
Fixtures and fittings |
Plant and machinery |
Motor vehicles |
Total |
|
Cost or valuation |
||||
At 1 May 2022 |
|
|
|
|
Additions |
- |
- |
|
|
Disposals |
- |
( |
- |
( |
At 30 April 2023 |
|
|
|
|
Depreciation |
||||
At 1 May 2022 |
|
|
|
|
Charge for the year |
|
|
|
|
Eliminated on disposal |
- |
( |
- |
( |
At 30 April 2023 |
|
|
|
|
Carrying amount |
||||
At 30 April 2023 |
|
|
|
|
At 30 April 2022 |
|
|
|
|
Restriction on title and pledged as security
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Company
Fixtures and fittings |
Plant and machinery |
Total |
|
Cost or valuation |
|||
At 1 May 2022 |
|
|
|
Disposals |
- |
( |
( |
At 30 April 2023 |
|
|
|
Depreciation |
|||
At 1 May 2022 |
|
|
|
Charge for the year |
|
|
|
Eliminated on disposal |
- |
( |
( |
At 30 April 2023 |
|
|
|
Carrying amount |
|||
At 30 April 2023 |
|
|
|
At 30 April 2022 |
|
|
|
Restriction on title and pledged as security
Investments |
Company
2023 |
2022 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 May 2022 |
|
At 30 April 2023 |
|
Provision |
|
At 1 May 2022 |
|
Impairment of investment |
6,800,000 |
At 30 April 2023 |
|
Carrying amount |
|
At 30 April 2023 |
|
At 30 April 2022 |
|
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Other financial assets |
Group
Financial assets at fair value through profit and loss |
Total |
|
Non-current financial assets |
||
Cost or valuation |
||
At 1 May 2022 |
597,532 |
597,532 |
Fair value adjustments |
2,822 |
2,822 |
At 30 April 2023 |
600,354 |
600,354 |
Carrying amount |
||
At 30 April 2023 |
|
600,354 |
At 30 April 2022 |
|
597,532 |
Debtors |
Group |
Company |
||||
Note |
2023 |
2022 |
2023 |
2022 |
|
Trade debtors |
|
|
|
|
|
Amounts owed by group undertakings |
- |
- |
|
- |
|
Other debtors |
|
|
|
|
|
Prepayments |
|
|
|
- |
|
Accrued income |
|
|
|
|
|
Deferred tax assets |
- |
|
|
|
|
Corporation tax |
|
|
- |
- |
|
|
|
|
|
Cash and cash equivalents |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Cash at bank |
|
|
|
|
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Creditors |
Group |
Company |
||||
Note |
2023 |
2022 |
2023 |
2022 |
|
Due within one year |
|||||
Trade creditors |
|
|
|
|
|
Amounts owed to group undertakings |
- |
- |
- |
|
|
Social security and other taxes |
|
|
|
|
|
Outstanding defined contribution pension costs |
|
|
|
|
|
Other creditors |
|
|
|
|
|
Accruals |
|
|
|
|
|
Corporation tax |
209,312 |
- |
209,312 |
- |
|
|
|
|
|
||
Due after one year |
|||||
Other creditors |
|
|
|
|
Other creditors due after one year of £3,742,180 (2022 - £4,774,296) are secured by a fixed and floating charge over the company's assets, and guaranteed by other group companies.
Provisions for liabilities |
Group
Deferred tax |
Contract provisions |
Total |
|
At 1 May 2022 |
- |
|
|
Increase (decrease) in existing provisions |
|
|
|
At 30 April 2023 |
|
|
|
|
Deferred tax is provided on taxable temporary differences between taxable profits and profits reported in the financial statements. The resulting outflows are expected to fall due after 1 year.
Contract provisions include costs of rectification and remedial works to meet contractual terms, and for potential claims against work completed by the group. Due to the nature of contract provisions, the timing of any potential future outflows in respect of these liabilities is uncertain.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
Share capital |
Allotted, called up and fully paid shares
2023 |
2022 |
|||
No. |
£ |
No. |
£ |
|
|
|
200 |
|
200 |
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
2023 |
2022 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
- |
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Dividends |
2023 |
2022 |
|||
£ |
£ |
|||
Interim dividend of £ |
90,000 |
- |
||
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Contingent liabilities |
Group
Provision has been made for the directors' best estimate of known legal claims and actions relating to the company. The company takes legal advice as to the likelihood of success of claims and actions, and no provision is made where the directors consider, based on that advice, that the action is unlikely to succeed, or that the company cannot make a sufficiently reliable estimate of the potential obligation.
Related party transactions |
Group
Key management personnel
Key management personnel consists of the group's directors.
Summary of transactions with key management
Transactions with directors |
2023 |
At 1 May 2022 |
Advances to director |
Repayments by director |
At 30 April 2023 |
Loans to directors (interest free and repayable on demand) |
- |
|
( |
- |
2022 |
At 1 May 2021 |
Advances to director |
Repayments by director |
At 30 April 2022 |
Loans to directors (interest free and repayable on demand) |
- |
|
( |
- |
Dividends paid to directors
2023 |
2022 |
|||
|
||||
Dividends paid to directors |
90,000 |
- |
||
Summary of transactions with other related parties
The group has loans to other related parties. Loans are interest free and repayable on demand.
During the current and prior years, part of the loans were written down as a bad debt expense.
Sudbury Dry Lining Group Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Income and receivables from related parties
2023 |
Other related parties |
Expenses recognised as bad debt |
3,061 |
Amounts receivable from related party |
|
|
2022 |
Other related parties |
Expenses recognised as bad debt |
2,240 |
Amounts receivable from related party |
|
|
Expenditure with and payables to related parties
2023 |
Key management |
Other related parties |
Amounts payable to related party |
|
|
|
2022 |
Key management |
Other related parties |
Amounts payable to related party |
|
|
|
Company
Income and receivables from related parties
2023 |
Subsidiary |
Amounts receivable from related party |
|
|
Expenditure with and payables to related parties
2022 |
Subsidiary |
Amounts payable to related party |
|
|
Parent and ultimate parent undertaking |
The ultimate controlling party is