REGISTERED NUMBER: |
Strategic Report, Directors' Report and |
Financial Statements for the Year Ended 29 September 2024 |
for |
NORCO GROUP LIMITED |
REGISTERED NUMBER: |
Strategic Report, Directors' Report and |
Financial Statements for the Year Ended 29 September 2024 |
for |
NORCO GROUP LIMITED |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Contents of the Financial Statements |
for the Year Ended 29 September 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Directors' Report | 3 |
Report of the Independent Auditors | 5 |
Income Statement | 9 |
Other Comprehensive Income | 10 |
Balance Sheet | 11 |
Statement of Changes in Equity | 12 |
Notes to the Financial Statements | 13 |
NORCO GROUP LIMITED |
Company Information |
for the Year Ended 29 September 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
3 Castle Court |
Carnegie Campus |
Dunfermline |
KY11 8PB |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Strategic Report |
for the Year Ended 29 September 2024 |
The directors present their strategic report for the year ended 29 September 2024. |
REVIEW OF BUSINESS |
As shown in the Company profit and loss account, turnover for the year has increased by 10% to £14m and operating profits have decreased 8% to £485k. The director considers this to be another strong set of results reflecting the ongoing success, and investment in, the business. |
The Company's strong financial position at the year-end has ensured that continued investment in people and facilities since September has led to future improvements in sales and more importantly margin. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Market and economic risk |
The majority of the Company's goods and services are to the UK markets and therefore the company is exposed to market and economic risks within the UK. Given the recent difficult trading conditions and the period of inflation, the business has performed exceptionally well due to our strategy and workforce. |
The key business risks and uncertainties affecting the Company are related to competition, part seasonality and cyclicality. The availability of new contracts within the North Sea as well as some contraction in the equipment rental market remains a challenge. Nevertheless, our customer base is diverse enough that we remain confident that this threat is minimal particularly as our rates are lower than most. |
Bank funding and liquidity risk |
Through existing cash flows, loans from the director and where required, bank funding, the business is well placed to continue to grow over the next few years. Bank debts have reduced significantly in recent years. Future growth will be funded through the continuation of an Invoice Finance facility which provides the appropriate flexibility. |
Credit risk |
The Company has implicated policies that require appropriate credit checks on potential customers before sales are made. The director does not believe there is significant exposure or over-reliance to any individual party. |
KEY PERFORMANCE INDICATORS (KPI) |
The key performance indicators used to measure and monitor the performance of the business are gross margin and cash management. The gross margin has remained consistent year-on-year at 24%. |
The Company are also in a steady cash position and have significantly reduced the bank borrowings and debtor days in the year. |
FUTURE DEVELOPMENTS |
The business will continue to focus on existing customer contracts as well as seeking new opportunities in the marketplace. The director does not envisage any significant changes in the company's operations over the next 12 months. |
ON BEHALF OF THE BOARD: |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Directors' Report |
for the Year Ended 29 September 2024 |
The directors present their report with the financial statements of the company for the year ended 29 September 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of independent service provider, supplier and manufacturer of critical power systems, industrial batteries and chargers. |
DIVIDENDS |
No dividends will be distributed for the year ended 29 September 2024. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 30 September 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Directors' 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 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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Directors' Report |
for the Year Ended 29 September 2024 |
AUDITORS |
Thomson Cooper were appointed as auditor to the group and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be reappointed will be put at a General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Norco Group Limited |
Opinion |
We have audited the financial statements of Norco Group Limited (the 'company') for the year ended 29 September 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 29 September 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 other information comprises the information included in the annual report other than the financial statements and our audit's report thereon. The director is 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 the 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Norco Group Limited |
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 Directors' Report. |
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 director's responsibilities statement, the director is 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 director determines 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 director is 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 director either intends to liquidate the |
parent company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Norco Group Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. |
Extent to which the audit was considered capable of detecting irregularities, including fraud |
We consider the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of commercial income, posting of unusual journals along with complex transactions and manipulating the Company's key performance indicators to meet targets. We discussed these risks with management, designed audit procedures to test the timing and existence of revenue, tested a sample of journals to confirm they were appropriate, attended the year end stock count and reviewed areas of judgement for indicators of management bias to address these risks. |
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience through discussion with the officers and management (as required by the auditing standards). |
We reviewed the laws and regulations in areas that directly affect the financial statements including financial and taxation legislation and considered the extent of compliance with those laws and regulations as part of our procedures on the related financial statement items. |
With the exception of any known or possible non-compliance with relevant and significant laws and regulations, and as required by the auditing standards, our work in respect of these was limited to enquiry of the officers and management of the company. |
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even through we have properly planned and preformed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations. |
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. |
Other matters which we are required to address |
Comparative information contained within these financial statements are unaudited. The first year the company was subjected to audit was for the year ended 29 September 2024. |
Report of the Independent Auditors to the Members of |
Norco Group Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
3 Castle Court |
Carnegie Campus |
Dunfermline |
KY11 8PB |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Income Statement |
for the Year Ended 29 September 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
493,848 | 531,278 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Other Comprehensive Income |
for the Year Ended 29 September 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Balance Sheet |
29 September 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
CURRENT ASSETS |
Stocks | 11 |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
14 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Share premium | 19 |
Capital redemption reserve | 19 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Statement of Changes in Equity |
for the Year Ended 29 September 2024 |
Called up | Capital |
share | Retained | Share | redemption | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 30 September 2022 |
Changes in equity |
Total comprehensive income | - | - |
Balance at 29 September 2023 |
Changes in equity |
Total comprehensive income | - | - |
Balance at 29 September 2024 |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements |
for the Year Ended 29 September 2024 |
1. | STATUTORY INFORMATION |
Norco Group Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
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 £. |
The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
• | the requirements of Section 7 Statement of Cash Flows. |
Turnover |
Turnover is recognised at the fair value of the consideration received or receivable for goods and services |
provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. |
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. |
Revenue from contracts for the provision of services is recognised as services are provided. Where a contract has only been partially completed at the balance sheet date, turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the balance sheet date. Payments received and amounts invoiced to customers in advance of services being provided are included in creditors as deferred income, and revenue recognised in advance of invoicing is shown as accrued income, within debtors. |
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. |
Tangible fixed assets |
Freehold property | - |
Improvements to property | - |
Plant and machinery | - |
Batteries | - |
Motor vehicles | - |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are stated at the lower of cost incurred in bringing each product to its present location and condition and net realisable value. |
Work in progress and finished goods include the cost of direct materials and labour plus attributable overheads based on a normal level of activity. |
Net realisable value is based on estimated selling price less any further costs expected to be incurred to |
completion and disposal. |
On a monthly basis, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the profit and loss account. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases. |
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of |
inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability. |
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed. |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
2. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
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 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. |
There are not considered to be any critical accounting judgements or estimates. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by class of business is given below: |
2024 | 2023 |
£ | £ |
An analysis of turnover by geographical market is given below: |
2024 | 2023 |
£ | £ |
United Kingdom |
Rest of World | 519,998 | 703,976 |
5. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
5. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
All employees |
Total remuneration paid to directors during the year was £319,965 (2023 - £235,467). |
6. | OPERATING PROFIT |
The operating profit 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 | ( |
) | ( |
) |
Development costs amortisation |
Foreign exchange differences |
Audit fee |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Interest payable |
Hire purchase |
Bank interest |
8. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax |
Prior year tax adjustment | (319,450 | ) | - |
Total current tax | ( |
) |
Deferred tax |
Tax on profit | ( |
) |
UK corporation tax has been charged at 25% . |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
8. | TAXATION - continued |
Reconciliation of total tax (credit)/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: |
2024 | 2023 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Depreciation in excess of capital allowances |
Adjustments to tax charge in respect of previous periods |
Prior year tax adjustments | ( |
) | ( |
) |
Group relief surrendered/claimed | ( |
) |
Unexplained difference | ( |
) |
Total tax (credit)/charge | (201,781 | ) | 112,126 |
In 2023 there was a change in the rate in which Corporation Tax was charged from 19% to 25%. |
The adjustment to tax charge in respect of previous periods of £319,450 relates to the filing of amended tax returns for Research and Development claims in prior years which have resulted in a repayment of Corporation Tax. |
9. | INTANGIBLE FIXED ASSETS |
Development |
costs |
£ |
COST |
At 30 September 2023 |
Additions |
At 29 September 2024 |
AMORTISATION |
At 30 September 2023 |
Amortisation for year |
At 29 September 2024 |
NET BOOK VALUE |
At 29 September 2024 |
At 29 September 2023 |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
10. | TANGIBLE FIXED ASSETS |
Improvements |
Freehold | to | Plant and |
property | property | machinery |
£ | £ | £ |
COST |
At 30 September 2023 |
Additions |
Disposals | ( |
) |
At 29 September 2024 |
DEPRECIATION |
At 30 September 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 29 September 2024 |
NET BOOK VALUE |
At 29 September 2024 |
At 29 September 2023 |
Motor |
Batteries | vehicles | Totals |
£ | £ | £ |
COST |
At 30 September 2023 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) |
At 29 September 2024 |
DEPRECIATION |
At 30 September 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 29 September 2024 |
NET BOOK VALUE |
At 29 September 2024 |
At 29 September 2023 |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
10. | TANGIBLE FIXED ASSETS - continued |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 30 September 2023 |
Additions |
Disposals | ( |
) |
Transfer to ownership | (138,095 | ) |
At 29 September 2024 |
DEPRECIATION |
At 30 September 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
Transfer to ownership | (138,095 | ) |
At 29 September 2024 |
NET BOOK VALUE |
At 29 September 2024 |
At 29 September 2023 |
11. | STOCKS |
2024 | 2023 |
£ | £ |
Stocks |
Work-in-progress |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Retirement benefits scheme | 26,873 | 24,727 |
Tax |
Prepayments and accrued income |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts (see note 15) |
Hire purchase contracts (see note 16) |
Trade creditors |
Tax |
Social security and other taxes |
Pension Control Account | 23,257 | 24,455 |
VAT | 222,228 | 163,843 |
Other creditors |
Directors' current accounts | 155,581 | - |
Accrued expenses |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans (see note 15) |
Hire purchase contracts (see note 16) |
Directors' loan accounts | 421,017 | - |
15. | LOANS |
The company's bankers hold bonds and floating charges over the assets of the company in respect of bank borrowings and commercial finance facilities. Interest on the bank loans is charged at base rate plus 2.66% and the loans are repayable over a period of 6 years. |
Hire purchase contracts are secured against the assets to which they relate. |
16. | LEASING AGREEMENTS |
Minimum lease payments under hire purchase fall due as follows: |
2024 | 2023 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
In more than five years |
17. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax | 191,550 | 188,525 |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
17. | PROVISIONS FOR LIABILITIES - continued |
Deferred |
tax |
£ |
Balance at 30 September 2023 |
Provided during year |
Balance at 29 September 2024 |
Provisions are reviewed at the end of each reporting period to ensure they are still appropriate. If the circumstances supporting the initial recognition of a provision change, and it is no longer probable that an outflow of resources embodying economic benefits will be required to settle the obligation, the provision will be reversed. This reversal will be recognized in the statement of profit or loss in the period in which the change in circumstances is identified, as the appropriate expense was previously recognized. |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary A | 0.1 | 30,000 | 30,000 |
Ordinary B | 0.1 | 48,000 | 48,000 |
Ordinary C | 0.1 | 42,000 | 42,000 |
120,000 | 120,000 |
19. | RESERVES |
Capital |
Retained | Share | redemption |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 30 September 2023 | 3,039,933 |
Profit for the year |
At 29 September 2024 | 3,664,935 |
NORCO GROUP LIMITED (REGISTERED NUMBER: SC235198) |
Notes to the Financial Statements - continued |
for the Year Ended 29 September 2024 |
20. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
R Sharp - DLA | 2024 | 2023 |
£ | £ |
Balance outstanding at start of year | - | - |
Amounts advanced | 59,425 | - |
Amounts repaid | (117,008 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | (57,583 | ) | - |
R Sharp - Loan | 2024 | 2023 |
£ | £ |
Balance outstanding at start of year | - | - |
Amounts advanced | 826,599 | - |
Amounts repaid | (250,000 | ) | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 576,599 | - |
The Director's current account of £57,583 is included within other debtors. |
The loan facility is repayable over 5 years and interest is charged at 8.5%. The agreement includes an arrangement fee of £120,000 which is being amortised over the term of the loan. As at 29 September, £155,582 is included in other creditors (current) and £421,017 is included in other borrowings (non-current). |
21. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
22. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is R Sharp. |
23. | CONSOLIDATION |
Norco Group Limited is a wholly owned subsidiary of Norco Engineering Limited and the results of Norco Group Limited are included in the consolidated financial statements of Norco Engineering Limited which are available from Norco House, Units 3-6 Pitmedden Road, Dyce, Aberdeen, AB21 0DT. |