REGISTERED NUMBER: SC346785 (Scotland) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements For The Year Ended 30 November 2023 |
for |
GAM Stuart Limited |
REGISTERED NUMBER: SC346785 (Scotland) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements For The Year Ended 30 November 2023 |
for |
GAM Stuart Limited |
GAM Stuart Limited (Registered number: SC346785) |
Contents of the Consolidated Financial Statements |
For The Year Ended 30 November 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Consolidated Statement of Comprehensive Income | 9 |
Consolidated Statement of Financial Position | 10 |
Company Statement of Financial Position | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Statement of Cash Flows | 14 |
Notes to the Consolidated Statement of Cash Flows | 15 |
Notes to the Consolidated Financial Statements | 16 |
GAM Stuart Limited |
Company Information |
For The Year Ended 30 November 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
INDEPENDENT AUDITORS: |
Chartered Accountants & Statutory Auditors |
Regent Court |
70 West Regent Street |
Glasgow |
G2 2QZ |
GAM Stuart Limited (Registered number: SC346785) |
Group Strategic Report |
For The Year Ended 30 November 2023 |
The directors present their strategic report of the company and the group for the year ended 30 November 2023. |
REVIEW OF BUSINESS |
Turnover increased 11.8% in the year continuing the consistent growth of the company over the past several years. Gross margin has been consistent at 34% in the year showing continued operating efficiency during the year. |
Overheads increased in the year which was expected given the increase in trade during the year. It is the director's strategy to expand upon the continued growth of the company and seek to further expand the business through additional business acquisitions. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The company's operations expose it to a variety of financial risks that include the effects of changes in credit risk, liquidity risk and interest rate risk. The company takes measures to limit the adverse effects of these risk on the financial performance by monitoring debt levels and associated finance costs |
CREDIT RISK |
Credit limits are set by the directors for customers based upon the customers payment history in combination with credit references. These limits are reviewed regularly in combination with debt ageing and collection history. |
LIQUIDITY RISK |
The company mitigates liquidity risks through regular review of cash levels to ensure sufficient cash to meet it's operational needs. |
INTEREST RATE RISK |
As is commonplace in the sector the company operates, the company uses an element of external third-party debt to part-finance its business. Naturally the company is required to pay interest on its debt. The annual cost of interest charges is kept under close review by the board in order to ensure that the interest charge is not overly burdensome on the company's cash flow. |
PRICE RISK |
None of the company's financial instruments are subject to any market movements affecting price risk and so exposure to price risk is not material. |
ON BEHALF OF THE BOARD: |
GAM Stuart Limited (Registered number: SC346785) |
Report of the Directors |
For The Year Ended 30 November 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 30 November 2023. |
DIVIDENDS |
No interim dividends were paid during the year ended 30 November 2023. |
The directors recommend final dividends per share as follows: |
Ordinary Shares £0.01 shares | £29 |
Ordinary A Shares £0.01 shares | £7,500 |
The total distribution of dividends for the year ended 30 November 2023 will be £ 365,000 . |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 December 2022 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. |
GAM Stuart Limited (Registered number: SC346785) |
Report of the Directors |
For The Year Ended 30 November 2023 |
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. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
GAM Stuart Limited |
Opinion |
We have audited the financial statements of GAM Stuart Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 November 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, 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 30 November 2023 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 |
GAM Stuart 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. |
Report of the Independent Auditors to the Members of |
GAM Stuart Limited |
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 as follows: |
- The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities |
and skills to identify or recognise non-compliance with applicable laws and regulations; |
- We identified the laws and regulations applicable to the company through discussions with directors and other |
management, and from our wider knowledge and experience; |
- We 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 or group, including the Companies Act 2006 and FRS 102 |
- We assessed the extent of compliance with the laws and regulations identified above through making enquiries of |
management and inspecting legal correspondence; and |
- Identified laws and regulations were communicated within the audit team regularly and the team remained alert to |
instances of non-compliance throughout the audit. |
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 as to where they considered there was susceptibility to fraud, their knowledge of |
actual, suspected and alleged fraud; and |
- Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations |
Audit response to risks identified |
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 set out 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; |
- Reading the minutes of meetings of those charged with governance; |
- Enquiring of management as to actual and potential litigation and claims; and |
- Requesting correspondence with HMRC, Companies House and the company's and group's legal advisors. |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
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. |
Report of the Independent Auditors to the Members of |
GAM Stuart Limited |
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 and group'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/group and the company's/group'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 Auditors |
Regent Court |
70 West Regent Street |
Glasgow |
G2 2QZ |
GAM Stuart Limited (Registered number: SC346785) |
Consolidated |
Statement of Comprehensive |
Income |
For The Year Ended 30 November 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 13,786,768 | 12,327,103 |
Cost of sales | 9,079,739 | 8,157,606 |
GROSS PROFIT | 4,707,029 | 4,169,497 |
Administrative expenses | 3,934,400 | 3,326,844 |
OPERATING PROFIT | 4 | 772,629 | 842,653 |
Interest payable and similar expenses | 5 | 379,614 | 204,582 |
PROFIT BEFORE TAXATION | 393,015 | 638,071 |
Tax on profit | 6 | 232,255 | 245,809 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
160,760 |
392,262 |
Profit attributable to: |
Owners of the parent | 160,760 | 392,262 |
Total comprehensive income attributable to: |
Owners of the parent | 160,760 | 392,262 |
GAM Stuart Limited (Registered number: SC346785) |
Consolidated Statement of Financial Position |
30 November 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 | 2,979,712 | 3,585,825 |
Tangible assets | 10 | 1,520,252 | 1,658,860 |
Investments | 11 | - | - |
Investment property | 12 | 101,052 | - |
4,601,016 | 5,244,685 |
CURRENT ASSETS |
Stocks | 13 | 460,307 | 415,611 |
Debtors | 14 | 1,855,053 | 1,421,944 |
Cash at bank and in hand | 1,661,561 | 1,790,665 |
3,976,921 | 3,628,220 |
CREDITORS |
Amounts falling due within one year | 15 | 3,132,627 | 2,735,441 |
NET CURRENT ASSETS | 844,294 | 892,779 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
5,445,310 |
6,137,464 |
CREDITORS |
Amounts falling due after more than one year | 16 | (5,166,718 | ) | (5,639,115 | ) |
PROVISIONS FOR LIABILITIES | 20 | (109,792 | ) | (125,309 | ) |
NET ASSETS | 168,800 | 373,040 |
CAPITAL AND RESERVES |
Called up share capital | 21 | 100 | 100 |
Retained earnings | 22 | 168,700 | 372,940 |
SHAREHOLDERS' FUNDS | 168,800 | 373,040 |
The financial statements were approved by the Board of Directors and authorised for issue on 30 August 2024 and were signed on its behalf by: |
A S Bilon - Director |
GAM Stuart Limited (Registered number: SC346785) |
Company Statement of Financial Position |
30 November 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
Investment property | 12 |
CURRENT ASSETS |
Stocks | 13 |
Debtors | 14 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 16 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 20 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 21 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 85,066 | 357,638 |
The financial statements were approved by the Board of Directors and authorised for issue on |
GAM Stuart Limited (Registered number: SC346785) |
Consolidated Statement of Changes in Equity |
For The Year Ended 30 November 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 December 2021 | 100 | 328,678 | 328,778 |
Changes in equity |
Dividends | - | (348,000 | ) | (348,000 | ) |
Total comprehensive income | - | 392,262 | 392,262 |
Balance at 30 November 2022 | 100 | 372,940 | 373,040 |
Changes in equity |
Dividends | - | (365,000 | ) | (365,000 | ) |
Total comprehensive income | - | 160,760 | 160,760 |
Balance at 30 November 2023 | 100 | 168,700 | 168,800 |
GAM Stuart Limited (Registered number: SC346785) |
Company Statement of Changes in Equity |
For The Year Ended 30 November 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 December 2021 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 November 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 November 2023 |
GAM Stuart Limited (Registered number: SC346785) |
Consolidated Statement of Cash Flows |
For The Year Ended 30 November 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,639,347 | 1,461,545 |
Interest paid | (371,680 | ) | (193,429 | ) |
Interest element of hire purchase payments paid |
(7,934 |
) |
(11,153 |
) |
Tax paid | (269,449 | ) | (240,620 | ) |
Net cash from operating activities | 990,284 | 1,016,343 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (48,795 | ) | (86,763 | ) |
Purchase of investment property | (61,262 | ) | - |
Sale of tangible fixed assets | 696 | - |
Net cash from investing activities | (109,361 | ) | (86,763 | ) |
Cash flows from financing activities |
Loan repayments in year | (474,616 | ) | (512,497 | ) |
Capital repayments in year | (102,800 | ) | (84,574 | ) |
Amount introduced by directors | 1,133,035 | 729,350 |
Amount withdrawn by directors | (1,200,646 | ) | (723,571 | ) |
Equity dividends paid | (365,000 | ) | (348,000 | ) |
Net cash from financing activities | (1,010,027 | ) | (939,292 | ) |
Decrease in cash and cash equivalents | (129,104 | ) | (9,712 | ) |
Cash and cash equivalents at beginning of year |
2 |
1,790,665 |
1,800,377 |
Cash and cash equivalents at end of year | 2 | 1,661,561 | 1,790,665 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Statement of Cash Flows |
For The Year Ended 30 November 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 393,015 | 638,071 |
Depreciation charges | 753,155 | 805,010 |
Profit on disposal of fixed assets | (126 | ) | - |
Finance costs | 379,614 | 204,582 |
1,525,658 | 1,647,663 |
Increase in stocks | (44,696 | ) | (28,621 | ) |
Increase in trade and other debtors | (433,108 | ) | (274,853 | ) |
Increase in trade and other creditors | 591,493 | 117,356 |
Cash generated from operations | 1,639,347 | 1,461,545 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 30 November 2023 |
30.11.23 | 1.12.22 |
£ | £ |
Cash and cash equivalents | 1,661,561 | 1,790,665 |
Year ended 30 November 2022 |
30.11.22 | 1.12.21 |
£ | £ |
Cash and cash equivalents | 1,790,665 | 1,800,377 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.12.22 | Cash flow | At 30.11.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,790,665 | (129,104 | ) | 1,661,561 |
1,790,665 | (129,104 | ) | 1,661,561 |
Debt |
Finance leases | (194,244 | ) | 102,800 | (91,444 | ) |
Debts falling due within 1 year | (512,498 | ) | 37,883 | (474,615 | ) |
Debts falling due after 1 year | (5,547,623 | ) | 436,733 | (5,110,890 | ) |
(6,254,365 | ) | 577,416 | (5,676,949 | ) |
Total | (4,463,700 | ) | 448,312 | (4,015,388 | ) |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements |
For The Year Ended 30 November 2023 |
1. | STATUTORY INFORMATION |
GAM Stuart Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Related party exemption |
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. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is stated net of VAT and trade discounts. Turnover from the sale of goods is recognised when the goods are physically delivered to the customer. |
Goodwill |
Goodwill has been acquired by the Company during a number of business acquisitions. Amortisation of acquired goodwill is calculated to amortise goodwill over its estimated useful economic life which his considered to be over 10 years using the straight-line method. |
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. |
Tangible fixed assets |
Heritable property | - |
Fixed plant and equipment | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer Equipment | - |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Financial instruments |
Basic financial instruments are recognised at amortised cost, except for investments in non-convertible preference and non-puttable ordinary shares which are measured at fair value, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value with changes recognised in profit or loss. |
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 statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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. |
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. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 2,206,031 | 1,825,222 |
Social security costs | 188,449 | 162,932 |
Other pension costs | 241,269 | 35,419 |
2,635,749 | 2,023,573 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Pharmacy staff |
2023 | 2022 |
£ | £ |
Directors' remuneration | 24,000 | 24,000 |
Directors' pension contributions to money purchase schemes | 200,000 | - |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 92,348 | 41,735 |
Other operating leases | 58,575 | 58,786 |
Depreciation - owned assets | 104,580 | 92,886 |
Depreciation - assets on hire purchase contracts | 52,396 | 64,940 |
Profit on disposal of fixed assets | (126 | ) | - |
Goodwill amortisation | 606,113 | 647,184 |
Auditors' remuneration | 9,150 | 6,000 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest | 371,680 | 193,429 |
Hire purchase | 7,934 | 11,153 |
379,614 | 204,582 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
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 | 247,772 | 270,000 |
Deferred tax | (15,517 | ) | (24,191 | ) |
Tax on profit | 232,255 | 245,809 |
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: |
2023 | 2022 |
£ | £ |
Profit before tax | 393,015 | 638,071 |
Profit multiplied by the standard rate of corporation tax in the UK of 23 % (2022 - 19 %) |
90,393 |
121,233 |
Effects of: |
Expenses not deductible for tax purposes | 3,258 | 3,665 |
Adjustments to tax charge in respect of previous periods | (7,458 | ) | 551 |
Timing differences | 161,407 | 144,551 |
Deferred tax | (15,517 | ) | (24,191 | ) |
Effect of marginal rate | 172 | - |
Total tax charge | 232,255 | 245,809 |
7. | 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. |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Ordinary Shares shares of £0.01 each |
Final | 290,000 | 300,000 |
Ordinary A Shares shares of £0.01 each |
Final | 75,000 | 48,000 |
365,000 | 348,000 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
9. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 December 2022 |
and 30 November 2023 | 8,061,248 |
AMORTISATION |
At 1 December 2022 | 4,475,423 |
Amortisation for year | 606,113 |
At 30 November 2023 | 5,081,536 |
NET BOOK VALUE |
At 30 November 2023 | 2,979,712 |
At 30 November 2022 | 3,585,825 |
Company |
Goodwill |
£ |
COST |
At 1 December 2022 |
and 30 November 2023 |
AMORTISATION |
At 1 December 2022 |
Amortisation for year |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
10. | TANGIBLE FIXED ASSETS |
Group |
Fixed | Fixtures |
Heritable | plant and | and |
property | equipment | fittings |
£ | £ | £ |
COST |
At 1 December 2022 | 1,163,633 | 189,600 | 722,397 |
Additions | - | - | - |
Disposals | - | - | - |
Reclassification/transfer | (46,268 | ) | - | - |
At 30 November 2023 | 1,117,365 | 189,600 | 722,397 |
DEPRECIATION |
At 1 December 2022 | 120,456 | 75,840 | 386,557 |
Charge for year | 23,272 | 18,960 | 50,376 |
Eliminated on disposal | - | - | - |
Transfer to ownership | - | - | - |
Reclassification/transfer | (6,477 | ) | - | - |
At 30 November 2023 | 137,251 | 94,800 | 436,933 |
NET BOOK VALUE |
At 30 November 2023 | 980,114 | 94,800 | 285,464 |
At 30 November 2022 | 1,043,177 | 113,760 | 335,840 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | Equipment | Totals |
£ | £ | £ |
COST |
At 1 December 2022 | 400,853 | 17,607 | 2,494,090 |
Additions | 48,795 | - | 48,795 |
Disposals | (17,880 | ) | - | (17,880 | ) |
Reclassification/transfer | - | - | (46,268 | ) |
At 30 November 2023 | 431,768 | 17,607 | 2,478,737 |
DEPRECIATION |
At 1 December 2022 | 235,910 | 16,467 | 835,230 |
Charge for year | 63,228 | 1,140 | 156,976 |
Eliminated on disposal | (17,310 | ) | - | (17,310 | ) |
Transfer to ownership | (9,934 | ) | - | (9,934 | ) |
Reclassification/transfer | - | - | (6,477 | ) |
At 30 November 2023 | 271,894 | 17,607 | 958,485 |
NET BOOK VALUE |
At 30 November 2023 | 159,874 | - | 1,520,252 |
At 30 November 2022 | 164,943 | 1,140 | 1,658,860 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Fixed |
plant and | Motor |
equipment | vehicles | Totals |
£ | £ | £ |
COST |
At 1 December 2022 | 189,600 | 295,841 | 485,441 |
Transfer to ownership | - | (125,592 | ) | (125,592 | ) |
At 30 November 2023 | 189,600 | 170,249 | 359,849 |
DEPRECIATION |
At 1 December 2022 | 75,840 | 162,097 | 237,937 |
Charge for year | 18,960 | 33,436 | 52,396 |
Transfer to ownership | - | (95,789 | ) | (95,789 | ) |
At 30 November 2023 | 94,800 | 99,744 | 194,544 |
NET BOOK VALUE |
At 30 November 2023 | 94,800 | 70,505 | 165,305 |
At 30 November 2022 | 113,760 | 133,744 | 247,504 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixed | Fixtures |
Heritable | plant and | and |
property | equipment | fittings |
£ | £ | £ |
COST |
At 1 December 2022 |
Additions |
Disposals |
Reclassification/transfer | ( |
) |
At 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
Eliminated on disposal |
Transfer to ownership | - | - | - |
Reclassification/transfer | ( |
) |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
10. | TANGIBLE FIXED ASSETS - continued |
Company |
Motor | Computer |
vehicles | Equipment | Totals |
£ | £ | £ |
COST |
At 1 December 2022 |
Additions |
Disposals | ( |
) | ( |
) |
Reclassification/transfer | ( |
) |
At 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
Transfer to ownership | (9,934 | ) | - | (9,934 | ) |
Reclassification/transfer | ( |
) |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Fixed |
plant and | Motor |
equipment | vehicles | Totals |
£ | £ | £ |
COST |
At 1 December 2022 |
Transfer to ownership | - | (125,592 | ) | (125,592 | ) |
At 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
Transfer to ownership | - | (95,789 | ) | (95,789 | ) |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
11. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertaking |
£ |
COST |
At 1 December 2022 |
and 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Subsidiaries |
Registered office: |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Registered office: |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
12. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
Additions | 61,262 |
Reclassification/transfer | 39,790 |
At 30 November 2023 | 101,052 |
NET BOOK VALUE |
At 30 November 2023 | 101,052 |
Company |
Total |
£ |
FAIR VALUE |
Additions |
Reclassification/transfer | 39,790 |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
13. | STOCKS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Stocks | 460,307 | 415,611 |
14. | DEBTORS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 1,001,200 | 1,135,294 |
Other debtors | 97,035 | 99,425 |
VAT | 159,134 | 131,349 |
Prepayments and accrued income | 57,291 | 55,876 |
1,314,660 | 1,421,944 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
14. | DEBTORS - continued |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due after more than one year: |
Other debtors | 540,393 | - |
Aggregate amounts | 1,855,053 | 1,421,944 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 474,615 | 512,498 |
Hire purchase contracts (see note 18) | 35,616 | 102,752 |
Trade creditors | 1,651,809 | 1,469,343 |
Amounts owed to subsidiary | - | - | 6,102 | 6,102 |
Tax | 247,772 | 269,449 |
Social security and other taxes | 52,037 | 39,879 |
Other creditors | 519,865 | 116,941 |
Directors' current accounts | 77,275 | 144,886 | 77,275 | 144,886 |
Accrued expenses | 73,638 | 79,693 |
3,132,627 | 2,735,441 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 17) | 5,110,890 | 5,547,623 |
Hire purchase contracts (see note 18) | 55,828 | 91,492 |
5,166,718 | 5,639,115 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 474,615 | 512,498 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 428,448 | 512,498 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 2,820,318 | 3,072,370 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 1,862,124 | 1,962,755 | 1,862,124 | 1,962,755 |
18. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 35,616 | 102,752 |
Between one and five years | 55,828 | 91,492 |
91,444 | 194,244 |
Company |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
18. | LEASING AGREEMENTS - continued |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 35,500 | 35,500 |
Between one and five years | 142,000 | 142,000 |
In more than five years | 75,167 | 110,667 |
252,667 | 288,167 |
Company |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
19. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Hire purchase contracts | 91,444 | 194,244 | 91,444 | 194,244 |
Bank loans | - | 6,021,787 | 5,557,172 | 6,021,787 |
91,444 | 6,216,031 |
Security has been granted on bank loans and overdrafts from Bank of Scotland. Certain directors have given personal guarantees. |
20. | PROVISIONS FOR LIABILITIES |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Deferred tax | 109,792 | 125,309 | 109,792 | 125,309 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
20. | PROVISIONS FOR LIABILITIES - continued |
Group |
Deferred |
tax |
£ |
Balance at 1 December 2022 | 125,309 |
Utilised during year | (15,517 | ) |
Balance at 30 November 2023 | 109,792 |
Company |
Deferred |
tax |
£ |
Balance at 1 December 2022 |
Provided during year | ( |
) |
Balance at 30 November 2023 |
21. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary Shares | £0.01 | 100 | 100 |
Ordinary A Shares | £0.01 | - | - |
100 | 100 |
As the accounts are rounded, the share capital is reported to the nearest £1. The total issued share capital amounts to £100.10 |
22. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 December 2022 | 372,940 |
Profit for the year | 160,760 |
Dividends | (365,000 | ) |
At 30 November 2023 | 168,700 |
GAM Stuart Limited (Registered number: SC346785) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 30 November 2023 |
22. | RESERVES - continued |
Company |
Retained |
earnings |
£ |
At 1 December 2022 |
Profit for the year |
Dividends | ( |
) |
At 30 November 2023 |
23. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to directors subsisted during the years ended 30 November 2023 and 30 November 2022: |
2023 | 2022 |
£ | £ |
A S Bilon |
Balance outstanding at start of year | (82,648 | ) | (74,101 | ) |
Amounts advanced | 606,582 | 501,187 |
Amounts repaid | (568,858 | ) | (509,734 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | (44,924 | ) | (82,648 | ) |
G A M Stuart |
Balance outstanding at start of year | (62,238 | ) | (65,005 | ) |
Amounts advanced | 584,063 | 512,383 |
Amounts repaid | (554,176 | ) | (509,616 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | (32,351 | ) | (62,238 | ) |
24. | RELATED PARTY DISCLOSURES |
At 30 November 2022 £96,400 (2022: £98,800) was due from Alxpharm Ltd, an organisation where a shareholder is a close member of one of the directors family. |
At 30 November 2023, £540,393 was due from Stuart & Bilon Limited, a company in which both directors are |
shareholders. The balance is interest free. |
25. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling parties are G A M Stuart and A S Bilon. |