REGISTERED NUMBER: 10710020 (England and Wales) |
Hird Group Holdings Limited |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31st March 2024 |
REGISTERED NUMBER: 10710020 (England and Wales) |
Hird Group Holdings Limited |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements for the Year Ended 31st March 2024 |
Hird Group Holdings Limited (Registered number: 10710020) |
Contents of the Consolidated Financial Statements |
for the year ended 31st March 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 4 |
Consolidated Statement of Comprehensive Income | 7 |
Consolidated Balance Sheet | 8 |
Company Balance Sheet | 9 |
Consolidated Statement of Changes in Equity | 10 |
Company Statement of Changes in Equity | 11 |
Consolidated Cash Flow Statement | 12 |
Notes to the Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Financial Statements | 14 |
Hird Group Holdings Limited |
Company Information |
for the year ended 31st March 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditor |
Regent's Court |
Princess Street |
Hull |
East Yorkshire |
HU2 8BA |
Hird Group Holdings Limited (Registered number: 10710020) |
Group Strategic Report |
for the year ended 31st March 2024 |
The directors present their strategic report of the company and the group for the year ended 31st March 2024. |
REVIEW OF BUSINESS |
The company's principal activities remain the hire of niche lifting equipment, access platforms, mini cranes and glass handling equipment, along with the provision of machinery movement, installations, relocations and contract lifting services and associated training services. |
Principal Risks and Uncertainties |
The principal risks and uncertainties during the year were the ongoing conflict in Ukraine and now Israel, culminating in rising costs & inflation across the board. Lead times on products and parts remains lengthy, delaying new investments in products from around the globe. |
Early 2024 did not develop as well as previous years due to a lack of confidence in the markets, thus the construction industry output slipped significantly affecting all areas of the business. This was further compounded with a proposed early election to adversely affect confidence in the markets in which we operate. |
With various events around the world taking centre stage for funding, most if not all global business will have been impacted in some form, however the company traded very well and exceeded expectations for the year, but is predicted to slow in the forthcoming year with the directors of the business already preparing for a change in trading. |
Key Performance Indicators |
The company operates a robust KPI on a weekly and monthly basis. These include turnover and costs, profitability, utilisation and cashflow for individual assets. The systems we operate offer weekly indicators allowing the company to respond to challenges in a timely manner and effective way. |
Future Development and Performance |
The company expects growth to slow in reaction to the markets and proposed new government's in both the UK and Europe through 2024. The business has prepared well for any eventuality in 2024 and remains strong across all areas of the business. |
The Director's aim is for a robust and diligent trading throughout 2024/25 with investments continuing and costs being monitored. Asset growth is expected to allow the business to be at the forefront of the latest technologies available to our industry. |
ON BEHALF OF THE BOARD: |
Hird Group Holdings Limited (Registered number: 10710020) |
Report of the Directors |
for the year ended 31st March 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 31st March 2024. |
DIVIDENDS |
The total distribution of dividends for the period ended 31st March 2024 will be £352,909 (2023: £222,999). |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st April 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Smailes Goldie, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Hird Group Holdings Limited |
Opinion |
We have audited the financial statements of Hird Group Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31st March 2024 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31st March 2024 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Hird Group Holdings Limited |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, tax legislation, data protection, anti-bribery, employment, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory correspondence. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
Report of the Independent Auditors to the Members of |
Hird Group Holdings Limited |
To address the risk of fraud through management bias and override of controls, we: |
- | performed analytical procedures to identify any unusual or unexpected relationships; |
- | tested journal entries to identify unusual transactions; |
- | assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and |
- | investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- | agreeing financial statement disclosures to underlying supporting documentation; and |
- | enquiring of management as to actual and potential litigation and claims |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Statutory Auditor |
Regent's Court |
Princess Street |
Hull |
East Yorkshire |
HU2 8BA |
Hird Group Holdings Limited (Registered number: 10710020) |
Consolidated Statement of Comprehensive Income |
for the year ended 31st March 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 3 | 19,498,105 | 19,316,560 |
Cost of sales | 9,476,278 | 9,779,491 |
GROSS PROFIT | 10,021,827 | 9,537,069 |
Administrative expenses | 7,200,876 | 6,767,873 |
OPERATING PROFIT | 5 | 2,820,951 | 2,769,196 |
Interest payable and similar expenses | 6 | 239,871 | 229,426 |
PROFIT BEFORE TAXATION | 2,581,080 | 2,539,770 |
Tax on profit | 7 | 660,931 | 497,788 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME |
Purchase of own shares | - | (200,897 | ) |
Income tax relating to other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
(200,897 |
) |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
1,920,149 |
1,841,085 |
Profit attributable to: |
Owners of the parent | 1,920,149 | 2,041,982 |
Total comprehensive income attributable to: |
Owners of the parent | 1,920,149 | 1,841,085 |
Hird Group Holdings Limited (Registered number: 10710020) |
Consolidated Balance Sheet |
31st March 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 | - | - |
Tangible assets | 11 | 17,016,189 | 15,877,059 |
Investments | 12 | - | - |
17,016,189 | 15,877,059 |
CURRENT ASSETS |
Stocks | 13 | 877,624 | 350,367 |
Debtors | 14 | 4,151,870 | 3,820,988 |
Cash at bank and in hand | 778,579 | 820,988 |
5,808,073 | 4,992,343 |
CREDITORS |
Amounts falling due within one year | 15 | 4,760,327 | 4,517,843 |
NET CURRENT ASSETS | 1,047,746 | 474,500 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
18,063,935 |
16,351,559 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(3,842,167 |
) |
(4,000,225 |
) |
PROVISIONS FOR LIABILITIES | 19 | (2,381,912 | ) | (2,078,718 | ) |
NET ASSETS | 11,839,856 | 10,272,616 |
CAPITAL AND RESERVES |
Called up share capital | 20 | 97,897 | 97,897 |
Merger relief reserve | 21 | 4,538,297 | 4,538,297 |
Retained earnings | 21 | 7,203,662 | 5,636,422 |
SHAREHOLDERS' FUNDS | 11,839,856 | 10,272,616 |
The financial statements were approved by the Board of Directors and authorised for issue on 7th August 2024 and were signed on its behalf by: |
P R Hird - Director |
Hird Group Holdings Limited (Registered number: 10710020) |
Company Balance Sheet |
31st March 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
CURRENT ASSETS |
Debtors | 14 |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Merger relief reserve | 21 |
Retained earnings | 21 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 352,896 | 425,985 |
The financial statements were approved by the Board of Directors and authorised for issue on |
Hird Group Holdings Limited (Registered number: 10710020) |
Consolidated Statement of Changes in Equity |
for the year ended 31st March 2024 |
Called up | Merger |
share | Retained | relief | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1st April 2022 | 100,000 | 4,018,336 | 4,538,297 | 8,656,633 |
Changes in equity |
Reduction in share capital | (2,103 | ) | - | - | (2,103 | ) |
Dividends | - | (222,999 | ) | - | (222,999 | ) |
Total comprehensive income | - | 1,841,085 | - | 1,841,085 |
Balance at 31st March 2023 | 97,897 | 5,636,422 | 4,538,297 | 10,272,616 |
Changes in equity |
Dividends | - | (352,909 | ) | - | (352,909 | ) |
Total comprehensive income | - | 1,920,149 | - | 1,920,149 |
Balance at 31st March 2024 | 97,897 | 7,203,662 | 4,538,297 | 11,839,856 |
Hird Group Holdings Limited (Registered number: 10710020) |
Company Statement of Changes in Equity |
for the year ended 31st March 2024 |
Called up | Merger |
share | Retained | relief | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1st April 2022 |
Changes in equity |
Reduction in share capital | (2,103 | ) | - | - | (2,103 | ) |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - | - |
Balance at 31st March 2023 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - | - |
Balance at 31st March 2024 |
Hird Group Holdings Limited (Registered number: 10710020) |
Consolidated Cash Flow Statement |
for the year ended 31st March 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 4,247,273 | 4,030,731 |
Interest paid | (17,527 | ) | (17,673 | ) |
Interest element of hire purchase payments paid |
(222,344 |
) |
(211,753 |
) |
Tax paid | (367,728 | ) | (300,374 | ) |
Net cash from operating activities | 3,639,674 | 3,500,931 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (3,363,964 | ) | (2,737,527 | ) |
Sale of tangible fixed assets | 216,208 | 399,588 |
Net cash from investing activities | (3,147,756 | ) | (2,337,939 | ) |
Cash flows from financing activities |
Net capital advances in year | (181,418 | ) | (181,514 | ) |
Share issue | - | 2,103 |
Share buyback | - | (200,897 | ) |
Equity dividends paid | (352,909 | ) | (222,999 | ) |
Net cash from financing activities | (534,327 | ) | (603,307 | ) |
(Decrease)/increase in cash and cash equivalents | (42,409 | ) | 559,685 |
Cash and cash equivalents at beginning of year |
2 |
820,988 |
261,303 |
Cash and cash equivalents at end of year |
2 |
778,579 |
820,988 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Cash Flow Statement |
for the year ended 31st March 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit before taxation | 2,581,080 | 2,539,770 |
Depreciation charges | 1,994,637 | 1,911,995 |
Loss on disposal of fixed assets | 13,989 | 62,554 |
Finance costs | 239,871 | 229,426 |
4,829,577 | 4,743,745 |
Increase in stocks | (527,257 | ) | (276,613 | ) |
Increase in trade and other debtors | (330,883 | ) | (44,450 | ) |
Increase/(decrease) in trade and other creditors | 275,836 | (391,951 | ) |
Cash generated from operations | 4,247,273 | 4,030,731 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31st March 2024 |
31.3.24 | 1.4.23 |
£ | £ |
Cash and cash equivalents | 778,579 | 820,988 |
Year ended 31st March 2023 |
31.3.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 820,988 | 261,303 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.4.23 | Cash flow | At 31.3.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 820,988 | (42,409 | ) | 778,579 |
820,988 | (42,409 | ) | 778,579 |
Debt |
Finance leases | (6,152,661 | ) | 181,418 | (5,971,243 | ) |
(6,152,661 | ) | 181,418 | (5,971,243 | ) |
Total | (5,331,673 | ) | 139,009 | (5,192,664 | ) |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements |
for the year ended 31st March 2024 |
1. | STATUTORY INFORMATION |
Hird Group Holdings Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standards 102 "The Financial Reporting Standard Applicable in the UK and Republic of Ireland" (FRS 102) and the Companies Act 2006. The financial statements have been prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. |
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. |
Basis of consolidation |
The consolidated financial statements include the financial statements of the company and its subsidiary undertakings made up to 31st March 2022. The acquisition method of accounting has been adopted. Under this method the results of subsidiary undertakings acquired or disposed of in the year are included in the consolidated profit and loss account from the date of acquisition or up to the date of disposal. |
Turnover |
Sale of goods |
Turnover from the sale of plant and related goods is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on the dispatch of the goods. |
Rendering of services |
When the outcome of a transaction can be estimated reliably, turnover from plant hire and training is recognised by reference to the stage of completion at the balance sheet date. Stage of completion is measured by reference to hire periods or when the training courses take place. |
Goodwill |
Goodwill, being the amount paid in connection with the share for share exchange of the group companies in 2017 has been amortised in full. |
Goodwill on consolidation represents the difference between the share value of the investments and the fair value of the net assets acquired. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
The rates generally applicable are:- |
Long leasehold | 2% on cost |
Improvement to property | 15% on reducing balance |
Plant and machinery | 10 to 15% on reducing balance |
Fixtures and fittings | 15% on reducing balance |
Motor vehicles | 25% on reducing balance |
Stocks |
Stocks are stated 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 stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, 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. |
Foreign currencies |
Foreign currency transactions are initially recognised by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction. |
Monetary assets and liabilities denominated in a foreign currency at the balance sheet date are translated using the closing rate. |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
2. | ACCOUNTING POLICIES - continued |
Hire purchase and leasing commitments |
Assets acquired under finance leases are capitalised and depreciated over the shorter of the lease term and the expected useful life of the asset. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability using the effective interest method. The related obligations, net of future finance charges, are included in creditors. |
Rentals payable and receivable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease. |
Employee benefits |
When employees have rendered service to the company, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The company operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable. |
Debtors and creditors receivable / payable within one year |
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
2024 | 2023 |
£ | £ |
Goods | 2,155,941 | 2,667,833 |
Services | 17,342,164 | 16,648,727 |
19,498,105 | 19,316,560 |
4. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 5,616,156 | 5,075,120 |
Social security costs | 516,542 | 523,401 |
Other pension costs | 266,465 | 262,916 |
6,399,163 | 5,861,437 |
The average number of employees during the year was as follows: |
2024 | 2023 |
Directors | 6 | 4 |
Admin | 12 | 12 |
Labour | 91 | 85 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
4. | EMPLOYEES AND DIRECTORS - continued |
2024 | 2023 |
£ | £ |
Directors' remuneration | 410,158 | 327,428 |
Directors' pension contributions to money purchase schemes | 154,142 | 127,986 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 5 | 5 |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc | 108,716 | 102,650 |
Pension contributions to money purchase schemes | 1,347 | 1,347 |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
2024 | 2023 |
£ | £ |
Depreciation - owned assets | 884,219 | 782,664 |
Depreciation - assets on hire purchase contracts | 1,110,419 | 1,129,331 |
(Profit)/loss on disposal of fixed assets | 13,989 | 62,554 |
Auditors' remuneration | 22,452 | 19,739 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank interest | 1,908 | 2,701 |
Bank loan interest | 15,619 | 14,972 |
Hire purchase | 222,344 | 211,753 |
239,871 | 229,426 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | 357,737 | 387,245 |
Deferred tax | 303,194 | 110,543 |
Tax on profit | 660,931 | 497,788 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
7. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2024 | 2023 |
£ | £ |
Profit before tax | 2,581,080 | 2,539,770 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19 %) |
645,270 |
482,556 |
Effects of: |
Expenses not deductible for tax purposes | 18,705 | 10,200 |
Depreciation on non qualifying assets | 4,433 | 3,377 |
Change in tax rate | - | 25,429 |
Other adjustments | (7,477 | ) | (23,774 | ) |
Total tax charge | 660,931 | 497,788 |
Tax effects relating to effects of other comprehensive income |
There were no tax effects for the year ended 31st March 2024. |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Purchase of own shares | (200,897 | ) | - | (200,897 | ) |
8. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
9. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary shares of £1 each |
Interim | 352,909 | 222,999 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
10. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1st April 2023 |
and 31st March 2024 | (96,584 | ) |
AMORTISATION |
At 1st April 2023 |
and 31st March 2024 | (96,584 | ) |
NET BOOK VALUE |
At 31st March 2024 | - |
At 31st March 2023 | - |
11. | TANGIBLE FIXED ASSETS |
Group |
Long | Plant and | Motor |
leasehold | machinery | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 1st April 2023 | 864,955 | 24,256,305 | 505,298 | 25,626,558 |
Additions | - | 3,074,363 | 289,601 | 3,363,964 |
Disposals | - | (692,599 | ) | (48,750 | ) | (741,349 | ) |
At 31st March 2024 | 864,955 | 26,638,069 | 746,149 | 28,249,173 |
DEPRECIATION |
At 1st April 2023 | 93,405 | 9,438,813 | 217,281 | 9,749,499 |
Charge for year | 17,731 | 1,860,678 | 116,228 | 1,994,637 |
Eliminated on disposal | - | (473,708 | ) | (37,444 | ) | (511,152 | ) |
At 31st March 2024 | 111,136 | 10,825,783 | 296,065 | 11,232,984 |
NET BOOK VALUE |
At 31st March 2024 | 753,819 | 15,812,286 | 450,084 | 17,016,189 |
At 31st March 2023 | 771,550 | 14,817,492 | 288,017 | 15,877,059 |
The net book value of assets includes £9,002,224 (2023: £8,596,866) in respect of assets held under hire purchase contracts. |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
12. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakin |
£ |
COST |
At 1st April 2023 |
Impairments | ( |
) |
At 31st March 2024 |
NET BOOK VALUE |
At 31st March 2024 |
At 31st March 2023 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Same as office on page 1 of these financial statements. |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Same as office on page 1 of these financial statements. |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Same as office on page 1 of these financial statements. |
Nature of business: |
% |
Class of shares: | holding |
13. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 877,624 | 350,367 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 2,921,802 | 2,955,912 |
Amounts owed by group undertakings | - | - |
Other debtors | 1,134,732 | 797,523 |
Prepayments | 95,336 | 67,553 |
4,151,870 | 3,820,988 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Hire purchase contracts (see note 17) | 2,129,076 | 2,152,436 |
Trade creditors | 1,575,538 | 1,209,215 |
Amounts owed to group undertakings | - | - |
Tax | 176,891 | 186,882 |
Social security and other taxes | 177,376 | 135,909 |
VAT | 319,245 | 602,460 | - | - |
Other creditors | 163,103 | 80,417 |
Directors' current accounts | 141,127 | 81,951 | 141,127 | 81,951 |
Accruals and deferred income | 77,971 | 68,573 |
4,760,327 | 4,517,843 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2024 | 2023 |
£ | £ |
Hire purchase contracts (see note 17) | 3,842,167 | 4,000,225 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase | contracts |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year | 2,129,076 | 2,152,436 |
Between one and five years | 3,842,167 | 4,000,225 |
5,971,243 | 6,152,661 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
17. | LEASING AGREEMENTS - continued |
Group |
Non-cancellable | operating leases |
2024 | 2023 |
£ | £ |
Within one year | 281,033 | 282,838 |
Between one and five years | 742,007 | 280,541 |
In more than five years | 427,176 | - |
1,450,216 | 563,379 |
18. | SECURED DEBTS |
The invoice discounting facility is secured by way of a legal charge, a debenture and guarantee of £550,000 over the land, reserves and plant and machinery owned by the company. |
19. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2023 |
£ | £ |
Deferred tax |
Deferred tax | 2,382,956 | 2,074,128 |
Short term timing differences | (1,044 | ) | 4,590 |
2,381,912 | 2,078,718 |
Group |
Deferred |
tax |
£ |
Balance at 1st April 2023 | 2,078,718 |
Utilised during year | 303,194 |
Balance at 31st March 2024 | 2,381,912 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 97,897 | 97,897 |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
21. | RESERVES |
Group |
Merger |
Retained | relief |
earnings | reserve | Totals |
£ | £ | £ |
At 1st April 2023 | 5,636,422 | 4,538,297 | 10,174,719 |
Profit for the year | 1,920,149 | 1,920,149 |
Dividends | (352,909 | ) | (352,909 | ) |
At 31st March 2024 | 7,203,662 | 4,538,297 | 11,741,959 |
Company |
Merger |
Retained | relief |
earnings | reserve | Totals |
£ | £ | £ |
At 1st April 2023 | 4,540,386 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 31st March 2024 | 4,540,373 |
Merger relief reserve |
The merger relief reserve represents the value of merger relief arising on the share for share exchange. |
Retained earnings |
Retained earnings represents cumulative profits and losses net of dividends and other adjustments. |
22. | PENSION COMMITMENTS |
The group makes payments to defined contribution schemes for it's directors and certain employees. The charge for the period amounted to £266,466 (2023 £262,916). At 31st March 2024 outstanding contributions amounted to £4,275 (2023: £1,719). |
23. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with members of the group. |
Entities with control, or significant influence over the entity. |
During the period the company incurred costs of £74,520 (2023 £72,960) from Peter Hird and Sons Limited, an associated company. The amount due at 31st March 2024 was £697,327 (2023 £694,382). |
During the year, a total of key management personnel compensation of £ 620,033 (2023 - £ 599,756 ) was paid. |
Hird Group Holdings Limited (Registered number: 10710020) |
Notes to the Consolidated Financial Statements - continued |
for the year ended 31st March 2024 |
24. | ULTIMATE CONTROLLING PARTY |
The company was controlled by P R Hird by virtue of his majority shareholding. |