| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Audited Financial Statements For The Year Ended 31 December 2024 |
| for |
| T.S.L. Contractors Ltd. |
| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Audited Financial Statements For The Year Ended 31 December 2024 |
| for |
| T.S.L. Contractors Ltd. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Contents of the Financial Statements |
| For The Year Ended 31 December 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 4 |
| Report of the Independent Auditors | 6 |
| Statement of Comprehensive Income | 10 |
| Statement of Financial Position | 12 |
| Statement of Changes in Equity | 13 |
| Statement of Cash Flows | 14 |
| Notes to the Statement of Cash Flows | 15 |
| Notes to the Financial Statements | 17 |
| T.S.L. Contractors Ltd. |
| Company Information |
| For The Year Ended 31 December 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| INDEPENDENT AUDITORS: |
| Chartered Accountants & Statutory Auditors |
| Regent Court |
| 70 West Regent Street |
| Glasgow |
| G2 2QZ |
| SOLICITORS: |
| Ben Nevis Auction Mart |
| Torlundy |
| Fort William |
| PH33 6SW |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Strategic Report |
| For The Year Ended 31 December 2024 |
| The directors present their strategic report for the year ended 31 December 2024. |
| REVIEW OF BUSINESS |
| During financial year 2024, the Company achieved a turnover of £36.5m and net profit of £1.2m, with an EBITDA of £2.03m. |
| Following a difficult 2023, this year marked a significant return to form across the business, with strong performances from Construction and related activities, as well as for Skyhook, delivering a varied range of projects for an increasing and valued set of new and repeat clients in a diverse range of industry sectors. |
| While the business is exposed to the same factors that other comparable operators must contend with, such as continuing materials and wage inflation, recruitment challenges, tight financial constraints, etc, careful management of a multitude of larger and smaller projects and development of key client relationships, has resulted in excellent trading results backed importantly by significant recovery of cash and working capital position - crucial to providing a strong platform for growth and investment. |
| Construction turnover was derived from several sectors - ongoing social housing projects, (substructure and superstructure), larger industrial projects supporting the burgeoning Blue Economy in the area, as well as private commercial new builds and listed building refurbishments, formed the backbone of 2024, with significant Commercial works for Tier 1 contractors in the Energy Sector commencing in Q4 and programmed for continuation, until at least 2026. Challenges include project slippage, around planning delays, changes to work scopes, weather impacts, logistical hurdles etc, but TSL's collaborative and flexible approach has enabled solid margin recovery whilst delivering the projects to client satisfaction - evidenced by repeat custom and future works negotiation. |
| Skyhook continued to grow its reputation for being a dependable, adaptable and cost-effective solution for remote construction/material delivery, aerial survey and mast building, working with blue chip communication and infrastructure companies to deliver key projects across the UK and Ireland, but also supporting smaller projects and clients in deer/stock fencing and aerial concrete delivery and placement. At the end of the year, investment was made in a new, state of the art, Airbus H125 Utility aircraft, which confirms our commitment to improving our customer offering. In parallel we invested in the support structure for operating a third aircraft with the anticipation that this comes online Q1 2025 and enables greater availability and less maintenance downtime to build client confidence and associated capability. |
| For 2025, the outlook for the main revenue producing activities of Construction and Skyhook is very strong - the Energy Transmission sector is undergoing a huge increase in activity, powered by the drive for Net Zero, resulting in significant infrastructure works, mainly concentrated in Scotland which will provide opportunities for both Construction and Helicopter Support Services, which we believe TSL will be well placed to deliver. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Strategic Report |
| For The Year Ended 31 December 2024 |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| Finance risk management objectives and policies |
| The company's operations expose it to a variety of financial risks that include the effects of changes in credit risk, liquidity risk and interest rate risk. The company seeks to limit the adverse effects on the financial performance by monitoring levels of debt finance and related finance costs. |
| Credit risk |
| The company has implemented a policy that requires credit checks on potential customers, where sales will be made on credit, before the transaction takes place. The amount of exposure to any individual counterparty is subject to limit which is regularly assessed by the directors. |
| Liquidity risk |
| The company aims to mitigate risk by managing cash generated by its operations. |
| Interest rate cash flow risk |
| While the company utilises external debt, its exposure to interest rate risk is kept to a minimum. The directors will revisit the appropriateness of this policy should the company's operations change in size or nature. |
| GOING CONCERN |
| The directors have assessed that the company has adequate resources to meet the ongoing costs of the business for a minimum of 12 months from the date of signing the financial statements. Accordingly, they continue to adopt the going concern basis in preparing the financial statements. |
| KEY PERFORMANCE INDICATORS |
| The directors have identified the following key financial performance indicators : |
| 2024 | 2023 |
| Turnover | £36,501,739 | £26,166,915 |
| Gross profit | 8% | 2% |
| Net assets | £7,368,391 | £6,466,034 |
| ON BEHALF OF THE BOARD: |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Report of the Directors |
| For The Year Ended 31 December 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of construction work, road haulage, supply of quarry materials and the provision of aviation services for the construction industry and other sectors. |
| DIVIDENDS |
| No interim or final dividend was paid during the year. |
| DIRECTORS |
| Other changes in directors holding office are as follows: |
| 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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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; |
| - | 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. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Report of the Directors |
| For The Year Ended 31 December 2024 |
| 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 ought to have taken as a director in order to make himself 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 |
| T.S.L. Contractors Ltd. |
| Opinion |
| We have audited the financial statements of T.S.L. Contractors Ltd. (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 31 December 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. |
| Report of the Independent Auditors to the Members of |
| T.S.L. Contractors Ltd. |
| 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. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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 |
| T.S.L. Contractors Ltd. |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
| - The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
| - We identified the laws and regulations applicable to the company through discussions with directors and other management, and from our wider knowledge and experience; |
| - We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006 and FRS 102. |
| - We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
| - Identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
| We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
| - Making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
| - Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations |
| Audit response to risks identified |
| To address the risk of fraud through management bias and override of controls, we: |
| - Performed analytical procedures to identify any unusual or unexpected relationships; |
| - Tested journal entries to identify unusual transactions; |
| - Assessed whether judgements and assumptions made in determining the accounting estimates set out were indicative of potential bias; and |
| - Investigated the rationale behind significant or unusual transactions. |
| In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
| - Agreeing financial statement disclosures to underlying supporting documentation; |
| - Enquiring of management as to actual and potential litigation and claims; and |
| - Requesting correspondence with HMRC, Companies House and the company's legal advisors. |
| There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
| Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
| A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
| Report of the Independent Auditors to the Members of |
| T.S.L. Contractors Ltd. |
| 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 |
| Chartered Accountants & Statutory Auditors |
| Regent Court |
| 70 West Regent Street |
| Glasgow |
| G2 2QZ |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Statement of Comprehensive |
| Income |
| For The Year Ended 31 December 2024 |
| 2024 | 2024 | 2024 |
| Continuing | Discontinued | Total |
| Notes | £ | £ | £ |
| TURNOVER |
| Cost of sales | ( |
) | ( |
) |
| GROSS PROFIT |
| Administrative expenses | ( |
) | ( |
) |
| OPERATING PROFIT | 5 |
| Interest receivable and similar income |
| Interest payable and similar expenses | 7 | ( |
) | ( |
) |
| PROFIT BEFORE TAXATION |
| Tax on profit | 8 | ( |
) | ( |
) |
| PROFIT FOR THE FINANCIAL YEAR |
| OTHER COMPREHENSIVE INCOME |
| Income tax relating to components of other comprehensive income |
| OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Statement of Comprehensive |
| Income |
| For The Year Ended 31 December 2024 |
| 2023 | 2023 | 2023 |
| Continuing | Discontinued | Total |
| Notes | £ | £ | £ |
| TURNOVER |
| Cost of sales | ( |
) | ( |
) | ( |
) |
| GROSS PROFIT |
| Administrative expenses | ( |
) | ( |
) | ( |
) |
| OPERATING LOSS | 5 | ( |
) | ( |
) | ( |
) |
| Profit/loss on sale of |
| operations | 6 | - | 605,712 |
| (892,974 | ) | 588,639 | (304,335 | ) |
| Interest receivable and similar income |
| Interest payable and similar expenses | 7 | ( |
) | ( |
) |
| (LOSS)/PROFIT BEFORE TAXATION | ( |
) | ( |
) |
| Tax on (loss)/profit | 8 | ( |
) |
| (LOSS)/PROFIT FOR THE FINANCIAL YEAR |
( |
) |
( |
) |
| OTHER COMPREHENSIVE INCOME |
| Deferred tax on revaluation reserve | ( |
) |
| Revaluation of assets |
| Income tax relating to components of other comprehensive income |
| OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Statement of Financial Position |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ |
| FIXED ASSETS |
| Tangible assets | 10 |
| Investments | 11 |
| CURRENT ASSETS |
| Stocks | 12 |
| Debtors | 13 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 14 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year | 15 | ( |
) | ( |
) |
| PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 20 |
| Revaluation reserve | 21 |
| Capital redemption reserve | 21 |
| Retained earnings | 21 |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Statement of Changes in Equity |
| For The Year Ended 31 December 2024 |
| Called up | Capital |
| share | Retained | Revaluation | redemption | Total |
| capital | earnings | reserve | reserve | equity |
| £ | £ | £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Total comprehensive income | - | ( |
) |
| Balance at 31 December 2023 |
| Changes in equity |
| Total comprehensive income | - | ( |
) |
| Balance at 31 December 2024 |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Statement of Cash Flows |
| For The Year Ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| Cash flows from operating activities |
| Cash generated from operations | 1 | ( |
) |
| Interest paid | ( |
) | ( |
) |
| Interest element of hire purchase payments paid |
( |
) |
( |
) |
| Net cash from operating activities | ( |
) |
| Cash flows from investing activities |
| Purchase of tangible fixed assets | ( |
) | ( |
) |
| Sale of tangible fixed assets |
| Sale of operations |
| Interest received |
| Net cash from investing activities | ( |
) |
| Cash flows from financing activities |
| Bank loan repayments in year | ( |
) | ( |
) |
| Hire purchase refinancing | 1,656,256 | - |
| Hire purchase repayments in year | ( |
) | ( |
) |
| Amount withdrawn by directors | (12,436 | ) | (2,040 | ) |
| Net cash from financing activities | ( |
) | ( |
) |
| Increase/(decrease) in cash and cash equivalents | ( |
) |
| Cash and cash equivalents at beginning of year |
2 |
(927,768 |
) |
1,071,123 |
| Cash and cash equivalents at end of year | 2 | 1,438,367 | ( |
) |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Statement of Cash Flows |
| For The Year Ended 31 December 2024 |
| 1. | RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
| 2024 | 2023 |
| £ | £ |
| Profit/(loss) before taxation | ( |
) |
| Depreciation charges |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Finance costs | 192,250 | 177,969 |
| Finance income | (145 | ) | (89 | ) |
| 2,029,289 | (373,044 | ) |
| Increase in stocks | ( |
) | ( |
) |
| (Increase)/decrease in trade and other debtors | ( |
) |
| Increase/(decrease) in trade and other creditors | ( |
) |
| Cash generated from operations | ( |
) |
| 2. | CASH AND CASH EQUIVALENTS |
| The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
| Year ended 31 December 2024 |
| 31.12.24 | 1.1.24 |
| £ | £ |
| Cash and cash equivalents | 1,438,367 | 650 |
| Bank overdrafts | ( |
) |
| 1,438,367 | (927,768 | ) |
| Year ended 31 December 2023 |
| 31.12.23 | 1.1.23 |
| £ | £ |
| Cash and cash equivalents | 650 | 1,071,123 |
| Bank overdrafts | ( |
) |
| (927,768 | ) | 1,071,123 |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Statement of Cash Flows |
| For The Year Ended 31 December 2024 |
| 3. | ANALYSIS OF CHANGES IN NET DEBT |
| Other |
| non-cash |
| At 1.1.24 | Cash flow | changes | At 31.12.24 |
| £ | £ | £ | £ |
| Net cash |
| Cash at bank |
| and in hand | 650 | 1,437,717 | 1,438,367 |
| Bank overdrafts | (928,418 | ) | 928,418 | - |
| (927,768 | ) | 1,438,367 |
| Debt |
| Finance leases | (1,621,608 | ) | 1,690,861 | (3,994,530 | ) | (3,925,277 | ) |
| Debts falling due |
| within 1 year | (118,564 | ) | 498 | - | (118,066 | ) |
| Debts falling due |
| after 1 year | (288,658 | ) | 118,891 | - | (169,767 | ) |
| (2,028,830 | ) | 1,810,250 | (3,994,530 | ) | (4,213,110 | ) |
| Total | (2,956,598 | ) | 4,176,385 | (3,994,530 | ) | (2,774,743 | ) |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements |
| For The Year Ended 31 December 2024 |
| 1. | STATUTORY INFORMATION |
| T.S.L. Contractors Ltd. is a |
| The presentation currency of the financial statements is the Pound Sterling (£). |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Turnover |
| Turnover is stated net of VAT and trade discounts. Turnover from the sale of goods is recognised when the goods are physically delivered to the customer. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the value of the consideration due. Where a contract has only been partially completed at the balance sheet date turnover represents the value of the service provided to the date based on a proportion of the total contract value. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year. |
| Profit is recognised on long-term contracts, if the final outcome can be assessed with reasonable certainty, by including in the profit and loss account turnover and related costs as contract activity progresses. Turnover is calculated by reference to the value of work performed to date as a proportion of the total contract value. |
| Tangible fixed assets |
| Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under finance lease, over the lease term, whichever is shorter. |
| Land and buildings freehold - 2% and 5% straight line |
| Plant and machinery - 6%, 10%, 15%, 20%, 25% and 30% reducing balance |
| Fixtures and fittings - 7.5%, 15%, 20%, 25%, 30%, 40% and 50% reducing balance |
| Motor vehicles - 20%, 25%, 30% and 33% reducing balance |
| Tangible fixed assets other than freehold land are stated at cost or valuation less depreciation. |
| Stocks and long term contracts |
| 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. |
| Amounts recoverable on long term contracts, which are included in debtors, are stated at the net sales value of the work done after provision for contingencies and anticipated future losses on contracts, less amounts received as progress payments on account. Excess progress payments are included in creditors as payments on account. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| Basic financial instruments are recognised at amortised cost, except for investments in non-convertible preference and non-puttable ordinary shares which are measured at fair value, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value with changes recognised in profit or loss. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 statement of financial position date. |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Hire purchase and leasing commitments |
| Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets and depreciated over the shorter of the lease term and their useful lives. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period. |
| Rentals payable under operating leases are charged against income on a straight line basis over the lease term. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution scheme for the benefit of its employees. The assets of the scheme are held separately from those of the company on independently administered funds. Contributions payable are charged to the profit and loss account in the year they are payable. |
| Group accounts |
| The company is entitled to the exemption under section 402 of the Companies Act 2006 from the obligation to prepare group accounts. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
| The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities reported at the balance sheet date and the amounts reported for revenue and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements and estimates have had the most significant effects on amounts recognised in the financial statements. |
| Depreciation |
| The estimates and assumptions used to determine the depreciation charge requires judgements to be made as regards asset useful lives and residual values. The useful lives and residual values of the company's fixed assets are determined by management at the time the asset is acquired and reviewed annually for appropriateness. The lives are based on historical experience with similar assets. Historically, changes in useful lives have not resulted in material changes to the company's depreciation charge. |
| Revenue Recognition |
| Revenue on long term contracts for services is recognised according to the stage of completion reached on the contract by measuring a proportion of costs incurred for work performed to total estimated costs.Estimating the costs to completion and therefore the total contract costs is a key judgement in respect of revenue recognition on these contracts. Management bases their judgements of revenue and the assessment of the expected outcome of each contract on the latest information available. This includes contract valuations, and forecast costs to complete. The estimates of the contract positions and the profit or loss earned to date is updated regularly and the impact of any change in the accounting estimates are reflected in the financial statements. See notes 13 for amounts recoverable on contracts and payments received on account. |
| Provisions |
| Liabilities are recognised where the Company has an obligation at the Statement of Financial Position date as a result of a past event and it is probable that a transfer of economic benefit will be required in settlement with the amount of the settlement able to be estimated reliably. Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advance payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. |
| 4. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 4. | EMPLOYEES AND DIRECTORS - continued |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Construction and haulage | 122 | 139 |
| Directors | 3 | 2 |
| Administrative staff | 10 | 10 |
| Other | 18 | 16 |
| 2024 | 2023 |
| £ | £ |
| Directors' remuneration |
| Directors' pension contributions to money purchase schemes |
| 5. | OPERATING PROFIT/(LOSS) |
| The operating profit (2023 - operating loss) is stated after charging/(crediting): |
| 2024 | 2023 |
| £ | £ |
| Other operating leases |
| Depreciation - owned assets |
| Depreciation - assets on hire purchase contracts |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Auditors' remuneration |
| 6. | EXCEPTIONAL ITEMS |
| 2024 | 2023 |
| £ | £ |
| Profit/loss on sale of |
| operations |
| In 2023, the Haulage and Pier division was sold, resulting in a gain on sale of £605,712. This is considered to be a non-recurring event and the related profit & loss has been classified as a discontinued operation in the Statement of Comprehensive Income. |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £ | £ |
| Bank and other loan interest |
| Hire purchase interest |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 8. | TAXATION |
| Analysis of the tax charge/(credit) |
| The tax charge/(credit) on the profit for the year was as follows: |
| 2024 | 2023 |
| £ | £ |
| Deferred tax | ( |
) |
| Tax on profit/(loss) | ( |
) |
| UK corporation tax has been charged at 25% (2023 - 23.50%). |
| Reconciliation of total tax charge/(credit) 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/(loss) before tax | ( |
) |
| Profit/(loss) multiplied by the standard rate of corporation tax in the UK of |
( |
) |
| Effects of: |
| Expenses not deductible for tax purposes |
| Capital allowances in excess of depreciation | ( |
) | - |
| Depreciation in excess of capital allowances | - |
| Timing differences | 495,227 | (17,911 | ) |
| Total tax charge/(credit) | 307,903 | (124,675 | ) |
| Tax effects relating to effects of other comprehensive income |
| There were no tax effects for the year ended 31 December 2024. |
| 2023 |
| Gross | Tax | Net |
| £ | £ | £ |
| Deferred tax on revaluation reserve | ( |
) | - | (14,585 | ) |
| Revaluation of assets | - | 471,932 |
| 457,347 | - | 457,347 |
| 9. | PENSION COMMITMENTS |
| The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost represents contributions payable by the company to the fund and amounted to £210,064 (2023: £183,981). At the period end date there was £33,648 outstanding (2023: £23,953). |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 10. | TANGIBLE FIXED ASSETS |
| Land and | Fixtures |
| buildings | Plant and | and | Motor |
| freehold | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| Included in cost or valuation of land and buildings is freehold land of £ 431,121 (2023 - £ 431,121 ) which is not depreciated. |
| Cost or valuation at 31 December 2024 is represented by: |
| Land and | Fixtures |
| buildings | Plant and | and | Motor |
| freehold | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| Valuation in 2015 | 255,025 | - | - | - | 255,025 |
| Valuation in 2023 | 437,535 | - | - | - | 437,535 |
| Cost | 1,299,307 | 10,717,098 | 928,446 | 776,328 | 13,721,179 |
| 1,991,867 | 10,717,098 | 928,446 | 776,328 | 14,413,739 |
| If land and buildings had not been revalued they would have been included at the following historical cost: |
| 2024 | 2023 |
| £ | £ |
| Cost | 1,299,307 | 1,294,857 |
| Aggregate depreciation | 155,657 | 134,621 |
| Land and buildings were valued on an open market basis on 12 May 2023 by DM Hall LLP . |
| The directors have considered the value for 31 December 2024 and have concluded that no change to current net book value is required. |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 10. | TANGIBLE FIXED ASSETS - continued |
| Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
| Plant and | Motor |
| machinery | vehicles | Totals |
| £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) |
| Transfer to ownership | (612,478 | ) | (45,826 | ) | (658,304 | ) |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) | ( |
) |
| Transfer from/(to) ownership | (349,719 | ) | (28,104 | ) | (377,823 | ) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| 11. | FIXED ASSET INVESTMENTS |
| Unlisted |
| investments |
| £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 |
| PROVISIONS |
| At 1 January 2024 |
| and 31 December 2024 | 4,999 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 11. | FIXED ASSET INVESTMENTS - continued |
| The company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
| Registered office: Torosay Sandpit, Craignure, Isle Of Mull, Argyll, PA65 6AY |
| Nature of business: |
| % |
| Class of shares: | holding |
| £ | £ |
| Aggregate capital and reserves | ( |
) | ( |
) |
| Registered office: Torosay Sandpit, Craignure, Isle Of Mull, Scotland, PA65 6AY |
| Nature of business: |
| % |
| Class of shares: | holding |
| £ | £ |
| Aggregate capital and reserves |
| 12. | STOCKS |
| 2024 | 2023 |
| £ | £ |
| Raw materials |
| Land stocks and work-in- progress |
| During the previous year, DM Hall LLP performed a valuation on the land stock held by TSL Contractors Ltd. Stock with a carrying value of £1,566,761 has a market value of £3,045,000 as at April 2023. |
| 13. | DEBTORS |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due within one year: |
| Trade debtors |
| Amounts recoverable on long term contracts | 2,567,680 | 3,710,416 |
| Other debtors |
| Amounts owed by related parties | 81,542 | 75,620 |
| Directors' current accounts | 52,189 | 39,753 |
| VAT |
| Prepayments and accrued income |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 13. | DEBTORS - continued |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due after more than one year: |
| Amounts recoverable on long |
| term contracts |
| Aggregate amounts |
| 14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Bank loans and overdrafts (see note 16) |
| Hire purchase contracts (see note 17) |
| Trade creditors |
| Social security and other taxes |
| VAT | 636,517 | - |
| Accruals and deferred income |
| 15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Bank loans (see note 16) |
| Hire purchase contracts (see note 17) |
| 16. | LOANS |
| An analysis of the maturity of loans is given below: |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due within one year or on demand: |
| Bank overdrafts |
| Bank loans |
| Amounts falling due between one and two years: |
| Bank loans - 1-2 years |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 16. | LOANS - continued |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due between two and five years: |
| Bank loans - 2-5 years |
| Amounts falling due in more than five years: |
| Repayable by instalments |
| Bank loans more 5 yr by instal | 32,724 | 56,068 |
| 17. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Hire purchase contracts |
| 2024 | 2023 |
| £ | £ |
| 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 |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 18. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| 2024 | 2023 |
| £ | £ |
| Bank overdraft |
| Bank loans |
| Hire purchase contracts | 3,925,277 | 1,621,608 |
| The Royal Bank of Scotland plc hold a standard security over land and buildings of the company together with a bond and floating charge over the whole of the assets of the company. |
| The bank also holds assignation of policies on the life of A D Knight, director, to the value of £150,000. |
| The obligations under hire purchase contracts are secured over the assets which the agreements relate to. |
| 19. | PROVISIONS FOR LIABILITIES |
| 2024 | 2023 |
| £ | £ |
| Deferred tax | 1,130,118 | 822,215 |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 |
| Provided during year |
| Revaluation reserve movement |
| Balance at 31 December 2024 |
| 20. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary | £1 | 21,800 | 21,800 |
| T.S.L. Contractors Ltd. (Registered number: SC067094) |
| Notes to the Financial Statements - continued |
| For The Year Ended 31 December 2024 |
| 21. | RESERVES |
| Capital |
| Retained | Revaluation | redemption |
| earnings | reserve | reserve | Totals |
| £ | £ | £ | £ |
| At 1 January 2024 | 6,444,234 |
| Profit for the year |
| Transfer to profit and loss account | 10,751 | (10,751 | ) | - | - |
| At 31 December 2024 | 7,346,591 |
| 22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| The following advances and credits to a director subsisted during the years ended 31 December 2024 and 31 December 2023: |
| 2024 | 2023 |
| £ | £ |
| Balance outstanding at start of year |
| Amounts advanced |
| Amounts repaid |
| Amounts written off | - | - |
| Amounts waived | - | - |
| Balance outstanding at end of year |
| 23. | RELATED PARTY DISCLOSURES |
| 2024 | 2023 |
| £ | £ |
| Amount due from related parties |
| 24. | ULTIMATE CONTROLLING PARTY |
| The company is controlled by the director, |