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Company registration number: 03423340
GSH Holdings Limited
Financial statements
31 January 2024
GSH Holdings Limited
Contents
Directors and other information
Strategic report
Directors report
Independent auditor's report to the members
Statement of comprehensive income
Statement of financial position
Statement of changes in equity
Statement of cash flows
Notes to the financial statements
GSH Holdings Limited
Directors and other information
Directors Mr R Mason
Mr J Cullen
Secretary Mr R Mason
Company number 03423340
Registered office Beech Gate
Peterborough Road, Whittlesey
Peterborough
Cambridgeshire
PE7 1PD
Auditor Hill Vellacott
22 Great Victoria Street
Belfast
Co Antrim
BT2 7BA
GSH Holdings Limited
Strategic report
Year ended 31 January 2024
Business review
The company's principal activity continues to be the provision of management services to the subsidiary companies.
The company operates in a competitive marketplace, however the directors are confident that the financial performance of the business will be maintained. Clearly the current economic conditions continue to create a challenging environment in which to trade but the directors are pleased with the way in which the company has performed through this period and beyond. The directors are satisfied with the position of the company at 31 January 2024.
Principal risks and uncertainties
The management of the business and the execution of the Company's strategy are subject to a number of risks.
The directors of the Company monitor these risks and can confirm the key risks are considered to relate to the aggressive competition from other packaging businesses and the rising cost of materials and transport, specifically in relation to Brexit and global inflationary pressures.
The Board and senior management team envisage no significant changes to the current policies and strategies over the next 12 months.
Financial key performance indicators
Given the straightforward nature of the business the directors are of the opinion that using Key Performance Indicators is not necessary for an understanding of the development, performance or position of the company.
Going concern
After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the annual report and financial statements.
Financial Instruments
The Directors’ objectives are to minimise risks that the company is exposed to and they have implemented policies to achieve this. The main financial risk is seen as interest rate fluctuation. The risk from interest rate rises has been mitigated through the use of fixed rates and the directors are satisfied that this is adequate for the company.
This report was approved by the board of directors on 31 July 2024 and signed on behalf of the board by:
Mr J Cullen
Director
GSH Holdings Limited
Directors report
Year ended 31 January 2024
The directors present their report and the financial statements of the company for the year ended 31 January 2024.
Directors
The directors who served the company during the year were as follows:
Mr R Mason
Mr J Cullen
Dividends
Particulars of recommended dividends are detailed in note 11 to the financial statements.
Future developments
The directors aim to maintain the management policies which have resulted in the company's results in recent years and they consider that the next year will show similar results from continuing operations.
Financial instruments
Details of financial instruments are provided 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 31 July 2024 and signed on behalf of the board by:
Mr J Cullen
Director
Independent auditor's report to the members of
GSH Holdings Limited
Year ended 31 January 2024
Opinion
We have audited the financial statements of GSH Holdings Limited (the 'company') for the year ended 31 January 2024 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, 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 January 2024 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: Our approach was as follows: We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to Transfer pricing, the Companies Act 2006 and compliance with FRS102 and laws; and we assessed the risks of material misstatement in respect of fraud with the consideration of the company's own assessment of the risks that irregularities may occur either because of fraud or error; the results of our enquiries of management about their own identification and assessment of the risks of irregularities; any matters we identified having obtained and reviewed the company's documentation of their policies and procedures relating to identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; and the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the areas in which management is required to exercise significant judgment, such as disclosure of adjusting items. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override; we also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act and tax legislation; and in addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. These included data protection, employment and health and safety regulations. Audit procedures designed to respond to the risks of fraud: We considered the risk of fraud through management override, and in response, we incorporated testing of manual journal entries into our audit approach. We considered the risk of fraud through transactions outside the normal course of transactions by noting anything that was unusual in nature or size and enquired about such transaction to gain an understanding of their nature; based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud and other irregularities; extent of audit procedures; and we evaluated the selection and application of accounting policies by the company, particularly those related to subjective measurements and complex transactions, that may be indicative of fraudulent financial reporting. 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 auditor’s report.
Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 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.
Conor McCaffrey (Senior Statutory Auditor)
For and on behalf of
Hill Vellacott
Chartered Accountants and Statutory Auditor
22 Great Victoria Street
Belfast
Co Antrim
BT2 7BA
31 July 2024
GSH Holdings Limited
Statement of comprehensive income
Year ended 31 January 2024
2024 2023
Note £ £
Turnover 4 2,116,015 3,015,529
Cost of sales ( 38,597) ( 6,809)
_______ _______
Gross profit 2,077,418 3,008,720
Administrative expenses ( 1,889,878) ( 2,524,903)
_______ _______
Operating profit 5 187,540 483,817
Income from shares in group undertakings 8 - 300,091
Interest payable and similar expenses 9 ( 59,299) ( 46,996)
Profit before taxation 128,241 736,912
Tax on profit 10 ( 38,888) ( 4,666)
_______ _______
Profit for the financial year and total comprehensive income 89,353 732,246
_______ _______
All the activities of the company are from continuing operations.
GSH Holdings Limited
Statement of financial position
31 January 2024
2024 2023
Note £ £ £ £
Fixed assets
Tangible assets 12 1,286,852 1,762,056
Investments 13 109,222 109,222
_______ _______
1,396,074 1,871,278
Current assets
Debtors 14 1,207,648 1,210,775
Cash at bank and in hand 214,021 57,548
_______ _______
1,421,669 1,268,323
Creditors: amounts falling due
within one year 15 ( 440,346) ( 495,216)
_______ _______
Net current assets 981,323 773,107
_______ _______
Total assets less current liabilities 2,377,397 2,644,385
Creditors: amounts falling due
after more than one year 16 ( 576,435) ( 860,246)
Provisions for liabilities 17 ( 54,957) ( 127,487)
_______ _______
Net assets 1,746,005 1,656,652
_______ _______
Capital and reserves
Called up share capital 21 49,125 49,125
Share premium account 22 45,000 45,000
Capital redemption reserve 22 25,874 25,874
Profit and loss account 22 1,626,006 1,536,653
_______ _______
Shareholders funds 1,746,005 1,656,652
_______ _______
These financial statements were approved by the board of directors and authorised for issue on 31 July 2024 , and are signed on behalf of the board by:
Mr J Cullen
Director
Company registration number: 03423340
GSH Holdings Limited
Statement of changes in equity
Year ended 31 January 2024
Called up share capital Share premium account Capital redemption reserve Profit and loss account Total
£ £ £ £ £
At 1 February 2022 62,062 45,000 12,937 2,025,057 2,145,056
Profit for the year 732,246 732,246
_______ _______ _______ _______ _______
Total comprehensive income for the year - - - 732,246 732,246
Dividends paid and payable ( 520,650) ( 520,650)
Redemption of shares ( 12,937) - 12,937 ( 700,000) ( 700,000)
_______ _______ _______ _______ _______
Total investments by and distributions to owners ( 12,937) - 12,937 ( 1,220,650) ( 1,220,650)
_______ _______ _______ _______ _______
At 31 January 2023 and 1 February 2023 49,125 45,000 25,874 1,536,653 1,656,652
Profit for the year 89,353 89,353
_______ _______ _______ _______ _______
Total comprehensive income for the year - - - 89,353 89,353
_______ _______ _______ _______ _______
At 31 January 2024 49,125 45,000 25,874 1,626,006 1,746,005
_______ _______ _______ _______ _______
GSH Holdings Limited
Statement of cash flows
Year ended 31 January 2024
2024 2023
£ £
Cash flows from operating activities
Profit for the financial year 89,353 732,246
Adjustments for:
Depreciation of tangible assets 118,013 204,467
Income from shares in group undertakings - ( 300,091)
Interest payable and similar expenses 59,299 46,996
Gain/(loss) on disposal of tangible assets ( 130,361) ( 16,165)
Tax on profit 38,888 4,666
Accrued expenses/(income) ( 1,595) ( 5,793)
Changes in:
Trade and other debtors 3,127 ( 520,117)
Trade and other creditors ( 66,206) 41,878
_______ _______
Cash generated from operations 110,518 188,087
Interest paid ( 59,299) ( 46,996)
Tax paid - ( 11,345)
_______ _______
Net cash from operating activities 51,219 129,746
_______ _______
Cash flows from investing activities
Purchase of tangible assets ( 113,851) ( 194,306)
Proceeds from sale of tangible assets 601,403 74,321
Dividends received - 300,091
_______ _______
Net cash from investing activities 487,552 180,106
_______ _______
Cash flows from financing activities
Purchases to acquire or redeem own shares - ( 636,922)
Proceeds from borrowings - 637,800
Repayments of borrowings ( 84,594) -
Repayments of loans from group undertakings ( 19,353) ( 10,084)
Payment of finance lease liabilities ( 278,351) ( 63,969)
Equity dividends paid - ( 520,650)
_______ _______
Net cash used in financing activities ( 382,298) ( 593,825)
_______ _______
Net increase/(decrease) in cash and cash equivalents 156,473 ( 283,973)
Cash and cash equivalents at beginning of year 57,548 341,521
_______ _______
Cash and cash equivalents at end of year 214,021 57,548
_______ _______
GSH Holdings Limited
Notes to the financial statements
Year ended 31 January 2024
1. General information
The company is a private company limited by shares, registered in England. The address of the registered office is Beech Gate, Peterborough Road, Whittlesey, Peterborough, Cambridgeshire, PE7 1PD.
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.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgementsThe are no judgments (apart from those involving estimations) that management have made in the process of applying the entity's accounting policies that have a significant effect on the amounts recognised in the financial statements.Key sources of estimation uncertaintyAccounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. There are no key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
Turnover
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
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.
Foreign currencies
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to profit or loss.
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:
Freehold property - 2 % straight line
Plant and machinery - 10 % straight line
Fittings fixtures and equipment - 25 % reducing balance
Motor vehicles - 25 % 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.
Investment property
Investment property is measured initially at cost, which includes purchase price and any directly attributable expenditure. Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in profit or loss.
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.
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:
2024 2023
£ £
Property rental income 13,742 15,199
Management fee and commissions 2,102,273 3,000,330
_______ _______
2,116,015 3,015,529
_______ _______
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):
2024 2023
£ £
Depreciation of tangible assets 118,013 204,467
(Gain)/loss on disposal of tangible assets ( 130,361) ( 16,165)
Foreign exchange differences - ( 22,877)
Fees payable for the audit of the financial statements 5,440 7,213
_______ _______
6. Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
2024 2023
Production staff 12 22
Administrative staff 10 10
_______ _______
22 32
_______ _______
The aggregate payroll costs incurred during the year were:
2024 2023
£ £
Wages and salaries 1,023,722 1,320,775
Social security costs 116,738 162,165
Other pension costs 30,325 40,364
_______ _______
1,170,785 1,523,304
_______ _______
7. Directors remuneration
The directors aggregate remuneration in respect of qualifying services was:
2024 2023
£ £
Remuneration 98,104 96,504
_______ _______
8. Income from shares in group undertakings
2024 2023
£ £
Dividends from shares in group undertakings (-) 300,091
_______ _______
9. Interest payable and similar expenses
2024 2023
£ £
Bank loans and overdrafts 48,712 23,697
Other loans made to the company:
Finance leases and hire purchase contracts 10,587 23,299
_______ _______
59,299 46,996
_______ _______
10. Tax on profit
Major components of tax expense
2024 2023
£ £
Current tax:
UK current tax expense 111,418 -
_______ _______
Deferred tax:
Origination and reversal of timing differences ( 72,530) 4,666
_______ _______
Tax on profit 38,888 4,666
_______ _______
Reconciliation of tax expense
The tax assessed on the profit for the year is higher than (2023: lower than) the standard rate of corporation tax in the UK of 25.00 % (2023: 19.00%).
2024 2023
£ £
Profit before taxation 128,241 736,912
_______ _______
Profit multiplied by rate of tax 32,060 140,013
Effect of expenses not deductible for tax purposes 327 271
Effect of capital allowances and depreciation 16,924 18,383
Effect of revenue exempt from tax - ( 57,017)
Utilisation of tax losses ( 5,926) ( 96,984)
Effect of a change in tax rate ( 4,497) -
_______ _______
Tax on profit 38,888 4,666
_______ _______
11. Dividends
Equity dividends
2024 2023
£ £
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year) - 520,650
_______ _______
12. Tangible assets
Freehold property Plant and machinery Fixtures, fittings and equipment Motor vehicles Investment Property Total
£ £ £ £ £ £
Cost
At 1 February 2023 952,304 1,922,566 562,221 273,607 250,000 3,960,698
Additions - 6,406 3,889 103,556 - 113,851
Disposals - ( 1,874,745) ( 44,395) ( 72,712) - ( 1,991,852)
_______ _______ _______ _______ _______ _______
At 31 January 2024 952,304 54,227 521,715 304,451 250,000 2,082,697
_______ _______ _______ _______ _______ _______
Depreciation
At 1 February 2023 223,802 1,438,609 417,693 118,538 - 2,198,642
Charge for the year 12,173 5,423 35,761 64,656 - 118,013
Disposals - ( 1,429,044) ( 37,557) ( 54,209) - ( 1,520,810)
_______ _______ _______ _______ _______ _______
At 31 January 2024 235,975 14,988 415,897 128,985 - 795,845
_______ _______ _______ _______ _______ _______
Carrying amount
At 31 January 2024 716,329 39,239 105,818 175,466 250,000 1,286,852
_______ _______ _______ _______ _______ _______
At 31 January 2023 728,502 483,957 144,528 155,069 250,000 1,762,056
_______ _______ _______ _______ _______ _______
Investment property
Included within the above is investment property measured at fair value as follows:
£
At 1 February 2023 and 31 January 2024 250,000
_______
The investment property has been valued by the directors at £250,000 given due consideration for similar properties in the region.
Obligations under finance leases
Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:
Plant and machinery
£
At 31 January 2024 33,476
_______
At 31 January 2023 392,268
_______
13. Investments
Shares in group undertakings Total
£ £
Cost
At 1 February 2023 and 31 January 2024 109,222 109,222
_______ _______
Impairment
At 1 February 2023 and 31 January 2024 - -
_______ _______
Carrying amount
At 31 January 2024 109,222 109,222
_______ _______
At 31 January 2023 109,222 109,222
_______ _______
Investments in group undertakings
Registered office Class of share Percentage of shares held
Subsidiary undertakings
Easiweigh Limited Beech Gate Peterborough Road, Whittlesey, Peterborough, England, PE7 1PD Ordinary 100
Fieldpax Limited Beech Gate Peterborough Road, Whittlesey, Peterborough, England, PE7 1PD Ordinary 100
Infia UK Limited Beech Gate Peterborough Road, Whittlesey, Peterborough, England, PE7 1PD Ordinary 58
Verti-pack Limited Beech Gate Peterborough Road, Whittlesey, Peterborough, England, PE7 1PD Ordinary 73
The results and capital and reserves for the period of the trading companies are as follows:
Capital and Profit/(loss)
reserves for the
period
2024 2023 2024 2023
£ £ £ £
Subsidiary undertakings
Easiweigh Limited 1 1 - -
Fieldpax Limited 24,486 7,616 16,870 ( 551,021)
Infia UK Limited 979,380 1,101,283 ( 121,903) 259,731
Verti-pack Limited 1,056,430 1,011,584 ( 46,863) ( 11,031)
14. Debtors
2024 2023
£ £
Trade debtors 7,707 10,270
Amounts owed by group undertakings 1,169,965 1,054,790
Prepayments and accrued income 27,476 145,465
Other debtors 2,500 250
_______ _______
1,207,648 1,210,775
_______ _______
15. Creditors: amounts falling due within one year
2024 2023
£ £
Bank loans and overdrafts 61,888 79,827
Trade creditors 72,414 55,559
Amounts owed to group undertakings 12,241 31,594
Accruals and deferred income 7,500 9,095
Corporation tax 111,418 -
Social security and other taxes 149,241 232,302
Obligations under finance leases 25,644 86,839
_______ _______
440,346 495,216
_______ _______
See note 16 for detail of security for the bank loans and overdrafts of £61,888 (2022 - £79,827)
16. Creditors: amounts falling due after more than one year
2024 2023
£ £
Bank loans and overdrafts 568,863 635,518
Obligations under finance leases 7,572 224,728
_______ _______
576,435 860,246
_______ _______
The bank loan is secured by a charge over the company's premises at Beech Gate, Peterbrough Road, Whittlesey.
Included within creditors: amounts falling due after more than one year is an amount of £ 452,669 (2023 £ 455,170 ) in respect of liabilities payable or repayable otherwise than by instalments which fall due for payment after more than five years from the reporting date.
The interest rate applicable to the loan is 2.4% above the Bank of England base rate. The loan is repayable on a 5 year basis with repayments calculated on a 10 year repayment basis.
17. Provisions
Deferred tax (note 18) Total
£ £
At 1 February 2023 127,487 127,487
Additions ( 89,453) ( 89,453)
Prior year adjustment 16,923 16,923
_______ _______
At 31 January 2024 54,957 54,957
_______ _______
18. Deferred tax
The deferred tax included in the statement of financial position is as follows:
2024 2023
£ £
Included in provisions (note 17) 54,957 127,487
_______ _______
The deferred tax account consists of the tax effect of timing differences in respect of:
2024 2023
£ £
Accelerated capital allowances 54,957 127,487
_______ _______
19. Employee benefits
The amount recognised in profit or loss in relation to defined contribution plans was £ 30,325 (2023: £ 40,364 ).
20. Financial instruments
The carrying amount for each category of financial instrument is as follows:
2024 2023
£ £
Financial assets measured at fair value through profit or loss
Investment properties 250,000 250,000
_______ _______
Financial assets that are debt instruments measured at amortised cost
Trade debtors 7,707 10,270
Other debtors 119,994 1,200,505
Cash at bank and in hand 214,021 57,548
_______ _______
341,722 1,268,323
_______ _______
Financial liabilities measured at amortised cost
Bank and other loans 663,968 1,019,794
Trade creditors 72,414 55,559
Other credtiors 19,741 40,689
_______ _______
756,123 1,116,042
_______ _______
21. Called up share capital
Issued, called up and fully paid
2024 2023
No £ No £
Ordinary shares shares of £ 1.00 each 49,125 49,125 49,125 49,125
_______ _______ _______ _______
22. Reserves
Share premium account:This reserve records the amount above the nominal value received for shares sold, less transaction costs.Capital redemption reserve:This reserve records the nominal value of shares repurchased by the company.Profit and loss account:This reserve records retained earnings, accumulated losses and the company purchase of own shares.
23. Analysis of changes in net debt
At 1 February 2023 Cash flows Other changes At 31 January 2024
£ £ £ £
Cash and cash equivalents 57,548 156,473 - 214,021
Debt due within one year (198,260) 286,672 (188,185) (99,773)
Debt due after one year (860,246) 95,626 188,185 (576,435)
_______ _______ _______ _______
( 1,000,958) 538,771 - ( 462,187)
_______ _______ _______ _______
24. Related party transactions
During the year the company entered into the following transactions with related parties:
Transaction value Balance owed by/(owed to)
2024 2023 2024 2023
£ £ £ £
JMC Packaging Limited 141,715 96,000 ( 12,240) ( 30,706)
Easiweigh Limited - - - -
Fieldpax Limited 227,040 834,669 304,712 735,997
Infia UK Limited 1,011,290 1,041,410 390,907 99,508
Verti-Pack Limited 1,006,204 1,006,948 474,346 206,706
_______ _______ _______ _______
JMC Packaging Limited is the ultimate parent undertaking.Fieldpax Limited, Infia UK Limited and Verti-Pack Limited are all subsidiaries of GSH Holdings Limited .In addition to the above transactions, GSH Holdings Limited also invoiced subsidiary companies for expenses incurred on their behalf, as follows: Fieldpax Limited - £319 (2023 - £497), Infia UK Limited - £19,320 (2023 - £79,199) and Verti-Pack Limited - £491 (2023 - £141,710).The company has accrued income from Infia UK Limited of £Nil (2023 - £72,069) and from Verti-Pack Limited of £Nil (2023 - £46,214) and these amounts were included within prepayments and accrued income. GSH Holdings Limited received dividends from subsidiary companies as follows: Infia UK Limited - £Nil (2023 - £85,662), and Verti-Pack Limited - £214,429 (2023 - £214,429). GSH Holdings Limited paid dividends in the year to 1 director of £Nil (2023: £115,260) and to the parent undertaking, JMC Packaging Limited, of £Nil (2023 - £405,390).At 31 January 2023 the directors owed the company £Nil (2023 - £Nil).