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Registered number: 06633850
















COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED




ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2023


































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COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
COMPANY INFORMATION


DIRECTORS
G D Lloyd 
M A Rees 
K W Felton 




COMPANY SECRETARY
M A Rees



REGISTERED NUMBER
06633850



REGISTERED OFFICE
52a St Andrews Road

Malvern

Worcestershire

WR14 3PP




INDEPENDENT AUDITORS
Bishop Fleming LLP
Chartered Accountants & Statutory Auditors

10 Temple Back

Bristol

BS1 6FL




BANKERS
Lloyds Bank Plc
130 High Street

Cheltenham

Gloucestershire

GL50 1EW






COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


CONTENTS



Page
Group strategic report
1 - 2
Directors' report
3 - 4
Independent auditors' report
5 - 8
Consolidated statement of comprehensive income
9
Consolidated statement of financial position
10
Company statement of financial position
11
Consolidated statement of changes in equity
12
Company statement of changes in equity
13
Consolidated statement of cash flows
14 - 15
Consolidated analysis of net debt
15
Notes to the financial statements
16 - 38


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2023

INTRODUCTION
 
The directors present the strategic report for the year ended 30 June 2023.

BUSINESS REVIEW
 
During  the  year,  the  company's  subsidiaries  operated  as  builders’  merchants  from  sites  in  Cheltenham,  Coventry, Droitwich, Evesham, Hereford, Malvern, Nuneaton, Monmouth and Tetbury. In addition to these locations the group has kitchen and bathroom centres in Cheltenham, Evesham, Malvern, Monmouth and Tetbury. It is the intention of the Group to look for further opportunities to increase its geographical base.
As stated  in previous years it is the intention to continue investment in new locations when appropriate good quality staff can be sourced. The Group will open a new branch in Gloucester before the end of the calendar year. 
The systems and management procedures of the group have been strengthened significantly  again this year  with emphasis on credit control and stock management.
Having  appointed an experienced stock manager to implement improved stock control the Group now have better control over the purchase of stock and additional information has been provided to manage stock quantities in a period of ever changing prices and availability. In the current economic climate with increasing gas, electric  and food bills  it is possible there will be less spent on improvements to homes and businesses the impact of which will be monitored carefully. The Group is aware that in periods of high inflation there is risk to cash flow and customers getting into financial difficulty. The Group has therefore implemented early warning systems to ensure bad debts are kept to a minimum.

PRINCIPAL RISKS AND UNCERTAINTIES
 
The group is subject to a number of risks and the current uncertain climate with the availability of stock and the significant price rises from suppliers affecting our customers.
The group has maintained good strong cash balances throughout this period, managed its credit account well and has a strong balance sheet. All of these factors contribute to an improved financial performance for the year to 30 June 2023 and a stable position to move into the current financial year. 
It is difficult to anticipate what challenges will arise from the current difficulties in obtaining stock and import delays but buying as part of a larger group has helped. 
Whilst the climate is uncertain the group take a proactive approach to managing risks and anticipate that the current year subject to any supply difficulties is likely to be a performance similar to or better than the year to 30 June 2023.
The group considers one of its key strengths the quality, determination and commitment of its employees. The branches have all remained open to support customers during the lockdown periods and new measures were put in place to protect both customers and employees. The company would like to thank the employees of all branches for the massive effort made in keeping both the group and its customers operating and this has shown dividends in terms of the level of turnover achieved during these periods and enhanced its ability to deal with the current difficulties.
The Group places branches where people want to work and provides a positive work place environment and this is demonstrated by the number of past employees have looked to return whenever a new branch is opened. The commitment to looking after staff is a major contributor to why the group has such a good reputation and the average length of service at Malvern is over 20 years. 

Page 1


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023

FINANCIAL KEY PERFORMANCE INDICATORS

The directors consider the following to be key performance indicators for the year:
 
Maintaining margins in a period of high inflation.
Tight credit control.
KPI's on stock management and slow moving items.
Detailed management accounts.
 
The above key performance indicators are maintained regularly by the directors and management team and
action is taken to rectify any potential risks as soon as they are identified.

Overall the director's are satisfied with the strategic performance of the group during the year to 30 June 2023 and its position within the market at the end of the year.


This report was approved by the board on 13 February 2024 and signed on its behalf.



M A Rees
Director
Page 2


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2023

The Directors present their report and the financial statements for the year ended 30 June 2023.

DIRECTORS' RESPONSIBILITIES STATEMENT

The Directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Group's financial statements 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 Group 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 the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

RESULTS AND DIVIDENDS

The profit for the year, after taxation and minority interests, amounted to £247,953 (2022: £1,150,539).

Ordinary dividends were paid amounting to £540,000 (2022: £440,276). The directors do not recommend payment of a further dividend.

DIRECTORS

The Directors who served during the year were:

G D Lloyd 
M A Rees 
K W Felton 

FUTURE DEVELOPMENTS

The Group is expected to continue to grow revenue and maintain profitability.

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Page 3


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
POST BALANCE SHEET EVENTS

There have been no significant events affecting the Group since the year end.

AUDITORS

The auditorsBishop Fleming LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 






M A Rees
Director

Date: 13 February 2024

52a St Andrews Road
Malvern
Worcestershire
WR14 3PP
Page 4


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
OPINION


We have audited the financial statements of County Building Supplies (Holdings) Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 30 June 2023, which comprise the Consolidated statement of comprehensive income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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's affairs as at 30 June 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 United Kingdom, including the Financial Reporting Council'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 or 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 other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The Directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Page 5


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED (CONTINUED)

OPINION 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.


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 in relation to which 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 Directors' responsibilities statement set out on page 3, 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 is 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.


Page 6


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED (CONTINUED)

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 Group 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:

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we have considered the following:
 
the nature of the industry and sector, control environment and business performance;
results of our enquiries of management and the board about their own identification and assessment of the risks of irregularities;
any matters we identified having obtained and reviewed the company’s documentation of their policies and procedures relating to:
identifying, evaluating and complying with laws and regulations and whether they were aware of any   instances of non-compliance;
detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;
the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
the matters discussed among the audit engagement team regarding how and where fraud might occur in  the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud, which included incorrect recognition of revenue and management override of controls using manual journal entries, and these were identified as the greatest potential area for fraud.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and tax legislation.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty. These included occupational health and safety regulations and employment legislation. Our procedures to respond to risks identified included the following:

reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
reviewing the financial statement disclosures and testing to supporting documentation to assess the   recognition of revenue;
enquiring of management and those charged with governance concerning actual and potential litigation and claims;
performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
Page 7


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED (CONTINUED)

reading minutes of meetings of those charged with governance; and
in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; and assessing whether the judgements made in making accounting estimates are indicative of a potential bias.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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 an 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 further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would 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 Auditors' report.


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 2006Our 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.






Simon Morrison FCA (Senior statutory auditor)
for and on behalf of
Bishop Fleming LLP
Chartered Accountants
Statutory Auditors
10 Temple Back
Bristol
BS1 6FL

20 February 2024
Page 8


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023

2023
2022
Note
£
£

  

Turnover
 4 
36,383,841
38,673,821

Cost of sales
  
(25,992,816)
(27,236,453)

GROSS PROFIT
  
10,391,025
11,437,368

Distribution costs
  
(1,153,614)
(917,721)

Administrative expenses
  
(8,720,828)
(8,586,538)

OPERATING PROFIT
 5 
516,583
1,933,109

Interest receivable and similar income
 9 
550
120

Interest payable and similar expenses
 10 
(121,452)
(71,019)

PROFIT BEFORE TAXATION
  
395,681
1,862,210

Tax on profit
 11 
(50,524)
(366,816)

PROFIT FOR THE FINANCIAL YEAR
  
345,157
1,495,394

PROFIT FOR THE YEAR ATTRIBUTABLE TO:
  

Non-controlling interests
  
97,204
344,855

Owners of the parent Company
  
247,953
1,150,539

  
345,157
1,495,394

The notes on pages 16 to 38 form part of these financial statements.
Page 9


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
REGISTERED NUMBER:06633850

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023

2023
2023
2022
2022
Note
£
£
£
£

FIXED ASSETS
  

Intangible assets
 14 
-
(21,691)

Tangible assets
 15 
1,904,331
1,802,388

Investments
 16 
-
520

  
1,904,331
1,781,217

CURRENT ASSETS
  

Stocks
 18 
4,183,391
4,309,479

Debtors: amounts falling due within one year
 19 
5,636,295
6,211,797

Cash at bank and in hand
 20 
2,932,594
2,608,642

  
12,752,280
13,129,918

Creditors: amounts falling due within one year
 21 
(9,328,166)
(9,240,394)

NET CURRENT ASSETS
  
 
 
3,424,114
 
 
3,889,524

TOTAL ASSETS LESS CURRENT LIABILITIES
  
5,328,445
5,670,741

Creditors: amounts falling due after more than one year
 22 
(910,485)
(1,087,006)

PROVISIONS FOR LIABILITIES
  

Deferred taxation
 26 
(186,849)
(138,139)

NET ASSETS
  
4,231,111
4,445,596


CAPITAL AND RESERVES
  

Called up share capital 
 27 
200
200

Share premium account
 28 
1,134,636
1,134,636

Profit and loss account
 28 
2,480,730
2,772,777

EQUITY ATTRIBUTABLE TO OWNERS OF THE PARENT COMPANY
  
3,615,566
3,907,613

Non-controlling interests
  
615,545
537,983

  
4,231,111
4,445,596


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 



M A Rees
Director

Date: 13 February 2024

Page 10


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED
REGISTERED NUMBER:06633850

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2023

As restated
As restated
2023
2023
2022
2022
Note
£
£
£
£

FIXED ASSETS
  

Tangible fixed assets
  
80,074
52,365

Fixed asset investments
  
2,233,572
2,253,572

Investment property
  
471,578
471,578

  
2,785,224
2,777,515

CURRENT ASSETS
  

Debtors: amounts falling due within one year
 19 
2,735,436
2,611,012

Cash at bank and in hand
 20 
495,557
637,913

  
3,230,993
3,248,925

Creditors: amounts falling due within one year
 21 
(2,969,866)
(2,831,674)

NET CURRENT ASSETS
  
 
 
261,127
 
 
417,251

TOTAL ASSETS LESS CURRENT LIABILITIES
  
3,046,351
3,194,766

  

Creditors: amounts falling due after more than one year
 22 
(192,678)
(274,278)

  

NET ASSETS
  
2,853,673
2,920,488


CAPITAL AND RESERVES
  

Called up share capital 
 27 
200
200

Share premium account
 28 
1,134,636
1,134,636

Profit and loss account brought forward
  
1,785,652
9,362

Profit for the year
  
473,185
2,216,566

Other changes in the profit and loss account

  

(540,000)
(440,276)

Profit and loss account carried forward
  
1,718,837
1,785,652

  
2,853,673
2,920,488


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 



M A Rees
Director

Date: 13 February 2024

The notes on pages 16 to 38 form part of these financial statements.
Page 11


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023


Called up share capital
Share premium account
Profit and loss account
Equity attributable to owners of parent Company
Non-controlling interests
Total equity

£
£
£
£
£
£


At 1 July 2021
200
1,134,636
2,062,514
3,197,350
1,075,326
4,272,676


COMPREHENSIVE INCOME FOR THE YEAR

Profit for the year
-
-
1,150,539
1,150,539
344,855
1,495,394

Acquisition of subsidiary
-
-
-
-
(813,809)
(813,809)

Dividends: NCI
-
-
-
-
(68,389)
(68,389)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
-
-
1,150,539
1,150,539
(537,343)
613,196


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
(440,276)
(440,276)
-
(440,276)


TOTAL TRANSACTIONS WITH OWNERS
-
-
(440,276)
(440,276)
-
(440,276)



At 1 July 2022
200
1,134,636
2,772,777
3,907,613
537,983
4,445,596


COMPREHENSIVE INCOME FOR THE YEAR

Profit for the year
-
-
247,953
247,953
97,204
345,157

Dividends: NCI
-
-
-
-
(19,642)
(19,642)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
-
-
247,953
247,953
77,562
325,515


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
(540,000)
(540,000)
-
(540,000)


AT 30 JUNE 2023
200
1,134,636
2,480,730
3,615,566
615,545
4,231,111


The notes on pages 16 to 38 form part of these financial statements.
Page 12


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 1 July 2021
200
1,134,636
9,362
1,144,198


COMPREHENSIVE INCOME FOR THE YEAR

Profit for the year (as restated)
-
-
2,216,566
2,216,566

Prior year adjustment
-
-
282,885
282,885


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
(440,276)
(440,276)


TOTAL TRANSACTIONS WITH OWNERS
-
-
(440,276)
(440,276)



At 1 July 2022
200
1,134,636
2,068,537
3,203,373

Prior year adjustment
-
-
(282,885)
(282,885)


At 1 July 2022 (as restated)
200
1,134,636
1,785,652
2,920,488


COMPREHENSIVE INCOME FOR THE YEAR

Profit for the year
-
-
473,185
473,185


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
(540,000)
(540,000)


TOTAL TRANSACTIONS WITH OWNERS
-
-
(540,000)
(540,000)


AT 30 JUNE 2023
200
1,134,636
1,718,837
2,853,673


The notes on pages 16 to 38 form part of these financial statements.
Page 13


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2023

2023
2022
£
£

CASH FLOWS FROM OPERATING ACTIVITIES

<-- Enter row heading -->
345,157
1,495,394

ADJUSTMENTS FOR:

Amortisation of intangible assets
(1,850)
(368)

Depreciation of tangible assets
486,381
460,397

Interest paid
121,452
71,019

Interest received
(550)
(120)

Taxation charge
50,524
366,816

Decrease/(increase) in stocks
126,088
(903,922)

Decrease in debtors
575,502
579,753

(Decrease) in creditors
(1,521,150)
(1,221,118)

Corporation tax (paid)
(317,777)
(223,005)

NET CASH GENERATED FROM OPERATING ACTIVITIES

(136,223)
624,846


CASH FLOWS FROM INVESTING ACTIVITIES

Sale of intangible assets
-
22,059

Purchase of tangible fixed assets
(627,498)
(362,651)

Sale of tangible fixed assets
2,336
46,552

Interest received
550
120

HP interest paid
-
(49,810)

Proceeds from other investments and loans
-
(442,000)

NET CASH FROM INVESTING ACTIVITIES

(624,612)
(785,730)

CASH FLOWS FROM FINANCING ACTIVITIES

Repayment of loans
(162,500)
(162,500)

Repayment of/new finance leases
151,378
(231,573)

Movements on invoice discounting
1,771,703
1,490,462

Dividends paid
(540,000)
(440,276)

Interest paid
(121,452)
(71,019)

Dividends paid to non-controlling interests
(19,642)
(68,389)

NET CASH USED IN FINANCING ACTIVITIES
1,079,487
516,705

INCREASE IN CASH AND CASH EQUIVALENTS
318,652
355,821

Cash and cash equivalents at beginning of year
2,608,642
2,252,821

CASH AND CASH EQUIVALENTS AT THE END OF YEAR
2,927,294
2,608,642

Page 14


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED


CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023


2023
2022

£
£


CASH AND CASH EQUIVALENTS AT THE END OF YEAR COMPRISE:

Cash at bank and in hand
2,932,594
2,610,155

Bank overdrafts
(5,300)
(1,513)

2,927,294
2,608,642



CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 30 JUNE 2023




At 1 July 2022
Cash flows
At 30 June 2023
£

£

£

Cash at bank and in hand

2,608,642

323,952

2,932,594

Bank overdrafts

-

(5,300)

(5,300)

Debt due after 1 year

(329,697)

162,500

(167,197)

Debt due within 1 year

(116,399)

(24,799)

(141,198)

Finance leases

(850,791)

(151,378)

(1,002,169)



1,311,755
304,975
1,616,730

The notes on pages 16 to 38 form part of these financial statements.
Page 15


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

1.


GENERAL INFORMATION

County Building Supplies (Holdings) Limited is a private company limited by shares incorporated in England and Wales. The registered office is 52a St. Andrews Road, Malvern, Worcestershire, WR14 3PP.
The principal activity of the group during the year was the sale of building supplies.

2.ACCOUNTING POLICIES

 
2.1

BASIS OF PREPARATION OF 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 preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

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. 

 
2.3

GOING CONCERN

The directors have assessed the ability of the Group to continue as a going concern and have concluded that the going concern basis is still appropriate. They believe there is no material uncertainty over the Group not being able to trade 12 months from the signing of these financial statements. Post year end sales are in line with expectations and consistent with the previous years and the Group holds significant cash and reserves at the year end. 

Page 16


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)

 
2.4

REVENUE

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Group has transferred the significant risks and rewards of ownership to the buyer;
the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Group will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Group will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

OPERATING LEASES: THE GROUP AS LESSEE

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.6

INTEREST INCOME

Interest income is recognised in profit or loss using the effective interest method.

 
2.7

FINANCE COSTS

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.8

BORROWING COSTS

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 17


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)

 
2.9

PENSIONS

DEFINED CONTRIBUTION PENSION PLAN

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Group in independently administered funds.

 
2.10

CURRENT AND DEFERRED TAXATION

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.11

INTANGIBLE ASSETS

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 
2.12

TANGIBLE FIXED ASSETS

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 18


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)


2.12
TANGIBLE FIXED ASSETS (CONTINUED)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on both the straight line and reducing balance basis.

Depreciation is provided on the following basis:

Land and buildings Freehold
-
1% Straight line
Land and buildings Leasehold
-
Over period of lease
Plant and machinery
-
20% Reducing balance
Motor vehicles
-
25% Straight line
Fixtures and fittings
-
15% to 25% Reducing balance
Office equipment
-
15% to 25% Reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.13

INVESTMENT PROPERTY

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

 
2.14

VALUATION OF INVESTMENTS

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Group shares, whose market value can be reliably determined, are remeasured to market value at each reporting date. Gains and losses on remeasurement are recognised in the Consolidated statement of comprehensive income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

Investments in listed company shares are remeasured to market value at each reporting date. Gains and losses on remeasurement are recognised in profit or loss for the period.

 
2.15

STOCKS

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.16

DEBTORS

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 19


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)

 
2.17

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.18

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.19

PROVISIONS FOR LIABILITIES

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.20

FINANCIAL INSTRUMENTS

The Group has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Group has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Group's Statement of financial position when the Group 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 trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as
Page 20


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)


2.20
FINANCIAL INSTRUMENTS (CONTINUED)

subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial assets

Page 21


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

2.ACCOUNTING POLICIES (continued)


2.20
FINANCIAL INSTRUMENTS (CONTINUED)

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

 
2.21

DIVIDENDS

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

  
2.22

PRIOR YEAR ADJUSTMENT

In the County Building Supplies (Holdings) Limited company only financial statements for the prior year a difference was identified on intercompany balances amounting to £282,885. This has been restated in the company only figures resulting in a decrease in reported company only profits, there being no impact on the consolidated Statement of Financial Position or consolidated Statement of Comprehensive Income.

Page 22


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

3.



JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Group's accounting policies, which are described in note 2, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period of the revision and future periods if the revision affects both current and future periods.
The following are the critical judgements and key sources of estimation uncertainty that the directors have made in the process of applying the Group's accounting policies and that have the most significant effect on the amounts recognised in the financial statements.
Income taxes
The Group is subject to the income tax laws of the United Kingdom. These laws are complex and subject to different interpretations by taxpayers and tax authorities. When establishing income tax provisions, the directors make a number of judgements and interpretations about the application and interaction of these laws. Changes in these tax laws or in their interpretation could affect the Group's effective tax rate and the results of operations in a given period. Accordingly, potentially significant tax benefits will not be recognised until there is sufficient certainty that they will be accepted by HMRC.
Stock provision
There is a risk that the Group will incur costs in relation to obsolete or damaged stock. Management consider the age of the stock and the levels of write offs and use this along with other current information to estimate the cost of this and make a provision accordingly.
Rebates
There is a risk that the Group will not recognise the rebates received in the correct period. Management consider the supplier activity and use this along with other current information to recognise rebates in the correct accounting period.


4.


TURNOVER

An analysis of turnover by class of business is as follows:


2023
2022
£
£

Sale of goods
36,383,841
38,673,821

36,383,841
38,673,821


All turnover arose within the United Kingdom.

Page 23


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

5.


OPERATING PROFIT

The operating profit is stated after charging:

2023
2022
£
£

Other operating lease rentals
192,571
163,585


6.


AUDITORS' REMUNERATION

During the year, the Group obtained the following services from the Company's auditors:


2023
2022
£
£

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements
47,900
43,600


7.


EMPLOYEES

Staff costs, including Directors' remuneration, were as follows:


The average monthly number of Group employees, including the Directors, during the year was as follows:


        2023
        2022
            No.
            No.







Directors
9
9



Office and distribution
155
145

164
154


8.


DIRECTORS' REMUNERATION

2023
2022
£
£

Directors' emoluments
101,813
79,891

Group contributions to defined contribution pension schemes
74,856
72,000

176,669
151,891


Page 24


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

9.


INTEREST RECEIVABLE

2023
2022
£
£


Other interest receivable
550
120


10.


INTEREST PAYABLE AND SIMILAR EXPENSES

2023
2022
£
£


Bank interest payable
8,420
12,003

Finance leases and hire purchase contracts
38,452
34,284

Other interest payable
74,580
24,732

121,452
71,019


11.


TAXATION


2023
2022
£
£

CORPORATION TAX


Current tax on profits for the year
1,814
416,468


TOTAL CURRENT TAX
1,814
416,468

DEFERRED TAX


Origination and reversal of timing differences
48,710
(49,652)

TOTAL DEFERRED TAX
48,710
(49,652)


TAXATION ON PROFIT ON ORDINARY ACTIVITIES
50,524
366,816
Page 25


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
 
11.TAXATION (CONTINUED)


FACTORS AFFECTING TAX CHARGE FOR THE YEAR

The tax assessed for the year is the same as (2022: the same as) the standard rate of corporation tax in the UK of 19% (2022: 19%) as set out below:

2023
2022
£
£


Profit on ordinary activities before tax
395,681
1,862,210


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2022: 19%)
75,179
353,820

EFFECTS OF:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
7,858
14,557

Capital allowances for year in excess of depreciation
(10,862)
35,663

Short term timing difference leading to an increase (decrease) in taxation
(24,016)
(37,224)

Remeasurement of deferred tax for changes in tax rates
2,365
-

TOTAL TAX CHARGE FOR THE YEAR
50,524
366,816


FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There were no factors that may affect future tax charges.


12.


DIVIDENDS

2023
2022
£
£


Dividends
540,000
440,276


13.


PARENT COMPANY PROFIT FOR THE YEAR

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The profit after tax of the parent Company for the year was £473,185 (2022: As restated £2,216,566).

Page 26


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

14.


INTANGIBLE ASSETS

Group and Company





Goodwill
Negative goodwill
Total

£
£
£



COST


At 1 July 2022
57,804
201,667
259,471



At 30 June 2023

57,804
201,667
259,471



AMORTISATION


At 1 July 2022
57,804
223,358
281,162


Charge for the year on owned assets
-
(21,691)
(21,691)



At 30 June 2023

57,804
201,667
259,471



NET BOOK VALUE



At 30 June 2023
-
-
-



At 30 June 2022
-
(21,691)
(21,691)



Page 27


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

15.


TANGIBLE FIXED ASSETS

Group






Freehold property
Long-term l'hold property
Plant and machinery
Motor vehicles
Fixtures and fittings

£
£
£
£
£



COST OR VALUATION


At 1 July 2022
471,578
482,025
201,979
2,792,908
622,106


Additions
-
22,417
40,995
517,713
46,373


Disposals
-
-
(65,154)
(223,057)
(83,286)



At 30 June 2023

471,578
504,442
177,820
3,087,564
585,193



DEPRECIATION


At 1 July 2022
28,296
157,656
113,522
2,022,550
446,184


Charge for the year on owned assets
-
52,267
5,065
10,427
27,878


Charge for the year on financed assets
-
-
18,924
350,380
21,440


Disposals
-
-
(53,786)
(197,899)
(80,638)



At 30 June 2023

28,296
209,923
83,725
2,185,458
414,864



NET BOOK VALUE



At 30 June 2023
443,282
294,519
94,095
902,106
170,329



At 30 June 2022
443,282
324,369
88,457
770,358
175,922
Page 28


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

           15.TANGIBLE FIXED ASSETS (CONTINUED)


Total

£



COST OR VALUATION


At 1 July 2022
4,570,596


Additions
627,498


Disposals
(371,497)



At 30 June 2023

4,826,597



DEPRECIATION


At 1 July 2022
2,768,208


Charge for the year on owned assets
95,637


Charge for the year on financed assets
390,744


Disposals
(332,323)



At 30 June 2023

2,922,266



NET BOOK VALUE



At 30 June 2023
1,904,331



At 30 June 2022
1,802,388




The net book value of land and buildings may be further analysed as follows:


2023
2022
£
£

Freehold
443,282
443,282

Long leasehold
294,519
324,369

737,801
767,651


Page 29


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

           15.TANGIBLE FIXED ASSETS (CONTINUED)


Company






Motor vehicles
Total

£
£

COST OR VALUATION


At 1 July 2022
64,130
64,130


Additions
48,603
48,603



At 30 June 2023

112,733
112,733



DEPRECIATION


At 1 July 2022
11,765
11,765


Charge for the year on financed assets
20,894
20,894



At 30 June 2023

32,659
32,659



NET BOOK VALUE



At 30 June 2023
80,074
80,074



At 30 June 2022
52,365
52,365





The net book value of land and buildings may be further analysed as follows:




Page 30


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

16.


FIXED ASSET INVESTMENTS

Group





Unlisted investments

£





At 1 July 2022
520


Disposals
(520)



At 30 June 2023
-




Company





Investments in subsidiary companies

£



COST OR VALUATION


At 1 July 2022
2,253,572


Disposals
(20,000)



At 30 June 2023
2,233,572





SUBSIDIARY UNDERTAKINGS


The following were subsidiary undertakings of the Company:

Name

Class of shares

Holding

County Building Supplies Limited
Ordinary
100%
County Building Supplies (Cheltenham) Limited
Ordinary
80%
County Building Supplies (Droitwich) Limited
Ordinary
100%
County Building Supplies (Evesham) Limited
Ordinary
80%
County Building Supplies (Monmouth) Limited
Ordinary
100%
County Building Supplies (Nuneaton) Limited
Ordinary
80%

The registered office of all aboce direct subsidiary undertakings is 52a St. Andrews Road, Malvern, Worcestershire, WR14 3PP.

Page 31


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
SUBSIDIARY UNDERTAKINGS (CONTINUED)

The aggregate of the share capital and reserves as at 30 June 2023 and the profit or loss for the year ended on that date for the subsidiary undertakings were as follows:

Name
Aggregate of share capital and reserves
Profit/(Loss)
£
£

County Building Supplies Limited
(309,516)
(274,143)

County Building Supplies (Cheltenham) Limited
(655,766)
(439,440)

County Building Supplies (Droitwich) Limited
2,260,988
610,435

County Building Supplies (Evesham) Limited
2,374,111
164,064

County Building Supplies (Monmouth) Limited
(362,328)
41,938

County Building Supplies (Nuneaton) Limited
353,443
40,884


17.


INVESTMENT PROPERTY

Company


Freehold investment property
£

VALUATION


At 1 July 2022
471,578

AT 30 JUNE 2023
471,578


18.


STOCKS

Group
Group
2023
2022
£
£

Finished goods and goods for resale
4,183,391
4,309,479

4,183,391
4,309,479


The difference between purchase price or production cost of stocks and their replacement cost is not material.

Stock recognised in cost of sales during the year as an expense was £29,188,812 (2022: £29,129,903).

Page 32


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

19.


DEBTORS

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£


Trade debtors
4,278,008
5,054,967
-
-

Amounts owed by group undertakings
-
-
2,629,516
2,524,610

Other debtors
856,644
786,287
101,823
82,891

Prepayments and accrued income
501,643
370,543
-
-

Deferred taxation
-
-
4,097
3,511

5,636,295
6,211,797
2,735,436
2,611,012



20.


CASH AND CASH EQUIVALENTS

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Cash at bank and in hand
2,932,594
2,608,642
495,557
637,913

Less: bank overdrafts
(5,300)
-
-
-

2,927,294
2,608,642
495,557
637,913



21.


CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
Group
Company
Company
As restated
2023
2022
2023
2022
£
£
£
£

Bank overdrafts
5,300
-
-
-

Bank loans
144,261
144,261
-
-

Trade creditors
5,985,930
6,277,432
24,566
10,713

Amounts owed to group undertakings
-
-
2,749,452
2,312,651

Corporation tax
1,353
329,533
1,353
28,103

Other taxation and social security
383,091
475,910
64,895
69,998

Obligations under finance lease and hire purchase contracts
375,548
326,816
7,697
1,252

Other creditors
2,209,810
1,395,900
-
282,885

Accruals and deferred income
222,873
290,542
121,903
126,072

9,328,166
9,240,394
2,969,866
2,831,674


Other creditors includes £2,210,011 (2022: Other creditors £1,423,712) in respect of advances under an invoice discounting arrangement which is secured by a fixed and floating charge over all book and other debts of the group.

Page 33


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

22.


CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Bank loans
167,197
329,697
-
-

Net obligations under finance leases and hire purchase contracts
626,621
523,975
76,011
40,944

Accruals and deferred income
116,667
233,334
116,667
233,334

910,485
1,087,006
192,678
274,278


Obligations under finance leases are secured by the assets to which they relate.


23.


LOANS


Analysis of the maturity of loans is given below:


Group
Group
2023
2022
£
£

Bank loans due within one year
144,261
144,261

Bank loans due within 1-2 years
144,261
144,261

Bank loans due within 2-5 years
22,936
185,436


This is a CBILs loan that was provided during April 2020. The repayment start date was 1 June 2021 and capital repayments will be made each month for 54 months. The interest is at a fixed rate of 1.42% plus the Bank of England base rate which was 5.0% at the reporting date.


24.


HIRE PURCHASE AND FINANCE LEASES


Minimum lease payments under hire purchase fall due as follows:

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Within one year
367,851
326,816
7,697
1,252

Between 1-5 years
550,610
523,975
76,011
40,944

918,461
850,791
83,708
42,196

Page 34


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

25.


FINANCIAL INSTRUMENTS

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

FINANCIAL ASSETS

Financial assets measured at fair value through profit or loss
2,932,594
2,608,642
495,557
637,913

Financial assets that are debt instruments measured at amortised cost
5,024,201
8,449,896
3,420,445
3,245,314

7,956,795
11,058,538
3,916,002
3,883,227


FINANCIAL LIABILITIES

Financial liabilities measured at amortised cost
(9,235,129)
(8,843,637)
(3,136,147)
(2,752,768)


Financial assets that are debt instruments measured at amortised cost comprise cash at bank and in hand, trade debtors, amounts owed by group undertakings and other debtors.


Financial liabilities measured at amortised cost comprise trade creditors, other creditors, amounts owed to group undertakings, bank overdrafts, bank loans, and accruals.
Page 35


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

26.


DEFERRED TAXATION


Group



2023
2022


£

£






At beginning of year
(138,139)
(187,791)


Charged to profit or loss
(48,710)
49,652



At 30 JUNE 2023
(186,849)
(138,139)

Company


2023
2022


£

£






At beginning of year
3,511
-


Charged to profit or loss
586
3,511



AT END OF YEAR
4,097
3,511

Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Accelerated capital allowances
(186,849)
(138,139)
4,097
3,511
Page 36


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

27.


SHARE CAPITAL

2023
2022
£
£
ALLOTTED, CALLED UP AND FULLY PAID



152 (2022: 152) Ordinary shares of £1.00 each
152
152
48 (2022: 48) Ordinary A shares of £1.00 each
48
48

200

200



28.


RESERVES

Share premium account

This reserve is the excess of consideration over the nominal value of share capital.

Profit and loss account

This reserve includes all current and prior period retained profits and losses. 


29.


PENSION COMMITMENTS

The Group operates a defined contribution 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 £202,893 (2022: £202,403). Contributions totalling £21,890 (2022: £32,905) were payable to the fund at the balance sheet date.


30.


COMMITMENTS UNDER OPERATING LEASES

At 30 June 2023 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
Company
Company
2023
2022
2023
2022
£
£
£
£

Not later than 1 year
215,719
743,900
22,187
-

Later than 1 year and not later than 5 years
1,487,389
2,007,278
3,260
-

Later than 5 years
440,000
3,114,698
-
-

2,143,108
5,865,876
25,447
-

Page 37


COUNTY BUILDING SUPPLIES (HOLDINGS) LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023

31.


RELATED PARTY TRANSACTIONS


2023
2022
£
£

Dividends received from group companies
280,047
2,100,857
Dividends paid to directors
540,000
440,000
Amounts due from related companies
152,270
156,610
Amounts due from directors
-
4,967
Sales to directors
-
27,074
Amounts received from directors
48,000
27,998
Purchases from related parties
-
-

An omnibus guarantee and set off agreement is in place to cover the bank overdrafts with Lloyds Bank Plc in relation to County Building Supplies (Holdings) Limited and it's related companies.
The Directors, MA Rees and GD Lloyd, have given a personal guarantee of £50,000 each as security relating to facilities advanced by Lloyds Bank Plc to County Building Supplies (Holdings) Limited and it's related companies.


32.


CONTROLLING PARTY

The ultimate controlling parties are M A Rees and G D Lloyd by virtue of owning 76% of the issued share capital of the company.

 
Page 38