Company registration number 10687229 (England and Wales)
AMALGAMATED HOLDINGS WILKINSON LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
AMALGAMATED HOLDINGS WILKINSON LIMITED
COMPANY INFORMATION
Directors
J C Griffin
L J Wilkinson
Company number
10687229
Registered office
14 Park Row
Nottingham
NG1 6GR
Auditor
UHY Hacker Young
14 Park Row
Nottingham
NG1 6GR
Bankers
Handelsbanken
The Point, Welbeck Rd
West Bridgford
Nottingham
NG2 7QW
AMALGAMATED HOLDINGS WILKINSON LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2 - 3
Independent auditor's report
4 - 7
Statement of comprehensive income
8
Balance sheet
9
Statement of changes in equity
10
Statement of cash flows
11
Notes to the financial statements
12 - 26
AMALGAMATED HOLDINGS WILKINSON LIMITED
STRATEGIC REPORT
FOR THE PERIOD ENDED 30 JUNE 2024
- 1 -

The directors present the strategic report for the period from 16 July 2023 to 30 June 2024.

Review of the business

Amalgamated Holdings Wilkinson Limited (“AHWL”) was created to be the management vehicle for the Wilkinson family to develop and manage a diversified portfolio of business investments. Previously our largest investment was a 99.7% holding of Wilkinson Hardware Stores Limited (WHSL, the holding company for Wilko).  As previously reported the business went into Administration in August 2023.

 

The business plan for AHWL going forward is focused on several areas:

 

 

 

 

Principal risks and uncertainties

Principal risks and uncertainties

 

We mitigate these risks by:

 

On behalf of the board

J C Griffin
Director
11 December 2024
AMALGAMATED HOLDINGS WILKINSON LIMITED
DIRECTORS' REPORT
FOR THE PERIOD ENDED 30 JUNE 2024
- 2 -

The directors present their annual report and financial statements for the period from 15 July 2023 to 30 June 2024.

Principal activities

The principal activity of the company is that of a management company, building and managing a range of investments.

Results and dividends

The results for the period are set out on page 8.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

No preference dividends were paid.

Directors

The directors who held office during the period and up to the date of signature of the financial statements were as follows:

J C Griffin
L J Wilkinson

Consolidated financial statements

As noted in the strategic report the subsidiary Wilkinson Hardware Stores Limited was placed into Administration shortly after the start of the current period. Unfortunately, the Administrators were unable to achieve an outcome where Wilko continued as a going concern.

As discussed in the financial statements for the previous period, the Directors are unable to access the records to complete the Wilko accounts that should be consolidated into these financial statements for that short period.  This is not a conclusion the directors reached lightly and efforts were made to reach a position where consolidated accounts could be prepared and audited.

 

Energy and carbon report

As the company has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

AMALGAMATED HOLDINGS WILKINSON LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 3 -
Statement of directors' responsibilities

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

 

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

 

 

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 of disclosure to auditor

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

On behalf of the board
J C Griffin
Director
11 December 2024
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF AMALGAMATED HOLDINGS WILKINSON LIMITED
- 4 -

Adverse opinion

We have audited the financial statements of Amalgamated Holdings Wilkinson Limited (the 'company') for the period ended 30 June 2024 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, except for the effects of the matter described in the basis for adverse opinion section of our report, the company financial statements:

Basis for adverse opinion

As explained in note 1, our opinion on the company's financial statements is qualified for this matter as the failure to consolidate subsidiaries is a departure from the requirements of FRS 102 and the Companies Act 2006. The company has not prepared consolidated financial statements because it was not reasonably possible to obtain access to the financial information of components following the the administration of Wilkinson Hardware Stores Limited Group in August 2023. The financial statements have therefore been prepared on a company only basis. Had Wilkinson Hardware Stores Limited Group been consolidated, many elements in the accompanying financial statements would have been materially affected, but this has not been determined. This applies to results for both the current and prior period.

 

In addition, the directors' report and strategic report do not consider the effects of the failure to prepare consolidated financial statements.

 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and 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 adverse opinion on the group financial statements and qualified opinion on the company financial statements.

INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF AMALGAMATED HOLDINGS WILKINSON LIMITED (CONTINUED)
- 5 -

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 auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

As described in the basis for adverse opinion section of our report, consolidated financial statements have not been prepared and the investment in Wilkinson Hardware Stores Limited Group is accounted for on a cost basis. We have concluded that the other information is materially misstated for the same reason with respect to the amounts or other items in the annual report affected by the failure to prepare consolidated financial statements.

Opinions on other matters prescribed by the Companies Act 2006

Because of the significance of the matter described in the basis for adverse opinion section of our audit report, in our opinion based on the work undertaken in the course of the audit, the strategic report has not been prepared in accordance with the applicable legal requirements.

 

Notwithstanding our adverse opinion on the financial statements, in our opinion, based on the work undertaken in the course of our audit:

INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF AMALGAMATED HOLDINGS WILKINSON LIMITED (CONTINUED)
- 6 -
Matters on which we are required to report by exception

As a result of the matters described in the basis for adverse opinion section of our report, in the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have identified material misstatements in the strategic report and directors' report. In our opinion:

 

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

Responsibilities of directors

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

Auditor's responsibilities for the audit of the financial statements

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

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

Based on our understanding of the entity and the industry in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the acts by the entity, which were contrary to applicable laws and regulations including fraud, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to overstated unlisted investments and investment properties not being held at fair value.

INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF AMALGAMATED HOLDINGS WILKINSON LIMITED (CONTINUED)
- 7 -

Audit procedures performed included, but were not limited to:

 

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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

Use of our report

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

Andrew Timms
Senior Statutory Auditor
For and on behalf of UHY Hacker Young
16 December 2024
Chartered Accountants
Statutory Auditor
AMALGAMATED HOLDINGS WILKINSON LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 30 JUNE 2024
- 8 -
Period
Period
ended
ended
30 June
15 July
2024
2023
Notes
£
£
Turnover
3
437,652
1,000,504
Cost of sales
(99,163)
(116,467)
Gross profit
338,489
884,037
Administrative expenses
(431,086)
(646,813)
Fair value movement on investment properties
(78,136)
(1,348,000)
Fair value movements on fixed asset investments
921,504
(171,685)
Operating profit/(loss)
4
750,771
(1,282,461)
Income from shares in group undertakings
8
-
0
747,699
Interest receivable and similar income
8
9,273
7,462
Interest payable and similar expenses
9
(218,199)
(275,128)
Profit/(loss) before taxation
541,845
(802,428)
Tax on profit/(loss)
11
(161,718)
208,029
Profit/(loss) for the financial period
380,127
(594,399)
Other comprehensive income
-
-
Total comprehensive income for the period
380,127
(594,399)

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

AMALGAMATED HOLDINGS WILKINSON LIMITED
BALANCE SHEET
AS AT 30 JUNE 2024
30 June 2024
- 9 -
30 June 2024
15 July 2023
Notes
£
£
£
£
Fixed assets
Investment property
12
8,298,226
8,285,708
Investments
13
8,791,831
8,387,376
17,090,057
16,673,084
Current assets
Debtors
15
192,014
216,062
Cash at bank and in hand
636,132
874,334
828,146
1,090,396
Creditors: amounts falling due within one year
16
(1,163,402)
(1,303,675)
Net current liabilities
(335,256)
(213,279)
Total assets less current liabilities
16,754,801
16,459,805
Creditors: amounts falling due after more than one year
17
(4,050,462)
(4,297,311)
Provisions for liabilities
Deferred tax liability
19
(332,667)
(170,949)
(332,667)
(170,949)
Net assets
12,371,672
11,991,545
Capital and reserves
Called up share capital
21
5,145,607
5,145,607
Profit and loss reserves
7,226,065
6,845,938
Total equity
12,371,672
11,991,545
The financial statements were approved by the board of directors and authorised for issue on 11 December 2024 and are signed on its behalf by:
J C Griffin
Director
Company registration number 10687229 (England and Wales)
AMALGAMATED HOLDINGS WILKINSON LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 30 JUNE 2024
- 10 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 30 January 2022
8,145,607
7,440,337
15,585,944
Period ended 15 July 2023:
Loss and total comprehensive income
-
(594,399)
(594,399)
Redemption of shares
21
(3,000,000)
-
0
(3,000,000)
Balance at 15 July 2023
5,145,607
6,845,938
11,991,545
Period ended 30 June 2024:
Profit and total comprehensive income
-
380,127
380,127
Balance at 30 June 2024
5,145,607
7,226,065
12,371,672
AMALGAMATED HOLDINGS WILKINSON LIMITED
STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 30 JUNE 2024
- 11 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
24
(209,106)
1,252,405
Interest paid
(219,439)
(275,128)
Net cash (outflow)/inflow from operating activities
(428,545)
977,277
Investing activities
Investment property additions
(90,654)
(1,114,598)
Purchase of investments
(283,765)
(4,474,897)
Proceeds from disposal of investments
800,813
5,579,287
Interest received
9,273
7,462
Dividends received
-
0
747,699
Net cash generated from investing activities
435,667
744,953
Financing activities
Redemption of shares
-
(3,000,000)
Proceeds from new bank loans
-
1,700,000
Repayment of bank loans
(245,324)
(342,206)
Net cash used in financing activities
(245,324)
(1,642,206)
Net (decrease)/increase in cash and cash equivalents
(238,202)
80,024
Cash and cash equivalents at beginning of period
874,334
794,310
Cash and cash equivalents at end of period
636,132
874,334
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
- 12 -
1
Accounting policies
Company information

Amalgamated Holdings Wilkinson Limited is a private company limited by shares incorporated in England and Wales. The registered office is 14 Park Row, Nottingham, NG1 6GR.

1.1
Reporting period

The reporting period for the company has been changed and the financial statements are presented for a period from 16 July 2023 to 30 June 2024. Comparative amounts presented in the financial statements (including the related notes) are from 30 January 2022 to 15 July 2023.

1.2
Accounting convention

These financial statements show the financial results and position of AHWL company only.

 

As noted in the strategic report, Wilkinson Hardware Stores Limited was placed into Administration on 10 August 2023. Following the Administration, the Directors have been unable to access the records to complete the Wilko consolidated financial statements and as such, have not been able to prepare consolidated financial statements for AHWL.

 

This is not a conclusion the directors reached lightly. Acknowledging their duties to prepare consolidated financial statements under Companies Act 2006, they communicated with Wilko team members, the Administrators and took legal advice to try and reach a position where consolidated financial statements could be prepared and audited, but ultimately concluded it was not possible.

 

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

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

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.3
Going concern

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

1.4
Turnover

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

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 13 -

Revenue comes from two main streams, being rental income and management fees.

 

Rental income is invoiced each month or quarter and recognised uniformly over the length of the lease.

 

Revenue from management fees are those which are recharged to Wilko and other related parties. AHWL undertakes the administrative tasks of processing and paying of these invoices. Costs are recharged on a monthly basis at a mark up and settled within 30 days. The amount recognised within revenue is the mark up with AHWL acting as an agent. There is no revenue recognised in respect of management fees from Wilko in the current year.

1.5
Investment property

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

1.6
Fixed asset investments

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

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

1.7
Cash and cash equivalents

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

1.8
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.

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.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 14 -
Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

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

Classification of financial liabilities

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

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.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 15 -
Derecognition of financial liabilities

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

1.9
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. Preference shares are recognized in accordance with section 22 of FRS 102.A, as the preference shares are irredeemable they are classified as equity.

1.10
Taxation

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

Current tax

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

Deferred tax

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

 

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

1.11
Employee benefits

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

 

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

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 16 -
1.12
Retirement benefits

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

2
Judgements and key sources of estimation uncertainty

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

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Unlisted investments

Unlisted investments have a higher level of risk because of limited available information and an active market compared to listed investments. Unlisted investments are recognised at fair value if the fair value can be measured reliably, otherwise unlisted investments are held at cost less impairment. The directors exercise judgement when conducting impairment reviews of the unlisted investments held.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Investment properties

The key area of estimation uncertainty made by the directors is the valuation of investment property which is held at £8,298,226 at 30 June 2024.

 

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

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Rental income
379,194
493,066
Management fees
58,458
507,438
437,652
1,000,504
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
3
Turnover and other revenue
(Continued)
- 17 -
2024
2023
£
£
Other revenue
Interest income
9,273
7,462
Dividends received
-
747,699

Turnover comprises rental income and management fees arising in the UK.

4
Operating profit/(loss)
2024
2023
Operating profit/(loss) for the period is stated after charging/(crediting):
£
£
Fair value loss- property
78,136
1,348,000
Fair value loss (gain)- investments
(1,205,310)
166,078
Impairment - investments
283,806
5,607
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
19,000
79,500
6
Employees

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

2024
2023
Number
Number
3
4
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
6
Employees
(Continued)
- 18 -

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
193,578
356,539
Social security costs
15,666
40,235
Pension costs
8,129
7,914
217,373
404,688
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
117,866
169,379
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
9,273
7,462
Income from fixed asset investments
Income from shares in group undertakings
-
0
747,699
Total income
9,273
755,161
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
9,273
7,462

The income from shares in group undertakings, in the prior year, relates to dividend income from WHSL for which no income was expected in the current period or future periods.

 

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 19 -
9
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
218,199
275,128
10
Fair value adjustments
2024
2023
£
£
Fair value gains/(losses) on financial instruments
Amounts written back to/(written off) fair value through profit or loss
921,504
(171,685)
Other gains/(losses)
Changes in the fair value of investment properties
(78,136)
(1,348,000)
843,368
(1,519,685)
11
Taxation
2024
2023
£
£
Deferred tax
Origination and reversal of timing differences
161,718
(208,029)

The actual charge/(credit) for the period can be reconciled to the expected charge/(credit) for the period based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit/(loss) before taxation
541,845
(802,428)
Expected tax charge/(credit) based on the standard rate of corporation tax in the UK of 25.00% (2023: 25.00%)
135,461
(200,607)
Tax effect of expenses that are not deductible in determining taxable profit
114,188
-
0
Tax effect of income not taxable in determining taxable profit
(293,981)
-
0
Gains not taxable
219,648
200,607
Deferred tax adjustments in respect of prior years
(13,598)
(208,029)
Taxation charge/(credit) for the period
161,718
(208,029)
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 20 -
12
Investment property
2024
£
Fair value
At 30 January 2022
8,519,110
Additions
1,114,598
Net gains or losses through fair value adjustments
(1,348,000)
At 16 July 2023
8,285,708
Additions
90,654
Net gains or losses through fair value adjustments
(78,136)
At 30 June 2024
8,298,226

The 2024 valuation was made by the directors, on an open market value for existing use basis. All buildings held are freehold. Should these properties have been valued at historic cost; they would be held at £9,724,362 less accumulated depreciation of £657,432.

13
Fixed asset investments
2024
2023
£
£
Listed investments
6,724,487
6,807,119
Unlisted investments
2,067,344
1,580,257
8,791,831
8,387,376

Unlisted investments are held at cost less impairment, where there is considered to be a reliable fair value measure for these investments, they have been revalued by the directors to their fair value. If unlisted investments were held at historic cost, they would be valued at £1,685,415.

 

Unlisted investments relate to shareholdings in unlisted businesses, none of which exceed 20%, with the exception of Reeltime Apps Limited, with a carrying value of £65,007 which represents 30% of the shares. The registered office is at Hacker Young (Nottingham), 14 Park Row, Nottingham, United Kingdom, NGI 6GR, and the capital and reserves in its latest filed accounts as at 31 January 2024 were £67,318 in deficit.

 

Listed Investments are held at market value due to their nature, and valued at quoted market prices that are readily available. If listed investments were held at historic cost, they would be valued at £5,417,552.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
13
Fixed asset investments
(Continued)
- 21 -
Movements in fixed asset investments
Investments
Unlisted Investments
Total
£
£
£
Cost or valuation
At 16 July 2023
6,807,119
1,580,257
8,387,376
Additions
-
283,764
283,764
Valuation changes
718,181
203,323
921,504
Disposals
(800,813)
-
(800,813)
At 30 June 2024
6,724,487
2,067,344
8,791,831
Carrying amount
At 30 June 2024
6,724,487
2,067,344
8,791,831
At 15 July 2023
6,807,119
1,580,257
8,387,376
14
Subsidiaries

Details of the company's subsidiaries at 30 June 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Indirect
AHWL Properties Limited
UK
Dormant
Ordinary shares
-
100.00
AHWL Ventures Limited
UK
Dormant
Ordinary shares
-
100.00
15
Debtors
2024
2023
Amounts falling due within one year:
£
£
Other debtors
157,512
115,585
Prepayments and accrued income
34,502
100,477
192,014
216,062
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 22 -
16
Creditors: amounts falling due within one year
2024
2023
Notes
£
£
Bank loans
18
254,349
252,824
Trade creditors
46,348
15,568
Taxation and social security
1,370
-
0
Other creditors (related parties)
680,626
847,468
Accruals and deferred income
180,709
187,815
1,163,402
1,303,675
17
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Bank loans and overdrafts
18
4,050,462
4,297,311
18
Loans and overdrafts
2024
2023
£
£
Bank loans
4,304,811
4,550,135
Payable within one year
254,349
252,824
Payable after one year
4,050,462
4,297,311

The long-term bank loans are secured by fixed charges over the associated property and are repayable between 2-5 years.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 23 -
19
Deferred taxation

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

Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
103,511
170,949
Tax losses
(194,520)
-
Capital gains/(losses)
423,676
-
332,667
170,949
2024
Movements in the period:
£
Liability at 16 July 2023
170,949
Charge to profit or loss
161,718
Liability at 30 June 2024
332,667

The tax position is to be confirmed.

20
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
8,129
7,914

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

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 24 -
21
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of 0.000001p each
560,704,809,665
560,704,809,665
5,607
5,607
2024
2023
2024
2023
Preference share capital
Number
Number
£
£
Issued and fully paid
Preference of £1 each
5,090,000
5,090,000
5,090,000
5,090,000
AHWL Preference of £1 each
50,000
50,000
50,000
50,000
5,140,000
5,140,000
5,140,000
5,140,000
Preference shares classified as equity
5,140,000
5,140,000
Total equity share capital
5,145,607
5,145,607

Ordinary shares carry 1 voting right each, are not entitled to a fixed dividend and in the event of a return on assets, are entitled to an amount equal to 100% of the subscription price after the distribution of preference shares.

 

Preference shares carry no voting rights, are not entitled to a fixed dividend and in the event of a return on assets, have priority in distribution to an amount equal to 100% of the subscription price.

 

AHWL preference shares carry no voting rights, are not entitled to a fixed dividend and in the event of a return on assets, have priority in distribution to an amount equal to 100% of the subscription price.

22
Operating lease commitments
Lessor

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

2024
2023
£
£
Within one year
366,779
299,123
Between two and five years
1,291,674
1,014,984
In over five years
104,167
223,958
1,762,620
1,538,065
AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 25 -
23
Related party transactions

During the year the company entered into the following transactions with related parties:

 

Amalgamated Holdings Wilkinson Limited is owned by a series of trusts, the transactions with these trusts in the period were as follows.

 

Management fees of £Nil were charged to AHW1 for services rendered in the period, At the balance sheet date a balance of £2,997 was owed to AHW1.

 

Management fees of £848,924 were charged to AHW2 for services rendered in the period. At the balance sheet date £2,313 was owed to AHW2.

 

Management fees of £1,337 were charged to AHW3 for services rendered in the period. At the balance sheet date £200,000 was owed to AHW3.

 

Management fees of £4,292 were charged to AHW4 for services rendered in the period. At the balance sheet date £9,777 was owed to AHW4.

 

Management fees of £Nil were charged to AHW5 for services rendered in the period. At the balance sheet date £2,818 was owed to AHW5.

 

Management fees of £Nil were charged to AHW7 for service rendered in the period, At the balance sheet date £1,674 was owed to AHW7.

 

Management fees of £462 were charged to JKW1 for services rendered in the period. At the balance sheet date £10,212 was owed to JKW1.

 

Management fees of £462 were charged to JKW85 for services rendered in the period.

 

Management fees of £880 were charged to SAW1 for services rendered in the period.

 

Management fees of £880 were charged to SAW3 for services rendered in the period.

 

Management fees of £2,733 were charged to Lisa Wilkinson for service rendered in the period. At the balance sheet date Lisa Wilkinson was owed £9,776. Lisa Wilkinson is a related party by virtue of being a director and ultimate owner of Amalgamated Holdings Wilkinson Limited.

 

Management fees of £53,707 were charged to Tony Wilkinson for services rendered in the period, At the balance sheet date Tony Wilkinson was owed £441,994. Tony Wilkinson is a related party by virtue of his connection to Lisa Wilkinson.

 

Management fees of £4,937 were charged to Wilko Limited for services rendered in the period. As the balance is unpaid, and no longer expected to be paid, the amount has been provided for in full. At the balance sheet date the amount owed after provision was nil. Dividends of nil were received from Wilkinson Hardware Stores Limited.

 

A loan of £69,993 provided to ReelTime Apps in the period, a company which Jonathan Griffin is also a director, is outstanding at the balance sheet date. Cost incurred on their behalf were £759.

AMALGAMATED HOLDINGS WILKINSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
- 26 -
24
Cash (absorbed by)/generated from operations
2024
2023
£
£
Profit/(loss) for the period after tax
380,127
(594,399)
Adjustments for:
Taxation charged/(credited)
161,718
(208,029)
Finance costs
219,440
275,128
Investment income
(9,273)
(755,161)
Fair value loss on investment properties
78,136
1,348,000
Investment valuation changes and impairment
(921,504)
221,353
Movements in working capital:
Decrease in debtors
24,048
164,337
(Decrease)/increase in creditors
(141,798)
801,176
Cash (absorbed by)/generated from operations
(209,106)
1,252,405
2024-06-302023-07-16falsefalsefalseCCH SoftwareCCH Accounts Production 2024.301J C GriffinL J Wilkinson106872292023-07-162024-06-3010687229bus:Director12023-07-162024-06-3010687229bus:Director22023-07-162024-06-3010687229bus:RegisteredOffice2023-07-162024-06-3010687229bus:Agent12023-07-162024-06-30106872292024-06-30106872292022-01-302023-07-151068722912023-07-162024-06-301068722912022-01-302023-07-1510687229core:Exceptional12023-07-162024-06-3010687229core:Exceptional12022-01-302023-07-1510687229core:RetainedEarningsAccumulatedLosses2023-07-162024-06-30106872292023-07-1510687229core:CurrentFinancialInstrumentscore:WithinOneYear2024-06-3010687229core:CurrentFinancialInstrumentscore:WithinOneYear2023-07-1510687229core:Non-currentFinancialInstrumentscore:AfterOneYear2024-06-3010687229core:Non-currentFinancialInstrumentscore:AfterOneYear2023-07-1510687229core:CurrentFinancialInstruments2024-06-3010687229core:CurrentFinancialInstruments2023-07-1510687229core:ShareCapital2024-06-3010687229core:ShareCapital2023-07-1510687229core:RetainedEarningsAccumulatedLosses2024-06-3010687229core:RetainedEarningsAccumulatedLosses2023-07-1510687229core:ShareCapital2022-01-2910687229core:RetainedEarningsAccumulatedLosses2022-01-2910687229core:ShareCapital2022-01-302023-07-1510687229core:RetainedEarningsAccumulatedLosses2022-01-302023-07-15106872292023-07-15106872292022-01-2910687229core:UKTax2023-07-162024-06-3010687229core:UKTax2022-01-302023-07-1510687229core:Non-currentFinancialInstrumentscore:ListedExchangeTraded2024-06-3010687229core:Non-currentFinancialInstrumentscore:ListedExchangeTraded2023-07-1510687229core:Non-currentFinancialInstrumentscore:UnlistedNon-exchangeTraded2024-06-3010687229core:Non-currentFinancialInstrumentscore:UnlistedNon-exchangeTraded2023-07-1510687229core:Non-currentFinancialInstruments2024-06-3010687229core:Non-currentFinancialInstruments2023-07-1510687229core:WithinOneYear2024-06-3010687229core:WithinOneYear2023-07-1510687229core:BetweenTwoFiveYears2024-06-3010687229core:BetweenTwoFiveYears2023-07-1510687229core:MoreThanFiveYears2024-06-3010687229core:MoreThanFiveYears2023-07-1510687229bus:PrivateLimitedCompanyLtd2023-07-162024-06-3010687229bus:FRS1022023-07-162024-06-3010687229bus:Audited2023-07-162024-06-3010687229bus:FullAccounts2023-07-162024-06-30xbrli:purexbrli:sharesiso4217:GBP