Company registration number 14396254 (England and Wales)
WARRENDALE EGGS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
WARRENDALE EGGS LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 10
WARRENDALE EGGS LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
526,635
-
0
Biological assets
864,033
-
1,390,668
-
0
Current assets
Stocks
171,684
-
Debtors
5
764,323
120
Cash at bank and in hand
6
138,846
-
0
1,074,853
120
Creditors: amounts falling due within one year
7
(2,436,458)
(20)
Net current (liabilities)/assets
(1,361,605)
100
Net assets
29,063
100
Capital and reserves
Called up share capital
100
100
Profit and loss reserves
28,963
-
0
Total equity
29,063
100

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The directors of the company have elected not to include a copy of the income statement within the financial statements.true

The financial statements were approved by the board of directors and authorised for issue on 19 March 2025 and are signed on its behalf by:
J R Thornton
Director
Company registration number 14396254 (England and Wales)
WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
1
Accounting policies
Company information

Warrendale Eggs Limited is a private company limited by shares incorporated in England and Wales. The registered office is Quarry House, Cattle Hill, Warter, York, United Kingdom, YO42 1XG.

1.1
Reporting period

The Company shortened its comparative accounting reference date from 31 October 2023 to 31 December 2022, reporting a 3 month period. The current period presented is that of a year only. As such, the comparative amounts presented in the financial statements (including the related notes) may not be entirely comparable.

1.2
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.3
Business combinations

During the year, the Company acquired the trade and assets of another business within the group, at which point the assets and liabilities of the acquired business were recognised at book value. Consideration transferred was equal to the book value of the assets and liabilities assumed.

WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 3 -
1.4
Going concern

The Company has net assets of £true29,063 and net current liabilities of £1,361,605 as at 31 December 2023, which includes cash balances of £138,846.

 

The Directors have carried out an evaluation of the Company’s ability to continue as a going concern for the foreseeable future, defined as a period of at least 12 months from the date of approval of these financial statements (the going concern period) and note that the company is reliant on the group to support its cash flows.

 

Warrendale Group Limited (Ultimate Parent Company) has indicated its intention to support by making available such funds as are needed by the Company for the going concern period.

 

The Directors of the Ultimate Parent Company have conducted a comprehensive assessment of the Group’s ability to continue for the going concern period.

In making this assessment, the Directors have considered two significant uncertainties:

 

Hire purchase liabilities and long-term loan post drawdown conditions:

The Group has substantial hire purchase liabilities due for refinancing and long-term loans which have not met post drawdown conditions. Consequently, the hire purchase liability and long-term borrowings remain immediately repayable at the discretion of the financier. They have accepted an offer of debt funding from the financier, and both the financier and the Directors continue, on a completely consensual basis to reorganise the group and refinance all existing debt into the new structure. Once completed this will satisfy both hire purchase liabilities and post drawdown conditions. There is currently no committed timeline from the financier regarding this, however the Directors are confident that this will be resolved during the going concern period.

 

Severe but plausible stress-tested cash flow:

The Directors have performed a severe but plausible stress test on the Group’s cash flow projections to account for potential adverse scenarios. This stress test indicates that, under a severe but plausible scenario whereby several of the groups business risks crystallise simultaneously, the Group would require additional funding to maintain liquidity. Whilst the Directors consider this scenario highly unlikely, they acknowledge the potential need, as a separate investment case project they have recently explored various funding options and have accepted an offer of debt funding from a financier. While the Directors are confident that this funding will be completed within the necessary timeframe, there is no commitment from the financier regarding the timing of the funding receipt, and the funding is conditional on an ongoing group restructure. Furthermore, the group could liquidate certain assets to raise near term funding to enable it to continue to meet its liabilities.

 

Should multiple of the groups business risks crystallise simultaneously and the Group is unable to secure the necessary refinancing or additional funding, this would cast significant doubt on the Group’s ability to continue as a going concern, potentially leading to an inability to realise its assets and discharge its liabilities in the normal course of business.

 

Given these uncertainties, the Directors of the Ultimate Parent Company acknowledge a material uncertainty regarding the Group’s ability to continue as a going concern. However, after considering all available information about the future, including the increase in trade through long-term contracts and the accepted offer of additional funding through refinancing, the Directors have a reasonable expectation that the Group has adequate resources to continue its operations for the foreseeable future.

The Directors of the Company have assessed the conclusions reached by the Directors of the Ultimate Parent Company and agree with their conclusion.

 

The Directors of the Company are satisfied that the Parent Company has the ability, intention and economic rationale to continue to support the Company.

WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -

As with any company placing reliance on other group entities for financial support, the Directors acknowledge that there can be no certainty that this support will continue and are aware that if multiple of the groups business risks crystallise simultaneously and the Group is unable to secure the necessary refinancing or additional funding, this would cast significant doubt on the Group’s ability to continue as a going concern, potentially leading to an inability to provide the required support to the Company.

 

The Directors acknowledge the existence of a material uncertainty regarding the Company’s ability to continue as a going concern but have a reasonable expectation that the Company has access to sufficient resources to continue its operations for the foreseeable future.

 

Therefore, the financial statements have been prepared on a going concern basis.

1.5
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold improvements
15% straight line
Plant and equipment
10-25% straight line
Fixtures and fittings
15% straight line
Computers
25% straight line
Motor vehicles
25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.7

Biological Assets

Biological assets are comprised of live poultry categorised as non-current assets held for egg production.

 

Biological assets are recognised in the financial statements at cost less accumulated depreciation (where relevant) less accumulated impairment losses. Poultry are depreciated over their estimated laying life of 57 weeks.

WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 5 -
1.8
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.10
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

 

Included within cash and cash equivalents are restricted funds held as self insurance for the heighted risk of Avian Influenza.

1.11
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

 

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

WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 6 -
Basic financial assets

Basic financial assets, which include trade debtors, loans to group companies and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank overdrafts and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.12
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.13
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.14
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Tangible fixed assets

Tangible fixed assets are depreciated over their 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. Residual value assessment consider issues such as the remaining life of the asset and the projected disposal value.

3
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

3 month
Year ended 31 December
period ended 31 December
2023
2022
Number
Number
Total
5
-
0
WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 January 2023
-
0
-
0
-
0
Transfer of trade and assets from parent company
358,684
172,173
530,857
At 31 December 2023
358,684
172,173
530,857
Depreciation and impairment
At 1 January 2023
-
0
-
0
-
0
Depreciation charged in the year
2,764
1,458
4,222
At 31 December 2023
2,764
1,458
4,222
Carrying amount
At 31 December 2023
355,920
170,715
526,635
At 31 December 2022
-
0
-
0
-
0

On 30 November 2023, Warrendale Eggs Limited acquired the trade and assets of it's parent company that ceased trading. Assets were transferred at book value.

5
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
341,162
-
0
Amounts owed by group undertakings
34,665
100
Other debtors
388,496
20
764,323
120

Amounts owed by group undertakings are unsecured, interest free and repayable on demand.

6
Cash and cash equivalents
2023
2022
Cash at bank and in hand
138,846
-
138,846
-
£138,480 (2022: £nil) of cash at bank and in hand is held as a self insurance fund for the heighted risk of Avian Influenza.
WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
7
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
-
0
20
Trade creditors
1,879,181
-
0
Amounts owed to group undertakings
103,613
-
0
Taxation and social security
24,423
-
0
Other creditors
429,241
-
0
2,436,458
20

Amounts owed to group undertakings are unsecured, interest free and repayable on demand.

8
Acquisitions

On 30 November 2023 the company acquired the business of Warrendale Poultry Limited, the assets and liabilities of the acquired business were recognised at book value.

Book Value
£
Property, plant and equipment
530,857
Biological assets
764,609
Trade and other receivables
930,388
Trade and other payables
(2,232,799)
Total identifiable net assets
(6,945)

Consideration transferred was equal to the book value of the net assets acquired. The consideration was settled by way of an intercompany loan.

9
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2023
2022
£
£
Within one year
268,317
-
0
Between two and five years
1,021,200
-
0
In over five years
3,087,000
-
0
4,376,517
-
0
WARRENDALE EGGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
10
Parent company

At the reporting date, the immediate parent company was Warrendale Poultry Limited, a company incorporated in the United Kingdom.

 

The ultimate parent company is Warrendale Group Limited, which is smallest and largest group in which these financial statements are consolidated. The ultimate parent's registered office is High Warrendale Farm, Warter, York, YO42 1XG.

11
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was qualified and the auditor reported as follows:

Qualified opinion

We have audited the financial statements of Warrendale Eggs Limited (the 'company') for the year ended 31 December 2023 which comprise , the statement of financial position and notes to the financial statements, including 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, except for the effects of the matter described in the Basis for Qualified Opinion section, the financial statements:

Basis for qualified opinion

The transfer of trade and assets of Warrendale Poultry to Warrendale Eggs Limited as at 30 November 2023 resulted in material stock balances within Warrendale Eggs which had not been identified until after 31 December 2023 and thus did not observe the counting of physical inventories at the end of the year. We were unable to satisfy ourselves by alternative means concerning the inventory quantities held at 31 December 2023 which are included in the balance sheet at £171,684 Consequently, we were unable to determine whether any adjustment to this amount was necessary.

 

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's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Senior Statutory Auditor:
Daniel Wesolowski
Statutory Auditor:
FLB Audit LLP
Date of audit report:
20 March 2025
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