REGISTERED NUMBER: 10434421 (England and Wales) |
Group Strategic Report, Directors' Report and |
Consolidated Financial Statements for the Year Ended 30 June 2024 |
for |
Pasco Group Holdings Limited |
REGISTERED NUMBER: 10434421 (England and Wales) |
Group Strategic Report, Directors' Report and |
Consolidated Financial Statements for the Year Ended 30 June 2024 |
for |
Pasco Group Holdings Limited |
Pasco Group Holdings Limited (Registered number: 10434421) |
Contents of the Consolidated Financial Statements |
for the Year Ended 30 June 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Directors' Report | 4 |
Report of the Independent Auditors | 6 |
Consolidated Income Statement | 10 |
Consolidated Other Comprehensive Income | 11 |
Consolidated Balance Sheet | 12 |
Company Balance Sheet | 14 |
Consolidated Statement of Changes in Equity | 15 |
Company Statement of Changes in Equity | 16 |
Consolidated Cash Flow Statement | 17 |
Company Cash Flow Statement | 18 |
Notes to the Consolidated Financial Statements | 19 |
Pasco Group Holdings Limited |
Company Information |
for the Year Ended 30 June 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
2nd Floor |
Grove House |
55 Lowlands Road |
Harrow |
Middlesex |
HA1 3AW |
Pasco Group Holdings Limited (Registered number: 10434421) |
Group Strategic Report |
for the Year Ended 30 June 2024 |
The directors present their strategic report of the company and the group for the year ended 30 June 2024. |
REVIEW OF BUSINESS |
Pasco Group Holdings Limited is the parent of a group companies. Its subsidiaries operate as a Subway Franchisee in the Bristol and surrounding area. The group also owns some investment properties. |
The key performance indicators for the period ended 30 June 2023 are as follows: |
YE 30.06.24 |
YE 30.06.23 |
£ | £ |
Turnover | 9,007,042 | 9,469,653 |
Operating Profit/(Loss) | 108,171 | (890,465) |
Profit/(Loss) for the financial year | 74,404 | (971,619) |
Shareholders' equity | 2,174,450 | 2,196,045 |
The group has performed broadly in line with the Director's expectation and continues to sustain in a highly competitive fast changing environment and global pandemic environment. During the year, the group sold 6 subway stores and is in the process of selling rest of the stores and actively looking for buyers. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risks facing the business are: |
Financial risks |
The exposure to credit risk is not high as all the group consumer sales are paid for by the customer at the point of order with the payment being made by the major online payment providers typically within 3 days. The rapid receipt of cash from customers also reduces the exposure to risks surrounding cash flows allowing the company to maintain sufficient cash reserves to meet its payments as they fall due. The group monitors the financial risks carefully and has strategies in place to manage these effectively. |
Competitive risks |
The fast food market is a competitive and over-crowded market, however due to a strong brand and established position in the market place Subway is able to mitigate these risks. Performance is carefully monitored across all stores via a daily review of a specific range of KPIs. |
Commercial risks |
The principal activity within the group is the managing Subway branches. The main commercial risks facing the business is ensuring the procedures and standards required by Subway are satisfied, so the customer journey is consistent across all the franchises. The business has in place policies and procedures to ensure that on an ongoing basis its commercial risks are carefully monitored and mitigated against. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Group Strategic Report |
for the Year Ended 30 June 2024 |
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. |
ON BEHALF OF THE BOARD: |
25 March 2025 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Directors' Report |
for the Year Ended 30 June 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 30 June 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the ultimate parent company continued to be that of a holding company. |
The principal activities of the subsidiaries were that of a restaurant and take-away business and development agent. During the year, the group sold it's development agent licence to third party and ceased to receive the income relating to that. |
The group also receives rental income from investment property. |
DIVIDENDS |
During the year, the company paid dividends of £90,000 to Ordinary Z shares and £6,000 to Ordinary D shares. |
During previous year, the company paid dividends of £10,101 to Ordinary C shares, £23,994 to Ordinary E shares and £10,000 to Ordinary Z shares. |
FUTURE DEVELOPMENTS |
The management is focusing on investment arm of the business and is in the process of selling subway stores. |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 July 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
FINANCIAL RISK MANAGEMENT |
Interest rate risk |
The group borrows from its bankers using terms loans whose tenure depends on the nature of asset and management's view of the future direction on interest rate. The Group and its subsidiaries are mitigating risk by controlling on regular cashflow. |
Liquidity risk |
the objective of the group in managing liquidity risk is to ensure that it can meet its financial obligation as and when they fall due. The group is in a position to meet its commitments and obligations as they fall due. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Directors' Report |
for the Year Ended 30 June 2024 |
DIRECTORS' RESPONSIBILITIES STATEMENT |
The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, RA Audit Services Limited (Statutory Auditor), will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Pasco Group Holdings Limited |
Opinion |
We have audited the financial statements of Pasco Group Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement, Company Cash Flow Statement 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 of the parent company affairs as at 30 June 2024 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Report of the Independent Auditors to the Members of |
Pasco Group Holdings Limited |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Directors' Report, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Directors' Report. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Directors' Responsibilities Statement set out on page five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Pasco Group Holdings Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
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. |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
The client partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify and recognise non-compliance with applicable laws and regulations. |
1) We identified the laws and regulations applicable to the company through discussions with directors, key management personnel and from our commercial knowledge and experience. |
2) We focused on specific laws and regulations which we considered may have a direct effect on financial statements or the operations of the company including Companies Act 2006, current taxation legislation, data protection, anti-bribery and money laundering, food safety, employment and health and safety legislation. |
3) We assessed the extent of compliance with the laws and regulations identified above through making enquiries of |
management. |
4) Identified laws and regulations were communicated with the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur by; |
1) Making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual suspected and alleged fraud and |
2) Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
1) Performed analytical procedures to identify any unusual and unexpected relationships, |
2) Tested journal entries to identify unusual transactions, |
3) Investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
1) Agreeing financial statements disclosures to underlying supporting documentation. |
2) Enquiring of management as to actual and potential litigation and claims and |
3) Reviewing correspondence with HMRC, enquiring of management over health and safety. |
Report of the Independent Auditors to the Members of |
Pasco Group Holdings Limited |
There are inherent limitations in our audit procedures described above. Auditing standards also limit the audit procedures required to identifying 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 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 Report of the Auditors. |
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 a Report of the Auditors 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 |
2nd Floor |
Grove House |
55 Lowlands Road |
Harrow |
Middlesex |
HA1 3AW |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Income Statement |
for the Year Ended 30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ |
TURNOVER | 4 | 9,007,042 | 9,469,653 |
Cost of sales | 6,572,798 | 7,112,515 |
GROSS PROFIT | 2,434,244 | 2,357,138 |
Administrative expenses | 2,346,071 | 3,263,447 |
88,173 | (906,309 | ) |
Other operating income | 5 | 19,998 | 15,844 |
OPERATING PROFIT/(LOSS) | 7 | 108,171 | (890,465 | ) |
Interest receivable and similar income |
190 |
- |
108,361 | (890,465 | ) |
Interest payable and similar expenses |
9 |
96,605 |
94,666 |
PROFIT/(LOSS) BEFORE TAXATION | 11,756 | (985,131 | ) |
Tax on profit/(loss) | 10 | (62,648 | ) | (13,512 | ) |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR |
( |
) |
Profit/(loss) attributable to: |
Owners of the parent | 74,404 | (971,619 | ) |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Other Comprehensive Income |
for the Year Ended 30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ |
PROFIT/(LOSS) FOR THE YEAR | 74,404 | (971,619 | ) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
74,404 |
(971,619 |
) |
Total comprehensive income attributable to: |
Owners of the parent | 74,404 | (971,619 | ) |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Balance Sheet |
30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 13 | 2,225,162 | 2,884,621 |
Tangible assets | 14 | 1,138,050 | 1,648,132 |
Investments | 15 | - | - |
Investment property | 16 | 2,286,216 | 1,537,710 |
5,649,428 | 6,070,463 |
CURRENT ASSETS |
Stocks | 17 | 60,879 | 91,830 |
Debtors | 18 | 2,429,091 | 2,994,338 |
Cash at bank and in hand | 141,700 | 468,238 |
2,631,670 | 3,554,406 |
CREDITORS |
Amounts falling due within one year | 19 | 1,822,565 | 2,750,384 |
NET CURRENT ASSETS | 809,105 | 804,022 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
6,458,533 |
6,874,485 |
CREDITORS |
Amounts falling due after more than one year |
20 |
(3,961,725 |
) |
(4,293,434 |
) |
PROVISIONS FOR LIABILITIES | 24 | (322,358 | ) | (385,006 | ) |
NET ASSETS | 2,174,450 | 2,196,045 |
CAPITAL AND RESERVES |
Called up share capital | 25 | 1,045,454 | 1,045,454 |
Capital redemption reserve | 1,680,000 | 1,680,000 |
Fair value reserve | 315,000 | 315,000 |
Retained earnings | (866,004 | ) | (844,409 | ) |
2,174,450 | 2,196,045 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Balance Sheet - continued |
30 June 2024 |
The financial statements were approved by the Board of Directors and authorised for issue on 25 March 2025 and were signed on its behalf by: |
R Pasco - Director |
Pasco Group Holdings Limited (Registered number: 10434421) |
Company Balance Sheet |
30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 13 |
Tangible assets | 14 |
Investments | 15 |
Investment property | 16 |
CURRENT ASSETS |
Debtors | 18 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 19 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
20 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 25 |
Capital redemption reserve |
Retained earnings |
Company's profit for the financial year |
90,167 |
39,395 |
The financial statements were approved by the Board of Directors and authorised for issue on |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Statement of Changes in Equity |
for the Year Ended 30 June 2024 |
Called up | Capital | Fair |
share | Retained | redemption | value | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 July 2022 | 1,045,454 | 127,210 | 1,680,000 | 294,362 | 3,147,026 |
Changes in equity |
Total comprehensive income | - | (971,619 | ) | - | 20,638 | (950,981 | ) |
Balance at 30 June 2023 | 1,045,454 | (844,409 | ) | 1,680,000 | 315,000 | 2,196,045 |
Changes in equity |
Dividends | - | (96,000 | ) | - | - | (96,000 | ) |
Total comprehensive income | - | 74,404 | - | - | 74,404 |
Balance at 30 June 2024 | 1,045,454 | (866,005 | ) | 1,680,000 | 315,000 | 2,174,449 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Company Statement of Changes in Equity |
for the Year Ended 30 June 2024 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 July 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2023 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2024 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Consolidated Cash Flow Statement |
for the Year Ended 30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 30 | 337,986 | (148,551 | ) |
Interest paid | (86,742 | ) | (87,442 | ) |
Interest element of hire purchase payments paid |
(9,863 |
) |
(7,224 |
) |
Tax paid | (173,614 | ) | 5,210 |
Net cash from operating activities | 67,767 | (238,007 | ) |
Cash flows from investing activities |
Purchase of intangible fixed assets | - | (934 | ) |
Purchase of tangible fixed assets | (159,735 | ) | (213,978 | ) |
Purchase of investment property | (748,506 | ) | (537,710 | ) |
Sale of intangible fixed assets | 238,101 | - |
Sale of tangible fixed assets | 188,733 | 45,615 |
Sale of fixed asset investments | 599,800 | - |
Interest received | 190 | - |
Net cash from investing activities | 118,583 | (707,007 | ) |
Cash flows from financing activities |
Loan repayments in year | (480,906 | ) | (444,242 | ) |
Capital repayments in year | 70,226 | 37,948 |
Amount withdrawn by directors | (6,668 | ) | - |
Share issue | - | (1 | ) |
Equity dividends paid | (96,000 | ) | - |
Net cash from financing activities | (513,348 | ) | (406,295 | ) |
Decrease in cash and cash equivalents | (326,998 | ) | (1,351,309 | ) |
Cash and cash equivalents at beginning of year |
31 |
468,238 |
1,819,547 |
Cash and cash equivalents at end of year |
31 |
141,700 |
468,238 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Company Cash Flow Statement |
for the Year Ended 30 June 2024 |
30.6.24 | 30.6.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 30 | ( |
) | ( |
) |
Net cash from operating activities | ( |
) | ( |
) |
Cash flows from investing activities |
Dividends received |
Net cash from investing activities |
Cash flows from financing activities |
Amount withdrawn by directors | (6,567 | ) | - |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Decrease in cash and cash equivalents | ( |
) | ( |
) |
Cash and cash equivalents at beginning of year |
31 |
71,529 |
Cash and cash equivalents at end of year |
31 |
4,941 |
33,036 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements |
for the Year Ended 30 June 2024 |
1. | STATUTORY INFORMATION |
Pasco Group Holdings Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the companies Act 2006. The financial statements have been prepared under the historical cost convention modified to include certain financial instruments and investment properties at fair value. |
The financial statements are prepared in sterling, which is the functional currency of the company Monetary amounts in those non statutory financial statements are rounded to the nearest £. |
Basis of consolidation |
The consolidated financial statements incorporate those of Pasco Group Holdings Limited and all of its group subsidiaries. These are the entities the group controls through its power to govern the financial and operating policies so as to obtain economic benefits. Subsidiaries acquired during the year are consolidated using the purchase method. Their results are incorporated from the date control passes. All financial statements are made upto 30 June 2024. |
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. |
Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies into line with those used by other members of the group. |
Cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover comprises the fair value of the sale of goods to external customers, net of value added tax, and returns. Revenue is recognised on the sale of goods when the significant risks and rewards of ownership of goods have passed to the buyer and the amount of revenue can be measured reliably. Revenue on goods delivered is recognised when the customer accepts delivery. Revenue also includes rental income from the investment properties. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Goodwill |
Positive goodwill relates to amounts capitalized on acquisitions of Triangle, Abbeywood and Southgate branches as of 1 December 2014 within Subway Store Development Ltd. The goodwill has been valued based on an independent third party valuation and is being amortised over its estimated useful life of 10 years. Acquired goodwill is written off in equal annual instalments over its estimated useful economic life. The economic life does not exceed 10 years,which the directors believe represents a true and fair view of the economic life, unless a reliable estimate of its useful economic life can be formed. |
Goodwill arising on business combination is recognised in the consolidated financial statements. Goodwill calculated is the excess of consideration over the net assets acquired in the combination. Management made a reliable estimate of the useful life of goodwill being amortised over 10 years. |
Patents and licences |
Patents and licences relate to payments made for the right to discharge the operation of the franchise. They are amortised to the Income Statement over their estimated economic useful life. |
Tangible fixed assets |
Long leasehold | - |
Improvements to property | - |
Motor vehicles | - |
Computer equipment | - |
Tangible fixed assets are initially stated at cost and subsequently at cost less any depreciation and impairment losses. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Investment property |
Investment property which is property held to earn rentals and/or for capital appreciation is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss account. |
Stocks |
Stocks includes unused raw materials and consumables at the year end. Raw materials and consumables are valued at the lower of cost and net realisable value. Cost is based on the purchase cost on a first in, first out basis. Cost of raw materials is determined by reference to the standard quantity in issue to each restaurant. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
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. |
Classification of financial liabilities |
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
Basic financial liabilities |
Basic financial liabilities, including creditors, bank 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. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Operating leases |
Rentals payable under operating leases, including any lease incentives received, are charged to income 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 the economic benefits from the lease asset are consumed. |
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 overdraft as applicable. Bank overdrafts are shown within borrowings in current liabilities as applicable.. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Equity instruments |
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they no longer at the discretion of the company. |
Preference shares |
Redeemable preference shares are classified as liabilities in accordance with section 22 (liabilities and equity) as they are redeemable at the option of the holder and carry a right to a return. |
Non - redeemable preference shares are classified as equity in accordance with section 22 (liabilities and equity) as they are non-redeemable shares. |
Other operating income |
Other operating income includes rent receivable, government grants, insurance claims receivable and other discounts receive din the normal course of the business. |
3. | JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the group's accounting policies, the directors are required to make judgments estimates and assumptions about the carrying amount of the assets and liabilities that are not readily apparent from other are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
Key Sources of estimation uncertainty |
The following judgements have had the most significant effect on amounts recognised in the financial statements. |
Useful lives of intangible fixed assets |
Intangible fixed assets consist of goodwill and patents and licences. The annual amortisation charge depends on estimated useful economic life of the asset. The directors regularly review the remaining useful life of these assets. Changes in asset's useful economic life can have a significant impact on amortisation charge for the period. Detail of the useful economic life is included in accounting policies. The level of provision required is disclosed in note 13 to the accounts. |
Useful lives of tangible fixed assets |
The costs of tangible fixed assets less their residual value are depreciated over their estimated useful economic lives which are estimated by the director. Changes in the expected level of usage and technological developments could impact on the useful economic lives of these assets; therefore, further depreciation charges could be revised. The level of provision required is disclosed in note 14 to the accounts. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
4. | TURNOVER |
An analysis of the company's turnover is as follows: |
2024 | 2023 |
Turnover analysed by class of business | £ | £ |
Restaurant and take away business | 8,948,142 | 9,412,846 |
Property rental | 58,900 | 56,807 |
9,007,042 | 9,469,653 |
5. | OTHER OPERATING INCOME |
30.6.24 | 30.6.23 |
£ | £ |
Sundry receipts | 19,998 | 15,844 |
6. | EMPLOYEES AND DIRECTORS |
30.6.24 | 30.6.23 |
£ | £ |
Wages and salaries | 2,578,553 | 2,781,970 |
Social security costs | 180,886 | 178,028 |
Other pension costs | 42,413 | 33,811 |
2,801,852 | 2,993,809 |
The average number of employees during the year was as follows: |
30.6.24 | 30.6.23 |
Directors | 3 | 4 |
Admin staff | 7 | 2 |
Store workers | 167 | 200 |
The average number of employees for the company including the directors were 3 (2023: 4). |
30.6.24 | 30.6.23 |
£ | £ |
Directors' remuneration | 15,600 | 31,200 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
7. | OPERATING PROFIT/(LOSS) |
The operating profit (2023 - operating loss) is stated after charging/(crediting): |
30.6.24 | 30.6.23 |
£ | £ |
Depreciation - owned assets | 299,006 | 316,732 |
Depreciation - assets on hire purchase contracts | 41,110 | 48,292 |
Profit on disposal of fixed assets | (677,055 | ) | (19,266 | ) |
Goodwill amortisation | 633,840 | 636,505 |
Patents and licences amortisation | 5,740 | 7,819 |
Auditors' remuneration | 12,063 | 11,201 |
8. | EXCEPTIONAL ITEMS |
30.6.24 | 30.6.23 |
£ | £ |
Exceptional items | - | (25,506 | ) |
9. | INTEREST PAYABLE AND SIMILAR EXPENSES |
30.6.24 | 30.6.23 |
£ | £ |
Bank loan interest | 80,004 | 78,147 |
Interest payable | 6,738 | 9,295 |
Hire purchase interest | 9,863 | 7,224 |
96,605 | 94,666 |
10. | TAXATION |
Analysis of the tax credit |
The tax credit on the profit for the year was as follows: |
30.6.24 | 30.6.23 |
£ | £ |
Deferred tax | (62,648 | ) | (13,512 | ) |
Tax on profit/(loss) | (62,648 | ) | (13,512 | ) |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
10. | TAXATION - continued |
Reconciliation of total tax credit included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
30.6.24 | 30.6.23 |
£ | £ |
Profit/(loss) before tax | 11,756 | (985,131 | ) |
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19 %) |
2,939 |
(187,175 |
) |
Effects of: |
Expenses not deductible for tax purposes | - | 5,216 |
Income not taxable for tax purposes | (53,998 | ) | (16,597 | ) |
Depreciation in excess of capital allowances | 66,896 | 8,486 |
Utilisation of tax losses | - | 62,277 |
Deferred tax movement | (62,648 | ) | (13,512 | ) |
Group adjustments | (15,837 | ) | 127,793 |
Total tax credit | (62,648 | ) | (13,512 | ) |
11. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
12. | DIVIDENDS |
Company | 30.06.24 | 30.06.23 |
£ | £ |
C Ordinary shares | - | 10,101 |
D Ordinary shares | 6,000 | 23,994 |
E ordinary shares | - | - |
Z ordinary shares | 90,000 | 10,000 |
96,000 | 44,095 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
13. | INTANGIBLE FIXED ASSETS |
Group |
Patents |
and |
Goodwill | licences | Totals |
£ | £ | £ |
COST |
At 1 July 2023 | 6,365,054 | 77,154 | 6,442,208 |
Disposals | (213,333 | ) | (69,470 | ) | (282,803 | ) |
At 30 June 2024 | 6,151,721 | 7,684 | 6,159,405 |
AMORTISATION |
At 1 July 2023 | 3,498,696 | 58,891 | 3,557,587 |
Amortisation for year | 633,840 | 5,740 | 639,580 |
Eliminated on disposal | (202,668 | ) | (60,256 | ) | (262,924 | ) |
At 30 June 2024 | 3,929,868 | 4,375 | 3,934,243 |
NET BOOK VALUE |
At 30 June 2024 | 2,221,853 | 3,309 | 2,225,162 |
At 30 June 2023 | 2,866,358 | 18,263 | 2,884,621 |
14. | TANGIBLE FIXED ASSETS |
Group |
Improvements |
Long | to | Plant and |
leasehold | property | machinery |
£ | £ | £ |
COST |
At 1 July 2023 | 384,425 | 950,748 | 1,838,815 |
Additions | - | - | 12,105 |
Disposals | (90,168 | ) | (105,107 | ) | (584,837 | ) |
At 30 June 2024 | 294,257 | 845,641 | 1,266,083 |
DEPRECIATION |
At 1 July 2023 | 119,058 | 496,591 | 1,006,181 |
Charge for year | 22,634 | 62,800 | 188,443 |
Eliminated on disposal | (30,951 | ) | (47,561 | ) | (349,324 | ) |
At 30 June 2024 | 110,741 | 511,830 | 845,300 |
NET BOOK VALUE |
At 30 June 2024 | 183,516 | 333,811 | 420,783 |
At 30 June 2023 | 265,367 | 454,157 | 832,634 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
14. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 July 2023 | 395,614 | 211,210 | 44,042 | 3,824,854 |
Additions | - | 136,448 | 11,182 | 159,735 |
Disposals | (147,268 | ) | (101,773 | ) | (7,438 | ) | (1,036,591 | ) |
At 30 June 2024 | 248,346 | 245,885 | 47,786 | 2,947,998 |
DEPRECIATION |
At 1 July 2023 | 386,962 | 130,119 | 37,812 | 2,176,723 |
Charge for year | 19,163 | 41,110 | 5,966 | 340,116 |
Eliminated on disposal | (170,353 | ) | (101,773 | ) | (6,929 | ) | (706,891 | ) |
At 30 June 2024 | 235,772 | 69,456 | 36,849 | 1,809,948 |
NET BOOK VALUE |
At 30 June 2024 | 12,574 | 176,429 | 10,937 | 1,138,050 |
At 30 June 2023 | 8,652 | 81,091 | 6,230 | 1,648,131 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 July 2023 | 196,773 |
Additions | 136,448 |
Disposals | (101,773 | ) |
At 30 June 2024 | 231,448 |
DEPRECIATION |
At 1 July 2023 | 115,683 |
Charge for year | 41,110 |
Eliminated on disposal | (101,773 | ) |
At 30 June 2024 | 55,020 |
NET BOOK VALUE |
At 30 June 2024 | 176,428 |
At 30 June 2023 | 81,090 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
15. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 July 2023 |
and 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves |
Profit/(loss) for the year | ( |
) |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves |
Loss for the year | ( |
) | ( |
) |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
15. | FIXED ASSET INVESTMENTS - continued |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves |
Loss for the year | ( |
) | ( |
) |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves | ( |
) | ( |
) |
Loss for the year | ( |
) | ( |
) |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves | ( |
) |
Profit/(loss) for the year | ( |
) |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves | ( |
) |
Profit/(loss) for the year | ( |
) |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
15. | FIXED ASSET INVESTMENTS - continued |
Registered office: 2nd Floor, Grove House, 55 Lowlands Road,Harrow, Middlesex, HA1 3AW |
Nature of business: |
% |
Class of shares: | holding |
£ | £ |
Aggregate capital and reserves | ( |
) |
Loss for the year/period | ( |
) |
AUDIT EXEMPTION OF SUBSIDIARIES |
For the financial year ended 30 June 2024, Subway Store Development Limited, Pasco Group Commercial Limited, Vast Consulting Limited, Pasco Group Limited and Pasco Group Residential Limited have has claimed exemption from audit under S479A 2 (d) of the companies act relating to subsidiary companies. |
16. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 July 2023 | 1,537,710 |
Additions | 748,506 |
At 30 June 2024 | 2,286,216 |
NET BOOK VALUE |
At 30 June 2024 | 2,286,216 |
At 30 June 2023 | 1,537,710 |
The investment property has been shown at the fair value as at balance sheet date which has been valued by the director. |
The historical cost of the investment property above is £1,866,216 (2023 : £1,117,710). |
17. | STOCKS |
Group |
30.6.24 | 30.6.23 |
£ | £ |
Stocks | 60,879 | 91,830 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
18. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
30.6.24 | 30.6.23 | 30.6.24 | 30.6.23 |
£ | £ | £ | £ |
Trade debtors | 42,443 | 67,516 |
Payment on account | 16,091 | 16,478 | - | - |
Amounts owed by group undertakings | - | - |
Other debtors | 2,087,949 | 2,583,632 |
Holding account debtor | 613 | - | - | - |
Prepayments and accrued income | 281,842 | 326,584 |
Prepayments | 153 | 128 |
2,429,091 | 2,994,338 |
19. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
30.6.24 | 30.6.23 | 30.6.24 | 30.6.23 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 21) | 378,506 |
444,242 |
Hire purchase contracts (see note 22) | 31,341 |
44,579 |
Payments on account | 40,364 | 39,407 |
Trade creditors | 521,647 | 600,714 |
Tax | 1,584 | 175,198 |
Social security and other taxes | 118,671 | 258,437 |
VAT | 112,508 | 327,711 | - | - |
Other creditors | 136,007 | 318,265 |
Directors' current accounts | 249,692 | 256,360 | 293,787 | 300,354 |
Accruals and deferred income | 232,245 | 285,471 |
1,822,565 | 2,750,384 |
20. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
30.6.24 | 30.6.23 | 30.6.24 | 30.6.23 |
£ | £ | £ | £ |
Bank loans (see note 21) | 477,621 | 892,794 |
Preference shares (see note 21) | 3,320,000 | 3,320,000 |
Hire purchase contracts (see note 22) | 164,104 |
80,640 |
3,961,725 | 4,293,434 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
21. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
30.6.24 | 30.6.23 | 30.6.24 | 30.6.23 |
£ | £ | £ | £ |
Amounts falling due within one year | or on demand: |
Bank loans | 378,506 | 444,242 |
Amounts falling due between one | and two years: |
Bank loan due > 1 Year | 112,673 | 224,150 | - | - |
Preference shares | 3,320,000 | 3,320,000 | 3,320,000 | 3,320,000 |
3,432,673 | 3,544,150 |
Amounts falling due between two | and five years: |
Bank loans - 2-5 years | 142,351 | 409,345 |
Amounts falling due in more than | five years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 222,597 | 259,299 | - | - |
The 3% Redeemable preference shares have their full particulars set out in the company's articles of association. |
22. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase | contracts |
30.6.24 | 30.6.23 |
£ | £ |
Net obligations repayable: |
Within one year | 31,341 | 44,579 |
Between one and five years | 164,104 | 80,640 |
195,445 | 125,219 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
22. | LEASING AGREEMENTS - continued |
Group |
Non-cancellable | operating leases |
30.6.24 | 30.6.23 |
£ | £ |
Within one year | 542,534 | 542,534 |
Between one and five years | 1,536,074 | 1,536,074 |
In more than five years | 860,006 | 1,402,540 |
2,938,614 | 3,481,148 |
The cost of lease expense recognised in the year is £652,664 (2023: £587,957). |
23. | SECURED DEBTS |
Hire Purchase is in relation to company vehicles and secured against group vehicles. |
The group has provided guarantees in respect of outstanding bank loans within the group. The bank loans are secured by way of a debenture including fixed charge over all investment property, first fixed charge over book and other debts, chattels, goodwill and uncalled capital both present and future over all assets and undertaking both present and future dated 23 January 2018. Composite Company unlimited multilateral guarantee dated 18th January 2018 given by Subway Store Development Ltd, Pasco Group Ltd, Pasco Group Retail Ltd, Pasco Group Franchising Ltd and Pasco Group Holdings Ltd. As at 30 June 2024, the outstanding bank loans for the group amounted to £856,127 (2023: £1,337,036). |
24. | PROVISIONS FOR LIABILITIES |
Group |
30.6.24 | 30.6.23 |
£ | £ |
Deferred tax | 322,358 | 385,006 |
Group |
Deferred |
tax |
£ |
Balance at 1 July 2023 | 385,006 |
Credit to Income Statement during year | (62,648 | ) |
Balance at 30 June 2024 | 322,358 |
The deferred tax balance relates to accelerated capital allowances. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
25. | CALLED UP SHARE CAPITAL |
Allotted, issue and fully paid: |
Number: | Class: | Nominal | 30.06.23 | 30.06.22 |
value: | £ | £ |
400 | Ordinary shares A | £1 | 400 | 400 |
2 | Ordinary shares B | £1 | 2 | 2 |
2 | Ordinary shares C | £1 | 2 | 2 |
2 | Ordinary shares D | £1 | 2 | 2 |
2 | Ordinary shares E | £1 | 2 | 2 |
46 | Ordinary shares Z | £1 | 46 | 46 |
1,045,000 |
6% Non-Redeemable preference |
£1 |
1,045,000 |
1.045,000 |
shares |
1.045,454 | 1,45,454 |
Ordinary shares A and Ordinary shares Z have full voting rights. The rest of the shares do not posses any voting rights. |
26. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
Group |
Included in other creditors is directors' current account balance of £249,694 (2023: £256,259). This balance is interest free and repayable on demand. |
Company |
Included in other creditors is directors' current account balance of £293,694 (2023: £300,354). This balance is interest free and repayable on demand. |
27. | RELATED PARTY DISCLOSURES |
Group |
Included in accounts is debtor balance of £2,011,633 (2023: £2,521,202) and £12,480 (2023: £Nil) due from Taupo Group Holdings Limited and Vast Equity One Limited respectively, companies connected to the directors. |
Other creditors include £57,232 (2023: £57,232) due to Taupo Group Holdings Limited, a company connected to the directors. |
28. | POST BALANCE SHEET EVENTS |
After the year end, one of the significant subsidiary has sold majority of its stores and planning to cease trading. |
There are no other post balance sheet events that have take place between 30 June 2024 and the date of this report that required to be brought to the attention of shareholders. |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
29. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling parties are S P Pasco, R Pasco and Mrs S J Pasco with no one party having overall control. |
30. | RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Group |
30.6.24 | 30.6.23 |
£ | £ |
Profit/(loss) before taxation | 11,756 | (985,131 | ) |
Depreciation charges | 979,694 | 1,009,346 |
Profit on disposal of fixed assets | (677,055 | ) | (19,266 | ) |
Finance costs | 96,605 | 94,666 |
Finance income | (190 | ) | - |
410,810 | 99,615 |
Decrease/(increase) in stocks | 30,951 | (874 | ) |
Decrease/(increase) in trade and other debtors | 565,247 | (749,886 | ) |
(Decrease)/increase in trade and other creditors | (669,022 | ) | 502,594 |
Cash generated from operations | 337,986 | (148,551 | ) |
Company |
30.6.24 | 30.6.23 |
£ | £ |
Profit before taxation |
Finance income | (96,000 | ) | (44,095 | ) |
(5,833 | ) | (4,700 | ) |
Decrease/(increase) in trade and other debtors | ( |
) |
Decrease in trade and other creditors | ( |
) | ( |
) |
Cash generated from operations | ( |
) | ( |
) |
31. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statements in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Group | Company |
Year ended 30 June 2024 |
30.6.24 | 1.7.23 | 30.6.24 | 1.7.23 |
£ | £ | £ | £ |
Cash and cash equivalents | 141,700 | 468,238 | 4,941 | 33,036 |
Year ended 30 June 2023 |
30.6.23 | 1.7.22 | 30.6.23 | 1.7.22 |
£ | £ | £ | £ |
Cash and cash equivalents | 468,238 | 1,819,547 | 33,036 | 71,529 |
Pasco Group Holdings Limited (Registered number: 10434421) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 June 2024 |
32. | ANALYSIS OF CHANGES IN NET DEBT |
Group |
At 1.7.23 | Cash flow | At 30.6.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 468,238 | (326,538 | ) | 141,700 |
468,238 | (326,538 | ) | 141,700 |
Debt |
Finance leases | (125,219 | ) | (70,226 | ) | (195,445 | ) |
Debts falling due within 1 year | (444,242 | ) | 65,736 | (378,506 | ) |
Debts falling due after 1 year | (4,212,794 | ) | 415,173 | (3,797,621 | ) |
(4,782,255 | ) | 410,683 | (4,371,572 | ) |
Total | (4,314,017 | ) | 84,145 | (4,229,872 | ) |
Company |
At 1.7.23 | Cash flow | At 30.6.24 |
£ | £ | £ |
Net cash |
Cash at bank | 33,036 | (28,095 | ) | 4,941 |
33,036 | ( |
) | 4,941 |
Debt |
Debts falling due after 1 year | (3,320,000 | ) | - | (3,320,000 | ) |
(3,320,000 | ) | - | (3,320,000 | ) |
Total | (3,286,964 | ) | (28,095 | ) | (3,315,059 | ) |