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REGISTERED NUMBER: NI634086 (Northern Ireland)















KONSTRUCTION CONTRACT SERVICES LTD

Group Strategic Report, Directors' Report and

Consolidated Financial Statements for the Year Ended 30 June 2024






KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)






Contents of the Consolidated Financial Statements
FOR THE YEAR ENDED 30 JUNE 2024




Page

Company Information 1

Group Strategic Report 2

Directors' Report 4

Independent Auditors' Report 6

Consolidated Income Statement 10

Consolidated Statement of Financial Position 11

Company Statement of Financial Position 12

Consolidated Statement of Changes in Equity 13

Company Statement of Changes in Equity 14

Consolidated Statement of Cash Flows 15

Notes to the Consolidated Statement of Cash
Flows

16

Notes to the Consolidated Financial Statements 17


KONSTRUCTION CONTRACT SERVICES LTD

Company Information
FOR THE YEAR ENDED 30 JUNE 2024







DIRECTORS: Jacqueline O'Reilly
Brendan O'Reilly
Ciara Elmore
Siadhal O'Reilly
Philip O'Reilly
Kevin O'Reilly



REGISTERED OFFICE: Suite D
Armagh Business Park
50 Hamiltonsbawn Road
Armagh
Co. Armagh
BT60 1HW



REGISTERED NUMBER: NI634086 (Northern Ireland)



INDEPENDENT AUDITORS: CavanaghKelly
Chartered Accountants and Statutory Auditors
36-38 Northland Row
Dungannon
Co. Tyrone
BT71 6AP



BANKERS: Danske Bank
South Business Centre
45-48 High Street
Portadown
Co. Armagh
BT62 1LB



SOLICITORS: Knights plc
Embankment House
Electric Avenue
Nottingham
NG2 1AS

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Group Strategic Report
FOR THE YEAR ENDED 30 JUNE 2024

The directors present their strategic report of the Company and the Group for the year ended 30 June 2024.

REVIEW OF BUSINESS AND FUTURE DEVELOPMENTS
The group reported a profit for the financial year of £2,176,333 (30/6/23: £3,442,685) on a turnover of £24,819,633 (30/6/23: £36,642,763). At the year end, the group had net assets of £13,060,883 (30/6/23:£12,739,341).

The directors are committed to long-term creation of shareholder value by increasing the group's market share through organic growth. Whilst the incoming year is significantly challenging, results to date suggest the company have been able to perform well despite testing conditions.

Key performance indicators

30/6/24 30/6/23
Turnover £24,819,633 £36,642,763
Gross profit £6,807,539 £7,227,695
Average number of employees 69 68

PRINCIPAL RISKS AND UNCERTAINTIES
Business operations and execution of the group's strategic plan are subject to several risks and uncertainties:

Inflationary Costs Pressures
Manufacturers continue to be exposed to pressures created by Brexit, rising energy costs, supply chain disruption and the war in Ukraine. The business remains vigilant to the potential headwinds experienced by all aspects of the project cycle and seeks to mitigate these risks through robust commercial and risk management, on-going dialogue with key stakeholders, including customers and supply chain.

Project Timing/Delivery
Macroeconomic uncertainty and geopolitical tensions may result in delays to the commencement of secured projects. Tendered projects are often complex in nature and delivered over a period of many months with significant risks including procurement and delivery aspects. Tender assumptions and the underlying risks inherent in same may not be fully developed or appreciated. Robust internal control mechanisms and supply chain management have been introduced to avoid the pitfalls of substandard performance.

Human resources
Recruitment, retention and development of key employees is paramount in the current economic climate, and the business continues to invest in employment training and development, together with appropriate incentive and career progression arrangements.

Financial Risk Management
The group's operations expose it to a variety of financial risks that include foreign exchange risk, price risk, credit risk and interest rate risk.

Given the size of the group, the directors have not delegated the responsibility of monitoring financial risk management to a sub-committee of the board. The policies set by the board of directors are implemented by the group's finance department.


KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Group Strategic Report
FOR THE YEAR ENDED 30 JUNE 2024

FOREIGN EXCHANGE RISK
The group and company are exposed to some foreign exchange risk in the normal course of business, principally on sales recorded in Euros and borrowing denominated in Euros. The foreign exchange risk for the group extends also to subsidiary companies whose functional currency is Euro which require translation to sterling for reporting purposes. While the group and company have not used complex financial instruments to date to hedge foreign exchange exposure; this position is kept constantly under review.

Price risk
The group are exposed to commodity price risk as a result of its operations. However, given the size of the group and company's operations, the costs of managing exposure to commodity price risk exceed any potential benefits. The directors will revisit the appropriateness of this policy should the group and company's operations change in size or nature.

Credit Risk
The group has implemented policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure to individual customers is subject to a limit, which is reassessed regularly by the board.

Interest rate risk
The group have both interest bearing assets and interest bearing liabilities. Interest bearing assets include cash balances, which earn interest at a variable rate. Interest bearing liabilities relate to shareholder loans, bank overdrafts and loans and obligations under hire purchase and finance lease agreements, which bear interest at market rates.

Environment
The group and company recognise their corporate responsibility to carry out their operations whilst minimizing the environmental impacts. The directors' continued aim is to comply with all applicable environmental legislation, prevent pollution and reduce waste wherever possible.

Health and Safety
The group and company are committed to achieving the highest practicable standards in health and safety management and strive to make all sites and offices safe environments for employees and customers alike.

Human Resources/Employees
The most important resource of the group and company are the people employed: their knowledge and experience is crucial to meeting customer requirements. In this current economic climate, it is vitally important that the retention of key staff is achieved. The group and company continue to invest in employment training and development and have introduced appropriate incentive and career progression arrangements.

ON BEHALF OF THE BOARD:





Jacqueline O'Reilly - Director


25 February 2025

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Directors' Report
FOR THE YEAR ENDED 30 JUNE 2024

The directors present their report with the financial statements of the Company and the Group for the year ended 30 June 2024.

PRINCIPAL ACTIVITY
The principal activity of the Group in the year under review was that of designing and installation of specialist industrial flooring. The principle activity of the company was that of a holding company.

DIVIDENDS
Interim dividends totalling £1,777,764 (2023: £1,176,000) were paid out during the year. The directors have not proposed a final dividend (2023: £Nil).

RESEARCH AND DEVELOPMENT
The group is currently undertaking research and development projects covering new products and process improvement.

FUTURE DEVELOPMENTS
The section on future developments, which is detailed in the Strategic report, is included in the report by cross-reference.

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

Jacqueline O'Reilly
Brendan O'Reilly
Ciara Elmore
Siadhal O'Reilly
Philip O'Reilly
Kevin O'Reilly

CHARITABLE CONTRIBUTIONS
The group made charitable contributions amounting to £42,564 (2023: £6,689) during the year, principally for the benefit of the local communities in which the group operates. No donations for political purposes were made during the year (2023: £Nil).

EMPLOYEES
Applications for employment by disabled persons are always fully considered, bearing in mind the respective aptitudes and abilities of the applicant concerned. In the event of members of staff becoming disabled every effort is made to ensure that their employment with the group and company continues and the appropriate training is arranged. It is the policy of the group and company that the training, career development and promotion of a disabled person should, as far as possible, be identical to that of a person who does not suffer from a disability.

Consultation with employees or their representatives has continued at all levels, with the aim of ensuring that their views are taken into account when decisions are made that are likely to affect their interests and that all employees are aware of the financial and economic performance of the group and company.


KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Directors' Report
FOR THE YEAR ENDED 30 JUNE 2024

DIRECTORS' RESPONSIBILITIES STATEMENT
The directors are responsible for preparing the Group Strategic Report, the Directors' 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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 the Group 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 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 and the Group's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the Group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the Group's auditors are aware of that information.

AUDITORS
The auditors, CavanaghKelly, have indicated their willingness to continue in office in accordance with the provision of Section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:





Jacqueline O'Reilly - Director


25 February 2025

Independent Auditors' Report to the Members of
Konstruction Contract Services Ltd

Opinion
We have audited the financial statements of Konstruction Contract Services Ltd (the 'Parent Company') and its subsidiaries (the 'Group') for the year ended 30 June 2024 which comprise the Consolidated Income Statement, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, 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 of the Parent Company 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 Auditors' 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's and the Parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Directors' Report, but does not include the financial statements and our Auditors' 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 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 Group Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Independent Auditors' Report to the Members of
Konstruction Contract Services Ltd


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the Group and the Parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or 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 Directors' Responsibilities Statement set out on page five, 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 Group's and the Parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the Parent Company or to cease operations, or have no realistic alternative but to do so.

Independent Auditors' Report to the Members of
Konstruction Contract Services Ltd


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 an Auditors' 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.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. The objectives of our audit in respect of fraud are to assess the risk of material misstatement due to fraud, design and implement appropriate responses to those assessed risks and to respond appropriately to instances of fraud or suspected fraud identified during the course of our audit. However, the primary responsibility for the prevention and detection of fraud rests with management and those charged with governance of the company.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

- We obtained understanding of the legal and regulatory requirements applicable to the company’s financial statements and considered the most significant are the Companies Act 2006, Financial Reporting Standards (FRS102) and UK taxation legislation;
- We have assessed the risk of material misstatement of the financial statements, including risk of material misstatement due to fraud and how it might occur by holding discussions with management and those charged with governance;
- We enquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations;
- Understanding the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations; and
- Discussions amongst the audit engagement team regarding how fraud might occur in the financial statements and any potential indicators of fraud. As part of this discussion we identified the following potential areas where fraud may occur: timing of revenue recognition and management override.

The audit response to risks identified included:

- Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the relevant laws and regulations above;
- Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risk of material misstatement due to fraud;
- In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments, assessing whether the judgements made in making accounting estimates are reasonable and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

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 Auditors' Report.

Independent Auditors' Report to the Members of
Konstruction Contract Services Ltd


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 Auditors' 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.




Mr. Ryan Falls (FCA) (Senior Statutory Auditor)
for and on behalf of CavanaghKelly
Chartered Accountants and Statutory Auditors
36-38 Northland Row
Dungannon
Co. Tyrone
BT71 6AP

25 February 2025

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Consolidated
Income Statement
FOR THE YEAR ENDED 30 JUNE 2024

30/6/24 30/6/23
Notes £ £

TURNOVER 5 24,819,633 36,642,763

Cost of sales (18,012,094 ) (29,415,068 )
GROSS PROFIT 6,807,539 7,227,695

Administrative expenses (2,687,330 ) (2,273,260 )
4,120,209 4,954,435

Other operating income - (2 )
OPERATING PROFIT 7 4,120,209 4,954,433

Exceptional item 8 (1,246,136 ) (503,341 )
2,874,073 4,451,092

Finance income 440 1,873
2,874,513 4,452,965

Finance costs 9 (81,709 ) (54,985 )
PROFIT BEFORE TAXATION 2,792,804 4,397,980

Tax on profit 10 (616,471 ) (955,295 )
PROFIT FOR THE FINANCIAL YEAR 2,176,333 3,442,685

OTHER COMPREHENSIVE INCOME
FX translation differences (77,095 ) (10,998 )
Income tax relating to other
comprehensive income

-

-
OTHER COMPREHENSIVE INCOME
FOR THE YEAR, NET OF INCOME TAX

(77,095

)

(10,998

)
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

2,099,238

3,431,687

Profit attributable to:
Owners of the parent 2,176,333 3,442,685

Total comprehensive income attributable to:
Owners of the parent 2,099,238 3,431,687

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Consolidated Statement of Financial Position
30 JUNE 2024

30/6/24 30/6/23
Notes £ £
NON-CURRENT ASSETS
Tangible assets 13 1,807,210 1,846,073
Investments 14 - -
1,807,210 1,846,073

CURRENT ASSETS
Stocks 15 343,420 565,562
Receivables: amounts falling due within
one year

16

8,524,264

14,583,271
Debtors: amounts falling due after
more than one year

16

833,124

1,473,887
Cash at bank and in hand 6,011,796 5,160,984
15,712,604 21,783,704
PAYABLES
Amounts falling due within one year 17 (2,784,671 ) (9,109,416 )
NET CURRENT ASSETS 12,927,933 12,674,288
TOTAL ASSETS LESS CURRENT
LIABILITIES

14,735,143

14,520,361

PAYABLES
Amounts falling due after more than
one year

18

(563,748

)

(695,573

)

PROVISIONS FOR LIABILITIES 21 (1,110,512 ) (1,085,447 )
NET ASSETS 13,060,883 12,739,341

CAPITAL AND RESERVES
Called up share capital 22 240 240
Retained earnings 13,060,643 12,739,101
SHAREHOLDERS' FUNDS 13,060,883 12,739,341

The financial statements were approved by the Board of Directors and authorised for issue on 25 February 2025 and were signed on its behalf by:





Jacqueline O'Reilly - Director


KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Company Statement of Financial Position
30 JUNE 2024

30/6/24 30/6/23
Notes £ £
NON-CURRENT ASSETS
Tangible assets 13 1,190,646 1,137,960
Investments 14 205 205
1,190,851 1,138,165

CURRENT ASSETS
Receivables: amounts falling due within
one year

16

10,685,730

10,311,354
Debtors: amounts falling due after
more than one year

16

833,124

665,078
Cash at bank and in hand 40,065 24,182
11,558,919 11,000,614
PAYABLES
Amounts falling due within one year 17 (7,622,518 ) (5,110,740 )
NET CURRENT ASSETS 3,936,401 5,889,874
TOTAL ASSETS LESS CURRENT
LIABILITIES

5,127,252

7,028,039

PAYABLES
Amounts falling due after more than
one year

18

(285,162

)

(277,592

)

PROVISIONS FOR LIABILITIES 21 (248,283 ) (52,341 )
NET ASSETS 4,593,807 6,698,106

CAPITAL AND RESERVES
Called up share capital 22 240 240
Retained earnings 4,593,567 6,697,866
SHAREHOLDERS' FUNDS 4,593,807 6,698,106

Company's loss for the financial year (326,535 ) (100,651 )

The financial statements were approved by the Board of Directors and authorised for issue on 25 February 2025 and were signed on its behalf by:





Jacqueline O'Reilly - Director


KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Consolidated Statement of Changes in Equity
FOR THE YEAR ENDED 30 JUNE 2024

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 July 2022 240 10,483,414 10,483,654

Changes in equity
Profit for the year - 3,442,685 3,442,685
Other comprehensive income - (10,998 ) (10,998 )
Total comprehensive income - 3,431,687 3,431,687
Dividends - (1,176,000 ) (1,176,000 )
Balance at 30 June 2023 240 12,739,101 12,739,341

Changes in equity
Profit for the year - 2,176,333 2,176,333
Other comprehensive income - (77,027 ) (77,027 )
Total comprehensive income - 2,099,306 2,099,306
Dividends - (1,777,764 ) (1,777,764 )
Balance at 30 June 2024 240 13,060,643 13,060,883

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Company Statement of Changes in Equity
FOR THE YEAR ENDED 30 JUNE 2024

Called up
share Retained Total
capital earnings equity
£ £ £
Balance at 1 July 2022 240 7,974,517 7,974,757

Changes in equity
Dividends - (1,176,000 ) (1,176,000 )
Total comprehensive income - (100,651 ) (100,651 )
Balance at 30 June 2023 240 6,697,866 6,698,106

Changes in equity
Dividends - (1,777,764 ) (1,777,764 )
Total comprehensive income - (326,535 ) (326,535 )
Balance at 30 June 2024 240 4,593,567 4,593,807

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Consolidated Statement of Cash Flows
FOR THE YEAR ENDED 30 JUNE 2024

30/6/24 30/6/23
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 4,034,280 3,156,404
Interest paid (10,940 ) (15,552 )
Interest element of hire purchase
payments paid

(70,769

)

(39,433

)
Tax paid (921,826 ) (299,037 )
Net cash from operating activities 3,030,745 2,802,382

Cash flows from investing activities
Purchase of tangible fixed assets (184,736 ) (241,274 )
Sale of tangible fixed assets 131,152 65,625
Sale of fixed asset investments - 857,854
Interest received 802 1,873
Net cash from investing activities (52,782 ) 684,078

Cash flows from financing activities
Capital repayments in year (272,292 ) (211,605 )
Amount introduced by directors - (963,482 )
Amount withdrawn by directors - 2,147,689
Equity dividends paid (1,777,764 ) (1,176,000 )
Net cash from financing activities (2,050,056 ) (203,398 )

Increase in cash and cash equivalents 927,907 3,283,062
Cash and cash equivalents at
beginning of year

2

5,160,984

1,888,920
Effect of foreign exchange rate changes (77,095 ) (10,998 )
Cash and cash equivalents at end
of year

2

6,011,796

5,160,984

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Statement of Cash Flows
FOR THE YEAR ENDED 30 JUNE 2024

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

30/6/24 30/6/23
£ £
Profit before taxation 2,792,804 4,397,980
Depreciation charges 265,073 477,991
Profit on disposal of fixed assets (74,180 ) (65,625 )
Warranty provision movement (145,218 ) 68,749
Finance costs 81,709 54,985
Finance income (440 ) (1,873 )
2,919,748 4,932,207
Decrease/(increase) in stocks 222,142 (337,522 )
Decrease/(increase) in trade and other debtors 6,699,769 (6,992,053 )
(Decrease)/increase in trade and other creditors (5,807,379 ) 5,553,772
Cash generated from operations 4,034,280 3,156,404

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 30 June 2024
30/6/24 1/7/23
£ £
Cash and cash equivalents 6,011,796 5,160,984
Year ended 30 June 2023
30/6/23 1/7/22
£ £
Cash and cash equivalents 5,160,984 2,199,230
Bank overdrafts - (310,310 )
5,160,984 1,888,920


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1/7/23 Cash flow At 30/6/24
£ £ £
Net cash
Cash at bank and in hand 5,160,984 850,812 6,011,796
5,160,984 850,812 6,011,796
Debt
Finance leases (960,998 ) 173,847 (787,151 )
(960,998 ) 173,847 (787,151 )
Total 4,199,986 1,024,659 5,224,645

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements
FOR THE YEAR ENDED 30 JUNE 2024

1. STATUTORY INFORMATION

Konstruction Contract Services Limited is a private company, limited by shares, registered within the United Kingdom. The company's registered number and registered office address can be found on the Company Information page.

2. STATEMENT OF COMPLIANCE

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

3. ACCOUNTING POLICIES

Basis of preparing the financial statements
These group and company financial statements are prepared on a going concern basis, under the historical cost convention.

The preparation of financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the group and company accounting policies.

The following accounting policies have been applied consistently throughout the year.

Financial Reporting Standard 102 - reduced disclosure exemptions
The Group has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv),
11.48(b) and 11.48(c);
the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirement of paragraph 33.7.

Basis of consolidation
The consolidated income statement, consolidated statement of changes in equity, consolidated balance sheet and consolidated statement of cash flows are the financial statements of the company and its subsidiary's undertakings made up to 30 June 2024. Inter-company transactions, balances and cash flows between group companies are eliminated on consolidation. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group.

Investments in Subsidiaries and Associates
Investments in subsidiary unlisted company shares are valued at cost less impairment.

Investments
Investments comprise investments in unquoted equity instruments which are measured at fair value. Changes in fair value are recognised in the income statement. Where fair value cannot be measured reliably, then the investment is carried at cost less impairment.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

3. ACCOUNTING POLICIES - continued

Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the group and the revenue can be reliably measured. Revenue 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 revenue is recognised:

Sale of goods
Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

- the significant risks and rewards of ownership have been transferred to the buyer;
- the group retains no continuing involvement or control over the goods;
- the amount of revenue can be measured reliably;
- it is probable that future economic benefits will flow through the group
- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services and contracting
Revenue from a contract to provide services is recognised in the period in which the serves are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

- the amount of revenue can be measured reliably;
- it is probable that the group will receive the consideration due under the contract;
- the stage of completion of the contract at the end of the reporting period can be measured
reliably, and;
- the costs incurred and the costs to complete the contract can be measured reliably.

Property, plant and equipment
Property, Plant and Equipment under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The group adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to the Income Statement during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives. The estimated useful lives range as follows:

Plant and Machinery- 20% straight line
Fixtures and Fittings- 20% straight line

The asset's residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within the Income Statement.

Inventories
Stocks are valued at the lower of cost and net realisable value. Cost comprises expenditure incurred in the normal course of business in bringing stocks to their present location and condition. Full provision is made for obsolete and slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all further costs to completion or to be incurred in marketing and selling.


KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

3. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

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.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies
(i) Functional and presentation currency

The group financial statements are presented in pound sterling.

The company's functional and presentation currency is pound sterling.

(ii) Transactions and balances

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 the profit and loss account.

The trading results of group undertakings are translated into sterling at the average exchange rates for the year. The assets and liabilities of overseas undertakings are translated at the exchange rates ruling at the year end. Exchange adjustments arising from the retranslation of opening net investments and from the translation of the profits or losses at average rates are recognised in "Other comprehensive income"

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to the income statement on a straight line basis over the period of the lease.

Where the group enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a "finance lease". The asset is recorded in the balance sheet as a tangible fixed asset and is depreciated over its estimated useful economic life or the term of the lease, whichever is shorter. Future instalments under such leases, net of finance charges, are included within creditors. Rentals payable are apportioned between the finance element, which is charged to the consolidated Income statement, and the capital element which reduces the outstanding obligation for future instalments.

Pension costs and other post-retirement benefits
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

3. ACCOUNTING POLICIES - continued

Financial instruments
The group have chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

(i) Financial assets

Basic financial assets, including trade and other receivables, cash and bank balances and amounts owed by related parties are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the income statement.

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

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

(ii) Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans and overdrafts and amounts owed to related parties are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates.

Trade payables 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 payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

(iii) Offsetting

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

Finance costs
Finance costs are charged to the Income statement and retained earnings over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

3. ACCOUNTING POLICIES - continued

Dividends
Dividends are recognised when they become legally payable. Interim dividends are recognised when paid. Final dividends are recognised when approved by the shareholders at an annual general meeting.

Share capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds.

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

Government grants
Grants that relate to specific capital expenditure are treated as deferred income which is then credited to the Profit and loss account over the related asset's useful economic life. Other grants are credited to the consolidated Income statement account when receivable.

Warranty provision
Provisions for warranty related costs are recognised based on experience of the costs of making good claims under warranty. The future cash flows are estimated based on a number of factors, including historical claim and cost experience, the duration of the warranty coverage and the nature of the product sold. The estimate for warranty related costs is reviewed annually and adjusted as appropriate through cost of sales.

4. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

(a) Critical judgements in applying the company's accounting policies

There are no critical judgements in applying the company accounting policies.

(b) Critical accounting estimates and assumptions

Warranty Provision
The group offers a warranty for any faulty goods sold. Provision is made for potential claims under warranty for goods which have been returned. Management review the level of sales and the number of warranty claims made of a regular basis in order to calculate the provision for future claims for goods sold.

5. TURNOVER

No analysis of turnover is presented as the directors consider such disclosure to be seriously prejudicial to the company interests.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

6. EMPLOYEES AND DIRECTORS

2024 2023
£    £   
Wages and salaries 2,710,902 3,534,645
Social security costs 274,455 352,685
Other pension costs 56,329 278,764
3,041,686 4,166,094

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

Sales and Administration 9 8
Direct 60 60
69 68

The directors of the group are considered to be key management.

30/6/24 30/6/23
£ £
Directors' remuneration 21,600 19,800

There are no employees within the parent company.

7. OPERATING PROFIT

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

2024 2023
£ £
Hire of plant and machinery 706,373 829,599
Rent payable 35,064 33,527
Depreciation - owned assets 265,073 477,991
Profit on disposal of fixed assets (74,180 ) (65,625 )
Auditors' remuneration 28,600 27,200
Foreign exchange differences 51,869 196,253

8. EXCEPTIONAL ITEMS
30/6/24 30/6/23
£ £
Exceptional item (1,246,136 ) (503,341 )

The exceptional item in the financial statements relates to the provision of a Related Party
balance amounting to £1,246,136, recoverability of which is uncertain. This balance was not connected to the core business undertakings of the group.

9. FINANCE COSTS
30/6/24 30/6/23
£ £
Bank Interest 10,940 15,552
Hire purchase interest 70,769 39,433
81,709 54,985

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

10. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
30/6/24 30/6/23
£ £
Current tax:
UK corporation tax 443,185 637,713
Adjustments in respect of
previous periods 3,003 182,738
Total current tax 446,188 820,451

Deferred tax:
Deferred tax 170,283 137,681
Adjustment in respect of prior
periods - (2,837 )
Total deferred tax 170,283 134,844

Tax on profit 616,471 955,295

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

30/6/24 30/6/23
£ £
Profit before tax 2,792,804 4,397,980
Profit multiplied by the standard rate of corporation tax in the UK
of 25 % (2023 - 19 %)

698,201

835,616

Effects of:
Expenses not deductible for tax purposes 282,469 88,151
Adjustments to tax charge in respect of previous periods 3,003 179,904
Impact on non UK tax rates (365,151 ) (74,441 )
Movement in unrecognised deferred tax (2,051 ) (66,421 )
Impact of super deduction - (31,885 )
Impact of rate change - 24,371
Total tax charge 616,471 955,295

Tax effects relating to effects of other comprehensive income

30/6/24
Gross Tax Net
£ £ £
FX translation differences (77,095 ) - (77,095 )

30/6/23
Gross Tax Net
£ £ £
FX translation differences (10,998 ) - (10,998 )

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

11. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.


12. DIVIDENDS
30/6/24 30/6/23
£ £
Ordinary Share Capital shares of £1 each
Interim 1,777,764 1,176,000

13. PROPERTY, PLANT AND EQUIPMENT

Group
Fixtures
Short Plant and and
leasehold machinery fittings Totals
£ £ £ £
COST
At 1 July 2023 192,732 4,285,579 312,913 4,791,224
Additions - 232,502 50,680 283,182
Disposals - (187,076 ) - (187,076 )
At 30 June 2024 192,732 4,331,005 363,593 4,887,330
DEPRECIATION
At 1 July 2023 - 2,752,951 192,200 2,945,151
Charge for year - 219,536 45,537 265,073
Eliminated on disposal - (130,104 ) - (130,104 )
At 30 June 2024 - 2,842,383 237,737 3,080,120
NET BOOK VALUE
At 30 June 2024 192,732 1,488,622 125,856 1,807,210
At 30 June 2023 192,732 1,532,628 120,713 1,846,073

The net book value of assets held under finance leases or hire purchase contracts at the year end was £1,091,425 (2023: £1,091,425). The depreciation charged in the year for these assets was £176,485 (2023: £164,050).

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

13. PROPERTY, PLANT AND EQUIPMENT - continued

Company
Fixtures
Short Plant and and
leasehold machinery fittings Totals
£ £ £ £
COST
At 1 July 2023 192,732 3,420,656 309,049 3,922,437
Additions - 232,501 50,680 283,181
Disposals - (187,076 ) - (187,076 )
At 30 June 2024 192,732 3,466,081 359,729 4,018,542
DEPRECIATION
At 1 July 2023 - 2,593,310 191,167 2,784,477
Charge for year - 128,760 44,763 173,523
Eliminated on disposal - (130,104 ) - (130,104 )
At 30 June 2024 - 2,591,966 235,930 2,827,896
NET BOOK VALUE
At 30 June 2024 192,732 874,115 123,799 1,190,646
At 30 June 2023 192,732 827,346 117,882 1,137,960

The net book value of assets held under finance leases or hire purchase contracts at the year end was £478,300 (2023: £448,434). The depreciation charged in the year for these assets was £37,660 (2023: £49,729).

14. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£
COST
At 1 July 2023
and 30 June 2024 205
NET BOOK VALUE
At 30 June 2024 205
At 30 June 2023 205


The shares held in the subsidiary company, Konfloor Limited, which is registered and incorporated in Northern Ireland, represents a 100% holding of the issued share capital. Konfloor Limited is involved in the contracting of industrial flooring. The registered address of Konfloor Limited is Suite D, Armagh Business Park, 50 Hamiltonsbawn Road, Co. Armagh.

The shares held in the subsidiary company, Konfloor (Irl) Limited, which is registered and incorporated in Republic of Ireland, represents a 100% equity holding of shares. Konfloor (Irl) Limited is involved in the contracting of industrial flooring. The registered address of Konfloor (Irl) Limited is Unit 7, Emyvale Enterprise Centre, Mill Road, Co.Monaghan.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

15. STOCKS

Group
30/6/24 30/6/23
£ £
Inventories 343,420 299,516
Work-in-progress - 266,046
343,420 565,562

The company had no inventories or work-in-progress at the 30 June 30/6/24 (30/6/23: £Nil).

16. RECEIVABLES

Group Company
30/6/24 30/6/23 30/6/24 30/6/23
£ £ £ £
Amounts falling due within one year:
Trade receivables 5,018,802 10,356,852 - -
Amounts owed by group undertakings - - 8,138,849 8,189,710
Other receivables 949,987 2,177,981 15,127 83,960
Directors' current accounts 2,514,734 2,016,163 2,514,734 2,016,163
Prepayments and accrued income 40,741 32,275 17,020 21,521
8,524,264 14,583,271 10,685,730 10,311,354

Amounts falling due after more than one year:
Other debtors 833,124 1,473,887 833,124 665,078

Aggregate amounts 9,357,388 16,057,158 11,518,854 10,976,432

The amounts owed by group undertakings are interest free and receivable on demand.

17. PAYABLES: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
30/6/24 30/6/23 30/6/24 30/6/23
£ £ £ £
Hire purchase contracts (see note 19) 223,403 265,425 84,012 109,807
Trade payables 2,212,218 8,016,341 28,607 8,772
Amounts owed to group undertakings - - 7,341,631 4,728,940
Corporation Tax 115,019 590,657 168,268 263,221
Social security and other taxes 105,933 123,575 - -
Other payables 10,291 13,108 - -
Accruals and deferred income 117,807 100,310 - -
2,784,671 9,109,416 7,622,518 5,110,740

The amounts owed to group undertakings are interest free and payable on demand.

18. PAYABLES: AMOUNTS FALLING DUE AFTER ONE YEAR

Group Company
30/6/24 30/6/23 30/6/24 30/6/23
£ £ £ £
Hire purchase contracts (see note 19) 563,748 695,573 285,162 277,592

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

18. PAYABLES: AMOUNTS FALLING DUE AFTER ONE YEAR - continued

Hire purchase balances are secured against the assets to which they relate.

19. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
30/6/24 30/6/23
£ £
Net obligations repayable:
Within one year 223,403 265,425
Between one and five years 563,748 695,573
787,151 960,998

Company
Hire purchase contracts
30/6/24 30/6/23
£ £
Net obligations repayable:
Within one year 84,012 109,807
Between one and five years 285,162 277,592
369,174 387,399

Hire purchase and finance leases are secured by the assets to which they relate.

20. FINANCIAL INSTRUMENTS

2024 2023
£    £   
Financial assets
Financial assets that are debt
instruments measured at amortised
cost




8,379,463


14,008,720
Financial liabilities
Financial liabilities measured at
amortised cost


(3,127,468

)

(9,090,757

)


Financial assets measured at amortised cost comprise of trade debtors, other debtors and director's current accounts.

Financial liabilities measured at amortised cost comprise of bank overdraft, trade creditors, other creditors, accruals and obligations under finance lease and hire purchase agreements.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

21. PROVISIONS FOR LIABILITIES

Group Company
30/6/24 30/6/23 30/6/24 30/6/23
£ £ £ £
Deferred tax 399,539 229,256 248,283 52,341
Other provisions
Warranty provision 710,973 856,191 - -

Aggregate amounts 1,110,512 1,085,447 248,283 52,341

Group
Deferred tax
£
Balance at 1 July 2023 229,256
Provided during year 170,283
Balance at 30 June 2024 399,539

Company
Deferred tax
£
Balance at 1 July 2023 52,341
Movement 195,942
Balance at 30 June 2024 248,283

The provision for deferred tax relates to accelerated capital allowances.

22. CALLED UP SHARE CAPITAL

Allotted, Issued and
fully paid Number:

Class
Nominal
Value

2024

2023
£    £   
240 Ordinary Share Capital £1 - 240
40 A Ordinary Share Capital £1 40 -
40 B Ordinary Share Capital £1 40 -
40 C Ordinary Share Capital £1 40 -
40 D Ordinary Share Capital £1 40 -
40 E Ordinary Share Capital £1 40 -
40 F Ordinary Share Capital £1 40 -

23. PENSION COMMITMENTS

The group operates a defined contribution scheme for certain employees. The assets of the scheme are held separately from those of the group and company in an independently administered fund.

24. ULTIMATE CONTROLLING PARTY

As none of the shareholders hold a majority shareholding there is deemed to be no ultimate controlling party.

KONSTRUCTION CONTRACT SERVICES LTD (REGISTERED NUMBER: NI634086)

Notes to the Consolidated Financial Statements - continued
FOR THE YEAR ENDED 30 JUNE 2024

25. RELATED PARTY TRANSACTIONS

The directors have identified the following transactions, which fall to be disclosed under the terms of paragraph 33, 1A from the provisions of FRS102 "Related Party Disclosures".

Dividends of £1,777,764 (2023: £1,176,000) were paid to the directors by virtue of their shareholding in the company.

Included within debtors due within one year (note 16) is a balance of £2,514,734 (2023: £2,016,163) owed by the directors to the group. Amounts owed by directors are interest free and payable on demand.

The exceptional item as detailed in note 8 relates to an irrecoverable debt in respect of a balance outstanding from a party related through common directors.