|
Company registration number:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
COMPANY INFORMATION
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONTENTS
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The Directors present their Strategic Report on Burhill Group Limited for the year ended 31 December 2024.
The consolidated statement of comprehensive income on page 14 records the profit for the year. The Group continues to use its established key performance indicators to monitor and measure progress. These include Turnover, Operating profit, Headcount, Operating Standards, Market Share and Profit Before Tax.
Turnover Total turnover of £65.5m increased by £4.6m, which is up +7.5% (2023: £60.9m). Golf and Leisure turnover of £64.3m increased by £4.2m, which is up +6.9% (2023: £60.1m). Property rental turnover of £0.79m increased by £40k, which is up +5.4% (2023: £0.75m). Land and building sales were £380k (2023: £nil). The increase in 2024 Group turnover reflects growth in the golf business from continuing investments, a full year of trading from Adventure Leisure sites opened in 2023 in Norwich, Bristol and Romford, plus the opening of a Mr Mulligans site in Hemel Hempstead in July 2024. Operating profit Operating profit of £5,102k decreased by £98k, which is down -1.9% (2023: £5,200k). The reduction in operating profit is due to ongoing inflationary cost increases during the year, a full year of 2024 costs at Adventure Leisure locations opened in 2023 and the opening of Hemel Hempstead in July 2024. While growth was achieved in the Golf business, the overall reduction in operating profit is due to turnover increases in Leisure being offset by inflationary and new openings operating cost increases. In the longer term, net earnings from new openings and reductions in energy contract prices are expected to secure future operating profit growth. Headcount Levels of headcount are continuously monitored against business levels, budgets and prior year. Average headcount for 2024 was 1,175 compared to 1,173 in 2023. This reflects the staffing levels required to provide a high service level to returning customers. Operating Standards & Market Share The Group consistently monitors operating standards and market share to understand the performance of its operating divisions in comparison to competitor businesses. High levels of operating standards are achieved through ongoing staff training and senior management coaching and supervision. Customer feedback is monitored through use of Net Promoter Score systems and a programme of Mystery Shopper visits. Market share and market positioning are monitored via on-line Web based and Social Media feedback. These activities contribute to the achievement of high levels of operating standards and customer service which impact positively on market share. Profit Before Tax Group profit before taxation of £5.7m decreased by £118k which is down -2.1% (2023: £5.8m). This reduction is due to the reasons highlighted in the Operating Profit section of this report.
Page 1
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
In preparing the financial statements the directors have assessed the Company’s ability to continue to trade as a going concern for the foreseeable future. In undertaking this assessment, due consideration has been given to the Company’s banking facilities, historical and current trading trends and forward-looking projections.
Detailed cashflow forecasts have been prepared and the directors believe the company is in a strong position to be able to deal with any future economic impacts. There are a range of steps the Company will take to mitigate any operational and financial impacts on the business. The directors have reviewed the cash flow forecasts and based on their best assessment believe that the Company has sufficient financing in place to ensure all cash flow requirements are satisfied for at least the next twelve months and to the end of 2026 and beyond. As such, the directors continue to adopt the going concern basis of accounting in preparing the annual financial statements. The financial statements therefore do not include any adjustments that would result if the Company were unable to continue as a going concern.
The golf and leisure market in the UK remains very competitive.
Investment in high quality golf operations and excellent customer service will continue to ensure customer retention and yield good financial performance. Ongoing innovation in golf products and various golf industry wide initiatives is expected to continue expansion in golf participation. The principles of product innovation and service delivery are also pursued in the Adventure Leisure and Ninja Leisure businesses where excellence in the leisure experience delivery through high levels of service are the key to customer satisfaction. The Group is exposed to the usual commercial risks associated with golf and leisure operations and property management. Continuous monitoring of market trends and competitor activity combined with product innovation will however ensure the Group maintains its position and takes advantage of opportunities for growth. Strong financial control systems are in place to minimise the risk of loss. The Chief Financial Officer continuously monitors cash flow as part of the ongoing control procedures and the Chief Executive and the Board are regularly updated on the financial status of the Group.
Page 2
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Section 172 of the Companies Act 2006 requires Directors to take into consideration the interests of key stakeholders in the Company in their decision making.
Key stakeholders have been identified as shareholders, customers, employees and suppliers.
∙Shareholders: Regular dialogue is maintained with shareholders and their advisers. Issues of significance are communicated to shareholders. In addition, a full shareholder briefing is provided at the Company’s annual general meeting of shareholders.
∙Customers: Satisfied customers are vital to the future success. There is regular communication with customers on Company initiatives and ongoing activities to provide the highest quality customer experience. Customer feedback is continuously received via web-based polling systems. This feedback is acted upon by senior management to improve customer experiences and develop new products to satisfy demand.
∙Employees: Motivated and satisfied employees are essential to our business. The Company strives to achieve high standards in its dealings with employees. The Company continues to provide comprehensive induction and ongoing training tailored to individual needs via the Group’s on-line training system which now has over 1000 available training modules.
∙Suppliers: The Company maintains appropriate arms-length trading relationships with quality suppliers and is fully committed to fairness in its dealing with suppliers, including meeting all agreed credit terms.
The Directors continue to act to ensure there is full regard to the long-term interests of both the Company and its key stakeholders. This includes considering the impact of the Company’s activities on the community and the environment, including the promotion of best practice in the Company’s Environmental, Social and Governance plan. In doing this the Directors continue to act fairly and in good faith to protect the reputation of the Company and promote its long terms success. Key areas to be noted in this regard are:
∙The Directors fully consider the interests of its stakeholders when engaging with them.
∙Good relations are maintained with the key stakeholders such as shareholders, customers, employees, and suppliers by regular, open and honest communication.
∙The management structure ensures open an effective engagement with the workforce via the Executive Directors and the Senior Management.
∙Appropriate anti-corruption and anti-bribery, equal opportunities and whistleblowing procedures and policies are in place.
Examples of key decisions made by the Directors in the year ended 31st December 2024 acting in the best interests of the Company include:
∙Identification of future strategies and opportunities in Golf, Leisure and Property.
∙Opening of the new Mr Mulligans site in Hemel Hempstead, growing brand presence.
∙Supporting the continuous training of front line and support office staff to ensure compliance with the highest possible operating standards.
∙Supporting high levels of Health and Safety standards and training.
∙Implementation of a comprehensive Human Resources Information System.
∙Secure the Group’s sustainability credentials by supporting the development and implementation of its Environmental, Social and Governance plan.
∙Continuing investment in Golf and Leisure locations to ensure high standards of health and safety combined with excellence in customer experience.
∙Ongoing financial decisions relating to cashflow management, the efficient use of resources, ongoing capital investment and settlement of obligations with customers and suppliers on a timely basis.
The Directors look forward to the future development of Burhill Group Limited with confidence.
Page 3
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
This report was approved by the board and signed on its behalf.
Page 4
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Group's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group 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 the Group and to 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.
There have been no changes to the Group's principal activities during the year.
The profit for the year, after taxation, amounted to £3,845,647 (2023 - £3,819,990).
A final dividend of £7.00 per share for the year ended 31 December 2023 was paid on 30 June 2024.
Subject to approval at the Annual General Meeting on 18th June 2025, a dividend of £6.00 per share for the year ended 31 December 2024 will be paid in June 2025.
Page 5
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors who served during the year were:
The Group continues to seek earnings enhancing opportunities by acquisition and business development.
The Group also continuously assesses opportunities to sell its stock of properties held for resale and where appropriate seeks to obtain relevant planning permissions in order to maximise the disposal value of property selected for disposal.
Credit risk
Credit risk arises principally from the Group’s trade and other receivables. Management regularly review all debtors for potential impairment and are comfortable that all un-provided debts are fully recoverable. Liquidity risk and cash flow risk Liquidity risk arises from the Group's management of working capital and the finance charges and principal repayments on its debt instruments. It is a normal commercial risk that the Group could theoretically encounter difficulty in meeting its financial obligations as they fall due. Liquidity and cashflow risk are closely managed through ongoing effective cash management.
The provision of appropriate information to staff is maintained through regular briefings and other regular communications. Members of the management team regularly visit branches and discuss relevant business issues with members of staff and a programme of regular staff consultative committee meetings is followed.
In accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 the Strategic Report preceding the Directors' Report includes information that would have formerly been included in the engagement with others section of the Directors' Report.
Page 6
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Burhill Group Ltd are a 'large unquoted' company under the Streamlined Energy and Carbon Reporting (SECR) regulations and are required to report annually in the standard format on greenhouse gas emissions from Scope 1 and 2: Electricity, Gas and Transport.
This table summarises SECR information for Burhill Group for the year ended December 2024:
Page 7
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The reporting period is the most recent financial year 01/01/2024 to 31/12/2024. This report has been compiled in line with the March 2019 BEIS 'Environmental Reporting Guidelines: Including streamlined energy and carbon reporting guidance', and the EMA methodology for SECR Reporting.
All measured emissions from activities which the organisation has financial control over are included as required under The Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, unless otherwise stated in the exclusions statement below. The carbon figures have been calculated using the Department for Business Energy and Industrial Strategy 2023 carbon conversion factors for all fuels, other than the market-based electricity which has been taken from the relevant UK suppliers. SECR - Intensity Measurement The chosen intensity measurement ratio is total gross emissions in metric tonnes CO2e per £1m turnover, the recommended ratio for the sector. SECR - Market-based assessment of emissions changes The market based purchased electricity emissions shown above reflect the officially approved calculation of reduced emissions due to sourcing electricity supply from renewable sources. In 2024, the market-based assessment of gross emissions of carbon dioxide increased by 161 tonnes to 1,489 tonnes when compared to 2023. The Intensity Ratio of tonnes of carbon dioxide per £1m of turnover increased by 0.92 tonnes to 22.74 compared to 2023. SECR – Location-based assessment of emissions changes In 2024, largely due to the addition of 1 new trading location, the location-based assessment of gross emissions of carbon dioxide increased by 71 tonnes to 2,865 tonnes when compared to 2023. However, due to the increase in turnover, the Intensity Ratio of tonnes of carbon dioxide per £1m of turnover reduced by 2.13 tonnes to 43.77 compared to 2023. SECR - Statement of exclusions: Scope 1 - None Scope 2 - Purchased electricity does not include the Transmission and Distribution element as this is owned by the supplier. Scope 3 - Voluntary SECR – Ongoing measures taken to improve energy efficiency The Group has continued with the development and implementation of its Environmental, Social and Governance (ESG) plan to further the overall objective of improving sustainability and energy efficiency to reduce greenhouse gas emissions. The ESG plan includes the following specific elements: • Sourcing energy supplies from renewable sources wherever possible. • Responsible procurement across the supply chain. • Implementation of sustainable re-cycling across the Group to reduce waste to landfill. • Working with suppliers who are committed to reducing their own carbon footprint. • Use of electric or hybrid vehicles wherever practical. • Ensuring new openings all include up to date energy conservation measures. • Increased use of video conferencing facilities to reduce business travel. • Installation of LED lighting and other energy saving measures. • Boiler replacements at the highest energy efficiency level and ground or air source heat pumps to be preferred. • Installation of energy efficient air handling systems. • Installation of energy efficient kitchen equipment. • Installation of lighting movement sensors to reduce electricity consumption. • Continuance with a “cashless” policy in operations. • Installation of Solar panels at selected locations to reduce on-site electricity consumption.
Page 8
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The actions highlighted will facilitate ongoing energy savings and emissions reduction.
Action is also being taken to engage staff, customers and suppliers with the ESG plan and performance monitoring is in place to measure progress. Current events and economic trends The directors continue to closely monitor the ongoing impact of all known current events and economic trends, including the adverse effects of inflation and interest rate movements. The directors continue to be fully prepared to take the necessary actions to protect the interests of the Company and its stakeholders including all shareholders, customers, employees and suppliers.
The auditor, Menzies LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
Page 9
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BURHILL GROUP LIMITED
We have audited the financial statements of Burhill Group Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated statement of comprehensive income, the Consolidated balance sheet, the Company balance sheet, the Consolidated statement of cash flows, the Consolidated statement of changes in equity, the Company statement of changes in equity and the related notes, 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).
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 in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
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 or 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.
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.
Page 10
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BURHILL GROUP LIMITED (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Group 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 Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
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 Directors' report.
Page 11
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BURHILL GROUP LIMITED (CONTINUED)
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 Group 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:
The Group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant:
∙The Companies Act 2006;
∙Financial Reporting Standard 102;
∙UK employment legislation.
∙UK health and safety legislation;
∙General Data Protection Regulations;
∙UK tax legislation;
We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.
We understood how the Group is complying with those legal and regulatory frameworks by making inquiries to management and those responsible for legal and compliance procedures. The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. He did not identify any issues in this area. We assessed the susceptibility of the Group’s financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:
∙Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
∙Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;
∙Challenging assumptions and judgements made by management in its significant accounting estimates; and
∙Identifying and testing journal entries, in particular any journal entries posted outside of the normal working patterns of the accounts team, or with unusual descriptions or account combinations.
As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisationfor fraud and identified the greatest potential for fraud in the following areas:
∙The application of inappropriate judgements or estimation to manipulate the financial position in the calculation of the year end provisions;
∙The posting of unusual journals and complex transactions; or
∙The use of management override of controls to manipulate results.
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.
Page 12
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BURHILL GROUP LIMITED (CONTINUED)
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 Auditor's 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.
for and on behalf of
Chartered Accountants
Statutory Auditor
95 Gresham Street
EC2V 7AB
20 May 2025
Page 13
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 14
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 22 to 40 form part of these financial statements.
Page 15
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 22 to 40 form part of these financial statements.
Page 16
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 17
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 18
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 19
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 20
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 21
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Burhill Group Limited is a private company incorporated in England and Wales under the Companies Act 2006. It is a company limited by shares. The address of the registered office is given on the Company Information page and the nature of the Company’s operations and principal activities are given in the Directors’ Report and Strategic Report.
During the year, the Company transferred accounting systems. As part of the transfer process, the Director's have reclassified a number of expense categories between cost of sales and administrative expenses to show a more appropriate classification. As a result, the prior year comparatives have also been restated to reflect the classification change. The impact of the reclassification is an decrease in cost of sales by £2,307,474 and a corresponding increase in administrative expenses by the same amount.
3.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The presentational and functional curreny of these financial statements is GBP. Values are rounded to the nearest pound. The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 4). The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. Parent Company disclosure exemptions
∙Only one reconciliation of the number of shares outstanding at the beginning and end of the period has been presented as the reconciliations for the Group and the Parent Company would be identical.
∙No cash flow statement has been presented for the Parent Company;
∙Disclosures in respect of the Parent Company's financial instruments have not been presented as equivalent disclosures have been provided in respect of the Group as a whole; and
∙No disclosure has been given for the aggregate remuneration of the key management personnel of the Parent Company as their remuneration is included in the totals for the Group as a whole.
The following principal accounting policies have been applied:
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
Page 22
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
3.Accounting policies (continued)
In preparing the financial statements the Directors are required to assess the Group and Company’s ability to continue to trade as a going concern for the foreseeable future.
In undertaking this assessment, the Directors have given due consideration to the Group and Company's banking facilities, historical and current trading, together with the forward-looking projections. The Directors have reviewed the cash flow forecasts and based on their best assessment therefore believe that the Group and Company will have sufficient financing in place to ensure future cash flow requirements are satisfied for the next twelve months and beyond. As such, the Directors continue to adopt the going concern basis of accounting in preparing the annual financial statements. Consequently, the financial statements do not include any adjustments that would result if the Group and Company were unable to continue as a going concern.
Depreciation is provided to write off the cost, less estimated residual values, of all tangible fixed assets, except for freehold land, evenly over their expected useful lives. It is calculated at the following rates:
Depreciation is provided on the following basis:
The carrying value of fixed assets is reviewed for impairments in periods in which events or changes in circumstances indicate that the carrying value may not be fully recoverable. The need for any fixed asset impairment write-down is assessed by comparison of the carrying value of the asset against the higher of realisable value and value in use.
Page 23
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
3.Accounting policies (continued)
Goodwill represents the excess of the cost of a business combination over the fair value of the Group's share of the net identifiable assets of the acquired subsidiary at the date of the acquisition. Goodwill on acquisitions of subsidiaries is included in 'intangible assets.' Goodwill is carried at cost less accumulated amortisation and accumulated impairment losses. Goodwill amortisation is calculated by applying the straight-line method to its estimated useful life which has been deemed as 15 years and is being amortised to administrative expenses.
Estimates of the useful economic life of goodwill are based on a variety of factors such as the expected use of the acquired business, the expected useful life of the cash generating units to which the goodwill is attributed, any legal, regulatory or contractual provisions that can limit useful life and assumptions that market participants would consider in respect of similar businesses.
Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.
Page 24
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
3.Accounting policies (continued)
Financial assets, other than investments and derivatives, are initially measured at transaction price (including transaction costs) and subsequently held at cost, less any impairment.
Financial liabilities and equity are classified according to the substance of the financial instrument's contractual obligations, rather than the financial instrument’s legal form. Financial liabilities are initially measured at transaction price (including transaction costs) and subsequently held at amortised cost.
Page 25
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
3.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
Property in the course of or planned development is valued at the lower of direct cost and realisable value. Direct cost comprises the cost of land and buildings. Net realisable value is based upon estimated selling price less additional costs to completion and disposal.
Page 26
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
3.Accounting policies (continued)
Where assets are financed by leasing agreements that give rights approximating to ownership (finance leases), the assets are treated as if they had been purchased outright. The amount capitalised is the present value of the minimum lease payments payable over the term of the lease. The corresponding leasing commitments are shown as amounts payable to the lessor. Depreciation on the relevant assets is charged to profit or loss over the shorter of estimated useful economic life and the term of the lease.
Lease payments are analysed between capital and interest components so that the interest element of the payment is charged to profit or loss over the term of the lease and is calculated so that it represents a constant proportion of the balance of capital repayments outstanding. The capital part reduces the amounts payable to the lessor. All other leases are treated as operating leases. Their annual rentals are charged to profit or loss on a straight-line basis over the term of the lease. • Determine whether there are any indicators of impairment of the Group's tangible and intangible assets, including goodwill. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a larger cash-generating unit, the viability and expected future performance of that unit. Other key sources of estimation uncertainty • Tangible fixed assets (see note 15) Tangible fixed assets, other than investment properties, are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on the number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values. • Provision of restoration costs (see note 22) Restoration costs are included as a provision at the year end based on estimated costs that are expected to be incurred at the end of the lease. Directors have estimated the costs of restoration based on a cost per square foot.
Page 27
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Analysis of turnover by country of destination:
Page 28
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 29
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 30
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
12.Taxation (continued)
There were no factors that may affect future tax charges.
Page 31
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 32
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 33
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
15.Tangible fixed assets (continued)
Page 34
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 35
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 36
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 37
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 38
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Profit and loss account
The Group operates a defined contribution personal pension scheme. Pension contributions are charged in the statement of comprehensive income as they become payable. The pension cost for this year is £534,880 (2023: £468,965).
The are £84,570 of pension contributions unpaid at the year end (2023: £NIL).
Page 39
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 40
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||