REGISTERED NUMBER: 11874270 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTOR AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
FOR |
AOI HOLDINGS LTD |
REGISTERED NUMBER: 11874270 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTOR AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
FOR |
AOI HOLDINGS LTD |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 4 |
Consolidated Income Statement | 7 |
Consolidated Other Comprehensive Income | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 15 |
AOI HOLDINGS LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants & Statutory Auditors |
1 Kings Avenue |
London |
N21 3NA |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
The director presents his strategic report of the company and the group for the year ended 28 February 2024. |
REVIEW OF BUSINESS |
The turnover for the year decreased by 12.8% to £20,317,437 (2023: £23,299,749), mainly due to the general economic conditions affecting the industry. |
The gross margin increased from 8.5% to 8.6%. |
The loss before tax for the year is - £5,900 (2023: £142,332). |
PRINCIPAL RISKS AND UNCERTAINTIES |
The market is highly competitive. The Director actively manages risk across all areas of the business. The main risks are competition risk, reputational risk and credit risk. |
KEY PERFORMANCE INDICATORS |
The Director consider the following as key performance indicators |
2024 | 2023 |
£ | £ |
Turnover | 20,317,437 | 23,299,749 |
Cost of Sales | 18,564,889 | 21,318,850 |
Gross Profit | 1,752,548 | 1,980,899 |
Gross Margin | 8.6% | 8.5% |
Profit Before Tax | (5,900 | ) | 142,332 |
Net Assets | 3,155,817 | 3,263,733 |
KEY STRATEGY AND FUTURE DEVELOPMENTS |
The Group has built a strong brand and reputation by providing first class service to our clients. This is achieved by aligning the Group closely with our clients, ensuring we have a full understanding of their requirements. Our strategy is to continue to specialise in our principle activities, maintain our brand reputation whilst managing the risk areas across our business. |
FINANCIAL POSITION |
The Group is in good health and allows expansion of the business from its own resources. The results for the year and the financial position at the year-end were considered satisfactory by the Director who expects controlled growth and profitability to continue in the forseeable future. |
The Director is confident that the Group will be able to strengthen its financial position by building on its current portfolio of contracts and grow the business with both existing and new clients in the future. |
ON BEHALF OF THE BOARD: |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
REPORT OF THE DIRECTOR |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
The director presents his report with the financial statements of the company and the group for the year ended 28 February 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of construction management and providing specialist civil engineering services. |
DIVIDENDS |
An interim dividend of £881.33 per share was paid on 6 April 2023. The director recommends that no final dividend be paid. |
The total distribution of dividends for the year ended 28 February 2024 will be £ 89,896 . |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTOR |
POLITICAL DONATIONS AND EXPENDITURE |
During the year, the Group made charitable donations amounting to £4,965 to various local and national UK charities. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He 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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, AGK Partners, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
AOI HOLDINGS LTD |
Opinion |
We have audited the financial statements of AOI Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 28 February 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and 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 affairs as at 28 February 2024 and of the group's loss for the year 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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the 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 and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
AOI HOLDINGS LTD |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, 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 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 has no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognize non-compliance with applicable laws and regulations; |
- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the industry; |
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
- performed analytical procedures to identify any unusual or unexpected relationships; |
- tested journal entries to identify unusual transactions; |
- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and |
- investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- agreeing financial statement disclosures to underlying supporting documentation; |
- reading the minutes of meetings of those charged with governance; |
- enquiring of management as to actual and potential litigation and claims; and |
- reviewing correspondence with HMRC, relevant regulators, and the company's legal advisors. |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
AOI HOLDINGS LTD |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants & Statutory Auditors |
1 Kings Avenue |
London |
N21 3NA |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
Notes | £ | £ |
TURNOVER | 4 | 20,317,437 | 23,299,749 |
Cost of sales | 18,564,889 | 21,318,850 |
GROSS PROFIT | 1,752,548 | 1,980,899 |
Administrative expenses | 1,816,083 | 1,837,973 |
(63,535 | ) | 142,926 |
Other operating income | 176,442 | 104,422 |
OPERATING PROFIT | 6 | 112,907 | 247,348 |
Interest payable and similar expenses | 7 | 118,807 | 105,016 |
(LOSS)/PROFIT BEFORE TAXATION | (5,900 | ) | 142,332 |
Tax on (loss)/profit | 8 | 12,120 | 87,541 |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR | ( |
) |
(Loss)/profit attributable to: |
Owners of the parent | (18,020 | ) | 54,791 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
Notes | £ | £ |
(LOSS)/PROFIT FOR THE YEAR | (18,020 | ) | 54,791 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(18,020 |
) |
54,791 |
Total comprehensive income attributable to: |
Owners of the parent | (18,020 | ) | 54,791 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONSOLIDATED BALANCE SHEET |
28 FEBRUARY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 | 665,056 | 734,449 |
Investments | 12 | 360,383 | 360,383 |
Investment property | 13 | 350,000 | 350,000 |
1,375,439 | 1,444,832 |
CURRENT ASSETS |
Stocks | 14 | 201,070 | 420,870 |
Debtors | 15 | 7,008,947 | 5,446,543 |
Cash at bank and in hand | 50,936 | 183,186 |
7,260,953 | 6,050,599 |
CREDITORS |
Amounts falling due within one year | 16 | 4,801,760 | 3,437,585 |
NET CURRENT ASSETS | 2,459,193 | 2,613,014 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
3,834,632 |
4,057,846 |
CREDITORS |
Amounts falling due after more than one year |
17 |
(614,275 |
) |
(712,911 |
) |
PROVISIONS FOR LIABILITIES | 21 | (64,540 | ) | (81,202 | ) |
NET ASSETS | 3,155,817 | 3,263,733 |
CAPITAL AND RESERVES |
Called up share capital | 22 | 102 | 102 |
Retained earnings | 23 | 3,155,715 | 3,263,631 |
SHAREHOLDERS' FUNDS | 3,155,817 | 3,263,733 |
The financial statements were approved by the director and authorised for issue on 17 February 2025 and were signed by: |
Mr F Kane - Director |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
COMPANY BALANCE SHEET |
28 FEBRUARY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 |
Investments | 12 |
Investment property | 13 |
CURRENT ASSETS |
Debtors | 15 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
( |
) |
( |
) |
CAPITAL AND RESERVES |
Called up share capital | 22 |
Retained earnings | 23 | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) | ( |
) |
Company's profit/(loss) for the financial year | 84,546 | (2,863 | ) |
The financial statements were approved by the director and authorised for issue on |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 April 2022 | 102 | 3,243,840 | 3,243,942 |
Changes in equity |
Dividends | - | (35,000 | ) | (35,000 | ) |
Total comprehensive income | - | 54,791 | 54,791 |
Balance at 28 February 2023 | 102 | 3,263,631 | 3,263,733 |
Changes in equity |
Dividends | - | (89,896 | ) | (89,896 | ) |
Total comprehensive income | - | (18,020 | ) | (18,020 | ) |
Balance at 28 February 2024 | 102 | 3,155,715 | 3,155,817 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 April 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 28 February 2023 | ( |
) | ( |
) |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 28 February 2024 | ( |
) | ( |
) |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (438,385 | ) | (478,811 | ) |
Interest paid | (104,393 | ) | (99,292 | ) |
Interest element of hire purchase payments paid |
(14,414 |
) |
(5,724 |
) |
Tax paid | 8,720 | 4,844 |
Net cash from operating activities | (548,472 | ) | (578,983 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (4,351 | ) | (158,164 | ) |
Purchase of fixed asset investments | - | (11,028 | ) |
Sale of fixed asset investments | - | 846,462 |
Net cash from investing activities | (4,351 | ) | 677,270 |
Cash flows from financing activities |
New loans in year | 577,620 | - |
Capital repayments in year | (19,871 | ) | 45,447 |
Amount introduced by directors | - | 4,800 |
Amount withdrawn by directors | (47,280 | ) | 2,206 |
Equity dividends paid | (89,896 | ) | (35,000 | ) |
Net cash from financing activities | 420,573 | 17,453 |
(Decrease)/increase in cash and cash equivalents | (132,250 | ) | 115,740 |
Cash and cash equivalents at beginning of year |
2 |
183,186 |
67,446 |
Cash and cash equivalents at end of year | 2 | 50,936 | 183,186 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
(Loss)/profit before taxation | (5,900 | ) | 142,332 |
Depreciation charges | 73,744 | 73,623 |
Profit on disposal of fixed assets | - | (95,627 | ) |
Amount recoverable on contract | (1,569,574 | ) | - |
Government grants | - | (5,473 | ) |
Finance costs | 118,807 | 105,016 |
(1,382,923 | ) | 219,871 |
Decrease in stocks | 219,800 | 518,115 |
Decrease in trade and other debtors | 52,244 | 1,161,627 |
Increase/(decrease) in trade and other creditors | 672,494 | (2,378,424 | ) |
Cash generated from operations | (438,385 | ) | (478,811 | ) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 28 February 2024 |
28.2.24 | 1.3.23 |
£ | £ |
Cash and cash equivalents | 50,936 | 183,186 |
Period ended 28 February 2023 |
28.2.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 183,186 | 70,099 |
Bank overdrafts | - | (2,653 | ) |
183,186 | 67,446 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.3.23 | Cash flow | At 28.2.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 183,186 | (132,250 | ) | 50,936 |
183,186 | (132,250 | ) | 50,936 |
Debt |
Finance leases | (46,153 | ) | 19,871 | (26,282 | ) |
Debts falling due within 1 year | (362,856 | ) | (656,385 | ) | (1,019,241 | ) |
Debts falling due after 1 year | (684,831 | ) | 78,765 | (606,066 | ) |
(1,093,840 | ) | (557,749 | ) | (1,651,589 | ) |
Total | (910,654 | ) | (689,999 | ) | (1,600,653 | ) |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
1. | STATUTORY INFORMATION |
AOI Holdings Ltd is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The consolidated financial statements incorporate the financial statements of AOI Holdings Limited and its subsidiaries: LF Solutions Limited & LF Infastructures Limited. |
Turnover |
Turnover represents the total invoice value, excluding value added tax, of sales made during the year. |
Turnover is reduced for customer returns and other similar allowances. Turnover is recognised at the point the company has transferred to the buyer the significant risks and rewards, the amount of the turnover can be measured reliably and it is probable the economic benefits associated with the transactions will flow to the company. |
Turnover related income from maintenance contracts is recognised evenly over the period of the contract. |
When the outcome of a construction contract can be estimated reliably, contract revenue and contract costs are recognised as revenue and expenses respectively by reference to the stage of completion of the contract activity at the balance sheet date. When the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred that are likely to be recoverable. When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately. |
Contract revenue comprises the initial amount of revenue agreed in the contract and variations in the contract work and claims that can be measured reliably. A variation or a claim is recognised as contract revenue when it is probable that the customer will approve the variation or negotiations have reached an advanced stage such that it is probable that the customer will accept the claim. |
The stage of completion is measured by reference to the ratio of contract costs incurred to date to the estimated total costs for the contract. Costs incurred during the financial year in connection with future activity on a contract are excluded from the costs incurred to date when determining the stage of completion of a contract. Such costs are shown as construction contract work-in-progress on the balance sheet unless it is not probable that such contract costs are recoverable from the customers, in which case, such costs are recognised as an expense immediately. |
At the balance sheet date, the cumulative costs incurred plus recognised profit (less recognised loss) on each contract is compared against the progress billings. Where the cumulative costs incurred plus the recognised profits (less recognised losses) exceed progress billings, the balance is presented as due from customers on construction contracts within "amounts recoverable on contract". Where progress billings exceed the cumulative costs incurred plus recognised profits (less recognised losses), the balance is presented as due to customers on construction contracts within "Payments on account". |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Such cost includes costs directly attributable to making the assets capable of operating as intended. |
The carrying value of tangible assets are reviewed for impairment when events or changes in circumstances indicate the carrying value may not be recoverable. |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter. |
Plant and machinery | - 20% to 25% on reducing balance |
Fixtures and fittings | - 20% to 25% on reducing balance |
Computer equipment | - 20% on cost |
No depreciation has been provided on the freehold property. |
The group has a policy not to depreciate in the year of acquisition but to fully depreciate in the year of disposal. |
Investments |
Investments in unlisted company shares, whose market value can be reliably determined, are remeasured to market company value at each balance sheet date. Gains and losses on remeasurement are recognised in profit or loss for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment. |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
Stocks |
Stocks is valued at the lower of cost and estimated selling price less costs to complete and sell. |
Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition. |
Work in progress (WIP) is recorded at the lower of cost or net realizable value. Cost includes all direct materials, and direct labor that have been incurred in relation to the completion of the project or goods. The costs associated with WIP are capitalized as part of inventory until the goods are completed or the project reaches a stage where revenue can be recognized. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
2. | ACCOUNTING POLICIES - continued |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Cash and cash equivalents |
Cash and cash equivalents in the statement of financial position comprise cash at banks and in hand, short term deposits with an original maturity date of one month. Cash equivalents are defined as short-term, highly liquid investments that are readily convertible to known amounts of cash and that are subject to an insignificant risk of changes in value. |
Basic financial assets |
Basic financial assets, which including trade and other debtors, cash and bank balances and amounts / loans owed by group undertakings, are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest rate method. Financial assets classified as receivable within one year are not amortised. |
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party, or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
Basic financial liabilities |
Basic financial liabilities, including trade and other creditors and amounts / loans owed to group undertakings 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. |
Basic 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. Trade creditors 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 liability is extinguished, that is when the contractual obligation is discharge, cancelled or expires. |
Share capital |
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the company'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 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. |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
4. | TURNOVER |
The turnover and loss (2023 - profit) before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Construction services | 20,317,437 | 23,299,749 |
20,317,437 | 23,299,749 |
An analysis of turnover by geographical market is given below: |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
United Kingdom | 20,317,437 | 23,299,749 |
20,317,437 | 23,299,749 |
5. | EMPLOYEES AND DIRECTORS |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Wages and salaries | 864,151 | 902,316 |
Social security costs | 94,088 | 114,349 |
Other pension costs | 10,380 | 12,587 |
968,619 | 1,029,252 |
The average number of employees during the year was as follows: |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
LF Solutions Limited | 12 | 10 |
LF Infrastructure Limited | 1 | 2 |
The average number of employees by undertakings that were proportionately consolidated during the year was 13 (2023 - 12 ) . |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Director's remuneration | 95,255 | 95,255 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Hire of plant and machinery | 8,676 | 9,281 |
Other operating leases | 64,730 | 39,744 |
Depreciation - owned assets | 62,900 | 73,623 |
Depreciation - assets on hire purchase contracts | 10,844 | - |
Profit on disposal of fixed assets | - | (95,627 | ) |
Auditors' remuneration | 13,500 | 11,500 |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Bank interest payable | 91,489 | 76,827 |
Interest on other loans | - | 17,246 |
Interest on overdue tax | 12,904 | 5,219 |
Hire purchase | 10,621 | 2,180 |
Other interest payable | 3,793 | 3,544 |
118,807 | 105,016 |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the loss for the year was as follows: |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Current tax: |
UK corporation tax | 28,782 | 62,868 |
Deferred tax | (16,662 | ) | 24,673 |
Tax on (loss)/profit | 12,120 | 87,541 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
8. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
(Loss)/profit before tax | (5,900 | ) | 142,332 |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19 %) |
(1,475 |
) |
27,043 |
Effects of: |
Expenses not deductible for tax purposes | 15,446 | 16,335 |
Capital allowances in excess of depreciation | - | (4,796 | ) |
Depreciation in excess of capital allowances | 16,652 | - |
Utilisation of tax losses | - | 24,285 |
Deferred tax | (16,662 | ) | 24,674 |
Tax adjustments | (1,841 | ) | - |
Total tax charge | 12,120 | 87,541 |
9. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
10. | DIVIDENDS |
Period |
1.4.22 |
Year Ended | to |
28.2.24 | 28.2.23 |
£ | £ |
Ordinary shares of 1 each |
Interim | 89,896 | 35,000 |
11. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Short | Plant and | and | Computer |
leasehold | machinery | fittings | equipment | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 March 2023 | 394,743 | 647,040 | 195,150 | 72,589 | 1,309,522 |
Additions | - | - | - | 4,351 | 4,351 |
At 28 February 2024 | 394,743 | 647,040 | 195,150 | 76,940 | 1,313,873 |
DEPRECIATION |
At 1 March 2023 | - | 443,992 | 81,258 | 49,823 | 575,073 |
Charge for year | - | 40,666 | 22,778 | 10,300 | 73,744 |
At 28 February 2024 | - | 484,658 | 104,036 | 60,123 | 648,817 |
NET BOOK VALUE |
At 28 February 2024 | 394,743 | 162,382 | 91,114 | 16,817 | 665,056 |
At 28 February 2023 | 394,743 | 203,048 | 113,892 | 22,766 | 734,449 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
11. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and |
machinery |
£ |
COST |
At 1 March 2023 |
and 28 February 2024 | 54,218 |
DEPRECIATION |
Charge for year | 10,844 |
At 28 February 2024 | 10,844 |
NET BOOK VALUE |
At 28 February 2024 | 43,374 |
At 28 February 2023 | 54,218 |
12. | FIXED ASSET INVESTMENTS |
Group |
Unlisted |
investments |
£ |
COST |
At 1 March 2023 |
and 28 February 2024 | 360,383 |
NET BOOK VALUE |
At 28 February 2024 | 360,383 |
At 28 February 2023 | 360,383 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 March 2023 |
and 28 February 2024 |
NET BOOK VALUE |
At 28 February 2024 |
At 28 February 2023 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
12. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
LF Solutions Limited |
Registered office: 6 Water End Barns New Water End, Eversholt, Bedfordshire, MK17 9EA |
Nature of business: Development of building projects |
% |
Class of shares: | holding |
ordinary | 100.00 |
28.2.24 | 28.3.24 |
£ | £ |
Aggregate capital and reserves | 2,218,155 | 2,101,944 |
Profit for the year | 206,107 | 182,610 |
LF Infastructure Limited |
Registered office: 6 Water End Barns New Water End, Eversholt, Bedfordshire, United Kingdom, MK17 9EA |
Nature of business: Construction of utility projects for electricity |
% |
Class of shares: | holding |
ordinary | 100.00 |
28.2.24 | 28.2.23 |
£ | £ |
Aggregate capital and reserves | 974,625 | 1,193,403 |
Loss for the year | (218,777 | ) | (124,954 | ) |
13. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 March 2023 |
and 28 February 2024 | 350,000 |
NET BOOK VALUE |
At 28 February 2024 | 350,000 |
At 28 February 2023 | 350,000 |
Company |
Total |
£ |
FAIR VALUE |
At 1 March 2023 |
and 28 February 2024 |
NET BOOK VALUE |
At 28 February 2024 |
At 28 February 2023 |
Included in fair value of investment property is freehold land of £ 350,000 (2023 - £ 350,000 ) which is not depreciated. |
Fair value of investment property was assessed by the director. |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
14. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 201,070 | 420,870 |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 1,548,532 | 1,690,341 |
Amounts owed by group undertakings | - | - |
Amounts recoverable on contract | 3,855,066 | 2,285,492 |
Other debtors | 1,100,217 | 856,094 |
Directors' current accounts | 45,074 | - | - | - |
VAT | 294,767 | 442,019 |
Prepayments | 165,291 | 172,597 |
7,008,947 | 5,446,543 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 1,019,241 | 332,056 |
Other loans (see note 18) | - | 30,800 |
Hire purchase contracts (see note 19) | 18,073 | 18,073 |
Trade creditors | 2,920,305 | 2,363,461 |
Amounts owed to group undertakings | - | - |
Tax | 283,981 | 246,479 |
Social security and other taxes | 374 | 62,520 |
Other creditors | 413,545 | 379,891 |
Directors' current accounts | - | 2,206 | 2,206 | 2,206 |
Accrued expenses | 146,241 | 2,099 |
4,801,760 | 3,437,585 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2024 | 2023 |
£ | £ |
Bank loans (see note 18) | 606,066 | 684,831 |
Hire purchase contracts (see note 19) | 8,209 | 28,080 |
614,275 | 712,911 |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 1,019,241 | 332,056 |
Other loans | - | 30,800 |
1,019,241 | 362,856 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 533,302 | 75,772 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 72,764 | 609,059 |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year | 18,073 | 18,073 |
Between one and five years | 8,209 | 28,080 |
26,282 | 46,153 |
Group |
Non-cancellable operating | leases |
2024 | 2023 |
£ | £ |
Within one year | 47,772 | 47,772 |
Between one and five years | 115,449 | 163,221 |
163,221 | 210,993 |
The operating lease relates to a property. |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2024 | 2023 |
£ | £ |
Bank loans | 1,625,307 | 1,016,887 |
The bank loans are secured by way of a negative pledge, fixed and floating charge over all the property or undertakings of the company. |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
21. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2023 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 81,202 | 81,202 |
Deferred tax | (16,662 | ) | - |
64,540 | 81,202 |
Group |
Deferred |
tax |
£ |
Balance at 1 March 2023 | 81,202 |
Utilised during year | (16,662 | ) |
Balance at 28 February 2024 | 64,540 |
22. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | 1 | 102 | 102 |
23. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 March 2023 | 3,263,631 |
Deficit for the year | (18,020 | ) |
Dividends | (89,896 | ) |
At 28 February 2024 | 3,155,715 |
Company |
Retained |
earnings |
£ |
At 1 March 2023 | ( |
) |
Profit for the year |
Dividends | ( |
) |
At 28 February 2024 | ( |
) |
AOI HOLDINGS LTD (REGISTERED NUMBER: 11874270) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2024 |
24. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Included in debtors, due within one year, is an amount totalling £199,050 (2023: £175,326) due from connected companies under common control and £45,074 (2023: £2,206) due from the director of the company. |
Included in creditors, due within one year, is an amount of £145,816 (2023: £145,629) owed to a company |
connected by common shareholder. |
These loans are provided interest free and repayable on demand. |
During the year £153,100 (2023: £3,322) was charged as management fees to companies connected by common shareholder. |
25. | POST BALANCE SHEET EVENTS |
There are no post balance sheet events. |
26. | ULTIMATE CONTROLLING PARTY |
The Ultimate Controlling Party is Mr. F. Kane. |