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REGISTERED NUMBER: 09797043 (England and Wales)















Group Strategic Report, Report of the Director and

Audited Consolidated Financial Statements for the Year Ended 31 August 2024

for

HS Group 2000 Limited

HS Group 2000 Limited (Registered number: 09797043)






Contents of the Consolidated Financial Statements
for the Year Ended 31 August 2024




Page

Company Information 1

Group Strategic Report 2

Report of the Director 3

Report of the Independent Auditors 4

Consolidated Income Statement 7

Consolidated Other Comprehensive Income 8

Consolidated Balance Sheet 9

Company Balance Sheet 10

Consolidated Statement of Changes in Equity 11

Company Statement of Changes in Equity 12

Consolidated Cash Flow Statement 13

Notes to the Consolidated Cash Flow Statement 14

Notes to the Consolidated Financial Statements 15


HS Group 2000 Limited

Company Information
for the Year Ended 31 August 2024







DIRECTOR: Mr P R Starling





SECRETARY: Mrs DA Starling





REGISTERED OFFICE: Unit 3 Shawcross House
Horace Waller VC Parade
Shawcross Business Park
Dewsbury
West Yorkshire
WF12 7RF





REGISTERED NUMBER: 09797043 (England and Wales)





AUDITORS: Xeinadin Audit Limited
Sidings House
Sidings Court
Lakeside
Doncaster
DN4 5NU

HS Group 2000 Limited (Registered number: 09797043)

Group Strategic Report
for the Year Ended 31 August 2024

The directors presents their strategic report of the company and the Group for the year ended 31 August 2024.

REVIEW OF BUSINESS
The group maintains a customer-focused sales strategy, offering a wide range of high-quality motor vehicle parts and accessories through our network of four branches and online platform.

PRINCIPAL RISKS AND UNCERTAINTIES
The Directors continuously monitors the key risks facing the group and evaluate the controls in place to manage these risks.

The main risks and uncertainties facing the group remain local competition, shifts in consumer spending patterns, and dependence on key suppliers. These risks are mitigated through ongoing product range development and regular monitoring of business performance by the Directors.

As with any business offering credit terms to customers, there is a risk that payments may not be received when due. This risk is mitigated through credit checks, vigilant monitoring of credit limits, and the implementation of a robust credit control policy. Additionally, the group maintains cash reserves should they ever be required.

KEY PERFORMANCE INDICATORS
The Directors employs a variety of financial and non-financial performance metrics to monitor and manage the business.

The key financial measurements of our success are turnover, gross profit, net profit % before tax and cash generation.

Turnover - £13.6m (2023 - £10.5m)
Gross profit - £5.3m (2023 - £4.1m)
Net profit % before tax - 10.1% (2023 - 9.9%)
Cash generation - £0.5m (2023 - £0.1m)

The non-financial measures of the business focus upon include; staff retention, team well being and how we positively impact the local and wider community via fund raising for charitable organisations.

DEVELOPMENT AND PERFORMANCE
Turnover has increased by 29% from £10.5m to £13.6m. Despite continued pressure on operating costs, profit after tax has increased by 33% to £1.0m (2023 - £0.8m).

FINANCIAL POSITION AT THE REPORTING DATE
The balance sheet shows that the net assets have increased from £2.9m to £3.8m.

FUTURE DEVELOPMENTS
The Directors look forward to the next financial year where the group has just launched our new branch in Bradford which looks likely to continue the rapid growth in revenue of the business. Investment in the future will remain key to the continued growth of the Group, from investing in our employees through to the systems used in every aspect of the business.

OTHER INFORMATION AND EXPLANATIONS
The business will continue to engage with new vehicle technologies and in turn pass these learnings and technical insights on to the local Garage network that we serve.

ON BEHALF OF THE BOARD:





Mr P R Starling - Director


9 May 2025

HS Group 2000 Limited (Registered number: 09797043)

Report of the Director
for the Year Ended 31 August 2024

The director presents his report with the financial statements of the company and the group for the year ended 31 August 2024.

PRINCIPAL ACTIVITY
The principal activity of the group in the year under review was that of suppliers of wholesale and retail motor parts.

DIVIDENDS
Interim dividends per share were paid during the year as follows:
Ordinary £1 - £1450
Ordinary C £1 - £40000

The total distribution of dividends for the year ended 31 August 2024 will be £ 185,000 .

DIRECTOR
Mr P R Starling held office during the whole of the period from 1 September 2023 to the date of this report.

Following the year-end, D A Starling was appointed as a director on 21st February 2025.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he 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 group's auditors are aware of that information.

AUDITORS
The auditors, Xeinadin Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





Mr P R Starling - Director


9 May 2025

Report of the Independent Auditors to the Members of
HS Group 2000 Limited

Opinion
We have audited the financial statements of HS Group 2000 Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 August 2024 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.

Other information
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of
HS Group 2000 Limited


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 its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent company financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of director's remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of director
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is responsible for assessing the group's and 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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:

- Enquiring of and obtaining written representation from management in relation to known or suspected instances of non-compliance with laws and regulations and fraud;
- Enquiring of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations;
- Evaluation of management's controls designed to prevent and detect irregularities;
- Identifying and, where relevant, testing journal entries posted by senior management or with unusual combinations;
- Assessing and evaluating the business rationale of significant transactions outside the normal course of business;
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
- Review of correspondence with regulators in so far as they are related to the financial statements;
- Incorporating elements of unpredictability into the nature, timing and/or extent of audit procedures performed.

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.

Other matters
In the previous accounting period the directors of the company took advantage of the audit exemption under s477 of the Companies Act 2006, being a small company. Therefore, the prior period financial statements were not subject to an audit.

Report of the Independent Auditors to the Members of
HS Group 2000 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.




Andrew Cribb FCA (Senior Statutory Auditor)
for and on behalf of Xeinadin Audit Limited
Sidings House
Sidings Court
Lakeside
Doncaster
DN4 5NU

19 May 2025

HS Group 2000 Limited (Registered number: 09797043)

Consolidated Income Statement
for the Year Ended 31 August 2024

2024 2023
(Unaudited)
Notes £    £    £   

TURNOVER 3 13,616,426 10,539,177

Cost of sales 8,310,326 6,412,982
GROSS PROFIT 5,306,100 4,126,195

Distribution costs 160,956 153,805
Administrative expenses 3,781,688 2,946,052
3,942,644 3,099,857
1,363,456 1,026,338

Other operating income 2,754 2,754
OPERATING PROFIT 5 1,366,210 1,029,092

Interest receivable and similar income 7 15,559 9,910
1,381,769 1,039,002

Interest payable and similar expenses 8 500 545
PROFIT BEFORE TAXATION 1,381,269 1,038,457

Tax on profit 9 307,167 232,916
PROFIT FOR THE FINANCIAL YEAR 1,074,102 805,541
Profit attributable to:
Owners of the parent 1,074,102 805,541

HS Group 2000 Limited (Registered number: 09797043)

Consolidated Other Comprehensive Income
for the Year Ended 31 August 2024

2024 2023
(Unaudited)
Notes £    £   

PROFIT FOR THE YEAR 1,074,102 805,541


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 1,074,102 805,541

Total comprehensive income attributable to:
Owners of the parent 1,074,102 805,541

HS Group 2000 Limited (Registered number: 09797043)

Consolidated Balance Sheet
31 August 2024

2024 2023
(Unaudited)
Notes £    £    £   
FIXED ASSETS
Tangible assets 12 922,835 768,020
Investments 13 - -
922,835 768,020

CURRENT ASSETS
Stocks 14 2,485,253 1,664,023
Debtors 15 1,645,253 1,291,770
Cash at bank and in hand 1,838,128 1,309,839
5,968,634 4,265,632
CREDITORS
Amounts falling due within one year 16 2,862,055 1,878,212
NET CURRENT ASSETS 3,106,579 2,387,420
TOTAL ASSETS LESS CURRENT LIABILITIES 4,029,414 3,155,440

CREDITORS
Amounts falling due after more than one year 17 (16,406 ) (31,359 )

PROVISIONS FOR LIABILITIES 19 (218,888 ) (219,062 )
NET ASSETS 3,794,120 2,905,019

CAPITAL AND RESERVES
Called up share capital 20 105 105
Retained earnings 21 3,794,015 2,904,914
SHAREHOLDERS' FUNDS 3,794,120 2,905,019

The financial statements were approved by the director and authorised for issue on 9 May 2025 and were signed by:





Mr P R Starling - Director


HS Group 2000 Limited (Registered number: 09797043)

Company Balance Sheet
31 August 2024

2024 2023
Notes £    £    £   
FIXED ASSETS
Tangible assets 12 - -
Investments 13 100 100
100 100

CURRENT ASSETS
Debtors 15 5 5
NET CURRENT ASSETS 5 5
TOTAL ASSETS LESS CURRENT LIABILITIES 105 105

CAPITAL AND RESERVES
Called up share capital 20 105 105
SHAREHOLDERS' FUNDS 105 105

Company's profit for the financial year 185,000 361,800

The financial statements were approved by the director and authorised for issue on 6 May 2025 and were signed by:





Mr P R Starling - Director


HS Group 2000 Limited (Registered number: 09797043)

Consolidated Statement of Changes in Equity
for the Year Ended 31 August 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 September 2022 205 2,481,173 2,481,378

Changes in equity
Issue of share capital (100 ) - (100 )
Dividends - (381,800 ) (381,800 )
Total comprehensive income - 805,541 805,541
Balance at 31 August 2023 105 2,904,914 2,905,019

Changes in equity
Dividends - (185,000 ) (185,000 )
Total comprehensive income - 1,074,102 1,074,102
Balance at 31 August 2024 105 3,794,016 3,794,121

HS Group 2000 Limited (Registered number: 09797043)

Company Statement of Changes in Equity
for the Year Ended 31 August 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 September 2022 105 - 105

Changes in equity
Dividends - (361,800 ) (361,800 )
Total comprehensive income - 361,800 361,800
Balance at 31 August 2023 105 - 105

Changes in equity
Dividends - (185,000 ) (185,000 )
Total comprehensive income - 185,000 185,000
Balance at 31 August 2024 105 - 105

HS Group 2000 Limited (Registered number: 09797043)

Consolidated Cash Flow Statement
for the Year Ended 31 August 2024

2024 2023
(Unaudited)
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 1,191,434 970,276
Interest paid (500 ) (545 )
Tax paid (166,482 ) (93,299 )
Net cash from operating activities 1,024,452 876,432

Cash flows from investing activities
Purchase of tangible fixed assets (344,981 ) (359,435 )
Sale of tangible fixed assets 15,452 6,800
Interest received 15,559 9,910
Net cash from investing activities (313,970 ) (342,725 )

Cash flows from financing activities
Capital repayments in year (11,980 ) (11,761 )
Amount introduced by directors 74,931 135,962
Amount withdrawn by directors (60,144 ) (175,000 )
Equity dividends paid (185,000 ) (381,800 )
Net cash from financing activities (182,193 ) (432,599 )

Increase in cash and cash equivalents 528,289 101,108
Cash and cash equivalents at beginning of year 2 1,309,839 1,309,839

Cash and cash equivalents at end of year 2 1,838,128 1,309,839

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Cash Flow Statement
for the Year Ended 31 August 2024

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024 2023
(Unaudited)
£    £   
Profit before taxation 1,381,269 1,038,457
Depreciation charges 177,540 139,182
Profit on disposal of fixed assets (2,826 ) (524 )
Government grants (2,754 ) (2,754 )
Finance costs 500 545
Finance income (15,559 ) (9,910 )
1,538,170 1,164,996
Increase in stocks (821,230 ) (436,022 )
Increase in trade and other debtors (384,414 ) (133,693 )
Increase in trade and other creditors 858,908 374,995
Cash generated from operations 1,191,434 970,276

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 August 2024
31.8.24 1.9.23
£    £   
Cash and cash equivalents 1,838,128 1,309,839
Year ended 31 August 2023
31.8.23 1.9.22
(Unaudited)
£    £   
Cash and cash equivalents 1,309,839 1,309,839


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.9.23 Cash flow At 31.8.24
£    £    £   
Net cash
Cash at bank and in hand 1,309,839 528,289 1,838,128
1,309,839 528,289 1,838,128
Debt
Finance leases (33,468 ) 11,980 (21,488 )
(33,468 ) 11,980 (21,488 )
Total 1,276,371 540,269 1,816,640

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements
for the Year Ended 31 August 2024

1. STATUTORY INFORMATION

HS Group 2000 Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The Group's functional and presentational currency is GBP, values are rounded to the nearest pound.

After reviewing the Group's forecasts and projections, the Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. The Group therefore adopts the going concern basis in preparing its financial statements.

Basis of consolidation
The Group and all its subsidiary undertakings, are consolidated. Intercompany transactions and balances among Group companies are eliminated in full.

Turnover
Turnover is net of customer returns and is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

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 delivery 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.

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Short leasehold - 20% on cost
Tenant improvements - 10% on cost
Plant and machinery - 10% on cost
Fixtures and fittings - 25% on reducing balance
Motor vehicles - 20% on cost
Computer equipment - 25% on cost

All fixed assets are initially recorded at cost. Property, plant and equipment is used in the Group's principal activity for the production and supply of goods or for administrative purposes and is stated in the balance sheet under the historic cost model. This model requires the assets to be stated at cost less amounts in respect of depreciation and less any accumulated impairment losses.

At each balance sheet date, the directors review the assets to determine whether, or not, there are any indications that tangible fixed assets have suffered impairment losses. If any such indication exists, the recoverable amount of the respective asset is estimated in order to determine the extent of the impairment loss.

At each balance sheet date, the directors review the useful lives and residual values of the Group's assets and these are revised as necessary. Any revisions to useful lives and residual values are applied prospectively from the date of change.

Where the recoverable amount of an asset is estimated to be less than the carrying amount in the financial statements, the carrying amount is reduced to its recoverable amount by way of an impairment loss which is charged to profit or loss immediately.

Impairment losses are reversed when the conditions giving rise to the previously recognised impairment loss cease to exist. In the situation that an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, to the extent that the increased carrying amount does not exceed the carrying amount that would have been determined, net of depreciation charges, had the asset not been subject to impairment in prior years. A reversal of a previously recognised impairment loss is recognised as income immediately.

Government grants
Government grants are recognised on the accrual model.

Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis.

At each balance sheet date, the directors undertake a review of its stock for impairment. Where any write-downs of stock become necessary to reduce the value from cost to estimated selling price less costs to complete and sell, such write-downs are recognised as an expense in profit or loss in the period in which the write-down or loss occurs. Where such write-downs subsequently reverse, the amount of any reversal is recognised as a reduction in the amount of stocks recognised as an expense in the period in which the reversal occurs.

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

2. ACCOUNTING POLICIES - continued

Impairment of financial assets
At each balance sheet date, the director assesses financial assets for indicators of impairment. Financial assets are considered to be impaired if there is objective evidence that the estimated future cash flows associated with the financial asset has been adversely affected by one, or more, events or conditions. In respect of financial assets which are carried at amortised cost, the amount of the impairment loss is the difference between the asset's carrying amount in the financial statements and the present value of the estimated future cash flows expected to be received by the Group.

If, in a subsequent accounting period, the amount of the impairment loss decreases and the decrease can be related objectively to an event which takes place after the impairment was recognised, the previously recognised impairment loss is reversed through profit or loss to the extent that the carrying amount of the asset at the date the impairment is reversed does not exceed what the amortised cost would have been had no impairment loss been recognised in prior periods. In respect of financial assets carried at cost, the amount of the impairment loss is the difference between the asset's carrying amount in the financial statements and the present value of the estimated future cash flows discounted at the current market rate of return for a similar financial asset. The director does not consider that any impairment losses recognised in respect of such financial assets will reverse.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, 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.The entity's taxable profit differs from the profit reported in the income statement for the year because of items of income or expense which are taxable or deductible in different periods together with items which are beyond the scope of tax and hence are never taxable or deductible.

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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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 Group operates a defined contribution pension scheme. Contributions payable to the Group's pension scheme are charged to profit or loss in the period to which they relate.

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

2. ACCOUNTING POLICIES - continued

Trade and other debtors
Trade and other debtors are initially recognised at the transaction price and subsequently measured using the amortised cost method which uses the effective interest method. At each balance sheet date, the directors assess trade and other debtors for evidence of indicators of impairment and where the directors conclude that amounts in respect of trade and other debtors are not recoverable, a specific bad debt provision is recognised. Trade debtors are not interest-bearing. Where the effects of discounting trade and other debtors is judged to be immaterial, such debtors are stated at cost less impairment losses in respect of bad debts.

Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, on-demand deposits with banks and other short-term highly liquid investments

Trade and other creditors
Trade and other creditors are initially recognised in the financial statements at transaction price. Trade and other creditors are then subsequently measured at amortised cost using the effective interest method unless the effects of discounting would be considered immaterial. If the effects of discounting are judged to be immaterial, trade and other creditors are stated at cost. Trade creditors are not interest-bearing.

Provisions
Provisions are recognised when the Group has an obligation at the balance sheet date as a result of a past event, it is probable that an outflow of economic benefits will be required in settlement and the amount can be reliably estimated.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the Group.

4. EMPLOYEES AND DIRECTORS
2024 2023
(Unaudited)
£    £   
Wages and salaries 1,993,446 1,542,241
Social security costs 176,207 132,479
Other pension costs 209,863 86,039
2,379,516 1,760,759

The average number of employees during the year was as follows:
2024 2023
(Unaudited)

Head office 22 20
Dewsbury 24 20
Leeds 19 19
Castleford 10 4
75 63

2024 2023
(Unaudited)
£    £   
Director's remuneration 25,064 25,064
Director's pension contributions to money purchase schemes 164,000 43,200

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

4. EMPLOYEES AND DIRECTORS - continued

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

In addition to the directors earnings mentioned above there was also health insurance paid for the directors totalling £3,416 (2023 - £3,202).

5. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2024 2023
(Unaudited)
£    £   
Other operating leases 160,346 143,905
Depreciation - owned assets 166,184 127,827
Depreciation - assets on hire purchase contracts 11,356 11,356
Profit on disposal of fixed assets (2,826 ) (524 )
Foreign exchange differences (986 ) 3,467

6. AUDITORS' REMUNERATION
2024 2023
(Unaudited)
£    £   
Fees payable to the company's auditors for the audit of the company's financial
statements

13,000

-
Total audit fees 13,000 -

The auditors provide no other services to the Group.

7. INTEREST RECEIVABLE AND SIMILAR INCOME
2024 2023
(Unaudited)
£    £   
Deposit account interest 3,351 820
Other interest 12,208 9,090
15,559 9,910

8. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
(Unaudited)
£    £   
HP interest 500 545

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

9. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
(Unaudited)
£    £   
Current tax:
UK corporation tax 307,341 166,482

Deferred tax (174 ) 66,434
Tax on profit 307,167 232,916

Reconciliation of total tax charge 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
(Unaudited)
£    £   
Profit before tax 1,381,269 1,038,457
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 -
21.515 %)

345,317

223,424

Effects of:
Expenses not deductible for tax purposes 203 225
Capital allowances in excess of depreciation (38,179 ) (57,167 )
Deferred tax movement (174 ) 66,434
Total tax charge 307,167 232,916

10. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.

The parent company's profit for the year was £185,000 (2023: £361,800).

11. DIVIDENDS

Total interim dividends were declared during the year of £185,000 (2023 - £381,800).

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

12. TANGIBLE FIXED ASSETS

Group
Short Tenant Plant and
leasehold improvements machinery
£    £    £   
COST
At 1 September 2023 6,140 478,060 14,090
Additions 3,802 118,652 2,666
Disposals - - -
At 31 August 2024 9,942 596,712 16,756
DEPRECIATION
At 1 September 2023 2,763 133,365 7,436
Charge for year 1,228 47,806 1,434
Eliminated on disposal - - -
At 31 August 2024 3,991 181,171 8,870
NET BOOK VALUE
At 31 August 2024 5,951 415,541 7,886
At 31 August 2023 3,377 344,695 6,654

Fixtures
and Motor Computer
fittings vehicles equipment Totals
£    £    £    £   
COST
At 1 September 2023 39,110 434,171 175,385 1,146,956
Additions 8,176 189,650 22,035 344,981
Disposals - (16,835 ) - (16,835 )
At 31 August 2024 47,286 606,986 197,420 1,475,102
DEPRECIATION
At 1 September 2023 22,530 85,036 127,806 378,936
Charge for year 4,247 96,087 26,738 177,540
Eliminated on disposal - (4,209 ) - (4,209 )
At 31 August 2024 26,777 176,914 154,544 552,267
NET BOOK VALUE
At 31 August 2024 20,509 430,072 42,876 922,835
At 31 August 2023 16,580 349,135 47,579 768,020

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

12. TANGIBLE FIXED ASSETS - continued

Group

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Motor
vehicles
£   
COST
At 1 September 2023
and 31 August 2024 56,780
DEPRECIATION
At 1 September 2023 14,905
Charge for year 11,356
At 31 August 2024 26,261
NET BOOK VALUE
At 31 August 2024 30,519
At 31 August 2023 41,875

13. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 September 2023
and 31 August 2024 100
NET BOOK VALUE
At 31 August 2024 100
At 31 August 2023 100


The following were the principal subsidiary undertakings of the Company:
H S Components Limited Ordinary 100% - Supply of motor parts

14. STOCKS

Group
2024 2023
(Unaudited
£    £   
Finished goods 2,485,253 1,664,023

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

15. DEBTORS

Group Company
2024 2023 2024 2023
(Unaudited)
£    £    £    £   
Amounts falling due within one year:
Trade debtors 1,290,398 995,596 - -
Other debtors 69,680 151,992 5 5
Directors' current accounts 24,251 55,182 - -
Prepayments 147,210 86,000 - -
1,531,539 1,288,770 5 5

Amounts falling due after more than one year:
Other debtors 113,714 3,000 - -

Aggregate amounts 1,645,253 1,291,770 5 5

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
2024 2023
(Unaudited
£    £   
Hire purchase contracts (see note 18) 12,197 11,979
Trade creditors 2,110,435 1,376,403
Tax 307,341 166,482
Social security and other taxes 46,536 38,791
VAT 112,553 213,469
Pension liability 8,800 6,946
Credit cards 26,716 17,496
Directors' current accounts - 16,144
Accrued expenses 234,723 27,748
Deferred government grants 2,754 2,754
2,862,055 1,878,212

17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group
2024 2023
(Unaudited
£    £   
Hire purchase contracts (see note 18) 9,291 21,489
Deferred government grants 7,115 9,870
16,406 31,359

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

18. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
2024 2023
(Unaudited
£    £   
Net obligations repayable:
Within one year 12,197 11,979
Between one and five years 9,291 21,489
21,488 33,468

Group
Non-cancellable operating leases
2024 2023
(Unaudited)
£    £   
Within one year 185,752 151,666
Between one and five years 330,352 349,935
516,104 501,601

19. PROVISIONS FOR LIABILITIES

Group
2024 2023
(Unaudited
£    £   
Deferred tax 218,888 219,062

Group
Deferred
tax
£   
Balance at 1 September 2023 219,062
Accelerated capital allowances (174 )
Balance at 31 August 2024 218,888

20. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
100 Ordinary £1 100 100
2 Ordinary B £1 2 2
1 Ordinary C £1 1 1
2 Ordinary D £1 2 2
105 105

HS Group 2000 Limited (Registered number: 09797043)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 31 August 2024

21. RESERVES

Group
Retained
earnings
£   

At 1 September 2023 2,904,913
Profit for the year 1,074,102
Dividends (185,000 )
At 31 August 2024 3,794,015

Company
Retained
earnings
£   

Profit for the year 185,000
Dividends (185,000 )
At 31 August 2024 -


22. DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 August 2024 and 31 August 2023:

2024 2023
(Unaudited)
£    £   
P R Starling
Balance outstanding at start of year 55,182 -
Amounts advanced 44,883 55,182
Amounts repaid (75,814 ) -
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year 24,251 55,182

The loan is repayable on demand. Interest of 2.25% was charged using the average balance method.

23. RELATED PARTY DISCLOSURES

A loan of £161,397 (2023: £150,487) was made by H S Components Limited to Prestige Development Services Limited, a company controlled by the Directors, Mr P Starling and Mrs D Starling. Interest has been charged on the loan at Bank of England base rate plus 2%

24. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is the Director of the company and their associates by virtue of their joint 100% shareholding.

25. GOVERNMENT GRANTS

A capital investment grant to H S Components Limited is recognised over 10 years in line with the depreciation of the assets to which it relates. £2,754 (2023 - £2,754) has been recognised in the Income Statement.