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REGISTERED NUMBER: 01203774 (England and Wales)















GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

FOR

SHEPCOTE HOLDINGS LIMITED

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

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 4

Consolidated Income Statement 8

Consolidated Other Comprehensive Income 9

Consolidated Statement of Financial Position 10

Company Statement of Financial Position 11

Consolidated Statement of Changes in Equity 12

Company Statement of Changes in Equity 13

Consolidated Statement of Cash Flows 14

Notes to the Consolidated Statement of Cash Flows 15

Notes to the Consolidated Financial Statements 16


SHEPCOTE HOLDINGS LIMITED

COMPANY INFORMATION
for the year ended 31 March 2023







DIRECTORS: E R Shepherdson
J N Wild





SECRETARY: Mrs I M Shepherdson





REGISTERED OFFICE: Pexton Road
Kelleythorpe Industrial Estate
Driffield
East Yorkshire
YO25 9DJ





REGISTERED NUMBER: 01203774 (England and Wales)

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

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 for the year show an increase in annual group revenue of 4.5% and a small decrease in the group's gross margin to 15.5% (2022 - 15.6%).

After distribution, administration and finance costs, the group recorded a profit before tax of £741,964 (2022 - £970,262). The consolidated balance sheet shows an improvement of £398,251 in shareholders funds and a reduction in borrowing.

The last financial year was another unpredictable year dominated by geopolitical uncertainty with Russia's invasion of Ukraine. Further challenges were faced following the Covid-19 Omicron variant, which caused further supply chain disruption and serious inflationary pressures. Climate change is affecting crops around the world leading to greater price fluctuations.

Thanks must go to our Senior Management Team and all our staff for their dedication and hard work.

Shepcote remains flexible to meet the challenges ahead with strong net assets and a varied customer base.

PRINCIPAL RISKS AND UNCERTAINTIES
The directors believe the existing systems are appropriate to the business. No material losses or contingencies have arisen during the 12 months trading period that would require disclosure by the directors.

The management of the business and the execution of the group's strategy are subject to a number of risks. The key business risks and uncertainties affecting the group are considered to relate to supply continuity within the sugar division. EU and world sugar prices have continued to be volatile due to availability and competition, which has a knock on effect for the group, and it seems profitability in the immediate future in this area will continue to be challenging.

Bad debts continue to be an ongoing problem. However, because of the spread of debts within the sales ledger and solid bank facilities, the group can manage any liquidity problems.

The group does not use financial instruments as part of its financial risk management. It is exposed to the usual credit risk and cash flow risk that is associated with selling on credit and manages this through credit control procedures. The nature of its financial instruments means they are not subject to price risk or liquidity risk.

ON BEHALF OF THE BOARD:





E R Shepherdson - Director


7 November 2023

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

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 sugar merchanting, wholesaling of speciality foods and the manufacturing of marzipan and allied products.

DIVIDENDS
Information relating to dividends can be found in the Notes to the Financial Statements.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 April 2022 to the date of this report.

E R Shepherdson
J N Wild

DISCLOSURE IN THE STRATEGIC REPORT
The fair review of the company's business including future developments and details of the principal risks and uncertainties facing the company are included in the Strategic Report.

DIRECTORS' RESPONSIBILITIES STATEMENT
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.

ON BEHALF OF THE BOARD:





E R Shepherdson - Director


7 November 2023

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
SHEPCOTE HOLDINGS LIMITED


Opinion
We have audited the financial statements of Shepcote Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2023 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

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

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

Other matter
The corresponding figures relating to the prior period were not audited.

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
SHEPCOTE HOLDINGS 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 Directors' Responsibilities Statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
SHEPCOTE HOLDINGS LIMITED


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

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

We obtained an understanding of the legal and regulatory requirements applicable to the parent company and group and considered that the most significant are the Companies Act 2006, the Food Safety Act 1990 and applicable food standards, UK financial reporting standards as issued by the Financial Reporting Council, taxation legislation, employment, and health and safety legislation.

We obtained an understanding of how the group complies with these requirements by discussions with management and those charged with governance and inquired as to any known or suspected instances of non-compliance with laws and regulations.

We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance 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:
- perform analytical procedures to identify any unusual or unexpected relationships;
- test journal entries to identify unusual transactions;
- assess whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
- investigate the rationale behind significant or unusual transactions.

To address 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, relevant regulators and the company's legal advisors as necessary.

Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances 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.

The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission, or misrepresentation.

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
SHEPCOTE HOLDINGS 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.




Sarah-Jane Sargent (Senior Statutory Auditor)
for and on behalf of Smailes Goldie Watson Limited
Statutory Auditors
Chartered Accountants
12 Alma Square
Scarborough
North Yorkshire
YO11 1JU

7 November 2023

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

CONSOLIDATED INCOME STATEMENT
for the year ended 31 March 2023

2023 2022
Notes £    £    £    £   

REVENUE 3 15,388,090 14,725,050

Cost of sales 13,004,913 12,429,574
GROSS PROFIT 2,383,177 2,295,476

Distribution costs 698,559 707,062
Administrative expenses 959,043 666,613
1,657,602 1,373,675
725,575 921,801

Other operating income 4 11,873 47,701
OPERATING PROFIT 6 737,448 969,502

Interest receivable and similar income 4,516 760
PROFIT BEFORE TAXATION 741,964 970,262

Tax on profit 7 134,713 216,436
PROFIT FOR THE FINANCIAL YEAR 607,251 753,826
Profit attributable to:
Owners of the parent 607,251 753,826

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

CONSOLIDATED OTHER COMPREHENSIVE INCOME
for the year ended 31 March 2023

2023 2022
Notes £    £   

PROFIT FOR THE YEAR 607,251 753,826


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

607,251

753,826

Total comprehensive income attributable to:
Owners of the parent 607,251 753,826

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
31 March 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 10 - -
Property, plant and equipment 11 1,508,757 1,481,504
Investments 12 - -
1,508,757 1,481,504

CURRENT ASSETS
Inventories 13 691,815 868,731
Debtors 14 1,740,731 1,616,108
Cash at bank and in hand 1,637,781 1,266,012
4,070,327 3,750,851
CREDITORS
Amounts falling due within one year 15 1,278,589 1,331,073
NET CURRENT ASSETS 2,791,738 2,419,778
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,300,495

3,901,282

PROVISIONS FOR LIABILITIES 17 116,675 115,713
NET ASSETS 4,183,820 3,785,569

CAPITAL AND RESERVES
Called up share capital 18 28,300 28,300
Retained earnings 19 4,155,520 3,757,269
SHAREHOLDERS' FUNDS 4,183,820 3,785,569

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 7 November 2023 and were signed on its behalf by:





E R Shepherdson - Director


SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

COMPANY STATEMENT OF FINANCIAL POSITION
31 March 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 10 - -
Property, plant and equipment 11 1,394,740 1,421,055
Investments 12 12,000 12,000
1,406,740 1,433,055

CURRENT ASSETS
Debtors 14 1,031,206 929,092
Cash at bank and in hand 1,033,031 822,508
2,064,237 1,751,600
CREDITORS
Amounts falling due within one year 15 93,189 46,060
NET CURRENT ASSETS 1,971,048 1,705,540
TOTAL ASSETS LESS CURRENT
LIABILITIES

3,377,788

3,138,595

CAPITAL AND RESERVES
Called up share capital 18 28,300 28,300
Retained earnings 3,349,488 3,110,295
SHAREHOLDERS' FUNDS 3,377,788 3,138,595

Company's profit for the financial year 448,193 106,817

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 7 November 2023 and were signed on its behalf by:





E R Shepherdson - Director


SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
for the year ended 31 March 2023

Called up
share Retained Total
capital earnings equity
£    £    £   

Balance at 1 April 2021 28,000 3,156,443 3,184,443

Changes in equity
Total comprehensive income - 753,826 753,826
Dividends - (153,000 ) (153,000 )
Issue of share capital 300 - 300
Balance at 31 March 2022 28,300 3,757,269 3,785,569

Changes in equity
Total comprehensive income - 607,251 607,251
Dividends - (209,000 ) (209,000 )
Balance at 31 March 2023 28,300 4,155,520 4,183,820

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

COMPANY STATEMENT OF CHANGES IN EQUITY
for the year ended 31 March 2023

Called up
share Retained Total
capital earnings equity
£    £    £   

Balance at 1 April 2021 28,000 3,156,478 3,184,478

Changes in equity
Issue of share capital 300 - 300
Dividends - (153,000 ) (153,000 )
Total comprehensive income - 106,817 106,817
Balance at 31 March 2022 28,300 3,110,295 3,138,595

Changes in equity
Dividends - (209,000 ) (209,000 )
Total comprehensive income - 448,193 448,193
Balance at 31 March 2023 28,300 3,349,488 3,377,788

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 31 March 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 900,586 586,918
Tax paid (195,543 ) (18,654 )
Net cash from operating activities 705,043 568,264

Cash flows from investing activities
Purchase of tangible fixed assets (128,790 ) (37,954 )
Sale of tangible fixed assets - 19,053
Interest received 4,516 760
Net cash from investing activities (124,274 ) (18,141 )

Cash flows from financing activities
Loan repayments in year - (50,000 )
Share issue - 300
Equity dividends paid (209,000 ) (153,000 )
Net cash from financing activities (209,000 ) (202,700 )

Increase in cash and cash equivalents 371,769 347,423
Cash and cash equivalents at beginning of year 2 1,266,012 918,589

Cash and cash equivalents at end of year 2 1,637,781 1,266,012

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 31 March 2023


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
2023 2022
£    £   
Profit before taxation 741,964 970,262
Depreciation charges 117,093 113,572
Loss/(profit) on disposal of fixed assets 2,093 (2,258 )
Finance income (4,516 ) (760 )
856,634 1,080,816
Decrease/(increase) in inventories 176,916 (218,552 )
Increase in trade and other debtors (124,623 ) (414,617 )
(Decrease)/increase in trade and other creditors (8,341 ) 139,271
Cash generated from operations 900,586 586,918

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 March 2023
31.3.23 1.4.22
£    £   
Cash and cash equivalents 1,637,781 1,266,012
Year ended 31 March 2022
31.3.22 1.4.21
£    £   
Cash and cash equivalents 1,266,012 918,589


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.22 Cash flow At 31.3.23
£    £    £   
Net cash
Cash at bank and in hand 1,266,012 371,769 1,637,781
1,266,012 371,769 1,637,781
Total 1,266,012 371,769 1,637,781

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
for the year ended 31 March 2023


1. STATUTORY INFORMATION

Shepcote Holdings 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 General Information page.

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 as modified by the revaluation of certain assets.

Turnover
Turnover represents goods and services supplied, excluding value added tax. Revenue is recognised to the extent that the company has obtained the right to consideration through its performance, which is at the point the goods are physically delivered to the customer, and is measured at the fair value of the right to consideration.

Goodwill
Goodwill arising on consolidation has been amortised over its estimated useful life of 5 years.

Intangible assets
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold property- 2.6% on cost excluding land
Plant and machinery- 15% on reducing balance
Fixtures and fittings- 15% on reducing balance
Computer equipment - 25% on reducing balance

Government grants
Grants are recognised using the accruals model. Revenue grants are recognised as other operating income on a systematic basis over the period in which the related costs for which the grants are intended to compensate are so recognised. Grants receivable as compensation for expenses or losses already incurred, or for the purpose of receiving immediate financial support, are recognised in other operating income in the period in which they become receivable.

Grants relating to assets are recognised in income on a systematic basis over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income and not deducted from the carrying amount of the asset.

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items, using the FIFO basis.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

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


SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

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

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

Pension costs and other post-retirement benefits
Payments to defined contribution pension schemes are charged as an expense in the period to which they relate.

3. REVENUE

The revenue and profit before taxation are attributable to the one principal activity of the group.

An analysis of revenue by class of business is given below:

2023 2022
£    £   
Sale of goods 15,388,090 14,725,050
15,388,090 14,725,050

An analysis of revenue by geographical market is given below:

2023 2022
£    £   
United Kingdom 15,388,090 14,725,050
15,388,090 14,725,050

4. OTHER OPERATING INCOME
2023 2022
£    £   
Sundry receipts 4,888 5,645
Grants receivable 6,985 42,056
11,873 47,701

5. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 1,648,074 1,539,158
Social security costs 154,919 132,198
Other pension costs 135,290 129,299
1,938,283 1,800,655

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


5. EMPLOYEES AND DIRECTORS - continued

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

Production and distribution 47 47
Administration and management 21 19
68 66

2023 2022
£    £   
Directors' remuneration 34,346 29,848
Directors' pension contributions to money purchase schemes 40,000 40,000

6. OPERATING PROFIT

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

2023 2022
£    £   
Depreciation - owned assets 117,093 113,572
Loss/(profit) on disposal of fixed assets 2,093 (2,258 )
Auditors' remuneration 16,750 10,000
Foreign exchange differences 10,856 3,116
Operating lease rentals 17,018 8,801
Government grants receivable (6,985 ) (42,056 )

7. 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 133,751 196,232

Deferred tax 962 20,204
Tax on profit 134,713 216,436

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 741,964 970,262
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 -
19 %)

140,973

184,350

Effects of:
Expenses not deductible for tax purposes (5,668 ) 106
Depreciation on non qualifying assets 5,184 4,808
Difference in tax rates 230 27,772
Permanent timing differences (6,006 ) (600 )
Total tax charge 134,713 216,436

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


8. 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.


9. DIVIDENDS

The following interim dividends per share have been declared in the period:

Ordinary A shares - £6.00 (2022 - £6.00)
Ordinary B shares - £2.50 (2022 - £2.50)
Ordinary C shares - £900.00 (2022 - £340.00)
Ordinary D shares - £ Nil (2022 - £ Nil)
Ordinary E shares - £ Nil (2022 - £ Nil)

The directors recommend that no final dividend be paid on the above shares.

The total distribution of dividends for the year ended 31 March 2023 will be £209,000 (2022 - £153,000).

10. INTANGIBLE FIXED ASSETS

Group
Goodwill
£   
COST
At 1 April 2022
and 31 March 2023 2,000
AMORTISATION
At 1 April 2022
and 31 March 2023 2,000
NET BOOK VALUE
At 31 March 2023 -
At 31 March 2022 -

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


11. PROPERTY, PLANT AND EQUIPMENT

Group
Fixtures
Freehold Plant and and Computer
property machinery fittings equipment Totals
£    £    £    £    £   
COST
At 1 April 2022 1,290,232 1,140,737 501,790 56,409 2,989,168
Additions - 59,497 71,071 15,871 146,439
Disposals - - (7,786 ) - (7,786 )
At 31 March 2023 1,290,232 1,200,234 565,075 72,280 3,127,821
DEPRECIATION
At 1 April 2022 338,420 724,896 427,435 16,913 1,507,664
Charge for year 22,805 67,239 16,485 10,564 117,093
Eliminated on disposal - - (5,693 ) - (5,693 )
At 31 March 2023 361,225 792,135 438,227 27,477 1,619,064
NET BOOK VALUE
At 31 March 2023 929,007 408,099 126,848 44,803 1,508,757
At 31 March 2022 951,812 415,841 74,355 39,496 1,481,504






Company
Freehold
property
£   
COST
At 1 April 2022
and 31 March 2023 1,500,000
DEPRECIATION
At 1 April 2022 78,945
Charge for year 26,315
At 31 March 2023 105,260
NET BOOK VALUE
At 31 March 2023 1,394,740
At 31 March 2022 1,421,055

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


12. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 April 2022
and 31 March 2023 12,000
NET BOOK VALUE
At 31 March 2023 12,000
At 31 March 2022 12,000

The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiary

Shepcote Distributors Limited
Registered office: Pexton Road, Kelleythorpe Industrial Estate, Driffield, East Yorkshire YO25 9DJ
Nature of business: Sugar merchants
%
Class of shares: holding
Ordinary £1 100.00


13. STOCKS

Group
2023 2022
£    £   
Raw materials 691,815 868,731

14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2023 2022 2023 2022
£    £    £    £   
Trade debtors 1,524,718 1,508,971 - -
Amounts owed by group undertakings - - 987,384 887,984
Other debtors 65,974 40,000 32,727 40,000
VAT 23,866 - 82 30
Deferred tax asset - - 11,013 1,078
Prepayments and accrued income 126,173 67,137 - -
1,740,731 1,616,108 1,031,206 929,092

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2023 2022 2023 2022
£    £    £    £   
Trade creditors 891,818 917,085 753 134
Tax 133,751 195,543 36,198 31,043
Social security and other taxes 55,658 46,653 1,841 2,312
VAT - 827 - -
Other creditors - 3,075 - 3,074
Accruals and deferred income 155,450 118,993 54,397 9,497
Deferred government grants 41,912 48,897 - -
1,278,589 1,331,073 93,189 46,060

16. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Non-cancellable operating leases
2023 2022
£    £   
Within one year 78,609 78,285
Between one and five years 155,561 218,995
234,170 297,280

17. PROVISIONS FOR LIABILITIES

Group
2023 2022
£    £   
Deferred tax 116,675 115,713

Group
Deferred
tax
£   
Balance at 1 April 2022 115,713
Accelerated capital allowances 11,000
Short term timing differences (10,038 )
Balance at 31 March 2023 116,675

Company
Deferred
tax
£   
Balance at 1 April 2022 (1,078 )
Provided during year (9,935 )
Balance at 31 March 2023 (11,013 )

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


18. CALLED UP SHARE CAPITAL

The following allotted, issued and fully paid shares totalling £28,300 were in issue during the period, remaining unchanged from 2022:

14,000 Ordinary A shares of £1
14,000 Ordinary B shares of £1
100 Ordinary C shares of £1
100 Ordinary D shares of £1
100 Ordinary E shares of £1


The Ordinary A shares of £1 have full voting, dividend and capital distribution rights.

The Ordinary B, C, D and E shares of £1 are non-voting, hold no rights to capital distribution but may be considered separately by the Directors when considering dividends from time to time.

19. RESERVES

Group
Retained
earnings
£   

At 1 April 2022 3,757,269
Profit for the year 607,251
Dividends (209,000 )
At 31 March 2023 4,155,520

Company
Retained
earnings
£   

At 1 April 2022 3,110,295
Profit for the year 448,193
Dividends (209,000 )
At 31 March 2023 3,349,488


20. PENSION COMMITMENTS

The company operates defined contribution pension schemes for its employees. The level of contributions made by the group to the schemes during the year was 135,290 (2022 - £129,299). Outstanding contributions due at the balance sheet date amount to £40,000 (2022 - £3,868).

21. CAPITAL COMMITMENTS
2023 2022
£    £   
Contracted but not provided for in the
financial statements 26,950 -

SHEPCOTE HOLDINGS LIMITED (REGISTERED NUMBER: 01203774)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
for the year ended 31 March 2023


22. RELATED PARTY DISCLOSURES

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.

During the year, total dividends of £168,680 (2022 - £109,320) were paid to the directors .

Included in other debtors is an interest free loan of £30,000 (2022 - £40,000), repayable on demand, which is due to the company from an entity that is jointly controlled by a related party. The loan arose from the disposal of an investment property at market value during a previous reporting period.

23. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is E R Shepherdson.