2 10 November 2023 false false false false false false false false false true false false false false false false No description of principal activity 2022-04-01 Sage Accounts Production Advanced 2021 - FRS102_2021 14,750,746 303,853 2,550,901 17,605,500 17,605,500 14,750,746 1 1 1 1,403,134 730,037 2,133,171 xbrli:pure xbrli:shares iso4217:GBP 11644901 2022-04-01 2023-03-31 11644901 2023-03-31 11644901 2022-03-31 11644901 2021-04-01 2022-03-31 11644901 2022-03-31 11644901 bus:OrdinaryShareClass1 2022-04-01 2023-03-31 11644901 bus:Director3 2022-04-01 2023-03-31 11644901 core:DeferredTaxation 2022-04-01 2023-03-31 11644901 core:WithinOneYear 2023-03-31 11644901 core:WithinOneYear 2022-03-31 11644901 core:AfterOneYear 2023-03-31 11644901 core:AfterOneYear 2022-03-31 11644901 core:UKTax 2022-04-01 2023-03-31 11644901 core:UKTax 2021-04-01 2022-03-31 11644901 core:ShareCapital 2023-03-31 11644901 core:ShareCapital 2022-03-31 11644901 core:RevaluationReserve 2023-03-31 11644901 core:RevaluationReserve 2022-03-31 11644901 core:RetainedEarningsAccumulatedLosses 2023-03-31 11644901 core:RetainedEarningsAccumulatedLosses 2022-03-31 11644901 core:CostValuation core:Non-currentFinancialInstruments 2023-03-31 11644901 core:Non-currentFinancialInstruments 2023-03-31 11644901 core:Non-currentFinancialInstruments 2022-03-31 11644901 core:RevaluationPropertyPlantEquipmentDeferredTax 2023-03-31 11644901 core:RevaluationPropertyPlantEquipmentDeferredTax 2022-03-31 11644901 core:DeferredTaxation 2022-03-31 11644901 core:DeferredTaxation 2023-03-31 11644901 bus:SmallEntities 2022-04-01 2023-03-31 11644901 bus:Audited 2022-04-01 2023-03-31 11644901 bus:FullAccounts 2022-04-01 2023-03-31 11644901 bus:SmallCompaniesRegimeForAccounts 2022-04-01 2023-03-31 11644901 bus:PrivateLimitedCompanyLtd 2022-04-01 2023-03-31 11644901 bus:OrdinaryShareClass1 2023-03-31 11644901 bus:OrdinaryShareClass1 2022-03-31 11644901 core:InvestmentPropertyIncludedWithinPPE 2022-03-31 11644901 core:InvestmentPropertyIncludedWithinPPE 2022-04-01 2023-03-31 11644901 core:InvestmentPropertyIncludedWithinPPE 2023-03-31
COMPANY REGISTRATION NUMBER: 11644901
Magnum Investments (NE) Limited
Filleted Financial Statements
31 March 2023
Magnum Investments (NE) Limited
Balance Sheet
31 March 2023
2023
2022
Note
£
£
Fixed assets
Tangible assets
6
17,605,500
14,750,746
Investments
7
1
1
-------------
-------------
17,605,501
14,750,747
Current assets
Debtors
8
577,092
496,798
Cash at bank and in hand
3,117,615
263,235
------------
---------
3,694,707
760,033
Creditors: amounts falling due within one year
9
( 5,070,495)
( 4,669,196)
------------
------------
Net current liabilities
( 1,375,788)
( 3,909,163)
-------------
-------------
Total assets less current liabilities
16,229,713
10,841,584
Creditors: amounts falling due after more than one year
10
( 4,708,688)
( 2,229,451)
Provisions
11
( 2,133,171)
( 1,403,134)
-------------
-------------
Net assets
9,387,854
7,208,999
-------------
-------------
Capital and reserves
Called up share capital
14
1
1
Revaluation reserve
7,802,646
5,981,782
Profit and loss account
1,585,207
1,227,216
------------
------------
Shareholders funds
9,387,854
7,208,999
------------
------------
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In accordance with section 444 of the Companies Act 2006, the profit and loss account has not been delivered.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
Magnum Investments (NE) Limited
Balance Sheet (continued)
31 March 2023
These financial statements were approved by the board of directors and authorised for issue on 10 November 2023 , and are signed on behalf of the board by:
Z H Younis
Director
Company registration number: 11644901
Magnum Investments (NE) Limited
Notes to the Financial Statements
Year ended 31 March 2023
1. General information
The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Magnum House, Macklin Avenue, Cowpen Lane Industrial Estate, Billingham, TS23 4BY.
2. Statement of compliance
These financial statements have been prepared in compliance with Section 1A of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Revenue recognition
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Income tax
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.
Investments
Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.
Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.
Investments in associates
Investments in associates accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in associates accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in other comprehensive income/profit or loss. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the associate arising before or after the date of acquisition.
Investments in joint ventures
Investments in jointly controlled entities accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in jointly controlled entities accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in other comprehensive income/profit or loss. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the joint venture arising before or after the date of acquisition.
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the balance sheet and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.
Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost.
4. Employee numbers
The average number of persons employed by the company during the year amounted to 2 (2022: 3 ).
5. Tax on profit
Major components of tax expense
2023
2022
£
£
Current tax:
UK current tax expense
140,924
148,889
---------
---------
Tax on profit
140,924
148,889
---------
---------
Tax recognised as other comprehensive income or equity
The aggregate current and deferred tax relating to items recognised as other comprehensive income or equity for the year was £ 730,037 (2022: £Nil).
Reconciliation of tax expense
The tax assessed on the profit on ordinary activities for the year is lower than (2022: the same as) the standard rate of corporation tax in the UK of 19 % (2022: 19 %).
2023
2022
£
£
Profit on ordinary activities before taxation
748,915
783,626
---------
---------
Profit on ordinary activities by rate of tax
142,294
148,889
Utilisation of tax losses
( 1,370)
---------
---------
Tax on profit
140,924
148,889
---------
---------
6. Tangible assets
Investment property
£
Cost or valuation
At 1 April 2022
14,750,746
Additions
303,853
Revaluations
2,550,901
-------------
At 31 March 2023
17,605,500
-------------
Depreciation
At 1 April 2022 and 31 March 2023
-------------
Carrying amount
At 31 March 2023
17,605,500
-------------
At 31 March 2022
14,750,746
-------------
Tangible assets held at valuation
The properties owned by the company at 31 March 2023 have been valued by an independent valuer, Parker Barras, on 2 November 2023. The directors are of the opinion that the value of the investment properties has not changed materially since 31 March 2023.
In respect of tangible assets held at valuation, the aggregate cost, depreciation and comparable carrying amount that would have been recognised if the assets had been carried under the historical cost model are as follows:
Investment property
£
At 31 March 2023
Aggregate cost
7,669,683
Aggregate depreciation
------------
Carrying value
7,669,683
------------
At 31 March 2022
Aggregate cost
7,365,830
Aggregate depreciation
------------
Carrying value
7,365,830
------------
7. Investments
Shares in group undertakings
£
Cost
At 1 April 2022 and 31 March 2023
1
----
Impairment
At 1 April 2022 and 31 March 2023
----
Carrying amount
At 31 March 2023
1
----
At 31 March 2022
1
----
The investment above represents 1 Ordinary Share in Methodist House Living Limited. This equates to 50% of the total share capital of the company and is therefore an investment in a joint venture. This company had no trade in the period to 31 March 2023. For the period ended 31 December 2022, the company made a loss of £7,932 and had a net liabilities position of £9,677.
8. Debtors
2023
2022
£
£
Trade debtors
73,370
66,598
Amounts owed by group undertakings and undertakings in which the company has a participating interest
495,999
405,999
Other debtors
7,723
24,201
---------
---------
577,092
496,798
---------
---------
9. Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
304,170
170,376
Trade creditors
49,248
24,698
Amounts owed to group undertakings and undertakings in which the company has a participating interest
3,841,374
3,591,374
Corporation tax
140,924
148,889
Social security and other taxes
1,280
1,251
Other creditors
733,499
732,608
------------
------------
5,070,495
4,669,196
------------
------------
10. Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
4,708,688
2,229,451
------------
------------
11. Provisions
Deferred tax (note 12)
£
At 1 April 2022
1,403,134
Additions
730,037
------------
At 31 March 2023
2,133,171
------------
12. Deferred tax
The deferred tax included in the balance sheet is as follows:
2023
2022
£
£
Included in provisions (note 11)
2,133,171
1,403,134
------------
------------
The deferred tax account consists of the tax effect of timing differences in respect of:
2023
2022
£
£
Revaluation of tangible assets
2,133,171
1,403,134
------------
------------
13. Financial instruments
There were no financial instruments that were non-basic in the period.
14. Called up share capital
Issued, called up and fully paid
2023
2022
No.
£
No.
£
Ordinary shares of £ 1 each
1
1
1
1
----
----
----
----
15. Summary audit opinion
The auditor's report for the year dated 10 November 2023 was unqualified .
The senior statutory auditor was Graeme Richard Boagey BA FCA CTA , for and on behalf of Chipchase Manners .
16. Directors' advances, credits and guarantees
There were no directors advances, credits or guarantees in the year.
17. Related party transactions
Related party transactions are disclosed on the group accounts of the parent company Magnum Holdings UK Limited, which are available at Companies House. Within this company, all related party transaction are undertaken under normal commercial terms.
18. Controlling party
The ultimate controlling party is Mr Z H Younis by virtue of his majority shareholding in the parent company.