IRIS Accounts Production v24.2.0.383 NI601214 Board of Directors Board of Directors 31.12.23 1.1.23 31.12.23 31.12.23 The principal activity of the company is that of a holding company. The principal activity of the group is the retail of motor vehicles and related services. 0 0 true true true false true true false false false true false Ordinary 0 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWhNI6012142022-12-31NI6012142023-12-31NI6012142023-01-012023-12-31NI6012142021-12-31NI6012142022-01-012022-12-31NI6012142022-12-31NI601214ns15:NorthernIreland2023-01-012023-12-31NI601214ns14:PoundSterling2023-01-012023-12-31NI601214ns10:Director12023-01-012023-12-31NI601214ns10:Director22023-01-012023-12-31NI601214ns10:Consolidated2023-12-31NI601214ns10:ConsolidatedGroupCompanyAccounts2023-01-012023-12-31NI601214ns10:PrivateLimitedCompanyLtd2023-01-012023-12-31NI601214ns10:Consolidatedns10:FRS1022023-01-012023-12-31NI601214ns10:Consolidatedns10:Audited2023-01-012023-12-31NI601214ns10:SmallCompaniesRegimeForAccounts2023-01-012023-12-31NI601214ns10:Consolidatedns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2023-01-012023-12-31NI601214ns10:LargeMedium-sizedCompaniesRegimeForAccountsns10:Consolidated2023-01-012023-12-31NI601214ns10:FullAccounts2023-01-012023-12-31NI60121412023-01-012023-12-31NI601214ns10:OrdinaryShareClass12023-01-012023-12-31NI601214ns10:Consolidated2023-01-012023-12-31NI601214ns10:Director32023-01-012023-12-31NI601214ns10:RegisteredOffice2023-01-012023-12-31NI601214ns10:Consolidated2022-01-012022-12-31NI601214ns5:CurrentFinancialInstruments2023-12-31NI601214ns5:CurrentFinancialInstruments2022-12-31NI601214ns5:ShareCapital2023-12-31NI601214ns5:ShareCapital2022-12-31NI601214ns5:RetainedEarningsAccumulatedLosses2023-12-31NI601214ns5:RetainedEarningsAccumulatedLosses2022-12-31NI601214ns5:ShareCapital2021-12-31NI601214ns5:RetainedEarningsAccumulatedLosses2021-12-31NI601214ns5:RetainedEarningsAccumulatedLosses2022-01-012022-12-31NI601214ns5:RetainedEarningsAccumulatedLosses2023-01-012023-12-31NI601214ns5:NetGoodwill2023-01-012023-12-31NI601214ns5:NetGoodwill2022-12-31NI601214ns5:NetGoodwill2023-12-31NI601214ns5:NetGoodwill2022-12-31NI601214ns5:LandBuildings2022-12-31NI601214ns5:LandBuildings2023-01-012023-12-31NI601214ns5:LandBuildings2023-12-31NI601214ns5:LandBuildings2022-12-31NI601214ns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-12-31NI601214ns5:CurrentFinancialInstrumentsns5:WithinOneYear2022-12-31NI601214ns5:DeferredTaxation2022-12-31NI601214ns5:DeferredTaxation2023-01-012023-12-31NI601214ns5:DeferredTaxation2023-12-31NI601214ns10:OrdinaryShareClass12023-12-31
REGISTERED NUMBER: NI601214 (Northern Ireland)















BROOKMOUNT HOLDINGS LTD

Group Strategic Report, Directors' Report and

Consolidated Financial Statements for the Year Ended 31 December 2023






BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)






Contents of the Consolidated Financial Statements
FOR THE YEAR ENDED 31 DECEMBER 2023




Page

Company Information 1

Group Strategic Report 2

Directors' Report 3

Independent Auditors' Report 5

Consolidated Income Statement 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


BROOKMOUNT HOLDINGS LTD

Company Information
FOR THE YEAR ENDED 31 DECEMBER 2023







DIRECTORS: P McGurk
N McGurk
K Lynch



REGISTERED OFFICE: 18 Dungannon Road
Cookstown
Co. Tyrone
BT80 8TL



REGISTERED NUMBER: NI601214 (Northern Ireland)



INDEPENDENT AUDITORS: CavanaghKelly
Chartered Accountants and Statutory Auditors
36-38 Northland Row
Dungannon
Co. Tyrone
BT71 6AP



BANKERS: Bank of Ireland
1 Donegall Square South
Belfast
BT1 5LR

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Group Strategic Report
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their strategic report of the Company and the Group for the year ended 31 December 2023.

PRINCIPAL ACTIVITY
The principal activity of the company is that of a holding company. The principal activity of the group is the retail of motor vehicles and related services.

REVIEW OF BUSINESS
The directors aim to present a balanced and comprehensive review of the development and performance of the group during the year, as well as its position at 31 December 2023. The review is consistent with the size and nature of the group and is written in the context of the risks and uncertainties faced.

The group's business has performed satisfactorily during the year and remains in a sound financial position at the year end.

The directors consider that the key performance indicators are those that communicate the financial performance and strengths of the group as a whole being revenue, gross profit margin.

Revenue for the year increased to £32.9m (2022: £25.7m). The gross profit margin increased slightly during the year and the group's operating profit was returned at £1,092,831 (2022: £1,097,552).
The group's key performance indicators are as follows;

2023 2022
Revenue £32.9 million £25.7 million
Gross Profit % 11.2% 13.1%

PRINCIPAL RISKS AND UNCERTAINTIES
As for many businesses of this size the principal risks and uncertainties are considered to relate to competition from other car dealerships, supplier stability, franchise support, employee retention and the current economic climate. The directors will continue to work closely with suppliers, customers, staff and financial institutions to carefully manage the business and its principal risks and uncertainties.

Competition Risk
Competition risk comes from other car dealerships. The directors manage this risk ensuring a quality product offering and service is provided to all customers.

Economic Risk
Economic risk is inherent in the industry in which the group operates. The directors manage this risk by ensuring relationships with suppliers are maintained with the group having long standing relationships with such entities.

FUTURE DEVELOPMENTS
The directors are committed to long term creation of shareholder value by increasing it's market share in the Northern Ireland market. The directors are confident that their current strategy will result in continued growth and profitability.

EMPLOYMENT POLICY
The group is dependent on the skills and commitment of its employees in order to achieve its objectives. Group staff at every level are encouraged to make their fullest possible contribution to the group's success. The group's selection, training, development and promotion policies ensure equal opportunites for all employees, regardless of gender, martial status, race, age or disability. All decisions are based on merit.

ON BEHALF OF THE BOARD:





N McGurk - Director


9 August 2024

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Directors' Report
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report with the audited financial statements of the Company and the Group for the year ended 2023.

DIVIDENDS
No interim dividends were paid in the year (2022: £Nil). The directors did not recommend payment of a final dividend. (2022: £Nil)

DIRECTORS
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report.

P McGurk
N McGurk
K Lynch

FINANCIAL RISK MANAGEMENT
The group and company's operations expose them to a variety of financial risks that include credit risk and liquidity risk. The group and company has in place a risk management programme that seeks to limit the adverse effects on the financial performance of the group and company by monitoring levels of debt finance and the related finance costs. Given the size of the group and company, the directors have not delegated the responsibility of monitoring financial risk management to a sub-committee of the board. The policies set by the board of directors are implemented by the group's and company's finance department.

Credit risk
The group and company operate policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure to individual customers is subject to a limit, which is reassessed regularly by the board.

Liquidity risk
The group and company actively maintain a mixture of long-term and short-term debt finance that is designed to ensure that the group and company have sufficient available funds for operations and planned expansions.

DISCLOSURES REQUIRED UNDER SCHEDULE 7
In accordance with Section 414C (11) of Companies Act 2006, the directors have elected to disclose details of the business review, principal risks and uncertainties, employment policy and future developments in the Company's Strategic Report which would otherwise be required to be disclosed in the Directors' Report.

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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.

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Directors' Report
FOR THE YEAR ENDED 31 DECEMBER 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.

AUDITORS
The auditors, CavanaghKelly, have indicated their willingness to continue in office in accordance with the provision of Section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:





N McGurk - Director


9 August 2024

Independent Auditors' Report to the Members of
Brookmount Holdings Ltd

Opinion
We have audited the financial statements of Brookmount Holdings Ltd (the 'Parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, 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 31 December 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 Directors' Report, but does not include the financial statements and our Auditors' Report 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Independent Auditors' Report to the Members of
Brookmount Holdings Ltd


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 Directors' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept 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 Directors' Responsibilities Statement 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.

Independent Auditors' Report to the Members of
Brookmount Holdings Ltd


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

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

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. The objectives of our audit in respect of fraud are to assess the risk of material misstatement due to fraud, design and implement appropriate responses to those assessed risks and to respond appropriately to instances of fraud or suspected fraud identified during the course of our audit. However, the primary responsibility for the prevention and detection of fraud rests with management and those charged with governance of the company.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

- We obtained understanding of the legal and regulatory requirements applicable to the company’s financial statements and considered the most significant are the Companies Act 2006, Financial Reporting Standards (FRS102) and UK taxation legislation;
- We have assessed the risk of material misstatement of the financial statements, including risk of material misstatement due to fraud and how it might occur by holding discussions with management and those charged with governance;
- We enquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations;
- Understanding the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations; and
- Discussions amongst the audit engagement team regarding how fraud might occur in the financial statements and any potential indicators of fraud. As part of this discussion we identified the following potential areas where fraud may occur: timing of revenue recognition and management override.

The audit response to risks identified included:

- Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the relevant laws and regulations above;
- Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risk of material misstatement due to fraud;
- In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments, assessing whether the judgements made in making accounting estimates are reasonable and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments, assessing whether the judgements made in making accounting estimates are reasonable and evaluating the business rationale of any significant transactions that are unusual or outside the normal 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 Auditors' Report.

Independent Auditors' Report to the Members of
Brookmount Holdings Ltd


Use of our report
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Mr. Desmond Kelly (F.C.A) (Senior Statutory Auditor)
for and on behalf of CavanaghKelly
Chartered Accountants and Statutory Auditors
36-38 Northland Row
Dungannon
Co. Tyrone
BT71 6AP

9 August 2024

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Consolidated
Income Statement
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £ £

REVENUE 5 32,880,230 25,650,126

Cost of sales (29,224,671 ) (22,290,615 )
GROSS PROFIT 3,655,559 3,359,511

Distribution costs (1,892,662 ) (1,673,126 )
Administrative expenses (670,066 ) (588,833 )
OPERATING PROFIT 7 1,092,831 1,097,552
PROFIT BEFORE TAXATION 1,092,831 1,097,552

Tax on profit 8 (271,285 ) (230,482 )
PROFIT FOR THE FINANCIAL YEAR 821,546 867,070

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

821,546

867,070

Profit attributable to:
Owners of the parent 821,546 867,070

Total comprehensive income attributable to:
Owners of the parent 821,546 867,070

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Consolidated Statement of Financial Position
31 DECEMBER 2023

2023 2022
Notes £ £
NON-CURRENT ASSETS
Intangible assets 10 - -
Property, plant and equipment 11 2,886,105 2,948,662
Investments 12 - -
2,886,105 2,948,662

CURRENT ASSETS
Inventories 13 6,727,245 6,762,511
Receivables: amounts falling due within
one year

14

559,522

224,079
Cash at bank and in hand 256,904 332,623
7,543,671 7,319,213
PAYABLES
Amounts falling due within one year 15 (7,094,629 ) (7,756,548 )
NET CURRENT ASSETS/(LIABILITIES) 449,042 (437,335 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

3,335,147

2,511,327

PROVISIONS FOR LIABILITIES 17 (46,039 ) (43,765 )
NET ASSETS 3,289,108 2,467,562

CAPITAL AND RESERVES
Called up share capital 18 2 2
Retained earnings 3,289,106 2,467,560
SHAREHOLDERS' FUNDS 3,289,108 2,467,562

The financial statements were approved by the Board of Directors and authorised for issue on 9 August 2024 and were signed on its behalf by:




N McGurk - Director



K Lynch - Director


BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Company Statement of Financial Position
31 DECEMBER 2023

2023 2022
Notes £ £
NON-CURRENT ASSETS
Intangible assets 10 - -
Property, plant and equipment 11 2,712,745 2,771,594
Investments 12 500,000 500,000
3,212,745 3,271,594

CURRENT ASSETS
Receivables: amounts falling due within
one year

14

2,395,557

1,795,557
Cash at bank 306 333
2,395,863 1,795,890
PAYABLES
Amounts falling due within one year 15 (4,771,620 ) (4,771,620 )
NET CURRENT LIABILITIES (2,375,757 ) (2,975,730 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

836,988

295,864

PROVISIONS FOR LIABILITIES 17 (18,934 ) (16,392 )
NET ASSETS 818,054 279,472

CAPITAL AND RESERVES
Called up share capital 18 2 2
Retained earnings 818,052 279,470
SHAREHOLDERS' FUNDS 818,054 279,472

Company's profit for the financial year 538,582 1,924,732

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Board of Directors and authorised for issue on 9 August 2024 and were signed on its behalf by:




N McGurk - Director



K Lynch - Director


BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Consolidated Statement of Changes in Equity
FOR THE YEAR ENDED 31 DECEMBER 2023

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 January 2022 2 1,600,490 1,600,492

Changes in equity
Total comprehensive income - 867,070 867,070
Balance at 31 December 2022 2 2,467,560 2,467,562

Changes in equity
Total comprehensive income - 821,546 821,546
Balance at 31 December 2023 2 3,289,106 3,289,108

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Company Statement of Changes in Equity
FOR THE YEAR ENDED 31 DECEMBER 2023

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 January 2022 2 (1,645,262 ) (1,645,260 )

Changes in equity
Profit for the year - 1,924,732 1,924,732
Total comprehensive income - 1,924,732 1,924,732
Balance at 31 December 2022 2 279,470 279,472

Changes in equity
Profit for the year - 538,582 538,582
Total comprehensive income - 538,582 538,582
Balance at 31 December 2023 2 818,052 818,054

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Consolidated Statement of Cash Flows
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 299,658 627,804
Tax paid (334,863 ) (359,794 )
Net cash from operating activities (35,205 ) 268,010

Cash flows from investing activities
Purchase of tangible fixed assets (40,514 ) (239,209 )
Net cash from investing activities (40,514 ) (239,209 )

(Decrease)/increase in cash and cash equivalents (75,719 ) 28,801
Cash and cash equivalents at
beginning of year

2

332,623

303,822

Cash and cash equivalents at end
of year

2

256,904

332,623

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Statement of Cash Flows
FOR THE YEAR ENDED 31 DECEMBER 2023

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
2023 2022
£ £
Profit before taxation 1,092,831 1,097,552
Depreciation charges 103,073 92,409
1,195,904 1,189,961
Decrease/(increase) in inventories 35,266 (1,565,639 )
Increase in trade and other debtors (335,443 ) (40,528 )
(Decrease)/increase in trade and other creditors (596,069 ) 1,044,010
Cash generated from operations 299,658 627,804

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 31 December 2023
31/12/23 1/1/23
£ £
Cash and cash equivalents 256,904 332,623
Year ended 31 December 2022
31/12/22 1/1/22
£ £
Cash and cash equivalents 332,623 303,822


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1/1/23 Cash flow At 31/12/23
£ £ £
Net cash
Cash at bank and in hand 332,623 (75,719 ) 256,904
332,623 (75,719 ) 256,904
Total 332,623 (75,719 ) 256,904

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 31 DECEMBER 2023

1. STATUTORY INFORMATION

Brookmount Holdings Ltd is a private company, limited by shares, registered in Northern Ireland, within the United Kingdom. The company's registered number and registered office address can be found on the General Information page. The principal activity of the company is that of a holding company. The principal activity of the group is the retail of motor vehicles and related services.

2. STATEMENT OF COMPLIANCE

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 are stated in Pound Sterling (£) which is also the functional currency of the group.

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
The financial statements have been prepared on a going concern basis under the historical cost convention. Historical cost is generally based on the fair value of consideration given in exchange for assets. The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the group financial statements.

The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the group and company accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in note 4.

Group Financial Statements
The group financial statements consolidate the financial statements of its subsidiary undertakings drawn up to 31 December each year. Consistent accounting policies are applied across companies within the group. The results of subsidiary undertakings sold or acquired are included in the consolidated income statement up to or from the date control passes. Intra-group sales, profits and balances are eliminated fully on consolidation. No income statement is presented for Brookmount Holdings Ltd as permitted by section 408 of the Companies Act 2006.

The following principal accounting policies have been applied consistently unless otherwise stated:

Financial Reporting Standard 102 - reduced disclosure exemptions
FRS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions.

The company has taken advantage of the following exemptions:

-
from presenting its own Income Statement in the financial statements as permitted under
section 408 of the Companies Act 2006:

-
from preparing a Statement of cash flows on the basis that it is a qualifying entity: its cash
flows is included in the cash flows in the consolidated financial statements:


-
from the financial instrument disclosures, required under FRS 102 paragraphs 11.41(b) to
11.48(c) and 12.26 to 12.29. as the information is provided in the consolidated statement
disclosure; and

-
from disclosing the company's key management personnel compensation as required by FRS
102 paragraph 33.7.

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

3. ACCOUNTING POLICIES - continued

Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods:
Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

- the significant risks and rewards of ownership have been transferred to the buyer;
- the group retains no continuing involvement or control over the goods;
- the amount of revenue can be measured reliably;
- it is probable that future economic benefits will flow through the group, and;
- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Sale of services:
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
- the amount of revenue can be measured reliably;
- it is probable that the group will receive consideration due under the contract;
- the stage of completion of the contract at the end of the reporting period can be measured reliably, and;
- the costs incurred and the costs to complete the contract can be measured reliably.

Goodwill
Purchased goodwill arising on the acquisition of a business represents the excess of the acquisition cost over the fair value of the identifiable net assets including other intangible fixed assets when they were acquired. Purchased goodwill is capitalised in the Statement of Financial Position and amortised on a straight line basis over its economic useful life of 5 years, which is estimated to be the period during which benefits are expected to arise. On disposal of a business any goodwill not yet amortised is included in determining the profit or loss on sale of the business.

Goodwill is reviewed for impairment at the end of the first full financial year following acquisition and in other periods if events or changes in circumstances indicate that the carrying value may not be recoverable.

Property, plant and equipment
Property, plant and equipment are stated at cost or at valuation, less accumulated depreciation. Historical cost includes expenditure that is directly attributable to bringing the asset to the location. The charge to depreciation is calculated to write off the original cost or valuation of property, plant and equipment, less their estimated residual value, over their expected useful lives as follows:

Freehold property 4% straight line
Plant and machinery 15% straight line
Fixtures and fittings 25% straight line
Computer equipment 10% straight line

The carrying values of property, plant and equipment are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable.

Inventories
Inventories are valued at the lower of cost and net realisable value. Cost comprises expenditure incurred in the normal course of business in bringing stocks to their present location and condition. Full provision is made for obsolete and slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all further costs to completion or to be incurred in marketing and selling.

Consignment inventory is not recognised until there has been a substantial transfer of the risk and rewards of ownership.

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

3. ACCOUNTING POLICIES - continued

Financial instruments
The company and group have chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

(i) Financial assets

Basic financial assets, including trade and other receivables, cash and bank balances and amounts owed by group companies are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the Income Statement.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in the Income Statement.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

(ii) Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans and overdrafts and hire purchase contracts are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

(iii) Offsetting

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.


BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

3. ACCOUNTING POLICIES - continued
Taxation
Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Statement of Financial Position date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the Statement of Financial Position date where transactions or events have occurred at that date that will result in an obligation to pay more tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the company's taxable profits and its results as stated in the financial statements.

Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the Statement of Financial Position date.

Pension costs
The group operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the group. Annual contributions payable to the group's pension scheme are charged to the Income Statement in the period to which they relate.

Share capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Investments in subsidiaries
Investments in subsidiaries are measured at cost less impairment.

4. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

(a) Critical judgements and estimation uncertainty

There are no critical judgements in applying the group's accounting policies.

(b) Key accounting estimates and assumptions

There are no key accounting estimates and assumptions in applying the group's accounting policies.

5. REVENUE

The whole of revenue is attributable to the company's main activity which is carried out in the United Kingdom.

6. EMPLOYEES AND DIRECTORS

2023 2022
£    £   
Wages and salaries 1,679,184 1,443,898
Social security costs 145,946 138,663
Pensions 28,290 40,265
1,853,420 1,622,826

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023
EMPLOYEES AND DIRECTORS - continued

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

Administration 6 6
Selling and distribution 50 45
56 51

2023 2022
£    £   

Directors' remuneration 47,824 50,328

During the year, retirement benefits were accruing to 2 directors (2022: 2). The directors are considered the key management of the group.

The company had no employees during the year (2022: Nil).

7. OPERATING PROFIT

The operating profit is stated after charging:

2023 2022
£ £
Depreciation - owned assets 103,071 92,409
Auditor's remuneration - audit services 11,490 12,000
Operating lease rentals - 250

8. 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 269,011 198,169

Deferred tax 2,274 32,313
Tax on profit 271,285 230,482

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

8. 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:

2023 2022
£ £
Profit before tax 1,092,831 1,097,552
Profit multiplied by the standard rate of corporation tax in the UK
of 23.520 % (2022 - 19 %)

257,034

208,535

Effects of:
Expenses not deductible for tax purposes 656 505
Adjustments to tax charge in respect of previous periods - 12,089
Non-relevant depreciation 13,630 10,080
Impact of super-deduction (168 ) (5,581 )
Impact of rate change 133 4,854
Total tax charge 271,285 230,482

9. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.


10. INTANGIBLE FIXED ASSETS


Company
Goodwill
£
COST
At 1 January 2023
and 31 December 2023 2,397,800
AMORTISATION
At 1 January 2023
and 31 December 2023 2,397,800
NET BOOK VALUE
At 31 December 2023 -
At 31 December 2022 -

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

11. PROPERTY, PLANT AND EQUIPMENT

Group
Fixtures
Freehold Plant and and Computer
property machinery fittings equipment Totals
£ £ £ £ £
COST
At 1 January 2023 2,999,523 380,953 351,993 22,201 3,754,670
Additions - 35,054 4,460 1,000 40,514
At 31 December 2023 2,999,523 416,007 356,453 23,201 3,795,184
DEPRECIATION
At 1 January 2023 179,817 311,831 294,630 19,730 806,008
Charge for year 58,849 22,719 19,466 2,037 103,071
At 31 December 2023 238,666 334,550 314,096 21,767 909,079
NET BOOK VALUE
At 31 December 2023 2,760,857 81,457 42,357 1,434 2,886,105
At 31 December 2022 2,819,706 69,122 57,363 2,471 2,948,662

Company
Freehold
property
£
COST
At 1 January 2023
and 31 December 2023 2,942,443
DEPRECIATION
At 1 January 2023 170,849
Charge for year 58,849
At 31 December 2023 229,698
NET BOOK VALUE
At 31 December 2023 2,712,745
At 31 December 2022 2,771,594

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

12. FIXED ASSET INVESTMENTS

Company
2023 2022
£ £
Cost 500,000 500,000

The Group or the Company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiaries

T.J. Hamilton & Company Limited
Registered office: Brookmount, 18 Dungannon Road, Cookstown, Co. Tyrone, BT80 8TL
Nature of business: Retail of motor vehicles

Class of shares:
Ordinary 100%

Mid Ulster Cars Limited
Registered office: Brookmount, 18 Dungannon Road, Cookstown, Co. Tyrone, BT80 8TL
Nature of business: Retail of motor vehicles

Class of shares:
Ordinary 100%

13. INVENTORIES

Group
2023 2022
£ £
Goods for resale 6,727,245 6,762,511

Stock on consignment is not recognised in the balance sheet because the terms of the contract state:

i) title to the vehicle does not pass to the dealer until full payment is due;
ii) the manufacturer can demand the return of stock within the consignment year; and
iii) no interest is payable on consignment stock within terms set out in the individual franchise agreements.

At 31 December 2023, the value of consignment stock off balance sheet was £709,960 (2022: £776,050).

14. RECEIVABLES: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2023 2022 2023 2022
£ £ £ £
Trade receivables 167,935 118,862 - -
Other receivables - 44,316 - -
Amounts owed by group undertakings - - 2,395,557 1,795,557
Amounts owed by related parties 359,171 10,533 - -
VAT - 23,853 - -
Prepayments and accrued income 32,416 26,515 - -
559,522 224,079 2,395,557 1,795,557

Amounts owed by group and related undertakings are unsecured, interest free and repayable on demand.

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

15. PAYABLES: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2023 2022 2023 2022
£ £ £ £
Trade payables 847,499 851,493 - -
Amounts owed to related parties 4,870,493 5,420,480 4,470,480 4,470,480
Corporation Tax 43,413 94,681 - -
Social security and other taxes 273,564 156,365 - -
Other payables 458,160 586,462 300,000 300,000
Accruals and deferred income 601,500 647,067 1,140 1,140
7,094,629 7,756,548 4,771,620 4,771,620

Amounts owed to group and related undertakings are unsecured, interest free and payable on demand.

16. FINANCIAL INSTRUMENTS

Group Group
2023 2022
£ £
Carrying amount of financial assets

Debt instruments measured at amortised cost 4,099,639 173,711
Carrying amount of financial liabilities

Measured at amortised cost 10,350,185 7,505,502

17. PROVISIONS FOR LIABILITIES

Group Company
2023 2022 2023 2022
£ £ £ £
Deferred tax 46,039 43,765 18,934 16,392

Group
Deferred tax
£
Balance at 1 January 2023 43,765
Provided during year 2,274
Balance at 31 December 2023 46,039

Company
Deferred tax
£
Balance at 1 January 2023 16,392
Provided during year 2,542
Balance at 31 December 2023 18,934

Deferred taxation relates to accelerated capital allowances.

BROOKMOUNT HOLDINGS LTD (REGISTERED NUMBER: NI601214)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 31 DECEMBER 2023

18. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £ £
2 Ordinary 2 2 2

19. PENSION COMMITMENTS

The group operates a defined contribution pension scheme in respect of the employees. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the group and amounted to £28,290 (2022: £40,265).

20. 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.

Directors of the company, Paul and Nigel McGurk, are regarded as related parties due to their position within the group. At the 31 December 2023, £318,986 (2022: £408,212) was owed by the group to the directors. This is disclosed in Other Payables in Note 14 of the financial statements.

Northern View Leisure Limited, a company established in Northern Ireland, is considered a related party due to common shareholders, and directors.

Paul and Nigel McGurk, directors of Brookmount Holdings Limited are also directors of Northern View Leisure Limited.

At the 31 December 2023, £4,470,480 (2022: £4,470,480) was owed from Brookmount Holdings Ltd to Northern View Leisure Limited and is disclosed in Note 14 of the financial statements.

21. ULTIMATE CONTROLLING PARTY

The ultimate controlling parties are Paul and Nigel McGurk.