The director presents the strategic report and financial statements for the year ended 30 April 2024.
The group's principal activities are as an international supply house providing procurement services to some of the largest energy companies both in the North Sea and across the world. In addition, one of the company's subsidiaries is a golf equipment retailer, providing driving range facilities.
Turnover for the group for the year was £197m (2023: £188m), a 5% year on year increase, with a stabilisation of growth and activity especially in North America compared to prior years. The increase in activity hasn’t been enough to offset the general cost pressures and costs of expanding into new geographic areas which results in an operating profit of £1.7m down from the 2023 operating profit of £2.7m. With the effects of negative exchange rate movements and increase in interest cost driven by the increase in interest rates, the total comprehensive income was £1m (2023: £1.9m). At the year end, the group had net assets of £11.7m (2023: £10.8m), net current assets of £10.6m (2023: £9.6m) and had cash on hand of £7.6m (2023: £5.1m).
The group's strategy is to develop key relationships with large international customers with the goal of becoming a global partner and being the first contact for all of their supplies in our chosen international markets. It is a key focus of management to ensure the service provided is ahead of our competitors and as efficient as possible.
Craig International Limited, a direct subsidiary of Craig Group Limited, has a number of subsidiaries which operate in selected overseas locations. The overseas activities complement the UK business and use the same systems and operating platforms to deliver client service.
Principal risks and uncertainties
Foreign exchange risk
Given the international dynamics of the group, it is exposed to fluctuations in foreign currency exchange rates. Both realised and unrealised gains and losses impact upon the group’s results. From time to time, the group will use appropriate hedging instruments such as forward contracts to mitigate their exposure in this area.
Market and economic risk
The principal risks to the group are the worldwide energy prices and government fiscal policies which directly impacts activity levels of the energy sector as well as other macro economic factors in our markets.
Liquidity risk
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the group uses cash generated from operations and bank finance to provide adequate working capital.
Future developments
The group continues to evaluate other opportunities to expand into new geographical areas with its existing customer base.
The director recognises the group’s growth has stabilised in North America and is now looking to increase activity in other geographical areas having already invested in the initial setup of operations in these areas. By continually driving innovation through the business model, the group continues to improve efficiency in the supply chain adding value to it customers.
As of September 2023, the group had established an Australian company to take advantage of increasing business and opportunities in the Western Australian energy industry.
At the time of approving the financial statements, the director has a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. In making this assessment, the Director has reviewed sensitised trading and cashflow forecasts.
On this basis, the Director continues to adopt the going concern basis in preparing the financial statements.
The key performance indicators the director monitors are turnover, gross margin and operating profit. Turnover for the group for the year was £198m (2023: £188m), the gross margin was 6.6% (2023: 6.8%) and the group's operating profit was £1.7m (2023 profit: £2.7m). In terms of the financial position, the director considers debtors, net current assets and borrowing levels. As at 30 April 2024, the group had debtors of £36.8m (2023: £37.7m), net current assets of £10.6m (2023: £9.6m) and bank finance of £11.4m (2023: £6.4m).
Non-financial KPI's which the group measures are, on time delivery and win/loss ratio of quotes to improve performance and efficiency of its operations.
Section 172(1) Statement
This statement, is intended to show how the director has approached and met their responsibilities under s172 Companies Act 2006 during the period. The statement has been prepared in response to the obligations as set out in the Companies (Miscellaneous Reporting) Regulations 2018.
As required by s172 of the UK Companies Act 2006, a director of a company must act in a way they consider, is in good faith, and would most likely promote the success of the company for the benefit of its shareholders. In doing this, the director must have regard, amongst other matters, to the:
likely consequences of any decisions in the long term;
interests of the group’s employees;
need to foster the group’s business relationships with suppliers, customers and others;
impact of the group’s operations on the community and environment;
group’s reputation for high standards of business conduct; and
need to act fairly as between members of the group.
Effective engagement with key stakeholders is critical to the long-term success of the business. Dialogue with stakeholders assists in identifying the effects of group policies and practices, predicting future developments and trends and realigning strategy.
Shareholder
The Chairman (shareholder) holds monthly meetings with the group's directors and regional managers to discuss operational results, potential opportunities and strategic direction for the business.
Workforce
The group is committed to being a responsible business, maintaining and improving the methods by which employees are involved and can contribute. The group’s approach is to fully discuss any matters that may impact the employee’s interests, through regular staff communications and meetings.
Customers
The group is committed to developing and maintaining strong client relationships for the long term. Management engage with customers on regular basis, to assess activity levels and performance. Management embraces customer feedback regarding service and quality, which is given the highest priority, so enabling the group to provide a better all-round service.
Suppliers
The group is committed to developing and maintaining strong supplier relationships for the long term.
Community and the environment
The group constantly aims to provide added value while supplying goods to customers in a low carbon or carbon neutral way.
On behalf of the board
The director presents his annual report and financial statements for the year ended 30 April 2024.
The results of the group include those from the group's non-trading branch in Oman.
The results for the year are set out on page 12.
No ordinary dividends were paid or declared (2023: £nil). No preference dividends were paid (2023: £nil). The director does not recommend payment of a final dividend.
The director who held office during the year and up to the date of signature of the financial statements was as follows:
The auditor, Johnston Carmichael LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
The group has followed the 2019 HM Government Environmental Reporting Guidelines. The group has also used the GHG Reporting Protocol – Corporate Standard and have used the 2024 UK Government’s Conversion Factors for Company Reporting.
The chosen intensity measurement ratio is total gross emissions in metric tonnes CO2e per customer purchase order (PO).
The group is accredited to ISO14001:2015 standard, the following represents our environmental responsibilities and acts as a framework for our annual objectives and targets.
We place the minimisation of corporate environmental impacts as a recognised and fully understood corporate priority and will endeavour to protect the environment from harm and degradation including the prevention of pollution.
We fully understand the requirements of all the group's compliance obligations which relate to its environmental impacts and seek to meet or exceed the requirements of such applicable compliance obligations.
We promote the adoption of energy efficient methods in undertaking our business activities to reduce energy usage in line with energy policy and environmental objectives.
Fuel Good Driver training is provided to reduce the impact of transport operations by organising vehicle routing to minimise distance travelled and where possible organising direct deliveries from suppliers.
Employees are trained in the adoption and management of the group’s environmental procurement policy with the intent of minimising related environmental impacts when procuring on behalf of clients.
We encourage the development of an environmentally responsible attitude by contractors, suppliers, and customers.
We monitor and reduce the waste generated by the group, promote recycling and reuse or disposal with minimal environmental impact. The group generally recognises the need to prevent pollution in all its undertakings.
We maintain an environmental management system to manage the group’s environmental activities and conduct regular environmental audits to assess compliance and identify areas for continual improvement of the environmental management system to enhance environmental performance.
We adopt an attitude of openness towards staff and other stakeholders, informing them of the group’s environmental policy and recognising any legitimate concerns they may wish to express about the company’s position on environmental matters.
We have audited the financial statements of Craig Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 April 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, 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).
Basis for opinion
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's 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 or 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 director with respect to going concern are described in the relevant sections of this report.
Other information
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the director's report have been prepared in accordance with applicable legal requirements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
We assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations by considering their experience, past performance and support available.
All engagement team members were briefed on relevant identified laws and regulations and potential fraud risks at the planning stage of the audit. Engagement team members were reminded to remain alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
Extent to which the audit was considered capable of detecting irregularities, included fraud (continued)
We obtained an understanding of the legal and regulatory frameworks that are applicable to the group and the parent company and the sector in which they operate, focusing on those provisions that had a direct effect on the determination of material amounts and disclosures in the financial statements. The most relevant frameworks we identified include:
UK Generally Accepted Accounting Practice;
Companies Act 2006;
UK Tax legislation; and
Employment legislation.
We gained an understanding of how the group and the parent company are complying with these laws and regulations by making enquiries of management and those charged with governance. We corroborated these enquiries through our review of relevant correspondence with regulatory bodies and board meeting minutes.
We assessed the susceptibility of the group and parent company's financial statements to material misstatement, including how fraud might occur, by meeting with management and those charged with governance to understand where it was considered there was susceptibility to fraud. This evaluation also considered how management and those charged with governance were remunerated and whether this provided an incentive for fraudulent activity. We considered the overall control environment and how management and those charged with governance oversee the implementation and operation of controls. In areas of the financial statements where the risks were considered to be higher, we performed procedures to address each identified risk. We identified a heightened fraud risk in relation to:
Management override of controls; and
Revenue recognition.
In addition to the above, the following procedures were performed to provide reasonable assurance that the financial statements were free of material fraud or error:
performing audit work procedures confirming the cut-off procedures applied to revenue recognised in the financial statements, including review of source documents to determine whether revenue has been recognised in the correct period;
reviewing minutes of meetings of those charged with governance for reference to: breaches of laws and regulation or for any indication of any potential litigation and claims; and events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud;
reviewing the level of and reasoning behind the group’s procurement of legal and professional services;
performing audit work procedures over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing judgements made by management in their calculation of accounting estimates for potential management bias;
completion of appropriate checklists and use of our experience to assess the group and parent company’s compliance with the Companies Act 2006; and
agreement of the financial statement disclosures to supporting documentation.
Our audit procedures were designed to respond to the risk of material misstatements in the financial statements, recognising that 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 intentional concealment, forgery, collusion, omission or misrepresentation. There are inherent limitations in the audit procedures performed 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 are to become aware of it.
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 parent 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 parent company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
The profit and loss account has been prepared on the basis that all operations are continuing operations.
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the period was £0 (2023 - £0 profit).
Craig Group Limited (“the company”) is a private company limited by shares domiciled and incorporated in Scotland. The registered office is Johnstone House, 52-54 Rose Street, Aberdeen, AB10 1HA. The company's trading address is Craig House, Tern Place, Bridge of Don, Aberdeen, Scotland, AB23 8JX. The company's registered number is SC578050. The principal activities of the company and its subsidiaries (collectively known as "the group") and the nature of the group's operations are set out in the Strategic Report on page 1.
The group consists of Craig Group Limited and all of its subsidiaries.
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 group. Monetary amounts in these financial statements are rounded to the nearest pound sterling.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
FRS 102 reduced disclosure framework - parent company
The parent 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 under FRS 102 (to the extent applicable):
Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash flow and related notes and disclosures;
Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’ – Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income.
The consolidated financial statements incorporate those of Craig Group Limited and all of its subsidiaries (ie entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits).
All financial statements are made up to 30 April 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.
At the time of approving the financial statements, the Director has a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. In making this assessment, the Director has reviewed sensitised trading and cashflow forecasts.
On this basis, the Director continues to adopt the going concern basis in preparing the financial statements.
Turnover represents amounts derived from procurement and the provision of services to third party customers.
Turnover is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on delivery of the goods) or as services are provided.
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 profit and loss account.
No depreciation is charged on freehold property as, in the opinion of the director, the residual value is not materially different to the carrying value.
In the parent company, 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 group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting period end date, the group reviews the carrying amounts of its tangible assets and fixed asset investments 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 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 balance sheet 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, which include certain 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.
Financial assets 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.
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.
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, including certain creditors and bank borrowings, 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.
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
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.
The tax expense represents the sum of the tax currently payable and deferred 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.
Deferred tax is provided in full on timing differences which result in an obligation at the balance sheet date to pay more tax, or right to pay less tax, at a future date, at rates expected to apply when they crystallise based on current tax rates and law. Timing differences arise from inclusion of items of income and expenditure in taxation computations in periods different from those in which they are included in the financial statements. Deferred tax assets are recognised to the extent that it is regarded as more likely than not they will be recovered. Deferred tax assets and liabilities are not discounted.
The group’s liability for tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
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.
The group and certain subsidiaries operate defined contribution pension schemes. The assets of these schemes are held separately in independently administered funds. The amount charged to the profit and loss account represents the contributions payable to the schemes in respect of the accounting period.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation are included in the profit and loss account for the period.
The assets and liabilities of overseas subsidiary undertakings are translated at the closing exchange rates. Profit and loss accounts of such undertakings are consolidated at the average rates of exchange during the period. The average rate is a reasonable approximation of actual daily rates for each transaction. Gains and losses arising on these transactions are taken to the statement of comprehensive expenditure for the period.
In the application of the group’s accounting policies, the director is 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.
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.
Recoverability of intercompany investments and debt is a judgement exercised by management which has a significant effect on the company's balance sheet (see note 13). Management review the valuation of this and assess recoverability on a regular basis.
The director considers that there are no other judgements, estimates or underlying assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities.
The average monthly number of persons (including directors) employed by the group and company during the year was:
Their aggregate remuneration comprised:
There was no director's remuneration in the period.
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:
Details of the company's subsidiaries at 30 April 2024 are as follows:
*Craig International For Trading in Oil Field Equipment LLC and C R A I G International Mechanical & Engineering Equipment Trading LLC are recognised as subsidiaries on the basis that Craig Group Limited controls the entities.
The registered addresses of the above are as follows:
Ghana - Craig House, Tern Place, Bridge of Don, Aberdeen, Scotland, AB23 8JX
Austria - Schottenfeldgasse 85/11 1070 Wein, Austria
Canada - 450, 808 - 4th Avenue S.W., Calgary, Alberta, Canada T2P 3E8
Qatar - 2nd Floor, Khalid Bin Hamad Building, Building no.22, Area no.22, Street no 342, Bin Mahmoud Area, Doha, Qatar
Germany - ABC Business Centre. Obenhauptstrasse 7 , 22335 Hamburg, Germany
USA - 1704 Rankin Road, Suite 190, Houston, Texas, USA, TX 77073
Dubai - Office 110, Apricot Tower, Silicon Oasis, Dubai, United Arab Emirates
Mozambique - Craig House, Tern Place, Bridge of Don, Aberdeen, Scotland, AB23 8JX
UK - 52-54 Rose Street, Aberdeen, Scotland, AB10 1HA
South Africa - Unit 1, Corner 1st and 4th Street, Montague Gardens, 7441 Cape Town, South Africa
Singapore - 8 Wilkie Road, #03-01 Wilkie Edge, Singapore, 228095
Australia - c/o ASCO Australasia, 39 Tomlinson Rd, Welshpool, WA 6106, Australia
Other debtors include £665,818 (2023: £666,977) of deposits under bank guarantees issued by one of the group's subsidiary companies.
Amounts owed by group undertakings are interest free and repayable on demand.
Other creditors includes £119,521 (2023: £468,222) owed to the director.
Included in bank finance is an amount of £5,803,579 (2023 - £6,374,675) which is secured by a floating charge over certain group assets. The remaining amount of £5,586,421 (2023 - £nil) relates to accounts in overdraft within the group's cash pooling arrangement.
Bank loans are secured by a floating charge granted by Grampian Golf & Leisure Associates Limited.
The bank loan of £20,177 is repayable in monthly instalments over a period of 6 years commencing June 2021. The interest rate on the loan is 2.5%.
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.
Contributions totaling £15,870 (2023: £11,187) were payable to the fund at the year end and are included in creditors.
In 2021, £3,800,000 of director's loan balances were converted into preference shares of £1 each.
The ordinary shares have voting rights. Preference shares do not entitle the holders to vote. Preference share holders are entitled to receive notice of all general meetings but shall not be entitled to attend or vote thereat.
No dividend shall be paid or declared in respect of the ordinary shares in any accounting period unless the holders of the preference shares have received a fixed amount of £5,000 in aggregate in respect of the preference shares held by them during that accounting period.
On a return of assets on liquidation, capital reduction or otherwise, the assets of the company remaining after the payment of its liabilities shall be applied as follows:
i) First, in paying to the holders of the preference shares the subscription price per share together with a sum equal to any arrears of the preferred dividend calculated down to the date of the return of capital.
ii) The balance of such assets shall then be distributed amongst the holders of the ordinary shares in proportion to the amounts paid up.
Subject to redemption being permissible under the Companies Act 2006, all of the issued preference shares shall be redeemable at the option of the company.
The merger reserve represents the excess of the nominal value of shares acquired over the nominal value of the shares issued in exchange.
The profit and loss reserve represents cumulative realisable profits and losses of the group less distributions.
The group has taken advantage of the exemptions in section 479A to 479C of the Companies Act 2006, meaning that the Company's subsidiary, Grampian Golf & Leisure Associates Limited, is exempt from audit.
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
The remuneration of key management personnel is as follows.
During the year the group entered into the following transactions with related parties:
The following amounts were outstanding at the reporting end date:
The following amounts were outstanding at the reporting end date:
During the year to 30 April 2024, the director provided total loans to the group of £500,000 (2023:£1,700,000). During the period, £848,701 (2023: £2,501,977) has been repaid to the director. The balance due to the director at the year end was £119,521 (2023: £468,222). The director's loan is interest free and has no fixed repayment terms.