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Registered number: 11051546










STM GROUP HOLDINGS LTD










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 AUGUST 2024

 
STM GROUP HOLDINGS LTD
 
 
COMPANY INFORMATION


Director
Mr P B Simpson 




Registered number
11051546



Registered office
Solar House
1st Floor

Romford Road

London

E15 4LJ




Independent auditors
MHA
Statutory Auditors

2 London Wall Place

London

EC2Y 5AU




Bankers
HSBC Bank Plc
59-61 The Mall

London

E15 1XF





 
STM GROUP HOLDINGS LTD
 

CONTENTS



Page
Group Strategic Report
 
1 - 2
Director's Report
 
3 - 5
Independent Auditors' Report
 
6 - 9
Consolidated Statement of Comprehensive Income
 
10
Consolidated Balance Sheet
 
11
Company Balance Sheet
 
12
Consolidated Statement of Changes in Equity
 
13
Company Statement of Changes in Equity
 
14
Consolidated Statement of Cash Flows
 
15 - 16
Consolidated Analysis of Net Debt
 
17
Notes to the Financial Statements
 
18 - 35


 
STM GROUP HOLDINGS LTD
 
 
GROUP STRATEGIC REPORT
FOR THE PERIOD ENDED 31 AUGUST 2024

Introduction
 
The Director presents his Report and Financial Statements for the 7 month period ended 31 August 2024 with the comparable amounts relating to the 12 month period ended 31 January 2024.

Business review
 
The 7-month reporting period is as a direct result of the previous year business integration needs, which resulted in a pre-tax loss, primarily emanating from Company payroll process changes. The last 7 months have seen a period of strategic consolidation for STM Group (UK) Ltd, with the positive impact of continuously improving financial disciplines having been applied, together with a healthy Pipeline of new business opportunities, thus ensuring effective optimum business control and maximum profitability. 
The Company now has a stable platform upon which to grow both revenue and profits, with a review of organisational commercial processes enabling greater visibility on anticipated new business financial contribution. This has enabled improved planning and forecasting, with resultant ongoing structural reviews and prudent financial management, enabling the introduction of efficiencies to reduce overhead costs.
I am very confident that STM is in a strong trading position, with good operating and net margins, together with effective cash management, with anticipated healthy profits emphasised in future results. The STM Group (UK) Ltd Board of Directors are pleased that those actions taken, as a direct result of the strategic review, have had a positive impact on both performance and organisation reputation (critical for future growth). 

Principal risks and uncertainties
 
It is also pleasing to report that the 10% increase to the National Minimum Wage (effective April 2024) has, in the main, been accepted by customers as exceptional an cost, without any adverse impact on contract margins. Further increases to National and Real Living Wages costs (as well as a material rise in Employers National Insurance contributions) in April 2025, will similarly need to be factored into contract negotiations.
An increased level of customer focus on Sustainability and Carbon Reduction has become evident, with the Company needing to regularly demonstrate its commitment to these requirements
Financial risk
Due to the nature of the industry in which the Company operates, there are various financial risks to which the organisation may be exposed, including credit risk, liquidity risk, and interest risk.
Credit risk
The Company offers credit terms to its customers which enable payment after delivery of the supply of goods and services. Strong ongoing customer relationships helps reduce the level of exposure to credit risk.
Liquitity risk
The Company also seeks to ensure sufficient liquidity is available to meet day-to-day operational and future potential development needs, in the form of invoice financing arrangements used to provide short-term debt flexibility.
Interest risk
The Company keeps interest rate exposure under review to ensure this is factored into any business decisions.

Page 1

 
STM GROUP HOLDINGS LTD
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 AUGUST 2024

Financial key performance indicators
 
During the current reporting (7 month) period, the Group made a pre-tax profit of £717,430 which reflects an encouraging improvement on the previous year pre-tax loss of £455,546 This is a result of improved business management, combined with a focus on delivering the 5 Year Business Plan. Despite the challenging times, the business has continued to invest in people and infrastructure, whilst demonstrating admirable control over key costs. The Balance Sheet has also improved, with not only increased profit for the year but also, equally importantly, the effective management of both debt and liquidity. These improvements are, clearly, evident when compared to previous financial years.

Other key performance indicators
 
The group's other key performance indicator is considered to be its net assets position. This is as follows for the last two periods:
   
31 August 2024 31 January 2024
Net liabilities    
 £655,548  £1,077,901


This report was approved by the board and signed on its behalf.



................................................
Mr P B Simpson
Director

Date: 12 February 2025

Page 2

 
STM GROUP HOLDINGS LTD
 
 
 
DIRECTOR'S REPORT
FOR THE PERIOD ENDED 31 AUGUST 2024

The director presents his report and the financial statements for the period 1 February 2024 to 31 August 2024.

Principal activity

The principal activity of the Company is that of a holding company. The principal activity of the Group is security services.

Director's responsibilities statement

The director is responsible for preparing the Group Strategic Report, the Director's Report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is 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 director is required to:


select suitable accounting policies for the Group's financial statements and then apply them consistently;

make judgments 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 Group will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group and to enable him to ensure that the financial statements comply with the Companies Act 2006He is 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.

Results and dividends

The profit for the period, after taxation, amounted to £422,353 (year ended 31 January 2024 - loss £458,808).

No dividends have been paid in the period (year ended 31 January 2024: £Nil).

Director

The director who served during the period was:

Mr P B Simpson 

Future developments

The group is looking to grow each year. The Director considers that the company is well positioned to keep the ongoing uncertainty of the economic climate following Brexit minimal.
The group oppertes in a highly competitive market and profit margins are constantly squeezed. The Director is therefore conscious that costs and overheads are constantly monitored to maintain a level of profitability within the group. The Director expects the way forward for growth is by building on current relationships and efficiency.

Page 3

 
STM GROUP HOLDINGS LTD
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 AUGUST 2024

Engagement with employees

The group is an Equal Opportunities and Diversity Aware employer, committed to promoting equality, diversity and inclusion amongst its workforce, whilst eliminating discrimination. Through its Support, Trust, Manage Vision, STM treats all employees as 'internal customers'. The STM aim is to create an inclusive environment and culture, with a diverse workforce that is representative of all sections of society, where everyone has the opportunity to fully contribute, and achieve, individual, full potential.
It is STM's policy to treat all employees (and job applicants) fairly and equally, regardless of individual sex, sexual orientation, gender re-assignment, marriage or civil partnership, pregnancy or maternity, race, colour, creed, nationality, ethnic or national origin, marital status, religion or belief, age, disability, or union membership status.
STM's policy is to recruit disabled workers for those vacancies that they are able to fill. All neccessary assistance with initial training courses is given. Once employed, a career plan is developed so as to ensure suitable opportunities for each disabled person. Arrangements are made, wherever possible, for retraining employees who become disabled, to enable them to perform work identified as appropriate for their aptitudes and abilities.
STM, consequently, commits to ensuring every employee is given equal opportunity in every aspect of their working role, with individual differences (and similarities) not only being embraced, but also where individual employee contribution is recognised, celebrated and valued. All STM employees will be given the necessary support and encouragement to develop individual ability and utilise unique talent.
This policy to all aspects of employment, recruitment and related Terms & Conditions of Employment, including pay and benefits, training, appraisals, career development, conduct at work, disciplinary and grievance procedures, termination of employment and all other aspects of employment.

Qualifying third party indemnity provisions

Director's liability and indemnity insurance was in force throughout the period to cover the directors and officers of the company against actions brought against them in their personal capacities. Cover is not provided where the individual has acted fraudulently or dishonestly.

Disclosure of information to auditors

The director at the time when this Director's report is approved has confirmed that:
 
so far as he is aware, there is no relevant audit information of which the Company's auditors are unaware, and
he has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information

Post balance sheet events

There have been no significant events affecting the Group since the year end.

Page 4

 
STM GROUP HOLDINGS LTD
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 AUGUST 2024


Auditors

Under section 487(2) of the Companies Act 2006MHA will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

This report was approved by the board and signed on its behalf.
 





................................................
Mr P B Simpson
Director

Date: 12 February 2025

Page 5

 
STM GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF STM GROUP HOLDINGS LTD
 

Opinion


We have audited the financial statements of STM Group Holdings Ltd (the 'parent Company') and its subsidiaries (the 'Group') for the period 1 February 2024 to 31 August 2024, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated and Company Balance Sheets, the Consolidated Statement of Cash Flows, the Consolidated and Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 August 2024 and of the Group's profit for the period then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for 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 United Kingdom, including the Financial Reporting Council'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 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 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 director with respect to going concern are described in the relevant sections of this report.


Page 6

 
STM GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF STM GROUP HOLDINGS LTD (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and  our Auditors' Report thereon.  The director is 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.


Opinion 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 Director's Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the Group Strategic Report and the Director's Report 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 Director's 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:


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 director's 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 Director's Responsibilities Statement set out on page 3, the director is 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 director determines 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 director is 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 director either intends to liquidate the Group or the parent Company or to cease operations, or have no realistic alternative but to do so.


Page 7

 
STM GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF STM GROUP HOLDINGS LTD (CONTINUED)


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 an Auditors' 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 Group financial statements.


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:

• Obtaining an understanding of the legal and regulatory frameworks that the company operates in;
• Reviewing key correspondence with regulatory authorities;
• Testing for evidence of management override;
• Enquiry of management to identify any instances of non-compliance with laws and regulations;
• Enquiry of management around actual and potential litigation and claims;
• Enquiry of management to identify any instances of known or suspected instances of fraud;
• Discussing among the engagement team regarding how and where fraud might occur.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instance of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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


Page 8

 
STM GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF STM GROUP HOLDINGS LTD (CONTINUED)


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 2006Our 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 Auditors' 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.





Atul Kariya  FCCA (Senior Statutory Auditor)
for and on behalf of MHA
Statutory Auditor
London

12 February 2025
MHA is the trading name of MacIntrye Hudson LLP, a limited liability partnership in England and Wales
(registered number OC312313).
Page 9

 
STM GROUP HOLDINGS LTD
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 AUGUST 2024

7 month period to
31 August
31 January
2024
2024
Note
£
£

  

Turnover
 4 
24,213,395
32,167,701

Cost of sales
  
(19,480,416)
(27,374,768)

Gross profit
  
4,732,979
4,792,933

Administrative expenses
  
(3,434,401)
(5,211,171)

Exceptional administrative expenses
 11 
(586,191)
(37,341)

Operating profit/(loss)
 5 
712,387
(455,579)

Interest receivable and similar income
 8 
7,391
7,211

Interest payable and similar expenses
 9 
(2,348)
(7,178)

Profit/(loss) before taxation
  
717,430
(455,546)

Tax on profit/(loss)
 10 
(295,077)
(3,262)

Profit/(loss) for the financial period
  
422,353
(458,808)

Profit/(loss) for the period attributable to:
  

Owners of the parent Company
  
422,353
(458,808)

  
422,353
(458,808)

There was no other comprehensive income for 2024 (31 Jan 2024:£NIL).

The notes on pages 18 to 35 form part of these financial statements.

Page 10

 
STM GROUP HOLDINGS LTD
REGISTERED NUMBER: 11051546

CONSOLIDATED BALANCE SHEET
AS AT 31 AUGUST 2024

31 August
31 January
2024
2024
Note
£
£

Fixed assets
  

Intangible assets
 12 
525,289
614,971

Tangible assets
 13 
321,802
285,402

  
847,091
900,373

Current assets
  

Debtors: amounts falling due within one year
 15 
6,767,096
8,410,364

Cash at bank and in hand
 16 
1,065,715
463,040

  
7,832,811
8,873,404

Creditors: amounts falling due within one year
 17 
(9,228,926)
(10,851,678)

Net current liabilities
  
 
 
(1,396,115)
 
 
(1,978,274)

Total assets less current liabilities
  
(549,024)
(1,077,901)

Creditors: amounts falling due after more than one year
 18 
(32,873)
-

Deferred taxation
  
(73,651)
-

Net liabilities
  
(655,548)
(1,077,901)


Capital and reserves
  

Called up share capital 
 21 
1,001
1,001

Share premium account
 22 
1,324,000
1,324,000

Profit and loss account
 22 
(1,980,549)
(2,402,902)

  
(655,548)
(1,077,901)


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
Mr P B Simpson
Director

Date: 12 February 2025

The notes on pages 18 to 35 form part of these financial statements.

Page 11

 
STM GROUP HOLDINGS LTD
REGISTERED NUMBER: 11051546

COMPANY BALANCE SHEET
AS AT 31 AUGUST 2024

31 August
31 January
2024
2024
Note
£
£

Fixed assets
  

Investments
 14 
2,760,682
2,760,682

Current assets
  

Debtors: amounts falling due within one year
 15 
3,470
3,470

Cash at bank and in hand
 16 
1,050
1,001

  
4,520
4,471

Creditors: amounts falling due within one year
 17 
(1,573,543)
(1,573,387)

Net current liabilities
  
 
 
(1,569,023)
 
 
(1,568,916)

Total assets less current liabilities
  
1,191,659
1,191,766

  

  

Net assets
  
1,191,659
1,191,766


Capital and reserves
  

Called up share capital 
 21 
1,001
1,001

Share premium account
 22 
1,324,000
1,324,000

Profit and loss account brought forward
  
(133,235)
(131,708)

Loss for the period
  
(107)
(1,527)

Profit and loss account carried forward
  
(133,342)
(133,235)

  
1,191,659
1,191,766


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
Mr P B Simpson
Director

Date: 12 February 2025

The notes on pages 18 to 35 form part of these financial statements.

Page 12

 
STM GROUP HOLDINGS LTD
 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 AUGUST 2024


Called up share capital
Share premium account
Profit and loss account
Equity attributable to owners of parent Company
Total equity

£
£
£
£
£


At 1 February 2023
1,001
1,324,000
(1,944,094)
(619,093)
(619,093)


Comprehensive income for the year

Loss for the year
-
-
(458,808)
(458,808)
(458,808)



At 1 February 2024
1,001
1,324,000
(2,402,902)
(1,077,901)
(1,077,901)


Comprehensive income for the period

Profit for the period
-
-
422,353
422,353
422,353


At 31 August 2024
1,001
1,324,000
(1,980,549)
(655,548)
(655,548)


The notes on pages 18 to 35 form part of these financial statements.

Page 13

 
STM GROUP HOLDINGS LTD
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 AUGUST 2024


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 1 February 2023
1,001
1,324,000
(131,708)
1,193,293


Comprehensive income for the year

Loss for the year
-
-
(1,527)
(1,527)



At 1 February 2024
1,001
1,324,000
(133,235)
1,191,766


Comprehensive income for the year

Loss for the period
-
-
(107)
(107)


At 31 August 2024
1,001
1,324,000
(133,342)
1,191,659


The notes on pages 18 to 35 form part of these financial statements.

Page 14

 
STM GROUP HOLDINGS LTD
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 31 AUGUST 2024

31 August
31 January
2024
2024
£
£

Cash flows from operating activities

Profit/(loss) for the financial period
422,353
(458,808)

Adjustments for:

Amortisation of intangible assets
89,682
153,741

Depreciation of tangible assets
26,553
34,168

Interest paid
2,348
7,178

Interest received
(7,391)
(7,211)

Taxation charge
295,077
3,262

Decrease/(increase) in debtors
1,622,607
(2,122,377)

(Decrease)/increase in creditors
(1,853,797)
4,031,843

Corporation tax received/(paid)
21,065
(93,756)

Net cash generated from operating activities

618,497
1,548,040


Cash flows from investing activities

Purchase of tangible fixed assets
(16,805)
(26,950)

Interest received
7,391
7,211

Net cash from investing activities

(9,414)
(19,739)

Cash flows from financing activities

Repayment of finance leases
(4,046)
-

Interest paid
(2)
(7,178)

HP interest paid
(2,346)
-

Net cash used in financing activities
(6,394)
(7,178)
Page 15

 
STM GROUP HOLDINGS LTD
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE PERIOD ENDED 31 AUGUST 2024

31 August
31 January

2024
2024

£
£



Net increase in cash and cash equivalents
602,689
1,521,123

Cash and cash equivalents at beginning of period
463,026
(1,058,097)

Cash and cash equivalents at the end of period
1,065,715
463,026


Cash and cash equivalents at the end of period comprise:

Cash at bank and in hand
1,065,715
463,040

Bank overdrafts
-
(14)

1,065,715
463,026


The notes on pages 18 to 35 form part of these financial statements.

Page 16

 
STM GROUP HOLDINGS LTD
 

CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE PERIOD ENDED 31 AUGUST 2024





At 1 February 2024
Cash flows
New finance leases
At 31 August 2024
£

£

£

£

Cash at bank and in hand

463,040

602,675

-

1,065,715

Bank overdrafts

(14)

14

-

-

Finance leases

-

4,046

(46,148)

(42,102)


463,026
606,735
(46,148)
1,023,613

The notes on pages 18 to 35 form part of these financial statements.

Page 17

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

1.


General information

STM Group Holdings Ltd is a private company limited by shares incorporated in England and Wales in the United Kingdom. The registered office of the entity is Solar House, 1st Floor, Romford Road, London, E15 4LJ. The principal activity of the company is that of a holding company. The principal activity of the group is security.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared on a going concern basis under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The financial statements are presented in £ sterling, the functional currency, rounded to the nearest £1.
The financial statements are for the period 1 February 2024 to 31 August 2024, in order to align the period end with that of its parent entity. The prior period was the year to 31 January 2024, hence the comparative figures are not entriely comparable. 
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.
The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance Sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Page 18

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)

 
2.3

Going concern

The Group has net current liabilities of £1,396,115 (31 January 2024: £1,978,274)
The financial statements have been prepared on a going concern basis which assumes that the Company and Group will continue in operational existence for the foreseeable future. The Director  has considered relevant information, including the annual budget, forecast future cash flows and the  impact of subsequent events in making his assessment. 
Based on these assessments and having regards to the resources available to the entity and Group, the Director has concluded that there is no material uncertainty and that they can continue to adopt the going concern basis in preparing the annual report and accounts. 

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Group will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.6

Leased assets: the Group as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

Page 19

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)

 
2.8

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.9

Borrowing costs

All borrowing costs are recognised in profit or loss in the period in which they are incurred.

 
2.10

Pensions

Defined contribution pension plan
The Group operates a defined contribution pension plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.
The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in other creditors as a liability in the Balance Sheet. The assets of the plan are held separately from the Group in independently administered funds.

 
2.11

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 20

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)

 
2.12

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Group but are presented separately due to their size or incidence.

 
2.13

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated Statement of Comprehensive Income over its useful economic life of ten years.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 
2.14

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Page 21

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)


2.14
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Motor vehicles
-
15%
Fixtures and fittings
-
10%
Office equipment
-
8%
Computer equipment
-
8%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.16

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.17

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.18

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 22

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)

 
2.19

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.20

Financial instruments

The Group has elected to apply the provisions of Section 11 “Basic Financial Instruments” 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, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The
Page 23

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

2.Accounting policies (continued)


2.20
Financial instruments (continued)

impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The director considers that the critical accounting policies where judgments and estimations have been applied relate to the intangible and tangible asset lives, in particular the useful economic life of the goodwill, and residual values of plant and machinery, and the recoverability of trade debtors. The director has concluded that the asset values and residual values are appropriate for plant and machinery and that trade debtors are appropriately valued.

Page 24

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

4.


Turnover

An analysis of turnover by class of business is as follows:


7 month period to
31 August
31 January
2024
2024
£
£

Sales
24,213,395
32,167,701


All turnover arose within the United Kingdom.


5.


Operating profit/(loss)

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

7 month period to
31 August
31 January
2024
2024
£
£

Operating lease rentals
148,529
68,909

Exceptional items
586,191
37,341


6.


Auditors' remuneration

During the period, the Group obtained the following services from the Company's auditors:


7 month period to
31 August
31 January
2024
2024
£
£

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements
26,000
27,000

Page 25

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

7.


Employees

Staff costs were as follows:


Group
31 August
Group
31 January
Company
31 August
Company
31 January
2024
2024
2024
2024
£
£
£
£


Wages and salaries
16,266,786
22,921,365
-
-

Social security costs
1,463,550
1,823,038
-
-

Cost of defined contribution pension scheme
236,747
295,895
-
-

17,967,083
25,040,298
-
-


The director received no remuneration, pension or other benefits from the company in the period (year ended 31 January 2024: Nil) and accrues no pension benefits.
The director is the Key Management Personnel of the Company. 

The average monthly number of employees, including the director, during the period was as follows:



Group
Group
Company
Company
 7 month period to
       31 August
       31 January
 7 month period to
       31 August
       31 January
        2024
        2024
        2024
        2024
            No.
            No.
            No.
            No.









Directors
1
1
1
1



Employees
1,132
924
-
-

1,133
925
1
1


8.


Interest receivable

7 month period to
31 August
31 January
2024
2024
£
£


Other interest receivable
7,391
7,211

Page 26

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

9.


Interest payable and similar expenses

7 month period to
31 August
31 January
2024
2024
£
£


Bank interest payable
2
1,346

Finance leases and hire purchase contracts
2,346
-

Other interest payable
-
5,832


10.


Taxation


7 month period to
31 August
31 January
2024
2024
£
£

Corporation tax


Current tax on profits for the year
221,426
-

Adjustments in respect of previous periods
-
3,262


Total current tax
221,426
3,262

Deferred tax


Origination and reversal of timing differences
73,651
-

Total deferred tax
73,651
-


Tax on profit/(loss)
295,077
3,262
Page 27

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024
 
10.Taxation (continued)


Factors affecting tax charge for the period/year

The tax assessed for the period/year is higher than (2024 - higher than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:

7 month period to
31 August
31 January
2024
2024
£
£


Profit/(loss) on ordinary activities before tax
717,430
(455,546)


Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)
179,358
(113,887)

Effects of:


Non-tax deductible amortisation of goodwill and impairment
22,420
36,944

Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
118,803
13,690

Capital allowances for period/year in excess of depreciation
(15,775)
(6,805)

Utilisation of tax losses
(91,622)
(1,803)

Adjustments to tax charge in respect of prior periods
-
3,262

Short-term timing difference leading to an increase (decrease) in taxation
76,803
-

Non-taxable income
-
1,803

Unrelieved tax losses carried forward
-
70,058

Provisions tax adjustment
5,090
-

Total tax charge for the period/year
295,077
3,262


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 28

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

11.


Exceptional items

7 month period to
31 August
31 January
2024
2024
£
£


Legal expenses
86,101
37,341

Write off intercompany balance
441,314
-

Prepayment adjustment
58,776
-

The exceptional items are split out by category as above. 


12.


Intangible assets

Group and Company







Goodwill

£



Cost


At 1 February 2024
1,537,412



At 31 August 2024

1,537,412



Amortisation


At 1 February 2024
922,441


Charge for the period 
89,682



At 31 August 2024

1,012,123



Net book value



At 31 August 2024
525,289



At 31 January 2024
614,971



Page 29

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

13.


Tangible fixed assets

Group








Motor vehicles
Fixtures and fittings
Office equipment
Computer equipment
Total

£
£
£
£
£



Cost or valuation


At 1 February 2024
109,915
33,080
405,966
136,536
685,497


Additions
51,275
-
7,782
3,896
62,953



At 31 August 2024

161,190
33,080
413,748
140,432
748,450



Depreciation


At 1 February 2024
95,384
29,050
219,680
55,981
400,095


Charge for the period
3,178
455
12,862
5,785
22,280


Charge for the period on financed assets
4,273
-
-
-
4,273



At 31 August 2024

102,835
29,505
232,542
61,766
426,648



Net book value



At 31 August 2024
58,355
3,575
181,206
78,666
321,802



At 31 January 2024
14,531
4,030
186,286
80,555
285,402

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


31 August
31 January
2024
2024
£
£



Motor vehicles
47,002
-

Page 30

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

14.


Fixed asset investments

Company








Investments in subsidiary companies

£



Cost or valuation


At 1 February 2024
2,760,682



At 31 August 2024
2,760,682





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

STM Group (UK) Limited
Solar House, 1st Floor, Romford Road, London, E15 4LJ
Ordinary
100%


15.


Debtors

Group
31 August
Group
31 January
Company
31 August
Company
31 January
2024
2024
2024
2024
£
£
£
£


Trade debtors
3,959,107
6,014,478
-
-

Other debtors
443,776
856,747
3,470
3,470

Prepayments and accrued income
2,364,213
1,484,305
-
-

Tax recoverable
-
54,834
-
-

6,767,096
8,410,364
3,470
3,470


Page 31

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

16.


Cash and cash equivalents

Group
31 August
Group
31 January
Company
31 August
Company
31 January
2024
2024
2024
2024
£
£
£
£

Cash at bank and in hand
1,065,715
463,040
1,050
1,001

Less: bank overdrafts
-
(14)
-
(14)

1,065,715
463,026
1,050
987



17.


Creditors: Amounts falling due within one year

Group
31 August
Group
31 January
Company
31 August
Company
31 January
2024
2024
2024
2024
£
£
£
£

Bank overdrafts
-
14
-
14

Trade creditors
587,897
3,480,312
-
-

Amounts owed to group undertakings
-
-
1,570,793
1,570,623

Corporation tax
221,830
-
-
-

Other taxation and social security
2,515,016
1,008,611
-
-

Obligations under finance lease and hire purchase contracts
9,229
-
-
-

Other creditors
5,835,204
4,416,924
-
-

Accruals and deferred income
59,750
1,945,817
2,750
2,750

9,228,926
10,851,678
1,573,543
1,573,387


The bank overdraft is secured on the assets of the company. 
Amounts owed to group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.
Obligations under finance lease and hire purchase contracts totalling £9,229 (31 January 2024: £nil) are secured against the assets to which they relate. 

Page 32

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

18.


Creditors: Amounts falling due after more than one year

Group
31 August
Group
31 January
2024
2024
£
£

Net obligations under finance leases and hire purchase contracts
32,873
-


Obligations under finance lease and hire purchase contracts totalling £32,873 (31 January 2024: £nil) are secured against the assets to which they relate. 



19.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

Group
31 August
Group
31 January
2024
2024
£
£

Within one year
9,229
-

Between 1-5 years
32,873
-

42,102
-


20.


Deferred taxation


Group



2024


£






Charged to profit or loss
73,651



At end of year
73,651



Page 33

 
STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024
 
20.Deferred taxation (continued)






The deferred taxation balance is made up as follows:

Group
31 August
2024
£

Accelerated capital allowances
73,651


21.


Share capital

31 August
31 January
2024
2024
£
£
Allotted, called up and fully paid



1,001 (2024 - 1,001) Ordinary shares of £1.00 each
1,001
1,001

There is a single class of ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital.



22.


Reserves

Share premium account

The share premium account is used to record the aggregate amount or value of premiums paid when the Company's shares are issued at an amount in excess of nominal value. 

Profit and loss account

The profit and loss account represents cumulative profits or losses, net of dividends paid and other adjustments. 


23.


Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £236,747 (year ended 31 January 2024 - £295,895). Contributions totalling £458,889 were payable to (year ended 31 January 2024 - £6,005 receivable from) the fund at the balance sheet date and are included in other creditors (31 January 2024 - other debtors)

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STM GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 AUGUST 2024

24.


Commitments under operating leases

At 31 August 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
31 August
Group
31 January
2024
2024
£
£

Land and buildings

Not later than 1 year
220,417
247,101


Group
31 August
Group
31 January
2024
2024
£
£

Other operating leases

Not later than 1 year
26,874
15,144

Later than 1 year and not later than 5 years
46,919
-

73,793
15,144


25.


Transactions with directors

During the year, Mr P B Simpson, the director has an outstanding loan from the Company. Interest of £7,391 (year ended 31 January 2024: £7,211) has been charged at commercial rates on overdrawn balances. As at 31 August 2024, Mr P B Simpson owed the Company £303,261 (31 January 2024: £294,656). During the period £1,214 (year ended 31 January 2024: £Nil) was further advanced and £Nil (year ended 31 January 2024: £Nil) repaid in respect of the loan. The loan is unsecured and repayable on demand.


26.


Related party transactions

During the period, STM Cleaning Ltd, a private company limited by shares of which the director, Mr P B Simpson, is a shareholder, provided services to the Company totalling £Nil (year ended 31 January 2024: £2,596,655). STM Cleaning Ltd also received services from STM Group (UK) Ltd during the period totalling £Nil (year ended 31 January 2024: £2,596,655). During the period £43,435 (31 January 2024: £Nil) was advanced to STM Cleaning Ltd. As at 31 August 2024, STM Group (UK) Limited  was owed £137,044 (31 January 2024: £534,653). During the period £441,314 (year ended 31 January 2024: £Nil) has been written off in respect of these balances. These transactions were on normal commercial terms.


27.


Controlling party

The group was under the control of the director, Mr P B Simpson, throughout the current year and prior year.

 
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