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REGISTERED NUMBER: 12803604 (England and Wales)


















GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST MARCH 2024

FOR

CAVANAGH COMMERCIAL HOLDINGS LIMITED

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MARCH 2024










Page

Company Information 1

Group Strategic Report 2

Report of the Directors 6

Report of the Independent Auditors 10

Consolidated Statement of Comprehensive Income 16

Consolidated Statement of Financial Position 18

Company Statement of Financial Position 20

Consolidated Statement of Changes in Equity 21

Company Statement of Changes in Equity 22

Consolidated Statement of Cash Flows 23

Notes to the Consolidated Financial Statements 24


CAVANAGH COMMERCIAL HOLDINGS LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31ST MARCH 2024







DIRECTORS: T R Cavanagh
L J Cavanagh



REGISTERED OFFICE: 17 Moor Park Avenue
Preston
Lancashire
PR1 6AS



REGISTERED NUMBER: 12803604 (England and Wales)



SENIOR STATUTORY AUDITOR: Christopher Bond



AUDITORS: SBCA Statutory Auditor
17 Moor Park Avenue
Preston
Lancashire
PR1 6AS

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MARCH 2024


BACKGROUND
The group is a privately owned CAT1 roofing and contracting business, carrying out works throughout the whole of the UK. We have grown to be one of the largest and most respected envelope contractors servicing the entire of the United Kingdom via strategic regional offices down the spine of the country. We have developed our reputation over the years based on the ethos of being recognised as providing the highest quality roofing and cladding services delivered by trained, formally qualified professionals and as such our customer base has grown in both size and stature.

The group's strength lies in the following:
o Its' longevity.
o Its' collaborative approach to projects
o Its' outstanding technical support
o Its' ability to continually adapt.
o Its' ability to gain and retain client partnerships through fair negotiations and quality of supply.
o Its' people - highly trained, supported and motivated.

The group is committed to being a market leader in the roofing and cladding industry - we have made it our mission to provide and deliver, reliable, quality services through a well trained and qualified workforce at every level.

We believe that the quality of our business is dependent upon the quality of our people. We treat both customers and employees with respect, fostering high standards of integrity, honesty, and professionalism at all times.

The group holds the ISO 9001,14001,14064-1 and 45001 accreditations, and many other sector standards such as Safe Contractor, SMAS Worksafe, Achilles, CHAS, Exor, and we were the first group in the north west to be accredited in the CITB pilot scheme for BeFair.

REVIEW OF BUSINESS
The group has returned to profitability reporting a profit before tax of £940K in the year under review. This reflects the strategic changes made to reduce risk in our bidding and refusal to enter into fixed priced contracts without inflationary provisions.

The return to profit is testament to our people, the quality of our service and the strength of our longstanding relationships with our key clients.

Our forward order book is strong with a high level of success being achieved within the infrastructure sectors driven by the public purse.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MARCH 2024

PRINCIPAL RISKS AND UNCERTAINTIES
The following specific risks identified in our industry:

o Client or supply chain failure
o Volatility of raw material prices for fixed price contracts
o Low margin work where risk is disproportionate to potential returns
o Greater incidence of litigation and contractual disputes.

Internal processes are in place for assessing and managing the exposure to the above, and this has seen a move to working with a number of large, well established main contractors, as well as our continued work with local authorities.

Bidding risk
The group tenders selectively for contracts each year, with a thorough process for estimating and identifying risks associated with each contract before any formal tender is submitted. Further detailed reviews are undertaken by the board with the estimating division pre contract prior to us sanctioning permission to proceed.

Delivery risk
The delivery of contracts is controlled and managed through the Board and the team of contract managers and quantity surveyors. The group has monthly reviews on the progress of each contract, with items such as health and safety performance, issues affecting delivery and any consequential impact on costs to completion. This approach is underpinned by management's desire to identify any operational and commercial issues in good time so as to ensure appropriate actions can be taken to address them in the most effective way.

Changing government policies
With a number of large contracts being won from local authority work, the risk and uncertainty to our business, and that of many others, from changes in government spending policy cannot be ignored. Our increase in turnover has mainly being due to a much higher percentage being won from the private sector, therefore bringing this risk to an acceptable level.

Financial risk
Financial risks include liquidity/cashflow risk and credit risk. The group has being managing these risks by retaining profits to build our financial strength. The board regularly reviews the financial requirements of the group and we do not use complex financial instruments.

Volatility of raw material prices for fixed price contracts
As described above, we now have a policy of only entering into fixed priced contracts if there are fluctuation clauses for specific materials included coupled with inflationary increase should the project construction periods prolong outside of the agreed contract durations.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MARCH 2024

SECTION 172(1) STATEMENT
The directors of Cavanagh Commercial Holdings Limited consider that they have acted in a way they consider, in good faith, would be most likely to promote the success of the company for the benefit of its members a a whole (having regard to the stakeholders and matters set out in S172(1) (a) - (f) of the Companies Act 2006) in the decisions take during the year ended 31 March 2024:

1. Our plan was designed to have a long term beneficial impact on the company and to contribute to its success in delivering a high quality of service across all areas of our business.

2. Our team members are fundamental to the delivery of our plan. We aim to be a responsible employer in our approach to the pay and benefits our team members receive. The health, safety and well being of our team members is one of our primary considerations in the way we do business.

3. Engagement with suppliers and customers is key to our success. We meet with our major manufacturing partners regularly throughout the year and take appropriate action, where necessary, to prevent involvement in modern slavery, corruption, bribery and breaches of competition law.

4. Our plan takes into account the impact of the company operations on the community, environment and our wider social responsibilities, in particular, how we comply with environmental legislation, pursue waste saving opportunities and react promptly to local community concerns.

5. Our intention is to behave responsibly and ensure that management operate the business in a responsible manner. Operating within the high standards of business conduct and good governance expected for a business such as ours and in doing so, will contribute to the delivery of our plan. The intention is to nurture our reputation, through both the construction and delivery of our plan, that reflects our responsible behavior.

EXPECTED FUTURE DEVELOPMENTS
Having weathered the losses of the previous year and returning to profitability the Board are looking forward to the future. Whilst the current and future economic climate remains uncertain, the group's secured and targeted workload remains largely in established sectors which remain reasonably active, including public sector schemes, education and healthcare.

With our current workflow, we are expecting turnover for the forthcoming year to increase but with less live projects at any one time. The focus is larger projects ensuring key stakeholder have better control.

We have seen a strong performance across the business in the first half of the current year financial year with results well ahead of management expectations, with forecasts continuing to be positive along with the recent success in secured contracts particularly within the infrastructure sector.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MARCH 2024

KEY PERFORMANCE INDICATORS
The group implements a number of key performance indicators which are reviewed on a regular basis. These are listed below:

o Monthly management accounts, including profit and loss and balance sheet, with supporting commentary on significant variances over budget and prior period comparatives.
o Monthly contracts meeting with contract managers to review progress, together with reasons for any slippage, health and safety issues, and a review of any financial consequences which these may have.
o Contract reviews to highlight matters which require proactive solutions and Board involvement to mitigate risk.
o "Live" cashflow projections, which are updated daily to reflect movement in the company's liquid resources.

A summary of the tracked key performance indicators are as follows:


2021
(12m)
2023
(18m)
2024
(12m)

Forecast

Turnover £41.3m £79.5m £59.6m £63.5m
Gross Profit % 21% 13% 18% 18%

Net Profit / (Loss) before tax £1.5m (£2.2m) £1.0m £1.5m

Reserves £6.7m £5.1m £5.5m £6.4m


The Board are confident they can deliver the forecast results outlined above based on the current trading performance.

ON BEHALF OF THE BOARD:





T R Cavanagh - Director


20th September 2024

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MARCH 2024


The directors present their report with the financial statements of the company and the group for the year ended 31st March 2024.

DIVIDENDS
The total distribution of dividends for the year ended 31st March 2024 will be £125,000.

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

T R Cavanagh
L J Cavanagh

STRATEGIC REPORT
The company has chosen in accordance with Companies Act 2006.s. 414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch.7 to be considered in the directors' report.

DISABLE PERSONS
Applications for employment by disabled pensions are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

EMPLOYEE INVOLVEMENT
The group's policy is to consult and discuss with employees matters that are likely to affect employees' interest. Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MARCH 2024

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS
Customers
Our customers key interest is the availability of a range of our roofing and cladding services. We engage with our customers through social media, website, regular satisfaction surveys and regular meetings to build long-term relationships and service and product updates. Engagement with our customers enables to understand our customers needs, empowers us to deliver relevant products whilst retaining existing customers and attracting new ones.

Employees
Our employees key interests are career progression, remuneration and benefits, training and development, employee interaction and well-being. We engage with our employees through a recognition and reward environment with regular training programmes and a bonus scheme alongside the completion of annual surveys. Engagement with our employees is fundamental in delivering the customer experience and the key to our business success.

Suppliers
Our suppliers key interests are our logistical efficiencies, cost efficiencies, maintenance of quality product supply and good working relationships. We engage with our suppliers with regular conversations built upon long term relationships and product updates. Engagement with our supply chain ensures that we are able to supply our customers with the services they desire whilst maintaining supply security as far as possible.

Government
The governments key interest in our company is the payment of correct tax at the correct times along with compliance of laws and regulations. We engage with the government via HMRC with the submission and payment of tax returns. Engagement with the government ensures that policies and regulation changes are adhered to.

STREAMLINED ENERGY AND CARBON REPORTING
As a large UK group operating in the construction industry, Cavanagh Commercial Holdings Limited is committed to transparency in reporting its environmental impact. In accordance with Financial Reporting Standard 102 (FRS 102), we present our first annual carbon emissions report covering the period from 1 April 2023 to 31 March 2024. This summary provides an overview of our greenhouse gas (GHG) emissions across all scopes.

Summary of Greenhouse Gas Emissions
Scope 1 (Direct Emissions): These are emissions from sources that are owned or controlled by the group, such as fuel combustion in company vehicles and equipment. Total Scope 1 emissions for the reporting period are 505.63 tonnes of CO2e.

Scope 2 (Indirect Emissions from Purchased Energy): These emissions result from the generation of purchased electricity, heat, or steam consumed by the company. Total Scope 2 emissions are 12.06 tonnes of CO2e.

Scope 3 (Other Indirect Emissions): This includes emissions that occur in the value chain, such as business travel, waste disposal, and supply chain activities. Total Scope 3 emissions are 7.03 tonnes of CO2e.




CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MARCH 2024

Methodology
The calculation of our GHG emissions has been conducted in line with the UK Government's Environmental Reporting Guidelines and industry best practices for the construction sector. Emission factors were sourced from the latest data published by the Department for Business, Energy & Industrial Strategy (BEIS).

Environmental Commitment
While this is our inaugural carbon emissions report, Cavanagh Commercial Holdings Limited recognises the importance of environmental stewardship. We are dedicated to monitoring our carbon footprint and exploring opportunities to reduce emissions in future reporting periods.

Forward-Looking Statements
We acknowledge that understanding and managing our environmental impact is an ongoing process. Moving forward, we aim to develop strategies and initiatives that contribute to sustainability and environmental responsibility within the construction industry.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material
departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he 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.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MARCH 2024


AUDITORS
The auditor, SBCA Statutory Auditor, is deemed reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:





T R Cavanagh - Director


20th September 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS LIMITED


Qualified opinion
_
We have audited the financial statements of Cavanagh Commercial Holdings Limited (the 'company')) for the year ended 31st March 2024 which comprise the statement of Income and Retained earnings, Balance Sheet and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standards 102 ' The Financial Reporting Standard applicable in the UK and Republic of Ireland; (United Kingdom Generally Accounting Practice).

In our opinion, except for the possible effects on the corresponding of the matter described in the basis for qualified opinion section of our report, the financial statements:
- give a true and fair view of the state of the company's affairs as at 31st March 2024 and of its profit for the year the ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of Companies Act 2006.

Basis for qualified opinion
Following the change in period end we were unable to observe the counting of physical inventories at the end of that period. We were unable to satisfy ourselves by alternative means concerning the inventory held at 31 March 2023, which is included in the balance sheet at £811,030. Consequently we were unable to determine whether any adjustments to this amount were necessary or whether there was any consequential effect on the cost of sales for the year ended 31 March 2024.

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 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 qualified opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS LIMITED


Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

As described in the basis for qualified opinion section of our report, we were unable to satisfy ourselves concerning the inventory of £811,030 held at 31st March 2023. We have concluded that where the other information refers to the inventory balance or related balances such as cost of sales, it may be materially misstated for the same reason.

Qualified opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.
Except for the possible effects of the matter described in the basis for qualified opinion section of our report, in our opinion, based on the work undertaken in the course of the audit:
- the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Report of the Directors has been prepared in accordance with the applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

Except for the matter described in the basis for qualified opinion section of our report, 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 directors report.

Arising solely from the limitation on the scope of our work relating to inventory, referred to above:
- we have not obtained all the information and explanations that we considered necessary for the purposes of our audit; and
- we were unable to determine whether adequate accounting records have been kept.

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:
- 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.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page eight, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS LIMITED


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the group and sector, we identified that the principal risks of non-compliance with laws and regulations related to, but were not limited to, the Companies Act 2006, UK tax, employment, pension and health and safety legislation and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgements and fraudulent income recognition.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS LIMITED


Our procedures to respond to risks identified included the following:

- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct impact on the financial statements;
- enquiring of management about actual and potential litigation and claims, their policies and procedures to prevent and detect fraud as well as whether they have knowledge of any actual, suspected or alleged fraud;
- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
- obtaining an understanding of provisions and holding discussions with management to understand the basis of recognition or non-recognition of tax provisions; and
- in addressing the risk of fraud through management override of controls: testing the appropriateness of journal entries; assessing whether the accounting estimates, judgements and decisions made by management are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
CAVANAGH COMMERCIAL HOLDINGS 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.




Christopher Bond (Senior Statutory Auditor)
for and on behalf of SBCA Statutory Auditor
17 Moor Park Avenue
Preston
Lancashire
PR1 6AS

20th September 2024

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED
STATEMENT OF COMPREHENSIVE
INCOME
FOR THE YEAR ENDED 31ST MARCH 2024

Period
1.10.21
Year Ended to
31.3.24 31.3.23
Notes £    £   

TURNOVER 4 59,608,594 79,500,465

Cost of sales (48,591,581 ) (69,085,748 )
GROSS PROFIT 11,017,013 10,414,717

Distribution costs (115,871 ) (103,966 )
Administrative expenses (9,941,649 ) (12,484,628 )
959,493 (2,173,877 )

Other operating income 182,082 726,861
1,141,575 (1,447,016 )

Exceptional Item 6 - (555,507 )
1,141,575 (2,002,523 )

Interest receivable and similar income 47,643 26,105
1,189,218 (1,976,418 )

Interest payable and similar expenses 7 (227,790 ) (269,525 )
PROFIT/(LOSS) BEFORE TAXATION 8 961,428 (2,245,943 )

Tax on profit/(loss) 9 (417,789 ) 748,534
PROFIT/(LOSS) FOR THE FINANCIAL YEAR 543,639 (1,497,409 )

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME/(LOSS)
FOR THE YEAR

543,639

(1,497,409

)

Profit/(loss) attributable to:
Owners of the parent 543,639 (1,497,409 )

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED
STATEMENT OF COMPREHENSIVE
INCOME
FOR THE YEAR ENDED 31ST MARCH 2024

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   

Total comprehensive income/(loss) attributable to:
Owners of the parent 543,639 (1,497,409 )

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
31ST MARCH 2024

31.3.24 31.3.23
Notes £    £   
FIXED ASSETS
Intangible assets 12 168,049 262,204
Tangible assets 13 1,001,991 602,101
Investments 14 - -
1,170,040 864,305

CURRENT ASSETS
Stocks 15 811,030 797,469
Debtors 16 22,856,034 21,493,800
Cash at bank 544,214 1,261,770
24,211,278 23,553,039
CREDITORS
Amounts falling due within one year 17 (14,028,389 ) (13,637,089 )
NET CURRENT ASSETS 10,182,889 9,915,950
TOTAL ASSETS LESS CURRENT LIABILITIES 11,352,929 10,780,255

CREDITORS
Amounts falling due after more than
one year

18

(5,808,491

)

(5,708,055

)

PROVISIONS FOR LIABILITIES 22 (53,599 ) -
NET ASSETS 5,490,839 5,072,200

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION - continued
31ST MARCH 2024

31.3.24 31.3.23
Notes £    £   
CAPITAL AND RESERVES
Called up share capital 23 650 650
Capital redemption reserve 24 350 350
Retained earnings 24 5,489,839 5,071,200
SHAREHOLDERS' FUNDS 5,490,839 5,072,200


The financial statements were approved by the Board of Directors and authorised for issue on 20th September 2024 and were signed on its behalf by:




T R Cavanagh - Director



L J Cavanagh - Director


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

COMPANY STATEMENT OF FINANCIAL POSITION
31ST MARCH 2024

31.3.24 31.3.23
Notes £    £   
FIXED ASSETS
Intangible assets 12 - -
Tangible assets 13 - -
Investments 14 9,367,843 9,367,843
9,367,843 9,367,843

CURRENT ASSETS
Debtors 16 1,278,757 784,333

CREDITORS
Amounts falling due within one year 17 (341,994 ) (73,950 )
NET CURRENT ASSETS 936,763 710,383
TOTAL ASSETS LESS CURRENT LIABILITIES 10,304,606 10,078,226

CAPITAL AND RESERVES
Called up share capital 23 650 650
Merger reserve 24 9,366,543 9,366,543
Other reserves 24 650 650
Retained earnings 24 936,763 710,383
SHAREHOLDERS' FUNDS 10,304,606 10,078,226

Company's profit for the financial year 351,380 630,000

The financial statements were approved by the Board of Directors and authorised for issue on 20th September 2024 and were signed on its behalf by:




T R Cavanagh - Director



L J Cavanagh - Director


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST MARCH 2024

Called up Capital
share Retained redemption Total
capital earnings reserve equity
£    £    £    £   
Balance at 1st October 2021 650 6,693,609 350 6,694,609

Changes in equity
Dividends - (125,000 ) - (125,000 )
Total comprehensive loss - (1,497,409 ) - (1,497,409 )
Balance at 31st March 2023 650 5,071,200 350 5,072,200

Changes in equity
Dividends - (125,000 ) - (125,000 )
Total comprehensive income - 543,639 - 543,639
Balance at 31st March 2024 650 5,489,839 350 5,490,839

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST MARCH 2024

Called up
share Retained Merger Other Total
capital earnings reserve reserves equity
£    £    £    £    £   
Balance at 1st October 2021 650 205,383 9,366,543 650 9,573,226

Changes in equity
Dividends - (125,000 ) - - (125,000 )
Total comprehensive income - 630,000 - - 630,000
Balance at 31st March 2023 650 710,383 9,366,543 650 10,078,226

Changes in equity
Dividends - (125,000 ) - - (125,000 )
Total comprehensive income - 351,380 - - 351,380
Balance at 31st March 2024 650 936,763 9,366,543 650 10,304,606

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31ST MARCH 2024

Period
1.10.21
Year Ended to
31.3.24 31.3.23
Notes £    £   
Cash flows from operating activities
Cash generated from operations 28 (83,197 ) 2,525,025
Interest paid (207,229 ) (253,146 )
Interest element of hire purchase
payments paid

(20,564

)

(16,379

)
Tax paid 161,370 13,786
Net cash from operating activities (149,620 ) 2,269,286

Cash flows from investing activities
Purchase of tangible fixed assets (185,513 ) (591,470 )
Sale of tangible fixed assets 199,554 99,400
Interest received 47,643 26,105
Net cash from investing activities 61,684 (465,965 )

Cash flows from financing activities
Loan repayments in year (105,000 ) (210,000 )
HP capital repayments in year (138,483 ) (126,157 )
Amount introduced by directors 125,000 10,953
Amount withdrawn by directors (386,137 ) (1,271,221 )
Equity dividends paid (125,000 ) (125,000 )
Net cash from financing activities (629,620 ) (1,721,425 )

(Decrease)/increase in cash and cash equivalents (717,556 ) 81,896
Cash and cash equivalents at
beginning of year

29

1,261,770

1,179,874

Cash and cash equivalents at end of
year

29

544,214

1,261,770

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MARCH 2024


1. STATUTORY INFORMATION

Cavanagh Commercial Holdings Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

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 company is a qualifying entity for the purposes of FRS102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended give a true and fair view of assets, liabilities, financial position and profit and loss of the group. The company has therefore taken advantage of the exemptions from the following disclosure requirements:

- Section 4 'Statement of Financial Position' - Reconciliation of the opening and closing number of shares;
- Section 7 'Statement of Cash Flows' - Presentation of a statement of cash flow and related notes and disclosures;
- Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instrument Issues' - Interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
- Section 33 'Related Party Disclosures': Compensation for key management personnel.

Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company 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.

Reporting period
The prior year financial statements represent the accounting period from 1 October 2021 to 31 March 2023, in order to better align the group's year end with that of the tax year. This, therefore, results in comparative amounts presented in these financial statements (including the related notes) not being entirely comparable.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


2. ACCOUNTING POLICIES - continued

Basis of consolidation
The consolidated financial statements present the results of the Group and its own subsidiaries "the Group" as is they form a single entity. Intercompany transactions and balances between Group companies are therefore eliminated in full.

The consolidated financial statements incorporate the results of the business combinations using the purchase method. In the Balance Sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date that control ceases.

As a result of a share for share exchange, the results of the sub-group have been consolidated using the merger accounting method

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


2. ACCOUNTING POLICIES - continued

Turnover
Turnover represents the invoice value of work carried out during the year, net of Value Added Tax, adjusted for contractual work in progress as follows:

The amount by which recorded turnover is in excess of payments on account is classified as "amounts recoverable on contracts" and separately disclosed, as appropriate, within debtors due within one year and after more than one year.

The value of the recorded turnover has been determined by the following methods:

Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable.

When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately.

Where the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. When costs incurred in securing a contract are recognised as an expense in the period in which they are incurred, they are not included in contract costs if the contract is obtained in a subsequent period.

The "percentage of completion method" is used to determine the appropriate amount to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the estimated total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as amounts recoverable on contracts, prepayments or other assets depending on their nature, and provided it is probable they will be recovered.

Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the Group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition.

Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less any accumulated impairment losses.

Goodwill is amortised over 10 years and is subject to an impairment review each year,

Negative goodwill arising on an acquisition is written back over the period expected to benefit from that negative goodwill, being 5 years

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Improvements to property - 10% on cost
Plant and machinery - 25% on cost and 25% on reducing balance
Fixtures and fittings - 25% on cost, 25% on reducing balance and 20% on cost
Motor vehicles - 25% on cost
Computer equipment - 25% on cost and 25% on reducing balance

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Financial instruments
The company 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.

Basic financial assets:
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future cash flows discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities:
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities:
Basic financial liabilities, including creditors and bank loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future cash flows 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.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if the payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest rate method.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST 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 statement of financial position date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company's accounting policies, which are described in note 2, the director's are required to make judgements, estimates and assumptions about the carrying amounts 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 recongnised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision effects both current and future periods. The critical estimates made by the directors in preparing these financial statements relate to the useful economic life of tangible fixed assets, of which depreciation rates are disclosed in note 2.

Critical Judgements
The following judgements (apart from those involving estimates) could have had the most significant effect on amounts recognised in the financial statements:

Recognition of contract revenue and profit

This is a natural area of estimation uncertainty given the industry in which the company operates. The narrative to the turnover accounting policy in the financial statements provides further information.

The company uses suitably qualified Quantity Surveyors to assess the level of work done, associated revenue and thus profit recognition. These assessments are then reviewed by the company's finance team, providing an additional level of internal assurance that reduces the estimation uncertainty to an appropriate level.

Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows:

Provision for irrecoverable trade debtors

At each balance sheet date, management undertake a review of the outstanding trade debtor balances and estimate the balance that should either be impaired or provided against. This calculation is based on the financial position of the customers, the historical speed of payment and any ongoing discussions.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


4. TURNOVER

The turnover and profit (2023 - loss) before taxation are attributable to the one principal activity of the group.

An analysis of turnover by class of business is given below:

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Construction contracts 59,608,594 79,500,465
59,608,594 79,500,465

An analysis of turnover by geographical market is given below:

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
United Kingdom 59,608,594 79,500,465
59,608,594 79,500,465

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


5. EMPLOYEES AND DIRECTORS






Year Ended
31.3.24



Period
1.10.21
to
31.3.23
£ £
Wages and salaries 5,786,747 7,293,888
Social security costs 646,632 825,104
Other pension costs 181,368 215,678
6,534,747 8,334,670

The average employee number of employees for the year were as follows:





Year Ended
31.3.24



Period
1.10.21
to
31.3.23

Direct labour 33 31
Project delivery 92 75
Administration 12 13
Director 2 2
139 121

The above includes directors. The directors are the only key management personnel within the company and their remuneration is disclosed below.

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Directors' remuneration 17,264 41,920

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


6. EXCEPTIONAL ITEMS
Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Exceptional Item - (555,507 )

The above relates to a bad debt suffered as a result of a main contractor client going into liquidation.

7. INTEREST PAYABLE AND SIMILAR EXPENSES
Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Bank interest 190,904 57,266
HMRC interest 9,712 195,880
Other interest 6,610 -
Hire purchase interest 20,564 16,379
227,790 269,525

8. PROFIT/(LOSS) BEFORE TAXATION

The profit (2023 - loss) is stated after charging/(crediting):

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Hire of plant and machinery 1,859,230 3,166,106
Depreciation - owned assets 317,953 545,332
Profit on disposal of fixed assets (169,597 ) (90,966 )
Goodwill amortisation 94,155 141,233
Auditors' remuneration 30,307 40,934
Fees payable to group auditors for non audit services 39,362 32,194

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


9. TAXATION

Analysis of the tax charge/(credit)
The tax charge/(credit) on the profit for the year was as follows:
Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Current tax:
Under / (over) provision - (358,835 )

Deferred tax:
Origination and reversal of
timing differences 417,789 (389,699 )
Tax on profit/(loss) 417,789 (748,534 )

Reconciliation of total tax charge/(credit) 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:

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Profit/(loss) before tax 961,428 (2,245,943 )
Profit/(loss) multiplied by the standard rate of corporation tax in
the UK of 25 % (2023 - 19 %)

240,357

(426,729

)

Effects of:
Expenses not deductible for tax purposes 15,015 128,505
Adjustments to tax charge in respect of previous periods 138,878 (358,835 )
Amortisation not deductible for tax purposes 23,539 26,834
Changes in deferred tax rate - (89,376 )
Super deduction allowance - (28,933 )
Total tax charge/(credit) 417,789 (748,534 )

10. INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


11. DIVIDENDS
Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
A Ordinary shares of £1 each
Interim 75,000 75,000
B Ordinary shares of £1 each
Interim 50,000 50,000
125,000 125,000

12. INTANGIBLE FIXED ASSETS

Group
Negative
Goodwill goodwill Totals
£    £    £   
COST
At 1st April 2023
and 31st March 2024 1,904,856 (75,165 ) 1,829,691
AMORTISATION
At 1st April 2023 1,642,652 (75,165 ) 1,567,487
Amortisation for year 94,155 - 94,155
At 31st March 2024 1,736,807 (75,165 ) 1,661,642
NET BOOK VALUE
At 31st March 2024 168,049 - 168,049
At 31st March 2023 262,204 - 262,204

The amortisation charge for the year has been included within administrative expenses. The company had no intangible fixed assets at 31 March 2024 or 31 March 2023.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


13. TANGIBLE FIXED ASSETS

Group
Improvements Fixtures
to Plant and and
property machinery fittings
£    £    £   
COST
At 1st April 2023 150,767 854,587 228,092
Additions - 20,870 -
Disposals - - -
At 31st March 2024 150,767 875,457 228,092
DEPRECIATION
At 1st April 2023 148,488 760,977 222,940
Charge for year 2,279 46,475 2,262
Eliminated on disposal - - -
At 31st March 2024 150,767 807,452 225,202
NET BOOK VALUE
At 31st March 2024 - 68,005 2,890
At 31st March 2023 2,279 93,610 5,152

Motor Computer
vehicles equipment Totals
£    £    £   
COST
At 1st April 2023 1,501,607 64,225 2,799,278
Additions 691,311 35,619 747,800
Disposals (555,446 ) - (555,446 )
At 31st March 2024 1,637,472 99,844 2,991,632
DEPRECIATION
At 1st April 2023 1,041,763 23,009 2,197,177
Charge for year 245,452 21,485 317,953
Eliminated on disposal (525,489 ) - (525,489 )
At 31st March 2024 761,726 44,494 1,989,641
NET BOOK VALUE
At 31st March 2024 875,746 55,350 1,001,991
At 31st March 2023 459,844 41,216 602,101

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


13. TANGIBLE FIXED ASSETS - continued

Group

The company had no tangible fixed assets at 31 March 2024 or 31 March 2023.

Included in the above are Motor Vehicles held under Hire Purchase agreements with a Net Book Value of £584,075 (2023: £219,374). Depreciation charged in the year on the assets amounts to £119,875 (2023: £317,740).

14. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakin
£   
COST
At 1st April 2023
and 31st March 2024 9,367,843
NET BOOK VALUE
At 31st March 2024 9,367,843
At 31st March 2023 9,367,843

The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiary


Company Name
Reg'd
Office

Nature of Business
Class of
Share

% Holding

MAC Roofing Group Ltd 1 Intermediate Parent Ordinary 100% direct
MAC (Roofing & Contracting) Ltd 1 Roofing & Cladding Ordinary 100% indirect
MAC Roofing Ltd 1 Architectural Cladding Ordinary 100% indirect
Graham Roofing (Scotland) Ltd 2 Roofing & Cladding Ordinary 100% indirect
JWD Rainwater Systems Ltd 1 Dormant Ordinary 100% indirect
JWD Architectural Aluminium Ltd 1 Dormant Ordinary 100% indirect
MAC Roofing (Scotland) Ltd 2 Dormant Ordinary 100% indirect

Registered Office 1: 17 Moor Park Avenue, Preston. PR1 6AS
Registered Office 2: 33-35 Dalsholm Avenue Dalsholm Industrial Estate, Glasgow, G20 0TS


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


15. STOCKS

Group
31.3.24 31.3.23
£    £   
Stocks 811,030 797,469

16. DEBTORS

Group Company
31.3.24 31.3.23 31.3.24 31.3.23
£    £    £    £   
Amounts falling due within one year:
Trade debtors 6,499,925 5,349,299 - -
Amounts recoverable on contract 6,074,668 8,572,475 - -
Other debtors 2,617,209 2,578,521 316,516 68,250
Directors' current accounts 1,663,183 1,402,046 961,158 715,000
Tax 141,307 214,543 - -
Deferred tax asset - 364,190 1,083 1,083
Accrued income 35,330 33,437 - -
Prepayments 2,284,826 1,194,381 - -
19,316,448 19,708,892 1,278,757 784,333

Amounts falling due after more than one year:
Amounts recoverable on contract 3,539,586 1,784,908 - -

Aggregate amounts 22,856,034 21,493,800 1,278,757 784,333

Deferred tax asset
Group Company
31.3.24 31.3.23 31.3.24 31.3.23
£    £    £    £   
Tax losses - 417,192 1,083 1,083
Accelerated capital allowances - (53,002 ) - -
- 364,190 1,083 1,083

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
31.3.24 31.3.23 31.3.24 31.3.23
£    £    £    £   
Bank loans and overdrafts (see note 19)
-

105,000

-

-
Hire purchase contracts (see note 20) 256,422 52,574 - -
Trade creditors 9,740,285 9,782,516 - -
Sub-contractor ledger 768,689 205,771 - -
Amounts owed to group undertakings - - 253,649 68,684
Tax 87,700 (434 ) 82,645 (434 )
Social security and other taxes 464,007 398,884 - -
Sub-contractor tax 306,261 448,782 - -
VAT 89,419 294,238 - -
Other creditors 1,061,081 599,183 - -
Wages Control 297,148 278,594 - -
Accrued expenses 957,377 1,471,981 5,700 5,700
14,028,389 13,637,089 341,994 73,950

18. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group
31.3.24 31.3.23
£    £   
Hire purchase contracts (see note 20) 339,441 119,485
Other creditors 2-5 years 5,359,280 5,360,000
Other creditors > 5 years 109,770 228,570
5,808,491 5,708,055

19. LOANS

An analysis of the maturity of loans is given below:

Group
31.3.24 31.3.23
£    £   
Amounts falling due within one year or on demand:
Bank loans - 105,000

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


20. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
31.3.24 31.3.23
£    £   
Net obligations repayable:
Within one year 256,422 52,574
Between one and five years 339,441 119,485
595,863 172,059

Group
Non-cancellable operating leases
31.3.24 31.3.23
£    £   
Within one year 126,039 188,246
Between one and five years 288,692 258,312
In more than five years 84,900 141,500
499,631 588,058

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


21. SECURED DEBTS

The following secured debts are included within creditors:

Group
31.3.24 31.3.23
£    £   
Bank loans - 105,000
Hire purchase contracts 595,863 172,059
595,863 277,059

The bank facilities are secured by the following:

- a debenture dated 29th January 2008 over all the the assets of MAC (Roofing & Contracting) Limited.
- and a legal charge over the book debts of the MAC (Roofing & Contracting) Limited dated 17th February 1989.
- inter-group guarantees in favour of NatWest Bank plc

Security for Hire Purchase balances is given over the assets concerned.

22. PROVISIONS FOR LIABILITIES

Group
31.3.24 31.3.23
£    £   
Deferred tax
Tax losses (40,154 ) -
Accelerated capital allowances 93,753 -
53,599 -

Group
Deferred
tax
£   
Balance at 1st April 2023 (364,190 )
Charge to Statement of Comprehensive Income during year 417,789
Balance at 31st March 2024 53,599

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


22. PROVISIONS FOR LIABILITIES - continued

Company
Deferred
tax
£   
Balance at 1st April 2023 (1,083 )
Balance at 31st March 2024 (1,083 )

23. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 31.3.24 31.3.23
value: £    £   
325 A Ordinary £1 325 325
325 B Ordinary £1 325 325
650 650

24. RESERVES

Group
Capital
Retained redemption
earnings reserve Totals
£    £    £   

At 1st April 2023 5,071,200 350 5,071,550
Profit for the year 543,639 543,639
Dividends (125,000 ) (125,000 )
At 31st March 2024 5,489,839 350 5,490,189

Company
Retained Merger Other
earnings reserve reserves Totals
£    £    £    £   

At 1st April 2023 710,383 9,366,543 650 10,077,576
Profit for the year 351,380 351,380
Dividends (125,000 ) (125,000 )
At 31st March 2024 936,763 9,366,543 650 10,303,956


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


25. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the year ended 31st March 2024 and the period ended 31st March 2023:

31.3.24 31.3.23
£    £   
T R Cavanagh
Balance outstanding at start of year 867,961 137,245
Amounts advanced 232,572 810,243
Amounts repaid (75,000 ) (79,527 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year 1,025,533 867,961

L J Cavanagh
Balance outstanding at start of year 534,085 4,533
Amounts advanced 153,565 697,644
Amounts repaid (50,000 ) (168,092 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year 637,650 534,085

Directors loans are interest free and repayable on demand.

26. RELATED PARTY DISCLOSURES

Rent of £83,104 (2023: £103,880) was paid to the MAC (Roofing & Contracting) Ltd (2000) Pension Fund.

Rent of £66,600 (2023: £111,000) was paid to a connected company.

At the balance sheet date amounts due from the directors amounted to £1,642,025 (2021: £1,402,046).

At the balance sheet date amounts due from a connected company, by virtue of a common director, amounted to £2,027,250 (2023: £1,982,250).

27. ULTIMATE CONTROLLING PARTY

The company is ultimately controlled by the directors, Messrs T & L Cavanagh.

CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


28. RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

Period
1.10.21
Year Ended to
31.3.24 31.3.23
£    £   
Profit/(loss) before taxation 961,428 (2,245,943 )
Depreciation charges 412,111 686,561
Profit on disposal of fixed assets (169,597 ) (90,966 )
(Increase) / decrease in ARoC 743,129 (5,899,203 )
Finance costs 227,790 269,525
Finance income (47,643 ) (26,105 )
2,127,218 (7,306,131 )
(Increase)/decrease in stocks (13,561 ) 143,060
(Increase)/decrease in trade and other debtors (2,281,652 ) 1,931,414
Increase in trade and other creditors 84,798 7,756,682
Cash generated from operations (83,197 ) 2,525,025

29. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31st March 2024
31.3.24 1.4.23
£    £   
Cash and cash equivalents 544,214 1,261,770
Period ended 31st March 2023
31.3.23 1.10.21
£    £   
Cash and cash equivalents 1,261,770 1,179,874


CAVANAGH COMMERCIAL HOLDINGS LIMITED (REGISTERED NUMBER: 12803604)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MARCH 2024


30. ANALYSIS OF CHANGES IN NET FUNDS/(DEBT)

Other
non-cash
At 1.4.23 Cash flow changes At 31.3.24
£    £    £    £   
Net cash
Cash at bank 1,261,770 (717,556 ) 544,214
1,261,770 (717,556 ) 544,214
Debt
Finance leases (172,059 ) 82,196 (562,287 ) (595,863 )
Debts falling due
within 1 year (105,000 ) 105,000 - -
(277,059 ) 187,196 (562,287 ) (595,863 )
Total 984,711 (530,360 ) (562,287 ) (51,649 )