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REGISTERED NUMBER: 02659028 (England and Wales)







STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2023

FOR

STEWARTS PLUMBING & HEATING LIMITED

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Statement of Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Notes to the Financial Statements 12


STEWARTS PLUMBING & HEATING LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 30 APRIL 2023







DIRECTORS: S N Angus
I S Jamison
P Brown





SECRETARY: B O Jamison





REGISTERED OFFICE: Stewart Court
21 Coventry Road
Coleshill
Birmingham
B46 3BB





REGISTERED NUMBER: 02659028 (England and Wales)





AUDITORS: Prime
Chartered Accountants
Statutory Auditor
161 Newhall Street
Birmingham
B3 1SW

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2023


The directors present their strategic report for the year ended 30 April 2023.

REVIEW OF BUSINESS
The results of the company for the year ended 30 April 2023 showed a net profit of £49,561 (2022: £284,376) and turnover of £19.7 million (2022: £18.6 million).

During the year the company faced a number of challenges with the rise in inflation; higher transport costs due to the increase in fuel prices; and the continued shortage of skilled labour.

Brexit and the war in Ukraine has affected the supply of materials and spare parts, causing delays in production and restricting sales volumes.

Although the challenges caused by the Covid-19 pandemic reduced significantly, there was still an element of disruption within the work force with an increase in staff absence.

The company's customer base is principally house builders, but has a strong and growing domestic market for servicing and maintenance. The company is pleased with the overall performance of the business this year, although has felt the pressures on gross margin due to the extreme nature of the competitiveness within the house building sector. Relationships with clients and suppliers remain strong, with regular communication key to minimising financial risk and successful operational delivery.

The management team remain optimistic about the future prospects of the business despite the looming threat of inflation and the energy crisis. Efficiencies have been introduced and continue to be driven throughout the business whilst maintaining a good reputation within the house building sector. The management team feel the company has the flexibility to withstand any changes whilst having a firm control of costs.

PRINCIPAL RISKS AND UNCERTAINTIES
The risks associated with the business primarily revolve around the level of activity in the housing market, which has a direct impact on the core business of the company.

Retentions withheld as part of contractual obligations is also a risk inherent in this type of business as it involves a portion of payment being withheld by a number of key clients for up to two years from the completion of the contract.

The current economic climate is a risk due to its trading activity in the construction industry. Consequently the company continues to monitor these situations closely and will react accordingly.


STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2023

KEY PERFORMANCE INDICATORS ("KPIS")
The main KPIs for the company are discussed below.

A key indicator is the gross profit percentage (being the ratio of gross profit to turnover) which has decreased to 10.18 % (2022: 11.4%), which moved the margin back to historical levels. The operating profit percentage (being the ratio of operating profit to turnover) has fallen to 1.0% (2022: 2.27%).

Another KPI is the EBITDA percentage (being the ratio of profit on ordinary activities before interest, taxation, depreciation and amortisation to turnover) which has fallen to 1% (2022: 2.9%), reflecting the company's strategy of investment for future growth and the challenging market it faces.

The company is monitoring these KPI's closely and continues to find efficiencies in all divisions to help improve these indicators.

ON BEHALF OF THE BOARD:





B O Jamison - Secretary


10 October 2023

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 APRIL 2023


The directors present their report with the financial statements of the company for the year ended 30 April 2023.

DIVIDENDS
The total distribution of dividends for the year ended 30 April 2023 was £70,796 (2022 : £79,931).

DIRECTORS
The directors during the year under review were:

S N Angus
I S Jamison
P Brown

The directors holding office at 30 April 2023 did not hold any beneficial interest in the issued share capital of the company at 1 May 2022 or 30 April 2023.

The directors interests in the ultimate parent company, Stewarts Holdings (UK) Limited, can be found in the financial statements of that company.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 APRIL 2023


AUDITORS
The auditors, Prime, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:



B O Jamison - Secretary


10 October 2023

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
STEWARTS PLUMBING & HEATING LIMITED


Opinion
We have audited the financial statements of Stewarts Plumbing & Heating Limited (the 'company') for the year ended 30 April 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity 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 company's affairs as at 30 April 2023 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
STEWARTS PLUMBING & HEATING LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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 industry 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;

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
STEWARTS PLUMBING & HEATING LIMITED


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 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;
- enquiring of management as to actual and potential litigation and claims; and
- reviewing correspondence with HMRC and other relevant parties.

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 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.




Leigh Dudley FCCA (Senior Statutory Auditor)
for and on behalf of Prime
Chartered Accountants
Statutory Auditor
161 Newhall Street
Birmingham
B3 1SW

10 October 2023

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2023

2023 2022
Notes £    £   

TURNOVER 3 19,716,831 18,612,154

Cost of sales 17,709,976 16,489,921
GROSS PROFIT 2,006,855 2,122,233

Administrative expenses 1,911,020 1,719,171
95,835 403,062

Other operating income - 19,125
OPERATING PROFIT 5 95,835 422,187


Interest payable and similar expenses 6 50,270 43,639
PROFIT BEFORE TAXATION 45,565 378,548

Tax on profit 7 (3,996 ) 94,172
PROFIT FOR THE FINANCIAL YEAR 49,561 284,376

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

49,561

284,376

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

BALANCE SHEET
30 APRIL 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 9 347,300 440,511

CURRENT ASSETS
Stocks 10 628,689 526,810
Debtors 11 4,940,004 5,055,728
Cash in hand 177 2,269
5,568,870 5,584,807
CREDITORS
Amounts falling due within one year 12 4,120,928 4,126,568
NET CURRENT ASSETS 1,447,942 1,458,239
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,795,242

1,898,750

CREDITORS
Amounts falling due after more than one
year

13

(121,936

)

(182,478

)

PROVISIONS FOR LIABILITIES 17 (79,661 ) (101,392 )
NET ASSETS 1,593,645 1,614,880

CAPITAL AND RESERVES
Called up share capital 18 250,000 250,000
Other reserves 19 6,189 6,189
Retained earnings 19 1,337,456 1,358,691
SHAREHOLDERS' FUNDS 1,593,645 1,614,880

The financial statements were approved by the Board of Directors and authorised for issue on 10 October 2023 and were signed on its behalf by:





I S Jamison - Director


STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2023

Called up
share Retained Other Total
capital earnings reserves equity
£    £    £    £   

Balance at 1 May 2021 250,000 1,154,246 6,189 1,410,435

Changes in equity
Dividends - (79,931 ) - (79,931 )
Total comprehensive income - 284,376 - 284,376
Balance at 30 April 2022 250,000 1,358,691 6,189 1,614,880

Changes in equity
Dividends - (70,796 ) - (70,796 )
Total comprehensive income - 49,561 - 49,561
Balance at 30 April 2023 250,000 1,337,456 6,189 1,593,645

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2023


1. STATUTORY INFORMATION

Stewarts Plumbing & Heating Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


2. ACCOUNTING POLICIES

Basis of preparing the financial statements
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 financial statements have been prepared under the historical cost convention.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows;
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and
11.48(c);
the requirements of paragraphs 26.18(b), 26.19 to 26.21 and 26.23;
the requirement of paragraph 33.7.

The results of the company are consolidated in the ultimate parent's financial statements and these can be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.

Related party exemption
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover
Income is recognised upon completion of agreed stages of installation. This includes retentions on completed work. Retentions not received are included in trade debtors. Those retentions which are judged irrecoverable are provided against or written off as bad debts.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Improvements to property - 10% on cost and 4% on cost
Fixtures and fittings - 15% on reducing balance
Motor vehicles - 25% on reducing balance

Stocks
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.


STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit and loss in the period to which they relate. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the balance sheet.

Impairment of assets
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss.

For financial assets carried at amortised costs, the amount of an impairment is the difference between the asset's carrying amount and the present value of estimated future cash flows, discounted at the financial asset's original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset's carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Impairment of assets - continued
Where indicators exist for the decrease in impairment loss, and the decrease can be related objectively to an event occuring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


2. ACCOUNTING POLICIES - continued

Share-based payments
The company's ultimate parent issues equity-settled share options to certain employees within the company. Equity-settled share-based payment transactions are measured at fair value.

Fair value is measured by use of an earnings valuation model which is considered by management to be the most appropriate method of valuation.

The fair value of options in issue but not exercised are contained within other reserves. Where options have been granted but not vested, the directors have estimated how many they believe will ultimately vest and they have adopted this estimation in their value calculation.

Share options issued in the group scheme as consideration for employment services provided are treated as an expense of the company in the period and credited to a capital contribution reserve at their fair value.

3. TURNOVER

All turnover arises from sales to UK customers in respect of the company's principal activity.

4. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 758,048 543,037
Social security costs 68,937 52,699
Other pension costs 42,354 40,819
869,339 636,555

The average number of employees during the year was as follows:
2023 2022

Plumbers 16 6
Management and administration 10 11
Directors 3 3
29 20

2023 2022
£    £   
Directors' remuneration 92,701 92,930
Directors' pension contributions to money purchase schemes 1,327 1,327

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


5. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2023 2022
£    £   
Other operating leases 50,000 50,000
Depreciation - owned assets 109,255 120,940
(Profit)/loss on disposal of fixed assets (35,071 ) 3,996
Auditors' remuneration 15,916 14,493

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Bank interest 21,196 8,396
Bank loan interest 21,682 25,392
Leasing 7,392 9,851
50,270 43,639

7. TAXATION

Analysis of the tax (credit)/charge
The tax (credit)/charge on the profit for the year was as follows:
2023 2022
£    £   
Current tax:
UK corporation tax 17,735 78,913

Deferred tax (21,731 ) 15,259
Tax on profit (3,996 ) 94,172

Reconciliation of total tax (credit)/charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2023 2022
£    £   
Profit before tax 45,565 378,548
Profit multiplied by the standard rate of corporation tax in the UK of
19.493% (2022 - 19%)

8,882

71,924

Effects of:
Expenses not deductible for tax purposes 3,537 2,607
Depreciation in excess of capital allowances 6,220 5,113
Losses group relieved (904 ) (731 )
Deferred tax movement (21,731 ) 15,259

Total tax (credit)/charge (3,996 ) 94,172

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


8. DIVIDENDS
2023 2022
£    £   
Ordinary shares of £1 each
Interim 70,796 79,931

9. TANGIBLE FIXED ASSETS
Improvements Fixtures
to and Motor
property fittings vehicles Totals
£    £    £    £   
COST
At 1 May 2022 460,743 82,176 929,859 1,472,778
Additions - - 35,989 35,989
Disposals - - (58,900 ) (58,900 )
At 30 April 2023 460,743 82,176 906,948 1,449,867
DEPRECIATION
At 1 May 2022 285,548 68,698 678,021 1,032,267
Charge for year 42,848 2,022 64,385 109,255
Eliminated on disposal - - (38,955 ) (38,955 )
At 30 April 2023 328,396 70,720 703,451 1,102,567
NET BOOK VALUE
At 30 April 2023 132,347 11,456 203,497 347,300
At 30 April 2022 175,195 13,478 251,838 440,511

10. STOCKS
2023 2022
£    £   
Raw materials 442,728 359,093
Work-in-progress 185,961 167,717
628,689 526,810

11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 2,973,255 3,354,570
Other debtors 148,779 103,525
Amounts due from group
companies 1,564,544 1,311,069
VAT 253,426 286,564
4,940,004 5,055,728

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Bank loans and overdrafts (see note 14) 832,248 525,060
Other loans (see note 14) 60,542 54,695
Trade creditors 3,047,587 2,992,865
Tax 80,919 78,913
Social security and other taxes 17,778 23,659
Other creditors 81,854 314,641
Amounts due to related
parties - 136,735
4,120,928 4,126,568

13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2023 2022
£    £   
Other loans (see note 14) 121,936 182,478

14. LOANS

An analysis of the maturity of loans is given below:

2023 2022
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts 832,248 525,060
Other loans 60,542 54,695
892,790 579,755

Amounts falling due between one and two years:
Other loans - 1-2 years 67,014 60,542

Amounts falling due between two and five years:
Other loans - 2-5 years 54,922 121,936

15. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£    £   
Within one year 16,667 56,329
Between one and five years - 16,667
16,667 72,996

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


16. SECURED DEBTS

The following secured debts are included within creditors:

2023 2022
£    £   
Bank overdrafts 832,248 525,060

Bank borrowings are secured by a fixed and floating charge over the assets of the company. An unlimited cross guarantee also exists between the bank and the company and its immediate parent company Stewarts Midco Limited.

17. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax
Accelerated capital allowances 79,661 101,392

Deferred
tax
£   
Balance at 1 May 2022 101,392
Provided during year (21,731 )
Balance at 30 April 2023 79,661

18. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
250,000 Ordinary £1 250,000 250,000

The company has one class of ordinary shares which carry full rights to voting, dividends and return of capital on wind up of the company. The ordinary shares do not carry any right to fixed income.

STEWARTS PLUMBING & HEATING LIMITED (REGISTERED NUMBER: 02659028)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2023


19. RESERVES
Retained Other
earnings reserves Totals
£    £    £   

At 1 May 2022 1,358,691 6,189 1,364,880
Profit for the year 49,561 - 49,561
Dividends (70,796 ) - (70,796 )
At 30 April 2023 1,337,456 6,189 1,343,645

The company's reserves are as follows:

The retained earnings reserve, which represents cumulative profits or losses net of dividends paid.

The other reserves represent the cumulative effect of movements in the valuation of the group share option scheme, net of deferred tax of £1,452 (2022: £1,452).

20. ULTIMATE PARENT COMPANY

The company is a wholly owned subsidiary of Stewarts Midco Ltd (intermediate parent company) and ultimately owned by Stewarts Holdings (UK) Limited. Both companies are registered in England and Wales, and both company's financial statements are consolidated in Stewarts Holdings (UK) Limited. The consolidated financial statements are available from Companies House, Cardiff, CF14 3UZ.

The registered office address for Stewarts Holdings (UK) Limited is Charter House, 161 Newhall Street, Birmingham, B3 1SW.

21. OTHER FINANCIAL COMMITMENTS

There is an unlimited cross guarantee in place between Stewarts Midco Limited and Stewarts Plumbing & Heating Limited. At 30 April 2023 Stewarts Plumbing & Heating Limited had a bank overdraft outstanding of £832,248 (2022: £525,060) which was potentially repayable by Stewarts Midco Limited under this guarantee.

22. RELATED PARTY DISCLOSURES

During the year the company paid rent of £50,000 (2022: £50,000) to a partnership in which a director is a partner for use of premises.


Included within accrued expenditure is £Nil (2022: £120,000) due to a company in which the directors have an interest.

23. ULTIMATE CONTROLLING PARTY

There is no ultimate controlling party due to the virtue of the shareholding in the ultimate parent company Stewarts Holdings (UK) Limited.