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REGISTERED NUMBER: 07124696 (England and Wales)















Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 December 2023

for

Stonewest Limited

Stonewest Limited (Registered number: 07124696)






Contents of the Financial Statements
for the Year Ended 31 December 2023




Page

Company Information 1

Strategic Report 2

Report of the Directors 5

Report of the Independent Auditors 6

Statement of Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Cash Flow Statement 12

Notes to the Financial Statements 13


Stonewest Limited

Company Information
for the Year Ended 31 December 2023







DIRECTORS: K Reuter
Mrs S V Reuter
M G W Reuter
A M Tuck





REGISTERED OFFICE: 4 Millbank
London
SW1P 3JA





REGISTERED NUMBER: 07124696 (England and Wales)





AUDITORS: Thornton Springer LLP
Chartered Accountants and
Statutory Auditor
67 Westow Street
London
SE19 3RW

Stonewest Limited (Registered number: 07124696)

Strategic Report
for the Year Ended 31 December 2023

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

Introduction

Stonewest Limited remains one of the UK's leading building restoration, conservation, and stonemasonry companies, operating as both a principal and specialist sub-contractor on a variety of the country's most significant historic buildings and structures. With a robust history spanning over 70 years, Stonewest is synonymous with quality, reliability, and excellence in the built heritage sector.

REVIEW OF BUSINESS

Stonewest Limited has demonstrated resilience and adaptability in a challenging market, building on the strong results achieved in 2022. For the financial year ending 31 December 2023, the company reported a turnover of £12,867,297, an increase of £3.13 million from the previous year. This includes organic growth into both the Home Counties and the Northern market, with several prestigious projects. The Special Works division continues to thrive, through the regular small-scale projects for which they are industry renowned and the termed maintenance landscaping works which saw the division perform strongly again.

The order book for 2024 has increased again showing strong continued growth made up of several high-profile projects for blue chip Clients, thus demonstrating Stonewest Limited's reliability and strong relationships with key stakeholders within the industry.

The Company has continued to focus on developing the correct balance of skills, experience and knowledge required for the leadership of the business and has made additional key appointments in the year to compliment and strengthen the senior management team.

Market and Strategic Position

The company has continued to strengthen its position in the built heritage market by focusing on high-quality service delivery and leveraging its expertise in managing complex projects. Stonewest's strategy for 2024 involves expanding its client base and increasing its market share in the commercial and public sectors. The company is also exploring opportunities in the international market, to diversify its revenue streams and mitigate domestic market risks.

Operational Review

During the year, the company successfully completed several key projects, working for well-known national charitable bodies and local/regional authorities. These projects have further cemented Stonewest's reputation for excellence in built heritage work. The company has also invested in modernizing its operational processes, including the implementation of advanced project management tools and enhancing workforce skills training to improve quality, efficiency and service delivery.

HEALTH & SAFETY

Health and Safety is the single most important aspect of our business. The health, safety, and well-being of our people, and those of our supply chain, remains our number one priority. During the year we have focussed heavily on ensuring that our working practices and procedures are not only safe and compliant, but that they also consider and cater for the mental health of our employees and workforce. In 2023, the company enhanced its health and safety protocols, with a particular focus on mental health support for employees. Comprehensive training programs were conducted, and new safety measures were implemented across all sites to ensure compliance with the latest regulations.


Stonewest Limited (Registered number: 07124696)

Strategic Report
for the Year Ended 31 December 2023

ENVIRONMENTAL, SOCIAL AND CORPORATE GOVERNANCE
Stonewest remains steadfast in our commitment to conducting our business operations with the lowest level of impact possible to the environment. The very nature of the work we do is geared towards being sustainable by the simple fact that we are inherently involved in the conservation and restoration of historic buildings and monuments. We have a proud track record of introducing innovations to the industry such as the use of water cutting and biofuel. This year the Board targeted reducing our carbon footprint wherever possible and sought to procure materials from sources which kept this as low as possible.
Stonewest has a long tradition in the training and development of the next generation of tradesmen and women through apprenticeships and 2023 was no exception. Several of our employees undertook structured training throughout the year as part of their ongoing development, ranging from skills training through to academic and vocational qualifications.
Stonewest embrace and promote inclusivity and are an equal opportunities employer, ensuring that diversity is embedded and reflected within the company culture.
Initiatives implemented in 2023 included sourcing materials sustainably and improving energy efficiency across operations. The company also continued its investment in employee training and development, promoting a diverse and inclusive workplace culture.

FUTURE DEVELOPMENTS

Looking ahead, Stonewest aims to further expand its operations in the UK and explore new opportunities in the international market. The company plans to invest in digital transformation projects to enhance project delivery and client engagement. Additionally, Stonewest will continue to focus on its ESG strategy, particularly in reducing carbon emissions and enhancing community engagement.

PRINCIPAL RISKS AND UNCERTAINTIES
Financial Instruments

The Company's principal financial instruments comprise bank balances, trade creditors and arrangements with additional funding from shareholders. Stonewest has a conservative approach to borrowing, maintaining sufficient cash reserves to meet its obligations and minimize exposure to financial risks.

The Company's policy of no institutional borrowings negates any significant exposure to risk. The Company's approach to managing other risks applicable to the financial instruments concerned is explained below.

Interest rate risk
The Company manages the liquidity risk by ensuring there are sufficient funds to meet the cash repayments. The Company continues to keep a close eye on the interest rate decisions by the Bank of England's Monetary Policy Committee.

Commodity price risk
The Company remains exposed to increased energy and material costs. The project costs are controlled by good management controls and selling prices are monitored regularly to reduce the impact of such risk.

Cost of living
Stonewest is committed to its employee's welfare and well-being. With the cost of living threatening to become a national crisis, the Company continues to keep a close eye on this and its effects on the market and on its employees.
In order to mitigate future financial risk, the Board continues to strictly manage its cost base and capital expenditure. No dividends will be paid during the financial year ending December 2022.

Customer Concentration Risk
Stonewest is actively broadening the customer base to reduce reliance on a few key clients.

Supply Chain Risk
Stonewest maintains a strong relationship with multiple suppliers and negotiates long-term agreements to ensure continuity.


Stonewest Limited (Registered number: 07124696)

Strategic Report
for the Year Ended 31 December 2023

KEY PERFORMANCE INDICATORS
The principal KPIs used by the directors to assess the performance and position of the business of the company are as follows:

Turnover
The directors monitor the development of the business by assessing the growth in turnover, relating it to project performance. The Company's sales increased by £3.13M against the turnover for 2022.

Gross profit
Gross profit and margins are also used by the directors to assess performance. Due to the rise in turnover, the gross profit increased by £15K to £3.55M and the gross profit margin decreased to 27% in 2023.

Operating profit
Operating profit and profit before tax are key measures of the Company's performance. The Company generated an operating profit for the year of £381K, compared with an operating profit of £639K in 2022.

Liquidity
Cash at the end of the year closed at £399,638 as of 31 December 2023, indicating strong liquidity management.

ON BEHALF OF THE BOARD:





K Reuter - Director


2 October 2024

Stonewest Limited (Registered number: 07124696)

Report of the Directors
for the Year Ended 31 December 2023

The directors present their report with the financial statements of the company for the year ended 31 December 2023.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of the cleaning and restoration of decayed or damaged stonework, brickwork, terracotta and faïence.

DIVIDENDS
No dividends will be distributed for the year ended 31 December 2023.

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

K Reuter
Mrs S V Reuter
M G W Reuter
A M Tuck

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the 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 directors are 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 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 company's auditors are aware of that information.

ON BEHALF OF THE BOARD:





K Reuter - Director


2 October 2024

Report of the Independent Auditors to the Members of
Stonewest Limited

Opinion
We have audited the financial statements of Stonewest Limited (the 'company') for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 December 2023 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 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 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 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 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 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
Stonewest 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 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, 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 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 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 company or to cease operations, or have 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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud.

We focussed on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006, UK tax legislation and Health & Safety regulations. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and discussing with management on any known or suspected instances of fraud or non-compliance with laws and regulations.

In evaluating the risk of management override of internal controls, we tested journals entries and evaluated whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

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.

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.

Report of the Independent Auditors to the Members of
Stonewest 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.




Stephen Kaye (Senior Statutory Auditor)
for and on behalf of Thornton Springer LLP
Chartered Accountants and
Statutory Auditor
67 Westow Street
London
SE19 3RW

2 October 2024

Stonewest Limited (Registered number: 07124696)

Statement of Comprehensive Income
for the Year Ended 31 December 2023

31.12.23 31.12.22
Notes £    £   

TURNOVER 4 12,867,297 9,739,787

Cost of sales (9,313,808 ) (6,201,418 )
GROSS PROFIT 3,553,489 3,538,369

Administrative expenses (3,243,585 ) (2,899,401 )
309,904 638,968

Other operating income 71,560 -
OPERATING PROFIT 6 381,464 638,968

Interest receivable and similar income 522 -
381,986 638,968

Interest payable and similar expenses 7 (93,925 ) (43,999 )
PROFIT BEFORE TAXATION 288,061 594,969

Tax on profit 8 354,556 89,387
PROFIT FOR THE FINANCIAL YEAR 642,617 684,356

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

642,617

684,356

Stonewest Limited (Registered number: 07124696)

Balance Sheet
31 December 2023

31.12.23 31.12.22
Notes £    £   
FIXED ASSETS
Intangible assets 9 1 1
Tangible assets 10 77,665 15,340
77,666 15,341

CURRENT ASSETS
Debtors 11 4,756,855 4,296,689
Cash at bank and in hand 399,638 12,187
5,156,493 4,308,876
CREDITORS
Amounts falling due within one year 12 (2,981,150 ) (2,606,015 )
NET CURRENT ASSETS 2,175,343 1,702,861
TOTAL ASSETS LESS CURRENT
LIABILITIES

2,253,009

1,718,202

CREDITORS
Amounts falling due after more than one
year

13

725,909

833,719

CAPITAL AND RESERVES
Called up share capital 16 1,300,100 1,300,100
Share premium 17 200,000 200,000
Retained earnings 17 27,000 (615,617 )
SHAREHOLDERS' FUNDS 1,527,100 884,483
2,253,009 1,718,202

The financial statements were approved by the Board of Directors and authorised for issue on 2 October 2024 and were signed on its behalf by:




K Reuter - Director



A M Tuck - Director


Stonewest Limited (Registered number: 07124696)

Statement of Changes in Equity
for the Year Ended 31 December 2023

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 January 2022 800,100 (1,299,973 ) 200,000 (299,873 )

Changes in equity
Issue of share capital 500,000 - - 500,000
Total comprehensive income - 684,356 - 684,356
Balance at 31 December 2022 1,300,100 (615,617 ) 200,000 884,483

Changes in equity
Total comprehensive income - 642,617 - 642,617
Balance at 31 December 2023 1,300,100 27,000 200,000 1,527,100

Stonewest Limited (Registered number: 07124696)

Cash Flow Statement
for the Year Ended 31 December 2023

31.12.23 31.12.22
Notes £    £   
Cash flows from operating activities
Cash generated from operations 21 177,149 (787,738 )
Interest paid (93,925 ) (43,999 )
Tax paid 354,556 89,387
Net cash from operating activities 437,780 (742,350 )

Cash flows from investing activities
Purchase of tangible fixed assets (87,451 ) (11,331 )
Interest received 522 -
Net cash from investing activities (86,929 ) (11,331 )

Cash flows from financing activities
Loan repayments in year (20,500 ) (623,000 )
Amount introduced by directors 536,924 1,614,479
Amount withdrawn by directors (479,843 ) (731,829 )
Share issue - 500,000
Net cash from financing activities 36,581 759,650

Increase in cash and cash equivalents 387,432 5,969
Cash and cash equivalents at beginning of
year

22

12,187

6,218

Cash and cash equivalents at end of year 22 399,619 12,187

Stonewest Limited (Registered number: 07124696)

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

1. STATUTORY INFORMATION

Stonewest 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 Company Information page.

2. STATEMENT OF COMPLIANCE

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.

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
The financial statements have been prepared under the historical cost convention.

The presentation currency of the financial statements is in Pound Sterling (£). Monetary amounts are rounded to the nearest £.

Significant judgements and estimates
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities at the balance sheet date and the amounts reported for revenue and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The most significant area is the company's Turnover policy, as shown below, which is central to how the company values the work it has carried out in each financial year.

This policy requires forecasts to be made of the outcomes of long term contracts, which require both estimates and judgements to be made of both the cost and income recognition on each contract. Judgements and estimates are reviewed regularly throughout the contract life based on latest available information and adjustments are made where necessary.

Turnover
Turnover represents net invoiced sales of services, excluding value added tax.

In respect of on-going contracts, turnover includes the value of work done but not invoiced up to the Balance Sheet date, after making due allowances for unrecoverable amounts.

Intangible assets
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Plant and machinery - 20% on reducing balance
Motor vehicles - 25% on reducing balance
Computer equipment - 25% on cost

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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.


Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

3. 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.

Hire purchase and leasing commitments
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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Financial instruments
The company has chosen to adopt sections 11 and 12 of FRS 102 in respect of financial instruments.

(i) Financial assets

Basic financial assets, including trade and other debtors, cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at cost and amortised cost are assessed for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Income Statement.

For financial assets measured at amortised costs, the impairment loss is measured as the difference between the asset's carrying amount and the present value of the estimated cash flow discounted at the asset's original effective interest rate.

(ii) Financial liabilities

Basic financial liabilities, including trade and other creditors are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Cash and cash equivalents
Cash and cash equivalents includes cash in hand, deposits held at call with banks, and, if applicable, other short-term highly liquid investments with original maturities of three months or less.

4. TURNOVER

The total turnover of the company has been derived from its principal activity wholly undertaken in the UK.

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

5. EMPLOYEES AND DIRECTORS
31.12.23 31.12.22
£    £   
Wages and salaries 1,989,525 1,849,641
Other pension costs 121,014 117,552
2,110,539 1,967,193

The average number of employees during the year was as follows:
31.12.23 31.12.22

Management 8 8
Administration 22 6
Operators 87 60
117 74

31.12.23 31.12.22
£    £   
Directors' remuneration 129,585 113,650

6. OPERATING PROFIT

The operating profit is stated after charging:

31.12.23 31.12.22
£    £   
Other operating leases 279,476 178,303
Depreciation - owned assets 25,126 5,113
Auditors' remuneration 21,200 12,000

7. INTEREST PAYABLE AND SIMILAR EXPENSES
31.12.23 31.12.22
£    £   
Bank interest 655 -
Other interest charges 93,270 43,999
93,925 43,999

8. TAXATION

Analysis of the tax credit
The tax credit on the profit for the year was as follows:
31.12.23 31.12.22
£    £   
Current tax:
Adjustment to prior years (354,556 ) (89,387 )
Tax on profit (354,556 ) (89,387 )

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

8. TAXATION - continued

Reconciliation of total tax 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:

31.12.23 31.12.22
£    £   
Profit before tax 288,061 594,969
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2022 - 19%)

72,015

113,044

Effects of:
Expenses not deductible for tax purposes 561 321
Income not taxable for tax purposes (17,890 ) -
Capital allowances in excess of depreciation - (2,052 )
Depreciation in excess of capital allowances 4,726 -
Utilisation of tax losses (59,282 ) (111,313 )
Interest received (130 ) -
Adjustment to prior years (354,556 ) (89,387 )
Total tax credit (354,556 ) (89,387 )

9. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 January 2023
and 31 December 2023 1
NET BOOK VALUE
At 31 December 2023 1
At 31 December 2022 1

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

10. TANGIBLE FIXED ASSETS
Plant and Motor Computer
machinery vehicles equipment Totals
£    £    £    £   
COST
At 1 January 2023 164,592 - 20,362 184,954
Additions - 87,451 - 87,451
At 31 December 2023 164,592 87,451 20,362 272,405
DEPRECIATION
At 1 January 2023 158,950 - 10,664 169,614
Charge for year 1,249 21,938 1,939 25,126
At 31 December 2023 160,199 21,938 12,603 194,740
NET BOOK VALUE
At 31 December 2023 4,393 65,513 7,759 77,665
At 31 December 2022 5,642 - 9,698 15,340

11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.23 31.12.22
£    £   
Trade debtors 488,491 988,524
Amounts recoverable on contract 2,835,066 2,480,875
Other debtors 1,001,940 643,398
VAT 305,103 10,307
Prepayments 126,255 173,585
4,756,855 4,296,689

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.23 31.12.22
£    £   
Bank loans and overdrafts (see note 14) 19 -
Other loans (see note 14) 396,391 252,000
Trade creditors 1,568,491 1,541,281
Social security and other taxes 78,259 -
Other creditors 563,491 310,345
Accruals 374,499 502,389
2,981,150 2,606,015

13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
31.12.23 31.12.22
£    £   
Other loans (see note 14) - 164,891
Directors' loan accounts 725,909 668,828
725,909 833,719

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

14. LOANS

An analysis of the maturity of loans is given below:

31.12.23 31.12.22
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts 19 -
Other loans 396,391 252,000
396,410 252,000

Amounts falling due between one and two years:
Other loans - 164,891

15. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
31.12.23 31.12.22
£    £   
Within one year 124,073 124,073
Between one and five years 201,199 301,917
In more than five years 3,160 4,740
328,432 430,730

16. CALLED UP SHARE CAPITAL

Allotted and issued:
Number: Class: Nominal 31.12.23 31.12.22
value: £    £   
800,100 Ordinary Shares £1 1,300,100 1,300,100

17. RESERVES
Retained Share
earnings premium Totals
£    £    £   

At 1 January 2023 (615,617 ) 200,000 (415,617 )
Profit for the year 642,617 642,617
At 31 December 2023 27,000 200,000 227,000

18. ULTIMATE PARENT COMPANY

From 7 July 2020 the ultimate parent company is Stonewest (HK) Limited, a company incorporated in Hong Kong.

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

19. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31 December 2023 and 31 December 2022:

31.12.23 31.12.22
£    £   
K Reuter
Balance outstanding at start of year (668,828 ) 213,822
Amounts advanced - (882,650 )
Amounts repaid 422,462 -
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year (246,366 ) (668,828 )

M G W Reuter
Balance outstanding at start of year - -
Amounts advanced (479,843 ) -
Amounts repaid - -
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year (479,843 ) -

20. RELATED PARTY DISCLOSURES

Included in creditors due within one year is a loan totalling £391,391 owed by Stonewest (HK) Limited, the ultimate parent company.

21. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
31.12.23 31.12.22
£    £   
Profit before taxation 288,061 594,969
Depreciation charges 25,127 5,113
Finance costs 93,925 43,999
Finance income (522 ) -
406,591 644,081
Increase in trade and other debtors (460,167 ) (163,065 )
Increase/(decrease) in trade and other creditors 230,725 (1,268,754 )
Cash generated from operations 177,149 (787,738 )

Stonewest Limited (Registered number: 07124696)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023

22. 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
£    £   
Cash and cash equivalents 399,638 12,187
Bank overdrafts (19 ) -
399,619 12,187
Year ended 31 December 2022
31.12.22 1.1.22
£    £   
Cash and cash equivalents 12,187 6,218


23. ANALYSIS OF CHANGES IN NET DEBT

At 1.1.23 Cash flow At 31.12.23
£    £    £   
Net cash
Cash at bank and in hand 12,187 387,451 399,638
Bank overdrafts - (19 ) (19 )
12,187 387,432 399,619
Debt
Debts falling due within 1 year (252,000 ) (144,391 ) (396,391 )
Debts falling due after 1 year (164,891 ) 164,891 -
(416,891 ) 20,500 (396,391 )
Total (404,704 ) 407,932 3,228