Company registration number 01202108 (England and Wales)
SPARKS CATERING BUTCHERS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2024
SPARKS CATERING BUTCHERS LIMITED
COMPANY INFORMATION
Directors
J W Sparks
A D Sparks
S J Wells
Secretary
S J Wells
Company number
01202108
Registered office
3rd Floor Hathaway House
Popes Drive
Finchley
London
N3 1QF
Auditor
F M C B
3rd Floor
Hathaway House
Popes Drive
Finchley
London
N3 1QF
Business address
Unit 3, Delta Park
Millmarsh Lane
Brimsdown
Enfield
Middlesex
EN3 7QJ
SPARKS CATERING BUTCHERS LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2 - 3
Independent auditor's report
4 - 6
Profit and loss account
7
Group balance sheet
8
Company balance sheet
9
Group statement of changes in equity
10
Company statement of changes in equity
11
Group statement of cash flows
12
Company statement of cash flows
13
Notes to the financial statements
14 - 25
SPARKS CATERING BUTCHERS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 1 -

The directors present the strategic report and financial statements for the year ended 30 September 2024.

Review of the business

Gross profit for the group increased by 43% to £9,687,983 (2023: £6,789,465). The group turnover decreased by 1% to £28,356,374 (2023: £28,706,812).

 

Beef burgers are an important part of the group’s turnover and they are produced exclusively by The Burger Manufacturing Company Limited.

 

At 30 September 2024 the directors consider the group’s finances to be sound. At the Balance Sheet date, the group had cash balances of £10,753,193 (2023: £7,217,777). Cash balances as a percentage of net assets was 65% (2023: 55%).

 

Current trading has improved as meat price stabilised which resulted in higher profit margins.

 

Great emphasis is placed on the quality of burgers as they are central to the group’s profitability and existence. Meat is sourced from approved plants within Europe, it is fully traceable and only the best cuts are purchased. Great care is taken in the manufacturing process to ensure the quality and integrity of the end product. The result is a premium product that customers are prepared to buy.

 

On behalf of the board

A D Sparks
Director
16 June 2025
SPARKS CATERING BUTCHERS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 2 -

The directors present their annual report and financial statements for the year ended 30 September 2024.

Principal activities

The principal activity of the company and group continued to be that of wholesale fast food distributors and the manufacture of burgers.

Results and dividends

The results for the year are set out on page 7.

Dividends of £500,000 (2023: £500,000) were paid during the year. No further dividends are proposed for the year to 30 September 2024.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

J W Sparks
A D Sparks
S J Wells
Financial instruments
Liquidity risk

The group had cash at bank and in hand of £10,753,193 as at 30 September 2024. The directors consider that the company has sufficient liquid resources to meet the operating needs of the business for the foreseeable future.

 

Credit risk

Investments of cash surpluses are made through banks. The group has no borrowings or derivative instruments.

 

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary.

Auditor

The auditor, FMCB, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

SPARKS CATERING BUTCHERS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 3 -
Statement of directors' responsibilities

The directors are responsible for preparing the Annual Report 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
A D Sparks
Director
16 June 2025
SPARKS CATERING BUTCHERS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SPARKS CATERING BUTCHERS LIMITED
- 4 -
Opinion

We have audited the financial statements of Sparks Catering Butchers Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2024 which comprise the group profit and loss account, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including 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:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 group's and parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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 course of 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 our audit:

SPARKS CATERING BUTCHERS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SPARKS CATERING BUTCHERS LIMITED
- 5 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 is 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

 

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

 

SPARKS CATERING BUTCHERS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SPARKS CATERING BUTCHERS LIMITED
- 6 -

As a result of considering the above we use audit procedures to respond to any potential risks. Procedures used include the following:

 

 

In addition to the above procedures the engagement team remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

 

There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 an auditor's report 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.

Suzanne Freeda BA FCA (Senior Statutory Auditor)
For and on behalf of F M C B, Statutory Auditor
Chartered Accountants
3rd Floor
Hathaway House
Popes Drive
Finchley
London
N3 1QF
18 June 2025
SPARKS CATERING BUTCHERS LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 7 -
2024
2023
Notes
£
£
Turnover
3
28,356,374
28,706,812
Cost of sales
(18,668,391)
(21,917,347)
Gross profit
9,687,983
6,789,465
Distribution costs
(631,811)
(696,732)
Administrative expenses
(3,989,830)
(3,833,989)
Operating profit
4
5,066,342
2,258,744
Interest receivable and similar income
8
224,161
53,642
Interest payable and similar expenses
9
(2,531)
(1,838)
Profit before taxation
5,287,972
2,310,548
Tax on profit
10
(1,409,955)
(576,271)
Profit for the financial year
3,878,017
1,734,277
Profit for the financial year is all attributable to the owners of the parent company.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

SPARKS CATERING BUTCHERS LIMITED
GROUP BALANCE SHEET
AS AT 30 SEPTEMBER 2024
30 September 2024
- 8 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
3,680,058
3,991,654
3,680,058
3,991,654
Current assets
Stocks
15
2,214,878
2,214,571
Debtors
16
1,940,760
2,047,869
Cash at bank and in hand
10,753,193
7,217,777
14,908,831
11,480,217
Creditors: amounts falling due within one year
17
(1,780,080)
(2,052,679)
Net current assets
13,128,751
9,427,538
Total assets less current liabilities
16,808,809
13,419,192
Provisions for liabilities
Deferred tax liability
18
368,258
356,658
(368,258)
(356,658)
Net assets
16,440,551
13,062,534
Capital and reserves
Called up share capital
21
100
100
Profit and loss reserves
16,440,451
13,062,434
Total equity
16,440,551
13,062,534

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

The financial statements were approved by the board of directors and authorised for issue on 16 June 2025 and are signed on its behalf by:
16 June 2025
A D Sparks
S J Wells
Director
Director
Company registration number 01202108 (England and Wales)
SPARKS CATERING BUTCHERS LIMITED
COMPANY BALANCE SHEET
AS AT 30 SEPTEMBER 2024
30 September 2024
- 9 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
232,847
311,276
Investments
13
500,000
500,000
732,847
811,276
Current assets
Stocks
15
408,438
396,334
Debtors
16
707,123
710,240
Cash at bank and in hand
3,584,177
3,400,312
4,699,738
4,506,886
Creditors: amounts falling due within one year
17
(932,959)
(1,107,339)
Net current assets
3,766,779
3,399,547
Total assets less current liabilities
4,499,626
4,210,823
Provisions for liabilities
Deferred tax liability
18
54,156
55,383
(54,156)
(55,383)
Net assets
4,445,470
4,155,440
Capital and reserves
Called up share capital
21
100
100
Profit and loss reserves
4,445,370
4,155,340
Total equity
4,445,470
4,155,440

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £790,030 (2023 - £885,989 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 16 June 2025 and are signed on its behalf by:
16 June 2025
A D Sparks
S J Wells
Director
Director
Company registration number 01202108 (England and Wales)
SPARKS CATERING BUTCHERS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 10 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 October 2022
100
11,828,157
11,828,257
Year ended 30 September 2023:
Profit and total comprehensive income
-
1,734,277
1,734,277
Dividends
11
-
(500,000)
(500,000)
Balance at 30 September 2023
100
13,062,434
13,062,534
Year ended 30 September 2024:
Profit and total comprehensive income
-
3,878,017
3,878,017
Dividends
11
-
(500,000)
(500,000)
Balance at 30 September 2024
100
16,440,451
16,440,551
SPARKS CATERING BUTCHERS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 11 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 October 2022
100
3,769,351
3,769,451
Year ended 30 September 2023:
Profit and total comprehensive income for the year
-
885,989
885,989
Dividends
11
-
(500,000)
(500,000)
Balance at 30 September 2023
100
4,155,340
4,155,440
Year ended 30 September 2024:
Profit and total comprehensive income
-
790,030
790,030
Dividends
11
-
(500,000)
(500,000)
Balance at 30 September 2024
100
4,445,370
4,445,470
SPARKS CATERING BUTCHERS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 12 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
24
5,324,227
2,945,280
Interest paid
(2,531)
(1,838)
Corporation taxes paid
(1,401,990)
(320,915)
Net cash inflow from operating activities
3,919,706
2,622,527
Investing activities
Purchase of tangible fixed assets
(108,451)
(181,372)
Proceeds from disposal of tangible fixed assets
-
3,219
Interest received
224,161
53,642
Net cash generated from/(used in) investing activities
115,710
(124,511)
Financing activities
Dividends paid to equity shareholders
(500,000)
(500,000)
Net cash used in financing activities
(500,000)
(500,000)
Net increase in cash and cash equivalents
3,535,416
1,998,016
Cash and cash equivalents at beginning of year
7,217,777
5,219,761
Cash and cash equivalents at end of year
10,753,193
7,217,777
SPARKS CATERING BUTCHERS LIMITED
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
25
1,126,411
924,565
Interest paid
(2,531)
(1,838)
Income taxes paid
(547,889)
(320,915)
Net cash inflow from operating activities
575,991
601,812
Investing activities
Purchase of tangible fixed assets
-
0
(144,750)
Proceeds from disposal of tangible fixed assets
-
0
3,219
Interest received
107,874
30,715
Net cash generated from/(used in) investing activities
107,874
(110,816)
Financing activities
Dividends paid to equity shareholders
(500,000)
(500,000)
Net cash used in financing activities
(500,000)
(500,000)
Net increase/(decrease) in cash and cash equivalents
183,865
(9,004)
Cash and cash equivalents at beginning of year
3,400,312
3,409,316
Cash and cash equivalents at end of year
3,584,177
3,400,312
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 14 -
1
Accounting policies
Company information

SPARKS CATERING BUTCHERS LIMITED (“the company”) is a limited company domiciled and incorporated in England and Wales (Registered No. 01202108). The registered office is 3rd Floor Hathaway House, Popes Drive, Finchley, London, N3 1QF.

 

The group consists of SPARKS CATERING BUTCHERS LIMITED and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest pound.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £790,030 (2023 - £885,989 profit).

The consolidated financial statements incorporate those of SPARKS CATERING BUTCHERS LIMITED and its subsidiary (i.e. an entity that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits).

 

All financial statements are made up to 30 September 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

 

1.2
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover
Turnover represents amounts receivable for goods net of VAT and trade discounts.

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

1.4
Tangible fixed assets

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

SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
1
Accounting policies
(Continued)
- 15 -

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings Freehold
2%/8% straight line
Land and buildings Leasehold
Over the term of the lease
Plant and machinery
25% written down value/6.7% to 20% straight line
Fixtures, fittings & equipment
20% written down value
Motor vehicles
25% written down value/straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

1.5
Fixed asset investments

In the parent company financial statements, investments in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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

1.6
Impairment of fixed assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered a material impairment loss. If a material impairment loss arises then it is recognised in the profit and loss account.

1.7
Stocks

Stocks are stated at the lower of cost and net realisable value after making due allowance for impairment losses on obsolete and slow moving items. Impairment losses are recognised in profit or loss.

 

 

1.8
Financial instruments

The company has elected to apply the provisions of Section 11 ’Basic Financial Instruments’ and section 12 ‘Other financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial assets include investments, debtors and cash and bank balances.    

 

Debtors and cash and bank balances which are basic financial assets are measured at transaction price less any impairment.

 

Financial assets are assessed for indicators of impairment at each reporting end date.

Classification of financial liabilities

Financial liabilities includes creditors and debt instruments.

 

Creditors and debt instruments which are basic financial liabilities are measured at transaction price.

1.9
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
1
Accounting policies
(Continued)
- 16 -
Deferred tax

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

1.10
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

1.11
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12
Leases

Rentals payable under operating leases are charged to income on a straight line basis over the term of the relevant lease.

2
Judgements and key sources of estimation uncertainty

In the application of the group’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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Estimation of useful life

The charge for depreciation is derived after determining an estimate of an asset’s expected useful life and the expected residual value at the end of its life. Increasing an asset’s expected life or its residual value would result in a reduced depreciation charge in the profit and loss account. The useful lives and residual values of the 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 as well as anticipation of future events which may impact their life.

3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2024
2023
£
£
Turnover analysed by class of business
Sparks Catering Butchers Limited
15,305,175
15,498,606
The Burger Manufacturing Company Limited
13,051,199
13,208,206
28,356,374
28,706,812
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
3
Turnover and other revenue
(Continued)
- 17 -
2024
2023
£
£
Other revenue
Interest income
224,161
53,642
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging:
Depreciation of owned tangible fixed assets
417,736
419,791
Loss on disposal of tangible fixed assets
2,311
5,249
Operating lease charges
730,135
644,190
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
34,000
35,000
Audit of the financial statements of the company's subsidiaries
36,000
31,846
70,000
66,846
For other services
All other non-audit services
14,669
15,938
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Administration and sales
22
21
12
11
Delivery and warehouse
15
16
15
16
Manufacturing
42
43
-
-
Total
79
80
27
27
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
6
Employees
(Continued)
- 18 -

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
2,484,353
2,322,153
908,286
911,045
Social security costs
228,225
199,006
79,379
72,638
Pension costs
85,785
79,373
52,567
50,242
2,798,363
2,600,532
1,040,232
1,033,925
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
95,622
93,421
Company pension contributions to defined contribution schemes
30,000
30,000
125,622
123,421

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2023 - 2).

8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
215,771
45,838
Other interest income
8,390
7,804
Total income
224,161
53,642
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
215,771
45,838
9
Interest payable and similar expenses
2024
2023
£
£
Other finance costs:
Other interest
2,531
1,838
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 19 -
10
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
1,399,970
557,428
Adjustments in respect of prior periods
(1,616)
-
0
Total current tax
1,398,354
557,428
Deferred tax
Origination and reversal of timing differences
11,601
18,843
Total tax charge
1,409,955
576,271

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
5,287,972
2,310,548
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 22.01%)
1,321,993
508,510
Tax effect of expenses that are not deductible in determining taxable profit
20,666
20,868
Adjustments in respect of prior years
(1,616)
-
0
Permanent capital allowances in excess of depreciation
(30,512)
(36,449)
Depreciation on assets not qualifying for tax allowances
85,404
73,553
Unrealised profit
14,020
9,789
Taxation charge
1,409,955
576,271
11
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Interim paid
500,000
500,000
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 20 -
12
Tangible fixed assets
Group
Land and buildings Freehold
Land and buildings Leasehold
Plant and machinery
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 October 2023
3,528,290
17,433
4,156,984
182,007
680,038
8,564,752
Additions
-
0
-
0
108,451
-
0
-
0
108,451
Disposals
-
0
-
0
-
0
-
0
(30,784)
(30,784)
At 30 September 2024
3,528,290
17,433
4,265,435
182,007
649,254
8,642,419
Depreciation and impairment
At 1 October 2023
1,245,314
5,956
2,758,609
180,488
382,731
4,573,098
Depreciation charged in the year
115,521
1,743
226,358
365
73,749
417,736
Eliminated in respect of disposals
-
0
-
0
-
0
-
0
(28,473)
(28,473)
At 30 September 2024
1,360,835
7,699
2,984,967
180,853
428,007
4,962,361
Carrying amount
At 30 September 2024
2,167,455
9,734
1,280,468
1,154
221,247
3,680,058
At 30 September 2023
2,282,976
11,477
1,398,375
1,519
297,307
3,991,654
Company
Land and buildings Leasehold
Plant and machinery
Fixtures, fittings & equipment
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 October 2023
17,433
289,979
134,858
680,038
1,122,308
Disposals
-
0
-
0
-
0
(30,784)
(30,784)
At 30 September 2024
17,433
289,979
134,858
649,254
1,091,524
Depreciation and impairment
At 1 October 2023
5,956
288,653
133,692
382,731
811,032
Depreciation charged in the year
1,743
332
294
73,749
76,118
Eliminated in respect of disposals
-
0
-
0
-
0
(28,473)
(28,473)
At 30 September 2024
7,699
288,985
133,986
428,007
858,677
Carrying amount
At 30 September 2024
9,734
994
872
221,247
232,847
At 30 September 2023
11,477
1,326
1,166
297,307
311,276
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 21 -
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
500,000
500,000

The investment in subsidiaries has been included at cost.

Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 October 2023 and 30 September 2024
500,000
Carrying amount
At 30 September 2024
500,000
At 30 September 2023
500,000
14
Subsidiaries

Details of the company's subsidiaries at 30 September 2024 are as follows:

Name of undertaking
Registered
Nature of business
Class of
% Held
office
shares held
Direct
Indirect
The Burger Manufacturing Company Limited
Wyeside Enterprise Park, Llanelwedd, Builth Wells, Powys, LD2 3UA.
Manufacture and sale of burgers through wholesalers
Ordinary shares
100.00
0
Wye Valley Foods Limited
Wyeside Enterprise Park, Llanelwedd, Builth Wells, Powys, LD2 3UA.
Dormant
Ordinary shares
100.00
0

The above companies have been included in the consolidated accounts.

SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 22 -
15
Stocks
Group
Company
2024
2023
2024
2023
£
£
£
£
Raw materials and consumables
869,661
930,065
-
-
Finished goods and goods for resale
1,345,217
1,284,506
408,438
396,334
2,214,878
2,214,571
408,438
396,334
16
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
1,399,842
1,583,985
262,012
295,703
Corporation tax recoverable
26,946
-
0
26,946
-
0
Other debtors
350,504
334,595
304,856
295,495
Prepayments and accrued income
163,468
129,289
113,309
119,042
1,940,760
2,047,869
707,123
710,240
17
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£
£
£
£
Trade creditors
909,962
1,197,405
187,232
211,696
Amounts owed to group undertakings
-
0
-
0
566,575
466,864
Corporation tax payable
581,159
557,848
-
0
232,132
Other taxation and social security
67,111
52,085
14,305
19,618
Other creditors
20,516
17,484
11,110
11,923
Accruals and deferred income
201,332
227,857
153,737
165,106
1,780,080
2,052,679
932,959
1,107,339
18
Deferred taxation

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
368,258
356,658
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
18
Deferred taxation
(Continued)
- 23 -
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
54,156
55,383
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 October 2023
356,658
55,383
Charge/(credit) to profit or loss
11,600
(1,227)
Liability at 30 September 2024
368,258
54,156
19
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
251,233
253,476
251,233
253,476
Between two and five years
976,880
994,832
976,880
994,832
In over five years
136,774
376,787
136,774
376,787
1,364,887
1,625,095
1,364,887
1,625,095

The company entered into a new lease for its business premises at Enfield on 26 April 2020 for ten years.

20
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
85,785
79,373

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 24 -
21
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
22
Related party transactions
Remuneration of key management personnel

The remuneration of key management personnel is as follows.

2024
2023
£
£
Aggregate compensation
311,397
281,310
23
Directors' transactions

Interest free loans have been granted by the group to its directors as follows:

Description
% Rate
Opening balance
Closing balance
£
£
A D Sparks -
-
196,824
196,824
196,824
196,824
24
Cash generated from operations - group
2024
2023
£
£
Profit after taxation
3,878,017
1,734,277
Adjustments for:
Taxation charged
1,409,955
576,271
Finance costs
2,531
1,838
Investment income
(224,161)
(53,642)
Loss on disposal of tangible fixed assets
2,311
5,249
Depreciation and impairment of tangible fixed assets
417,736
419,791
Movements in working capital:
(Increase)/decrease in stocks
(307)
310,582
Decrease in debtors
134,055
43,119
Decrease in creditors
(295,910)
(92,205)
Cash generated from operations
5,324,227
2,945,280
SPARKS CATERING BUTCHERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2024
- 25 -
25
Cash generated from operations - company
2024
2023
£
£
Profit after taxation
790,030
885,989
Adjustments for:
Taxation charged
287,584
242,780
Finance costs
2,531
1,838
Investment income
(107,874)
(30,715)
Loss on disposal of tangible fixed assets
2,311
5,249
Depreciation and impairment of tangible fixed assets
76,118
85,594
Movements in working capital:
(Increase)/decrease in stocks
(12,104)
30,716
Decrease in debtors
30,063
21,219
Increase/(decrease) in creditors
57,752
(318,105)
Cash generated from operations
1,126,411
924,565
26
Analysis of changes in net funds - group
1 October 2023
Cash flows
30 September 2024
£
£
£
Cash at bank and in hand
7,217,777
3,535,416
10,753,193
27
Analysis of changes in net funds - company
1 October 2023
Cash flows
30 September 2024
£
£
£
Cash at bank and in hand
3,400,312
183,865
3,584,177
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