REGISTERED NUMBER: 10167031 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 |
FOR |
WILLOUGHBY (891) LIMITED |
REGISTERED NUMBER: 10167031 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 |
FOR |
WILLOUGHBY (891) LIMITED |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
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 | 3 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 15 |
WILLOUGHBY (891) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 MARCH 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditor |
35 Wilkinson Street |
Sheffield |
South Yorkshire |
S10 2GB |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
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. |
REVIEW OF BUSINESS |
The results of the group for the year and the financial position of the group are as shown in |
in the annexed financial statements. |
In respect of the year ended 31 March 2023 the group achieved a profit before tax of £5,335,282 (2022 £2,515,780) on turnover of £18,203,979 (2022 £14,244,559) |
Whilst the group enjoyed an exceptional year of activity it continues to maintain a strong focus on cost control, |
maintaining a low fixed cost base and engineering the most efficient and cost effective way to complete contracts in a market hit by changes in duty on fuel and exceptionally high costs of diesel. The directors and management team continually monitor all costs against budgets which are set to reflect continually changing levels of business activity experienced in the construction industry. |
During the year the group continued to reinvest in updating Plant, Machinery and Trucks to take advantage of business opportunities as and when they arise whilst maintaining a strong bank balance to counter the turbulent market in which it operates. |
The directors recognise that it has been an exceptional year and that operating costs need to be kept to a bare minimum. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Due to the current high costs of borrowing and inflation along with the continued high costs of diesel the construction industry is going through a period of uncertainty putting exceptional strain on contractors. |
The group has also had to absorb in its cash flow the adverse effect of reverse VAT which was introduced by the government in 2021. |
The directors and management team are continually working on contingency plans to cover fixed costs until the uncertainty clears. |
CURRENT AND FUTURE DEVELOPMENT |
On 24 February 2023 the shares in the holding company transitioned to an Employee Ownership Trust (EOT). |
By forming an Employee-Owned Trust (EOT) the directors believe that the group can best serve its customers, |
employees and all other stakeholders by retaining the values and culture which sit at the heart of the business. |
The directors undertake to continue to maintain and adapt the strategies that have been developed to grow the business and look for new markets and innovative ways to undertake contracts to further compliment the existing portfolio of high quality customers and services. |
ON BEHALF OF THE BOARD: |
2 November 2023 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
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 an excavations and demolitions contractor. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 March 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report. |
DISCLOSURE IN THE STRATEGIC REPORT |
Certain items required under Schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports Regulations) 2008 to be disclosed in the directors' report are set out in the Strategic Report in accordance with Section 414C(11) Companies Act 2006. |
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). 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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MARCH 2023 |
AUDITORS |
The auditors, Hollis and Co 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 |
WILLOUGHBY (891) LIMITED |
Opinion |
We have audited the financial statements of Willoughby (891) 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 Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
WILLOUGHBY (891) LIMITED |
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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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. |
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: |
We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of |
irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including |
fraud is detailed below: |
- Enquiry of management, those charged with governance and the entity's in-house legal team around actual and |
potential litigation and claims; |
- Enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and |
regulations; |
- Reviewing minutes of meetings of those charged with governance; |
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with |
applicable laws and regulations. |
- Performing audit work over the risk of management override of controls, including testing of journal entries and |
other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
WILLOUGHBY (891) LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Statutory Auditor |
35 Wilkinson Street |
Sheffield |
South Yorkshire |
S10 2GB |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
CONSOLIDATED INCOME STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 18,203,979 | 14,244,559 |
Cost of sales | 10,278,338 | 9,706,478 |
GROSS PROFIT | 7,925,641 | 4,538,081 |
Administrative expenses | 2,500,542 | 1,983,385 |
5,425,099 | 2,554,696 |
Other operating income | 21,891 | - |
OPERATING PROFIT | 4 | 5,446,990 | 2,554,696 |
Interest receivable and similar income | 5,742 | 661 |
5,452,732 | 2,555,357 |
Interest payable and similar expenses | 5 | 117,450 | 39,577 |
PROFIT BEFORE TAXATION | 5,335,282 | 2,515,780 |
Tax on profit | 6 | 820,630 | 1,039,349 |
PROFIT FOR THE FINANCIAL YEAR |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
CONSOLIDATED BALANCE SHEET |
31 MARCH 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 | 2,205,129 | 1,989,528 |
Investments | 10 | - | - |
Investment property | 11 | 781,764 | - |
2,986,893 | 1,989,528 |
CURRENT ASSETS |
Debtors | 12 | 2,037,314 | 3,366,022 |
Cash at bank and in hand | 2,221,856 | 1,600,398 |
4,259,170 | 4,966,420 |
CREDITORS |
Amounts falling due within one year | 13 | 2,637,526 | 3,718,171 |
NET CURRENT ASSETS | 1,621,644 | 1,248,249 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,608,537 |
3,237,777 |
CREDITORS |
Amounts falling due after more than one year |
14 |
(1,425,194 |
) |
(1,086,415 |
) |
PROVISIONS FOR LIABILITIES | 18 | (553,147 | ) | (498,729 | ) |
NET ASSETS | 2,630,196 | 1,652,633 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 100 | 100 |
Share premium | 20 | 199,900 | 199,900 |
Capital redemption reserve | 20 | 300,000 | 300,000 |
Retained earnings | 20 | 2,130,196 | 1,152,633 |
SHAREHOLDERS' FUNDS | 2,630,196 | 1,652,633 |
The financial statements were approved by the Board of Directors and authorised for issue on 2 November 2023 and were signed on its behalf by: |
J M Prutton - Director |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
COMPANY BALANCE SHEET |
31 MARCH 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
Investment property | 11 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
14 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Share premium | 20 |
Capital redemption reserve | 20 |
Retained earnings | 20 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 4,299,363 | 1,245,333 |
The financial statements were approved by the Board of Directors and authorised for issue on |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MARCH 2023 |
Called up | Capital |
share | Retained | Share | redemption | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 April 2021 | 100 | 396,202 | 199,900 | 300,000 | 896,202 |
Changes in equity |
Total comprehensive income | - | 1,476,431 | - | - | 1,476,431 |
Dividends | - | (720,000 | ) | - | - | (720,000 | ) |
Balance at 31 March 2022 | 100 | 1,152,633 | 199,900 | 300,000 | 1,652,633 |
Changes in equity |
Total comprehensive income | - | 4,514,652 | - | - | 4,514,652 |
Contribution to EOT | - | (3,537,089 | ) | - | - | (3,537,089 | ) |
Balance at 31 March 2023 | 100 | 2,130,196 | 199,900 | 300,000 | 2,630,196 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MARCH 2023 |
Called up | Capital |
share | Retained | Share | redemption | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 April 2021 |
Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - | - |
Balance at 31 March 2022 |
Changes in equity |
Total comprehensive income | - | - |
Contribution to EOT | - | (3,537,089 | ) | - | - | (3,537,089 | ) |
Balance at 31 March 2023 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 6,389,976 | 2,763,273 |
Interest paid | (42,327 | ) | 16,901 |
Interest element of hire purchase payments paid |
(75,123 |
) |
(56,478 |
) |
Tax paid | (855,123 | ) | (693,726 | ) |
Taxation refund | 77,119 | - |
Net cash from operating activities | 5,494,522 | 2,029,970 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,012,742 | ) | (1,086,618 | ) |
Purchase of investment property | (781,764 | ) | - |
Sale of tangible fixed assets | 200,099 | 470,850 |
Interest received | 5,742 | 661 |
Adjustment to historic acquisition price | - | (97,538 | ) |
Net cash from investing activities | (1,588,665 | ) | (712,645 | ) |
Cash flows from financing activities |
New bank loans in year | 525,000 | - |
Bank loan repayments in year | (376,692 | ) | (183,372 | ) |
New HP contracts | 840,107 | 824,258 |
Capital repayments on HP contract | (735,725 | ) | (895,378 | ) |
Equity dividends paid | - | (720,000 | ) |
Contributions made to EOT | (3,537,089 | ) | - |
Net cash from financing activities | (3,284,399 | ) | (974,492 | ) |
Increase in cash and cash equivalents | 621,458 | 342,833 |
Cash and cash equivalents at beginning of year |
2 |
1,600,398 |
1,257,565 |
Cash and cash equivalents at end of year | 2 | 2,221,856 | 1,600,398 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 5,335,282 | 2,515,780 |
Depreciation charges | 703,635 | 607,691 |
Profit on disposal of fixed assets | (106,593 | ) | (154,725 | ) |
Finance costs | 117,450 | 39,577 |
Finance income | (5,742 | ) | (661 | ) |
6,044,032 | 3,007,662 |
Decrease/(increase) in trade and other debtors | 1,328,708 | (242,868 | ) |
Decrease in trade and other creditors | (982,764 | ) | (1,521 | ) |
Cash generated from operations | 6,389,976 | 2,763,273 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 March 2023 |
31/3/23 | 1/4/22 |
£ | £ |
Cash and cash equivalents | 2,221,856 | 1,600,398 |
Year ended 31 March 2022 |
31/3/22 | 1/4/21 |
£ | £ |
Cash and cash equivalents | 1,600,398 | 1,257,565 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1/4/22 | Cash flow | At 31/3/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,600,398 | 621,458 | 2,221,856 |
1,600,398 | 621,458 | 2,221,856 |
Debt |
Finance leases | (1,524,956 | ) | (104,382 | ) | (1,629,338 | ) |
Debts falling due within 1 year | (197,653 | ) | 175,377 | (22,276 | ) |
Debts falling due after 1 year | (158,277 | ) | (323,685 | ) | (481,962 | ) |
(1,880,886 | ) | (252,690 | ) | (2,133,576 | ) |
Total | (280,488 | ) | 368,768 | 88,280 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2023 |
1. | STATUTORY INFORMATION |
Willoughby (891) Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
The consolidated financial statements cover a group of entities. |
The figures in the financial statements are rounded to the nearest £. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The Group financial statements consolidate the financial statements of Willoughby (891) Limited and all its subsidiary undertakings. The Group profit and loss account includes the results of Willoughby (891) Limited and all its subsidiaries after intra group trading and profits have been eliminated. |
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. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Significant judgements and estimates |
- Key sources of estimation uncertainty. |
The group believes that there are no areas of material estimation uncertainty which affect the financial |
statements. |
- Critical accounting judgements in applying the Group's accounting policies. |
The Group believes that the major judgements applied are: |
- The use of the going concern principle which is based on the belief that the company will have adequate |
resources to continue in operational existence for the foreseeable future. |
- Based on a review of the ongoing trading budgets and forecasts of its investments, that there is no need to impair those investments and debtor balances due to the company from those entities. |
Turnover |
Turnover represents the amounts ( excluding value added tax) derived from the provision of goods and services to customers during the year, other than on certain long term contracts, where the estimated sales value of work performed in the year is included. Turnover is recognised when the company has transferred the significant risks and rewards of ownership to the buyer and it is probable that the company will receive the invoiced amount. |
Long term contracts are those exceeding 12 months and any other shorter duration which are material to the |
activity of the period. Attributable profit is recognised once the outcome of a long term contract can be assessed with reasonable certainty. Attributable profit is recognised on the cost percentage completion method. Immediate provision is made for all foreseeable losses if a contract is assessed as unprofitable |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Tangible fixed assets are stated at the historical cost less accumulated depreciation and any accumulated |
impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to its |
present location and condition |
Investment property |
Investment properties are those properties owned by the group that are held either to earn rental income or for capital appreciation or both. Investment properties are measured initially at cost, including related transaction costs . After initial recognition at cost, investment properties are carried at their fair value. |
Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss |
Financial instruments |
Financial Assets and Liabilities |
The company's group loans receivable and payable meet the definition of a basic financial instrument, so they are originally recognised at the transaction price. |
Debt instruments which are financing transactions at a rate of interest that is not a market rate. |
Where debt instruments are classified as assets due after more than one year or long term liabilities, then the |
company measures these at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
Where debt instruments are classified as current assets or current liabilities, then there is no present value |
adjustment to the initial measurement based on amortised cost |
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 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. |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
2. | ACCOUNTING POLICIES - continued |
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. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 2,107,708 | 1,727,893 |
Social security costs | 237,436 | 182,775 |
Other pension costs | 73,474 | 113,656 |
2,418,618 | 2,024,324 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Office and administration | 8 | 8 |
Operational | 36 | 35 |
2023 | 2022 |
£ | £ |
Directors' remuneration | 200,199 | 117,694 |
Directors' pension contributions to money purchase schemes | 36,343 | 55,145 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 1 | 1 |
Information regarding the highest paid director for the year ended 31 March 2023 is as follows: |
2023 |
£ |
Emoluments etc | 200,199 |
Pension contributions to money purchase schemes | 36,343 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Depreciation - owned assets | 132,319 | 76,512 |
Depreciation - assets on hire purchase contracts | 571,316 | 531,179 |
Profit on disposal of fixed assets | (106,593 | ) | (154,725 | ) |
Audit of the company | 6,000 | 2,500 |
Audit of other group entities | 18,000 | 16,000 |
Operating lease payments | 228,443 | 219,223 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest | 42,327 | 38,595 |
Loan | - | (55,496 | ) |
Hire purchase | 75,123 | 56,478 |
117,450 | 39,577 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 945,847 | 392,864 |
Adjustment to prior year | (179,637 | ) | 588,538 |
Total current tax | 766,210 | 981,402 |
Deferred tax | 54,420 | 57,947 |
Tax on profit | 820,630 | 1,039,349 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
6. | TAXATION - continued |
Reconciliation of total tax 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 | 5,335,282 | 2,515,780 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
1,013,704 |
477,998 |
Effects of: |
Expenses not deductible for tax purposes | 12,019 | 5,509 |
Capital allowances in excess of depreciation | (79,876 | ) | (90,643 | ) |
Adjustments to tax charge in respect of previous periods | (179,637 | ) | 588,538 |
Increase in deferred tax provision | 54,420 | 57,947 |
Total tax charge | 820,630 | 1,039,349 |
7. | 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. |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Ordinary shares of £1 each |
Interim | - | 720,000 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
9. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Plant and | and | Motor |
machinery | fittings | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 1 April 2022 | 1,963,794 | 29,674 | 88,737 | 2,082,205 |
Additions | 967,476 | 4,765 | 40,501 | 1,012,742 |
Disposals | (563,575 | ) | - | (27,321 | ) | (590,896 | ) |
At 31 March 2023 | 2,367,695 | 34,439 | 101,917 | 2,504,051 |
DEPRECIATION |
At 1 April 2022 | 41,107 | 24,088 | 27,482 | 92,677 |
Charge for year | 686,202 | 2,972 | 14,461 | 703,635 |
Eliminated on disposal | (482,875 | ) | - | (14,515 | ) | (497,390 | ) |
At 31 March 2023 | 244,434 | 27,060 | 27,428 | 298,922 |
NET BOOK VALUE |
At 31 March 2023 | 2,123,261 | 7,379 | 74,489 | 2,205,129 |
At 31 March 2022 | 1,922,687 | 5,586 | 61,255 | 1,989,528 |
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 | 2,602,632 | 88,737 | 2,691,369 |
Additions | 921,453 | 40,501 | 961,954 |
Disposals | (236,100 | ) | (27,321 | ) | (263,421 | ) |
Transfer to ownership | (307,500 | ) | (29,071 | ) | (336,571 | ) |
At 31 March 2023 | 2,980,485 | 72,846 | 3,053,331 |
DEPRECIATION |
At 1 April 2022 | 895,262 | 27,482 | 922,744 |
Charge for year | 556,855 | 14,461 | 571,316 |
Eliminated on disposal | (155,400 | ) | (14,515 | ) | (169,915 | ) |
Transfer to ownership | (220,376 | ) | (17,319 | ) | (237,695 | ) |
At 31 March 2023 | 1,076,341 | 10,109 | 1,086,450 |
NET BOOK VALUE |
At 31 March 2023 | 1,904,144 | 62,737 | 1,966,881 |
At 31 March 2022 | 1,707,370 | 61,255 | 1,768,625 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
10. | FIXED ASSET INVESTMENTS |
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 Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Westfield Court, Lower Wortley Road, Leeds LS12 4PX |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Westfield Court, Lower Wortley Road, Leeds LS12 4PX |
Nature of business: |
% |
Class of shares: | holding |
11. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
Additions | 781,764 |
At 31 March 2023 | 781,764 |
NET BOOK VALUE |
At 31 March 2023 | 781,764 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
11. | INVESTMENT PROPERTY - continued |
Company |
Total |
£ |
FAIR VALUE |
Additions |
At 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
12. | DEBTORS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 1,102,724 | 217,996 |
Amounts recoverable on contract | 582,009 | 2,582,490 |
Other debtors | 131,756 | 159,020 |
VAT | 22,339 | 167,115 |
Prepayments | 118,196 | 64,940 |
1,957,024 | 3,191,561 |
Amounts falling due after more than one | year: |
Trade debtors | 80,290 | 174,461 |
Aggregate amounts | 2,037,314 | 3,366,022 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 15) | 22,276 | 197,653 |
Hire purchase contracts (see note 16) | 686,106 | 596,818 |
Trade creditors | 1,057,396 | 1,996,159 |
Amounts owed to group undertakings | - | - |
Tax | 382,343 | 392,864 |
Social security and other taxes | 44,323 | 75,075 |
VAT | - | - | 17,661 | - |
Other creditors | 1,697 | 3,148 |
Accrued expenses | 443,385 | 456,454 |
2,637,526 | 3,718,171 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 15) | 481,962 | 158,277 |
Hire purchase contracts (see note 16) | 943,232 | 928,138 |
1,425,194 | 1,086,415 |
15. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 22,276 | 197,653 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 23,895 | 158,277 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 458,067 | - |
16. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 686,106 | 596,818 |
Between one and five years | 943,232 | 928,138 |
1,629,338 | 1,524,956 |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 152,172 | 265,315 |
Between one and five years | 56,428 | 39,533 |
208,600 | 304,848 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
17. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans | 504,238 | 355,930 |
Hire purchase contracts | 1,629,338 | 1,524,956 | - | - |
2,133,576 | 1,880,886 |
The company's bank loan is secured by way of a specific legal mortgage over the groups investment property. |
The Hire Purchase obligations are secured by the assets to which they relate. |
18. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 543,147 | 488,729 |
Other provisions | 10,000 | 10,000 |
Aggregate amounts | 553,147 | 498,729 |
Group |
Deferred |
tax | Siterestoration |
£ | £ |
Balance at 1 April 2022 | 488,729 | 10,000 |
Charge to Income Statement during year | 54,418 | - |
Balance at 31 March 2023 | 543,147 | 10,000 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
20. | RESERVES |
Group |
Capital |
Retained | Share | redemption |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 1 April 2022 | 1,152,633 | 199,900 | 300,000 | 1,652,533 |
Profit for the year | 4,514,652 | - | - | 4,514,652 |
Contribution to EOT | (3,537,089 | ) | - | - | (3,537,089 | ) |
At 31 March 2023 | 2,130,196 | 199,900 | 300,000 | 2,630,096 |
Company |
Capital |
Retained | Share | redemption |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 1 April 2022 | 1,099,904 |
Profit for the year |
Contribution to EOT | (3,537,089 | ) | - | - | (3,537,089 | ) |
At 31 March 2023 | 1,862,178 |
21. | PENSION COMMITMENTS |
The group makes payments to certain defined contribution personal pension schemes for eligible directors |
and staff, the assets of which are held separately from those of the company in independently administered funds. During the year ended 31 March 2023 contributions amounting to £73,474 (2022 : £113,656) were charged in the company's profit and loss account. |
22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 31 March 2023 and 31 March 2022: |
2023 | 2022 |
£ | £ |
P Horsnall |
Balance outstanding at start of year | - | - |
Amounts advanced | 225,000 | - |
Amounts repaid | (225,000 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | - |
WILLOUGHBY (891) LIMITED (REGISTERED NUMBER: 10167031) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2023 |
22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES - continued |
J M Prutton |
Balance outstanding at start of year | - | - |
Amounts advanced | 225,000 | - |
Amounts repaid | (225,000 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | - |
C Fitton |
Balance outstanding at start of year | - | - |
Amounts advanced | 15,000 | - |
Amounts repaid | (15,000 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | - |
23. | RELATED PARTY DISCLOSURES |
Key management personnel of the entity or its parent (in the aggregate) |
2023 | 2022 |
£ | £ |
Purchases | 72,000 | 99,000 |
The company receives invoices for consultancy services which are provided by certain directors in a self employed capacity. |
Entities that provide key management personnel services to the entity |
2023 | 2022 |
£ | £ |
Purchases | 162,000 | 146,690 |
The company receives invoices for management services provided by businesses which are controlled by certain directors of the company . |