REGISTERED NUMBER: |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2023 |
FOR |
WALTER EDMUNDSON (HAULAGE) LIMITED |
REGISTERED NUMBER: |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2023 |
FOR |
WALTER EDMUNDSON (HAULAGE) LIMITED |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
WALTER EDMUNDSON (HAULAGE) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 JUNE 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants & Statutory Auditors |
Chandler House |
7 Ferry Road Office Park |
Riversway |
Preston |
Lancashire |
PR2 2YH |
BANKERS: |
40 Fishergate |
Preston |
Lancashire |
PR1 2AD |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
BALANCE SHEET |
30 JUNE 2023 |
30/6/23 | 30/6/22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 5 |
Tangible assets | 6 |
CURRENT ASSETS |
Stocks |
Debtors | 7 |
Cash in hand |
CREDITORS |
Amounts falling due within one year | 8 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PENSION LIABILITY | 13 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 10 |
Retained earnings | 11 |
SHAREHOLDERS' FUNDS |
In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
The financial statements were approved by the Board of Directors and authorised for issue on |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
1. | STATUTORY INFORMATION |
Walter Edmundson (Haulage) Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
The company's main trading address is the same as the registered office which can be found on the company information page of these financial statements. |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Judgements and key sources of estimation uncertainty |
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of asset and liabilities that are not readily apparent from other sources. The estimate 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 in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
Turnover |
Turnover is recognised at the fair value of the consideration received or receivable for haulage services provided in the normal course of business, and is shown net of VAT and trade discounts. |
Intangible assets other than goodwill |
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. |
Amortisation is provided in order to write off each licence over its estimated useful life. |
Tangible fixed assets |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Tangible fixed assets are stated at cost less accumulated depreciation and any provision for impairment in value. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
3. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Pension costs and other post-retirement benefits |
For the company's defined benefit scheme the amounts charged to operating profit are the gains and losses on settlement and curtailments. They are included as part of staff costs. Past service costs are recognised immediately in the profit and loss account. If the benefits have not vested immediately the costs are recognised over the period until vesting occurs. The interest cost and the expected returns on assets are shown as a net amount of other finance income adjacent to interest in the profit and loss account. |
Actuarial gains and losses are recognised immediately in the statement of other comprehensive income. |
The assets of the pension scheme are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate on a high quality corporate bond equivalent currency and term to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The resulting defined benefit asset or liability, net of the related deferred tax, is presented separately after other net assets on the face of the balance sheet. |
Employer contributions made to the company's stakeholder and other defined contributions schemes are charged to the profit and loss in the period to which they relate. |
Going concern |
The company has continued a trend of reporting an operating loss in the year to 30 June 2023 being £215,706 (2022: £481,031). The balance sheet at 30 June 2023 shows a surplus in shareholder funds of £455,083 (2022: £200,789) following the agreed write off of an intercompany loan from the parent of £356,000 (2022: £436,000). The losses continued into the next financial year. However, the parent company, Manx Independent Carriers Limited, have agreed to continue to provide financial support to the company to facilitate the continuing trade of the company in the future. |
Employee benefits |
The costs of short term benefits are recognised as a lability and an expense, unless those costs are required to be recognised as stock. |
The cost of any unused holiday entitlement is recognised in the period in which the employees' services are received. This is only recognised if considered to be material. |
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination befits. |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
4. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
5. | INTANGIBLE FIXED ASSETS |
Other |
intangible |
Goodwill | assets | Totals |
£ | £ | £ |
COST |
At 1 July 2022 |
and 30 June 2023 |
AMORTISATION |
At 1 July 2022 |
and 30 June 2023 |
NET BOOK VALUE |
At 30 June 2023 |
At 30 June 2022 |
6. | TANGIBLE FIXED ASSETS |
Improvements | Fixtures |
to | Plant and | and | Motor |
property | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 July 2022 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) |
At 30 June 2023 |
DEPRECIATION |
At 1 July 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 30 June 2023 |
NET BOOK VALUE |
At 30 June 2023 |
At 30 June 2022 |
7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30/6/23 | 30/6/22 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Prepayments and accrued income |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30/6/23 | 30/6/22 |
£ | £ |
Trade creditors |
Social security and other taxes |
Accrued expenses |
9. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
30/6/23 | 30/6/22 |
£ | £ |
Within one year |
Between one and five years |
10. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 30/6/23 | 30/6/22 |
value: | £ | £ |
Ordinary shares | £1 | 1,800 | 1,800 |
11. | RESERVES |
Retained |
earnings |
£ |
At 1 July 2022 |
Profit for the year |
Actuarial gains / (losses) | 120,000 |
At 30 June 2023 |
12. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |
We draw your attention to note 3 in the financial statements, which indicates that the company incurred an operating loss of £215,706 in the year to 30 June 2023 and the balance sheet indicated a surplus in shareholders funds of £455,083 following the agreed write off of an intercompany loan from the parent. As stated in note 3, these conditions along with other matters set forth in note 3, indicate that a material uncertainty exists that may cast doubt on the company's ability to continue as a going concern. Our opinion is not modified for this matter. |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
13. | EMPLOYEE BENEFIT OBLIGATIONS |
The company operates a pension scheme providing benefits based on final pensionable pay. The assets of the scheme are held separately from those of the company. Contributions to the scheme are charged to the profit and loss account so as to spread the cost of pensions over employees' working lives with the company. The contributions are determined by a qualified actuary on the basis of triennial valuations using the projected unit method. The most recent valuation was as at 6 April 2022. The assumptions that have the most significant effect on the results of the valuation are those relating to the rate of return on investments and the rate of increase in salaries and pensions. |
The total contributions paid in respect of this scheme were £85,000 (2022: £89,000). |
The company has agreed a schedule of contributions on 5 July 2023 following the 6 April 2022 triennial valuation. |
Contributions in respect of the one remaining member : |
From 1 October 2020, employer contributions of 13.8% per annum of pensionable earnings in respect of active members have been made. The schedule of contributions agreed on 5 July 2023, shows that this percentage will remain at 23.7% per annum. |
The company has agreed to pay deficit repair contributions. |
The employer will pay £52,600 per annum up to 30 June 2023 and then £70,000per annum from 1 July 2023 until 6 February 2033. The payments will be made as equal monthly installments. |
Employees contributions are to remain at 6% of pensionable payroll. |
The company also contributes to a defined contribution pension scheme. The assets of the scheme are held separately from those of the administered fund described above. The pension cost charge represents contributions payable by the company to the fund and amounted to £27,939 (2022: £30,042). |
The amounts recognised in profit or loss are as follows: |
Defined benefit |
pension plans |
30/6/23 | 30/6/22 |
£ | £ |
Current service cost |
Net interest from net defined benefit asset/liability |
6,000 |
(22,000 |
) |
Past service cost |
38,000 | 9,000 |
Actual return on plan assets | ( |
) |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
13. | EMPLOYEE BENEFIT OBLIGATIONS - continued |
Changes in the present value of the defined benefit obligation are as follows: |
Defined benefit |
pension plans |
30/6/23 | 30/6/22 |
£ | £ |
Opening defined benefit obligation |
Current service cost |
Contributions by employer | (85,000 | ) | (89,000 | ) |
Net interest cost |
Actuarial losses/(gains) | ( |
) | ( |
) |
Changes in the fair value of scheme assets are as follows: |
Defined benefit |
pension plans |
30/6/23 | 30/6/22 |
£ | £ |
Opening fair value of scheme assets |
Contributions by employer |
Contributions by scheme participants |
Expenses paid by scheme | (27,000 | ) | (25,000 | ) |
Expected return | 42,000 | 22,000 |
Benefits paid | (56,000 | ) | (54,000 | ) |
Gain/ loss on asset return | (12,000 | ) | (149,000 | ) |
The amounts recognised in other comprehensive income are as follows: |
Defined benefit |
pension plans |
30/6/23 | 30/6/22 |
£ | £ |
Actuarial gains/(losses) |
120,000 | 380,000 |
The major categories of scheme assets as amounts of total scheme assets are as follows: |
Defined benefit |
pension plans |
30/6/23 | 30/6/22 |
£ | £ |
Pooled investment vehicles | 855,000 | 833,000 |
Cash | 78,000 | 51,000 |
Annuities |
1,103,000 | 1,069,000 |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
13. | EMPLOYEE BENEFIT OBLIGATIONS - continued |
Changes in the fair value of scheme liabilities are as follows: |
Defined benefit |
pension plans |
2023 | 2022 |
£ | £ |
Value of liabilities at 30 June 2022/2021 | 1,264,000 | 1,805,000 |
Current service cost | 5,000 | 6,000 |
Interest on liabilities | 48,000 | 34,000 |
Member contributions | 2,000 | 2,000 |
Experience loss (gain) on liabilities | 97,000 | 46,000 |
Loss (gain) on changes in assumptions | (204,000 | ) | (572,000 | ) |
Loss (gain) on changes in demographic assumptions | (25,000 | ) | (3,000 | ) |
Benefits paid | (56,000 | ) | (54,000 | ) |
Value of liabilities at 30 June 2023/2022 | 1,131,000 | 1,264,000 |
Principal actuarial assumptions at the balance sheet date (expressed as weighted averages): |
30/6/23 | 30/6/22 |
Discount rate |
Future salary increases |
Future pension increases RPI max 5% |
The 6 April 2022 triennial report of the Scheme assumed post-retirement mortality experience to be in line with S3NxA tables based on occupational pension scheme data.. An allowance was made for future mortality improvements in line with CMI 2021 projections with a 1.50% p.a. long term trend for males and a 1.00% p.a. long term trend for females. |
Under this mortality assumption as at 30 June 2022, the expected future lifetime for a member retiring at 65 at the accounting date would be 21.6 years for males and 23.7 years for females. As a result of expected improvements to mortality in the future, the future expectation of life at retirement for a member retiring at 65 in 20 years' time would be 23.1 years for males and 24.8 years for females. |
WALTER EDMUNDSON (HAULAGE) LIMITED (REGISTERED NUMBER: 00970056) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
14. | RELATED PARTY DISCLOSURES |
During the year the company had transactions with various related party companies, being the ultimate parent company Manx Independent Carriers Limited and a subsidiaries of Manx Independent Carriers Limited, Davenory Limited. |
During the year sales of £2,561,332 (2022: £2,481,212) were made to Manx Independent Carriers Limited. |
The following purchases were made during the year: |
2023 | 2022 |
£ | £ |
Manx Independent Carriers Limited | 63,775 | 67,224 |
Davenory Limited | 52,000 | 52,000 |
Included in the Profit and Loss account is an exceptional gain relating to the write off by Manx Independent Carriers Limited of an amount of £356,000 (2022: £436,000) owed by the company. |
The following balances were outstanding at the balance sheet date. |
2023 | 2022 |
£ | £ |
Due to Walter Edmundson (Haulage) Limited |
Manx Independent Carriers Limited | 348,763 | 227,688 |
15. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is considered to be Manx Independent Carriers Limited, a company based in the Isle of Man. |
The consolidated financial statements are drawn up by Manx Independent Carriers Limited, whose address is: |
Distribution Centre, |
Snugborough Trading Estate |
Braddan, |
IM4 4LG |