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REGISTERED NUMBER: 02638704 (England and Wales)



















STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST MAY 2024

FOR

RIDGEWAY FACADES LTD

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)






CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MAY 2024




Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 5

Income Statement 8

Other Comprehensive Income 9

Balance Sheet 10

Statement of Changes in Equity 11

Notes to the Financial Statements 12


RIDGEWAY FACADES LTD

COMPANY INFORMATION
FOR THE YEAR ENDED 31ST MAY 2024







DIRECTORS: J L Arrowsmith
Mrs C Arrowsmith





SECRETARY: J L Arrowsmith





REGISTERED OFFICE: Unit 4
The Perry Centre
Davy Way
Quedgeley
Gloucestershire
GL2 2AD





REGISTERED NUMBER: 02638704 (England and Wales)





AUDITORS: ESW Limited
Chartered Accountants
& Registered Auditors
162-164 High Street
Rayleigh
Essex
SS6 7BS

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

STRATEGIC REPORT
FOR THE YEAR ENDED 31ST MAY 2024

The directors present their strategic report for the year ended 31st May 2024.

REVIEW OF BUSINESS
The directors are pleased to present our financial results for the year ending 31st May 2024. Despite ongoing economic uncertainty, we continue to make good progress during these more challenging of times. Whilst we remain non-political, we are confident that with a new UK government in place with a commitment towards economic growth, there will be many new and exciting opportunities for us as a business in the coming months and years.

We continue to monitor and update, where necessary, a number of key performance indicators (KPIs) both financial and non-financial. These are reviewed on an ongoing basis to ensure that as a business we are continually managing our performance.

FINANCIAL KPIs INCLUDE -

31st May 2024 31st May 2023

Turnover £16,710,609 £19,360,679
Gross Margin £3,484,593 £2,436,877
Gross Margin (%) 20.85% 12.59%
Net Profit £1,381,584 £591,250
Net Profit (%) 8.27% 3.05%

As is evidenced through trading results, performance in all areas of the business continues to improve and this is directly attributable to the ongoing efforts of our management teams, at all levels, to ensure that as a company we are always striving to be the very best we can be.

Additionally, the company has made significant investment in new plant and equipment over the last year; this will not only improve production efficiencies and capacity, it will also provide new market growth opportunity to compliment existing sales.

PRINCIPAL RISKS AND UNCERTAINTIES
World affairs continue to have a very direct impact upon trade. Our approach in managing external forces has always been to ensure that we are market aware and forward thinking so as to ensure that we are managing our position at all times. We do not consider there to be any significant change to principal risks or uncertainties.

FUTURE PROSPECTS
The directors and senior management team are confident that the with continued investment that has been made in the business both in terms of human resource and plant and machinery, the future opportunities for the business are strong. As a company, our strength is in the determination to be the very best that we can be, and we are very satisfied that this commitment will continue to provide outstanding ongoing opportunity for the company.

ON BEHALF OF THE BOARD:





J L Arrowsmith - Director


7th October 2024

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MAY 2024

The directors present their report with the financial statements of the company for the year ended 31st May 2024.

PRINCIPAL ACTIVITY
The company's primary activity remains focused on providing innovative and prestigious commercial glazing solutions to suit an extensive range of applications.

DIVIDENDS
The total interim dividends of £4,370 per ordinary share were paid during the year ended 31st May 2024. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31st May 2024 will be £437,000.

DIRECTORS
The directors shown below have held office during the whole of the period from 1st June 2023 to the date of this report.

J L Arrowsmith
Mrs C Arrowsmith

FINANCIAL INSTRUMENTS
Financial risk management
The company's operations expose it to a variety of financial risks that include the effect of changes in liquidity risk and interest rate risk. The company has in place a risk management programme that seeks to limit the adverse effects on the financial performance of the group by monitoring levels of debt finance and the related finance costs.

Given the size of the company, the directors have not delegated the responsibility of monitoring financial risk management to a sub-committee of the board. The policies set by the board of directors are implemented by the company's finance department.

Liquidity risk
The company actively maintains a mixture of long-term and short-term debt finance that is designed to ensure the company has sufficient available funds for operations and planned extensions.

Interest rate cash flow risk
The company only has interest bearing liabilities.

Credit risk
The company has implemented policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure to individual customers is subject to a limit, which is reassessed regularly by the board.

Price risk
The company is exposed to commodity price risk as a result of its operations. However, given the size of the company's operations, the costs of managing exposure to commodity price risk exceed any potential benefits. The directors will revisit the appropriateness of this policy should the company's operations change in size or nature.

POLITICAL DONATIONS AND EXPENDITURE
Donations paid during the year amounted to £3,180, none of which related to political organisations.


RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST MAY 2024

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, ESW Limited, will be proposed for appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





J L Arrowsmith - Director


7th October 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
RIDGEWAY FACADES LTD

Opinion
We have audited the financial statements of Ridgeway Facades Ltd (the 'company') for the year ended 31st May 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31st 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 qualified 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 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.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
RIDGEWAY FACADES LTD


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 Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, 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 Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the 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.

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

The company is subject to numerous laws and regulations that could reasonably be expected to have a material effect on the financial statements. From our general commercial experience and discussion with management, we identified the following laws and regulations; environmental regulations, employment laws and regulations, health and safety, employment taxes, financial reporting and distributable profits.

Our audit procedures to address potential fraud and non-compliance with laws and regulations included:

- Enquiry of management regarding compliance with relevant laws and regulations, and any litigation or claims
- Review of legal correspondence and documentation
- Performance of analytical review to identify unexpected account movements and investigation of variances
- Assessment of potential management override by review of journals and unusual accounting entries
- Inspection of third-party supporting documentation
- Identification and review of transactions with related parties
- Review of year end cut-off and after date transactions
- Reconciliation of intercompany balances

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
RIDGEWAY FACADES LTD


Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Stephen Cracknell FCA (Senior Statutory Auditor)
for and on behalf of ESW Limited
Chartered Accountants
& Registered Auditors
162-164 High Street
Rayleigh
Essex
SS6 7BS

7th October 2024

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

INCOME STATEMENT
FOR THE YEAR ENDED 31ST MAY 2024

2024 2023
Notes £    £   

TURNOVER 3 16,710,609 19,360,679

Cost of sales (13,226,016 ) (16,923,802 )
GROSS PROFIT 3,484,593 2,436,877

Administrative expenses (1,994,892 ) (1,766,189 )
OPERATING PROFIT 5 1,489,701 670,688

Interest receivable and similar income 4,622 3,079
1,494,323 673,767

Interest payable and similar expenses 6 (112,739 ) (82,517 )
PROFIT BEFORE TAXATION 1,381,584 591,250

Tax on profit 7 (290,382 ) (75,282 )
PROFIT FOR THE FINANCIAL YEAR 1,091,202 515,968

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31ST MAY 2024

2024 2023
Notes £    £   

PROFIT FOR THE YEAR 1,091,202 515,968


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

1,091,202

515,968

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

BALANCE SHEET
31ST MAY 2024

2024 2023
Notes £    £   
FIXED ASSETS
Tangible assets 9 2,433,844 1,411,216

CURRENT ASSETS
Stocks 10 1,089,407 1,367,653
Debtors 11 3,874,905 3,631,494
Cash at bank 564,296 1
5,528,608 4,999,148
CREDITORS
Amounts falling due within one year 12 (3,369,360 ) (3,438,940 )
NET CURRENT ASSETS 2,159,248 1,560,208
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,593,092

2,971,424

CREDITORS
Amounts falling due after more than one
year

13

(1,695,753

)

(1,039,293

)

PROVISIONS FOR LIABILITIES 17 (579,092 ) (268,086 )
NET ASSETS 2,318,247 1,664,045

CAPITAL AND RESERVES
Called up share capital 18 100 100
Retained earnings 19 2,318,147 1,663,945
SHAREHOLDERS' FUNDS 2,318,247 1,664,045

The financial statements were approved by the Board of Directors and authorised for issue on 7th October 2024 and were signed on its behalf by:





J L Arrowsmith - Director


RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

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

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1st June 2022 100 1,442,977 1,443,077

Changes in equity
Dividends - (295,000 ) (295,000 )
Total comprehensive income - 515,968 515,968
Balance at 31st May 2023 100 1,663,945 1,664,045

Changes in equity
Dividends - (437,000 ) (437,000 )
Total comprehensive income - 1,091,202 1,091,202
Balance at 31st May 2024 100 2,318,147 2,318,247

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

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

1. STATUTORY INFORMATION

Ridgeway Facades Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Financial Reporting Standard 102 - reduced disclosure exemptions
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

- Section 4 'Statement of Financial Position' - Reconciliation of the opening and closing number of shares;

- Section 7 'Statement of Cash Flows' - Presentation of a statement of cash flow and related notes and disclosures;

- Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instrument Issues' - Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

- Section 33 'Related Party Disclosures' - Compensation for key management personnel.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue from manufacturing and installation contracts is recognised by reference to the stage of completion of the contract activity at the end of the reporting period. Revenue is based upon surveys of measured works and materials at the stage of completion of each contract.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Improvements to property - 2% on cost
Plant and machinery - 10% on cost
Fixtures and fittings - 10% on cost
Motor vehicles - 25% on reducing balance
Computer equipment - 20% on cost

Stocks
Consumable stock is valued at the lower of cost and net realisable value, after making due allowances for obsolete and slow moving items.

Work in progress in relation to manufacturing and installation contracts is valued at the cost of materials and other direct costs incurred at the end of the reporting period.

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

2. ACCOUNTING POLICIES - continued

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

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset , with the net amounts presented in the financial statements , when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

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.

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.

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.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company, wholly within the United Kingdom.

4. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 2,425,881 2,224,232
Social security costs 265,540 249,943
Other pension costs 55,110 51,029
2,746,531 2,525,204

The average number of employees during the year was as follows:
2024 2023

Directors 2 2
Direct staff 57 54
Administration 5 5
64 61

2024 2023
£    £   
Directors' remuneration 17,568 17,568

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

5. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2024 2023
£    £   
Depreciation - owned assets 39,834 44,336
Depreciation - assets on hire purchase contracts 210,312 164,283
Profit on disposal of fixed assets (10,337 ) (20,455 )
Auditors' remuneration 18,800 15,000
Auditors' remuneration for non audit work 8,400 8,400

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Bank interest 20,772 21,727
Bank loan interest 21,432 24,095
Taxation surcharges and interest 142 829
Hire purchase 70,393 35,866
112,739 82,517

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax (20,624 ) (188,776 )

Deferred tax 311,006 264,058
Tax on profit 290,382 75,282

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2024 2023
£    £   
Profit before tax 1,381,584 591,250
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2023 - 19%)

345,396

112,338

Effects of:
Expenses not deductible for tax purposes 17,617 11,276
Capital allowances in excess of depreciation (264,958 ) (114,305 )
(Profit)/Loss on disposal of fixed assets (2,584 ) (3,886 )
Research and development tax credits (116,095 ) (194,199 )
Deferred tax 311,006 264,058
Total tax charge 290,382 75,282

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

8. DIVIDENDS
2024 2023
£    £   
Interim 437,000 295,000

9. TANGIBLE FIXED ASSETS
Improvements Fixtures
to Plant and and
property machinery fittings
£    £    £   
COST
At 1st June 2023 191,389 1,026,521 45,254
Additions 26,085 1,133,916 -
Disposals - (197,850 ) -
At 31st May 2024 217,474 1,962,587 45,254
DEPRECIATION
At 1st June 2023 15,365 405,399 42,111
Charge for year 4,349 110,554 902
Eliminated on disposal - (178,097 ) -
At 31st May 2024 19,714 337,856 43,013
NET BOOK VALUE
At 31st May 2024 197,760 1,624,731 2,241
At 31st May 2023 176,024 621,122 3,143

Motor Computer
vehicles equipment Totals
£    £    £   
COST
At 1st June 2023 802,885 112,896 2,178,945
Additions 408,067 9,469 1,577,537
Disposals (414,153 ) - (612,003 )
At 31st May 2024 796,799 122,365 3,144,479
DEPRECIATION
At 1st June 2023 213,977 90,877 767,729
Charge for year 123,207 11,134 250,146
Eliminated on disposal (129,143 ) - (307,240 )
At 31st May 2024 208,041 102,011 710,635
NET BOOK VALUE
At 31st May 2024 588,758 20,354 2,433,844
At 31st May 2023 588,908 22,019 1,411,216

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

9. TANGIBLE FIXED ASSETS - continued

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Plant and Motor
machinery vehicles Totals
£    £    £   
COST
At 1st June 2023 623,925 745,239 1,369,164
Additions 1,015,370 408,067 1,423,437
Disposals - (414,153 ) (414,153 )
Transfer to ownership (41,350 ) - (41,350 )
At 31st May 2024 1,597,945 739,153 2,337,098
DEPRECIATION
At 1st June 2023 68,421 161,925 230,346
Charge for year 88,503 121,809 210,312
Eliminated on disposal - (129,143 ) (129,143 )
Transfer to ownership (13,943 ) - (13,943 )
At 31st May 2024 142,981 154,591 297,572
NET BOOK VALUE
At 31st May 2024 1,454,964 584,562 2,039,526
At 31st May 2023 555,504 583,314 1,138,818

10. STOCKS
2024 2023
£    £   
Stocks 324,395 470,154
Work-in-progress 765,012 897,499
1,089,407 1,367,653

11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 507,174 1,091,568
Amounts owed by group undertakings 61,567 15,975
Other debtors 3,075,406 2,372,162
VAT 168,450 94,320
Prepayments 62,308 57,469
3,874,905 3,631,494

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Bank loans and overdrafts (see note 14) 50,000 141,269
Other loans (see note 14) 66,400 138,357
Hire purchase contracts (see note 15) 429,346 276,783
Trade creditors 2,680,912 2,752,966
Social security and other taxes 85,402 92,549
Other creditors 35,063 21,100
Directors' current accounts 651 916
Accruals and deferred income 21,586 15,000
3,369,360 3,438,940

13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
2024 2023
£    £   
Bank loans (see note 14) 58,333 108,333
Other loans (see note 14) 121,733 172,025
Hire purchase contracts (see note 15) 1,515,687 758,935
1,695,753 1,039,293

14. LOANS

An analysis of the maturity of loans is given below:

2024 2023
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts - 91,269
Bank Loans 50,000 50,000
Other loans 66,400 138,357
116,400 279,626

Amounts falling due between two and five years:
Other loans - 2-5 years 121,733 172,025

Amounts falling due in more than five years:

Repayable by instalments
Bank loans more than 5 years
by instalments 58,333 108,333
58,333 108,333

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

15. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts
2024 2023
£    £   
Net obligations repayable:
Within one year 429,346 276,783
Between one and five years 1,515,687 758,935
1,945,033 1,035,718

Non-cancellable operating leases
2024 2023
£    £   
Within one year 129,000 91,250
Between one and five years 534,500 475,000
In more than five years 324,583 419,583
988,083 985,833

16. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Bank overdraft - 91,269
Bank loans 108,333 158,333
Hire purchase contracts 1,945,033 1,035,718
2,053,366 1,285,320

The bank loan and overdraft facility is secured by a debenture over the whole of the company's assets, and cross guarantees given by all of the group members.

Hire purchase agreements are secured over the asset to which they relate.

17. PROVISIONS FOR LIABILITIES
2024 2023
£    £   
Deferred tax 579,092 268,086

Deferred
tax
£   
Balance at 1st June 2023 268,086
Accelerated capital allowances 311,006
Balance at 31st May 2024 579,092

RIDGEWAY FACADES LTD (REGISTERED NUMBER: 02638704)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST MAY 2024

18. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
100 Ordinary £1 100 100

19. RESERVES
Retained
earnings
£   

At 1st June 2023 1,663,945
Profit for the year 1,091,202
Dividends (437,000 )
At 31st May 2024 2,318,147

20. PARENT COMPANY

The company's immediate and ultimate parent undertaking is Ridgeway Building Envelope Group Limited, a company incorporated in England and Wales which is the smallest and largest group for which consolidated accounts including Ridgeway Facades Limited are prepared. The consolidated accounts of Ridgeway Building Envelope Group Limited are available from its registered office Unit 4 The Perry Centre, Davy Way, Quedgeley, Gloucestershire, GL2 2AD.

21. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to directors subsisted during the years ended 31st May 2024 and 31st May 2023:

2024 2023
£    £   
J L Arrowsmith and Mrs C Arrowsmith
Balance outstanding at start of year (916 ) (37,514 )
Amounts advanced 265 36,598
Amounts repaid - -
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year (651 ) (916 )

22. RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.