REGISTERED NUMBER: 14091877 (England and Wales) |
WHEELER WATTS HOLDINGS LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
REGISTERED NUMBER: 14091877 (England and Wales) |
WHEELER WATTS HOLDINGS LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Profit and Loss Account | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 17 |
WHEELER WATTS HOLDINGS LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 JANUARY 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors, Chartered Tax Advisers |
and Chartered Certified Accountants |
Broad House |
1 The Broadway |
Old Hatfield |
Hertfordshire |
AL9 5BG |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
The directors present their strategic report of the company and the group for the year ended 31 January 2024. |
In preparing the strategic report, the directors have complied with s414C of the Companies Act 2006. |
PRINCIPAL ACTIVITY |
The principal activity of the Group in the period under review was that of supply of roofing materials. |
REVIEW OF BUSINESS |
On 6 May 2022, the Group's trading activities commenced when Wheeler Watts Holdings Limited acquired Eroofing Limited on a share for share exchange. The size of the Group was further increased through another share for share exchange with Watts Roofing Supplies Limited on 9 May 2022. |
The negative goodwill on consolidation was £1.18m, and was amortised during the year, leaving the balance of £1.05m at the balance sheet date. |
The consolidated profit and loss account on page 9 reflects the results of the Group since the two acquisitions last year, and shows turnover of £20.6m (2023: £13.6m) and costs of £19.8m (2023: £12.8m), including interest payable of £57k (2023: £32k), and amortisation of goodwill on consolidation of £127k (2023: £95k), leaving a profit before taxation of £831k (2023: £780k). |
The Group's balance sheet shows tangible fixed assets of £837k (2023: £884k) and negative goodwill of £1.05m (2023: £1.18m). Current assets were £5.0m (2023: £4.7m) (including cash of £935k ((2023: £984k)), but with current liabilities of £3.7m (2023: £3.5m), net current assets were £1.3m (2023: £1.3m). Long term liabilities and provisions were £717k (2023: £761k), leaving Group's net assets of £359k (2023: £216k). |
After the year end, the size of the Group was increased through two further acquisitions, for which the estimated consideration of £3m was paid. |
The Directors believe that the outlook for the Group is strong, and plan to continue to grow the business. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The directors considers the following to be the group's principal operational risks in the short term: |
The UK's departure from the European Union ('Brexit') and its impact on the labour market |
Brexit continues to impact the group operationally, as the reduced pool of available employees leads to increases in salary expenditure and additional use of contractors to fill short-term staffing gaps. The directors have diversified the group's recruitment practices and, to the greatest extent possible, have factored the prevailing uncertainty into the group's financial planning. |
Health and safety |
The group understands the need to provide a safe environment for its staff, subcontractors, customers, suppliers or anyone else on its premises. Everyone in the business has accountability for health and safety, and they are given the necessary tools (including training, safety equipment and resources) to operate safely. Compliance is organised and monitored through a dedicated health and safety team across the business. |
Regulatory changes |
The directors always aim to respond proactively to, and exceed, any regulatory requirements affecting the group's operations. Major changes to these regulatory requirements can result in significant cost to the group, but no regulatory changes having a materially adverse effect on the group's activities are anticipated at this time. |
Inflation and rises in energy prices |
The UK is currently experiencing high levels of inflation, which impacts on the group's variable and fixed costs and could reduce the group's operating margin. Specifically, energy prices have risen significantly more than the general rate of inflation. The directors will continue to assess the impact of inflation on the business regularly. |
Liquidity and cashflow |
The group continues to invest in its operations and therefore has to monitor its liquidity closely in order to ensure working capital requirements are met in addition to the cost of investment. Cash forecasts are maintained which include a range of possible outcomes, with the results discussed at board level so that any operational or financing requirements are agreed in advance of any large expenditure. |
FUTURE DEVELOPMENTS |
The group continues to invest acquire businesses in the next financial year following the acquisition of two investments in the period to 31 January 2023. The directors expect the commercial performance of the business to continue to improve. |
ON BEHALF OF THE BOARD: |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 31 January 2024. |
COMMENCEMENT OF TRADING |
Wheeler Watts Holdings Limited was incorporated on 6 May 2022, with the Group being created on the same day, following the share for share exchange with Eroofing Limited. Following this, the size of the Group was increased through further share for share exchange with Watts Roofing Supplies Limited on 9 May 2022. |
DIVIDENDS |
Interim dividends of £458,600 (2023: £340,000) were paid during the year; no final dividend is recommended |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 February 2023 to the date of this report. |
INDEMNITY PROVISION FOR DIRECTORS |
No qualifying third party indemnity provision for the benefit of one or more directors was in force at any time during the financial period or to the date of approval of this report. |
EMPLOYEE INFORMATION |
The directors recognise the importance of human resources. Employee views are taken into consideration when decisions are made that affect them, through real-time communication and feedback . There is meaningful development and career progression opportunities wifhin the group, creating an attractive workplace. Employees are treated fairly and equally, as monitored by regular employee surveys. |
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. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
AUDITORS |
Pursuant to Section 487(2) of the Companies Act 2006, the auditors will be deemed to be reappointed and Keelings Limited will therefore continue in office. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
WHEELER WATTS HOLDINGS LIMITED |
Opinion |
We have audited the financial statements of Wheeler Watts Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 January 2024 which comprise the Consolidated Profit and Loss Account, 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 January 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
WHEELER WATTS 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. |
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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We gained an understanding of the legal and regulatory framework applicable to the group and the industry in which it operates and considered the risk of acts by management which were contrary to applicable laws and regulations, including fraud. These included,but were not limited to, compliance with Financial Reporting Framework FRS 102, Companies Act 2006, General Data Protection Regulations and applicable Health and Safety and Employment Legislation. We made enquiries of the directors of the group to obtain further understanding of the risks of non-compliance. We focused on laws and regulations that could give rise to a material misstatement in the financial statements. Our tests included, but were not limited to: |
- agreeing the financial statement disclosures to underlying supporting documentation; |
- enquiring of management about known or suspected instances of non-compliance with laws and regulations; |
- reviewing minutes of board meetings throughout the year; and |
- obtaining an understanding of the control environment in place to prevent and detect irregularities. |
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring from fraud, rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
WHEELER WATTS 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. |
for and on behalf of |
Statutory Auditors, Chartered Tax Advisers |
and Chartered Certified Accountants |
Broad House |
1 The Broadway |
Old Hatfield |
Hertfordshire |
AL9 5BG |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONSOLIDATED PROFIT AND LOSS ACCOUNT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
Notes | £ | £ |
TURNOVER | 20,415,971 | 13,657,087 |
Cost of sales | 17,899,653 | 11,819,272 |
GROSS PROFIT | 2,516,318 | 1,837,815 |
Administrative expenses | 1,781,845 | 1,026,826 |
734,473 | 810,989 |
Other operating income | 147,750 | - |
OPERATING PROFIT | 4 | 882,223 | 810,989 |
Interest receivable and similar income | 5,778 | 1,923 |
888,001 | 812,912 |
Interest payable and similar expenses | 5 | 57,162 | 32,400 |
PROFIT BEFORE TAXATION | 830,839 | 780,512 |
Tax on profit | 6 | 229,449 | 224,004 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 601,390 | 556,508 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONSOLIDATED OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 JANUARY 2024 |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 601,390 | 556,508 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
601,390 |
556,508 |
Total comprehensive income attributable to: |
Owners of the parent | 601,390 | 556,508 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONSOLIDATED BALANCE SHEET |
31 JANUARY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 | (1,049,962 | ) | (1,177,244 | ) |
Tangible assets | 10 | 836,942 | 883,665 |
Investments | 11 | - | - |
(213,020 | ) | (293,579 | ) |
CURRENT ASSETS |
Stocks | 12 | 2,499,808 | 2,217,445 |
Debtors | 13 | 1,473,419 | 1,570,758 |
Cash at bank and in hand | 935,319 | 984,373 |
4,908,546 | 4,772,576 |
CREDITORS |
Amounts falling due within one year | 14 | 3,618,725 | 3,500,428 |
NET CURRENT ASSETS | 1,289,821 | 1,272,148 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
1,076,801 |
978,569 |
CREDITORS |
Amounts falling due after more than one year |
15 |
(509,658 |
) |
(594,257 |
) |
PROVISIONS FOR LIABILITIES | 18 | (207,745 | ) | (167,704 | ) |
NET ASSETS | 359,398 | 216,608 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 100 | 100 |
Retained earnings | 20 | 359,298 | 216,508 |
359,398 | 216,608 |
The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2024 and were signed on its behalf by: |
A J F Wheeler - Director |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
COMPANY BALANCE SHEET |
31 JANUARY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Debtors | 13 |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings | 20 |
Company's profit for the financial year | 442,600 | 390,000 |
The financial statements were approved by the Board of Directors and authorised for issue on |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 JANUARY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | 100 | - | 100 |
Dividends | - | (340,000 | ) | (340,000 | ) |
Total comprehensive income | - | 556,508 | 556,508 |
Balance at 31 January 2023 | 100 | 216,508 | 216,608 |
Changes in equity |
Dividends | - | (458,600 | ) | (458,600 | ) |
Total comprehensive income | - | 601,390 | 601,390 |
Balance at 31 January 2024 | 100 | 359,298 | 359,398 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 JANUARY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | - |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 January 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 January 2024 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 718,070 | 298,018 |
Interest paid | (17,689 | ) | (13,034 | ) |
Interest element of hire purchase payments paid |
(39,473 |
) |
(19,366 |
) |
Tax paid | (56,300 | ) | - |
Net cash from operating activities | 604,608 | 265,618 |
Cash flows from investing activities |
Purchase of intangible fixed assets | - | 1,272,819 |
Purchase of tangible fixed assets | (224,801 | ) | (1,045,945 | ) |
Sale of tangible fixed assets | 29,245 | 47,150 |
Interest received | 5,778 | 1,923 |
Net cash from investing activities | (189,778 | ) | 275,947 |
Cash flows from financing activities |
New loans in year | - | 146,390 |
Loan repayments in year | (27,919 | ) | (36,768 | ) |
New hire purchase in the year | 206,261 | 765,547 |
Capital repayments in year | (183,626 | ) | (93,893 | ) |
Amount introduced by directors | - | 1,432 |
Share issue | - | 100 |
Equity dividends paid | (458,600 | ) | (340,000 | ) |
Net cash from financing activities | (463,884 | ) | 442,808 |
(Decrease)/increase in cash and cash equivalents | (49,054 | ) | 984,373 |
Cash and cash equivalents at beginning of year |
2 |
984,373 |
- |
Cash and cash equivalents at end of year | 2 | 935,319 | 984,373 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 JANUARY 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Profit before taxation | 830,839 | 780,512 |
Depreciation charges | 113,204 | 27,366 |
Loss/(profit) on disposal of fixed assets | 1,796 | (7,809 | ) |
Finance costs | 57,162 | 32,400 |
Finance income | (5,778 | ) | (1,923 | ) |
997,223 | 830,546 |
Increase in stocks | (282,363 | ) | (2,217,445 | ) |
Decrease/(increase) in trade and other debtors | 97,339 | (1,570,758 | ) |
(Decrease)/increase in trade and other creditors | (94,129 | ) | 3,255,675 |
Cash generated from operations | 718,070 | 298,018 |
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 January 2024 |
31.1.24 | 1.2.23 |
£ | £ |
Cash and cash equivalents | 935,319 | 984,373 |
Period ended 31 January 2023 |
31.1.23 | 6.5.22 |
£ | £ |
Cash and cash equivalents | 984,373 | - |
3. | ANALYSIS OF CHANGES IN NET FUNDS/(DEBT) |
At 1.2.23 | Cash flow | At 31.1.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 984,373 | (49,054 | ) | 935,319 |
984,373 | (49,054 | ) | 935,319 |
Debt |
Finance leases | (671,654 | ) | (22,634 | ) | (694,288 | ) |
Debts falling due within 1 year | (39,600 | ) | (42,107 | ) | (81,707 | ) |
Debts falling due after 1 year | (70,022 | ) | 70,022 | - |
(781,276 | ) | 5,281 | (775,995 | ) |
Total | 203,097 | (43,773 | ) | 159,324 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JANUARY 2024 |
1. | STATUTORY INFORMATION |
Wheeler Watts Holdings Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 ('FRS 102'), the Financial Reporting Standard applicable in the UK and the Republic of Ireland, and the Companies Act 2006. |
The financial statements are prepared in Pounds Sterling ('£'), which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. |
Going concern |
The Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for at least 12 months from the date of approval of these financial statements. The Group therefore continues to adopt the going concern basis in preparing its consolidated financial statements. |
Financial Reporting Standard 102 - reduced disclosure exemptions |
In preparing these financial statements, advantage has been taken of the following disclosure exemptions available in FRS 102: |
- only one reconciliation of the number of shares outstanding at the end of the period has been presented, as the reconciliations for the group and parent company would be identical; |
- no cash flow statement has been presented for the parent company; |
- disclosures in respect of the parent company's financial instruments have not been made, as the equivalent disclosure has been provided in respect of the group as a whole; |
- no disclosure has been made of the aggregate remuneration of key management personnel of the parent company, as their remuneration is included in the totals for the group as a whole; and |
- related party transactions and balances with group members are not disclosed. Transactions between entities in the group that have been eliminated on consolidation are not included in the consolidated financial statements. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Basis of consolidation |
The consolidated financial statements present the results of the company and its subsidiaries ('the group') as if 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 business combinations using the purchase method. In the Statement of Financial Position, 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 Profit and Loss Account from the date on which control is obtained. They are deconsolidated from the date control ceases. |
Significant judgements and estimates |
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies. These estimates and judgements are made in the light of historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. However, actual results may differ from those anticipated. |
In the preparation of these financial statements, the group's critical accounting judgements and estimates are in respect of impairment of assets, depreciation and the provision for doubtful debts. Details of these judgements and estimates are described in the relevant accounting policy, the notes to the financial statements and below: |
- Impairment of fixed assets: factors taken into consideration include the economic viability and expected future financial performance of the asset and, where it is a component of a larger cash-generating unit, the viability and expected future performance of that unit. |
- Depreciation of tangible fixed assets: these are depreciated over their useful lives, taking into account residual values. The useful lives and residual values are assessed annually and depend on a number of factors. As regards useful lives, considerations include technological innovation and maintenance programmes, while residual value assessments review matters such as future market conditions, the remaining life of the asset and projected disposal values. |
- Doubtful debts: a provision is made when the directors consider that collection of the full amount due is no longer probable. Their assessment is based on the age of the debt, the likely success of any action taken to recover it and the costs of such action. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Goodwill |
Goodwill represents the difference between the cost of a business combination and the acquirer's interest in the fair value of the group's share of the identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis and charged to the Consolidated Profit and Loss Account over its useful economic life of ten years. |
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. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 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 or, if held under a finance lease, over the lease term, whichever is the shorter. |
Improvement to property | - 20% on cost |
Plant and machinery | - 25% on reducing balance |
Fixtures and fittings | - 25% on reducing balance |
Motor vehicles | - 25% on reducing balance |
Computer equipment | - 25% on cost |
Impairment of assets |
At the end of each reporting period, the directors review the carrying amounts of the company's tangible assets to determine whether there is any indication that those assets have suffered impairment. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment. Where it is not possible to estimate the recoverable amount of an individual asset, the directors estimate the recoverable amount of the cash-generating unit to which the asset belongs. |
The recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. |
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount and an impairment loss is recognised immediately in the Consolidated Profit and Loss Account. |
Recognised impairment losses are reversed if, and only if, the reasons for the impairment have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the lower of: |
a. the revised estimate of its recoverable amount; and |
b. the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. |
A reversal of an impairment loss is recognised immediately in the Consolidated Profit and Loss Account. |
Valuation of investments |
Investments in subsidiaries are measured at cost less accumulated impairment. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and |
slow moving items. |
Cash and cash equivalents |
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible into known amounts of cash with an insignificant risk of change in value. |
Financial instruments |
The entity has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the entity's balance sheet when the entity becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Basic financial assets 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 receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Equity |
Equity comprises the following: |
- share capital, which represents the nominal value of equity shares; and |
- profit and loss reserves, which represent retained profits. |
An equity share is a contract that evidences a residual interest in the assets of the company after deducting all its liabilities. Equity shares issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity shares are recognised as liabilities once they are no longer at the discretion of the company. |
Current and deferred taxation |
The tax expense for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, except that a charge attributable to an item of income and expense recognised as other comprehensive income, or to an item recognised directly in equity, is recognised in other comprehensive income or directly in equity, respectively. |
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date. |
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 future taxable profits. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
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. |
Operating leases |
Rentals paid under operating leases are charged to the Consolidated Profit and Loss Account on a straight line basis over the lease term. |
Finance costs |
Finance costs are charged to the Consolidated Profit and Loss Account over the term of the debt, using the effective interest method, so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument. |
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. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
3. | EMPLOYEES AND DIRECTORS |
Peiod |
6.5.22 |
Year Ended | to |
31.1.24 | 31.1.23 |
£ | £ |
Wages and salaries | 1,689,804 | 1,034,629 |
Social security costs | 154,792 | 101,109 |
Other pension costs | 34,462 | 22,915 |
1,879,058 | 1,158,653 |
The average number of employees during the year was as follows: |
Period |
6.5.22 |
Year Ended | to |
31.1.24 | 31.1.23 |
Direct | 49 | 33 |
Administrative | 6 | 4 |
55 | 37 |
Period |
6.5.22 |
Year Ended | to |
31.1.24 | 31.1.23 |
£ | £ |
Directors' pension | 114,580 | 78,462 |
114,580 | 101,046 |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Directors' remuneration | 31,928 | 22,584 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Depreciation - owned assets | 40,990 | 37,676 |
Depreciation - assets on hire purchase contracts | 199,493 | 85,263 |
Loss/(profit) on disposal of fixed assets | 1,796 | (7,809 | ) |
Goodwill amortisation | (127,282 | ) | (95,575 | ) |
Auditors' remuneration | 15,000 | - |
Auditors' remuneration for non audit work | 15,000 | 12,482 |
Foreign exchange differences | (4,649 | ) | (5,834 | ) |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Bank loan interest | 17,553 | 12,933 |
CT late payment interest | 136 | 101 |
Hire purchase | 39,473 | 19,366 |
57,162 | 32,400 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Current tax: |
UK corporation tax | 189,408 | 56,300 |
Deferred tax | 40,041 | 167,704 |
Tax on profit | 229,449 | 224,004 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
6. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
PERIOD |
6.5.22 |
YEAR ENDED | TO |
31.1.24 | 31.1.23 |
£ | £ |
Profit before tax | 830,839 | 780,512 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2023 - 19 %) |
157,859 |
148,297 |
Effects of: |
Expenses not deductible for tax purposes | 58,969 | 43,810 |
Capital allowances in excess of depreciation | (42,418 | ) | (159,298 | ) |
Profit/loss on disposal of assets | 341 | (1,778 | ) |
Goodwill ammortisation | (24,184 | ) | (18,159 | ) |
Additional rate at 25% | 39,862 | - |
Deferred tax | 40,041 | 167,704 |
Eliminate pre acquisition profits | - | 40,191 |
Eliminate pre acquisition corporation tax | - | 3,237 |
Marginal relief | (1,021 | ) | - |
Total tax charge | 229,449 | 224,004 |
7. | INDIVIDUAL PROFIT AND LOSS ACCOUNT |
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. |
8. | DIVIDENDS |
Period |
6.5.22 |
Year Ended | to |
31.1.24 | 31.1.23 |
Ordinary 'A' shares of £1 each | 128,800 | 95.500 |
Ordinary 'B' shares of £1 each | 100,500 | 74,500 |
Ordinary 'C' shares of £1 each | 125,500 | 93,000 |
Ordinary 'D' shares of £1 each | 103,800 | 77,000 |
458,600 | 340,000 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
9. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 February 2023 |
and 31 January 2024 | (1,272,819 | ) |
AMORTISATION |
At 1 February 2023 | (95,575 | ) |
Amortisation for year | (127,282 | ) |
At 31 January 2024 | (222,857 | ) |
NET BOOK VALUE |
At 31 January 2024 | (1,049,962 | ) |
At 31 January 2023 | (1,177,244 | ) |
10. | TANGIBLE FIXED ASSETS |
Group |
Improvements | Fixtures |
to | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 February 2023 | 14,094 | 161,208 | 24,045 |
Additions | - | 113,261 | 6,245 |
Disposals | - | (28,205 | ) | - |
At 31 January 2024 | 14,094 | 246,264 | 30,290 |
DEPRECIATION |
At 1 February 2023 | 3,997 | 30,917 | 2,480 |
Charge for year | 5,448 | 41,062 | 5,733 |
Eliminated on disposal | - | (21,318 | ) | - |
At 31 January 2024 | 9,445 | 50,661 | 8,213 |
NET BOOK VALUE |
At 31 January 2024 | 4,649 | 195,603 | 22,077 |
At 31 January 2023 | 10,097 | 130,291 | 21,565 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
10. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 February 2023 | 736,048 | 14,950 | 950,345 |
Additions | 94,350 | 10,945 | 224,801 |
Disposals | (86,066 | ) | - | (114,271 | ) |
At 31 January 2024 | 744,332 | 25,895 | 1,060,875 |
DEPRECIATION |
At 1 February 2023 | 25,441 | 3,845 | 66,680 |
Charge for year | 182,372 | 5,868 | 240,483 |
Eliminated on disposal | (61,912 | ) | - | (83,230 | ) |
At 31 January 2024 | 145,901 | 9,713 | 223,933 |
NET BOOK VALUE |
At 31 January 2024 | 598,431 | 16,182 | 836,942 |
At 31 January 2023 | 710,607 | 11,105 | 883,665 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 February 2023 | 78,486 | 717,278 | 795,764 |
Additions | 113,261 | 93,000 | 206,261 |
Transfer to ownership | (37,956 | ) | (53,295 | ) | (91,251 | ) |
At 31 January 2024 | 153,791 | 756,983 | 910,774 |
DEPRECIATION |
At 1 February 2023 | 13,980 | 38,330 | 52,310 |
Charge for year | 21,921 | 177,572 | 199,493 |
Transfer to ownership | (24,141 | ) | (31,204 | ) | (55,345 | ) |
At 31 January 2024 | 11,760 | 184,698 | 196,458 |
NET BOOK VALUE |
At 31 January 2024 | 142,031 | 572,285 | 714,316 |
At 31 January 2023 | 64,506 | 678,948 | 743,454 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
11. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 February 2023 |
and 31 January 2024 |
NET BOOK VALUE |
At 31 January 2024 |
At 31 January 2023 |
The following are wholly-owned subsidiary undertakings of Wheeler Watts Holdings Limited: |
Watts Roofing Supplies Limited |
Registered office: Warren Farm, Royston Road, Baldock, Hertfordshire, SG7 6QZ |
Nature of business: supply of roofing materials |
Eroofing Limited |
Registered office: Unit 2 Hillgate, Wilbury Way, Hitchin, Hertfordshire, England, SG4 0RY |
Nature of business: supply of roofing materials |
The following subsidiary entities are exempt from audit by virtue of s479A of Companies Act 2006: |
Watts Roofing Supplies Limited |
Eroofing Limited |
12. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 2,499,808 | 2,217,445 |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 1,247,903 | 1,491,389 |
Amounts owed by group undertakings | - | - |
Other debtors | 50,484 | 45,057 |
VAT | - | 1,172 |
Prepayments and accrued income | 175,032 | 33,140 |
1,473,419 | 1,570,758 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 16) | 81,707 | 39,600 |
Hire purchase contracts (see note 17) | 184,630 | 147,419 |
Trade creditors | 2,702,811 | 3,133,582 |
Amounts owed to group undertakings | - | - |
Tax | 189,408 | 56,300 |
Social security and other taxes | 38,860 | 68,289 |
VAT | 189,130 | - | - | - |
Other creditors | 64,021 | 42,874 |
Directors' current accounts | 1,434 | 1,434 | 300 | 300 |
Accrued expenses | 166,724 | 10,930 |
3,618,725 | 3,500,428 |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2024 | 2023 |
£ | £ |
Bank loans (see note 16) | - | 70,022 |
Hire purchase contracts (see note 17) | 509,658 | 524,235 |
509,658 | 594,257 |
16. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 81,707 | 39,600 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | - | 70,022 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year | 184,630 | 147,419 |
Between one and five years | 509,658 | 524,235 |
694,288 | 671,654 |
Group |
Non-cancellable operating | leases |
2024 | 2023 |
£ | £ |
Within one year | 181,460 | 181,460 |
Between one and five years | 282,607 | 464,007 |
464,067 | 645,467 |
The group has rental leases for the various premises used by the business which are non-cancellable and vary in length from 20 months to 60 months at the year end. |
18. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2023 |
£ | £ |
Deferred tax | 207,745 | 167,704 |
Group |
Deferred |
tax |
£ |
Balance at 1 February 2023 | 167,704 |
Provided during year | 40,041 |
Balance at 31 January 2024 | 207,745 |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
Value: | £ | £ |
25 | Ordinary 'A' | £1 | 25 | 25 |
25 | Ordinary 'B' | £1 | 25 | 25 |
25 | Ordinary 'C' | £1 | 25 | 25 |
25 | Ordinary 'D' | £1 | 25 | 25 |
100 | 100 |
The rights attaching to each class of shares are identical to, and rank pari passu with, shares of all other classes in respect of distributions and votes. Dividends may be declared in respect of particular classes only. |
20. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 February 2023 | 216,508 |
Profit for the year | 601,390 |
Dividends | (458,600 | ) |
At 31 January 2024 | 359,298 |
Company |
Retained |
earnings |
£ |
At 1 February 2023 |
Profit for the year |
Dividends | ( |
) |
At 31 January 2024 |
21. | PENSION COMMITMENTS |
The group contributes to pension schemes for the benefit of its employees. These schemes operate on the money purchase principle, which ensures that their liabilities cannot exceed their assets. The assets of the schemes are held in independent funds. The pension charge represents contributions payable for the year by the group and amounts to £29,342. Pension contributions of £2,840 were owed at the balance sheet date |
22. | POST BALANCE SHEET EVENTS |
After the date of these financial statements Wheeler Watts Holdings Limited acquired two companies for the estimated consideration of £3m. |
WHEELER WATTS HOLDINGS LIMITED (REGISTERED NUMBER: 14091877) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JANUARY 2024 |
23. | CONTROLLING PARTY |
The Group does not have an ultimate controlling party. |
At the balance sheet date, the Group owed £1,434 (2023: £1,434) to the directors. No terms have been laid down as to payment of interest or repayment of capital in respect of this loan. |