Company registration number 11003765 (England and Wales)
FIRST BLUE GROUP LTD
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
FIRST BLUE GROUP LTD
COMPANY INFORMATION
Directors
Mr C R Smith
Mrs C L Smith
Secretary
Mr C R Smith
Company number
11003765
Registered office
Seighford Hall
Clanford Road
Seighford
ST18 9NL
Auditor
Sumer Auditco Limited
The Beehive Building
Beehive Ring Road
Gatwick
Crawley
United Kingdom
RH6 0PA
FIRST BLUE GROUP LTD
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Profit and loss account
7
Group statement of comprehensive income
8
Group balance sheet
9 - 10
Company balance sheet
11
Group statement of changes in equity
12
Company statement of changes in equity
13
Group statement of cash flows
14
Notes to the financial statements
15 - 33
FIRST BLUE GROUP LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -
The directors present the strategic report for the year ended 31 March 2024.
Review of the business
The results for the year are set out on page 7 onwards of the financial statements for the group showing positive results for another year. The directors consider the results achieved on ordinary activities before taxation to be acceptable.
Principal risks and uncertainties
Competitive pressure is a continuing risk for the group, which could result in a loss of sales to key competitors. The group manages this risk by providing added value services to its customers, having fast response times not only in supplying products and services but also in handling all customer queries and by maintaining strong relationships with a wide range of customers and suppliers.
All of the sales within the group are to the UK, which significantly reduces any foreign currency and exchange rate risks to an easily manageable level.
Development and performance
In order to deal with the increase in demand, the group has increased in size to expand the range of services it can offer, increased staff numbers, and used more sub-contract labour to ensure all work and services are carried out to the high standard they expect, and in a timely manner. The group intends to continue this expansion over the coming years, continuing to grow as more and more services becomes available.
Key performance indicators
The key performance indicators below show the effect that continued growth has had on the business during 2024. As expected turnover and gross profit are increasing as the business continues to expand and win new work.
The key performance indicators show that the group has continued to trade profitably, increasing their proift margins. The group has also increased the level of assets held, mainly due to the purchase of additional properties for use by the group.
Mr C R Smith
Secretary
12 May 2025
FIRST BLUE GROUP LTD
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
The directors present their annual report and financial statements for the year ended 31 March 2024.
Principal activities
The principal activity of the company continued to be that of a holding company.
The principal activity of the group continued to be that of healthcare and education services.
Results and dividends
The results for the year are set out on page 7.
No ordinary dividends were paid. The directors do not recommend payment of a further dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr C R Smith
Mrs C L Smith
Auditor
Sumer Auditco Limited were appointed as auditor to the group and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.
Strategic Report
The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of the review of the business and principal risks and uncertainties.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.
By order of the board
Mr C R Smith
Secretary
12 May 2025
FIRST BLUE GROUP LTD
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -
The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
select suitable accounting policies and then 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;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and 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 company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
FIRST BLUE GROUP LTD
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FIRST BLUE GROUP LTD
- 4 -
Opinion
We have audited the financial statements of First Blue Group Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
give a true and fair view of the state of the group's and the parent company's affairs as at 31 March 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.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
The information given in the 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 strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
FIRST BLUE GROUP LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF FIRST BLUE GROUP LTD
- 5 -
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent company financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.
Responsibilities of directors
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the parent company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
The key procedures we undertook to detect irregularities including fraud during the course of the audit included:
Identifying and testing transactions and the overall accounting records, in particular those that were significant and unusual.
Reviewing the financial statement disclosures and determining whether accounting policies have been appropriately applied.
Reviewing and challenging the assumptions and judgements used by management in their significant accounting estimates.
Assessing the extent of compliance, or lack of, with the relevant laws and regulations.
Review of transactions posted during the year, for evidence of management bias.
Confirming that assets included in the financial statements are still held by the company and group, and are not impaired.
Confirming that any asset disposals included in these financial statements are accurately recorded in the financial statements.
Ensuring that the value of properties held by the group are not materially overstated in the financial statements, and challenging any assumptions made in arriving at the valuations used.
Testing key income lines, in particular cut-off, for evidence of management bias.
Obtaining confirmation of material bank and loan balances.
Confirming that there are no material misstatements in the comparative figures, as the prior year's financial statements were not audited.
Review of transactions with directors by reference to expectations.
Documenting and verifying all significant related party balances and transactions, and their related disclosures in the financial statements.
Assessing the risk of going concern, with reference to external factors and reliance through financial support from related parties.
FIRST BLUE GROUP LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF FIRST BLUE GROUP LTD
- 6 -
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 is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Other matters which we are required to address
We would like to draw the readers' attention to the fact that the comparative financial statements were not audited, despite the company being part of a medium sized group for the year ended 31 March 2023.
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.
Mr Martin Bradley FCCA (Senior Statutory Auditor)
For and on behalf of Sumer Auditco Limited, Statutory Auditor
Chartered Accountants
The Beehive Building
Beehive Ring Road
Gatwick
Crawley
RH6 0PA
United Kingdom
13 May 2025
FIRST BLUE GROUP LTD
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 7 -
2024
2023
Notes
£
£
Turnover
3
8,765,248
9,252,148
Cost of sales
(2,814,829)
(3,384,167)
Gross profit
5,950,419
5,867,981
Administrative expenses
(5,056,782)
(5,144,940)
Other operating expenses
-
(3,362)
Operating profit
4
893,637
719,679
Interest receivable and similar income
6
1,228
2,286
Interest payable and similar expenses
7
(1,112,483)
(558,889)
Amounts written off investments
8
706,404
-
Profit before taxation
488,786
163,076
Tax on profit
9
55,782
(193,802)
Profit/(loss) for the financial year
544,568
(30,726)
Profit/(loss) for the financial year is attributable to:
- Owners of the parent company
557,600
74
- Non-controlling interests
(13,032)
(30,800)
544,568
(30,726)
FIRST BLUE GROUP LTD
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
- 8 -
2024
2023
£
£
Profit/(loss) for the year
544,568
(30,726)
Other comprehensive income
-
-
Cash flow hedges gain arising in the year
Total comprehensive income for the year
544,568
(30,726)
Total comprehensive income for the year is attributable to:
- Owners of the parent company
557,600
74
- Non-controlling interests
(13,032)
(30,800)
544,568
(30,726)
FIRST BLUE GROUP LTD
GROUP BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 9 -
2024
2023
Notes
£
£
£
£
Fixed assets
Goodwill
11
337,701
960,566
Tangible assets
12
14,322,258
10,785,340
14,659,959
11,745,906
Current assets
Stocks
15
-
9,540
Debtors
16
2,264,111
2,065,558
Cash at bank and in hand
237,567
902,379
2,501,678
2,977,477
Creditors: amounts falling due within one year
17
(2,991,815)
(3,555,726)
Net current liabilities
(490,137)
(578,249)
Total assets less current liabilities
14,169,822
11,167,657
Creditors: amounts falling due after more than one year
18
(12,152,108)
(9,631,263)
Provisions for liabilities
Deferred tax liability
21
748,750
811,998
(748,750)
(811,998)
Net assets
1,268,964
724,396
Capital and reserves
Called up share capital
23
100
100
Revaluation reserve
1,811,775
1,811,775
Profit and loss reserves
(428,553)
(986,153)
Equity attributable to owners of the parent company
1,383,322
825,722
Non-controlling interests
(114,358)
(101,326)
Total equity
1,268,964
724,396
FIRST BLUE GROUP LTD
GROUP BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2024
31 March 2024
- 10 -
These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.
The financial statements were approved by the board of directors and authorised for issue on 12 May 2025 and are signed on its behalf by:
12 May 2025
Mr C R Smith
Director
Company registration number 11003765 (England and Wales)
FIRST BLUE GROUP LTD
COMPANY BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
13
1,450
1,450
Current assets
Debtors
16
3,155,319
2,302,229
Cash at bank and in hand
908
5,050
3,156,227
2,307,279
Creditors: amounts falling due within one year
17
(3,075,171)
(2,165,595)
Net current assets
81,056
141,684
Total assets less current liabilities
82,506
143,134
Creditors: amounts falling due after more than one year
18
(140,000)
(140,000)
Net (liabilities)/assets
(57,494)
3,134
Capital and reserves
Called up share capital
23
100
100
Profit and loss reserves
(57,594)
3,034
Total equity
(57,494)
3,134
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the year was £60,628 (2023 - £407,752 profit).
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
The financial statements were approved by the board of directors and authorised for issue on 12 May 2025 and are signed on its behalf by:
12 May 2025
Mr C R Smith
Director
Company registration number 11003765 (England and Wales)
FIRST BLUE GROUP LTD
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 12 -
Share capital
Revaluation reserve
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
Balance at 1 April 2022
100
1,811,775
(581,227)
1,230,648
(70,526)
1,160,122
Year ended 31 March 2023:
Loss and total comprehensive income
-
-
74
74
(30,800)
(30,726)
Dividends
10
-
-
(405,000)
(405,000)
-
(405,000)
Balance at 31 March 2023
100
1,811,775
(986,153)
825,722
(101,326)
724,396
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
557,600
557,600
(13,032)
544,568
Balance at 31 March 2024
100
1,811,775
(428,553)
1,383,322
(114,358)
1,268,964
FIRST BLUE GROUP LTD
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 April 2022
100
282
382
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
407,752
407,752
Dividends
10
-
(405,000)
(405,000)
Balance at 31 March 2023
100
3,034
3,134
Year ended 31 March 2024:
Profit and total comprehensive income
-
(60,628)
(60,628)
Balance at 31 March 2024
100
(57,594)
(57,494)
FIRST BLUE GROUP LTD
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
27
1,609,687
1,512,393
Interest paid
(1,112,483)
(558,889)
Income taxes (paid)/refunded
(197,780)
257,105
Net cash inflow from operating activities
299,424
1,210,609
Investing activities
Purchase of tangible fixed assets
(3,592,720)
(2,419,850)
Proceeds from disposal of tangible fixed assets
33,466
23,386
Proceeds from disposal of subsidiaries, net of cash disposed
(3,260)
-
Loans advanced
(537,014)
(495,906)
Interest received
1,228
2,286
Net cash used in investing activities
(4,098,300)
(2,890,084)
Financing activities
Repayment of borrowings
-
(32,603)
Proceeds from new bank loans
3,670,000
2,200,000
Repayment of bank loans
(294,690)
(227,841)
Payment of finance leases obligations
(240,636)
(294,858)
Dividends paid to equity shareholders
-
(405,000)
Net cash generated from financing activities
3,134,674
1,239,698
Net decrease in cash and cash equivalents
(664,202)
(439,777)
Cash and cash equivalents at beginning of year
901,343
1,341,120
Cash and cash equivalents at end of year
237,141
901,343
Relating to:
Cash at bank and in hand
237,567
902,379
Bank overdrafts included in creditors payable within one year
(426)
(1,036)
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 15 -
1
Accounting policies
Company information
First Blue Group Ltd (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is .
The group consists of First Blue Group Ltd and all of its subsidiaries.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
1.2
Business combinations
In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.
Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 16 -
1.3
Basis of consolidation
The consolidated group financial statements consist of the financial statements of the parent company First Blue Group Ltd together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.
All financial statements are made up to 31 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.
Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.
Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.
If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.
Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.
1.4
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.5
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -
1.6
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.
1.7
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
50 years straight line to the property's residual value
Leasehold improvements
10% reducing balance
Plant and equipment
25% reducing balance
Fixtures and fittings
25% reducing balance
Computers
25% reducing balance
Motor vehicles
25% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.
1.8
Fixed asset investments
Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.
In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 18 -
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.
Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.
In the parent company financial statements, investments in associates are accounted for at cost less impairment.
Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.9
Impairment of fixed assets
At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 19 -
1.10
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.11
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.12
Financial instruments
The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 20 -
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 21 -
Derecognition of financial liabilities
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
1.13
Equity instruments
Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.
1.14
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.15
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.16
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 22 -
1.17
Leases
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
2
Judgements and key sources of estimation uncertainty
In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Valuation of property
Freehold property is held at its valuation, based on based on recent market transactions on arm's length terms for similar properties, with any increase in valuation over cost shown in a revaluation reserve, net of deferred tax. The total revaluation reserve held in these financial statements is shown in the group statement of changes in equity.
Useful lives of depreciable assets
The annual depreciation charge depends primarily on the estimated useful life of the asset and circumstances.
The directors annually review the asset life and adjust as necessary to reflect current thinking on the remaining life in light of technological change, prospective economic utilisation and physical condition of the asset concerned.
Changes in asset lives can have a significant impact on depreciation charges for the period. It is not practical to quantify the impact of changes to asset lives on an overall basis, as asset lives are individually determined.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Healthcare & Education services
8,296,643
7,730,632
Electrical & Mobility services
468,605
1,521,516
8,765,248
9,252,148
2024
2023
£
£
Other revenue
Interest income
1,228
2,286
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging:
Fees payable to the group's auditor for the audit of the group's financial statements
60,000
-
Depreciation of owned tangible fixed assets
196,645
291,171
Loss on disposal of tangible fixed assets
196,919
-
Amortisation of intangible assets
43,341
115,781
Operating lease charges
10,912
-
5
Employees
The average monthly number of persons (including directors) employed by the group and company during the year was:
Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
105
85
Their aggregate remuneration comprised:
Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
4,043,569
3,596,010
Social security costs
346,831
334,792
-
-
Pension costs
68,097
56,684
4,458,497
3,987,486
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
6
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
1,228
2,286
7
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
1,030,352
519,111
Interest on finance leases and hire purchase contracts
82,131
39,778
Total finance costs
1,112,483
558,889
8
Amounts written off investments
2024
2023
£
£
Other gains and losses
706,404
-
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
7,466
4,503
Deferred tax
Origination and reversal of timing differences
(63,248)
189,299
Total tax (credit)/charge
(55,782)
193,802
The actual (credit)/charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2024
2023
£
£
Profit before taxation
488,786
163,076
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 25.00%)
122,197
40,769
Unutilised tax losses carried forward
(183,954)
Adjustments in respect of prior years
(54,830)
54,830
Permanent capital allowances in excess of depreciation
60,805
98,203
Taxation (credit)/charge
(55,782)
193,802
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 25 -
10
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Final paid
-
405,000
11
Intangible fixed assets
Group
Goodwill
£
Cost
At 1 April 2023
1,349,566
Disposals
(916,154)
At 31 March 2024
433,412
Amortisation and impairment
At 1 April 2023
389,000
Amortisation charged for the year
43,341
Disposals
(336,630)
At 31 March 2024
95,711
Carrying amount
At 31 March 2024
337,701
At 31 March 2023
960,566
The company had no intangible fixed assets at 31 March 2024 or 31 March 2023.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 26 -
12
Tangible fixed assets
Group
Freehold land and buildings
Leasehold improvements
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
£
Cost or valuation
At 1 April 2023
9,079,854
475,066
81,523
323,963
77,416
1,312,378
11,350,200
Additions
3,524,711
16,100
19,341
31,713
855
427,813
4,020,533
Disposals
(158,136)
(35,085)
(205,817)
(25,799)
(103,301)
(528,138)
At 31 March 2024
12,604,565
333,030
65,779
149,859
52,472
1,636,890
14,842,595
Depreciation and impairment
At 1 April 2023
115,673
47,451
135,309
48,385
218,042
564,860
Depreciation charged in the year
27,121
14,329
25,787
7,190
122,218
196,645
Eliminated in respect of disposals
(52,266)
(35,085)
(92,280)
(25,171)
(36,366)
(241,168)
At 31 March 2024
90,528
26,695
68,816
30,404
303,894
520,337
Carrying amount
At 31 March 2024
12,604,565
242,502
39,084
81,043
22,068
1,332,996
14,322,258
At 31 March 2023
9,079,854
359,393
34,072
188,654
29,031
1,094,336
10,785,340
The company had no tangible fixed assets at 31 March 2024 or 31 March 2023.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 27 -
The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.
Group
Company
2024
2023
2024
2023
£
£
£
£
Motor vehicles
1,290,549
966,358
Revalued freehold property would not be depreciated, as the directors feel that the residual value of the properties is greater than their original costs.
Land and buildings with a carrying amount of £12,604,565 were revalued at March 2023, and also in September 2024 by Colliers, independent valuers not connected with the company on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties.
The following assets are carried at valuation. If the assets were measured using the cost model, the carrying amounts would be as follows:
2024
2023
£
£
Group
Cost
6,782,179
4,412,742
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
1,450
1,450
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 April 2023 and 31 March 2024
1,450
Carrying amount
At 31 March 2024
1,450
At 31 March 2023
1,450
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 28 -
14
Subsidiaries
Details of the company's subsidiaries at 31 March 2024 are as follows:
Name of undertaking
Address
Class of
% Held
shares held
Direct
Indirect
First Blue Supported Accomodation Limited
1
Ordinary shares
100.00
-
Your VR Therarpy Holdings Limited
1
Ordinary shares
100.00
-
Your VR Therapy Centres Limited
1
Ordinary shares
-
100.00
Your VR Therapy Limited
1
Ordinary shares
-
100.00
First Blue Construction Limited
1
Ordinary shares
100.00
-
Arcane Works Limited
1
Ordinary shares
100.00
-
Nameless Digital Marketing Limited
1
Ordinary shares
100.00
-
The F Team Limited
1
Ordinary shares
100.00
-
First Blue Software Solutions Limited
1
Ordinary shares
100.00
-
Seighford Halll Developments Limited
1
Ordinary shares
100.00
-
Seighford Hall Project Limited
1
Ordinary shares
50.00
-
First Blue Healthcare & Education Limited
1
Ordinary shares
100.00
-
First Blue Inspired Limited
1
Ordinary shares
-
100.00
First Blue Education Limited
1
Ordinary shares
-
100.00
First Blue Healthcare Limited
1
Ordinary shares
-
100.00
Nurture Childcare Services Limited
2
Ordinary shares
-
100.00
First Blue Family Assssment Limited
1
Ordinary shares
-
100.00
First Blue Fleet Limited
1
Ordinary shares
-
100.00
First Blue Healthcare East Midlands Limited
1
Ordinary shares
-
100.00
First Blue Propco 0 Limited
1
Ordinary shares
100.00
-
First Blue Propco 1 Limited
1
Ordinary shares
100.00
-
Fits Blue Propco 2 Limited
1
Ordinary shares
50.00
-
First Blue Propco 3 Limited
1
Ordinary shares
50.00
-
First Blue Propco 4 Limited
1
Ordinary shares
100.00
-
First Blue Propco 5 Limited
1
Ordinary shares
100.00
-
Registered office addresses (all UK unless otherwise indicated):
1
Seighford Hall, Clanford Road, Seighford, ST19 9NL
2
Calls Wharf, 2 The Calls, Leeds, United Kingdom LS2 7JU
15
Stocks
Group
Company
2024
2023
2024
2023
£
£
£
£
Work in progress
-
(6,043)
-
-
Finished goods and goods for resale
15,583
-
9,540
-
-
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 29 -
16
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
563,694
668,714
Amounts owed by group undertakings
1,843,050
1,627,815
Other debtors
1,380,911
1,037,607
1,312,269
674,414
Prepayments and accrued income
319,506
359,237
2,264,111
2,065,558
3,155,319
2,302,229
17
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
19
441,067
296,381
Obligations under finance leases
20
162,905
224,792
Trade creditors
264,449
611,189
Amounts owed to group undertakings
3,014,271
1,968,040
Corporation tax payable
15,042
260,961
196,655
Other taxation and social security
547,408
83,465
-
-
Other creditors
1,263,034
1,597,940
Accruals and deferred income
297,910
480,998
60,900
900
2,991,815
3,555,726
3,075,171
2,165,595
18
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
19
10,918,938
8,588,924
Obligations under finance leases
20
843,170
652,339
Other borrowings
19
390,000
390,000
140,000
140,000
12,152,108
9,631,263
140,000
140,000
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 30 -
19
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
11,359,579
8,884,269
Bank overdrafts
426
1,036
Other loans
390,000
390,000
140,000
140,000
11,750,005
9,275,305
140,000
140,000
Payable within one year
441,067
296,381
Payable after one year
11,308,938
8,978,924
140,000
140,000
The bank loans totalling £11,359,579 (2023 £7,984,269) managed by TC Loans were secured by fixed and floating charges dated 19 May 2023 and 18 Feburary 2022 over the assets of the company and also guarantees from the group companies First Blue Healthcare Ltd, First Blue Propco 0 Ltd, First Blue Propco 1 Ltd, Nurture Childcare Services Ltd, First Blue Propco 5 Ltd, First Blue Family Assessment Ltd and First Blue Propco 4 Ltd. These loans and charges were satisfied on 30 October 2024 following a refinance arrangement.
20
Finance lease obligations
Group
Company
2024
2023
2024
2023
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
162,905
224,792
In two to five years
843,170
652,339
1,006,075
877,131
Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 3 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.
21
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:
Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
144,825
208,073
Revaluations
603,925
603,925
748,750
811,998
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
21
Deferred taxation
(Continued)
- 31 -
The company has no deferred tax assets or liabilities.
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 April 2023
811,998
-
Credit to profit or loss
(63,248)
-
Liability at 31 March 2024
748,750
-
The majority of the deferred tax balance above is not expected to reverse within 12 months, as it will only crystalise when the properties are sold.
22
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
68,097
56,684
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.
23
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
24
Events after the reporting date
On 14 March 2025, Nurture Childcare Services Limited (one of the group's subsidiary companies) was disposed of in full. The new registered office for this company is shown in the subsidiaries note to these financial statements.
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 32 -
25
Directors' transactions
Advances or credits have been granted by the group to its directors as follows:
Description
Opening balance
Amounts advanced
Closing balance
£
£
£
Directors' loans
674,414
499,322
1,173,736
674,414
499,322
1,173,736
26
Controlling party
The ultimate controlling party at the year end date was C Smith by virtue of his majority shareholding in the company. However since the year end First Blue Topco Ltd has become the controlling party.
27
Cash generated from group operations
2024
2023
£
£
Profit/(loss) after taxation
544,568
(30,726)
Adjustments for:
Taxation (credited)/charged
(55,782)
193,802
Finance costs
1,112,483
558,889
Investment income
(1,228)
(2,286)
Loss on disposal of tangible fixed assets
196,919
-
Amortisation and impairment of intangible assets
43,341
115,781
Depreciation and impairment of tangible fixed assets
196,645
291,171
Other gains and losses
(706,404)
-
Movements in working capital:
Decrease/(increase) in stocks
6,818
(6,039)
Increase in debtors
(225,667)
(235,365)
Increase in creditors
497,994
627,166
Cash generated from operations
1,609,687
1,512,393
FIRST BLUE GROUP LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 33 -
28
Analysis of changes in net debt - group
1 April 2023
Cash flows
Acquisitions and disposals
New finance leases
Other non-cash changes
31 March 2024
£
£
£
£
£
£
Cash at bank and in hand
902,379
(664,812)
-
-
-
237,567
Bank overdrafts
(1,036)
610
-
-
-
(426)
901,343
(664,202)
-
-
-
237,141
Borrowings excluding overdrafts
(9,274,269)
(3,375,310)
900,000
-
-
(11,749,579)
Obligations under finance leases
(877,131)
182,403
58,233
(427,813)
58,233
(1,006,075)
(9,250,057)
(3,857,109)
958,233
(427,813)
58,233
(12,518,513)
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