Company registration number 06534272 (England and Wales)
CONSTRUCTIONAL TIMBER (UK) LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
PAGES FOR FILING WITH REGISTRAR
CONSTRUCTIONAL TIMBER (UK) LIMITED
CONTENTS
Page
Statement of financial position
1 - 2
Notes to the financial statements
3 - 9
CONSTRUCTIONAL TIMBER (UK) LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 JANUARY 2025
31 January 2025
- 1 -
2025
2024
Notes
£
£
£
£
Fixed assets
Investment properties
5
4,505,108
3,500,000
Investments
6
1,294,444
346,279
5,799,552
3,846,279
Current assets
Trade and other receivables falling due after one year
7
182,802
835,699
Trade and other receivables falling due within one year
7
857,462
1,074,578
Cash and cash equivalents
545,428
782,938
1,585,692
2,693,215
Current liabilities
8
(83,429)
(76,695)
Net current assets
1,502,263
2,616,520
Total assets less current liabilities
7,301,815
6,462,799
Provisions for liabilities
(785,975)
(610,975)
Deferred income
(162,800)
(167,200)
Net assets
6,353,040
5,684,624
Equity
Called up share capital
50
50
Other reserves
2,357,926
1,832,926
Capital redemption reserve
50
50
Retained earnings
3,995,014
3,851,598
Total equity
6,353,040
5,684,624
The directors of the company have elected not to include a copy of the income statement within the financial statements.true
CONSTRUCTIONAL TIMBER (UK) LIMITED
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT
31 JANUARY 2025
31 January 2025
- 2 -
For the financial year ended 31 January 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
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:
Mr M Daws
Director
Company Registration No. 06534272
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
- 3 -
1
Accounting policies
Company information
Constructional Timber (UK) Limited is a private company limited by shares incorporated in England and Wales. The registered office is Old Linen Court, 83-85 Shambles Street, Barnsley, South Yorkshire, S70 2SB.
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 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company 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.
1.3
Revenue
Revue comprises rental income. Income is recognised in the period of occupancy and income is prepaid or accrued if invoices are raised in advance or in arrears.
1.4
Property, plant and equipment
Property, plant and equipment 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:
Plant and machinery
10 years straight line
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 credited or charged to profit or loss.
1.5
Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using the fair value model and stated at its fair value as the reporting end date. The surplus or deficit on revaluation is recognised in the reserves.
Where fair value cannot be achieved without undue cost or effort, investment property is accounted for as property, plant and equipment.
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
1
Accounting policies
(Continued)
- 4 -
1.6
Non-current investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
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 company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.7
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.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include 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 financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
1
Accounting policies
(Continued)
- 5 -
Basic financial liabilities
Basic financial liabilities, including trade and other payables, 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 payables 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.10
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 income statement 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 company’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 income statement, 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 when the company has 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.
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
1
Accounting policies
(Continued)
- 6 -
1.11
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 non-current 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.
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
2
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 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.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2025
2024
Number
Number
Total
2
2
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 7 -
4
Property, plant and equipment
Plant and machinery
£
Cost
At 1 February 2024 and 31 January 2025
102,144
Depreciation and impairment
At 1 February 2024 and 31 January 2025
102,144
Carrying amount
At 31 January 2025
At 31 January 2024
5
Investment property
2025
£
Fair value
At 1 February 2024 and 31 January 2025
4,505,108
Investment property comprises;
Land and buildings at Carlton, Barnsley. The fair value of the investment property has been arrived at on the basis of a valuation of £4.2M carried out at 21 October 2024 by A P Corbett BSc (Hons) MRICS. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
A residential property at 42 Holly Road, Scissett, Huddersfield. The property was purchased during the year and the the director Mr M Daws considers this valuation of £305k to be correct at 31 January 2025 based on current prices in the area.
6
Fixed asset investments
2025
2024
£
£
Shares in group undertakings and participating interests
255,000
255,000
Other investments other than loans
1,039,444
91,279
1,294,444
346,279
Fixed asset investments not carried at market value
Investments comprise shares in the subsidiary. The method of valuation used is cost basis.
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
6
Fixed asset investments
(Continued)
- 8 -
Movements in non-current investments
Shares in subsidiaries
Other investments
Total
£
£
£
Cost or valuation
At 1 February 2024
255,000
91,279
346,279
Additions
-
1,000,000
1,000,000
Valuation changes
-
39,444
39,444
Disposals
-
(91,279)
(91,279)
At 31 January 2025
255,000
1,039,444
1,294,444
Carrying amount
At 31 January 2025
255,000
1,039,444
1,294,444
At 31 January 2024
255,000
91,279
346,279
7
Trade and other receivables
2025
2024
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
655,407
813,103
Other receivables
202,055
261,475
857,462
1,074,578
2025
2024
Amounts falling due after more than one year:
£
£
Other receivables
182,802
835,699
Total debtors
1,040,264
1,910,277
8
Current liabilities
2025
2024
£
£
Trade payables
158
96
Corporation tax
65,557
60,171
Other taxation and social security
14,714
14,428
Other payables
3,000
2,000
83,429
76,695
CONSTRUCTIONAL TIMBER (UK) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 9 -
9
Related party transactions
On 1 December 2022 the company sold 49% of its subsidiary Constructional Timber (Manufacturers) Limited to a company owned by a minority shareholder and close family member of the directors, W Daws Limited. Deferred consideration of £1,382,400 was been loaned interest fee over a period of 7 years. The Net Present Value of this loan at 31 January 2025 was £374,801 based on a market rate of 4%. During the current year £114,603 has been reversed as the repayment of the loan had been accelerated.
The company gave a loan to it's subsidiary company Constructional Timber (Manufacturers) Limited which is interest free and repayable on demand. The amount outstanding at the year end was £655,407 (2024; £813,103).
10
Directors' transactions
Dividends totalling £299,600 (2024 - £201,500) were paid in the year in respect of shares held by the company's director.
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