Company registration number 05964577 (England and Wales)
HELLENS GROUP HOLDINGS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
HELLENS GROUP HOLDINGS LIMITED
COMPANY INFORMATION
Directors
G D Cordwell-Smith
K Cordwell-Smith
Secretary
G D Cordwell-Smith
Company number
05964577
Registered office
Reading Room Cottage
The Avenue
Wynyard
Billingham
TS22 5SH
Auditor
Mullen Stoker Limited
Mullen Stoker House
Mandale Business Park
Belmont Industrial Estate
Durham
DH1 1TH
Business address
Teal House
10 Teal Farm Way
Teal Farm Park
Pattinson, Washington
Tyne & Wear
NE38 8BG
Bankers
Barclays Bank PLC
71 Grey Street
Newcastle upon Tyne
NE99 1JA
HELLENS GROUP HOLDINGS LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 7
Profit and loss account
8
Group statement of comprehensive income
9
Group balance sheet
10
Company balance sheet
11
Group statement of changes in equity
12
Company statement of changes in equity
13
Group statement of cash flows
14
Company statement of cash flows
15
Notes to the financial statements
16 - 36
HELLENS GROUP HOLDINGS LIMITED
STRATEGIC REPORT true
FOR THE YEAR ENDED 31 MARCH 2023
- 1 -

The directors present the strategic report for the year ended 31 March 2023.

Fair review of the business

Market conditions remain challenging, the results for the year and the financial position at the year end were considered satisfactory by the directors.

Principal risks and uncertainties

The companies within the group continue to operate in a competitive industry and are subject to a number of external factors. These include uncertainty in Government policy, climate change, and overall economic conditions affecting such things as interest rates. The group companies mitigate these risks and uncertainties by retaining a diversified client base and delivering high quality products and solutions.

 

 

Corporate Social Responsibility

The Group operates a Corporate Social Responsibility (CSR) Plan. It is a three-year plan that sets out how we as a group will impact in a positive way on those around us. Hellens recognises that its reputation and success of a business relies on how we interact with our employees, clients, suppliers and the wider community.

 

Our CSR plan focuses on four themes involved in the business: - Health & Safety, The Environment, Our People and The Community.

 

From these themes specific actions have been identified for achievement in the next three years.

 

The Environment

The group is committed to maintaining high environmental standards in all our operations, minimising the impact of our activities on the surrounding environment.

 

The typical nature of our contracts means that we have an opportunity to improve and enhance the environment in which we live and work.

 

Our environmental policy sets out our strategy for monitoring and achieving our environmental objectives.

 

The group operates an environmental management system that is accredited to BS EN ISO 14001. The management system is externally audited on an annual basis. The group must demonstrate continuous improvement to maintain accreditation.

 

The group environmental policy is available to the public and can be downloaded from our website www.hellens.co.uk.

HELLENS GROUP HOLDINGS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 2 -
Other information and explanations

Health and Safety

It is group policy that its operations shall be conducted in such a way as to ensure, so far as is reasonably practicable, the health, safety and welfare of all its employees. The group will also ensure that any of its activities will not adversely affect the health and safety of others.

 

Our health & safety policy explains how we will achieve our objectives through allocation of responsibilities, training and information provision, monitoring and review.

 

The group employs external specialist health & safety consultants to ensure our sites and premises are operating to the highest health, safety and environmental standards and to provide specialist health & safety advice where required.

 

The group health & safety management systems are accredited to BSOHSS 18001. The management system is externally audited on an annual basis. The group must demonstrate continuous environmental improvement to maintain the accreditation.

 

The group health & safety policy statement is available to the public and can be downloaded from our website www.hellens.co.uk.

On behalf of the board

G D Cordwell-Smith
Director
21 June 2023
HELLENS GROUP HOLDINGS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2023
- 3 -

The directors present their annual report and financial statements for the year ended 31 March 2023.

Principal activities

The company acts as a holding company.

 

The group is principally involved in civil engineering, sports and

environmental contracting, property development and the manufacture of pre-cast concrete and paving products.

 

Results and dividends

The results for the year are set out on page 8.

The directors do not recommend payment of a dividend

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

G D Cordwell-Smith
K Cordwell-Smith
Future developments
The group is continuing to focus on expanding all areas of its business activities.
Auditor

In accordance with the company's articles, a resolution proposing that Mullen Stoker Limited be reappointed as auditor of the group will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

On behalf of the board
G D Cordwell-Smith
Director
21 June 2023
HELLENS GROUP HOLDINGS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023
- 4 -

The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

 

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

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

HELLENS GROUP HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF HELLENS GROUP HOLDINGS LIMITED
- 5 -
Opinion

We have audited the financial statements of Hellens Group Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2023 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including 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:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group's and 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:

HELLENS GROUP HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HELLENS GROUP HOLDINGS LIMITED
- 6 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

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 is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

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

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

- Enquiry of management, those charged with governance and the entity’s solicitors 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.

- Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

HELLENS GROUP HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HELLENS GROUP HOLDINGS LIMITED
- 7 -
Mr Neil Mullen (Senior Statutory Auditor)
For and on behalf of Mullen Stoker Limited
21 June 2023
Chartered Accountants
Statutory Auditor
Mullen Stoker House
Mandale Business Park
Belmont Industrial Estate
Durham
DH1 1TH
HELLENS GROUP HOLDINGS LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2023
- 8 -
2023
2022
Notes
£
£
Turnover
3
7,713,226
12,909,484
Cost of sales
(5,788,349)
(9,768,728)
Gross profit
1,924,877
3,140,756
Distribution costs
(424,218)
(419,961)
Administrative expenses
(1,307,208)
(1,503,511)
Other operating income
294,132
163,653
Operating profit
4
487,583
1,380,937
Interest payable and similar expenses
7
(33,783)
(43,449)
Profit before taxation
453,800
1,337,488
Tax on profit
8
(24,061)
(217,021)
Profit for the financial year
26
429,739
1,120,467
Profit for the financial year is attributable to:
- Owners of the parent company
239,973
917,639
- Non-controlling interests
189,766
202,828
429,739
1,120,467

The profit and loss account has been prepared on the basis that all operations are continuing operations.

HELLENS GROUP HOLDINGS LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2023
- 9 -
2023
2022
£
£
Profit for the year
429,739
1,120,467
Other comprehensive income
-
-
Total comprehensive income for the year
429,739
1,120,467
Total comprehensive income for the year is attributable to:
- Owners of the parent company
239,973
917,639
- Non-controlling interests
189,766
202,828
429,739
1,120,467
HELLENS GROUP HOLDINGS LIMITED
GROUP BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 10 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
9
303,606
388,334
Tangible assets
10
2,615,140
2,223,703
2,918,746
2,612,037
Current assets
Stocks
14
2,235,702
1,853,117
Debtors
15
2,179,860
2,433,030
Cash at bank and in hand
1,575,464
2,001,427
5,991,026
6,287,574
Creditors: amounts falling due within one year
16
(2,167,686)
(2,959,878)
Net current assets
3,823,340
3,327,696
Total assets less current liabilities
6,742,086
5,939,733
Creditors: amounts falling due after more than one year
17
(634,962)
(268,690)
Provisions for liabilities
Deferred tax liability
20
261,246
224,915
(261,246)
(224,915)
Net assets
5,845,878
5,446,128
Capital and reserves
Called up share capital
23
100
100
Share premium account
24
703,403
703,403
Revaluation reserve
25
43,475
51,866
Profit and loss reserves
26
3,771,057
3,522,693
Equity attributable to owners of the parent company
4,518,035
4,278,062
Non-controlling interests
1,327,843
1,168,066
5,845,878
5,446,128
The financial statements were approved by the board of directors and authorised for issue on 21 June 2023 and are signed on its behalf by:
G D Cordwell-Smith
Director
Company registration number 05964577 (England and Wales)
HELLENS GROUP HOLDINGS LIMITED
COMPANY BALANCE SHEET
AS AT
31 MARCH 2023
31 March 2023
- 11 -
2023
2022
Notes
£
£
£
£
Fixed assets
Investments
11
5,047,164
5,047,164
Current assets
-
-
Creditors: amounts falling due within one year
16
(2,306,516)
(2,302,929)
Net current liabilities
(2,306,516)
(2,302,929)
Net assets
2,740,648
2,744,235
Capital and reserves
Called up share capital
23
100
100
Share premium account
24
703,403
703,403
Profit and loss reserves
26
2,037,145
2,040,732
Total equity
2,740,648
2,744,235

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the year was £3,587 (2022 - £4,155 loss).

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the board of directors and authorised for issue on
21 June 2023
21 June 2023
and are signed on its behalf by:
G D Cordwell-Smith
Director
Company registration number 05964577 (England and Wales)
HELLENS GROUP HOLDINGS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2023
- 12 -
Share capital
Share premium account
Revaluation reserve
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
£
Balance at 1 April 2021
100
703,403
60,257
2,596,662
3,360,422
995,237
4,355,659
Year ended 31 March 2022:
Profit and total comprehensive income for the year
-
-
-
917,639
917,639
202,828
1,120,467
Dividends
-
-
-
1
1
(29,999)
(29,998)
Transfers
-
-
(8,391)
8,391
-
-
-
Balance at 31 March 2022
100
703,403
51,866
3,522,693
4,278,062
1,168,066
5,446,128
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
-
-
239,974
239,973
189,766
429,739
Dividends
-
-
-
(1)
(1)
(29,988)
(29,989)
Transfers
-
-
(8,391)
8,391
-
-
-
Balance at 31 March 2023
100
703,403
43,475
3,771,057
4,518,035
1,327,843
5,845,878
HELLENS GROUP HOLDINGS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2023
- 13 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 April 2021
100
703,403
2,044,887
2,748,390
Year ended 31 March 2022:
Loss and total comprehensive income for the year
-
-
(4,156)
(4,156)
Balance at 31 March 2022
100
703,403
2,040,732
2,744,235
Year ended 31 March 2023:
Loss and total comprehensive income for the year
-
-
(3,587)
(3,587)
Balance at 31 March 2023
100
703,403
2,037,145
2,740,648
HELLENS GROUP HOLDINGS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2023
- 14 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
31
383,514
1,293,934
Interest paid
(33,783)
(43,449)
Income taxes paid
(146,160)
(7,821)
Net cash inflow from operating activities
203,571
1,242,664
Investing activities
Purchase of tangible fixed assets
(458,313)
(379,551)
Proceeds on disposal of tangible fixed assets
59,441
20,677
Receipts arising from loans made
23,752
(16,944)
Net cash used in investing activities
(375,120)
(375,818)
Financing activities
Repayment of bank loans
(67,708)
(228,847)
Payment of finance leases obligations
(120,257)
(233,263)
Dividends paid to equity shareholders
-
1
Dividends paid to non-controlling interests
(29,988)
(29,999)
Net cash used in financing activities
(217,953)
(492,108)
Net (decrease)/increase in cash and cash equivalents
(389,502)
374,738
Cash and cash equivalents at beginning of year
1,964,967
1,590,229
Cash and cash equivalents at end of year
1,575,464
1,964,967
Relating to:
Cash at bank and in hand
1,575,464
2,001,427
Bank overdrafts included in creditors payable within one year
-
(36,460)
HELLENS GROUP HOLDINGS LIMITED
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2023
- 15 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Net increase in cash and cash equivalents
-
-
Cash and cash equivalents at beginning of year
-
-
Cash and cash equivalents at end of year
-
-
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023
- 16 -
1
Accounting policies
Company information

Hellens Group Holdings Limited (“the company”) is a private company limited by shares, domiciled and incorporated in England and Wales. The registered office is Reading Room Cottage, The Avenue, Wynyard, Billingham, TS22 5SH.

 

The group consists of Hellens Group Holdings Limited and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties at fair value. The principal accounting policies adopted are set out below.

1.2
Basis of consolidation

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

The consolidated financial statements incorporate those of Hellens Group Holdings Limited and all of its subsidiaries (ie entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits). Their results are incorporated from the date that control passes.

 

All financial statements are made up to 31 March 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

1.3
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4
Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.
All turnover is in the United Kingdom.
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 17 -

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

1.5
Intangible fixed assets - goodwill

Goodwill arising on the acquisition of subsidiary undertakings and businesses, representing any excess of the fair value of the consideration given over the fair value of the identifiable assets and liabilities acquired, is capitalised and written off on a straight line basis over its useful economic life, which is estimated to be 20 years. Provision is made for any impairment.

1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold buildings
2% straight line basis
Tenants Improvements
10% straight line basis
Plant and machinery
16.67% and 12.5% straight line basis
Fixtures, fittings & equipment
25% straight line basis
Computer equipment
33.3% straight line basis
Motor vehicles
20% straight line basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

1.7
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.8
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 18 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 19 -
1.10
Construction contracts

Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable.

 

When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately.

 

Where the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. When costs incurred in securing a contract are recognised as an expense in the period in which they are incurred, they are not included in contract costs if the contract is obtained in a subsequent period.

The “percentage of completion method” is used to determine the appropriate amount to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the estimated total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as stocks, prepayments or other assets depending on their nature, and provided it is probable they will be recovered.

1.11
Cash at bank and in hand

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.12
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 20 -
Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.13
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

1.14
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 21 -
Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.15
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.16
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.17
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
1
Accounting policies
(Continued)
- 22 -
1.18
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

1.19
Employee Benefit Trust
The group has established trusts for the benefit of employees and certain of their dependants. Monies held in these trusts are held by independent trustees and managed at their discretion.

Where the group retains future economic benefit from, and has de facto control of the assets and liabilities of the trust, they are accounted for as assets and liabilities of the group until the earlier of the date that an allocation of trust funds to employees in respect of past services is declared and the date that assets of the trust vest in identified individuals.

Where monies held in a trust are determined by the group on the basis of employees' past services to the business and the group can obtain no future economic benefits from those monies, such monies, whether in the trust or accrued for by the group are charged to the profit and loss account in the period to which they relate.
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 23 -
2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Goodwill and intangible assets

The Group establishes a reliable estimate of the useful life of goodwill and intangible assets arising on business combinations. This estimate is based on a variety of factors such as the expected use of the acquired business, the expected usual life of the cash generating units to which the goodwill is attributed, any legal, regulatory or contractual provisions that can limit useful life and assumptions that market participants would consider in respect of similar businesses.

Performance of long term contracts

Recognised amounts of construction contract revenues and related receivables reflect the directors' best estimates of long term contracts outcome and stage of completion. This includes the assessment of the profitability of the long terms contracts. Costs to complete and contract profitability are subject to significant estimation uncertainty.

Useful economic lives of tangible fixed assets

The useful economic lives used by the Group in respect of tangible fixed assets are set out in the accounting policies. These estimates are the best estimate based on past experience and expected performance and are regularly reviewed to ensure they remain appropriate.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Impairment of goodwill and other assets

At the reporting date, the group evaluates the need for an impairment provision against its assets, comparing the carrying amount against the fair value of the asset. The group has a policy of providing against specific assets if required at the year end. At the balance sheet date, the directors are satisfied that no further provision was necessary against the carrying amount of goodwill and other assets at the balance sheet date.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 24 -
3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2023
2022
£
£
Turnover analysed by class of business
Property Development
12,362
2,052,915
Landscape, reclamation and environmental contracts
3,355,901
6,261,334
Manufacture of pre-cast concrete and paving products
4,344,963
4,595,235
7,713,226
12,909,484
2023
2022
£
£
Other revenue
Grants received
10,000
23,330
4
Operating profit
2023
2022
£
£
Operating profit for the year is stated after charging/(crediting):
Government grants
(10,000)
(23,330)
Depreciation of owned tangible fixed assets
240,657
228,497
Depreciation of tangible fixed assets held under finance leases
81,748
122,782
Profit on disposal of tangible fixed assets
(55,051)
(16,137)
Amortisation of intangible assets
84,728
84,728
Cost of stocks recognised as an expense
1,950,091
5,194,702
Operating lease charges
369,493
781,270
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
3,500
3,125
Audit of the financial statements of the company's subsidiaries
13,202
18,352
16,702
21,477
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 25 -
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Office and Administration
16
15
-
0
-
0
Production
34
39
-
0
-
0
Total
50
54
-
0
-
0

Their aggregate remuneration comprised:

Group
Company
2023
2022
2023
2022
£
£
£
£
Wages and salaries
1,684,918
1,821,306
-
-
Social security costs
180,293
180,491
-
-
Pension costs
60,237
135,262
-
-
1,925,448
2,137,059
-
-
7
Interest payable and similar expenses
2023
2022
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
21,323
20,381
Interest on invoice finance arrangements
5,400
5,315
26,723
25,696
Other finance costs:
Interest on finance leases and hire purchase contracts
8,485
12,242
Other interest
(1,425)
5,511
Total finance costs
33,783
43,449
8
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
-
146,714
Adjustments in respect of prior periods
(12,269)
-
Total current tax
(12,269)
146,714
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
8
Taxation
2023
2022
£
£
(Continued)
- 26 -
Deferred tax
Origination and reversal of timing differences
36,330
70,307
Total tax charge
24,061
217,021

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2023
2022
£
£
Profit before taxation
453,800
1,337,488
Expected tax charge based on the standard rate of corporation tax in the UK of 19.00% (2022: 19.00%)
86,222
254,123
Tax effect of expenses that are not deductible in determining taxable profit
3,597
420
Unutilised tax losses carried forward
10,257
-
Adjustments in respect of prior years
(627)
-
Effect of change in corporation tax rate
19,440
47,633
Depreciation on assets not qualifying for tax allowances
3,829
2,882
Amortisation on assets not qualifying for tax allowances
16,098
16,098
Research and development tax credit
(88,411)
(83,673)
Other permanent differences
(22,305)
(20,462)
Deferred tax adjustments in respect of prior years
(4,039)
-
Taxation charge
24,061
217,021
9
Intangible fixed assets
Group
Goodwill
£
Cost
At 1 April 2022 and 31 March 2023
1,694,557
Amortisation and impairment
At 1 April 2022
1,306,223
Amortisation charged for the year
84,728
At 31 March 2023
1,390,951
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
9
Intangible fixed assets
(Continued)
- 27 -
Carrying amount
At 31 March 2023
303,606
At 31 March 2022
388,334
The company had no intangible fixed assets at 31 March 2023 or 31 March 2022.
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 28 -
10
Tangible fixed assets
Group
Freehold buildings
Tenants Improvements
Plant and machinery
Fixtures, fittings & equipment
Computer equipment
Motor vehicles
Total
£
£
£
£
£
£
£
Cost or valuation
At 1 April 2022
880,607
62,797
3,453,433
146,610
132,030
355,921
5,031,398
Additions
166,967
49,216
425,673
5,576
10,800
60,000
718,232
Disposals
-
-
(103,041)
(2,352)
(12,682)
(47,760)
(165,835)
At 31 March 2023
1,047,574
112,013
3,776,065
149,834
130,148
368,161
5,583,795
Depreciation and impairment
At 1 April 2022
52,436
28,382
2,154,550
139,315
123,051
309,961
2,807,695
Depreciation charged in the year
14,779
5,371
251,355
6,028
7,248
37,624
322,405
Eliminated in respect of disposals
-
-
(102,326)
(1,568)
(9,509)
(48,042)
(161,445)
At 31 March 2023
67,215
33,753
2,303,579
143,775
120,790
299,543
2,968,655
Carrying amount
At 31 March 2023
980,359
78,260
1,472,486
6,059
9,358
68,618
2,615,140
At 31 March 2022
828,171
34,415
1,298,883
7,295
8,979
45,960
2,223,703
The company had no tangible fixed assets at 31 March 2023 or 31 March 2022.
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 29 -

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

Group
Company
2023
2022
2023
2022
£
£
£
£
Plant and machinery
376,544
610,555
-
-
Fixtures, fittings & equipment
-
3,431
-
-
Motor vehicles
6,444
26,496
-
-
382,988
640,482
-
-

The fair value of the land at Walkerville Industrial Estate, Colburn, has been arrived at on the basis of a revaluation of £725,000 carried out on 6 August 2018 and the fair value of the land at Lambton Lane, Houghton-le-Spring has been arrived at on the basis of a valuation of £150,000, both by firms of independent Chartered Surveyors, who are not connected to the Company. The valuations were made on an open market basis by reference to market evidence of transaction prices for similar properties. In the opinion of the directors there is no material variation form those valuations as at 31 March 2023.

If the revalued assets were stated on an historical cost basis rather than a fair value basis, the total amounts included would have been, as follows:

2023
2022
£
£
Group
Cost
904,435
904,435
Accumulated depreciation
(196,281)
(182,744)
Carrying value
708,154
721,691
11
Fixed asset investments
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Investments in subsidiaries
12
-
-
5,047,164
5,047,164
12
Subsidiaries

Details of the company's subsidiaries at 31 March 2023 are as follows:

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
12
Subsidiaries
(Continued)
- 30 -
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Hellens Group Ltd
England
Ordinary shares
100.00
Hellens Plant Ltd
England
Ordinary shares
100.00
John Hellens (Contracts) Ltd
England
Ordinary shares
100.00
Oakdale (Contracts) Ltd
England
Ordinary shares
70.00
13
Financial instruments
Group
Company
2023
2022
2023
2022
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
2,168,151
2,427,939
-
-
Carrying amount of financial liabilities
Measured at amortised cost
2,631,323
2,932,889
2,306,516
2,302,929
14
Stocks
Group
Company
2023
2022
2023
2022
£
£
£
£
Raw materials and consumables
6,000
6,000
-
-
Finished goods and goods for resale
2,229,702
1,847,117
-
-
2,235,702
1,853,117
-
-
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 31 -
15
Debtors
Group
Company
2023
2022
2023
2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
1,221,886
1,413,960
-
-
Gross amounts owed by contract customers
503,219
652,246
-
-
Corporation tax recoverable
11,709
5,091
-
-
Other debtors
365,973
291,783
-
-
Prepayments and accrued income
32,191
16,784
-
-
2,134,978
2,379,864
-
-
Amounts falling due after more than one year:
Gross amounts owed by contract customers
44,882
53,166
-
-
Total debtors
2,179,860
2,433,030
-
-
16
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Bank loans and overdrafts
18
70,368
377,158
-
-
Obligations under finance leases
19
58,463
92,451
-
-
Trade creditors
1,213,286
1,269,389
-
-
Gross amounts owed to contract customers
-
53,590
-
-
Amounts owed to group undertakings
-
-
2,303,515
2,299,928
Corporation tax payable
-
151,812
-
-
Other taxation and social security
116,325
78,867
-
-
Other creditors
277,091
20,683
-
-
Accruals and deferred income
432,153
915,928
3,001
3,001
2,167,686
2,959,878
2,306,516
2,302,929
17
Creditors: amounts falling due after more than one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Bank loans and overdrafts
18
402,140
199,518
-
-
Obligations under finance leases
19
177,822
4,172
-
-
Government grants
21
55,000
65,000
-
-
634,962
268,690
-
-
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
17
Creditors: amounts falling due after more than one year
(Continued)
- 32 -

Bank loans are secured on freehold properties in the group

 

Hire purchase contracts of £177,822 (2022 : £4,172) included in creditors after more than one year are secured on the assets concerned.

18
Loans and overdrafts
Group
Company
2023
2022
2023
2022
£
£
£
£
Bank loans
472,508
540,216
-
-
Bank overdrafts
-
36,460
-
-
472,508
576,676
-
-
Payable within one year
70,368
377,158
-
-
Payable after one year
402,140
199,518
-
-
19
Finance lease obligations
Group
Company
2023
2022
2023
2022
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
58,463
92,451
-
-
In two to five years
177,822
4,172
-
-
236,285
96,623
-
-

Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

 

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 33 -
20
Deferred taxation

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2023
2022
Group
£
£
ACAs
318,184
247,007
Tax losses
(56,938)
(26,132)
Other timing differences
-
4,040
261,246
224,915
The company has no deferred tax assets or liabilities.
21
Government grants
Group
Company
2023
2022
2023
2022
£
£
£
£
Arising from government grants
55,000
65,000
-
-
55,000
65,000
-
-

Deferred income is included in the financial statements as follows:

Non-current liabilities
55,000
65,000
-
-
55,000
65,000
-
-
22
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
60,237
135,262

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 34 -
23
Share capital
Group and company
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100

The company has one class of ordinary shares with full voting, dividend and capital rights.

24
Share premium account
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning and end of the year
703,403
703,403
703,403
703,403
25
Revaluation reserve
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning of the year
51,866
60,257
-
-
Transfer to retained earnings
(8,391)
(8,391)
-
-
At the end of the year
43,475
51,866
-
-
26
Profit and loss reserves
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning of the year
3,522,693
2,596,662
2,040,732
2,044,888
Profit/(loss) for the year
239,974
917,639
(3,587)
(4,156)
Dividends
(1)
1
-
-
Transfer from revaluation reserve
8,391
8,391
-
-
At the end of the year
3,771,057
3,522,693
2,037,145
2,040,732
HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 35 -
27
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2023
2022
2023
2022
£
£
£
£
Within one year
-
54,230
-
-
-
54,230
-
-
28
Capital commitments

Amounts contracted for but not provided in the financial statements:

Group
Company
2023
2022
2023
2022
£
£
£
£
Acquisition of tangible fixed assets
273,500
235,465
-
-
29
Controlling party

The ultimate controlling party is Mr G D Cordwell-Smith and his wife, Mrs K Cordwell-Smith who are personally interested in 100% of the issued share capital.

 

30
Directors' transactions

The directors received interest free loans within the following subsidiary companies. The amounts stated were the highest outstanding balance in the year and the amounts included in debtors at the year end:

John Hellens (Contracts) Limited - Nil (2022 - £7,832 each)

Hellens Group Limited - Nil (2022 - £4,043 each)

HELLENS GROUP HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2023
- 36 -
31
Cash generated from group operations
2023
2022
£
£
Profit for the year after tax
429,739
1,120,467
Adjustments for:
Taxation charged
24,061
217,021
Finance costs
33,783
43,449
Gain on disposal of tangible fixed assets
(55,051)
(16,137)
Amortisation and impairment of intangible assets
84,728
84,728
Depreciation and impairment of tangible fixed assets
322,405
351,279
Movements in working capital:
(Increase)/decrease in stocks
(382,584)
44,580
Decrease/(increase) in debtors
236,036
(89,661)
Decrease in creditors
(299,602)
(451,792)
Decrease in deferred income
(10,000)
(10,000)
Cash generated from operations
383,515
1,293,934
32
Cash absorbed by operations - company
2023
2022
£
£
Loss for the year after tax
(3,587)
(4,156)
Movements in working capital:
Increase in creditors
3,587
4,156
Cash absorbed by operations
-
-
33
Analysis of changes in net funds - group
1 April 2022
Cash flows
New finance leases
31 March 2023
£
£
£
£
Cash at bank and in hand
2,001,427
(425,963)
-
1,575,464
Bank overdrafts
(36,460)
36,460
-
-
1,964,967
(389,503)
-
1,575,464
Borrowings excluding overdrafts
(540,216)
67,708
-
(472,508)
Obligations under finance leases
(96,623)
120,257
(259,919)
(236,285)
1,328,128
(201,538)
(259,919)
866,671
2023-03-312022-04-01falseCCH SoftwareCCH Accounts Production 2023.100K Cordwell-SmithK Cordwell-SmithMr Gavin Cordwell-Smith059645772022-04-012023-03-3105964577bus:CompanySecretaryDirector12022-04-012023-03-3105964577bus:Director12022-04-012023-03-3105964577bus:Director22022-04-012023-03-3105964577bus:CompanySecretary12022-04-012023-03-3105964577bus:Consolidated2022-04-012023-03-31059645772023-03-3105964577bus:Consolidated2023-03-3105964577bus:Consolidated2021-04-012022-03-31059645772021-04-012022-03-3105964577bus:PrivateLimitedCompanyLtd2022-04-012023-03-3105964577bus:FRS1022022-04-012023-03-3105964577bus:Audited2022-04-012023-03-3105964577bus:ConsolidatedGroupCompanyAccounts2022-04-012023-03-3105964577bus:FullAccounts2022-04-012023-03-31xbrli:purexbrli:sharesiso4217:GBP