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REGISTERED NUMBER: 04406861 (England and Wales)










Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 March 2024

for

SHACA CONSTRUCTION LIMITED

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)






Contents of the Financial Statements
FOR THE YEAR ENDED 31 MARCH 2024




Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 4

Income Statement 7

Other Comprehensive Income 8

Balance Sheet 9

Statement of Changes in Equity 10

Cash Flow Statement 11

Notes to the Cash Flow Statement 12

Notes to the Financial Statements 13


SHACA CONSTRUCTION LIMITED

Company Information
FOR THE YEAR ENDED 31 MARCH 2024







DIRECTORS: Mr A F Carr
Mr S R Heydon
Mr A J Barrons
Mr J S Basi
Mr D L Karawadra
Mr J C Rutherford





SECRETARY: Mr S R Heydon





REGISTERED OFFICE: 104 High Street
London Colney
St. Albans
Hertfordshire
AL2 1QL





REGISTERED NUMBER: 04406861 (England and Wales)





AUDITORS: AGK Partners
Chartered Accountants & Statutory Auditors
1 Kings Avenue
London
N21 3NA

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Strategic Report
FOR THE YEAR ENDED 31 MARCH 2024

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

REVIEW OF BUSINESS
The principle activities of the company are specialist structural alterations, groundwork contracts and traditional building contracts.

The turnover for the year increased by approximately 20.42% to £16,979,304 (2023: £14,099,518).

The gross margin decreased by approximately 1.73% from 25.6% to 23.87%. The decrease in gross margin is in line with expectations.

The profit before tax for the year is £2,871,063 (2023: £2,771,798).

PRINCIPAL RISKS AND UNCERTAINTIES
The market is highly competitive. The directors actively manage risk across all areas of the business. The main risks are competition risk, reputational risk and credit risk.

KEY PERFORMANCE INDICATORS
The Directors consider the following as key performance indicators

20242023
£   £   
Turnover16,979,30414,099,518
Cost of Sales12,926,28510,488,017
Gross Profit4,053,0193,611,501
Gross Margin23.87%25.60%
Profit before tax2,871,0632,771,798
Net Assets6,733,7694,075,579

KEY STRATEGY AND FUTURE DEVELOPMENTS
The Directors have built a strong brand and reputation by providing first class service in construction projects. This is achieved by aligning ourselves closely with our clients, ensuring we have a full understanding of their requirements. Our strategy is to continue to specialise in our principle activities, maintain our brand reputation whilst managing the risk areas across our business

FINANCIAL POSITION
The Company is in good health and allows expansion of the business from its own resources. The results for the year and the financial position at the year-end were considered satisfactory by the directors who expect controlled growth and profitability to continue in the forseeable future.

The directors are confident that the company will be able to strengthen its financial position by building on its current portfolio of contracts and grow the business with both existing and new clients in the future.

ON BEHALF OF THE BOARD:





Mr S R Heydon - Director


5 February 2025

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Report of the Directors
FOR THE YEAR ENDED 31 MARCH 2024

The directors present their report with the financial statements of the company for the year ended 31 March 2024.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of specialist structural alterations, groundwork contracts and traditional building contracts.

DIVIDENDS
Ordinary dividends were paid amounting to £Nil (2023: £Nil). The directors do not recommend payment of a further dividend.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 April 2023 to the date of this report.

Mr A F Carr
Mr S R Heydon

Other changes in directors holding office are as follows:

Mr A J Barrons , Mr J S Basi , Mr D L Karawadra and Mr J C Rutherford were appointed as directors after 31 March 2024 but prior to the date of this report.

DONATIONS AND EXPENDITURE
Charitable donations made in the year amounted to £6,705. (2023: £1,565).

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the 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 of the profit or loss of the company 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;
-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 transactions and disclose with reasonable accuracy at any time the financial position of the 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 company 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 company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS
The auditors, AGK Partners, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





Mr S R Heydon - Director


5 February 2025

Report of the Independent Auditors to the Members of
Shaca Construction Limited

Opinion
We have audited the financial statements of Shaca Construction Limited (the 'company') for the year ended 31 March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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 company's affairs as at 31 March 2024 and of its 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 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 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 directors are responsible for the other information. The other information comprises the information in the 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 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 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in the 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, or returns adequate for our audit have not been received from branches not visited by us; or
- the 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.

Report of the Independent Auditors to the Members of
Shaca Construction Limited


Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 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 company or to cease operations, or have no realistic alternative but to do so.

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognize non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the industry;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- tested journal entries to identify unusual transactions;
- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
- investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- agreeing financial statement disclosures to underlying supporting documentation;
- reading the minutes of meetings of those charged with governance;
- enquiring of management as to actual and potential litigation and claims; and
- reviewing correspondence with HMRC, relevant regulators, and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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

Report of the Independent Auditors to the Members of
Shaca Construction 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.




Alekos Christofi (FCCA) (Senior Statutory Auditor)
for and on behalf of AGK Partners
Chartered Accountants & Statutory Auditors
1 Kings Avenue
London
N21 3NA

5 February 2025

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Income Statement
FOR THE YEAR ENDED 31 MARCH 2024

2024 2023
Notes £    £   

REVENUE 3 16,979,304 14,099,518

Cost of sales 12,926,285 10,488,017
GROSS PROFIT 4,053,019 3,611,501

Administrative expenses 1,387,136 990,583
2,665,883 2,620,918

Other operating income 173,553 145,938
OPERATING PROFIT 5 2,839,436 2,766,856

Interest receivable and similar income 31,627 4,942
PROFIT BEFORE TAXATION 2,871,063 2,771,798

Tax on profit 6 212,873 526,472
PROFIT FOR THE FINANCIAL YEAR 2,658,190 2,245,326

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Other Comprehensive Income
FOR THE YEAR ENDED 31 MARCH 2024

2024 2023
Notes £    £   

PROFIT FOR THE YEAR 2,658,190 2,245,326


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

2,658,190

2,245,326

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Balance Sheet
31 MARCH 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Property, plant and equipment 7 36,555 5,028

CURRENT ASSETS
Debtors 8 6,948,552 5,356,158
Cash at bank and in hand 2,313,441 2,598,145
9,261,993 7,954,303
CREDITORS
Amounts falling due within one year 9 2,555,909 3,883,239
NET CURRENT ASSETS 6,706,084 4,071,064
TOTAL ASSETS LESS CURRENT
LIABILITIES

6,742,639

4,076,092

PROVISIONS FOR LIABILITIES 10 8,870 513
NET ASSETS 6,733,769 4,075,579

CAPITAL AND RESERVES
Called up share capital 11 2 2
Retained earnings 12 6,733,767 4,075,577
SHAREHOLDERS' FUNDS 6,733,769 4,075,579

The financial statements were approved by the Board of Directors and authorised for issue on 5 February 2025 and were signed on its behalf by:





Mr S R Heydon - Director


SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Statement of Changes in Equity
FOR THE YEAR ENDED 31 MARCH 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 April 2022 2 1,830,251 1,830,253

Changes in equity
Total comprehensive income - 2,245,326 2,245,326
Balance at 31 March 2023 2 4,075,577 4,075,579

Changes in equity
Total comprehensive income - 2,658,190 2,658,190
Balance at 31 March 2024 2 6,733,767 6,733,769

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Cash Flow Statement
FOR THE YEAR ENDED 31 MARCH 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 121,046 1,647,643
Tax paid (401,055 ) (98,772 )
Net cash from operating activities (280,009 ) 1,548,871

Cash flows from investing activities
Purchase of tangible fixed assets (36,622 ) (2,133 )
Sale of tangible fixed assets 300 -
Interest received 31,627 4,942
Net cash from investing activities (4,695 ) 2,809

(Decrease)/increase in cash and cash equivalents (284,704 ) 1,551,680
Cash and cash equivalents at beginning
of year

2

2,598,145

1,046,465

Cash and cash equivalents at end of year 2 2,313,441 2,598,145

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Cash Flow Statement
FOR THE YEAR ENDED 31 MARCH 2024

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024 2023
£    £   
Profit before taxation 2,871,063 2,771,798
Depreciation charges 5,095 2,167
Profit on disposal of fixed assets (300 ) -
Government grants - (204 )
Finance income (31,627 ) (4,942 )
2,844,231 2,768,819
Increase in inventories - (25 )
(Increase)/decrease in trade and other debtors (1,728,598 ) 474,900
Decrease in trade and other creditors (994,587 ) (1,596,051 )
Cash generated from operations 121,046 1,647,643

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 March 2024
31.3.24 1.4.23
£    £   
Cash and cash equivalents 2,313,441 2,598,145
Year ended 31 March 2023
31.3.23 1.4.22
£    £   
Cash and cash equivalents 2,598,145 1,046,465


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.23 Cash flow At 31.3.24
£    £    £   
Net cash
Cash at bank and in hand 2,598,145 (284,704 ) 2,313,441
2,598,145 (284,704 ) 2,313,441
Total 2,598,145 (284,704 ) 2,313,441

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements
FOR THE YEAR ENDED 31 MARCH 2024

1. STATUTORY INFORMATION

Shaca Construction Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Critical accounting judgements and key sources of estimation uncertainty
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 the revision and future periods where the revision affects both current and future periods.

Significant judgement and estimates relates to the recognition of revenue on long term contracts. Recognition of revenue and profit on long term contracts are based on judgements made in respect of the ultimate profitability of a contract. Such judgements are arrived through the use of estimates in relation to the costs and value of the work performed to date and to be performed in bringing contracts to completion. The company has appropriate control procedures to ensure all estimates are determined on a consistent basis and subject to appropriate review and authorisation.

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

2. ACCOUNTING POLICIES - continued

Revenue
Revenue is recognised upon rendering of construction services to customers in an amount that reflects the consideration which the company expects to receive in exchange for those services. To recognise revenues, the company applies following five step approach:

(1) identify the contract with a customer,
(2) identify the performance obligations in the contract,
(3) determine the transaction price,
(4) allocate the transaction price to the performance obligations in the contract, and
(5) recognise revenues when a performance obligation is satisfied

Turnover represents the total invoice value, excluding value added tax, of sales made during the year. Turnover is reduced for customer returns and other similar allowances.

Turnover is recognised at the point the company has transferred to the buyer the significant risks and rewards, the amount of the turnover can be measured reliably and it is probable the economic benefits associated with the transactions will flow to the company.

Turnover related income from maintenance contracts is recognised evenly over the period of the contract.

When the outcome of a construction contract can be estimated reliably, contract revenue and contract costs are recognised as revenue and expenses respectively by reference to the stage of completion of the contract activity at the balance sheet date. When the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred that are likely to be recoverable. When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately.

Contract revenue comprises the initial amount of revenue agreed in the contract and variations in the contract work and claims that can be measured reliably. A variation or a claim is recognised as contract revenue when it is probable that the customer will approve the variation or negotiations have reached an advanced stage such that it is probable that the customer will accept the claim.

The stage of completion is measured by reference to the ratio of contract costs incurred to date to the estimated total costs for the contract. Costs incurred during the financial year in connection with future activity on a contract are excluded from the costs incurred to date when determining the stage of completion of a contract. Such costs are shown as construction contract work-in-progress on the balance sheet unless it is not probable that such contract costs are recoverable from the customers, in which case, such costs are recognised as an expense immediately.

At the balance sheet date, the cumulative costs incurred plus recognised profit (less recognised loss) on each contract is compared against the progress billings. Where the cumulative costs incurred plus the recognised profits (less recognised losses) exceed progress billings, the balance is presented as due from customers on construction contracts within "Amount recoverable on contract". Where progress billings exceed the cumulative costs incurred plus recognised profits (less recognised losses), the balance is presented as due to customers on construction contracts within "Payments on account".

Progress billings not yet paid by customers and retentions by customers are included within "Amount recoverable on contract". Advances received are included within "Payments on account".

Property, plant & equipment
Property, plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses. Such cost includes costs directly attributable to making the assets capable of operating as intended.

The carrying value of tangible assets are reviewed for impairment when events or changes in circumstances indicate the carrying value may not be recoverable.

Depreciation has been provided at the following rates in order to write off the assets over their estimated useful lives.

Leasehold property20% on cost
Plant and machinery25% on cost
Motor Vehicles20% on cost

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

2. ACCOUNTING POLICIES - continued

Government grants
Government grants are recognised in the profit and loss account in an appropriate manner that matches them with the expenditure towards which they are intended to contribute.

Grants for immediate financial support or to cover costs already incurred are recognised immediately in the profit and loss account. Grants towards general activities of the entity over a specific period are recognised in the profit and loss account over that period.

Grants towards fixed assets are recognised over the expected useful lives of the related assets and are treated as deferred income and released to the profit and loss account over the useful life of the asset concerned.

All grants in the profit and loss account are recognised when all conditions for receipt have been complied with.

Research and development
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents
Cash and cash equivalents in the statement of financial position comprise cash at banks and in hand, short term deposits with an original maturity date of one month. Cash equivalents are defined as short-term, highly liquid investments that are readily convertible to known amounts of cash and that are subject to an insignificant risk of changes in value.

Financial instruments
The company 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 company's balance sheet when the company becomes party to the contractual provisions of the instrument.

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

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

2. ACCOUNTING POLICIES - continued

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 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.

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 company 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.

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

2. ACCOUNTING POLICIES - continued

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 company after deducting all of its liabilities.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, 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 though 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 company’s contractual obligations expire or are discharged or cancelled.

3. REVENUE

The revenue and profit before taxation are attributable to the one principal activity of the company.

An analysis of revenue by class of business is given below:

2024 2023
£    £   
Construction and development 16,979,304 14,099,518
16,979,304 14,099,518

An analysis of revenue by geographical market is given below:

2024 2023
£    £   
United Kingdom 16,979,304 14,099,518
16,979,304 14,099,518

4. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 405,111 308,775
Social security costs 42,247 32,550
Other pension costs 126,191 87,005
573,549 428,330

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

4. EMPLOYEES AND DIRECTORS - continued

The average number of employees during the year was as follows:
2024 2023

Management 4 4
Finance, administrative and other staff 11 10
15 14

2024 2023
£    £   
Directors' remuneration 22,000 22,000
Directors' pension contributions to money purchase schemes 120,000 80,000

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

5. OPERATING PROFIT

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

2024 2023
£    £   
Other operating leases 16,465 16,465
Depreciation - owned assets 5,095 2,265
Profit on disposal of fixed assets (300 ) -
Auditors' remuneration 10,000 (3,750 )

6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax 204,516 526,472

Deferred tax 8,357 -
Tax on profit 212,873 526,472

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

6. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2024 2023
£    £   
Profit before tax 2,871,063 2,771,798
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2023 - 19%)

717,766

526,642

Effects of:
Expenses not deductible for tax purposes 3,663 -
Income not taxable for tax purposes 75 -
Capital allowances in excess of depreciation (7,941 ) -
Capital allowances - (170 )
Deferred tax 8,357 -
R&D Tax credits (507,221 ) -
Other (1,826 ) -
Total tax charge 212,873 526,472

7. PROPERTY, PLANT AND EQUIPMENT
Leasehold Plant and Motor
property machinery vehicles Totals
£    £    £    £   
COST
At 1 April 2023 16,281 40,506 22,544 79,331
Additions - 11,932 24,690 36,622
Disposals - - (22,544 ) (22,544 )
At 31 March 2024 16,281 52,438 24,690 93,409
DEPRECIATION
At 1 April 2023 16,281 35,478 22,544 74,303
Charge for year - 3,037 2,058 5,095
Eliminated on disposal - - (22,544 ) (22,544 )
At 31 March 2024 16,281 38,515 2,058 56,854
NET BOOK VALUE
At 31 March 2024 - 13,923 22,632 36,555
At 31 March 2023 - 5,028 - 5,028

8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 2,011,389 622,852
Amounts owed by group undertakings - 106,485
Amounts owed by connected companies 1,095,208 498,164
Amounts recoverable on contract 3,259,075 3,943,365
Other debtors 1,063 2,752
VAT 344,086 155,324
Prepayments 64,178 27,216
Accrued income 173,553 -
6,948,552 5,356,158

SHACA CONSTRUCTION LIMITED (REGISTERED NUMBER: 04406861)

Notes to the Financial Statements - continued
FOR THE YEAR ENDED 31 MARCH 2024

9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade creditors 473,031 417,675
Amounts owed to group undertakings - 1,982,023
Amounts owed to connected companies 155,913 5,419
Tax 711,737 908,276
Social security and other taxes 72,661 31,843
Other creditors 19,628 19,061
Accrued expenses 1,122,939 518,942
2,555,909 3,883,239

10. PROVISIONS FOR LIABILITIES
2024 2023
£    £   
Deferred tax 8,870 513

Deferred
tax
£   
Balance at 1 April 2023 513
Provided during year 8,357
Balance at 31 March 2024 8,870

11. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
2 Ordinary £1 2 2

12. RESERVES
Retained
earnings
£   

At 1 April 2023 4,075,577
Profit for the year 2,658,190
At 31 March 2024 6,733,767

13. ULTIMATE PARENT COMPANY

On 3rd November 2023 there was a reorganisation of the group. As a result, the company's immediate and ultimate parent company is now Shaca Holdings Limited, a company registered in England and Wales.

14. RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Included in other debtors, due within one year, is an amount totalling £1,095,208 (2023: £604,649) owed from
entities under common control.

These loans are provided interest free and repayable on demand.