IRIS Accounts Production v23.4.0.336 00278970 Board of Directors 1.4.22 31.3.23 31.3.23 distribution, retailing and servicing of tyres and other auto products in the replacement market. true true false true true false false false true false Ordinary voting 1.00000 Ordinary non-voting 1.00000 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REGISTERED NUMBER: 00278970 (England and Wales)















STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

FOR

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 5

Income Statement 8

Other Comprehensive Income 10

Balance Sheet 11

Statement of Changes in Equity 12

Cash Flow Statement 13

Notes to the Cash Flow Statement 14

Notes to the Financial Statements 15


THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 MARCH 2023







DIRECTORS: G B Stapleton
J R Hartley
P D O'Hara





SECRETARY: T J G O'Gorman





REGISTERED OFFICE: Icknield Street Drive
Washford West
Redditch
Worcestershire
B98 0DE





REGISTERED NUMBER: 00278970 (England and Wales)





AUDITORS: The Carley Partnership
Statutory Auditor
St James's House
8 Overcliffe
Gravesend
Kent
DA11 0HJ

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2023


The Directors present their Strategic Report on the Company together with the audited financial statements for the period ended 31 March 2023.

REVIEW OF BUSINESS
The Company is engaged in motoring servicing and trade of motor vehicle parts and accessories.

The Company is a subsidiary of Halfords Group plc ("the Group"). Further details on the performance of the Group can be found in the Chairman's Statement, Strategic Report, Chief Executive's Report and Chief Financial Officer's Report in the Group's Annual Report, which does not form part of this report.

The Directors have no plans to change the activities of the Company.

Turnover for the period to 31 March 2023 was £33.398m (2022: £31.950m L4L), producing an EBITDA of £1.925m (2022: £4.120m L4L). The overall pre-tax profit is £1.464m (2022: £5.150m). FY22 was higher due to the company's disposal of four of its trading locations within the group and the disposal of its freehold property portfolio - if these transactions were removed from the FY22 figures the underlying pre-tax profit for that year would be £0.097m.

Further details on the performance of the Group can be found in the Chairman's Statement, Strategic Report and Chief Financial Officer's Report in the Group's Annual Report, which does not form part of this report. An updated view of the detailed KPIs since acquisition are discussed and documented within the Strategic Report of the Annual Report and Accounts of Halfords Group plc.

Key performance indicators
The directors believe that analysis using key performance indicators for the company is not necessary or appropriate for an understanding of the performance or position of the company.

PRINCIPAL RISKS AND UNCERTAINTIES
The Company's financial risks are managed at a Group level. A detailed review of the Group's financial risk policy is contained within the Annual Report and Accounts of Halfords Group plc. The Directors of the Group and Company consider that the financial risks of the Group and Company remain the same as those outlined in the Halfords Group Annual Report and Accounts for the period ended 31 March 2023.

SECTION 172(1) STATEMENT
This section describes how the Directors have had regard to the matters set out in section 172(1)(a) to (f) Companies Act 2016 (the "Act"), in exercising their duty to promote the success of the Company for the benefit of its members as a whole.

Directors are required to have regard, amongst other matters, to the interests of wider stakeholders, as well as:
- the likely long-term consequences of any decision they make;
- the interests of the Company's colleagues;
- the need to foster the Company's business relationships with suppliers, customers and others;
- the impact of the Company's operations on the community and the environment;
- the desirability of the Company maintaining a reputation for high standards of business conduct; and
- the need to act fairly, as between members of the Company.

The Company is an intermediate holding company within Halfords Group plc ("Group"), and therefore key decisions which affect the Group, this Company and stakeholders are principally made by the Board of the ultimate parent company, Halfords Group plc. Further details of how the Board of Halfords Group plc have had regard to s172(1) (a) to (f) in the current financial period can be found in those consolidated financial statements.

ON BEHALF OF THE BOARD:





J R Hartley - Director


2 February 2024

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 MARCH 2023


The Directors present their report on the Company together with the audited financial statements for the period ended 31 March 2023.

DIVIDENDS
The total distribution of dividends for the year ended 31 March 2023 was £8,000,000.

DIRECTORS
G B Stapleton has held office during the whole of the period from 1 April 2022 to the date of this report.

Other changes in directors holding office are as follows:

A J Randall - resigned 7 October 2022
L Woodhouse - resigned 16 June 2022
J R Hartley - appointed 16 June 2022
P D O'Hara - appointed 1 October 2022

GOING CONCERN
The Company participates in the Group's centralised treasury arrangements and so shares banking
arrangements with its parent and fellow subsidiaries. The going concern assessment for the Company is therefore linked to that of the wider group headed by Halfords Group plc.

In determining the appropriate basis of preparation of the financial statements for the Company for the period ended 31 March 2023, the Directors are required to consider whether the company can continue in operational existence for at least 12 months from the date of approval of the financial statements. The Directors have concluded that it is appropriate to adopt the Going Concern basis, having considered the going concern assessment undertaken by Halfords Group plc ("Group"), which included the Company.

As detailed in the Group's annual report, the Group outperformed the scenarios reviewed as part of the Going Concern assessment in the Annual Report and Accounts to 1 April 2022. In determining the appropriate basis of preparation of the financial statements for the period ended 31 March 2023, the Group Directors reviewed financial forecasts and projections to 30 June 2024. Within these financial projections, management reviewed profit and net cash flow and tested financial covenants in the period. No issues were found. Further details of these reviews can be found in the Principal Risk and Uncertainty Report and Viability Report in the Group's Annual Report, which does not form part of this report.

The ultimate parent company, Halfords Group plc, has a revolving credit facility of £180m at the date of approval of these financial statements, which expires on 4 December 2024, and has no other debt or facilities.

Based on the analysis completed, the Group has adequate bank facilities available and the Directors therefore have a reasonable expectation that the Group and the Company will be able to continue in operation and meet their liabilities as they fall due, retain sufficient available cash and not breach any covenants under any drawn facilities for at least 12 months from the date of approval of the financial statements. They do not consider there to be a material uncertainty relating to the Group's and the Company's ability to continue as a going concern.

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 UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 MARCH 2023

STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued
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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, The Carley Partnership, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





J R Hartley - Director


2 February 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED


Opinion
We have audited the financial statements of The Universal Tyre Company (Deptford) Limited (the 'company') for the year ended 31 March 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 the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 March 2023 and of its 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.

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.

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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED


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.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or 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; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on pages three and 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:

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, our approach was as follows:
- we obtained an understanding of the nature of the industry and sector, including the legal and regulatory frameworks that are applicable to the company and of how the company is complying with those frameworks;
- we enquired of management about their own identification and assessment of the risks of irregularities, including any known instances of fraud;
- we discussed matters concerning non-compliance with laws and regulations and how fraud might occur including assessment of how the financial statements might be susceptible to fraud.

As a result of these procedures we consider that the most significant laws and regulations relating to the financial statements are FRS102, the Companies Act 2006 and tax compliance regulations. We performed audit procedures to enable us to detect non-compliance with significant laws and regulations which may have a material impact on the financial statements which included reviewing disclosures within the financial statements and inspecting correspondence with tax authorities.

We considered the risk of fraud through management override and revenue recognition as the areas where the financial statements were most susceptible to material misstatement due to fraud. In response, we incorporated testing of the appropriateness of journal entries, assessing judgements made by management in making accounting estimates and evaluating the business rationale for any significant unusual transactions or those outside the normal course of business.

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
THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Claire M Ralph ACA (Senior Statutory Auditor)
for and on behalf of The Carley Partnership
Statutory Auditor
St James's House
8 Overcliffe
Gravesend
Kent
DA11 0HJ

4 March 2024

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

INCOME STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023

2023 2023 2023
Continuing Discontinued Total
Notes £    £    £   

TURNOVER 33,838,036 - 33,838,036
Cost of sales (22,189,268 ) - (22,189,268 )
GROSS PROFIT 11,648,768 - 11,648,768

Distribution costs (7,959,173 ) - (7,959,173 )
Administrative expenses (2,190,441 ) - (2,190,441 )
1,499,154 - 1,499,154

Other operating income (121,275 ) - (121,275 )


OPERATING PROFIT 5 1,377,879 - 1,377,879

Interest receivable and similar income 102,833 - 102,833
Interest payable and similar expenses 8 (16,391 ) - (16,391 )
PROFIT BEFORE TAXATION 1,464,321 - 1,464,321
Tax on profit 9 (253,237 ) - (253,237 )
PROFIT FOR THE FINANCIAL YEAR 1,211,084 - 1,211,084

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

INCOME STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023

2022 2022 2022
Continuing Discontinued Total
Notes £    £    £   

TURNOVER 38,558,465 1,379,968 39,938,433
Cost of sales (25,809,750 ) (651,657 ) (26,461,407 )
GROSS PROFIT 12,748,715 728,311 13,477,026

Distribution costs (4,839,094 ) (431,861 ) (5,270,955 )
Administrative expenses (2,729,720 ) (196,822 ) (2,926,542 )
5,179,901 99,628 5,279,529

Other operating income (108,987 ) - (108,987 )


OPERATING PROFIT 5 5,070,914 99,628 5,170,542

Income from shares in group undertakings 6 1,535,815 - 1,535,815
Amounts written off investments 7 (1,535,815 ) - (1,535,815 )
Interest payable and similar expenses 8 (20,541 ) - (20,541 )
PROFIT BEFORE TAXATION 5,050,373 99,628 5,150,001
Tax on profit 9 (402,687 ) (18,929 ) (421,616 )
PROFIT FOR THE FINANCIAL YEAR 4,647,686 80,699 4,728,385

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2023

Period
1/1/21
Year Ended to
31/3/23 31/3/22
Notes £    £   

PROFIT FOR THE YEAR 1,211,084 4,728,385


OTHER COMPREHENSIVE INCOME
Revaluation of long leasehold property - 188,836
Income tax relating to other comprehensive
income

-

-
OTHER COMPREHENSIVE INCOME FOR
THE YEAR, NET OF INCOME TAX

-

188,836
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

1,211,084

4,917,221

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

BALANCE SHEET
31 MARCH 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 11 238,934 327,317
Tangible assets 12 2,201,053 1,969,654
Investments 13 1,092 1,092
2,441,079 2,298,063

CURRENT ASSETS
Stocks 14 4,175,007 3,164,744
Debtors 15 6,627,277 6,311,186
Cash at bank and in hand 3,505,607 10,856,361
14,307,891 20,332,291
CREDITORS
Amounts falling due within one year 16 7,855,707 7,007,298
NET CURRENT ASSETS 6,452,184 13,324,993
TOTAL ASSETS LESS CURRENT
LIABILITIES

8,893,263

15,623,056

CREDITORS
Amounts falling due after more than one
year

17

(147,773

)

(246,474

)

PROVISIONS FOR LIABILITIES 20 (372,451 ) (214,627 )
NET ASSETS 8,373,039 15,161,955

CAPITAL AND RESERVES
Called up share capital 21 45,110 45,110
Revaluation reserve 22 188,836 188,836
Capital redemption reserve 22 15,390 15,390
Retained earnings 22 8,123,703 14,912,619
SHAREHOLDERS' FUNDS 8,373,039 15,161,955

The financial statements were approved by the Board of Directors and authorised for issue on 2 February 2024 and were signed on its behalf by:





J R Hartley - Director


THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2023

Called up Capital
share Retained Revaluation redemption Total
capital earnings reserve reserve equity
£    £    £    £    £   
Balance at 1 January 2021 45,110 10,184,234 - 15,390 10,244,734

Changes in equity
Total comprehensive income - 4,728,385 188,836 - 4,917,221
Balance at 31 March 2022 45,110 14,912,619 188,836 15,390 15,161,955

Changes in equity
Dividends - (8,000,000 ) - - (8,000,000 )
Total comprehensive income - 1,211,084 - - 1,211,084
Balance at 31 March 2023 45,110 8,123,703 188,836 15,390 8,373,039

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023

Period
1/1/21
Year Ended to
31/3/23 31/3/22
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 2,098,229 (186,368 )
Interest paid - (3,360 )
Interest element of finance lease payments
paid

(16,391

)

(17,181

)
Tax paid (744,646 ) (143,038 )
Net cash from operating activities 1,337,192 (349,947 )

Cash flows from investing activities
Purchase of intangible fixed assets - (434,417 )
Purchase of tangible fixed assets (719,798 ) (903,658 )
Purchase of fixed asset investments - (1,536,875 )
Sale of tangible fixed assets 27,619 10,227,497
Interest received 102,833 -
Dividends received - 1,535,815
Net cash from investing activities (589,346 ) 8,888,362

Cash flows from financing activities
Loan repayments in year - (968,423 )
Capital repayments in year (98,600 ) (123,250 )
Government support grants received - 28,438
Loans from subsidiaries - 1,060
Equity dividends paid (8,000,000 ) -
Net cash from financing activities (8,098,600 ) (1,062,175 )

(Decrease)/increase in cash and cash equivalents (7,350,754 ) 7,476,240
Cash and cash equivalents at beginning
of year

2

10,856,361

3,380,121

Cash and cash equivalents at end of
year

2

3,505,607

10,856,361

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 MARCH 2023


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Profit before taxation 1,464,321 5,150,001
Depreciation charges 567,639 688,216
Profit on disposal of fixed assets (20,197 ) (5,148,010 )
Impairment of fixed asset investments - 1,535,815
Government grants - (28,438 )
Finance costs 16,391 20,541
Finance income (102,833 ) (1,535,815 )
1,925,321 682,310
Increase in stocks (1,010,263 ) (82,636 )
Increase in trade and other debtors (10,416 ) (457,813 )
Increase/(decrease) in trade and other creditors 1,193,587 (328,229 )
Cash generated from operations 2,098,229 (186,368 )

2. CASH AND CASH EQUIVALENTS

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

Year ended 31 March 2023
31/3/23 1/4/22
£    £   
Cash and cash equivalents 3,505,607 10,856,361
Period ended 31 March 2022
31/3/22 1/1/21
£    £   
Cash and cash equivalents 10,856,361 3,380,121


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1/4/22 Cash flow At 31/3/23
£    £    £   
Net cash
Cash at bank and in hand 10,856,361 (7,350,754 ) 3,505,607
10,856,361 (7,350,754 ) 3,505,607
Debt
Finance leases (345,074 ) 98,601 (246,473 )
(345,074 ) 98,601 (246,473 )
Total 10,511,287 (7,252,153 ) 3,259,134

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2023


1. STATUTORY INFORMATION

The Universal Tyre Company (Deptford) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The principal activity of the Company is distribution, retailing and servicing of tyres and other auto products in the replacement market.

The presentation currency of the financial statements is the Pound Sterling (£).

2. STATEMENT OF COMPLIANCE

The individual financial statements of Universal Tyre Company (Deptford) Limited have been prepared in compliance with the United Kingdom Accounting Standards including Financial Reporting Standard 102, ''The Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland'' (''FRS 102'') and the Companies Act 2006.

The following accounting policies have been used in dealing with items which are considered material in relation to the financial statements.

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements are prepared on the going concern basis, under the historical cost convention, as modified by the revaluation of certain tangible fixed assets.

These financial statements cover the period of trading from 2 April 2022 to 31 March 2023.

The preparation of financial statements in conformity with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the company's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in 'Critical accounting judgements and key source of estimation uncertainty' section of this note.

Going concern
The going concern basis is considered appropriate based on the assessment made by the Directors in the Directors' report.

The financial statements have been prepared on the going concern basis, which the Directors believe to be appropriate for the following reasons. The Company is dependent for its working capital on funds provided to it by Halfords Group plc, the Company's ultimate parent. Halfords Group plc has indicated that for at least 12 months from the date of approval of these financial statements ("going concern assessment period"), it will continue to make available such funds as are needed by the Company, and in particular will not seek repayment of the amounts currently made available unless the company has the means to pay. The Directors consider that this will enable the Company to continue in operational existence for the going concern assessment period by meeting its liabilities as they fall due for payment.

The ultimate parent company, Halfords Group plc, has a revolving credit facility of £180m at the date of approval of these financial statements, which expires on 4 December 2024, and has no other debt or facilities.

On the basis of the availability of the Group banking facility, the Directors assessment of the Company's financial position and the enquiries made of the Directors of Halfords Group plc, the Company's Directors have a reasonable expectation that the Company will be able to continue in operational existence for the for the going concern assessment period.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


3. ACCOUNTING POLICIES - continued

Preparation of consolidated financial statements
The Company is exempt by virtue of s400 of the Companies Act 2006 from the requirement to prepare group financial statements. These financial statements present information about the Company as an individual undertaking and not about its Group.

The Company's ultimate parent undertaking, Halfords Group plc, includes the Company in its consolidated financial statements. The consolidated financial statements of Halfords Group plc are prepared in accordance with International Financial Reporting Standards, are available to the public and may be obtained from Icknield Street Drive, Washford West, Redditch, Worcestershire, B98 0DE.

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Related party exemption
The Company has taken advantage of the exemption, as provided by paragraph 33.1A of FRS 102 and does not disclose transactions with members of the same group that are wholly owned. The Company discloses transactions with related parties which are not wholly owned with the same group.

Critical accounting judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of the accounting policies and the reported amounts of assets and liabilities, revenue and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are continually evaluated and are based on historical experience and other factors, including expectations of future events that are reasonable under the circumstances.
Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


3. ACCOUNTING POLICIES - continued

Revenue recognition
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Sale of goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

Rendering of services
Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.

Supplier income
The Company receives income from their suppliers based on specific agreements in place. These enable the Company to share the costs and benefits of promotional activity and volume growth and are explained below. This supplier income received is recognised as a deduction from cost of sales based on the entitlement that has been earned up to the balance sheet date for each relevant supplier agreement. The Company receives other contributions that do not meet the definition of supplier income, including, but not limited to, marketing, advertising and promotion contributions that are offset against the costs included in administrative expenses to which they relate.

The supplier income arrangements are often not co-terminus with Company's financial period end. Such income is only recognised when there is reasonable certainty that the conditions for recognition have been met by the Company, and the income can be reliably measured based on the terms of the contract. The Company is sometimes required to estimate the amounts due from suppliers at year end. However, as the majority of supplier income is confirmed before the year end, the level of estimation and judgement required is limited.

Supplier income is recognised on an accruals basis, based on the entitlement that has been earned up to the balance sheet date for each relevant supplier contract. The accrued supplier income is included within trade and other receivables.

Supplier income comprises of rebates, typically these are based on the volume of purchases. These are earned based on purchase triggers over set periods of time.

Supplier income recognised is recorded against cost of sales and inventory, which is adjusted to reflect the lower purchase cost for the goods on which the income has been earned. Depending on the agreement with the supplier, supplier income is either received in cash from the supplier or netted off payments made to suppliers.

Business combinations and goodwill
Business combinations are accounted for using the purchase method.

Purchased goodwill, (representing the excess of the fair value of the consideration given over the fair value of the separable net assets acquired) arising in respect of acquisitions is capitalised. Goodwill is amortised by equal annual instalments over its estimated useful life, which the directors have assessed to be 10 years.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


3. ACCOUNTING POLICIES - continued

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.

Expenditure on research activities is recognised as an expense in the period in which it is incurred.
Development expenditure, including website development, is also written off, except where the Directors are satisfied as to the technical, commercial and financial viability of individual projects.

Costs that are directly associated with identifiable and unique software products controlled by the Company, and that will generate economic benefits beyond one year are recognised as intangible assets. These intangible assets are stated at cost less accumulated amortisation and impairment losses. Software is amortised over three to five years depending on the estimated useful economic life.

Tangible fixed assets
Property, plant and equipment is stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of property, plant and equipment includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation
Depreciation is calculated to write down the cost less estimated residual value of all tangible fixed assets other than freehold land, by equal annual instalments over their expected useful lives. This policy is reviewed on a regular basis to ensure that the expected useful lives are appropriate.

Long leasehold buildings and improvements to short leasehold buildings are depreciated on a straight-line basis over the remaining lease terms applicable (max of 25 years).

Any impairment in the value of fixed assets is charged to the profit and loss account as it arises.
- Leasehold buildings - straight line over the period of the lease;
- Plant and machinery - straight line over 2-10 years;
- Fixtures and fittings - straight line over 2-10 years;
- Motor vehicles - straight line over 5 years.

No depreciation is provided on freehold land.

Repairs, maintenance and minor inspection costs are expensed as incurred.

Impairment of non-financial assets
At each balance sheet date non-financial assets not carried at fair value are assessed to determine whether there is an indication that the asset may be impaired. If there is such an indication the recoverable amount of the asset is compared to the carrying amount of the asset.

The recoverable amount of the asset is the higher of the fair value less costs to sell and value in use. Value in use is defined as the present value of the future pre-tax and interest cash flows obtainable as a result of the asset's continued use. The pre-tax and interest cash flows are discounted using a pre-tax discount rate that represents the current market risk-free rate and the risks inherent in the asset.

If the recoverable amount of the asset is estimated to be lower than the carrying amount, the carrying amount is reduced to its recoverable amount. An impairment loss is recognised in the statement of comprehensive income, unless the asset has been revalued when the amount is recognised in the other comprehensive income to the extent of any previously recognised revaluation. Thereafter any excess is recognised in the statement of comprehensive income.

If an impairment loss is subsequently reversed, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but only to the extent that the revised carrying amount does not exceed the carrying amount that would have been determined (net of depreciation) had no impairment loss been recognised in prior periods. A reversal of an impairment loss is recognised in the statement of comprehensive income.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


3. ACCOUNTING POLICIES - continued

Investments in subsidiaries and associates
Investments in subsidiaries and associates are accounted for at cost less accumulated impairment losses.

Stocks
Inventories are stated at the lower of cost and net realisable value. Cost comprises purchase cost of goods less rebates received.

Financial instruments
The Company has chosen to adopt the Sections 11 and 12 of FRS 102 in respect of financial instruments.

(i) Financial assets
Basic financial assets, including trade and other debtors, and cash and bank balances (which comprise cash in hand and deposits repayable on demand), are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the statement of comprehensive income.

If there is decrease in the impairment loss arising from an event occurring after the impairment was recognised the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in statement of comprehensive income.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

(ii) Financial liabilities
Basic financial liabilities, including trade and other creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

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

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

The Company does not hold or issue derivative financial instruments.

(iii) Offsetting
Financial assets and liabilities are offset and 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.


THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


3. ACCOUNTING POLICIES - continued
Taxation
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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 operates and generates taxable income.

Deferred tax is recognised on all temporary differences where the transactions or events that give the group an obligation to pay more tax in the future, or a right to pay less tax in the future, have occurred by the balance sheet date. Deferred tax assets are recognised to the extent that it is probable that future taxable profits will be available against which the temporary differences can be utilised. Deferred tax is measured using rates of tax that have been enacted or substantially enacted by the balance date.

Leases
At inception the Company assesses agreements that transfer the right to use assets. The assessment considers whether the arrangement is, or contains, a lease based on the substance of the arrangement.

(i) Operating leases
Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Rentals under operating leases are charged to the statement of comprehensive income on a straight-line basis over the lease term.

(ii) Lease incentives
Incentives received to enter into an operating lease are credited to the statement of comprehensive income, to reduce the lease expense, on a straight-line basis over the period of the lease.

The Company has taken advantage of the exemption under paragraph 35.10(p) of FRS 102 in respect of lease incentives on leases in existence on the date of transition to FRS 102 (1 January 2014) and continues to credit such lease incentives to the income statement over the period to the first review date on which the rent is adjusted to market rates.

Pension costs and other post-retirement benefits
The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contribution into a separate entity. Once the contributions have been paid the company has no further payment obligations. The contributions are recognised as an expense when they are due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Provisions
A provision is recognised if, as a result of a past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. When material the unwinding of the discount is recognised as a finance cost.

Where the Company expects a provision to be reimbursed, the reimbursement is recognised as a separate asset when the reimbursement is certain.

A wear and tear provision is recognised when there is future obligation relating to the maintenance of leasehold properties. The provision is based on management's best estimate of the obligation, which forms part of the Group's unavoidable cost of meeting its obligations under the lease contracts. Key uncertainties are the estimates of amounts due.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


4. EMPLOYEES AND DIRECTORS
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Wages and salaries 4,934,176 6,686,277
Social security costs 557,411 667,836
Other pension costs 125,668 178,373
5,617,255 7,532,486

The average number of employees during the year was as follows:
Period
1/1/21
Year Ended to
31/3/23 31/3/22

134 149

Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Directors' remuneration - 49,638
Directors' pension contributions to money purchase schemes - 4,712

5. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Hire of plant and machinery 22,500 36,138
Other operating leases 1,031,235 1,126,687
Depreciation - owned assets 480,977 507,117
Profit on disposal of fixed assets (20,197 ) (5,148,010 )
Goodwill amortisation 88,383 181,100
Auditors' remuneration -
current 15,917 28,108

6. INCOME FROM SHARES IN GROUP UNDERTAKINGS
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Dividends from shares in group
undertakings - 1,535,815

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


7. AMOUNTS WRITTEN OFF INVESTMENTS
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Impairment of fixed asset
investments - 1,535,815

8. INTEREST PAYABLE AND SIMILAR EXPENSES
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Bank loan interest - 3,360
Hire purchase 16,391 17,181
16,391 20,541

9. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Current tax:
UK corporation tax 179,514 341,798
Adjustment in respect of
previous periods (84,101 ) -
Total current tax 95,413 341,798

Deferred tax:
Origination and reversal of
timing differences 85,091 79,818
Adjustment in respect of
previous periods 45,862 -
Effect of changes in tax rates 26,871 -
Total deferred tax 157,824 79,818

Tax on profit 253,237 421,616

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


9. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Profit before tax 1,464,321 5,150,001
Profit multiplied by the standard rate of corporation tax in the UK of 19%
(2022 - 19%)

278,221

978,500

Effects of:
Expenses not deductible for tax purposes 21,801 52,388
Income not taxable for tax purposes - (549,761 )
Capital allowances in excess of depreciation (35,417 ) (139,329 )
Adjustments to tax charge in respect of previous periods (38,239 ) -
Tax rate changes 26,871 -
Movement in deferred taxation - 79,818
Total tax charge 253,237 421,616

Tax effects relating to effects of other comprehensive income

There were no tax effects for the year ended 31 March 2023.

1/1/21 to 31/3/22
Gross Tax Net
£    £    £   
Revaluation of long leasehold property 188,836 - 188,836

10. DIVIDENDS
Period
1/1/21
Year Ended to
31/3/23 31/3/22
£    £   
Ordinary voting shares of £1 each
Interim 8,000,000 -

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


11. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 April 2022
and 31 March 2023 1,280,917
AMORTISATION
At 1 April 2022 953,600
Amortisation for year 88,383
At 31 March 2023 1,041,983
NET BOOK VALUE
At 31 March 2023 238,934
At 31 March 2022 327,317

12. TANGIBLE FIXED ASSETS
Fixtures
Long Plant and and Motor
leasehold machinery fittings vehicles Totals
£    £    £    £    £   
COST OR VALUATION
At 1 April 2022 680,159 887,427 735,229 1,853,882 4,156,697
Additions 611,622 19,325 13,851 75,000 719,798
Disposals - (2,395 ) (183 ) (135,973 ) (138,551 )
At 31 March 2023 1,291,781 904,357 748,897 1,792,909 4,737,944
DEPRECIATION
At 1 April 2022 97,857 716,380 625,673 747,133 2,187,043
Charge for year 56,607 66,142 29,603 328,625 480,977
Eliminated on disposal - (1,433 ) (31 ) (129,665 ) (131,129 )
At 31 March 2023 154,464 781,089 655,245 946,093 2,536,891
NET BOOK VALUE
At 31 March 2023 1,137,317 123,268 93,652 846,816 2,201,053
At 31 March 2022 582,302 171,047 109,556 1,106,749 1,969,654

Cost or valuation at 31 March 2023 is represented by:

Fixtures
Long Plant and and Motor
leasehold machinery fittings vehicles Totals
£    £    £    £    £   
Valuation in 2022 78,619 - - - 78,619
Cost 1,213,162 904,357 748,897 1,792,909 4,659,325
1,291,781 904,357 748,897 1,792,909 4,737,944

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


13. FIXED ASSET INVESTMENTS
Shares in Interest
group in
undertakings associate Totals
£    £    £   
COST
At 1 April 2022 1,060 32 1,092
Reclassification/transfer 32 (32 ) -
At 31 March 2023 1,092 - 1,092
NET BOOK VALUE
At 31 March 2023 1,092 - 1,092
At 31 March 2022 1,060 32 1,092

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

G W Commercial Tyres Ltd
Registered office: c/o Teneo Financial Advisory Ltd, 156 Great Charles Street, Birmingham B3 3HN
Nature of business: Tyre distributor
%
Class of shares: holding
Ordinary 100.00
2023 2022
£    £   
Aggregate capital and reserves 1,050 1,050

G W Autoserve (Ipswich) Ltd
Registered office: c/o Teneo Financial Advisory Ltd, 156 Great Charles Street, Birmingham B3 3HN
Nature of business: Tyre distributor
%
Class of shares: holding
Ordinary 100.00
2023 2022
£    £   
Aggregate capital and reserves 10 10

Since the year end the two subsidiaries have been dissolved.

Fit4Fleet Holdings Limited
Registered office: Icknield Street Drive, Washford West, Redditch, Worcestershire B98 0DE
Nature of business: Holding company
%
Class of shares: holding
Ordinary A, B & C 100.00
2023 2022
£    £   
Aggregate capital and reserves (966 ) (966 )

During the year the company acquired the remaining share capital of its former associate company.

14. STOCKS
2023 2022
£    £   
Finished goods 4,175,007 3,164,744

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


15. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 5,974,904 5,927,996
Other debtors 229,627 217,579
Corporation tax recoverable 305,675 -
Prepayments 117,071 165,611
6,627,277 6,311,186

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Finance leases (see note 18) 98,700 98,600
Trade creditors 5,655,876 5,028,400
Amounts owed to group undertakings - 1,060
Corporation tax payable - 343,558
Social security and other taxes 133,973 131,488
VAT 562,528 435,471
Other creditors 416,102 774,512
Accrued expenses 988,528 194,209
7,855,707 7,007,298

17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2023 2022
£    £   
Finance leases (see note 18) 147,773 246,474

18. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Finance leases
2023 2022
£    £   
Net obligations repayable:
Within one year 98,700 98,600
Between one and five years 147,773 246,474
246,473 345,074

Non-cancellable operating leases
2023 2022
£    £   
Within one year 971,535 1,064,625
Between one and five years 2,900,008 3,517,820
In more than five years 1,376,967 2,213,124
5,248,510 6,795,569

The lease commitments represent the company's total future minimum operating lease payments.

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


19. SECURED DEBTS

The following secured debts are included within creditors:

2023 2022
£    £   
Finance leases 246,473 345,074

The company's bankers, Barclays Bank plc, hold a fixed and floating charge over the assets of the company.

20. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax 372,451 214,627

Deferred
tax
£   
Balance at 1 April 2022 214,627
Provided during year 157,824
Balance at 31 March 2023 372,451

The balance on the deferred taxation provision comprises the following elements :-

2023 2022
£ £
Timing differences - fixed assets393,843214,627
Timing differences - trading(21,392)-
372,451214,627

21. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
600 Ordinary voting £1 600 600
44,510 Ordinary non-voting £1 44,510 44,510
45,110 45,110

22. RESERVES
Capital
Retained Revaluation redemption
earnings reserve reserve Totals
£    £    £    £   

At 1 April 2022 14,912,619 188,836 15,390 15,116,845
Profit for the year 1,211,084 - - 1,211,084
Dividends (8,000,000 ) - - (8,000,000 )
At 31 March 2023 8,123,703 188,836 15,390 8,327,929

THE UNIVERSAL TYRE COMPANY (DEPTFORD)
LIMITED (REGISTERED NUMBER: 00278970)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 MARCH 2023


23. PENSION COMMITMENTS

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administrated fund. The pension cost charge represents contributions payable by the company to the fund. At the year end the company owed £15,632 (2022: £nil) to the scheme in respect of outstanding contributions.

20232022
£ £
Contributions payable by the company for the year125,668173,661

24. CAPITAL COMMITMENTS
2023 2022
£    £   
Contracted but not provided for in the
financial statements 1,188,000 576,692

25. ULTIMATE CONTROLLING PARTY

The immediate parent undertaking is Halfords Autocentres Limited. The ultimate controlling party is Halfords Group Plc.