Registered number:
For the Year Ended
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Company Information
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Contents
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Group Strategic Report
For the Year Ended 30 September 2024
The directors present their strategic report for the Group for the year ended 30 September 2024.
The principal activity of the group still remains that of the manufacture and sale of elasticated meat netting and covering yarns, but also encompasses an online e-commerce sales platform selling complimentary products. The group trades worldwide.
During the year, the group continued to achieve its targets as set out in its rolling 3-year corporate plan. Both revenue and operating margins exceeded forecast with high levels of liquidity held at the balance sheet date. The Board continues to manage the business strategy in line with the current market outlook and with the continued key aim of developing sustainable collaborative business partnership agreements with customers, suppliers and stakeholders. The Board sees this long-term collaborative way of working as a key differentiator to that operated by its competitors. Results and performance Overall the result for the year across the group has been encouraging with turnover of approximately £12m (2023: £10m) and profit before tax of £1.2m (2023: £0.5m). The group continues to expand its operations and sell complimentary machines, in partnership with a world leading manufacturer as sell as expanding its offering and other complimentary products through ecommerce opportunities. The Group has a majority market share in the UK and continues to export to over 70 countries. During this financial period the Groups export market has expanded further across the world. The directors have managed the impact of the coronavirus outbreak on the industry and group of companies across its global reach and continues to assess the war in Ukraine, but currently, its European operations have increased, which gives positive outlook for the future. The directors have prepared and adapted the business to mitigate as many of the known risks as possible from these and future known issues. Business environment The business environment is highly competitive within the UK and worldwide. Competition is high between meat netting and other replacement man-made products. Each product has its own unique qualities and as a group we continue to lead the way in innovation and patented products. The Group stays up to date with all technological advances within the industry and adapts to the advances in a timely manner.
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Group Strategic Report (continued)
For the Year Ended 30 September 2024
Strategy
The Groups strategy is aligned with the drive and ingenuity of the directors. The Group continues to drive strategy through their close relationships with customers, distributors and investment in machinery, labour and research and development. The Group will continue to consolidate its position by concentrating its efforts on achieving maximum growth in its existing marketplace and exploring those markets where they feel could lead to new and unique opportunities. We aim to improve efficiencies in all areas of the group’s operations through continued investment, cost savings and improved processes.
Within the Group, the business transactions that take place can be affected by several risks and uncertainties. These can range from liquidity, foreign currency to credit risks. The Group has policies and processes in place, so they can deal with these pre-emptively and in a timely manner. The Group has developed a framework to identify risk in all areas of the business processes and reacts quickly to any changes.
All risks are assessed by the directors and the senior management team and appropriate actions are taken.
The Board uses a range of financial and non-financial indicators to help manage its operations and benchmarks these KPI’s to those of its comparative peer group. Financial KPI’s include revenue generation, EBITDA and balance sheet net asset growth.
The Board continues to set the following key objective in 2025 : • to maintain its market position as the largest meat netting company in the world • to be recognised in the markets it services, to be the supplier of choice, delivering high quality products
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Group Strategic Report (continued)
For the Year Ended 30 September 2024
The directors of the group use other non-financial key performance indicators to review the performance of the group and benchmark against competitors wherever possible.
The non-financial indices are all in line with the directors’ expectations.
This report was approved by the board on 1 May 2025 and signed on its behalf.
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Directors' Report
For the Year Ended 30 September 2024
The directors present their report and the financial statements for the year ended
The profit for the year, after taxation and minority interests, amounted to £742,321 (2023 - £387,411).
The directors have declared dividends of £150,000 (2023 - £95,000) in the year.
The directors who served during the year were:
The Group remains focused on delivering its core strategic objectives as set out in its corporate plan which will enable it to further increase its market share. This will be achieved by its continual policy of investment in leading technological operating platforms, innovative systems of working and ensuring it has the right level of appropriately skilled staff to continue to deliver a first-class product proposition.
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Directors' Report (continued)
For the Year Ended 30 September 2024
The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Group's financial statements 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 Group will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group and to 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.
The auditor, Dains Audit Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
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Directors' Report (continued)
For the Year Ended 30 September 2024
This report was approved by the board on 1 May 2025 and signed on its behalf.
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Independent Auditor's Report to the Members of Trunet Group Holdings Limited
We have audited the financial statements of Trunet Group Holdings Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 30 September 2024, which comprise the Consolidated Profit and Loss Account, the Consolidated Statement of Comprehensive Income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, 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).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
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 or 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.
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Independent Auditor's Report to the Members of Trunet Group Holdings Limited (continued)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's Report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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.
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.
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Independent Auditor's Report to the Members of Trunet Group Holdings Limited (continued)
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 Group financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
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 senior statutory auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
∙we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;
∙we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the financial reporting legislation, Companies Act 2006, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation;
∙we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
∙identified laws and regulations were communicated within 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:
∙making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
∙considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
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Independent Auditor's Report to the Members of Trunet Group Holdings Limited (continued)
To address the risk of fraud through management bias and override of controls, we:
∙performed analytical procedures to identify any unusual or unexpected relationships;
∙tested journal entries to identify unusual transactions;
∙assessed whether judgements and assumptions made in determining the accounting estimates as set out in Note 3 were indicative of potential bias; and
∙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:
∙agreeing financial statement disclosures to underlying supporting documentation;
∙reading the minutes of meetings of those charged with governance;
∙enquiring of management as to actual and potential litigation and claims; and
∙reviewing correspondence with HMRC, relevant regulators and the company’s legal advisors.
Because of the 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 the 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 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 Auditor's Report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditor's Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditor
Chartered Accountants
Birmingham
1 May 2025
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Consolidated Profit and Loss Account
For the Year Ended 30 September 2024
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Consolidated Statement of Comprehensive Income
For the Year Ended 30 September 2024
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Consolidated Balance Sheet
As at
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Consolidated Balance Sheet (continued)
As at 30 September 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 May 2025.
The notes on pages 26 to 52 form part of these financial statements.
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Company Balance Sheet
As at
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Company Balance Sheet (continued)
As at 30 September 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 May 2025.
The notes on pages 26 to 52 form part of these financial statements.
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Consolidated Statement of Changes in Equity
For the Year Ended 30 September 2024
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Consolidated Statement of Changes in Equity (continued)
For the Year Ended 30 September 2024
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Consolidated Statement of Changes in Equity (continued)
For the Year Ended 30 September 2024
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Consolidated Statement of Changes in Equity
For the Year Ended 30 September 2023
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Consolidated Statement of Changes in Equity (continued)
For the Year Ended 30 September 2023
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Company Statement of Changes in Equity
For the Year Ended 30 September 2024
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Consolidated Statement of Cash Flows
For the Year Ended 30 September 2024
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Consolidated Statement of Cash Flows (continued)
For the Year Ended 30 September 2024
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Consolidated Analysis of Net Debt
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
Trunet Group Holdings Limited is a private company limited by shares incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales.
The address of the registered office is given in the company information section. The nature of the company's operation and its principal activity is that of a holding company. The nature of the group's operating and its principal activities continued to be that of the manufacture and sale of elasticated meat netting, covering yarns and twine.
2.Accounting policies
The following principal accounting policies have been applied:
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method or merger method under a group reorganisation where relevant and appropriate to do so. Under the purchase and merger method the balance sheet includes the subsidiaries identifiable assets, liabilities and contingent liabilities, which have been initially recognised at their fair values at the acquisition date for the purchase method of accounting or aggregated at their book value under the merger method. The results of the subsidiary operations are included in the Consolidated Profit and Loss Account from the date on which control is obtained. They are deconsolidated from the date control ceases. All amounts consolidated under the merger method have been included from the point at which they were controlled by the group. Therefore, the Group continues to recognise a merger reserve which arose on a past business combination that was accounted for as a merger in accordance with UK GAAP as applied at that time.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
Functional and presentation currency
Transactions and balances
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
Grants of a revenue nature are recognised in the Consolidated Profit and Loss Account in the same period as the related expenditure.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
Goodwill
All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method and reducing balance basis.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
In the consolidated accounts, interests in associated undertakings are accounted for using the equity method of accounting. Under this method an equity investment is initially recognised at the transaction price (including transaction costs) and is subsequently adjusted to reflect the investors share of the profit or loss, other comprehensive income and equity of the associate. The Consolidated Profit and Loss Account includes the Group's share of the operating results, interest, pre-tax results and attributable taxation of such undertakings applying accounting policies consistent with those of the Group. In the Consolidated Balance Sheet, the interests in associated undertakings are shown as the Group's share of the identifiable net assets, including any unamortised premium paid on acquisition. Any premium on acquisition is dealt with in accordance with the goodwill policy.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan. For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Group would receive for the asset if it were to be sold at the balance sheet date.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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 if the revision affects only that period, or in the period of revision and future periods if the revision affects both current and future periods. The following judgements have had a significant effect on amounts recognised in the financial statements: Depreciation and residual values The directors have reviewed the asset lives and associated residual values of all fixed asset classes in the Group, and in particular, the useful economic life and residual values of plant and machinery and improvements to property, and have concluded that asset lives and residual values are appropriate. Goodwill and intangible assets The Group establishes a reliable estimate of the useful life of goodwill and intangible assets arising on business combinations. This estimate is based on a variety of factors such as the expected use of the acquired business, the expected useful life of the cash generating units to which the goodwill is attributed, any legal, regulatory or contractual provisions that can limit useful life and assumptions that market participants would consider in respect of similar businesses.
The whole of the turnover is attributable to the principal activity of the Group.
Analysis of turnover by country of destination:
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
12.Taxation (continued)
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Profit and Loss Account in these financial statements. The profit after tax of the parent Company for the year was £
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
16.Tangible fixed assets (continued)
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
The 2024 valuations were made by the directors, on an open market value for existing use basis. The above property is rented to individuals outside of the group.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
24.Bank, mortgage and other loans (continued)
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
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Notes to the Financial Statements
For the Year Ended 30 September 2024
Capital redemption reserve
Foreign exchange reserve
Investment property revaluation reserve
Merger Reserve
Profit and loss account
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Notes to the Financial Statements
For the Year Ended 30 September 2024
The group operates a defined contribution pension scheme and contributes to personal pension plans of the directors and employees of the group. The assets of the defined contribution scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to these funds, and amounted to £184,219 (2023 - £164,502).
At the balance sheet date contributions of £8,500 (2023 - £7,609) remained outstanding.
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Notes to the Financial Statements
For the Year Ended 30 September 2024
During the year advances were made to directors of £21,056 (2023 - £Nil) and repayments from directors of £Nil (2023 - £179,635). In addition, directors loaned the group £Nil (2023 - £Nil). Interest accrued on the loan during the year amounted to £Nil (2023 - £10,208). At the balance sheet date, the amount outstanding due to directors was £1,922 (2023 - £7,576).
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