REGISTERED NUMBER: 02071631 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
TECHCRETE LIMITED |
REGISTERED NUMBER: 02071631 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
TECHCRETE LIMITED |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 4 |
Consolidated Income Statement | 8 |
Consolidated Other Comprehensive Income | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
TECHCRETE LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditor |
409-411 Croydon Road |
Beckenham |
Kent |
BR3 3PP |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their strategic report of the company and the group for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
The group trades as a concrete, brick repair and refurbishment business working within the UK construction trade and also holds investments. It has a separate fire door and fire protection division, again in the UK construction trade. 2023 was seen as a solid year for the group. |
PRINCIPAL RISKS AND UNCERTAINTIES |
As the market remains uncertain, some main contractors buy contracts at uneconomic rates which they then try to pass onto the sub-contractor. A system of pre-contract review prior to acceptance of this subcontract is in operation to try and avoid loss-making contracts. |
All contracts are reviewed on a fortnightly basis with fiscal analysis on a monthly basis. |
Late payment and underpayment remains a high risk. Again, constant review and procedures are in operation to try to avoid these debts. Review of the clients and main contractors has managed to minimise bad debts from insolvencies. |
As a group dependant on local authority expenditure, changes in government direction and policy also have a direct effect. |
BUSINESS ENVIRONMENT |
The UK construction market is a highly competitive market which over the last year has made modest recovery in the refurbishment market with a stronger recovery in new-build and housing. |
Main contractors are still tendering on a very economic basis. Pressure is on staffing and rates. Poaching of operatives has become noticeable and rates for the site operatives are increasing. |
STRATEGY |
2023 saw focus remain on overheads with reductions where possible. This has continued into 2024. |
Focus has also been on site management to ensure quality of product, together with liaison and records. Quality and delivery has resulted in repeat business from respected clients. This together with records has resulted in better account control and percentage recovery. |
FUTURE DEVELOPMENTS |
Whilst there has been growth in the UK construction market, we are guarded as to whether this will continue. |
Investment in the London property market is again high and will continue to flourish. Hotels, flats/apartments and offices are a market that we will focus on for fire protection. For concrete and brickwork, sales focus will be on existing clients by improving delivery, quality and liaison. |
The group will continue to look at new ventures that may present opportunities for growth. |
ON BEHALF OF THE BOARD: |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
DIVIDENDS |
The group voted total dividends in the year of £65,504. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
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. |
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, Edwards Chartered Accountants, 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 |
TECHCRETE LIMITED |
Opinion |
We have audited the financial statements of Techcrete Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 December 2023 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. |
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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TECHCRETE LIMITED |
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 three, 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 |
TECHCRETE 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: |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures can detect irregularities, including fraud is detailed below: |
Our approach was as follows: |
a) We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to include the Companies Act 2006, and relevant tax legislation. In addition, we have considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. |
b) We communicated identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. |
c) We examined the company's regulatory and legal correspondence and discussed with management any known or suspected instances of fraud or non-compliance with laws and regulations. |
d) We assessed the risks of material misstatement in respect of fraud as follows: |
i) We considered the use of remuneration incentive schemes and performance targets for management and did not identify any additional fraud risks |
ii) The audit team discussed whether there were any areas that were susceptible to misstatement as part of their fraud discussion. |
iii) In addressing the risk of management override of controls, we tested the appropriateness of journal entries. We also challenged assumptions and judgements made by management in their significant accounting estimates and judgements. |
iv) We incorporated an element of unpredictability in the selection of the nature, timing and extent of our audit procedures. |
Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud, including: |
Designing audit procedures to address, for example: |
a) The possibility of fraudulent or corrupt payments made through third parties. |
b) The risk of bribery and corruption. |
c) The opportunity to segregate duties within the entity. |
Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above. |
Using our general commercial and sector experience and through discussions with management, we identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements as well as those arising from management's own assessment of the risks that irregularities may occur either because of fraud or error. |
The engagement partner considers the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
TECHCRETE LIMITED |
Under ISA 240 (UK) there is a presumed risk that revenue may be misstated due to the improper recognition of revenue. To address this risk, we obtained an understanding of the company's revenue recognition policies and compared these to the accounting standard, performed a walkthrough to confirm our understanding of the processes and controls through which the business initiates, records, processes and reports revenue transactions. |
We tested a sample of revenue transactions to supporting evidence and tested, on a sample basis, revenue related balances in the balance sheet. |
We considered the extent to which the audit was considered capable of detecting irregularities: There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our 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. |
for and on behalf of |
Statutory Auditor |
409-411 Croydon Road |
Beckenham |
Kent |
BR3 3PP |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 25,399,689 | 21,326,151 |
Cost of sales | 20,884,886 | 17,224,541 |
GROSS PROFIT | 4,514,803 | 4,101,610 |
Administrative expenses | 4,357,233 | 3,592,830 |
OPERATING PROFIT | 4 | 157,570 | 508,780 |
Interest receivable and similar income | 5,428 | 1 |
162,998 | 508,781 |
Interest payable and similar expenses | 5 | 35,894 | 33,099 |
PROFIT BEFORE TAXATION | 127,104 | 475,682 |
Tax on profit | 6 | 40,599 | (2,131 | ) |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 86,505 | 477,813 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 86,505 | 477,813 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
86,505 |
477,813 |
Total comprehensive income attributable to: |
Owners of the parent | 86,505 | 477,813 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONSOLIDATED BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 | 3,801,854 | 3,576,444 |
Investments | 10 | 19,400 | 19,400 |
3,821,254 | 3,595,844 |
CURRENT ASSETS |
Stocks | 11 | 2,404,049 | 181,137 |
Debtors | 12 | 4,692,771 | 4,496,888 |
7,096,820 | 4,678,025 |
CREDITORS |
Amounts falling due within one year | 13 | 5,983,281 | 3,572,764 |
NET CURRENT ASSETS | 1,113,539 | 1,105,261 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,934,793 |
4,701,105 |
CREDITORS |
Amounts falling due after more than one year |
14 |
(206,820 |
) |
- |
PROVISIONS FOR LIABILITIES | 17 | (42,637 | ) | (36,780 | ) |
NET ASSETS | 4,685,336 | 4,664,325 |
CAPITAL AND RESERVES |
Called up share capital | 18 | 197 | 187 |
Fair value reserve | 19 | 118,697 | 118,697 |
Retained earnings | 19 | 4,566,442 | 4,545,441 |
SHAREHOLDERS' FUNDS | 4,685,336 | 4,664,325 |
The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2024 and were signed on its behalf by: |
J F Otter - Director |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
COMPANY BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 17 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Fair value reserve |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 7,633 | 157,995 |
The financial statements were approved by the Board of Directors and authorised for issue on |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up | Fair |
share | Retained | value | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 | 100 | 4,141,132 | 118,697 | 4,259,929 |
Changes in equity |
Issue of share capital | 87 | - | - | 87 |
Dividends | - | (73,504 | ) | - | (73,504 | ) |
Total comprehensive income | - | 477,813 | - | 477,813 |
Balance at 31 December 2022 | 187 | 4,545,441 | 118,697 | 4,664,325 |
Changes in equity |
Issue of share capital | 10 | - | - | 10 |
Dividends | - | (65,504 | ) | - | (65,504 | ) |
Total comprehensive income | - | 86,505 | - | 86,505 |
Balance at 31 December 2023 | 197 | 4,566,442 | 118,697 | 4,685,336 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up | Fair |
share | Retained | value | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Issue of share capital | - | - |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Issue of share capital | - | - |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2023 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 175,206 | (447,450 | ) |
Interest paid | (11,821 | ) | (33,099 | ) |
Interest element of hire purchase payments paid |
(24,073 |
) |
- |
Tax paid | 140,191 | (296,667 | ) |
Net cash from operating activities | 279,503 | (777,216 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (305,806 | ) | (7,303 | ) |
Purchase of fixed asset investments | - | (1 | ) |
Interest received | 5,428 | 1 |
Net cash from investing activities | (300,378 | ) | (7,303 | ) |
Cash flows from financing activities |
Capital repayments in year | 243,379 | - |
Share issue | 10 | 87 |
Equity dividends paid | (65,504 | ) | (73,504 | ) |
Net cash from financing activities | 177,885 | (73,417 | ) |
Increase/(decrease) in cash and cash equivalents | 157,010 | (857,936 | ) |
Cash and cash equivalents at beginning of year |
2 |
(241,942 |
) |
615,994 |
Cash and cash equivalents at end of year | 2 | (84,932 | ) | (241,942 | ) |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 127,104 | 475,682 |
Depreciation charges | 80,396 | 34,431 |
Finance costs | 35,894 | 33,099 |
Finance income | (5,428 | ) | (1 | ) |
237,966 | 543,211 |
(Increase)/decrease in stocks | (2,222,912 | ) | 72,229 |
Increase in trade and other debtors | (358,716 | ) | (1,332,442 | ) |
Increase in trade and other creditors | 2,518,868 | 269,552 |
Cash generated from operations | 175,206 | (447,450 | ) |
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 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Bank overdrafts | (84,932 | ) | (241,942 | ) |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | - | 615,994 |
Bank overdrafts | (241,942 | ) | - |
(241,942 | ) | 615,994 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Bank overdrafts | (241,942 | ) | 157,010 | (84,932 | ) |
(241,942 | ) | 157,010 | (84,932 | ) |
Debt |
Finance leases | - | (243,379 | ) | (243,379 | ) |
- | (243,379 | ) | (243,379 | ) |
Total | (241,942 | ) | (86,369 | ) | (328,311 | ) |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | STATUTORY INFORMATION |
Techcrete Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Turnover |
Turnover represents net invoiced sales of goods and services, excluding value added tax. |
Revenue is recognised by reference to the level of completion of each contract at the balance sheet date. |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Investment property is carried at fair value determined annually by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Stocks |
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition. |
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 balance sheet date. |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
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. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
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. |
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. |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 2,287,078 | 1,745,193 |
Social security costs | 7,797 | 7,262 |
Other pension costs | 318,436 | 254,369 |
2,613,311 | 2,006,824 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Administrative and direct labour |
2023 | 2022 |
£ | £ |
Directors' remuneration | 374,437 | 63,937 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
3. | EMPLOYEES AND DIRECTORS - continued |
Information regarding the highest paid director for the year ended 31 December 2023 is as follows: |
2023 |
£ |
Emoluments etc | 310,500 |
4. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 958,112 | 646,253 |
Depreciation - owned assets | 19,909 | 34,431 |
Depreciation - assets on hire purchase contracts | 60,487 | - |
Auditor's remuneration | 9,300 | 7,500 |
Auditor's remuneration for non audit work | 18,912 | 16,706 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank interest | - | 2 |
Other interest | 11,821 | 28,878 |
Loan interest | - | 4,219 |
Hire purchase | 24,073 | - |
35,894 | 33,099 |
6. | TAXATION |
Analysis of the tax charge/(credit) |
The tax charge/(credit) on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 34,742 | 4,313 |
Deferred tax | 5,857 | (6,444 | ) |
Tax on profit | 40,599 | (2,131 | ) |
7. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Ordinary shares of £1 each |
Final | 65,504 | 65,504 |
A shares of £1 each |
Final | - | 8,000 |
65,504 | 73,504 |
9. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST OR VALUATION |
At 1 January 2023 | 3,495,000 | 34,900 | 60,735 |
Additions | - | - | 2,632 |
Disposals | - | - | (386 | ) |
At 31 December 2023 | 3,495,000 | 34,900 | 62,981 |
DEPRECIATION |
At 1 January 2023 | - | 11,232 | 28,802 |
Charge for year | - | 6,978 | 12,284 |
Eliminated on disposal | - | - | (386 | ) |
At 31 December 2023 | - | 18,210 | 40,700 |
NET BOOK VALUE |
At 31 December 2023 | 3,495,000 | 16,690 | 22,281 |
At 31 December 2022 | 3,495,000 | 23,668 | 31,933 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 January 2023 | 20,722 | 59,617 | 3,670,974 |
Additions | 230,555 | 72,619 | 305,806 |
Disposals | - | - | (386 | ) |
At 31 December 2023 | 251,277 | 132,236 | 3,976,394 |
DEPRECIATION |
At 1 January 2023 | 17,236 | 37,260 | 94,530 |
Charge for year | 46,230 | 14,904 | 80,396 |
Eliminated on disposal | - | - | (386 | ) |
At 31 December 2023 | 63,466 | 52,164 | 174,540 |
NET BOOK VALUE |
At 31 December 2023 | 187,811 | 80,072 | 3,801,854 |
At 31 December 2022 | 3,486 | 22,357 | 3,576,444 |
Cost or valuation at 31 December 2023 is represented by: |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
Valuation in 2016 | 157,840 | - | - |
Cost | 3,337,160 | 34,900 | 62,981 |
3,495,000 | 34,900 | 62,981 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
Valuation in 2016 | - | - | 157,840 |
Cost | 251,277 | 132,236 | 3,818,554 |
251,277 | 132,236 | 3,976,394 |
If freehold land and buildings had not been revalued they would have been included at the following historical cost: |
2023 | 2022 |
£ | £ |
Cost | 3,337,160 | 3,337,160 |
Freehold land and buildings were valued on a fair value basis on 31 December 2023 by the directors . |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST OR VALUATION |
Additions | 230,555 | 72,619 | 303,174 |
At 31 December 2023 | 230,555 | 72,619 | 303,174 |
DEPRECIATION |
Charge for year | 45,359 | 15,128 | 60,487 |
At 31 December 2023 | 45,359 | 15,128 | 60,487 |
NET BOOK VALUE |
At 31 December 2023 | 185,196 | 57,491 | 242,687 |
Company |
Freehold | Motor |
property | vehicles | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 January 2023 |
and 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Cost or valuation at 31 December 2023 is represented by: |
Freehold | Motor |
property | vehicles | Totals |
£ | £ | £ |
Valuation in 2016 | 118,697 | - | 118,697 |
Cost | 3,376,303 | 7,695 | 3,383,998 |
3,495,000 | 7,695 | 3,502,695 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS - continued |
Company |
If freehold land and buildings had not been revalued they would have been included at the following historical cost: |
2023 | 2022 |
£ | £ |
Cost | 3,376,303 | 3,376,303 |
Freehold land and buildings were valued on a fair value basis on 31 December 2023 by the directors . |
10. | FIXED ASSET INVESTMENTS |
Group |
Shares in |
group |
undertakings |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 | 19,400 |
NET BOOK VALUE |
At 31 December 2023 | 19,400 |
At 31 December 2022 | 19,400 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Inside the United Kingdom |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
Registered office: Inside the United Kingdom |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
Registered office: Inside the United Kingdom |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
Registered office: Inside the United Kingdom |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
(Loss)/profit for the year | ( |
) |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | FIXED ASSET INVESTMENTS - continued |
Registered office: Inside the United Kingdom |
Nature of business: |
% |
Class of shares: | holding |
2023 |
£ |
Aggregate capital and reserves | ( |
) |
Loss for the year | ( |
) |
11. | STOCKS |
Group |
2023 | 2022 |
£ | £ |
Stocks | 2,000,375 | - |
Work-in-progress | 403,674 | 181,137 |
2,404,049 | 181,137 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 4,264,935 | 3,853,322 |
Amounts owed by group undertakings | - | 1 |
Other debtors | 254,508 | 163,563 |
Tax | 12,884 | 175,717 |
VAT | - | 133,263 |
Prepayments and accrued income | 160,444 | 171,022 |
4,692,771 | 4,496,888 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 15) | 84,932 | 241,942 |
Hire purchase contracts (see note 16) | 36,559 | - |
Trade creditors | 2,387,242 | 1,948,000 |
Amounts owed to group undertakings | - | - |
Tax | 178,003 | 165,903 |
Social security and other taxes | 654,997 | 380,672 |
VAT | 147,456 | - | 12,085 | 12,669 |
Other creditors | 1,278,046 | 225,691 |
Accruals and deferred income | 1,216,046 | 610,556 |
5,983,281 | 3,572,764 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2023 | 2022 |
£ | £ |
Hire purchase contracts (see note 16) | 206,820 | - |
15. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 84,932 | 241,942 |
The bank loan is secured by a first mortgage over one of the company's freehold properties. |
16. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 36,559 | - |
Between one and five years | 206,820 | - |
243,379 | - |
17. | PROVISIONS FOR LIABILITIES |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Deferred tax | 42,637 | 36,780 | 23,739 | 22,552 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 36,780 |
Charge to Income Statement during year | 5,857 |
Balance at 31 December 2023 | 42,637 |
TECHCRETE LIMITED (REGISTERED NUMBER: 02071631) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
17. | PROVISIONS FOR LIABILITIES - continued |
Company |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Accelerated capital allowances | 1,187 |
Balance at 31 December 2023 |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 101 | 101 |
A | £1 | 86 | 86 |
B | £1 | 10 | - |
197 | 187 |
10 B shares of £1 each were allotted and fully paid for |
19. | RESERVES |
Group |
Fair |
Retained | value |
earnings | reserve | Totals |
£ | £ | £ |
At 1 January 2023 | 4,545,441 | 118,697 | 4,664,138 |
Profit for the year | 86,505 | 86,505 |
Dividends | (65,504 | ) | (65,504 | ) |
At 31 December 2023 | 4,566,442 | 118,697 | 4,685,139 |
Company |
Fair |
value |
reserve |
£ |
At 1 January 2023 |
and 31 December 2023 |
20. | TRANSACTIONS WITH DIRECTORS |
During the year, dividends were voted of £65,504 in favour of the directors. |
21. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is J F Otter. |