REGISTERED NUMBER: 05578357 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 March 2023 |
for |
VIVA PROPERTIES LIMITED |
REGISTERED NUMBER: 05578357 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 March 2023 |
for |
VIVA PROPERTIES LIMITED |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 4 |
Report of the Independent Auditors | 5 |
Consolidated Statement of Comprehensive Income | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
VIVA PROPERTIES LIMITED |
Company Information |
for the Year Ended 31 March 2023 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: | Jonathan Bregman BSc FCA FCCA |
AUDITORS: |
First Floor |
Spitalfields House |
Stirling Way |
Borehamwood |
Hertfordshire |
WD6 2FX |
BANKERS: | Barclays |
75 King Street |
Hammersmith |
London |
W6 9HY |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Group Strategic Report |
for the Year Ended 31 March 2023 |
The director presents his strategic report of the company and the group for the year ended 31 March 2023. |
REVIEW OF BUSINESS |
The group's turnover increased to £14,060,172 as compared to £13,291,177 (2022). Profit before tax has decreased to £2,258,587 as compared to £4,840,050 (2022). |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group's operations expose it to a variety of financial risks including competition/exchange rate risk, price risk, credit risk and liquidity risk. There are a number of controls in place to limit the adverse effects of these risks on the financial performance of the group. |
Competition/Exchange Rate Risk |
Like all companies carrying out similar activities, the group is subject to strong competition from larger companies in the same trade and this may affect the gross margin achieved from its sales. As a result, the group has established good relationship with its suppliers in the Far East to purchase goods at lower prices to enable to complete with its large competitors. |
As a result of increasing its purchases from the Far East, the group is exposed to the risk of currency fluctuation as most of its goods are priced in US dollars. The directors are aware of this risk but are confident that the group has sufficient cash flow to finance its purchases. |
Price Risk |
The group is exposed to general price risk as a result of its operations. Management keep this aspect of the group's affairs under constant review. |
Credit Risk |
Credit is only offered to companies after references have been taken up and an appropriate level reached depending on the customers trading history. |
Liquidity Risk |
The group ensure there are sufficient funds available to operate. Cash flow forecasts are prepared, monitored and adjusted when necessary as part of this process. |
Legal Risk |
The group, from time to time, can be exposed to legal claims. The group will ensure adequate procedures and policies are implemented and legal advisors deployed to ensure that the risk of litigation is mitigated and managed accordingly. |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Group Strategic Report |
for the Year Ended 31 March 2023 |
KEY PERFORMANCE INDICATORS |
The Directors consider the following as key performance indicators |
2023 |
2022 |
£ |
£ |
Turnover |
14,060,172 |
13,291,177 |
Gross Profit |
6,179,057 |
6,862,234 |
Profit before tax |
2,258,587 |
4,840,050 |
Net Assets |
31,375,384 |
30,230,796 |
ON BEHALF OF THE BOARD: |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Report of the Director |
for the Year Ended 31 March 2023 |
The director presents his report with the financial statements of the company and the group for the year ended 31 March 2023. |
DIVIDENDS |
The During the year £614,000 dividends were paid by the group. The directors do not recommend payment of a final dividend. |
DIRECTOR |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he 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. |
AUDITORS |
The auditors, Primera Accountants Limited, will be proposed for re-appointment at the forthcoming automatic re-appointment. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Viva Properties Limited |
Opinion |
We have audited the financial statements of Viva Properties Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 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 Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the director's 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 director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Director 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 Director have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Viva Properties 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 Director. |
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 director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Viva Properties 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. We designed procedures capable of detecting non-compliance with laws and regulations and irregularities, including fraud, through: |
- Obtaining an understanding of the Group and the Company and its industry through discussions with management, and the application of our cumulative audit knowledge and experience of the industry to identify laws and regulations that could reasonably be expected to have a direct effect on the financial statements including tax, pensions, employment, health and safety, data protection and anti-bribery legislation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006. |
- Identifying possible risks of material misstatement of the financial statements due to fraud. We considered, in addition to the non-rebuttable presumption of a risk of fraud arising from management override of controls, whether there was potential for management bias in the reporting of events and transactions in the financial statements relating to revenue recognition. |
Our audit procedures were designed to designed to respond to the identified risks relating to non-compliance with laws and regulations and irregularities (including fraud) that are material to the financial statements. |
Our audit procedures in relation to non-compliance with laws and regulations included, but were not limited to: |
-Discussing with the directors and management their policies and procedures regarding compliance with laws and regulations and reviewing correspondence with regulators and with solicitors; and |
- Communicating identified laws and regulations with the audit team and remaining alert to any indications of non-compliance throughout the audit; and |
- Considering the risk of non-compliance with laws and regulations; and |
- Considering whether the financial statement disclosures fairly represent the underlying transactions. |
Our audit procedures in relation to irregularities and fraud included, but were not limited to: |
-Making enquiries of directors and management as to where they considered there was susceptibility to fraud, and whether they had knowledge of actual, suspected or alleged fraud; and |
- Gaining an understanding of the internal controls established to mitigate risks relating to fraud; and |
- Discussing the risk of fraud and management bias with the audit team and remaining alert to any indications of fraud and management bias throughout the audit; and |
-Addressing the risk of management override of controls by testing journal entries, considering the rationale behind significant or unusual transactions, and reviewing accounting estimates |
There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. |
Because of these inherent limitations, 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. This risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
Viva Properties 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 |
First Floor |
Spitalfields House |
Stirling Way |
Borehamwood |
Hertfordshire |
WD6 2FX |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Consolidated |
Statement of Comprehensive |
Income |
for the Year Ended 31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
TURNOVER | 3 | 14,060,172 | 13,291,177 |
Cost of sales | (7,881,115 | ) | (6,428,944 | ) |
GROSS PROFIT | 6,179,057 | 6,862,233 |
Administrative expenses | (3,641,170 | ) | (3,081,614 | ) |
2,537,887 | 3,780,619 |
Other operating income | 4 | - | 615,013 |
Gain/loss on revaluation of assets | (393,642 | ) | 441,749 |
OPERATING PROFIT | 6 | 2,144,245 | 4,837,381 |
Interest receivable and similar income | 8 | 114,342 | 2,669 |
PROFIT BEFORE TAXATION | 2,258,587 | 4,840,050 |
Tax on profit | 9 | (499,999 | ) | (877,017 | ) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
1,758,588 |
3,963,033 |
Profit attributable to: |
Owners of the parent | 1,758,588 | 3,963,033 |
Total comprehensive income attributable to: |
Owners of the parent | 1,758,588 | 3,963,033 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Consolidated Balance Sheet |
31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 12 | 7,866,355 | 7,924,458 |
Investments | 13 | 370,442 | 1,133,126 |
8,236,797 | 9,057,584 |
CURRENT ASSETS |
Stocks | 14 | 6,137,958 | 5,730,624 |
Debtors | 15 | 13,786,149 | 10,453,624 |
Cash at bank and in hand | 5,121,983 | 6,987,301 |
25,046,090 | 23,171,549 |
CREDITORS |
Amounts falling due within one year | 16 | (1,637,565 | ) | (1,698,664 | ) |
NET CURRENT ASSETS | 23,408,525 | 21,472,885 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
31,645,322 |
30,530,469 |
PROVISIONS FOR LIABILITIES | 18 | (269,938 | ) | (299,673 | ) |
NET ASSETS | 31,375,384 | 30,230,796 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 1,000 | 1,000 |
Share premium | 20 | 54,302 | 54,302 |
Fair value reserve | 20 | 144,503 | 357,817 |
Retained earnings | 20 | 31,175,579 | 29,817,677 |
SHAREHOLDERS' FUNDS | 31,375,384 | 30,230,796 |
The financial statements were approved by the director and authorised for issue on 22 December 2023 and were signed by: |
R G Dangoor - Director |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Company Balance Sheet |
31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 12 |
Investments | 13 |
CURRENT ASSETS |
Stocks | 14 |
CREDITORS |
Amounts falling due within one year | 16 | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings | 20 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 614,000 | 5,860,385 |
The financial statements were approved by the director and authorised for issue on |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 March 2023 |
Called up |
share | Retained | Share |
capital | earnings | premium |
£ | £ | £ |
Balance at 1 April 2021 | 1,000 | 26,083,046 | 54,302 |
Changes in equity |
Dividends | - | (642,000 | ) | - |
Total comprehensive income | - | 3,963,033 | - |
Transfer to/from revaluation |
reserve to P&L reserves | - | 771,415 | - |
Transfer to/from fair value |
reserve to P&L reserves | - | (357,817 | ) | - |
Balance at 31 March 2022 | 1,000 | 29,817,677 | 54,302 |
Changes in equity |
Dividends | - | (614,000 | ) | - |
Total comprehensive income | - | 1,758,588 | - |
Transfer to/from fair value |
reserve to P&L reserves | - | 213,314 | - |
Balance at 31 March 2023 | 1,000 | 31,175,579 | 54,302 |
Fair |
Revaluation | value | Total |
reserve | reserve | equity |
£ | £ | £ |
Balance at 1 April 2021 | - | - | 26,138,348 |
Changes in equity |
Dividends | - | - | (642,000 | ) |
Total comprehensive income | - | - | 3,963,033 |
Revaluation reserves | 771,415 | 357,817 | 1,129,232 |
Transfer to/from revaluation |
reserve to P&L reserves | (771,415 | ) | - | - |
Transfer to/from fair value |
reserve to P&L reserves | - | - | (357,817 | ) |
Balance at 31 March 2022 | - | 357,817 | 30,230,796 |
Changes in equity |
Dividends | - | - | (614,000 | ) |
Total comprehensive income | - | - | 1,758,588 |
Transfer to/from fair value |
reserve to P&L reserves | - | (213,314 | ) | - |
Balance at 31 March 2023 | - | 144,503 | 31,375,384 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Company Statement of Changes in Equity |
for the Year Ended 31 March 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 April 2021 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2023 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Consolidated Cash Flow Statement |
for the Year Ended 31 March 2023 |
31.3.23 | 31.3.22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (1,029,758 | ) | 3,000,784 |
Tax paid | (820,000 | ) | (705,198 | ) |
Net cash from operating activities | (1,849,758 | ) | 2,295,586 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (98,540 | ) | (125,725 | ) |
Purchase of fixed asset investments | (784,155 | ) | (366,229 | ) |
Sale of tangible fixed assets | - | 14,100 |
Sale of fixed asset investments | 1,366,793 | - |
Interest received | 114,342 | 2,669 |
Net cash from investing activities | 598,440 | (475,185 | ) |
Cash flows from financing activities |
Equity dividends paid | (614,000 | ) | (642,000 | ) |
Net cash from financing activities | (614,000 | ) | (642,000 | ) |
(Decrease)/increase in cash and cash equivalents | (1,865,318 | ) | 1,178,401 |
Cash and cash equivalents at beginning of year |
2 |
6,987,301 |
5,808,900 |
Cash and cash equivalents at end of year | 2 | 5,121,983 | 6,987,301 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 March 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.3.23 | 31.3.22 |
£ | £ |
Profit before taxation | 2,258,587 | 4,840,050 |
Depreciation charges | 156,643 | 129,059 |
Profit on disposal of fixed assets | (206,153 | ) | (8,541 | ) |
Loss/(gain) on revaluation of fixed assets | 393,642 | (441,749 | ) |
Reversal of impairment | - | (325,088 | ) |
Finance income | (114,342 | ) | (2,669 | ) |
2,488,377 | 4,191,062 |
Increase in stocks | (407,334 | ) | (877,488 | ) |
Increase in trade and other debtors | (3,049,702 | ) | (513,515 | ) |
(Decrease)/increase in trade and other creditors | (61,099 | ) | 200,725 |
Cash generated from operations | (1,029,758 | ) | 3,000,784 |
2. | 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 March 2023 |
31.3.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 5,121,983 | 6,987,301 |
Year ended 31 March 2022 |
31.3.22 | 1.4.21 |
£ | £ |
Cash and cash equivalents | 6,987,301 | 5,808,900 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.4.22 | Cash flow | At 31.3.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 6,987,301 | (1,865,318 | ) | 5,121,983 |
6,987,301 | (1,865,318 | ) | 5,121,983 |
Total | 6,987,301 | (1,865,318 | ) | 5,121,983 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 March 2023 |
1. | STATUTORY INFORMATION |
Viva Properties Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006. |
The following principal accounting policies have been applied: |
Basis of consolidation |
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full. |
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. |
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. |
Critical accounting judgements and key sources of estimation uncertainty |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on the amounts recognised in the financial statements: |
Trade debtors: The recoverability of trade debtors has been assessed as at the year end and up until the date of signing these financial statements. Management have based their decision to provide for any amounts based on their judgement of all the available information, and their experience of the specific nature of trade debtors in question. |
Stock: Stock is included as per the accounting policy set out above. Management have assessed the need to write off or provide against any specific items based on the levels held at year end, and the expected sales of such items in the immediate period post year end. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Freehold property | - |
Long leasehold | - |
Plant and machinery | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Financial instruments |
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset , with the net amounts presented in the financial statements , when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
Basic financial assets |
Basic financial assets, which include debtors and cash and bank balances, are initially measured at |
transaction price including transaction costs and are subsequently carried at amortised cost using the |
effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
Basic financial liabilities |
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and |
preference shares that are classified as debt, are initially recognised at transaction price unless the |
arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled. |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, 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 balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet 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 balance sheet 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. |
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. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by geographical market is given below: |
31.3.23 | 31.3.22 |
£ | £ |
United Kingdom | 13,857,360 | 13,110,947 |
Africa | 202,812 | 180,230 |
14,060,172 | 13,291,177 |
4. | OTHER OPERATING INCOME |
31.3.23 | 31.3.22 |
£ | £ |
Sundry receipts | - | 35,892 |
Realised gain on listed |
investments | - | 254,023 |
Reversal of impairment losses for tangible fixed assets |
- |
325,098 |
- | 615,013 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
5. | EMPLOYEES AND DIRECTORS |
31.3.23 | 31.3.22 |
£ | £ |
Wages and salaries | 1,863,717 | 1,751,729 |
Social security costs | 200,806 | 183,708 |
Other pension costs | 27,326 | 29,819 |
2,091,849 | 1,965,256 |
The average number of employees during the year was as follows: |
31.3.23 | 31.3.22 |
Administration | 24 | 24 |
Sales | 30 | 31 |
31.3.23 | 31.3.22 |
£ | £ |
Director's remuneration | 160,140 | 131,181 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.3.23 | 31.3.22 |
£ | £ |
Depreciation - owned assets | 156,643 | 129,059 |
Profit on disposal of fixed assets | (206,153 | ) | (8,541 | ) |
7. | AUDITORS' REMUNERATION |
31.3.23 | 31.3.22 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
32,000 |
32,000 |
Fees payable to the company's auditors for other services to the group: |
The auditing of accounts of any associate of the company | 16,690 | 34,607 |
Total audit fees | 48,690 | 66,607 |
8. | INTEREST RECEIVABLE AND SIMILAR INCOME |
31.3.23 | 31.3.22 |
£ | £ |
Interest receivable | 114,342 | 2,669 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
9. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.3.23 | 31.3.22 |
£ | £ |
Current tax: |
UK corporation tax | 529,734 | 779,000 |
Deferred tax | (29,735 | ) | 98,017 |
Tax on profit | 499,999 | 877,017 |
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: |
31.3.23 | 31.3.22 |
£ | £ |
Profit before tax | 2,258,587 | 4,840,050 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
429,132 |
919,610 |
Effects of: |
Expenses not deductible for tax purposes | 8,856 | 9,916 |
Capital allowances in excess of depreciation | - | (3,862 | ) |
Depreciation in excess of capital allowances | 17,235 | - |
development tax credit leading |
Non trade charges relief | - | (507 | ) |
Adjustments of tax in respect of listed investments gain | 74,263 | (146,281 | ) |
Deferred tax movement for year | (29,735 | ) | 98,017 |
Other | 248 | 124 |
Total tax charge | 499,999 | 877,017 |
10. | 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. |
11. | DIVIDENDS |
31.3.23 | 31.3.22 |
£ | £ |
Ordinary shares of £1 each Interim | 614,000 | 642,000 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
12. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Short | Long | Plant and |
property | leasehold | leasehold | machinery | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 April 2022 | 7,572,922 | 424,420 | 234,769 | 1,387,244 | 9,619,355 |
Additions | 59,324 | - | - | 39,216 | 98,540 |
At 31 March 2023 | 7,632,246 | 424,420 | 234,769 | 1,426,460 | 9,717,895 |
DEPRECIATION |
At 1 April 2022 | 216,837 | 424,420 | 14,088 | 1,039,552 | 1,694,897 |
Charge for year | 82,644 | - | 2,348 | 71,651 | 156,643 |
At 31 March 2023 | 299,481 | 424,420 | 16,436 | 1,111,203 | 1,851,540 |
NET BOOK VALUE |
At 31 March 2023 | 7,332,765 | - | 218,333 | 315,257 | 7,866,355 |
At 31 March 2022 | 7,356,085 | - | 220,681 | 347,692 | 7,924,458 |
The directors do not consider there has been any changes during the year to the value of freehold properties retained by the companyr. The historic cost of the properties is £2,759,854. |
Deferred tax is provided on the potential gain less indexation allowance. |
Company |
Freehold |
property |
£ |
COST |
At 1 April 2022 |
and 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
13. | FIXED ASSET INVESTMENTS |
Group |
Listed |
investments |
£ |
COST OR VALUATION |
At 1 April 2022 | 1,133,126 |
Additions | 784,155 |
Disposals | (1,160,640 | ) |
Revaluations | (386,199 | ) |
At 31 March 2023 | 370,442 |
NET BOOK VALUE |
At 31 March 2023 | 370,442 |
At 31 March 2022 | 1,133,126 |
Cost or valuation at 31 March 2023 is represented by: |
Listed |
investments |
£ |
Valuation in 2022 | 192,671 |
Cost | 177,771 |
370,442 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 April 2022 |
and 31 March 2023 |
NET BOOK VALUE |
At 31 March 2023 |
At 31 March 2022 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
13. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiary |
Viva Enterprises Limited |
Registered office: 245-247 Cricklewood Broadway, London, NW2 |
Nature of business: Electrical and lighting retailers |
% |
Class of shares: | holding |
Ordinary | 100.00 |
31.3.23 | 31.3.22 |
£ | £ |
Aggregate capital and reserves | 26,156,999 | 25,012,411 |
Profit for the year | 1,758,588 | 3,963,033 |
14. | STOCKS |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Stocks | 4,361,620 | 4,012,239 |
Development Property | 1,776,338 | 1,718,385 | 1,776,338 | 1,718,385 |
6,137,958 | 5,730,624 |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group |
31.3.23 | 31.3.22 |
£ | £ |
Trade debtors | 831,712 | 876,390 |
Other debtors | 11,899,382 | 8,323,571 |
Prepayments | 1,055,055 | 1,253,663 |
13,786,149 | 10,453,624 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.3.23 | 31.3.22 | 31.3.23 | 31.3.22 |
£ | £ | £ | £ |
Trade creditors | 966,697 | 695,803 |
Amounts owed to group undertakings | - | - |
Tax | 285,962 | 576,228 |
Social security and other taxes | 53,272 | 53,903 |
VAT | 206,935 | 271,565 | - | - |
Other creditors | 311 | 311 |
Accruals and deferred income | 124,388 | 100,854 |
1,637,565 | 1,698,664 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Non-cancellable operating | leases |
31.3.23 | 31.3.22 |
£ | £ |
Within one year | - | 100,000 |
18. | PROVISIONS FOR LIABILITIES |
Group |
31.3.23 | 31.3.22 |
£ | £ |
Deferred tax | 269,938 | 299,673 |
Group |
Deferred |
tax |
£ |
Balance at 1 April 2022 | 299,673 |
Provided during year | (29,735 | ) |
Balance at 31 March 2023 | 269,938 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.3.23 | 31.3.22 |
value: | £ | £ |
Ordinary | £1 | 1,000 | 1,000 |
20. | RESERVES |
Group |
Fair |
Retained | Share | value |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 1 April 2022 | 29,817,677 | 54,302 | 357,817 | 30,229,796 |
Profit for the year | 1,758,588 | 1,758,588 |
Dividends | (614,000 | ) | (614,000 | ) |
Transfer to/from fair value |
reserve to P&L reserves | 213,314 | - | (213,314 | ) | - |
At 31 March 2023 | 31,175,579 | 54,302 | 144,503 | 31,374,384 |
VIVA PROPERTIES LIMITED (REGISTERED NUMBER: 05578357) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2023 |
20. | RESERVES - continued |
Company |
Retained |
earnings |
£ |
At 1 April 2022 |
Profit for the year |
Dividends | ( |
) |
At 31 March 2023 |
Merger reserve - This reserve includes excess of fair value of consideration shares issued on purchase of Viva Enterprises Ltd above par value. |
Profit and loss account - This reserve records retained earnings and accumulated losses. |
Fair value reserve - This reserve records the value of asset revaluations and fair value movements on assets. |
21. | RELATED PARTY DISCLOSURES |
31 March 2023 |
31 March 2022 |
£ | £ |
Sales to entities over which the entity has significant influence | 74,948 | 13,114 |
Balance owed by entities over which the entity has significant influence | 290 | 40 |
Loans to entities over which the entity has significant influence | 7,514,639 | 8,302,546 |
Rent paid to other related parties | 250,000 | 200,000 |
Balance owed by director | 863,241 | - |
The loans to entities over which the entity has significant influence are repayable on demand. |
The directors current account was overdrawn by £863,241. The maximum amount overdrawn during the year was £863,241. Interest of £14,418 has been charged by the group in respect of this amount. The balance outstanding was repaid after the year end. |
22. | CONTROLLING PARTY |
The company was ulitmately controlled by Mr R Dangoor and Mrs N Dangoor by virtue of their 100% |
shareholding throughout the current and previous year. |
23. | PENSION COMMITMENTS |
The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £33,092 (2022:£22,713). |
24. | CONTINGENT LIABILTY |
The group is currently involved in a legal dispute. The company directors are of the opinion no provision for this dispute is required in these financial statements. |