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Company registration number: 06717076
Green GRP Logistics Limited
Financial statements
31 October 2023
Green GRP Logistics Limited
Contents
Directors and other information
Strategic report
Directors report
Independent auditor's report to the members
Statement of income and retained earnings
Statement of financial position
Statement of cash flows
Notes to the financial statements
Green GRP Logistics Limited
Directors and other information
Directors N A Hoyes
C Addy
T J Lister
Company number 06717076
Registered office The Green Group
Warwick Road
Maltby, Rotherham
South Yorkshire
S66 8EW
Auditor Xeinadin Audit Limited
8th Floor Becket House
36 Old Jewry
London
EC2R 8DD
Green GRP Logistics Limited
Strategic report
Year ended 31 October 2023
The directors present their Strategic Report of the company for the year-ended 31 October 2023.
The company's strategy is to continue developing the business by increasing its customer base and geographical spread and by driving through greater efficiencies in its core operations. This will be achieved through a combination of the knowledge and expertise from the existing management team, enhanced business development functions and leveraging the skills and experience of its shareholders.
Principal activity
The principal activity of the company continued to be that of the provision of logistics and transport services.
Review of the business
The directors are conetent with the trading results for the year which has seen a decrease in turnover of 8.43% compared to the previous year. However, gross profit has increased by 2.40%, and operating profit has also increased by 3.90% compared to the previous year's results.
Financial key performance indicators
The company maintains a number of key performance indicators in respect of cash flow, sales growth, gross margin and profitability.
Principal risks and uncertainties
The company's operational activities expose it to a number of potential financial risks and uncertainties which may affect the performance of the company. These are regularly considered by the directors. The key risks are as follows:
Price risk
The company may be affected by supplier price increases. The directors are of the opinion that adherence to company purchasing policies and procedures mitigates this risk as far as possible.
Credit risk
There is a risk of bad debts in the normal course of trading. The company operates practices in order to minimise this risk. All customers who wish to trade on credit terms are subject to credit verification procedures. Receivable balances are monitored on an ongoing basis and trade insurance policies are maintained where required and available
Liquidity risk
The company has bank and cash balances of (£41,201) (2022: £304,778). The directors are confident the funding structure is sufficient for trading operations and future company expansion.
Market risk
The company mitigates the risks that arise through competitive pressures by offering a service that is of high quality through well trained staff as well as competitively priced goods. The development of strong client relationships is also actively pursued in order to maintain a strong loyal customer base.
Outlook
The company is optimistic on its outlook. The expectation is for the company to return to growth, aided by the company's drive for efficiency and commitment to providing an exemplary service to its customers.
This report was approved by the board of directors on 29 July 2024 and signed on behalf of the board by:
C Addy
Director
Green GRP Logistics Limited
Directors report
Year ended 31 October 2023
The directors present their report and the financial statements of the company for the year ended 31 October 2023.
Directors
The directors who served the company during the year were as follows:
N A Hoyes
C Addy
T J Lister
Dividends
Particulars of recommended dividends are detailed in note 10 to the financial statements.
Future developments
The company continues to grow its operational business strategically and profitably over the coming year through providing dedicated service to both existing and new customers .
Financial instruments
The company's policy on the use of financial instruments is set out in note 2 to the financial statements.
Disclosure of information in the strategic report.
In accordance with section 414C(11) of the Companies Act 2006, the company has chosen to report the review of the business, the future outlook and the risks and uncertainties faced by the company in the Strategic Report on Page 2.
Directors responsibilities statement
The directors are responsible for preparing the strategic report, directors report 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 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 judgments and accounting estimates that are reasonable and prudent; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.
This report was approved by the board of directors on 29 July 2024 and signed on behalf of the board by:
C Addy
Director
Green GRP Logistics Limited
Independent auditor's report to the members of
Green GRP Logistics Limited
Year ended 31 October 2023
Opinion
We have audited the financial statements of Green GRP Logistics Limited (the 'company') for the year ended 31 October 2023 which comprise the statement of income and retained earnings, statement of financial position, statement of cash flows and 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 FRS 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 October 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 auditor’s 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the strategic report and the directors' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report. 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 the 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, 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 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.
Auditor's 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 auditor’s 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 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: As part of designing our audit, we determined the materiality level and assessed the risks of material misstatement in the financial statements, including how fraud may occur by enquiring of management of its own consideration of fraud. In particular, we looked at where management made subjective judgements, for example in respect of significant accounting estimates that involved making assumptions and considering future events that are inherently uncertain. We also considered potential financial or other pressures, opportunity and motivations for fraud. As part of this discussion we identified the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations and how management monitor these processes. Appropriate procedures included the review and testing of manual journals and key estimates and judgements made by management.We did not identify any key audit matters relating to irregularities, including fraud. As in all of our audits, we also addressed the risk of management override of internal controls including testing journals and evaluation whether there was evidence of bias by the Directors that represented a risk of material misstatement due to fraud. Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Councils website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. we also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
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 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.
Narendrakumar Mistry FCA (Senior Statutory Auditor)
For and on behalf of
Xeinadin Audit Limited
Statutory Auditors
8th Floor Becket House
36 Old Jewry
London
EC2R 8DD
29 July 2024
Green GRP Logistics Limited
Statement of income and retained earnings
Year ended 31 October 2023
2023 2022
Note £ £
Turnover 4 24,952,693 27,250,551
Cost of sales ( 21,914,319) ( 24,591,281)
_______ _______
Gross profit 3,038,374 2,659,270
Administrative expenses ( 1,575,567) ( 2,113,230)
_______ _______
Operating profit 5 1,462,807 546,040
Interest payable and similar expenses 8 ( 421,224) ( 367,986)
Profit before taxation 1,041,583 178,054
Tax on profit 9 ( 258,173) 140,276
_______ _______
Profit for the financial year and total comprehensive income 783,410 318,330
_______ _______
Dividends declared and paid or payable during the year 10 ( 17,460) ( 17,460)
Retained earnings at the start of the year 6,126,799 5,825,929
_______ _______
Retained earnings at the end of the year 6,892,749 6,126,799
_______ _______
All the activities of the company are from continuing operations.
Green GRP Logistics Limited
Statement of financial position
31 October 2023
2023 2022
Note £ £ £ £
Fixed assets
Tangible assets 11 4,183,760 5,179,349
Investments 12 500,000 -
_______ _______
4,683,760 5,179,349
Current assets
Stocks 13 45,000 75,289
Debtors 14 17,337,493 17,619,808
Cash at bank and in hand 1,248 304,778
_______ _______
17,383,741 17,999,875
Creditors: amounts falling due
within one year 16 ( 10,960,820) ( 11,545,210)
_______ _______
Net current assets 6,422,921 6,454,665
_______ _______
Total assets less current liabilities 11,106,681 11,634,014
Creditors: amounts falling due
after more than one year 17 ( 3,322,479) ( 4,873,935)
Provisions for liabilities 19 ( 641,353) ( 383,180)
_______ _______
Net assets 7,142,849 6,376,899
_______ _______
Capital and reserves
Called up share capital 22 250,100 250,100
Profit and loss account 23 6,892,749 6,126,799
_______ _______
Shareholders funds 7,142,849 6,376,899
_______ _______
These financial statements were approved by the board of directors and authorised for issue on 29 July 2024 , and are signed on behalf of the board by:
C Addy
Director
Company registration number: 06717076
Green GRP Logistics Limited
Statement of cash flows
Year ended 31 October 2023
2023 2022
Note £ £
Cash flows from operating activities
Profit for the financial year 783,410 318,330
Adjustments for:
Depreciation of tangible assets 921,818 810,328
Interest payable and similar expenses 421,224 367,986
Gain/(loss) on disposal of tangible assets ( 17,122) ( 7,536)
Tax on profit 258,173 ( 140,276)
Accrued expenses/(income) ( 1,336,940) 615,816
Changes in:
Stocks 30,289 1,166
Trade and other debtors 282,315 ( 1,524,627)
Trade and other creditors ( 391,851) 1,214,633
_______ _______
Cash generated from operations 951,316 1,655,820
Interest paid ( 421,224) ( 367,986)
Tax paid - ( 95,928)
_______ _______
Net cash from operating activities 530,092 1,191,906
_______ _______
Cash flows from investing activities
Purchase of tangible assets ( 58,800) ( 2,103,604)
Proceeds from sale of tangible assets 149,693 146,315
Purchase of other investments ( 500,000) -
_______ _______
Net cash used in investing activities ( 409,107) ( 1,957,289)
_______ _______
Cash flows from financing activities
Proceeds from borrowings ( 261,126) ( 472,106)
Proceeds from loans from group undertakings 705,283 384,786
Proceeds from loans from participating interests 17,239 ( 14,784)
Payment of finance lease liabilities ( 910,900) 1,188,648
Equity dividends paid ( 17,460) ( 17,460)
_______ _______
Net cash (used in)/from financing activities ( 466,964) 1,069,084
_______ _______
Net increase/(decrease) in cash and cash equivalents ( 345,979) 303,701
Cash and cash equivalents at beginning of year 15 304,778 1,077
_______ _______
Cash and cash equivalents at end of year 15 ( 41,201) 304,778
_______ _______
Green GRP Logistics Limited
Notes to the financial statements
Year ended 31 October 2023
1. General information
The company is a private company limited by shares, registered in England & Wales. The address of the registered office is The Green Group, Warwick Road, Maltby, Rotherham, South Yorkshire, S66 8EW.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Turnover
Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods supplied and services rendered, stated net of discounts and of Value Added Tax.When the outcome of a transaction involving the rendering of services can be reliably estimated, revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period.When the outcome of a transaction involving the rendering of services cannot be reliably estimated, revenue is recognised only to the extent that expenses recognised are recoverable.
Taxation
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised in other comprehensive income or directly in capital and reserves. In this case, tax is recognised in other comprehensive income or directly in capital and reserves, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Tangible assets
tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in capital and reserves, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess shall be recognised in profit or loss.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Plant and machinery - 25%/15%/10% reducing and straight line method depending on asset
Fittings fixtures and equipment - 15 % reducing balance
If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets, the depreciation is revised prospectively to reflect the new estimates.
Fixed asset investments
Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses. Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.
Impairment
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stocks to their present location and condition.
Hire purchase and finance leases
Assets held under finance leases are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event; it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised in finance costs in profit or loss in the period it arises.
Financial instruments
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised in finance costs in profit or loss in the period in which it arises.
4. Turnover
Turnover arises from:
2023 2022
£ £
Logistics and transport services 24,952,693 27,250,551
_______ _______
The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.
5. Operating profit
Operating profit is stated after charging/(crediting):
2023 2022
£ £
Depreciation of tangible assets 921,818 810,328
(Gain)/loss on disposal of tangible assets ( 17,122) ( 7,536)
Impairment of trade debtors - 233,633
Operating lease rentals 2,435 13,230
Fees payable for the audit of the financial statements 23,851 10,700
_______ _______
6. Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
2023 2022
Average Number of Employees 3 2
_______ _______
The aggregate payroll costs incurred during the year were:
2023 2022
£ £
Wages and salaries 934,492 949,110
Social security costs 6,067 3,405
Other pension costs 1,063 747
_______ _______
941,622 953,262
_______ _______
7. Directors remuneration
The directors aggregate remuneration in respect of qualifying services was:
2023 2022
£ £
Remuneration 10,000 10,000
_______ _______
8. Interest payable and similar expenses
2023 2022
£ £
Bank loans and overdrafts 2,045 4,255
Other loans made to the company:
Finance leases and hire purchase contracts 72,204 109,751
Other interest payable and similar expenses 346,975 253,980
_______ _______
421,224 367,986
_______ _______
9. Tax on profit
Major components of tax expense/income
2023 2022
£ £
Current tax:
Adjustments in respect of previous periods - 95,928
_______ _______
Deferred tax:
Origination and reversal of timing differences 258,173 ( 236,204)
_______ _______
Tax on profit 258,173 ( 140,276)
_______ _______
Reconciliation of tax expense/income
The tax assessed on the profit for the year is lower than (2022: lower than) the standard rate of corporation tax in the UK of 25.00 % (2022: 19.00%).
2023 2022
£ £
Profit before taxation 1,041,583 178,054
_______ _______
Profit multiplied by rate of tax 260,396 33,830
Adjustments in respect of prior periods - 95,928
Effect of expenses not deductible for tax purposes 1,161 4,630
Effect of capital allowances and depreciation ( 189,615) ( 480,062)
Utilisation of tax losses ( 473,731) 68,068
Unrelieved tax losses 376,455 373,534
Deferred tax 258,173 ( 236,204)
Differing rates of corporation tax 25,334 -
_______ _______
Tax on profit 258,173 ( 140,276)
_______ _______
10. Dividends
Equity dividends
2023 2022
£ £
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year) 17,460 17,460
_______ _______
11. Tangible assets
Plant and machinery Fixtures, fittings and equipment Total
£ £ £
Cost
At 1 November 2022 7,239,501 369,559 7,609,060
Additions 58,800 - 58,800
Disposals ( 631,692) ( 108,932) ( 740,624)
_______ _______ _______
At 31 October 2023 6,666,609 260,627 6,927,236
_______ _______ _______
Depreciation
At 1 November 2022 2,139,743 289,968 2,429,711
Charge for the year 902,711 19,107 921,818
Disposals ( 515,681) ( 92,372) ( 608,053)
_______ _______ _______
At 31 October 2023 2,526,773 216,703 2,743,476
_______ _______ _______
Carrying amount
At 31 October 2023 4,139,836 43,924 4,183,760
_______ _______ _______
At 31 October 2022 5,099,758 79,591 5,179,349
_______ _______ _______
12. Investments
Other investments other than loans Total
£ £
Cost
At 1 November 2022 - -
Additions 500,000 500,000
_______ _______
At 31 October 2023 500,000 500,000
_______ _______
Impairment
At 1 November 2022 and 31 October 2023 - -
_______ _______
Carrying amount
At 31 October 2023 500,000 500,000
_______ _______
At 31 October 2022 - -
_______ _______
13. Stocks
2023 2022
£ £
Raw materials 45,000 75,289
_______ _______
14. Debtors
2023 2022
£ £
Trade debtors 5,293,127 5,238,823
Amounts owed by group undertakings 9,180,705 8,761,348
Prepayments and accrued income 1,254,937 1,217,938
Other debtors 1,608,724 2,401,699
_______ _______
17,337,493 17,619,808
_______ _______
15. Cash and cash equivalents
2023 2022
£ £
Cash at bank and in hand 1,248 304,778
Bank overdrafts ( 42,449) -
_______ _______
( 41,201) 304,778
_______ _______
16. Creditors: amounts falling due within one year
2023 2022
£ £
Bank loans and overdrafts 298,655 -
Trade creditors 3,976,265 3,660,983
Amounts owed to group undertakings 1,143,582 438,299
Amounts owed to undertakings in which the company has a participating interest 40,636 23,397
Accruals and deferred income 235,577 1,572,517
Social security and other taxes 221,137 221,181
Obligations under finance leases 995,277 872,053
Other creditors 4,049,691 4,756,780
_______ _______
10,960,820 11,545,210
_______ _______
17. Creditors: amounts falling due after more than one year
2023 2022
£ £
Bank loans and overdrafts 338,156 855,488
Obligations under finance leases 2,984,323 4,018,447
_______ _______
3,322,479 4,873,935
_______ _______
18. Obligations under finance leases
Company lessee
The total future minimum lease payments under finance lease agreements are as follows:
2023 2022
£ £
Not later than 1 year 995,277 872,053
Later than 1 year and not later than 5 years 2,984,323 3,488,213
Later than 5 years - 530,234
_______ _______
3,979,600 4,890,500
_______ _______
Present value of minimum lease payments 3,979,600 4,890,500
_______ _______
19. Provisions
Deferred tax (note 20) Total
£ £
At 1 November 2022 383,180 383,180
Charges against provisions 258,173 258,173
_______ _______
At 31 October 2023 641,353 641,353
_______ _______
20. Deferred tax
The deferred tax included in the statement of financial position is as follows:
2023 2022
£ £
Included in provisions (note 19) 641,353 383,180
_______ _______
The deferred tax account consists of the tax effect of timing differences in respect of:
2023 2022
£ £
Accelerated capital allowances 1,017,808 925,759
Unused tax losses ( 376,455) ( 542,579)
_______ _______
641,353 383,180
_______ _______
21. Employee benefits
The amount recognised in profit or loss in relation to defined contribution plans was £ 1,063 (2022: £ 747 ).
22. Called up share capital
Issued, called up and fully paid
2023 2022
No £ No £
Ordinary shares shares of £ 1.00 each 250,100 250,100 250,100 250,100
_______ _______ _______ _______
23. Reserves
Profit and loss account: This reserve records retained earnings and accumulated losses.
24. Analysis of changes in net debt
At 1 November 2022 Cash flows At 31 October 2023
£ £ £
Cash and cash equivalents 304,778 (303,530) 1,248
Bank overdrafts - (42,449) (42,449)
Debt due within one year (1,333,749) (1,101,952) (2,435,701)
Debt due after one year (4,873,935) 1,551,456 (3,322,479)
_______ _______ _______
( 5,902,906) 103,525 ( 5,799,381)
_______ _______ _______
25. Contingent assets and liabilities
The company's bankers have a debenture over all the company's assets and have a fixed and floating charge over all the assets dated 8th May 2015. An unlimited multilateral guarantee has been provided to its bankers by the following companies: Green Group International Limited, Green GRP Logistics Limited , Green GRP Pallet Network Limited, Green Europe Solutions Limited, Green GRP Int Limited, Green GRP Warehousing Limited, Moto Logix Limited, Pete Osborne Holdings Limited, Green GP Property Limited and Team O Solutions Limited.
26. Related party transactions
During the year the company entered into the following transactions with related parties:
Transaction value Balance owed by/(owed to)
2023 2022 2023 2022
£ £ £ £
Green GRP Pallet Network Limited 7,543 51,158 71,158 63,615
Green Europe Solutions Limited ( 70,359) 48,146 261,636 331,995
Green GP Property Limited 223,336 878,147 8,108,407 7,885,071
Green GRP Warehousing Limited ( 505,283) ( 384,786) ( 943,582) ( 438,299)
Green GRP Int Limited 1,000 1,675 377,344 376,344
Green Group International Limited 257,837 13,691 362,160 104,323
A2B Trucking UK Limited ( 200,000) - ( 200,000) -
_______ _______ _______ _______
All the above companies were under the control of the parent company; Lawson Carswell Holdings Limited.
27. Controlling party
The ultimate controlling party is P G Osborne by virtue of holding 100% of the ordinary shares in issue in the parent company.