Registration number:
Arundel Kerr Produce Limited
for the Year Ended 30 June 2024
Arundel Kerr Produce Limited
Contents
Company Information |
|
Strategic Report |
|
Directors' Report |
|
Statement of Directors' Responsibilities |
|
Independent Auditor's Report |
|
Consolidated Profit and Loss Account |
|
Consolidated Balance Sheet |
|
Balance Sheet |
|
Consolidated Statement of Changes in Equity |
|
Statement of Changes in Equity |
|
Consolidated Statement of Cash Flows |
|
Statement of Cash Flows |
|
Notes to the Financial Statements |
Arundel Kerr Produce Limited
Company Information
Directors |
J M Warburton B W Kerr R D Arundel B R Mordue R Crate |
Company secretary |
E S Arundel |
Registered office |
|
Auditors |
|
Arundel Kerr Produce Limited
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 that of marketing agricultural produce
Fair review of the business
We aim to present a balanced and comprehensive review of the development and performance of our business during the period and its position at the year end. Our review is consistent with the size and non-complex nature of our business and is written in the context of the risks and uncertainties we face.
In 2024, the fresh food market navigated a complex landscape shaped by the many factors that affect demand, including lingering inflationary pressures, shifting consumer behaviors, and evolving demands. The directors believe that the UK potato industry has seen a positive impact of price rises being passed back to farmers, as such, creating more opportunities and appetite within the industry.
The group continues to strive towards its aims of being a fully integrated supply partner in the potato industry, with a strong presence in all sectors of the market. In November 2023 the group acquired 84% share capital in Wolds Produce Holdings Limited, a 100% shareholder of Wolds Produce Limited. The board of directors considered this an exciting opportunity to expand the current team and offerings within the market, strengthening Arundel Kerr Produce Limited and supporting the group in achieving its goals. Now, one year on, the directors feel that this investment is already achieving their aims, integrating teams, knowledge and a wider access to the market for our growers.
Wolds Produce Holdings Limited, and Wolds Produce Limited form part of the consolidated group accounts for 2024.
Sales for the year to June 2024 were £26,922,254 compared to £13,620,251 in 2023, a 97% increase. The group continues with its strategy to secure several major contracts to help ensure that the group remains profitable and protecting it against the risk of a volatile market.
The gross profit for 2024 has increased 141% this year with a profit of £2,696,709 compared to £1,119,304 and we have experienced an increase in the gross profit margin percentage of 10.0% compared to 8.2% in 2023. This is due in part to economies of scales achieved across the group companies.
Administrative expenses have increased in the year by 79%. Finance costs have doubled. The BOE base rate has only increased by 0.25% in Aug 2023, slowing down compared to the previous years rise’s. Finance costs have also increased due to the groups decision to invest in the purchase of another company within the industry, as detailed above.
The directors undergo a continuous review of overheads to assess any savings available and to ensure that these are controlled and correctly apportioned across other companies which use the central services of the group.
The overall outcome for the year is an increase in operating profit due to the new companies acquired in the year with an operating profit of £958,350 compared to £145,941 in 2023.
During the year the business has remained committed to investing in its tangible assets and regularly assesses the need to invest internally to ensure they can continue to provide the high level of service and professional image that stands out with its customers. This has been balanced with the need to ensure the business has adequate working capital.
Due to a period of investment in assets & subsidiary companies, the group increased its long-term borrowings in both hire purchase and bank loan debts due. With borrowings under bank loans increasing to £674,843 from £118,235 and finance leases increasing to £1,227,126 from £607,714.
The bank overdraft at the yearend was of a similar level to the previous year, indicating that the group has managed its working capital during the year, whilst continuing to invest in equipment and future development.
Arundel Kerr Produce Limited
Strategic Report for the Year Ended 30 June 2024
Key financial performance indicators
We consider that our key financial performance indicators are those that communicate the financial performance and strength of the group as a whole; these being, but not limited to product sales and transport and storage income, gross margin and return on capital employed.
The directors review the company's KPI's quarterly in comparison to previous periods and budgeted KPI's. As well as sales and profit margins the directors also monitor working capital and EBITDA which at the year end was £661,332 (2023 - £797,580).
Gross profit has increase with this year being £2,696,709 compared to £1,119,304 and the gross margin have increased slightly from 8.2% to 10%.
The company's balance sheet has increased 22.6% in the year with net assets of £2,274,653 at 30 June 2024 compared to net assets of £1,854,701 at 30 June 2023 and the directors expect this to continue to increase.
During the current economic climate the group is keeping a very close control on its trading cycle ensuring debtors are kept to a minimum and creditor terms are utilised fully.
Principal risks and uncertainties
The directors continually assess the market conditions and price volatilities to allow them to make informed decisions when planning for the future of the company.
The business environment in which the company operates continues to be a challenging one and we consider our principle risks and uncertainties to be: market competitiveness, environmental change and interest rates.
The agricultural produce market is extremely competitive with enormous customer power in the shape of the large supermarkets and the weakening position of the UK market due to availability of cheap foreign imports. Environmental change dictates how efficient crop yields are and inevitably the availability of products.
However, the directors feel that the broad depth of the business and its associated companies puts the company in a strong position to mitigate risks and uncertainties as much as possible.
Approved and authorised by the
......................................... |
Arundel Kerr Produce Limited
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:
Dividends
The Directors recommend a final dividend payment of £Nil be made in respect of the financial year ended 30 June 2024.
Financial instruments
Objectives and policies
The overall objective of the directors is to ensure that the business is profitable and stable and will continue to be successful for the benefit of the shareholders and employees.
Price risk, credit risk, liquidity risk and cash flow risk
The directors acknowledge responsibility for the company’s system of internal financial control and believe the established systems including the computerisation of the company’s financial accounts are appropriate to the business. No material losses or contingencies have arisen during the twelve months trading period that would require disclosure by the directors.
The business' principle financial instruments comprise bank balances, bank overdrafts, trade debtors, trade creditors, loans to the business and finance agreements. The main purpose of these instruments is to finance the business' operations.
In respect of bank balances, the liquidity risk is managed by maintaining a balance between the continuity of funding and flexibility through the use of overdrafts at floating rates of interest.
Trade debtors are managed in respect of credit and cash flow risk by policies concerning the credit offered to customers and the regular monitoring of amounts outstanding for both time and credit limits. The amounts presented in the balance sheet are net of allowances for doubtful debtors.
Trade creditors' liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.
The business funds some fixed asset acquisitions by finance agreements. The liquidity risk in respect of these is managed by ensuring that there are sufficient funds to meet the payments.
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.
Approved and authorised by the
......................................... |
Arundel Kerr Produce Limited
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.
Arundel Kerr Produce Limited
Independent Auditor's Report to the Members of Arundel Kerr Produce Limited
Opinion
We have audited the financial statements of Arundel Kerr Produce Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 30 June 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, 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 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 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 Directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
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.
Arundel Kerr Produce Limited
Independent Auditor's Report to the Members of Arundel Kerr Produce Limited
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 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 Company or to cease operations, or have no realistic alternative but to do so.
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 auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- testing for management override of controls including journal testing and review accounting estimates for reasonableness
- enquiries of management of actual and potential litigation claims
- enquiries of management including fraud and associated risks
- discussions with management, including consideration of known or suspected instances of non-compliance
- testing focussing on the area of the financial statements most suspectible to material error including completeness of income to ensure correct matching of revenue and costs.
Because of inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Arundel Kerr Produce Limited
Independent Auditor's Report to the Members of Arundel Kerr Produce Limited
......................................
For and on behalf of
Waynflete House
139 Eastgate
Lincolnshire
LN11 9QQ
Arundel Kerr Produce Limited
Consolidated Profit and Loss Account for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Other operating income |
|
|
|
Operating profit |
|
|
|
Other interest receivable and similar income |
- |
|
|
Amounts written off investments |
- |
|
|
Interest payable and similar expenses |
( |
( |
|
(205,689) |
736,327 |
||
Profit before tax |
|
|
|
Tax on profit |
( |
( |
|
Profit for the financial year |
|
|
|
Profit/(loss) attributable to: |
|||
Owners of the Company |
|
|
|
Minority interests |
|
- |
|
|
|
Arundel Kerr Produce Limited
(Registration number: 03873206)
Consolidated Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Intangible assets |
|
- |
|
Tangible assets |
|
|
|
Investments |
|
- |
|
|
|
||
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 |
400 |
400 |
|
Revaluation reserve |
488,241 |
488,207 |
|
Retained earnings |
1,708,921 |
1,366,094 |
|
Equity attributable to owners of the company |
2,197,562 |
1,854,701 |
|
Minority interests |
77,091 |
- |
|
Shareholders' funds |
2,274,653 |
1,854,701 |
Approved and authorised by the
......................................... |
Arundel Kerr Produce Limited
(Registration number: 03873206)
Balance Sheet as at 30 June 2024
Note |
2024 |
2023 |
|
Fixed assets |
|||
Intangible assets |
|
- |
|
Tangible assets |
|
|
|
Investments |
|
|
|
|
|
||
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
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 |
400 |
400 |
|
Revaluation reserve |
488,241 |
488,207 |
|
Retained earnings |
1,174,682 |
747,224 |
|
Shareholders' funds |
1,663,323 |
1,235,831 |
The company made a profit after tax for the financial year of £577,522 (2023 - profit of £393,120).
Approved and authorised by the
......................................... |
Arundel Kerr Produce Limited
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 |
Non-controlling interests - Equity |
Total equity |
|
At 1 July 2023 |
|
|
|
|
- |
|
Profit for the year |
- |
- |
|
|
|
|
Other comprehensive income |
- |
|
- |
|
- |
|
Total comprehensive income |
- |
|
|
|
|
|
Dividends |
- |
- |
( |
( |
- |
( |
Transfers |
- |
(5,936) |
5,936 |
- |
- |
- |
At 30 June 2024 |
|
|
|
|
|
|
Arundel Kerr Produce Limited
Statement of Changes in Equity for the Year Ended 30 June 2024
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 July 2023 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Other comprehensive income |
- |
|
- |
|
Total comprehensive income |
- |
|
|
|
Dividends |
- |
- |
( |
( |
Transfers |
- |
(5,936) |
5,936 |
- |
At 30 June 2024 |
|
|
|
|
Share capital |
Revaluation reserve |
Retained earnings |
Total |
|
At 1 July 2022 |
|
|
|
|
Profit for the year |
- |
- |
|
|
Other comprehensive income |
- |
|
- |
|
Total comprehensive income |
- |
|
|
|
Dividends |
- |
- |
( |
( |
Transfers |
- |
(5,936) |
5,936 |
- |
At 30 June 2023 |
400 |
488,207 |
747,224 |
1,235,831 |
Arundel Kerr Produce Limited
Consolidated Statement of Cash Flows for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Profit on disposal of tangible assets |
( |
( |
|
Loss/(profit) from disposals of investments |
|
( |
|
Finance income |
- |
( |
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
(Increase)/decrease in stocks |
( |
|
|
Increase in trade debtors |
( |
( |
|
Increase/(decrease) in trade creditors |
|
( |
|
Decrease in deferred income, including government grants |
( |
( |
|
Cash generated from operations |
( |
|
|
Income taxes paid |
( |
( |
|
Net cash flow from operating activities |
( |
( |
|
Cash flows from investing activities |
|||
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Acquisition of intangible assets |
( |
- |
|
Dividend income |
- |
|
|
Acquisition of investments in joint ventures and associates |
( |
- |
|
Proceeds from disposal of investments in joint ventures and associates |
- |
|
|
Acquisition of subsidiary net of cash acquired |
(491,842) |
- |
|
Net cash flows from investing activities |
( |
|
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from bank borrowing draw downs |
|
- |
|
Repayment of bank borrowing |
( |
( |
|
Proceeds from other borrowing draw downs |
|
- |
|
Repayment of other borrowing |
( |
- |
|
Payments to finance lease creditors |
( |
( |
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
|
( |
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
Cash and cash equivalents at 1 July |
( |
( |
|
Cash and cash equivalents at 30 June |
(1,871,986) |
(1,066,055) |
Arundel Kerr Produce Limited
Statement of Cash Flows for the Year Ended 30 June 2024
Note |
2024 |
2023 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Loss/(profit) on disposal of tangible assets |
|
( |
|
Finance income |
( |
( |
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
Increase in stocks |
( |
( |
|
Increase in trade debtors |
( |
( |
|
Increase in trade creditors |
|
|
|
Decrease in deferred income, including government grants |
( |
( |
|
Cash generated from operations |
|
( |
|
Income taxes received/(paid) |
|
( |
|
Net cash flow from operating activities |
|
( |
|
Cash flows from investing activities |
|||
Acquisition of subsidiaries |
( |
- |
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Acquisition of intangible assets |
( |
- |
|
Dividend income |
|
|
|
Acquisition of investments in joint ventures and associates |
( |
- |
|
Net cash flows from investing activities |
( |
|
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from bank borrowing draw downs |
|
- |
|
Repayment 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 |
(1,915,241) |
(1,727,437) |
Arundel Kerr Produce Limited
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 England and Wales and the company registration number is 03873206.
The address of its registered office is:
These financial statements were authorised for issue by the
These financial statements cover the group entity, Arundel Kerr Produce Limited.
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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
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 financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest pound.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the Company and its subsidiary undertakings drawn up to 30 June 2024.
No Profit and Loss Account is presented for the Company as permitted by section 408 of the Companies Act 2006. The company made a profit after tax for the financial year of £577,522 (2023 - profit of £393,120).
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
A subsidiary is an entity controlled by the Company. Control is achieved where the Company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the Group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the Group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the Company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the Group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
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.
The Group recognises revenue when:
The amount of revenue can be reliably measured;
and it is probable that future economic benefits will flow to the entity.
Government grants
Grants are credited to deferred revenue. Grants towards capital expenditure are released to the profit and loss account over the expected useful life of the assets. Grants towards revenue expenditure are released to the profit and loss account as the related expenditure is incurred.
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.
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences, with certain exceptions. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. 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.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of timing differences. Deferred tax on revalued non-depreciable tangible fixed assets and investment properties is measured using the rates and allowances that apply to the sale of the asset.
Tangible assets
Tangible assets are stated in the statement of financial position 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.
Freehold land and buildings is measured at fair value at each reporting date with changes in fair value recognised in the revaluation reserve. The fair value is based on the estimated open market value with vacant possession.
Depreciation
Depreciation is charged so as to write off the cost or valuation of assets over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Land - freehold |
No depreciation is charged |
Buildings - freehold |
2% straight line |
Plant and machinery |
15% - 25% reducing balance or 4 - 15 years straight line |
Fixtures, fittings and equipment |
4 - 5 years straight line |
Motor vehicles |
15% straight line |
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.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the Group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Intangible assets
Separately acquired trademarks and licences are shown at historical cost.
Trademarks, licences (including software) and customer-related intangible assets acquired in a business combination are recognised at fair value at the acquisition date.
Trademarks, licences and customer-related intangible assets have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Asset class |
Amortisation method and rate |
Goodwill |
10 year straight line |
Investments
Investments in subsidiaries and joint ventures are carried at cost less any impairment in net recoverable value recognised in the profit or loss.
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 at the transaction price less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Finished stocks are stated at the lower of cost and estimated selling price less costs to complete and sell whereby cost is valued at the last purchase price.
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 company 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 at the transaction price.
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.
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
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.
Turnover |
The analysis of the Group's Turnover for the year from continuing operations is as follows:
2024 |
2023 |
|
Sale of goods |
|
|
Rendering of services |
|
|
|
|
The analysis of the Group's Turnover for the year by market is as follows:
2024 |
2023 |
|
UK |
|
|
Rest of world |
|
|
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Operating profit |
Arrived at after charging/(crediting)
2024 |
2023 |
|
Depreciation expense |
|
|
Amortisation expense |
|
- |
Operating lease expense - plant and machinery |
|
|
Profit on disposal of property, plant and equipment |
( |
( |
Government grants |
The amount of grants recognised in the financial statements was £
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 |
|
|
Foreign exchange gains |
|
- |
|
|
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 Group (including Directors) during the year, analysed by category was as follows:
2024 |
2023 |
|
Production |
|
|
Administration and support |
|
|
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Directors' remuneration |
The Directors' remuneration for the year was as follows:
2024 |
2023 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
166,830 |
128,940 |
Auditors' remuneration |
2024 |
2023 |
|
Audit of these financial statements |
6,000 |
3,000 |
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
2024 |
2023 |
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
|
|
Arising from changes in tax rates and laws |
- |
|
Total deferred taxation |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - lower than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2024 |
2023 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Tax increase/(decrease) from effect of capital allowances and depreciation |
|
( |
Effect of revenues exempt from taxation |
( |
( |
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Effect of tax losses |
( |
- |
Increase from tax losses for which no deferred tax asset was recognised |
- |
|
Tax increase arising from group relief |
|
- |
Deferred tax expense relating to changes in tax rates or laws |
- |
|
Tax decrease from effect of dividends from UK companies |
- |
( |
Tax decrease from other tax effects |
( |
- |
Total tax charge |
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Deferred tax
Group
Deferred tax assets and liabilities
2024 |
Liability |
Difference between accumulated depreciation and capital allowances |
|
Pension creditor |
( |
Revaluation of property |
|
|
2023 |
Liability |
Difference between accumulated depreciation and capital allowances |
|
Pension creditor |
( |
Revaluation of property |
|
|
Company
Deferred tax assets and liabilities
2024 |
Liability |
Difference between accumlated depreciation and capital allowances |
|
Pension creditor |
( |
Revaluation of property |
|
|
2023 |
Liability |
Difference between accumlated depreciation and capital allowances |
|
Pension creditor |
( |
Revaluation of property |
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Intangible assets |
Group
Goodwill |
Restructuring fees |
Website costs |
STAG system |
Total |
|
Cost or valuation |
|||||
At 1 July 2023 |
- |
- |
|
- |
|
Additions acquired separately |
|
- |
- |
|
|
Acquired through business combinations |
- |
|
- |
|
|
At 30 June 2024 |
|
|
|
|
|
Amortisation |
|||||
At 1 July 2023 |
- |
|
|
|
|
Amortisation charge |
|
|
- |
|
|
At 30 June 2024 |
|
|
|
|
|
Carrying amount |
|||||
At 30 June 2024 |
|
|
- |
|
|
Company
Goodwill |
Total |
|
Cost or valuation |
||
Additions acquired separately |
|
|
At 30 June 2024 |
|
|
Amortisation |
||
Amortisation charge |
|
|
At 30 June 2024 |
|
|
Carrying amount |
||
At 30 June 2024 |
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Tangible assets |
Group
Land and buildings |
Fixtures and fittings |
Plant and machinery |
Office equipment |
Motor vehicles |
Total |
|
Cost or valuation |
||||||
At 1 July 2023 |
|
|
|
|
|
|
Additions |
- |
|
|
|
|
|
Acquired through business combinations |
|
|
|
|
|
|
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 |
|
|
|
|
|
|
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 £
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
2024 |
2023 |
|
Plant and machinery |
986,735 |
409,815 |
Motor vehicles |
375,127 |
295,229 |
1,361,862 |
705,044 |
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Restriction on title and pledged as security
Company
Land and buildings |
Fixtures and fittings |
Plant and machinery |
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 |
|
|
|
|
|
Revaluation
The fair value of the Company'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 £
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
2024 |
2023 |
|
Plant and machinery |
845,635 |
409,815 |
Motor vehicles |
296,516 |
258,749 |
1,142,151 |
668,564 |
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Restriction on title and pledged as security
Investments |
Company
2024 |
2023 |
|
Investments in subsidiaries |
|
|
Investments in joint ventures |
|
- |
|
|
Subsidiaries |
£ |
Cost or valuation |
|
At 1 July 2023 |
|
Additions |
|
At 30 June 2024 |
|
Carrying amount |
|
At 30 June 2024 |
|
At 30 June 2023 |
|
Joint ventures |
£ |
Cost |
|
Additions |
|
Carrying amount |
|
At 30 June 2024 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the Company 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 |
||||
|
Pegasus House
United Kingdom |
|
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
The Airfield
United Kingdom |
|
|
|
|
The Airfield
United Kingdom |
|
|
|
Joint ventures |
||||
|
Pegasus House
|
Ordinary shares |
|
|
United Kingdom |
Subsidiary undertakings |
Wolds Produce (Holdings) Limited Its financial period end is 31 July. |
Wolds Produce Limited Its financial period end is 31 July. |
Joint ventures |
The Humble Potato Company Limited Its financial period end is 31 July. |
Business combinations |
On
Wolds Produce Holdings Limited contributed £
The amounts recognised in respect of the identifiable assets acquired and liabilities assumed are as set out in the table below:
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Book value |
Fair value |
|
Assets and liabilities acquired |
||
Financial assets |
1,323,750 |
|
Stocks |
86,720 |
|
Tangible assets |
383,675 |
|
Identifiable intangible assets |
136,137 |
|
Financial liabilities |
(1,389,342) |
( |
Total identifiable assets |
540,940 |
|
Goodwill |
439,738 |
|
Total consideration |
980,678 |
980,678 |
Satisfied by: |
||
Cash |
980,678 |
|
|
Stocks |
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Finished goods and goods for resale |
|
|
|
|
Other inventories |
|
- |
- |
- |
|
|
|
|
Group
Company
Debtors |
Group |
Company |
||||
Current |
Note |
2024 |
2023 |
2024 |
2023 |
Trade debtors |
|
|
|
|
|
Amounts owed by related parties |
- |
- |
- |
|
|
Other debtors |
|
|
|
|
|
Prepayments and accrued income |
|
|
|
|
|
Income tax asset |
|
|
|
|
|
|
|
|
|
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 |
(1,871,986) |
(1,066,055) |
(1,915,241) |
(1,727,437) |
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Non-cash transactions excluded from the consolidated cash flow statement
Group
2024 |
2023 |
|
Cost of new tangible assets acquired under finance leases |
640,380 |
301,964 |
Non-cash transactions excluded from the cash flow statement
Company
2024 |
2023 |
|
Cost of new tangible assets acquired under finance leases |
603,139 |
261,500 |
Creditors |
Group |
Company |
||||
Note |
2024 |
2023 |
2024 |
2023 |
|
Due within one year |
|||||
Bank loans and overdraft |
|
|
|
|
|
Trade creditors |
|
|
|
|
|
Amounts due to related parties |
- |
- |
|
- |
|
Social security and other taxes |
|
|
|
|
|
Outstanding defined contribution pension costs |
|
|
|
|
|
Other payables |
|
|
|
|
|
Accruals and deferred income |
|
|
|
|
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
|
|
|
Deferred income |
- |
|
- |
|
|
Other creditors |
841,469 |
412,363 |
618,017 |
399,738 |
|
|
|
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Loans and borrowings |
Non-current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
|
|
|
|
Finance lease liabilities |
|
|
|
|
Other borrowings |
|
- |
- |
- |
|
|
|
|
Current loans and borrowings
Group |
Company |
|||
2024 |
2023 |
2024 |
2023 |
|
Bank borrowings |
|
|
|
|
Bank overdrafts |
|
|
|
|
Finance lease liabilities |
|
|
|
|
Other borrowings |
|
- |
- |
- |
|
|
|
|
Group
Creditor amounts falling due within one year on which security has been given includes bank loans of £263,449 (2023 - £44,813), bank overdraft of £1,923,925 (2023 - £1,781,504) and hire purchase of £386,932 (2023 - £195,351).
Creditor amounts falling due after one year on which security has been given includes bank loans of £411,394 (2023 - £73,422) and hire purchase of £840,194 (2023 - £412,363).
The hire purchase balances are secured on the assets to which they relate.
The bank loans and bank overdrafts are secured by a charge over the properties owned by the group, guarantees from Arundel Kerr Produce (East Anglia) Limited and Healthfresh Properties Limited.
There is a fixed and floating charge on all of the assets by the bank.
Group
Bank borrowings
|
The bank loan is denominated in sterling with a nominal interest rate of 2.31%, and the final instalment is due on 27 September 2026. The carrying amount at the year end is £60,688 (2023 - £84,541).
The bank loan is denominated in sterling with a nominal interest rate of 2.31% over the Bank of England Base Rate, and the final instalment is due on 30 November 2028. The carrying amount at the year end is £342,672 (2023 - £nil).
The bank loan is denominated in sterling with a nominal interest rate of 2.31% over the Bank of England Base Rate, and the final instalment is due on 30 June 2025. The carrying amount at the year end is £100,000 (2023 - £nil).
The bank loan is denominated in sterling with a nominal interest rate of 3.49% over the Bank of England Base Rate, and the final instalment is due on 31 January 2027. The carrying amount at the year end is £160,000 (2023 - £nil).
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Other borrowings
The finance lease liabilities are made up of 41 agreements and are denominated in sterling with a variable nominal interest rate and the final instalments are between July 2024 and May 2030. The carrying amount at year end is £1,227,126 (2023 - £607,714).
Company
Bank borrowings
|
The bank loan is denominated in sterling with a nominal interest rate of 2.31%, and the final instalment is due on 27 September 2026. The carrying amount at the year end is £60,688 (2023 - £84,541).
The bank loan is denominated in sterling with a nominal interest rate of 2.31% over the Bank of England Base Rate, and the final instalment is due on 30 November 2028. The carrying amount at the year end is £342,672 (2023 - £nil).
The bank loan is denominated in sterling with a nominal interest rate of 2.31% over the Bank of England Base Rate, and the final instalment is due on 30 June 2025. The carrying amount at the year end is £100,000 (2023 - £nil).
Other borrowings
The finance lease liabilities are made up of 18 agreements and are denominated in sterling with a variable nominal interest rate and the final instalments are between July 2024 and October 2029. The carrying amount at year end is £939,953 (2023 - £582,315).
Provisions for liabilities |
Group
Deferred tax |
Total |
|
At 1 July 2023 |
|
|
Increase (decrease) in existing provisions |
|
|
Increase (decrease) through business combinations |
|
|
At 30 June 2024 |
|
|
|
Company
Deferred tax |
Total |
|
At 1 July 2023 |
|
|
Increase (decrease) in existing provisions |
|
|
At 30 June 2024 |
|
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
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. |
£ |
|
|
|
100 |
|
100 |
|
|
200 |
|
200 |
|
|
100 |
|
100 |
|
|
|
|
Rights, preferences and restrictions
Ordinary A shares have the following rights, preferences and restrictions: |
Ordinary B shares have the following rights, preferences and restrictions: |
Ordinary C shares have the following rights, preferences and restrictions: |
Obligations under leases and hire purchase contracts |
Group
Finance leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
Operating leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Company
Finance leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
Operating leases
The total of future minimum lease payments is as follows:
2024 |
2023 |
|
Not later than one year |
|
|
Later than one year and not later than five years |
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Dividends |
Interim dividends paid
2024 |
2023 |
|||
Interim dividend of £ |
|
|
||
Contingent liabilities |
Group
The company has entered into an unlimited cross guarantee with its bankers in respect of Arundel Kerr Produce Limited, Arundel Kerr Produce (East Anglia) Limited and Healthfresh Properties Limited to secure liabilities of each other. There are no tax implications with regards to this guarantee. The uncertainties which are expected to affect the future outcome are the future liquidity and profitability of the two companies whose debts are secured by Arundel Kerr Produce Limited. The financial effect due to this guarantee is dependent upon the amount of debt secured by Arundel Kerr Produce Limited in respect of the two companies.
Company
The company has entered into an unlimited cross guarantee with its bankers in respect of Arundel Kerr Produce Limited, Arundel Kerr Produce (East Anglia) Limited and Healthfresh Properties Limited to secure liabilities of each other. There are no tax implications with regards to this guarantee. The uncertainties which are expected to affect the future outcome are the future liquidity and profitability of the two companies whose debts are secured by Arundel Kerr Produce Limited. The financial effect due to this guarantee is dependent upon the amount of debt secured by Arundel Kerr Produce Limited in respect of the two companies.
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Analysis of changes in net debt |
Group
At 1 July 2023 |
Financing cash flows |
Acquisition of subsidiaries |
New finance leases |
At 30 June 2024 |
|
Cash and cash equivalents |
|||||
Cash |
715,449 |
(1,202,645) |
539,135 |
- |
51,939 |
Overdrafts |
(1,781,504) |
(142,421) |
- |
- |
(1,923,925) |
(1,066,055) |
(1,345,066) |
539,135 |
- |
(1,871,986) |
|
Borrowings |
|||||
Long term borrowings |
(73,422) |
(137,972) |
(200,000) |
- |
(411,394) |
Short term borrowings |
(44,813) |
(218,636) |
- |
- |
(263,449) |
Lease liabilities |
(607,714) |
396,942 |
(375,974) |
(640,380) |
(1,227,126) |
(725,949) |
40,334 |
(575,974) |
(640,380) |
(1,901,969) |
|
|
|||||
( |
( |
( |
( |
( |
Company
At 1 July 2023 |
Financing cash flows |
New finance leases |
At 30 June 2024 |
|
Cash and cash equivalents |
||||
Cash |
54,067 |
(45,383) |
- |
8,684 |
Overdrafts |
(1,781,504) |
(142,421) |
- |
(1,923,925) |
(1,727,437) |
(187,804) |
- |
(1,915,241) |
|
Borrowings |
||||
Long term borrowing |
(73,422) |
(242,972) |
- |
(316,394) |
Short term borrowings |
(44,813) |
(153,636) |
- |
(198,449) |
Lease liabilities |
(582,315) |
245,501 |
(603,139) |
(939,953) |
(700,550) |
(151,107) |
(603,139) |
(1,454,796) |
|
( |
( |
( |
( |
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Related party transactions |
Group
Key management compensation
2024 |
2023 |
|
Salaries and other short term employee benefits |
|
|
Post-employment benefits |
|
|
|
|
Transactions with Directors |
2024 |
At 1 July 2023 |
Advances to Director |
Repayments by Director |
At 30 June 2024 |
R D Arundel |
||||
Director's interest free loan account - no formal repayment terms |
|
|
( |
|
2023 |
At 1 July 2022 |
Advances to Director |
Repayments by Director |
At 30 June 2023 |
R D Arundel |
||||
Director's interest free loan account - no formal repayment terms |
|
|
( |
|
Dividends paid to Directors
2024 |
2023 |
|||
|
||||
Dividends |
156,000 |
156,000 |
||
Income and receivables from related parties
2024 |
Other related parties |
Sale of goods |
|
Receipt of services |
|
|
|
Amounts receivable from related party |
|
|
2023 |
Associates |
Other related parties |
Sale of goods |
|
|
Receipt of services |
- |
|
Sale of property or other assets |
|
- |
|
|
|
Amounts receivable from related party |
- |
|
|
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Expenditure with and payables to related parties
2024 |
Other related parties |
Purchase of goods |
|
Amounts payable to related party |
|
|
2023 |
Associates |
Other related parties |
Purchase of goods |
|
|
Amounts payable to related party |
- |
|
|
Company
Key management compensation
2024 |
2023 |
|
Salaries and other short term employee benefits |
|
|
Post-employment benefits |
|
|
|
|
Transactions with Directors |
2024 |
At 1 July 2023 |
Advances to Director |
Repayments by Director |
At 30 June 2024 |
R D Arundel |
||||
Director's interest free loan account - no formal repayment terms |
|
|
( |
|
2023 |
At 1 July 2022 |
Advances to Director |
Repayments by Director |
At 30 June 2023 |
R D Arundel |
||||
Director's interest free loan account - no formal repayment terms |
|
|
( |
|
Dividends paid to Directors
2024 |
2023 |
|||
|
||||
Dividends |
156,000 |
156,000 |
||
Summary of transactions with other related parties
Amounts receivable from and to related parties have no formal repayments and no interest is payable.
Arundel Kerr Produce Limited
Notes to the Financial Statements for the Year Ended 30 June 2024
Income and receivables from related parties
2024 |
Other related parties |
Sale of goods |
|
Receipt of services |
|
|
|
Amounts receivable from related party |
|
|
2023 |
Other related parties |
Sale of goods |
|
Receipt of services |
|
|
|
Amounts receivable from related party |
|
|
Expenditure with and payables to related parties
2024 |
Other related parties |
Purchase of goods |
|
Amounts payable to related party |
|
|
2023 |
Other related parties |
Purchase of goods |
|
Amounts payable to related party |
|
|
Parent and ultimate parent undertaking |
The ultimate controlling party is
Non adjusting events after the financial period |
|