| REGISTERED NUMBER: 00347316 (England and Wales) |
| GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 |
| FOR |
| W.R.DAVIES(MOTORS)LIMITED |
| REGISTERED NUMBER: 00347316 (England and Wales) |
| GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
| CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 |
| FOR |
| W.R.DAVIES(MOTORS)LIMITED |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Page |
| Company Information | 1 |
| Group Strategic Report | 2 |
| Report of the Directors | 4 |
| Report of the Independent Auditors | 6 |
| Consolidated Income Statement | 10 |
| Consolidated Other Comprehensive Income | 11 |
| Consolidated Balance Sheet | 12 |
| Company Balance Sheet | 13 |
| Consolidated Statement of Changes in Equity | 14 |
| Company Statement of Changes in Equity | 15 |
| Consolidated Cash Flow Statement | 16 |
| Notes to the Consolidated Cash Flow Statement | 17 |
| Notes to the Consolidated Financial Statements | 19 |
| W.R.DAVIES(MOTORS)LIMITED |
| COMPANY INFORMATION |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Kingsland House |
| 39 Abbey Foregate |
| Shrewsbury |
| Shropshire |
| SY2 6BL |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| GROUP STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present their strategic report of the company and the group for the year ended 31 December 2024. |
| REVIEW OF BUSINESS |
| The W R Davies Motor Group operates car and commercial dealerships throughout North Wales, Shropshire and Staffordshire. |
| The Group now operates 3 Ford Dealerships, 3 Toyota Dealerships, 2 Citroen Dealerships, 1 DS Dealership, 1 Peugeot Dealership, 3 Nissan Dealerships, 1 Renault Dealership and 1 Dacia Dealership. |
| 2024 has proved to have been another profitable year and a continuation from 2023, with profits being comparable though reduced in 2024 compared to 2023 due the continued inflationary pressures facing everyone and the reduced margins achievable on used cars. |
| In summary the directors are satisfied with the results in 2024 and are realistic about the performance expected in 2025 with the decreasing interest rates aiding performance but the changes to National Minimum Wage increasing pressure on |
| the company. |
| Key performance indicators: |
| 2024 | 2023 | % change |
| Turnover | £169,265,060 | £148,320,085 | 14.12% |
| Gross profit | £8,472,856 | £7,555,383 | 12.14% |
| Shareholders' funds | £18,578,119 | £17,588,772 | 5.62% |
| Gross margin | 5.01% | 5.09% |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| General economic circumstances |
| The levels of interest rates are expected to continue to affect the business with servicing the facilities for financing of stock and other existing loan facilities. The directors are optimistic 2025 will be a similar result to 2024 as they are optimistic there will be continued strong demand for products and services and inflation will have less impact on costs. |
| Information systems |
| The group operates and is very reliant on its IT and computerised management systems. The interruption of which could have an adverse effect on the group's ability to manage its business. |
| Competition |
| Motor distribution is a very competitive sector, and as such the business is always at risk from aggressive competitors. The group believes that its superior customer service will help mitigate this risk. |
| Franchise agreements |
| The group holds franchises with Ford, Toyota, Citroen, DS, Nissan, Renault, Dacia and Peugeot. All of these agreements are subject to termination under certain circumstances. The loss of any of the franchises held could have a material effect on the business. |
| Regulatory compliance |
| The group is regulated by the FCA for sales of insurance products. In 2013 the FCA also took over responsibility for sale of consumer credit. The group has to therefore comply with the regulatory regime and failure to do this could result in fines or even the cessation of some business. This risk is mitigated by the group through close monitoring of regulatory compliance. |
| SECTION 172(1) STATEMENT |
| The board of directors of W R Davies (Motors) Ltd group collectively consider that they have acted in a way to promote the success of the business in the decisions taken in the year ended 31 December 2024 and the approval of the business plan for 2025. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| GROUP STRATEGIC REPORT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| ENGAGEMENT WITH EMPLOYEES |
| The group's management has an open policy on the communication of information to employees concerning factors affecting their interests as employees and also the development of the group. It consults employees informally on a regular basis to ensure that their views are taken into account in making decisions on matters likely to affect their interests. |
| Disabled persons |
| Applications for employment by disabled persons are always fully considered, bearing in mind aptitudes of the applicant concerned. In the event of a member of staff becoming disabled, every effort would be made to ensure that their employment with the group continues and that appropriate training is arranged. Disabled employees are eligible to participate in all training, career development and promotion opportunities available to staff. |
| ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS |
| The group's board is committed to being a responsible business. Our behaviours and decision making are focused on growing a strong and stable business and we engage with all its customers, staff and suppliers. |
| Suppliers |
| The group is a main dealer with six of the major global car manufacturers and we work to develop and maintain the relationship with them to ensure the changing standards and requirements for the manufacturers' brand are met. |
| Customers |
| The board engages with all its customers through feedback to ensure that our own brand is developed and our reputation for being a family owned and operated business enhances the customer experience. |
| STATEMENT OF CORPORATE GOVERNANCE ARRANGEMENTS |
| Due to the nature and size of the group the directors fulfil their duties by utilising a governance framework and they delegate the day-to-day decision making to key management personnel, whilst maintaining the overall control of the processes and procedures the company operates. |
| ON BEHALF OF THE BOARD: |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| The directors present their report with the financial statements of the company and the group for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the group in the year under review was that of a motor retailer. |
| DIVIDENDS |
| An interim dividend of £164.11379 per share was paid on 29 April 2024. The directors recommend that no final dividend be paid. |
| The total distribution of dividends for the year ended 31 December 2024 will be £ 300,000 . |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| STREAMLINED ENERGY AND CARBON REPORTING |
| The group has a total energy consumption across relevant companies as follows: |
| kWh | Ton CO2e |
| 2024 | 2023 | 2024 | 2023 |
| Gas consumed | 313,609.44 | 307,151.75 | 57.37 | 56.19 |
| Electricity purchased | 386,206.00 | 340,467.40 | 79.97 | 70.50 |
| 699,815.44 | 647,619.15 | 137.34 | 126.69 |
| Turnover per ton CO2e | £561,311 | £460,590 |
| Energy consumption has been derived from invoices issued to the relevant companies by energy suppliers. It is not deemed practical to disclose the consumption of fuel for the purposes of transport due to the varying uses of fuel purchased by the group and the impracticality of analysing each individual purchase between disclosable and non-disclosable categories. |
| The directors are committed to reducing the energy consumption and carbon footprint of the group. The group has made efforts to become more environmentally conscious by promoting the use of energy efficient cars and installing electric car charging points across its sites. In addition, the group have installed solar panels on all owned properties where the existing roofing can support them and LED lighting wherever possible across all group sites. |
| DISCLOSURE IN THE STRATEGIC REPORT |
| The group has chosen, in accordance with s414C(11) of the Companies Act, to set out in the group's strategic report information regarding the review of business and a description of the principal risks and uncertainties facing the group. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| REPORT OF THE DIRECTORS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
| - | select suitable accounting policies and then apply them consistently; |
| - | make judgements and accounting estimates that are reasonable and prudent; |
| - | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
| - | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
| The directors are 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 them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| 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 group'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 group's auditors are aware of that information. |
| AUDITORS |
| The auditors, D.R.E. & Co. (Audit) 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 |
| W.R.DAVIES(MOTORS)LIMITED |
| Opinion |
| We have audited the financial statements of W.R.Davies(Motors)Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 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 December 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
| Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
| Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Group 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 Group 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 Group 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 |
| W.R.DAVIES(MOTORS)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 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the parent company financial statements are not in agreement with the accounting records and returns; or |
| - | certain disclosures of directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on page 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 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 directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| W.R.DAVIES(MOTORS)LIMITED |
| 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: |
| Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
| - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
| - we identified the laws and regulations applicable to the group and parent company through discussions with directors and other management, and from our commercial knowledge and experience of the motor retail sector; |
| - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the group and parent company, including the Companies Act 2006, taxation legislation, Financial Conduct Authority, employment, environmental, and health and safety legislation. We also consider regulations such as General Data Protection Regulations, Anti money laundering and the Consumer Rights Act throughout the audit. |
| - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and |
| - identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
| We assessed the susceptibility of the group and parent company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
| - making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and |
| - reviewing the client's system notes and internal controls. |
| To address the risk of fraud through management bias and override of controls, we: |
| - performed analytical procedures to identify any unusual or unexpected relationships; |
| - tested journal entries to identify unusual transactions; |
| - review of the cashbook to identify any large or unusual transactions that appear to have no commercial basis. |
| - assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; and |
| - investigated the rationale behind significant or unusual transactions. |
| In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
| - agreeing financial statement disclosures to underlying supporting documentation; |
| - enquiring of management as to actual and potential litigation and claims; and |
| - reviewing correspondence with HMRC. |
| REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
| W.R.DAVIES(MOTORS)LIMITED |
| There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
| 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. |
| 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 |
| Kingsland House |
| 39 Abbey Foregate |
| Shrewsbury |
| Shropshire |
| SY2 6BL |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONSOLIDATED INCOME STATEMENT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 31.12.24 | 31.12.23 |
| Notes | £ | £ |
| TURNOVER | 4 | 169,265,060 | 148,320,085 |
| Cost of sales | (160,792,204 | ) | (140,764,702 | ) |
| GROSS PROFIT | 8,472,856 | 7,555,383 |
| Administrative expenses | (6,710,003 | ) | (5,830,108 | ) |
| 1,762,853 | 1,725,275 |
| Other operating income | 786,993 | 790,644 |
| OPERATING PROFIT | 6 | 2,549,846 | 2,515,919 |
| Income from interest in associated undertakings |
22,490 |
22,541 |
| Interest receivable and similar income | 5,305 | - |
| 2,577,641 | 2,538,460 |
| Interest payable and similar expenses | 7 | (777,655 | ) | (704,355 | ) |
| PROFIT BEFORE TAXATION | 1,799,986 | 1,834,105 |
| Tax on profit | 8 | (510,639 | ) | (611,280 | ) |
| PROFIT FOR THE FINANCIAL YEAR |
| Profit attributable to: |
| Owners of the parent | 1,289,347 | 1,222,825 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONSOLIDATED OTHER COMPREHENSIVE INCOME |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 31.12.24 | 31.12.23 |
| Notes | £ | £ |
| PROFIT FOR THE YEAR | 1,289,347 | 1,222,825 |
| OTHER COMPREHENSIVE INCOME |
| Revaluation of property | - | 1,261,757 |
| Income tax relating to other comprehensive income |
- |
- |
| OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
1,261,757 |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
1,289,347 |
2,484,582 |
| Total comprehensive income attributable to: |
| Owners of the parent | 1,289,347 | 2,484,582 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONSOLIDATED BALANCE SHEET |
| 31 DECEMBER 2024 |
| 31.12.24 | 31.12.23 |
| Notes | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 11 | 8,993 | 10,732 |
| Tangible assets | 12 | 16,284,729 | 16,337,252 |
| Investments | 13 |
| Interest in associate | 270,254 | 252,138 |
| Other investments | 10,000 | 80,000 |
| Investment property | 14 | 1,699,975 | 1,699,975 |
| 18,273,951 | 18,380,097 |
| CURRENT ASSETS |
| Stocks | 15 | 34,259,376 | 28,311,354 |
| Debtors | 16 | 5,801,220 | 5,615,767 |
| Cash at bank | 1,625,565 | 1,010,584 |
| 41,686,161 | 34,937,705 |
| CREDITORS |
| Amounts falling due within one year | 17 | 40,195,192 | 31,728,221 |
| NET CURRENT ASSETS | 1,490,969 | 3,209,484 |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
19,764,920 |
21,589,581 |
| CREDITORS |
| Amounts falling due after more than one year |
18 |
(215,554 |
) |
(3,059,703 |
) |
| PROVISIONS FOR LIABILITIES | 22 | (971,247 | ) | (941,106 | ) |
| NET ASSETS | 18,578,119 | 17,588,772 |
| CAPITAL AND RESERVES |
| Called up share capital | 23 | 1,828 | 1,828 |
| Revaluation reserve | 24 | 3,289,951 | 3,340,372 |
| Other reserves | 24 | 2,207 | 2,207 |
| Retained earnings | 24 | 15,284,133 | 14,244,365 |
| SHAREHOLDERS' FUNDS | 18,578,119 | 17,588,772 |
| The financial statements were approved by the Board of Directors and authorised for issue on 20 May 2025 and were signed on its behalf by: |
| J R Davies - Director |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| COMPANY BALANCE SHEET |
| 31 DECEMBER 2024 |
| 31.12.24 | 31.12.23 |
| Notes | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 11 |
| Tangible assets | 12 |
| Investments | 13 |
| Investment property | 14 |
| CURRENT ASSETS |
| Stocks | 15 |
| Debtors | 16 |
| CREDITORS |
| Amounts falling due within one year | 17 |
| NET CURRENT (LIABILITIES)/ASSETS | ( |
) |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year |
18 |
( |
) |
| PROVISIONS FOR LIABILITIES | 22 | ( |
) | ( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 23 |
| Revaluation reserve | 24 |
| Other reserves | 24 |
| Retained earnings | 24 |
| SHAREHOLDERS' FUNDS |
| Company's profit for the financial year | 878,295 | 863,339 |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Called up |
| share | Retained | Revaluation | Other | Total |
| capital | earnings | reserve | reserves | equity |
| £ | £ | £ | £ | £ |
| Balance at 1 January 2023 | 1,828 | 13,110,057 | 2,290,098 | 2,207 | 15,404,190 |
| Changes in equity |
| Dividends | - | (300,000 | ) | - | - | (300,000 | ) |
| Total comprehensive income | - | 1,434,308 | 1,050,274 | - | 2,484,582 |
| Balance at 31 December 2023 | 1,828 | 14,244,365 | 3,340,372 | 2,207 | 17,588,772 |
| Changes in equity |
| Dividends | - | (300,000 | ) | - | - | (300,000 | ) |
| Total comprehensive income | - | 1,339,768 | (50,421 | ) | - | 1,289,347 |
| Balance at 31 December 2024 | 1,828 | 15,284,133 | 3,289,951 | 2,207 | 18,578,119 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| COMPANY STATEMENT OF CHANGES IN EQUITY |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| Called up |
| share | Retained | Revaluation | Other | Total |
| capital | earnings | reserve | reserves | equity |
| £ | £ | £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Dividends | - | ( |
) | - | - | ( |
) |
| Total comprehensive income | - |
| Balance at 31 December 2023 |
| Changes in equity |
| Dividends | - | ( |
) | - | - | ( |
) |
| Total comprehensive income | - | ( |
) |
| Balance at 31 December 2024 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| CONSOLIDATED CASH FLOW STATEMENT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 31.12.24 | 31.12.23 |
| Notes | £ | £ |
| Cash flows from operating activities |
| Cash generated from operations | 1 | 1,717,141 | 3,742,761 |
| Interest paid | (777,655 | ) | (702,677 | ) |
| Interest element of hire purchase payments paid |
- |
(1,678 |
) |
| Tax paid | (178,070 | ) | (585,967 | ) |
| Net cash from operating activities | 761,416 | 2,452,439 |
| Cash flows from investing activities |
| Purchase of tangible fixed assets | (410,843 | ) | (1,840,968 | ) |
| Sale of tangible fixed assets | - | 44,553 |
| Interest received | 27,795 | 22,541 |
| Net cash from investing activities | (383,048 | ) | (1,773,874 | ) |
| Cash flows from financing activities |
| Loan repayments in year | (439,841 | ) | (434,913 | ) |
| New HP finance | 121,466 | - |
| Capital repayments in year | (38,219 | ) | (18,390 | ) |
| Amount introduced by directors | 144,500 | 282 |
| Amount withdrawn by directors | (141,314 | ) | (679 | ) |
| Equity dividends paid | (300,000 | ) | (300,000 | ) |
| Net cash from financing activities | (653,408 | ) | (753,700 | ) |
| Decrease in cash and cash equivalents | (275,040 | ) | (75,135 | ) |
| Cash and cash equivalents at beginning of year |
2 |
(53,655 |
) |
21,480 |
| Cash and cash equivalents at end of year | 2 | (328,695 | ) | (53,655 | ) |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Profit before taxation | 1,799,986 | 1,834,105 |
| Depreciation charges | 658,671 | 569,771 |
| Profit on disposal of fixed assets | - | (3,931 | ) |
| Share of (profit) / loss of associate | (22,490 | ) | (18,485 | ) |
| Impairment of investment | 70,000 | - |
| Finance costs | 777,655 | 704,355 |
| Finance income | (27,795 | ) | (22,541 | ) |
| 3,256,027 | 3,063,274 |
| Increase in stocks | (5,948,022 | ) | (2,718,667 | ) |
| Increase in trade and other debtors | (185,453 | ) | (1,667,577 | ) |
| Increase in trade and other creditors | 4,594,589 | 5,065,731 |
| Cash generated from operations | 1,717,141 | 3,742,761 |
| 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 December 2024 |
| 31.12.24 | 1.1.24 |
| £ | £ |
| Cash and cash equivalents | 1,625,565 | 1,010,584 |
| Bank overdrafts | (1,954,260 | ) | (1,064,239 | ) |
| (328,695 | ) | (53,655 | ) |
| Year ended 31 December 2023 |
| 31.12.23 | 1.1.23 |
| £ | £ |
| Cash and cash equivalents | 1,010,584 | 1,096,253 |
| Bank overdrafts | (1,064,239 | ) | (1,074,773 | ) |
| (53,655 | ) | 21,480 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 3. | ANALYSIS OF CHANGES IN NET DEBT |
| Other |
| non-cash |
| At 1.1.24 | Cash flow | changes | At 31.12.24 |
| £ | £ | £ | £ |
| Net cash |
| Cash at bank | 1,010,584 | 614,981 | 1,625,565 |
| Bank overdrafts | (1,064,239 | ) | (890,021 | ) | (1,954,260 | ) |
| (53,655 | ) | (275,040 | ) | (328,695 | ) |
| Debt |
| Finance leases | - | (83,247 | ) | - | (276,813 | ) |
| Debts falling due |
| within 1 year | (431,359 | ) | (2,618,062 | ) | - | (3,049,421 | ) |
| Debts falling due |
| after 1 year | (3,059,703 | ) | 3,057,903 | - | (1,800 | ) |
| (3,491,062 | ) | 356,594 | - | (3,328,034 | ) |
| Total | (3,544,717 | ) | 81,554 | - | (3,656,729 | ) |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 1. | STATUTORY INFORMATION |
| W R Davies (Motors) Limited is a private company, limited by shares, incorporated and registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page. |
| The principal place of business is Haughmond View, Sitka Drive, Shrewsbury Business Park, SY2 6LG. |
| 2. | STATEMENT OF COMPLIANCE |
| 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. |
| 3. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| The financial statements have been prepared under the historic cost convention as modified by the revaluation of certain assets. |
| These financial statements are for the group as well as for the individual entity. |
| The financial statements are presented in Sterling (£), rounded to the nearest £1. |
| At the balance sheet date the company had net current liabilities of £2,006,464 (2023: net current assets of £358,810), which is a result of the company bearing the majority of the financing arrangements for the overall group. Included within creditors due within one year is a bank loan of £3,022,420. The directors have no reason to believe that this loan will not be renegotiated when it falls due in 2025. The directors have considered group post year end trading and believe that the going concern basis of preparation is appropriate. |
| Basis of consolidation |
| The consolidated financial statements present the results of the parent company and those of its subsidiaries. All consolidated subsidiaries have coterminous financial year ends. Inter group transactions have been eliminated from the financial statements and subsidiary results have been restated, where applicable to reflect comparable accounting policies. The financial statements therefore include: |
| W R Davies (Motors) Limited | (Parent company) |
| W R Davies Limited | (100% Subsidiary undertaking) |
| W R Davies (Stafford) Limited | (100% Subsidiary undertaking) |
| Kirby Jones Limited | (100% Subsidiary undertaking) |
| W R Davies (2004) Limited | (100% Subsidiary undertaking) |
| Regent Centre (Newtown) Limited | (50% Associate undertaking) |
| The investment in Regent Centre (Newtown) Limited has been accounted for using the equity method of accounting. |
| All consolidated entities share the registered office of the parent company. |
| Turnover |
| Turnover represents net invoiced sales of goods, excluding value added tax. |
| Vehicle sales are recognised at the earlier of the delivery of the vehicle to the customer or the point at which the customer becomes legally committed to purchasing the vehicle. Bonus income for the sale of vehicles is recognised in the period to which it relates for general fleet bonuses. Bonus income relating to specific vehicles is recognised when that vehicle is sold. The sale of parts and servicing is recognised when goods and services are provided. |
| Goodwill |
| Goodwill arising on the acquisition of subsidiary undertakings was amortised evenly over the estimated useful life of 5 years. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 3. | ACCOUNTING POLICIES - continued |
| Costs of obtaining leases |
| Costs of obtaining leases are amortised equally over the period of the lease to which they relate. |
| Tangible fixed assets |
| Freehold land and buildings that relate to properties from which the group trade are stated using the revaluation model. |
| Other tangible assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use, dismantling and restoration costs and borrowing costs capitalised. |
| 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: |
| Freehold land and buildings | 1% and 2% straight line on buildings, land is not provided for |
| Short leasehold property | 2% straight line |
| Long leasehold property | 1% straight line |
| Improvements to leasehold property | 2%, 7.5% and 15% straight line |
| Tools and equipment | 15%, 25% and 50% straight line |
| Fixtures and fittings | 15% and 33% straight line |
| Motor vehicles | 15%, 20%, 25% and 30% straight line |
| Office equipment | 15%, 25% and 50% straight line |
| Investments in associates |
| Investments in associate undertakings are recognised at cost. |
| Investment property |
| Investment property is shown at fair value. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
| Stocks |
| Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
| Consignment stocks are recognised on the balance sheet by the group as it considers that it enjoys the benefits and rewards along with the risks of ownership. The corresponding liability is recorded in liabilities due within one year. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 3. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments. |
| (i) Financial assets |
| Basic financial assets, including trade and other receivables and cash and bank balances, are initially recognised at transaction price, 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. |
| Such assets are subsequently carried at amortised cost using the effective interest method. |
| At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
| If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
| 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 the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
| (ii) Financial liabilities |
| Basic financial liabilities, including trade and other payables and bank and other loans, 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 receipts discounted at a market rate of interest. |
| Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates. |
| Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts 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. |
| Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
| 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. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 3. | ACCOUNTING POLICIES - continued |
| 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. |
| 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. |
| Pension costs and other post-retirement benefits |
| The group operates a defined contribution pension scheme. Contributions payable for the year are charged in the profit and loss account. There is also a separate defined contribution scheme for the benefit of the directors. |
| 4. | TURNOVER |
| The turnover and profit before taxation are attributable to the one principal activity of the group. |
| An analysis of turnover by class of business is given below: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Sale of goods | 161,747,258 | 142,039,999 |
| Rendering of services | 7,517,802 | 6,280,086 |
| 169,265,060 | 148,320,085 |
| 5. | EMPLOYEES AND DIRECTORS |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Wages and salaries | 8,069,654 | 6,853,679 |
| Social security costs | 1,081,100 | 883,024 |
| Other pension costs | 390,204 | 290,124 |
| 9,540,958 | 8,026,827 |
| The average number of employees during the year was as follows: |
| 31.12.24 | 31.12.23 |
| Directors and management | 7 | 7 |
| Other direct and indirect staff | 286 | 253 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 5. | EMPLOYEES AND DIRECTORS - continued |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Directors' remuneration | 462,316 | 533,638 |
| Directors' pension contributions to money purchase schemes | 124,994 | 102,107 |
| The number of directors to whom retirement benefits were accruing was as follows: |
| Money purchase schemes | 5 | 5 |
| Information regarding the highest paid director is as follows: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Emoluments etc | 100,952 | 131,487 |
| Pension contributions to money purchase schemes | 24,562 | 9,733 |
| 6. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Depreciation - owned assets | 615,182 | 555,941 |
| Depreciation - assets on hire purchase contracts | 41,750 | 12,090 |
| Profit on disposal of fixed assets | - | (3,931 | ) |
| Costs of obtaining leases amortisation | 1,739 | 1,739 |
| Auditors' remuneration | 66,414 | 63,861 |
| Auditors' remuneration for non audit work | 31,669 | 29,472 |
| Operating lease payments - land and buildings | 112,500 | 112,500 |
| Income from operating leases | (130,813 | ) | (133,357 | ) |
| Operating leases - motor vehicles | 99,768 | - |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Bank interest | 250,352 | 286,573 |
| Stocking loan interest | 524,781 | 414,324 |
| Other interest | 955 | - |
| Corporation tax interest | 1,567 | 1,780 |
| Hire purchase | - | 1,678 |
| 777,655 | 704,355 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 8. | TAXATION |
| Analysis of the tax charge |
| The tax charge on the profit for the year was as follows: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Current tax: |
| UK corporation tax | 459,515 | 318,981 |
| Adjustment in respect of prior years | 16,609 | 17,135 |
| Share of associates tax charge | 4,374 | 4,056 |
| Total current tax | 480,498 | 340,172 |
| Deferred tax | 30,141 | 271,108 |
| Tax on profit | 510,639 | 611,280 |
| Reconciliation of total tax charge included in profit and loss |
| The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Profit before tax | 1,799,986 | 1,834,105 |
| Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 25 %) |
449,997 |
458,526 |
| Effects of: |
| Expenses not deductible for tax purposes | (11,672 | ) | (26,541 | ) |
| Capital allowances in excess of depreciation | - | (93,167 | ) |
| Depreciation in excess of capital allowances | 21,190 | - |
| Adjustments to tax charge in respect of previous periods | 16,609 | 17,135 |
| Change in rate | - | (19,837 | ) |
| Share of associates tax | 4,374 | 4,056 |
| Deferred tax | 30,141 | 271,108 |
| Total tax charge | 510,639 | 611,280 |
| Tax effects relating to effects of other comprehensive income |
| There were no tax effects for the year ended 31 December 2024. |
| 31.12.23 |
| Gross | Tax | Net |
| £ | £ | £ |
| Revaluation of property | 1,261,757 | - | 1,261,757 |
| 9. | 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. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 10. | DIVIDENDS |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Ordinary shares of £1 each |
| Interim | 300,000 | 300,000 |
| 11. | INTANGIBLE FIXED ASSETS |
| Group |
| Costs of |
| obtaining |
| Goodwill | leases | Totals |
| £ | £ | £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 | (365,598 | ) | 23,177 | (342,421 | ) |
| AMORTISATION |
| At 1 January 2024 | (365,598 | ) | 12,445 | (353,153 | ) |
| Amortisation for year | - | 1,739 | 1,739 |
| At 31 December 2024 | (365,598 | ) | 14,184 | (351,414 | ) |
| NET BOOK VALUE |
| At 31 December 2024 | - | 8,993 | 8,993 |
| At 31 December 2023 | - | 10,732 | 10,732 |
| Company |
| Costs of |
| obtaining |
| leases |
| £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 |
| AMORTISATION |
| At 1 January 2024 |
| Amortisation for year |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 12. | TANGIBLE FIXED ASSETS |
| Group |
| Improvements |
| Freehold | Short | Long | to |
| land and | leasehold | leasehold | leasehold |
| buildings | property | property | property |
| £ | £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 | 13,342,545 | 117,032 | 285,000 | 1,479,480 |
| Additions | 4,762 | - | - | 920 |
| At 31 December 2024 | 13,347,307 | 117,032 | 285,000 | 1,480,400 |
| DEPRECIATION |
| At 1 January 2024 | 8,721 | 59,092 | - | 138,372 |
| Charge for year | 141,393 | 2,341 | 2,850 | 42,405 |
| At 31 December 2024 | 150,114 | 61,433 | 2,850 | 180,777 |
| NET BOOK VALUE |
| At 31 December 2024 | 13,197,193 | 55,599 | 282,150 | 1,299,623 |
| At 31 December 2023 | 13,333,824 | 57,940 | 285,000 | 1,341,108 |
| Fixtures |
| Tools and | and | Motor | Office |
| equipment | fittings | vehicles | equipment | Totals |
| £ | £ | £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 | 767,843 | 1,655,184 | 203,604 | 115,932 | 17,966,620 |
| Additions | 306,605 | 174,094 | 98,283 | 19,745 | 604,409 |
| At 31 December 2024 | 1,074,448 | 1,829,278 | 301,887 | 135,677 | 18,571,029 |
| DEPRECIATION |
| At 1 January 2024 | 337,879 | 910,425 | 106,026 | 68,853 | 1,629,368 |
| Charge for year | 164,206 | 218,483 | 44,539 | 40,715 | 656,932 |
| At 31 December 2024 | 502,085 | 1,128,908 | 150,565 | 109,568 | 2,286,300 |
| NET BOOK VALUE |
| At 31 December 2024 | 572,363 | 700,370 | 151,322 | 26,109 | 16,284,729 |
| At 31 December 2023 | 429,964 | 744,759 | 97,578 | 47,079 | 16,337,252 |
| Tangible fixed assets with a value of £11,389,088 (2023: £11,520,922) are pledged as security for the group's bank loans. |
| The value of land and buildings is based on valuations performed by James R Evans MRICS and Tom Poynton MRICS,which were reviewed in 2023 by the directors, who took informal guidance from relevant professionals. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 12. | TANGIBLE FIXED ASSETS - continued |
| Group |
| Cost or valuation at 31 December 2024 is represented by: |
| Improvements |
| Freehold | Short | Long | to |
| land and | leasehold | leasehold | leasehold |
| buildings | property | property | property |
| £ | £ | £ | £ |
| Valuation in 2017 | 582,820 | - | - | - |
| Valuation in 2018 | 701,052 | - | - | - |
| Cost | 12,063,435 | 117,032 | 285,000 | 1,480,400 |
| 13,347,307 | 117,032 | 285,000 | 1,480,400 |
| Fixtures |
| Tools and | and | Motor | Office |
| equipment | fittings | vehicles | equipment | Totals |
| £ | £ | £ | £ | £ |
| Valuation in 2017 | - | - | - | - | 582,820 |
| Valuation in 2018 | - | - | - | - | 701,052 |
| Cost | 1,074,448 | 1,829,278 | 301,887 | 135,677 | 17,287,157 |
| 1,074,448 | 1,829,278 | 301,887 | 135,677 | 18,571,029 |
| If freehold land and buildings had not been revalued they would have been included at the following historical cost: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Cost | 10,985,037 | 10,985,037 |
| Aggregate depreciation | 1,755,966 | 1,682,280 |
| Value of land in freehold land and buildings | 3,200,325 | 3,200,325 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 12. | TANGIBLE FIXED ASSETS - continued |
| Group |
| Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
| Fixtures |
| Tools and | and |
| equipment | fittings | Totals |
| £ | £ | £ |
| COST OR VALUATION |
| Additions | 149,816 | 43,750 | 193,566 |
| Reclassification/transfer | 145,533 | - | 145,533 |
| At 31 December 2024 | 295,349 | 43,750 | 339,099 |
| DEPRECIATION |
| Charge for year | 36,828 | 4,922 | 41,750 |
| Reclassification/transfer | 7,276 | - | 7,276 |
| At 31 December 2024 | 44,104 | 4,922 | 49,026 |
| NET BOOK VALUE |
| At 31 December 2024 | 251,245 | 38,828 | 290,073 |
| Company |
| Freehold | Long |
| land and | leasehold | Tools and |
| buildings | property | equipment | Totals |
| £ | £ | £ | £ |
| COST OR VALUATION |
| 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 |
| Tangible fixed assets with a carrying value of £5,887,950 (2023: £5,925,290) are pledged as security for the group's bank loans. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 12. | TANGIBLE FIXED ASSETS - continued |
| Company |
| Cost or valuation at 31 December 2024 is represented by: |
| Freehold | Long |
| land and | leasehold | Tools and |
| buildings | property | equipment | Totals |
| £ | £ | £ | £ |
| Valuation in 2017 | 582,820 | - | - | 582,820 |
| Cost | 6,685,635 | 285,000 | 166,928 | 7,137,563 |
| 7,268,455 | 285,000 | 166,928 | 7,720,383 |
| If freehold land and buildings had not been revalued they would have been included at the following historical cost: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Cost | 6,685,635 | 6,685,635 |
| Aggregate depreciation | 439,416 | 395,286 |
| Value of land in freehold land and buildings | 1,987,342 | 1,987,342 |
| The value of land and buildings is based on historic valuations performed by James R Evans MRIC, which were reviewed in 2023 by the directors, who took informal guidance from relevant professionals. |
| Fixed assets, included in the above, which are held under hire purchase contracts or finance leases are as follows: |
| Tools and |
| equipment |
| £ |
| COST OR VALUATION |
| Additions |
| At 31 December 2024 |
| DEPRECIATION |
| Charge for year |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| The related hire purchase liability is included in the accounts of the subsidiary, Kirby Jones Limited. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 13. | FIXED ASSET INVESTMENTS |
| Group |
| Interest |
| in | Unlisted |
| associate | investments | Totals |
| £ | £ | £ |
| COST |
| At 1 January 2024 | 252,138 | 80,000 | 332,138 |
| Share of profit/(loss) | 18,116 | - | 18,116 |
| Impairments | - | (70,000 | ) | (70,000 | ) |
| At 31 December 2024 | 270,254 | 10,000 | 280,254 |
| NET BOOK VALUE |
| At 31 December 2024 | 270,254 | 10,000 | 280,254 |
| At 31 December 2023 | 252,138 | 80,000 | 332,138 |
| Company |
| Unlisted |
| investments |
| £ |
| COST |
| At 1 January 2024 |
| Impairments | ( |
) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
| Subsidiaries |
| Registered office: Conwy Road, Llandudno Junction, Gwynedd LL31 9BA |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 13. | FIXED ASSET INVESTMENTS - continued |
| Registered office: Conwy Road, Llandudno Junction, Gwynedd LL31 9BA |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| Registered office: Conwy Road, Llandudno Junction, Gwynedd LL31 9BA |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Aggregate capital and reserves |
| Loss for the year | ( |
) | ( |
) |
| Registered office: Conwy Road, Llandudno Junction, Gwynedd LL31 9BA |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| Associated company |
| Registered office: Conwy Road, Llandudno Junction, Gwynedd LL31 9BA |
| Nature of business: |
| % |
| Class of shares: | holding |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| The group's share of turnover of Regent Centre (Newtown) Limited is £26,716 (2023: £25,470). |
| The group's share of the company's gross assets at 31 December 2024 is £330,806 (2023: £308,114) and its share of liabilities is £56,124 (2023: £51,920). |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 14. | INVESTMENT PROPERTY |
| Group |
| Total |
| £ |
| FAIR VALUE |
| At 1 January 2024 |
| and 31 December 2024 | 1,699,975 |
| NET BOOK VALUE |
| At 31 December 2024 | 1,699,975 |
| At 31 December 2023 | 1,699,975 |
| Investment property with a value of £870,000 (2023: £870,000) is pledged as security for the group's bank and other loans. |
| If investment property had not been revalued it would have been included at the following historical cost; |
| 2024 | 2023 |
| £ | £ |
| Cost | 857,351 | 857,351 |
| Aggregate depreciation | 391,126 | 373,936 |
| Company |
| Total |
| £ |
| FAIR VALUE |
| At 1 January 2024 |
| and 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| If investment property had not been revalued they would have been included at the following historical cost: |
| 2024 | 2023 |
| £ | £ |
| Cost | 86,093 | 86,093 |
| Aggregate depreciation | 15,857 | 14,894 |
| The fair value of investment property is based on a valuation performed by James R Evans MRICS in March 2016, which were reviewed in 2023 by the directors, who took informal guidance from relevant professionals. |
| 15. | STOCKS |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Vehicles, parts and sundry stocks | 34,259,376 | 28,311,354 |
| Included within group stocks are consignment vehicles of £17,905,611 (2023: £9,860,900). |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 16. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Trade debtors | 2,726,308 | 2,739,698 |
| Amounts owed by group companies | - | - |
| Other debtors | 1,361,431 | 1,299,817 |
| Amounts due from related companies | 1,062,828 | 1,062,798 |
| VAT | - | 95,427 |
| Prepayments | 650,653 | 418,027 |
| 5,801,220 | 5,615,767 |
| 17. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Bank loans and overdrafts (see note 19) | 4,976,681 | 1,468,598 |
| Other loans (see note 19) | 27,000 | 27,000 |
| Hire purchase contracts (see note 20) | 63,059 | - |
| Trade creditors | 32,081,878 | 27,867,774 |
| Amounts owed to group companies | - | - |
| Corporation tax | 353,195 | 55,141 |
| Social security and other taxes | 316,145 | 251,354 |
| VAT | 437,348 | - |
| Other creditors | 1,173,968 | 1,284,000 |
| Directors' current accounts | 5,963 | 2,777 |
| Accrued expenses | 759,955 | 771,577 |
| 40,195,192 | 31,728,221 |
| 18. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Bank loans (see note 19) | - | 3,030,903 |
| Other loans (see note 19) | 1,800 | 28,800 |
| Hire purchase contracts (see note 20) | 213,754 | - |
| 215,554 | 3,059,703 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 19. | LOANS |
| An analysis of the maturity of loans is given below: |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Amounts falling due within one year or on | demand: |
| Bank overdrafts | 1,954,260 | 1,064,239 |
| Bank loans | 3,022,421 | 404,359 |
| Other loans | 27,000 | 27,000 |
| 5,003,681 | 1,495,598 |
| Amounts falling due between one and two | years: |
| Bank loans - 1-2 years | - | 3,030,903 |
| Other loans - 1-2 years | 1,800 | 28,800 | - |
| 1,800 | 3,059,703 |
| A loan of £4,000,000 was drawn down from Barclays Bank Plc in June 2022 and is repayable by quarterly instalments commencing September 2022. Interest is charged at 2.75% above the Bank of England base rate. |
| As at the year end the total balance of loans outstanding to Barclays Bank Plc was £3,022,420 (2023: £3,435,262). |
| 20. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Group |
| Hire purchase contracts |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Net obligations repayable: |
| Within one year | 63,059 | - |
| Between one and five years | 213,754 | - |
| 276,813 | - |
| Group |
| Non-cancellable operating | leases |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Within one year | 379,143 | 248,750 |
| Between one and five years | 318,290 | 545,625 |
| In more than five years | - | 3,333 |
| 697,433 | 797,708 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 20. | LEASING AGREEMENTS - continued |
| Company |
| Non-cancellable operating | leases |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Within one year |
| Between one and five years |
| 21. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Bank overdraft | 1,954,260 | 1,064,239 |
| Bank loans | 3,022,421 | 3,435,262 |
| Hire purchase contracts | 276,813 | - | - | - |
| Trade and other creditors | 27,841,305 | 24,722,555 | - | - |
| 33,094,799 | 29,222,056 |
| Group bank borrowings are secured by an omnibus guarantee and set-off agreement with Barclays Bank Plc dated 9 June 2022. There is also a debenture in place dated 9 June 2022. Bank borrowings are also subject to a first legal charge in favour of Barclays Bank Plc in relation to the land and premises at Industrial Estate Road, Llangefni, the land and premises at Harlescott Lane, the land and premises at Valley Drive Stafford, and the land and premises at Milford Road, Stafford dated 9 June 2022. |
| An unlimited multilateral guarantee exists in respect of bank borrowings - further details are given in the contingent liabilities note. |
| Hire purchase liabilities are secured upon the assets to which they relate. |
| Trade creditors of £17,905,611 (2023: £9,860,900) relating to consigned vehicle stocks are secured on the individual vehicle stocks to which they relate. |
| Included within trade and other creditors are the following amounts in respect of vehicle stocking loans: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Lombard North Central Plc | 3,881,775 | 3,659,539 |
| Toyota GB Limited | 2,429,990 | 3,232,809 |
| Nissan Finance GB Financial Services | 2,034,619 | 2,194,558 |
| PSA Wholesale Limited / Citroen Wholesale Limited | 3,662,645 | 2,212,882 |
| Outstanding amounts are secured over the vehicle stock to which they relate. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 22. | PROVISIONS FOR LIABILITIES |
| Group | Company |
| 31.12.24 | 31.12.23 | 31.12.24 | 31.12.23 |
| £ | £ | £ | £ |
| Deferred tax |
| Accelerated capital allowances | 585,817 | 544,737 | 64,141 | 52,405 |
| Deferred tax on revaluation | 330,331 | 341,270 | 330,331 | 341,270 |
| Deferred tax on rollover relief | 55,099 | 55,099 | - | - |
| 971,247 | 941,106 | 394,472 | 393,675 |
| Group |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 | 941,106 |
| Provided during year | 30,141 |
| Balance at 31 December 2024 | 971,247 |
| Company |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 |
| Provided during year |
| Balance at 31 December 2024 |
| 23. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 31.12.24 | 31.12.23 |
| value: | £ | £ |
| Ordinary | £1 | 1,828 | 1,828 |
| Called-up share capital represents the nominal value of shares that have been issued. |
| Each ordinary share is entitled to one vote in any circumstances. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 24. | RESERVES |
| Group |
| Retained | Revaluation | Other |
| earnings | reserve | reserves | Totals |
| £ | £ | £ | £ |
| At 1 January 2024 | 14,244,365 | 3,340,372 | 2,207 | 17,586,944 |
| Profit for the year | 1,289,347 | - | - | 1,289,347 |
| Dividends | (300,000 | ) | - | - | (300,000 | ) |
| Release of revaluation reserve | 50,421 | (50,421 | ) | - | - |
| At 31 December 2024 | 15,284,133 | 3,289,951 | 2,207 | 18,576,291 |
| Company |
| Retained | Revaluation | Other |
| earnings | reserve | reserves | Totals |
| £ | £ | £ | £ |
| At 1 January 2024 | 8,176,424 |
| Profit for the year | - | - |
| Dividends | ( |
) | - | - | ( |
) |
| Release of revaluation reserve | 6,175 | (6,175 | ) | - | - |
| At 31 December 2024 | 8,754,719 |
| Other reserves represent the nominal value of shares cancelled in prior periods. |
| Revaluation reserve represents the amount by which fixed assets exceed carrying value. |
| Group retained earnings includes all current and prior period retained profits and losses as well as non distributable reserves totalling £752,947 (2023: £751,983). |
| Company retained earnings includes all current and prior period retained profits and losses as well as non distributable reserves totalling £584,205 (2023: £582,241). |
| 25. | CONTINGENT LIABILITIES |
| The company has an unlimited multilateral guarantee in respect of bank borrowings with the following Group Companies: W R Davies Limited, W R Davies (Stafford) Limited, Kirby Jones Limited and W R Davies (2004) Limited. At the balance sheet date the potential contingent liability amounted to £nil (2023: £nil). |
| During a prior year the Group Companies entered into a Vehicle Stocking Loan Facility with Lombard North Central Plc. The cross guarantors within this agreement are W R Davies (Motors) Limited, W R Davies Limited, W R Davies (Stafford) Limited, Kirby Jones Limited and W R Davies (2004) Limited. As at the year end the contingent liability for W R Davies (Motors) Limited amounted to £3,824,145 (2023: £3,568,149). |
| The total potential contingent liability for W R Davies (Motors) Limited amounted to £3,824,145 (2023: £3,568,149). |
| 26. | CAPITAL COMMITMENTS |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Contracted but not provided for in the |
| financial statements | - | 34,665 |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 27. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| The following loans with directors are included within the financial statements: |
| Amounts owed by the company to directors - £5,963 (2023: £2,777). |
| During the year a director received a loan of £140,000 from the company, which was repaid in full before year end. |
| No interest has been charged on these loans (2023: £nil) and there are no fixed repayment terms. |
| During the year, total dividends of £300,000 (2023: £300,000) were paid to the directors. |
| 28. | RELATED PARTY DISCLOSURES |
| The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
| Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
| Entities over which the group has control, joint control or significant influence |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Amount due from related party | 41,054 | 41,054 |
| Other related parties |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Rent payments made | 115,000 | 112,500 |
| Amount due from related party | 1,021,744 | 1,021,744 |
| Amount due to related party | - | 21,750 |
| Amounts due from related parties represents loans that are repayable on demand. Interest is being charged at between 0% and 3.75% per annum. |
| During the year, a total of key management personnel compensation of £ 636,330 (2023 - £ 684,326 ) was paid. |
| W.R.DAVIES(MOTORS)LIMITED (REGISTERED NUMBER: 00347316) |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
| FOR THE YEAR ENDED 31 DECEMBER 2024 |
| 29. | OPERATING LEASE INCOME |
| Group |
| Minimum lease income receipts under non-cancellable operating leases fall as follows: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Within one year | 85,500 | 108,000 |
| Between one and five years | 226,833 | 240,833 |
| After five years | 304,750 | 373,750 |
| 659,583 | 722,583 |
| Company |
| Minimum lease income receipts under non-cancellable operating leases fall as follows: |
| 31.12.24 | 31.12.23 |
| £ | £ |
| Within one year | 83,000 | 83,000 |
| Between one and five years | 226,833 | 240,833 |
| After five years | 304,750 | 373,750 |
| 614,583 | 697,583 |
| 30. | CONTROLLING PARTY |
| The controlling party is J R Davies Esq, a director of the company, by virtue of holding a controlling share of the issued ordinary share capital of the company. |