Registration number:
McMurrays Haulage Holdings Limited
for the Year Ended 30 June 2024
McMurrays Haulage Holdings Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Consolidated Profit and Loss Account |
|
Consolidated Statement of Comprehensive Income |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Changes in Equity |
|
Statement of Changes in Equity |
|
Consolidated Statement of Cash Flows |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
McMurrays Haulage Holdings Limited
Company Information
Directors |
Mr D J McMurray Ms N McMurray Mrs M McMurray |
Company secretary |
Ms N McMurray |
Registered office |
|
Auditors |
|
McMurrays Haulage Holdings Limited
Strategic Report for the Year Ended 30 June 2024
The directors present their strategic report for the year ended 30 June 2024.
Principal activity
The principal activity of the group is that of haulage contractors.
Fair review of the business
The group is a leading haulage business based in the North West of England, providing transportation services across the UK. Specialising in full-load and part-load deliveries, the group has established a strong reputation for reliability, efficiency, and customer service. With a fleet of modern vehicles and a highly skilled workforce, the group serves a broad range of sectors, including retail, manufacturing, construction, and logistics.
The UK haulage and logistics industry is experiencing significant changes, with increasing pressure on businesses to meet customer demands for quicker deliveries, reduced environmental impact, and lower costs. There is also heightened competition, both from other haulage companies and alternative transportation methods such as rail and air freight.
Key market trends that have impacted the group include:
• Fuel Price Volatility: Global fuel price fluctuations have posed challenges, though the group has mitigated these effects through long-term fuel contracts and strategic fuel management practices.
• Labour Shortage: The ongoing shortage of qualified drivers in the UK has led to rising wages and recruitment costs. The group has addressed this by investing in driver training and retention programs.
• Regulatory Changes: Increased environmental regulations, such as the introduction of stricter emissions standards and low-emission zones in urban areas, have forced the group to adapt quickly. This includes investing in eco-friendly technologies and ensuring fleet compliance with evolving standards.
• E-commerce Boom: The rapid growth of online shopping has led to an increase in demand for haulage services, particularly for last-mile delivery solutions. The group has adapted its operations to cater to this new demand, ensuring flexibility and responsiveness.
Looking ahead, the group is focused on the following strategic objectives to sustain growth and remain competitive:
• Fleet Modernisation and Sustainability: Continued investment in a modern, energy-efficient fleet, will be a key priority. The group is committed to reducing its carbon footprint and aligning with regulatory requirements for cleaner operations.
• Technology Integration: Further investments in technology will enhance operational efficiency, improve customer experience, and streamline fleet management.
• Driver Training and Development: To address the ongoing driver shortage, the group will focus on training, development, and offering competitive benefits to attract and retain skilled drivers.
• Cost Management: The group will continue to focus on cost-efficiency, particularly in relation to fuel, fleet maintenance, and labour, in order to protect margins while delivering high-quality services to clients.
The financial year ended 30 June 2024 has been a year of both challenges and growth for the group. The haulage sector has seen fluctuating fuel prices, increasing regulatory requirements, and a competitive market, but the group has demonstrated resilience and adaptability.
The group's key financial and other performance indicators during the year were as follows:
Financial KPIs |
Unit |
2024 |
2023 |
Turnover |
£ |
13,435,899 |
12,377,540 |
Gross profit |
£ |
2,882,878 |
2,797,425 |
Operating profit |
£ |
868,908 |
1,225,941 |
Shareholders funds |
£ |
4,539,896 |
4,367,025 |
Return on capital employed |
£ |
9 |
14 |
McMurrays Haulage Holdings Limited
Strategic Report for the Year Ended 30 June 2024
Group turnover has increased by 8.6% although gross margin has reduced from the previous year's 22.6% to 21.5% which has still seen an increase of £85,453 at gross profit level. Operating profit has reduced to £868,908 (6.5%) in comparison to the previous year's £1,225,941 (9.9%).
Return on capital employed has reduced to 8.8% (2023 - 13.9%). Return on capital employed is calculated as operating profit divided by capital employed. Capital employed is calculated as total assets less current liabilities.
The results of the group in full are set out in the financial statements.
In conclusion, the group has delivered solid financial performance for the year ended 30 June 2024, despite facing challenges in a competitive and changing market. The group’s focus on fleet optimisation, technology integration, customer retention, and sustainability initiatives positions it well for continued success. Looking forward, management remains committed to driving growth, improving efficiency, and addressing the key risks and uncertainties in the market.
Principal risks and uncertainties
The company undertakes regular reviews of the principal risks facing the business and wherever possible, processes are put into place to monitor and minimise such risks.
Approved and authorised by the
......................................... |
McMurrays Haulage Holdings Limited
Directors' Report for the Year Ended 30 June 2024
The directors present their report and the for the year ended 30 June 2024.
Directors of the group
The directors who held office during the year were as follows:
Dividends
Particulars of dividends are detailed in note 22 to the financial statements.
Financial instruments
Objectives and policies
The group uses a variety of financial instruments including cash, borrowings, and various items such as trade debtors and trade creditors, that arise directly from its operations. The main purpose of these financial instruments is to provide working capital for its operations.
The directors are of the view that the main risks arising from the group’s financial instruments are liquidity risk, cash flow risk, price risk and credit risk. The directors review and agree policies for managing each of these risks and they are summarised below. These policies remain unchanged from previous years.
Price risk, credit risk, liquidity risk and cash flow risk
The group has some moderate exposure to a level of price risk, credit risk, liquidity risk and cash flow risk. The group manages these risks through maintaining and building strong relationships with leading suppliers, long term customers and finance partners.
Liquidity risk and cash flow risk
The group seeks to manage these risks by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably.
Price risk
The group is exposed to price risk due to its reliance on diesel to power its fleet of haulage vehicles. Fluctuations in diesel prices are reviewed on a regular basis and taken into consideration when placing orders and setting the selling price of the goods and services that it supplies.
Credit risk
The group’s principal financial assets are cash and trade debtors. The principal credit risk arises from its trade debtors.
McMurrays Haulage Holdings Limited
Directors' Report for the Year Ended 30 June 2024
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Approved and authorised by the
......................................... |
McMurrays Haulage Holdings Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
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 group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
McMurrays Haulage Holdings Limited
Independent Auditor's Report to the Members of McMurrays Haulage Holdings Limited
Opinion
We have audited the financial statements of McMurrays Haulage Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, Statement of Cash Flows, 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 group's and the parent company's affairs as at 30 June 2024 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
McMurrays Haulage Holdings Limited
Independent Auditor's Report to the Members of McMurrays Haulage Holdings Limited
We have nothing to report in this regard.
Opinion on other matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our 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 and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 6], the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the 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.
Auditor Responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
McMurrays Haulage Holdings Limited
Independent Auditor's Report to the Members of McMurrays Haulage Holdings Limited
Extent to which the audit was considered capable of detecting irregularities including fraud
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.
In identifying and addressing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:
• |
We obtained an understanding of laws and regulations that affect the group, focusing on those that had a direct effect on on the financial statements or that had a fundamental effect on its operations. Key laws and regulations that we identified included the UK Companies Act, tax legislation, health and safety regulations, occupational health and employment legislation. |
• |
We enquired of the directors, reviewed correspondence with HMRC and enquired with the directors in order to gain evidence of non-compliance with relevant laws and regulations. We also reviewed controls the directors have in place to ensure compliance. |
• |
We gained an understanding of the controls that the directors have in place to prevent and detect for fraud. We enquired about any instances of fraud that have taken place in the accounting period. |
• |
The risk of fraud and non-compliance with laws and regulations was discussed with the audit team and tests were planned and performed to address these risks. |
• |
We reviewed financial statements disclosures and tested to supporting documentation to assess compliance with relevant laws and regulations discussed above. |
• |
We enquired of the directors about actual and potential litigation claims. |
• |
We performed analytical procedures to identify any unusual or unexpected relationships that might indicate risks of material misstatement due to fraud. |
• |
In addressing the risk of fraud due to management override of internal controls we tested the appropriateness of journal entries and assessed whether the judgements made in making accounting estimates were indicative of a potential bias. |
Due to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing fraud or non-compliance with laws and regulations and cannot be expected to detect all fraud and non-compliance with laws and regulations.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
McMurrays Haulage Holdings Limited
Independent Auditor's Report to the Members of McMurrays Haulage Holdings Limited
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
For and on behalf of
10-12 Wellington Street
(St Johns)
Lancashire
BB1 8AG
McMurrays Haulage Holdings Limited
Consolidated Profit and Loss Account for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Other operating income |
|
|
|
Operating profit |
|
|
|
Other interest receivable and similar income |
|
- |
|
Interest payable and similar expenses |
( |
( |
|
(208,971) |
(155,514) |
||
Profit before tax |
|
|
|
Tax on profit |
( |
( |
|
Profit for the financial year |
|
|
|
Profit/(loss) attributable to: |
|||
Owners of the company |
|
|
The above results all relate to continuing operations.
The group has no recognised gains or losses for the year other than the results above.
McMurrays Haulage Holdings Limited
Consolidated Statement of Comprehensive Income for the Year Ended 30 June 2024
2024 |
2023 |
|
Profit for the year |
|
|
Surplus on property, plant and equipment revaluation |
- |
|
Total comprehensive income for the year |
|
|
Total comprehensive income attributable to: |
||
Owners of the company |
|
|
McMurrays Haulage Holdings Limited
(Registration number: 01639465)
Consolidated Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
1,000 |
1,000 |
|
Revaluation reserve |
1,516,855 |
1,516,855 |
|
Retained earnings |
3,022,041 |
2,849,170 |
|
Equity attributable to owners of the company |
4,539,896 |
4,367,025 |
|
Shareholders' funds |
4,539,896 |
4,367,025 |
Approved and authorised by the
......................................... |
......................................... |
McMurrays Haulage Holdings Limited
(Registration number: 01639465)
Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Investments |
|
|
|
|
|
||
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
1,000 |
1,000 |
|
Revaluation reserve |
1,516,855 |
1,516,855 |
|
Retained earnings |
2,387,621 |
2,300,015 |
|
Shareholders' funds |
3,905,476 |
3,817,870 |
The company made a profit after tax for the financial year of £368,747 (2023 - profit of £503,724).
Approved and authorised by the
......................................... |
......................................... |
McMurrays Haulage Holdings Limited
Consolidated Statement of Changes in Equity for the Year Ended 30 June 2024
Equity attributable to the parent company
Share capital |
Revaluation reserve |
Retained earnings |
Total |
Total equity |
|
At 1 July 2023 |
|
|
|
|
|
Profit for the year |
- |
- |
|
|
|
Dividends |
- |
- |
( |
( |
( |
At 30 June 2024 |
|
|
|
|
|
Share capital |
Revaluation reserve |
Retained earnings |
Total |
Total equity |
|
At 1 July 2022 |
|
|
|
|
|
Profit for the year |
- |
- |
|
|
|
Other comprehensive income |
- |
|
- |
|
|
Total comprehensive income |
- |
|
|
|
|
Dividends |
- |
- |
( |
( |
( |
At 30 June 2023 |
1,000 |
1,516,855 |
2,849,170 |
4,367,025 |
4,367,025 |
McMurrays Haulage Holdings Limited
Statement of Changes in Equity for the Year Ended 30 June 2024
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 July 2023 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Dividends |
- |
- |
( |
( |
At 30 June 2024 |
|
|
|
|
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 July 2022 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Other comprehensive income |
- |
|
- |
|
Total comprehensive income |
- |
|
|
|
Dividends |
- |
- |
( |
( |
At 30 June 2023 |
1,000 |
1,516,855 |
2,300,015 |
3,817,870 |
McMurrays Haulage Holdings Limited
Consolidated Statement of Cash Flows for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Loss/(profit) on disposal of tangible assets |
|
( |
|
Finance income |
( |
- |
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
Decrease/(increase) in trade debtors |
|
( |
|
Increase in trade creditors |
|
|
|
Cash generated from operations |
|
|
|
Income taxes received |
|
- |
|
Net cash flow from operating activities |
|
|
|
Cash flows from investing activities |
|||
Interest received |
|
- |
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from bank borrowing draw downs |
- |
|
|
Repayment of bank borrowing |
( |
( |
|
Proceeds from other borrowing draw downs |
|
|
|
Repayment of other borrowing |
- |
( |
|
Payments to finance lease creditors |
( |
( |
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
|
|
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
Cash and cash equivalents at 1 July 2023 |
|
|
|
Cash and cash equivalents at 30 June 2024 |
751,705 |
201,596 |
McMurrays Haulage Holdings Limited
Statement of Cash Flows for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Loss/(profit) on disposal of tangible assets |
|
( |
|
Finance income |
( |
- |
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
Decrease/(increase) in trade debtors |
|
( |
|
Increase/(decrease) in trade creditors |
|
( |
|
Cash generated from operations |
|
|
|
Income taxes received |
|
- |
|
Net cash flow from operating activities |
|
|
|
Cash flows from investing activities |
|||
Interest received |
|
- |
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from bank borrowing draw downs |
- |
|
|
Repayment of bank borrowing |
( |
( |
|
Proceeds from other borrowing draw downs |
|
|
|
Payments to finance lease creditors |
( |
( |
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
|
|
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
Cash and cash equivalents at 1 July 2023 |
|
|
|
Cash and cash equivalents at 30 June 2024 |
63,210 |
14,138 |
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
The principal activity of the company is detailed in the Strategic Report on page two of these financial statements.
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
These financial statements are presented in Sterling which is the functional currency of the company and group, rounded to the nearest pound.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 June 2024.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Judgements and key sources of estimation uncertainty
In application of the group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors considered to be relevant. Actual results may vary 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 revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
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 if the revision affects only that period, or in the period of revision and future periods if the revision affects both and future periods. |
In the opinion of the directors there are no critical accounting judgements that require further disclosure. |
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: |
- The group's freehold land and buildings are carried at fair value determined by the directors. |
- Tangible fixed assets are depreciated over their estimated useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values. |
- Determination of the recoverability of trade debtors. A specific provision is made against certain debts where in the opinion of directors the debt is not fully recoverable. |
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of value added tax, returns, rebates and discounts and after eliminating sales within the group.
The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Land and buildings |
2% straight line on buildings |
Motor vehicles |
15% and 10% straight line |
Plant and machinery |
25% reducing balance |
Office equipment |
20% straight line |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employees services are received.
Turnover |
The analysis of the group's turnover for the year from continuing operations is as follows:
2024 |
2023 |
|
Rendering of services |
|
|
Other operating income |
The analysis of the group's other operating income for the year is as follows:
2024 |
2023 |
|
Sub lease rental income |
|
|
Miscellaneous other operating income |
- |
|
|
|
Other gains and losses |
The analysis of the group's other gains and losses for the year is as follows:
2024 |
2023 |
|
(Loss)/gain on disposal of tangible assets |
( |
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Operating profit |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
Operating lease expense - plant and machinery |
|
|
Loss/(profit) on disposal of property, plant and equipment |
|
( |
Interest payable and similar expenses |
2024 |
2023 |
|
Interest on bank overdrafts and borrowings |
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
Interest expense on other finance liabilities |
|
|
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2024 |
2023 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Other short-term employee benefits |
|
|
Pension costs, defined contribution scheme |
|
|
Other employee expense |
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
2024 |
2023 |
|
Administration and support |
|
|
Distribution |
|
|
|
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Directors' remuneration |
The directors' remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
102,066 |
96,700 |
Auditors' remuneration |
2024 |
2023 |
|
Audit of these financial statements |
14,000 |
14,000 |
Other fees to auditors |
||
All other non-audit services |
|
|
Taxation |
Tax charged/(credited) in the income statement
2024 |
2023 |
|
Current taxation |
||
UK corporation tax |
|
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
|
|
Tax expense in the income statement |
|
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (2023 - lower than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Tax increase from effect of capital allowances and depreciation |
|
|
Tax increase due to capital gains tax |
|
- |
Tax increase arising due to items not deductible for Corporation Tax purposes |
|
|
Total tax charge |
|
|
Deferred tax
Group
Deferred tax assets and liabilities
2024 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Revaluation of property |
- |
|
- |
|
2023 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Revaluation of property |
- |
|
- |
|
Company
Deferred tax assets and liabilities
2024 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Revaluation of property |
- |
|
- |
|
2023 |
Asset |
Liability |
Accelerated capital allowances |
- |
|
Revaluation of property |
- |
|
- |
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Tangible assets |
Group
Land and buildings |
Office equipment |
Motor vehicles |
Plant and machinery |
||
Cost or valuation |
|||||
At 1 July 2023 |
|
|
|
|
|
Additions |
|
- |
|
|
|
Disposals |
- |
- |
( |
( |
|
At 30 June 2024 |
|
|
|
|
|
Depreciation |
|||||
At 1 July 2023 |
- |
|
|
|
|
Charge for the year |
|
|
|
|
|
Eliminated on disposal |
- |
- |
( |
( |
|
At 30 June 2024 |
|
|
|
|
|
Carrying amount |
|||||
At 30 June 2024 |
|
|
|
|
|
At 30 June 2023 |
|
|
|
|
Total |
|||||
Cost or valuation |
|||||
At 1 July 2023 |
|
||||
Additions |
|
||||
Disposals |
( |
||||
At 30 June 2024 |
|
||||
Depreciation |
|||||
At 1 July 2023 |
|
||||
Charge for the year |
|
||||
Eliminated on disposal |
( |
||||
At 30 June 2024 |
|
||||
Carrying amount |
|||||
At 30 June 2024 |
|
||||
At 30 June 2023 |
|
Included within the net book value of land and buildings above is £3,976,213 (2023 - £4,020,000) in respect of freehold land and buildings and £120,000 (2023 - £120,000) in respect of long leasehold land and buildings.
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
The group's land and buildings are shown in the accounts at fair value.
Had this class of asset been measured on an historical cost basis, the carrying amount would have been £2,247,466 (2023 - £2,237,069).
Hire Purchase Contracts
Included within the net book value of tangible fixed assets is £4,329,427 (2023 - £3,012,493) in respect of assets held under finance leases and similar hire purchase contracts. Depreciation for the year on these assets was £670,883 (2023 - £517,638).
Company
Land and buildings |
Office equipment |
Motor vehicles |
Plant and machinery |
||
Cost or valuation |
|||||
At 1 July 2023 |
|
|
|
|
|
Additions |
|
- |
|
|
|
Disposals |
- |
- |
( |
( |
|
At 30 June 2024 |
|
|
|
|
|
Depreciation |
|||||
At 1 July 2023 |
- |
|
|
|
|
Charge for the year |
|
|
|
|
|
Eliminated on disposal |
- |
- |
( |
( |
|
At 30 June 2024 |
|
|
|
|
|
Carrying amount |
|||||
At 30 June 2024 |
|
|
|
|
|
At 30 June 2023 |
|
|
|
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Total |
|||||
Cost or valuation |
|||||
At 1 July 2023 |
|
||||
Additions |
|
||||
Disposals |
( |
||||
At 30 June 2024 |
|
||||
Depreciation |
|||||
At 1 July 2023 |
|
||||
Charge for the year |
|
||||
Eliminated on disposal |
( |
||||
At 30 June 2024 |
|
||||
Carrying amount |
|||||
At 30 June 2024 |
|
||||
At 30 June 2023 |
|
Included within the net book value of land and buildings above is £3,976,213 (2023 - £4,020,000) in respect of freehold land and buildings and £120,000 (2023 - £120,000) in respect of long leasehold land and buildings.
The company's land and buildings are shown in the accounts at fair value.
Had this class of asset been measured on an historical cost basis, the carrying amount would have been £2,247,466 (2023 - £2,237,069).
Hire Purchase Contracts
Included within the net book value of tangible fixed assets is £4,329,427 (2023 - £3,012,493) in respect of assets held under finance leases and similar hire purchase contracts. Depreciation for the year on these assets was £670,883 (2023 - £517,638).
Investments |
Company
2024 |
2023 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 July 2023 |
|
Carrying amount |
|
At 30 June 2024 |
|
At 30 June 2023 |
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Details of undertakings
Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
2024 |
2023 |
|||
Subsidiary undertakings |
||||
|
England and Wales |
|
|
|
Subsidiary undertakings |
McMurrays Haulage Limited The principal activity of McMurrays Haulage Limited is |
Debtors |
Group |
Company |
||||
Current |
Note |
2024 |
2023 |
2024 |
2023 |
Trade debtors |
|
|
- |
- |
|
Amounts owed by related parties |
- |
- |
|
|
|
Other debtors |
|
|
|
|
|
Prepayments |
|
|
- |
- |
|
Income tax asset |
- |
|
- |
|
|
|
|
|
|
Cash and cash equivalents |
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Cash on hand |
|
|
|
|
Cash at bank |
|
|
|
|
|
|
|
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Creditors |
Group |
Company |
||||
Note |
2024 |
2023 |
2024 |
2023 |
|
Due within one year |
|||||
Loans and borrowings |
|
|
|
|
|
Trade creditors |
|
|
|
|
|
Amounts due to related parties |
|
|
|
|
|
Social security and other taxes |
|
|
- |
- |
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
Other payables |
|
- |
- |
- |
|
Accruals |
|
|
|
|
|
Income tax liability |
92,386 |
2,101 |
53,720 |
- |
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
|
|
Provisions for liabilities |
Group
Deferred tax |
Total |
|
At 1 July 2023 |
|
|
Additional provisions |
|
|
At 30 June 2024 |
|
|
|
Company
Deferred tax |
Total |
|
At 1 July 2023 |
|
|
Additional provisions |
|
|
At 30 June 2024 |
|
|
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
666 |
|
666 |
|
|
167 |
|
167 |
|
|
167 |
|
167 |
|
|
|
|
Loans and borrowings |
Non-current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
|
|
|
|
Hire purchase contracts |
|
|
|
|
|
|
|
|
Current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
|
|
|
|
Hire purchase contracts |
|
|
|
|
|
|
|
|
The bank borrowings are secured over the company's land and buildings, hire purchase liabilities are secured on the assets concerned.
The other borrowings relate to an invoice discounting loan which is secured on the book debts of the group.
Group
Bank borrowings
The bank holds the following security over the loan:
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Included in the loans and borrowings are the following amounts due after more than five years:
2024 |
2023 |
|
After more than five years by instalments |
|
|
- |
- |
Company
Bank borrowings
The bank holds the following security over the loan:
|
Included in the loans and borrowings are the following amounts due after more than five years:
2024 |
2023 |
|
After more than five years by instalments |
|
|
- |
- |
Obligations under leases and hire purchase contracts |
Group
Finance leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
McMurrays Haulage Holdings Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Operating leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Company
Finance leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
Operating leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Dividends |
Interim dividends paid
2024 |
2023 |
|||
Interim dividend of £ |
|
|
||
Interim dividend of £ |
|
|
||
Interim dividend of £ |
|
|
||
|
|