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REGISTERED NUMBER: 01413059 (England and Wales)

















Group Strategic Report,

Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 March 2024

for

Harlech Foodservice Limited

Harlech Foodservice Limited (Registered number: 01413059)






Contents of the Consolidated Financial Statements
for the year ended 31 March 2024




Page

Company Information 1

Group Strategic Report 2

Report of the Directors 5

Report of the Independent Auditors 7

Consolidated Income Statement 11

Consolidated Other Comprehensive Income 12

Consolidated Statement of Financial Position 13

Company Statement of Financial Position 15

Consolidated Statement of Changes in Equity 17

Company Statement of Changes in Equity 18

Consolidated Statement of Cash Flows 19

Notes to the Consolidated Statement of Cash Flows 20

Notes to the Consolidated Financial Statements 22


Harlech Foodservice Limited

Company Information
for the year ended 31 March 2024







DIRECTORS: A Foskett
J Foskett
Ms L Foskett
M G Clishem
M J Lawton
D D Cattrall





SECRETARY: M G Clishem





REGISTERED OFFICE: Parc Amaeth
Llanystumdwy
Criccieth
Gwynedd
LL52 0LJ





REGISTERED NUMBER: 01413059 (England and Wales)





AUDITORS: WR Partners
Chartered Accountants and Statutory Auditor
Belmont House
Shrewsbury Business Park
Shrewsbury
Shropshire
SY2 6LG

Harlech Foodservice Limited (Registered number: 01413059)

Group Strategic Report
for the year ended 31 March 2024

The directors present their strategic report of the company and the group for the year ended 31 March 2024.

The Group and Company is engaged in the sales and distribution of food and food related products throughout North Wales and the North West of England. The subsidiaries of the Company, Bwydlyn Cyf and Harlech Frozen Foods Limited, are non-trading entities.

The Group and Company's policy is to ensure continuity of liquidity through effective management of its current assets and liabilities.

REVIEW OF BUSINESS
Harlech Foodservice Ltd employs around 200 staff at its bases at Criccieth, Chester and Merthyr Tydfil, operating a fleet of over 50 vehicles to deliver a range of foodservice products to hospitality, health, care and education customers across Wales, West Midlands and Northwest England.

Revenue continued to outpace inflation, rising 21.2% to £46.6m in the year, with customers reacting positively to our competitive prices and excellent service proposition.

Gross Margin strengthened from 24.9% to 29.4% partly due to changing our buying group from Fairway to Country Range at the start of the financial year. We anticipate margin weakening slightly as we increase the share of business from larger contracts.

Operating Profit recovered strongly from the pandemic affected years, increasing by 2.4m to £1.861m, driven largely by the increase in turnover and improvement in GM and closure of the onsite butchery facility.

We have developed an excellent team and in March 2023 introduced a Sharing Success bonus scheme for all non-sales staff, which we are pleased will pay rewards in its first year. We have good opportunity for progression with 21 people promoted during FY24.

Despite strong headwinds in the Independent Hospitality sector, our outlook remains positive as we have rebalanced the sectors we serve, expanded our geography and our proposition is proving highly competitive: we have a strong team, satisfied customers, good growth in revenue, improving margins and costs under control.

Since the year ended, we have embarked on an Invest to Grow strategy which we expect to payback within 2 years.
- Opened additional depots in Carmarthen (SW Wales) and Telford (W Mids & Welsh borders), which provides efficient hub and spoke distribution throughout Wales and the border regions.
- Recruited additional field sales, more than doubling the sales team to 30 heads, to ensure excellent customer relationships across our broader geography.
- Expanded and modernised our delivery fleet to 65 vehicles to ensure we achieve delivery windows throughout our expanded geography.
- Extended our freezer and introduced narrow aisles, almost doubling our total storage to 1,200 pallets and removing the need for outside storage.

To support our Invest to Grow strategy, we purchased Celtic Foodservice in June 2024, a foodservice company that operates in the West Wales area.


Harlech Foodservice Limited (Registered number: 01413059)

Group Strategic Report
for the year ended 31 March 2024

PRINCIPAL RISKS AND UNCERTAINTIES
The principal risks and uncertainties are health and safety of our employees; inflation; the economic uncertainty and customer demand; our ability to win and retain business.

The business has a robust business continuity plan which is regularly reviewed.

We recognise we operate in a high-risk environment and health and safety is actively promoted by the Board. We work closely with an external partner to advise on policy and support training and adherence to health and safety on a continuous basis.

We have developed strong controls to manage and mitigate the volatile inflationary environment.

We have broadened the business both geographically and through customer type, whilst at the same time ensuring market leading customer service and price proposition to ensure competitive advantage.

FOREIGN CURRENCY RISK
Whilst the Company is not exposed directly to foreign currency fluctuations, a large majority of the products which it sells are manufactured abroad and therefore costs can fluctuate.

CREDIT AND CASH FLOW RISK
The company and Group's credit risk is attributable to its trade debtors, which is minimised by the number of long established customers and the introduction of good credit management. Accounts are reviewed weekly and amounts outside terms are minimal. We have moved the majority of independent customers to automatic direct debit payment or Pay As You Go.

LIQUIDITY RISK
We are bouncing back strongly and quickly from the pandemic, where our business was affected significantly due to 95% independent hospitality mix. This risk has been mitigated through growth in public sector, reducing independent hospitality to around 60%.

We actively forward plan our cash flow requirements and have made significant progress clearing and reducing our pandemic related costs. We have now cleared our PAYE and VAT arrears and reduced our CBILs loan by £480k.


Harlech Foodservice Limited (Registered number: 01413059)

Group Strategic Report
for the year ended 31 March 2024

FINANCIAL KEY PERFORMANCE INDICATORS
The Group results were as follows:

2024 2023 2022 2021


Turnover

£46,559,934

£38,407,507

£32,884,738

£18,007,870
Turnover growth 21.22% 16.79% 82.6% (45.2)%
Gross profit margin 29.4% 24.91% 21.98% 23.6%

Operating profit

£1,861,646

(£505,909)

(£856,983)

(£1,675,720)




Key performance indicators support the directors' assessment of the performance of the business.
Other key performance indicators:
The directors maintain several key performance indicators other than those purely financial, in order to assess customer service and operational performance.
The directors consider it to be seriously prejudicial to disclose these indicators.

Turnover, cash flow, margin, cost to serve and operating profit are the company's financial KPIs and are detailed in the attached accounts. Non-financial KPIs include service level to our customers and reportable accidents.

INVESTMENTS
We have committed to modernising our fleet over the next 2 years with an additional 6 HGV on order for delivery in January 2025. During Q4 FY23 and Q1 FY24 we have extended our freezer and built new ambient goods receiving area to ensure we can continue our strong growth.

ON BEHALF OF THE BOARD:





M G Clishem - Director


18 September 2024

Harlech Foodservice Limited (Registered number: 01413059)

Report of the Directors
for the year ended 31 March 2024

The directors present their report with the financial statements of the company and the group for the year ended 31 March 2024.

DIVIDENDS
Interim dividends were paid during the year ended 31 March 2024 as follows:

Ordinary 0.04 shares Nil
Ordinary B 0.04 shares Nil
Ordinary C 0.04 shares £75,000
Ordinary D 0.04 shares Nil

The directors did not recommend any final dividends.

The total distribution of dividends for the year ended 31 March 2024 will be £75,000.

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

A Foskett
J Foskett
Ms L Foskett
M G Clishem
M J Lawton
D D Cattrall

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

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

Harlech Foodservice Limited (Registered number: 01413059)

Report of the Directors
for the year ended 31 March 2024


STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS
The auditors, WR Partners, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





M G Clishem - Director


18 September 2024

Report of the Independent Auditors to the Members of
Harlech Foodservice Limited

Opinion
We have audited the financial statements of Harlech Foodservice Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2024 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

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

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

Report of the Independent Auditors to the Members of
Harlech Foodservice Limited


Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent company financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

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

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

Report of the Independent Auditors to the Members of
Harlech Foodservice Limited


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

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

Our approach to identifying and assessing the risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities, and skills to identify or recognise non-compliance with applicable laws and regulations; and
- we identified the laws and regulations applicable to the company through discussion with directors and other senior management, and from our commercial knowledge and experience of the wholesale food sector; and
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection and employment; and
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected, and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships.
- tested journal entries to identify unusual transactions.
- assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 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; and
- reviewing correspondence with HMRC, relevant regulators and the company's legal advisors.


Report of the Independent Auditors to the Members of
Harlech Foodservice Limited

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.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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 a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




H Pierce FCA (Senior Statutory Auditor)
for and on behalf of WR Partners
Chartered Accountants and Statutory Auditor
Belmont House
Shrewsbury Business Park
Shrewsbury
Shropshire
SY2 6LG

18 September 2024

Harlech Foodservice Limited (Registered number: 01413059)

Consolidated
Income Statement
for the year ended 31 March 2024

2024 2023
Notes £    £    £    £   

REVENUE 46,559,934 38,407,507

Cost of sales 32,873,188 28,841,190
GROSS PROFIT 13,686,746 9,566,317

Distribution costs 1,818,625 1,511,441
Administrative expenses 10,057,602 8,583,317
11,876,227 10,094,758
1,810,519 (528,441 )

Other operating income 51,127 22,532
OPERATING PROFIT/(LOSS) 4 1,861,646 (505,909 )

Interest receivable and similar income 120 -
1,861,766 (505,909 )

Interest payable and similar expenses 5 135,515 146,897
PROFIT/(LOSS) BEFORE TAXATION 1,726,251 (652,806 )

Tax on profit/(loss) 6 189,839 (299,582 )
PROFIT/(LOSS) FOR THE FINANCIAL
YEAR

1,536,412

(353,224

)
Profit/(loss) attributable to:
Owners of the parent 1,536,412 (353,224 )

Harlech Foodservice Limited (Registered number: 01413059)

Consolidated
Other Comprehensive Income
for the year ended 31 March 2024

2024 2023
Notes £    £   

PROFIT/(LOSS) FOR THE YEAR 1,536,412 (353,224 )


OTHER COMPREHENSIVE INCOME
Share options granted 56,092 -
Share options exercised (31,836 ) -
Income tax relating to components of
other comprehensive income

-

-
OTHER COMPREHENSIVE INCOME FOR
THE YEAR, NET OF INCOME TAX

24,256

-
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

1,560,668

(353,224

)

Total comprehensive income attributable to:
Owners of the parent 1,560,668 (353,224 )

Harlech Foodservice Limited (Registered number: 01413059)

Consolidated Statement of Financial Position
31 March 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Property, plant and equipment 9 4,013,413 2,580,416
Investments 10 - 5,000
4,013,413 2,585,416

CURRENT ASSETS
Inventories 11 3,387,742 2,873,470
Debtors 12 2,766,849 2,378,947
Cash at bank and in hand 13 883,156 504,547
7,037,747 5,756,964
CREDITORS
Amounts falling due within one year 14 6,179,608 5,679,888
NET CURRENT ASSETS 858,139 77,076
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,871,552

2,662,492

CREDITORS
Amounts falling due after more than
one year

15

(1,539,354

)

(1,037,637

)

PROVISIONS FOR LIABILITIES 20 (189,839 ) -
NET ASSETS 3,142,359 1,624,855

CAPITAL AND RESERVES
Called up share capital 21 92 90
Share premium 22 31,834 -
Capital redemption reserve 22 10 10
Other reserves 22 406,845 382,589
Retained earnings 22 2,703,578 1,242,166
SHAREHOLDERS' FUNDS 3,142,359 1,624,855

Harlech Foodservice Limited (Registered number: 01413059)

Consolidated Statement of Financial Position - continued
31 March 2024


The financial statements were approved by the Board of Directors and authorised for issue on 18 September 2024 and were signed on its behalf by:





M G Clishem - Director


Harlech Foodservice Limited (Registered number: 01413059)

Company Statement of Financial Position
31 March 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Property, plant and equipment 9 4,013,413 2,580,416
Investments 10 101 5,101
4,013,514 2,585,517

CURRENT ASSETS
Inventories 11 3,387,742 2,873,470
Debtors 12 2,766,849 2,378,947
Cash at bank and in hand 13 883,156 504,547
7,037,747 5,756,964
CREDITORS
Amounts falling due within one year 14 6,179,608 5,679,888
NET CURRENT ASSETS 858,139 77,076
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,871,653

2,662,593

CREDITORS
Amounts falling due after more than
one year

15

(1,539,354

)

(1,037,637

)

PROVISIONS FOR LIABILITIES 20 (189,839 ) -
NET ASSETS 3,142,460 1,624,956

CAPITAL AND RESERVES
Called up share capital 21 92 90
Share premium 22 31,834 -
Capital redemption reserve 22 10 10
Other reserves 22 406,845 382,589
Retained earnings 22 2,703,679 1,242,267
SHAREHOLDERS' FUNDS 3,142,460 1,624,956

Company's profit/(loss) for the financial
year

1,536,412

(353,224

)

Harlech Foodservice Limited (Registered number: 01413059)

Company Statement of Financial Position - continued
31 March 2024


The financial statements were approved by the Board of Directors and authorised for issue on 18 September 2024 and were signed on its behalf by:





M G Clishem - Director


Harlech Foodservice Limited (Registered number: 01413059)

Consolidated Statement of Changes in Equity
for the year ended 31 March 2024

Called up
share Retained Share
capital earnings premium
£    £    £   
Balance at 1 April 2022 90 1,595,390 -

Changes in equity
Total comprehensive income - (353,224 ) -
Balance at 31 March 2023 90 1,242,166 -

Changes in equity
Issue of share capital 2 - 31,834
Dividends - (75,000 ) -
Total comprehensive income - 1,536,412 -
Balance at 31 March 2024 92 2,703,578 31,834
Capital
redemption Other Total
reserve reserves equity
£    £    £   
Balance at 1 April 2022 10 382,589 1,978,079

Changes in equity
Total comprehensive income - - (353,224 )
Balance at 31 March 2023 10 382,589 1,624,855

Changes in equity
Issue of share capital - - 31,836
Dividends - - (75,000 )
Total comprehensive income - 24,256 1,560,668
Balance at 31 March 2024 10 406,845 3,142,359

Harlech Foodservice Limited (Registered number: 01413059)

Company Statement of Changes in Equity
for the year ended 31 March 2024

Called up
share Retained Share
capital earnings premium
£    £    £   
Balance at 1 April 2022 90 1,595,491 -

Changes in equity
Total comprehensive income - (353,224 ) -
Balance at 31 March 2023 90 1,242,267 -

Changes in equity
Issue of share capital 2 - 31,834
Dividends - (75,000 ) -
Total comprehensive income - 1,536,412 -
Balance at 31 March 2024 92 2,703,679 31,834
Capital
redemption Other Total
reserve reserves equity
£    £    £   
Balance at 1 April 2022 10 382,589 1,978,180

Changes in equity
Total comprehensive income - - (353,224 )
Balance at 31 March 2023 10 382,589 1,624,956

Changes in equity
Issue of share capital - - 31,836
Dividends - - (75,000 )
Total comprehensive income - 24,256 1,560,668
Balance at 31 March 2024 10 406,845 3,142,460

Harlech Foodservice Limited (Registered number: 01413059)

Consolidated Statement of Cash Flows
for the year ended 31 March 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 1,610,456 1,246,574
Interest paid (126,487 ) (129,232 )
Interest element of hire purchase
payments paid

(9,028

)

(17,665

)
Tax paid - 299,582
Net cash from operating activities 1,474,941 1,399,259

Cash flows from investing activities
Purchase of tangible fixed assets (1,860,834 ) (649,604 )
Sale of intangible fixed assets 1,560 (49,447 )
Sale of tangible fixed assets 14,405 173,847
Sale of fixed asset investments 3,200 -
Interest received 120 -
Net cash from investing activities (1,841,549 ) (525,204 )

Cash flows from financing activities
Loan repayments in year (303,876 ) (305,340 )
Capital repayments in year 1,061,469 (245,316 )
Amount introduced by directors 119,172 161,514
Amount withdrawn by directors (112,640 ) (133,257 )
Share issue 2 -
Share premium 31,834 -
Share options granted 24,256 -
Equity dividends paid (75,000 ) -
Net cash from financing activities 745,217 (522,399 )

Increase in cash and cash equivalents 378,609 351,656
Cash and cash equivalents at beginning
of year

2

504,547

152,891

Cash and cash equivalents at end of
year

2

883,156

504,547

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Statement of Cash Flows
for the year ended 31 March 2024

1. RECONCILIATION OF PROFIT/(LOSS) FOR THE FINANCIAL YEAR TO CASH GENERATED FROM
OPERATIONS
2024 2023
£    £   
Profit/(loss) for the financial year 1,536,412 (353,224 )
Depreciation charges 413,432 359,742
Loss on disposal of fixed assets 240 49,447
Finance costs 135,515 146,897
Finance income (120 ) -
Taxation 189,839 (299,582 )
2,275,318 (96,720 )
(Increase)/decrease in inventories (514,272 ) 163,862
(Increase)/decrease in trade and other debtors (374,268 ) 194,038
Increase in trade and other creditors 223,678 985,394
Cash generated from operations 1,610,456 1,246,574

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 March 2024
31.3.24 1.4.23
£    £   
Cash and cash equivalents 883,156 504,547
Year ended 31 March 2023
31.3.23 1.4.22
£    £   
Cash and cash equivalents 504,547 152,891


Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Statement of Cash Flows
for the year ended 31 March 2024

3. ANALYSIS OF CHANGES IN NET DEBT

At 1.4.23 Cash flow At 31.3.24
£    £    £   
Net cash
Cash at bank and in hand 504,547 378,609 883,156
504,547 378,609 883,156
Debt
Finance leases (62,780 ) (1,061,469 ) (1,124,249 )
Debts falling due within 1 year (304,800 ) 9,519 (295,281 )
Debts falling due after 1 year (1,037,637 ) 294,357 (743,280 )
(1,405,217 ) (757,593 ) (2,162,810 )
Total (900,670 ) (378,984 ) (1,279,654 )

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements
for the year ended 31 March 2024

1. STATUTORY INFORMATION

Harlech Foodservice Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Basis of consolidation
The consolidated financial statements present the results of the Group and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Turnover
Revenue is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold property - 2% on cost
Long leasehold - 2% on cost
Plant and machinery - 5% to 20% straight line
Fixtures and fittings - 20% straight line
Motor vehicles - 25% on reducing balance

Stocks
Inventories are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

2. ACCOUNTING POLICIES - continued

Financial instruments
The Group only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties.

Debt instruments (other thank those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows 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, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in the case of an out-right short-term loan not at market rate, 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 that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Consolidated Statement of Comprehensive Income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rates for measuring any impairment loss is the current effective interest rate determined under the contract.

Financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Group would receive for the asset if it were to be sold at the reporting date.

Financial assets and liabilities are offset and the net amount reported in the Statement of Financial Position 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.

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or income as appropriate. The company does not currently apply hedge accounting for interest rate and foreign exchange derivatives.


Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

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

Pension costs and other post-retirement benefits
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

Going concern
The directors have prepared forecasts which show that the company will be able to operate within its current level of facilities for at least 12 months from the signing of these financial statements. The directors are not aware of any reason why the facilities will not be renewed at the same level as they stand when the bank facilities are renewed in October. As a result of these considerations the directors have a responsible expectation that the company will continue in operational existence for the foreseeable future and therefore adopt the going concern basis in preparing the financial statements.

Valuation of investments
Investments in listed company shares are remeasured to market value at each Statement of Financial Position date. Gains and losses on remeasurement are recognised in profit or loss for the period.

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

3. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 6,754,726 5,696,551
Social security costs 602,770 529,151
Other pension costs 144,531 124,921
7,502,027 6,350,623

The average number of employees during the year was as follows:
2024 2023

Production staff 15 33
Distribution staff 172 140
Administrative staff 23 24
210 197

The average number of employees by undertakings that were proportionately consolidated during the year was 210 (2023 - 197 ) .


Year Ended
31.3.24

Year Ended
31.3.23
£ £

Directors' remuneration 636,687 551,048

One director exercised share options during the year and received shares under an Enterprise Investment Scheme.


Information regarding the highest paid director is as follows:

Year Ended
31.3.24

Year Ended
31.3.23
£ £

Emoluments etc 177,839 111,240


The highest paid director exercised share options in the year under an Enterprise Investment Scheme.

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

4. OPERATING PROFIT/(LOSS)

The operating profit (2023 - operating loss) is stated after charging:

2024 2023
£    £   
Depreciation - owned assets 413,432 359,743
Loss on disposal of fixed assets 240 49,447
Auditors' remuneration 18,773 21,199

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Bank interest - 38
Bank loan interest 102,703 85,947
Invoice discounting charges
and interest 23,784 43,247
Hire purchase interest 9,028 17,665
135,515 146,897

6. TAXATION

Analysis of the tax charge/(credit)
The tax charge/(credit) on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax - (299,582 )

Deferred tax 189,839 -
Tax on profit/(loss) 189,839 (299,582 )

UK corporation tax has been charged at 25 % .

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

6. TAXATION - continued

Reconciliation of total tax charge/(credit) included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2024 2023
£    £   
Profit/(loss) before tax 1,726,251 (652,806 )
Profit/(loss) multiplied by the standard rate of corporation tax in
the UK of 25 % (2023 - 19 %)

431,563

(124,033

)

Effects of:
Expenses not deductible for tax purposes 11,278 10,157
Capital allowances in excess of depreciation (1,146,480 ) -
Depreciation in excess of capital allowances - 113,876
Utilisation of tax losses 634,465 -
Adjustments to tax charge in respect of previous periods - (299,582 )

Difference due to change in tax rate 62,163 -
Deferred tax asset not provided for last year 196,850 -
Total tax charge/(credit) 189,839 (299,582 )

Tax effects relating to effects of other comprehensive income

2024
Gross Tax Net
£    £    £   
Share options granted 56,092 - 56,092
Share options exercised (31,836 ) - (31,836 )
24,256 - 24,256

7. INDIVIDUAL INCOME STATEMENT

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


8. DIVIDENDS
2024 2023
£    £   
Ordinary C shares of 0.04 each
Interim 75,000 -

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

9. PROPERTY, PLANT AND EQUIPMENT

Group
Freehold Long Plant and
property leasehold machinery
£    £    £   
COST
At 1 April 2023 1,336,815 81,914 2,562,397
Additions 116,908 - 23,340
Disposals - - -
At 31 March 2024 1,453,723 81,914 2,585,737
DEPRECIATION
At 1 April 2023 264,418 10,056 1,906,886
Charge for year 29,701 1,638 116,019
Eliminated on disposal - - -
At 31 March 2024 294,119 11,694 2,022,905
NET BOOK VALUE
At 31 March 2024 1,159,604 70,220 562,832
At 31 March 2023 1,072,397 71,858 655,511

Fixtures
and Motor
fittings vehicles Totals
£    £    £   
COST
At 1 April 2023 213,133 3,187,064 7,381,323
Additions 36,575 1,684,011 1,860,834
Disposals - (34,115 ) (34,115 )
At 31 March 2024 249,708 4,836,960 9,208,042
DEPRECIATION
At 1 April 2023 197,263 2,422,284 4,800,907
Charge for year 9,245 256,829 413,432
Eliminated on disposal - (19,710 ) (19,710 )
At 31 March 2024 206,508 2,659,403 5,194,629
NET BOOK VALUE
At 31 March 2024 43,200 2,177,557 4,013,413
At 31 March 2023 15,870 764,780 2,580,416

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

9. PROPERTY, PLANT AND EQUIPMENT - continued

Company
Freehold Long Plant and
property leasehold machinery
£    £    £   
COST
At 1 April 2023 1,336,815 81,914 2,562,397
Additions 116,908 - 23,340
Disposals - - -
At 31 March 2024 1,453,723 81,914 2,585,737
DEPRECIATION
At 1 April 2023 264,418 10,056 1,906,886
Charge for year 29,701 1,638 116,019
Eliminated on disposal - - -
At 31 March 2024 294,119 11,694 2,022,905
NET BOOK VALUE
At 31 March 2024 1,159,604 70,220 562,832
At 31 March 2023 1,072,397 71,858 655,511

Fixtures
and Motor
fittings vehicles Totals
£    £    £   
COST
At 1 April 2023 213,133 3,187,064 7,381,323
Additions 36,575 1,684,011 1,860,834
Disposals - (34,115 ) (34,115 )
At 31 March 2024 249,708 4,836,960 9,208,042
DEPRECIATION
At 1 April 2023 197,263 2,422,284 4,800,907
Charge for year 9,245 256,829 413,432
Eliminated on disposal - (19,710 ) (19,710 )
At 31 March 2024 206,508 2,659,403 5,194,629
NET BOOK VALUE
At 31 March 2024 43,200 2,177,557 4,013,413
At 31 March 2023 15,870 764,780 2,580,416

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

9. PROPERTY, PLANT AND EQUIPMENT - continued

Company

The net book value of assets held under finance lease or hire purchase contracts, included above, are as follows:


20242023
££

Motor vehicles1,305,284262,697

10. FIXED ASSET INVESTMENTS

Group
Unlisted
investments
£   
COST
At 1 April 2023 5,000
Disposals (5,000 )
At 31 March 2024 -
NET BOOK VALUE
At 31 March 2024 -
At 31 March 2023 5,000
Company
Shares in
group Unlisted
undertakings investments Totals
£    £    £   
COST
At 1 April 2023 101 5,000 5,101
Disposals - (5,000 ) (5,000 )
At 31 March 2024 101 - 101
NET BOOK VALUE
At 31 March 2024 101 - 101
At 31 March 2023 101 5,000 5,101

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

10. FIXED ASSET INVESTMENTS - continued

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

Subsidiaries

Bwydlyn Cyf
Registered office: Parc Amaeth, Llanystumdwy, Criccieth, Gwynedd. LL52 0LJ
Nature of business: Non-trading
%
Class of shares: holding
Ordinary 100.00

Harlech Frozen Foods Limited
Registered office: Parc Amaeth, Llanystumdwy, Criccieth, Gwynedd. LL52 0LJ
Nature of business: Dormant
%
Class of shares: holding
Ordinary 100.00


11. STOCKS

Group Company
2024 2023 2024 2023
£    £    £    £   
Stocks 3,387,742 2,873,470 3,387,742 2,873,470

No impairment loss has been recognised against stock in the current or previous year.

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Trade debtors 1,591,049 2,118,490 1,591,049 2,118,490
Bad debt provision (85,141 ) (86,375 ) (85,141 ) (86,375 )
Other debtors 379,659 125,140 379,659 125,140
Directors' current accounts 15,336 1,702 15,336 1,702
VAT 350,292 151,620 350,292 151,620
Prepayments and accrued income 515,654 68,370 515,654 68,370
2,766,849 2,378,947 2,766,849 2,378,947

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

13. CASH AT BANK AND IN HAND
Group Company
2024 2023 2024 2023
£    £    £    £   
Bank deposit account 5 5 5 5
Bank account 882,591 503,982 882,591 503,982
Cash in hand 560 560 560 560
883,156 504,547 883,156 504,547

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans and overdrafts (see note 16) 295,281 304,800 295,281 304,800
Hire purchase contracts (see note 17) 328,175 62,780 328,175 62,780
Trade creditors 4,375,558 4,024,678 4,375,558 4,024,678
Social security and other taxes 221,579 349,597 221,579 349,597
CT61 tax 8,303 - 8,303 -
Other creditors 342,928 313,481 342,928 313,481
Directors' current accounts 51,066 30,900 51,066 30,900
Accruals and deferred income 556,718 593,652 556,718 593,652
6,179,608 5,679,888 6,179,608 5,679,888

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans (see note 16) 743,280 1,037,637 743,280 1,037,637
Hire purchase contracts (see note 17) 796,074 - 796,074 -
1,539,354 1,037,637 1,539,354 1,037,637

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

16. LOANS

An analysis of the maturity of loans is given below:

Group Company
2024 2023 2024 2023
£    £    £    £   
Amounts falling due within one year or on demand:
Bank loans 295,281 304,800 295,281 304,800
Amounts falling due between one and two years:
Bank loans - 1-2 years 285,600 298,605 285,600 298,605
Amounts falling due between two and five years:
Bank loans - 2-5 years 457,680 624,000 457,680 624,000
Amounts falling due in more than five years:
Repayable by instalments
Bank loans more 5 yr by instal - 115,032 - 115,032

17. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
2024 2023
£    £   
Net obligations repayable:
Within one year 328,175 62,780
Between one and five years 796,074 -
1,124,249 62,780

Company
Hire purchase contracts
2024 2023
£    £   
Net obligations repayable:
Within one year 328,175 62,780
Between one and five years 796,074 -
1,124,249 62,780

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

17. LEASING AGREEMENTS - continued

Company
Non-cancellable operating leases
2024 2023
£    £   
Within one year 456,471 263,945
Between one and five years 1,637,469 802,129
In more than five years 1,140,000 1,330,000
3,233,940 2,396,074

18. SECURED DEBTS

The following secured debts are included within creditors:

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans 1,038,561 1,342,437 1,038,561 1,342,437
Hire purchase contracts 1,124,249 62,780 1,124,249 62,780
2,162,810 1,405,217 2,162,810 1,405,217

Bank loans are secured by a debenture comprising of fixed and floating charges over all the assets and undertakings of Harlech Foodservice Limited including all present and future freehold and leasehold property, book and other debts, chattels, goodwill and uncalled capital, both present and future.

The obligations under finance lease and hire purchase contracts are secured against the assets to which they relate.

19. FINANCIAL INSTRUMENTS

Group Company
2024 2023 2024 2023
£ £ £ £
Financial assets:
FInancial assets that are debt
instruments measured at amortised
cost


2,389,064


2,536,662


2,389,064


2,536,662
Financial liabilities:
Financial liabilities measured at
amortised cost

(7,497,383

)

(6,367,928

)

(7,497,383

)

(6,367,928

)


Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

20. PROVISIONS FOR LIABILITIES

Group Company
2024 2023 2024 2023
£    £    £    £   
Deferred tax 189,839 - 189,839 -

Group
Deferred
tax
£   
Provided during year 189,839
Balance at 31 March 2024 189,839

Company
Deferred
tax
£   
Provided during year 189,839
Balance at 31 March 2024 189,839

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

21. CALLED UP SHARE CAPITAL

Alloted, issued and fully paid


Number:

Class:
Nominal
value:

2024

2023
£ £
624 Ordinary 0.04 25 28
1,500 Ordinary B 0.04 60 60
126 Ordinary C 0.04 5 2
42 Ordinary D 0.04 2 -
92 90
Income and voting rights:
The Ordinary shares hold the right to dividend income and the directors of the company shall determine what, if any, dividend is to be payable to the holders of each Ordinary share. Every dividend shall be distributed to the appropriate shareholders pro-rata according to their shareholding. Each share carries one voting right.

The Ordinary B shares hold no voting rights and have the right to the distribution of the other reserves only.

The Ordinary C shares rank pari passu with Ordinary Shares.

The Ordinary D shares rank pari passu with Ordinary Shares.

Capital:
In the event of a winding up of the company or other return of capital, the assets of the company available for the distribution in respect of both the Ordinary, Ordinary B, Ordinary C shares and Ordinary D shares divided equally between the shareholders.

Redemption of shares:
No class of shares holds redemption rights.

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

22. RESERVES

Group
Capital
Retained Share redemption Other
earnings premium reserve reserves Totals
£    £    £    £    £   

At 1 April 2023 1,242,166 - 10 382,589 1,624,765
Profit for the year 1,536,412 1,536,412
Dividends (75,000 ) (75,000 )
Share options - 31,834 - - 31,834
Share option reserve - - - 56,092 56,092
Share options exercised - - - (31,836 ) (31,836 )
At 31 March 2024 2,703,578 31,834 10 406,845 3,142,267

Company
Capital
Retained Share redemption Other
earnings premium reserve reserves Totals
£    £    £    £    £   

At 1 April 2023 1,242,267 - 10 382,589 1,624,866
Profit for the year 1,536,412 1,536,412
Dividends (75,000 ) (75,000 )
Share options - 31,834 - - 31,834
Share option reserve - - - 56,092 56,092
Share options exercised - - - (31,836 ) (31,836 )
At 31 March 2024 2,703,679 31,834 10 406,845 3,142,368

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

22. RESERVES - continued

Capital redemption reserve:
This reserve records the nominal value of shares repurchased by the company.


Profit and loss account:
This contains all current and prior period gains and losses.

Share premium reserve
This reserve relates to the exercised share options.


Other reserves:
This reserve consists of the following amounts


B share
reserve
Share option
reserve

Total
£ £ £
At 1 April 2023 382,589 - 382,589
Share options granted 56,092 56,090
Share options exercised (31,836) (31,834)
At 31 March 2024 382,589 24,256 406,845


The rights attributable to the B class shares in accordance with an agreement dated 29 February 2008. This is distributable to the holders of the Ordinary B class shares.

23. PENSION COMMITMENTS

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund.

The pension cost charge represents contributions payable by the Group to the fund and amounted to £144,531 (2023 - £124,921) and is recognised as an expense in the Consolidated Statement of Income and Retained Earnings. Included in other creditors at 31 March 2024 is £50,412 (2023 - £27,221) payable to the fund.

24. CONTINGENT LIABILITIES

The directors have confirmed that there were no contingent liabilities which should be disclosed at 31 March 2024 or March 2023.

Harlech Foodservice Limited (Registered number: 01413059)

Notes to the Consolidated Financial Statements - continued
for the year ended 31 March 2024

25. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

Included in debtors falling due within one year are amounts totalling £15,336 (2023 £1,702) due from the directors of the Group and Company, these amounts are repayable on demand. During the year interest was charged on these balances at the official rate.

Subsequently these loans have been repaid.

26. RELATED PARTY DISCLOSURES

During the year the Group and Company paid rent to Harlech Frozen Foods (1984) Limited Directors Self Administered Pension Plan totalling £190,000 (2023 £190,000) which some of the directors are trustees of. The amount owing at the balance sheet date was £279,342 (2023 - £285,000).

Included in creditors falling due within one year are amounts totalling £51,066 (2023 - £30,900) due to the directors of the company, these amounts are repayable on demand. During the year no interest was paid on these balances.

27. ULTIMATE CONTROLLING PARTY

The Company's shares are owned by several investors. A Foskett, J Foskett and L Roberts each have the largest shareholding of 24% No investor acting individually has the ability to control the activities of the company and consequently it is considered that there is no ultimate controlling party.