Caseware UK (AP4) 2023.0.135 2023.0.135 2024-05-312024-05-31specialist interior fit-out subcontractor114false2023-06-01false159falsefalse 02693294 2023-06-01 2024-05-31 02693294 2022-06-01 2023-05-31 02693294 2024-05-31 02693294 2023-05-31 02693294 3 2023-06-01 2024-05-31 02693294 3 2022-06-01 2023-05-31 02693294 4 2023-06-01 2024-05-31 02693294 4 2022-06-01 2023-05-31 02693294 d:Exceptional 2023-06-01 2024-05-31 02693294 d:Exceptional 2022-06-01 2023-05-31 02693294 e:CompanySecretary1 2023-06-01 2024-05-31 02693294 e:Director1 2023-06-01 2024-05-31 02693294 e:Director2 2023-06-01 2024-05-31 02693294 e:Director3 2023-06-01 2024-05-31 02693294 e:Director4 2023-06-01 2024-05-31 02693294 e:Director5 2023-06-01 2024-05-31 02693294 e:RegisteredOffice 2023-06-01 2024-05-31 02693294 d:FurnitureFittings 2023-06-01 2024-05-31 02693294 d:FurnitureFittings 2024-05-31 02693294 d:FurnitureFittings 2023-05-31 02693294 d:FurnitureFittings d:OwnedOrFreeholdAssets 2023-06-01 2024-05-31 02693294 d:ComputerSoftware 2024-05-31 02693294 d:ComputerSoftware 2023-05-31 02693294 d:OtherResidualIntangibleAssets 2023-06-01 2024-05-31 02693294 d:CurrentFinancialInstruments 2024-05-31 02693294 d:CurrentFinancialInstruments 2023-05-31 02693294 d:Non-currentFinancialInstruments 2024-05-31 02693294 d:Non-currentFinancialInstruments 2023-05-31 02693294 d:CurrentFinancialInstruments d:WithinOneYear 2024-05-31 02693294 d:CurrentFinancialInstruments d:WithinOneYear 2023-05-31 02693294 d:Non-currentFinancialInstruments d:AfterOneYear 2024-05-31 02693294 d:Non-currentFinancialInstruments d:AfterOneYear 2023-05-31 02693294 d:Non-currentFinancialInstruments d:BetweenOneTwoYears 2024-05-31 02693294 d:Non-currentFinancialInstruments d:BetweenOneTwoYears 2023-05-31 02693294 d:ReportableOperatingSegment1 2023-06-01 2024-05-31 02693294 d:ReportableOperatingSegment1 2022-06-01 2023-05-31 02693294 d:ShareCapital 2024-05-31 02693294 d:ShareCapital 2023-05-31 02693294 d:CapitalRedemptionReserve 2024-05-31 02693294 d:CapitalRedemptionReserve 2023-05-31 02693294 d:RetainedEarningsAccumulatedLosses 2023-06-01 2024-05-31 02693294 d:RetainedEarningsAccumulatedLosses 2024-05-31 02693294 d:RetainedEarningsAccumulatedLosses 2022-06-01 2023-05-31 02693294 d:RetainedEarningsAccumulatedLosses 2023-05-31 02693294 d:RetainedEarningsAccumulatedLosses 2022-06-01 02693294 d:AcceleratedTaxDepreciationDeferredTax 2024-05-31 02693294 d:AcceleratedTaxDepreciationDeferredTax 2023-05-31 02693294 e:OrdinaryShareClass1 2023-06-01 2024-05-31 02693294 e:OrdinaryShareClass1 2024-05-31 02693294 e:OrdinaryShareClass1 2023-05-31 02693294 e:FRS102 2023-06-01 2024-05-31 02693294 e:Audited 2023-06-01 2024-05-31 02693294 e:FullAccounts 2023-06-01 2024-05-31 02693294 e:PrivateLimitedCompanyLtd 2023-06-01 2024-05-31 02693294 d:Subsidiary1 2023-06-01 2024-05-31 02693294 d:Subsidiary1 1 2023-06-01 2024-05-31 02693294 d:Subsidiary2 2023-06-01 2024-05-31 02693294 d:Subsidiary2 1 2023-06-01 2024-05-31 02693294 d:WithinOneYear 2024-05-31 02693294 d:WithinOneYear 2023-05-31 02693294 d:BetweenOneFiveYears 2024-05-31 02693294 d:BetweenOneFiveYears 2023-05-31 02693294 2 2023-06-01 2024-05-31 02693294 4 2023-06-01 2024-05-31 02693294 6 2023-06-01 2024-05-31 02693294 d:ComputerSoftware d:OwnedIntangibleAssets 2023-06-01 2024-05-31 02693294 f:PoundSterling 2023-06-01 2024-05-31 iso4217:GBP xbrli:shares xbrli:pure

Registered number: 02693294










TITAN INTERIOR SOLUTIONS LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2024

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
COMPANY INFORMATION


Directors
D Cartwright 
J Cave 
A Gordon 
M Saunders 
T Wragg 




Company secretary
M Saunders



Registered number
02693294



Registered office
South Grove House
South Grove

Rotherham

South Yorkshire

S60 2AF




Independent auditors
Shorts Chartered Accountants

Cedar House

63 Napier Street

Sheffield

South Yorkshire

S11 8HA





 
TITAN INTERIOR SOLUTIONS LIMITED
 

CONTENTS



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 5
Independent Auditors' Report
 
6 - 9
Statement of Income and Retained Earnings
 
10
Balance Sheet
 
11
Notes to the Financial Statements
 
12 - 28


 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2024

The directors present their strategic report on the company for the year ended 31st May 2024.

Principal activities
 
The principal actvity of the company continues to be that of a specialist interior fit-out subcontactor, undertaking various trades including suspended ceilings, dry-lining and demountable paritions. 

Performance review
 
The UK and global economy have been turbulent over the last few years and has seen unprecedented inflation, in particular material price increases and labour shortages have impacted the financial results of the business in the year. 

Despite the economic head winds the business has been able to increase its profit margins in the year whilst reducing its fixed costs, returning a strong profit in the year.

The business has developed a multi layered strategy focused on processes and efficiency, selective tendering and continuous improvements.

The selective tendering strategy has allowed the business to resize in the year and focus on its core strengths, whilst building on long term client relationships, securing repeat work. This strategy has delivered a 2.1% increase in gross profit margins in the year. 

The operational and process efficiency strategy has been developed and deployed enabling the business to reduce its fixed costs and drive increased efficiency both at site and in the admin functions, resulting in a 5% overhead reduction in year.

The gross margin improvements and the cost reduction programmes have contributed to the business improving overall profit margins and delivering another healthy profit in the year, Given the economic pressure the business has faced the Board of Directors are pleased with the result. 

During the year the parent company to TIS, Horbury Group Ltd, delivered a refinance package, attracting new capital investment into the Group which enabled it to repay all its long-term debt. The result of which significantly strengthened the finances of the Group and subsidiaries, giving added security over its long-term future. 

Future prospects
 
The business is well positioned to take advantage of any economic improvement, and the directors are  confident the business will continue to secure contracts and trade profitably. 

The core strategy of operational improvement and efficiency, through a continuous focus on productivity and quality the business has improved its profit margins and client satisfaction, whilst our focus on selective tendering has enabled the business to develop strong client relationships producing repeat work and derisking future business. 

The business continues to invest in its people and processes and is on plan to deliver its multi layered operational efficiency strategy which will continue to benefit the business for years to come.

Secured orders together with the sales pipeline remain strong and ahead of previous years, the business remains on track deliver incremental growth in financial year 2025 and beyond with improving profit margins. 

Page 1

 
TITAN INTERIOR SOLUTIONS LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024

Principal risks and uncertainties
 
The UK construction market remains highly competitive, and future unexpected inflationary pressures and labour shortages cannot be ruled out.  The directors remain confident that the business is well placed to manage these risks through selective contract tendering, regular monitoring of expected and actual contract outcomes, and robust management of working capital.

The company’s principal credit risk arises from extending credit to its customers, which is managed by credit referencing and selective contract tendering. Robust procedures are in place for the collection of monies due to the company and cash flow and debtors are monitored daily with rolling cash flow projections.

The company is not exposed in any material way to bad debts, which caused the current high level of business failure in the construction sector, our core strategy of selective tendering enables us to manage the risk associated with bad debt.

Use of KPIs
 
The company has continued to use enhanced KPI’s, both financial and operational, to manage the business and to effectively deliver the long-term strategic goals. The following is a brief outline of the KPIs being used within the company:
• Tender margin versus final account margin on a contract by contract basis
• Project status against original programme timetable
• Overdue final account debts
• Retention collection
• Average frequency rate for health and safety data
• Enquiry levels
• Work in hand
• Client and Contract selectivity matrix
• Tender conversion monitoring – by sector and client


This report was approved by the board on 17 September 2024 and signed on its behalf.



T Wragg
Director

Page 2

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2024

The directors present their report and the financial statements for the year ended 31 May 2024.

Directors

The directors who served during the year were:

D Cartwright 
J Cave 
A Gordon 
M Saunders 
T Wragg 

Directors' responsibilities statement

The directors are responsible for preparing the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements and;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

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

Results and dividends

The profit for the year, after taxation, amounted to £858,930 (2023 - £987,197).

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

Future developments

Future developments have been set out in the strategic report.

Page 3

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024

Engagement with suppliers, customers and others

Engaging with stakeholders 
The success of our business is dependent on the support of all our stakeholders. Building positive relationships with stakeholders that share our values is important to us, and working together towards shared goals assists us in delivering long-term sustainable success. 

Shareholders 
We have an open dialogue with our shareholders through monthly Board meeting and monthly management meeting, shareholders play a key role in our decision-making process, financial performance, and strategic outlook.  

Employees 
The safety of our employees and subcontractors is our foremost concern.  We have processes in place to ensure the safety of our working practices and sites, we promote good practice through various incentives, and we review adherence through a site audit process.  Health and Safety reporting is reviewed at all levels of the Group up to and including at Board level.

Business unit managers attend monthly management meeting where we have an open dialogue to discuss the business financial performance, supplier and customer relationships and operational performance. We also run quarterly site management forums, which allows an opportunity for our site based employees to have an open dialogue with business management and play an active role in decision making.

We have an open relationship with our employees and promote a two way dialogue to ensure continuous improvement of both the business and our employees.  We promote the development of our employees through our “Planning for the Future” programme to upskill our staff to help make them, and us, more competitive.  Employees needing help have access to support through our EAP as well as our trained Metal Health First Aiders positioned around the business.

Customers 
Our ambition is to deliver best-in-class product and services to our customers. We continue to build strong and lasting relationships with our key customers and invest considerable time with them to understand their needs and listen to how we can improve our service. We attend regular site meeting with our customers to discuss on-going project matters and agree on key project related decisions. 

Suppliers 
We continue to build strong working relationships with our suppliers to develop long lasting partnerships. We run a central procurement team and one of their key performance targets is to continue to develop and support supplier relationships, this is done through periodic reviews with key accounts and more informally with open dialogue on a day-to-day basis. The Board recognises that relationship with suppliers is important to the Group’s long-term success and are briefed in the monthly management meeting by the Procurement team on supplier relationships and any open issues. 

Communities 
We engage with the local communities on several fronts and aim to give something back to the local communities we work in. We partner with a local charity each year to help raise awareness and we organise and fund a number of fund-raising events throughout the year which are keenly supported by employees. We also run The Horbury Academy which is an apprenticeship scheme committed to developing local talent into skilled tradespeople, professionals and managers and have formed a strategic partnership with Sheffield College

Energy and carbon report

The Company has not disclosed information in respect of greenhouse gas emissions, energy consumption and energy efficiency action as its energy consumption in the United Kingdom is considered at a group level and disclosed in Horbury Group Limited.

Page 4

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsShorts Chartered Accountantswill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 17 September 2024 and signed on its behalf.
 





T Wragg
Director

Page 5

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TITAN INTERIOR SOLUTIONS LIMITED
 

Opinion


We have audited the financial statements of Titan Interior Solutions Limited (the 'Company') for the year ended 31 May 2024, which comprise the Statement of Income and Retained Earnings, the Balance Sheet and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Company's affairs as at 31 May 2024 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


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


Conclusions relating to going concern


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


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


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


Page 6

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TITAN INTERIOR SOLUTIONS LIMITED (CONTINUED)

Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


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


Page 7

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TITAN INTERIOR SOLUTIONS LIMITED (CONTINUED)

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.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach 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 team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; 
through discussions with the directors and other management and from our commercial knowledge and experience of the sectors that the Company operates in, we identified the laws and regulations applicable to the Company; and
focusing on the specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Company, we assessed the extent of compliance with those laws and regulations identified above through making enquiries of management and inspecting relevant correspondence.

We assessed the susceptibility of the Company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: 
making enquiries of management 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.

To address the risk of fraud through management bias and override of controls, we:

performed analytical procedures to identify any unusual or unexpected relationships; 
considered journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: 

agreeing financial statement disclosures to underlying supporting documentation;
enquiring of management as to actual and potential litigation and claims;
considering relationships with HMRC, relevant regulators and the Company’s legal advisors;
revewing minutes of meeting of management and directors;
reviewing incident log to identify any breaches and problems; and
reviewing the company's risk register to identify key risk areas.


Page 8

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TITAN INTERIOR SOLUTIONS LIMITED (CONTINUED)

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 Auditors' Report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our 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.





Andrew Irvine (Senior Statutory Auditor)
  
for and on behalf of
Shorts Chartered Accountants
 
Cedar House
63 Napier Street
Sheffield
South Yorkshire
S11 8HA

17 September 2024
Page 9

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 MAY 2024

2024
2023
Note
£
£

  

Turnover
 4 
41,018,222
51,838,218

Cost of sales
  
(35,514,721)
(45,967,909)

Gross profit
  
5,503,501
5,870,309

Administrative expenses
  
(4,410,887)
(4,649,855)

Exceptional administrative expenses
 5 
(98,298)
(148,308)

Operating profit
 6 
994,316
1,072,146

Interest receivable and similar income
 10 
5,361
-

Interest payable and similar expenses
 11 
(6,749)
(29,549)

Profit before tax
  
992,928
1,042,597

Tax on profit
 12 
(133,998)
(55,400)

Profit after tax
  
858,930
987,197

  

  

Retained earnings at the beginning of the year
  
7,889,456
6,902,259

  
7,889,456
6,902,259

Profit for the year
  
858,930
987,197

Retained earnings at the end of the year
  
8,748,386
7,889,456
The notes on pages 12 to 28 form part of these financial statements.

Page 10

 
TITAN INTERIOR SOLUTIONS LIMITED
REGISTERED NUMBER:02693294

BALANCE SHEET
AS AT 31 MAY 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 13 
63,337
84,450

Tangible assets
 14 
12,312
8,929

Investments
 15 
1,266,761
1,266,761

  
1,342,410
1,360,140

Current assets
  

Debtors: amounts falling due within one year
 16 
11,766,959
13,317,446

Cash at bank and in hand
 17 
6,852,813
5,796,508

  
18,619,772
19,113,954

Creditors: amounts falling due within one year
 18 
(11,207,598)
(12,480,825)

Net current assets
  
 
 
7,412,174
 
 
6,633,129

Total assets less current liabilities
  
8,754,584
7,993,269

Creditors: amounts falling due after more than one year
 19 
-
(94,613)

Provisions for liabilities
  

Deferred tax
 21 
(5,998)
(9,000)

  
 
 
(5,998)
 
 
(9,000)

Net assets
  
8,748,586
7,889,656


Capital and reserves
  

Called up share capital 
 22 
122
122

Capital redemption reserve
  
78
78

Profit and loss account
  
8,748,386
7,889,456

  
8,748,586
7,889,656


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 17 September 2024.




T Wragg
Director

The notes on pages 12 to 28 form part of these financial statements.

Page 11

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

1.


General information

Titan Interior Solutions Limited is a private company limited by shares, incorporated in England and Wales (registered number: 02693294). Its registered office is South Grove House, South Grove, Rotherham, South Yorkshire S60 2AF. The principal activity of the company throughout the year continued to be that of the provision of specialist interior fit-out subcontractor.

2.Accounting policies

 
2.1

Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared on the historical cost convention. The principal accountingpolicies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parentof that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’ –
Carrying amounts, interest income/expense and net gains/losses for each category of financial
instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel.
 
The financial statements of the company are consolidated in the financial statements of Horbury Group Limited. These consolidated financial statements are available from its registered office.

 
2.2

Going concern

The directors have performed an assessment of going concern at a group level including a review of
financing, forecasts, covenant compliance and the ongoing impact of the pandemic, and having considered these factors, they are of the view that there is a reasonable expectation that the Group has adequate resources to continue in operational existence for a period of at least twelve months following the reporting date.

Page 12

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.3

Revenue

Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.

In the case of long term contracts, turnover reflects the contract activity during the year and represents aproportion of total contract value. This proportion is calculated as a percentage of total expected contract costs.

Construction contracts
The attributable profit on long-term contracts is recognised once their outcome can be assessed with reasonable certainty. The profit recognised reflects the proportion of work completed to date on the project and is calculated as a percentage of total expected contract costs.

Full provision is made for losses on all contracts in the year in which the loss is first foreseen.

Trade debtors represent contract valuations and retentions certified up to one month after the year end. Amounts recoverable on contracts represent the balance of uncertified valuations

 
2.4

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.5

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.6

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.7

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 13

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.8

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.10

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence.

Page 14

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.11

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 Amortisation is provided on the following bases:

Software costs
-
25%
straight line

 
2.12

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Fixtures and fittings
-
25%
straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.13

Valuation of investments

Investments in unlisted Company shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Statement of Income and Retained Earnings for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

 
2.14

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Page 15

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.15

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.16

Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities such as bank and cash balances, trade and other accounts receivable and payable, loans from banks and other third parties and loans to and from related parties.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at the transaction price and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction,  the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.
Financial assets and liabilities are offset and the net amount reported in the Balance sheet when there is an 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.

 
2.17

Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk

Page 16

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Critical judgements
The following judgement (apart from those involving estimates) has had the most significant effect on amounts recognised in the financial statements.

Turnover from long term contracts
Turnover is generated from long term contracts. The group recognises contract revenue and contract costs associated with each contract using the percentage of completion method.

The recognition of revenue and profit therefore rely on estimates in relation to the stage of completion and the forecast total costs of each contract

Judgements and key sources of estimation uncertainty
Margin is presented in the monthly management accounts for each contract as it is earned on the specific tasks undertaken in the period. A margin is used based on the job budget form completed at the outset, with variations requiring individual approval. Each project’s outturn is reforecast on a monthly basis, so any changes to expected final outturn are reflected in the accounts promptly. The profit to be recognised monthly is calculated on a cumulative basis so that the overall expected outturn is reflected in the cumulative position each month.

The method applies ensures that profit is recognised equally across the life of the project. The calculation of expected outturn is based on the following factors:

Variations to overall contract value (expected turnover) which have been agreed with the client;
Costs incurred to date allocated to the project. These allocated costs are reviewed monthly by site managers and matched to site material lists and expected spend and;
Budgeted overall costs as calculated at the beginning of the project during the tender process which areused to calculate the expected costs to complete

The degree of estimation uncertainty centres around the expected costs to complete the contract which,
combined with the contract turnover, are used to calculate the expected margin outturn on each project.

When contract losses are anticipated these are recognised in full at the time of identification in so far as they can be measured reliably.

Page 17

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Contract revenue
41,018,222
51,838,218


All turnover arose within the United Kingdom.


5.


Exceptional items

2024
2023
£
£


Exceptional items
98,298
148,308

The above exceptional items include £70,057 (2023: £56,790) in relation to redundancy costs, £13,241 (2023: £nil) in relation to staff long term sickness and £15,000 (2023: £91,518) in relation to various write offs of contracting applications no longer deemed recoverable as a result of contractor insolvencies.


6.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Other operating lease rentals
333,452
343,526


7.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors and their associates:


2024
2023
£
£

Fees payable to the Company's auditors and their associates for the audit of the Company's financial statements
30,500
41,439

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.

Page 18

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

8.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
4,158,547
5,243,475

Social security costs
348,438
390,507

Cost of defined contribution scheme
129,410
123,109

4,636,395
5,757,091


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Construction
84
95



Administration
27
59



Directors
3
5

114
159


9.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
281,730
286,730

Company contributions to defined contribution pension schemes
24,140
23,640

305,870
310,370


During the year retirement benefits were accruing to 2 directors (2023 - 2) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £205,000 (2023 - £217,837).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £17,500 (2023 - £17,000).

Page 19

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

10.


Interest receivable

2024
2023
£
£


Interest receivable from group companies
5,361
-

5,361
-


11.


Interest payable and similar expenses

2024
2023
£
£


Bank interest payable
535
13,049

Loans from group undertakings
6,214
-

Other interest payable
-
16,500

6,749
29,549


12.


Taxation


2024
2023
£
£



Total current tax
-
-

Deferred tax


Origination and reversal of timing differences
133,998
55,400


Tax on profit
133,998
55,400
Page 20

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is the same as the standard rate of corporation tax in the UK of 25% (2023 - 20%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
992,928
1,042,597


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 20%)
248,232
208,519

Effects of:


Non-tax deductible amortisation of goodwill and impairment
(6,289)
5,301

Movement in deferred tax not recognised
-
(207)

Deferred tax - other
133,998
170,900

Changes in provisions leading to an increase (decrease) in the tax charge
-
(23,040)

Fixed asset differences
(278)
(286)

Group relief
(241,665)
(305,787)

Total tax charge for the year
133,998
55,400


Factors that may affect future tax charges

During the 2023/24 tax year end marginal rate tax has come into force. In addition on 05/07/2024 there has been a change in government and so tax rates are likely to change.

Page 21

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

13.


Intangible assets




Computer software

£



Cost


At 1 June 2023
84,450



At 31 May 2024

84,450



Amortisation


Charge for the year on owned assets
21,113



At 31 May 2024

21,113



Net book value



At 31 May 2024
63,337



At 31 May 2023
84,450



Page 22

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

14.


Tangible fixed assets





Fixtures and fittings

£



Cost


At 1 June 2023
53,881


Additions
7,425


Disposals
(194)



At 31 May 2024

61,112



Depreciation


At 1 June 2023
44,952


Charge for the year on owned assets
4,042


Disposals
(194)



At 31 May 2024

48,800



Net book value



At 31 May 2024
12,312



At 31 May 2023
8,929

Page 23

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

15.


Fixed asset investments





Investments in subsidiary companies

£



Cost


At 1 June 2023
1,266,761



At 31 May 2024
1,266,761




Titan Interior Solutions Limited along with related parties, Horbury Joinery Limited and Horbury Support Services Limited each own 33.3% of the issued share capital of South Grove House Limited which provides managed office facilities to these companies.
The directors are of the opinion that the carrying value of the investment is supported by the underlying assets held within South Grove House Limited.


Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Registered office

Class of shares

Holding

Titan Flooring Limited
England and Wales
Ordinary
95.0%
South Grove House Limited
England and Wales
Ordinary
33.3%


16.


Debtors

2024
2023
£
£


Trade debtors
1,984,652
7,571,369

Amounts recoverable on long-term contracts
5,321,922
4,066,034

Amounts owed by group undertakings
4,394,831
689,706

Other debtors
32,950
826,330

Prepayments and accrued income
32,604
27,007

Deferred taxation (Note 21)
-
137,000

11,766,959
13,317,446


Included in trade debtors are amounts of £866,982 (2023: £1,305,476) which are debts due in more than twelve months

Page 24

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

17.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
6,852,813
5,796,508

6,852,813
5,796,508



18.


Creditors: Amounts falling due within one year

2024
2023
£
£

Bank loans
-
59,796

Trade creditors
6,029,449
8,685,615

Amounts owed to group undertakings
3,250,958
853,194

Other taxation and social security
322,280
452,375

Other creditors
1,042,792
1,276,045

Accruals and deferred income
562,119
1,153,800

11,207,598
12,480,825



19.


Creditors: Amounts falling due after more than one year

2024
2023
£
£

Bank loans
-
94,613

-
94,613


Page 25

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

20.


Loans


Analysis of the maturity of loans is given below:


2024
2023
£
£

Amounts falling due within one year

Bank loans
-
59,796

Amounts falling due 1-2 years

Bank loans
-
94,613



-
154,409


The long-term loans are secured by fixed and floating charges of the company and fellow group companies.

The bank loan is repayable in 10 years following the twelve month anniversary of the initial drawdown. The repayment terms of the loan state that monthly instalments of £4,983 are to be paid, exclusive of interest. The interest rate is 3.25% over the Bank of England's base rate and is charged separately.

The loan has been repaid in full during the year.


21.


Deferred taxation




2024


£






At beginning of year
128,000


Utilised in year
(133,998)



At end of year
(5,998)

Page 26

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
 
21.Deferred taxation (continued)

The deferred tax balance is made up as follows:

2024
2023
£
£


Accelerated capital allowances
(5,998)
128,000

(5,998)
128,000

Comprising:

Asset - due within one year
-
137,000

Liability
(5,998)
(9,000)

(5,998)
128,000



22.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



122 (2023 - 122) Ordinary shares of £1.00 each
122
122



23.


Contingent liabilities

The Company's bankers hold an unlimited Composite Company Limited Multilateral Guarantee and debenture between the following group companies: Horbury Group Limited, Horbury Joinery Limited, Tubular Scaffolding Services Limited, Titan Interior Solutions Limited, T.I.S. Services Limited, South Grove House Limited, Millstone Building Limited, Magna Plant and Tool Hire Limited, Horbury Support Services Limited (formerly known as G.B.W. (Tool Hire) Limited), Horbury Property Services Limited, Horbury Building Systems Limited, Titan Flooring Limited and Environ Safety Management Limited.


24.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company  in an independently administered fund. The pension cost charge represents contributions payable by the Company  to the fund and amounted to £129,410 (2023 - £123,109).

Page 27

 
TITAN INTERIOR SOLUTIONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

25.


Commitments under operating leases

At 31 May 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£


Not later than 1 year
177,166
241,939

Later than 1 year and not later than 5 years
201,892
362,048

379,058
603,987


26.


Related party transactions

The company has taken advantage of the exemption under paragraph 33.1A from the provisions of section 33 of FRS 102. Related party disclosures, from disclosing transaction with wholly owned subsidiary undertakings. 

Transactions during the year and balances at the year end with related parties are shown below:

2024
2023
£
£

Purchases from fellow subsidiaries
-
(119,826)
Management services paid to subsidiaries
(1,451,774)
(1,393,989)
Rent payable to fellow subsidiaries
(180,000)
(135,000)
Balances owed to group undertakings
(3,250,958)
(853,194)
Balance due from group undertakings
4,394,831
689,706

Advances or credits have been granted by the company to its directors as follows:
At the year-end the directors of the company owed £23,243 (2023: £23,243). During the year there were no advances or repayments by the directors. Loans to directors are interest free and repayable on demand.


27.


Controlling party

The immediate and ultimate parent undertaking and controlling party is Horbury Group Limited, which
prepares group financial statements.
The registered office of Horbury Group Limited is South Grove House, South Grove, Rotherham, South
Yorkshire, S60 2AF.

 
Page 28