Company registration number 01799705 (England and Wales)
ABEL GROUP LIMITED
ANNUAL REPORT AND
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 DECEMBER 2023
ABEL GROUP LIMITED
COMPANY INFORMATION
Directors
M Eyre
J D W Mulloy
Secretary
M Keay
Company number
01799705
Registered office
Detection House
4 Vaughan Way
Leicester
LE1 4ST
Auditor
Newby Castleman LLP
West Walk Building
110 Regent Road
Leicester
LE1 7LT
ABEL GROUP LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Independent auditor's report
3 - 5
Consolidated profit and loss account
6
Consolidated statement of comprehensive income
7
Group balance sheet
8
Company balance sheet
9
Group statement of changes in equity
10
Company statement of changes in equity
11
Consolidated statement of cash flows
12
Notes to the financial statements
13 - 26
ABEL GROUP LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The directors present the strategic report for the year ended 31 December 2023.

Review of the business

The directors aim to present a balanced and comprehensive review of the development and performance of the group during the year and its position at the year end. This review is consistent with the size and non-complex nature of the group and is written in the context of the risks and uncertainties that the group faces.

 

The group continues to install and provide rental and maintenance of electronic security systems, as well as operate a designer fashion boutique selling rare designer fashion items.

 

The key financial performance indicators are those that communicate the financial performance and strength of the group as a whole, these being turnover and gross profit margin. During the year turnover has increased by 8.7% and the gross profit margin has increased to 47.0% in 2023 compared with 46.5% in 2022.

 

Overall there was an operating loss of £45,968 (2022 - £255,831 profit) and profit before tax of £2,880 (2022 - £263,161). After taxation and dividends, group reserves have decreased by £73,079 (2022 - £130,813 increase).

 

The principal risks and uncertainties facing the group are continually monitored by the directors who seek to mitigate such risks. Competitive pressure is a continuing risk in the security systems market and margins continue to be tight. The group responds to this risk by offering leading edge technology and providing a range of added-value services to its customers. Mounting levels of inflation throughout 2023 gave rise to increased costs most particularly within finished goods and fuel expenditure. The directors continue to meet this challenge within regular price review meetings.

On behalf of the board

J D W Mulloy
Director
16 September 2024
ABEL GROUP LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -

The directors present their report and financial statements for the year ended 31 December 2023.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

M Eyre
J D W Mulloy
Results and dividends

The results for the year are set out on page 6.

Dividends of £45,600 were paid. The directors do not recommend payment of a further dividend.

Statement of directors' responsibilities

The directors are responsible for preparing the Annual 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). 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

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

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

On behalf of the board
J D W Mulloy
Director
16 September 2024
ABEL GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ABEL GROUP LIMITED
- 3 -
Opinion

We have audited the financial statements of Abel Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Group Profit And Loss Account, the Group Statement of Comprehensive Income, the Group Balance Sheet, the Company Balance Sheet, the Group Statement of Changes in Equity, the Company Statement of Changes in Equity, the Group Statement of Cash Flows and 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 FRS 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:

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 Auditor's 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 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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.

Opinions on other matters prescribed by the Companies Act 2006

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

ABEL GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ABEL GROUP LIMITED
- 4 -
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 their 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:

Responsibilities of directors

As explained more fully in the Directors' Responsibilities Statement set out on page 2, 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 auditor's 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.

Extent to which the audit was considered capable of detecting irregularities

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. However, responsibility for the prevention and detection of fraud ultimately rests with both those charged with governance and management of the group.

 

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:

 

ABEL GROUP LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ABEL GROUP LIMITED
- 5 -
Audit response to risks of irregularities identified

Our procedures to respond to risks identified included the following:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's 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 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 auditor's 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.

Christopher Castleman FCA (Senior Statutory Auditor)
For and on behalf of Newby Castleman LLP
16 September 2024
Chartered Accountants
Statutory Auditor
West Walk Building
110 Regent Road
Leicester
LE1 7LT
ABEL GROUP LIMITED
CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
2023
2022
Notes
£
£
Turnover
3
10,023,740
9,222,374
Cost of sales
(5,313,476)
(4,929,786)
Gross profit
4,710,264
4,292,588
Distribution costs
(954,716)
(924,117)
Administrative expenses
(3,801,516)
(3,112,640)
Operating (loss)/profit
4
(45,968)
255,831
Interest receivable and similar income
8
48,848
7,330
Profit before taxation
2,880
263,161
Taxation
9
(67,420)
(108,506)
(Loss)/profit for the financial year
(64,540)
154,655
(Loss)/profit for the financial year is attributable to:
- Owners of the parent company
(57,550)
130,590
- Non-controlling interests
(6,990)
24,065
(64,540)
154,655

The profit and loss account has been prepared on the basis that all operations are continuing operations.

ABEL GROUP LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
2023
2022
£
£
(Loss)/profit for the year
(64,540)
154,655
Other comprehensive income
Tax relating to other comprehensive income
-
0
46,623
Total comprehensive income for the year
(64,540)
201,278
Total comprehensive income for the year is attributable to:
- Owners of the parent company
(57,550)
177,213
- Non-controlling interests
(6,990)
24,065
(64,540)
201,278
ABEL GROUP LIMITED
GROUP BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 8 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
10
144,170
208,056
Other intangible assets
10
979,684
1,133,114
Total intangible assets
1,123,854
1,341,170
Tangible assets
11
2,103,706
2,056,617
3,227,560
3,397,787
Current assets
Stocks
13
234,462
188,423
Debtors
14
1,993,123
2,097,564
Cash at bank and in hand
3,640,760
3,217,430
5,868,345
5,503,417
Creditors: amounts falling due within one year
15
(4,027,844)
(3,715,442)
Net current assets
1,840,501
1,787,975
Total assets less current liabilities
5,068,061
5,185,762
Provisions for liabilities
17
(36,753)
(44,314)
Net assets
5,031,308
5,141,448
Capital and reserves
Called up share capital
19
7,443
7,443
Share premium account
20
498,699
498,699
Revaluation reserve
21
358,527
363,329
Other reserves
31,194
31,103
Profit and loss reserves
22
3,535,597
3,603,965
Equity attributable to owners of the parent company
4,431,460
4,504,539
Non-controlling interests
599,848
636,909
5,031,308
5,141,448
The financial statements were approved by the board of directors and authorised for issue on 16 September 2024 and are signed on its behalf by:
16 September 2024
J D W Mulloy
Director
ABEL GROUP LIMITED
COMPANY BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
11
181,746
185,276
Investments
12
47,852
47,852
229,598
233,128
Current assets
Debtors
14
633,983
601,918
Net current assets
633,983
601,918
Total assets less current liabilities
863,581
835,046
Capital and reserves
Called up share capital
19
7,443
7,443
Share premium account
20
498,699
498,699
Profit and loss reserves
22
357,439
328,904
Total equity
863,581
835,046

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £28,535 (2022 - £32,457).

The financial statements were approved by the board of directors and authorised for issue on 16 September 2024 and are signed on its behalf by:
16 September 2024
J D W Mulloy
Director
Company Registration No. 01799705
ABEL GROUP LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
Share capital
Share premium account
Revaluation reserve
Other reserves
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
£
£
Balance at 1 January 2022
7,443
498,699
355,084
31,103
3,481,397
4,373,726
612,844
4,986,570
Year ended 31 December 2022:
Profit for the year
-
-
-
-
130,590
130,590
24,065
154,655
Other comprehensive income:
-
Tax relating to other comprehensive income
-
-
46,623
-
-
0
46,623
-
46,623
Total comprehensive income for the year
-
-
46,623
-
130,590
177,213
24,065
201,278
Dividends
-
-
-
-
(46,400)
(46,400)
-
(46,400)
Transfers
-
-
(38,378)
-
38,378
-
-
-
Balance at 31 December 2022
7,443
498,699
363,329
31,103
3,603,965
4,504,539
636,909
5,141,448
Year ended 31 December 2023:
Loss and total comprehensive income for the year
-
-
-
-
(57,550)
(57,550)
(6,990)
(64,540)
Dividends
-
-
-
-
(45,600)
(45,600)
-
(45,600)
Transfers
-
-
(5,851)
-
5,851
-
-
-
Movement in non-controlling interest
-
-
1,049
91
28,931
30,071
(30,071)
-
Balance at 31 December 2023
7,443
498,699
358,527
31,194
3,535,597
4,431,460
599,848
5,031,308
ABEL GROUP LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
Share capital
Share premium account
Profit and loss reserves
Total
£
£
£
£
Balance at 1 January 2022
7,443
498,699
296,447
802,589
Year ended 31 December 2022:
Profit and total comprehensive income for the year
-
-
32,457
32,457
Balance at 31 December 2022
7,443
498,699
328,904
835,046
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
28,535
28,535
Balance at 31 December 2023
7,443
498,699
357,439
863,581
ABEL GROUP LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 12 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
29
896,290
717,599
Income taxes paid
(126,545)
(208,413)
Net cash inflow from operating activities
769,745
509,186
Investing activities
Purchase of intangible assets
(9,929)
(452,190)
Purchase of tangible fixed assets
(670,842)
(308,313)
Proceeds on disposal of tangible fixed assets
331,108
367,000
Proceeds on disposal of investment property
-
275,000
Interest received
48,848
7,330
Net cash used in investing activities
(300,815)
(111,173)
Dividends paid to non-controlling interests
(45,600)
(46,400)
Net cash used in financing activities
(45,600)
(46,400)
Net increase in cash and cash equivalents
423,330
351,613
Cash and cash equivalents at beginning of year
3,217,430
2,865,817
Cash and cash equivalents at end of year
3,640,760
3,217,430
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 13 -
1
Accounting policies
Company information

Abel Group Limited (“the Company”) is a private company limited by shares, domiciled and incorporated in England and Wales. The address of the registered office which is the same as the place of business is given in the company information page of these financial statements.

 

The group consists of Abel Group Limited and its subsidiary ("the Group").

1.1
Basis of preparation

These financial statements have been prepared in accordance with applicable accounting standards including 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 Group. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, as modified to include the revaluation of certain freehold properties (in accordance with FRS 102). The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of 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 taken advantage of the exemption from preparing a statement of cash flows on the basis that the group statement of cash flows, included in these financial statements, includes the company's cash flows.

1.2
Basis of consolidation

The consolidated financial statements incorporate those of Abel Group Limited and its subsidiary. All financial statements are made up to 31 December 2023.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation.

 

Where necessary, adjustments are made to the financial statements of the subsidiary to bring the accounting policies used into line with those used by other members of the Group.

1.3
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4
Turnover

Turnover is recognised as the fair value of the consideration received or receivable for goods and services provided in the normal course of business and comprises;

 

-Turnover from installation of security systems, which is recognised when the installation is complete.

 

-Turnover from rental and maintenance services, which is recognised equally over the period that the services are provided.

 

-Turnover from sale of goods is recognised on the date that the goods are despatched as this is the point that all risks and rewards are deemed to be transferred.

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
1.5
Intangible fixed assets

Intangible fixed assets acquired separately from a business are initially recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Intangible assets are written off on a straight line basis over their estimated useful economic life of 10 years.

 

Goodwill arising on the acquisition of subsidiary undertakings, representing the excess of the fair value of the consideration given over the fair value of identifiable assets and liabilities acquired, is capitalised and written off on a straight line basis over its useful economic life, which is 10 years. Provision is made for any impairment.

1.6
Tangible fixed assets

Tangible fixed assets are measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold property
Over periods up to 50 years
Long leasehold property
4% per annum of cost or valuation
Leasehold alterations
4% per annum of cost
Plant and machinery
15% per annum of net book value
Fixtures, fittings & equipment
15%-25% per annum of net book value/33% of cost
Motor vehicles
25% per annum of net book value
No depreciation is provided in respect of freehold land.

The Group previously adopted a policy of revaluing freehold properties. The Group has adopted the transition exemption under FRS 102 paragraph 35.10(d) and has elected to use the previous revaluation as deemed cost.

1.7
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount in order to determine the extent of the impairment loss (if any). Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the profit and loss account unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

1.8
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials costs. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

1.9
Financial instruments

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Debtors and creditors with no stated interest rate and receivable or payable within one year are measured at transaction price. Any losses arising from impairment are recognised in the profit and loss account.

1.10
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 15 -
Current tax

The tax currently payable is based on taxable profit for the year. The Group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.

1.11
Employee benefits

When employees have rendered service to the Group, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

1.12
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.13
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to income on a straight line basis over the term of the relevant lease.

2
Judgements and key sources of estimation uncertainty

In the application of the Group’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.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows:

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates.

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
2
Judgements and key sources of estimation uncertainty
(Continued)
- 16 -
Useful economic lives of intangible assets

The annual amortisation charge for intangible assets is sensitive to changes in the estimated useful economic lives. The useful economic lives are re-assessed annually. They are amended when necessary to reflect current estimates.

3
Turnover and other revenue

An analysis of the Group's turnover is as follows:

2023
2022
£
£
Turnover
Sale of goods
5,701,486
4,968,525
Sale of services
4,322,254
4,253,849
10,023,740
9,222,374
Other revenue
Interest income
48,848
7,330

All turnover originates in the United Kingdom from the group's principal activity.

4
Operating (loss)/profit
2023
2022
£
£
Operating (loss)/profit for the year is stated after charging/(crediting):
Depreciation of owned tangible fixed assets
264,318
238,484
Loss/(profit) on disposal of tangible fixed assets
24,827
(164,479)
Amortisation of intangible assets
227,245
215,385
Operating lease charges
41,000
41,000
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
2,000
2,000
Audit of the financial statements of the company's subsidiaries
11,000
11,000
13,000
13,000
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 17 -
6
Employees

The average monthly number of persons (including directors) employed by the Group during the year was:

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Management and administration
33
30
-
-
Production
77
80
-
-
Sales
5
3
-
-
Total
115
113
-
0
-
0

Their aggregate remuneration comprised:

Group
Company
2023
2022
2023
2022
£
£
£
£
Wages and salaries
4,866,228
4,264,262
-
0
-
0
Social security costs
507,955
479,714
-
-
Pension costs
82,147
73,364
-
0
-
0
5,456,330
4,817,340
-
0
-
0
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
940,402
540,812

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2022 - 1).

Remuneration disclosed above includes the following amounts paid to the highest paid director:
Remuneration for qualifying services
788,946
423,767
Company pension contributions to defined contribution schemes
1,321
1,321
8
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
48,848
7,330
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
8
Interest receivable and similar income
(Continued)
- 18 -
2023
2022
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
48,848
7,330
9
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
74,981
126,545
Deferred tax
Origination and reversal of timing differences
(7,561)
(18,039)
Total tax charge
67,420
108,506

From 1 April 2023, the UK corporation tax rate increased from 19% to 25%. The current year rate is pro-rated accordingly.

The charge for the year can be reconciled to the profit per the profit and loss account as follows:

2023
2022
£
£
Profit before taxation
2,880
263,161
Expected tax charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
677
50,001
Tax effect of expenses that are not deductible in determining taxable profit
5,967
1,531
Effect of change in corporation tax rate
(446)
(15,520)
Permanent capital allowances in excess of depreciation
(406)
(4,782)
Depreciation on assets not qualifying for tax allowances
61,628
47,618
Chargeable gain
-
0
21,562
Tax on fair value reserve
-
0
46,623
Profit on disposal of ineligible assets
-
(38,527)
Taxation charge
67,420
108,506
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
9
Taxation
(Continued)
- 19 -

In addition to the amount charged to the profit and loss account, the following amounts relating to tax have been recognised directly in other comprehensive income:

2023
2022
£
£
Deferred tax arising on:
Revaluation of property
-
(46,623)
10
Intangible fixed assets
Group
Goodwill
Customer lists
Total
£
£
£
Cost
At 1 January 2023
2,785,917
1,635,318
4,421,235
Additions - separately acquired
-
0
9,929
9,929
At 31 December 2023
2,785,917
1,645,247
4,431,164
Amortisation and impairment
At 1 January 2023
2,577,861
502,204
3,080,065
Amortisation charged for the year
63,886
163,359
227,245
At 31 December 2023
2,641,747
665,563
3,307,310
Carrying amount
At 31 December 2023
144,170
979,684
1,123,854
At 31 December 2022
208,056
1,133,114
1,341,170
The company had no intangible fixed assets at 31 December 2023 or 31 December 2022.

The following intangible assets, excluding goodwill, are individually material to the financial statements:

 

 

Carrying value            Remaining amortisation period

 

Customer list            £241,819 (2022: £277,502)        6.8 years

Customer list            £417,248 (2022: £478,629)        8.3 years

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 20 -
11
Tangible fixed assets
Group
Freehold property
Long leasehold property
Leasehold alterations
Plant and machinery
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
£
£
£
Cost or valuation
At 1 January 2023
1,335,000
406,639
30,206
236,946
1,715,344
1,221,239
4,945,374
Additions
-
0
-
0
-
0
-
0
79,232
591,610
670,842
Disposals
-
0
-
0
-
0
-
0
-
0
(497,751)
(497,751)
At 31 December 2023
1,335,000
406,639
30,206
236,946
1,794,576
1,315,098
5,118,465
Depreciation and impairment
At 1 January 2023
258,376
96,216
25,101
234,002
1,553,668
721,394
2,888,757
Depreciation charged in the year
19,713
12,266
1,208
441
47,685
183,005
264,318
Eliminated in respect of disposals
-
0
-
0
-
0
-
0
-
0
(138,316)
(138,316)
At 31 December 2023
278,089
108,482
26,309
234,443
1,601,353
766,083
3,014,759
Carrying amount
At 31 December 2023
1,056,911
298,157
3,897
2,503
193,223
549,015
2,103,706
At 31 December 2022
1,076,624
310,423
5,105
2,944
161,676
499,845
2,056,617
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 21 -
Company
Long leasehold property
Fixtures, fittings & equipment
Total
£
£
£
Cost or valuation
At 1 January 2023
192,328
917
193,245
Additions
-
0
292
292
At 31 December 2023
192,328
1,209
193,537
Depreciation and impairment
At 1 January 2023
7,616
353
7,969
Depreciation charged in the year
3,694
128
3,822
At 31 December 2023
11,310
481
11,791
Carrying amount
At 31 December 2023
181,018
728
181,746
At 31 December 2022
184,712
564
185,276

The Group has adopted the transition exemption under FRS 102 paragraph 35.10(d) and has elected to use a previous revaluation as the deemed cost for freehold properties held at the date of transition to FRS 102.

 

The freehold properties were last revalued in either 2012 or 2013 on the basis of existing use value by independent qualified valuers. The resulting revaluation adjustments were taken to the revaluation reserve.

The comparable historic cost of the freehold properties that have been valued using the deemed cost exemption at the date of transition to FRS 102 is as follows:

 

Group
Company
2023
2022
2023
2022
£
£
£
£
Cost
490,318
490,318
-
-
Accumulated depreciation
(221,982)
(217,262)
-
-
Carrying value
268,336
273,056
-
-
12
Fixed asset investments
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Investments in subsidiaries
28
-
0
-
0
47,852
47,852
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
12
Fixed asset investments
(Continued)
- 22 -
Movements in fixed asset investments
Company
Shares in group undertakings
£
Cost or valuation
At 1 January 2023 and 31 December 2023
47,852
Carrying amount
At 31 December 2023
47,852
At 31 December 2022
47,852
13
Stocks
Group
Company
2023
2022
2023
2022
£
£
£
£
Finished goods and goods for resale
234,462
188,423
-
0
-
0
14
Debtors
Group
Company
2023
2022
2023
2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
1,569,057
1,713,710
-
0
-
0
Amounts owed by subsidiary undertakings
-
-
633,983
601,918
Other debtors
5,067
10,391
-
0
-
0
Prepayments and accrued income
418,999
373,463
-
0
-
0
1,993,123
2,097,564
633,983
601,918
15
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
£
£
£
£
Directors' current account
127,024
726
-
0
-
0
Corporation tax payable
74,981
126,545
-
0
-
0
Other taxation and social security
344,600
311,772
-
0
-
0
Payments received on account
2,321,274
2,230,756
-
0
-
0
Trade creditors
806,533
713,100
-
0
-
0
Other creditors
54,895
123,722
-
-
Accruals and deferred income
298,537
208,821
-
0
-
0
4,027,844
3,715,442
-
-
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 23 -
16
Provisions for liabilities
Group
Company
2023
2022
2023
2022
£
£
£
£
Deferred tax liabilities
17
36,753
44,314
-
0
-
0
17
Deferred taxation

Deferred tax assets and liabilities are offset where the Group or Company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2023
2022
Group
£
£
Accelerated capital allowances
27,631
30,409
Other timing differences
9,122
13,905
36,753
44,314
The company has no deferred tax assets or liabilities.
Group
Company
2023
2023
Movements in the year:
£
£
Liability at 1 January 2023
44,314
-
Credit to profit or loss
(7,561)
-
Liability at 31 December 2023
36,753
-
18
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit and loss in respect of defined contribution schemes
82,147
73,364

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the Group in an independently administered fund.

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 24 -
19
Share capital
Group and company
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of 10p each
74,430
74,430
7,443
7,443

There is a single class of ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital.

20
Share premium account

This reserve represents the premium on shares issued at a value that exceeds their nominal value.

21
Revaluation reserve

The revaluation reserve comprises revaluation surpluses for certain freehold and investment properties net of associated deferred tax on these surpluses.

22
Profit and loss reserves

The profit and loss reserve comprises retained profits and losses for the current and prior periods.

23
Operating lease commitments
Lessee

At the reporting end date the Group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2023
2022
2023
2022
£
£
£
£
Within one year
37,000
41,000
-
-
Between two and five years
100,000
112,000
-
-
In over five years
262,500
287,500
-
-
399,500
440,500
-
-
24
Capital commitments

Amounts contracted for but not provided in the financial statements:

Group
Company
2023
2022
2023
2022
£
£
£
£
Acquisition of tangible fixed assets
-
75,125
-
-
ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 25 -
25
Related party transactions
Remuneration of key management personnel

The remuneration of key management personnel is as follows.

2023
2022
£
£
Aggregate compensation
1,221,968
883,570
Transactions with related parties

 

Group

The Group occupies properties owned by close family of a director and a rental of £16,000 (2022: £16,000) was charged to the Group in the year in respect of these properties.

 

During the year, dividends of £40,800 (2022: £40,000) were paid to the company directors.

 

During the year, remuneration of £71,917 (2022: £59,650) was paid to close family members of the directors.

 

No guarantees have been given or received.

 

Company

During the year, dividends of £44,800 (2022: £44,000) were received from the subsidiary company.

26
Directors' transactions

Advances or credits have been granted by the group to its directors as follows:

Description
Opening balance
Amounts advanced
Amounts repaid
Closing balance
£
£
£
£
Directors
-
86,341
(86,341)
-
-
86,341
(86,341)
-
27
Controlling party

The ultimate controlling party is J Mulloy through his controlling interest of 57% in Abel Group Limited.

28
Subsidiaries

Details of the company's subsidiary at 31 December 2023 are as follows:

Name of undertaking
Country of
Nature of business
Class of
% Held
incorporation
shareholding
Abel Alarm Company Limited
England & Wales
Provision of security systems
Ordinary
86

The registered office address of the subsidiary is the same as the company's registered office address as given in the company information page of these financial statements.

ABEL GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 26 -
29
Cash generated from group operations
2023
2022
£
£
(Loss)/profit for the year after tax
(64,540)
154,655
Adjustments for:
Taxation charged
67,420
108,506
Investment income
(48,848)
(7,330)
Loss/(gain) on disposal of tangible fixed assets
24,827
(164,479)
Amortisation and impairment of intangible assets
227,245
215,385
Depreciation and impairment of tangible fixed assets
264,318
238,484
Movements in working capital:
(Increase) in stocks
(46,039)
(16,842)
Decrease/(increase) in debtors
104,442
(128,299)
Increase in creditors
367,465
317,519
Cash generated from operations
896,290
717,599
30
Analysis of changes in net funds - group
1 January 2023
Cash flows
31 December 2023
£
£
£
Cash at bank and in hand
3,217,430
423,330
3,640,760
2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.200No description of principal activityP J EyreM EyreJ P EyreR J R MulloyJ D W MulloyM Keayfalsefalse01799705bus:Consolidated2023-01-012023-12-31017997052023-01-012023-12-3101799705bus:Director22023-01-012023-12-3101799705bus:Director52023-01-012023-12-3101799705bus:CompanySecretary12023-01-012023-12-3101799705bus:Director12023-01-012023-12-3101799705bus:Director32023-01-012023-12-3101799705bus:Director42023-01-012023-12-3101799705bus:RegisteredOffice2023-01-012023-12-3101799705bus:Consolidated2023-12-3101799705bus:Consolidated2022-01-012022-12-31017997052023-12-3101799705core:Goodwillbus:Consolidated2023-12-3101799705core:Goodwillbus:Consolidated2022-12-3101799705core:OtherResidualIntangibleAssetsbus:Consolidated2023-12-3101799705core:OtherResidualIntangibleAssetsbus:Consolidated2022-12-3101799705core:PatentsTrademarksLicencesConcessionsSimilarbus:Consolidated2023-12-3101799705core:PatentsTrademarksLicencesConcessionsSimilarbus:Consolidated2022-12-3101799705bus:Consolidated2022-12-31017997052022-01-012022-12-3101799705core:RevaluationReservebus:Consolidated2022-01-012022-12-3101799705core:RevenueReservesInvestmentFundsOnlybus:Consolidated2022-01-012022-12-31017997052022-12-3101799705core:LandBuildingscore:OwnedOrFreeholdAssetsbus:Consolidated2023-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLesseebus:Consolidated2023-12-3101799705core:LeaseholdImprovementsbus:Consolidated2023-12-3101799705core:PlantMachinerybus:Consolidated2023-12-3101799705core:FurnitureFittingsbus:Consolidated2023-12-3101799705core:MotorVehiclesbus:Consolidated2023-12-3101799705core:LandBuildingscore:OwnedOrFreeholdAssetsbus:Consolidated2022-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLesseebus:Consolidated2022-12-3101799705core:LeaseholdImprovementsbus:Consolidated2022-12-3101799705core:PlantMachinerybus:Consolidated2022-12-3101799705core:FurnitureFittingsbus:Consolidated2022-12-3101799705core:MotorVehiclesbus:Consolidated2022-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-12-3101799705core:FurnitureFittings2023-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3101799705core:FurnitureFittings2022-12-3101799705core:ShareCapitalbus:Consolidated2023-12-3101799705core:ShareCapitalbus:Consolidated2022-12-3101799705core:SharePremiumbus:Consolidated2023-12-3101799705core:SharePremiumbus:Consolidated2022-12-3101799705core:RevaluationReservebus:Consolidated2023-12-3101799705core:RevaluationReservebus:Consolidated2022-12-3101799705core:OtherMiscellaneousReservebus:Consolidated2023-12-3101799705core:OtherMiscellaneousReservebus:Consolidated2022-12-3101799705core:ShareCapital2023-12-3101799705core:ShareCapital2022-12-3101799705core:SharePremium2023-12-3101799705core:SharePremium2022-12-3101799705core:RetainedEarningsAccumulatedLosses2023-12-3101799705core:RetainedEarningsAccumulatedLosses2022-12-3101799705core:Non-controllingInterestsbus:Consolidated2022-12-3101799705core:Non-controllingInterestsbus:Consolidated2023-12-3101799705core:ShareCapital2021-12-3101799705core:SharePremium2021-12-3101799705core:RetainedEarningsAccumulatedLosses2021-12-3101799705bus:Consolidated2021-12-3101799705core:Goodwill2023-01-012023-12-3101799705core:LandBuildingscore:OwnedOrFreeholdAssets2023-01-012023-12-3101799705core:LandBuildingscore:LongLeaseholdAssets2023-01-012023-12-3101799705core:LeaseholdImprovementscore:LeasedAssetsHeldAsLessee2023-01-012023-12-3101799705core:PlantMachinery2023-01-012023-12-3101799705core:FurnitureFittings2023-01-012023-12-3101799705core:MotorVehicles2023-01-012023-12-3101799705core:UKTaxbus:Consolidated2023-01-012023-12-3101799705core:UKTaxbus:Consolidated2022-01-012022-12-3101799705bus:Consolidated12023-01-012023-12-3101799705bus:Consolidated12022-01-012022-12-3101799705bus:Consolidated22023-01-012023-12-3101799705bus:Consolidated22022-01-012022-12-3101799705core:Goodwillbus:Consolidated2022-12-3101799705core:PatentsTrademarksLicencesConcessionsSimilarbus:Consolidated2022-12-3101799705bus:Consolidated2022-12-3101799705core:Goodwillcore:ExternallyAcquiredIntangibleAssetsbus:Consolidated2023-01-012023-12-3101799705core:PatentsTrademarksLicencesConcessionsSimilarcore:ExternallyAcquiredIntangibleAssetsbus:Consolidated2023-01-012023-12-3101799705core:ExternallyAcquiredIntangibleAssetsbus:Consolidated2023-01-012023-12-3101799705core:Goodwillbus:Consolidated2023-01-012023-12-3101799705core:PatentsTrademarksLicencesConcessionsSimilarbus:Consolidated2023-01-012023-12-3101799705core:LandBuildingscore:OwnedOrFreeholdAssetsbus:Consolidated2022-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLesseebus:Consolidated2022-12-3101799705core:LeaseholdImprovementsbus:Consolidated2022-12-3101799705core:PlantMachinerybus:Consolidated2022-12-3101799705core:FurnitureFittingsbus:Consolidated2022-12-3101799705core:MotorVehiclesbus:Consolidated2022-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3101799705core:FurnitureFittings2022-12-31017997052022-12-3101799705core:LandBuildingscore:OwnedOrFreeholdAssetsbus:Consolidated2023-01-012023-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLesseebus:Consolidated2023-01-012023-12-3101799705core:LeaseholdImprovementsbus:Consolidated2023-01-012023-12-3101799705core:PlantMachinerybus:Consolidated2023-01-012023-12-3101799705core:FurnitureFittingsbus:Consolidated2023-01-012023-12-3101799705core:MotorVehiclesbus:Consolidated2023-01-012023-12-3101799705core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-01-012023-12-3101799705core:CurrentFinancialInstruments2023-12-3101799705core:CurrentFinancialInstruments2022-12-3101799705core:CurrentFinancialInstrumentsbus:Consolidated2023-12-3101799705core:CurrentFinancialInstrumentsbus:Consolidated2022-12-3101799705core:CurrentFinancialInstrumentscore:WithinOneYearbus:Consolidated2023-12-3101799705core:CurrentFinancialInstrumentscore:WithinOneYearbus:Consolidated2022-12-3101799705core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3101799705core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-310179970512023-01-012023-12-3101799705bus:PrivateLimitedCompanyLtd2023-01-012023-12-3101799705bus:FRS1022023-01-012023-12-3101799705bus:Audited2023-01-012023-12-3101799705bus:ConsolidatedGroupCompanyAccounts2023-01-012023-12-3101799705bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP