| REGISTERED NUMBER: |
| AMIRI CONSTRUCTION LIMITED |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| AUDITED FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| REGISTERED NUMBER: |
| AMIRI CONSTRUCTION LIMITED |
| STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| AUDITED FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 4 |
| Report of the Independent Auditors | 6 |
| Statement of Income and Retained Earnings | 9 |
| Balance Sheet | 10 |
| Notes to the Financial Statements | 11 |
| AMIRI CONSTRUCTION LIMITED |
| COMPANY INFORMATION |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| SENIOR STATUTORY AUDITOR: |
| AUDITORS: |
| Statutory Auditor |
| Highland House |
| Mayflower Close |
| Chandler's Ford |
| Eastleigh |
| Hampshire |
| SO53 4AR |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present the strategic report for the year ended 31 December 2024. |
| REVIEW OF BUSINESS |
| Amiri is a Regional Main Contractor operating out of offices in Fareham and Bournemouth. Amiri's projects are typically between £3m and £25m in value, located within a 90-minute travelling radius of the Fareham and Bournemouth offices. |
| Amiri delivers both private and public construction schemes across a wide range of sectors with a collaborative and problem-solving approach. These sectors include education, industrial, health, commercial, retail, leisure, private residential and affordable housing. |
| Amiri has been successfully trading since its incorporation in 2005 and remains privately owned and managed. As Amiri's reputation continues to grow, our mission remains - to create exceptional environments for people to enjoy. |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| Health & Safety |
| Risk: The business is engaged in projects which have the potential to cause serious injury to members of its staff, subcontractors, clients and members of the public. |
| Mitigation: Health, safety and environmental sustainability is the primary focus of the business. The business is committed to maintaining the highest standards of health and safety, with all staff receiving health and safety training. As part of this commitment, the business is ISO45001 certified, holds Constructionline Silver status, and is accredited within the Contractors Health and Safety Assessment Scheme (CHAS) and Safety Management Advisory Service (SMAS). |
| During the year the business was accredited with a Health and Safety Achilles certificate. |
| Employees |
| Risk: The skills and expertise of its staff are central to the delivery of the objectives of the business. Failure to recruit and retain key staff could impact the ability of the business to deliver projects. |
| Mitigation: The business offers a competitive reward structure to attract, retain and motivate staff. This, together with the Amiri culture and ethos which actively promotes a collaborative working environment, ensures the business continues to maintain excellent levels of staff retention. |
| Economic conditions |
| Risk: Construction is a cyclical sector, and is reliant on the broader economy, and in some cases, government policy. |
| The last twelve months have been more stable with interest rates slowly reducing however inflationary increases have still been prevalent in the industry. |
| The availability of materials and prices have plateaued however there is still the apprehension from external macro-economic factors such as increase in business rates. |
| Mitigation: The directors closely monitor the prevailing economic conditions, ensuring that the business remains flexible to react to a change in circumstances. The business ensures current and forthcoming projects are diversified across a range of sectors, avoiding over exposure to any particular sector. |
| The business will continue to work closely with clients and consultants on a project-by-project basis to mitigate any delays or shortages on site, be the shortages in terms of labour, materials or logistics. |
| The balance sheet of the business is debt free which helps to insulate against the potential fluctuation in interest rates. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| DEVELOPMENT AND PERFORMANCE |
| The business entered the year in a strong position and was able to add to this throughout the year, with several significant project awards in relation to 2024/2025. This resulted in Amiri achieving a turnover of £63.2m (2023: £45.4m). |
| To maintain our capability to deliver high quality projects, headcount was an average of 58 across preconstruction, production, commercial and administrative functions (2023: 53). This investment in expertise and capability has facilitated the delivery of projects such as new training facilities at AFC Bournemouth, and a stunning, state-of-the-art £13m new build project, located at Canford Magna. |
| Key Performance Indicators (KPI's) |
| During the year, the business reported turnover of £63.2m (2023: £45.4m). A gross profit of £5.4m was achieved on this turnover (2023: £4.1m). This represents a gross profit margin of 8.6% (2023: 9.0%). Overheads stood at £4.3m in support of this (2023: £3.7m). This resulted in the business achieving an operating profit of £1.1m (2023: £0.4m). The Directors consider this an encouraging result for the year. The business made excellent use of surplus cash investing this in high interest earning accounts. |
| The business has maintained a robust balance sheet, closing the financial year with cash at bank and in hand of £10.5m (2023: £7.4m). The business is debt free and has no overdraft. Net assets of the business closed the year at £3.1m (2023: £2.4m). |
| FUTURE DEVELOPMENTS |
| For 2025 the order book is strong, with 65% of forecasted annual turnover secured at 31 March 2025 on existing contracts. Controlled and consistent delivery remains the key focus, demonstrating Amiri's continuing focus on quality and safety. |
| Given this, the management team are excited about the prospects for the coming year, delivering exceptional projects and delighting clients. |
| ON BEHALF OF THE BOARD: |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of construction and refurbishment projects. |
| DIVIDENDS |
| Dividends totalling £324,000 will be distributed for the year ended 31 December 2024 (2023: £470,000). |
| FUTURE DEVELOPMENTS |
| Information in respect of the company's future developments has been included within the strategic report. |
| EVENTS SINCE THE END OF THE YEAR |
| Information relating to events since the end of the year is given in the notes to the financial statements. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| Other changes in directors holding office are as follows: |
| DONATIONS AND EXPENDITURE |
| Donations totalling £580 (2023: £2,110) were made during the year. |
| RISK MANAGEMENT |
| The activities of the business expose it to a number of financial risks including credit risk, liquidity risk and price risk. The business has robust controls & procedures to mitigate these risks, which are detailed below: |
| Credit risk |
| The financial assets of the business are bank balances and cash, and amounts receivable on contracts. Receivables are closely monitored to ensure prompt settlement of amounts outstanding, with internal processes to identify any at risk amounts. |
| Liquidity risk |
| The business mitigates liquidity risk through careful review of cashflows on a contract by contract basis, together with robust cash forecasting to identify any potential liquidity risks. |
| Price risk |
| The business is exposed to price risk in the form of both materials and labour. The business mitigates this risk through close monitoring of costs throughout the build process, supplier negotiations, together with the practice of entering into supply agreements early in the lifecycle of contracts, so as to ensure price certainty wherever possible. |
| DIRECTORS' INDEMNITY INSURANCE |
| Directors' and officers' insurance cover has been established for all directors to provide appropriate cover for their reasonable actions on behalf of the company. |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Strategic Report, the Directors’ Report and the financial statements in accordance with applicable law and regulations. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the company financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company 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; and |
| - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
| The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| The directors are responsible for the maintenance and integrity of the corporate and financial information on the company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
| AUDITORS |
| The auditors, Hopper Williams & Bell Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| ON BEHALF OF THE BOARD: |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| AMIRI CONSTRUCTION LIMITED |
| Opinion |
| We have audited the financial statements of Amiri Construction Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Income and Retained Earnings, Balance Sheet and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
| In our opinion the financial statements: |
| - | give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended; |
| - | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
| - | have been prepared in accordance with the requirements of the Companies Act 2006. |
| Basis for opinion |
| We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 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. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
| Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
| In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| - | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| AMIRI CONSTRUCTION LIMITED |
| Matters on which we are required to report by exception |
| In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
| We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
| - | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the financial statements are not in agreement with the accounting records and returns; or |
| - | certain disclosures of directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on pages four and five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
| In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| - We obtained an understanding of the legal and regulatory frameworks that are applicable to the company, and the industry in which it operates. These include but are not limited to compliance with the Companies Act 2006, UK Generally Accepted Accounting Practice and the relevant tax compliance regulations for the company. |
| - We obtained an understanding of how the company is complying with these frameworks through discussions with management. |
| - We enquired with management whether there were any instances of non-compliance with laws and regulations or whether they had knowledge of actual or suspected fraud. These enquiries are corroborated through follow-up audit procedures including but not limited to a review of legal and professional costs and correspondence. |
| - We assessed the susceptibility of the company's financial statements to material misstatement, including the risk of fraud and management override of controls. We designed our audit procedures to respond to this assessment, including the identification and testing of any related party transactions and the testing of journal transactions that arise from management estimates, that are determined to be of significant value or unusual in their nature and a review of profit margins to identify any possible irregularities in sales contracts. |
| - We assessed the appropriateness of the collective competence and capabilities of the engagement team, including consideration of the engagement team's knowledge and understanding of the industry in which the company operates in, and their practical experience through training and participation with audit engagements of a similar nature. |
| A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| AMIRI CONSTRUCTION LIMITED |
| Use of our report |
| This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
| for and on behalf of |
| Statutory Auditor |
| Highland House |
| Mayflower Close |
| Chandler's Ford |
| Eastleigh |
| Hampshire |
| SO53 4AR |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| STATEMENT OF INCOME AND RETAINED EARNINGS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| TURNOVER |
| Cost of sales | ( |
) | ( |
) |
| GROSS PROFIT |
| Administrative expenses | ( |
) | ( |
) |
| OPERATING PROFIT | 4 |
| Interest receivable and similar income |
| PROFIT BEFORE TAXATION |
| Tax on profit | 5 | ( |
) |
| PROFIT FOR THE FINANCIAL YEAR |
| Retained earnings at beginning of year |
| Dividends | 6 | ( |
) | ( |
) |
| RETAINED EARNINGS AT END OF YEAR |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| BALANCE SHEET |
| 31 DECEMBER 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| FIXED ASSETS |
| Tangible assets | 7 |
| CURRENT ASSETS |
| Debtors | 8 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 9 | ( |
) | ( |
) |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year |
10 |
( |
) |
( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 12 |
| Share premium | 13 |
| Retained earnings | 13 |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 1. | STATUTORY INFORMATION |
| Amiri Construction Limited is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| These financial statements have been prepared in accordance with FRS 102 "The Financial Reporting Standards applicable in the UK and Republic of Ireland" ("FRS 102") and the requirements of the Companies Act 2006, including the provisions for the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008. |
| 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 £1. |
| The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. |
| The principal accounting policies adopted are set out below. |
| Going Concern |
| The directors have concluded that with the right management actions the company is a going concern for at least 12 months following the signature of the financial statements. Accordingly the directors have prepared the financial statements on this basis. |
| Financial Reporting Standard 102 - reduced disclosure exemptions |
| The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
| • | the requirements of Section 7 Statement of Cash Flows; |
| • | the requirement of paragraph 3.17(d). |
| Critical accounting judgements and key sources of estimation uncertainty |
| In the application of the company'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 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 significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows. |
| - Revenue recognition & Accrued contract costs |
| Turnover policy and financial instrument policies above set out the company's policies with regard to revenue recognition and recognition of accrued contract costs which affects turnover, cost of sales, gross profit, debtors and creditors. This is necessarily based on assumptions and estimates in relation to the degree of contract completion and the expected profitability of each contract. The main estimates this year are the sum of £2,331,559 (2023: £1,807,958) included in debtors in respect of gross amounts due from contract customers and the sum of £11,281,668 (2023: £6,851,901) included in creditors in respect of gross amounts due to contract suppliers. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Turnover |
| Turnover represents amounts receivable for the construction, refurbishment and maintenance of buildings net of VAT and trade discounts. |
| Contract revenue is recognised in line with valuations made by external quantity surveyors, and represents the fair value of construction work carried out. Revenue compromises amounts invoiced to clients together with an estimate of the work in progress held on a given contract, representing the earned but uninvoiced proportion of forthcoming future valuations. |
| Contract revenue, to the extent that is has been recognised, comprises the initial amount of revenue agreed in the contract, any variations in the contract work and claims that can be measured reliably. A variation or a claim is recognised as contract revenue when it is probable that the customer will approve the variation or negotiations have reached an advanced stage such that it is probably that the customer will accept the claim. |
| Gross amounts due from customers for contract work, which are included in debtors, are stated at the net sales value of the work done after provision for contingencies and anticipated future losses. Excess progress payments are included in creditors as payments on account. |
| When it is probable the total contract costs will exceed the total revenue, the expected loss is recognised as an expense immediately. |
| Tangible fixed assets |
| Fixtures and fittings | - |
| 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 income statement. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Research and development |
| Expenditure on research and development is written off in the year in which it is incurred. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Leasing commitments |
| Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| Financial instruments |
| The Company has elected to apply the provision of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
| Financial assets |
| Financial assets are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. |
| Basic financial assets, which include trade and other receivables 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 financial transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. |
| Financial liabilities |
| Basic financial liabilities which include trade and other payables, are initially measured at transaction price and subsequently measured at amortised cost, unless the arrangement constitutes a financing transaction where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. |
| Equity instruments |
| Equity instruments issued by the company are recorded at the fair value of the proceeds received net of direct issue costs. Dividend's payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company. |
| Dividends |
| Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approve by the shareholders at an annual general meeting. |
| Impairment of financial assets |
| Financial assets measured at cost and amortised costs are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account. |
| For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the company would receive for the asset if it were to be sold at the reporting date. |
| For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. |
| 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 the profit and loss. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Derecognition of financial assets and financial liabilities |
| Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
| Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
| Offsetting of financial assets and financial liabilities |
| Financial assets are liabilities are offset against and the net amount reported in the balance sheet when there is an 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. |
| Cash and cash equivalents |
| Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. |
| 3. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Directors | 4 | 3 |
| Estimators | 7 | 6 |
| Production staff | 37 | 34 |
| Finance and administration | 10 | 10 |
| The total remuneration paid to directors in the year totalled £327,238 (2023: £194,858). |
| The company's contributions to the director's defined contribution pension scheme in the year totalled £16,411 (2023: £9,376). |
| The highest paid director received remuneration of £174,771 (2023: £140,931). |
| The value of the company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £8,752 (2023: £6,704). |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 4. | OPERATING PROFIT |
| The operating profit is stated after charging: |
| 2024 | 2023 |
| £ | £ |
| Hire of plant and machinery |
| Depreciation - owned assets |
| Auditors' remuneration |
| Auditors' remuneration for non audit work |
| Operating leases |
| 5. | TAXATION |
| Analysis of the tax charge/(credit) |
| The tax charge/(credit) on the profit for the year was as follows: |
| 2024 | 2023 |
| £ | £ |
| Current tax: |
| UK corporation tax |
| Prior year over/under provision | - | (126,542 | ) |
| Tax on profit | ( |
) |
| UK corporation tax has been charged at 25% (2023 - 23.50%). |
| Reconciliation of total tax charge/(credit) included in profit and loss |
| The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
| 2024 | 2023 |
| £ | £ |
| Profit before tax |
| Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
| Effects of: |
| Expenses not deductible for tax purposes |
| Depreciation in excess of capital allowances |
| Research and development tax credit relating to previous period | - | (126,542 | ) |
| Group relief | (74,295 | ) | (134,093 | ) |
| Total tax charge/(credit) | 247,245 | (126,542 | ) |
| 6. | DIVIDENDS |
| 2024 | 2023 |
| £ | £ |
| Ordinary shares of £1 each |
| Interim |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 7. | TANGIBLE FIXED ASSETS |
| Fixtures |
| and |
| fittings |
| £ |
| COST |
| At 1 January 2024 |
| Additions |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| 8. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade debtors |
| Amounts owed by group undertakings |
| Amounts recoverable on contract |
| Other debtors |
| Tax |
| Prepayments and accrued income |
| The amounts owed by group undertakings are interest free and are repayable on demand. |
| 9. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade creditors |
| Tax |
| Social security and other taxes |
| VAT | 2,102,353 | 1,441,376 |
| Other creditors |
| Accruals and deferred income |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 10. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade creditors |
| 11. | LEASING AGREEMENTS |
| Minimum lease payments under non-cancellable operating leases fall due as follows: |
| 2024 | 2023 |
| £ | £ |
| Within one year |
| Between one and five years |
| In more than five years |
| 12. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary | £1 | 75,000 | 75,000 |
| Ordinary shares hold voting rights, are entitled to dividends, are not redeemable and are entitled first in a distribution arising from winding up of the company. |
| 13. | RESERVES |
| Retained | Share |
| earnings | premium | Totals |
| £ | £ | £ |
| At 1 January 2024 | 2,350,575 |
| Profit for the year | - |
| Dividends | ( |
) | - | ( |
) |
| At 31 December 2024 | 3,048,831 |
| 14. | PENSION COMMITMENTS |
| The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund. |
| The pension cost charge to the profit or loss for the year in respect of defined contributions payable by the company amounted to £200,291 (2023: £174,234). |
| Contributions totalling £44,551 (2023: £30,596) were payable to the scheme at the year end and are included in other creditors. |
| AMIRI CONSTRUCTION LIMITED (REGISTERED NUMBER: 05351797) |
| NOTES TO THE FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 15. | CONTINGENT LIABILITIES |
| HMRC launched an enquiry into the Research and Development claim included on the corporation tax return for the year ended 2022, for which there is a debtor included in the accounts of £126,542, which is ongoing post year end, and the outcome is unknown. The amount, if any, of any reduction in the tax debtor or subsequent tax liability due to HMRC, cannot be reasonably estimated at this time. |
| 16. | RELATED PARTY DISCLOSURES |
| Included within administrative expenses is £2,520 (2023: £2,400) for a trademark provided by Lawrence Capital (UK) Ltd, a company where M Lawrence has significant control. |
| Included in cost of sales is £10,821 (2023: £8,605) for performance bond costs provided by Sterling Finance Limited, a company where M Lawrence is a shareholder. |
| Included within interest receivable is £46,300 (2023: £81,250) received from Prospect Finance Limited, a company where M Lawrence is a shareholder, as a result of £1,000,000 being deposited during the year. |
| Key management personnel include all directors and a number of senior managers across the company who together have authority and responsibility for planning, directing and controlling the activities of the company. The total compensation paid to key management personnel for services provided to the company was £903,988 (2023: £611,926). |
| 17. | POST BALANCE SHEET EVENTS |
| After the year end, the company deposited £1,000,000 with Prospect Finance Limited, a company where M Lawrence is a shareholder. The deposit yields annual interest above the normal bank rate that could be obtained. |
| 18. | CONTROLLING PARTY |
| The ultimate controlling party is |
| The largest and the smallest group for which group accounts are drawn up and of which the company is a member is Amiri Group Limited, a company incorporated in England & Wales. Copies of the consolidated accounts of this group can be obtained at the business address of the parent company, Eagle Point, Little Park Farm Road, Fareham, England, PO15 5TD. In the opinion of the directors therefore there is no single ultimate controlling party. |