Company registration number 05205360 (England and Wales)
STEPHENS FUEL OIL LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
STEPHENS FUEL OIL LIMITED
COMPANY INFORMATION
Director
Mr S J Meredith
Company number
05205360
Registered office
Baltic Oil Works
Usk Way
Old Town Dock
Newport
United Kingdom
NP20 2BW
Auditor
UHY Hacker Young
Bradbury House
Mission Court
Newport
Gwent
United Kingdom
NP20 2DW
STEPHENS FUEL OIL LIMITED
CONTENTS
Page
Strategic report
1
Director's report
2
Director's responsibilities statement
3
Independent auditor's report
4 - 6
Profit and loss account
7
Statement of comprehensive income
8
Balance sheet
9
Statement of changes in equity
10
Statement of cash flows
11
Notes to the financial statements
12 - 21
STEPHENS FUEL OIL LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 OCTOBER 2023
- 1 -

The director presents the strategic report for the year ended 31 October 2023.

Review of the business

The Company is continuing to provide competitive prices and excellent service.

 

The results for the year and financial position of the company are as shown in the annexed financial statements.

 

Price and volume has meant a dip in turnover but the key measure of operating effectiveness, gross profit percentage, has remained strong, being 8.60% compared to 8.66% in the prior year.

 

At 31st October the company had net current assets of £3.5m (2022: £2.8m) and net assets of £3.5m (2022: £2.8m).

 

The director is satisfied with the company performance and remains very positive about the company's future.

Principal risks and uncertainties

The company's activities expose it to a number of financial risks including price risk, credit risk, cash flow risk and liquidity risk. The use of financial instruments is monitored by the board of directors. The company's principal financial instruments comprise bank balances, trade creditors and debtors. The company does not use derivative financial instruments for speculative purposes.

 

Cash flow risk

Interest bearing assets and liabilities are held at fixed rate to ensure certainty of cash flows.

 

Credit risk

The company's principal financial assets are bank balances and cash, trade and other receivables. The company's credit risk is primarily attributable to its trade and other receivables. The company manages credit risk in respect of trade debtors by regularly monitoring credit limits and balances outstanding. The company's credit risk relating to its trade receivables is considered to be limited due to the credit insurance policy that is in place to minimise this risk.

 

Liquidity risk

The company has limited exposure to liquidity risk as a consequence of having limited external borrowings. The company obtains the majority of fixed assets through hire purchase contracts or finance lease agreements. The company manages liquidity risk by monitoring working capital and ensuring there are sufficient funds to meet future payments.

 

Price risk

The company is exposed to commodity price risk, particularly oil prices. The company does not manage its exposure to commodity price risk due to cost benefit considerations.

On behalf of the board

Mr S J Meredith
Director
22 October 2024
STEPHENS FUEL OIL LIMITED
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 OCTOBER 2023
- 2 -

The director presents his annual report and financial statements for the year ended 31 October 2023.

Principal activities

The principal activity of the company continued to be that of the retail of fuel.

Results and dividends

The results for the year are set out on page 7 and are discussed in the Strategic Report on page 1.

Ordinary dividends were paid amounting to £102,207. The director does not recommend payment of a further dividend.

Director

The director who held office during the year and up to the date of signature of the financial statements was as follows:

Mr S J Meredith
Future developments

The director is confident that the financial and organisational structure of Stephens Fuel Oil Limited is geared for sustainable business that gives excellent service to its customers.

Auditor

UHY Hacker Young have expressed their willingness to continue in office as auditor and appropriate arrangements have been put in place for them to be deemed reappointed as auditor in the absence of an Annual General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr S J Meredith
Director
22 October 2024
STEPHENS FUEL OIL LIMITED
DIRECTOR'S RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 OCTOBER 2023
- 3 -

The director is responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

 

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

 

 

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

STEPHENS FUEL OIL LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF STEPHENS FUEL OIL LIMITED
- 4 -
Opinion

We have audited the financial statements of Stephens Fuel Oil Limited (the 'company') for the year ended 31 October 2023 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including 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:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

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

 

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:

STEPHENS FUEL OIL LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF STEPHENS FUEL OIL LIMITED
- 5 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of director

As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditor's 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 an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

Our approach to identifying and assessing the risks of material misstatements in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the company's financial statements to material misstatements, including obtaining an understanding of how fraud might occur, by:

STEPHENS FUEL OIL LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBER OF STEPHENS FUEL OIL LIMITED
- 6 -

To address risk of fraud through management bias and override of controls, we:

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from the financial statements, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the company's member 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 member those matters we are required to state to the member in an auditor's report 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 member, for our audit work, for this report, or for the opinions we have formed.

Mr John Griffiths
Senior Statutory Auditor
For and on behalf of UHY Hacker Young
22 October 2024
Chartered Accountants
Statutory Auditor
Newport
Gwent
United Kingdom
STEPHENS FUEL OIL LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 OCTOBER 2023
- 7 -
2023
2022
Notes
£
£
Turnover
2
24,898,078
30,096,920
Cost of sales
(22,756,252)
(27,489,805)
Gross profit
2,141,826
2,607,115
Administrative expenses
(1,119,023)
(1,080,313)
Operating profit
3
1,022,803
1,526,802
Interest receivable and similar income
6
23,502
17
Interest payable and similar expenses
7
(13,202)
(13,952)
Profit before taxation
1,033,103
1,512,867
Tax on profit
8
(230,568)
(361,577)
Profit for the financial year
802,535
1,151,290

The profit and loss account has been prepared on the basis that all operations are continuing operations.

STEPHENS FUEL OIL LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 OCTOBER 2023
- 8 -
2023
2022
£
£
Profit for the year
802,535
1,151,290
Other comprehensive income
-
-
Total comprehensive income for the year
802,535
1,151,290
STEPHENS FUEL OIL LIMITED
BALANCE SHEET
AS AT
31 OCTOBER 2023
31 October 2023
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
11
379,058
505,411
Current assets
Stocks
12
340,488
473,567
Debtors
13
1,773,125
2,203,105
Cash at bank and in hand
4,394,311
4,283,928
6,507,924
6,960,600
Creditors: amounts falling due within one year
14
(3,047,521)
(4,159,197)
Net current assets
3,460,403
2,801,403
Total assets less current liabilities
3,839,461
3,306,814
Creditors: amounts falling due after more than one year
15
(238,264)
(374,357)
Provisions for liabilities
Deferred tax liability
17
94,624
126,212
(94,624)
(126,212)
Net assets
3,506,573
2,806,245
Capital and reserves
Called up share capital
19
5,471
5,471
Profit and loss reserves
3,501,102
2,800,774
Total equity
3,506,573
2,806,245

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved and signed by the director and authorised for issue on 22 October 2024
Mr S J Meredith
Director
Company registration number 05205360 (England and Wales)
STEPHENS FUEL OIL LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 OCTOBER 2023
- 10 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 November 2021
5,471
1,740,091
1,745,562
Year ended 31 October 2022:
Profit and total comprehensive income
-
1,151,290
1,151,290
Dividends
9
-
(90,607)
(90,607)
Balance at 31 October 2022
5,471
2,800,774
2,806,245
Year ended 31 October 2023:
Profit and total comprehensive income
-
802,535
802,535
Dividends
9
-
(102,207)
(102,207)
Balance at 31 October 2023
5,471
3,501,102
3,506,573
STEPHENS FUEL OIL LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 OCTOBER 2023
- 11 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
21
766,979
3,942,393
Interest paid
(13,202)
(13,952)
Income taxes (paid)/refunded
(428,596)
985
Net cash inflow from operating activities
325,181
3,929,426
Investing activities
Purchase of tangible fixed assets
-
0
(301,403)
Proceeds from disposal of tangible fixed assets
-
0
78,000
Repayment of loans
-
0
(21,907)
Interest received
23,502
17
Net cash generated from/(used in) investing activities
23,502
(245,293)
Financing activities
Repayment of borrowings
-
0
(6,945)
Payment of finance leases obligations
(136,093)
164,583
Dividends paid
(102,207)
(90,607)
Net cash (used in)/generated from financing activities
(238,300)
67,031
Net increase in cash and cash equivalents
110,383
3,751,164
Cash and cash equivalents at beginning of year
4,283,928
532,764
Cash and cash equivalents at end of year
4,394,311
4,283,928
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
- 12 -
1
Accounting policies
Company information

Stephens Fuel Oil Limited is a private company limited by shares incorporated in England and Wales. The registered office is Baltic Oil Works, Usk Way, Old Town Dock, Newport, United Kingdom, NP20 2BW.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

Atruet the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and machinery
25% on cost
Motor vehicles
25% on reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 13 -
1.5
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.6
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company 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.

 

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

1.7
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
1
Accounting policies
(Continued)
- 14 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.8
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

1.9
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.10
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

2
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Oil
4,509,132
10,198,522
Diesel
20,377,071
19,880,118
Haulage
11,875
18,280
24,898,078
30,096,920
2023
2022
£
£
Other revenue
Interest income
23,502
17
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
2
Turnover and other revenue
(Continued)
- 15 -

All turnover relates to the UK by origin and destinations.

3
Operating profit
2023
2022
Operating profit for the year is stated after charging/(crediting):
£
£
Fees payable to the company's auditor for the audit of the company's financial statements
13,500
9,850
Depreciation of owned tangible fixed assets
11,630
6,188
Depreciation of tangible fixed assets held under finance leases
114,723
156,491
Profit on disposal of tangible fixed assets
-
(43,310)
4
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Telesales
1
1
Tanker Driver
5
6
Administrative
2
2
Director
1
1
Total
9
10

Their aggregate remuneration comprised:

2023
2022
£
£
Wages and salaries
380,506
413,688
Social security costs
37,521
43,325
Pension costs
67,767
49,201
485,794
506,214
5
Director's remuneration
2023
2022
£
£
Remuneration for qualifying services
39,096
38,840
Company pension contributions to defined contribution schemes
60,000
40,000
99,096
78,840
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 16 -
6
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
23,502
17
2023
2022
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
23,502
17
7
Interest payable and similar expenses
2023
2022
£
£
Interest on financial liabilities measured at amortised cost:
Other interest on financial liabilities
-
0
1,360
Other finance costs:
Interest on finance leases and hire purchase contracts
13,202
11,607
Other interest
-
0
985
13,202
13,952
8
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
262,156
335,554
Deferred tax
Origination and reversal of timing differences
(31,588)
26,023
Total tax charge
230,568
361,577
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
8
Taxation
(Continued)
- 17 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2023
2022
£
£
Profit before taxation
1,033,103
1,512,867
Expected tax charge based on the standard rate of corporation tax in the UK of 22.52% (2022: 19.00%)
232,655
287,445
Tax effect of expenses that are not deductible in determining taxable profit
1,231
882
Unutilised tax losses carried forward
(184)
-
0
Effect of change in corporation tax rate
(3,134)
(17,513)
Permanent capital allowances in excess of depreciation
-
0
90,763
Taxation charge for the year
230,568
361,577
9
Dividends
2023
2022
£
£
Final paid
102,207
90,607
10
Intangible fixed assets
Goodwill
£
Cost
At 1 November 2022 and 31 October 2023
230,469
Amortisation and impairment
At 1 November 2022 and 31 October 2023
230,469
Carrying amount
At 31 October 2023
-
0
At 31 October 2022
-
0
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 18 -
11
Tangible fixed assets
Plant and machinery
Motor vehicles
Total
£
£
£
Cost
At 1 November 2022 and 31 October 2023
103,628
930,799
1,034,427
Depreciation and impairment
At 1 November 2022
86,652
442,364
529,016
Depreciation charged in the year
4,244
122,109
126,353
At 31 October 2023
90,896
564,473
655,369
Carrying amount
At 31 October 2023
12,732
366,326
379,058
At 31 October 2022
16,976
488,435
505,411

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

2023
2022
£
£
Motor vehicles
344,168
458,892
12
Stocks
2023
2022
£
£
Finished goods and goods for resale
340,488
473,567
13
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
1,743,238
2,084,865
Other debtors
20,643
113,326
Prepayments and accrued income
9,244
4,914
1,773,125
2,203,105
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 19 -
14
Creditors: amounts falling due within one year
2023
2022
Notes
£
£
Obligations under finance leases
16
136,093
136,093
Trade creditors
2,534,073
3,414,536
Corporation tax
262,156
428,596
Other taxation and social security
17,667
20,749
Other creditors
62,593
151,850
Accruals and deferred income
34,939
7,373
3,047,521
4,159,197

Obligations under hire purchase contracts are secured on the assets to which they relate.

 

Other borrowings in the prior year relate to a funding circle loan. This was fully paid during the year.

15
Creditors: amounts falling due after more than one year
2023
2022
£
£
Obligations under finance leases
16
238,264
374,357

Obligations under hire purchase contracts are secured on the assets to which they relate.

16
Finance lease obligations
2023
2022
Future minimum lease payments due under finance leases:
£
£
Within one year
136,093
136,093
In two to five years
238,264
374,357
374,357
510,450

Finance lease payments represent rentals payable by the company for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 4.8 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

17
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2023
2022
Balances:
£
£
Accelerated capital allowances
94,624
-
STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
17
Deferred taxation
(Continued)
- 20 -
Statutory database figures differ from the trial balance:
Deferred tax balances
94,624
126,212
Difference
-
(126,212)
2023
Movements in the year:
£
Liability at 1 November 2022
126,212
Credit to profit or loss
(31,588)
Liability at 31 October 2023
94,624

The deferred tax liability set out above is expected to reverse within [12 months] and relates to accelerated capital allowances that are expected to mature within the same period.

18
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
67,767
49,201

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

19
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
Ordinary B share of £1 each
1
1
1
1
Class E shares of 1p each
537,000
537,000
5,370
5,370
537,101
537,101
5,471
5,471
20
Related party transactions

The company entered into the following related party transactions:

 

Mr S J Meredith operates a current loan account with the company, which is debited with payments made by the company on behalf of the director and credited with funds introduced and undrawn directors' fees.

 

At the year end the balance due to Mr S J Meredith was £896 included within other creditors due within on year (2022: £21,907 due from Mr S J Meredith, included within other debtors due within on year). Dividends of £60,000 (2022: £60,000) were paid to Mr S J Meredith during the year.

STEPHENS FUEL OIL LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2023
- 21 -
21
Cash generated from operations
2023
2022
£
£
Profit for the year after tax
802,535
1,151,290
Adjustments for:
Taxation charged
230,568
361,577
Finance costs
13,202
13,952
Investment income
(23,502)
(17)
Gain on disposal of tangible fixed assets
-
(43,310)
Depreciation and impairment of tangible fixed assets
126,353
162,679
Movements in working capital:
Decrease/(increase) in stocks
133,079
(337,916)
Decrease in debtors
429,980
707,315
(Decrease)/increase in creditors
(945,236)
1,926,823
Cash generated from operations
766,979
3,942,393
22
Analysis of changes in net funds
1 November 2022
Cash flows
31 October 2023
£
£
£
Cash at bank and in hand
4,283,928
110,383
4,394,311
Obligations under finance leases
(510,450)
136,093
(374,357)
3,773,478
246,476
4,019,954
23
Ultimate controlling party

The ultimate controlling party is Mr S J Meredith, by virtue of his shareholding.

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