Company registration number 06066095 (England and Wales)
SHOWCASE INTERIORS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
Affinia
Ground Floor
Swift House
18 Hoffmanns Way
Chelmsford
CM1 1GU
SHOWCASE INTERIORS LIMITED
COMPANY INFORMATION
Directors
Mr D Watkins
(Appointed 28 October 2024)
Mr K Robson
(Appointed 28 October 2024)
Mrs E Lee
(Appointed 28 October 2024)
Mr P Barker
(Appointed 28 October 2024)
Company number
06066095
Registered office
Paslow Hall Farm Estate
King Street
High Ongar
Essex
CM5 9QZ
Auditor
Affinia (Chelmsford)
Ground Floor
Swift House
18 Hoffmanns Way
Chelmsford
CM1 1GU
SHOWCASE INTERIORS LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Directors' responsibilities statement
5
Independent auditor's report
6 - 8
Group Profit and Loss account
9
Group balance sheet
10 - 11
Company balance sheet
12
Group statement of changes in equity
13
Company statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 36
SHOWCASE INTERIORS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The directors present the strategic report for the year ended 31 March 2024.

Review of the business

 

Principal Activity and Business Review

 

The principal activity of the group is the provision of Office Furniture and related services to the Commercial and Automotive retail markets. The profit for the year, after taxation, amounted to £1,288,553 (2023: £793,946).

 

KPI

 

Gross Margin 17% (2023: 17%)

Debtor Days 73 days (2023: 45)

 

Represents the length of time the group receives payments from its debtors. Calculated by comparing how many days’ billings it takes to cover the debtor balance.

Principal risks and uncertainties

This trading period has been challenging for margins from a very competitive market in London. The conflict in the Ukraine continues to play a disruptive part on operational efficiencies.

Ukraine

The conflict in Ukraine has had a reduced effect on the availability of materials in Europe and impacted lead times and costs, by the end of the year we have seen that reduce further.

Exchange Rate Fluctuation

We continue to monitor and dynamically adjust exchange rates within our procurement teams due to the high level of goods originating from the European continent.

 

SHOWCASE INTERIORS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
Other information and explanations

People attraction, development and retention

This year has seen low levels of attrition, we are working well towards our development plans that focus heavily on training and skill throughout the teams. In this period we have carried out extensive training within our Sales and Management teams.

Financial management and control

Failure to maintain adequate financial and management processes and controls could lead to poor quality management decisions, resulting in the Company & group not achieving its financial targets, or errors in the Group’s financial reporting.

The Group has adopted the following risk management policies that seek to mitigate its exposure to financial risk:

Financial assets and liabilities that expose the Group to financial risk consists principally of trade debtor and creditors. All debtors and creditors are regularly credit checked and monitored for changes in their status, this in turn affects our treatment of their debt or indeed the companies that the Group purchases from.

The company places its cash in creditworthy institutions. The profile of trade debtors is such that the concentration of credit risk is not considered a concern. The Directors are of a view that the Group is not exposed to any significant risks.

Looking Forward

In October 2024 four long standing members of the senior leadership team completed the successful management buyout of Showcase Interiors, marking a significant milestone in the company’s journey. It’s very much business as usual but the long term strategy will be to continue to grow the business while maintaining our high ESG standards.

 

The group has also entered into a new invoice finance contract to replace a facility that was previously in place. This new facility allows borrowing of up to £4.5 million across the group and will aid cash and working capital requirements following the MBO.

 

The opening of our new London Office has resulted in a meaningful impact on sales allowing us to showcase our capabilities to clients, and we are investing further on developing our public sector offering which will result in additional sales throughout the UK regions. We also continue to support our corporate client base in the refurbishment or opening of their European offices which has resulted in our European trading entity continuing to trade strongly.

On behalf of the board

Mr D Watkins
Director
18 March 2025
SHOWCASE INTERIORS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -

The directors present their annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the company and group continued to be that of designing, building and equipping furniture for commercial properties.

Results and dividends

The results for the year are set out on page 9.

No ordinary dividends were paid. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mrs E Boreham
(Resigned 28 October 2024)
Mr N Boreham
(Resigned 28 October 2024)
Mr D Watkins
(Appointed 28 October 2024)
Mr K Robson
(Appointed 28 October 2024)
Mrs E Lee
(Appointed 28 October 2024)
Mr P Barker
(Appointed 28 October 2024)
Financial instruments
Treasury operations and financial instruments

The group operates a treasury function which is responsible for managing the liquidity, interest and foreign currency risks associated with the group’s activities.

 

The group’s principal financial instruments include derivative financial instruments, the purpose of which is to manage currency risks and interest rate risks arising from the group’s activities, and bank overdrafts, loans and corporate bonds, the main purpose of which is to raise finance for the group’s operations. In addition, the group has various other financial assets and liabilities such as trade debtors and trade creditors arising directly from its operations. Derivative transactions which the group enters into principally comprise forward exchange contracts. In accordance with group’s treasury policy, derivative instruments are not entered into for speculative purposes.

Liquidity risk

The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the group has sufficient liquid resources to meet the operating needs of the business.

Foreign currency risk

The group’s principal foreign currency exposures arise from trading with overseas companies. Group policy permits but does not demand that these exposures may be hedged in order to fix the cost in sterling. This hedging activity involves the use of foreign exchange forward contracts.

Credit risk

Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

 

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary.

SHOWCASE INTERIORS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
Future developments

We look to continue to grow the business organically through existing and new sales strategies and investment, notably we have recently completed the development of a bespoke online supplier approval and tendering platform, which will see increased sales and a reduction in physical administrative costs.

 

Overseas Operations

The group includes a company registered in Amsterdam – Showcase Europe BV, which helps facilitate what is a growing market for us in Europe.

Auditor

The auditor, Affinia (Chelmsford), is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr D Watkins
Director
18 March 2025
SHOWCASE INTERIORS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -

The directors are responsible 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 company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

SHOWCASE INTERIORS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SHOWCASE INTERIORS LIMITED
- 6 -
Opinion

We have audited the financial statements of Showcase Interiors Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the group profit and loss account, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows 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 the financial statements:

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and 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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:

SHOWCASE INTERIORS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SHOWCASE INTERIORS LIMITED
- 7 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, incorporated the following:

 

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

 

SHOWCASE INTERIORS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SHOWCASE INTERIORS LIMITED
- 8 -

To address the risk of fraud through management bias and override of controls, our work included:

 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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.

Michael Warman
For and on behalf of
18 March 2025
Affinia (Chelmsford)
Chartered Accountants
Statutory Auditor
Ground Floor
Swift House
18 Hoffmanns Way
Chelmsford
CM1 1GU
SHOWCASE INTERIORS LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
2024
2023
Notes
£
£
Turnover
3
60,207,894
42,550,448
Cost of sales
(49,836,640)
(35,228,631)
Gross profit
10,371,254
7,321,817
Administrative expenses
(8,972,124)
(6,334,970)
Other operating income
57,779
36,829
Operating profit
4
1,456,909
1,023,676
Share of results of associates and joint ventures
1,651
(34,518)
Interest receivable and similar income
8
68,564
17,722
Interest payable and similar expenses
9
(16,308)
(6,853)
Profit on disposal of fixed asset investments
10
57,728
-
Profit before taxation
1,568,544
1,000,027
Tax on profit
11
(279,991)
(206,081)
Profit for the financial year
27
1,288,553
793,946
Profit for the financial year is attributable to:
- Owners of the parent company
1,164,423
733,335
- Non-controlling interests
124,130
60,611
1,288,553
793,946
There was no other comprehensive income for the year (2023: £Nil).
SHOWCASE INTERIORS LIMITED
GROUP BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 10 -
2024
2023
Notes
£
£
£
£
Fixed assets
Goodwill
13
1,444,199
1,619,268
Other intangible assets
13
26,845
-
0
Total intangible assets
1,471,044
1,619,268
Tangible assets
14
620,567
264,133
Investments
15
-
0
595
2,091,611
1,883,996
Current assets
Stocks
280,068
201,150
Debtors
17
16,067,034
7,574,193
Cash at bank and in hand
5,798,440
6,749,846
22,145,542
14,525,189
Creditors: amounts falling due within one year
18
(17,439,396)
(10,630,122)
Net current assets
4,706,146
3,895,067
Total assets less current liabilities
6,797,757
5,779,063
Creditors: amounts falling due after more than one year
19
(58,334)
(108,334)
Provisions for liabilities
Provisions
21
29,974
26,149
Deferred tax liability
22
36,897
47,532
(66,871)
(73,681)
Net assets
6,672,552
5,597,048
Capital and reserves
Called up share capital
26
40,000
40,000
Other reserves
27
18,035
19,874
Profit and loss reserves
27
6,614,517
5,472,463
Equity attributable to owners of the parent company
6,672,552
5,532,337
Non-controlling interests
-
64,711
6,672,552
5,597,048
SHOWCASE INTERIORS LIMITED
GROUP BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2024
31 March 2024
- 11 -

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

The financial statements were approved by the board of directors and authorised for issue on 18 March 2025 and are signed on its behalf by:
18 March 2025
Mr D Watkins
Director
Company registration number 06066095 (England and Wales)
SHOWCASE INTERIORS LIMITED
COMPANY BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
- 12 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
13
26,845
-
0
Tangible assets
14
504,535
134,313
Investments
15
1,836,775
1,836,801
2,368,155
1,971,114
Current assets
Debtors
17
11,307,150
4,686,442
Cash at bank and in hand
3,804,686
5,177,670
15,111,836
9,864,112
Creditors: amounts falling due within one year
18
(11,270,798)
(6,381,530)
Net current assets
3,841,038
3,482,582
Total assets less current liabilities
6,209,193
5,453,696
Provisions for liabilities
Deferred tax liability
22
15,400
15,400
(15,400)
(15,400)
Net assets
6,193,793
5,438,296
Capital and reserves
Called up share capital
26
40,000
40,000
Other reserves
27
40,222
40,222
Profit and loss reserves
27
6,113,571
5,358,074
Total equity
6,193,793
5,438,296

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £755,497 (2023 - £726,270 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 18 March 2025 and are signed on its behalf by:
18 March 2025
Mr D Watkins
Director
Company registration number 06066095 (England and Wales)
SHOWCASE INTERIORS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
Share capital
Share option reserve
Foreign exchange reserve
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
£
Balance at 1 April 2022
40,000
40,222
11,406
5,140,638
5,232,266
-
5,232,266
Year ended 31 March 2023:
Profit and total comprehensive income
-
-
-
733,335
733,335
60,611
793,946
Dividends
12
-
-
-
(401,510)
(401,510)
-
(401,510)
Transfers
-
-
(31,754)
-
(31,754)
-
(31,754)
Other movements
-
-
-
-
-
4,100
4,100
Balance at 31 March 2023
40,000
40,222
(20,348)
5,472,463
5,532,337
64,711
5,597,048
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
-
1,164,423
1,164,423
124,130
1,288,553
Dividends
12
-
-
-
-
-
(211,210)
(211,210)
Transfers
-
-
(1,839)
(22,369)
(24,208)
22,369
(1,839)
Balance at 31 March 2024
40,000
40,222
(22,187)
6,614,517
6,672,552
-
0
6,672,552
SHOWCASE INTERIORS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
Share capital
Share option reserve
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 April 2022
40,000
40,222
4,941,618
5,021,840
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
-
726,269
726,269
Dividends
12
-
-
(309,813)
(309,813)
Balance at 31 March 2023
40,000
40,222
5,358,074
5,438,296
Year ended 31 March 2024:
Profit and total comprehensive income for the year
-
-
755,497
755,497
Balance at 31 March 2024
40,000
40,222
6,113,571
6,193,793
SHOWCASE INTERIORS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
32
131,098
1,842,042
Interest paid
(16,308)
(6,853)
Income taxes paid
(309,402)
(184,820)
Net cash (outflow)/inflow from operating activities
(194,612)
1,650,369
Investing activities
Purchase of subsidiaries, net of cash acquired
-
(751,291)
Purchase of intangible assets
(30,760)
-
Purchase of tangible fixed assets
(593,204)
(155,911)
Proceeds from disposal of tangible fixed assets
-
216
Proceeds from disposal of associates
60,000
-
Interest received
68,564
17,722
Net cash used in investing activities
(495,400)
(889,264)
Financing activities
Repayment of bank loans
(50,000)
(37,499)
Dividends paid to equity shareholders
-
0
(401,510)
Dividends paid to non-controlling interests
(211,210)
-
0
Net cash used in financing activities
(261,210)
(439,009)
Net (decrease)/increase in cash and cash equivalents
(951,222)
322,096
Cash and cash equivalents at beginning of year
6,749,846
6,445,342
Effect of foreign exchange rates
(184)
(17,592)
Cash and cash equivalents at end of year
5,798,440
6,749,846
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 16 -
1
Accounting policies
Company information

Showcase Interiors Limited (“the company”) is a company limited by shares and incorporated in England and Wales. The registered office is Paslow Hall Farm Estate, King Street, High Ongar, Essex, CM5 9QZ.

 

The group consists of Showcase Interiors Limited and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

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, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the amount paid for the purchase of shares. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Showcase Interiors Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -
1.4
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

 

The group has also entered into a new invoice finance contract to replace a facility that was previously in place. This new facility allows borrowing of up to £4.5 million across the group and will aid cash and working capital requirements following the MBO.

1.5
Turnover

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

 

Revenue from the sale of furniture is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (This can be on completion of design works, ordering of the furniture or on delivery of the furniture), 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
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.7
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation 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:

Software
3 years straight line
1.8
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.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 18 -

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 land and buildings
Over term of lease
Leasehold improvements
10% - 25% straight line
Fixtures and fittings
25% Straight line
Computers
25% - 33.33% Straight line
Motor vehicles
25% reducing balance

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

1.9
Fixed asset investments

Equity investments are not publicly traded and are therefore recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.10
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible 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.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 19 -
1.11
Stocks

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

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

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

1.12
Cash and cash equivalents

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

1.13
Financial instruments

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

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.

Basic financial assets

Basic financial assets, which include debtors 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.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 20 -
Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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 profit or loss.

 

If there is a 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.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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 group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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.

Other financial liabilities

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 21 -
1.14
Equity instruments

Equity instruments issued by the group 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 group.

1.15
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.16
Provisions

Provisions are recognised when the group has a legal or constructive present obligation as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

1.17
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.

1.18
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 22 -
1.19
Share-based payments

Equity-settled share-based payments are measured at fair value at the date of grant by reference to the fair value of the equity instruments granted using an arm length valuation. The fair value determined at the grant date is expensed on a straight-line basis over the vesting period, based on the estimate of shares that will eventually vest. A corresponding adjustment is made to equity.

 

The expense in relation to options over the parent company’s shares granted to employees of a subsidiary is recognised by the company as a capital contribution, and presented as an increase in the company’s investment in that subsidiary.

When the terms and conditions of equity-settled share-based payments at the time they were granted are subsequently modified, the fair value of the share-based payment under the original terms and conditions and under the modified terms and conditions are both determined at the date of the modification. Any excess of the modified fair value over the original fair value is recognised over the remaining vesting period in addition to the grant date fair value of the original share-based payment. The share-based payment expense is not adjusted if the modified fair value is less than the original fair value.

 

Cancellations or settlements (including those resulting from employee redundancies) are treated as an acceleration of vesting and the amount that would have been recognised over the remaining vesting period is recognised immediately.

 

1.20
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 leased asset are consumed.

2
Judgements and key sources of estimation uncertainty

In the 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 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.

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Sales
60,207,894
42,550,448
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
3
Turnover and other revenue
(Continued)
- 23 -
2024
2023
£
£
Turnover analysed by geographical market
UK
59,993,693
41,379,113
EU
24,472
1,048,850
Rest of the world
189,729
122,485
60,207,894
42,550,448
2024
2023
£
£
Other revenue
Interest income
68,564
17,722
Commissions received
13,438
-
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange (gains)/losses
(15,620)
922
Depreciation of owned tangible fixed assets
222,484
112,067
Amortisation of intangible assets
178,984
133,922
Operating lease charges
321,157
190,714
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
24,000
21,500
Audit of the financial statements of the company's subsidiaries
43,000
29,500
67,000
51,000
For other services
Other assurance services
11,300
7,500
Taxation compliance services
5,000
3,250
16,300
10,750
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
6
Employees

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

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Directors
6
5
2
2
Senior Management
5
6
5
6
Management
3
4
3
4
Sales
10
19
10
9
Admin
83
53
36
29
Total
107
87
56
50

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
4,966,738
3,525,718
2,544,532
2,088,947
Social security costs
576,942
507,451
286,994
233,997
Pension costs
233,330
107,079
130,762
76,235
5,777,010
4,140,248
2,962,288
2,399,179
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
18,200
17,680
Company pension contributions to defined contribution schemes
60,000
40,000
78,200
57,680

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2023 - 2).

8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
68,564
17,722
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
8
Interest receivable and similar income
(Continued)
- 25 -
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
68,564
17,722
9
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
9,647
6,853
Other finance costs:
Other interest
6,661
-
Total finance costs
16,308
6,853
10
Profit on disposal of fixed asset investments
2024
2023
£
£
Gain on disposal of investments held at fair value
57,728
-
11
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
284,794
184,192
Adjustments in respect of prior periods
-
0
(273)
Other taxes
4,691
-
0
Total current tax
289,485
183,919
Deferred tax
Origination and reversal of timing differences
(9,494)
22,162
Total tax charge
279,991
206,081
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
11
Taxation
(Continued)
- 26 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
1,568,544
1,000,027
Expected tax charge based on the standard rate of corporation tax in the UK of 19.00% (2023: 19.00%)
298,023
190,005
Tax effect of expenses that are not deductible in determining taxable profit
27,758
23,902
Unutilised tax losses carried forward
7,605
29
Change in unrecognised deferred tax assets
(9,494)
22,161
Adjustments in respect of prior years
-
0
(273)
Group relief
-
0
189
Permanent capital allowances in excess of depreciation
(47,599)
(5,597)
Amortisation on assets not qualifying for tax allowances
-
0
24,970
Other non-reversing timing differences
4,691
-
0
Share based payment charge
-
0
(41,813)
Effect of overseas tax rates
(993)
(38,971)
Pre-acquisition profits
-
0
38,037
Share of NCI profits
-
0
(6,558)
Taxation charge
279,991
206,081
12
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Final paid
-
309,813
13
Intangible fixed assets
Group
Goodwill
Software
Total
£
£
£
Cost
At 1 April 2023
2,099,244
-
0
2,099,244
Additions
-
0
30,760
30,760
At 31 March 2024
2,099,244
30,760
2,130,004
Amortisation and impairment
At 1 April 2023
479,976
-
0
479,976
Amortisation charged for the year
175,069
3,915
178,984
At 31 March 2024
655,045
3,915
658,960
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
13
Intangible fixed assets
(Continued)
- 27 -
Carrying amount
At 31 March 2024
1,444,199
26,845
1,471,044
At 31 March 2023
1,619,268
-
0
1,619,268
Company
Goodwill
Software
Total
£
£
£
Cost
At 1 April 2023
346,054
-
0
346,054
Additions
-
0
30,760
30,760
At 31 March 2024
346,054
30,760
376,814
Amortisation and impairment
At 1 April 2023
346,054
-
0
346,054
Amortisation charged for the year
-
0
3,915
3,915
At 31 March 2024
346,054
3,915
349,969
Carrying amount
At 31 March 2024
-
0
26,845
26,845
At 31 March 2023
-
0
-
0
-
0
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 28 -
14
Tangible fixed assets
Group
Leasehold land and buildings
Leasehold improvements
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 April 2023
18,120
231,357
362,968
625,451
23,123
1,261,019
Additions
-
0
200,607
316,598
75,999
-
0
593,204
Disposals
-
0
-
0
(6,800)
(120,573)
-
0
(127,373)
At 31 March 2024
18,120
431,964
672,766
580,877
23,123
1,726,850
Depreciation and impairment
At 1 April 2023
6,310
175,399
263,224
531,853
20,101
996,887
Depreciation charged in the year
11,247
63,005
96,906
64,855
756
236,769
Eliminated in respect of disposals
-
0
-
0
(6,800)
(120,573)
-
0
(127,373)
At 31 March 2024
17,557
238,404
353,330
476,135
20,857
1,106,283
Carrying amount
At 31 March 2024
563
193,560
319,436
104,742
2,266
620,567
At 31 March 2023
11,811
55,958
99,743
93,599
3,022
264,133

The brought forward balances of Fixtures and Fittings and Computers of the group have been corrected in the current year to account for disposals that took place in subsidiaries prior to their acquisition into the group.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
14
Tangible fixed assets
(Continued)
- 29 -
Company
Leasehold improvements
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
231,357
113,520
283,052
23,123
651,052
Additions
200,607
289,847
54,855
-
0
545,309
Disposals
-
0
(6,800)
(120,573)
-
0
(127,373)
At 31 March 2024
431,964
396,567
217,334
23,123
1,068,988
Depreciation and impairment
At 1 April 2023
175,399
110,004
211,235
20,101
516,739
Depreciation charged in the year
63,005
59,829
51,497
756
175,087
Eliminated in respect of disposals
-
0
(6,800)
(120,573)
-
0
(127,373)
At 31 March 2024
238,404
163,033
142,159
20,857
564,453
Carrying amount
At 31 March 2024
193,560
233,534
75,175
2,266
504,535
At 31 March 2023
55,958
3,516
71,817
3,022
134,313
15
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
16
-
0
-
0
1,836,775
1,836,775
Investments in associates
-
0
595
-
0
26
-
0
595
1,836,775
1,836,801
Movements in fixed asset investments
Group
Shares in associates
£
Cost or valuation
At 1 April 2023
595
Disposals
(595)
At 31 March 2024
-
Carrying amount
At 31 March 2024
-
At 31 March 2023
595
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
15
Fixed asset investments
(Continued)
- 30 -
Movements in fixed asset investments
Company
Shares in subsidiaries and associates
£
Cost or valuation
At 1 April 2023
1,836,801
Disposals
(26)
At 31 March 2024
1,836,775
Carrying amount
At 31 March 2024
1,836,775
At 31 March 2023
1,836,801
16
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Indirect
Showcase Europe B.V
Netherlands
Ordinary
100.00
-
Showcase PSR Limited
England and Wales
Ordinary
85.40
-
Portsdown Group Ltd
England and Wales
Ordinary
-
85.40
Showcase PSR Portsdown Limited
England and Wales
Ordinary
-
85.40
17
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
11,965,400
5,285,487
8,149,933
2,446,254
Unpaid share capital
-
0
20,000
-
0
-
0
Amounts owed by group undertakings
-
1
-
-
Other debtors
715,582
590,251
2,172,623
957,971
Prepayments and accrued income
3,386,054
1,678,454
984,594
1,282,217
16,067,036
7,574,193
11,307,150
4,686,442
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 31 -
18
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans
20
50,000
50,000
-
0
-
0
Trade creditors
10,490,150
6,595,413
7,108,888
4,293,200
Amounts owed to undertakings in which the group has a participating interest
242,659
609,026
-
0
573,550
Corporation tax payable
237,633
256,409
-
0
57,138
Other taxation and social security
825,859
730,006
759,907
323,885
Deferred income
23
382,119
212,575
-
0
-
0
Other creditors
35,279
98,928
22,320
22,856
Accruals and deferred income
5,175,697
2,077,765
3,379,683
1,110,901
17,439,396
10,630,122
11,270,798
6,381,530

A fixed and floating charge is held over the company dated 05 December 2018 in favour of Barclays Bank PLC which covers the assets of Showcase Interiors Limited.

 

There is also a fixed and floating charge held over the company dated 26 November 2018 in favour of Barclays Bank PLC which cover the assets of Showcase Interiors Limited.

19
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
20
58,334
108,334
-
0
-
0
20
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
108,334
158,334
-
0
-
0
Payable within one year
50,000
50,000
-
0
-
0
Payable after one year
58,334
108,334
-
0
-
0
21
Provisions for liabilities
Group
Company
2024
2023
2024
2023
£
£
£
£
Dilapidations
29,974
26,149
-
-
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
21
Provisions for liabilities
(Continued)
- 32 -
Movements on provisions:
Dilapidations
Group
£
Additional provisions in the year
29,974

The dilapidations provisions are in respect of two buildings, currently rented by Showcase PSR Portsdown Limited.

22
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
15,400
16,541
Tax losses
21,497
30,991
36,897
47,532
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
15,400
15,400
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 April 2023
47,532
15,400
Credit to profit or loss
(10,635)
-
Liability at 31 March 2024
36,897
15,400
SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 33 -
23
Deferred income
Group
Company
2024
2023
2024
2023
£
£
£
£
Other deferred income
382,119
212,575
-
-
24
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
233,330
107,079

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 34 -
25
Share-based payment transactions
Group and company
Number of share options
Weighted average exercise price
2024
2023
2024
2023
Number
Number
£
£
Outstanding at 1 April 2023 and 31 March 2024
4,092
4,092
35.11
35.11
Exercisable at 31 March 2024
-
-
-
-

Showcase Interiors Limited has a share option scheme which employees participate in. The scheme is an Enterprise Management Incentive plan approved by HMRC.

 

4,092 share options were granted in 2017 and they were all still outstanding at the end of the previous and current year. The shares have been valued on a fair value basis at the date of grant, considering the service conditions of option holders.

 

The vesting period of the share options is 10 years.

 

The options are valued based on a method approved by HMRC.

26
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary A of £1 each
10,040
10,040
10,040
10,040
Ordinary B of £1 each
29,960
29,960
29,960
29,960
40,000
40,000
40,000
40,000

The company has 2 classes of ordinary shares which both carry full rights to vote, participate in dividends and participate in the distribution of capital in winding up the company.

27
Reserves
Share option reserve

The share option reserve is used to record the value of the shares that are expected to vest.

Foreign exchange reserve

The foreign exchange reserve is in relation to translation of transactions in the year and balances at year end of the foreign subsidiary.

Profit and loss reserves

This reserve includes all current and prior period retained profit or loss.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 35 -
28
Operating lease commitments
Lessee

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

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
400,082
275,742
245,451
147,875
Between two and five years
767,384
289,729
404,943
131,239
1,167,466
565,471
650,394
279,114
29
Events after the reporting date

In October 2024 four long standing members of the senior leadership team completed the successful management buyout of Showcase Interiors, marking a significant milestone in the company’s journey.

 

The group has also entered into a new invoice finance contract to replace a facility that was previously in place. This new facility allows borrowing of up to £4.5 million across the group and will aid cash and working capital requirements following the MBO.

30
Related party transactions

At 31 March 2024 Showcase Interiors was owed £1,767,970 (2023: £923,598) by entities over which the entity has control or joint control. The company owed £Nil (2023: £50,595) to entities over which the entity has control or joint control. Transactions with these entities in the year were sales of £2,826,853 (2023: £983,632), purchases of £3,260,822(2023: £1,821,376), dividends received of £639,003 (2023: £183,394) and management charges received of £177,162 (2023:£154,754).

 

At 31 March 2024 the company was owed £190,603 (2023: £34,373) by other related parties. The company owed £Nil (2023: £522,955) to other related parties. Transactions with other related parties were sales of £781,923 (2023: £Nil), Purchases of £2,570,975 (2023: £Nil) and management charges paid of £12,829 (2023 received: £36,756).

31
Controlling party

At year end, the group was under the control of its directors, Mr and Mrs Boreham who owned all of the issued share capital of the parent company Showcase Interiors Limited.

 

On 28 October 2024, the entire share capital was sold to Showcase Group Holdings Limited, a company incorporated in England and Wales. There is no ultimate controlling party.

SHOWCASE INTERIORS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 36 -
32
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
1,288,553
793,946
Adjustments for:
Share of results of associates and joint ventures
(1,651)
34,518
Taxation charged
279,991
206,081
Finance costs
16,308
6,853
Investment income
(68,564)
(17,722)
Gain on disposal of investments
(59,406)
-
Amortisation and impairment of intangible assets
178,984
133,922
Depreciation and impairment of tangible fixed assets
236,769
112,067
Movements in working capital:
Increase in stocks
(78,918)
(75,789)
(Increase)/decrease in debtors
(8,492,843)
205,166
Increase in creditors
6,662,331
230,425
Increase in deferred income
169,544
212,575
Cash generated from operations
131,098
1,842,042
33
Analysis of changes in net funds - group
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
6,749,846
(951,406)
5,798,440
Borrowings excluding overdrafts
(158,334)
50,000
(108,334)
6,591,512
(901,406)
5,690,106
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