Vastern Timber Company Limited 00308754 false 2023-01-01 2023-12-31 2023-12-31 The principal activity of the company is Sawmilling and planing of wood Digita Accounts Production Advanced 6.30.9574.0 true false true 00308754 2023-01-01 2023-12-31 00308754 2023-12-31 00308754 2 2023-12-31 00308754 core:RetainedEarningsAccumulatedLosses 2023-12-31 00308754 core:ShareCapital 2023-12-31 00308754 core:CurrentFinancialInstruments 2023-12-31 00308754 core:CurrentFinancialInstruments core:WithinOneYear 2023-12-31 00308754 core:Non-currentFinancialInstruments 2023-12-31 00308754 core:Non-currentFinancialInstruments core:AfterOneYear 2023-12-31 00308754 core:MoreThanFiveYears 1 2023-12-31 00308754 core:FurnitureFittings 2023-12-31 00308754 core:LandBuildings core:OwnedOrFreeholdAssets 2023-12-31 00308754 core:MotorVehicles 2023-12-31 00308754 core:PlantMachinery 2023-12-31 00308754 1 2023-12-31 00308754 bus:SmallEntities 2023-01-01 2023-12-31 00308754 bus:AuditExemptWithAccountantsReport 2023-01-01 2023-12-31 00308754 bus:FilletedAccounts 2023-01-01 2023-12-31 00308754 bus:SmallCompaniesRegimeForAccounts 2023-01-01 2023-12-31 00308754 bus:RegisteredOffice 2023-01-01 2023-12-31 00308754 bus:Director4 2023-01-01 2023-12-31 00308754 bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 00308754 core:Buildings 2023-01-01 2023-12-31 00308754 core:FurnitureFittings 2023-01-01 2023-12-31 00308754 core:Land 2023-01-01 2023-12-31 00308754 core:LandBuildings core:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 00308754 core:MotorVehicles 2023-01-01 2023-12-31 00308754 core:PlantMachinery 2023-01-01 2023-12-31 00308754 1 2023-01-01 2023-12-31 00308754 1 2023-01-01 2023-12-31 00308754 countries:EnglandWales 2023-01-01 2023-12-31 00308754 2022-12-31 00308754 core:FurnitureFittings 2022-12-31 00308754 core:LandBuildings core:OwnedOrFreeholdAssets 2022-12-31 00308754 core:MotorVehicles 2022-12-31 00308754 core:PlantMachinery 2022-12-31 00308754 2022-01-01 2022-12-31 00308754 2022-12-31 00308754 2 2022-12-31 00308754 core:RetainedEarningsAccumulatedLosses 2022-12-31 00308754 core:ShareCapital 2022-12-31 00308754 core:CurrentFinancialInstruments 2022-12-31 00308754 core:CurrentFinancialInstruments core:WithinOneYear 2022-12-31 00308754 core:Non-currentFinancialInstruments 2022-12-31 00308754 core:Non-currentFinancialInstruments core:AfterOneYear 2022-12-31 00308754 core:MoreThanFiveYears 1 2022-12-31 00308754 core:FurnitureFittings 2022-12-31 00308754 core:LandBuildings core:OwnedOrFreeholdAssets 2022-12-31 00308754 core:MotorVehicles 2022-12-31 00308754 core:PlantMachinery 2022-12-31 00308754 1 2022-12-31 iso4217:GBP xbrli:pure

Registration number: 00308754

Vastern Timber Company Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2023

 

Vastern Timber Company Limited

Contents

Balance Sheet

1 to 2

Notes to the Unaudited Financial Statements

3 to 11

 

Vastern Timber Company Limited

(Registration number: 00308754)
Balance Sheet as at 31 December 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

4

1,712,866

1,578,670

Investment property

5

1,050,000

1,050,000

 

2,762,866

2,628,670

Current assets

 

Stocks

3,017,613

3,304,913

Debtors

6

519,198

419,869

Cash at bank and in hand

 

594,205

392,472

 

4,131,016

4,117,254

Creditors: Amounts falling due within one year

7

(2,135,500)

(1,881,971)

Net current assets

 

1,995,516

2,235,283

Total assets less current liabilities

 

4,758,382

4,863,953

Creditors: Amounts falling due after more than one year

7

(387,697)

(335,125)

Provisions for liabilities

(354,048)

(314,890)

Net assets

 

4,016,637

4,213,938

Capital and reserves

 

Called up share capital

30,000

30,000

Retained earnings

3,986,637

4,183,938

Shareholders' funds

 

4,016,637

4,213,938

 

Vastern Timber Company Limited

(Registration number: 00308754)
Balance Sheet as at 31 December 2023

For the financial year ending 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 18 September 2024 and signed on its behalf by:
 

J W Barnes
Director

   
     
 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
The Sawmills Vastern Wharf
Royal Wootton Bassett
Swindon
Wiltshire
SN4 7PD

These financial statements were authorised for issue by the Board on 18 September 2024.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

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

Going concern

The financial statements have been prepared on a basis of going concern.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

Government grants

Government grants are recognised when it is reasonable to expect that the grants will be received and that all related conditions will be met, usually on submission of a valid claim or payment.

Government grants in respect of capital expenditure are credited to a deferred income account and are released to profit over the expected useful lives of the relevant assets by equal annual instalments.

Grants of a revenue nature are credited to income so as to match them with the expenditure to which they relate.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

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

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

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

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

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the Balance Sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Freehold Land

Nil

Buildings

2% straight line

Plant and machinery

20% reducing balance

Fixtures and fittings

15% reducing balance

Motor vehicles

25% reducing balance

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3

Staff numbers

The average number of persons employed by the company (including directors) during the year was 44 (2022 - 42).

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

4

Tangible assets

Freehold land and buildings
£

Fixtures and fittings
£

Plant and machinery
£

Motor vehicles
 £

Total
£

Cost or valuation

At 1 January 2023

966,333

78,192

2,267,103

143,525

3,455,153

Additions

-

14,784

342,301

69,958

427,043

Disposals

-

(18,203)

-

(10,500)

(28,703)

At 31 December 2023

966,333

74,773

2,609,404

202,983

3,853,493

Depreciation

At 1 January 2023

290,383

52,260

1,437,080

96,760

1,876,483

Charge for the year

19,327

6,107

234,465

29,181

289,080

Eliminated on disposal

-

(15,838)

-

(9,098)

(24,936)

At 31 December 2023

309,710

42,529

1,671,545

116,843

2,140,627

Carrying amount

At 31 December 2023

656,623

32,244

937,859

86,140

1,712,866

At 31 December 2022

675,950

25,932

830,023

46,765

1,578,670

Included within the net book value of land and buildings above is £656,623 (2022 - £675,950) in respect of freehold land and buildings.
 

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

5

Investment properties

2023
£

At 1 January 2022

1,050,000

At 31 December 2022

1,050,000

The directors have undertaken a review of the property value and are of the opinion that no fair value adjustment is required.

6

Debtors

Note

2023
£

2022
£

Trade debtors

 

329,563

346,898

Other debtors

 

7,878

43,802

Prepayments

 

147,387

29,169

Income tax asset

34,370

-

 

519,198

419,869

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

7

Creditors

Due within one year

Note

2023
£

2022
£

 

Loans and borrowings

8

1,252,512

983,361

Trade creditors

 

520,381

448,497

Social security and other taxes

 

164,643

172,277

Other creditors

 

126,098

162,665

Accruals

 

71,866

84,485

Corporation tax liability

-

30,686

 

2,135,500

1,881,971

Due after one year

 

Loans and borrowings

8

387,697

324,156

Other non-current financial liabilities

 

-

10,969

 

387,697

335,125

Included within loans and borrowings due after one year, are bank loans due after more than five years as follows:

2023
£

2022
£

Due after more than five years

After more than five years by instalments

161,345

243,493

-

-

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

8

Loans and borrowings

Non-current loans and borrowings

2023
£

2022
£

Bank borrowings

231,633

243,493

Other borrowings

156,064

80,663

387,697

324,156

Current loans and borrowings

2023
£

2022
£

Bank borrowings

14,753

16,697

Other borrowings

1,237,759

966,664

1,252,512

983,361

Bank borrowings

Bank borrowings is denominated in GBP with a nominal interest rate of 6.9%. The carrying amount at year end is £246,386 (2022 - £260,190).

The bank loan is secured over a charge on Brindley House.

Other borrowings

Other borrowings is denominated in GBP with a nominal interest rate of 0-2.5%. The carrying amount at year end is £1,393,823 (2022 - £1,047,327).

Other borrowings are secured over a charge on Crantock House.

9

Financial commitments, guarantees and contingencies

Amounts not provided for in the balance sheet

As at 31 December 2023, the total amount of financial commitments not included in the balance sheet is £278,477.

10

Related party transactions

The company has taken advantage of the exemption available in FRS 102 whereby it has not disclosed transactions or balances with the ultimate parent company or any wholly owned subsidiary undertaking of the group.

 

Vastern Timber Company Limited

Notes to the Unaudited Financial Statements for the Year Ended 31 December 2023

11

Parent and ultimate parent undertaking

The company's immediate parent is Barnes, Branch & Co Limited, incorporated in England.

 The ultimate controlling party is directors and shareholders of Barnes, Branch & Co Limited.