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REGISTERED NUMBER: 01260468 (England and Wales)


























GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2024

FOR

HILLIER NURSERIES LIMITED

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024










Page

Company Information 1

Group Strategic Report 2

Report of the Directors 5

Report of the Independent Auditors 8

Consolidated Income Statement 12

Consolidated Other Comprehensive Income 13

Consolidated Balance Sheet 14

Company Balance Sheet 15

Consolidated Statement of Changes in Equity 16

Company Statement of Changes in Equity 17

Consolidated Cash Flow Statement 18

Notes to the Consolidated Cash Flow Statement 19

Notes to the Consolidated Financial Statements 21


HILLIER NURSERIES LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 AUGUST 2024







DIRECTORS: Mr R T Hillier OBE
Mr D N Holligon
Mr C Francis
Mr G J Marsh
Mr M J Hillier
Mr G A M Hillier
Mr A Dunnett



REGISTERED OFFICE: Ampfield House
Ampfield
Romsey
Hampshire
SO51 9PA



REGISTERED NUMBER: 01260468 (England and Wales)



SENIOR STATUTORY AUDITOR: Ross Garfitt



INDEPENDENT AUDITORS: Langdowns DFK Limited
Statutory Auditor
Fleming Court
Leigh Road
Eastleigh
Southampton
Hampshire
SO50 9PD

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 AUGUST 2024


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

REVIEW OF BUSINESS
We have set out below our review of the development and performance of the business for the year ended 31st August 2024.

We operate our business through three major trading divisions which are supported by a central support services operation. The three trading divisions are as follows:

Garden Centres - Retailing of garden plants and horticultural products through 23 retail outlets (2023: 23).
Wholesale Nursery - Supplying shrubs and herbaceous perennials internally to Hillier garden centres.
Amenity Trees - Supplying trees and shrubs to the Landscape/Construction, Property Developers and Local Authority sectors.

We consider that our key performance indicators are those that communicate the financial performance and strength of the company as a whole, these being turnover, profit after taxation and return on capital employed.

Total company revenues were increased year-on-year due to the first full year's trading of the 3 former Rosebourne garden centres at Weyhill (Hampshire), Aldermaston (Berkshire) and Hampton-in-Arden (Solihull) which were acquired in Nov 2022.

The overall group turnover for the year was £72.8m, 5% up on 2023. The weather conditions through the year were, as in the prior year, very disappointing and significantly impacted trading performance. Exceptionally wet conditions through autumn/winter 2023/24 and a prolonged cool, wet spring in 2024 significantly damaged garden centre revenues and Amenity division tree sales. Partially offsetting the impacts of the weather was the growth in revenue resulting from the opening in September 2023 of the redeveloped Newbury garden centre, with 30,000 sq ft of additional retail space in a newly constructed building and extended car park. The centre is now a destination garden centre, with expanded retail operations, farm shop and new concessionaires.

As mentioned, Amenity Trees division performance was greatly impacted in the year by the wet winter and early spring. Whilst the demand for Hillier trees remains strong, customer projects have been inevitably delayed by the poor conditions, and field lifting of trees at our nurseries were hampered. However, the Board are confident that with the range and quality of our trees combined with the importance of biosecurity issues continuing to drive demand for our British grown trees, future revenues will continue to grow.

Conversion to tree nurseries of Flexcombe Farm, Liss (purchased In October 2022) continued in the year, with significant planting of trees as part of the phased transition programme and commencement of building of a new reservoir and irrigation systems.

Wholesale Nursery division continued to supply solely to our own Garden Centres, ensuring the quality and uniqueness of the range that is available to our garden centre customers. Trade was again impacted by the dull spring, but the company continues to invest in new growing facilities, and in broadening the range produced at the nursery and in the development of exclusive new plants. Research through extensive trials continues into optimising growing performance and yields in peat-free composts.

Through the year, although the inflationary pressures on input costs eased somewhat from those seen in recent years, those and labour cost increases have continued to put pressures on margins, and the Board has endeavoured to mitigate and offset these through cost reduction initiatives. Looking forward, the Board is concerned about the impact of the significant increases in National Insurance contributions in 2025 and has been reviewing ongoing cost reductions and also pushing back on its future investment plans.

Overall as a group we ended the year 5% up on sales at £72,769,843 (2023: £69,414,011) which reflected the above.

There was an overall profit after taxation of £1,791,151 (2023: £2,440,549)

With strong competition and the challenges of increased costs through recent high levels of inflation and the pressure on wages, the business has had to respond to keep pace with these demanding market conditions. The company has strived to eliminate the use of peat in its growing operations in reducing the impact on the environment, and complying with UK legislation. The slow pace of development of equivalent peat-free alternatives is impacting growing performance and nursery efficiencies, which further increases cost and the trading challenges to overcome.

We continue to review potential future investment opportunities, and to focus on improvements in the customer offering and efficiency of operations. The Board feels that we have a strong foundation with which to take the business forward and achieve the company's growth ambitions.


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 AUGUST 2024

Retained profits as at 31st August 2024 amounted to £44,150,778 (2023: £42,133,627). These retained profits include the defined benefit pension asset as shown in note 26.

PRINCIPAL RISKS AND UNCERTAINTIES
The group has continued to benefit from the UK market where gardening and horticulture are an important leisure activity. As such, this is also one of the key risks facing the company which can be impacted by factors such as the weather and the economy. The Company is also aware of the risk of pests and disease in its growing stocks.

The Board believe that by focusing on our reputation for the quality and variety of our products and our investment in continued innovation of our range it will help offset the economic risks. Investing in our garden centre restaurants helps mitigate the impact of the weather on sales of plants. The risks of disease are being monitored and, as such, we are working with DEFRA to counter such risks. With this focus the Board believes it can maintain and grow its market share going forward.


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 AUGUST 2024

SECTION 172(1) STATEMENT
The group is required to report how the directors have carried out their duties under Section 172 of the Companies Act 2006. The directors must act in the way it considers, in good faith, would be the most likely to promote the success of the group for the benefit of the members as a whole, and in doing so have regard (amongst other matters) to:

a) The likely consequences of any decision in the long term
b) The interests of the group's employees
c) The need to foster the group's business relationships with suppliers, customers and others
d) The impact of the group's operation on the community and the environment
e) The desirability of the group maintaining a reputation for high standards of business conduct and
f) The need to act fairly as between shareholders of the group

The Board makes full consideration of the long-term impact of key decisions, and makes full assessment to ensure they will contribute to the longer-term growth and success of the business. During the year key decisions were in the refurbishment of acquired centres, rapid response to the impact of the Coronavirus epidemic, and planning for future investments.

The Board actively ensure that the views and interests of employees are captured in our decision making. This has been done through formal periodic interactions with employees, and also through less formal activity, such as regular visits by Board members to operational locations.

Our customers are central to everything that we do; Garden Centres continue to grow and improve the benefits to its retail customers through the ongoing development of the Gardening Club, whilst a trade card membership is available for Cash & Carry customers. Amenity division has continued to develop relationships with landscapers, contractors and public authorities for the long term, with focus on growing the sales team to enable full support of those relationships. The group has a long heritage, and through the year has continued to foster and develop relationships with key suppliers, whilst ensuring value for money and quality of product and service levels.

The Board takes very seriously its responsibilities towards the environment and local communities. The group has achieved both ISO14001 and "The Planet Mark" accreditations through focus on reducing carbon footprint, landfill wastage and water usage. Additionally, the group has continued to drastically reduce the proportion of peat-based composts used at its nurseries, and to extend the range of peat free products available at its garden centres. The group's chosen charity has been "Abby's Heroes", which supports children diagnosed with cancer and their families when cared for at Southampton General Hospital. We have conducted fundraising activities during the year, and strived to raise awareness of the wonderful work performed by the charity.

The Board is focussed on ensuring a high level of business standards. Ensuring adherence to laws and regulations and ethical standards are forefront to any decisions made.

The group's ownership is split equally between two Hillier family trusts. The Board have periodic formal meetings with all of the trustees to give updates on historic business performance, future targets and plans, and to review and agree future investments. Family representatives of both trusts sit on the Board of the group.

ON BEHALF OF THE BOARD:





Mr G J Marsh - Director


19 March 2025

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 AUGUST 2024



DIVIDENDS
The total distribution of dividends for the year ended 31 August 2024 will be £ 75,000 .

RESEARCH AND DEVELOPMENT
Research and development in the nursery business is concentrated primarily on the development of new varieties of plants and the improvement of propagation and growing techniques.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 September 2023 to the date of this report.

Mr R T Hillier OBE
Mr D N Holligon
Mr C Francis
Mr G J Marsh
Mr M J Hillier
Mr G A M Hillier
Mr A Dunnett


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 AUGUST 2024

EMPLOYMENT OF DISABLED PERSONS
It is the policy of the company, whenever practicable, to employ disabled persons and to continue to employ those persons who become disabled during the period of their employment with the company. Disabled persons are employed under the terms and conditions as laid down by the Equality Act 2010, in common with able-bodied persons employed by the company.

EMPLOYEE INVOLVEMENT
The company is committed to the personal development and career progression of all members of staff, and has further invested in the year in its Learning and Development facilities and team.

Information is distributed to employees on a regular basis by a core brief and by frequent departmental meetings, at which employees are encouraged to express their ideas and thereby contribute to the decision-making processes of the company.

STREAMLINED ENERGY AND CARBON REPORTING

Overview of Energy Use and CO2 Emissions During The Year

2023-2024 Prior Year






kWH
CO2
(equivalent)
Emissions -
Tonnes






kWH
CO2
(equivalent)
Emissions -
Tonnes

Energy Use Electricity 4,712,365 976 4,778,999 990

Gas Mains 1,925,620 390 1,741,612 353
Bottled 1,240,790 286 1,090,850 251
Total 3,166,410 676 2,832,462 604


Heating
oil


805,952

230


1,016,317

290

Transport 734,706 170 788,914 184
Tractors 209,260 56 274,751 74

Total 9,628,693 2,108 9,691,443 2,142



Intensity
Ratio






0.046
Tonnes of
CO2 per m2
internal floor
space






0.054
Tonnes of
CO2 per m2
internal floor
space

Methodology Used
Data have been collated centrally from utilities and fuel bills received for the year, and for transportation from fuel card bills and employee expense submissions where private vehicles have been used. These have been converted to kWH and CO2 tonnes equivalent using government published conversion factors.

Energy Efficiency Actions
We were again awarded the sustainability certification by PlanetMark, reducing our CO2 emissions per £m turnover by 5% comparing to the previous financial year.

We continued to prioritise energy effciency when investing in new or replacement equipment and lighting and to encourage through incentives take up of electric cars by staff entitled to company vehicles.

Year-over-year total energy usage has increased due to the addition of three acquired garden centres part way during the previous year, and due to the opening of the expanded Newbury garden centre, however we see a reduction in usage per m2 internal floor space and £m turnover.


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 AUGUST 2024

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS
The success of the business has continued to be driven by fostering enduring relationships with its customers, suppliers and others. The board of directors, both individually and collectively, are acutely aware that these relationships are fundamental to the ongoing success of the company and accordingly the impact of any decisions on these stakeholders are always considered as part of any decision making process.

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, Langdowns DFK Limited, will be proposed for re-appointment.

ON BEHALF OF THE BOARD:





Mr G J Marsh - Director


19 March 2025

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
HILLIER NURSERIES LIMITED


Opinion
We have audited the financial statements of Hillier Nurseries 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 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
HILLIER NURSERIES 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 seven, 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
HILLIER NURSERIES 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

As part of our audit planning procedures we identify the significant laws and regulations applicable to the company based upon our knowledge of the company, the industry in which it operates and from making enquiries with management. We consider those laws and regulations where non-compliance may have a material effect on the financial statements and those which have a direct impact on the financial statements. We identified that the most significant laws and regulations applicable during the year were compliance with Health and Safety regulations and the reporting requirements of the Companies Act 2006 and Financial Reporting Standard 102.

Audit procedures performed by the engagement team in relation to laws and regulations include making enquiries of management as to any known or suspected instances of non-compliance, maintaining awareness throughout the course of the audit as to any indications of instances of non-compliance, discussing with the client regarding all sites that have been assessed in the year for Health and Safety and undertaking a review of the disclosures in the financial statements to supporting information and to disclosure checklists.

We also consider areas that are at a higher risk of causing material misstatement in the financial statements due to irregularities, including those resulting from fraud and how such fraud may occur. We discuss with senior management the key controls in place to mitigate the risk of fraud and enquire as to whether they are aware of, or suspect, any fraudulent activities having taken place.

As group auditors we are required to communicate with component auditors to request identification of any instances of non-compliance with laws and regulations that could give rise to a material misstatement of the group financial statements. The engagement partner considers that the engagement team collectively has the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations.

Throughout the audit, we maintain an appropriate level of professional scepticism when provided with information and explanations. We consider the appropriateness of significant accounting journals that were processed during the year, assess the reasonableness of any significant accounting estimates and consider whether there were any indications of bias by management during the year that represents a risk of material misstatement due to fraud. We also carry out analytical procedures to identify any unusual or unexpected variances to expectations as these may be an indication of management over-ride or management bias.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
HILLIER NURSERIES 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.




Ross Garfitt (Senior Statutory Auditor)
for and on behalf of Langdowns DFK Limited
Statutory Auditor
Fleming Court
Leigh Road
Eastleigh
Southampton
Hampshire
SO50 9PD

8 April 2025

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 AUGUST 2024

2024 2023
Notes £    £    £   

TURNOVER 4 72,769,843 69,414,011

Cost of sales 35,958,845 36,027,745
GROSS PROFIT 36,810,998 33,386,266

Distribution costs 1,594,361 1,714,485
Administrative expenses 33,545,491 29,995,782
35,139,852 31,710,267
1,671,146 1,675,999

Other operating income 5 2,247,907 2,075,395
OPERATING PROFIT 7 3,919,053 3,751,394

Profit/(loss) on sale of fixed
assets 8 (6,141 ) 8,713
3,912,912 3,760,107

Interest receivable and similar income 38,740 44,840
Other finance income 26 51,000 -
89,740 44,840
4,002,652 3,804,947

Interest payable and similar expenses 9 1,391,701 1,118,081
Other finance costs 26 - 30,000
1,391,701 1,148,081
PROFIT BEFORE TAXATION 2,610,951 2,656,866

Tax on profit 10 819,800 216,317
PROFIT FOR THE FINANCIAL YEAR 1,791,151 2,440,549
Profit attributable to:
Owners of the parent 1,791,151 2,440,549

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

CONSOLIDATED OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 AUGUST 2024

2024 2023
Notes £    £   

PROFIT FOR THE YEAR 1,791,151 2,440,549


OTHER COMPREHENSIVE INCOME
Remeasurement gain on pension scheme 435,000 1,551,000
Income tax relating to other comprehensive
income

(134,000

)

(324,000

)
OTHER COMPREHENSIVE INCOME FOR
THE YEAR, NET OF INCOME TAX

301,000

1,227,000
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

2,092,151

3,667,549

Total comprehensive income attributable to:
Owners of the parent 2,092,151 3,667,549

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

CONSOLIDATED BALANCE SHEET
31 AUGUST 2024

2024 2023
Notes £    £    £   
FIXED ASSETS
Intangible assets 13 139,623 163,168
Tangible assets 14 63,155,274 63,251,576
Investments 15 2 2
63,294,899 63,414,746

CURRENT ASSETS
Stocks 16 12,033,604 14,005,421
Debtors 17 2,471,259 2,404,055
Cash at bank and in hand 1,565,663 2,310,265
16,070,526 18,719,741
CREDITORS
Amounts falling due within one year 18 15,752,696 17,057,319
NET CURRENT ASSETS 317,830 1,662,422
TOTAL ASSETS LESS CURRENT
LIABILITIES

63,612,729

65,077,168

CREDITORS
Amounts falling due after more than one year 19 (16,711,564 ) (19,981,152 )

PROVISIONS FOR LIABILITIES 23 (3,898,387 ) (3,641,389 )

PENSION ASSET 26 1,150,000 681,000
NET ASSETS 44,152,778 42,135,627

CAPITAL AND RESERVES
Called up share capital 24 2,000 2,000
Retained earnings 25 44,150,778 42,133,627
SHAREHOLDERS' FUNDS 30 44,152,778 42,135,627

The financial statements were approved by the Board of Directors and authorised for issue on 19 March 2025 and were signed on its behalf by:





Mr G A M Hillier - Director


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

COMPANY BALANCE SHEET
31 AUGUST 2024

2024 2023
Notes £    £    £   
FIXED ASSETS
Intangible assets 13 139,623 163,168
Tangible assets 14 63,155,274 63,251,576
Investments 15 8,729,228 8,729,228
72,024,125 72,143,972

CURRENT ASSETS
Stocks 16 12,033,604 14,005,421
Debtors 17 2,471,259 2,404,055
Cash at bank and in hand 1,565,663 2,300,496
16,070,526 18,709,972
CREDITORS
Amounts falling due within one year 18 24,603,825 25,898,679
NET CURRENT LIABILITIES (8,533,299 ) (7,188,707 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

63,490,826

64,955,265

CREDITORS
Amounts falling due after more than one year 19 (16,711,564 ) (19,981,152 )

PROVISIONS FOR LIABILITIES 23 (3,898,387 ) (3,641,389 )

PENSION ASSET 26 1,150,000 681,000
NET ASSETS 44,030,875 42,013,724

CAPITAL AND RESERVES
Called up share capital 24 2,000 2,000
Retained earnings 25 44,028,875 42,011,724
SHAREHOLDERS' FUNDS 30 44,030,875 42,013,724

Company's profit for the financial year 1,791,151 2,318,646

The financial statements were approved by the Board of Directors and authorised for issue on 19 March 2025 and were signed on its behalf by:





Mr G A M Hillier - Director


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

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 2,000 38,536,078 38,538,078

Changes in equity
Dividends - (70,000 ) (70,000 )
Total comprehensive income - 3,667,549 3,667,549
Balance at 31 August 2023 2,000 42,133,627 42,135,627

Changes in equity
Dividends - (75,000 ) (75,000 )
Total comprehensive income - 2,092,151 2,092,151
Balance at 31 August 2024 2,000 44,150,778 44,152,778

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

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 2,000 38,536,078 38,538,078

Changes in equity
Dividends - (70,000 ) (70,000 )
Total comprehensive income - 3,545,646 3,545,646
Balance at 31 August 2023 2,000 42,011,724 42,013,724

Changes in equity
Dividends - (75,000 ) (75,000 )
Total comprehensive income - 2,092,151 2,092,151
Balance at 31 August 2024 2,000 44,028,875 44,030,875

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 AUGUST 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 7,560,886 4,813,595
Interest paid (1,399,246 ) (1,118,081 )
Tax paid (264,275 ) (1,241,515 )
Net cash from operating activities 5,897,365 2,453,999

Cash flows from investing activities
Purchase of tangible fixed assets (2,925,775 ) (9,322,423 )
Purchase of fixed asset investments - (14,398,553 )
Sale of tangible fixed assets 15,700 9,560
Subsidiary acquisition costs - (704,242 )
Cash in subsidiary on acquisition - 187,865
Interest received 38,740 44,840
Net cash from investing activities (2,871,335 ) (24,182,953 )

Cash flows from financing activities
New loans in year - 15,800,000
Loan repayments in year (3,692,110 ) (480,316 )
Amount introduced by directors - 12,298
Amount withdrawn by directors (3,522 ) -
Equity dividends paid (75,000 ) (70,000 )
Net cash from financing activities (3,770,632 ) 15,261,982

Decrease in cash and cash equivalents (744,602 ) (6,466,972 )
Cash and cash equivalents at beginning
of year

2

2,310,265

8,777,237

Cash and cash equivalents at end of year 2 1,565,663 2,310,265

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

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
£    £   
Profit before taxation 2,610,951 2,656,866
Depreciation charges 3,000,236 2,672,586
Loss/(profit) on disposal of fixed assets 6,141 (8,713 )
Amortisation charges 23,545 (231,981 )
Defined benefit pension scheme (139,000 ) (206,000 )
Finance costs 1,391,701 1,148,081
Finance income (89,740 ) (44,840 )
6,803,834 5,985,999
Decrease in stocks 1,971,817 1,603,811
Increase in trade and other debtors (67,204 ) (66,593 )
Decrease in trade and other creditors (1,147,561 ) (2,709,622 )
Cash generated from operations 7,560,886 4,813,595

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 1,565,663 2,310,265
Year ended 31 August 2023
31.8.23 1.9.22
£    £   
Cash and cash equivalents 2,310,265 8,777,237


3. ANALYSIS OF CHANGES IN NET DEBT

At 1.9.23 Cash flow At 31.8.24
£    £    £   
Net cash
Cash at bank and in hand 2,310,265 (744,602 ) 1,565,663
2,310,265 (744,602 ) 1,565,663
Debt
Debts falling due within 1 year (2,339,612 ) 422,522 (1,917,090 )
Debts falling due after 1 year (19,981,152 ) 3,269,588 (16,711,564 )
(22,320,764 ) 3,692,110 (18,628,654 )
Total (20,010,499 ) 2,947,508 (17,062,991 )

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 AUGUST 2024


4. ACQUISITION OF BUSINESS

During the previous year, the parent company acquired a trading subsidiary. The cash flow has been adjusted to reflect the following assets and liabilities at acquisition:

£
Fixed assets 18,765,219
Stock 2,783,143
Debtors 567,166
Cash at bank and in hand 187,865
Creditors - debt (6,944,701 )

Hillier Nurseries Limited incurred costs on the acquisition of the subsidiary to the sum of £704,242. The total consideration was £15,102,795 which was paid in cash during the year.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024


1. STATUTORY INFORMATION

Hillier Nurseries Limited is a private company, limited by shares, registered in England and Wales. The Company's registered number and registered office address (which is also its principal place of business) can be found on the Company Information page (page 1).

The Company's principal activity was that of nurserymen and retailers of garden products.

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 historical cost convention.

The historical convention has been modified by the use of fair values for certain financial instruments in accordance with the accounting policies set out below.

The financial statements are presented in the Pound Sterling (£) which is the functional currency of the company, rounded to the nearest pound.

Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 August 2024.

A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.

The results of subsidiaries acquired of during the previous year are included in the Income Statement from the effective date of acquisition. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.

The acquisition method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date.

Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.

Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


3. ACCOUNTING POLICIES - continued

Significant judgements and estimates
In the application of the group's accounting policies, management are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and the underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The stock value at the balance sheet date of £12,033,604 is after allowing for a slow moving and obsolete stock provision. The group has a specific policy in place to consider obsolete and slow moving stock. The policy considers the length of time that the stock has been held by the company and based on this analysis, the company then applies a reduction to the value of each stock line that meets the parameters of the policy. The group also keep the value of stock under constant review and if the net realisable value of this stock drops below the original cost then the company make the necessary adjustments to the value in the financial statements.

The valuation of the growing stock is carried out by the directors calculating the average age of actual quantities of growing stock to assess associated actual costs for the same average period. Provision is made for foreseeable losses where appropriate based on expected stock losses, age and other environmental factors. No element of profit is included in the valuation of growing stock.

The group have made these policies based on the detailed knowledge and understanding that they have of the industry and the business.

Turnover
Turnover is recognised at the fair value of the consideration received or receivable. The fair value of the consideration received or receivable takes into account the value of any discounts given by the entity and is stated net of VAT.

Turnover from sales through garden centre and nursery activities are recognised when the significant risks and rewards of ownership of the goods have passed to the customer, the amount of revenue can be measured reliably, it is probable that 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.

Turnover in respect of rental income is recognised according to agreed terms applicable to the reporting period.

Goodwill
Positive purchased goodwill is capitalised, classified as an asset on the balance sheet and amortised on a straight line basis over its useful economic life of 10 years. It is reviewed for impairment at the end of its first full financial year following acquisition and in other periods if events or changes in circumstances indicate that the carrying value may not be recoverable.

Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Goodwill - 10% per annum straight line

Intangible assets
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Negative goodwill has been fully amortised in the previous year.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


3. ACCOUNTING POLICIES - continued

Tangible fixed assets
Deprecation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property - 2% on cost
Leasehold property - 2% on cost / straight line over lease term
Plant and machinery - 5% - 15% on reducing balance / 5% - 25% straight line
Fixtures and fittings - 10 - 30% on reducing balance / 10% - 33.33% straight line
Motor vehicles - 25% on reducing balance

All fixed assets are recorded at cost less depreciation and any impairment.

6 properties are leased by the group from the Hillier Family Pension Scheme and the Robert & John Hillier Settlement Trusts. The directors have applied a 50 year straight line depreciation policy to these properties because they are confident that the leases will be renewed on an ongoing basis.

Investments in subsidiaries
Investments in subsidiary undertakings are recognised at cost.

Stocks
Biological growing stock is measured at cost less impairment, with cost assessed based on the average age of the stock held. Costs include direct costs together with a proportion of direct and indirect overheads incurred in bringing the growing plants to their condition at the end of the year. The directors consider this to be the most appropriate method of valuation without other reliable estimates being available.

Garden centre stock has been valued at the lower of cost and net realisable value on an average cost basis.

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.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Research and development
Expenditure on research and development is written off in the year in which it is incurred.


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.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


3. ACCOUNTING POLICIES - continued

Pension costs and other post-retirement benefits
The group operates staff defined contribution pension schemes which require contributions to be made to separately administered funds. Contributions to the schemes are charged to the profit and loss account as they become payable in accordance with the rules of the schemes.

The company operates a defined benefit pension scheme for employees. The assets of the scheme are held separately from those of the company. The scheme is closed to new entrants.

Pension scheme liabilities are measured on an actuarial basis using a projected unit method and are discounted to their present value using a 4.95% rate.

Pension scheme assets are valued at fair value at the balance sheet date.

The pension scheme deficit is recognised in full on the balance sheet.

The deferred tax relating to a defined benefit liability is offset against the defined benefit liability and not included with other deferred tax assets or liabilities.

Details regarding the defined benefit pension scheme can be found in note 26.

Financial instruments
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Operating lease agreements
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

There are no lease incentives in relation to any operating leases in operation during the year.

Debtors and creditors receivable / payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Loans and borrowings
Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost.

Provisions
Provisions are recognised when the company 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.

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:

2024 2023
£    £   
Sale of goods 72,769,843 69,414,011
72,769,843 69,414,011

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


5. OTHER OPERATING INCOME
2024 2023
£    £   
Rents received 2,143,767 1,944,441
Logo income - 2,500
Wayleaves 1,394 775
Sundry receipts 93,554 101,563
Exchange gains 9,192 26,116
2,247,907 2,075,395

6. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 19,225,217 16,989,252
Social security costs 1,388,464 1,253,635
Other pension costs 822,920 607,875
21,436,601 18,850,762

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

Nursery, production and garden centre 1,086 1,037
Administrative 30 26
1,116 1,063

The average number of employees by undertakings that were proportionately consolidated during the year was NIL (2023 - NIL).

Other pension costs are amounts charged to operating profit and do not include amounts credited to finance income, charged to finance costs or amounts recognised in other comprehensive income.

2024 2023
£    £   
Directors' remuneration 584,594 544,689
Directors' pension contributions to money purchase schemes 245,969 189,848

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

Money purchase schemes 6 5

Information regarding the highest paid director is as follows:
2024 2023
£    £   
Emoluments etc 137,590 142,381
Pension contributions to money purchase schemes 66,776 49,849

£nil (2023: £41,708) was paid to third parties for directors' services.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


7. OPERATING PROFIT

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

2024 2023
£ £
Depreciation - owned assets 3,000,236 2,487,516
Goodwill amortisation 23,545 23,916
Negative goodwill amortisation - (191,325 )
Foreign exchange differences 6,707 (26,097 )
Auditors' remuneration for the audit of these accounts 36,116 34,396
Fees to the company's auditor for taxation services 9,100 6,066
Fees to the company's auditor for all other services 56,599 61,568
Fees to subsidiary auditors - 27,373
Operating lease costs - Land & Buildings 1,749,422 1,703,326
Operating lease costs - Plant & Machinery 362,387 308,126

Other services provided include fees in respect of the Company's pension schemes were as follows:-

The Hillier Family Pension Scheme, other assurance services from Langdowns DFK totalled £1,770 (2023 - £4,319).

The Hillier Staff Pension Scheme, auditors remuneration from Rothmans LLP totalled £5,400 (2023 - £4,950).

8. EXCEPTIONAL ITEMS
2024 2023
£    £   
Profit/(loss) on sale of fixed
assets (6,141 ) 8,713

9. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Bank loan interest 1,214,377 924,492
Other interest 177,324 193,589
1,391,701 1,118,081

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


10. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax 527,095 290,737
Over/under provision of UK
corporation tax in prior years 13,707 -
Total current tax 540,802 290,737

Deferred tax:
Deferred tax 256,998 (133,420 )
Deferred tax on pension scheme 22,000 59,000
Total deferred tax 278,998 (74,420 )

Tax on profit 819,800 216,317

UK corporation tax has been charged at 25 % (2023 - 21.51 %).

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:

2024 2023
£    £   
Profit before tax 2,610,951 2,656,866
Profit multiplied by the standard rate of corporation tax in the UK of 25 %
(2023 - 21.515 %)

652,738

571,625

Effects of:
Utilisation of tax losses (169,160 ) (7,908 )
Expenses deductible for tax purposes (including goodwill amortisation) (25,201 ) (70,088 )
Decelerated/(accelerated) capital allowances 68,718 (217,829 )
Over/under provision in prior years 13,707 -
Deferred Tax 278,998 (74,420 )
Increase in tax losses for the year - 14,937
Total tax charge 819,800 216,317

Tax effects relating to effects of other comprehensive income

2024
Gross Tax Net
£    £    £   
Remeasurement gain on pension scheme 435,000 (134,000 ) 301,000

2023
Gross Tax Net
£    £    £   
Remeasurement gain/(loss) on pension sch 1,551,000 (324,000 ) 1,227,000

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


10. TAXATION - continued

The effective rate of corporation tax in the year was 25% (2023: 21.515%). The reason for this change was that the UK main corporation tax rate was 19% up to 31st March 2023 and then changed to 25% from 1st April 2023.

The expected reversal of deferred tax liabilities in the succeeding period is £364,623. This is in relation to the deferred tax liability recognised on accelerated capital allowances and other timing differences.

11. 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.


12. DIVIDENDS
2024 2023
£    £   
Interim 75,000 70,000

Dividends proposed after the year end, not recognised as a liability in the financial statements, totalled £80,000 (2023: £75,000).

13. INTANGIBLE FIXED ASSETS

Group
Negative
Goodwill goodwill Totals
£    £    £   
COST
At 1 September 2023
and 31 August 2024 588,436 (255,830 ) 332,606
AMORTISATION
At 1 September 2023 425,268 (255,830 ) 169,438
Amortisation for year 23,545 - 23,545
At 31 August 2024 448,813 (255,830 ) 192,983
NET BOOK VALUE
At 31 August 2024 139,623 - 139,623
At 31 August 2023 163,168 - 163,168

Negative goodwill has been amortised in full in the year of acquisition considering the initial losses incurred by the Rosebourne centres in the transition to Hillier branded centres.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


13. INTANGIBLE FIXED ASSETS - continued

Company
Negative
Goodwill goodwill Totals
£    £    £   
COST
At 1 September 2023
and 31 August 2024 588,436 (64,505 ) 523,931
AMORTISATION
At 1 September 2023 425,268 (64,505 ) 360,763
Amortisation for year 23,545 - 23,545
At 31 August 2024 448,813 (64,505 ) 384,308
NET BOOK VALUE
At 31 August 2024 139,623 - 139,623
At 31 August 2023 163,168 - 163,168

Goodwill is being amortised evenly over the directors' estimate of its useful economic life of 10 years.

14. TANGIBLE FIXED ASSETS

Group
Fixtures
Land and Plant and and Motor
buildings machinery fittings vehicles Totals
£    £    £    £    £   
COST
At 1 September 2023 61,098,302 16,044,222 10,765,984 270,879 88,179,387
Additions 606,512 1,663,972 640,330 14,961 2,925,775
Disposals - (49,106 ) (1,188 ) - (50,294 )
At 31 August 2024 61,704,814 17,659,088 11,405,126 285,840 91,054,868
DEPRECIATION
At 1 September 2023 7,568,585 10,301,300 6,805,661 252,265 24,927,811
Charge for year 1,300,546 919,402 769,827 10,461 3,000,236
Eliminated on disposal - (28,296 ) (157 ) - (28,453 )
At 31 August 2024 8,869,131 11,192,406 7,575,331 262,726 27,899,594
NET BOOK VALUE
At 31 August 2024 52,835,683 6,466,682 3,829,795 23,114 63,155,274
At 31 August 2023 53,529,717 5,742,922 3,960,323 18,614 63,251,576

An analysis of the net book value of land and buildings is shown below :

2024 2023
£ £

Freehold land and buildings 46,803,432 44,291,399
Long leasehold land and buildings 309,629 315,936
Short leasehold land and buildings 5,722,622 8,922,382
52,835,683 53,529,717

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


14. TANGIBLE FIXED ASSETS - continued

Company
Fixtures
Land and Plant and and Motor
buildings machinery fittings vehicles Totals
£    £    £    £    £   
COST
At 1 September 2023 61,098,302 16,044,222 10,765,984 270,879 88,179,387
Additions 606,512 1,663,972 640,330 14,961 2,925,775
Disposals - (49,106 ) (1,188 ) - (50,294 )
At 31 August 2024 61,704,814 17,659,088 11,405,126 285,840 91,054,868
DEPRECIATION
At 1 September 2023 7,568,585 10,301,300 6,805,661 252,265 24,927,811
Charge for year 1,300,546 919,402 769,827 10,461 3,000,236
Eliminated on disposal - (28,296 ) (157 ) - (28,453 )
At 31 August 2024 8,869,131 11,192,406 7,575,331 262,726 27,899,594
NET BOOK VALUE
At 31 August 2024 52,835,683 6,466,682 3,829,795 23,114 63,155,274
At 31 August 2023 53,529,717 5,742,922 3,960,323 18,614 63,251,576

An analysis of the net book value of land and buildings is shown below :

20242023
££

Freehold land and buildings46,803,43244,291,399
Long leasehold land and buildings309,629315,936
Short leasehold land and buildings5,722,6228,922,382
52,835,68353,529,717

15. FIXED ASSET INVESTMENTS

Group
Shares in
group
undertakings
£   
COST
At 1 September 2023
and 31 August 2024 2
NET BOOK VALUE
At 31 August 2024 2
At 31 August 2023 2

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


15. FIXED ASSET INVESTMENTS - continued

Company
Shares in
group
undertakings
£   
COST
At 1 September 2023
and 31 August 2024 8,729,228
NET BOOK VALUE
At 31 August 2024 8,729,228
At 31 August 2023 8,729,228


The company's investments are held directly.

Subsidiary undertakings
Name Share Class Holding
Hillier SANG Management Limited Ordinary 100%
Rosebourne Limited Ordinary 100%

The registered office of the subsidiaries is Ampfield House, Ampfield, Romsey, Hampshire, England, SO51 9PA.

Rosebourne Limited (Company no 09002169) has been included in the consolidated accounts.

Hillier SANG Management Limited (Company no 12290283) has taken exemption from consolidation as it is not material for the purpose of giving a true and fair view in accordance with the Companies Act 2006 section 405.


Name
Aggregate capital and
reserves


Profit/(Loss

)
2024 2024
£ £
Hillier SANG Management Limited 2 Nil
Rosebourne Limited 8,851,129 Nil

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


16. STOCKS

Group Company
2024 2023 2024 2023
£    £    £    £   
Non-trading stock 351,044 353,693 351,044 353,693
Finished goods and goods for resale 11,682,560 13,651,728 11,682,560 13,651,728
12,033,604 14,005,421 12,033,604 14,005,421

Biological ongrowing stock
(included within finished goods and goods for resale) Growing Plants
£   
Cost
At 1st September 2023 2,272,088
Increase in costs from production 3,737,524
Decrease from sales and plant losses (3,477,537 )
At 31st August 2024 2,532,075
Impairment
At 1st September 2023 227,208
Charge / (credit) for year 25,999
At 31st August 2024 253,207
Carrying amount
At 31st August 2023 2,044,880

At 31st August 2024 2,278,868

17. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Trade debtors 501,676 646,797 501,676 646,797
Amounts owed by group undertakings 100,000 100,000 100,000 100,000
Other debtors 47,719 181,686 47,719 181,686
Prepayments and accrued income 1,821,864 1,475,572 1,821,864 1,475,572
2,471,259 2,404,055 2,471,259 2,404,055

18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans and overdrafts (see note 20) 947,368 1,447,369 947,368 1,447,369
Other loans (see note 20) 969,722 892,243 969,722 892,243
Trade creditors 7,385,946 8,894,310 7,385,946 8,894,310
Amounts owed to group undertakings - - 8,851,129 8,841,360
Corporation tax 527,095 250,568 527,095 250,568
Other taxation and social security 1,961,549 1,428,471 1,961,549 1,428,471
Other creditors 2,484,035 2,533,900 2,484,035 2,533,900
Directors' loan accounts 94,337 97,859 94,337 97,859
Accruals and deferred income 1,382,644 1,512,599 1,382,644 1,512,599
15,752,696 17,057,319 24,603,825 25,898,679

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


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

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans (see note 20) 11,605,263 14,352,631 11,605,263 14,352,631
Other loans (see note 20) 5,106,301 5,628,521 5,106,301 5,628,521
16,711,564 19,981,152 16,711,564 19,981,152

20. LOANS

An analysis of the maturity of loans is given below:

Group Company
2024 2023 2024 2023
£    £    £    £   
Amounts falling due within one year or on demand:
Bank loans 947,368 1,447,369 947,368 1,447,369
Other loans 969,722 892,243 969,722 892,243
1,917,090 2,339,612 1,917,090 2,339,612
Amounts falling due between one and two years:
Bank loans 947,368 1,447,368 947,368 1,447,368
Other loans 536,456 522,220 536,456 522,220
1,483,824 1,969,588 1,483,824 1,969,588
Amounts falling due between two and five years:
Bank loans 6,750,000 8,523,684 6,750,000 8,523,684
Other loans 1,698,736 1,653,466 1,698,736 1,653,466
8,448,736 10,177,150 8,448,736 10,177,150
Amounts falling due in more than five years:
Repayable by instalments
Bank loans 3,907,895 4,381,579 3,907,895 4,381,579
Other loans 2,871,109 3,452,835 2,871,109 3,452,835
6,779,004 7,834,414 6,779,004 7,834,414

21. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Non-cancellable operating leases
2024 2023
£    £   
Within one year 1,913,004 1,925,030
Between one and five years 6,545,817 6,598,217
In more than five years 19,657,311 20,814,450
28,116,132 29,337,697

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


21. LEASING AGREEMENTS - continued

Company
Non-cancellable operating leases
2024 2023
£    £   
Within one year 1,757,669 1,925,030
Between one and five years 6,334,778 6,598,217
In more than five years 19,507,311 20,814,450
27,599,758 29,337,697

22. SECURED DEBTS

The following secured debts are included within creditors:

Group Company
2024 2023 2024 2023
£    £    £    £   
Bank loans 12,552,631 15,800,000 12,552,631 15,800,000
Other Loans 5,628,892 6,136,440 5,628,892 6,136,440
18,181,523 21,936,440 18,181,523 21,936,440

£5,348,892 (2023: £5,816,440) of other loans are secured by mortgages over 8 freehold properties owned by the company. Interest is charged at 2.92% per annum. Repayments are in quarterly instalments.

£280,000 (2023: £320,000) of other loans is secured over 1 freehold property. Interest is charged at 1% above base rate per annum. Repayments are made in annual instalments.

£12,552,630 (2023: £15,800,000) of bank loans are secured by mortgages over 4 freehold properties owned by the company. Interest is charged at fixed rates of 7.3% and 6.44% per annum. Repayments are in quarterly instalments.

23. PROVISIONS FOR LIABILITIES

Group Company
2024 2023 2024 2023
£    £    £    £   
Deferred tax
Other timing differences 1,721,275 1,721,275 1,721,275 1,721,275
Accelerated capital allowances 2,177,112 1,920,114 2,177,112 1,920,114
3,898,387 3,641,389 3,898,387 3,641,389

Group
Deferred
tax
£   
Balance at 1 September 2023 3,641,389
Charge to Income Statement during year 256,998
Balance at 31 August 2024 3,898,387

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


23. PROVISIONS FOR LIABILITIES - continued

Company
Deferred
tax
£   
Balance at 1 September 2023 3,641,389
Charge to Income Statement during year 256,998
Balance at 31 August 2024 3,898,387

24. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
2,000 Ordinary £1 2,000 2,000

The Ordinary Shares all rank equally. Each share is entitled to one vote per share and is entitled pari passu to dividend payments or any other distributions.

25. RESERVES

Group
Retained
earnings
£   

At 1 September 2023 42,133,627
Profit for the year 1,791,151
Dividends (75,000 )
Deferred tax to Statement of
Changes in Equity

(134,000

)

Remeasurement gain / (loss) on
on defined benefit
pension plan 435,000
At 31 August 2024 44,150,778

Company
Retained
earnings
£   

At 1 September 2023 42,011,724
Profit for the year 1,791,151
Dividends (75,000 )
Deferred tax to Statement of
Changes in Equity

(134,000

)

Remeasurement gain / (loss) on
on defined benefit
pension plan 435,000
At 31 August 2024 44,028,875


HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


26. EMPLOYEE BENEFIT OBLIGATIONS

The Company operates a defined benefit pension arrangement called the Hillier Staff Pension Scheme (the Scheme). The Scheme provides benefits based on final salary and length of service on retirement, leaving service or death.

The Scheme is subject to the Statutory Funding Objective under the Pensions Act 2004. A valuation of the Scheme is carried out at least once every three years to determine whether the Statutory Funding Objective is met. As part of the process the Company must agree with the Trustees of the Scheme the contributions to be paid to meet the Statutory Funding Objective.

The most recent comprehensive actuarial valuation of the Scheme was carried out as at 6 April 2022 and the next valuation of the Scheme is due as at 6 April 2025. In the event that the valuation reveals a deficit, the Company may be required to restart contributions. However, the Company is not expected to pay contributions in the year to 31 August 2025.

The Scheme is managed by a board of Trustees appointed in part by the Company and part from elections by members of the Scheme. The Trustees have responsibility for obtaining valuations of the fund, administering benefit payments and investing the Scheme's assets. The Trustees delegate some of these functions to their professional advisers where appropriate.

The Scheme exposes the Company to a number of risks:

- Investment risk. The Scheme holds investments in asset classes, such as equities, which have volatile market values and, while these assets are expected to provide real returns over the long-term, the short-term volatility can cause additional funding to be required if deficits emerge.

- Interest rate risk. The Scheme's liabilities are assessed using market yields on high quality corporate bonds to discount the liabilities. As the Scheme holds assets such as equities, the value of the assets and liabilities may not move in the same way.

- Inflation risk. A significant proportion of the benefits under the Scheme are linked to inflation. Although the Scheme's assets are expected to provide a good hedge against inflation over the long term, movements over the short-term could lead to deficits emerging.

- Mortality risk. In the event that members live longer than assumed deficits may emerge in the Scheme.

Profile of defined benefit obligation
The weighted average duration of the defined benefit obligation is 13.5 years.

The amounts recognised in the balance sheet are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Present value of funded obligations (14,323,000 ) (13,869,000 )
Fair value of plan assets 15,856,000 14,777,000
1,533,000 908,000
Present value of unfunded obligations - -
Surplus 1,533,000 908,000
Deferred tax liability (383,000 ) (227,000 )
Net asset 1,150,000 681,000

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


26. EMPLOYEE BENEFIT OBLIGATIONS - continued

The amounts recognised in profit or loss are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Current service cost - -
Net interest from net defined benefit
asset/liability

(51,000

)

30,000
Past service cost - -
(51,000 ) 30,000

Actual return on plan assets 1,608,000 166,000

Changes in the present value of the defined benefit obligation are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Opening defined benefit obligation 13,869,000 15,777,000
Interest cost 704,000 651,000
Benefits paid (668,000 ) (553,000 )
Remeasurements:
Actuarial gains/(losses) from
changes in financial
assumptions 344,000 (2,390,000 )
Experience gains/(losses) on
defined benefit obligation 74,000 384,000
14,323,000 13,869,000

Changes in the fair value of scheme assets are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Opening fair value of scheme assets 14,777,000 14,958,000
Contributions by employer 139,000 206,000
Interest income on scheme
assets 755,000 621,000
Benefits paid (668,000 ) (553,000 )
Return on plan assets (excluding interest
income)

853,000

(455,000

)
15,856,000 14,777,000

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


26. EMPLOYEE BENEFIT OBLIGATIONS - continued

The amounts recognised in other comprehensive income are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Actuarial gains/(losses) from
changes in financial
assumptions (344,000 ) 2,390,000
Experience gains/(losses) on
defined benefit obligation (74,000 ) (384,000 )
Return on plan assets (excluding interest
income)

853,000

(455,000

)
435,000 1,551,000

The major categories of scheme assets as amounts of total scheme assets are as follows:

Defined benefit
pension plans
2024 2023
£    £   
Equities 7,304,000 10,569,000
Bonds 1,255,000 2,623,000
Property - 1,350,000
Conventional Gilts 3,543,000 -
Index Linked Gilts 3,714,000 -
Cash 40,000 235,000
15,856,000 14,777,000

The assets do not include any investment in shares of the Company.

Principal actuarial assumptions at the balance sheet date (expressed as weighted averages):

2024 2023
Discount rate 4.95% 5.20%

For the year ended 31st August 2024:-

Inflation assumption (RPI) 3.40% p.a. (2023: 3.60% p.a.)
Inflation (CPI) 2.40% p.a. until 2030 then 3.40% p.a. (2023: 2.60% p.a.
until 2030 then 3.60% p.a.)

The post-retirement mortality assumption table S3PA CMI 2021 has been used with an allowance for improvements in line with the Actuarial Profession's 2021 CMI projection, with a long term rate of 1.25%.

Members are assumed to take 20% of their pension as tax free cash.

2024 2023

Life expectancy at age 65 of male aged 45 23.4 23.3
Life expectancy at age 65 of male aged 65 22.1 22.0
Life expectancy at age 65 of female aged 45 25.9 25.8
Life expectancy at age 65 of female aged 65 24.5 24.4

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


26. - continued

Sensitivity of the value placed on the liabilities is as follows:


Adjustments to assumptions
Approximate effect on liabilities as
at 31 August 2024
£
Discount rate
Minus 0.10% p.a. + 172,000
Inflation
Plus 0.10% p.a. +105,000
Mortality
Increase the assumed long-term rate of mortality improvement to
1.5% p.a.

+ 93,000

Note that the above sensitivities are approximate and only show the likely effect of an assumption being adjusted whilst all other assumptions remain the same.

Projected Profit & Loss account for year to 31 August 2025 is as follows:


31 August
2025
£

Interest on liabilities 693,000
Interest on assets (769,000)
Total (76,000)

The above estimate is based on the assumptions adopted at 31st August 2024 and assumes the following:

- Cashflows to and from the Scheme are broadly the same as for the current period.
- There are no events (other than those already notified to us) that would give rise to a settlement, curtailment or past service cost.

Market conditions at 31 August 2024

The following market statistics were considered when setting the FRS 102 assumptions:


31 August
2024

iBoxx Over 15 Year AA Corporate Bond Yield 4.96% p.a.
Bank of England Implied Price Inflation (15 years) 3.41% p.a.

Defined contribution scheme

The company also operates staff defined contribution pension schemes. The assets of the schemes are held separately from those of the company in independently administered funds. Contributions payable by the company amounted to £822,920 (2023: £607,875). Included in creditors is an amount of £156,756 (2023: £199,191) in respect of pension payments owed at the year end.

27. CAPITAL COMMITMENTS
2024 2023
£    £   
Contracted but not provided for in the
financial statements 289,207 1,162,004

At the year end, the company was committed to capital expenditure in relation to a new growing structure in the Wholesale division, development work in the Amenity division and SameSystem (a workforce management solution computer system) implementation work in the Support Services division. The commitments will be funded with the working capital of the company.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


28. RELATED PARTY DISCLOSURES

Entities with control, joint control or significant influence over the entity
2024 2023
£    £   
Property rental costs 125,000 127,500

Entities over which the entity has control, joint control or significant influence
2024 2023
£    £   
Amount due from related party 100,000 100,000

The amount due from related party was unsecured and interest free.

Key management personnel of the entity or its parent (in the aggregate)
2024 2023
£    £   
Key management personnel compensation 830,563 734,537
Loan interest payable 7,313 8,702
Amount due to related party 94,337 97,859

The directors' loans receive interest at 2% above the bank's base rate. There are no fixed dates of repayment.

Entities that provide key management personnel services to the entity
2024 2023
£    £   
Key management personnel services - 41,708

Other related parties
2024 2023
£    £   
Sales - 9,362
Provision of services from related party 60,742 51,987
Income for use of Hillier Logo - 2,500
Property rental costs 172,800 172,500
Loan interest payable 35,855 30,002
Amount due from related party - 4,225
Amount due to related party 727,131 704,325

£280,000 (2023: £320,000) of amounts due to other related parties is secured over 1 freehold property. Interest is charged at 1% above base rate per annum. Repayments are made in annual instalments. The other amounts due to other related parties receive interest at 2% above the bank's base rate. There are no fixed dates of repayment. The amounts due from other related parties were unsecured and interest free.

29. ULTIMATE CONTROLLING PARTY

The group was controlled throughout the current and previous period by the Robert Hillier Settlement Trust and the John Hillier Settlement Trust who between them own all of the ordinary shares of the group. Neither of the trusts has a controlling party.

HILLIER NURSERIES LIMITED (REGISTERED NUMBER: 01260468)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 AUGUST 2024


30. RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS

Group
2024 2023
£    £   
Profit for the financial year 1,791,151 2,440,549
Dividends (75,000 ) (70,000 )
1,716,151 2,370,549
Other comprehensive income relating to the year (net) 301,000 1,227,000
Net addition to shareholders' funds 2,017,151 3,597,549
Opening shareholders' funds 42,135,627 38,538,078
Closing shareholders' funds 44,152,778 42,135,627


Company
2024 2023
£    £   
Profit for the financial year 1,791,151 2,318,646
Dividends (75,000 ) (70,000 )
1,716,151 2,248,646
Other comprehensive income relating to the year (net) 301,000 1,227,000
Net addition to shareholders' funds 2,017,151 3,475,646
Opening shareholders' funds 42,013,724 38,538,078
Closing shareholders' funds 44,030,875 42,013,724