REGISTERED NUMBER: 14609312 (England and Wales) |
Dexel Holdings Ltd |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements For The Year Ended 31 March 2024 |
REGISTERED NUMBER: 14609312 (England and Wales) |
Dexel Holdings Ltd |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements For The Year Ended 31 March 2024 |
Dexel Holdings Ltd (Registered number: 14609312) |
Contents of the Consolidated Financial Statements |
For The Year Ended 31 March 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 4 |
Consolidated Income Statement | 7 |
Consolidated Other Comprehensive Income | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 15 |
Dexel Holdings Ltd |
Company Information |
For The Year Ended 31 March 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Sidings Court |
Lakeside |
Doncaster |
South Yorkshire |
DN4 5NU |
Dexel Holdings Ltd (Registered number: 14609312) |
Group Strategic Report |
For The Year Ended 31 March 2024 |
The directors present their strategic report of the company and the group for the year ended 31 March 2024. |
PRINCIPAL ACTIVITY AND OBJECTIVE |
The group's principal activities are the retailing of tyres, accessories, MOTs, servicing, repairs and maintenance for passenger vehicles as well as commercial tyre and related services for all trucks, buses, industrial and agricultural vehicles. |
The group believes customer service, as a means to maximise long-term customer retention is key. The group will continue to focus on staff development and investment in new technology and processes to help deliver these goals. The group will also continue to review its sell out structure and portfolio to drive margin increases. |
REVIEW OF BUSINESS |
The directors are pleased with the year's overall financial performance and are happy to report another increased operating profit, to a record level. The directors are also pleased with an increased and record gross profit margin figure that reflects pricing and stocking policy changes. We feel a record profit before tax figure (for a none property sales years), reflects our increased productivity. |
Many processes and operational changes have now taken hold in the business and are now driving improving financial results as these changes mature. This is in addition to some tough decisions made over the past few years to dispose of depots and staff that were not deemed necessary or worthwhile moving forwards. |
Further to this, many of the required investments to bring the business premises and assets up to scratch have now been made meaning the business is able to reduce these large investments moving forwards and look at smaller scale investment projects to put the finishing touches to certain depots and departments. |
KEY PERFORMANCE INDICATORS |
The company employs a number of KPIs to monitor performance across all business functions, these include financial performance indicators, retail sales activity, commercial customer service levels and staff productivity. The directors believe most of these are too industry specific to help understand this set of financial results. |
In the currently market, we feel that a push for efficiency of paramount importance, for this reason, a number of ROI or efficiency based KPIs are playing a more prominent role in our business. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The risks affecting the business are continually monitored and assessed by the directors to minimise their impact upon the group in both the day to day and long term. The principal risks and uncertainties affecting us at present are staff shortages, in areas, a shrinking or ageing employment pool and a lack of visibility of our industry. To combat this we are training staff using both internal and external resources to ensure we are able to fill our own vacancies. |
To minimise these we have developed a more robust and flexible pricing model that allows for us to pass on price increases more effectively. We also focus on staff retention as a way to minimise the disruption caused by a identifying and attracting new staff. We are also developing our purchasing methods and models to minimise the effect of supply chain issues. |
FUTURE DEVELOPMENTS |
This year there will be a new, mobile responsive website launched that we hope will drive increased sales. |
ON BEHALF OF THE BOARD: |
Dexel Holdings Ltd (Registered number: 14609312) |
Report of the Directors |
For The Year Ended 31 March 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 31 March 2024. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 March 2024 will be £ 113,491 . |
The consolidated financial statements for the year to 31 March 2024 and the comparatives for the year to 31 March 2023, together with the balance sheet of the parent company, have been prepared using the provisions of merger accounting. This is based on the assumption that the group has always been in existence. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 April 2023 to the date of this report. |
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; |
- | 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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Dexel Holdings Ltd |
Opinion |
We have audited the financial statements of Dexel Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the Consolidated Income Statement, Consolidated Other 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 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. |
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. |
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. |
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. |
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 directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
Dexel Holdings Ltd |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the 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. |
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. |
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: |
The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
- | we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the industry; |
- | we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, MOT scheme regulations from the DVSA and health and safety legislation; |
- | we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
- | identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
- | making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
- | considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
- performed analytical procedures to identify any unusual or unexpected relationships; |
- tested journal entries to identify unusual transactions; |
- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and |
- investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- agreeing financial statement disclosures to underlying supporting documentation; |
- enquiring of management as to actual and potential litigation and claims; and |
- reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors. |
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 |
Dexel Holdings Ltd |
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 |
Chartered Accountants |
Sidings Court |
Lakeside |
Doncaster |
South Yorkshire |
DN4 5NU |
Dexel Holdings Ltd (Registered number: 14609312) |
Consolidated |
Income Statement |
For The Year Ended 31 March 2024 |
2024 | 2023 |
(Unaudited) |
Notes | £ | £ |
TURNOVER | 3 | 17,007,428 | 17,380,940 |
Cost of sales | 10,390,239 | 10,977,990 |
GROSS PROFIT | 6,617,189 | 6,402,950 |
Administrative expenses | 6,197,341 | 6,000,807 |
419,848 | 402,143 |
Other operating income | 79,214 | 69,411 |
OPERATING PROFIT | 6 | 499,062 | 471,554 |
Interest receivable and similar income | - | 1,024 |
499,062 | 472,578 |
Interest payable and similar expenses | 7 | 69,864 | 66,246 |
PROFIT BEFORE TAXATION | 429,198 | 406,332 |
Tax on profit | 8 | 121,842 | 71,435 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 307,356 | 334,897 |
Dexel Holdings Ltd (Registered number: 14609312) |
Consolidated |
Other Comprehensive Income |
For The Year Ended 31 March 2024 |
2024 | 2023 |
(Unaudited) |
Notes | £ | £ |
PROFIT FOR THE YEAR | 307,356 | 334,897 |
OTHER COMPREHENSIVE INCOME |
Merger reserve | - | (62,263 | ) |
Income tax relating to other comprehensive income | - | - |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
(62,263 |
) |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 307,356 | 272,634 |
Total comprehensive income attributable to: |
Owners of the parent | 307,356 | 272,634 |
Dexel Holdings Ltd (Registered number: 14609312) |
Consolidated Balance Sheet |
31 March 2024 |
2024 | 2023 |
(Unaudited) |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 11 | 22,200 | 29,600 |
Tangible assets | 12 | 5,196,585 | 4,673,593 |
Investments | 13 | - | - |
5,218,785 | 4,703,193 |
CURRENT ASSETS |
Stocks | 14 | 1,430,018 | 1,542,142 |
Debtors | 15 | 2,219,013 | 2,169,220 |
Cash at bank and in hand | 544,852 | 286,488 |
4,193,883 | 3,997,850 |
CREDITORS |
Amounts falling due within one year | 16 | 3,752,202 | 3,902,666 |
NET CURRENT ASSETS | 441,681 | 95,184 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 5,660,466 | 4,798,377 |
CREDITORS |
Amounts falling due after more than one year | 17 | (1,663,846 | ) | (1,093,082 | ) |
PROVISIONS FOR LIABILITIES | 21 | (181,235 | ) | (83,775 | ) |
NET ASSETS | 3,815,385 | 3,621,520 |
CAPITAL AND RESERVES |
Called up share capital | 22 | 124,526 | 124,526 |
Revaluation reserve | 23 | 482,086 | 482,086 |
General reserve | 23 | 45,521 | 45,521 |
Other reserves | 23 | (62,263 | ) | (62,263 | ) |
Retained earnings | 23 | 3,225,515 | 3,031,650 |
SHAREHOLDERS' FUNDS | 3,815,385 | 3,621,520 |
The financial statements were approved by the Board of Directors and authorised for issue on 16 October 2024 and were signed on its behalf by: |
J B France - Director |
Dexel Holdings Ltd (Registered number: 14609312) |
Company Balance Sheet |
31 March 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 11 |
Tangible assets | 12 |
Investments | 13 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 22 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | - | - |
The financial statements were approved by the Board of Directors and authorised for issue on |
Dexel Holdings Ltd (Registered number: 14609312) |
Consolidated Statement of Changes in Equity |
For The Year Ended 31 March 2024 |
Called up |
share | Retained | Revaluation |
capital | earnings | reserve |
£ | £ | £ |
Balance at 1 April 2022 | 62,263 | 2,873,319 | 482,086 |
Changes in equity |
Issue of share capital | 62,263 | - | - |
Dividends | - | (176,566 | ) | - |
Total comprehensive income | - | 334,897 | - |
Balance at 31 March 2023 | 124,526 | 3,031,650 | 482,086 |
Changes in equity |
Dividends | - | (113,491 | ) | - |
Total comprehensive income | - | 307,356 | - |
Balance at 31 March 2024 | 124,526 | 3,225,515 | 482,086 |
General | Other | Total |
reserve | reserves | equity |
£ | £ | £ |
Balance at 1 April 2022 | 45,521 | - | 3,463,189 |
Changes in equity |
Issue of share capital | - | - | 62,263 |
Dividends | - | - | (176,566 | ) |
Total comprehensive income | - | (62,263 | ) | 272,634 |
Balance at 31 March 2023 | 45,521 | (62,263 | ) | 3,621,520 |
Changes in equity |
Dividends | - | - | (113,491 | ) |
Total comprehensive income | - | - | 307,356 |
Balance at 31 March 2024 | 45,521 | (62,263 | ) | 3,815,385 |
Dexel Holdings Ltd (Registered number: 14609312) |
Company Statement of Changes in Equity |
For The Year Ended 31 March 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | - |
Balance at 31 March 2023 |
Changes in equity |
Balance at 31 March 2024 |
Dexel Holdings Ltd (Registered number: 14609312) |
Consolidated Cash Flow Statement |
For The Year Ended 31 March 2024 |
2024 | 2023 |
(Unaudited) |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 637,978 | 611,324 |
Interest paid | (49,302 | ) | (43,935 | ) |
Interest element of hire purchase payments paid | (20,562 | ) | (22,311 | ) |
Tax paid | (60,189 | ) | (32,928 | ) |
Net cash from operating activities | 507,925 | 512,150 |
Cash flows from investing activities |
Purchase of intangible fixed assets | - | (37,000 | ) |
Purchase of tangible fixed assets | (333,686 | ) | (303,249 | ) |
Sale of tangible fixed assets | 32,381 | 22,183 |
Interest received | - | 1,024 |
Net cash from investing activities | (301,305 | ) | (317,042 | ) |
Cash flows from financing activities |
New loans in year | 450,002 | 331,982 |
Loan repayments in year | (64,180 | ) | (51,369 | ) |
Capital repayments in year | (174,874 | ) | (199,269 | ) |
Amount introduced by directors | 106,071 | 135,789 |
Amount withdrawn by directors | (265,275 | ) | (456,962 | ) |
Net cash from financing activities | 51,744 | (239,829 | ) |
Increase/(decrease) in cash and cash equivalents | 258,364 | (44,721 | ) |
Cash and cash equivalents at beginning of year | 2 | 286,488 | 331,209 |
Cash and cash equivalents at end of year | 2 | 544,852 | 286,488 |
Dexel Holdings Ltd (Registered number: 14609312) |
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 |
(Unaudited) |
£ | £ |
Profit before taxation | 429,198 | 406,332 |
Depreciation charges | 288,660 | 262,955 |
Profit on disposal of fixed assets | (32,382 | ) | (18,980 | ) |
Finance costs | 69,864 | 66,246 |
Finance income | - | (1,024 | ) |
755,340 | 715,529 |
Decrease/(increase) in stocks | 112,124 | (47,828 | ) |
(Increase)/decrease in trade and other debtors | (20,870 | ) | 40,242 |
Decrease in trade and other creditors | (208,616 | ) | (96,619 | ) |
Cash generated from operations | 637,978 | 611,324 |
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 | 544,852 | 286,488 |
Year ended 31 March 2023 |
31.3.23 | 1.4.22 |
(Unaudited) |
£ | £ |
Cash and cash equivalents | 286,488 | 331,209 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.4.23 | Cash flow | At 31.3.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 286,488 | 258,364 | 544,852 |
286,488 | 258,364 | 544,852 |
Debt |
Finance leases | (349,410 | ) | (295,695 | ) | (645,105 | ) |
Debts falling due within 1 year | (64,562 | ) | (19,790 | ) | (84,352 | ) |
Debts falling due after 1 year | (872,732 | ) | (366,029 | ) | (1,238,761 | ) |
(1,286,704 | ) | (681,514 | ) | (1,968,218 | ) |
Total | (1,000,216 | ) | (423,150 | ) | (1,423,366 | ) |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements |
For The Year Ended 31 March 2024 |
1. | STATUTORY INFORMATION |
Dexel Holdings Ltd is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
Dexel Holdings Limited was formed on 18 November 2023. It did not trade in the period to 31 March 2024. |
The company acquired the whole of the issued share capital of Dexel Tyre Company Limited on 18 November 2023 by means of a share for share exchange. |
The consolidated financial statements for the year to 31 March 2024 and the comparatives for the year to 31 March 2023, together with the balance sheet of the parent company, have been prepared using the provisions of merger accounting. This is based on the assumption that the group has always been in existence. The merger reserve on acquisition has been written off to reserves. |
Significant judgements and estimates |
In the process of applying the company's accounting policies, the directors are required to make certain estimates, judgements and assumptions that they believe are reasonable based upon the information available. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the periods presented. |
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
Actual results may differ from the estimates, the effect of which is recognised in the period in which the facts that give rise to the revision become known. |
The estimate and assumptions that have a significant risk of causing material adjustments to the carrying amounts of assets and liabilities within the next financial year are as follows: |
Intangible assets |
The charge in respect of amortisation is derived after determining an estimate of the useful life. The estimate is based on a variety of factors such as expected use, the expected useful life of the cash generating unit or contractual provisions that can limit the useful life and assumptions tat market participants would consider in respect of similar businesses. |
Tangible assets |
The charge in respect of depreciation is derived after determining an estimate of an asset's expected useful life and the expected residual value at the end of its life. The useful lives and residual values of the group's assets may vary depending on several factors such as, technological innovation, maintenance programmes and future market conditions. They are determined by management at the time the asset is acquired and reviewed annually for appropriateness. |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised: |
Sale of goods |
Revenue from the sale of goods is recognised when all of the following conditions are satisfied: |
- | the company has transferred the significant risks and rewards of ownership to the buyer; |
- | the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold; |
- | the amount of revenue can be measured reliably; |
- | it is probable that the company will receive the consideration due under the transaction; and |
- | the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Motor vehicles | - |
Tangible assets are initially measured at cost. After initial recognition, plant and machinery and motor vehicles are measured at cost less any accumulated depreciation and any accumulated impairment losses. Freehold property is shown at fair value. Any movement in fair value of freehold property is shown in the profit and loss account with a transfer to or from the revaluation reserve. |
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 |
Trade and other debtors are recognised at the settlement amount due after any trade discount offered and future interest. |
Creditors and provisions are recognised where the company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due and future interest. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. The assets of these schemes are held separately from those of the company in independently administered funds. Contributions payable for th year are charged in the profit and loss account. |
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 |
(Unaudited) |
£ | £ |
Goods | 13,704,789 | 14,201,143 |
Service | 3,302,639 | 3,179,797 |
17,007,428 | 17,380,940 |
4. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
(Unaudited) |
£ | £ |
Wages and salaries | 4,117,014 | 3,847,801 |
Social security costs | 387,094 | 369,942 |
Other pension costs | 112,534 | 110,234 |
4,616,642 | 4,327,977 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
(Unaudited) |
Administration and management | 47 | 47 |
Other | 83 | 81 |
The average number of employees by undertakings that were proportionately consolidated during the year was 130 (2023 - 128 ) . |
5. | DIRECTORS' EMOLUMENTS |
2024 | 2023 |
(Unaudited) |
£ | £ |
Directors' remuneration | 197,254 | 168,890 |
Directors' pension contributions to money purchase schemes | 54,550 | 44,025 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 4 | 4 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
(Unaudited) |
£ | £ |
Depreciation - owned assets | 86,044 | 99,507 |
Depreciation - assets on hire purchase contracts | 195,220 | 156,049 |
Profit on disposal of fixed assets | (32,382 | ) | (18,980 | ) |
Computer software amortisation | 7,400 | 7,400 |
Auditors' remuneration | 6,200 | 6,500 |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
(Unaudited) |
£ | £ |
Interest on capital loan | 49,302 | 43,935 |
Hire purchase | 20,562 | 22,311 |
69,864 | 66,246 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
(Unaudited) |
£ | £ |
Current tax: |
UK corporation tax | 24,382 | 60,190 |
Deferred tax | 97,460 | 11,245 |
Tax on profit | 121,842 | 71,435 |
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 |
(Unaudited) |
£ | £ |
Profit before tax | 429,198 | 406,332 |
Profit multiplied by the standard rate of corporation tax in the UK of 22.460 % (2023 - 19 %) | 96,398 | 77,203 |
Effects of: |
Expenses not deductible for tax purposes | 10,280 | 1,918 |
Income not taxable for tax purposes | - | (117 | ) |
Depreciation on non eligible assets | 1,484 | 1,627 |
Change of tax rate | 13,680 | 2,699 |
Super deduction capital allowances | - | (11,895 | ) |
Total tax charge | 121,842 | 71,435 |
Tax effects relating to effects of other comprehensive income |
There were no tax effects for the year ended 31 March 2024. |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Merger reserve | (62,263 | ) | - | (62,263 | ) |
9. | INDIVIDUAL INCOME STATEMENT |
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. |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
10. | DIVIDENDS |
The following dividends were paid from Dexel Tyre Company Limited: |
2024 | 2023 |
(unaudited | ) |
Interim dividends | £ | £ |
A shares | - | - |
B shares | 16,125 | 18,779 |
C shares | 66,466 | 82,950 |
D shares | 30,900 | 74,837 |
113,491 | 176,566 |
11. | INTANGIBLE FIXED ASSETS |
Group |
Computer |
Goodwill | software | Totals |
£ | £ | £ |
COST |
At 1 April 2023 |
and 31 March 2024 | 641,295 | 37,000 | 678,295 |
AMORTISATION |
At 1 April 2023 | 641,295 | 7,400 | 648,695 |
Amortisation for year | - | 7,400 | 7,400 |
At 31 March 2024 | 641,295 | 14,800 | 656,095 |
NET BOOK VALUE |
At 31 March 2024 | - | 22,200 | 22,200 |
At 31 March 2023 | - | 29,600 | 29,600 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
12. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Plant and | Motor |
property | machinery | vehicles | Totals |
£ | £ | £ | £ |
COST OR VALUATION |
At 1 April 2023 | 4,345,154 | 1,367,023 | 1,256,699 | 6,968,876 |
Additions | 244,398 | 120,861 | 438,996 | 804,255 |
Disposals | - | (20,787 | ) | (84,916 | ) | (105,703 | ) |
At 31 March 2024 | 4,589,552 | 1,467,097 | 1,610,779 | 7,667,428 |
DEPRECIATION |
At 1 April 2023 | 46,256 | 1,277,802 | 971,225 | 2,295,283 |
Charge for year | 24,271 | 64,750 | 192,243 | 281,264 |
Eliminated on disposal | - | (20,787 | ) | (84,917 | ) | (105,704 | ) |
At 31 March 2024 | 70,527 | 1,321,765 | 1,078,551 | 2,470,843 |
NET BOOK VALUE |
At 31 March 2024 | 4,519,025 | 145,332 | 532,228 | 5,196,585 |
At 31 March 2023 | 4,298,898 | 89,221 | 285,474 | 4,673,593 |
The directors have taken advantage of the transitional provisions of FRS102 to revalue freehold and leasehold property on a one-off basis.The properties were valued at market value at the transition date of 31 March 2016 by WPA, Chartered Surveyors, of Paradise Square, Sheffield. |
The directors consider that freehold properties are maintained such that their residual value is at least equal to their net book value. As a result the corresponding depreciation on buildings would not be material and therefore is not charged in the profit and loss account. The refurbishments costs to properties are depreciated over a 10 year period, to reflect the the planned cycle of branch refurbishments, which is charged to the profit and loss. The directors perform annual impairment reviews in accordance with the requirements of FRS 102 to ensure that the carrying value is not lower than the recoverable amount. |
Cost or valuation at 31 March 2024 is represented by: |
Freehold | Plant and | Motor |
property | machinery | vehicles | Totals |
£ | £ | £ | £ |
Valuation in 2017 | 2,800,000 | - | - | 2,800,000 |
Cost | 1,789,552 | 1,467,097 | 1,610,779 | 4,867,428 |
4,589,552 | 1,467,097 | 1,610,779 | 7,667,428 |
If freehold property had not been revalued it would have been included at the following historical cost: |
2024 | 2023 |
(Unaudited) |
£ | £ |
Cost | 4,101,870 | 3,853,065 |
Aggregate depreciation | 88,503 | 67,712 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
12. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST OR VALUATION |
At 1 April 2023 | 36,259 | 569,809 | 606,068 |
Additions | 58,440 | 412,128 | 470,568 |
Transfer to ownership | - | (124,856 | ) | (124,856 | ) |
At 31 March 2024 | 94,699 | 857,081 | 951,780 |
DEPRECIATION |
At 1 April 2023 | 21,756 | 402,593 | 424,349 |
Charge for year | 18,939 | 176,281 | 195,220 |
Transfer to ownership | - | (124,856 | ) | (124,856 | ) |
At 31 March 2024 | 40,695 | 454,018 | 494,713 |
NET BOOK VALUE |
At 31 March 2024 | 54,004 | 403,063 | 457,067 |
At 31 March 2023 | 14,503 | 167,216 | 181,719 |
13. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertaking |
£ |
COST |
Additions |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Mr Exhaust and One Stop Motorist Centre Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 |
£ |
Aggregate capital and reserves | 100 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
13. | FIXED ASSET INVESTMENTS - continued |
Sayers Tyres and Exhausts Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 |
£ |
Aggregate capital and reserves | 100 |
Dock Tyre Company Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 |
£ |
Aggregate capital and reserves | 1 |
Autocom Units Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 |
£ |
Aggregate capital and reserves | 3,000 |
City Tyre Experts Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 |
£ |
Aggregate capital and reserves | 2 |
Dexel Tyre Company Limited |
Registered office: 128/144 Staniforth Road, Sheffield, S9 3JQ |
Nature of business: Trading |
% |
Class of shares: | holding |
Ordinary | 100.00 |
The company is included by full consolidation on a line by line basis using merger accounting. |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
14. | STOCKS |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Goods for resale | 1,430,018 | 1,542,142 |
15. | DEBTORS |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Amounts falling due within one year: |
Trade debtors | 1,932,963 | 1,971,520 |
Other debtors | 71,415 | 44,756 |
Directors' current accounts | 181,867 | 152,944 |
2,186,245 | 2,169,220 |
Amounts falling due after more than one year: |
Other debtors | 32,768 | - |
Aggregate amounts | 2,219,013 | 2,169,220 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Bank loans and overdrafts (see note 18) | 84,352 | 64,562 |
Hire purchase contracts (see note 19) | 229,797 | 139,970 |
Trade creditors | 2,890,289 | 3,097,108 |
Taxation | 40,518 | 60,190 |
Social security and other taxes | 311,600 | 367,441 |
Other creditors | 195,646 | 156,605 |
Directors' current accounts | - | 16,790 |
3,752,202 | 3,902,666 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Bank loans (see note 18) | 1,238,761 | 872,732 |
Hire purchase contracts (see note 19) | 415,308 | 209,440 |
Other creditors | 9,777 | 10,910 |
1,663,846 | 1,093,082 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans | 84,352 | 64,562 |
Amounts falling due between one and two years: |
Bank loans | 89,445 | 68,214 |
Amounts falling due between two and five years: |
Bank loans | 297,816 | 225,566 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans greater than |
5 years | 851,500 | 578,952 |
851,500 | 578,952 |
The majority of the company's bank loans are repayable monthly at 4%p.a. or 2.65%p.a. over base rate, with part of the borrowing repayable monthly at fixed interest rates of 6.67%, 7.50% and 5.06%. |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2024 | 2023 |
(Unaudited |
£ | £ |
Net obligations repayable: |
Within one year | 229,797 | 139,970 |
Between one and five years | 415,308 | 209,440 |
645,105 | 349,410 |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Bank loans | 1,323,113 | 937,294 |
Hire purchase contracts | 645,105 | - |
1,968,218 | 937,294 |
Bank borrowings are secured by a debenture over the Dexel Tyre Company Limited's assets and charge over the Dexel Tyre Company Limited's properties. Hire purchase liabilities are secured on the assets to which they relate. |
21. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2023 |
(Unaudited |
£ | £ |
Deferred tax |
Accelerated capital allowances | 183,000 | 85,500 |
Other timing differences | (1,765 | ) | (1,725 | ) |
181,235 | 83,775 |
Group |
Deferred |
tax |
£ |
Balance at 1 April 2023 | 83,775 |
Provided during year | 97,460 |
Balance at 31 March 2024 | 181,235 |
22. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 124,526 | 124,526 |
The shares were allotted in consideration of the transfer of the entire share capital of Dexel Tyre Company Limited. |
Dexel Holdings Ltd (Registered number: 14609312) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 March 2024 |
23. | RESERVES |
Group |
Retained | Revaluation | General | Other |
earnings | reserve | reserve | reserves | Totals |
£ | £ | £ | £ | £ |
At 1 April 2023 | 3,031,650 | 482,086 | 45,521 | (62,263 | ) | 3,496,994 |
Profit for the year | 307,356 | 307,356 |
Dividends | (113,491 | ) | (113,491 | ) |
At 31 March 2024 | 3,225,515 | 482,086 | 45,521 | (62,263 | ) | 3,690,859 |
Company |
Retained |
earnings |
£ |
Profit for the year |
At 31 March 2024 |
24. | RELATED PARTY DISCLOSURES |
The company made payments to Director A of £16,125 (2022: £81,961). The company received payments of £31,125 (2022: £21,151) from Director A. At the year end Director A owed the company £45,810 (2022: £60,810). |
The company made payments to Director B of £90,038 (2022: £155,150). The company received payments of £100,214 (2022: £122,604) from Director B. At the year end Director B owed the company £22,372 (2022: £32,546). |
The company made payments to Director C of £134,437 (2022: £79,908). The company received payments of £58,498 (2022: £79,908) from Director C. At the year end Director C owed the company £59,149 (2022: £nil). |
The company made payments to Director D of £24,675 (2022: £66,659). The company received payments of £29,725 (2022: £9,239) from Director D. At the year end Director D owed the company £54,536 (2022: £59,586). |
There are no key management personnel except the directors. |