IRIS Accounts Production v25.1.4.42 14104212 Board of Directors 30.9.24 1.10.23 30.9.24 30.9.24 Medium entities These accounts have been prepared in accordance with the provisions applicable to companies subject to the medium-sized companies regime. true true false true true false false false true false Ordinary 0 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh141042122023-09-30141042122024-09-30141042122023-10-012024-09-30141042122022-09-30141042122022-10-012023-09-30141042122023-09-3014104212ns15:EnglandWales2023-10-012024-09-3014104212ns14:PoundSterling2023-10-012024-09-3014104212ns10:Director12023-10-012024-09-3014104212ns10:Consolidated2024-09-3014104212ns10:ConsolidatedGroupCompanyAccounts2023-10-012024-09-3014104212ns10:PrivateLimitedCompanyLtd2023-10-012024-09-3014104212ns10:Consolidatedns10:MediumEntities2023-10-012024-09-3014104212ns10:Consolidatedns10:Audited2023-10-012024-09-3014104212ns10:Medium-sizedCompaniesRegimeForDirectorsReport2023-10-012024-09-3014104212ns10:Medium-sizedCompaniesRegimeForAccounts2023-10-012024-09-3014104212ns10:Consolidated2023-10-012024-09-3014104212ns10:Consolidatedns10:Medium-sizedCompaniesRegimeForDirectorsReport2023-10-012024-09-3014104212ns10:Consolidatedns10:Medium-sizedCompaniesRegimeForAccounts2023-10-012024-09-3014104212ns10:FullAccounts2023-10-012024-09-301410421212023-10-012024-09-3014104212ns10:OrdinaryShareClass12023-10-012024-09-3014104212ns10:Director22023-10-012024-09-3014104212ns10:Director32023-10-012024-09-3014104212ns10:RegisteredOffice2023-10-012024-09-3014104212ns10:Consolidated2022-10-012023-09-3014104212ns5:CurrentFinancialInstruments2024-09-3014104212ns5:CurrentFinancialInstruments2023-09-3014104212ns5:ShareCapital2024-09-3014104212ns5:ShareCapital2023-09-3014104212ns5:RetainedEarningsAccumulatedLosses2024-09-3014104212ns5:RetainedEarningsAccumulatedLosses2023-09-3014104212ns5:ShareCapital2022-09-3014104212ns5:RetainedEarningsAccumulatedLosses2022-09-3014104212ns5:RetainedEarningsAccumulatedLosses2022-10-012023-09-3014104212ns5:RetainedEarningsAccumulatedLosses2023-10-012024-09-3014104212ns5:IntangibleAssetsOtherThanGoodwill2023-10-012024-09-3014104212ns5:CostValuation2023-09-3014104212ns5:WithinOneYearns5:CurrentFinancialInstruments2024-09-3014104212ns5:WithinOneYearns5:CurrentFinancialInstruments2023-09-3014104212ns5:AcceleratedTaxDepreciationDeferredTax2024-09-3014104212ns5:AcceleratedTaxDepreciationDeferredTax2023-09-3014104212ns10:OrdinaryShareClass12024-09-3014104212ns5:RetainedEarningsAccumulatedLosses2023-09-30
REGISTERED NUMBER: 14104212 (England and Wales)















Group Strategic Report, Report of the Directors and

Consolidated Financial Statements for the Year Ended 30 September 2024

for

Chester Wool Holdings Ltd

Chester Wool Holdings Ltd (Registered number: 14104212)






Contents of the Consolidated Financial Statements
for the Year Ended 30 September 2024




Page

Company Information 1

Group Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Consolidated Income Statement 11

Consolidated Other Comprehensive Income 12

Consolidated Statement of Financial Position 13

Company Statement of Financial Position 14

Consolidated Statement of Changes in Equity 15

Company Statement of Changes in Equity 16

Consolidated Statement of Cash Flows 17

Notes to the Consolidated Statement of Cash
Flows

18

Notes to the Consolidated Financial
Statements

20


Chester Wool Holdings Ltd

Company Information
for the Year Ended 30 September 2024







Directors: A J Robinson
J S Hewlett
D W J Robinson





Registered office: C/o Ellis & Co
114-120 Northgate Street
Chester
CH1 2HT





Registered number: 14104212 (England and Wales)





Auditors: Ellis & Co (Accountants & Business Advisers) Ltd
Chartered Accountants
and Statutory Auditors
114-120 Northgate Street
Chester
CH1 2HT

Chester Wool Holdings Ltd (Registered number: 14104212)

Group Strategic Report
for the Year Ended 30 September 2024

The directors present their strategic report of the company and the group for the year ended 30 September 2024.

Chester Wool Holdings Ltd is a private limited company which is family owned. The group owns trading subsidiaries in the UK, USA and in Europe.

Review of business
The directors are pleased to report that they are happy with the performance of the group during the year, resulting in a strong set of results.

At the start of the year the directors decided to stop supplying the machine knit market. The decision was made so that the directors could focus all their efforts on the hand knitting side of the business. The directors are focussed on driving growth through the expansion of the range of stock on offer to customers via continued investment.

Principal risks and uncertainties
The key business risks and uncertainties affecting the group are considered to be the volatile price of yarn and foreign currencies. The wool yarn price is managed and controlled through the year by stockholding together with forward purchase contracts of tops. The foreign currencies are managed by the bulk of purchases and sales being US $ based leaving only a small amount of $ to buy each year.

Challenges presented by Brexit in the past have been mitigated by the setup of overseas subsidiaries, however, this does add a further complexity of foreign currency risk.

Financial key performance indicators
The key performance indicators used by the directors to measure the performance of the company are turnover and net profit margin. These are monitored on a monthly basis and management accounts are produced each month to ensure that targets and budgets are met. These are obtained from accounting software which produces Profit & Loss and Balance Sheet reports.

Turnover and profit margins can be seen in the income statement.

The strength of our business is built on the hard work and dedication of all our employees and the benefits of having a committed workforce is recognised. This is achieved through regular meetings at all levels in the workforce and feedback to the directors.


Chester Wool Holdings Ltd (Registered number: 14104212)

Group Strategic Report
for the Year Ended 30 September 2024

Financial risk management and funding
The group has no borrowing in the form of an overdraft or asset finance.

Cashflow and cash reserves are strong due to strong customer sales and monitoring of business expenses.

To assess the group's and the parent company's ability to continue as a going concern, the directors have reviewed the group's and the parent company's trading performance for a period of at least 12 months from the date of approval of these consolidated financial statements. The directors are satisfied that the group and the parent company have the resources going forward and that the group and the parent company are as a going concern.

On behalf of the board:





A J Robinson - Director


18 June 2025

Chester Wool Holdings Ltd (Registered number: 14104212)

Report of the Directors
for the Year Ended 30 September 2024

The directors present their report with the financial statements of the company and the group for the year ended 30 September 2024.

Principal activity
The principal activity of the group in the year under review was that of wool brokers

Dividends
The total distribution of dividends for the year ended 30 September 2024 was £3,000,000.

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

A J Robinson
J S Hewlett
D W J Robinson

Disclosure in the strategic report
The directors have disclosed in the Group Strategic Report information regarding the principal risks and uncertainties affecting the group.

Directors' responsibilities statement
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

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

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

Statement as to disclosure of information to auditors
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he 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 group's auditors are aware of that information.

Chester Wool Holdings Ltd (Registered number: 14104212)

Report of the Directors
for the Year Ended 30 September 2024


Auditors
The auditors, Ellis & Co (Accountants & Business Advisers) Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

On behalf of the board:





A J Robinson - Director


18 June 2025

Report of the Independent Auditors to the Members of
Chester Wool Holdings Ltd

Opinion
We have audited the financial statements of Chester Wool Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated 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 group's and of the parent company affairs as at 30 September 2024 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

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

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

Report of the Independent Auditors to the Members of
Chester Wool Holdings Ltd


Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

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

We do note that the strategic report is insufficient in meeting all of the requirement of s414(C) Companies Act 2006, specifically in regards to key performance indicators. These have been deemed by the company to be commercially sensitive.

Report of the Independent Auditors to the Members of
Chester Wool Holdings Ltd


Responsibilities of directors
As explained more fully in the Directors' Responsibilities Statement 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 group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Report of the Independent Auditors to the Members of
Chester Wool Holdings 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:

We identify and assess the risks of material misstatement of the Financial Statements, whether due to fraud or error, and then design and perform audit procedures in response to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

- the nature of the industry and sector, control environment and business performance
including the design of remuneration policies, key drivers for Directors' remuneration, bonus
levels and performance targets

- results of our enquiries of management about their own identification and assessment of the
risks of irregularities

- any matters we identified having obtained and reviewed documentation of policies and
procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether
management were aware of any instances of non-compliance
- detecting and responding to the risks of fraud and whether management have
knowledge of any actual, suspected or alleged fraud
- the internal controls established to mitigate risks of fraud or non-compliance with laws
and regulations

- the matters discussed among the audit engagement team regarding how and where fraud
might occur in the financial statements and any potential indicators of fraud

- the need for journals to be tested throughout the whole year and post year end

- the potential for revenue to be misstated

- the potential for management to override any controls in place

- the use of component auditors and our reliance on their work

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the completeness of revenue. In common with all audits under ISA (UK), we are also required to perform specific procedures to respond to the risk of management override.


Report of the Independent Auditors to the Members of
Chester Wool Holdings Ltd

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

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

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.




James Ellis ACA (Senior Statutory Auditor)
for and on behalf of Ellis & Co (Accountants & Business Advisers) Ltd
Chartered Accountants
and Statutory Auditors
114-120 Northgate Street
Chester
CH1 2HT

18 June 2025

Chester Wool Holdings Ltd (Registered number: 14104212)

Consolidated
Income Statement
for the Year Ended 30 September 2024

30/9/24 30/9/23
Notes £    £   

Turnover 4 21,415,227 21,281,945

Cost of sales 13,182,684 12,817,049
Gross profit 8,232,543 8,464,896

Administrative expenses 2,222,817 1,469,176
6,009,726 6,995,720

Other operating income 29,904 29,433
Operating profit 6 6,039,630 7,025,153

Interest receivable and similar
income

609,968

281,965
6,649,598 7,307,118

Interest payable and similar
expenses

7

6,261

7,571
Profit before taxation 6,643,337 7,299,547

Tax on profit 8 1,650,852 1,568,123
Profit for the financial year 4,992,485 5,731,424
Profit attributable to:
Owners of the parent 4,992,485 5,731,424

Chester Wool Holdings Ltd (Registered number: 14104212)

Consolidated
Other Comprehensive Income
for the Year Ended 30 September 2024

30/9/24 30/9/23
Notes £    £   

Profit for the year 4,992,485 5,731,424


Other comprehensive income
Foreign exchange differences (209,678 ) (149,704 )
Income tax relating to other
comprehensive income

-

-
Other comprehensive income for
the year, net of income tax

(209,678

)

(149,704

)
Total comprehensive income for
the year

4,782,807

5,581,720

Total comprehensive income attributable to:
Owners of the parent 4,782,807 5,581,720

Chester Wool Holdings Ltd (Registered number: 14104212)

Consolidated Statement of Financial Position
30 September 2024

30/9/24 30/9/23
Notes £    £    £    £   
Fixed assets
Intangible assets 12 - -
Tangible assets 13 2,532,342 2,617,526
Investments 14 - -
2,532,342 2,617,526

Current assets
Stocks 15 6,814,013 6,868,221
Debtors 16 1,944,302 1,053,999
Cash at bank and in hand 13,609,267 13,765,919
22,367,582 21,688,139
Creditors
Amounts falling due within one year 17 2,335,527 3,483,832
Net current assets 20,032,055 18,204,307
Total assets less current liabilities 22,564,397 20,821,833

Creditors
Amounts falling due after more than
one year

18

35,123

75,366
Net assets 22,529,274 20,746,467

Capital and reserves
Called up share capital 21 1,000 1,000
Retained earnings 22 22,528,274 20,745,467
Shareholders' funds 22,529,274 20,746,467

The financial statements were approved by the Board of Directors and authorised for issue on 18 June 2025 and were signed on its behalf by:





A J Robinson - Director


Chester Wool Holdings Ltd (Registered number: 14104212)

Company Statement of Financial Position
30 September 2024

30/9/24 30/9/23
Notes £    £    £    £   
Fixed assets
Intangible assets 12 - -
Tangible assets 13 - -
Investments 14 1,001 1,001
1,001 1,001

Current assets
Debtors 16 18,999 18,999
Cash at bank 25,866 11,471
44,865 30,470
Creditors
Amounts falling due within one year 17 40,511 26,247
Net current assets 4,354 4,223
Total assets less current liabilities 5,355 5,224

Capital and reserves
Called up share capital 21 1,000 1,000
Retained earnings 22 4,355 4,224
Shareholders' funds 5,355 5,224

Company's profit for the financial
year

3,000,131

3,000,923

The financial statements were approved by the Board of Directors and authorised for issue on 18 June 2025 and were signed on its behalf by:





A J Robinson - Director


Chester Wool Holdings Ltd (Registered number: 14104212)

Consolidated Statement of Changes in Equity
for the Year Ended 30 September 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 October 2022 1,000 18,163,747 18,164,747

Changes in equity
Profit for the year - 5,731,424 5,731,424
Other comprehensive income - (149,704 ) (149,704 )
Total comprehensive income - 5,581,720 5,581,720
Dividends - (3,000,000 ) (3,000,000 )
Balance at 30 September 2023 1,000 20,745,467 20,746,467

Changes in equity
Profit for the year - 4,992,485 4,992,485
Other comprehensive income - (209,678 ) (209,678 )
Total comprehensive income - 4,782,807 4,782,807
Dividends - (3,000,000 ) (3,000,000 )
Balance at 30 September 2024 1,000 22,528,274 22,529,274

Chester Wool Holdings Ltd (Registered number: 14104212)

Company Statement of Changes in Equity
for the Year Ended 30 September 2024

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 October 2022 1,000 3,301 4,301

Changes in equity
Dividends - (3,000,000 ) (3,000,000 )
Total comprehensive income - 3,000,923 3,000,923
Balance at 30 September 2023 1,000 4,224 5,224

Changes in equity
Dividends - (3,000,000 ) (3,000,000 )
Total comprehensive income - 3,000,131 3,000,131
Balance at 30 September 2024 1,000 4,355 5,355

Chester Wool Holdings Ltd (Registered number: 14104212)

Consolidated Statement of Cash Flows
for the Year Ended 30 September 2024

30/9/24 30/9/23
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 5,033,341 4,936,544
Interest paid (6,261 ) (7,571 )
Tax paid (2,743,239 ) (1,277,441 )
Net cash from operating activities 2,283,841 3,651,532

Cash flows from investing activities
Purchase of tangible fixed assets (8,485 ) (1,407,929 )
Interest received 609,968 281,965
Net cash from investing activities 601,483 (1,125,964 )

Cash flows from financing activities
Loan repayments in year (41,976 ) (51,195 )
Equity dividends paid (3,000,000 ) (3,000,000 )
Net cash from financing activities (3,041,976 ) (3,051,195 )

Decrease in cash and cash equivalents (156,652 ) (525,627 )
Cash and cash equivalents at
beginning of year

2

13,765,919

14,291,546

Cash and cash equivalents at end
of year

2

13,609,267

13,765,919

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Statement of Cash Flows
for the Year Ended 30 September 2024

1. Reconciliation of profit before taxation to cash generated from operations

30/9/24 30/9/23
£    £   
Profit before taxation 6,643,337 7,299,547
Depreciation charges 93,669 86,531
Foreign exchange differences (209,678 ) (149,704 )
Finance costs 6,261 7,571
Finance income (609,968 ) (281,965 )
5,923,621 6,961,980
Decrease/(increase) in stocks 54,208 (1,651,887 )
(Increase)/decrease in trade and other debtors (580,503 ) 941,156
Decrease in trade and other creditors (363,985 ) (1,314,705 )
Cash generated from operations 5,033,341 4,936,544

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 30 September 2024
30/9/24 1/10/23
£    £   
Cash and cash equivalents 13,609,267 13,765,919
Year ended 30 September 2023
30/9/23 1/10/22
£    £   
Cash and cash equivalents 13,765,919 14,291,546


Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Statement of Cash Flows
for the Year Ended 30 September 2024

3. Analysis of changes in net funds

Exchange Other
rate non-cash
At 1/10/23 Cash flow movements changes At 30/9/24
£    £    £    £    £   
Net cash
Cash at bank
and in hand 13,765,919 (105,306 ) (51,346 ) 13,609,267
13,765,919 (105,306 ) (51,346 ) 13,609,267
Debt
Debts falling due
within 1 year (35,485 ) 41,979 - (40,243 ) (33,749 )
Debts falling due
after 1 year (75,366 ) - - 40,243 (35,123 )
(110,851 ) 41,979 - - (68,872 )
Total 13,655,068 (63,327 ) (51,346 ) - 13,540,395

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements
for the Year Ended 30 September 2024

1. Statutory information

Chester Wool Holdings Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. Accounting policies

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

Basis of consolidation
The Group consolidated financial statements include the financial statements of the Company and its subsidiaries undertakings. A subsidiary is an entity controlled by the Group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. Where a subsidiary has different accounting policies to the Group, adjustments are made to those subsidiary financial statements to apply the Group's accounting policies when preparing the consolidated financial statements. All intra-Group transactions, balances, income and expenses are eliminated on consolidation.

Business combinations are accounted for by applying either the purchase method or merger accounting. Under the purchase method, the cost of a business combination is the fair value of the consideration given and liabilities incurred or assumed plus the costs directly attributable to the business combination. On acquisition of a business, fair values are attributed to the identifiable assets, liabilities and contingent liabilities.

Merger accounting is used where a group reconstruction has taken place and there has been no change in ultimate ownership. Under merger accounting, book values are applied rather than fair values. These consolidated financial statements have been prepared in the name of the legal parent, showing its share capital, with the overarching principle that the resulting financial statements show the results of the new group as if it had always been in place.

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

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer, usually on despatch of the goods; the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

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.

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

2. Accounting policies - continued

Tangible fixed assets
Tangible fixed assets are initially recorded at cost then subsequently at cost or valuation, net of depreciation and any impairment losses.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold property-2% on cost
Plant and machinery-25% on cost
Fixtures, fittings and equipment-25% on cost
Motor vehicles-25% on cost

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is determined on the first-in, first-out (FIFO) method. Cost includes the purchase price, including taxes and duties and transport and handling directly attributable to bringing stock to its present location and position.

Financial instruments
A financial asset or a financial liability is recognised only when the company or group becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Debt instruments are subsequently measured at amortised cost.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax
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.

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

2. Accounting policies - continued

Foreign currencies
Transactions and Balances
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position 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.

Translation
The trading results of Group undertakings are translated into sterling at the average exchange rates for the year. The assets and liabilities of overseas undertakings, including goodwill and fair value adjustments arising on acquisition, are translated at the exchange rates ruling at the year-end. Exchange adjustments arising from the retranslation of opening net investments and from the translation of the profits or losses at average rates are recognised in 'Other comprehensive income'

Operating leases
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits
The group makes contributions to employees' stakeholder pension schemes plans and similar schemes overseas and the personal pension plans of certain senior employees. The pension charge represents the contributions payable to the schemes or plans in the year.

3. Critical accounting judgements and key sources of estimation uncertainty

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

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

In the opinion of the directors, there are no critical judgements other than those involving estimates.

The directors make estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below:

i. Stock provision
The directors have identified multiple slow moving stock lines and have written these stock lines down to £0.01 per unit. If these stock lines were not written down to £0.01 this could lead to an over valuation of the stock figure in the financial statements.

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

4. Turnover

An analysis of the company's turnover has not been disclosed as it is deemed to be commercially sensitive.

5. Employees and directors
30/9/24 30/9/23
£    £   
Wages and salaries 685,470 605,955
Social security costs 77,303 68,605
Other pension costs 142,440 138,717
905,213 813,277

The average number of employees during the year was as follows:
30/9/24 30/9/23

Directors 3 3
Employees 11 12
14 15

30/9/24 30/9/23
£    £   
Directors' remuneration 378,596 351,096
Directors' pension contributions to money purchase schemes 130,000 130,000

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

Money purchase schemes 3 3

Information regarding the highest paid director is as follows:
30/9/24 30/9/23
£    £   
Emoluments etc 200,000 200,000
Pension contributions to money purchase schemes 60,000 60,000

6. Operating profit

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

30/9/24 30/9/23
£    £   
Other operating leases 76,764 91,883
Depreciation - owned assets 93,669 86,531
Auditors' remuneration 33,250 30,750
Foreign exchange differences 337,857 (297,810 )

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

7. Interest payable and similar expenses
30/9/24 30/9/23
£    £   
Bank interest 562 383
Loan interest 4,617 5,306
Interest on overdue taxation 1,082 1,882
6,261 7,571

8. Taxation

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
30/9/24 30/9/23
£    £   
Current tax:
UK corporation tax 1,488,661 1,387,840
Overseas corporation tax 187,005 185,482
Adjustment in respect of prior period (6,468 ) (11,227 )
Total current tax 1,669,198 1,562,095

Deferred tax (18,346 ) 6,028
Tax on profit 1,650,852 1,568,123

UK corporation tax has been charged at 25 % (2023 - 22.01 %).

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

30/9/24 30/9/23
£    £   
Profit before tax 6,643,337 7,299,547
Profit multiplied by the standard rate of corporation tax in the
UK of 25 % (2023 - 22.008 %)

1,660,834

1,606,484

Effects of:
Expenses not deductible for tax purposes 6,925 7,609
Depreciation in excess of capital allowances - 641
Higher rates applying overseas 6,530 29,283
Lower rates applying overseas (7,972 ) -
Enhanced deductions (8,973 ) (7,571 )
Deferred tax provided at 25% - (57,056 )
Adjustments in respect of prior periods (6,468 ) (11,227 )
Profits taxed at Small Companies rate (24 ) (40 )
Total tax charge 1,650,852 1,568,123

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

8. Taxation - continued

Tax effects relating to effects of other comprehensive income

30/9/24
Gross Tax Net
£    £    £   
Foreign exchange differences (209,678 ) - (209,678 )

30/9/23
Gross Tax Net
£    £    £   
Foreign exchange differences (149,704 ) - (149,704 )

9. Individual income statement

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


10. Dividends
30/9/24 30/9/23
£    £   
Ordinary shares of £1 each
Interim 3,000,000 3,000,000

11. Reduced disclosure in the financial statements

The group has taken advantage of the reduced disclosure framework under FRS 102 not to include the parent company statement of cashflow.

12. Intangible fixed assets

Group
Goodwill
£   
Cost
At 1 October 2023
and 30 September 2024 2,171,500
Amortisation
At 1 October 2023
and 30 September 2024 2,171,500
Net book value
At 30 September 2024 -
At 30 September 2023 -

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

13. Tangible fixed assets

Group
Fixtures,
fittings
Freehold Plant and and Motor
property machinery equipment vehicles Totals
£    £    £    £    £   
Cost
At 1 October 2023 2,555,190 47,121 32,447 141,142 2,775,900
Additions - - 8,485 - 8,485
At 30 September 2024 2,555,190 47,121 40,932 141,142 2,784,385
Depreciation
At 1 October 2023 63,490 30,171 29,427 35,286 158,374
Charge for year 47,172 7,257 3,954 35,286 93,669
At 30 September 2024 110,662 37,428 33,381 70,572 252,043
Net book value
At 30 September 2024 2,444,528 9,693 7,551 70,570 2,532,342
At 30 September 2023 2,491,700 16,950 3,020 105,856 2,617,526

14. Fixed asset investments

Company
Shares in
group
undertakings
£   
Cost
At 1 October 2023
and 30 September 2024 1,001
Net book value
At 30 September 2024 1,001
At 30 September 2023 1,001


Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

14. Fixed asset investments - continued


The group's investments at 30 September 2024 in subsidiary undertakings comprise holdings of 100% of the share capital or capital stock, as appropriate, of the following companies. All subsidiaries are included in the consolidation.


Name
Address of the
registered office
Country of
incorporation
Nature of
business
Chester Wool Company
Ltd
114-120 NorthgateStreet,
Chester, CH1 2HT

UK

Wool broker
Wool2Dye4, Inc. 1401 Hopeman PKWY,
Waynesboro, VA, 22980

Virginia, USA

Wool broker
Chester Wool Europe BV Columbusweg 12, 4462
HB, Goes

The Netherlands

Wool broker
Chester Wool Properties
BV
Columbusweg 12, 4462
HB, Goes

The Netherlands
Property
company
Wool2Dye4 Holdings, Inc. 1401 Hopeman PKWY,
Waynesboro, VA

Virginia, USA
Holding
company
Wool2Dye4 Properties
LLC
1401 Hopeman PKWY,
Waynesboro, VA

Virginia, USA
Property
company

The company’s investments in Chester Wool Company Ltd and Chester Wool Europe BV are direct ownership. All other investments are indirect ownership.

15. Stocks

Group
30/9/24 30/9/23
£    £   
Finished goods 6,814,013 6,868,221

16. Debtors: amounts falling due within one year

Group Company
30/9/24 30/9/23 30/9/24 30/9/23
£    £    £    £   
Trade debtors 345,817 597,102 - -
Amounts owed by group undertakings - - 18,999 18,999
Other debtors 1,072,126 240,866 - -
Tax 291,454 - - -
Deferred tax asset 220,153 201,807 - -
Prepayments and accrued income 14,752 14,224 - -
1,944,302 1,053,999 18,999 18,999

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

16. Debtors: amounts falling due within one year - continued

Deferred tax asset
Group Company
30/9/24 30/9/23 30/9/24 30/9/23
£    £    £    £   
Accelerated capital allowances (19,541 ) (27,191 ) - -
Other timing differences 239,694 228,998 - -
220,153 201,807 - -

Other timing differences arise from consolidation adjustments relating to stock. These will reverse on the sale of the underlying stock.

17. Creditors: amounts falling due within one year

Group Company
30/9/24 30/9/23 30/9/24 30/9/23
£    £    £    £   
Other loans (see note 19) 33,749 35,485 - -
Trade creditors 1,763,356 2,250,155 - -
Tax 149,915 932,502 267 375
Social security and other taxes 24,541 3,997 - -
VAT 201,066 149,756 4,943 4,946
Other creditors 65,411 39,975 - -
Directors' current accounts - 207 - -
Accruals and deferred income 97,489 71,755 35,301 20,926
2,335,527 3,483,832 40,511 26,247

18. Creditors: amounts falling due after more than one year

Group
30/9/24 30/9/23
£    £   
Other loans (see note 19) 35,123 75,366

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

19. Loans

An analysis of the maturity of loans is given below:

Group
30/9/24 30/9/23
£    £   
Amounts falling due within one year or on demand:
Other loans 33,749 35,485
Amounts falling due between one and two years:
Other loans - 1-2 years 35,123 36,931
Amounts falling due between two and five years:
Other loans - 2-5 years - 38,435

20. Leasing agreements

Minimum lease payments fall due as follows:

Group
Non-cancellable operating leases
30/9/24 30/9/23
£    £   
Within one year 65,000 65,000
Between one and five years 65,000 130,000
130,000 195,000

21. Called up share capital

Allotted, issued and fully paid:
Number: Class: Nominal 30/9/24 30/9/23
value: £    £   
1,000 Ordinary £1 1,000 1,000

There is a single class of Ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital.

Chester Wool Holdings Ltd (Registered number: 14104212)

Notes to the Consolidated Financial Statements - continued
for the Year Ended 30 September 2024

22. Reserves

Group
Retained
earnings
£   

At 1 October 2023 20,745,467
Profit for the year 4,992,485
Dividends (3,000,000 )
Foreign exchange differences (209,678 )
At 30 September 2024 22,528,274

Company
Retained
earnings
£   

At 1 October 2023 4,224
Profit for the year 3,000,131
Dividends (3,000,000 )
At 30 September 2024 4,355


23. Related party disclosures

Chester Wool Company Limited has provided loans to Rose Farmhouse Properties Ltd, a company under common control. At 30 September 2024 the balance on these loans was £720,254. These loans are interest free, unsecured and repayable on demand.