REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 30 June 2024 |
for |
Hulley And Kirkwood Consulting Engineers |
Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 30 June 2024 |
for |
Hulley And Kirkwood Consulting Engineers |
Limited |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Contents of the Financial Statements |
For The Year Ended 30 June 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Statement of Comprehensive Income | 10 |
Statement of Financial Position | 11 |
Statement of Changes in Equity | 12 |
Notes to the Financial Statements | 13 |
Hulley And Kirkwood Consulting Engineers |
Limited |
Company Information |
For The Year Ended 30 June 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
INDEPENDENT AUDITORS: |
Chartered Accountants & Statutory Auditors |
Regent Court |
70 West Regent Street |
Glasgow |
G2 2QZ |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Strategic Report |
For The Year Ended 30 June 2024 |
The directors present their strategic report for the year ended 30 June 2024. |
REVIEW OF BUSINESS |
The financial results for the year ended 30th June 2024 reflected the continued difficulties faced by the company due to local and national government changes and funding decisions impacting the whole of the country. |
The economic and political landscapes remain uncertain, and the company continues to operate in a fluctuating market, seeking to function effectively and efficiently in spite of continued change and disruption. The company continued to complete new and existing contracts, delivering award winning projects and exceeding customer expectations. |
The Directors continue to monitor the situation on a daily basis, to ensure the business is protected in terms of resources, workflow, profitability and cashflow, as the commercial environment evolves. |
The Directors continually review the business performance using industry standard KPI's and internal management reporting, and are committed to pursue opportunities to develop the business in existing sectors and locations, while exploring new prospects afforded by the changing political and economic environment. |
The Directors are satisfied in the performance of the company and confident that the business will maximise its potential operations within the market in the year ahead. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The directors have taken steps to ensure that day to day risks are managed comprehensively by the company by ensuring it has appropriate contracts in place which are further supported by appropriate insurance cover. Comprehensive management reports are prepared on a monthly and quarterly basis; these reports are used to inform the Board on the financial and trading performance of the company and facilitate cash management. Primarily the business is exposed to the following risks and uncertainties: |
Liquidity risk |
The company aims to mitigate liquidity risk by managing cash flow generation from its operations. Investment is carefully controlled, and forecasts and budgets are prepared and reviewed on a regular basis. The directors are satisfied that the company has adequate resources to enable them to meet their liabilities as they fall due for the foreseeable future. |
Operational risk |
As a company we work to comply with all relevant legislation including health & safety and employment law. We have processes in place to ensure compliance across the business with regular reporting on these matters. There are also regular internal quality checks to ensure quality management processes are adhered to and all professional standards are met. |
Market and competition risk |
The market in which we operate is highly competitive. We face direct competition from businesses of a similar size as well as larger players in the market. Some competitors have differing cost structures which offers a variant pricing strategy that we need to be mindful of. We continue to address this risk by reviewing fee structures on an ongoing basis. |
The Directors remain confident that the business can maximise the opportunities that present themselves in the next twelve months and provide a strong financial performance over this period |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Strategic Report |
For The Year Ended 30 June 2024 |
KEY FINANCIAL PERFORMANCE INDICATORS |
The directors have identified the following key financial performance indicators : |
2024 | 2023 |
Turnover | £10,920,944 | £10,495,676 |
Net Profit % | 5.85% | 9.37% |
Net assets | £2,846,811 | £2,670,924 |
ON BEHALF OF THE BOARD: |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Report of the Directors |
For The Year Ended 30 June 2024 |
The directors present their report with the financial statements of the company for the year ended 30 June 2024. |
DIVIDENDS |
An interim dividend of £ |
The total distribution of dividends for the year ended 30 June 2024 will be £ |
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 July 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
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. |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Report of the Directors |
For The Year Ended 30 June 2024 |
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. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Hulley And Kirkwood Consulting Engineers |
Limited |
Opinion |
We have audited the financial statements of Hulley And Kirkwood Consulting Engineers Limited (the 'company') for the year ended 30 June 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity and 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 30 June 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. |
Report of the Independent Auditors to the Members of |
Hulley And Kirkwood Consulting Engineers |
Limited |
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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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. |
Report of the Independent Auditors to the Members of |
Hulley And Kirkwood Consulting Engineers |
Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
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 recognise 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 wider knowledge and experience; |
- We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006 and FRS 102. |
- 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 |
Audit response to risks identified |
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 set out 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 |
- Requesting correspondence with HMRC, Companies House 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 |
Hulley And Kirkwood Consulting Engineers |
Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants & Statutory Auditors |
Regent Court |
70 West Regent Street |
Glasgow |
G2 2QZ |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Statement of Comprehensive |
Income |
For The Year Ended 30 June 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
TURNOVER | 4 |
Distribution costs |
Administrative expenses |
10,509,701 | 9,656,839 |
411,243 | 838,837 |
Other operating income |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
744,122 | 1,038,049 |
Interest payable and similar expenses | 8 |
PROFIT BEFORE TAXATION |
Tax on profit | 9 | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Statement of Financial Position |
30 June 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 14 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Share premium | 19 |
Other reserves | 19 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Statement of Changes in Equity |
For The Year Ended 30 June 2024 |
Called up |
share | Retained | Share | Other | Total |
capital | earnings | premium | reserves | equity |
£ | £ | £ | £ | £ |
Balance at 1 July 2022 |
Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - | - |
Balance at 30 June 2023 |
Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - | - |
Balance at 30 June 2024 |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements |
For The Year Ended 30 June 2024 |
1. | STATUTORY INFORMATION |
Hulley And Kirkwood Consulting Engineers Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements: |
1. Section 7 'Statement of Cash Flows' - presentation of a statement of cash flow and related notes and disclosures; |
2. Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instrument Issues' - Carrying amounts, interest income / expense and net gains / losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedge, hedging of fair value changes recognised in profit or loss and in other comprehensive income; |
3. Section 33 'Related Party Disclosures' - Compensation for key management personnel. This information is included in the consolidated financial statements of Hulley & Kirkwood Limited as at 30 June 2024 and these financial statements may be obtained from Companies House. |
Going concern |
The directors ordinarily review and update cash flow and trading forecasts to ensure the company has sufficient resources to enable it to meet its liabilities as they fall due for a period of at least twelve months from the date signing of the financial statements. The directors have considered a number of potential scenarios over the coming twelve months, including a sensitised forecast on the back of the current global uncertainty shows that the company has adequate working capital to continue trading over this period. |
The directors believe that the company has a strong pipeline of sales opportunities, and together with projects that are already confirmed, further sales will be generated which will create further cash inflows for the business. The directors are satisfied based on discussions with customers regarding specific projects, that demand is still there for Hulley & Kirkwood’s services. The company has shown its ability to grow during the 2024 financial year and the directors are satisfied that the company will remain cash generating and profit making |
Thus, with a healthy cash balance, the ability of the team to operate and work remotely, good customer relationships and forecasted trading expectations, the directors are satisfied that the company will have adequate resources to continue as a going concern for the foreseeable future. |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised: |
Rendering of services |
Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied: |
1. The amount of turnover can be measured reliably; |
2. It is probable that the Company will receive the consideration due under the contract; |
3. The stage of completion of the contract at the end of the reporting period can be measured |
reliably; and |
4. The costs incurred and the costs to complete the contract can be measured reliably. |
Tangible fixed assets |
Fixtures and fittings | - |
Computer equipment | - |
Financial instruments |
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans to related parties. |
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in the case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Functional and presentation currency |
The Company's functional and presentational currency is GBP. |
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. |
At each period end foreign currency monetary items are translated using the closing rate. Non monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined. |
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss |
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. |
Operating leases: the Company as lessor |
Rentals income from operating leases is credited to the Statement of Comprehensive Income on a straight line basis over the term of the relevant lease. |
Operating leases: the Company as lessee |
Rentals paid under operating leases are charged to the Statement of Comprehensive Income on a straight line basis over the lease term. |
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. |
Defined contribution pension plan |
The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations. |
The contributions are recognised as an expense in the Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds. |
Provisions for liabilities |
Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. |
Provisions are charged as an expense to the Statement of Comprehensive Income in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the Statement of Financial Position date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. |
When payments are eventually made, they are charged to the provision carried in the Statement of Financial Position. |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
3. | JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities reported at the balance sheet date and the amounts reported for revenue and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements and estimates have had the most significant effects on amounts recognised in the financial statements. |
Depreciation |
The estimates and assumptions used to determine the depreciation charge requires judgements to be made as regards asset useful lives and residual values. The useful lives and residual values of the company's fixed assets are determined by management at the time the asset is acquired and reviewed annually for appropriateness. The lives are based on historical experience with similar assets. Historically, changes in useful lives have not resulted in material changes to the company's depreciation charge. |
Revenue Recognition |
Revenue on long term contracts for services is recognised according to the stage of completion reached on the contract by measuring a proportion of costs incurred for work performed to total estimated costs.Estimating the costs to completion and therefore the total contract costs is a key judgement in respect of revenue recognition on these contracts. Management bases their judgements of revenue and the assessment of the expected outcome of each contract on the latest information available. This includes contract valuations, and forecast costs to complete. The estimates of the contract positions and the profit or loss earned to date is updated regularly and the impact of any change in the accounting estimates are reflected in the financial statements. See notes 15 and 17 for amounts recoverable on contracts and payments received on account. |
Provisions |
Liabilities are recognised where the Company has an obligation at the Statement of Financial Position date as a result of a past event and it is probable that a transfer of economic benefit will be required in settlement with the amount of the settlement able to be estimated reliably. Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advance payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
The whole of the turnover is attributable to the Company's principal activity of consulting engineering. |
All turnover arose within the United Kingdom. |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
5. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2024 | 2023 |
Directors | 6 | 7 |
Engineers | 100 | 99 |
Administration | 18 | 17 |
2024 | 2023 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc |
Pension contributions to money purchase schemes |
6. | OPERATING PROFIT |
The operating profit is stated after charging: |
2024 | 2023 |
£ | £ |
Hire of plant and machinery |
Other operating leases |
Depreciation - owned assets |
7. | AUDITORS' REMUNERATION |
2024 | 2023 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
12,500 |
12,000 |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank loan interest |
Other loan interest payable |
9. | TAXATION |
Analysis of the tax charge/(credit) |
The tax charge/(credit) on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | ( |
) |
Deferred tax |
Tax on profit | ( |
) |
UK corporation tax has been charged at 25% (2023 - 20.50%). |
Reconciliation of total tax charge/(credit) included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2024 | 2023 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | ( |
) | - |
Depreciation in excess of capital allowances | - |
Adjustments to tax charge in respect of previous periods | ( |
) | ( |
) |
Other timing differences | (9,941 | ) | - |
Tax effect of group relief | (11,491 | ) | - |
Deferred tax | 12,917 | - |
Total tax charge/(credit) | 166,284 | (11,648 | ) |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
10. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Allotted, called up and fully paid shares of £1 each |
Interim |
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting. |
11. | TANGIBLE FIXED ASSETS |
Fixtures |
and | Computer |
fittings | equipment | Totals |
£ | £ | £ |
COST |
At 1 July 2023 |
Additions |
At 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Amounts recoverable on contract |
Other debtors |
Amounts owed by group undertakings | 623,750 | 694,050 |
Deferred tax | - | 9,445 |
Tax |
Prepayments |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts (see note 15) |
Payments received on account |
Trade creditors |
Tax |
Social security and other taxes |
VAT | 1,097,260 | 1,034,057 |
Other creditors |
Accrued expenses |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans (see note 15) |
15. | LOANS |
An analysis of the maturity of loans is given below: |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
16. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
17. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax | 3,462 | - |
Dilapidation provision | 160,617 | 41,318 |
Deferred | Other |
tax | provisions |
£ | £ |
Balance at 1 July 2023 |
Provided during year |
Balance at 30 June 2024 |
Full provision has been made for the company's obligation to pay annuities to certain employees, former employees and their dependants in accordance with accounting standards and has been discounted. The provision has been fully utilised during 2022. |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Allotted, called up and fully |
paid | £1 | 171,487 | 171,487 |
19. | RESERVES |
Share premium account |
This reserve recoded the amount above the nominal value received for shares sold, less transaction costs. |
Other reserves |
This reserve is a capital redemption reserve when the company purchases some of its own shares. |
Profit and loss account |
The profit and loss account represents the accumulated profit and losses of the Company less distributions made to shareholders. |
20. | PENSION COMMITMENTS |
The Company operates a defined contributions pension scheme. The assets if the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents the contributions payable by the company to the fund and amounted to £492,029 (2023 - £552,029). |
Hulley And Kirkwood Consulting Engineers |
Limited (Registered number: SC132484) |
Notes to the Financial Statements - continued |
For The Year Ended 30 June 2024 |
21. | CONTINGENT LIABILITIES |
The company has granted a guarantee for £1,398,309 (2023 - £1,503,693) to The Royal Bank of Scotland plc in relation to loans provided to a related company, Hulley Property Company Limited. |
The Group has also granted a cross corporate guarantee for £nil (2023 - £207,543) in favour of the Security Trustee in relation to Loan Notes issued in Hulley and Kirkwood Limited. |
22. | RELATED PARTY DISCLOSURES |
The Company has taken the exemption in section 33.1A not to disclose transactions with other wholly owned group companies. Balance with group companies are disclosed in notes 12 and 13. |
During the year, directors advanced £287,520 (2023 - £922,500), accrued interest net of tax of £95,670 (2023 - £27,648) and withdrew £871,920 (2023 - £1,056,394). The balance due to the directors at 30 June 2024 is £542,480 (2023 - £1,032,724). |
During the year, rent of £28,467 (2023 - £24,400) and management charges of £193,664 (2023 - £167,006) were raised to other related parties. |
Included in debtors is £332,570 due from (2023 - £547,793) Hulley and Kirkwood Employee Trust, a trust whose trustees are directors of the company. All intercompany balances are repayable on demand. |
23. | ULTIMATE CONTROLLING PARTY |
The ultimate parent company of Hulley and Kirkwood Consulting Engineers Limited is Hulley and Kirkwood Limited, a company registered in Scotland. |
In the opinion of the directors, there is no ultimate controlling party of Hulley & Kirkwood Limited. |