REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30 April 2024 |
for |
Dean & Smedley,Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30 April 2024 |
for |
Dean & Smedley,Limited |
Dean & Smedley,Limited (Registered number: 00414805) |
Contents of the Financial Statements |
for the Year Ended 30 April 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Income Statement | 8 |
Other Comprehensive Income | 9 |
Balance Sheet | 10 |
Statement of Changes in Equity | 11 |
Cash Flow Statement | 12 |
Notes to the Cash Flow Statement | 13 |
Notes to the Financial Statements | 14 |
Dean & Smedley,Limited |
Company Information |
for the Year Ended 30 April 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Statutory Auditors |
47a Queen Street |
Derby |
Derbyshire |
DE1 3DE |
Dean & Smedley,Limited (Registered number: 00414805) |
Strategic Report |
for the Year Ended 30 April 2024 |
The directors present their strategic report for the year ended 30 April 2024. |
REVIEW OF BUSINESS |
Review of business 2023-24 |
Our pharmacies continue to deliver a first-rate service despite continuing ongoing unfair challenges in the community pharmacy industry. All the targets and KPIs set by us, and the NHS have been met. |
Despite continuing unsatisfactory remuneration from the government and an unfunded increase to national minimum wage, we made a profit this year. This is down to our ongoing efforts to reduce our costs and improve our efficiencies. |
However, our gross profit remained almost unchanged from the previous year. |
KPIs |
New medicines service (NMS) |
We saw a further increase in the number NMS delivered across the company. The average achieved was 86.27% compared to just below 80% last year. |
Pharmacy First |
All of our pharmacy premises were ready for the launch date of this new service on 31st January. We committed to providing the pharmacists a day of training to ensure we were ready on time. The launch to the service has gone well but hitting the increasing minimum service threshold (to give us access to additional funding) is going to be difficult at some of our pharmacies, particularly where the local GPs are poor at referring patients to community pharmacies. |
Premises standards |
We continue to focus on the excellent presentation of our pharmacies. Compliance with standards is checked during yearly visits by our Pharmacy Services manager. |
Pharmacy quality service |
All our pharmacies achieved 100% of the targets set within the scheme. |
Flu vaccination service |
The number of flu jabs delivered decreased this year despite active marketing and a new online booking service. We believe this to be related to a change in government policy and an increase in flu vaccine hesitancy. |
COVID-19 vaccination service |
We increased the number of premises offering the vaccination service from one to four. Whilst challenging for providing workforce those involved found it rewarding. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Despite additional funding for the new Pharmacy First service and an increase in uptake of the hypertension case finding service and oral contraception service the government is still not altering its approach to pharmacy global sum from where all of our other funding comes. This is despite continued petitioning by our negotiating body and other representative bodies. This means that community pharmacy continues to be catastrophically underfunded. |
The amount of work that our pharmacies are having to undertake is constantly increasing. We have increased staffing levels at some of our pharmacies to help support them in maintaining our high standards of service. This of course has an additional cost which is unfunded. |
Medicines supply issues continue so we are still seeing increased purchase prices on the stock that is available. This has a knock-on effect of increasing workload for our staff (because they are spending a large amount of time chasing stock) and decreasing our profit as there are more lines we are dispensing at a loss. |
We are offering an increasing number of private services to help grow the business and offset the uncertainty with the government funding level. This year we have launched a travel vaccine service and an ear micro-suctioning service both have proved popular with the local population but only producing a small amount of profit so far. |
ON BEHALF OF THE BOARD: |
Dean & Smedley,Limited (Registered number: 00414805) |
Report of the Directors |
for the Year Ended 30 April 2024 |
The directors present their report with the financial statements of the company for the year ended 30 April 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of pharmaceutical chemists. |
DIVIDENDS |
An interim dividend of £ |
The total distribution of dividends for the year ended 30 April 2024 will be £ |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 May 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
SUBSIDIARY COMPANIES |
The company held two wholly owned subsidiary companies during the year, J Owen Jones & Sons Limited and Urban Healthcare Limited. These two subsidiary companies remain dormant and there are no plans at present for this position to change. |
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. |
Dean & Smedley,Limited (Registered number: 00414805) |
Report of the Directors |
for the Year Ended 30 April 2024 |
AUDITORS |
The auditors, Bourne & Co., will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Dean & Smedley,Limited |
Opinion |
We have audited the financial statements of Dean & Smedley,Limited (the 'company') for the year ended 30 April 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 30 April 2024 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the 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. |
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. |
Report of the Independent Auditors to the Members of |
Dean & Smedley,Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the 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: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations was as follows: |
- | the senior statutory auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
- | we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector; |
- | we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the financial reporting legislation, Companies Act 2006, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation; |
- | we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
- | identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud my occur, by: |
- | making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of suspected and alleged fraud; and |
- | considering the internal controls in place to mitigate the risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
- | performed analytical procedures to identify any unusual or unexpected relationships; |
- | tested journal entries to identify unusual transactions; |
- | assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and |
- | investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- | agreeing financial statement disclosures to underlying supporting documentation; |
- | reading the minutes of meetings of those charged with governance; |
- | enquiring of management as to actual and potential litigation and claims; and |
- | reviewing correspondence with HMRC, relevant regulators and the company's legal advisors. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission, or misrepresentation. |
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 |
Dean & Smedley,Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditors |
47a Queen Street |
Derby |
Derbyshire |
DE1 3DE |
Dean & Smedley,Limited (Registered number: 00414805) |
Income Statement |
for the Year Ended 30 April 2024 |
2024 | 2023 |
as restated |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
66,409 | 182,005 |
Other operating income | 4 |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
131,519 | 293,981 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 |
PROFIT FOR THE FINANCIAL YEAR |
Dean & Smedley,Limited (Registered number: 00414805) |
Other Comprehensive Income |
for the Year Ended 30 April 2024 |
2024 | 2023 |
as restated |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME |
Income tax relating to other comprehensive income |
( |
) |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Dean & Smedley,Limited (Registered number: 00414805) |
Balance Sheet |
30 April 2024 |
2024 | 2023 |
as restated |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
CURRENT ASSETS |
Stocks | 14 |
Debtors | 15 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 18 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Revaluation reserve | 20 |
Retained earnings | 20 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Dean & Smedley,Limited (Registered number: 00414805) |
Statement of Changes in Equity |
for the Year Ended 30 April 2024 |
Called up |
share | Retained | Revaluation | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 May 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 30 April 2023 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 30 April 2024 |
Dean & Smedley,Limited (Registered number: 00414805) |
Cash Flow Statement |
for the Year Ended 30 April 2024 |
2024 | 2023 |
as restated |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets | ( |
) |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Loan repayments in year | ( |
) |
Amount introduced by directors | 382 | 370 |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
3,093,377 |
Cash and cash equivalents at end of year | 2 | 2,647,752 | 2,789,786 |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Cash Flow Statement |
for the Year Ended 30 April 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
as restated |
£ | £ |
Profit before taxation |
Depreciation charges |
Loss on disposal of fixed assets |
Finance costs | 9,477 | 11,541 |
Finance income | (37,053 | ) | (5,705 | ) |
229,623 | 427,463 |
Decrease/(increase) in stocks | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
(Decrease)/increase in trade and other creditors | ( |
) |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30 April 2024 |
30.4.24 | 1.5.23 |
£ | £ |
Cash and cash equivalents | 2,647,752 | 2,789,786 |
Year ended 30 April 2023 |
30.4.23 | 1.5.22 |
as restated |
£ | £ |
Cash and cash equivalents | 2,789,786 | 3,093,377 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.5.23 | Cash flow | At 30.4.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,789,786 | (142,034 | ) | 2,647,752 |
2,789,786 | ( |
) | 2,647,752 |
Total | 2,789,786 | (142,034 | ) | 2,647,752 |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements |
for the Year Ended 30 April 2024 |
1. | STATUTORY INFORMATION |
Dean & Smedley,Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Preparation of consolidated financial statements |
The financial statements contain information about Dean and Smedley Limited as an individual company and do not contain consolidated financial information as the parent of a group. The reasons for non consolidation are that the two subsidiaries are both dormant and the consolidation of them would not add any value to the accounts of Dean and Smedley Limited. The inclusion of consolidated financial information would not add to the true and fair view of these accounts. |
Critical accounting judgements and key sources of estimation uncertainty |
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions regarding the carrying amount of the company's assets and liabilities. These are based on historical experience and other factors that are considered relevant. They are reviewed on a regular basis and changes recognised in the period in which the estimate is revised. Actual results may differ from these estimates. |
The following are the critical accounting judgements and key sources of estimation uncertainty: |
Tangible fixed assets are depreciated over their useful economic lives taking into account their residual values where appropriate. The acute lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the asset lives, factors such as technical innovation, product life cycles and maintainable programmes are taken into account. Residual values consider such things as future market condition, the remaining life of the asset and projected disposal values. |
The value of stock is assessed for impairment. In assessing the stock value, factors such as slow movement and obsolescence are taken into account. |
Turnover |
Turnover comprises sales of goods and services and is stated at invoice or reimbursement value less discounts excluding value added tax. |
Turnover is recognised when control of the goods is transferred to the customer, provided that the amount of revenue can be reliably measured, and it is likely that economic benefits will flow to the Company. Turnover arising from services are recognised when services are provided to the customer. Any deductions from sales such as returned goods, rebates, discounts allowed and bonuses are deducted from gross revenue. |
Goodwill |
Goodwill, being the amount paid in connection with the acquisition of various businesses, is being written off evenly over its estimated useful life of 15 years. The directors believe that this reflects the life of the goodwill acquired in each branch more realistically than the 10 years maximum permitted by Financial Reporting Standard 102. |
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. |
Patents and licences are being amortised evenly over their estimated useful life of either twenty or twenty five years. |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Freehold property | - |
Short leasehold | - |
Long leasehold | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost less any accumulated impairment losses. |
Stocks |
Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items, as valued by independent stocktakers. The cost price is calculated using the average purchase price of each product during the final three months of the year. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Leases |
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership of the leased asset to the company. All other leases are classified as operating leases. |
Assets held under finance leases are recognised initially at the fair value of the leased asset (or if lower the present value of minimum lease payments) at the inception of the lease. The corresponding liability to the lessor is included in the statement of financial position as a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease obligation using the effective interst method so a to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are deducted in measuring profit or loss. Assets held under finance leases are included in tangible fixed assets and depreciated and assessed for impairment losses in the same way as owned assets. |
Rentals paid under operating leases are charged to profit and loss on a straight line basis over the lease term unless the rental payments are structured to increase in line with expected general inflation, in which case the company recognises annual rent expense equal to amounts owed to the lessor. |
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. |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
2. | ACCOUNTING POLICIES - continued |
Holiday pay |
The company recognises a provision for annual leave accrued by employees as a result of services rendered and which they are entitled to carry forward and use. The provision is measured at the salary cost payable for the period of absence. |
Financial assets and liabilities |
Short term debtors are measured at transaction price, less any impairment. |
Short term creditors are measured at transaction price, less any impairment. Other financial liabilities, including loans from group companies are measured initially at fair value net of transaction costs and are subsequently measured at amortised cost using the effective interest method, less any impairment. |
Going concern |
After reviewing the company's forecasts and projections, plus the latest management accounts, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern policy in preparing its financial statements. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company and arose wholly within the United Kingdom. |
4. | OTHER OPERATING INCOME |
2024 | 2023 |
as restated |
£ | £ |
Rents receivable from sub lets |
Sundry receipts |
28,057 | 106,271 |
5. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
as restated |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2024 | 2023 |
as restated |
Management and Support | 14 | 12 |
Branch Managers and Sales | 119 | 119 |
2024 | 2023 |
as restated |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
5. | EMPLOYEES AND DIRECTORS - continued |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
as restated |
£ | £ |
Emoluments etc |
Pension contributions to money purchase schemes |
6. | OPERATING PROFIT |
The operating profit is stated after charging: |
2024 | 2023 |
as restated |
£ | £ |
Hire of plant and machinery |
Depreciation - owned assets |
Loss on disposal of fixed assets |
Goodwill amortisation |
Patents and licences amortisation |
Auditors' remuneration |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
as restated |
£ | £ |
Bank loan interest |
Other interest payable |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
as restated |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax |
Tax on profit |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
8. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2024 | 2023 |
as restated |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | ( |
) | - |
Depreciation in excess of capital allowances | - |
Lease premium allowable | (1,634 | ) | (1,270 | ) |
Changes in tax rate | - | 9,194 |
Marginal rate relief | (2,346 | ) | - |
Total tax charge | 40,120 | 82,473 |
Tax effects relating to effects of other comprehensive income |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Revaluation of freehold property | (19,678 | ) | 566,750 |
The standard rate of corporation tax noted above differs from 19% due an increase in the enacted corporate tax rate to 25% which took effect from 01/04/2023. The hybrid rate also takes into account marginal rate relief available to the company. |
Deferred taxes at the balance sheet date have been measured using these enacted tax rates and reflected in these financial statements. |
9. | DIVIDENDS |
2024 | 2023 |
as restated |
£ | £ |
Ordinary shares of £1 each |
Interim |
10. | PRIOR YEAR ADJUSTMENT |
During the year, the company changed the way in which it accounts for freehold property. Previously freehold property had been accounted for using the cost method but due to changes in the market the directors believe that the valuation of the property held within the accounts is not in line with the general requirement for the accounts to show a true and fair view. The directors therefore instructed a firm of registered surveyors to undertake a valuation exercise for all of the freehold properties owned by the company. |
The result of this, is that the valuation of freehold property in 2023 was understated by £586,428, deferred tax liabilities were understated by £19,678 and net assets of the company were understated by £566,750. |
There are no further restatements required to the financial statements presented. |
The prior year adjustment noted is therefore entirely related to the above change in accounting policy. |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
11. | INTANGIBLE FIXED ASSETS |
Patents |
and |
Goodwill | licences | Totals |
£ | £ | £ |
COST |
At 1 May 2023 |
and 30 April 2024 |
AMORTISATION |
At 1 May 2023 |
Amortisation for year |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
12. | TANGIBLE FIXED ASSETS |
Freehold | Short | Long |
property | leasehold | leasehold |
£ | £ | £ |
COST OR VALUATION |
At 1 May 2023 |
Additions |
Disposals |
At 30 April 2024 |
DEPRECIATION |
At 1 May 2023 |
Charge for year |
Eliminated on disposal |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
12. | TANGIBLE FIXED ASSETS - continued |
Fixtures |
Plant and | and | Motor |
machinery | fittings | vehicles | Totals |
£ | £ | £ | £ |
COST OR VALUATION |
At 1 May 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 30 April 2024 |
DEPRECIATION |
At 1 May 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
Cost or valuation at 30 April 2024 is represented by: |
Freehold | Short | Long |
property | leasehold | leasehold |
£ | £ | £ |
Valuation in 2024 | 437,624 | - | - |
Cost | 622,376 | 188,472 | 83,418 |
1,060,000 | 188,472 | 83,418 |
Fixtures |
Plant and | and | Motor |
machinery | fittings | vehicles | Totals |
£ | £ | £ | £ |
Valuation in 2024 | - | - | - | 437,624 |
Cost | 202,912 | 1,297,249 | 72,047 | 2,466,474 |
202,912 | 1,297,249 | 72,047 | 2,904,098 |
If freehold land and buildings had not been revalued they would have been included at the following historical cost: |
2024 | 2023 |
as restated |
£ | £ |
Cost | 622,376 | 622,376 |
Aggregate depreciation | 148,804 | 148,804 |
Value of land in freehold land and buildings | 1,060,000 | 1,060,000 |
Freehold land and buildings were valued on an open market basis on 11 March 2024 by Salloway Property Consultants . |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
13. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
At 1 May 2023 |
and 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Registered office: 65-67 Horninglow Road, Burton on Trent, Staffordshire DE14 2PP |
Nature of business: |
% |
Class of shares: | holding |
Registered office: 65-67 Horninglow Road, Burton on Trent, Staffordshire DE14 2PP |
Nature of business: |
% |
Class of shares: | holding |
14. | STOCKS |
2024 | 2023 |
as restated |
£ | £ |
Finished goods held for resale |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
as restated |
£ | £ |
Trade debtors |
Other debtors |
Prepayments |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
as restated |
£ | £ |
Trade creditors |
Tax |
Amounts owed to group |
undertaking | - | 1 |
Other taxes & social security | 57,963 | 55,421 |
Accruals and deferred income | 204,822 | 212,804 |
Directors' current accounts | 260,294 | 259,912 |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
17. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2024 | 2023 |
as restated |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
18. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
as restated |
£ | £ |
Deferred tax |
Accelerated capital allowances | 112,284 | 93,214 |
Deferred |
tax |
£ |
Balance at 1 May 2023 |
As previously reported | 73,536 |
Prior year adjustment | 19,678 |
As restated |
Charge to Income Statement during year |
Balance at 30 April 2024 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | as restated |
£ | £ |
Ordinary | £1 | 4,303 | 4,303 |
20. | RESERVES |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 May 2023 | 4,260,491 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 30 April 2024 | 4,307,989 |
21. | OFF-BALANCE SHEET ARRANGEMENTS |
The bank overdraft facility is secured by several legal charges over the various freehold and leasehold properties of the company. |
There are legal mortgages in favour of the bank involved over two life policies secured on the life of one of the directors. |
22. | RELATED PARTY DISCLOSURES |
Dean & Smedley,Limited (Registered number: 00414805) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
22. | RELATED PARTY DISCLOSURES - continued |
2024 | 2023 |
as restated |
£ | £ |
Amount due to related party |