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REGISTERED NUMBER: 04340742 (England and Wales)















Scarlet Group Limited

Group Strategic Report,

Directors' Report and

Consolidated Financial Statements

for the Year Ended 31 May 2023






Scarlet Group Limited (Registered number: 04340742)

Contents of the Consolidated Financial Statements
for the year ended 31 May 2023










Page

Company Information 1

Group Strategic Report 2

Directors' Report 3

Independent Auditors' Report 5

Consolidated Statement of Comprehensive Income 8

Consolidated Balance Sheet 9

Company Balance Sheet 10

Consolidated Statement of Changes in Equity 11

Company Statement of Changes in Equity 12

Consolidated Cash Flow Statement 13

Notes to the Consolidated Financial Statements 14


Scarlet Group Limited

Company Information
for the year ended 31 May 2023







Directors: J Barber
A R Barber
J T Barker
M S Cavendish
N J Dickinson
L J Parsons
G Roberts





Registered office: 375 Stirling Road
Cressex Business Park
High Wycombe
Buckinghamshire
HP12 3ST





Registered number: 04340742 (England and Wales)





Auditors: Cooper Parry Group Limited
Statutory Auditor
178 Buckingham Avenue
Slough
Berkshire
SL1 4RD

Scarlet Group Limited (Registered number: 04340742)

Group Strategic Report
for the year ended 31 May 2023


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

Principal activity
The principal activity of the company is that of a holding company for three subsidiaries whose principal activities are courier, parcel and pallet delivery services, warehousing and fulfilment.

Fair review of the business
The group consists of three trading subsidiaries that operate from 4 depots in the UK. The group continues to work closely with The Alternative Parcel Company Limited (APC) and The Pallet Network Ltd (TPN), the delivery network providers.

Whilst turnover has decreased slightly compared to 2022, gross margin is 1% higher at 22%.

The group's key financial and other performance indicators during the year were as follows:

Unit 2023 2022
Turnover £ 17,418,742 14,885,584
Gross Profit £ 3,848,554 3,697,535
Gross Profit Margin % 22 21


Principal risks and uncertainties
The Directors have reviewed the industry in which the company operates and consider that there are no significant risks and uncertainties that need disclosing within this report. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

The recent rise in inflation and a recessionary economic outlook leaves us operating in a challenging business environment. Our continued focus on costs and operating efficiency along with a resilient and varied customer base ensures we are well positioned to maintain profitability. We continue to explore diversification opportunities with new and existing clients.

On behalf of the board:





L J Parsons - Director


25 January 2024

Scarlet Group Limited (Registered number: 04340742)

Directors' Report
for the year ended 31 May 2023


The directors present their report with the financial statements of the company and the group for the year ended 31 May 2023.

Principal activity
The principal activity of the group in the year under review was that of a holding company for a subsidiary whose principal activity was that of a courier and express delivery service.

Dividends
An interim dividend of 3p per share was paid on 5 April 2023. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 May 2023 will be £ 3,000 .

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

J Barber
A R Barber
J T Barker
M S Cavendish
N J Dickinson
L J Parsons
G Roberts

Statement of directors' responsibilities
The directors are responsible for preparing the Group Strategic Report, the Directors' 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 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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

Scarlet Group Limited (Registered number: 04340742)

Directors' Report
for the year ended 31 May 2023


Auditors
Reappointment of auditor
The audit business of Haines Watts Farnborough LLP was acquired by Cooper Parry Limited on 14 November 2023. Haines Watts Farnborough LLP has resigned as auditor and Cooper Parry Group Limited has been appointed in its place.

The auditors, Cooper Parry Group Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

On behalf of the board:





L J Parsons - Director


25 January 2024

Independent Auditors' Report to the Members of
Scarlet Group Limited


Opinion
We have audited the financial statements of Scarlet Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the 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 May 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 Directors' Report, but does not include the financial statements and our Auditors' Report 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Independent Auditors' Report to the Members of
Scarlet Group 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 Directors' Report.

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

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

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' 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.

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 gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We discussed with the Directors the policies and procedures in place regarding compliance with laws and regulations. We discussed amongst the audit team the identified laws and regulations, and remained alert to any indications of non-compliance.

During the audit we focussed on laws and regulations which could reasonably be expected to give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management.

Our procedures in relation to fraud included but were not limited to: inquires of management whether they have any knowledge of any actual, suspected or alleged fraud, and discussions amongst the audit team regarding risk of fraud such as opportunities for fraudulent manipulation of financial statements. We determined that the principal risks related to posting manual journal entries to manipulate financial performance and management bias through judgements in accounting estimates. We also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Independent Auditors' Report to the Members of
Scarlet Group 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 an Auditors' 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.




Tara Mellett (Senior Statutory Auditor)
for and on behalf of Cooper Parry Group Limited
Statutory Auditor
178 Buckingham Avenue
Slough
Berkshire
SL1 4RD

25 January 2024

Scarlet Group Limited (Registered number: 04340742)

Consolidated
Statement of Comprehensive
Income
for the year ended 31 May 2023

2023 2022
Notes £ £

Turnover 17,418,742 14,885,584

Cost of sales (13,570,189 ) (11,188,049 )
Gross profit 3,848,553 3,697,535

Administrative expenses (3,563,234 ) (3,461,840 )
Operating profit 285,319 235,695


Interest payable and similar expenses 5 (26,190 ) (19,388 )
Profit before taxation 6 259,129 216,307

Tax on profit 7 (46,883 ) (43,634 )
Profit for the financial year 212,246 172,673

Other comprehensive income - -
Total comprehensive income for the year 212,246 172,673

Profit attributable to:
Owners of the parent 212,246 172,673

Total comprehensive income attributable to:
Owners of the parent 212,246 172,673

Scarlet Group Limited (Registered number: 04340742)

Consolidated Balance Sheet
31 May 2023

2023 2022
Notes £ £ £ £
Fixed assets
Intangible assets 10 - -
Tangible assets 11 390,966 274,674
Investments 12 - -
390,966 274,674

Current assets
Debtors 13 2,689,476 3,249,972
Cash in hand 74,110 18,755
2,763,586 3,268,727
Creditors
Amounts falling due within one year 14 2,170,439 2,793,101
Net current assets 593,147 475,626
Total assets less current liabilities 984,113 750,300

Creditors
Amounts falling due after more than one
year

15

(100,000

)

(150,761

)

Provisions for liabilities 19 (317,323 ) (241,995 )
Net assets 566,790 357,544

Capital and reserves
Called up share capital 20 100 100
Retained earnings 21 566,690 357,444
Shareholders' funds 566,790 357,544

The financial statements were approved by the Board of Directors and authorised for issue on 25 January 2024 and were signed on its behalf by:





L J Parsons - Director


Scarlet Group Limited (Registered number: 04340742)

Company Balance Sheet
31 May 2023

2023 2022
Notes £ £ £ £
Fixed assets
Intangible assets 10 - -
Tangible assets 11 - -
Investments 12 470,100 470,100
470,100 470,100

Creditors
Amounts falling due within one year 14 200,400 200,400
Net current liabilities (200,400 ) (200,400 )
Total assets less current liabilities 269,700 269,700

Capital and reserves
Called up share capital 20 100 100
Retained earnings 21 269,600 269,600
Shareholders' funds 269,700 269,700

Company's profit for the financial year 3,000 -

The financial statements were approved by the Board of Directors and authorised for issue on 25 January 2024 and were signed on its behalf by:





L J Parsons - Director


Scarlet Group Limited (Registered number: 04340742)

Consolidated Statement of Changes in Equity
for the year ended 31 May 2023

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 June 2021 100 184,771 184,871

Changes in equity
Total comprehensive income - 172,673 172,673
Balance at 31 May 2022 100 357,444 357,544

Changes in equity
Dividends - (3,000 ) (3,000 )
Total comprehensive income - 212,246 212,246
Balance at 31 May 2023 100 566,690 566,790

Scarlet Group Limited (Registered number: 04340742)

Company Statement of Changes in Equity
for the year ended 31 May 2023

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 June 2021 100 269,600 269,700

Changes in equity
Balance at 31 May 2022 100 269,600 269,700

Changes in equity
Dividends - (3,000 ) (3,000 )
Total comprehensive income - 3,000 3,000
Balance at 31 May 2023 100 269,600 269,700

Scarlet Group Limited (Registered number: 04340742)

Consolidated Cash Flow Statement
for the year ended 31 May 2023

2023 2022
Notes £ £
Cash flows from operating activities
Cash generated from operations 25 429,911 206,379
Interest paid (26,190 ) (19,388 )
Tax paid (46,439 ) (44,044 )
Net cash from operating activities 357,282 142,947

Cash flows from investing activities
Purchase of tangible fixed assets (219,349 ) (77,453 )
Sale of tangible fixed assets 8,167 -
Net cash from investing activities (211,182 ) (77,453 )

Cash flows from financing activities
Loan repayments in year (50,000 ) (50,000 )
Capital repayments in year (37,745 ) (9,171 )
Equity dividends paid (3,000 ) -
Net cash from financing activities (90,745 ) (59,171 )

Increase in cash and cash equivalents 55,355 6,323
Cash and cash equivalents at beginning
of year

26

18,755

12,432

Cash and cash equivalents at end of year 26 74,110 18,755

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements
for the year ended 31 May 2023


1. Statutory information

Scarlet Group Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. Accounting policies

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are prepared in sterling which is the functional currency of the company and rounded to the nearest pound.

Going concern
The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment. Based on these assessments and the current resources available, the Directors have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts.

Basis of consolidation
The financial statements consolidate the accounts of Scarlet Group Limited and all of its subsidiary undertakings ('subsidiaries').

Significant judgements and estimates
The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period.

The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates and the physical condition of the assets.

There is estimation uncertainty in calculating bad debt provisions. A full line by line review of trade debtors is carried out at the end of each month. Whilst every attempt is made to ensure that the bad debt provisions are as accurate as possible, there remains a risk that the provision do not match the level of debts which ultimately prove to be uncollectable.

There is also estimation uncertainty in calculating deferred tax liability due to temporary timing differences. Unrelieved tax losses and other deferred tax assets are only 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.

Turnover
Turnover represents amounts receivable for services provided in the year and is stated net of VAT. Turnover is recognised once the service has been provided.

Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company's interest in the net fair value of the identifiable assets, liabilities, contingent liabilities of the entity recognised at the date of acquisition. Goodwill is recongised as an intangible asset at cost less accumulated amortisation and accumulated impairment loss.

Goodwill is amortised over its useful life of 6 and 7.5 years.

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


2. Accounting policies - continued

Tangible fixed assets
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Short-term leasehold- Over the lease term
Motor vehicles - 20-25% straight line
Office equipment- 20-25% straight line

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Financial instruments
Financial assets and financial liabilities are recognised in the balance sheet when the company becomes a party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the company will not be able to collect all amounts due.

Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank and bank overdrafts which are an integral part of the company's cash management.

Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Dilapidation costs of leased premises
The provision for dilapidations represents the current estimated costs of repairs to leased properties required prior to properties being returned at the end of the leases.

Investments in subsidiaries
Investments in subsidiaries are held at cost less provision for impairment.

3. Employees and directors
2023 2022
£ £
Wages and salaries 2,635,431 2,864,866
Social security costs 365,046 268,740
Other pension costs 74,323 59,107
3,074,800 3,192,713

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

Management 7 7
Administration 5 5
Sales 5 5
Operational direct 42 46
Operational indirect 30 34
89 97

The average number of employees by undertakings that were proportionately consolidated during the year was 89 (2022 - 97 ) .

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


4. Directors' emoluments
2023 2022
£ £
Directors' remuneration 668,868 649,628
Directors' pension contributions to money purchase schemes 18,197 9,448

Information regarding the highest paid director is as follows:
2023 2022
£ £
Emoluments etc 177,481 174,840
Pension contributions to money purchase schemes - 1,210

During the year retirement benefits were accruing to seven directors (2022 - seven) in respect of defined contribution pension schemes.

Key management personnel
No one other than the directors are deemed to be key management personnel.

5. Interest payable and similar expenses
2023 2022
£ £
Bank interest 16,637 13,232
Bank loan interest 1,736 1,736
Interest payable 7,817 4,420
26,190 19,388

6. Profit before taxation

The profit is stated after charging/(crediting):

2023 2022
£ £
Depreciation - owned assets 95,557 57,311
Profit on disposal of fixed assets (667 ) -
Goodwill amortisation - 17,082
Auditors' remuneration 25,250 24,132

7. Taxation

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£ £
Current tax:
UK corporation tax 36,063 46,439

Deferred tax 10,820 (2,805 )
Tax on profit 46,883 43,634

8. Individual statement of comprehensive income

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.


Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


9. Dividends

2023 2022
£    £   
Interim 3,000 -

10. Intangible fixed assets

Group
Goodwill
£
Cost
At 1 June 2022
and 31 May 2023 256,250
Amortisation
At 1 June 2022
and 31 May 2023 256,250
Net book value
At 31 May 2023 -
At 31 May 2022 -

11. Tangible fixed assets

Group
Short Motor Office
leasehold vehicles equipment Totals
£ £ £ £
Cost
At 1 June 2022 22,451 72,935 357,388 452,774
Additions - 203,782 15,567 219,349
Disposals - (8,000 ) - (8,000 )
At 31 May 2023 22,451 268,717 372,955 664,123
Depreciation
At 1 June 2022 15,341 29,371 133,388 178,100
Charge for year - 50,021 45,536 95,557
Eliminated on disposal - (500 ) - (500 )
At 31 May 2023 15,341 78,892 178,924 273,157
Net book value
At 31 May 2023 7,110 189,825 194,031 390,966
At 31 May 2022 7,110 43,564 224,000 274,674

Fixed assets, included in the above, which are held under hire purchase contracts carry a net book value of £26,206 (2022: £38,752).

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


12. Fixed asset investments

Company
Shares in
group
undertakings
£
Cost
At 1 June 2022
and 31 May 2023 470,100
Net book value
At 31 May 2023 470,100
At 31 May 2022 470,100

The group or the company's investments at the Balance Sheet date in the share capital of companies include the following:

Subsidiaries

Delivered (Reading) Ltd
Registered office: 375 Stirling Road, Cressex Business Park, High Wycombe, HP12 3ST
Nature of business: Courier and express delivery service
%
Class of shares: holding
Ordinary 100.00

Delivered (UK) Limited
Registered office: 375 Stirling Road, Cressex Business Park, High Wycombe, HP12 3ST
Nature of business: Courier and express delivery service
%
Class of shares: holding
Ordinary 100.00

Delivered Portsmouth Limited
Registered office: 375 Stirling Road, Cressex Business Park, High Wycombe, HP12 3ST
Nature of business: Dormant
%
Class of shares: holding
Ordinary 100.00


13. Debtors: amounts falling due within one year

Group
2023 2022
£ £
Trade debtors 2,219,747 2,799,257
Other debtors 90,066 54,283
Deferred tax asset - 32,492
Prepayments and accrued income 379,663 363,940
2,689,476 3,249,972

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


14. Creditors: amounts falling due within one year

Group Company
2023 2022 2023 2022
£ £ £ £
Bank loans and overdrafts (see note 16) 50,000 50,000 - -
Finance leases (see note 17) - 36,984 - -
Trade creditors 1,359,054 1,743,044 - -
Amounts owed to group undertakings - - 200,000 200,000
Tax 36,063 46,439 - -
Social security and other taxes 65,254 75,640 - -
VAT 197,664 238,696 - -
Other creditors 192,308 285,045 400 400
Accruals and deferred income 270,096 317,253 - -
2,170,439 2,793,101 200,400 200,400

15. Creditors: amounts falling due after more than one year

Group
2023 2022
£ £
Bank loans (see note 16) 100,000 150,000
Finance leases (see note 17) - 761
100,000 150,761

16. Loans

An analysis of the maturity of loans is given below:

Group
2023 2022
£ £
Amounts falling due within one year or on demand:
Bank loans 50,000 50,000
Amounts falling due between one and two years:
Bank loans - 1-2 years 100,000 150,000

17. Leasing agreements

Minimum lease payments fall due as follows:

Group
Finance leases
2023 2022
£ £
Net obligations repayable:
Within one year - 36,984
Between one and five years - 761
- 37,745

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


17. Leasing agreements - continued

Group
Non-cancellable
operating leases
2023 2022
£ £
Within one year 530,251 549,559
Between one and five years 921,658 1,286,066
In more than five years 260,000 500,000
1,711,909 2,335,625

18. Secured debts

The following secured debts are included within creditors:

Group
2023 2022
£ £
Bank loans 150,000 200,000

19. Provisions for liabilities

Group
2023 2022
£ £
Deferred tax 17,623 39,295
Other provisions
Dilapidations provision 299,700 202,700

Aggregate amounts 317,323 241,995

Group
Deferred tax
£
Balance at 1 June 2022 39,295
Provided during year (21,672 )
Timing difference
Balance at 31 May 2023 17,623

20. Called up share capital

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £ £
100 Ordinary 1 100 100

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


21. Reserves

Group
Retained
earnings
£

At 1 June 2022 357,444
Profit for the year 212,246
Dividends (3,000 )
At 31 May 2023 566,690

Company
Retained
earnings
£

At 1 June 2022 269,600
Profit for the year 3,000
Dividends (3,000 )
At 31 May 2023 269,600


22. Pension commitments

The group operates a defined contribution pension scheme for the benefit of directors and senior employees. The assets of the scheme are administered by trustees in funds which are independent from those of the company.

The total contribution paid in the year by the group amounted to £74,323 (2022: £59,107). Contributions of £11,811 (2022: £13,170) were payable to the scheme at the year end and are included in creditors.

23. Ultimate controlling party

The ultimate controlling party is Mr J J Barber, who owns the majority of the majority of the issued share capital in Scarlet Group Limited.

24. Related party disclosures

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Scarlet Group Limited (Registered number: 04340742)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 May 2023


25. Reconciliation of profit before taxation to cash generated from operations
2023 2022
£ £
Profit before taxation 259,129 216,307
Depreciation charges 95,557 74,393
Profit on disposal of fixed assets (667 ) -
Finance costs 26,190 19,388
380,209 310,088
Decrease/(increase) in trade and other debtors 528,004 (163,476 )
(Decrease)/increase in trade and other creditors (478,302 ) 59,767
Cash generated from operations 429,911 206,379

26. Cash and cash equivalents

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 May 2023
31/5/23 1/6/22
£ £
Cash and cash equivalents 74,110 18,755
Year ended 31 May 2022
31/5/22 1/6/21
£ £
Cash and cash equivalents 18,755 12,432


27. Analysis of changes in net debt

At 1/6/22 Cash flow At 31/5/23
£ £ £
Net cash
Cash at bank and in hand 18,755 55,355 74,110
18,755 55,355 74,110
Debt
Finance leases (37,745 ) 37,745 -
Debts falling due within 1 year (50,000 ) - (50,000 )
Debts falling due after 1 year (150,000 ) 50,000 (100,000 )
(237,745 ) 87,745 (150,000 )
Total (218,990 ) 143,100 (75,890 )