REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2023 |
FOR |
C.W. RUSSELL LTD |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2023 |
FOR |
C.W. RUSSELL LTD |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Balance Sheet | 12 |
Statement of Changes in Equity | 14 |
Cash Flow Statement | 15 |
Notes to the Cash Flow Statement | 16 |
Notes to the Financial Statements | 18 |
C.W. RUSSELL LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 APRIL 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Accountancy Limited - Statutory Auditor |
Harelands Courtyard Offices |
Moor Road |
Melsonby |
Richmond |
North Yorkshire |
DL10 5NY |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 30 APRIL 2023 |
The directors present their strategic report for the year ended 30 April 2023. |
REVIEW OF BUSINESS |
The company specialises in haulage and plant operations. |
The turnover for the period fell slightly to £13.8m from £15.0 in the previous year. This was in line with the directors' expectations. |
Gross profit similarly decreased from £5.9m to £4.0m. |
The Retained Profit after tax and dividends for the year was £1.0m (2022 £2.3m). |
During the period the business has continued to build its asset base with fixed assets increasing to £8.2m from £5.8m in the previous year. |
Net assets have also increased in the period to £5.6m (2022 £4.8m). |
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risks and uncertainties for the company centre around the factors facing the haulage industry and the economy as a whole. The directors and senior team undertake regular reviews to ensure that appropriate policies and procedures are in place with adequate controls to mitigate against such risks. |
The company is exposed to commodity price risk, in particular to movements in fuel prices. The company seeks to manage its exposure by continuously reviewing costs and identifying cost effective suppliers to meet the business' needs. As a result of this, exposure to price increases is being managed. |
Interest rate increases could potentially have an influence on the business though this is mitigated through the use of fixed rate agreements where appropriate. |
The company's key focus is to provide fairly priced services using a skilled and reliable workforce. |
KEY PERFORMANCE INDICATORS |
The summary below shows the key performance indicators that the directors use to review the financial performance of the business: |
| 2023 | 2022 |
Turnover | £13.87m | £15.02m |
Gross margin as a % of sales | 28.5% | 39.1% |
Operating profit as a % of sales | 9.6% | 18.9% |
Net assets | £5.60m | £4.75m |
The directors undertake regular reviews of the performance of the company including weekly productivity reviews, weekly management meetings at which existing and future workloads are considered as well as cost analysis and asset reviews. |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 30 APRIL 2023 |
FUTURE PLANS |
The directors are always looking at opportunities to expand the business and open further income streams. They aim to maintain long term relationships with their customers and create opportunities for their employees to develop and achieve their potential. |
ON BEHALF OF THE BOARD: |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 APRIL 2023 |
The directors present their report with the financial statements of the company for the year ended 30 April 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of Plant & Haulage Contractor |
DIVIDENDS |
The total distribution of dividends for the year ended 30 April 2023 will be £ |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 May 2022 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company 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 company'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 company's auditors are aware of that information. |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 APRIL 2023 |
AUDITORS |
The auditors, Momentum Taxation and, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
C.W. RUSSELL LTD |
Qualified Opinion |
We have audited the financial statements of C.W. Russell Ltd (the 'company') for the year ended 30 April 2023 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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, except for the possible effects of the matters described in the basis for qualified |
opinion section of our report, the financial statements: |
- give a true and fair view of the state of the company’s affairs as at 30 April 2023 and of the |
company’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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. The company took advantage of the audit exemption available to them for the year ended 30 April 2022 therefore the comparative figures included in these financial statements have not been audited. As part of our normal audit process we reviewed the opening balances and identified a number of errors which has resulted in a prior year adjustment of over £1.2m. We were unable to apply sufficient audit procedures to all opening balances and we are therefore unable to verify that the opening balances are free from material misstatement. |
With respect to stock having a carrying amount of £210,000, the audit evidence was limited because we did not observe the counting of the physical stock at 30th April 2023, since that date was prior to our appointment as auditor of the company. Owing to the nature of the company's records, we were unable to obtain sufficient appropriate audit evidence regarding the stock quantities by using other audit procedures. |
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 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
C.W. RUSSELL LTD |
Other information |
The directors are responsible for the other information. The other information comprises the information in the 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 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 Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
Except for the matters described in the basis for qualified opinion section of our report, in the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report. |
Arising solely from the limitation on the scope of our work relating to opening balances and stock, referred to above: |
- we have not obtained all the information and explanations that we considered necessary for the purpose of our audit; and |
- we were unable to determine whether adequate accounting records have been kept. |
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: |
- | returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
C.W. RUSSELL LTD |
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 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 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 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
As part of designing our audit, we determined materiality and assessed the risks of material misstatement in the financial statements, including how fraud may occur by enquiring of management of its own consideration of fraud. In particular, we looked at where management made subjective judgements, for example in respect of significant accounting estimates that involved making assumptions and considering future events that are inherently uncertain. We also considered potential financial or other pressures, opportunity and motivations for fraud. As part of this discussion we identified the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations and how management monitor these processes. Appropriate procedures included the review and testing of manual journals and key estimates and judgements made by management.Our tests included agreeing the financial statements disclosures to underlying supporting documentation and enquiries with management. We did not identify any key audit matters relating to irregularities, including fraud. We also addressed the risk of management override of internal controls including testing journals and evaluation whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud. Our audit procedures were designed to respond to risks of material misstatement in the financial statements,recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery,misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the more remote that the non-compliances (eg with laws and regulations) are from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. |
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 |
C.W. RUSSELL LTD |
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 |
Accountancy Limited - Statutory Auditor |
Harelands Courtyard Offices |
Moor Road |
Melsonby |
Richmond |
North Yorkshire |
DL10 5NY |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
INCOME STATEMENT |
FOR THE YEAR ENDED 30 APRIL 2023 |
2023 | 2022 |
as restated |
(Unaudited) |
Notes | £ | £ | £ | £ |
TURNOVER | 15,019,811 |
Cost of sales | 9,154,136 |
GROSS PROFIT | 5,865,675 |
Distribution costs | - |
Administrative expenses | 3,046,619 |
2,634,366 | 3,046,619 |
1,317,618 | 2,819,056 |
Other operating income | 26,467 |
OPERATING PROFIT | 4 | 2,845,523 |
Interest receivable and similar income | 103 |
1,319,890 | 2,845,626 |
Interest payable and similar expenses | 5 | 129,608 |
PROFIT BEFORE TAXATION | 2,716,018 |
Tax on profit | 6 | 400,135 |
PROFIT FOR THE FINANCIAL YEAR | 2,315,883 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 30 APRIL 2023 |
2023 | 2022 |
as restated |
(Unaudited) |
Notes | £ | £ |
PROFIT FOR THE YEAR | 953,861 | 2,315,883 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 2,315,883 |
Note |
Prior year adjustment | 8 | (1,249,834 | ) |
TOTAL COMPREHENSIVE INCOME SINCE LAST ANNUAL REPORT | (295,973 | ) |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
BALANCE SHEET |
30 APRIL 2023 |
2023 | 2022 |
as restated |
(Unaudited) |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 | - |
Tangible assets | 10 | 5,831,991 |
5,831,991 |
CURRENT ASSETS |
Stocks | 11 | 54,500 |
Debtors | 12 | 4,310,880 |
Cash at bank | 627,622 |
4,993,002 |
CREDITORS |
Amounts falling due within one year | 13 | 3,108,033 |
NET CURRENT ASSETS | 1,884,969 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 7,716,960 |
CREDITORS |
Amounts falling due after more than one year | 14 | ( | ) | (2,194,636 | ) |
PROVISIONS FOR LIABILITIES | 18 | ( | ) | (770,064 | ) |
NET ASSETS | 4,752,260 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
BALANCE SHEET - continued |
30 APRIL 2023 |
2023 | 2022 |
as restated |
(Unaudited) |
Notes | £ | £ | £ | £ |
CAPITAL AND RESERVES |
Called up share capital | 19 | 100 |
Retained earnings | 20 | 4,752,160 |
SHAREHOLDERS' FUNDS | 4,752,260 |
The financial statements were approved by the Board of Directors and authorised for issue on |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 APRIL 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 May 2021 | 100 | 2,486,277 | 2,486,377 |
Changes in equity |
Dividends | - | (50,000 | ) | (50,000 | ) |
Total comprehensive income | - | 3,565,717 | 3,565,717 |
Balance at 30 April 2022 | 100 | 6,001,994 | 6,002,094 |
Prior year adjustment | - | (1,249,834 | ) | (1,249,834 | ) |
As restated | 100 | 4,752,160 | 4,752,260 |
Changes in equity |
Dividends | - | (123,000 | ) | (123,000 | ) |
Total comprehensive income | - | 953,861 | 953,861 |
Balance at 30 April 2023 | 100 | 5,583,021 | 5,583,121 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 APRIL 2023 |
2023 | 2022 |
as restated |
(Unaudited) |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 3,995,494 |
Interest paid | ( | ) | - |
Interest element of hire purchase payments paid | ( | ) | (129,608 | ) |
Tax paid | (72,835 | ) |
Net cash from operating activities | 3,793,051 |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( | ) | (1,789,815 | ) |
Sale of tangible fixed assets | - |
Interest received | 103 |
Net cash from investing activities | ( | ) | (1,789,712 | ) |
Cash flows from financing activities |
Loan repayments in year | ( | ) | - |
Capital repayments in year | ( | ) | (1,638,908 | ) |
Amount introduced by directors | 219,590 | 145,448 |
Amount withdrawn by directors | (278,155 | ) | (118,782 | ) |
Intercompany balances | ( | ) | - |
Equity dividends paid | ( | ) | (50,000 | ) |
Net cash from financing activities | ( | ) | (1,662,242 | ) |
(Decrease)/increase in cash and cash equivalents | ( | ) | 341,097 |
Cash and cash equivalents at beginning of year | 2 | 286,525 |
Cash and cash equivalents at end of year | 2 | 325,557 | 627,622 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 APRIL 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Profit before taxation | 2,716,018 |
Depreciation charges | 1,399,465 |
(Profit)/loss on disposal of fixed assets | ( | ) | 818,533 |
Amounts recoverable on contracts | 41,900 | - |
Finance costs | 265,991 | 129,608 |
Finance income | (2,272 | ) | (103 | ) |
3,004,278 | 5,063,521 |
(Increase)/decrease in stocks | ( | ) | 73,300 |
Decrease/(increase) in trade and other debtors | (1,787,760 | ) |
(Decrease)/increase in trade and other creditors | ( | ) | 646,433 |
Cash generated from operations | 3,995,494 |
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 30 April 2023 |
30/4/23 | 1/5/22 |
£ | £ |
Cash and cash equivalents | 325,557 | 627,622 |
Year ended 30 April 2022 |
30/4/22 | 1/5/21 |
as restated |
(Unaudited) |
£ | £ |
Cash and cash equivalents | 627,622 | 286,525 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 APRIL 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1/5/22 | Cash flow | changes | At 30/4/23 |
£ | £ | £ | £ |
Net cash |
Cash at bank | 627,622 | (302,065 | ) | 325,557 |
627,622 | (302,065 | ) | 325,557 |
Debt |
Finance leases | (3,183,472 | ) | 276,294 | - | (4,990,308 | ) |
Debts falling due |
within 1 year | (18,333 | ) | 18,333 | - | - |
Debts falling due |
after 1 year | (81,667 | ) | 81,667 | - | - |
(3,283,472 | ) | 376,294 | - | (4,990,308 | ) |
Total | (2,655,850 | ) | 74,229 | - | (4,664,751 | ) |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 APRIL 2023 |
1. | STATUTORY INFORMATION |
C.W. Russell Ltd is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Plant and machinery | - |
Motor vehicles | - |
Computer equipment | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the 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 balance sheet date. |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
2. | ACCOUNTING POLICIES - continued |
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. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. 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. |
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. |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2023 | 2022 |
as restated |
(Unaudited) |
Directors | 2 | 2 |
Administration | 4 | 3 |
Production | 55 | 54 |
59 |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Directors' remuneration | 108,780 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Depreciation - owned assets | 276,515 |
Depreciation - assets on hire purchase contracts | 1,120,073 |
(Profit)/loss on disposal of fixed assets | ( | ) | 818,533 |
Goodwill amortisation | 2,880 |
Auditors' remuneration | - |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Bank loan interest | - |
Hire purchase | 129,608 |
129,608 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Current tax: |
UK corporation tax | 38,492 |
Adjustment to prior years tax | (104,577 | ) | - |
Total current tax | ( | ) | 38,492 |
Deferred tax | 361,643 |
Tax on profit | 400,135 |
7. | DIVIDENDS |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Final | - |
Interim | 50,000 |
50,000 |
8. | PRIOR YEAR ADJUSTMENT |
On review of the fixed asset register it became apparent that there had been a number of disposals and an addition in the previous years which had not been reflected in the company's financial statements. This change has resulted in profits available for distribution at 30 April 2022 decreasing by £888,192. |
Additionally, the deferred tax provision had been understated resulting in a further reduction in distributable profits of £361,642. |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
9. | INTANGIBLE FIXED ASSETS |
Goodwill |
£ |
COST |
At 1 May 2022 |
and 30 April 2023 |
AMORTISATION |
At 1 May 2022 |
and 30 April 2023 |
NET BOOK VALUE |
At 30 April 2023 |
At 30 April 2022 |
10. | TANGIBLE FIXED ASSETS |
Improvements |
Freehold | to | Plant and |
property | property | machinery |
£ | £ | £ |
COST |
At 1 May 2022 |
Additions |
Disposals | ( | ) |
At 30 April 2023 |
DEPRECIATION |
At 1 May 2022 |
Charge for year |
Eliminated on disposal | ( | ) |
At 30 April 2023 |
NET BOOK VALUE |
At 30 April 2023 |
At 30 April 2022 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 May 2022 |
Additions |
Disposals | ( | ) | ( | ) |
At 30 April 2023 |
DEPRECIATION |
At 1 May 2022 |
Charge for year |
Eliminated on disposal | ( | ) | ( | ) |
At 30 April 2023 |
NET BOOK VALUE |
At 30 April 2023 |
At 30 April 2022 |
Included in cost of land and buildings is freehold land of £ 400,000 (2022 - £ 0 ) which is not depreciated. |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 May 2022 |
Additions |
Disposals | ( | ) | ( | ) | ( | ) |
At 30 April 2023 |
DEPRECIATION |
At 1 May 2022 |
Charge for year |
Eliminated on disposal | ( | ) | ( | ) | ( | ) |
At 30 April 2023 |
NET BOOK VALUE |
At 30 April 2023 |
At 30 April 2022 |
11. | STOCKS |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Stocks | 54,500 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Trade debtors | 3,995,037 |
Amounts owed by group undertakings | - |
Amounts recoverable on contract | 117,800 |
Other debtors | 300 |
Directors' loan accounts | 140,788 | 82,223 |
VAT | 115,520 |
Prepayments | - |
4,310,880 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Bank loans and overdrafts (see note 15) | 18,333 |
Hire purchase contracts (see note 16) | 1,070,503 |
Trade creditors | 1,929,299 |
Tax | 38,492 |
Social security and other taxes | 36,779 |
Pension creditor | 5,943 | 6,251 |
Accrued expenses | 8,376 |
3,108,033 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Bank loans (see note 15) | 81,667 |
Hire purchase contracts (see note 16) | 2,112,969 |
2,194,636 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
15. | LOANS |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans | 18,333 |
Amounts falling due between one and two years: |
Bank loans - 1-2 years | 81,667 |
16. | LEASING AGREEMENTS |
Minimum lease payments under hire purchase fall due as follows: |
2023 | 2022 |
as restate |
(Unaudited |
£ | £ |
Net obligations repayable: |
Within one year | 1,070,503 |
Between one and five years | 2,112,969 |
3,183,472 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
17. | SECURED DEBTS |
The following secured debts are included within creditors: |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Hire purchase contracts | 4,990,308 | 3,183,472 |
Hire purchase contracts are secured on the assets to which they relate. |
Barclays Bank Uk Plc hold the following security:- |
A debenture on the banks standard form dated 07/04/2014. |
A limited guarantee given by the director Mr CW Russell for £25,000 dated 23/08/2018. |
18. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Deferred tax | 974,679 | 770,064 |
Deferred |
tax |
£ |
Balance at 1 May 2022 |
Charge to Income Statement during year |
Balance at 30 April 2023 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
C.W. RUSSELL LTD (REGISTERED NUMBER: 05773532) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 APRIL 2023 |
20. | RESERVES |
Retained |
earnings |
£ |
At 1 May 2022 | 6,001,994 |
Prior year adjustment | (1,249,834 | ) |
4,752,160 |
Profit for the year | 953,861 |
Dividends | (123,000 | ) |
At 30 April 2023 | 5,583,021 |
21. | ULTIMATE PARENT COMPANY |
C W Russell (Holdings) Limited is regarded by the directors as being the company's ultimate parent company. |
22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 30 April 2023 and 30 April 2022: |
2023 | 2022 |
as restated |
(Unaudited) |
£ | £ |
Balance outstanding at start of year | 108,889 |
Amounts advanced | 269,668 |
Amounts repaid | ( | ) | (296,334 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 82,223 |
The directors loan account is interest free and repayable on demand. |
23. | ULTIMATE CONTROLLING PARTY |
The controlling party is C W Russell (Holdings) Limited. |
The ultimate controlling party is |