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REGISTERED NUMBER: 03850160 (England and Wales)












CLARKE GROUP CONSTRUCTION LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 NOVEMBER 2023






CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Statement of Income and Retained Earnings 8

Balance Sheet 9

Cash Flow Statement 11

Notes to the Cash Flow Statement 12

Notes to the Financial Statements 13


CLARKE GROUP CONSTRUCTION LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 30 NOVEMBER 2023







DIRECTORS: P R Clarke
S Clarke





SECRETARY: Mrs K Clarke





REGISTERED OFFICE: The Workshop
Slippery Gowt Lane
Wyberton
Boston
Lincolnshire
PE21 7AA





REGISTERED NUMBER: 03850160 (England and Wales)





AUDITORS: Dexter & Sharpe Audit Services Ltd
(Statutory Auditor)
Rollestone House
Bridge Street
Horncastle
Lincolnshire
LN9 5HZ

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 NOVEMBER 2023


The directors present their strategic report for the year ended 30 November 2023.

Clarke Group carries out contracts throughout the UK. These contracts are either under negotiation or competitive tender. Some contracts have third party design and consultants in place by the client and others are in-house design and build. There are two main sectors to the business, one sector working for the poultry industry and the other sector working for all aspects of general construction, new builds and renovation works for industrial, commercial, public sector and residential. The Company's head office is based in Boston and due to continued growth, the Company has recently opened an office in Lincoln.

REVIEW OF BUSINESS
The construction industry has faced an array of challenges, Brexit, COVID-19, and now most recently the spike in interest rates. With strategic actions focused on client engagement, supply chain management, subcontractor collaboration, and financial resilience, the company has been able to navigate these obstacles. By adapting to the evolving landscape and proactively addressing key issues, the company has ensured smooth operations and positioned itself for sustained growth.

The Company achieved £16,972,939 turnover for the year ended 30 November 2023, this has shown a decrease of £5,129,997 on 2022. With a net profit before tax of £2,106,013, this represents a 138% increase on the previous year. This has been Clarke Group's most successful trading year since forming in 1999.

We always strive to evolve and optimize operational capabilities, and so have secured the addition of new machinery, helping increase our production output whilst reducing labour intensity during the manufacturing process. Being able to distribute members of the workforce to other areas has enabled us to meet the requirements of our clients more effectively and allowed us to take on further substantial projects for 2024 and in to 2025.

PRINCIPAL RISKS AND UNCERTAINTIES
Clarke Group have an experienced team that can efficiently identify and manage risks which present themselves to the business.

A summary of identified risks to the Company and successful action taken are summarised below.

On occasion supply chains can be a little erratic. The Company continues to maintain the implemented monitoring procedures to ensure continuity of the supply chain throughout a live contract and future Contracts. The in-house procurement team ensure 'best prices' are obtained and good relationships with our supply chains preserved. Having maintained trade relationships with suppliers within the EU, the Company has also implemented relevant systems for customs and tax to comply with obligations of imported materials.

The industry is seeing many changes to regulatory requirements. With our experience and knowledge, the management team will continue to collaborate effectively with local authorities and professional bodies and ensure timely project approvals and successful project completion.

The industry is evolving rapidly, with a significant emphasis on sustainability and energy efficiency across all sectors, from residential, to commercial and agricultural. It is essential we work with the relevant associated parties to design and build a project that has the required equipment and materials to meet the desired needs of our client.

Securing a skilled and reliable workforce for live Contracts is essential. The Company continues to invest in staff training to develop and increase the in-house diverse workforce, which gives the Company increased control on live Contracts to minimize subcontract labour required.

The Health and Safety of our workforce is paramount. The Company ensures employee health and safety training is up-to-date and external Health and Safety Consultants are employed as our 'Competent Person' to monitor sites and our in-house procedures. The Company maintains its CHAS and Safecontractor accreditation and is now also working towards ISO 9001, 14001 and 45001.
The Company regularly updates its in-house policies and procedures to ensure it meets all legal requirements.

The construction industry is particularly sensitive to economic fluctuations. With current unpredictability, strategic timing of investments becomes crucial to ensure stability and growth. Focusing on diversification, risk management, innovation, and sustainable practices will help mitigate risks and leverage new opportunities, ensuring the company remains competitive and resilient in a fluctuating economic landscape.


CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 NOVEMBER 2023

DELIVERY OF CONTRACTS
The Company has a good longstanding workforce that are committed to the success of the company.

By focusing on the delivery of contracts with effective workforce management, and efficient in-house procedures, we can ensure high levels of customer satisfaction and sustained growth.

Incorporating feedback from employees, financial analysis, and customer surveys will drive continuous improvement and help us maintain a competitive edge in the construction industry.

ON BEHALF OF THE BOARD:





Mrs K Clarke - Secretary


22 August 2024

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 NOVEMBER 2023


The directors present their report with the financial statements of the company for the year ended 30 November 2023.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of general construction.

DIVIDENDS
Interim dividends per share were paid as follows:
£19,800 - 6 January 2023
£19,800 - 6 April 2023
£19,800 - 6 July 2023
£19,800 - 6 October 2023
£3,467 - 30 November 2023
£82,667

The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 30 November 2023 will be £ 82,667 .

DIRECTORS
The directors shown below have held office during the whole of the period from 1 December 2022 to the date of this report.

P R Clarke
S Clarke

DISCLOSURE IN THE STRATEGIC REPORT
Information regarding company performance, key performance indicators, risks facing the company and future developments is disclosed in the strategic report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 NOVEMBER 2023


AUDITORS
The auditors, Dexter & Sharpe Audit Services Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:



Mrs K Clarke - Secretary


22 August 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CLARKE GROUP CONSTRUCTION LIMITED


Opinion
We have audited the financial statements of Clarke Group Construction Limited (the 'company') for the year ended 30 November 2023 which comprise the Statement of Income and Retained Earnings, Balance Sheet, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 30 November 2023 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CLARKE GROUP CONSTRUCTION LIMITED


Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We have enquired of those charged with governance around actual and potential litigation and claims.
We have reviewed financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.
Enquired of staff engaged in the completion of VAT, tax and compliance work to identify any instances of non compliance with laws and regulations.
Audited the risk of management override of controls including review of journal entries and large or unusual transaction, evaluating the business rationale of any significant transactions outside the course of business.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.




Mrs Nicola Michelle Lenton FCCA (Senior Statutory Auditor)
for and on behalf of Dexter & Sharpe Audit Services Ltd
(Statutory Auditor)
Rollestone House
Bridge Street
Horncastle
Lincolnshire
LN9 5HZ

22 August 2024

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

STATEMENT OF INCOME AND
RETAINED EARNINGS
FOR THE YEAR ENDED 30 NOVEMBER 2023

2023 2022
Notes £    £   

TURNOVER 2 16,972,939 22,102,916

Cost of sales (13,917,263 ) (20,406,241 )
GROSS PROFIT 3,055,676 1,696,675

Administrative expenses (949,553 ) (819,541 )
2,106,123 877,134

Other operating income 25,391 26,177
OPERATING PROFIT 4 2,131,514 903,311

Interest receivable and similar income 5,998 354
2,137,512 903,665

Interest payable and similar expenses 5 (31,499 ) (21,941 )
PROFIT BEFORE TAXATION 2,106,013 881,724

Tax on profit 6 (410,519 ) (94,852 )
PROFIT FOR THE FINANCIAL YEAR 1,695,494 786,872

Retained earnings at beginning of year 2,219,626 1,531,754

Dividends 7 (82,667 ) (99,000 )

RETAINED EARNINGS AT END OF YEAR 3,832,453 2,219,626

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

BALANCE SHEET
30 NOVEMBER 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 8 505,934 481,142

CURRENT ASSETS
Stocks 9 1,436,426 828,991
Debtors 10 3,700,148 4,316,766
Cash at bank and in hand 644,368 1,026,309
5,780,942 6,172,066
CREDITORS
Amounts falling due within one year 11 2,128,680 3,985,537
NET CURRENT ASSETS 3,652,262 2,186,529
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,158,196

2,667,671

CREDITORS
Amounts falling due after more than one year 12 (205,834 ) (341,788 )

PROVISIONS FOR LIABILITIES 16 (118,909 ) (105,257 )
NET ASSETS 3,833,453 2,220,626

CAPITAL AND RESERVES
Called up share capital 17 666 666
Capital redemption reserve 18 334 334
Retained earnings 18 3,832,453 2,219,626
SHAREHOLDERS' FUNDS 3,833,453 2,220,626

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

BALANCE SHEET - continued
30 NOVEMBER 2023


The financial statements were approved by the Board of Directors and authorised for issue on 22 August 2024 and were signed on its behalf by:




P R Clarke - Director



S Clarke - Director


CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 NOVEMBER 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 404,298 (24,564 )
Interest paid (30,686 ) (19,608 )
Interest element of hire purchase payments paid (813 ) (2,333 )
Tax paid (111,974 ) 27,241
Net cash from operating activities 260,825 (19,264 )

Cash flows from investing activities
Purchase of tangible fixed assets (171,551 ) (174,585 )
Sale of tangible fixed assets 16,624 52,967
Interest received 5,998 354
Net cash from investing activities (148,929 ) (121,264 )

Cash flows from financing activities
Loan repayments in year (130,000 ) (130,000 )
Capital repayments in year (11,170 ) (36,317 )
Amount withdrawn by directors - (14,283 )
Intercompany loan repayments - 85,000
Intercompany loan advances (270,000 ) (11,047 )
Equity dividends paid (82,667 ) (79,200 )
Net cash from financing activities (493,837 ) (185,847 )

Decrease in cash and cash equivalents (381,941 ) (326,375 )
Cash and cash equivalents at beginning of year 2 1,026,309 1,352,684

Cash and cash equivalents at end of year 2 644,368 1,026,309

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 NOVEMBER 2023


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
2023 2022
£    £   
Profit before taxation 2,106,013 881,724
Depreciation charges 133,126 110,643
Profit on disposal of fixed assets (2,990 ) (24,601 )
Finance costs 31,499 21,941
Finance income (5,998 ) (354 )
2,261,650 989,353
(Increase)/decrease in stocks (607,435 ) 1,001,349
Decrease/(increase) in trade and other debtors 886,618 (1,455,163 )
Decrease in trade and other creditors (2,136,535 ) (560,103 )
Cash generated from operations 404,298 (24,564 )

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 30 November 2023
30.11.23 1.12.22
£    £   
Cash and cash equivalents 644,368 1,026,309
Year ended 30 November 2022
30.11.22 1.12.21
£    £   
Cash and cash equivalents 1,026,309 1,352,684


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.12.22 Cash flow At 30.11.23
£    £    £   
Net cash
Cash at bank and in hand 1,026,309 (381,941 ) 644,368
1,026,309 (381,941 ) 644,368
Debt
Finance leases (17,125 ) 11,170 (5,955 )
Debts falling due within 1 year (130,000 ) - (130,000 )
Debts falling due after 1 year (335,833 ) 129,999 (205,834 )
(482,958 ) 141,169 (341,789 )
Total 543,351 (240,772 ) 302,579

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2023


1. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover
Turnover comprises the value of contracting work executed during the year plus the invoiced value of other sales. The value of contracting work is based on measured valuations , incorporating profit earned to the valuation date and adjusted for any anticipated losses. Other sales are invoiced upon performance of the services provided.

The amount by which recorded turnover on uncompleted contracts is in excess of payments on account is classified as amounts recoverable on contracts and separately disclosed in work in progress.

The amount by which payments on account on uncompleted contracts is in excess of recorded turnover is classified as contract payments on account and disclosed in creditors.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Freehold property - 10% on cost
Plant and machinery - 20% on reducing balance
Fixtures and fittings - 20% on reducing balance
Motor vehicles - 25% on reducing balance

Stocks and work in progress
Work in progress and sites awaiting development and development properties are stated at the lower of cost and net realisable value. Cost comprises costs of land and costs of development. Net realisable value incorporates expected costs to completion and disposal. Provision is made against all categories of work in progress where it is anticipated that cost will not be fully recovered against future disposals.

Raw materials and consumables are stated at the lower of cost and net realisable value.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Research and development
Expenditure on research and development is written off in the year in which it is incurred.


CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


1. ACCOUNTING POLICIES - continued

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

2. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business for the year ended 30 November 2022 is given below:

£   
Construction contracts 22,088,087
Other sales 14,829
22,102,916

This analysis is not considered to be applicable to the year ended 30 November 2023.

3. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 1,009,185 1,010,901
Social security costs 97,647 103,047
Other pension costs 44,466 45,928
1,151,298 1,159,876

The average number of employees during the year was as follows:
2023 2022

Administration 6 5
Construction 23 27
Directors 2 2
31 34

2023 2022
£    £   
Directors' remuneration 17,264 17,264
Directors' pension contributions to money purchase schemes 24,000 24,000

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


4. OPERATING PROFIT

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

2023 2022
£    £   
Depreciation - owned assets 129,888 98,963
Depreciation - assets on hire purchase contracts 3,237 11,681
Profit on disposal of fixed assets (2,990 ) (24,601 )
Auditors' remuneration 6,500 6,500

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Bank interest 328 137
Bank loan interest 30,358 19,471
Hire purchase 813 2,333
31,499 21,941

6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£    £   
Current tax:
UK corporation tax 396,867 61,974

Deferred tax 13,652 32,878
Tax on profit 410,519 94,852

7. DIVIDENDS
2023 2022
£    £   
Ordinary shares of 1 each
Final - 19,800
Interim 82,667 79,200
82,667 99,000

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


8. TANGIBLE FIXED ASSETS
Fixtures
Freehold Plant and and Motor
property machinery fittings vehicles Totals
£    £    £    £    £   
COST
At 1 December 2022 64,385 713,191 79,577 367,568 1,224,721
Additions 9,903 70,184 13,352 78,112 171,551
Disposals - (867 ) (7,834 ) (58,008 ) (66,709 )
At 30 November 2023 74,288 782,508 85,095 387,672 1,329,563
DEPRECIATION
At 1 December 2022 52,900 446,505 56,067 188,107 743,579
Charge for year 4,457 65,565 6,292 56,811 133,125
Eliminated on disposal - (636 ) (5,725 ) (46,714 ) (53,075 )
At 30 November 2023 57,357 511,434 56,634 198,204 823,629
NET BOOK VALUE
At 30 November 2023 16,931 271,074 28,461 189,468 505,934
At 30 November 2022 11,485 266,686 23,510 179,461 481,142

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Plant and Motor
machinery vehicles Totals
£    £    £   
COST
At 1 December 2022 11,250 56,134 67,384
Transfer to ownership (11,250 ) (38,500 ) (49,750 )
At 30 November 2023 - 17,634 17,634
DEPRECIATION
At 1 December 2022 5,250 25,588 30,838
Charge for year - 3,237 3,237
Transfer to ownership (5,250 ) (20,904 ) (26,154 )
At 30 November 2023 - 7,921 7,921
NET BOOK VALUE
At 30 November 2023 - 9,713 9,713
At 30 November 2022 6,000 30,546 36,546

9. STOCKS
2023 2022
£    £   
Stocks 1,436,426 828,991

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


10. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 1,356,655 2,467,721
Amounts owed by group undertakings 914,962 644,962
Other debtors 1,387,868 1,158,890
Prepayments and accrued income 40,663 45,193
3,700,148 4,316,766

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Other loans (see note 13) 130,000 130,000
Hire purchase contracts (see note 14) 5,955 11,170
Trade creditors 1,182,526 1,378,394
Corporation Tax 346,867 61,974
Social security and other taxes 35,023 49,284
VAT 208,350 621,921
Proposed dividends 19,800 19,800
Other creditors 3,836 4,259
Accruals and deferred income 196,323 1,708,735
2,128,680 3,985,537

12. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2023 2022
£    £   
Other loans (see note 13) 205,834 335,833
Hire purchase contracts (see note 14) - 5,955
205,834 341,788

13. LOANS

An analysis of the maturity of loans is given below:

2023 2022
£    £   
Amounts falling due within one year or on demand:
Other loans 130,000 130,000

Amounts falling due between one and two years:
Other loans - 1-2 years 130,000 130,000

Amounts falling due between two and five years:
Other loans - 2-5 years 75,834 205,833

Bank loans are repayable by monthly instalments with the final repayment due in 2026, interest is charged at 2.62% p.a. over the Bank of England Base Rate.

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


14. LEASING AGREEMENTS

Minimum lease payments under hire purchase fall due as follows:

2023 2022
£    £   
Net obligations repayable:
Within one year 5,955 11,170
Between one and five years - 5,955
5,955 17,125

15. SECURED DEBTS

The following secured debts are included within creditors:

2023 2022
£    £   
Other loans 335,834 465,833
Hire purchase contracts 5,955 17,125
341,789 482,958

The bank loan is secured by a charge over the company's assets.

Hire purchase amounts are secured on the assets to which they relate.

16. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax 118,909 105,257

Deferred
tax
£   
Balance at 1 December 2022 105,257
Accelerated capital allowances 13,652
Rate movement
Balance at 30 November 2023 118,909

17. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
666 Ordinary 1 666 666

The shares are ordinary shares, carrying equal rights to vote and to receive dividends

CLARKE GROUP CONSTRUCTION LIMITED (REGISTERED NUMBER: 03850160)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 NOVEMBER 2023


18. RESERVES
Capital
Retained redemption
earnings reserve Totals
£    £    £   

At 1 December 2022 2,219,626 334 2,219,960
Profit for the year 1,695,494 1,695,494
Dividends (82,667 ) (82,667 )
At 30 November 2023 3,832,453 334 3,832,787

19. 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 wholly owned subsidiaries within the group.

S & P Clarke Limited
A company under the control of the directors:

During the year the company paid rents to S & P Clarke Limited totalling £7,000 (2022 - £7,000), the company made net sales totalling £962 (2022 - £1,738). At the balance sheet date an amount of £550 (2022 - £2,085) was due from S & P Clarke Limited this amount is included in trade debtors.

During the year the company advanced amounts totalling £573,540 (2022 - £433,700), at the balance sheet date an amount of £1,167,740 (2022 - £594,200) was due from S & P Clarke Limited this amount is included in other debtors.

S & P Clarke
A Partnership operated by the directors:

During the year the company paid rents to S & P Clarke partnership totalling £45,400 (2022 - £45,400). At the balance sheet date no amounts were outstanding to or from S & P Clarke partnership.


Mr S Clarke
A director of the company:

During the year the company made net sales to Mr S Clarke and his wife totalling £264,179 (2022 - £143,135). at the balance sheet date an amount of £319,123 (2022 - £143,135) was outstanding and included in trade debtors.

20. ULTIMATE CONTROLLING PARTY

The controlling party is S & P Clarke Holdings Limited, a company incorporated and registered in England and Wales. The registered office and principal place of business is:

The Workshop
Slippery Gowt Lane
Wyberton
Boston
Lincolnshire
PE21 7AA