Company Registration No. 04480323 (England and Wales)
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
COMPANY INFORMATION
Directors
Mr Jan Rieck
Dr P Fischer
Mr Michael O'Leary
Secretary
Mr Michael O'Leary
Company number
04480323
Registered office
Transfesa Road
Paddock Wood
Kent
TN12 6UT
Auditor
Rowland Hall
Grovedell House
15 Knightswick Road
Canvey Island
Essex
SS8 9PA
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Profit and loss account
7 - 8
Group statement of comprehensive income
9
Group balance sheet
10
Company balance sheet
11
Group statement of changes in equity
12
Company statement of changes in equity
13
Group statement of cash flows
14
Company statement of cash flows
15
Notes to the financial statements
16 - 33
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 1 -

The directors present the strategic report for the year ended 31 December 2024.

Review of the business

Turnover of the group has decreased overall by 37.86%, following the disposal of a group company last year. The market division has shown an increase in turnover of 9.7%. The retail division has shown an increase in turnover of 2.1%. Growers by Nature Ltd, a subsidiary company, has shown a decrease in turnover of 5.22%.

 

The Directors consider the annual results to be satisfactory in light of a competitive market and continued difficult trading conditions.

Principal risks and uncertainties

The company is aware that they are trading within a highly competitive market place. The industry is going through a significant change. In order to strengthen their position, the company continues to take steps to ensure a closer relationship with selected growers, and broaden its product range.

 

We are however confident that we are well placed in the market for the coming year but at the same time alert to any unforeseen situations beyond our control.

Development and performance

The directors aim to maintain the management policies which have resulted in the company's growth in recent years. The continued aim is to maintain its efficient cost structure ensuring a high degree of flexibility to adapt to changing market conditions.

Key performance indicators

It is considered that the key financial indicators that communicate financial performance are the divisional profit and net margin. The retail and market divisions have returned satisfactory results in a difficult market. The retail division has returned a loss of £76,293 and the market division has returned a profit of £252,880. The property division, although not trading generated a pre tax profit of £241,087 based on internally and externally generated interest income.

 

Growers by Nature Ltd, a subsidiary company, has continued to build on good general results with the company making a pre tax profit of £36,359.

 

On behalf of the board

.............................................
Mr Jan Rieck
Director
Date: .............................................
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -

The directors present their annual report and financial statements for the year ended 31 December 2024.

Principal activities

The principal activity of the company and group continued to be that of fresh produce importers and distributors.

Results and dividends

The results for the year are set out on pages 7 to 8.

No ordinary dividends were paid. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr Jan Rieck
Dr P Fischer
Mr Michael O'Leary
Auditor

In accordance with the company's articles, a resolution proposing that Rowland Hall be reappointed as auditor of the group will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr Jan Rieck
Director
24 February 2025
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 3 -

The directors are responsible for preparing the Annual Report 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF HARS & HAGEBAUER LIMITED
- 4 -
Opinion

We have audited the financial statements of Hars & Hagebauer Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company 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 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.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HARS & HAGEBAUER LIMITED
- 5 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

- Obtaining an understanding of the legal and regulatory frameworks applicable to the entity including, but not limited to, the Companies Act 2006, The Financial Reporting Standard 102 and UK Tax Legislation and considering the culture and control environment of the organisation.

- Enquiry of management and those charged with governance around actual and potential litigation and claims.

- Review of legal costs to ascertain the nature of the costs and possible related non-compliance.

- Performing audit work over the risk of management override of controls, including testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

- Communicate with component auditors to request identification of any instances of non-compliance with laws and regulations.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation.  This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF HARS & HAGEBAUER LIMITED
- 6 -

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 an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

David Anthony Street  FCCA (Senior Statutory Auditor)
For and on behalf of Rowland Hall
24 February 2025
Chartered Certified Accountants
Statutory Auditor
Grovedell House
15 Knightswick Road
Canvey Island
Essex
SS8 9PA
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 7 -
Continuing
Discontinued
31 December
Continuing
Discontinued
31 December
operations
operations
2024
operations
operations
2023
Notes
£
£
£
£
£
£
Turnover
3
17,052,842
-
17,052,842
16,242,069
11,199,298
27,441,367
Cost of sales
(15,335,962)
-
(15,335,962)
(14,629,922)
(10,201,890)
(24,831,812)
Gross profit
1,716,880
-
1,716,880
1,612,147
997,408
2,609,555
Distribution costs
-
-
-
-
(450)
(450)
Administrative expenses
(1,400,081)
-
(1,400,081)
(1,336,073)
(743,942)
(2,080,015)
Other operating income
16,926
-
16,926
16,228
-
16,228
Operating profit
4
333,725
-
333,725
292,302
253,016
545,318
Share of results of associates and joint ventures
27,890
-
27,890
41,770
-
41,770
Interest receivable and similar income
8
120,456
-
120,456
83,358
-
83,358
Interest payable and similar expenses
9
(149)
-
(149)
-
(102,151)
(102,151)
Gains made on investments
10
-
-
-
51,234
-
51,234
Profit before taxation
481,922
-
481,922
468,664
150,865
619,529
Tax on profit
11
(116,656)
-
(116,656)
(91,218)
(45,197)
(136,415)
Profit for the financial year
365,266
-
365,266
377,446
105,668
483,114
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP PROFIT AND LOSS ACCOUNT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Continuing
Discontinued
31 December
Continuing
Discontinued
31 December
operations
operations
2024
operations
operations
2023
Notes
£
£
£
£
£
£
- 8 -
Profit for the financial year is attributable to:
- Owners of the parent company
358,487
421,055
- Non-controlling interests
6,779
62,059
365,266
483,114
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
- 9 -
2024
2023
£
£
Profit for the year
365,266
483,114
Other comprehensive income
-
-
Cash flow hedges gain arising in the year
-
0
-
0
Total comprehensive income for the year
365,266
483,114
Total comprehensive income for the year is attributable to:
- Owners of the parent company
358,487
421,055
- Non-controlling interests
6,779
62,059
365,266
483,114
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP BALANCE SHEET
AS AT 31 DECEMBER 2024
31 December 2024
- 10 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
13
988
1,483
Tangible assets
14
4,942
6,597
Investments
15
294,681
266,791
300,611
274,871
Current assets
Debtors
18
1,640,281
1,674,444
Investments
19
-
0
3,000,000
Cash at bank and in hand
4,593,065
1,173,028
6,233,346
5,847,472
Creditors: amounts falling due within one year
20
(950,277)
(903,623)
Net current assets
5,283,069
4,943,849
Total assets less current liabilities
5,583,680
5,218,720
Provisions for liabilities
22
(746)
(1,052)
Net assets
5,582,934
5,217,668
Capital and reserves
Called up share capital
24
100,000
100,000
Exchange rate differences
(2,190)
(2,190)
Profit and loss reserves
5,421,956
5,063,469
Equity attributable to owners of the parent company
5,519,766
5,161,279
Non-controlling interests
63,168
56,389
5,582,934
5,217,668
The financial statements were approved by the board of directors and authorised for issue on 24 February 2025 and are signed on its behalf by:
24 February 2025
Dr P Fischer
Director
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024
31 December 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
14
4,704
6,279
Investments
15
19,553
19,553
24,257
25,832
Current assets
Debtors
18
1,633,617
1,531,571
Investments
19
-
0
3,000,000
Cash at bank and in hand
4,422,944
1,041,732
6,056,561
5,573,303
Creditors: amounts falling due within one year
20
(926,510)
(754,780)
Net current assets
5,130,051
4,818,523
Total assets less current liabilities
5,154,308
4,844,355
Provisions for liabilities
Deferred tax liability
22
686
972
(686)
(972)
Net assets
5,153,622
4,843,383
Capital and reserves
Called up share capital
24
100,000
100,000
Profit and loss reserves
5,053,622
4,743,383
Total equity
5,153,622
4,843,383

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £310,239 (2023 - £535,369 profit).

The financial statements were approved by the board of directors and authorised for issue on 24 February 2025 and are signed on its behalf by:
24 February 2025
Dr P Fischer
Director
Company registration number 04480323 (England and Wales)
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 12 -
Share capital
Exchange rate differences
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
£
£
£
£
£
£
Balance at 1 January 2023
100,000
(2,190)
4,642,414
4,740,224
321,538
5,061,762
Year ended 31 December 2023:
Profit and total comprehensive income for the year
-
-
421,055
421,055
62,059
483,114
Other movements
-
-
-
-
(327,208)
(327,208)
Balance at 31 December 2023
100,000
(2,190)
5,063,469
5,161,279
56,389
5,217,668
Year ended 31 December 2024:
Profit and total comprehensive income for the year
-
-
358,487
358,487
6,779
365,266
Balance at 31 December 2024
100,000
(2,190)
5,421,956
5,519,766
63,168
5,582,934
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 13 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 January 2023
100,000
4,208,014
4,308,014
Year ended 31 December 2023:
Profit and total comprehensive income for the year
-
535,369
535,369
Balance at 31 December 2023
100,000
4,743,383
4,843,383
Year ended 31 December 2024:
Profit and total comprehensive income
-
310,239
310,239
Balance at 31 December 2024
100,000
5,053,622
5,153,622
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 14 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
31
391,225
(1,144,669)
Interest paid
(149)
(102,151)
Income taxes paid
(91,495)
(245,131)
Net cash inflow/(outflow) from operating activities
299,581
(1,491,951)
Investing activities
Proceeds from disposal of business
-
1,800,000
Purchase of intangible assets
-
(1,978)
Purchase of tangible fixed assets
-
(162,366)
Proceeds from disposal of tangible fixed assets
-
87,488
Receipts arising from investments made
3,000,000
(3,000,000)
Interest received
120,456
83,358
Net cash generated from/(used in) investing activities
3,120,456
(1,193,498)
Financing activities
Proceeds from new bank loans
-
1,300,000
Repayment of bank loans
-
(9,333)
Disposal of shares in subsidiary to non-controlling interest
-
(327,208)
Net cash (used in)/generated from financing activities
-
963,459
Net increase/(decrease) in cash and cash equivalents
3,420,037
(1,721,990)
Cash and cash equivalents at beginning of year
1,173,028
2,895,018
Cash and cash equivalents at end of year
4,593,065
1,173,028
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
32
314,682
(199,914)
Interest paid
(128)
-
0
Income taxes paid
(78,439)
(51,695)
Net cash inflow/(outflow) from operating activities
236,115
(251,609)
Investing activities
Purchase of tangible fixed assets
-
0
(408)
Purchase of subsidiaries
-
0
1,507,945
Proceeds on disposal of investments
-
0
292,055
Receipts arising from loans made
3,000,000
(3,000,000)
Interest received
145,097
107,187
Net cash generated from/(used in) investing activities
3,145,097
(1,093,221)
Net increase/(decrease) in cash and cash equivalents
3,381,212
(1,344,830)
Cash and cash equivalents at beginning of year
1,041,732
2,386,562
Cash and cash equivalents at end of year
4,422,944
1,041,732
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 16 -
1
Accounting policies
Company information

Hars & Hagebauer Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Transfesa Road, Paddock Wood, Kent, TN12 6UT.

 

The group consists of Hars & Hagebauer Limited and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Hars & Hagebauer Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 December 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 17 -

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

1.4
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.5
Turnover

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.6
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Trademarks
25% on reducing balance
1.7
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and equipment
25% on reducing balance
Fixtures and fittings
25% on reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 18 -
1.8
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.9
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 19 -

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.10
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 20 -
Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

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

 

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

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.12
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 21 -
1.13
Derivatives

Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.

 

A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.

1.14
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.15
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.16
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.17
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 22 -
2
Judgements and key sources of estimation uncertainty

In the application of the group’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 the revision and future periods where the revision affects both current and future periods.

3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
17,052,842
27,374,328
Europe
-
67,039
17,052,842
27,441,367
2024
2023
£
£
Other revenue
Interest income
120,456
83,358
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange gains
(16,926)
(54,710)
Fees payable to the group's auditor for the audit of the group's financial statements
15,750
15,095
Depreciation of owned tangible fixed assets
1,655
118,329
(Profit)/loss on disposal of tangible fixed assets
-
10,047
Amortisation of intangible assets
495
875
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
15,750
15,095
Audit of the financial statements of the company's subsidiaries
4,125
11,964
19,875
27,059
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 23 -
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Management and administration
5
11
5
6
Production
2
29
2
2
Sales
5
7
5
5
Total
12
47
12
13

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
804,282
1,312,759
797,724
700,364
Social security costs
137,740
217,319
137,044
164,987
Pension costs
44,161
55,011
44,161
42,565
986,183
1,585,089
978,929
907,916
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
151,940
150,061
Company pension contributions to defined contribution schemes
6,000
6,000
157,940
156,061

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2023 - 1).

8
Interest receivable and similar income
2024
2023
£
£
Interest income
Other interest income
120,456
83,358
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 24 -
9
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
-
94,263
Interest on invoice finance arrangements
-
0
7,888
-
102,151
Other finance costs:
Other interest
149
-
Total finance costs
149
102,151
10
Amounts written off investments
2024
2023
£
£
Gain on disposal of fixed asset investments
-
51,234
11
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
116,963
145,426
Deferred tax
Origination and reversal of timing differences
(307)
(9,011)
Total tax charge
116,656
136,415
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
11
Taxation
(Continued)
- 25 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
481,922
619,529
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 23.53%)
120,481
145,775
Tax effect of expenses that are not deductible in determining taxable profit
3,148
(17,592)
Tax effect of income not taxable in determining taxable profit
(6,973)
-
0
Permanent capital allowances in excess of depreciation
-
0
(17)
Depreciation on assets not qualifying for tax allowances
-
0
10,506
Amortisation on assets not qualifying for tax allowances
-
0
84
Change in rate of Deferred Tax to 25% (2020-19%)
-
0
(9,505)
Superdeduction capital allowance claim
-
0
7,164
Taxation charge
116,656
136,415
12
Discontinued operations
Corefresh Ltd

The company disposed of its subsidiary Corefresh Ltd in the year to 31st December 2023 in order to focus on strengthening its core group activities. This generated an inflow of funds totalling £1.8M, a company profit of £292,055 and an overall group gain of £51,234 on the disposal. No discontinued activities occurred in 2024.

13
Intangible fixed assets
Group
Trademarks
£
Cost
At 1 January 2024 and 31 December 2024
1,978
Amortisation and impairment
At 1 January 2024
495
Amortisation charged for the year
495
At 31 December 2024
990
Carrying amount
At 31 December 2024
988
At 31 December 2023
1,483
The company had no intangible fixed assets at 31 December 2024 or 31 December 2023.
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 26 -
14
Tangible fixed assets
Group
Plant and equipment
Fixtures and fittings
Total
£
£
£
Cost
At 1 January 2024 and 31 December 2024
14,045
25,156
39,201
Depreciation and impairment
At 1 January 2024
8,063
24,541
32,604
Depreciation charged in the year
1,475
180
1,655
At 31 December 2024
9,538
24,721
34,259
Carrying amount
At 31 December 2024
4,507
435
4,942
At 31 December 2023
5,982
615
6,597
Company
Plant and equipment
Fixtures and fittings
Total
£
£
£
Cost
At 1 January 2024 and 31 December 2024
9,802
25,156
34,958
Depreciation and impairment
At 1 January 2024
4,138
24,541
28,679
Depreciation charged in the year
1,395
180
1,575
At 31 December 2024
5,533
24,721
30,254
Carrying amount
At 31 December 2024
4,269
435
4,704
At 31 December 2023
5,664
615
6,279
15
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
16
-
0
-
0
75
75
Investments in associates
17
294,656
266,766
19,478
19,478
Unlisted investments
25
25
-
0
-
0
294,681
266,791
19,553
19,553
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
15
Fixed asset investments
(Continued)
- 27 -
Movements in fixed asset investments
Group
Shares in associates
Other investments
Total
£
£
£
Cost or valuation
At 1 January 2024
266,766
25
266,791
Valuation changes
27,890
-
27,890
At 31 December 2024
294,656
25
294,681
Carrying amount
At 31 December 2024
294,656
25
294,681
At 31 December 2023
266,766
25
266,791
Movements in fixed asset investments
Company
Shares in subsidiaries and associates
£
Cost or valuation
At 1 January 2024 and 31 December 2024
19,553
Carrying amount
At 31 December 2024
19,553
At 31 December 2023
19,553
16
Subsidiaries

Details of the company's subsidiaries at 31 December 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Growers By Nature Ltd
Transfesa Road, Paddock Wood, Kent, TN12 6UT
Ordinary shares
75.00
17
Associates

Details of associates at 31 December 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Marrakech Fresh SA
km13, Route d'Essaouira, Commune Saada, Marrakech, 40000. Morocco
Ordinary shares
40
Growers By Nature Europe GmbH
Banks Str. 28, 20097, Hamburg Germany
Ordinary Shares
45
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 28 -
18
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
1,341,639
1,276,808
1,342,970
1,260,543
Other debtors
35,038
147,821
29,463
23,633
Prepayments and accrued income
263,604
249,815
261,184
247,395
1,640,281
1,674,444
1,633,617
1,531,571
19
Current asset investments
Group
Company
2024
2023
2024
2023
£
£
£
£
Unlisted investments
-
3,000,000
-
3,000,000
20
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£
£
£
£
Trade creditors
465,144
448,111
463,268
446,235
Corporation tax payable
116,963
91,496
107,720
78,439
Other taxation and social security
23,772
143,045
23,772
25,459
Accruals and deferred income
344,398
220,971
331,750
204,647
950,277
903,623
926,510
754,780
21
Reserves

Called up share capital - represents the nominal value of shares that have been issued.

 

Profit & loss account - includes all current and prior year retained profits and losses.

 

Exchange rate differences- includes all prior year translation differences regarding foreign group companies.

22
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
746
1,052
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
22
Deferred taxation
(Continued)
- 29 -
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
686
972
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 January 2024
1,052
972
Credit to profit or loss
(306)
(286)
Liability at 31 December 2024
746
686
23
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
44,161
55,011

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

24
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
100,000
100,000
100,000
100,000
25
Financial risk management

The group has largely mitigated most risks. However, it is exposed to both foreign exchange currency exposure and customer credit exposure.

 

Foreign exchange transactional currency exposure

The group is exposed to currency exchange rate risk due to some transactions being denoted in non-Sterling currencies. The exposure to each transaction is monitored and managed by occasional short term foreign exchange contracts which are for a short fixed period where that currency is needed. The contracts are never long term and never extend over a financial period. In the main, however, the risk is managed by purchasing the required level of currency for a particular transaction at a managed rate and not holding significant levels of any non Sterling currencies over and above immediate cash flow requirements.

 

Customer credit exposure

The group offer credit terms to its customers which allow payment of the debt after delivery of the goods. The group is at risk to the extent that a customer may be unable to pay the debt on the specified due date. The risk is mitigated by the strong ongoing customer relationships and by credit insurance

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 30 -
26
Operating lease commitments

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
65,174
65,174
65,174
65,174
Between two and five years
-
65,174
-
65,174
65,174
130,348
65,174
130,348
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 31 -
27
Related party transactions

The company is controlled by Mr. Friedrich-Carl Fischer by virtue of his shareholding in Hars & Hagebauer GmbH, the ultimate parent company.

 

During the year there was no trade with Marrakech Fresh SA, its Moroccan associate. No fresh produce sales were made to that company in this or the prior year. Fresh produce was purchased by the company of £Nil (2023 £1,622). At the year end there were no amounts outstanding.

 

During the year the company traded with Growers By Nature Europe GmbH, its associate. Fresh produce was purchased from the associate of £79,821 (2023 £157,235). The company also levied sales and service charges to that company of £56,338 (2023 £69,323). The total amount owed to the company at the year end was £Nil (2023 £1,028).

 

During the year the company traded with Growers By Nature Ltd, its subsidiary. Fresh produce was purchased from the subsidiary of £5,726 (2023 £103,621). Sales were made to that company of £Nil (2023 £10,842). The company also levied service charges of £38,374 (2023 £48,713) and finance charges of £24,641 (2023 £23,829). A short term loan of £900,000 (2023 £900,000) was also advanced during the year. The total amount owed by its subsidiary at the year end was £1,754 (2023 £84).

 

During the year the company traded with its parent company Hars & Hagebauer GmbH. Sales were made of £Nil (2023 ££19,578 (Euro 22,014). No amounts were outstanding at the year end.

 

During the year the company transacted with Growers By Nature (Pty) Ltd, a shareholder in Growers By Nature Ltd. Fresh Produce was purchased from that company in the year of £610,187 (2023 £1,011,639). The total amount owed to that company at the year end was £11,340 (2023 £46,984).

 

During the year, in addition to company trading, other members of the group transacted with Growers By Nature (Pty) Ltd, a shareholder in Growers By Nature Ltd. Fresh Produce was purchased from that company in the year of £3,661,505 (2023 £3,506,991). At the year end a balance was owed of £Nil (2023 £Nil).

 

During the year, in addition to company trading, other members of the group transacted with Growers By Nature Europe GmbH, its associate. Recharges were made to its associate of £Nil (2023 £2,075). At the year end an amount was owed by the associate of £Nil (2023 £Nil).

 

A Director of a previously owned group company was owed £Nil (2023 £442,116) during the year. Interest was charged on the loan of £Nil (2023 £10,024).

28
Controlling party

The company is a wholly owned subsidiary of Hars & Hagebauer GmbH, a company incorporated in Germany.

29
Subsequent Events

The group has agreed to dispose of its associate Growers By Nature Europe GmbH for 400,000 Euro. This will reflect in a profit on disposal of investments over and above the value held in the accounts of approximately £70,000. Part of the transaction will also involve the group acquiring the minority interest in Growers By Nature Ltd and selling its investment in Growers By Nature (Pty) Ltd.

30
Parent undertaking

The immediate parent entity who also forms the largest group undertaking is Hars & Hagebauer GmbH based in Germany registered at Registergricht, Hamburg , company number HRB 37103.

 

 

The smallest group of undertakings is Hars & Hagebauer Ltd.

HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 32 -
31
Cash generated from/(absorbed by) group operations
2024
2023
£
£
Profit for the year after tax
365,266
483,114
Adjustments for:
Share of results of associates and joint ventures
(27,890)
(41,770)
Taxation charged
116,656
136,415
Finance costs
149
102,151
Investment income
(120,456)
(83,358)
(Gain)/loss on disposal of tangible fixed assets
-
10,047
Amortisation and impairment of intangible assets
495
875
Depreciation and impairment of tangible fixed assets
1,655
118,329
Gain on sale of investments
-
(51,234)
Movements in working capital:
Decrease in stocks
-
108,861
Decrease/(increase) in debtors
34,163
(1,796,463)
Increase/(decrease) in creditors
21,187
(131,636)
Cash generated from/(absorbed by) operations
391,225
(1,144,669)
32
Cash generated from/(absorbed by) operations - company
2024
2023
£
£
Profit for the year after tax
310,239
535,369
Adjustments for:
Taxation charged
107,434
78,161
Finance costs
128
-
0
Investment income
(145,097)
(107,187)
Depreciation and impairment of tangible fixed assets
1,575
2,103
Gain on sale of investments
-
(292,055)
Movements in working capital:
Increase in debtors
(102,046)
(293,723)
Increase/(decrease) in creditors
142,449
(122,582)
Cash generated from/(absorbed by) operations
314,682
(199,914)
33
Analysis of changes in net funds - group
1 January 2024
Cash flows
31 December 2024
£
£
£
Cash at bank and in hand
1,173,028
3,420,037
4,593,065
HARS & HAGEBAUER LIMITED
AND ITS SUBSIDIARY COMPANIES
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 33 -
34
Analysis of changes in net funds - company
1 January 2024
Cash flows
31 December 2024
£
£
£
Cash at bank and in hand
1,041,732
3,381,212
4,422,944
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