Company registration number 00256918 (England and Wales)
ROBERT DEARDS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
ROBERT DEARDS LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 11
ROBERT DEARDS LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2024
31 March 2024
- 1 -
2024
2023
as restated
Notes
£
£
£
£
Fixed assets
Tangible assets
4
1,037,396
1,039,200
Investment property
5
35,880,458
35,184,717
Investments
6
744,945
744,945
37,662,799
36,968,862
Current assets
Debtors
8
22,403
22,871
Cash at bank and in hand
89,239
208,838
111,642
231,709
Creditors: amounts falling due within one year
9
(10,770,477)
(11,324,211)
Net current liabilities
(10,658,835)
(11,092,502)
Total assets less current liabilities
27,003,964
25,876,360
Creditors: amounts falling due after more than one year
10
-
0
(2,172,244)
Provisions for liabilities
(620,342)
(444,868)
Net assets
26,383,622
23,259,248
Capital and reserves
Called up share capital
12
76,690
76,690
Revaluation reserve
13
7,907,304
7,387,037
Other reserves
13
25,000
25,000
Profit and loss reserves
13
18,374,628
15,770,521
Total equity
26,383,622
23,259,248

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The directors of the company have elected not to include a copy of the income statement within the financial statements.true

The financial statements were approved by the board of directors and authorised for issue on 25 October 2024 and are signed on its behalf by:
Nicholas Scarfe BSc (Hons)
Director
Company registration number 00256918 (England and Wales)
ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
1
Accounting policies
Company information

Robert Deards Limited is a private company limited by shares incorporated in England and Wales. The registered office is Plantagenet House, 4 Plantagenet Road, New Barnet, EN5 5JQ.

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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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, modified to include investment properties at fair value. The principal accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.

1.2
Going concern

Notwithstanding net current liabilities of £10,658,835 the financial statements have been prepared on a going concern basis.true

 

Included within liabilities is £4,495,000 due to group companies and £5,850,000 due to a director, who have confirmed that these amounts will not be called in should it impact the Company’s ability to continue as a going concern.

 

The value of investment properties is strong and occupancy remains high with future lease payments due under non-cancellable leases with tenants far exceeding operating costs.

 

The board has reviewed detailed cashflow forecasts for a period of at least 12 months from approval of these financial statements. Taking into account the support from related parties, current economic climate and reasonably possible downsides, the Company will have sufficient funds to meets its liabilities as they fall due. Therefore the directors consider the going concern basis to be appropriate.

1.3
Turnover

Turnover represents rents receivable from tenants and is recognised in the period to which it relates on a straight line basis over the term of the relevant lease.

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:

Freehold land and buildings
Not depreciated
Fixtures, fittings and office equipment
25% per annum

Freehold land and buildings are not depreciated.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 3 -

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.

1.5
Investment property

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss.

1.6
Fixed asset investments

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.7
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

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 for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset 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. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.8
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 4 -
1.9
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.

Impairment of financial assets

Financial assets 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, other creditors and loans from fellow group companies 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.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 5 -
Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.10
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.11
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.

1.12
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.

1.13
Retirement benefits

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

1.14
Leases

All leases where assets are leased to a third party are treated as operating leases. Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 6 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

 

The following judgements and estimates have had the most significant effect on amounts recognised in the financial statements:

 

Classification of leases

Judgements are made as to whether leases entered into the company are operating or finance. These decisions depend on an assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lease on a lease by lease basis. All property leases have been determined as operating leases.

 

Valuation of investment property

The market value of investment property is estimated annually by the directors and is derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset.

3
Employees

The average monthly number of persons employed by the company during the year was:

2024
2023
Number
Number
Total
1
1
ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 7 -
4
Tangible fixed assets
Freehold land and buildings
Fixtures, fittings and office equipment
Total
£
£
£
Cost
At 1 April 2023 and 31 March 2024
1,037,396
53,768
1,091,164
Depreciation and impairment
At 1 April 2023
-
0
51,964
51,964
Depreciation charged in the year
-
0
1,804
1,804
At 31 March 2024
-
0
53,768
53,768
Carrying amount
At 31 March 2024
1,037,396
-
0
1,037,396
At 31 March 2023
1,037,396
1,804
1,039,200
5
Investment property
2024
£
Fair value
At 1 April 2023
35,184,717
Revaluations
695,741
At 31 March 2024
35,880,458

The fair value of the investment property as at 31 March 2024 has been determined by the directors. The valuations have been made by reference to market data on rental yields for similar properties.

All of the Company's investment properties are held for use in operating leases, which produces 100% of the Company's turnover.

The historical cost of investment property is £31,572,572 (2023: £31,572,572).

6
Fixed asset investments
2024
2023
£
£
Shares in group undertakings and participating interests
744,945
744,945
ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 8 -
7
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Deard Services Limited
Plantagenet House, 4 Plantagenet Road, New Barnet, Hertfordshire, United Kingdom, EN5 5JQ
Management and letting of properties
Ordinary
100.00

The investments in subsidiaries are all stated at cost.

8
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
18,467
19,471
Other debtors
3,936
3,400
22,403
22,871
9
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
-
0
113,128
Amounts owed to group undertakings
4,495,000
3,956,528
Corporation tax
26,436
56,100
Other creditors
6,107,029
7,084,631
Accruals and deferred income
142,012
113,824
10,770,477
11,324,211

Amounts owed to group are interest free and repayable on demand.

10
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
-
0
2,172,244
ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
11
Deferred taxation

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

Liabilities
Liabilities
2024
2023
as restated
Balances:
£
£
Accelerated capital allowances
-
423
Investment property
620,342
444,445
620,342
444,868
2024
Movements in the year:
£
Liability at 1 April 2023
444,868
Charge to profit or loss
175,474
Liability at 31 March 2024
620,342
12
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
50,240
50,240
50,240
50,240
A Ordinary of £1 each
26,450
26,450
26,450
26,450
76,690
76,690
76,690
76,690
13
Reserves
Revaluation reserve

The revaluation reserve represents accumulated gains and losses in respect of changes in the valuation of investment property, which is recognised at fair value, and deferred tax thereon. The reserve is not distributable under the Companies Act 2006. The change in fair value and deferred tax thereon is initially recognised in the profit and loss account but then transferred to the revaluation reserve in order to keep a record of non-distributable reserves.

 

During the year a gain of £520,267 (2023: £880,456 as re-stated) was transferred from retained earnings to the revaluation reserve.

Other reserves

The other reserve is a capital redemption reserve, which is non-distributable.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
14
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

Senior Statutory Auditor:
Barry Gostling
Statutory Auditor:
Ensors Accountants LLP
Date of audit report:
29 October 2024
15
Financial commitments, guarantees and contingent liabilities

An unlimited debenture was put in place against the company dated 18 January 2023 incorporating a fixed and floating charge. There are also legal charges over particular investment properties.

16
Operating lease commitments
Lessor

At the reporting end date the company had contracted with tenants for the following minimum lease payments:

2024
2023
£
£
Within one year
1,813,778
1,679,205
Between two and five years
7,101,200
7,421,560
In over five years
18,435,354
19,311,000
27,350,332
28,411,765
17
Related party transactions
Transactions with related parties

The Company has taken exemption within FRS 102 from disclosing transactions with wholly owned group companies.

 

18
Directors' transactions

Included within other creditors is an amount of £5,850,000 (2023: £6,835,000) owed to a director. The amount is repayable on demand and attracts zero interest. During the year £1,255,000 was repaid.

ROBERT DEARDS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
19
Prior period adjustment
Reconciliation of changes in equity
1 April
31 March
2022
2023
£
£
Adjustments to prior year
Investment property valuation
(1,146,575)
989,223
Deferred tax
286,643
(247,306)
Total adjustments
(859,932)
741,917
Equity as previously reported
24,046,926
22,517,331
Equity as adjusted
23,186,994
23,259,248
Analysis of the effect upon equity
Revaluation reserve
(859,932)
741,917
Reconciliation of changes in (loss)/profit for the previous financial period
2023
£
Adjustments to prior year
Investment property valuation
2,135,798
Deferred tax
(533,949)
Total adjustments
1,601,849
Loss as previously reported
(1,429,595)
Profit as adjusted
172,254
Notes to reconciliation
Investment property valuation

Investment property valuations have been re-stated to apply a market yield approach to the specific properties held by the entity, rather than using a blended yield determined across the wider group.

Deferred tax

The deferred tax liability has been re-stated to take into account the changes in investment property valuations.

2024-03-312023-04-01false29 October 2024CCH SoftwareCCH Accounts Production 2024.210No description of principal activityThis audit opinion is unqualifiedNicholas Scarfe BSc (Hons)Behnaz Latifi BA (Hons), FMAATNicholas Scarfe BSc (Hons)falsefalse002569182023-04-012024-03-31002569182024-03-31002569182023-03-3100256918core:LandBuildingscore:OwnedOrFreeholdAssets2024-03-3100256918core:FurnitureFittings2024-03-3100256918core:LandBuildingscore:OwnedOrFreeholdAssets2023-03-3100256918core:FurnitureFittings2023-03-3100256918core:CurrentFinancialInstrumentscore:WithinOneYear2024-03-3100256918core:CurrentFinancialInstrumentscore:WithinOneYear2023-03-3100256918core:Non-currentFinancialInstrumentscore:AfterOneYear2024-03-3100256918core:Non-currentFinancialInstrumentscore:AfterOneYear2023-03-3100256918core:CurrentFinancialInstruments2024-03-3100256918core:CurrentFinancialInstruments2023-03-3100256918core:ShareCapital2024-03-3100256918core:ShareCapital2023-03-3100256918core:RevaluationReserve2024-03-3100256918core:RevaluationReserve2023-03-3100256918core:OtherMiscellaneousReserve2024-03-3100256918core:OtherMiscellaneousReserve2023-03-3100256918core:RetainedEarningsAccumulatedLosses2024-03-3100256918core:RetainedEarningsAccumulatedLosses2023-03-3100256918core:ShareCapitalOrdinaryShares2024-03-3100256918core:ShareCapitalOrdinaryShares2023-03-3100256918bus:CompanySecretaryDirector12023-04-012024-03-3100256918core:LandBuildingscore:OwnedOrFreeholdAssets2023-04-012024-03-3100256918core:FurnitureFittings2023-04-012024-03-31002569182022-04-012023-03-3100256918core:LandBuildingscore:OwnedOrFreeholdAssets2023-03-3100256918core:FurnitureFittings2023-03-31002569182023-03-310025691812023-04-012024-03-3100256918core:WithinOneYear2024-03-3100256918core:WithinOneYear2023-03-3100256918core:Non-currentFinancialInstruments2024-03-3100256918core:Non-currentFinancialInstruments2023-03-3100256918core:DiscontinuedOperations2023-04-012024-03-3100256918core:BetweenTwoFiveYears2024-03-3100256918core:BetweenTwoFiveYears2023-03-3100256918core:MoreThanFiveYears2024-03-3100256918core:MoreThanFiveYears2023-03-3100256918bus:PrivateLimitedCompanyLtd2023-04-012024-03-3100256918bus:SmallCompaniesRegimeForAccounts2023-04-012024-03-3100256918bus:FRS1022023-04-012024-03-3100256918bus:Audited2023-04-012024-03-3100256918bus:Director12023-04-012024-03-3100256918bus:Director22023-04-012024-03-3100256918bus:CompanySecretary12023-04-012024-03-3100256918bus:FullAccounts2023-04-012024-03-31xbrli:purexbrli:sharesiso4217:GBP