REGISTERED NUMBER: |
Strategic Report, Report of the Director and |
Audited Financial Statements for the Year Ended 31 March 2024 |
for |
Total Waste Management Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Director and |
Audited Financial Statements for the Year Ended 31 March 2024 |
for |
Total Waste Management Limited |
Total Waste Management Limited (Registered number: 02415498) |
Contents of the Financial Statements |
for the Year Ended 31 March 2024 |
Page |
Strategic Report | 1 |
Report of the Director | 5 |
Report of the Independent Auditors | 6 |
Income Statement | 9 |
Other Comprehensive Income | 10 |
Balance Sheet | 11 |
Statement of Changes in Equity | 12 |
Cash Flow Statement | 13 |
Notes to the Cash Flow Statement | 14 |
Notes to the Financial Statements | 16 |
Total Waste Management Limited (Registered number: 02415498) |
Strategic Report |
for the Year Ended 31 March 2024 |
The director presents his report with the financial statements of the company for the year ended 31 March 2024. |
REVIEW OF BUSINESS |
End user demand for recycled metal improved throughout this financial year compared to the previous year. |
Q3 and Q4 were significantly affected by the conflict in the Gulf of Aden which increased container prices to five times the annual average. |
The significant investment we have made during the past 3 years in our assets, people and processes helped us to adapt to these new circumstances and improve our gross profit margin. |
We consider we are well placed in the current year and beyond. |
Key performance indicators |
2024 | 2023 |
Turnover increase/(decrease) | (8.19%) | (16.97%) |
Gross profit margin | 19.18% | 14.57% |
EBITDA | £1,214,582 | £719,224 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The director has set out below the principal risks facing the business. Where possible, processes are in place to monitor and mitigate such risks. |
Environmental, Health & Safety - The Company's success is a result of strong systems and environmental controls being in place at each site. Significant resources are invested into employee training and development to ensure sites are safe and compliant. This has resulted in zero CAR reports being issued by the Environment Agency at sites. |
World Economy - The Company continually monitor the global market and commodity prices as the business has exposure to metal prices and volumes. This has been seen in the current slowdown of the manufacturing industry and demand for finished products. |
FUTURE DEVELOPMENTS |
Carbon Reduction Plan below: |
Commitment to achieving Net Zero |
Total Waste Management (TWM) is committed to achieving Net Zero emissions by 2035. |
This is our baseline report from which all future carbon reporting will be measured and assessed. During 2022 we compensated for our 2021 emissions by investing in international carbon reduction projects certified to international standards. |
Our aim is to reach our net zero target fifteen years in advance of the 2050 target. The target in this report applies to all TWM sites and operations throughout the UK and our supply chains where attainable. |
Baseline Emissions Footprint |
Baseline emissions are a record of the greenhouse gases that have been produced in the past and were produced prior to the introduction of any company strategies to reduce emissions. These Baseline emissions are the reference point against which our emissions reduction can be measured. |
The specific greenhouse gases to be reported against are the seven greenhouse gases named by the Kyoto Protocol: Carbon dioxide (CO2); Hydroflurocarbons (HFCs); Methane (CH4); Nitrous Oxide (N2O); Nitrogen Trifluoride (NF3); Perfluorocarbons (PCFs); and Sulphur Hexafluoride (SF6). |
Total Waste Management Limited (Registered number: 02415498) |
Strategic Report |
for the Year Ended 31 March 2024 |
Baseline Year: 2021 |
Additional Details relating to the Baseline Emissions calculations. |
This Carbon Reduction Plan (CRP) acts as our baseline year with emissions covering the calendar year 2021. It is this CRP from which all our future carbon emission reductions will be measured going forwards. |
The baseline emissions were calculated in line with GHG Protocol Corporate Accounting and Reporting Standard |
and ISO 14064-1:2018-Part 1. |
Emissions were assessed and calculated by a recognised carbon compliance consultancy using the latest set of conversion factors issued BEIS at https://www.gov.uk/government/publications/greenhouse-gas-reporting-conversion-factors-2021 |
This baseline report covers all scope 1, 2 and 3 greenhouse gas emissions attributable to: |
*Use of fuels in Stationary Equipment |
*Use of Fuels in Mobile Equipment |
*Fugitive Emissions |
*Use of Electricity in Stationary and Mobile Equipment |
*Transmission and Distribution (T&D) and Well to Tank (WTT) Emissions |
Scope 1 activities: |
Encompasses all direct emissions from sources, activities, or equipment under the direct control of TWM and includes: |
*Use of diesel fuel, natural gas and gas oil in Stationary equipment |
*Use of diesel fuel in mobile equipment including vehicular and HGV fleet. |
Scope 2 activities: |
Encompasses all indirect emissions including from electricity, heat or steam purchased and used by the organisation, this includes: |
*Use of electricity in stationary and mobile equipment such as in office buildings and outbuildings in the yards as well as in vehicles. |
Scope 3 activities: |
All other indirect emissions from activities and sources not owned or directly controlled by TWM this includes: |
*Transmission and Distribution losses and Well to Tank (WTT) associated with the use of fuels and electricity stated above. |
Total Waste Management Limited (Registered number: 02415498) |
Strategic Report |
for the Year Ended 31 March 2024 |
Baseline year emissions: 2021 |
EMISSIONS TOTAL (tCO2e) | EMISSIONS TOTAL (tCO2e) |
Scope 1 | 1,950.18 |
Scope 2 | 22.45 |
Scope 3(Included Sources) | 466.57 |
Total Emissions | 2,439.20 |
Total Emissions per tonne of material managed | 0.02 |
Current Emissions Reporting |
Emissions reduction targets |
In order to continue our progress to achieving Net Zero, we have adopted the following carbon reduction targets, these targets are based on an intensity factor of kg CO2 per tonne of ferrous and non-ferrous metal managed. |
We project that carbon emissions will decrease over the next five years to 0.012 tCO2e by 2027 on a per tonne of ferrous/non-ferrous metal managed. This is a reduction of 40%. |
Carbon reduction projects |
Given that the result from our carbon baseline report suggests that circa 80% of our emissions are from scope 1 activities it is in this area that we have chosen to direct most of our focus and effort aimed at reducing our carbon reduction emissions in line with our 5-year target and 2035 net zero goal. Our aim is to make a tangible difference to our carbon agenda and the environment as a whole with the focus and effort on the 'big wins' in areas that have the greatest impact on the environment. |
Purchase of a fully electric shear |
We have made a huge financial investment to reduce our use of gas oil and diesel with the purchase of a fully electric 14,500 tonne shear which arrived on our Basildon site in February 2023 and was operational from April 2023. It is one of the first fully automated electric shears operating in the UK and is capable of processing anything up to 500 tonnes a day of every grade of ferrous and non-ferrous materials. Given that the shear is the largest and most carbon intensive piece of equipment on our site it is hoped that by transferring operations to this new state-of the art piece of equipment our Scope 1 carbon emissions will be greatly reduced. |
Target: to make all TWM sites gas (burning) free by end of year 2024 and wherever possible convert all plant and machinery to electric powered alternatives by end of 2025. |
Move to Self-Generation |
The transfer of the fuel source away from these carbon intensive sources will lead to an increased demand and reliance on our electricity supply. In order therefore to mitigate some of this increase in supply we have committed to the introduction and installation of solar panels on each of the yard buildings throughout our Basildon site. In addition to this we are also in the process of determining the planning position for the introduction of a wind turbine on site to further increase our self-generation capacity. |
Total Waste Management Limited (Registered number: 02415498) |
Strategic Report |
for the Year Ended 31 March 2024 |
FINANCIAL INSTRUMENTS |
The company has a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are only conducted in sterling. The company does not enter into any hedging transactions. |
RESEARCH AND DEVELOPMENT |
The company makes significant investments in research and development to improve existing products and services, and innovate to enable advancement in related areas. |
ON BEHALF OF THE BOARD: |
Total Waste Management Limited (Registered number: 02415498) |
Report of the Director |
for the Year Ended 31 March 2024 |
The director presents his report with the financial statements of the company for the year ended 31 March 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of Scrap metal and waste merchant. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 March 2024. |
DIRECTOR |
STRATEGIC REPORT |
The Directors have chosen in accordance with S414c of the Companies Act to set out in the strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch 7 to be contained in the Directors' report. It has done so in respect of future development, financial instruments and research and development. |
DIRECTOR'S RESPONSIBILITIES STATEMENT |
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the director is 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 director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Gravita Essex Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Total Waste Management Limited |
Opinion |
We have audited the financial statements of Total Waste Management Limited (the 'company') for the year ended 31 March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 company's affairs as at 31 March 2024 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Total Waste Management Limited |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Director. |
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, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Director's Responsibilities Statement set out on page five, the director is 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 director determines 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 director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so. |
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 objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatements due to fraud and error; and to respond appropriately to these risks. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned in accordance with the ISA's (UK). |
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations our procedures included the following: |
- We obtained an understanding of the legal and regulatory frameworks applicable to the company and the sector in which they operate. We determined that the following laws and regulations were most significant: the Companies Act 2006, the UK Corporate Governance code and the UK corporate taxation laws, |
- We obtained an understanding of how the company are complying with the with those legal and regulatory frameworks by making enquiries with the companies directors. We corroborated our inquiries through our review of the board minutes and other information provided to the audit team. |
We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included: |
- Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud |
- Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process |
- Challenging assumptions and judgements made by management in its significant accounting estimates |
- Identifying and testing journal entries, in particular any journal entries posted with unusual account collaborations |
- Assessing the extent of compliance with the relevant laws and regulations. |
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. |
Report of the Independent Auditors to the Members of |
Total Waste Management Limited |
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. |
for and on behalf of |
Chartered Certified Accountants and |
Statutory Auditors |
Treviot House |
186-192 High Road |
Ilford |
Essex |
IG1 1LR |
Total Waste Management Limited (Registered number: 02415498) |
Income Statement |
for the Year Ended 31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Distribution costs | ( |
) | ( |
) |
Administrative expenses | ( |
) | ( |
) |
395,286 | (987,123 | ) |
Other operating income |
OPERATING PROFIT/(LOSS) | 4 | ( |
) |
Interest receivable and similar income |
411,470 | (334,608 | ) |
Interest payable and similar expenses | 5 | ( |
) | ( |
) |
LOSS BEFORE TAXATION | ( |
) | ( |
) |
Tax on loss | 6 | ( |
) |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR |
( |
) |
Total Waste Management Limited (Registered number: 02415498) |
Other Comprehensive Income |
for the Year Ended 31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT/(LOSS) FOR THE YEAR | ( |
) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
( |
) |
Total Waste Management Limited (Registered number: 02415498) |
Balance Sheet |
31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 7 |
Investments | 8 |
CURRENT ASSETS |
Stocks | 9 |
Debtors | 10 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 11 | ( |
) | ( |
) |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
12 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 16 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 17 | 300 | 300 |
Share premium | 18 | 912,054 | 912,054 |
Retained earnings | 18 | 248,305 | 227,043 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the director and authorised for issue on |
Total Waste Management Limited (Registered number: 02415498) |
Statement of Changes in Equity |
for the Year Ended 31 March 2024 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 April 2022 | 300 | 2,015,805 | 912,054 | 2,928,159 |
Changes in equity |
Deficit for the year | - | (1,788,762 | ) | - | (1,788,762 | ) |
Total comprehensive income | - | ( |
) | - | ( |
) |
Total transactions with owners, recognised directly in equity |
- |
- |
- |
- |
Balance at 31 March 2023 | 300 | 227,043 | 912,054 | 1,139,397 |
Changes in equity |
Profit for the year | - | 21,262 | - | 21,262 |
Total comprehensive income | - | - |
Total transactions with owners, recognised directly in equity |
- |
- |
- |
- |
Balance at 31 March 2024 | 300 | 248,305 | 912,054 | 1,160,659 |
Total Waste Management Limited (Registered number: 02415498) |
Cash Flow Statement |
for the Year Ended 31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) |
Tax paid | ( |
) | ( |
) |
Tax refund |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Purchase of fixed asset investments | (1,900,000 | ) | - |
Sale of tangible fixed assets |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans received in year |
Loan repayments in year | (451,253 | ) | (2,273,500 | ) |
Related party movements | 995,738 | 125,190 |
Capital repayments in year | ( |
) | ( |
) |
Amount introduced by directors | 2,011,749 | - |
Amount withdrawn by directors | (182,681 | ) | (214,909 | ) |
Interest Paid | ( |
) | ( |
) |
Interest element of hire purchase paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) |
(Decrease)/increase in cash and cash equivalents | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
1,102,227 |
841,932 |
Cash and cash equivalents at end of year | 2 | 463,977 |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Cash Flow Statement |
for the Year Ended 31 March 2024 |
1. | RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Loss before taxation | ( |
) | ( |
) |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Finance costs | 414,604 | 322,965 |
Finance income | (16,184 | ) | (10,959 | ) |
1,093,737 | 701,216 |
(Increase)/decrease in stocks | ( |
) |
(Increase)/decrease in trade and other debtors | ( |
) |
Increase/(decrease) in trade and other creditors | ( |
) |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 March 2024 |
31/3/24 | 1/4/23 |
£ | £ |
Cash and cash equivalents | 463,977 | 1,118,728 |
Bank overdrafts | ( |
) |
463,977 | 1,102,227 |
Year ended 31 March 2023 |
31/3/23 | 1/4/22 |
£ | £ |
Cash and cash equivalents | 1,118,728 | 850,835 |
Bank overdrafts | ( |
) | ( |
) |
1,102,227 | 841,932 |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Cash Flow Statement |
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 | 1,118,728 | (654,751 | ) | 463,977 |
Bank overdrafts | (16,501 | ) | 16,501 | - |
1,102,227 | ( |
) | 463,977 |
Debt |
Finance leases | (895,142 | ) | (1,387,024 | ) | (2,282,166 | ) |
Debts falling due within 1 year | (2,676,155 | ) | 2,476,155 | (200,000 | ) |
Debts falling due after 1 year | (466,667 | ) | 200,000 | (266,667 | ) |
(4,037,964 | ) | 1,289,131 | (2,748,833 | ) |
Total | (2,935,737 | ) | 650,881 | (2,284,856 | ) |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements |
for the Year Ended 31 March 2024 |
1. | STATUTORY INFORMATION |
Total Waste Management Limited is a |
Registered number: |
Registered office: |
The presentation currency of the financial statements is the Pound Sterling (£). |
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. |
Preparation of consolidated financial statements |
The financial statements contain information about UK Waste Recycling Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 402 of the Companies Act 2006 from the requirements to prepare consolidated financial statements. |
Significant judgements and estimates |
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
The directors consider that there are no other significant judgements or estimates in the preparation of these financial statements. |
Changes in accounting estimates |
At the beginning of the year the directors reviewed the depreciation of skips and containers, the Arjes shredder and the shears included within Plant and Machinery. On review it was assessed that skips and containers should be depreciated using 20 years straight line instead of 10% reducing balance, the Arjes Shredder should be depreciated using 20 years straight line instead of 25% reducing balance and the shears should be depreciated using 20 years straight line on cost less residual value instead of 25% reducing balance to reflect the longer economic life of the assets.This resulted in fixed assets increasing and expenses decreasing by £1,160,560. |
Turnover |
Turnover represents the total invoice value, excluding value added tax. Sales of scrap metal are recognised as turnover based on delivery date of goods. |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Short leasehold | - |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the 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 balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet 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. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Debtors & creditors |
Short term debtors are measured at transaction price, less any impairment. Short term creditors are measured at transaction price. |
Cash and cash equivalents |
Cash and cash equivalents are basic financial assets and include deposits held at call with banks. |
Going concern |
The balance sheet at the end of the year recorded net current liabilities. However, the director believes that sufficient financial resources are available to the company to enable it to continue trading into the foreseeable future. Therefore, the financial statements have been prepared on a going concern basis. |
3. | TURNOVER |
The turnover and loss before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
2024 | 2023 |
£ | £ |
United Kingdom |
Europe |
Rest of World | 6,885,084 | 1,523,320 |
4. | OPERATING PROFIT/(LOSS) |
The operating profit (2023 - operating loss) is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Depreciation - assets on hire purchase contracts |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Foreign exchange differences | ( |
) |
Auditors remuneration |
Hire of plant and machinery |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank loan interest |
Loan interest |
Interest on underpaid tax | ( |
) |
Hire purchase |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
6. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
2024 | 2023 |
£ | £ |
Deferred tax | ( |
) |
Tax on loss | ( |
) |
Reconciliation of total tax (credit)/charge 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 |
£ | £ |
Loss before tax | ( |
) | ( |
) |
Loss multiplied by the standard rate of corporation tax in the UK of (2023 - |
( |
) |
( |
) |
Effects of: |
Expenses not deductible for tax purposes |
Income not taxable for tax purposes | ( |
) |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Deferred tax | (24,396 | ) | 1,131,189 |
Unutilized losses | 154,265 | 1,050,907 |
Total tax (credit)/charge | (24,396 | ) | 1,131,189 |
Factors that may affect future tax charges |
In the March 2021 Budget it was announced that the UK corporation tax rate would increase to 25% from 1 |
April 2023 for profits over £250,000. There are no other significant factors that may affect future tax charges. |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
7. | TANGIBLE FIXED ASSETS |
Improvements |
Short | to | Plant and |
leasehold | property | machinery |
£ | £ | £ |
COST |
At 1 April 2023 |
Additions |
Disposals | ( |
) |
At 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST |
At 1 April 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
7. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Improvements |
to | Plant and | Motor |
property | machinery | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 1 April 2023 |
Additions |
At 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
8. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
Additions |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Registered office: Hovefields Avenue, Basildon, Essex, England, SS13 1EB |
Nature of business: |
% |
Class of shares: | holding |
9. | STOCKS |
2024 | 2023 |
£ | £ |
Raw materials |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
10. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Amounts owed by related parties |
Other debtors |
Directors' loan accounts | - | 611,761 |
Tax |
VAT |
Prepayments and accrued income |
11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts (see note 13) |
Hire purchase contracts (see note 14) |
Trade creditors |
Amounts owed to associates | - | 1,000,000 |
Tax |
Other creditors |
Directors' loan accounts | 403,055 | - |
Accruals and deferred income |
12. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans (see note 13) |
Hire purchase contracts (see note 14) |
Amounts owed to associates | 2,000,000 | - |
Directors' loan accounts | 800,000 | - |
The loan is secured on the plant and machinery, which are included within fixed assets. |
13. | LOANS |
An analysis of the maturity of loans is given below: |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank overdrafts |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
14. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Hire purchase contracts |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Non-cancellable | operating leases |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
15. | SECURED DEBTS |
The following secured debts are included within creditors: |
2024 | 2023 |
£ | £ |
Bank loans |
Hire purchase contracts | 2,282,166 | 895,142 |
Bank loans are secured by way of a debenture over all assets of the company. |
Hire purchase contracts are secured over the assets of the company, which are subject to hire purchase. |
16. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax | 1,663,314 | 1,687,711 |
Deferred |
tax |
£ |
Balance at 1 April 2023 |
Accelerated capital allowances | 239,204 |
Deferred tax asset | (263,601 | ) |
Balance at 31 March 2024 |
Total Waste Management Limited (Registered number: 02415498) |
Notes to the Financial Statements - continued |
for the Year Ended 31 March 2024 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 300 | 300 |
18. | RESERVES |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
At 1 April 2023 | 227,043 | 912,054 | 1,139,097 |
Profit for the year |
At 31 March 2024 | 248,305 | 912,054 | 1,160,359 |
19. | DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 31 March 2024 and 31 March 2023 |
2024 | 2023 |
£ | £ |
Amounts Advanced | 196,933 | 214,909 |
Amounts Repaid | (2,011,749 | ) | - |
20. | ULTIMATE CONTROLLING PARTY |
The company is controlled by J Widdowson by virtue of The Gary Widdowson Family Settlement Trust 2004 holding 51% of the issued share capital in which he is a 50% beneficiary and also him holding another 39% personally. |