REGISTERED NUMBER: 06442494 (England and Wales) |
L. H. Evans Holdings Limited |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 March 2024 |
REGISTERED NUMBER: 06442494 (England and Wales) |
L. H. Evans Holdings Limited |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 March 2024 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 March 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 4 |
Consolidated Statement of Comprehensive Income | 6 |
Consolidated Balance Sheet | 7 |
Company Balance Sheet | 8 |
Consolidated Statement of Changes in Equity | 9 |
Company Statement of Changes in Equity | 10 |
Consolidated Cash Flow Statement | 11 |
Notes to the Consolidated Cash Flow Statement | 12 |
Notes to the Consolidated Financial Statements | 13 |
L. H. Evans Holdings Limited |
Company Information |
for the Year Ended 31 March 2024 |
Director: |
Registered office: |
Registered number: |
Auditors: |
7 Neptune Court |
Vanguard Way |
Cardiff |
CF24 5PJ |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Group Strategic Report |
for the Year Ended 31 March 2024 |
The director presents his strategic report of the company and the group for the year ended 31 March 2024. |
Review of business |
The accounts are presented for the full year ended 31.03.2024. |
During the year turnover has decreased some 5% over the previous year but considering the unpredictable trading conditions the directors are unconcerned with this reduction. |
The business has delivered a profit of £336,830 before tax. |
Principal risks and uncertainties |
The directors continue to seek mitigation to exposure to cash flow risk through the use of an invoice financing arrangement, whilst this facility has not been used for over 12 months, the directors are happy to continue with the arrangement for future opportunities, if and when they arise. The policy is further strengthened through trade debt insurance covering all account customers. Monthly management information allows the directors to monitor financial risks on an ongoing basis. In the opinion of the directors, the company is not particularly susceptible to credit or price risk, but they continue to implement measures to improve turnover levels and margins achieved. |
Future development |
Moving forward, the company is consolidating on its activities, the company continues to increase its customer and product base to bring a higher gross margin into the operating results. |
All possible channels for growth are regularly reviewed, and whilst no significant developments are planned, opportunities arise. |
The business continues to execute sound financial practices and add to accumulated reserves. |
On behalf of the board: |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Report of the Director |
for the Year Ended 31 March 2024 |
The director presents his report with the financial statements of the company and the group for the year ended 31 March 2024. |
Dividends |
No dividends will be distributed for the year ended 31 March 2024. |
Director |
Statement of director's responsibilities |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
Statement as to disclosure of information to auditors |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
Auditors |
The auditors, Haines Watts Wales LLP, Statutory Auditors, 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 |
L. H. Evans Holdings Limited |
Opinion |
We have audited the financial statements of L. H. Evans Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2024 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's 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 |
L. H. Evans Holdings Limited |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the director is responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our planning procedures identify the legal and regulatory frameworks applicable to the operations and financial statements of the company. These are reviewed internally with the audit team including relevant industry experience and expectations as well as externally with the client management. The key laws and regulations we considered in this context were the UK Companies Act 2006, UK GAAP (FRS 102) and relevant tax legislation. |
Once identified, we assess the risks of material misstatements in relation to the laws and regulations, irregularities, including fraud and adjust our testing accordingly. Our audit procedures include: |
- | Discussing with Directors and management which areas of the business they believe to be more susceptible to fraud, and whether they have any knowledge or suspicion of fraudulent activities; |
- | Obtaining an understanding of the key controls put in place by the company to address risks identified, assessing the effectiveness of those and discussing how these are maintained and monitored internally; |
- | Assessing the risk of management override and review and testing of journal entries made into the accounting system; |
- | Challenging assumptions and judgements made by the company in relation to the significant accounting estimates employed in the preparation of the financial statements; |
- | Discussing with Directors and Management the legal and regulatory obligations of the business and whether they have any knowledge or suspicion of non compliance. |
Despite the audit being planned and conducted in accordance with ISAs (UK) there remains an unavoidable risk that material misstatements in the financial statements may not be detected owing to inherent limitations of the audit, and that by their very nature, any such instances of fraud or irregularities likely involve collusion, forgery, intentional misrepresentation, or the override of internal controls. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
7 Neptune Court |
Vanguard Way |
Cardiff |
CF24 5PJ |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Consolidated |
Statement of Comprehensive |
Income |
for the Year Ended 31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
Turnover | 3 | 15,296,191 | 16,099,196 |
Cost of sales | (11,641,485 | ) | (12,669,018 | ) |
Gross profit | 3,654,706 | 3,430,178 |
Administrative expenses | (3,198,472 | ) | (2,870,069 | ) |
Operating profit | 456,234 | 560,109 |
Interest receivable and similar income | 15,483 | 4,644 |
471,717 | 564,753 |
Interest payable and similar expenses | 5 | (790 | ) | (13,014 | ) |
Profit before taxation | 6 | 470,927 | 551,739 |
Tax on profit | 8 | (134,097 | ) | (140,400 | ) |
Profit for the financial year |
Other comprehensive income | - | - |
Total comprehensive income for the year | 336,830 | 411,339 |
Profit attributable to: |
Owners of the parent | 336,830 | 411,339 |
Total comprehensive income attributable to: |
Owners of the parent | 336,830 | 411,339 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Consolidated Balance Sheet |
31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
Fixed assets |
Intangible assets | 10 | 84,913 | 109,753 |
Tangible assets | 11 | 2,118,890 | 2,184,000 |
Investments | 12 | 26,300 | 26,300 |
2,230,103 | 2,320,053 |
Current assets |
Stocks | 13 | 1,642,013 | 1,779,694 |
Debtors | 14 | 2,921,269 | 3,489,209 |
Cash at bank and in hand | 872,310 | 953,072 |
5,435,592 | 6,221,975 |
Creditors |
Amounts falling due within one year | 15 | (2,655,780 | ) | (3,854,298 | ) |
Net current assets | 2,779,812 | 2,367,677 |
Total assets less current liabilities | 5,009,915 | 4,687,730 |
Creditors |
Amounts falling due after more than one year |
16 |
(20,021 |
) |
(29,879 |
) |
Provisions for liabilities | 20 | - | (4,787 | ) |
Net assets | 4,989,894 | 4,653,064 |
Capital and reserves |
Called up share capital | 21 | 13,736 | 13,736 |
Share premium | 697,809 | 697,809 |
Revaluation reserve | 781,268 | 781,268 |
Retained earnings | 3,497,081 | 3,160,251 |
Shareholders' funds | 4,989,894 | 4,653,064 |
The financial statements were approved by the director and authorised for issue on 4 October 2024 and were signed by: |
A S L Evans - Director |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Company Balance Sheet |
31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
Fixed assets |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
Current assets |
Debtors | 14 |
Cash at bank |
Creditors |
Amounts falling due within one year | 15 | ( |
) | ( |
) |
Net current assets |
Total assets less current liabilities |
Capital and reserves |
Called up share capital | 21 |
Share premium |
Retained earnings |
Shareholders' funds |
Company's loss for the financial year | (20,207 | ) | (75,926 | ) |
The financial statements were approved by the director and authorised for issue on |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 March 2024 |
Called up |
share | Retained | Share | Revaluation | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 April 2022 | 13,736 | 2,748,912 | 697,809 | 781,268 | 4,241,725 |
Changes in equity |
Total comprehensive income | - | 411,339 | - | - | 411,339 |
Balance at 31 March 2023 | 13,736 | 3,160,251 | 697,809 | 781,268 | 4,653,064 |
Changes in equity |
Total comprehensive income | - | 336,830 | - | - | 336,830 |
Balance at 31 March 2024 | 13,736 | 3,497,081 | 697,809 | 781,268 | 4,989,894 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Company Statement of Changes in Equity |
for the Year Ended 31 March 2024 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 April 2022 |
Changes in equity |
Total comprehensive income | - | ( |
) | - | ( |
) |
Balance at 31 March 2023 |
Changes in equity |
Total comprehensive income | - | ( |
) | - | ( |
) |
Balance at 31 March 2024 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Consolidated Cash Flow Statement |
for the Year Ended 31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (8,978 | ) | 1,101,661 |
Interest paid | (790 | ) | (13,014 | ) |
Tax paid | (75,619 | ) | 61,746 |
Net cash from operating activities | (85,387 | ) | 1,150,393 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,000 | ) | (32,508 | ) |
Interest received | 15,483 | 4,644 |
Net cash from investing activities | 14,483 | (27,864 | ) |
Cash flows from financing activities |
Loan movements | (9,858 | ) | (719,719 | ) |
Amount introduced by directors | - | 3,797 |
Net cash from financing activities | (9,858 | ) | (715,922 | ) |
(Decrease)/increase in cash and cash equivalents | (80,762 | ) | 406,607 |
Cash and cash equivalents at beginning of year |
2 |
953,072 |
546,465 |
Cash and cash equivalents at end of year | 2 | 872,310 | 953,072 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 March 2024 |
1. | Reconciliation of profit before taxation to cash generated from operations |
2024 | 2023 |
£ | £ |
Profit before taxation | 470,927 | 551,739 |
Depreciation charges | 90,950 | 99,924 |
Finance costs | 790 | 13,014 |
Finance income | (15,483 | ) | (4,644 | ) |
547,184 | 660,033 |
Decrease/(increase) in stocks | 137,681 | (422,597 | ) |
Decrease in trade and other debtors | 569,827 | 606,207 |
(Decrease)/increase in trade and other creditors | (1,263,670 | ) | 258,018 |
Cash generated from operations | (8,978 | ) | 1,101,661 |
2. | Cash and cash equivalents |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 March 2024 |
31.3.24 | 1.4.23 |
£ | £ |
Cash and cash equivalents | 872,310 | 953,072 |
Year ended 31 March 2023 |
31.3.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 953,072 | 576,176 |
Bank overdrafts | - | (29,711 | ) |
953,072 | 546,465 |
3. | Analysis of changes in net funds |
At 1.4.23 | Cash flow | At 31.3.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 953,072 | (80,762 | ) | 872,310 |
953,072 | (80,762 | ) | 872,310 |
Debt |
Debts falling due within 1 year | (9,788 | ) | - | (9,788 | ) |
Debts falling due after 1 year | (29,879 | ) | 9,858 | (20,021 | ) |
(39,667 | ) | 9,858 | (29,809 | ) |
Total | 913,405 | (70,904 | ) | 842,501 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 March 2024 |
1. | Statutory information |
L. H. Evans Holdings Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | Accounting policies |
Basis of preparing the financial statements |
Basis of consolidation |
The group financial statements consolidates the financial statements of the parent company and its subsidiaries for the year ended 31 March 2024. No profit and loss account is presented for the company as permitted by Section 408 of the Companies Act 2006. |
Critical accounting judgements and key sources of estimation uncertainty |
The preparation of the financial statements requires management to make judgements,estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The judgements and estimations that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: |
a) Provision for buying-group rebate receivable in respect of purchases made in the year, |
b) Depreciation charges on tangible fixed assets, |
c) Calculation of other year-end accruals and prepayments and |
d) Stock provisions based on stock turnover. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably. |
Goodwill |
Goodwill arises on business acquisitions and represents the excess cost of the acquisition over the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acquired business. |
Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight line basis over its useful life. Where a reliable estimate of the useful life of goodwill or intangible assets cannot be made, the life is presumed not to exceed 10 years. |
If there is an indication that there has been significant change in the amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates. |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | Accounting policies - continued |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets,the depreciation is revised prospectively to reflect the new estimates. |
Tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. |
An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in capital and reserves, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. |
A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset,the excess shall be recognised in profit or loss. |
Stocks |
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchases, costs of conversion and other costs incurred in bringing the stock to its present location and condition, and is determined by a rolling average of the prices paid in respect of the individual stock lines, calculated on a first-in-first-out basis. |
Financial instruments |
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. |
Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. |
Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. |
For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. |
Any reversals of impairment are recognised in profit or loss immediately,to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
2. | Accounting policies - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Defined contribution plans |
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. |
Impairment |
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount,the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. |
When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash- generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent to the cash inflows from other assets or groups of assets. |
For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units. |
3. | Turnover |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
2024 | 2023 |
£ | £ |
Sale of goods | 15,296,191 | 16,099,196 |
15,296,191 | 16,099,196 |
The whole turnover is attributable to the principal activity of the group wholly undertaken in the United Kingdom. |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
4. | Employees and directors |
2024 | 2023 |
£ | £ |
Wages and salaries | 1,844,396 | 1,641,273 |
Social security costs | 185,918 | 178,501 |
Other pension costs | 92,717 | 150,660 |
2,123,031 | 1,970,434 |
The average number of employees during the year was as follows: |
2024 | 2023 |
Management | 3 | 3 |
Other staff | 59 | 54 |
During the year the group paid key management gross salaries and benefits totalling £410,667. Key management are considered to be 7 individuals who directly impact upon the strategic direction of the group. |
2024 | 2023 |
£ | £ |
Director's remuneration | 72,507 | 71,725 |
5. | Interest payable and similar expenses |
2024 | 2023 |
£ | £ |
Bank interest | 790 | 13,014 |
6. | Profit before taxation |
The profit is stated after charging: |
2024 | 2023 |
£ | £ |
Hire of plant and machinery | 127,062 | 102,287 |
Other operating leases | 20,242 | 22,059 |
Depreciation - owned assets | 66,110 | 75,084 |
Goodwill amortisation | 24,840 | 24,840 |
7. | Auditors' remuneration |
2024 | 2023 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
15,950 |
14,500 |
Taxation compliance services | 3,520 | 3,200 |
8. | Taxation |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | 140,771 | 94,432 |
Deferred tax | (6,674 | ) | 45,968 |
Tax on profit | 134,097 | 140,400 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 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 |
£ | £ |
Profit before tax | 470,927 | 551,739 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19 %) |
117,732 |
104,830 |
Effects of: |
Expenses not deductible for tax purposes | 11,841 | 3,394 |
Depreciation in excess of capital allowances | 13,211 | 11,658 |
Utilisation of tax losses | (2,012 | ) | (44,263 | ) |
Deferred tax | (6,675 | ) | 64,781 |
Total tax charge | 134,097 | 140,400 |
9. | Individual statement of comprehensive income |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
10. | Intangible fixed assets |
Group |
Goodwill |
£ |
Cost |
At 1 April 2023 |
and 31 March 2024 | 248,400 |
Amortisation |
At 1 April 2023 | 138,647 |
Amortisation for year | 24,840 |
At 31 March 2024 | 163,487 |
Net book value |
At 31 March 2024 | 84,913 |
At 31 March 2023 | 109,753 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
11. | Tangible fixed assets |
Group |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
Cost |
At 1 April 2023 | 2,223,625 | 108,717 | 194,286 |
Additions | - | - | - |
At 31 March 2024 | 2,223,625 | 108,717 | 194,286 |
Depreciation |
At 1 April 2023 | 120,337 | 88,115 | 184,020 |
Charge for year | 38,138 | 5,287 | 3,592 |
At 31 March 2024 | 158,475 | 93,402 | 187,612 |
Net book value |
At 31 March 2024 | 2,065,150 | 15,315 | 6,674 |
At 31 March 2023 | 2,103,288 | 20,602 | 10,266 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
Cost |
At 1 April 2023 | 14,400 | 413,641 | 2,954,669 |
Additions | - | 1,000 | 1,000 |
At 31 March 2024 | 14,400 | 414,641 | 2,955,669 |
Depreciation |
At 1 April 2023 | 3,500 | 374,697 | 770,669 |
Charge for year | 3,500 | 15,593 | 66,110 |
At 31 March 2024 | 7,000 | 390,290 | 836,779 |
Net book value |
At 31 March 2024 | 7,400 | 24,351 | 2,118,890 |
At 31 March 2023 | 10,900 | 38,944 | 2,184,000 |
Company |
Computer |
equipment |
£ |
Cost |
At 1 April 2023 |
and 31 March 2024 |
Depreciation |
At 1 April 2023 |
and 31 March 2024 |
Net book value |
At 31 March 2024 |
At 31 March 2023 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
12. | Fixed asset investments |
Group |
Unlisted |
investments |
£ |
Cost |
At 1 April 2023 |
and 31 March 2024 | 26,300 |
Net book value |
At 31 March 2024 | 26,300 |
At 31 March 2023 | 26,300 |
Company |
Shares in |
group | Other |
undertakings | investments | Totals |
£ | £ | £ |
Cost |
At 1 April 2023 |
and 31 March 2024 | 12,916 |
Net book value |
At 31 March 2024 | 12,916 |
At 31 March 2023 | 12,916 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: L H Evans, Ocean Way, Cardiff, CF24 5HH |
Nature of business: |
% |
Class of shares: | holding |
Registered office: L H Evans, Ocean Way, Cardiff, CF24 5HH |
Nature of business: |
% |
Class of shares: | holding |
13. | Stocks |
Group |
2024 | 2023 |
£ | £ |
Stocks | 1,642,013 | 1,779,694 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
14. | Debtors: amounts falling due within one year |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 2,164,814 | 2,688,365 |
Amounts owed by group undertakings | - | - |
Other debtors | 606,291 | 431,370 |
VAT | - | 219,235 |
Deferred tax asset | 1,887 | - | 9,164 | 8,494 |
Prepayments | 148,277 | 150,239 |
2,921,269 | 3,489,209 |
Deferred tax asset |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Deferred tax | 1,887 | - | 9,164 | 8,494 |
15. | Creditors: amounts falling due within one year |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 9,788 | 9,788 |
Trade creditors | 2,175,455 | 3,472,716 |
Amounts owed to group undertakings | - | - |
Tax | 140,771 | 75,619 |
Social security and other taxes | 48,584 | 49,177 |
VAT | 19,865 | - | - | - |
Other creditors and accruals | 261,317 | 246,998 |
2,655,780 | 3,854,298 |
16. | Creditors: amounts falling due after more than one year |
Group |
2024 | 2023 |
£ | £ |
Bank loans (see note 17) | 20,021 | 29,879 |
17. | Loans |
An analysis of the maturity of loans is given below: |
Group |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 9,788 | 9,788 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 9,788 | 10,035 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 10,233 | 19,844 |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
18. | Leasing agreements |
Minimum lease payments fall due as follows: |
Group |
Non-cancellable | operating leases |
2024 | 2023 |
£ | £ |
Within one year | 135,730 | 111,490 |
Between one and five years | 192,883 | 190,385 |
328,613 | 301,875 |
19. | Secured debts |
The group has an unlimited intercompany guarantee in place which is dated 26/06/2021. |
20. | Provisions for liabilities |
Group |
2024 | 2023 |
£ | £ |
Deferred tax | - | 4,787 |
Group |
Deferred |
tax |
£ |
Balance at 1 April 2023 | 4,787 |
Provided during year | (6,674 | ) |
Balance at 31 March 2024 | (1,887 | ) |
Company |
Deferred |
tax |
£ |
Balance at 1 April 2023 | ( |
) |
Provided during year | ( |
) |
Balance at 31 March 2024 | ( |
) |
21. | Called up share capital |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 11,615 | 11,615 |
Ordinary 'A' | £1 | 2,121 | 2,121 |
13,736 | 13,736 |
22. | Pension commitments |
The group operates a defined contribution pension scheme. The pension cost charge for the period represents contributions payable by the group to the scheme and amounted to £92,717 (2023: £150,660). |
Contributions totalling £12,324 (2023: £11,000) were payable to the scheme at the end of the period and are included within creditors. |
L. H. Evans Holdings Limited (Registered number: 06442494) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 March 2024 |
23. | Ultimate controlling party |
The Director has determined that there is no controlling party as no individual shareholder is considered to hold a controlling interest in the Company. |