Company registration number 06091822 (England and Wales)
HENGOED HOLDINGS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
HENGOED HOLDINGS LIMITED
COMPANY INFORMATION
Directors
Mr Des Davies
Mr Spencer Davies
Mr Timothy Williams
Mrs N Williams
Secretary
Mr Spencer Davies
Company number
06091822
Registered office
5 New Mill Court
Phoenix Way
Enterprise Park
Swansea
SA7 9FG
Auditor
Harris Bassett Limited
5 New Mill Court
Phoenix Way
Enterprise Park
Swansea
SA7 9FG
Bankers
Barclays Bank
HENGOED HOLDINGS LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Directors' responsibilities statement
5
Independent auditor's report
6 - 8
Income statement
9
Group statement of comprehensive income
10
Group statement of financial position
11
Company statement of financial position
12
Group statement of changes in equity
13
Company statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 31
HENGOED HOLDINGS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2024
- 1 -

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

Review of the business

 

The group operates two residential care homes for the elderly, Hengoed Court and Hengoed Park.

 

Turnover has increased by approximately £1.9m (17.2%) (2023: £1.5m (16.0%)) over the year.

Principal risks and uncertainties

 

The environment is heavily regulated in relation to hospital care and medical procedures. Registration of the care home is overseen by The Care and Social Services Inspectorate Wales (CSSIW), and this body carries out annual arranged inspections and spot checks throughout the year. Any unsatisfactory elements would result in further review of the appropriateness of registration.

 

Furthermore the care home has to conform to regulations specified by:

 

    -The Local Health Board, generally relating to nursing care

    -Social Services depending on the source of funding for residents

    -Environmental Health with regards to catering, kitchens, general cleanliness and

    waste.

 

Registration for the ability to continue to trade as a care home can be withdrawn by the CSSIW if they feel the registration should no longer apply. There is an on-going commitment to competence which is reinforced by the need to conform to requirements of CSSIW when reviewed. However, the homes continue to receive glowing reports from the CSSIW, and should there be any suggestions or orders from the CSSIW regarding improvements etc, these are immediately acted upon. Both Hengoed Court and Hengoed Park have won prestigious awards nationally for the standard of care afforded to residents, and received accolades for the treatment of staff culminating in the Employer of the Year Award.

 

Care homes in Swansea, especially the smaller sub 40 bed homes have suffered over the last few years as a result of pressures owing to the pandemic. However, support from the Welsh Government has helped ease these pressures, along side fee increases substantiated by the high standard of appointment and care afforded to the residents. Rising costs seen across all sectors continue to be experienced, however it is hoped that fixed rates secured on energy costs and loan interest for the next few years, alongside the increased residential fees will enable the company to continue operating profitably.

Development and performance

 

The directors are satisfied with the group's performance and profitability. The business is sound and is highly profitable, and is constantly striving to improve the experiences for residents. The homes are being continually modernised and updated, and facilities continue to be developed. Going forward, Hengoed Court Care Home will be an all nursing environment, whilst Hengoed Park is working towards becoming an all residential environment.

Key performance indicators

 

Key financial highlights are as follows:

Year ended

Year ended

Year ended

 

2024

2023

2022

 

£

£

£

Turnover

12,844,451

10,961,854

9,952,111

Gross profit

4,845,805

3,667,340

3,960,684

Gross profit%

37.7%

33.5%

39.8%

Profit before tax

2,679,373

1,815,182

2,342,060

Net assets

14,172,973

12,304,512

11,248,573

HENGOED HOLDINGS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 2 -
Other performance indicators

The main other performance indicators used by the directors to monitor performance are occupancy levels and the ratio of staff costs to turnover.

On behalf of the board

Mr Des Davies
Director
10 January 2025
HENGOED HOLDINGS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2024
- 3 -

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

Principal activities

The group operates two residential care homes for the elderly.

Results and dividends

The results for the year are set out on page 9.

Ordinary dividends were paid amounting to £250,000. The directors do not recommend payment of a further dividend.

Directors

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

Mr Des Davies
Mr Spencer Davies
Mr Timothy Williams
Mrs N Williams
Financial instruments
Financial instruments

The group's principal financial instruments comprise of bank balances, bank loans, trade creditors and trade debtors. The main purpose of these instruments is to raise funds for the group's operations and expansion.

Due to the nature of the financial instruments used by the group there is no exposure to price risk. The group's approach to managing other risks applicable to the financial instruments concerned is shown below.

Trade debtors are managed by regular monitoring of amounts outstanding.

Trade creditors liquidity risk is managed by ensuring sufficient funds are availalble to meet amounts due.

Liquidity risk
In respect of bank balances the liquidity risk is managed by ensuring that the group does not exceed any restrictions on borrowings imposed by the bank on overdraft facility.
Interest rate risk
The bank loans are managed by ensuring all repayments are met, and the group's profitability ensures that there is a substantial interest cover and affords protection against the risk of future interest rate rises, the main risk facing the group.
Disabled persons

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the group continues and that the appropriate training is arranged. It is the policy of the group that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

HENGOED HOLDINGS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 4 -
Employee involvement

The group's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.

 

Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance.

 

There is no employee share scheme at present, but the directors are considering the introduction of such a scheme as a means of further encouraging the involvement of employees in the company's performance.

Future developments

Demand from potential residents is strong and is borne out by the extremely high occupancy levels and the fact that there is often a waiting list for beds. However, with the substantial cuts in the public sector there can can be long delays in the approval of funding. In addition the sourcing of staff is often difficult with agency staff often having to fill short term requirements and consequently putting pressure on profit margins.

 

Auditor

The auditors, Harris Bassett Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.

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 auditor of the company 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 auditor of the company is aware of that information.

On behalf of the board
Mr Des Davies
Director
10 January 2025
HENGOED HOLDINGS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MAY 2024
- 5 -

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 group and company, and of the profit or loss of the group 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 group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

HENGOED HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF HENGOED HOLDINGS LIMITED
- 6 -
Opinion

We have audited the financial statements of Hengoed Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2024 which comprise the group income statement, the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group's and parent 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.

 

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 our audit:

HENGOED HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HENGOED HOLDINGS LIMITED
- 7 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and their 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:

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 parent 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 parent 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.

 

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

 

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in revenue recognition. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

 

We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and local tax legislation.

HENGOED HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HENGOED HOLDINGS LIMITED
- 8 -

Audit response to risks identified

Our procedures to respond to risks identified included the following:

 

We also communicated relevant laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or noncompliance with laws and regulations throughout the audit.

 

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.

Nicholas Bassett (Senior Statutory Auditor)
For and on behalf of Harris Bassett Limited
10 January 2025
Chartered Accountants
Statutory Auditor
5 New Mill Court
Phoenix Way
Enterprise Park
Swansea
SA7 9FG
HENGOED HOLDINGS LIMITED
GROUP INCOME STATEMENT
FOR THE YEAR ENDED 31 MAY 2024
- 9 -
2024
2023
Notes
£
£
Revenue
3
12,844,451
10,961,854
Cost of sales
(7,998,646)
(7,294,514)
Gross profit
4,845,805
3,667,340
Administrative expenses
(2,023,764)
(1,685,698)
Operating profit
4
2,822,041
1,981,642
Investment income
7
34,164
2,246
Finance costs
8
(176,832)
(168,706)
Profit before taxation
2,679,373
1,815,182
Tax on profit
9
(671,656)
(445,188)
Profit for the financial year
25
2,007,717
1,369,994
Profit for the financial year is all attributable to the owners of the parent company.

The income statement has been prepared on the basis that all operations are continuing operations.

HENGOED HOLDINGS LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MAY 2024
- 10 -
2024
2023
£
£
Profit for the year
2,007,717
1,369,994
Other comprehensive income
Tax relating to other comprehensive income
110,744
(64,055)
Total comprehensive income for the year
2,118,461
1,305,939
Total comprehensive income for the year is all attributable to the owners of the parent company.
HENGOED HOLDINGS LIMITED
GROUP STATEMENT OF FINANCIAL POSITION
AS AT 31 MAY 2024
31 May 2024
- 11 -
2024
2023
Notes
£
£
£
£
Non-current assets
Goodwill
11
141,325
141,325
Property, plant and equipment
12
14,580,272
14,523,269
14,721,597
14,664,594
Current assets
Inventories
15
5,000
5,000
Trade and other receivables
16
5,875,321
4,851,130
Cash and cash equivalents
3,216,045
380,830
9,096,366
5,236,960
Current liabilities
17
(3,770,654)
(1,645,952)
Net current assets
5,325,712
3,591,008
Total assets less current liabilities
20,047,309
18,255,602
Non-current liabilities
18
(4,955,796)
(4,914,794)
Provisions for liabilities
Deferred tax liability
21
918,540
1,036,296
(918,540)
(1,036,296)
Net assets
14,172,973
12,304,512
Equity
Called up share capital
23
5
5
Revaluation reserve
24
4,419,527
4,308,783
Retained earnings
25
9,753,441
7,995,724
Total equity
14,172,973
12,304,512
The financial statements were approved by the board of directors and authorised for issue on 10 January 2025 and are signed on its behalf by:
10 January 2025
Mr Des Davies
Director
Company registration number 06091822 (England and Wales)
HENGOED HOLDINGS LIMITED
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 MAY 2024
31 May 2024
- 12 -
2024
2023
Notes
£
£
£
£
Non-current assets
Investments
13
3
3
Current assets
Trade and other receivables
16
3,013,096
2,703,096
Cash and cash equivalents
2,539,819
361
5,552,915
2,703,457
Current liabilities
17
(5,372,563)
(2,548,593)
Net current assets
180,352
154,864
Net assets
180,355
154,867
Equity
Called up share capital
23
5
5
Retained earnings
25
180,350
154,862
Total equity
180,355
154,867

As permitted by s408 Companies Act 2006, the company has not presented its own income statement and related notes. The company’s profit for the year was £275,489 (2023 - £267,172 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 10 January 2025 and are signed on its behalf by:
10 January 2025
Mr Des Davies
Director
Company registration number 06091822 (England and Wales)
HENGOED HOLDINGS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2024
- 13 -
Share capital
Revaluation reserve
Retained earnings
Total
Notes
£
£
£
£
Balance at 1 June 2022
5
4,372,838
6,875,730
11,248,573
Year ended 31 May 2023:
Profit for the year
-
-
1,369,994
1,369,994
Other comprehensive income:
Tax relating to other comprehensive income
-
(64,055)
-
0
(64,055)
Total comprehensive income
-
(64,055)
1,369,994
1,305,939
Dividends
10
-
-
(250,000)
(250,000)
Balance at 31 May 2023
5
4,308,783
7,995,724
12,304,512
Year ended 31 May 2024:
Profit for the year
-
-
2,007,717
2,007,717
Other comprehensive income:
Tax relating to other comprehensive income
-
110,744
-
0
110,744
Total comprehensive income
-
110,744
2,007,717
2,118,461
Dividends
10
-
-
(250,000)
(250,000)
Balance at 31 May 2024
5
4,419,527
9,753,441
14,172,973
HENGOED HOLDINGS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2024
- 14 -
Share capital
Retained earnings
Total
Notes
£
£
£
Balance at 1 June 2022
5
137,690
137,695
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
267,172
267,172
Dividends
10
-
(250,000)
(250,000)
Balance at 31 May 2023
5
154,862
154,867
Year ended 31 May 2024:
Profit and total comprehensive income
-
275,488
275,488
Dividends
10
-
(250,000)
(250,000)
Balance at 31 May 2024
5
180,350
180,355
HENGOED HOLDINGS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MAY 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
27
3,164,300
(1,520,161)
Interest paid
(176,832)
(168,706)
Income taxes paid
(553,049)
(408,829)
Net cash inflow/(outflow) from operating activities
2,434,419
(2,097,696)
Investing activities
Purchase of property, plant and equipment
(501,721)
(662,660)
Proceeds from other investments and loans
103,908
280,067
Interest received
34,164
2,246
Net cash used in investing activities
(363,649)
(380,347)
Financing activities
Repayment of bank loans
1,010,000
(391,185)
Payment of finance leases obligations
4,445
24,868
Dividends paid to equity shareholders
(250,000)
(250,000)
Net cash generated from/(used in) financing activities
764,445
(616,317)
Net increase/(decrease) in cash and cash equivalents
2,835,215
(3,094,360)
Cash and cash equivalents at beginning of year
380,830
3,475,190
Cash and cash equivalents at end of year
3,216,045
380,830
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2024
- 16 -
1
Accounting policies
Company information

Hengoed Holdings Ltd (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 5 New Mill Court, Phoenix Way, Enterprise Park, Swansea, SA7 9FG.

 

The group consists of Hengoed Holdings Ltd and all of its subsidiaries.

1.1
Accounting convention

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

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

The financial statements have been prepared under the historical cost convention, [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.

The 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 for parent company information presented within the consolidated financial statements:

 

1.2
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Hengoed Holdings Ltd together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 May 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

1.3
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group 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.

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 17 -
1.4
Revenue

Turnover, which excludes value added tax, represents amounts receivable for goods and services, excluding discounts and rebates.

Revenue is recognised when it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.5
Intangible fixed assets - goodwill

Goodwill arising on consolidation represents the excess of the cost of acquisition over the group’s interest in the fair value of the identifiable assets and liabilities and contingent liabilities of a subsidiary, associate or jointly-controlled entity at the date of acquisition

1.6
Property, plant and equipment

Property, plant and equipment are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings Freehold
2% per annum
Plant and machinery
20% per annum
Fixtures, fittings & equipment
15% per annum
Computer equipment
33.3% per annum
Motor vehicles
25% per annum

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the income statement.

1.7
Non-current investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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

1.8
Impairment of non-current assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 18 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

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

1.9
Inventories

Inventories are stated at the lower of cost and net realisable value.

1.10
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.

1.11
Financial instruments

The group 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 group's statement of financial position when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and 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 and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

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

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 19 -
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 group 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 group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, 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 payables 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 20 -
Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.12
Equity instruments

Equity instruments issued by the group 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 group.

1.13
Taxation

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

Current tax

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

Deferred tax

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

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is 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.

1.14
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 non-current 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.

1.15
Retirement benefits

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

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
1
Accounting policies
(Continued)
- 21 -
1.16
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the statement of financial position as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

2
Judgements and Key Estimates
In the application of the group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Revenue

An analysis of the group's revenue is as follows:

2024
2023
£
£
Revenue analysed by class of business
Residential fees
12,833,951
10,506,169
Other income
10,500
455,685
12,844,451
10,961,854
2024
2023
£
£
Other revenue
Interest income
34,164
2,246
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging:
Depreciation of owned property, plant and equipment
444,718
420,695
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 22 -
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 group and company
4,345
4,140
Audit of the financial statements of the company's subsidiaries
18,600
17,680
22,945
21,820
6
Employees

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

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Staff
328
287
-
-
Management
4
4
4
4
Total
332
291
4
4

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
6,299,096
5,523,989
-
0
-
0
Social security costs
474,626
417,920
-
-
Pension costs
108,432
93,997
-
0
-
0
6,882,154
6,035,906
-
0
-
0
7
Investment income
2024
2023
£
£
Interest income
Interest on bank deposits
34,164
-
0
Other interest income
-
2,246
Total income
34,164
2,246
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 23 -
8
Finance costs
2024
2023
£
£
Interest on bank overdrafts and loans
174,937
168,586
Interest on finance leases and hire purchase contracts
1,895
120
Total finance costs
176,832
168,706
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
730,373
417,424
Adjustments in respect of prior periods
(51,705)
(64,125)
Total current tax
678,668
353,299
Deferred tax
Origination and reversal of timing differences
(7,012)
91,889
Total tax charge
671,656
445,188

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
2,679,373
1,815,182
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 25.00%)
669,843
453,796
Tax effect of expenses that are not deductible in determining taxable profit
1,304
1,505
Adjustments in respect of prior years
(51,705)
-
0
Effect of change in corporation tax rate
-
(62,293)
Permanent capital allowances in excess of depreciation
(51,516)
(80,760)
Depreciation on assets not qualifying for tax allowances
111,179
105,176
Under/(over) provided in prior years
-
0
(64,125)
Deferred tax adjustments in respect of prior years
(7,012)
91,889
Tax at marginal rate
(437)
-
0
Taxation charge
671,656
445,188
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
9
Taxation
(Continued)
- 24 -

In addition to the amount charged to the income statement, the following amounts relating to tax have been recognised directly in other comprehensive income:

2024
2023
£
£
Deferred tax arising on:
Revaluation of property
(110,744)
64,055
10
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Final paid
250,000
250,000
11
Intangible fixed assets
Group
Goodwill
£
Cost
At 1 June 2023 and 31 May 2024
141,325
Amortisation and impairment
At 1 June 2023 and 31 May 2024
-
0
Carrying amount
At 31 May 2024
141,325
At 31 May 2023
141,325
The company had no intangible fixed assets at 31 May 2024 or 31 May 2023.

The value of goodwill represents the surplus of net assets in the company's subsidiaries arising on consolidation.

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 25 -
12
Property, plant and equipment
Group
Land and buildings Freehold
Plant and machinery
Fixtures, fittings & equipment
Computer equipment
Motor vehicles
Total
£
£
£
£
£
£
Cost or valuation
At 1 June 2023
17,420,895
366,256
1,989,267
106,108
73,014
19,955,540
Additions
442,978
31,869
10,074
2,400
14,400
501,721
At 31 May 2024
17,863,873
398,125
1,999,341
108,508
87,414
20,457,261
Depreciation and impairment
At 1 June 2023
3,183,795
215,773
1,899,200
86,489
47,014
5,432,271
Depreciation charged in the year
352,590
47,362
26,585
9,581
8,600
444,718
At 31 May 2024
3,536,385
263,135
1,925,785
96,070
55,614
5,876,989
Carrying amount
At 31 May 2024
14,327,488
134,990
73,556
12,438
31,800
14,580,272
At 31 May 2023
14,237,100
150,483
90,067
19,619
26,000
14,523,269
The company had no property, plant and equipment at 31 May 2024 or 31 May 2023.

The freehold land and buildings at Hengoed Court Care Home were valued at £7,700,000 on an open market basis by Christie & Co, a firm of independent Chartered Surveyors in November 2012, which is considered by the directors to be a reflection of the open market value at the year end.

 

The following assets are carried at valuation. If the assets were measured using the cost model, the carrying amounts would be as follows:

The revaluation surplus is disclosed in note 24.

2024
2023
£
£
Group
Cost
5,399,177
4,956,200
Accumulated depreciation
(1,293,744)
(1,190,190)
Carrying value
4,105,433
3,766,010
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 26 -
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
3
3
Movements in non-current investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 June 2023 and 31 May 2024
3
Carrying amount
At 31 May 2024
3
At 31 May 2023
3
14
Subsidiaries

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

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Hengoed Court Care Home Limited
England & Wales
Care home operator
Ordinary
100.00
Hengoed Court Limited
England & Wales
Dormant
Ordinary
100.00
Hengoed Park (Swansea) Limited
England & Wales
Care home operator
Ordinary
100.00
The aggregate capital and reserves and the result for the year of the subsidiaries noted above was as follows:
Name of undertaking
Capital and Reserves
Profit/(Loss)
£
£
Hengoed Court Care Home Limited
7,144,704
521,480
Hengoed Court Limited
1
-
0
Hengoed Park (Swansea) Limited
6,706,592
1,460,750

The registered office of the subsidiaries is 5 New Mill Court, Phoenix Way, Enterprise Park, Swansea SA7 9FG.

15
Inventories
Group
Company
2024
2023
2024
2023
£
£
£
£
Finished goods and goods for resale
5,000
5,000
-
0
-
0
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 27 -
16
Trade and other receivables
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade receivables
440,067
598,577
-
0
-
0
Other receivables
5,378,676
4,196,200
3,013,096
2,703,096
Prepayments and accrued income
56,578
56,353
-
0
-
0
5,875,321
4,851,130
3,013,096
2,703,096
17
Current liabilities
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans
19
1,425,293
463,431
1,010,000
-
0
Obligations under finance leases
20
22,686
11,105
-
0
-
0
Payments received on account
489,790
92,048
-
0
-
0
Trade payables
266,362
215,555
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
3,639,092
2,320,413
Amounts owed to undertakings in which the group has a participating interest
-
0
-
0
715,557
224,015
Corporation tax payable
418,415
292,796
7,914
4,165
Other taxation and social security
148,803
90,250
-
-
Other payables
798,108
199,394
-
0
-
0
Accruals and deferred income
201,197
281,373
-
0
-
0
3,770,654
1,645,952
5,372,563
2,548,593

Amounts owed to group undertakings are unsecured, interest-free and repayable on demand.

18
Non-current liabilities
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
19
4,944,127
4,895,989
-
0
-
0
Obligations under finance leases
20
11,669
18,805
-
0
-
0
4,955,796
4,914,794
-
-
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 28 -
19
Borrowings
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
6,369,420
5,359,420
1,010,000
-
0
Payable within one year
1,425,293
463,431
1,010,000
-
0
Payable after one year
4,944,127
4,895,989
-
0
-
0

The long-term loans are secured by a Composite Accounting Agreement dated 18 November 2014 comprising a cross guarantee and debenture between Hengoed Holdings Limited, Hengoed Court Care Home Limited and Hengoed Park (Swansea) Limited, an unlimited guarantee given by the companies and fixed charges over the properties known as Hengoed Court Care Home and Hengoed Park Care Home.

The long term loans are repayable by monthly instalments over a period of 5 years at a margin of 2.0% above LIBOR and Barclays Bank Plc base rate.

20
Finance lease obligations
Group
Company
2024
2023
2024
2023
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
22,686
11,105
-
0
-
0
In two to five years
11,669
18,805
-
0
-
0
34,355
29,910
-
-

Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 1 year. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

21
Deferred taxation

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
352,557
359,569
Revaluations
565,983
676,727
918,540
1,036,296
The company has no deferred tax assets or liabilities.
HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
21
Deferred taxation
(Continued)
- 29 -
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 June 2023
1,036,296
-
Credit to profit or loss
(7,012)
-
Credit to other comprehensive income
(110,744)
-
Liability at 31 May 2024
918,540
-

The deferred tax liability relating to accelerated capital allowances set out above is expected to reverse within the medium term. The deferred tax liability relating to revaluations is not expected to reverse.

 

 

 

 

22
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
108,432
93,997

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

 

 

23
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
4
4
4
4
A ordinary shares of £1 each
1
1
1
1
5
5
5
5

The A Ordinary shares carry the right to receive notice of and attend at general meetings of the Company but no right to vote and the right to receive a dividend and to be considered separately by the directors of the company in deciding whether a dividend should be paid. The A Ordinary shares carry no right of redemption and no right to a return of capital on liquidation.

 

 

 

 

 

 

 

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 30 -
24
Revaluation reserve
Group
Company
2024
2023
2024
2023
£
£
£
£
At beginning of year
4,308,783
4,372,838
-
0
-
Deferred tax on revaluation of property, plant and equipment
110,744
(64,055)
-
-
At end of year
4,419,527
4,308,783
-
0
-
25
Retained earnings
Group
Company
2024
2023
2024
2023
£
£
£
£
At the beginning of the year
7,995,724
6,875,730
154,862
137,690
Profit for the year
2,007,717
1,369,994
275,488
267,172
Dividends
(250,000)
(250,000)
(250,000)
(250,000)
At the end of the year
9,753,441
7,995,724
180,350
154,862

 

 

 

26
Related party transactions

Group

 

At the year end, a debtor of £5,314,046 (2023: £3,291,500) was owed by Hengoed Davies to the group. There are no fixed terms for the repayment of the amounts outstanding, all are repayable on demand and are interest-free.

At the year end a debtor of £3,234 (2023: £2,796) was owed by Cefn Hengoed Park to the group. There are no fixed terms for the repayment of the amounts outstanding, all are repayable on demand and are interest-free.

At the year end, a creditor of £73,167 (2023: £73,957) was owed to Inkwall from the group. There are no fixed terms for the repayment of the amounts outstanding, all are repayable on demand and are interest-free.

 

Company

 

At the year end, a debtor of £3,013,094 (2023: £2,709,094) was owed by Hengoed Davies to the company. There are no fixed terms for the repayment of the amounts outstanding, all are repayable on demand and are interest-free.

 

HENGOED HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2024
- 31 -
27
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
2,007,717
1,369,994
Adjustments for:
Taxation charged
671,656
445,188
Finance costs
176,832
168,706
Investment income
(34,164)
(2,246)
Depreciation and impairment of property, plant and equipment
444,718
420,695
Movements in working capital:
(Increase) in trade and other receivables
(1,128,099)
(3,472,523)
Increase/(decrease) in trade and other payables
1,025,640
(449,976)
Cash generated from/(absorbed by) operations
3,164,300
(1,520,162)
28
Analysis of changes in net debt - group
1 June 2023
Cash flows
31 May 2024
£
£
£
Cash at bank and in hand
380,830
2,835,215
3,216,045
Borrowings excluding overdrafts
(5,359,420)
(1,010,000)
(6,369,420)
Obligations under finance leases
(29,910)
(4,445)
(34,355)
(5,008,500)
1,820,770
(3,187,730)
2024-05-312023-06-01falseCCH SoftwareCCH Accounts Production 2024.100Mr Des DaviesMr Timothy WilliamsMrs N WilliamsMrs N WilliamsMr Spencer 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