Company registration number SC105107 (Scotland)
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
COMPANY INFORMATION
Directors
Mr J Murray
Mrs J Murray
Mr G L Murray
Mr H Murray
Mrs A Mackenzie
Mr A Mackenzie
Secretary
Mrs J Murray
Company number
SC105107
Registered office
Dornoch Road
Bonar Bridge
IV24 3EB
Auditor
A9 Accountancy Limited
Elm House
Cradlehall Business Park
Inverness
United Kingdom
IV2 5GH
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditor's report
5 - 7
Profit and loss account
8
Group statement of comprehensive income
9
Group balance sheet
10
Company balance sheet
11
Group statement of changes in equity
12
Company statement of changes in equity
13
Group statement of cash flows
14
Company statement of cash flows
15
Notes to the financial statements
16 - 33
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2024
- 1 -

The directors present the strategic report for the year ended 30 April 2024.

Principal activities

The principal activity of the company continued to be that of a holding company. The principal activities of the group are the commercial rearing of smolts and the provision of transport services to the aquaculture industry. There have not been any significant changes in the group's principal activities during the year under review.

Review of the business

As shown in the group statement of comprehensive income, this has been another successful year for the group with a further increase in the net asset position. Underlying trading profit has been successful for the transport business.

 

The wellboats operated by the company have continued to trade successfully during the year, the trucks have also produced a better financial result due to increased activity. The smolt business has reduced operating costs by selling the stock ex farm, thus increasing profitability.

 

The Group has had a slow start to trade in the first couple of months due to delays with the wellboats completing their annual maintenance, but business is again very busy, and expectations are for another successful year.

Principal risks and uncertainties

The principal risks and uncertainties facing the group are broadly as follows:

 

Business risk: The management of the business and our strategy are, like any business, subject to a few risks. These include competition from other fish transport operators, fluctuations in fish food and fuel costs and the effects on the fish farming industry from external matters.

 

Liquidity risks: The group maintains a cautious cash management policy and is confident of being able to continue servicing its bank loans in line with agreed repayment profiles. Liquidity does not pose a risk to the group.

 

Interest rate risk: Interest rates are not considered to pose a significant risk to the group and the group has in place an interest rate swap regarding part of its borrowing to protect against any unforeseen movements in interest rates.

 

Credit risk: The groups policy is to minimise exposure to losses of defaulting customers. A robust credit control policy is operated to minimise exposure to customers where there have been incidences of an imperfect collection history.

Overview of controls
Key performance indicators

The group monitors business performance of its different segments, specifically wellboats and road transport (transport services up 15.2%) and smolt production (sales up 8.9%) through monthly reporting of results. We use a variety of KPI's to monitor and drive the performance of the business, in addition to sales profit and free cash. These include gross profit percentage (down 9.4%), with group cash and cash decreasing in the year by £767,496

Future developments

As indicated above the directors are pleased with business during the first months of the financial year and of the anticipated outcome for the remainder of the year. The wellboat and smolt businesses have performed well and the group intends to continue to invest in these businesses should attractive opportunities arise.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 2 -

On behalf of the board

Mr H Murray
Director
8 August 2024
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 APRIL 2024
- 3 -

The directors present their annual report and financial statements for the year ended 30 April 2024.

Results and dividends

The results for the year are set out on page 8.

Ordinary dividends were paid amounting to £280,000. The directors have recommended payment of a final dividend amounting to £140,000. This is subject to shareholder approval and has not been included as a liability in the accounts.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr J Murray
Mrs J Murray
Mr G L Murray
Mr H Murray
Mrs A Mackenzie
Mr A Mackenzie
Auditor

The auditors A9 Accountancy Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.

Statement of directors' responsibilities

The directors are responsible for preparing the Annual Report 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 4 -
Strategic report

The group has chosen in accordance with Companies Act 2006, s.414C(11) to set out in the group's 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 developments.

On behalf of the board
Mr H Murray
Director
8 August 2024
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF MIGDALE GROUP LIMITED
- 5 -
Opinion

We have audited the financial statements of Migdale Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 April 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including 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:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group's and 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF MIGDALE GROUP LIMITED
- 6 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 is 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 an auditor's report 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.

Extent to which our procedures are capable of detecting irregularities, including fraud

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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below.

We obtained an understanding of the legal and regulatory frameworks that are applicable to the company, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The most relevant frameworks we identified include:

 

We gained an understanding of how the company is complying with these laws and regulations by making enquiries of management including management. We corroborated these enquiries through our review of external inspections, relevant correspondence with regulatory bodies and board meeting minutes.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF MIGDALE GROUP LIMITED
- 7 -

We assessed the susceptibility of the company’s financial statements to material misstatement, including how fraud might occur, by meeting with management to understand where it was considered there was susceptibility to fraud. This evaluation also considered how management were remunerated and whether this provided an incentive for fraudulent activity. We considered the overall control environment and how management oversee the implementation and operation of controls. In areas of the financial statements where the risks were considered to be higher, we performed procedures to address each identified risk.

 

The following procedures were performed to provide reasonable assurance that the financial statements were free of material fraud or error:

 

Our audit procedures were designed to respond to the risk of material misstatements in the financial statements, recognising that the risk of not detecting a material risk due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve intentional concealment, forgery, collusion, omission or misrepresentation. There are inherent limitations in the audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 an auditor's report 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.

Paul Capewell FCA CA (Senior Statutory Auditor)
For and on behalf of A9 Accountancy Limited
27 August 2024
Chartered Accountants
Statutory Auditor
Elm House
Cradlehall Business Park
Inverness
United Kingdom
IV2 5GH
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 30 APRIL 2024
- 8 -
2024
2023
Notes
£
£
Turnover
3
16,683,403
14,975,474
Cost of sales
(11,997,295)
(9,802,264)
Gross profit
4,686,108
5,173,210
Distribution costs
(224,300)
(237,573)
Administrative expenses
(1,443,487)
(1,216,354)
Other operating income
74,824
39,799
Exceptional item
4
-
0
(184,000)
Operating profit
5
3,093,145
3,575,082
Interest receivable and similar income
9
481,168
223,975
Interest payable and similar expenses
10
(574,032)
(482,398)
Profit before taxation
3,000,281
3,316,659
Tax on profit
11
(747,646)
(638,669)
Profit for the financial year
27
2,252,635
2,677,990
Profit for the financial year is all attributable to the owners of the parent company.
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2024
- 9 -
2024
2023
£
£
Profit for the year
2,252,635
2,677,990
Other comprehensive income
-
-
Total comprehensive income for the year
2,252,635
2,677,990
Total comprehensive income for the year is all attributable to the owners of the parent company.
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
GROUP BALANCE SHEET
AS AT
30 APRIL 2024
30 April 2024
- 10 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
13
5,012
5,687
Tangible assets
14
21,209,385
19,937,538
Investment property
15
203,760
310,441
21,418,157
20,253,666
Current assets
Stocks
18
21,988
78,319
Debtors
19
2,820,134
1,814,432
Biological asset
20
391,559
641,890
Cash at bank and in hand
5,062,572
5,830,068
8,296,253
8,364,709
Creditors: amounts falling due within one year
21
(3,042,229)
(2,900,560)
Net current assets
5,254,024
5,464,149
Total assets less current liabilities
26,672,181
25,717,815
Creditors: amounts falling due after more than one year
22
(7,755,518)
(9,256,888)
Provisions for liabilities
Deferred tax liability
24
2,179,721
1,696,620
(2,179,721)
(1,696,620)
Net assets
16,736,942
14,764,307
Capital and reserves
Called up share capital
26
2,000
2,000
Profit and loss reserves
27
16,734,942
14,762,307
Total equity
16,736,942
14,764,307
The financial statements were approved by the board of directors and authorised for issue on 8 August 2024 and are signed on its behalf by:
08 August 2024
Mr H Murray
Director
Company registration number SC105107 (Scotland)
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
COMPANY BALANCE SHEET
AS AT 30 APRIL 2024
30 April 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
16
1,377,972
1,377,972
Current assets
Cash at bank and in hand
1,177
1,585
Creditors: amounts falling due within one year
21
-
(11,760)
Net current assets/(liabilities)
1,177
(10,175)
Net assets
1,379,149
1,367,797
Capital and reserves
Called up share capital
26
2,000
2,000
Profit and loss reserves
27
1,377,149
1,365,797
Total equity
1,379,149
1,367,797

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £291,352 (2023 - £136,581 profit).

The financial statements were approved by the board of directors and authorised for issue on 8 August 2024 and are signed on its behalf by:
08 August 2024
Mr H Murray
Director
Company registration number SC105107 (Scotland)
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2024
- 12 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 May 2022
2,000
12,304,317
12,306,317
Year ended 30 April 2023:
Profit and total comprehensive income
-
2,677,990
2,677,990
Dividends
12
-
(220,000)
(220,000)
Balance at 30 April 2023
2,000
14,762,307
14,764,307
Year ended 30 April 2024:
Profit and total comprehensive income
-
2,252,635
2,252,635
Dividends
12
-
(280,000)
(280,000)
Balance at 30 April 2024
2,000
16,734,942
16,736,942
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2024
- 13 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 May 2022
2,000
1,449,216
1,451,216
Year ended 30 April 2023:
Profit and total comprehensive income for the year
-
136,581
136,581
Dividends
12
-
(220,000)
(220,000)
Balance at 30 April 2023
2,000
1,365,797
1,367,797
Year ended 30 April 2024:
Profit and total comprehensive income
-
291,352
291,352
Dividends
12
-
(280,000)
(280,000)
Balance at 30 April 2024
2,000
1,377,149
1,379,149
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 APRIL 2024
- 14 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
32
3,507,581
5,687,101
Interest paid
(574,032)
(482,398)
Income taxes paid
(380,534)
(643,948)
Net cash inflow from operating activities
2,553,015
4,560,755
Investing activities
Purchase of intangible assets
-
(3,750)
Purchase of tangible fixed assets
(2,870,590)
(1,004,698)
Proceeds from disposal of tangible fixed assets
29,897
8,694
Purchase of investment property
-
(11,960)
Proceeds from disposal of investment property
106,680
-
Interest received
481,168
223,975
Movement in biological assets
250,332
(224,870)
Net cash used in investing activities
(2,002,513)
(1,012,609)
Financing activities
Repayment of bank loans
(1,037,998)
(900,257)
Dividends paid to equity shareholders
(280,000)
(220,000)
Net cash used in financing activities
(1,317,998)
(1,120,257)
Net (decrease)/increase in cash and cash equivalents
(767,496)
2,427,889
Cash and cash equivalents at beginning of year
5,830,068
3,402,179
Cash and cash equivalents at end of year
5,062,572
5,830,068
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 APRIL 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
33
(419)
74,900
Investing activities
Interest received
11
3
Dividends received
280,000
144,925
Net cash generated from investing activities
280,011
144,928
Financing activities
Dividends paid to equity shareholders
(280,000)
(220,000)
Net cash used in financing activities
(280,000)
(220,000)
Net decrease in cash and cash equivalents
(408)
(172)
Cash and cash equivalents at beginning of year
1,585
1,757
Cash and cash equivalents at end of year
1,177
1,585
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
COMPANY STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 16 -
1
Judgements and key sources of estimation uncertainty

In the application of the group’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 estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities as follows:

 

Depreciation - useful lives of tangible assets

The useful life of any residual values of tangible fixed assets are considered and depreciation rates applied accordingly. Details of the depreciation policies applied can be found on page 18 of the financial statements. The depreciation charge for the year amounts to £1,513,549 (2023 - £1,425,215) and the carrying value of tangible fixed assets at the year end amounts to £21,209,385 (2023 - £19,937,538).

Biological assets
Biological assets totalling £391,559 (2023 - £641,891) are valued as detailed on page 28 of the financial statements. Valuation of biological assets requires judgements to be made on various aspects of the assets held and is assessed based on the directors' extensive knowledge of the industry and the economic environment they are operating in. As with any estimate, this is subject to events proving otherwise, but the directors do not consider that this amounts to significant risk.

2
Accounting policies
Company information

Migdale Group Limited (“the company”) is a private limited company domiciled and incorporated in Scotland. The registered office is Dornoch Road, Bonar Bridge, IV24 3EB.

 

The group consists of Migdale Group Limited and all of its subsidiaries.

2.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

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

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

 

The consolidated financial statements incorporate those of Badbea Crofters Limited and all of its subsidiaries (ie entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits). Subsidiaries acquired are consolidated using the purchase method. Their results are incorporated from the date that control passes.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024
2
Accounting policies
(Continued)
- 17 -
2.2
Basis of consolidation

The parent company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The parent company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:

Section 4 of Financial Position - Reconciliation of the opening and closing number of shares;
Section 7 of Cash Flows - Presentation of a statement of cash flows and related notes and disclosures.

Badbea Crofters Limited has acquired the share capital of its subsidiaries on a piecemeal basis. All goodwill on the business combination, to the date that control is obtained on each subsidiary, is fully amortised. Goodwill was assessed as having a useful economic life of 4 years.

All financial statements are made up to 30 April 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

2.3
Going concern

At the time of approving the financial statements, due to the strength of the group's and the company's balance sheet and the group's ability to generate sufficient cash from its operations, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

2.4
Turnover

Turnover comprises the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

The group recognises revenue when:

The amount of revenue can be reliably measured;

it is probable that future economic benefits will flow to the entity;

and specific criteria have been met for each group's activities.

 

Turnover is recognised on the charter of boats and hire of vehicles based on the company's right to consideration aligned to the period of hire, on the accruals basis. Turnover for smolts is recognised when legal title passes to the customer. Turnover for management services is recognised on an accruals basis.

2.5
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
2
Accounting policies
(Continued)
- 18 -

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Website costs
10% straight line
2.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold property
2% - 5% straight line
Plant machinery, fixtures and fittings
10% - 25% straight line and 15% reducing balance
Wellboats
Migdale: over 10 years to residual value for main structure and 10% straight line for all other equipment and fittings: Marsali: 5% reducing balance
Motor vehicles
20% to 25% reducing balance

Also included within tangible fixed assets are the following depreciation policies:

Leasehold property: 5% straight line

Leasehold improvements: straight line over life of the asset

Fixtures and fittings: 20% to 25% straight line

Wellboat survey costs: Capitalised and amortised periods of up to 5 years

2.7
Investment property

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

 

2.8
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

2.9
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
2
Accounting policies
(Continued)
- 19 -
2.10
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and conditions valued at the lower of cost and net realisable value.

 

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

2.11
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks.

2.12
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs.

Impairment of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

 

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

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

 

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
2
Accounting policies
(Continued)
- 20 -
Other financial liabilities

Derivatives, including foreign exchange forward contracts, are initally recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. the resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument in which the event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.

A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.

 

2.13
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

 

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

2.14
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.

2.15
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

2.16
Retirement benefits

The company makes contributions into the personal pension funds of certain directors and employees. Contributions payable are charged to the profit and loss account in the year they are payable,

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
2
Accounting policies
(Continued)
- 21 -
2.17
Leases

Leases are classed as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit and loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.

2.18
Foreign exchange

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

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

 

2.19

Biological assets

The group rears smolts and as a result holds fish as biological assets within current assets.

 

In accordance with FRS 102 these assets are defined as biological assets and are held at the lower of cost and estimated selling price less costs to complete and sell.

2.20

Share capital

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

2.21

Dividends

Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Rearing of smolts
3,902,824
3,884,899
Transport services
12,780,579
11,090,575
16,683,403
14,975,474
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
3
Turnover and other revenue
(Continued)
- 22 -
2024
2023
£
£
Other revenue
Interest income
481,168
223,975
4
Exceptional item
2024
2023
£
£
Expenditure
Exceptional item
-
184,000

During the prior year an uninsured loss occurred resulting in a compensation payment to a customer of £184,000.

5
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange losses/(gains)
42,460
(19,451)
Depreciation of owned tangible fixed assets
1,513,549
1,425,216
Loss/(profit) on disposal of tangible fixed assets
55,297
(6,302)
Amortisation of intangible assets
675
488
Operating lease charges
84,964
88,395
6
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
-
-
Audit of the financial statements of the company's subsidiaries
39,766
20,790
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 23 -
7
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Direct
49
31
-
-
Admin
5
17
-
-
Management
13
9
6
6
Total
67
57
6
6

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
3,211,418
2,941,787
-
0
-
0
Social security costs
367,697
356,135
-
-
Pension costs
116,292
58,516
-
0
-
0
3,695,407
3,356,438
-
0
-
0
8
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
602,135
436,937
Company pension contributions to defined contribution schemes
15,038
10,365
617,173
447,302
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
180,064
160,630
Company pension contributions to defined contribution schemes
11,652
8,276

Included with directors' remuneration above are payments to directors of the subsidiary companies.

 

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 5 (2023 - 3).

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 24 -
9
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
474,378
223,930
Other interest income
6,790
45
Total income
481,168
223,975
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
474,378
223,930
10
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
571,925
476,411
Other finance costs:
Other interest
2,107
5,987
Total finance costs
574,032
482,398
11
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
264,545
428,741
Deferred tax
Origination and reversal of timing differences
483,101
209,928
Total tax charge
747,646
638,669
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
11
Taxation
(Continued)
- 25 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
3,000,281
3,316,659
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
750,070
630,165
Tax effect of expenses that are not deductible in determining taxable profit
22,028
5,155
Tax effect of income not taxable in determining taxable profit
(25,234)
-
0
Gains not taxable
-
0
(1,197)
Adjustments in respect of prior years
-
0
(3,019)
Effect of change in corporation tax rate
-
11,010
Dividend income
(53,200)
(27,536)
Accelerated capital allowances
(441,011)
(170,634)
Relief available on other allowable expenses
(49,955)
(37,966)
Deferred tax
483,101
209,928
Effect of different group companies having different tax rates
(17,423)
-
Change in profit due to consolidation adjustments
71,606
28,753
Correction to prior year tax creditor
-
(5,990)
Chargeable gains
7,664
-
Taxation charge
747,646
638,669
12
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Interim paid
280,000
220,000

The proposed final dividend for the year ended 30 April 2024 is £140,000.

The proposed final dividend is subject to approval by shareholders and has not been included as a liability in these financial statements.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 26 -
13
Intangible fixed assets
Group
Website costs
£
Cost
At 1 May 2023 and 30 April 2024
6,750
Amortisation and impairment
At 1 May 2023
1,063
Amortisation charged for the year
675
At 30 April 2024
1,738
Carrying amount
At 30 April 2024
5,012
At 30 April 2023
5,687
14
Tangible fixed assets
Group
Freehold property
Plant machinery, fixtures and fittings
Wellboats
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 May 2023
615,520
3,930,070
22,089,568
1,556,634
28,191,792
Additions
533,094
695,744
1,386,245
255,507
2,870,590
Disposals
(8,901)
(89,315)
-
0
(339,924)
(438,140)
At 30 April 2024
1,139,713
4,536,499
23,475,813
1,472,217
30,624,242
Depreciation and impairment
At 1 May 2023
226,345
2,554,495
4,661,220
812,194
8,254,254
Depreciation charged in the year
19,472
345,846
1,080,333
67,898
1,513,549
Eliminated in respect of disposals
(6,640)
(149,803)
-
0
(196,503)
(352,946)
At 30 April 2024
239,177
2,750,538
5,741,553
683,589
9,414,857
Carrying amount
At 30 April 2024
900,536
1,785,961
17,734,260
788,628
21,209,385
At 30 April 2023
389,175
1,375,575
17,428,348
744,440
19,937,538
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 27 -
15
Investment property
Group
Company
2024
2024
£
£
Fair value
At 1 May 2023 and 30 April 2024
310,441
-
Disposals
(106,681)
-
At 30 April 2024
203,760
-

Investment property comprises land and buildings. The fair value of the investment properties have been arrived at by the directors and are deemed appropriate at 30 April 2024.

16
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
17
-
0
-
0
1,377,972
1,377,972
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 May 2023 and 30 April 2024
1,377,972
Carrying amount
At 30 April 2024
1,377,972
At 30 April 2023
1,377,972
17
Subsidiaries

Details of the company's subsidiaries at 30 April 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Migdale Smolt Limited
Scotland
Ordinary
100.00
Migdale Transport Limited
Scotland
Ordinary
100.00
18
Stocks
Group
Company
2024
2023
2024
2023
£
£
£
£
Other inventories
21,988
78,319
-
-
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 28 -
19
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
2,128,789
1,427,622
-
0
-
0
Other debtors
98,385
167,503
-
0
-
0
Prepayments and accrued income
592,960
219,307
-
0
-
0
2,820,134
1,814,432
-
-
20
Biological assets
Smolts
£
Cost
At 1 May 2023
641,891
Change in inventory
(250,332)
At 30 April 2024
391,559
21
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans
23
1,590,039
1,126,667
-
0
-
0
Trade creditors
693,420
952,249
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
-
0
11,760
Corporation tax payable
229,545
345,534
-
0
-
0
Other taxation and social security
131,775
120,643
-
-
Other creditors
49,974
237,346
-
0
-
0
Accruals and deferred income
347,476
118,121
-
0
-
0
3,042,229
2,900,560
-
0
11,760
22
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
23
7,755,518
9,256,888
-
0
-
0
Amounts included above which fall due after five years are as follows:
Payable by instalments
1,395,360
4,750,216
-
-
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 29 -
23
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
9,345,557
10,383,555
-
0
-
0
Payable within one year
1,590,039
1,126,667
-
0
-
0
Payable after one year
7,755,518
9,256,888
-
0
-
0

The long-term loans are secured by fixed charges over the group's wellboats and a floating charge over the whole assets of the company.

 

The bank loan is repayable in monthly instalments over 10 years with interest being charged at a variable rate of base rate plus 1.9%.

24
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
2,240,000
1,806,855
Unrelieved capitalised revenue
(60,279)
(110,235)
2,179,721
1,696,620
The company has no deferred tax assets or liabilities.
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 May 2023
1,696,620
-
Charge to profit or loss
483,101
-
Liability at 30 April 2024
2,179,721
-
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 30 -
25
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
116,292
58,516

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

26
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
2,000
2,000
2,000
2,000

Rights, preferences and restrictions

Ordinary £1 shares have the following rights, preferences and restrictions:

Ordinary shares carry full voting rights but no right to fixed income or repayment of capital. Distributions are at the discretion of the company.

27
Reserves

Retained earnings represent accumulated profits less losses and distributions.

28
Capital commitments

Amounts contracted for but not provided in the financial statements:

Group
Company
2024
2023
2024
2023
£
£
£
£
Acquisition of tangible fixed assets
713,060
-
-
-
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 31 -
29
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
3,334,062
2,288,080
-
-
Between two and five years
11,482,783
14,872,520
-
-
14,816,845
17,160,600
-
-
Lessor

The operating leases represent leases of a Wellboat to third parties. The leases are negotiated over terms of five years and rentals are fixed for five years subject only to increases in line with the Norwegian Consumer Price Index. The lease will be extended by a further two years unless the Charterer notifies the Contractor in writing no later than 31st August 2027.

At the reporting end date the group had contracted with customer for the following minimum lease payments:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
4,672,000
-
-
-
Between two and five years
15,590,400
-
-
-
20,262,400
-
-
-

During the year the group recognised £2,437,208 of total payments as an expense in the profit and loss account in relation to the above lease agreements.

30
Directors' transactions

Dividends totalling £154,000 (2023 - £143,000) were paid in the year in respect of shares held by the company's directors.

The group and parent company are taking advantage of the relevant exemptions within section 33 of FRS 102 not to disclose related party transactions.

 

During the year a director of one of the subsidiary companies purchased a property from the group for £200,000 which was deemed to be market value at the time of the purchase,

31
Change of company name

With effect from 5th August 2024, the name of the parent company was changed from Badbea Crofters Limited to Migdale Group Limited.

MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 32 -
32
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
2,252,635
2,677,990
Adjustments for:
Taxation charged
747,646
638,669
Finance costs
574,032
482,398
Investment income
(481,168)
(223,975)
Loss/(gain) on disposal of tangible fixed assets
55,297
(6,301)
Amortisation and impairment of intangible assets
675
488
Depreciation and impairment of tangible fixed assets
1,513,549
1,425,215
Movements in working capital:
Decrease/(increase) in stocks
56,331
(16,268)
(Increase)/decrease in debtors
(1,005,702)
347,005
(Decrease)/increase in creditors
(205,714)
361,880
Cash generated from operations
3,507,581
5,687,101
33
Cash (absorbed by)/generated from operations - company
2024
2023
£
£
Profit for the year after tax
291,352
136,581
Adjustments for:
Investment income
(280,011)
(144,928)
Movements in working capital:
Decrease in debtors
-
79,539
(Decrease)/increase in creditors
(11,760)
3,708
Cash (absorbed by)/generated from operations
(419)
74,900
34
Analysis of changes in net debt - group
1 May 2023
Cash flows
30 April 2024
£
£
£
Cash at bank and in hand
5,830,068
(767,496)
5,062,572
Borrowings excluding overdrafts
(10,383,555)
1,037,998
(9,345,557)
(4,553,487)
270,502
(4,282,985)
MIGDALE GROUP LIMITED
(FORMERLY KNOWN AS BADBEA CROFTERS LIMITED)
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 33 -
35
Analysis of changes in net funds - company
1 May 2023
Cash flows
30 April 2024
£
£
£
Cash at bank and in hand
1,585
(408)
1,177
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