Caseware UK (AP4) 2023.0.135 2023.0.135 2024-05-312024-05-31truetruefalsetrue2023-06-01truetruetruetruetruefalseSale of new and used motor vehicles5649false 00913346 2023-06-01 2024-05-31 00913346 2022-06-01 2023-05-31 00913346 2024-05-31 00913346 2023-05-31 00913346 2022-06-01 00913346 1 2023-06-01 2024-05-31 00913346 1 2022-06-01 2023-05-31 00913346 6 2023-06-01 2024-05-31 00913346 6 2022-06-01 2023-05-31 00913346 d:CompanySecretary1 2023-06-01 2024-05-31 00913346 d:Director1 2023-06-01 2024-05-31 00913346 d:Director2 2023-06-01 2024-05-31 00913346 d:Director3 2023-06-01 2024-05-31 00913346 d:Director4 2023-06-01 2024-05-31 00913346 d:Director6 2023-06-01 2024-05-31 00913346 d:RegisteredOffice 2023-06-01 2024-05-31 00913346 d:Agent1 2023-06-01 2024-05-31 00913346 e:Buildings 2023-06-01 2024-05-31 00913346 e:Buildings 2024-05-31 00913346 e:Buildings 2023-05-31 00913346 e:Buildings e:OwnedOrFreeholdAssets 2023-06-01 2024-05-31 00913346 e:Buildings e:LongLeaseholdAssets 2023-06-01 2024-05-31 00913346 e:Buildings e:LongLeaseholdAssets 2024-05-31 00913346 e:Buildings e:LongLeaseholdAssets 2023-05-31 00913346 e:PlantMachinery 2023-06-01 2024-05-31 00913346 e:PlantMachinery 2024-05-31 00913346 e:PlantMachinery 2023-05-31 00913346 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-06-01 2024-05-31 00913346 e:OwnedOrFreeholdAssets 2023-06-01 2024-05-31 00913346 e:FreeholdInvestmentProperty 2024-05-31 00913346 e:FreeholdInvestmentProperty 2023-05-31 00913346 e:CurrentFinancialInstruments 2024-05-31 00913346 e:CurrentFinancialInstruments 2023-05-31 00913346 e:CurrentFinancialInstruments e:WithinOneYear 2024-05-31 00913346 e:CurrentFinancialInstruments e:WithinOneYear 2023-05-31 00913346 e:ShareCapital 2023-06-01 2024-05-31 00913346 e:ShareCapital 2024-05-31 00913346 e:ShareCapital 2022-06-01 2023-05-31 00913346 e:ShareCapital 2023-05-31 00913346 e:ShareCapital 2022-06-01 00913346 e:CapitalRedemptionReserve 2023-06-01 2024-05-31 00913346 e:CapitalRedemptionReserve 2024-05-31 00913346 e:CapitalRedemptionReserve 2022-06-01 2023-05-31 00913346 e:CapitalRedemptionReserve 2023-05-31 00913346 e:CapitalRedemptionReserve 2022-06-01 00913346 e:RevaluationReserve 2023-06-01 2024-05-31 00913346 e:RevaluationReserve 2024-05-31 00913346 e:RevaluationReserve 2022-06-01 2023-05-31 00913346 e:RevaluationReserve 2023-05-31 00913346 e:RevaluationReserve 2022-06-01 00913346 e:RetainedEarningsAccumulatedLosses 2023-06-01 2024-05-31 00913346 e:RetainedEarningsAccumulatedLosses 2024-05-31 00913346 e:RetainedEarningsAccumulatedLosses 2022-06-01 2023-05-31 00913346 e:RetainedEarningsAccumulatedLosses 2023-05-31 00913346 e:RetainedEarningsAccumulatedLosses 2022-06-01 00913346 d:OrdinaryShareClass1 2023-06-01 2024-05-31 00913346 d:OrdinaryShareClass1 2024-05-31 00913346 d:OrdinaryShareClass1 2023-05-31 00913346 d:FRS102 2023-06-01 2024-05-31 00913346 d:Audited 2023-06-01 2024-05-31 00913346 d:FullAccounts 2023-06-01 2024-05-31 00913346 d:PrivateLimitedCompanyLtd 2023-06-01 2024-05-31 00913346 e:WithinOneYear 2024-05-31 00913346 e:WithinOneYear 2023-05-31 00913346 e:BetweenOneFiveYears 2024-05-31 00913346 e:BetweenOneFiveYears 2023-05-31 00913346 5 2023-06-01 2024-05-31 00913346 7 2023-06-01 2024-05-31 00913346 e:AcceleratedTaxDepreciationDeferredTax 2024-05-31 00913346 e:AcceleratedTaxDepreciationDeferredTax 2023-05-31 00913346 e:TaxLossesCarry-forwardsDeferredTax 2024-05-31 00913346 e:TaxLossesCarry-forwardsDeferredTax 2023-05-31 00913346 e:RetirementBenefitObligationsDeferredTax 2024-05-31 00913346 e:RetirementBenefitObligationsDeferredTax 2023-05-31 00913346 e:OtherDeferredTax 2024-05-31 00913346 e:OtherDeferredTax 2023-05-31 00913346 e:CloseFamilyMembersKeyManagementPersonnel 2023-06-01 2024-05-31 00913346 e:CloseFamilyMembersKeyManagementPersonnel 2024-05-31 00913346 e:CloseFamilyMembersKeyManagementPersonnel 2023-05-31 00913346 f:PoundSterling 2023-06-01 2024-05-31 xbrli:shares iso4217:GBP xbrli:pure

Company Registration Number 00913346























 
CROXDALE SERVICE STATION LIMITED





FINANCIAL STATEMENTS





 31 MAY 2024

























img033e.png

 
CROXDALE SERVICE STATION LIMITED
 

COMPANY INFORMATION


Directors
E N Corner 
K F Corner 
N F H Corner 
D Atkins 
A E Rockingham 




Company secretary
V Halse



Registered number
00913346



Registered office
Scrafton Lodge

Leyburn

North Yorkshire

DL8 4RR




Independent auditors
Armstrong Watson Audit Limited
Chartered Accountants & Statutory Auditors

Number 3

Acorn Business Park

Airedale Business Centre

Skipton

North Yorkshire

BD23 2UE




Bankers
Svenska Handelsbanken AB
Beaumont House

Beaumont Street

Darlington

DL1 5RW





 
CROXDALE SERVICE STATION LIMITED
 

CONTENTS



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 4
Independent Auditors' Report
 
5 - 8
Statement of Comprehensive Income
 
9
Statement of Financial Position
 
10
Statement of Changes in Equity
 
11
Notes to the Financial Statements
 
12 - 25


 
CROXDALE SERVICE STATION LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2024

Introduction
 
The directors have pleasure in presenting their report and the financial statements of the company for the year ended 31 May 2024.

Business review
 
The financial year 2023/2024 has been a period of considerable growth and significant challenges for our business. A marked increase in turnover was observed, primarily driven by the sustained growth in MG sales, additional revenue generated from the Used Car Sales Centre, and price increases across all products and services due to inflation. Citroen's strong performance in both Sales and Aftersales has provided stable support across the entire business, while DS Sales continued to grow in the first half of the year, supported by tactical initiatives to increase dealer engagement by Stellantis.
However, despite the increase in aftersales demand, our capacity constraints limited our ability to capitalise fully on the available revenue. The current workshop infrastructure has reached its maximum throughput, highlighting an urgent need for expansion to support the growing demand across all brands. Combined with inflationary pressures and necessary salary adjustments, our net profit (NP) position has declined in the service department.
The Used Car Centre, despite increasing turnover, ultimately resulted in losses due to an elevated cost base, higher interest rates, and the tying up of investment and cash flow for low gross profit (GP) returns. Consequently, we have made the strategic decision to close this unit and reallocate resources to expand our Aftersales capacity from 10 bays to 29 bays. This expansion is anticipated to drive substantial growth in both turnover and NP in the next financial year.
MG, as a brand, has shown continued growth, although a reduced retail demand for electric vehicles (EVs) has significantly impacted sales and revenue. This trend is expected to persist until market conditions stabilise, likely post-2025, as consumer confidence improves under new government policies. However, with MG completing its third year, we anticipate a strong performance from the brand as it becomes increasingly established across all departments.
Future investment plans are underway to enhance the entire Aftersales operation and strengthen our position as a representative of all Stellantis brands in Durham. These efforts are expected to continue into 2024/2025.
The directors aim to present a balanced and comprehensive review of the development and performance of the business during the year and its position at the year end. The review is consistent with the size and non-complex nature of the business and is written in the context of the risks and uncertainties faced.

Principal risks and uncertainties
 
BEV Vehicle Sales: A major concern is the significant drop in consumer demand for battery electric vehicles (BEVs), from approximately 19% to 8-9% year-on-year. The government’s Zero Emission Vehicle (ZEV) mandate is placing additional pressure on our manufacturer partners, driving aggressive targets and remuneration linked to BEV sales. The uncertain market environment necessitates careful management of resources and costs to navigate these challenges.
Interest Charges: Risen interest rates are significantly impacting our bottom line, particularly concerning inventory stocking costs. Should rates remain high, we may need to reduce stocking levels and accept lower margins to maintain financial stability.
Used Vehicle Market: The used vehicle market remains firm, supported by the reduced availability of 1-5 year-old vehicles post-pandemic. The opportunity for used EV sales is expected to grow as these vehicles become more affordable and desirable for consumers. However, stock shortages pose a risk, potentially squeezing margins over the next 12-18 months as the market adjusts to new norms.

Page 1

 
CROXDALE SERVICE STATION LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024

Financial key performance indicators
 
The key financial performance indicators are those that communicate the financial performance of the company as a whole:-
The turnover of the company has increased significantly on the previous year by £11,999,624 to £48,418,268 due to the factors outlined above, particularly the growth in MG sales and inflation-induced price increases.
Aftersales turnover and revenue are under pressure due to capacity constraints and the rising vehicle parc. Steps have been taken to address these issues, with a focus on growing this area over the next 2-3 years.
The gross margin % has decreased from 3.5% in the previous year to 3.2%. This is due to the GP position being  negatively impacted in vehicle sales, especially in the New & Used EV segments, where prices have faced considerable downward pressure.
Administrative expenses have increased on the previous year from £902,727 to £902,928. These remain under control and below forecasted levels, despite the challenging economic environment.
Staff costs have increased from £1,576,272 to £1,881,862 to support increased living costs, which has not yet translated into additional revenue. Price increases are under review to mitigate this impact.

Other key performance indicators
 
Citroen: Citroen remains robust across all areas, and we expect continued strength with the Stellantis restructuring. New product launches in 2024 and competitive pricing strategies in the EV sector will further support our growth, particularly in Aftersales.
DS Sales: DS has experienced a decline, placing pressure on year-over-year performance. The brand is actively working to address these challenges, and we are optimistic about a turnaround in vehicle sales.
MG Performance: MG, now completing its third year, is becoming increasingly established. Both New and Pre-Owned sales continue to grow, with aftersales revenue also on the rise as the vehicle parc expands.
Closure of Non-Franchise Sales Operation: The closure of the non-franchise sales operation has already led to more profitable trading, improved cash flow, and significantly reduced operating costs. This move allows us to concentrate on growing sales from our supported brands, thereby enhancing Aftersales opportunities and revenue.


This report was approved by the board and signed on its behalf.



N F H Corner
Director

Date: 30 October 2024
Page 2

 
CROXDALE SERVICE STATION LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2024

The directors present their report and the financial statements for the year ended 31 May 2024.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £322,416 (2023 - £66,220).

A dividend has not been recommended.

Directors

The directors who served during the year were:

E N Corner 
K F Corner 
N F H Corner 
D Atkins 
A E Rockingham 

Future developments

Looking ahead, our focus remains on maximising the opportunities within our core brands, expanding our Aftersales capacity, and navigating the challenges posed by the evolving automotive market, particularly in the EV sector. With strategic investments and adjustments, we are confident in our ability to drive sustained growth in both turnover and profitability in the coming years

Matters covered in the Strategic Report

Information is not shown in the director's report because it is shown in the strategic report instead under s414C (11). The strategic report includes a business review, principal risks and uncertainties and financial key performance indicators.

Page 3

 
CROXDALE SERVICE STATION LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

Under section 487(2) of the Companies Act 2006Armstrong Watson Audit Limited will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

This report was approved by the board and signed on its behalf.
 





N F H Corner
Director

Date: 30 October 2024

Page 4

 
CROXDALE SERVICE STATION LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CROXDALE SERVICE STATION LIMITED
 

Opinion


We have audited the financial statements of Croxdale Service Station Limited (the 'Company') for the year ended 31 May 2024, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 May 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.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.


Page 5

 
CROXDALE SERVICE STATION LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CROXDALE SERVICE STATION LIMITED (CONTINUED)


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the 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 directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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.


Page 6

 
CROXDALE SERVICE STATION LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CROXDALE SERVICE STATION LIMITED (CONTINUED)


Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' 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. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

• the engagement partner ensured that the engagement team collectively had the appropriate competence,
capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
• we identified the laws and regulations applicable to the company through discussions with directors and other
management and review of appropriate industry knowledge;
• we assessed the extent of compliance with the laws and regulations identified above through making enquiries
of management; and
• identified laws and regulations were communicated within the audit team regularly and the team remained alert
to instances of non-compliance throughout the audit.
We assessed the susceptibility of the Company’s financial statements to material misstatement, including
obtaining an understanding of how fraud might occur, by:
• making enquiries of management as to where they considered there was susceptibility to fraud, their
knowledge of actual, suspected and alleged fraud; and
• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and
regulations.
To address the risk of fraud through management bias and override of controls, we:
• performed analytical procedures as a risk assessment tool to identify any unusual or unexpected relationships;
• tested journal entries to identify unusual transactions; and tested the operating effectiveness of key controls
over purchase cycles on a sample basis.
• reviewed the application of accounting policies with focus on those with heightened estimation uncertainty.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures
which included, but were not limited to:
• agreeing financial statement disclosures to underlying supporting documentation; and
• enquiring of management as to actual and potential litigation and claims.

Page 7

 
CROXDALE SERVICE STATION LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CROXDALE SERVICE STATION LIMITED (CONTINUED)


Due 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, as with any audit, there remained a higher risk of
nondetection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations,
or the override of internal controls. We are not responsible for preventing fraud or non-compliance with laws.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our 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 Auditors' 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.





Rohan Day (Senior Statutory Auditor)
for and on behalf of
Armstrong Watson Audit Limited
Chartered Accountants
Statutory Auditors
Skipton

30 October 2024
Page 8

 
CROXDALE SERVICE STATION LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MAY 2024

2024
2023
Note
£
£

  

Turnover
 4 
48,418,268
36,418,644

Cost of sales
  
(46,869,822)
(35,140,888)

Gross profit
  
1,548,446
1,277,756

Administrative expenses
  
(902,928)
(902,727)

Operating profit
  
645,518
375,029

Interest payable and similar expenses
 8 
(309,519)
(200,137)

Profit before tax
  
335,999
174,892

Tax on profit
 9 
(13,583)
(108,672)

Profit for the financial year
  
322,416
66,220

There were no recognised gains and losses for 2024 or 2023 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 12 to 25 form part of these financial statements.

Page 9

 
CROXDALE SERVICE STATION LIMITED
REGISTERED NUMBER: 00913346

STATEMENT OF FINANCIAL POSITION
AS AT 31 MAY 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 11 
2,291,628
2,002,853

Investment property
 12 
490,000
490,000

  
2,781,628
2,492,853

Current assets
  

Stocks
 13 
3,188,681
4,492,220

Debtors: amounts falling due within one year
 14 
1,500,137
1,255,839

Cash at bank and in hand
  
557,707
122,494

  
5,246,525
5,870,553

Creditors: amounts falling due within one year
 16 
(6,133,780)
(6,715,032)

Net current liabilities
  
 
 
(887,255)
 
 
(844,479)

Total assets less current liabilities
  
1,894,373
1,648,374

Provisions for liabilities
  

Deferred tax
 17 
(380,545)
(366,962)

  
 
 
(380,545)
 
 
(366,962)

Net assets
  
1,513,828
1,281,412


Capital and reserves
  

Called up share capital 
 18 
4,365
4,365

Revaluation reserve
 19 
1,031,622
1,031,622

Capital redemption reserve
 19 
600
600

Profit and loss account
 19 
477,241
244,825

  
1,513,828
1,281,412


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




N F H Corner
Director

Date: 30 October 2024

The notes on pages 12 to 25 form part of these financial statements.

Page 10

 
CROXDALE SERVICE STATION LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2024


Called up share capital
Capital redemption reserve
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£
£


At 1 June 2022
4,365
600
1,077,636
132,591
1,215,192


Comprehensive income for the year

Profit for the year
-
-
-
66,220
66,220
Total comprehensive income for the year
-
-
-
66,220
66,220

Transfer to/from profit and loss account
-
-
(46,014)
46,014
-



At 1 June 2023
4,365
600
1,031,622
244,825
1,281,412


Comprehensive income for the year

Profit for the year
-
-
-
322,416
322,416
Total comprehensive income for the year
-
-
-
322,416
322,416


Contributions by and distributions to owners

Dividends: Equity capital
-
-
-
(90,000)
(90,000)


At 31 May 2024
4,365
600
1,031,622
477,241
1,513,828


The notes on pages 12 to 25 form part of these financial statements.

Page 11

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

1.


General information

The company is a private company limited by shares, incorporated and domiciled in the United Kingdom. The company's registered office address is Scrafton Lodge, Leyburn, North Yorkshire, DL8 4RR and its trading address is Croxdale Service Station Limited, Croxdale, Durham, DH6 5HS.
The principal activity of the company is the sale of new and used motor vehicles.
These financial statements have been presented in Pound Sterling as this is the currency of the primary economic environment in which the company operates.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 26 Share-based Payment paragraphs 26.18(b), 26.19 to 26.21 and 26.23;
the requirements of Section 33 Related Party Disclosures paragraph 33.7;
the requirement of paragraph 24(b) of IFRS 6 Exploration for and Evaluation of Mineral Resources to disclose the operating and investing cash flows arising from the exploration for and evaluation of mineral resources (when applying this standard in accordance with paragraph 34.11 of FRS 102).

This information is included in the consolidated financial statements of New Equipment Holdings Limited as at 31 May 2024 and these financial statements may be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.

Page 12

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.3

Going concern

The directors believe that the company has adequate resources to continue in operational existence for the foreseeable future. The directors have considered the on-going situation with regard to the cost of living crisis as part of their going concern assessment. The view of the directors is that, while they acknowledge the significant impact that the cost of living crisis has brought and will continue to bring over the coming weeks and months, the directors feel that the company is well placed to negotiate the unique set of conditions currently facing the UK economy. 
The Company currently operates within its banking facilities and terms of credit and the directors are confident of the future operating position of the Company. Post year end, the Company continues to generate significant profits across all segments of the business.
In reaching their conclusion, the directors have considered their cash flow for a period of 12 months from the date of signing the financial statements. The directors are also mindful  of the net current liability position of the balance sheet and are confident that with the continued support of the directors, shareholders, other group companies, bankers and creditors it is appropriate to continue to adopt the going concern basis in preparing the annual financial statements.

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

Page 13

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.5

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, On the following basis.

Depreciation is provided on the following basis:

Freehold property
-
2% on cost
Leasehold property improvements
-
2% on cost
Plant, machinery and motor vehicles
-
7.5% on a reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

  
2.6

Investment property

Investment property is carried at fair value determined annually by directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any differences in nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit and loss.

 
2.7

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.8

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.9

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.
Page 14

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.10

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the 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 trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

 
2.11

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.12

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 15

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.13

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.14

Leased assets: the Company as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

 
2.15

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.16

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the reporting date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the reporting date.

  
2.17

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.18

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

Page 16

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

2.Accounting policies (continued)

 
2.19

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.20

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

 
2.21

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 17

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The preparation of these financial statements requires management to make judgements, estimates and assumptions that effect the application of policies and reported amounts of assets and liabilities, income and expenses.
Judgements and estimates are continually evaluated and are based on historical experiences and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
The company makes estimates and assumptions concerning the future. The resulting accounting estimates will be, by definition, seldom equal to the related actual results.
The directors consider the key accounting estimates to be provision for obsolete stock and valuation of property. 
Provisions for obsolete stock are reviewed by the directors on an ongoing basis who use their specific industry knowledge and experience to ensure the correct judgements.
Freehold and Investment properties are formally valued when relevant with an ongoing review by the directors for material changes to the carrying value.


4.


Turnover

The whole of the turnover is attributable to its principal activity.

All turnover arose within the United Kingdom.


5.


Auditors' remuneration

2024
2023
£
£

Fees payable to the Company's auditor and its associates for the audit of the Company's annual financial statements
22,000
20,750

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.

Page 18

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

6.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
1,760,070
1,474,706

Social security costs
7,853
5,575

Cost of defined contribution scheme
77,054
95,992

1,844,977
1,576,273


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Employees
56
49


7.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
66,000
78,287

Company contributions to defined contribution pension schemes
28,000
39,099

94,000
117,386


During the year retirement benefits were accruing to 1 director (2023 - 1) in respect of defined contribution pension schemes.


8.


Interest payable and similar expenses

2024
2023
£
£


Bank interest payable
8,466
5,334

Other loan interest payable
301,053
194,803

309,519
200,137

Page 19

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

9.


Taxation


2024
2023
£
£



Total current tax
-
-

Deferred tax


Origination and reversal of timing differences
13,583
108,672


Taxation on profit on ordinary activities
13,583
108,672

Factors affecting tax charge for the year

The tax assessed for the year is the same as (2023 - higher than) the standard rate of corporation tax in the UK of 25% (2023 - 19%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
335,998
174,892


Profit on ordinary activities multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 19%)
84,000
33,229

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
-
2,115

Fixed asset differences
7,435
(9,929)

Other timing differences leading to an increase (decrease) in taxation
-
9,804

Changes in provisions leading to an increase (decrease) in the tax charge
-
296

Deferred tax not recognised
9,055
-

Group relief
(86,907)
-

Change in rate of taxation
-
73,157

Total tax charge for the year
13,583
108,672
Page 20

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
 
9.Taxation (continued)


Factors that may affect future tax charges

The company has unrelieved trading losses of approximately £Nil (2023 - £44,000) to carry forward against future trading profits.


10.


Dividends

2024
2023
£
£


Dividends paid
90,000
-

90,000
-


11.


Tangible fixed assets





Freehold property
Leasehold property improvements
Plant, machinery and motor vehicles
Total

£
£
£
£



Cost or valuation


At 1 June 2023
1,345,100
326,375
954,827
2,626,302


Additions
-
121,322
268,400
389,722


Disposals
-
-
(27,879)
(27,879)



At 31 May 2024

1,345,100
447,697
1,195,348
2,988,145



Depreciation


At 1 June 2023
99,388
44,093
479,968
623,449


Charge for the year on owned assets
22,882
6,857
43,329
73,068



At 31 May 2024

122,270
50,950
523,297
696,517



Net book value



At 31 May 2024
1,222,830
396,747
672,051
2,291,628



At 31 May 2023
1,245,712
282,282
474,859
2,002,853

Included in freehold property is freehold land at valuation of £201,000 (2023 - £201,000) which is not depreciated.
The freehold property was valued by the directors, on an open market value for existing use basis who have concluded that the values stated are not materially misstated.

Page 21

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

           11.Tangible fixed assets (continued)

If the land and buildings had not been included at valuation they would have been included under the historical cost convention as follows:

2024
2023
£
£



Cost
814,065
814,065

Accumulated depreciation
(131,592)
(108,710)

Net book value
682,473
705,355


12.


Investment property


Freehold investment property

£



Valuation


At 1 June 2023
490,000



At 31 May 2024
490,000

The investment property was valued by the directors, on an open market value for existing use basis who have concluded that the values stated are not materially misstated







13.


Stocks

2024
2023
£
£

Finished goods and goods for resale
3,188,681
4,492,220

3,188,681
4,492,220


Page 22

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

14.


Debtors

2024
2023
£
£


Trade debtors
1,156,567
827,589

Amounts owed by group undertakings
197,458
212,458

Other debtors
65,050
143,432

Prepayments and accrued income
81,062
72,360

1,500,137
1,255,839



15.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
557,707
122,494

557,707
122,494



16.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
2,948,974
2,807,977

Amounts owed to group undertakings
915,879
936,579

Other taxation and social security
232,016
8,692

Other creditors
1,895,245
2,781,554

Accruals and deferred income
141,666
180,230

6,133,780
6,715,032


The following liabilities were secured:

2024
2023
£
£



Other creditors
1,142,436
2,178,184

1,142,436
2,178,184

Details of security provided:

Other creditors include stock finance which is secured over the relevant vehicles and certain of the company's property. There is also a cross company guarantee in place with Croxdale Fast Fit Limited in respect of this balance.

Page 23

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

17.


Deferred taxation




2024
2023


£

£






At beginning of year
366,962
258,290


Credited to profit or loss
13,583
108,672



At end of year
380,545
366,962

The provision for deferred taxation is made up as follows:

2024
2023
£
£


Accelerated capital allowances
181,116
178,135

Revaluation surplus
201,015
201,014

Tax losses
-
(10,926)

Short term timing differences
(1,586)
(1,261)

380,545
366,962


18.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



4,365 (2023 - 4,365) Ordinary shares of £1.00 each
4,365
4,365



19.


Reserves

Revaluation reserve

This reserve arises on revaluation of both freehold and investment property. Deferred tax is provided on the reserve at the applicable corporation tax rate. This is a non distributable reserve.

Capital redemption reserve

This reserve arises on the repurchase of the share capital of the company from the shareholders and records the nominal value of the shares repurchased. 


20.


Contingent liabilities

The company has a multilateral guarantee with fellow group companies, New Equipment Holdings Limited, Croxdale Fast-Fit Limited and DJH (Group) Limited to secure any bank borrowings with Handelsbanken Plc. At the year the end the outstanding borrowings with Handelsbanken Plc were £2,910,428.

Page 24

 
CROXDALE SERVICE STATION LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024

21.


Pension commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £77,054 (2023 - £56,893). Contributions totalling £6,341 (2023 - £5,040) were payable to the fund at the balance sheet date and are included in creditors.


22.


Commitments under operating leases

At 31 May 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£


Not later than 1 year
68,937
9,224

Later than 1 year and not later than 5 years
239,726
-

308,663
9,224


23.


Related party transactions

Included within creditors, amounts falling due within one year, is a an amount due to the E N & K F  Corner Grandchildren's Settlement of £200,000 (2023 - £200,000). The amount is interest free and repayable on demand.
The company has taken advantage of the exemption contained within Section 33 FRS 102 "Related Party Disclosures" from disclosing transactions with entities which are part of the group, since 100% of the voting rights in the company are controlled within the group and the company is included within the group accounts which are publicly available.


24.


Controlling party

New Equipment Holdings Limited, a company registered in England and Wales, is the ultimate parent undertaking, with the registered office address being Scrafton Lodge, Leyburn, North Yorkshire, DL8 4RR. New Equipment Holdings Limited is under the control of E N Corner and his close family members who are interested in 100% of the issued share capital of New Equipment Holdings Limited.
The financial statements of New Equipment Holdings Limited are available to the public and may be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.


Page 25