REGISTERED NUMBER: 06462732 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements |
for the Period 30 January 2023 to 28 January 2024 |
for |
123 Investments Limited |
REGISTERED NUMBER: 06462732 (England and Wales) |
Group Strategic Report, Report of the Directors and |
Consolidated Financial Statements |
for the Period 30 January 2023 to 28 January 2024 |
for |
123 Investments Limited |
123 Investments Limited (Registered number: 06462732) |
Contents of the Consolidated Financial Statements |
for the Period 30 January 2023 to 28 January 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Statement of Profit or Loss | 9 |
Consolidated Statement of Profit or Loss and Other Comprehensive Income |
10 |
Consolidated Statement of Financial Position | 11 |
Company Statement of Financial Position | 13 |
Consolidated Statement of Changes in Equity | 14 |
Company Statement of Changes in Equity | 15 |
Consolidated Statement of Cash Flows | 16 |
Notes to the Consolidated Statement of Cash Flows |
17 |
Notes to the Consolidated Financial Statements | 18 |
123 Investments Limited |
Company Information |
for the Period 30 January 2023 to 28 January 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
20-22 Bridge End |
Leeds |
LS1 4DJ |
123 Investments Limited (Registered number: 06462732) |
Group Strategic Report |
for the Period 30 January 2023 to 28 January 2024 |
The directors present the strategic report for 123 Investments Ltd for the financial year ending 28 January 2024. This report highlights the significant activities and events that have shaped the group's financial performance and strategic direction during the year. Notably, this year's financial statements have been prepared using IFRS, transitioning from UK GAAP, which will be reflected in the comparative figures and related disclosures. |
Principal Activities: |
The 123 Investments Ltd group continues to operate as a holding company for premium footwear. 123 Investments Ltd.'s ethos emphasises sustainability, quality, and innovative design, delivering value through multiple channels, including retail stores, online platforms, and third-party partnerships. |
REVIEW OF BUSINESS |
Performance Overview: |
The group has delivered a robust performance amidst challenging macroeconomic conditions, achieving a revenue increase of 5.7% to £26.7 million from £25.3 million in 2023. Despite inflationary pressures and increased operational costs, gross profit improved to £14.0 million, reflecting the strength of the brand and its pricing strategy. |
Strategic Developments: |
Key strategic initiatives during the year included: |
- Strengthening online sales through improved marketing strategies, which resulted in a 10% increase in digital conversion rates. |
- Expanding partnerships with third-party platforms such as John Lewis and Next, contributing to a 54% growth in wholesale revenues. |
- A focus on sustainability initiatives, which have been integrated into product development and supply chain processes. |
SIGNIFICANT EVENTS |
Sale of 123 Retail Ltd: |
On 1 July 2024, the group sold its subsidiary, 123 Retail Ltd, a lease-holding entity with negative net assets. The sale resulted in a profit due to the liabilities exceeding the disposed assets. |
This transaction has allowed the group to: |
- Eliminate underperforming leases. |
- Focus on profitable leases, with agreements successfully renegotiated with key landlords for continued operations in strategic locations. |
Post sale, 123 Retail Ltd was placed into liquidation by its new owners. |
Employee Transfers: |
Since 2017, employees serving the group were employed by 123 Employees Ltd, a company outside the group structure. This entity was placed into liquidation post-year-end. Those employees that continue to work within our group were transferred under TUPE regulations to MIP Employees 1975 Ltd, a newly formed company that is part of the group, ensuring continuity and operational stability. |
FINANCIAL PERFORMANCE |
The group reported a profit before tax of £907k compared to £1.57m in 2023, primarily impacted by one-off restructuring costs and higher administrative expenses. Transitioning to IFRS has provided enhanced transparency and alignment with international standards, but this change has introduced additional complexities in financial reporting. |
123 Investments Limited (Registered number: 06462732) |
Group Strategic Report |
for the Period 30 January 2023 to 28 January 2024 |
PRINCIPAL RISKS AND UNCERTAINTIES |
1. Macroeconomic Environment: The retail sector continues to face challenges from inflation and fluctuating consumer confidence. The group mitigates this through prudent cost management and an emphasis on premium product quality. |
2. Lease Management: The sale of 123 Retail Ltd has reduced exposure to unprofitable leases, though the group remains vigilant in managing property costs. |
3. E-commerce and Technology: With growing reliance on online channels, cybersecurity and platform reliability are critical. Ongoing investments in IT infrastructure aims to address these risks. |
4. International Factors: The group remains exposed changes in world events such as shipping challenges and sourcing in countries that may have challenges such as China. We mitigate this risk by continually reviewing countries of origin |
OUTLOOK |
The directors remain highly optimistic about the group's prospects, with plans to: |
- Invest in international market entry by FY26. |
- Further develop the online and third-party sales channels. |
- Focus on sustainable practices to enhance brand equity and meet evolving consumer expectations. |
ON BEHALF OF THE BOARD: |
123 Investments Limited (Registered number: 06462732) |
Report of the Directors |
for the Period 30 January 2023 to 28 January 2024 |
The directors present their report with the financial statements of the company and the group for the period 30 January 2023 to 28 January 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the period under review was that of a holding company for premium footwear. |
DIVIDENDS |
No dividends will be distributed for the period ended 28 January 2024. |
EVENTS SINCE THE END OF THE PERIOD |
Information relating to events since the end of the period is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 30 January 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with UK-adopted international accounting standards. 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
123 Investments Limited (Registered number: 06462732) |
Report of the Directors |
for the Period 30 January 2023 to 28 January 2024 |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
123 Investments Limited |
Opinion |
We have audited the financial statements of 123 Investments Limited (the 'parent company') and its subsidiaries (the 'group') for the period ended 28 January 2024 which comprise the Consolidated Statement of Profit or Loss, the Consolidated Statement of Profit or Loss and Other Comprehensive Income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity, the Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and International Financial Reporting Standards (IFRSs) as adopted by the UK. |
_ |
In our opinion: |
- | the financial statements give a true and fair view of the state of the group's and of the parent company's affairs as at 28 January 2024 and of the group's profit for the period then ended; |
- | the group financial statements have been properly prepared in accordance with IFRSs as adopted by the UK; |
- | the parent company financial statements have been properly prepared in accordance with IFRSs as adopted by the UK and as applied in accordance with the provisions of the Companies Act 2006; and |
- | the financial statements have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 the 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. |
Report of the Independent Auditors to the Members of |
123 Investments Limited |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
123 Investments Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Irregularities that result from fraud are inherently more difficult to detect than irregularities that result from error. We consider that our audit procedures are designed and carried out to give a reasonable expectation that material misstatements resulting from fraud would be discovered. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
20-22 Bridge End |
Leeds |
LS1 4DJ |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Profit or Loss |
for the Period 30 January 2023 to 28 January 2024 |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
Notes | £ | £ |
CONTINUING OPERATIONS |
Revenue | 3 | 26,700,320 | 25,270,279 |
Cost of sales | (12,694,083 | ) | (13,857,372 | ) |
GROSS PROFIT | 14,006,237 | 11,412,907 |
Other operating income | 821,274 | 587,855 |
Distribution costs | (1,379,086 | ) | (1,321,516 | ) |
Administrative expenses | (12,250,368 | ) | (8,933,686 | ) |
OPERATING PROFIT | 1,198,057 | 1,745,560 |
Finance costs | 5 | (291,122 | ) | (175,466 | ) |
PROFIT BEFORE INCOME TAX | 6 | 906,935 | 1,570,094 |
Income tax | 7 | (279,581 | ) | (259,450 | ) |
PROFIT FOR THE PERIOD |
Profit attributable to: |
Owners of the parent | 627,354 | 1,310,644 |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Profit or Loss and Other Comprehensive Income |
for the Period 30 January 2023 to 28 January 2024 |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
PROFIT FOR THE PERIOD | 627,354 | 1,310,644 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
627,354 |
1,310,644 |
Total comprehensive income attributable to: |
Owners of the parent | 627,354 | 1,310,644 |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Financial Position |
28 January 2024 |
28.1.24 | 29.1.23 |
Notes | £ | £ |
ASSETS |
NON-CURRENT ASSETS |
Goodwill | 9 | 45,002 | 60,002 |
Intangible assets | 10 | 67,127 | - |
Property, plant and equipment | 11 | 1,132,075 | 856,271 |
Investments | 12 | - | - |
1,244,204 | 916,273 |
CURRENT ASSETS |
Inventories | 13 | 4,032,473 | 2,439,888 |
Trade and other receivables | 14 | 5,381,622 | 1,617,717 |
Cash and cash equivalents | 15 | 1,635,154 | 236,732 |
Prepayments | 775,896 | 352,463 |
11,825,145 | 4,646,800 |
TOTAL ASSETS | 13,069,349 | 5,563,073 |
EQUITY |
SHAREHOLDERS' EQUITY |
Called up share capital | 16 | 472 | 373 |
Retained earnings | 17 | 1,357,060 | 729,706 |
TOTAL EQUITY | 1,357,532 | 730,079 |
LIABILITIES |
NON-CURRENT LIABILITIES |
Contract liabilities | 3 | 9,848 | 14,119 |
Deferred tax | 20 | 147,975 | 151,112 |
157,823 | 165,231 |
CURRENT LIABILITIES |
Trade and other payables | 18 | 9,366,621 | 3,919,727 |
Contract liabilities | 3 | 4,271 | 4,271 |
Financial liabilities - borrowings |
Interest bearing loans and borrowings |
19 |
1,523,386 |
215,565 |
Tax payable | 659,716 | 528,200 |
11,553,994 | 4,667,763 |
TOTAL LIABILITIES | 11,711,817 | 4,832,994 |
TOTAL EQUITY AND LIABILITIES | 13,069,349 | 5,563,073 |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Financial Position - continued |
28 January 2024 |
The financial statements were approved by the Board of Directors and authorised for issue on 29 January 2025 and were signed on its behalf by: |
S A Buck - Director |
123 Investments Limited (Registered number: 06462732) |
Company Statement of Financial Position |
28 January 2024 |
28.1.24 | 29.1.23 |
Notes | £ | £ |
ASSETS |
NON-CURRENT ASSETS |
Goodwill | 9 |
Intangible assets | 10 |
Property, plant and equipment | 11 |
Investments | 12 | 102 | 102 |
CURRENT ASSETS |
Trade and other receivables | 14 |
Cash and cash equivalents | 15 |
TOTAL ASSETS |
EQUITY |
SHAREHOLDERS' EQUITY |
Called up share capital | 16 |
Retained earnings | 17 | ( |
) | ( |
) |
TOTAL EQUITY | ( |
) | ( |
) |
LIABILITIES |
CURRENT LIABILITIES |
Trade and other payables | 18 |
TOTAL LIABILITIES |
TOTAL EQUITY AND LIABILITIES |
The financial statements were approved by the Board of Directors and authorised for issue on |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Changes in Equity |
for the Period 30 January 2023 to 28 January 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 30 January 2022 | 373 | (580,938 | ) | (580,565 | ) |
Changes in equity |
Total comprehensive income | - | 1,310,644 | 1,310,644 |
Balance at 29 January 2023 | 373 | 729,706 | 730,079 |
Changes in equity |
Issue of share capital | 99 | - | 99 |
Total comprehensive income | - | 627,354 | 627,354 |
Balance at 28 January 2024 | 472 | 1,357,060 | 1,357,532 |
123 Investments Limited (Registered number: 06462732) |
Company Statement of Changes in Equity |
for the Period 30 January 2023 to 28 January 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 30 January 2022 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 29 January 2023 | ( |
) | ( |
) |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 28 January 2024 | ( |
) | ( |
) |
123 Investments Limited (Registered number: 06462732) |
Consolidated Statement of Cash Flows |
for the Period 30 January 2023 to 28 January 2024 |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,320,264 | 654,684 |
Interest paid | (289,240 | ) | (173,584 | ) |
Lease interest paid | (1,882 | ) | (1,882 | ) |
Tax paid | (151,202 | ) | 64,758 |
Net cash from operating activities | 877,940 | 543,976 |
Cash flows from investing activities |
Purchase of intangible fixed assets | (75,864 | ) | - |
Purchase of tangible fixed assets | (711,574 | ) | (691,000 | ) |
Net cash from investing activities | (787,438 | ) | (691,000 | ) |
Cash flows from financing activities |
New loans in year | 1,307,821 | (257,364 | ) |
Share issue | 99 | - |
Net cash from financing activities | 1,307,920 | (257,364 | ) |
Increase/(decrease) in cash and cash equivalents | 1,398,422 | (404,388 | ) |
Cash and cash equivalents at beginning of period |
2 |
236,732 |
641,120 |
Cash and cash equivalents at end of period |
2 |
1,635,154 |
236,732 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Statement of Cash Flows |
for the Period 30 January 2023 to 28 January 2024 |
1. | RECONCILIATION OF PROFIT BEFORE INCOME TAX TO CASH GENERATED FROM OPERATIONS |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Profit before income tax | 906,935 | 1,570,094 |
Depreciation charges | 459,507 | 305,480 |
Finance costs | 291,122 | 175,466 |
1,657,564 | 2,051,040 |
(Increase)/decrease in inventories | (1,592,585 | ) | 129,692 |
Increase in trade and other receivables | (4,187,338 | ) | (96,828 | ) |
Increase/(decrease) in trade and other payables | 5,446,894 | (1,424,949 | ) |
Decrease in contract liabilities | (4,271 | ) | (4,271 | ) |
Cash generated from operations | 1,320,264 | 654,684 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Period ended 28 January 2024 |
28.1.24 | 30.1.23 |
£ | £ |
Cash and cash equivalents | 1,635,154 | 236,732 |
Year ended 29 January 2023 |
29.1.23 | 30.1.22 |
£ | £ |
Cash and cash equivalents | 236,732 | 641,120 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements |
for the Period 30 January 2023 to 28 January 2024 |
1. | STATUTORY INFORMATION |
123 Investments Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparation |
Revenue recognition |
Turnover comprises revenue recognised by the company in respect of goods supplied, exclusive of Value Added Tax. |
Cash and cash equivalents |
Cash represents cash in hand and deposits held on demand with financial institutions. Cash equivalents are short-term, highly-liquid investments with original maturities of three months or less (as at their date of acquisition). Cash equivalents are readily convertible to known amounts of cash and subject to an insignificant risk of change in that cash value. |
In the presentation of the Statement of Cash Flows, cash and cash equivalents also include bank overdrafts. Any such overdrafts are shown within borrowings under ‘current liabilities’ on the Statement of Financial Position. |
Property, plant and equipment |
Leasehold improvements | - | at varying rates on cost |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Inventories |
Inventories are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Current taxes are based on the results shown in the financial statements and are calculated according to local tax rules, using tax rates enacted or substantially enacted by the statement of financial position date. |
Employee benefit costs |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to the income statement in the period to which they relate. |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
3. | REVENUE |
Revenue from contracts with customers |
Turnover arises from: Sales of goods £26,700,320 |
Contract balances |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Contract liabilities |
Current |
Contract liabilities | 4,271 | 4,271 |
Non-current |
Contract liabilities | 9,848 | 14,119 |
14,119 | 18,390 |
4. | EMPLOYEES AND DIRECTORS |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Wages and salaries | 2,652,597 | 4,993,858 |
Social security costs | 206,569 | 396,243 |
Other pension costs | 45,045 | 76,656 |
2,904,211 | 5,466,757 |
The average number of employees during the period was as follows: |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
Production staff | 226 | 196 |
Distribution staff | 21 | 22 |
Administrative staff | 61 | 58 |
Remuneration of the highest paid director in respect of qualifying services: £121,733 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
5. | NET FINANCE COSTS |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Finance costs: |
Bank interest | 10,850 | - |
Other interest payable | 278,390 | 35,706 |
Invoice discounting interest | - | 137,878 |
Hire purchase | 1,882 | 1,882 |
291,122 | 175,466 |
6. | PROFIT BEFORE INCOME TAX |
The profit before income tax is stated after charging/(crediting): |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Cost of inventories recognised as expense | 12,694,083 | 13,857,372 |
Depreciation - owned assets | 435,770 | 290,480 |
Development costs amortisation | 8,737 | - |
Auditors' remuneration | 53,600 | 34,550 |
Foreign exchange differences | (14 | ) | (92 | ) |
7. | INCOME TAX |
Analysis of tax expense |
Period |
30.1.23 |
to | Year Ended |
28.1.24 | 29.1.23 |
£ | £ |
Current tax: |
Tax | 283,683 | 203,578 |
Prior periods adjustments | - | 231 |
Corporation tax refund | (965 | ) | (17,439 | ) |
Total current tax | 282,718 | 186,370 |
Deferred tax | (3,137 | ) | 73,080 |
Total tax expense in consolidated statement of profit or loss | 279,581 | 259,450 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
8. | LOSS OF PARENT COMPANY |
As permitted by Section 408 of the Companies Act 2006, the income statement of the parent company is not presented as part of these financial statements. The parent company's loss for the financial year was £(50,897) (2023 - £(70,083)). |
9. | GOODWILL |
Group |
£ |
COST |
At 30 January 2023 |
and 28 January 2024 | 150,002 |
AMORTISATION |
At 30 January 2023 | 90,000 |
Charge for period | 15,000 |
At 28 January 2024 | 105,000 |
NET BOOK VALUE |
At 28 January 2024 | 45,002 |
At 29 January 2023 | 60,002 |
10. | INTANGIBLE ASSETS |
Group |
Development |
costs |
£ |
COST |
Additions | 75,864 |
At 28 January 2024 | 75,864 |
AMORTISATION |
Amortisation for period | 8,737 |
At 28 January 2024 | 8,737 |
NET BOOK VALUE |
At 28 January 2024 | 67,127 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
11. | PROPERTY, PLANT AND EQUIPMENT |
Group |
Fixtures |
Leasehold | Plant and | and |
improvements | machinery | fittings |
£ | £ | £ |
COST |
At 30 January 2023 | 42,063 | 7,995 | 1,646,544 |
Additions | 1,080 | - | 671,567 |
At 28 January 2024 | 43,143 | 7,995 | 2,318,111 |
DEPRECIATION |
At 30 January 2023 | 31,229 | 7,995 | 873,727 |
Charge for period | 9,952 | - | 387,835 |
At 28 January 2024 | 41,181 | 7,995 | 1,261,562 |
NET BOOK VALUE |
At 28 January 2024 | 1,962 | - | 1,056,549 |
At 29 January 2023 | 10,834 | - | 772,817 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 30 January 2023 | 38,837 | 178,617 | 1,914,056 |
Additions | - | 38,927 | 711,574 |
At 28 January 2024 | 38,837 | 217,544 | 2,625,630 |
DEPRECIATION |
At 30 January 2023 | 32,315 | 112,519 | 1,057,785 |
Charge for period | 6,522 | 31,461 | 435,770 |
At 28 January 2024 | 38,837 | 143,980 | 1,493,555 |
NET BOOK VALUE |
At 28 January 2024 | - | 73,564 | 1,132,075 |
At 29 January 2023 | 6,522 | 66,098 | 856,271 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
12. | INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 30 January 2023 |
and 28 January 2024 | 102 |
NET BOOK VALUE |
At 28 January 2024 | 102 |
At 29 January 2023 | 102 |
13. | INVENTORIES |
Group |
28.1.24 | 29.1.23 |
£ | £ |
Finished goods | 4,032,473 | 2,439,888 |
14. | TRADE AND OTHER RECEIVABLES |
Group | Company |
28.1.24 | 29.1.23 | 28.1.24 | 29.1.23 |
£ | £ | £ | £ |
Current: |
Trade debtors | 1,481,377 | 496,295 |
No description | - | (8,367 | ) | - | - |
Other debtors | 812,523 | 689,691 | 477,943 | 400 |
Amounts due from related cos | 3,087,722 | 440,098 | 20,100 | 1,500 |
5,381,622 | 1,617,717 |
15. | CASH AND CASH EQUIVALENTS |
Group | Company |
28.1.24 | 29.1.23 | 28.1.24 | 29.1.23 |
£ | £ | £ | £ |
Cash in hand | 3,068 | 4,502 |
Bank deposit account | 1,632,086 | 232,230 | 1,169,052 | 2,028 |
1,635,154 | 236,732 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
16. | CALLED UP SHARE CAPITAL |
Issued, called up and fully paid |
Ordinary shares of £1 each: £472 |
17. | RESERVES |
Group |
Retained |
earnings |
£ |
At 30 January 2023 | 729,706 |
Profit for the period | 627,354 |
At 28 January 2024 | 1,357,060 |
Company |
Retained |
earnings |
£ |
At 30 January 2023 | ( |
) |
Deficit for the period | ( |
) |
At 28 January 2024 | ( |
) |
18. | TRADE AND OTHER PAYABLES |
Group | Company |
28.1.24 | 29.1.23 | 28.1.24 | 29.1.23 |
£ | £ | £ | £ |
Current: |
Trade creditors | 5,483,345 | 862,854 |
Amounts owed to group undertakings | - | - |
Social security and other taxes | - | 104,818 |
Other creditors | 1,214,911 | 1,242,620 |
Invoice discounting | 187,354 | 196,859 | - | - |
Accruals and deferred income | 457,166 | 397,336 |
VAT | 2,023,845 | 1,115,240 | 64,548 | 64,653 |
9,366,621 | 3,919,727 |
123 Investments Limited (Registered number: 06462732) |
Notes to the Consolidated Financial Statements - continued |
for the Period 30 January 2023 to 28 January 2024 |
19. | FINANCIAL LIABILITIES - BORROWINGS |
Group |
28.1.24 | 29.1.23 |
£ | £ |
Current: |
Bank loans | 1,523,386 | 215,565 |
Terms and debt repayment schedule |
Group |
1 year or |
less |
£ |
Bank loans | 1,523,386 |
20. | DEFERRED TAX |
The deferred tax account consists of the tax effect of timing differences in respect of: |
Group |
Accelerated capital allowances £147,975 (2023: £151,112) |
21. | RELATED PARTY DISCLOSURES |
During the year management charges totalling £3,414,771 were charged to group companies by 123 Employees Ltd, a company controlled by the director S A Buck. |
During the year management charges totalling £476,705 were charged by group companies to 123 Employees Ltd. |
22. | EVENTS AFTER THE REPORTING PERIOD |
Subsequent to the year end 123 Retail Limited, a company within the group, was placed into liquidation. |