Company registration number 07273402 (England and Wales)
P H R FARMS LIMITED
Unaudited Financial Statements
For The Year Ended 30 April 2024
Pages For Filing With Registrar
P H R Farms Limited
P H R FARMS LIMITED
Contents
Page
Accountants' report
1
Balance sheet
2 - 3
Notes to the financial statements
4 - 9
P H R Farms Limited
P H R FARMS LIMITED
Accountants' Report To The Board Of Directors On The Preparation Of The Unaudited Statutory Financial Statements Of P H R Farms Limited For The Year Ended 30 April 2024
- 1 -
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of P H R Farms Limited for the year ended 30 April 2024 which comprise, the balance sheet and the related notes from the company’s accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/regulation.
This report is made solely to the board of directors of P H R Farms Limited, as a body, in accordance with the terms of our engagement letter dated 23 January 2024. Our work has been undertaken solely to prepare for your approval the financial statements of P H R Farms Limited and state those matters that we have agreed to state to the board of directors of P H R Farms Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than P H R Farms Limited and its board of directors as a body, for our work or for this report.
It is your duty to ensure that P H R Farms Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of P H R Farms Limited. You consider that P H R Farms Limited is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of P H R Farms Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.
Chavereys Limited
Chartered Accountants
The Goods Shed
Jubilee Way
Faversham
Kent
ME13 8GD
England
19 February 2025
P H R Farms Limited
P H R FARMS LIMITED
Balance Sheet
As At 30 April 2024
- 2 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
4
2,166,492
1,567,737
Investments
5
427,905
393,090
2,594,397
1,960,827
Current assets
Stocks
6
1,621,885
1,709,793
Debtors
7
165,280
299,114
Cash at bank and in hand
74,986
130,283
1,862,151
2,139,190
Creditors: amounts falling due within one year
8
(1,575,630)
(1,317,776)
Net current assets
286,521
821,414
Total assets less current liabilities
2,880,918
2,782,241
Creditors: amounts falling due after more than one year
9
(533,893)
(647,987)
Provisions for liabilities
(364,779)
(218,302)
Net assets
1,982,246
1,915,952
Capital and reserves
Called up share capital
3
3
Profit and loss reserves
1,982,243
1,915,949
Total equity
1,982,246
1,915,952
The notes on pages 4 to 9 form part of these financial statements.
P H R Farms Limited
P H R FARMS LIMITED
Balance Sheet (Continued)
As At 30 April 2024
- 3 -
For the financial year ended 30 April 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 4 February 2025 and are signed on its behalf by:
Mr P Joules
Director
Company registration number 07273402 (England and Wales)
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements
For The Year Ended 30 April 2024
- 4 -
1
Accounting policies
Company information
P H R Farms Limited is a private company limited by shares incorporated in England and Wales. The registered office is Chavereys Limited, The Goods Shed, Jubilee Way, Faversham, Kent, England, ME13 8GD.
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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
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.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.3
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 machinery
15% reducing balance
Motor vehicles
10% - 25% 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 credited or charged to profit or loss.
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements (Continued)
For The Year Ended 30 April 2024
1
Accounting policies
(Continued)
- 5 -
1.4
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. 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 company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
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 company’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 when the company has 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.
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements (Continued)
For The Year Ended 30 April 2024
1
Accounting policies
(Continued)
- 6 -
1.7
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
1.8
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Total
3
3
3
Taxation
2024
2023
£
£
Current tax
Adjustments in respect of prior periods
(18,721)
Deferred tax
Origination and reversal of timing differences
146,477
129,966
Total tax charge
146,477
111,245
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements (Continued)
For The Year Ended 30 April 2024
- 7 -
4
Tangible fixed assets
Plant and machinery
Motor vehicles
Total
£
£
£
Cost
At 1 May 2023
1,817,139
33,458
1,850,597
Additions
1,062,652
1,062,652
Disposals
(246,250)
(246,250)
At 30 April 2024
2,633,541
33,458
2,666,999
Depreciation and impairment
At 1 May 2023
261,888
20,972
282,860
Depreciation charged in the year
281,325
1,595
282,920
Eliminated in respect of disposals
(65,273)
(65,273)
At 30 April 2024
477,940
22,567
500,507
Carrying amount
At 30 April 2024
2,155,601
10,891
2,166,492
At 30 April 2023
1,555,251
12,486
1,567,737
5
Fixed asset investments
2024
2023
£
£
Other investments other than loans
427,905
393,090
Movements in fixed asset investments
Investments
£
Cost or valuation
At 1 May 2023
393,090
Valuation changes
34,815
At 30 April 2024
427,905
Carrying amount
At 30 April 2024
427,905
At 30 April 2023
393,090
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements (Continued)
For The Year Ended 30 April 2024
- 8 -
6
Stocks
2024
2023
£
£
Livestock
1,621,885
1,709,793
1,621,885
1,709,793
Biological assets included within stock are as follows:
Biological assets - livestock
2024
2023
£
£
As at 1 May
1,709,793
1,788,129
Net movement from births, deaths, sales, purchases and transfers
(87,908)
(78,336)
As at 30 April
1,621,885
1,709,793
7
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
124,456
180,183
Other debtors
40,527
116,417
Prepayments and accrued income
297
2,514
165,280
299,114
8
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
33,447
32,265
Obligations under finance leases
247,229
290,984
Trade creditors
424,171
55,793
Other creditors
434,083
502,134
Accruals and deferred income
436,700
436,600
1,575,630
1,317,776
P H R Farms Limited
P H R FARMS LIMITED
Notes To The Financial Statements (Continued)
For The Year Ended 30 April 2024
- 9 -
9
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Bank loans and overdrafts
74,238
107,684
Obligations under finance leases
456,860
537,014
Government grants
2,795
3,289
533,893
647,987
10
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
541,623
297,870
Tax losses
(176,844)
(79,568)
364,779
218,302
2024
Movements in the year:
£
Liability at 1 May 2023
218,302
Charge to profit or loss
146,477
Liability at 30 April 2024
364,779
11
Related party transactions
Transactions with related parties
During the year the company has traded with a partnership in which the directors are partners. At the year end £433,589 (2023 - £501,553) was due to the partnership.