REGISTERED NUMBER: 10439527 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2024 |
FOR |
GWS HOLDINGS LIMITED |
REGISTERED NUMBER: 10439527 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2024 |
FOR |
GWS HOLDINGS LIMITED |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 8 |
Consolidated Income Statement | 12 |
Consolidated Other Comprehensive Income | 13 |
Consolidated Balance Sheet | 14 |
Company Balance Sheet | 15 |
Consolidated Statement of Changes in Equity | 17 |
Company Statement of Changes in Equity | 18 |
Consolidated Cash Flow Statement | 19 |
Notes to the Consolidated Cash Flow Statement | 20 |
Notes to the Consolidated Financial Statements | 22 |
GWS HOLDINGS LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 MAY 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditor |
Harelands Courtyard Offices |
Moor Road |
Melsonby |
Richmond |
North Yorkshire |
DL10 5NY |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MAY 2024 |
The directors present their strategic report of the company and the group for the year ended 31 May 2024. |
REVIEW OF BUSINESS |
The principal activities of the company are that of civil engineering, bulk earthmoving, landfill and demolition. |
After many years of continued growth and investment, the last financial year saw a decrease in turnover of 10% (2023 - +34%). This was foreseen by the company due to the previous years growth being exceptional. |
In line with expectations and due to higher material and labour costs the gross profit decreased from £10.3m (19.81%) last year to £7.3m (15.64% ) this year. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The process of identifying risks which the company is faced with is addressed by the directors and senior management team on an ongoing basis through the setting out of policies, procedures and adequate controls to mitigate against such. The principal risk at present is the continued increase in costs and the imminent rise in employment taxes. |
Margins on contracts have tightened and are monitored on a regular basis. These risks and any of our clients delaying payments could expose the company to financial risk through cash flow. These matters are continually reviewed and we are prepared as much as possible for any circumstances that may arise. |
Any significant increase in bank interest rates, fuel or further tax rises will have a detrimental effect on future figures as margins could be reduced. |
The company finances its operations through retained profits and bank borrowings and we are not exposed to any foreign exchange fluctuations. Management's objectives in relation to its finances is to manage working capital to meet day to day obligations. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MAY 2024 |
SECTION 172(1) STATEMENT |
The directors of the company must act in accordance with a set of general duties that are detailed in Section 172 of the UK Companies Act 2006. |
Specifically, the Act requires each director to act in the way they consider, in good faith, would be most likely to promote the success of the company for the benefit of its shareholders as a whole, and in doing so have regard (amongst other matters) to: |
The likely consequences of any decisions in the long term |
The interests of the company's employees |
The need to foster the company's business relationships with suppliers, customers, and others |
The impact of the company's operations on the community and environment |
The desirability of the company maintaining a reputation for high standards of business conduct; and |
The need to act fairly as between shareholders of the company. |
The directors have acted in a way that they consider, in good faith, to be most likely to promote the success of the Company for the benefits of all stakeholders; fostering high standards, good governance, an appropriate code of conduct and the need to act fairly for all members of the Company. The directors consider that the Company's key stakeholders are its clients, owners, employees, suppliers and the local community. It is considered vital that strong relationships are built with key stakeholders, which are both meaningful and mutually beneficial. Appropriate due diligence is done before entering into new relationships with any key supplier to ensure the propriety of business operations, including considerations of environmental and social responsibilities. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MAY 2024 |
KEY PERFORMANCE INDICATORS |
In continuing economically challenging times the business has delivered another strong set of results for the year. |
The summary below shows how the key measures in the trading company compare against prior years. We remain pleased with the performance and progress of the company and that it continues to move in the right direction. |
Performance is measured with reference to the following KPI's below :- |
2024 | 2023 | 2022 |
Turnover | £46.6m | £51.7m | £38.5m |
Turnover % increase/ -decrease | -10.0% | 34.4% | 33.5% |
Gross Margin as a % of sales | 14.2% | 18.4% | 12.5% |
Operating profit as a % of sales | 4.5% | 10.0% | 3.5% |
Growth has been strong for a number of years but after the exceptional increase in the previous financial year turnover has decreased and expectations are that future years will increase again but at a slower rate. |
The key performance indicators used by the directors and management to gain an understanding of the development and performance of the company include monthly management accounts, monthly contract reviews and weekly senior management meetings including the performance of individual contracts and sites. These meetings include Construction Cost Review, Defects, Site Variations, Profitability, Client Satisfaction, Health and Safety and Employment. |
ON BEHALF OF THE BOARD: |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MAY 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 31 May 2024. |
DIVIDENDS |
The total distribution of dividends for the year ended 31 May 2024 will be £ 169,200 . |
RESEARCH AND DEVELOPMENT |
The group has undertaken research and development in relation to technical engineering solutions provided and value engineering proposals for their contractors. |
FUTURE DEVELOPMENTS |
The board and senior management are always looking at potential opportunities to expand the business further. Due to increased expansion over a number of years the directors felt that the business had outgrown its current operating premises and in early 2025 invested in much larger premises which gives both increased office and workshop space as well as larger storage space for our heavy plant and machinery. |
This large investment could open further income streams and business opportunities along with the potential of building up a larger customer base, tender for larger contracts and have the capability to take on more work. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 June 2023 to the date of this report. |
FINANCIAL INSTRUMENTS |
The group manages the liquidity and interest risks associated with their activities. |
The group has various financial assets and liabilities such as trade debtors and trade creditors arising from its operations. |
The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business. |
The group is exposed to fair value interest rate risk on its fixed rate borrowings and cashflow interest rate risk on floating rate deposits. |
Investments of cash surpluses are made through banks approved by the directors. |
All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MAY 2024 |
ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS |
Disclosures relating to the Group's engagement with suppliers, customers and others have been made in |
the Group Strategic Report under the heading "Section 172 (1) statement" |
STREAMLINED ENERGY AND CARBON REPORTING |
Detailed below are Scope 1 & 2 emissions with fuel consumption converted into CO2e using the government published conversion factors. CO2e, kilogrammes of carbon dioxide equivalent, is a common industry metric used to to convert all fuel types into a standard unit of measure. |
Our energy consumption has been collected from supplier invoices. |
The below data includes UK consumption of electricity, heating oil and transport fuels where the company is responsible for these fuels. |
There has been no third party verification carried out on the presentation of the emissions data. |
The energy consumed and associated emissions for the company during the financial year are as follows: |
FUEL |
UOM |
Usage'000 |
Kg/CO2e'000 |
ProportionCO2 e 2024 |
Road Diesel | Litre | 2,014 | 4,993 | 58.1% |
Machine Diesel | Litre | 1,436 | 3,567 | 41.5% |
Unleaded Petrol | Litre | 3 | 6 | 0.1% |
Heating Oil | Litre | 2 | 5 | 0.1% |
Electricity | KWH | 58 | 12 | 0.2% |
8,583 | 100% |
The intensity metric adopted is kg CO2e per £1 of sales. Total sales in the year were £47,611,827 leading to an emissions intensity for the year of 0.18kg CO2e per £1 of sales. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MAY 2024 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Momentum Taxation & Accountancy Limited, 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 |
GWS HOLDINGS LIMITED |
Opinion |
We have audited the financial statements of GWS Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 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 31 May 2024 and of the group's profit 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
GWS HOLDINGS LIMITED |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page seven, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
GWS HOLDINGS LIMITED |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
As part of designing our audit, we determined materiality and assessed the risks of material misstatement in the financial statements, including how fraud may occur by enquiring of management of its own consideration of fraud. In particular, we looked at where management made subjective judgements, for example in respect of significant accounting estimates that involved making assumptions and considering future events that are inherently uncertain. We also considered potential financial or other pressures, opportunity and motivations for fraud. As part of this discussion we identified the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations and how management monitor these processes. Appropriate procedures included the review and testing of manual journals and key estimates and judgements made by management.Our tests included agreeing the financial statements disclosures to underlying supporting documentation and enquiries with management. We did not identify any key audit matters relating to irregularities, including fraud. We also addressed the risk of management override of internal controls including testing journals and evaluation whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud. Our audit procedures were designed to respond to risks of material misstatement in the financial statements,recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery,misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the more remote that the non-compliances (eg with laws and regulations) are from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. |
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 |
GWS HOLDINGS LIMITED |
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 |
Statutory Auditor |
Harelands Courtyard Offices |
Moor Road |
Melsonby |
Richmond |
North Yorkshire |
DL10 5NY |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONSOLIDATED |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 46,592,126 | 51,746,336 |
Cost of sales | 39,305,325 | 41,495,285 |
GROSS PROFIT | 7,286,801 | 10,251,051 |
Administrative expenses | 4,839,695 | 4,770,692 |
2,447,106 | 5,480,359 |
Other operating income | 85,274 | 86,309 |
OPERATING PROFIT | 4 | 2,532,380 | 5,566,668 |
Interest receivable and similar income | 195,957 | 10,758 |
2,728,337 | 5,577,426 |
Interest payable and similar expenses | 5 | 277,932 | 132,965 |
PROFIT BEFORE TAXATION | 2,450,405 | 5,444,461 |
Tax on profit | 6 | (159,453 | ) | 951,721 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 2,609,858 | 4,492,740 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONSOLIDATED |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 2,609,858 | 4,492,740 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
2,609,858 |
4,492,740 |
Total comprehensive income attributable to: |
Owners of the parent | 2,609,858 | 4,492,740 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONSOLIDATED BALANCE SHEET |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 | 11,432,661 | 9,312,879 |
Investments | 10 | - | - |
11,432,661 | 9,312,879 |
CURRENT ASSETS |
Stocks | 11 | 87,303 | 79,478 |
Debtors | 12 | 10,091,854 | 9,852,721 |
Cash at bank and in hand | 4,366,155 | 4,733,771 |
14,545,312 | 14,665,970 |
CREDITORS |
Amounts falling due within one year | 13 | 7,958,729 | 9,394,841 |
NET CURRENT ASSETS | 6,586,583 | 5,271,129 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
18,019,244 |
14,584,008 |
CREDITORS |
Amounts falling due after more than one year |
14 |
(3,695,462 |
) |
(3,185,430 |
) |
PROVISIONS FOR LIABILITIES | 18 | (2,372,747 | ) | (1,888,201 | ) |
NET ASSETS | 11,951,035 | 9,510,377 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 100 | 100 |
Retained earnings | 20 | 11,950,935 | 9,510,277 |
SHAREHOLDERS' FUNDS | 11,951,035 | 9,510,377 |
The financial statements were approved by the Board of Directors and authorised for issue on 21 February 2025 and were signed on its behalf by: |
Mrs K Barron - Director |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
COMPANY BALANCE SHEET |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
14 |
( |
) |
PROVISIONS FOR LIABILITIES | 18 | ( |
) | ( |
) |
NET ASSETS |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
COMPANY BALANCE SHEET - continued |
31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings | 20 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 864,863 | 1,840,915 |
The financial statements were approved by the Board of Directors and authorised for issue on |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MAY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 June 2022 | 100 | 5,198,437 | 5,198,537 |
Changes in equity |
Dividends | - | (180,900 | ) | (180,900 | ) |
Total comprehensive income | - | 4,492,740 | 4,492,740 |
Balance at 31 May 2023 | 100 | 9,510,277 | 9,510,377 |
Changes in equity |
Dividends | - | (169,200 | ) | (169,200 | ) |
Total comprehensive income | - | 2,609,858 | 2,609,858 |
Balance at 31 May 2024 | 100 | 11,950,935 | 11,951,035 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MAY 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 June 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 May 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 May 2024 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 2,589,442 | 5,627,274 |
Interest paid | (6,588 | ) | (9,815 | ) |
Interest element of hire purchase payments paid |
(271,344 |
) |
(123,150 |
) |
Tax paid | 285,867 | 233,574 |
Net cash from operating activities | 2,597,377 | 5,727,883 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,099,012 | ) | (973,788 | ) |
Sale of tangible fixed assets | 814,178 | 298,152 |
Interest received | 195,957 | 10,758 |
Net cash from investing activities | (88,877 | ) | (664,878 | ) |
Cash flows from financing activities |
Loan repayments in year | (62,500 | ) | (59,273 | ) |
Capital repayments in year | (2,648,194 | ) | (1,195,109 | ) |
Amount introduced by directors | - | 100 |
Amount withdrawn by directors | 3,778 | (6,586 | ) |
Equity dividends paid | (169,200 | ) | (180,900 | ) |
Net cash from financing activities | (2,876,116 | ) | (1,441,768 | ) |
(Decrease)/increase in cash and cash equivalents | (367,616 | ) | 3,621,237 |
Cash and cash equivalents at beginning of year |
2 |
4,733,771 |
1,112,534 |
Cash and cash equivalents at end of year |
2 |
4,366,155 |
4,733,771 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit before taxation | 2,450,405 | 5,444,461 |
Depreciation charges | 1,618,724 | 1,722,987 |
Profit on disposal of fixed assets | (136,707 | ) | (20,229 | ) |
Movement in AROC/WIP | 995,852 | (870,700 | ) |
Finance costs | 277,932 | 132,965 |
Finance income | (195,957 | ) | (10,758 | ) |
5,010,249 | 6,398,726 |
Increase in stocks | (7,825 | ) | (10,854 | ) |
Increase in trade and other debtors | (1,234,987 | ) | (1,677,067 | ) |
(Decrease)/increase in trade and other creditors | (1,177,995 | ) | 916,469 |
Cash generated from operations | 2,589,442 | 5,627,274 |
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 31 May 2024 |
31/5/24 | 1/6/23 |
£ | £ |
Cash and cash equivalents | 4,366,155 | 4,733,771 |
Year ended 31 May 2023 |
31/5/23 | 1/6/22 |
£ | £ |
Cash and cash equivalents | 4,733,771 | 1,112,534 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MAY 2024 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1/6/23 | Cash flow | changes | At 31/5/24 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 4,733,771 | (367,616 | ) | 4,366,155 |
4,733,771 | (367,616 | ) | 4,366,155 |
Debt |
Finance leases | (5,305,722 | ) | 2,648,194 | - | (5,974,491 | ) |
Debts falling due |
within 1 year | (62,500 | ) | (3,227 | ) | - | (65,727 | ) |
Debts falling due |
after 1 year | (99,800 | ) | 65,727 | - | (34,073 | ) |
(5,468,022 | ) | 2,710,694 | - | (6,074,291 | ) |
Total | (734,251 | ) | 2,343,078 | - | (1,708,136 | ) |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MAY 2024 |
1. | STATUTORY INFORMATION |
GWS Holdings Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
2. | ACCOUNTING POLICIES - continued |
Significant judgements and estimates |
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ |
from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current and future periods. |
Significant judgements |
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements. |
Impairment of tangible assets |
Determine whether there are indicators of impairment of tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset. |
Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of the assets and residual balances are assessed annually and may vary depending on a number of factors. In reassessing asset lives, factors such as technological innovation, product life cycles and maintenance programs are taken into account. |
Valuation of trade debtors |
Determine trade debtors are accurately provided for. Factors taken into consideration include confirmation that outstanding balances are recoverable, and amounts represent bona fide sales. |
Key sources of estimation uncertainty |
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows. |
Depreciation and asset impairment |
Estimates included within these financial statements include depreciation and asset impairment (for example provisions against debtors.) None of the estimates made in the preparation of these financial statements are considered to carry significant estimation uncertainty, nor bear significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Construction Contracts |
Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable. |
When it is probable that the total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately. |
Where the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. |
Non-contract Sales |
Sales comprise the fair value of the consideration received or receivable for the rendering of services in the ordinary course of the company's activities. Sales are presented, net of value added tax, rebates and discounts. |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
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. |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
2. | ACCOUNTING POLICIES - continued |
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. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
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. |
3. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 7,559,811 | 6,283,828 |
Social security costs | 715,503 | 655,183 |
Other pension costs | 155,688 | 136,397 |
8,431,002 | 7,075,408 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
Directors | 3 | 3 |
Administration staff | 11 | 14 |
Site staff | 159 | 155 |
The average number of employees by undertakings that were proportionately consolidated during the year was 173 (2023 - 172 ) . |
2024 | 2023 |
£ | £ |
Directors' remuneration | 47,293 | 46,283 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 4 | 4 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Hire of plant and machinery | 8,472 | 19,740 |
Depreciation - owned assets | 372,538 | 476,666 |
Depreciation - assets on hire purchase contracts | 1,246,184 | 1,246,322 |
Profit on disposal of fixed assets | (136,707 | ) | (20,229 | ) |
Auditors' remuneration | 14,150 | 12,200 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank loan interest | 6,588 | 9,815 |
Hire purchase | 271,344 | 123,150 |
277,932 | 132,965 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
6. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | - | 357,963 |
Adjustment to prior years tax | (643,999 | ) | (233,405 | ) |
Total current tax | (643,999 | ) | 124,558 |
Deferred tax | 484,546 | 827,163 |
Tax on profit | (159,453 | ) | 951,721 |
7. | 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. |
8. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary shares of £1 each |
Interim | 169,200 | 180,900 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
9. | TANGIBLE FIXED ASSETS |
Group |
Improvements | Fixtures |
to | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 June 2023 | 130,190 | 12,995,318 | 41,805 |
Additions | - | 3,730,001 | - |
Disposals | - | (926,259 | ) | - |
At 31 May 2024 | 130,190 | 15,799,060 | 41,805 |
DEPRECIATION |
At 1 June 2023 | 20,830 | 4,872,897 | 25,331 |
Charge for year | 2,604 | 1,353,099 | 2,471 |
Eliminated on disposal | - | (371,936 | ) | - |
At 31 May 2024 | 23,434 | 5,854,060 | 27,802 |
NET BOOK VALUE |
At 31 May 2024 | 106,756 | 9,945,000 | 14,003 |
At 31 May 2023 | 109,360 | 8,122,421 | 16,474 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
9. | TANGIBLE FIXED ASSETS - continued |
Group |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 June 2023 | 2,296,634 | 57,891 | 15,521,838 |
Additions | 685,387 | 587 | 4,415,975 |
Disposals | (371,557 | ) | - | (1,297,816 | ) |
At 31 May 2024 | 2,610,464 | 58,478 | 18,639,997 |
DEPRECIATION |
At 1 June 2023 | 1,239,588 | 50,313 | 6,208,959 |
Charge for year | 258,068 | 2,480 | 1,618,722 |
Eliminated on disposal | (248,409 | ) | - | (620,345 | ) |
At 31 May 2024 | 1,249,247 | 52,793 | 7,207,336 |
NET BOOK VALUE |
At 31 May 2024 | 1,361,217 | 5,685 | 11,432,661 |
At 31 May 2023 | 1,057,046 | 7,578 | 9,312,879 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
9. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 June 2023 | 11,208,967 | 1,396,860 | 12,605,827 |
Additions | 3,378,320 | 313,424 | 3,691,744 |
Disposals | (288,748 | ) | (146,918 | ) | (435,666 | ) |
At 31 May 2024 | 14,298,539 | 1,563,366 | 15,861,905 |
DEPRECIATION |
At 1 June 2023 | 3,705,268 | 760,492 | 4,465,760 |
Charge for year | 1,075,969 | 170,215 | 1,246,184 |
Eliminated on disposal | (144,568 | ) | (121,723 | ) | (266,291 | ) |
At 31 May 2024 | 4,636,669 | 808,984 | 5,445,653 |
NET BOOK VALUE |
At 31 May 2024 | 9,661,870 | 754,382 | 10,416,252 |
At 31 May 2023 | 7,503,699 | 636,368 | 8,140,067 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
9. | TANGIBLE FIXED ASSETS - continued |
Company |
Plant and |
machinery |
£ |
COST |
At 1 June 2023 |
Disposals | ( |
) |
At 31 May 2024 |
DEPRECIATION |
At 1 June 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
10. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 June 2023 |
and 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
10. | 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 |
Registered office: Thistle Road, Littleburn Industrial Estate, Langley Moor, Durham DH7 8HJ |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Thistle Road, Littleburn Industrial Estate, Langley Moor, Durham DH7 8HJ |
Nature of business: |
% |
Class of shares: | holding |
11. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 87,303 | 79,478 |
12. | DEBTORS |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 2,975,991 | 3,531,093 |
Amounts recoverable on contract | 2,474,003 | 3,469,855 |
Other debtors | 2,929,786 | 1,960,929 |
Shareholders loan | 565,000 | - | 565,000 | - |
VAT | 732,732 | 854,672 |
Prepayments | 414,342 | 36,172 |
10,091,854 | 9,852,721 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
12. | DEBTORS - continued |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Amounts falling due after more than | one year: |
Amounts owed by group undertakings | - | - |
Aggregate amounts | 10,091,854 | 9,852,721 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 15) | 65,727 | 62,500 |
Hire purchase contracts (see note 16) | 2,313,102 | 2,220,092 |
Trade creditors | 4,895,979 | 5,535,134 |
Tax | - | 358,132 |
Social security and other taxes | 179,149 | 132,213 |
Other creditors | 62,403 | 467,919 |
Directors' loan accounts | 4,738 | 960 | 4,738 | 960 |
Accrued expenses | 437,631 | 617,891 |
7,958,729 | 9,394,841 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans (see note 15) | 34,073 | 99,800 |
Hire purchase contracts (see note 16) | 3,661,389 | 3,085,630 |
Amounts owed to group undertakings | - | - | 879,246 | - |
3,695,462 | 3,185,430 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
15. | 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 | 65,727 | 62,500 |
Amounts falling due between two and | five years: |
Bank loans - 2-5 years | 34,073 | 99,800 |
16. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year | 2,313,102 | 2,220,092 |
Between one and five years | 3,661,389 | 3,085,630 |
5,974,491 | 5,305,722 |
17. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2024 | 2023 |
£ | £ |
Hire purchase contracts | 5,974,491 | 5,305,722 |
Hire Purchase creditors are secured on the assets to which they relate. |
Lloyds Bank plc hold the following security for Groundwork Service (Durham) Ltd :- |
A debenture dated 19/01/2001 |
An omnibus guarantee and letter of set-off dated 18/03/2021 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
18. | PROVISIONS FOR LIABILITIES |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Deferred tax |
Accelerated capital allowances | 2,536,786 | 1,888,201 |
Tax losses carried forward | (164,039 | ) | - |
2,372,747 | 1,888,201 | 45,932 | 35,208 |
Group |
Deferred |
tax |
£ |
Balance at 1 June 2023 | 1,888,201 |
Charge to Income Statement during year | 484,546 |
Balance at 31 May 2024 | 2,372,747 |
Company |
Deferred |
tax |
£ |
Balance at 1 June 2023 |
Provided during year |
Balance at 31 May 2024 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary B | £1 | 10 | 10 |
Ordinary A | £1 | 90 | 90 |
100 | 100 |
GWS HOLDINGS LIMITED (REGISTERED NUMBER: 10439527) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MAY 2024 |
20. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 June 2023 | 9,510,277 |
Profit for the year | 2,609,858 |
Dividends | (169,200 | ) |
At 31 May 2024 | 11,950,935 |
Company |
Retained |
earnings |
£ |
At 1 June 2023 |
Profit for the year |
Dividends | ( |
) |
At 31 May 2024 |
21. | ULTIMATE CONTROLLING PARTY |
The controlling party is K & F Barron. |
The ultimate controlling party is K & F Barron. |