| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Financial Statements for the Year Ended 30 November 2024 |
| for |
| Hanson Plywood Limited |
| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Financial Statements for the Year Ended 30 November 2024 |
| for |
| Hanson Plywood Limited |
| Hanson Plywood Limited (Registered number: 00336717) |
| Contents of the Financial Statements |
| for the Year Ended 30 November 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 6 |
| Report of the Independent Auditors | 8 |
| Profit and Loss Account | 12 |
| Balance Sheet | 13 |
| Statement of Changes in Equity | 14 |
| Notes to the Financial Statements | 15 |
| Hanson Plywood Limited |
| Company Information |
| for the Year Ended 30 November 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Network House |
| Stubs Beck Lane |
| Cleckheaton |
| BD19 4TT |
| Hanson Plywood Limited (Registered number: 00336717) |
| Strategic Report |
| for the Year Ended 30 November 2024 |
| The directors present their strategic report of the company and the company for the year ended 30 November 2024. |
| The company operates as one of the UK's principal importers and distributors of timber-based panel products. The business provides a nationwide service to a wide ranging and diverse customer base, including merchants and specialist manufacturers. |
| There is a specific focus on technical training and environmental awareness and the business engages closely with suppliers from around the world to ensure relationships are supportive, progressive, and mutually beneficial. The company has a program of ongoing staff training and recruitment to ensure the business can operate at high levels of service within the industry. |
| Products and services are presented directly to architects and specifiers to promote awareness of a wide range of fit-for-purpose products. This continues to be supported by the company's constantly updated virtual showroom which provides the opportunity to welcome visitors without the need to travel or have physical interaction. |
| The business has a very carefully considered approach to all matters of environmental, ethical and technical concern which is managed through the company's dedicated HEAT Team (Hanson Environmental And Technical Team). The purpose of HEAT is to ensure that the company provides trusted and valuable resources to our clients in matters and principles which the company regards as at the core of our trading ethos. |
| REVIEW OF BUSINESS |
| With global demand still at a low ebb and continued political and economic uncertainties, the trading year has been one of consolidation and protection. Profit revenue has been further held back by a combination of increasing overhead costs and diminished material values. |
| Despite the significant challenges faced, the final profit is again in line with the budget projections set out for the year and further reflects the core strengths of the business. |
| Credit control systems ensure a high level of operational awareness. All sales staff are credit control trained to ensure they support the dedicated accounts credit control team with good knowledge and due diligence. This results in consistently low levels of bad debt costing £72,406 for the year (2023 - £50,413). |
| Revenue for the financial year was £56,831,646 (2023 - £64,548,173) a decrease on last year of 12%. |
| Operating profit was £4,231,218 (2023 - £4,378,924) a decrease of 3.4%. |
| Profit after tax was £3,221,989 compared to £3,386,038 last year. |
| Net assets (total equity) were £29,414,930 (2023 - £28,048,604). |
| The business continues to operate with healthy working capital and adequate cash reserves that support progressive and unrestricted trading opportunities. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Strategic Report |
| for the Year Ended 30 November 2024 |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| Procedures for identifying, quantifying, and managing the risks faced by the company are in place and undergo constant monitoring and analysis across all operations. |
| The business mitigates trading risks by ensuring products are distributed over a very wide range of industries covering various economic sectors. Stocks are carefully monitored to ensure volumes are in line with current and future demands, and there is minimal risk from reduced values or market demand. |
| Computers and IT risks are covered by storing and managing data offsite. Cyber security continues to be of increasing concern, the company has measures in place to ensure protective antivirus systems are fully always maintained. Back-up systems are regularly reviewed to ensure the business remains operational in the event of any power failures affecting the company. |
| The relatively new company operating software system is being further optimised to ensure every aspect of company performance can be effectively monitored. |
| The system provides more detailed reporting information to assist the principal managers of the business in quickly identifying any areas of risk or concern. |
| The company maintains a disaster recovery plan which can be immediately implemented should the business experience any catastrophic event. |
| The directors continue to monitor specific business sectors to ensure stocks are managed in accordance with any significant factors which may adversely influence industry trading patterns. Staff actively manage and report on performance against budgets, performance targets and capital expenditure. |
| Global matters and concerns have an increasing influence on our business and our ability to trade with a defined and settled strategy. The company must therefore retain a high level of agility within the business to mitigate the prevailing risks and continue to trade successfully. |
| The company operates using a Quality Management System that is certified to ISO 9001:2015 standard. This provides a framework of continuous improvement for the company and its processes. Specifically tailored stock management systems enable the business to carefully control all product company's and to also reduce non-conformity to absolute minimum levels. |
| All aspects of the business are analysed and managed using key performance indicators (KPI's) as principal management tools. The directors actively manage and report on UK and global markets and economies to ensure the company can react accordingly. |
| SECTION 172(1) STATEMENT |
| The directors have due consideration of their responsibilities and duties and work according to this section of the Companies Act. |
| All decisions taken by the directors are done so with due consideration of the long-term effects of those decisions and to endeavour to ensure the interests of the business and its stakeholders are considered and supported in the optimum manner. Staff consultations and comprehensive appraisal systems underpin these practices. |
| Employee welfare, training and development is a primary focus for the directors. Human resource management systems are in place which provide personal support and opportunities for career development. In addition to this the business's staff welfare facilities are being constantly reviewed and upgraded as we endeavour to provide a comfortable and enjoyable working environment. |
| The directors monitor the impact of the business on its neighbours and the local community. Measures are in place to make sure our business operations are conducted in a manner which is considerate and respectful to our neighbours. Local residents and businesses are openly invited to visit the premises to help ensure the company is fully integrated and supportive to the local community. |
| The business works closely with The Community Foundation for Calderdale to provide support to community projects and services. The company is closely associated with numerous sporting organisations and social clubs and provides support for their activities. |
| The company strives to be regarded as a respectful and considerate business which considers the needs of its stakeholders, trading partners, and the local community. |
| All operations are conducted with a fair and equitable approach to all staff, and anyone associated with the business. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Strategic Report |
| for the Year Ended 30 November 2024 |
| ENVIRONMENT |
| Reduction and mitigation of environmental impacts is a key focus, and the company operates an Environmental Management System (certified to ISO 14001:2015) to monitor these matters. |
| As an importer of timber-based products, procurement presents the most pressing concern for the company and careful consideration is given to the sustainability and legality of wood-based panel products sourced from high-risk countries. Since the enactment of the European Union Timber Regulation (EUTR), there were legal ramifications for not carrying out sufficient due diligence on the supply chains of products sourced from outside of the EU. Following the UK's departure from the European Union in January 2021, the company must now comply with the UK Timber Regulation (UKTR). The regulation now includes products purchased from the EU (as opposed to just non-EU purchases). To comply with UKTR, the company has a developed Due Diligence Systems that are certified and externally audited under the Timber Trade Federation's Responsible Purchasing Policy. This has been modified for tighter controls to give more transparency over the supply chain. |
| Within a strong focus on the legality of supply chains, the company is certified under FSC® and PEFC™ Chain of Custody management schemes. This ensures that all goods certified under these schemes have been sourced from certified forest management units who operate with sustainable forest management plans. The company monitors the purchase of certified goods annually and in 2022/23 96% of all purchases of timber-based products were certified under either FSC or PEFC chain of custody management systems. In 2023/24, the company purchased 86% under the certificate FSC or PEFC supply chains and FLEGT. Directors and employees have seen several Mills, logging concession and private forest owners moving away from FSC certification, so in turn the business has seen a rise in PEFC certified products. The company is still not purchasing any products that can originate from Russia, Belarus or Ukraine due to responsible and ethical sourcing decisions around conflict timber. |
| The business retains strong ties with trade in Indonesia and this has allowed it to benefit from the Forest Law Enforcement, Governance and Trade Voluntary Partnership Agreement between the UK and Indonesia. The Indonesian government operate a nation-wide timber legality assurance system ensuring that all exported timber products legally comply with UKTR and do not require due diligence as a result. In 2023/24 the company purchased 17% (2022/23 - 15%) FLEGT products. |
| Other important environmental considerations are those of fuel consumption and waste management. These are monitored monthly through the help of a telematics solution that diagnoses vehicle performance. The business has an online platform which allows its transport manager to monitor trends of both the driver and the vehicle. This allows for changes to be put in place allowing for better fuel efficiency if needed. Towards the end of 2023 the company began leasing an all-electric HGV for local delivery routes. The benefits of this have been significant giving zero emissions and a dramatic drop in noise pollution. The new HGV has also had a benefit for customers, allowing their emissions on deliveries to be lowered. |
| For recycling, the supplier which supports the business in recycling, has vehicles that can obtain accurate weight figures for waste collections. The company directly recycled around 90% of waste produced on site. The remaining 10% (General Waste) is diverted from land fill to a material recovery facility where it is further segregated and potentially recycled. All of the company's wood waste is sent for re-use in joinery and rehabilitation programmes. Alongside a zero-waste-to-landfill policy, the company has implemented management-led strategies on the reduction of single use plastics with set targets to reduce packaging purchased and used. |
| The company has signed up to a Packaging Regulations Compliance Scheme monitored by Waste Pack. This not only ensures compliance with packaging obligations but also presents a financial incentive to reduce packaging. The company appreciates that many of its suppliers are focusing on reducing their plastic packaging and opting for a more sustainable alterative such as paper/cardboard, which contributes to the business reaching its recycling targets. |
| As a member of Planet Mark's Business Certification programme, the company monitors operational carbon emissions and is incentivized to reduce environmental impacts. To retain certification, evidence must be obtained to demonstrate that emissions have been reduced by at least 5% annually. The company's ongoing environmental achievements have consistently met this requirement. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Strategic Report |
| for the Year Ended 30 November 2024 |
| SOCIAL RESPONSIBILITY |
| The company has strong ethics on social responsibility which continually reviewed and enhanced. |
| The business now employs 81 people both part time and full time from a single site in Halifax, West Yorkshire and places a lot of emphasis on the way employees are cared for, ensuring that they always feel valued and secure in their employment. To support of this, the company has the following internal policies in place: |
| o Equal Opportunities Policy |
| o Anti-Corruption & Bribery Policy |
| o Staff Privacy Policy |
| o Health & Safety Policy |
| With the above in mind, the company has the greatest confidence that no employees are exploited or forced into compulsory labour in line with the Modern Slavery Act 2015. |
| This confidence also extends to the company's supply chain, where a robust Due Diligence System and recognised Third Party Certification schemes (such as FSC®, PEFC™ and FLEGT) work to eliminate modern slavery and human trafficking from our supply chains. |
| A system is in place to ensure that relevant staff within the business can recognise signs of forced labour and human trafficking and employ appropriate prevention measures. |
| To further demonstrate a strong commitment to corporate social responsibility, the company subscribes to EcoVadis (a CSR ratings platform) and has been awarded a gold medal with a scoring of 65/100 and ranking in the 84th percentile of all EcoVadis companies. This platform assesses the company's commitment to 4 modules: environment, labour & human rights, ethics, and sustainable procurement. |
| HEALTH AND SAFETY |
| A Health & Safety Management System is in operation. Aspects of this system are integrated into the Quality and Environmental Management Systems with weekly checks of high-risk areas and considerable investment into the latest safety equipment and PPE. Staff are fully aware of requirements under HSE, and the company monitors any noted hazards against the number of near misses and accidents to locate areas of notable risk to the health and safety of employees, customers, visitors, and other persons affected by the operations of the company. |
| ON BEHALF OF THE BOARD: |
| Hanson Plywood Limited (Registered number: 00336717) |
| Report of the Directors |
| for the Year Ended 30 November 2024 |
| The directors present their report with the financial statements of the company for the year ended 30 November 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of timber merchants. |
| DIVIDENDS |
| An interim dividend of £ |
| The total distribution of dividends for the year ended 30 November 2024 will be £ |
| FUTURE DEVELOPMENTS |
| In May 2024 the company completed the construction of a new warehouse facility which consolidates the current requirements of the business, whilst also providing extra capacity for further growth. The addition of the new resource allows the business to reduce its dependency on port of arrival warehousing, and significantly reduce external storage costs. |
| Extra staff resources were added to the Environmental and Technical Team (HEAT) as the business further steps up its capacity to provide the highest standards of assurance in all environmental, ethical, and technical considerations. The board will maintain a flexible, optimistic, and initiative-taking approach to all matters of sustainability and environmental care within the business and operations and will continue to encourage others to engage and assist it in these processes. |
| The Marketing & Media department has also further expanded its resources as it continues to support the sales department, with a particular focus on promoting the company's reputation for strong advisory support to industry. The company website provides a detailed presentation of its services and capabilities. |
| There are plans to further develop the Hanson Plywood Virtual Showroom to provide visitors with industry leading resources that are available at all times. |
| The company operates with a high degree of working flexibility to allow both remote and hybrid working capacity within the business which provides both social and environmental benefits as company journeys are kept to a minimum and more social time is created. |
| Operating systems are always under constant review and are being further enhanced to ensure the business can function to optimum levels of efficiency. The ERP system is now providing the company with the more advanced operational and logistical benefits identified when initially evaluating the system. |
| The directors continue to work on strategies which will promote further opportunities and growth. The core strength of the business is providing specialist products and technical advice which is of strong value in the marketplace. A highly flexible and adaptable approach will be maintained to ensure the business is well equipped to adjust to the prevailing market conditions, whatever they may be. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 December 2023 to the date of this report. |
| POLITICAL DONATIONS AND EXPENDITURE |
| All donations are charitable not political. |
| THIRD PARTY INDEMNITY PROVISION FOR DIRECTORS |
| Qualifying third party indemnity provision for the directors is in place for the benefit of all directors of the company. |
| ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS |
| The company has a clear policy to foster support and goodwill towards all parties that are in any way linked with the business. It is recognised that within all trading relationships there is an interdependency which needs to be respected and understood to enable all parties to flourish. |
| The company continues to endeavour to create an environment where there is an appreciation of the need for equitable profit returns which underpin long-term prosperity within trading chains. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Report of the Directors |
| for the Year Ended 30 November 2024 |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
| - | select suitable accounting policies and then apply them consistently; |
| - | make judgements and accounting estimates that are reasonable and prudent; |
| - | state whether applicable 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 transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
| ON BEHALF OF THE BOARD: |
| Report of the Independent Auditors to the Members of |
| Hanson Plywood Limited |
| Opinion |
| We have audited the financial statements of Hanson Plywood Limited (the 'company') for the year ended 30 November 2024 which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
| In our opinion the financial statements: |
| - | give a true and fair view of the state of the company's affairs as at 30 November 2024 and of its profit for the year then ended; |
| - | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
| - | have been prepared in accordance with the requirements of the Companies Act 2006. |
| Basis for opinion |
| We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
| Conclusions relating to going concern |
| In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
| Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
| Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
| Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
| In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| - | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
| Matters on which we are required to report by exception |
| In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
| We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
| - | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the financial statements are not in agreement with the accounting records and returns; or |
| - | certain disclosures of directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit. |
| Report of the Independent Auditors to the Members of |
| Hanson Plywood Limited |
| 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 company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
| Report of the Independent Auditors to the Members of |
| Hanson Plywood 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: |
| 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. |
| We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations; this responsibility lies with management. |
| 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 company through discussions with the directors and the compliance officer and from our commercial knowledge and experience of other regulated entities. |
| We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or operation of the company. |
| These included the Companies Act 2006 and legislation for taxation, data protection, anti-bribery, employment and health & safety. The company is also subject to the Construction Products Regulation with particular reference to EN13986 for wood-based panel products. This means that all of its products which are intended for permanent use in construction have to have a CE mark. The company operates a fleet of wagons for delivering its products and therefore has to have a valid Goods Vehicle Operating Licence. |
| We assessed the extent of compliance with these laws and regulations through making enquiries of the managing director and the company's compliance officer. We also reviewed minutes of board meetings. |
| Considerations relating to the Construction Products Regulation are as follows. The company is a distributor not a manufacturer so it has no responsibility for obtaining a CE mark; rather its obligation is to check that products bought and sold have a CE mark. The company does this by having procedures in place to ensure that no products are bought without a CE mark which could possibly be used for construction. This refers to a number of different product types that the company distributes. We checked that certificates were in force, issued by an independent company, to certify that the company had appropriate procedures in place to ensure compliance under the Construction Products Regulation. |
| We checked that the Goods Vehicle Operating Licence was valid during the year and at the year end. |
| 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 enquired of the directors if there was any actual or potential litigation or claims involving the company. |
| We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur by the following procedures. |
| We asked the finance director as to where she considered there was susceptibility to fraud and whether she had knowledge of actual, suspected or alleged fraud. |
| We considered the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
| We used an online audit package to guide our audit work so that we maximised the likelihood of detection of irregularities, including fraud. |
| We addressed the fraud risk relating to management override of controls by the following procedures: |
| - We carried out journal testing and analytical procedures to identify any unusual matters. |
| - We assessed whether there was any potential management bias evident in making judgements and assumptions underlying accounting estimates. |
| - We investigated the rationale behind significant or unusual transactions. |
| - We addressed the fraud risk relating to revenue recognition by carrying out substantive testing of sales and accrued income |
| Report of the Independent Auditors to the Members of |
| Hanson Plywood Limited |
| 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 |
| Network House |
| Stubs Beck Lane |
| Cleckheaton |
| BD19 4TT |
| Hanson Plywood Limited (Registered number: 00336717) |
| Profit and Loss Account |
| for the Year Ended 30 November 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ |
| TURNOVER | 3 |
| Cost of sales |
| GROSS PROFIT |
| Distribution costs |
| Administrative expenses |
| 7,894,404 | 8,141,179 |
| 3,987,671 | 4,138,928 |
| Other operating income |
| OPERATING PROFIT | 6 |
| Income from fixed asset investments |
| Interest receivable and similar income |
| 138,058 | 69,624 |
| 4,369,276 | 4,448,548 |
| Interest payable and similar expenses | 7 |
| PROFIT BEFORE TAXATION |
| Tax on profit | 8 |
| PROFIT FOR THE FINANCIAL YEAR |
| Hanson Plywood Limited (Registered number: 00336717) |
| Balance Sheet |
| 30 November 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 10 |
| Tangible assets | 11 |
| Investments | 12 |
| CURRENT ASSETS |
| Stocks | 13 |
| Debtors | 14 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 15 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year | 16 | ( |
) | ( |
) |
| PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 20 |
| Fair value reserve |
| Retained earnings |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| Hanson Plywood Limited (Registered number: 00336717) |
| Statement of Changes in Equity |
| for the Year Ended 30 November 2024 |
| Called up | Fair |
| share | Retained | value | Total |
| capital | earnings | reserve | equity |
| £ | £ | £ | £ |
| Balance at 1 December 2022 |
| Changes in equity |
| Total comprehensive income | - |
| Balance at 30 November 2023 |
| Changes in equity |
| Dividends | - | ( |
) | - | ( |
) |
| Total comprehensive income | - | ( |
) |
| Balance at 30 November 2024 |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements |
| for the Year Ended 30 November 2024 |
| 1. | STATUTORY INFORMATION |
| Hanson Plywood Limited is a |
| The presentation currency of the financial statements is the Pound Sterling (£). |
| The principal activity of the company for the year under review was that of timber merchants. |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Financial Reporting Standard 102 - reduced disclosure exemptions |
| The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
| • | the requirements of Section 7 Statement of Cash Flows; |
| • | the requirement of paragraph 3.17(d). |
| The company is exempt from preparing a cashflow statement because it is a member of a group that prepares a consolidated cashflow statement. The parent company is Hanson Plywood (Holdings) Limited and their consolidated financial statements are filed at Companies House. |
| Critical accounting judgements and key sources of estimation uncertainty |
| Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include: |
| Sales rebate provision |
| The company offers volume rebate to some customers based on sales in a calendar year. The provision relating to the accounting year is estimated based on sales. The amount included in other creditors this year is £323,582 with estimation uncertainty range of £270,000 to £350,000 (2023: £453,283 with estimation uncertainty range of £400,000 to £475,000). |
| Purchase rebate provision |
| The company is entitled to a volume rebate based on purchases in a calendar year. The provision relating to the accounting year is estimated based on purchases. The amount included in other debtors this year is £729,312 with estimation uncertainty range of £650,000 to£770,000 (2023: £810,588 with estimation uncertainty range of £725,000 to £825,000). |
| Turnover |
| Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
| Turnover is recognised when the risks and rewards are transferred to the customer, which is usually upon delivery to the customer. |
| 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. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Tangible fixed assets |
| Freehold property | - |
| Short leasehold | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| Computer equipment | - |
| Fixed assets are initially recognised when costs are incurred and depreciated from when they are brought into use. Fixed assets are written down in value if there is any indication of impairment. |
| Stocks |
| Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
| Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition. |
| The cost of stock is computed using the weighted average cost formula. |
| Financial instruments |
| Basic financial assets and liabilities are recognised when the company becomes a party to the contractual provisions of the instrument |
| Basic financial assets and liabilities are initially recognised at transaction price, unless the arrangement constitutes a financing transaction. Financing transactions are measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
| Basic financial assets and liabilities consist of trade debtors, other debtors, cash and bank, trade creditors and inter-company balances (payable on demand). These assets and liabilities are measured at amortised cost equivalent to the undiscounted amount of cash or other consideration expected to be paid or received. |
| Investments are measured at fair value with movements being posted through the profit and loss account. Investments are quoted and are valued at open market values. |
| 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 is posted through the profit and loss. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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. |
| 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. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Hire purchase and leasing commitments |
| Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
| The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
| Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| Fair value measurement |
| Investments are stated at market value in the balance sheet, Unrealised gains are shown in other operating income on the profit and loss account. An amount equal to unrealised gains less the related deferred tax charge is transferred to fair value reserve at the year end. |
| 3. | TURNOVER |
| The turnover and profit before taxation are attributable to the one principal activity of the company. |
| An analysis of turnover by geographical market is given below: |
| 2024 | 2023 |
| £ | £ |
| United Kingdom |
| Europe |
| Asia |
| 4. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Distribution | 45 | 42 |
| Administration | 18 | 17 |
| Sales | 18 | 16 |
| 5. | DIRECTORS' EMOLUMENTS |
| 2024 | 2023 |
| £ | £ |
| Directors' remuneration |
| Directors' pension contributions to money purchase schemes |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 5. | DIRECTORS' EMOLUMENTS - continued |
| The number of directors to whom retirement benefits were accruing was as follows: |
| Money purchase schemes |
| Information regarding the highest paid director is as follows: |
| 2024 | 2023 |
| £ | £ |
| Emoluments etc |
| Pension contributions to money purchase schemes |
| 6. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 2024 | 2023 |
| £ | £ |
| Hire of plant and machinery |
| Other operating leases |
| Depreciation - owned assets |
| Depreciation - assets on hire purchase contracts |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Patents and licences amortisation |
| Auditors' remuneration |
| Taxation compliance services |
| Taxation advisory services |
| Other non- audit services |
| Foreign exchange differences | ( |
) | ( |
) |
| Stock provision movement | ( |
) | ( |
) |
| Impairment of trade debtors |
| Unrealised gains (losses) on investments |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £ | £ |
| Bank interest |
| Interest payable to HMRC |
| Hire purchase |
| 8. | 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 |
| Previous year adjustment | (193,829 | ) | (482 | ) |
| Total current tax |
| Deferred tax: timing |
| Tax on profit |
| UK corporation tax has been charged at 25% (2023 - 23.01%). |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 8. | TAXATION - continued |
| 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 |
| Profit multiplied by the standard rate of corporation tax in the UK of |
| Effects of: |
| Expenses not deductible for tax purposes |
| Income not taxable for tax purposes | ( |
) | ( |
) |
| Capital allowances in excess of depreciation | - | ( |
) |
| Adjustments to tax charge in respect of previous periods | ( |
) |
| Deferred tax | - | 83,671 |
| Chargeable gain | - | 237 |
| Total tax charge | 1,119,370 | 1,048,762 |
| The applicable tax rate has increased due to corporation tax rates being increased by the government. |
| The net reversal of deferred tax liabilities expected to occur during the following year is £13,846 (2023: £12,759) which relates to the payment of employer pension contributions and the release of deferred government grant. |
| 9. | DIVIDENDS |
| 2024 | 2023 |
| £ | £ |
| Ordinary shares of £1 each |
| Interim |
| 10. | INTANGIBLE FIXED ASSETS |
| Patents |
| and |
| licences |
| £ |
| COST |
| At 1 December 2023 |
| and 30 November 2024 |
| AMORTISATION |
| At 1 December 2023 |
| Amortisation for year |
| At 30 November 2024 |
| NET BOOK VALUE |
| At 30 November 2024 |
| At 30 November 2023 |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 11. | TANGIBLE FIXED ASSETS |
| Freehold | Short | Plant and |
| property | leasehold | machinery |
| £ | £ | £ |
| COST |
| At 1 December 2023 |
| Additions |
| Disposals |
| At 30 November 2024 |
| DEPRECIATION |
| At 1 December 2023 |
| Charge for year |
| Eliminated on disposal |
| At 30 November 2024 |
| NET BOOK VALUE |
| At 30 November 2024 |
| At 30 November 2023 |
| Fixtures |
| and | Motor | Computer |
| fittings | vehicles | equipment | Totals |
| £ | £ | £ | £ |
| COST |
| At 1 December 2023 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) | ( |
) |
| At 30 November 2024 |
| DEPRECIATION |
| At 1 December 2023 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) | ( |
) | ( |
) |
| At 30 November 2024 |
| NET BOOK VALUE |
| At 30 November 2024 |
| At 30 November 2023 |
| Included in cost of land and buildings is freehold land of £ 995,756 (2023 - £ 1,040,150 ) which is not depreciated. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 11. | TANGIBLE FIXED ASSETS - continued |
| Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
| Motor |
| vehicles |
| £ |
| COST |
| At 1 December 2023 |
| Transfer to ownership | (261,889 | ) |
| At 30 November 2024 |
| DEPRECIATION |
| At 1 December 2023 |
| Charge for year |
| Transfer to ownership | (199,742 | ) |
| At 30 November 2024 |
| NET BOOK VALUE |
| At 30 November 2024 |
| At 30 November 2023 |
| 12. | FIXED ASSET INVESTMENTS |
| Listed |
| investments |
| £ |
| COST OR VALUATION |
| At 1 December 2023 |
| Additions |
| Disposals | ( |
) |
| Revaluations | ( |
) |
| At 30 November 2024 |
| NET BOOK VALUE |
| At 30 November 2024 |
| At 30 November 2023 |
| Cost or valuation at 30 November 2024 is represented by: |
| Listed |
| investments |
| £ |
| Valuation in 2020 | 80,688 |
| Valuation in 2021 | (11,304 | ) |
| Valuation in 2022 | (48,616 | ) |
| Valuation in 2023 | 8,023 |
| Valuation in 2024 | (28,791 | ) |
| All investments were True Potential branded funds held on the True Potential investment platform. All investments were sold during the year. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 13. | STOCKS |
| 2024 | 2023 |
| £ | £ |
| Goods for resale |
| Work-in-progress |
| Replacement cost of stock would be similar to historic weighted average cost for both this year and the previous year. |
| 14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade debtors |
| Amounts owed by group undertakings |
| Other debtors |
| Prepayments |
| 15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Hire purchase contracts (see note 17) |
| Payments on account |
| Trade creditors |
| Amounts owed to group undertakings |
| Tax |
| Social security and other taxes |
| VAT | 742,243 | 650,862 |
| Other creditors |
| Accrued expenses |
| Deferred government grants |
| 16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Hire purchase contracts (see note 17) |
| Deferred government grants |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 17. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Hire purchase contracts |
| 2024 | 2023 |
| £ | £ |
| Gross obligations repayable: |
| Within one year |
| Between one and five years |
| Finance charges repayable: |
| Within one year |
| Between one and five years |
| Net obligations repayable: |
| Within one year |
| Between one and five years |
| Non-cancellable operating | leases |
| 2024 | 2023 |
| £ | £ |
| Within one year |
| Between one and five years |
| In more than five years |
| 18. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| 2024 | 2023 |
| £ | £ |
| Hire purchase contracts | 326,021 | 449,825 |
| The hire purchase creditors are secured on the relevant assets. |
| 19. | PROVISIONS FOR LIABILITIES |
| 2024 | 2023 |
| £ | £ |
| Deferred tax |
| Accelerated capital allowances |
| Other timing differences | 60,350 | 65,822 |
| 755,054 | 412,615 |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 19. | PROVISIONS FOR LIABILITIES - continued |
| Deferred |
| tax |
| £ |
| Balance at 1 December 2023 |
| Provided during year |
| Balance at 30 November 2024 |
| 20. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary | £1 | 1,002 | 1,002 |
| The shares hold full voting rights, full dividend rights, full rights on winding up and are non redeemable. |
| 21. | PENSION COMMITMENTS |
| Outstanding pension contributions accrued at the balance sheet date total £62,133 (2023: £60,035) These payments are due to the Hanson Plywood Limited employee pension scheme. |
| 22. | ULTIMATE PARENT COMPANY |
| Hanson Plywood Group Ltd is regarded by the directors as being the company's ultimate parent company. |
| The registered office of the ultimate parent company is the same as this company. This company is included in the consolidated accounts of its immediate parent, Hanson Plywood (Holdings) Limited but consolidated accounts for Hanson Plywood Group Ltd will first be compiled up to 30 November 2025. Copies of the consolidated accounts with the immediate parent may be obtained from that company's registered office address. |
| 23. | CAPITAL COMMITMENTS |
| 2024 | 2023 |
| £ | £ |
| Contracted but not provided for in the |
| financial statements |
| 24. | OTHER FINANCIAL COMMITMENTS |
| Duty deferment is backed by a £1.5 million (2023: £1.5 million) guarantee given in favour of HM Revenue & Customs via the company's bankers. |
| 25. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| The following advances and credits to a director subsisted during the years ended 30 November 2024 and 30 November 2023: |
| 2024 | 2023 |
| £ | £ |
| Balance outstanding at start of year |
| Amounts advanced |
| Amounts repaid | ( |
) |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year |
| The loan was advanced and repaid during the previous year. No interest was charged on the overdrawn loan account. |
| Hanson Plywood Limited (Registered number: 00336717) |
| Notes to the Financial Statements - continued |
| for the Year Ended 30 November 2024 |
| 26. | 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. |
| 2024 | 2023 |
| £ | £ |
| Rent payable | 162,500 | 163,243 |
| Advertising | 1,886 | 2,680 |
| 27. | ULTIMATE CONTROLLING PARTY |
| The controlling party is Hanson Plywood (Holdings) Limited. |
| The ultimate controlling party is |