Registration number:
Street Lighting Supplies & Co Ltd.
for the Year Ended 30 June 2024
Street Lighting Supplies & Co Ltd.
Contents
Company Information |
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Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Consolidated Profit and Loss Account |
|
Consolidated Statement of Comprehensive Income |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Changes in Equity |
|
Statement of Changes in Equity |
|
Consolidated Statement of Cash Flows |
|
Notes to the Financial Statements |
Street Lighting Supplies & Co Ltd.
Company Information
Directors |
Mr Roger David Habberfield Mr Barry John Morrison Ms Lisa Craig Whyte Mr Kevin Ferguson Thomson |
Registered office |
|
Accountants |
|
Auditors |
|
Street Lighting Supplies & Co Ltd.
Strategic Report for the Year Ended 30 June 2024
The directors present their strategic report for the year ended 30 June 2024.
Principal activity
The principal activity of the group is the sale of street lighting supplies.
Fair review of the business
We aim to provide a balanced and comprehensive review of our business during the year and the position of the group at the year-end.
In doing so, we consider our key performance indicators to be turnover, gross profit margin, and operating profit.
Turnover increased by 0.87% on 2023 levels despite difficult trading conditions due to contraction in the housing market. The group maintained a steady gross profit margin in comparison to in the previous year. Overheads increased on 2023 figures however a proportion of the increase was due to non-recurring costs. The group recorded an expected pre-tax loss of £101,760, mainly due to the increased non-recurring overhead costs and investments.
Throughout the year, the group allocated £210,296 towards investments in vehicles and plant, laying a strong foundation for future growth. Additionally, very successful efforts were made to reduce loans and borrowings, decreasing by 43% from 2023 to 2024.
The group’s intention is to continue investing in the company vehicles, plant and staff with a view to becoming more profitable this coming year.
Following the end of the financial year, the directors have implemented key initiatives aimed at enhancing profitability. These initiatives include a renewed focus on cost controls and increasing sales volumes.
Principal risks and uncertainties
The directors consider that in the current economic climate, the principal risk is that of bad debts and cash flow management. This is managed through a combination of credit insurance, tight credit controls, stock level controls and the active pursuit of defaulters through all legal channels.
Performance in the sector is affected by general economic conditions and weather conditions. The directors carry out regular strategic reviews including assessments of competitor activity, market trends, forecasts and customer behaviour.
Approved and authorised by the
......................................... |
Street Lighting Supplies & Co Ltd.
Directors' Report for the Year Ended 30 June 2024
The directors present their report and the for the year ended 30 June 2024.
Directors of the group
The directors who held office during the year were as follows:
The directors recommend a final dividend per share as follows:
£ |
|||
30 June 2024 |
275,000 |
||
275,000 |
|||
The total distribution of dividends for the year ended 30 June 2024 will be £275,000.
Financial instruments
Objectives and policies
The company's operations expose it to a variety of financial risks. The directors note that the street lighting industry remains competitive and inflationary cost pressures require to be kept under close review.
Given the size of the company, 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 company's finance department.
Price risk, credit risk, liquidity risk and cash flow risk
Price Risk - Given the size of the company's operation, the costs of managing exposure to commodity price risk exceed the potential benefits. The directors will revisit the appropriateness of this policy should the company's operations significantly change in size.
Credit Risk / Cash Flow Risk - Trade debtors are managed in respect of credit and cash flow risk policies concerning the credit offered to customers and regular monitoring of amounts outstanding for both time and credit limits. Banking facilities are also structured to meet ongoing working capital and investment requirements for the company,
Liquidity Risk - Trade creditors liquidity risk is managed ensuring sufficient funds are available to meet amounts when due,
Financial Instrument Risk - The company has established a risk and financial framework whose primary objectives are to protect the company from events that hinder the achievement of the company's performance objectives.
Street Lighting Supplies & Co Ltd.
Directors' Report for the Year Ended 30 June 2024
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Reappointment of auditors
The auditors, Sumer Auditco Limited, will be proposed for reappoinment in accordance with section 485 of the Companies Act 2006.
Approved and authorised by the
......................................... |
Street Lighting Supplies & Co Ltd.
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
• |
select suitable accounting policies and apply them consistently; |
• |
make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Street Lighting Supplies & Co Ltd.
Independent Auditor's Report to the Members of Street Lighting Supplies & Co Ltd.
Opinion
We have audited the financial statements of Street Lighting Supplies & Co Ltd. (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 30 June 2024 and of the group's loss for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.
Street Lighting Supplies & Co Ltd.
Independent Auditor's Report to the Members of Street Lighting Supplies & Co Ltd.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
• |
the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 5], 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 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.
Street Lighting Supplies & Co Ltd.
Independent Auditor's Report to the Members of Street Lighting Supplies & Co Ltd.
Auditor Responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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 Group 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:
We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We focused on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.
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.
Street Lighting Supplies & Co Ltd.
Independent Auditor's Report to the Members of Street Lighting Supplies & Co 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 auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
For and on behalf of
Saltire Centre
Glenrothes
KY6 2AH
Street Lighting Supplies & Co Ltd.
Consolidated Profit and Loss Account for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Operating (loss)/profit |
( |
|
|
Other interest receivable and similar income |
|
- |
|
Interest payable and similar expenses |
( |
( |
|
(61,739) |
(40,418) |
||
(Loss)/profit before tax |
( |
|
|
Tax on (loss)/profit |
( |
( |
|
(Loss)/profit for the financial year |
( |
|
|
Profit/(loss) attributable to: |
|||
Owners of the company |
( |
|
Street Lighting Supplies & Co Ltd.
Consolidated Statement of Comprehensive Income for the Year Ended 30 June 2024
2024 |
2023 |
|
(Loss)/profit for the year |
( |
|
Surplus on property, plant and equipment revaluation |
|
- |
Total comprehensive income for the year |
( |
|
Total comprehensive income attributable to: |
||
Owners of the company |
( |
|
Street Lighting Supplies & Co Ltd.
(Registration number: SC233145)
Consolidated Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current assets |
|
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Revaluation reserve |
|
- |
|
Retained earnings |
|
|
|
Equity attributable to owners of the company |
|
|
|
Shareholders' funds |
|
|
Approved and authorised by the
......................................... |
Street Lighting Supplies & Co Ltd.
(Registration number: SC233145)
Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Investments |
|
|
|
|
|
||
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current (liabilities)/assets |
( |
|
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Retained earnings |
|
|
|
Shareholders' funds |
|
|
The company made a loss after tax for the financial year of £25,421 (2023 - profit of £322,016).
Approved and authorised by the
......................................... |
Street Lighting Supplies & Co Ltd.
Consolidated Statement of Changes in Equity for the Year Ended 30 June 2024
Equity attributable to the parent company
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 July 2023 |
|
- |
|
|
Loss for the year |
- |
- |
( |
( |
Other comprehensive income |
- |
|
- |
|
Total comprehensive income |
- |
|
( |
( |
Dividends |
- |
- |
( |
( |
At 30 June 2024 |
|
|
|
|
Share capital |
Retained earnings |
Total |
|
At 1 July 2022 |
|
|
|
Profit for the year |
- |
|
|
Dividends |
- |
( |
( |
At 30 June 2023 |
1 |
2,385,641 |
2,385,642 |
Street Lighting Supplies & Co Ltd.
Statement of Changes in Equity for the Year Ended 30 June 2024
Share capital |
Retained earnings |
Total |
|
At 1 July 2023 |
|
|
|
Loss for the year |
- |
( |
( |
Dividends |
- |
( |
( |
At 30 June 2024 |
|
|
|
Share capital |
Retained earnings |
Total |
|
At 1 July 2022 |
|
|
|
Profit for the year |
- |
|
|
Dividends |
- |
( |
( |
At 30 June 2023 |
1 |
2,161,351 |
2,161,352 |
Street Lighting Supplies & Co Ltd.
Consolidated Statement of Cash Flows for the Year Ended 30 June 2024
2024 |
2023 |
|
Cash flows from operating activities |
||
(Loss)/profit for the year |
( |
|
Adjustments to cash flows from non-cash items |
||
Depreciation and amortisation |
|
|
Profit on disposal of tangible assets |
( |
( |
Finance income |
( |
- |
Finance costs |
|
|
Income tax expense |
|
|
|
|
|
Working capital adjustments |
||
Decrease in stocks |
|
|
Increase in trade debtors |
( |
( |
Increase/(decrease) in trade creditors |
|
( |
Cash generated from operations |
|
|
Income taxes paid |
( |
( |
Net cash flow from operating activities |
|
|
Cash flows from investing activities |
||
Interest received |
|
- |
Acquisitions of tangible assets |
( |
( |
Proceeds from sale of tangible assets |
|
|
Net cash flows from investing activities |
( |
( |
Cash flows from financing activities |
||
Interest paid |
( |
( |
Proceeds/(Repayments) of bank borrowing |
( |
|
Payments to finance lease creditors |
|
|
Dividends paid |
( |
( |
Net cash flows from financing activities |
( |
|
Net decrease in cash and cash equivalents |
( |
( |
Cash and cash equivalents at 1 July |
( |
( |
Cash and cash equivalents at 30 June |
(1,500,460) |
(874,669) |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
General information |
The company is a private company limited by share capital, incorporated in Scotland.
The address of its registered office is:
Scotland
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The presentational currency of the financial statements is GBP Sterling (£).
Summary of disclosure exemptions
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements..
Basis of consolidation
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of financial position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
ln accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group. All income arose in the United Kingdom.
The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.
Foreign currency transactions and balances
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Revaluation Policy:
Individual freehold and leasehold properties are carried at current year value at fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market-based evidence normally undertaken by professionally qualified valuers.
Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit and loss.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Plant and machinery |
25% on reducing balance |
Fixtures and fittings |
20% on cost |
Motor vehicles |
25% on reducing balance |
Office equipment |
33% on cost |
Long leasehold |
1% on cost |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Financial instruments
Classification
arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any
contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
|
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
2024 |
2023 |
|
Sale of goods |
|
|
All turnover arose within the United Kingdom.
Operating (loss)/profit |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
Profit on disposal of property, plant and equipment |
( |
( |
Operating lease rentals |
151,115 |
173,271 |
Other interest receivable and similar income |
2024 |
2023 |
|
Other finance income |
|
- |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Interest payable and similar expenses |
2024 |
2023 |
|
Interest on bank overdrafts and borrowings |
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
Interest expense on other finance liabilities |
|
- |
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2024 |
2023 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
|
|
Other employee expense |
|
|
|
|
The average number of persons employed by the company (including directors) during the year, was
Directors' remuneration |
The directors' remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
236,253 |
231,863 |
During the year retirement benefits were accruing to 2 directors (2023 - 2) in respect of defined contribution pension schemes.
The highest paid director received remuneration of £90,000 (2023 - £92,885).
The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £7,200 (2023 - £7,431).
The directors are considered to be the company's Key Management Personnel.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Auditors' remuneration |
2024 |
2023 |
|
Audit of these financial statements |
29,000 |
27,822 |
Other fees to auditors |
||
Other tax and accountancy services |
|
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
2024 |
2023 |
|
Current taxation |
||
UK corporation tax |
|
|
Deferred taxation |
||
Arising from changes in tax rates and laws |
|
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2023 - higher than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
|
(Loss)/profit before tax |
( |
|
Corporation tax at standard rate |
( |
|
Tax decrease from effect of capital allowances and depreciation |
( |
( |
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Deferred tax expense relating to changes in tax rates or laws |
|
|
Total tax charge |
|
|
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Tangible assets |
Group
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
Cost or valuation |
||||
At 1 July 2023 |
|
|
|
|
Revaluations |
|
- |
- |
|
Additions |
- |
|
|
|
Disposals |
- |
( |
( |
( |
At 30 June 2024 |
|
|
|
|
Depreciation |
||||
At 1 July 2023 |
|
|
|
|
Charge for the year |
|
|
|
|
Eliminated on disposal |
- |
( |
( |
( |
Impairment |
( |
- |
- |
( |
At 30 June 2024 |
|
|
|
|
Carrying amount |
||||
At 30 June 2024 |
|
|
|
|
At 30 June 2023 |
|
|
|
|
Included within the net book value of land and buildings above is £510,000 (2023 - £320,961) in respect of long leasehold land and buildings and £51,687 (2023 - £60,302) in respect of short leasehold land and buildings.
Revaluation
The fair value of the group's Land and buildings was revalued on
Had this class of asset been measured on a historical cost basis, the carrying amount would have been £
The net book value of assets held on hire purchase is £387,895 (2023: £350,160).
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Company
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
Cost or valuation |
||||
At 1 July 2023 |
|
|
|
|
Additions |
- |
|
|
|
Disposals |
- |
- |
( |
( |
At 30 June 2024 |
|
|
|
|
Depreciation |
||||
At 1 July 2023 |
|
|
|
|
Charge for the year |
|
|
|
|
Eliminated on disposal |
- |
- |
( |
( |
At 30 June 2024 |
|
|
|
|
Carrying amount |
||||
At 30 June 2024 |
|
|
|
|
At 30 June 2023 |
|
|
|
|
Included within the net book value of land and buildings above is £51,687 (2023 - £60,302) in respect of short leasehold land and buildings.
The net book value of assets held on hire purchase is £387,895 (2023: £350,160).
Investments |
Group
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
2024 |
2023 |
|||
Subsidiary undertakings |
||||
|
Unit 4B
|
|
|
|
Scotland |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
Unit 4B
|
|
|
|
Scotland |
Company
2024 |
2023 |
|
Investments in subsidiaries |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 July 2023 |
|
Provision |
|
Carrying amount |
|
At 30 June 2024 |
|
At 30 June 2023 |
|
Stocks |
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Finished goods and other inventories |
|
|
|
|
Group
Company
Debtors |
Group |
Company |
|||
Current |
2024 |
2023 |
2024 |
2023 |
Trade debtors |
|
|
|
|
Other debtors |
|
- |
|
- |
Prepayments |
|
|
|
|
Accrued income |
|
|
|
|
|
|
|
|
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Cash and cash equivalents |
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Cash on hand |
|
|
|
|
Cash at bank |
|
|
|
|
|
|
|
|
|
Bank overdrafts |
( |
( |
( |
( |
Cash and cash equivalents in statement of cash flows |
(1,500,460) |
(874,669) |
(1,022,993) |
(428,963) |
Analysis of changes in net debt |
Group
At 1 July 2023 |
Financing cash flows |
At 30 June 2024 |
|
Cash and cash equivalents |
|||
Cash |
1,960,537 |
(1,763,290) |
197,247 |
Overdrafts |
(2,835,206) |
1,137,499 |
(1,697,707) |
Bank loans |
(472,972) |
472,972 |
- |
(1,347,641) |
(152,819) |
(1,500,460) |
|
Borrowings |
|||
Finance leases |
(428,012) |
(6,983) |
(434,995) |
|
|||
( |
( |
( |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Creditors |
Group |
Company |
||||
Note |
2024 |
2023 |
2024 |
2023 |
|
Due within one year |
|||||
Loans and borrowings |
|
|
|
|
|
Trade creditors |
|
|
|
|
|
Amounts due to related parties |
|
|
|
|
|
Social security and other taxes |
|
|
|
|
|
Outstanding defined contribution pension costs |
|
|
|
|
|
Other payables |
|
|
|
|
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
|
|
The banking facilities are secured by a bond and floating charge on all assets of the group.
Net obligations under finance lease and hire purchase contracts are secured by the relevant assets.
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
Share capital |
Allotted, called up and fully paid shares
2024 |
2023 |
|||
No. |
£ |
No. |
£ |
|
|
|
1 |
|
1 |
Reserves |
Group
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Profit and loss account
The profit and loss account includes all current and prior year retained profits and losses.
Revaluation reserve
The revaluation reserve includes the increase in the market value of the group's tangible assets.
Loans and borrowings |
Non-current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
- |
|
- |
|
Hire purchase contracts |
|
|
|
|
|
|
|
|
Current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
- |
|
- |
|
Bank overdrafts |
|
|
|
|
Hire purchase contracts |
|
|
|
|
|
|
|
|
Leasing agreements |
Minimum lease payments under non-cancellable operating leases fall due as follows:
2024 |
2023 |
|
Within one year |
146,249 |
97,499 |
Between one and five years |
371,041 |
268,749 |
517,290 |
366,248 |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Dividends |
2024 |
2023 |
|||
£ |
£ |
|||
Interim dividend of £ |
275,000 |
449,500 |
||
Related party transactions |
Group
Transactions with directors |
2024 |
At 1 July 2023 |
Advances to director |
At 30 June 2024 |
Ms Lisa Craig Whyte |
|||
Loan |
- |
|
|
Company
Transactions with directors |
2024 |
At 1 July 2023 |
Advances to director |
At 30 June 2024 |
Ms Lisa Craig Whyte |
|||
Loan |
- |
|
|
As at 30 June 2024, the following amounts were (owed by)/owed to individuals who were directors of the company during the year:
Group |
Group |
|
Mr R D Habberfield |
301 |
320 |
301 |
320 |
Company |
Company |
|
Mr R D Habberfield |
301 |
320 |
301 |
320 |
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Group
Advantage has been taken of the exemption provided by FRS 102 Section 33 "Related Party Transactions" whereby disclosures need not be given of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member.
Ultimate Controlling Party
The ultimate controlling party of the group is Roger Habberfield.
Street Lighting Supplies & Co Ltd.
Notes to the Financial Statements for the Year Ended 30 June 2024
Financial instruments |
Group
Categorisation of financial instruments
2024 |
2023 |
|
Financial Assets |
||
Financial assets measured at fair value through profit or loss |
|
|
Financial assets that are debt instruments measured at amortised cost |
|
|
3,616,769 |
5,242,341 |
|
Financial Liabilities |
||
Financial Liabilities measured at amortised cost |
|
|
Company
Categorisation of financial instruments
2024 |
2023 |
|
Financial Assets |
||
Financial assets measured at fair value through profit or loss |
|
|
Financial assets that are debt instruments measured at amortised cost |
|
|
2,234,807 |
3,658,960 |
|
Financial Liabilities |
||
Financial Liabilities measured at amortised cost |
|
|
Financial assets measured at fair value through profit or loss comprise of cash at bank and in hand.
Financial assets that are debt instruments measured at amortised cost comprise trade debtors and other debtors.
Financial liabilities measured at amortised cost comprise trade creditors, other creditors, bank loans and overdrafts, amounts owed to group undertakings and third party financing agreements.