Company Registration No. 02031233 (England and Wales)
RUSSELL CAWBERRY LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 MARCH 2024
Star House
Star Hill
Rochester
Kent
ME1 1UX
RUSSELL CAWBERRY LIMITED
CONTENTS
Page
Company information
1
Strategic report
2 - 3
Directors' report
4 - 5
Independent auditor's report
6 - 9
Statement of comprehensive income
10
Statement of financial position
11
Statement of changes in equity
12
Statement of cash flows
13
Notes to the financial statements
14 - 26
RUSSELL CAWBERRY LIMITED
COMPANY INFORMATION
- 1 -
Directors
Mr F J Minter
Mr P F Ryan
Mr A F Dillon
Secretary
Mr F J Minter
Company number
02031233
Registered office
31 The Broadway
Cheam
Sutton
Surrey
SM3 8BL
Auditor
TC Group
Star House
Star Hill
Rochester
Kent
ME1 1UX
RUSSELL CAWBERRY LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
The directors present the strategic report for the year ended 31 March 2024.
During the year under review, the company’s principal trading activity has continued to be that of building contractors.
The company client base remains entirely in the following sectors;
1. Education
2. Healthcare/laboratories/life science
3. Commercial
4. Residential and other fit out
Fair review of the business
The company remains profitable with improvements in all departments.
We continue to focus on reducing time taken to value our works and agree final accounts.
Tender opportunities remain constant especially within the Education and Healthcare sectors.
We expect trading to continue at satisfactory levels. The expectation is that inflation and interest rates will fall.
The company maintains good cash balances with no borrowings and the directors maintain strong leadership.
Principal risks and uncertainties
The principal risk is a reduction in customer spending. There is a current risk of reduced overseas student intakes which would affect capital spending.
We have built the firm on good working and long-term client relationships and this would minimise uncertainty in the event of any reduction in customer spending.
We have exclusive relationships with some customers.
There are no significant changes in legislation that affect our market position.
Key performance indicators
Individual contract performance is reviewed weekly with daily accounting updates and costings.
Sub contractor applications are reviewed weekly with monthly liability reports at valuation submission.
Cash flow and financial data is produced and reviewed by the directors each week.
Tender results are reviewed all the time.
ISO accreditation
We hold ISO 9001, ISO 14001 and ISO 45001.
We are working towards ISO 5001 (Energy/sustainability) and ISO 27001 (Information Security).
We hold CHAS Premium Plus, Constructionline Gold Standard and Safecontractor.
RUSSELL CAWBERRY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -
Mr A F Dillon
Director
2 October 2024
RUSSELL CAWBERRY LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
The directors present their annual report and financial statements for the year ended 31 March 2024.
Principal activities
The principal activity of the company continued to be that of building contractors.
Results and dividends
The results for the year are set out on page 10.
Ordinary dividends were paid amounting to £250,000. The directors do not recommend payment of a further dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr F J Minter
Mr P F Ryan
Mr A F Dillon
Auditor
The auditor, TC Group, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Statement of directors' responsibilities
The directors are responsible for preparing the annual report 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 of the profit or loss of the company 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 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. They are 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.
RUSSELL CAWBERRY LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -
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.
On behalf of the board
Mr A F Dillon
Director
2 October 2024
RUSSELL CAWBERRY LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF RUSSELL CAWBERRY LIMITED
- 6 -
Opinion
We have audited the financial statements of Russell Cawberry Limited (the 'company') for the year ended 31 March 2024 which comprise the statement of comprehensive income, the statement of financial position, 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:
give a true and fair view of the state of the company's affairs as at 31 March 2024 and of its 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.
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 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 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.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are 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.
RUSSELL CAWBERRY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF RUSSELL CAWBERRY LIMITED
- 7 -
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' 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:
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of 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 directors' responsibilities statement, 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 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 directors are 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 directors either intend to liquidate the company or to cease operations, or have 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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Extent to which the audit was considered capable of detecting irregularities, including fraud
The objectives of our audit, in respect to fraud, are: to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and its management.
RUSSELL CAWBERRY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF RUSSELL CAWBERRY LIMITED
- 8 -
Our approach was as follows:
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors and other management (as required by auditing standards), and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations;
We considered the legal and regulatory frameworks directly applicable to the financial statements reporting framework (FRS 102 and the Companies Act 2006) and the relevant tax compliance regulations in the UK;
We considered the nature of the industry, the control environment and business performance, including the key drivers for management’s remuneration;
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit;
We considered the procedures and controls that the company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures; and enquiring of management, and were designed to provide reasonable assurance that the financial statements were free from fraud or error.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
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.
RUSSELL CAWBERRY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF RUSSELL CAWBERRY LIMITED
- 9 -
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 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 members as a body, for our audit work, for this report, or for the opinions we have formed.
Sally Meah FCCA (Senior Statutory Auditor)
For and on behalf of TC Group
Statutory Auditor
18 October 2024
Star House
Star Hill
Rochester
Kent
ME1 1UX
RUSSELL CAWBERRY LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2024
2023
Notes
£
£
Turnover
3
32,803,774
30,290,610
Cost of sales
(26,847,382)
(25,945,506)
Gross profit
5,956,392
4,345,104
Administrative expenses
(5,208,923)
(3,569,480)
Other operating income
26,183
9,188
Operating profit
773,652
784,812
Interest receivable and similar income
8
90,702
7,091
Interest payable and similar expenses
7
(2,305)
Profit before taxation
862,049
791,903
Tax on profit
9
(224,562)
(152,468)
Profit for the financial year
637,487
639,435
The income statement has been prepared on the basis that all operations are continuing operations.
The notes on pages 14 to 26 form part of these financial statements.
RUSSELL CAWBERRY LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 MARCH 2024
31 March 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
11
115,211
111,829
Current assets
Stocks
12
-
1,082
Debtors
13
8,977,908
7,149,604
Cash at bank and in hand
7,194,319
4,507,579
16,172,227
11,658,265
Creditors: amounts falling due within one year
14
(14,041,767)
(9,914,266)
Net current assets
2,130,460
1,743,999
Total assets less current liabilities
2,245,671
1,855,828
Provisions for liabilities
Deferred tax liability
15
24,020
21,664
(24,020)
(21,664)
Net assets
2,221,651
1,834,164
Capital and reserves
Called up share capital
17
14,705
14,705
Share premium account
8,012
8,012
Profit and loss reserves
2,198,934
1,811,447
Total equity
2,221,651
1,834,164
The notes on pages 14 to 26 form part of these financial statements.
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
The financial statements were approved by the board of directors and authorised for issue on 2 October 2024 and are signed on its behalf by:
Mr A F Dillon
Director
Company registration number 02031233 (England and Wales)
RUSSELL CAWBERRY LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 12 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 April 2022
14,705
8,012
2,598,412
2,621,129
Year ended 31 March 2023:
Profit and total comprehensive income
-
-
639,435
639,435
Dividends
10
-
-
(1,426,400)
(1,426,400)
Balance at 31 March 2023
14,705
8,012
1,811,447
1,834,164
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
637,487
637,487
Dividends
10
-
-
(250,000)
(250,000)
Balance at 31 March 2024
14,705
8,012
2,198,934
2,221,651
The notes on pages 14 to 26 form part of these financial statements.
RUSSELL CAWBERRY LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
21
2,903,216
602,254
Interest paid
(2,305)
Income taxes paid
(22,504)
(425,402)
Net cash inflow from operating activities
2,878,407
176,852
Investing activities
Purchase of tangible fixed assets
(32,369)
(7,333)
Interest received
90,702
7,091
Net cash generated from/(used in) investing activities
58,333
(242)
Financing activities
Dividends paid
(250,000)
(1,426,400)
Net cash used in financing activities
(250,000)
(1,426,400)
Net increase/(decrease) in cash and cash equivalents
2,686,740
(1,249,790)
Cash and cash equivalents at beginning of year
4,507,579
5,757,369
Cash and cash equivalents at end of year
7,194,319
4,507,579
The notes on pages 14 to 26 form part of these financial statements.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
1
Accounting policies
Company information
Russell Cawberry Limited is a private company limited by shares incorporated in England and Wales. The registered office is 31 The Broadway, Cheam, Sutton, Surrey, SM3 8BL.
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 directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
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.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
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:
Leasehold land and buildings
25% reducing balance
Plant and equipment
25% reducing balance
Fixtures and fittings
25% reducing balance
Motor vehicles
25% 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.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 15 -
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.
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 statement of financial position 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.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 16 -
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
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.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
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 income statement 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.
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 income statement, 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
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 18 -
1.9
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.10
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.11
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
1.12
Profit on long-term contracts is taken as the work is carried out if the final outcome can be assessed with reasonable certainty. The profit included is calculated on a prudent basis to reflect the proportion of the work carried out at the year end, by recording turnover and related costs as contract activity progresses. Turnover is calculated as that proportion of total contract value which costs incurred to date bear to total expected costs for that contract. Revenues derived from variations on contracts are recognised only when they have been accepted by the customer. Full provision is made for losses on all contracts in the year in which they are first foreseen.
2
Judgements and key sources of estimation uncertainty
In preparing these financials statements, the directors have made the following judgements:
Determine whether there are indicators of impairment of the company's tangible and intangible assets. Factors taken into consideration in reaching such a decision 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.
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.
The directors have made key assumptions regarding the stage of completion, of future costs to complete and collectability of billings of some construction contracts. The amount receivable from customers on such construction contracts at the end of the reporting period has been estimated at £1,346,953.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 19 -
3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by geographical market
UK
32,803,774
30,290,610
2024
2023
£
£
Other revenue
Interest income
90,702
7,091
Grants received
4,132
-
4
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Adminstrative staff
11
18
Direct staff
32
27
Directors
3
3
Total
46
48
Their aggregate remuneration comprised:
2024
2023
£
£
Wages and salaries
4,296,600
3,528,580
Social security costs
500,977
314,293
Pension costs
61,275
80,389
4,858,852
3,923,262
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 20 -
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
18,400
17,830
6
Directors' remuneration
2024
2023
£
£
As restated
Remuneration for qualifying services
1,835,762
1,086,146
Company pension contributions to defined contribution schemes
12,933
12,933
1,848,695
1,099,079
Remuneration disclosed above include the following amounts paid to the highest paid director:
2024
2023
£
£
As restated
Remuneration for qualifying services
944,580
568,241
Company pension contributions to defined contribution schemes
32,952
30,860
In 2023 director's bonuses were allocated to staff wages and salaries. These costs have now been reallocated to reflect the correct director's remuneration and highest paid director.
7
Interest payable and similar expenses
2024
2023
£
£
Other finance costs:
Other interest
2,305
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 21 -
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
87,284
7,091
Other interest income
3,418
Total income
90,702
7,091
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
87,284
7,091
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
222,206
157,640
Deferred tax
Origination and reversal of timing differences
2,356
(5,172)
Total tax charge
224,562
152,468
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
9
Taxation
(Continued)
- 22 -
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:
2024
2023
£
£
Profit before taxation
862,049
791,903
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
215,512
150,462
Tax effect of expenses that are not deductible in determining taxable profit
12,877
9,952
Tax effect of income not taxable in determining taxable profit
1,941
(813)
Permanent capital allowances in excess of depreciation
(8,124)
(1,961)
Deferred tax adjustments in respect of prior years
2,356
(5,172)
Taxation charge for the year
224,562
152,468
10
Dividends
2024
2023
£
£
Final paid
250,000
1,426,400
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
11
Tangible fixed assets
Leasehold land and buildings
Plant and equipment
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
272,608
24,797
92,643
90,129
480,177
Additions
5,522
4,887
21,960
32,369
At 31 March 2024
278,130
24,797
97,530
112,089
512,546
Depreciation and impairment
At 1 April 2023
204,544
24,797
74,374
64,633
368,348
Depreciation charged in the year
17,016
5,139
6,832
28,987
At 31 March 2024
221,560
24,797
79,513
71,465
397,335
Carrying amount
At 31 March 2024
56,570
18,017
40,624
115,211
At 31 March 2023
68,064
18,269
25,496
111,829
12
Stocks
2024
2023
£
£
Finished goods and goods for resale
1,082
13
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
7,572,154
6,123,729
Gross amounts owed by contract customers
1,346,953
986,812
Other debtors
20,676
3,595
Prepayments and accrued income
38,125
35,468
8,977,908
7,149,604
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
14
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
4,508,632
3,762,198
Corporation tax
166,932
(32,769)
Other taxation and social security
1,938,483
1,099,910
Other creditors
46,655
48,048
Accruals and deferred income
7,381,065
5,036,879
14,041,767
9,914,266
15
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
24,020
21,664
2024
Movements in the year:
£
Liability at 1 April 2023
21,664
Charge to profit or loss
2,356
Liability at 31 March 2024
24,020
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.
16
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
61,275
80,389
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.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 25 -
17
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
14,705
14,705
14,705
14,705
18
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2024
2023
£
£
Within one year
70,250
67,650
Between two and five years
156,860
218,704
227,110
286,354
19
Related party transactions
During the year, the following transactions took place with the parent company;
Management charges of £980,613 (2023 - £172,013 )
Dividends paid totalling £127,500 (2023 - £727,500 )
As at 31 March 2024 £195 (2023 - £195) was due from the parent company.
During the year, the following transactions took place with an entity over which the company has significant control;
Sales of £13,038 (2023 - £9,549)
The balance due in relation to these services was £13,038 (2023 - £9,549)
Purchases of £884,875 (2023 - £1,203,261)
The balance due to in relation to these services was £73,304 (2023 - £149,451)
Directors
Premises rent totalling £71,550 (2023 - £67,650) was paid to the directors' SIPPs during the year.
Pension payments into the director's SIPP totalled £2,642 (2023 - £2,642).
20
Ultimate controlling party
During the year under review the ultimate controlling party was its parent company Minter International Limited who owned 51% of the issues share capital.
RUSSELL CAWBERRY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 26 -
21
Cash generated from operations
2024
2023
£
£
Profit for the year after tax
637,487
639,435
Adjustments for:
Taxation charged
224,562
152,468
Finance costs
2,305
Investment income
(90,702)
(7,091)
Depreciation and impairment of tangible fixed assets
28,987
36,005
Movements in working capital:
Decrease in stocks
1,082
Increase in debtors
(1,828,305)
(1,951,327)
Increase in creditors
3,927,800
1,732,764
Cash generated from operations
2,903,216
602,254
22
Analysis of changes in net funds
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
4,507,579
2,686,740
7,194,319
2024-03-312023-04-01falseCCH SoftwareCCH Accounts Production 2024.210Mr P F RyanMr A F DillonMr Antony F DillonMr F J Minterfalsefalse020312332023-04-012024-03-3102031233bus:CompanySecretaryDirector12023-04-012024-03-3102031233bus:Director12023-04-012024-03-3102031233bus:Director22023-04-012024-03-3102031233bus:CompanySecretary12023-04-012024-03-3102031233bus:Director32023-04-012024-03-3102031233bus:RegisteredOffice2023-04-012024-03-31020312332024-03-31020312332022-04-012023-03-3102031233core:RetainedEarningsAccumulatedLosses2022-04-012023-03-3102031233core:RetainedEarningsAccumulatedLosses2023-04-012024-03-31020312332023-03-3102031233core:LandBuildingscore:LeasedAssetsHeldAsLessee2024-03-3102031233core:PlantMachinery2024-03-3102031233core:FurnitureFittings2024-03-3102031233core:MotorVehicles2024-03-3102031233core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-03-3102031233core:PlantMachinery2023-03-3102031233core:FurnitureFittings2023-03-3102031233core:MotorVehicles2023-03-3102031233core:CurrentFinancialInstrumentscore:WithinOneYear2024-03-3102031233core:CurrentFinancialInstrumentscore:WithinOneYear2023-03-3102031233core:CurrentFinancialInstruments2024-03-3102031233core:CurrentFinancialInstruments2023-03-3102031233core:ShareCapital2024-03-3102031233core:ShareCapital2023-03-3102031233core:SharePremium2024-03-3102031233core:SharePremium2023-03-3102031233core:RetainedEarningsAccumulatedLosses2024-03-3102031233core:RetainedEarningsAccumulatedLosses2023-03-3102031233core:ShareCapital2022-03-3102031233core:SharePremium2022-03-3102031233core:RetainedEarningsAccumulatedLosses2022-03-31020312332023-03-31020312332022-03-3102031233core:LandBuildingscore:LongLeaseholdAssets2023-04-012024-03-3102031233core:PlantMachinery2023-04-012024-03-3102031233core:FurnitureFittings2023-04-012024-03-3102031233core:MotorVehicles2023-04-012024-03-310203123312023-04-012024-03-310203123312022-04-012023-03-3102031233core:UKTax2023-04-012024-03-3102031233core:UKTax2022-04-012023-03-3102031233core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-03-3102031233core:PlantMachinery2023-03-3102031233core:FurnitureFittings2023-03-3102031233core:MotorVehicles2023-03-3102031233core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-04-012024-03-3102031233core:WithinOneYear2024-03-3102031233core:WithinOneYear2023-03-3102031233core:BetweenTwoFiveYears2024-03-3102031233core:BetweenTwoFiveYears2023-03-3102031233bus:PrivateLimitedCompanyLtd2023-04-012024-03-3102031233bus:FRS1022023-04-012024-03-3102031233bus:Audited2023-04-012024-03-3102031233bus:FullAccounts2023-04-012024-03-31xbrli:purexbrli:sharesiso4217:GBP