REGISTERED NUMBER: 04349577 (England and Wales) |
BRADGATE CONTAINERS (HOLDINGS) LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
REGISTERED NUMBER: 04349577 (England and Wales) |
BRADGATE CONTAINERS (HOLDINGS) LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 | to | 3 |
Report of the Directors | 4 |
Report of the Independent Auditors | 5 | to | 8 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Statement of Financial Position | 11 |
Company Statement of Financial Position | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Statement of Cash Flows | 15 |
Notes to the Consolidated Statement of Cash Flows | 16 |
Notes to the Consolidated Financial Statements | 17 | to | 29 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 AUGUST 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: | Ian Phillips FCA |
AUDITORS: |
3 Princes Court |
Royal Way |
Loughborough |
Leicestershire |
LE11 5XR |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 AUGUST 2023 |
The directors present their strategic report of the company and the group for the year ended 31 August 2023. |
REVIEW OF BUSINESS |
Overall revenue has increased by £7.4m in the year to 31 August 2023 to £33.7m and net assets have increased by £3.1m to £10.2m. Gross profit has increased by 6.4% to 33.6% |
During this financial year we have in many ways seen the fruits of our labour from the changes and restructuring that has gradually been implemented over the previous two financial years. We have created a constant improvement strategy in all area of the business and put in place significant investment in additional machinery and upgrades. |
We have seen considerable interest in our product ranges over all group companies, proving us with a growing potential pipeline of order and a healthy order book going forward. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group is continuing to see stabilisation of raw material prices with more acceptable increases on an annual basis. However, wages costs have had to increase to cover general cost of living increases being experienced by our employees and to ensure staff and labour retention. As a group, turnover from the EEC has increased by £4.5m, the UK turnover has also increased by £3.4m although, turnover in the rest of the world has decreased by £526k. |
The group has seen a number or retirees over the year. However where needed, replacements have been employed and in many cases we have been able to restructure so replacements were found not to be required, saving on overhead costs. |
We have continued to act on energy costs and purchase this on a daily, weekly, or monthly basis to mitigate the problem of fixing at too high a rate. This has proved efficient, although costs are still significantly higher than previous years which must be factored into our overhead cost regime and selling prices. |
The group continues to quote in Sterling and as a result has not suffered significant currency fluctuations. However, there is the ability to buy forward and protect our prices if other currencies are requested. |
DEVELOPMENT AND PERFORMANCE |
The group is geared to a highly bespoke and niche marketplace product, which requires a high level of certification and documentation. The high level of specification requires continuous training for personnel, updating procedures and certifications, that is required by our client base. The group continues to invest in maintaining our edge within the market place in personnel, equipment and software where appropriate, with the aim always to maintain growth and profitability in all market sectors. |
Bradgate Containers Limited has had a significantly improved financial year which has been directly the result of all the changes and efficiencies made during recent years, all as we had predicted in the previous strategic report. We see this continuing in the new financial year. |
Industrial & Marine Silencers Limited has seen a dramatic increase in revenues and profitability and we see this continuing with their range of emission reducing products, which are in high demand on a global basis. To this end, we are investing in additional manufacturing space for the new financial year. |
Bradgate Industrial Properties Limited is a property management company. The properties owned by the company are all leased to the group. The directors are looking to restructure this company to put all properties under this company going forward. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 AUGUST 2023 |
KEY PERFORMANCE INDICATORS |
2023 |
2022 |
% inc / (dec) |
£'000 | £'000 |
Revenue | 33,690 | 26,269 | 28.3% |
Gross Profit | 11,320 | 7,141 | 58.5% |
Gross Profit % | 33.6% | 27.2% |
Net Profit Before Taxation | 4,081 | 398 | 925.4% |
Net Profit % | 12.1% | 1.5% |
Earnings Before Interest, Tax, Depreciation and Amortisation |
4,656 |
1,001 |
365.1% |
ON BEHALF OF THE BOARD: |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 August 2023. |
PRINCIPAL ACTIVITIES |
The Group's principal activities during the year were:- |
Company | Nature of business |
Bradgate Containers (Holdings) Limited | Holding company |
Bradgate Containers Limited | Manufacturer of bespoke containers and modules |
Industrial and Marine Silencers Limited | Design and manufacture of industrial and marine exhaust silencers |
Bradgate Industrial Properties Limited | Property management and rental |
DIVIDENDS |
No dividends will be distributed for the year ended 31 August 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 September 2022 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BRADGATE CONTAINERS (HOLDINGS) LIMITED |
Opinion |
We have audited the financial statements of Bradgate Containers (Holdings) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 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 August 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
BRADGATE CONTAINERS (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 Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the 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 |
BRADGATE CONTAINERS (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. |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with Directors and other management obtained as part of the work required by auditing standards. We have also discussed with the Directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit. |
The potential impact of different laws and regulations varies considerably. Firstly, the group is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgmental areas of the financial statements such as depreciation of property, plant and equipment, valuation of work in progress and amounts recoverable on contracts, as well as the risk of inappropriate journal entries to manipulate reported profitability. Audit procedures performed by the engagement team included the identification and testing of unusual material journal entries and challenging management on key estimates, assumptions and judgements made in the preparation of the financial statements. We carried out detailed substantive tests on accounting estimates, including reviewing the methods and data used by management to make those estimates such as residual values, expected asset replacement cycles and percentage completion and job profitability for contracts, reperforming the calculation, reviewing the outcome of prior year estimates, and reviewing the outcome of current year estimates since the financial reporting date. |
Secondly, the group is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: ISO14001 and ISO9001 regulations, Health and Safety regulations and Employment laws. |
Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and other management and inspection. This inspection included a review to ensure that the ISO9001 and ISO14001 certifications were valid and up to date. Health and safety requirements were reviewed for any evidence of non-compliance, in addition to an assessment of the group's employment and health and safety controls. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
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 |
BRADGATE CONTAINERS (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. |
for and on behalf of |
3 Princes Court |
Royal Way |
Loughborough |
Leicestershire |
LE11 5XR |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONSOLIDATED INCOME STATEMENT |
FOR THE YEAR ENDED 31 AUGUST 2023 |
2023 | 2022 |
Notes | £ | £ |
REVENUE | 4 | 33,689,853 | 26,268,624 |
Cost of sales | 22,370,317 | 19,127,180 |
GROSS PROFIT | 11,319,536 | 7,141,444 |
Administrative expenses | 7,205,564 | 6,709,594 |
4,113,972 | 431,850 |
Other operating income | 10,038 | 16,068 |
OPERATING PROFIT | 6 | 4,124,010 | 447,918 |
Interest receivable and similar income | - | 1,674 |
4,124,010 | 449,592 |
Interest payable and similar expenses | 8 | 43,139 | 51,122 |
PROFIT BEFORE TAXATION | 4,080,871 | 398,470 |
Tax on profit | 9 | 952,780 | 85,033 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 3,128,091 | 313,437 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONSOLIDATED OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 AUGUST 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 3,128,091 | 313,437 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 3,128,091 | 313,437 |
Total comprehensive income attributable to: |
Owners of the parent | 3,128,091 | 313,437 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION |
31 AUGUST 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 | 180,616 | 210,718 |
Property, plant and equipment | 12 | 6,841,966 | 6,643,514 |
Investments | 13 | - | - |
7,022,582 | 6,854,232 |
CURRENT ASSETS |
Inventories | 14 | 965,129 | 1,373,317 |
Debtors | 15 | 9,211,683 | 8,233,455 |
Cash at bank and in hand | 5,897,415 | 2,850,858 |
16,074,227 | 12,457,630 |
CREDITORS |
Amounts falling due within one year | 16 | 10,989,000 | 10,203,096 |
NET CURRENT ASSETS | 5,085,227 | 2,254,534 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 12,107,809 | 9,108,766 |
CREDITORS |
Amounts falling due after more than one year | 17 | (1,032,245 | ) | (1,224,673 | ) |
PROVISIONS FOR LIABILITIES | 22 | (875,310 | ) | (811,930 | ) |
NET ASSETS | 10,200,254 | 7,072,163 |
CAPITAL AND RESERVES |
Called up share capital | 23 | 18,176 | 18,176 |
Non-distributable reserve | 24 | 422,318 | 423,545 |
Capital redemption reserve | 24 | 6,824 | 6,824 |
Retained earnings | 24 | 9,752,936 | 6,623,618 |
SHAREHOLDERS' FUNDS | 10,200,254 | 7,072,163 |
The financial statements were approved by the Board of Directors and authorised for issue on 7 February 2024 and were signed on its behalf by: |
P N Stapleton - Director |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
COMPANY STATEMENT OF FINANCIAL POSITION |
31 AUGUST 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Property, plant and equipment | 12 |
Investments | 13 |
CURRENT ASSETS |
Debtors | 15 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 17 |
NET LIABILITIES | ( |
) | ( |
) |
CAPITAL AND RESERVES |
Called up share capital | 23 |
Capital redemption reserve |
Retained earnings | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
Company's profit for the financial year | 179,475 | 287,497 |
The financial statements were approved by the Board of Directors and authorised for issue on |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 AUGUST 2023 |
Called up | Capital |
share | Retained | Non-distributable | redemption | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 September 2021 | 18,176 | 6,308,954 | 424,772 | 6,824 | 6,758,726 |
Changes in equity |
Total comprehensive income | - | 314,664 | (1,227 | ) | - | 313,437 |
Balance at 31 August 2022 | 18,176 | 6,623,618 | 423,545 | 6,824 | 7,072,163 |
Changes in equity |
Total comprehensive income | - | 3,129,318 | (1,227 | ) | - | 3,128,091 |
Balance at 31 August 2023 | 18,176 | 9,752,936 | 422,318 | 6,824 | 10,200,254 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 AUGUST 2023 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 September 2021 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - |
Balance at 31 August 2022 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - |
Balance at 31 August 2023 | ( |
) | ( |
) |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
CONSOLIDATED STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 4,024,149 | 593,428 |
Interest element of hire purchase payments paid | (2,168 | ) | (2,168 | ) |
Tax paid | (106,124 | ) | (13,422 | ) |
Net cash from operating activities | 3,915,857 | 577,838 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (747,621 | ) | (445,331 | ) |
Sale of tangible fixed assets | 114,949 | 247,656 |
Interest received | - | 1,674 |
Net cash from investing activities | (632,672 | ) | (196,001 | ) |
Cash flows from financing activities |
Loan repayments in year | (174,558 | ) | (280,598 | ) |
Interest paid | (40,971 | ) | (48,954 | ) |
Capital repayments in year | (21,099 | ) | (21,100 | ) |
Net cash from financing activities | (236,628 | ) | (350,652 | ) |
Increase in cash and cash equivalents | 3,046,557 | 31,185 |
Cash and cash equivalents at beginning of year | 2 | 2,850,858 | 2,819,673 |
Cash and cash equivalents at end of year | 2 | 5,897,415 | 2,850,858 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 4,080,871 | 398,470 |
Depreciation charges | 532,122 | 551,841 |
Profit on disposal of fixed assets | (67,800 | ) | (91,823 | ) |
Finance costs | 43,139 | 51,122 |
Finance income | - | (1,674 | ) |
4,588,332 | 907,936 |
Decrease/(increase) in inventories | 408,188 | (141,270 | ) |
(Increase)/decrease in trade and other debtors | (978,228 | ) | 176,367 |
Increase/(decrease) in trade and other creditors | 5,857 | (349,605 | ) |
Cash generated from operations | 4,024,149 | 593,428 |
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 August 2023 |
31.8.23 | 1.9.22 |
£ | £ |
Cash and cash equivalents | 5,897,415 | 2,850,858 |
Year ended 31 August 2022 |
31.8.22 | 1.9.21 |
£ | £ |
Cash and cash equivalents | 2,850,858 | 2,819,673 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.9.22 | Cash flow | At 31.8.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,850,858 | 3,046,557 | 5,897,415 |
2,850,858 | 3,046,557 | 5,897,415 |
Debt |
Finance leases | (33,408 | ) | 21,099 | (12,309 | ) |
Debts falling due within 1 year | (174,177 | ) | (5,561 | ) | (179,738 | ) |
Debts falling due after 1 year | (1,212,364 | ) | 180,119 | (1,032,245 | ) |
(1,419,949 | ) | 195,657 | (1,224,292 | ) |
Total | 1,430,909 | 3,242,214 | 4,673,123 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 AUGUST 2023 |
1. | GENERAL INFORMATION |
The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £. |
The nature of the company's operations and principal activities are detailed in the report of the directors on page four. |
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. |
2. | STATUTORY INFORMATION |
Bradgate Containers (Holdings) Limited is a private company, limited by shares, registered in England and Wales. The company's registed number and registered office address can be found on the company information page. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with the 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 on a going concern basis under the historical cost convention. |
Basis of consolidation |
The consolidated accounts comprise those of Bradgate Containers (Holdings) Limited and its subsidiaries for the year ended 31 August 2023. |
Except where otherwise stated, the acquisition of accounting has been adopted. Under this method, the results of the subsidiary acquired or disposed of in the year are included in the consolidated income statement from the date of acquisition or up to the date of disposal. |
The group used the merger accounting method of consolidation on the original formation of the holding company. |
Orrmac Coatings Limited went into administration in November 2021. We have not consolidated the company's figures up to the date of administration for the year to 31 August 2022 as they were immaterial to the group. |
Financial reporting standard 102 - reduced disclosure exemptions |
The parent company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
- the requirements of Section 7 Statement of Cash Flows; |
The disclosure above is incorporated within these consolidated financial statements. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
3. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
In the application of the group's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below. |
(i) Useful economic lives of property, plant and equipment |
The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives of the assets. The useful economic lives are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. |
(ii) Amounts recoverable on contracts |
The level of revenue for any particular contract in progress at the year end is based on an estimated percentage complete, as determined by the directors. |
Revenue |
Revenue is measured at fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Revenue is generally recognised on short term contracts as contract activity progresses so that for incomplete contracts it reflects the partial performance of the contractual obligations. For such contracts the amount of revenue reflects the accrual of the right to consideration by reference to the value of the work performed. Revenue not yet invoiced is included in amounts recoverable on contracts and payments on account in excess of the relevant amount of revenue are included in creditors. |
Amounts recoverable on long term contracts, which are included in debtors, are stated at the sales value of the work done after provision for contingencies and anticipated future losses on contracts, less amounts received as progress payments on account. Excess progress payments are included in creditors as payments on account. |
Goodwill |
Goodwill arising on the acquisition of a subsidiary represents the excess of the fair value of the consideration given over the aggregate of the fair values of the identifiable net assets required. |
The goodwill is being written off over a period of ten years. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
3. | ACCOUNTING POLICIES - continued |
Property, plant and equipment |
Property, plant and equipment assets are stated at cost less accumulated depreciation and accumulated impairment losses. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter. |
Freehold properties | 2% straight line |
Leasehold properties | 2% straight line |
Plant and machinery | 15% reducing balance & 25% straight line |
Fixtures and fittings | 15% reducing balance & 25% straight line & 50% straight line |
Motor vehicles | 25% reducing balance & 25% straight line |
Investment properties owned by a subsidiary company and leased to fellow group companies are accounted for in accordance with Sections 16 & 17 of FRS102 at group level. |
In the subsidiary’s own financial statements they are shown as investment property measured at fair value at each reporting date, with changes in fair value recognised in the income statement and the non-distributable reserve. No depreciation is provided in respect of investment properties. |
In the consolidated financial statements they are shown as freehold property measured at the cost of acquisition to the group. This was supported by a professional valuation prior to acquisition. Depreciation is charged at 2% per annum straight line on the buildings element. |
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the income statement. |
If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment is recognised immediately in the income statement. |
Inventories |
Inventories and work in progress are valued at the lower of cost and fair value less costs to complete and sell. Cost includes direct materials, labour and manufacturing overheads incurred in bringing each product to its present location and condition. Inventories are accounted for on a first-in-first-out basis. |
Financial instruments |
The company has chosen to adopt the FRS 102A in respect of financial instruments. |
Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitute a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. |
At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. 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 the income statement. |
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. Accounts 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. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
3. | ACCOUNTING POLICIES - continued |
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. |
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. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the statement of financial position. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Financial instruments |
The group has chosen to adopt the Sections 11 and 12 of FRS 102 in respect of financial instruments. |
Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, 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. |
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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. |
Basic financial liabilities, including trade and other creditors, bank loans and loans from fellow group companies, 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 receipts discounted at a market rate of interest. |
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. Accounts 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. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
4. | REVENUE |
The revenue and profit before taxation are attributable to the principal activities of the group. |
An analysis of revenue by geographical market is given below: |
2023 | 2022 |
£ | £ |
United Kingdom | 26,702,151 | 23,261,645 |
EEC | 6,071,268 | 1,565,039 |
Rest of the world | 916,434 | 1,441,940 |
33,689,853 | 26,268,624 |
5. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 10,469,305 | 9,553,891 |
Social security costs | 1,190,513 | 1,087,147 |
Other pension costs | 289,665 | 277,352 |
11,949,483 | 10,918,390 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Office and management | 77 | 80 |
Manufacturing and services | 170 | 160 |
2023 | 2022 |
£ | £ |
Directors' remuneration | 873,279 | 829,352 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 2 | 2 |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Emoluments etc | 493,912 | 470,811 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 600,682 | 403,734 |
Depreciation - owned assets | 492,303 | 510,306 |
Depreciation - assets on hire purchase contracts | 9,719 | 11,434 |
Profit on disposal of fixed assets | (67,802 | ) | (91,823 | ) |
Goodwill amortisation | 30,102 | 30,102 |
Auditors' remuneration | 43,710 | 40,388 |
Foreign exchange differences | 24,663 | 19,545 |
Government grants received | - | (3,275 | ) |
7. | LOSS ON DISPOSAL OF SUBSIDIARY |
2023 | 2022 |
£ | £ |
Loss on disposal of subsidiary | - | (133,560 | ) |
As explained further in note 13, Orrmac Coatings Limited entered into administration in November 2021. The company's results up to the date of administration were not material and have not been consolidated. The subsidiary has been disposed of in the consolidated financial statements in the prior year. |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest | 40,971 | 48,954 |
Hire purchase interest | 2,168 | 2,168 |
43,139 | 51,122 |
9. | 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 | 901,994 | 118,694 |
Adjustment re previous years | (12,594 | ) | (14,186 | ) |
Group loss relief | - | 20,303 |
Total current tax | 889,400 | 124,811 |
Deferred tax | 63,380 | (39,778 | ) |
Tax on profit | 952,780 | 85,033 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
9. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax | 4,080,871 | 398,470 |
Profit multiplied by the standard rate of corporation tax in the UK of 21.500 % (2022 - 19 %) |
877,387 |
75,709 |
Effects of: |
Expenses not deductible for tax purposes | (8,650 | ) | (13,505 | ) |
Capital allowances in excess of depreciation | (22,499 | ) | - |
Depreciation in excess of capital allowances | - | 31,113 |
Utilisation of tax losses | (3,126 | ) | - |
Adjustments to tax charge in respect of previous periods | (12,570 | ) | (14,186 | ) |
Other adjustments | 58,858 | 25,377 |
Deferred tax | 63,380 | (39,778 | ) |
Group relief | - | 20,303 |
Total tax charge | 952,780 | 85,033 |
The expected reversal of deferred tax liabilities during the year ended 31 August 2024 is not considered to be significant based on the group's planned capital expenditure. |
10. | 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. |
11. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 September 2022 |
and 31 August 2023 | 301,024 |
AMORTISATION |
At 1 September 2022 | 90,306 |
Amortisation for year | 30,102 |
At 31 August 2023 | 120,408 |
NET BOOK VALUE |
At 31 August 2023 | 180,616 |
At 31 August 2022 | 210,718 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
12. | PROPERTY, PLANT AND EQUIPMENT |
Group |
Freehold | Long | Plant and |
property | leasehold | machinery |
£ | £ | £ |
COST |
At 1 September 2022 | 5,761,501 | 93,256 | 3,270,994 |
Additions | 18,538 | 82,557 | 245,175 |
Disposals | - | (140 | ) | (197,075 | ) |
At 31 August 2023 | 5,780,039 | 175,673 | 3,319,094 |
DEPRECIATION |
At 1 September 2022 | 631,988 | 27,892 | 2,479,350 |
Charge for year | 105,574 | 2,387 | 124,719 |
Eliminated on disposal | - | (33 | ) | (189,829 | ) |
At 31 August 2023 | 737,562 | 30,246 | 2,414,240 |
NET BOOK VALUE |
At 31 August 2023 | 5,042,477 | 145,427 | 904,854 |
At 31 August 2022 | 5,129,513 | 65,364 | 791,644 |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST |
At 1 September 2022 | 509,364 | 1,456,024 | 11,091,139 |
Additions | 20,769 | 380,582 | 747,621 |
Disposals | (10,019 | ) | (318,023 | ) | (525,257 | ) |
At 31 August 2023 | 520,114 | 1,518,583 | 11,313,503 |
DEPRECIATION |
At 1 September 2022 | 423,294 | 885,101 | 4,447,625 |
Charge for year | 22,042 | 247,300 | 502,022 |
Eliminated on disposal | (9,977 | ) | (278,271 | ) | (478,110 | ) |
At 31 August 2023 | 435,359 | 854,130 | 4,471,537 |
NET BOOK VALUE |
At 31 August 2023 | 84,755 | 664,453 | 6,841,966 |
At 31 August 2022 | 86,070 | 570,923 | 6,643,514 |
Included in cost of land and buildings is freehold land of £182,615 (2022 - £182,615) which is not depreciated. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
12. | PROPERTY, PLANT AND EQUIPMENT - continued |
Group |
The group applied the transitional arrangements of section 35 of FRS102 and used a previous valuation as the deemed cost for certain group assets: |
Freehold property |
One of the group properties is held at deemed cost and is depreciated from the valuation date. As the property is depreciated or sold, an appropriate transfer is made from the non-distributable reserve to retained earnings. The carrying value of the property in the accounts is £1,344,776 (deemed cost £1,588,528 less accumulated depreciation £243,752). |
If freehold property had not been revalued it would have been included at the following historic cost: |
2023 | 2022 |
£ | £ |
Cost | 1,527,158 | 1,525,408 |
Aggregate depreciation | 604,700 | 577,812 |
Aggregate carrying amount | 922,458 | 947,596 |
Freehold land and buildings were valued on an open market basis on 1 September 2014 by Mather Jamie, qualified independent valuers. The methods and assumptions used to ascertain the fair value are in accordance with RICS standards, and the valuation was prepared having regard to the market based evidence for similar properties sold in the local area. |
The net book value of tangible fixed assets includes £55,071 (2022 - £64,790) in respect of assets held under hire purchase contracts. |
13. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 September 2022 |
and 31 August 2023 |
NET BOOK VALUE |
At 31 August 2023 |
At 31 August 2022 |
The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Subsidiaries |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
13. | FIXED ASSET INVESTMENTS - continued |
Registered office: England and Wales |
Nature of business: |
% |
Class of shares: | holding |
Orrmac Coatings Limited entered into administration in November 2021. The shares are still owned by Bradgate Containers (Holdings) Limited, however, they no longer have control and therefore the subsidiary was disposed of in the prior year. The results up to the appointment of the administrators were not material to the group hence were not consolidated. A loss on disposal of the subsidiary of £133,560 has been reported in the consolidated income statement in the prior year. |
14. | INVENTORIES |
Group |
2023 | 2022 |
£ | £ |
Raw materials | 965,129 | 1,373,317 |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 6,806,808 | 5,171,724 |
Amounts owed by related |
parties | - | 282,221 | - | - |
Amounts owed by group undertakings | - | - |
Amounts recoverable on contract | 1,975,385 | 2,580,956 |
Other debtors | 2,100 | 2,100 |
Prepayments | 427,390 | 196,454 |
9,211,683 | 8,233,455 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 179,738 | 174,177 |
Hire purchase contracts (see note 19) | 12,309 | 21,099 |
Payments on account | 1,983,897 | 2,102,079 |
Trade creditors | 3,499,343 | 3,369,854 |
Corporation tax | 901,970 | 118,694 |
Other taxes and social security | 321,187 | 282,117 |
VAT | 629,333 | 581,677 | - | - |
Other creditors | 1,250,578 | 1,626,498 |
Directors' current accounts | 1,715,762 | 1,741,857 | 1,651,008 | 1,672,046 |
Accrued expenses | 494,883 | 185,044 |
10,989,000 | 10,203,096 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 18) | 1,032,245 | 1,212,364 |
Hire purchase contracts (see note 19) | - | 12,309 |
1,032,245 | 1,224,673 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 179,738 | 174,177 |
Amounts falling due between one and two years: |
Bank loans - 1-2 years | 185,464 | 179,726 |
Amounts falling due between two and five years: |
Bank loans - 2-5 years | 592,598 | 574,264 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more than 5 years by instalments | 254,183 | 458,374 | 254,183 | 458,374 |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 12,309 | 21,099 |
Between one and five years | - | 12,309 |
12,309 | 33,408 |
The hire purchase contract relates to a specialist machine for the manufacture of exhaust silencers. The remaining lease term is shown above. At the end of the lease, the title of the asset passes to the group for a nominal fee. |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans | 1,211,983 | 1,386,541 |
Hire purchase contracts | 12,309 | 33,408 | - | - |
1,224,292 | 1,419,949 |
The bank loans are secured against the freehold property owned by the subsidiary companies, Industrial and Marine Silencers Limited, by a legal charge dated 3 July 2012 and Bradgate Industrial Properties Limited as well as a company guarantee from the group companies. |
The loans are being repaid over a period of 10 years by 120 monthly instalments. Interest is charged at 4.53% pa and 3.14% pa. |
Hire purchase liabilities are secured over the asset they relate to. |
21. | FINANCIAL INSTRUMENTS |
The group has no financial assets or financial liabilities measured at fair value through profit or loss. |
The total interest income and interest expense for financial assets and financial liabilities that are not measured as fair value through profit or loss was £nil (2022 - £1,674) and £43,139 (2022 - £51,122) respectively. |
22. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 519,968 | 437,972 |
Revalued assets | 355,342 | 373,958 |
875,310 | 811,930 |
Group |
Deferred |
tax |
£ |
Balance at 1 September 2022 | 811,930 |
Charge to Income Statement during year | 63,380 |
Balance at 31 August 2023 | 875,310 |
23. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 18,176 | 18,176 |
BRADGATE CONTAINERS (HOLDINGS) LIMITED (REGISTERED NUMBER: 04349577) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 AUGUST 2023 |
24. | RESERVES |
Group |
Capital |
Retained | Non-distributable | redemption |
earnings | reserve | reserve | Totals |
£ | £ | £ | £ |
At 1 September 2022 | 6,623,618 | 423,545 | 6,824 | 7,053,987 |
Profit for the year | 3,128,091 | 3,128,091 |
Excess depreciation transfer | 1,227 | (1,227 | ) | - | - |
At 31 August 2023 | 9,752,936 | 422,318 | 6,824 | 10,182,078 |
Called up share capital - represents the nominal value of shares that have been issued. |
Non-distributable reserve - the aggregate surplus on re-measurement of freehold properties, net of associated deferred tax, is transferred to a separate non-distributable reserve in order to assist with the identification of profits available for distribution. |
Retained earnings - includes all current and prior period retained profits and losses. |
25. | CONTINGENT LIABILITIES |
The company has an unlimited composite intercompany guarantee to secure the bank borrowings of other group companies. |
26. | RELATED PARTY DISCLOSURES |
Key management personnel of the entity or its parent (in the aggregate) |
2023 | 2022 |
£ | £ |
Amount due to related party | 1,715,762 | 1,741,857 |
Amounts due to key management personnel are unsecured and repayable on demand. |
Key management personnel compensation amounted to £981,285 (2022 - £934,312). |
Amounts owed to shareholders at the year end amounted to £1,181,222 (2022 - £1,528,403). |
Amounts due to shareholders are unsecured and repayable on demand. |
27. | ULTIMATE CONTROLLING PARTY |
The group is jointly controlled by the directors. |