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Registered number: 00777596
















WEBBS GARDEN CENTRES LIMITED




ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE 53 WEEKS ENDED 5 JANUARY 2025


































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WEBBS GARDEN CENTRES LIMITED

 
COMPANY INFORMATION


DIRECTORS
Edward Alexander Broughton Webb 
Oliver Grant Nation 
Andrew Wrightson 




COMPANY SECRETARY
Oliver Grant Nation



REGISTERED NUMBER
00777596



REGISTERED OFFICE
Worcester Road
Wychbold

Droitwich

Worcestershire

WR9 0DG




INDEPENDENT AUDITORS
Bishop Fleming LLP
Chartered Accountants & Statutory Auditors

1-3 College Yard

Worcester

WR1 2LB






WEBBS GARDEN CENTRES LIMITED


CONTENTS



Page
Strategic Report
1 - 3
Directors' Report
4 - 7
Directors' Responsibilities Statement
8
Independent Auditors' Report
9 - 12
Statement of Comprehensive Income
13
Statement of Financial Position
14
Statement of Changes in Equity
15 - 16
Statement of Cash Flows
17
Analysis of Net Debt
18
Notes to the Financial Statements
19 - 42



WEBBS GARDEN CENTRES LIMITED

 
STRATEGIC REPORT
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

BUSINESS REVIEW
 
The principal activity of the business during the year was that of the retailing of garden supplies and leisure products.
The results for the period and financial position of the Company are as shown in the annexed financial statements. Total revenue for the 53-week period for the Group was £32.5m (2023: £31.7m) and the profit before taxation for the period was £1m (2023: £552k), after adding back depreciation of £428k (2023: £397k) relating to the Freehold Property Valuation. The tax charge reported in the last 2 years only relates to deferred tax over that period.
On the back of a tough trading period during the last two years, the economic environment continued to be highly unpredictable during 2024, not helped by the uncertainty of a UK general election in July 2024 and a presidential election in the US later in the year. Both elections resulted in a change of government which resulted in stagnating economic conditions as reforms were worked through.
Cost inflation eased somewhat during 2024, dropping to just over 2% in June 2024. However, this did not mean prices fell from peak highs in 2023, so consumer spending power remained difficult especially as interest rates remained at their highest point in the last 15 years. This, along with another significant increase in National Living/Minimum Wage in April 2024 continued to put pressure on businesses. However, the investment in our Solar Farm at our large Wychbold site during 2023 has enabled us to generate enough power to cover broadly 65% of our annual energy usage at that site, and in turn manage one of our largest overheads to help largely offset the additional wage pressures during the year.
Our trading performance in 2024 shows sales and profits well up on last year, even after the challenging economic conditions above and also one of the wettest Spring & Summer seasons on record, which was challenging for the Garden Centre sector. Catering and Food sales remained strong reflecting customer footfall into our stores and the strength of our brand. We also saw good returns on our recent instore investments, from new stock ranges and improved shop fit. We also had another very strong Golden Quarter over the Christmas period which helped us recover some of the lost Spring gardening sales from earlier in the year, reduced end of season clearance activity which helped margin performance and ensured our growing Christmas Events programme was more successful than ever.
Our Events experiences continue to triumph as we find the appetite for experience and wow remains strong across our customers. We continue to invest in making our stores look great and be great experiences to visit, including fully refurbishing and extending our restaurant and kitchen facilities at our Millets Farm centre, which reopened in November 2024. This capital investment project caused disruption to that store’s trading performance in the year, such that we expect to see significant improvement in both sales and profit in 2025 driven by a full year of trading with that new restaurant fully operational.
Current trading to May 2025  shows sales and profits to be well ahead of last year, aided by lovely Spring weather conditions since start of March 2025, and ongoing strong control of overheads across the business.  Another significant increase in National Living/Minimum Wage, as well as significant increases in Employers NI contributions, from April 2025 continue to put pressure on businesses, especially those in the Retail and Hospitality sector. We have taken measures as a business in the last four months to mitigate the impact of these increased employment costs in 2025 and are confident our business is in a stronger position to drive growth and protect cash flows.
The directors aim to ensure the company continues to produce sustained growth within its principal activities and sources products and delivers services that are attractive to its marketplace to ensure its continued profitability. Webbs continues to have a strong Balance Sheet and Reserves position, and has remained financially self-sufficient throughout the period, generating strong operating cash flows to support reinvestment into keeping our business relevant and entrepreneurial, whilst maintaining strong support from our funding partners. We have fully paid down on four bank loans during the year which will help improve cash flows and reduce interest costs going into 2025.
 
Page 1


WEBBS GARDEN CENTRES LIMITED


STRATEGIC REPORT (CONTINUED)
FOR THE 53 WEEKS ENDED 5 JANUARY 2025


As previously mentioned, we have continued to invest significantly in several capital projects in 2024 to ensure the ongoing long-term development of the business, its store estate and online platform. In addition to the refurbishment and extension of the restaurant and kitchen at our Millets Farm store, we have also refitted the entire Plant department at our Cheltenham store, invested in Flood Benches in our Wychbold Plant department, reskinned the reservoir at our Wychbold site to enable us to continue to self-irrigate the entire site which has enormous environmental benefits, as well as began development of both a new HR & Payroll System and QR ordering in our restaurants. Both latter projects are ongoing during 2025 to date.
The net book value of tangible and intangible fixed assets has remained consistent at £26.6m in 2024 compared to £26.9m in 2023. Expenditure on tangible fixed assets in 2024 was £0.9m (2023: £2.7m), which was all funded through operating cash flows and explains why our cash position is lower than the previous year-end. We are satisfied that our operating cash flow position remains strong, and we have the ability to further utilise our existing Asset Finance Bank Facility as and when required.
A formal Freehold Property Valuation was carried out on an existing use basis on our Wychbold site by Savills in April 2024. This resulted in a £3m reduction to the reported Freehold Property Valuation in 2023 – reversing the uplift of the same value in 2021 following the previous Property Valuation exercise performed by Savills during a very favourable garden sector environment post Covid. The Directors are satisfied that this Freehold Valuation has remained consistent at the end of 2024 and therefore no further revaluation is required in the current year.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors constantly monitor the risks and uncertainties facing the Company with particular reference to the exposure on exchange rates, liquidity, stocks, interest rates and credit risks. They are confident that there are suitable policies in place and there are no material risks and uncertainties which have not been considered.
The Company uses various financial instruments which include loans, cash and various items, such as trade debtors and trade creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance for the Company’s operations.
The existence of these financial instruments exposes the Company to a number of financial risks, which are described in more detail below.
The main risks arising from the Company’s financial instruments are currency risk, interest rate risk, credit risk and liquidity risk. The directors review and agree policies for managing each of these risks and they are summarised below.
Currency Risk
The Company has exposure to translation and transaction foreign exchange risk through its supply chain. Transaction exposures are hedged, principally using forward currency contracts. Whilst the aim is to achieve an economic hedge the Company does not adopt an accounting policy of hedge accounting for these financial statements.
Liquidity Risk
The Company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. Short term flexibility is achieved by utilising related Company funds.
Interest Rate Risk
The Company finances its operations through a mixture of retained profits, related Company funds and borrowings. The Company has previously used base rate caps and swaps to manage its interest rate risk.
Credit Risk
The Company’s principal financial assets are stock. It does not have significant credit risk in relation to Trade Debtors due to the retail nature of the business. Its principal trade debtors relate to rental amounts due from tenants who occupy parts of the sites at all four of our stores, which carries minimal risk due to contractual lease agreements in place and good covenance of tenants through estate management.

Page 2


WEBBS GARDEN CENTRES LIMITED


STRATEGIC REPORT (CONTINUED)
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

FINANCIAL AND OTHER KEY PERFORMANCE INDICATORS
 
The directors monitor performance of the business using key performance indicators (KPI’s) both financial and non-financial. These are monitored at all levels of the business.
These include:
Sales units and value – monitored continually by customer, supplier, category and model range. Turnover has increased by 2.7% to £32.5 million in 2024 from £31.7 million last year.
Gross profit margin – raw material cost prices and currency rates are closely tracked. Gross profit margin percentage increased from 48.0% in 2023 to 48.4% in 2024. This was the result of reduced promotional and clearance activity with less end of season stock holdings and more measured buying strategies, as well as growth in our own grown nursery plant sales.
Wage to sales ratios – total wages as a percentage of sales increased from 26.7% in 2023 to 27.3% in 2024, driven by the 10% increases in the National Living Wage from April 2024.
Stock turn – as at 31 December 2024 stock was turning at 3.3 times per annum based on the previous 12 months cost of sales. This is an improvement from the previous year-end at 3.0 times per annum due to having lower levels of seasonal stock carry over (including Furniture and Christmas) and increased focus on reducing aged stock across the business.
Customer numbers and footfall are tracked at all of our stores.
Cash flow targets – forecasts are established and reviewed weekly and monthly to ensure working capital is effectively managed.
Staff retention and wellbeing – monitored to ensure employee welfare is at the forefront of the business.
Customer service – levels of quality and performance are continually reviewed to maximise customer satisfaction.

ENVIRONMENT
 
The directors recognise that there are some serious environmental and local community challenges that come with running a business responsibly. Webbs is currently not a totally sustainable business but is taking many steps to get there. Ongoing practices such as recycling waste materials and controlling energy usage are now well established, with ongoing investment in LED lighting and more energy efficient heating equipment for our stores and offices. In addition to the solar panels on our store roof, we are now at least 65% energy self-sufficient at our main Wychbold site since the beginning of 2024 with our onsite Solar Farm in full operation. We are also assessing the feasibility of having solar arrays at our other centres and have recently signed off the installation of solar panels on the roof at our Millets Farm store during 2025, which should mean up to 50% of our energy usage at that site will be self-generated.
Water conservation remains of paramount importance, and we benefit from rainwater harvesting in the irrigation of our retail areas. We had our onsite reservoir relined at our Wychbold site which will last at least another 25-30 years.


This report was approved by the board on 17 July 2025 and signed on its behalf.




Oliver Grant Nation
Director

Page 3

1
WEBBS GARDEN CENTRES LIMITED

 
DIRECTORS' REPORT
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

The directors present their report and the financial statements for the 53 weeks ended 5 January 2025.

RESULTS AND DIVIDENDS

The profit for the 53 weeks, after taxation, amounted to £212,219 (2023: loss £69,107).

Dividends of £285,000 (2023: £285,000) were declared in the year. 

DIRECTORS

The directors who served during the 53 weeks were:

Edward Alexander Broughton Webb 
Oliver Grant Nation 
Andrew Wrightson 

FUTURE DEVELOPMENTS

The Directors always have the long-term health of the business at the forefront of their decision making, including reviews and assessments of 5-year plans to drive future growth. The majority shareholder of the business is one of the three Directors, so the long-term business strategy is paramount to the ongoing thoughts of the Directors.

The Directors recognise that the reputation of the business is hugely important with its colleagues, customers, and suppliers alike. The decisions the Directors make will always consider at least preserving the reputation of the business, given the strength of its brand reputation in the local regions surrounding its store portfolio. The Directors take a zero-tolerance approach to any illegal or other such actions which may harm the reputation of the business in any way.

The Company’s strategy remains one of steady investment in the estate, maintaining and growing revenue and the profit base and reducing net debt despite ongoing challenges such as cost inflation, National Living/Minimum Wage and Employer NI contribution increases and wider Regulatory compliance requirements. Focus for 2025 is to review the lowest profit-making categories in the business and drive action plans to turnaround performance in those areas, implement a new HR & Payroll system, as well as continuous improvements to our EPOS, ERP & Hospitality systems and processes to drive productivity and reporting benefits. These improvements must ensure we maintain and improve our customer and colleague experiences both in store and online. We are also looking to invest in ways to become a more sustainable business, including the installation of Solar Panels on the roof of our Millets Farm store during 2025.

Page 4


WEBBS GARDEN CENTRES LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE 53 WEEKS ENDED 5 JANUARY 2025
ENGAGEMENT WITH EMPLOYEES

Webbs Garden Centres Limited are committed to the development and improvement of all employees within the business. We believe that we can only improve if we continue to communicate regularly and receive feedback from all those involved in the business. Employees are kept well informed of the performance and objectives of the business through weekly meetings, monthly newsletters and bi-annual Director presentations and Chairman statements.

Employees have continued to play a key role in shaping the development of the business including product ranging and store layout decisions ahead of refit programmes in all our stores. Employees are fully appraised and consulted on any significant changes to company policy. Directors and senior management, whilst based at our store in Wychbold, regularly discuss matters of concern and interest with employees across all our sites. We conduct an annual employee survey, through ‘Great Places To Work’, the findings of which have helped us shape our Company welfare and development strategy.

We introduced a more formalised Career Paths Document in 2018 and further developed colleague training and career development pathways in 2019, to ensure we are supporting the development of all our employees, no matter what stage of their careers with us. This includes a Specialist Training Guarantee open to all permanent Webbs employees, to gain a recognised formal qualification in their specialist areas. This is being used in employee appraisals to help set objectives and improve motivation and drive performance at all levels. We have invested heavily in our HR team in the last few years to enable us to focus more time on developing this career pathway and training programme across the business to drive performance levels and buy-in from all colleagues. We also run a Future Leaders Programme for all Webbs employees who are not already at Supervisor level or above and who would like to develop their leadership skills for the future. An important people objective in 2025 is completing the installation of a new HR & Payroll System to ensure we can provide all our colleagues with the best and most efficient platform to communicate, learn and develop within our business. This will automate many current manual processes and ensure rota costings are more accurate and consistently managed better as a business going forwards. This will also enable more time for our HR team to focus on improving our learning and development modules and save time in the administration of recruitment and onboarding of colleagues.

Webbs Garden Centres Limited is an equal opportunities employer and actively recruits from all aspects of society. It is the company policy to promote an environment free from discrimination, harassment and victimisation, where everyone will receive equal rights regardless of gender, colour, ethnic origin, disability, age, marital status, sexual orientation or religion. All decisions relating to employment practices are based solely upon work criteria and individual merit.

Page 5


WEBBS GARDEN CENTRES LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE 53 WEEKS ENDED 5 JANUARY 2025
ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

Webbs Garden Centres Limited is a totally customer-focused business, all our decisions on strategy and future development are with our customers at the forefront of our thoughts. The majority of our customers are those who shop either at our stores or online via our website. Sales transactions with these retail customers are immediate, in that the customer pays for the goods they buy at the time of buying them. Our only debtors in relation to these retail customers relate to credit card or digital payment transactions which take approximately 2-3 days to clear in our bank account from the respective merchant providers. We only recognise these sales in our accounts once the stock has transferred ownership from us to the customer.
We very rarely undertake business to business transactions, although we do have a small number of wholesale customer accounts who pay within 30 days for the goods or services they receive.
Our only other customers are our tenants, who lease areas of our properties for the purposes of their own retail trading activity. Our tenants pay us rental and service charges over the respective agreed contractual lease terms, and these are invoiced and paid either monthly or quarterly depending on the tenant agreement in place.
Webbs Garden Centres Limited ensures it maintains very strong relationships with all its suppliers, whether they relate to the supply of retail items for sale in our stores, or services and non-stock items and consumables. Our standard payment terms of agreement with our suppliers are End of Month 60 days (“EOM60”) from date of invoice, although we have a variety of payment terms agreed and in place across our suppliers depending on the nature of the stock or service involved. We make weekly supplier payment runs and pay our invoices on a timely basis unless we are awaiting credit notes being agreed with respective suppliers in turn.
Creditor days at 5 January 2025 were 57 compared to 54 days at 31 December 2023. This variance is due to more of our suppliers moving to our standard payment terms of EOM60 days, as well as the timing and value of month-end payment runs at the year-end, as most of our supplier payments are made at the end of the calendar month, whereas our accounting periods are on a 4-4-5 basis.

DISABLED EMPLOYEES

People with disabilities have fair and full consideration for all job vacancies at Webbs Garden Centres Limited. The Company has a commitment to interview those people with disabilities who fulfil the minimum criteria for the individual role and endeavour to retain employees in the workforce if they become disabled during employment. Webbs Garden Centres Limited has an excellent record of working with local disabled employees to provide long-term employment opportunities within the business.

GREENHOUSE GAS EMISSIONS, ENERGY CONSUMPTION AND ENERGY EFFICIENCY ACTION

The Company’s energy consumption for the 53 weeks to 5 January 2025 was 1,932,598 kWh across our 4 sites. This equates to total greenhouse gas emissions of 428,163 kgs of Carbon Dioxide during that period. This is calculated by taking the sum of all electricity and gas usage in kWh from the respective meters at each site which are generated by Webbs Garden Centres Limited and excludes usage by our Tenants onsite. This has decreased by over 20% from the previous year due to the installation of our Solar Farm at our largest Wychbold site which generates 65% of our energy usage at that site since start of 2024.

We also generated greenhouse gas emissions of approximately 148,378 kgs of Carbon Dioxide from fuel consumption by our own transport fleet during the period. This reflects us having our own fleet of 8 Lorries/Vans (reducing to 6 over the winter months) to deliver goods direct to customers (and between stores) from all 4 stores to significantly reduce the use of couriers. This has increased from the previous year due to using our own fleet more than couriers for customer deliveries, increased customer order volumes (both in store and via our website) which require delivery, as well as transferring more of our own grown plants from our nursery at our Wychbold site, which has significantly increased the volume of journeys to and from all our stores over the year. We have tracker devices in our fleet of vehicles to ensure we can monitor their usage and look to reduce journeys wherever possible. We are always mindful of the environmental impact that travel can have, so our employees have continued to engage in video conferencing and digital communication methods to minimise the amount of travel required, both in the UK and overseas, and we continue to review the cost and availability of Electric vehicles to suit our needs and the infrastructure required to support that future investment.


 
Page 6


WEBBS GARDEN CENTRES LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

Please refer to the section under ‘Environment’ in the Strategic Report for further information on the Company’s Environmental and Sustainability strategy and measures which Webbs Garden Centres Limited has undertaken and is considering to improve energy efficiency in the period and in future, including new radiant heaters installed within our 3 stores in 2020, our new solar farm at Wychbold in 2023 and future investment in more solar panels at our other sites and LED lighting in the next 3-5 years, which would result in Webbs becoming much more self-sufficient as a business.
GOING CONCERN
The Directors have considered the implications of external factors (such as the global conflicts between Russia and Ukraine, and Israel and Palestine, and the ongoing economic environment in the UK) in relation to the risk of the business continuing to operate as a going concern and have concluded that there are sufficient cash resources in place to trade through the current economic climate, as well as having the ongoing support of our bank and funding providers as required. They have not identified any significant issues that are expected to affect the company's ability to continue as a going concern.
Whilst the business is in a net current liability position, this reflects ongoing investment in working capital, as well as capital improvements to all sites for future enhanced returns, funded through operating cash flows. The net current liability position has improved by £281k from last year and the business has fully repaid on four bank loans in 2024 which will improve this position further going into 2025. It should also be noted that the longer-term liabilities have reduced significantly, strengthening the Balance Sheet, therefore the Directors do not consider this to be a going concern issue, especially given the improved trading position during 2025 to date and the ongoing support of their bank and funding providers as required. They have not identified any significant issues that are expected to affect the company's ability to continue as a going concern.

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

POST BALANCE SHEET EVENTS

There have been no significant events affecting the Company since the year end.

AUDITORS

The auditorsBishop Fleming LLPwill 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.
 




Oliver Grant Nation
Director

Date: 17 July 2025

Worcester Road
Wychbold
Droitwich
Worcestershire
WR9 0DG

Page 7


WEBBS GARDEN CENTRES LIMITED

 
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgments 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 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements and other information included in Directors' Reports may differ from legislation in other jurisdictions.

Page 8


WEBBS GARDEN CENTRES LIMITED

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEBBS GARDEN CENTRES LIMITED
OPINION


We have audited the financial statements of Webbs Garden Centres Limited (the Company) for the 53 weeks ended 5 January 2025, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Cash Flows, the Analysis of Net Debt, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 5 January 2025 and of its profit for the 53 weeks 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 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.


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 Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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 9


WEBBS GARDEN CENTRES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEBBS GARDEN CENTRES LIMITED (CONTINUED)

OPINION 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 53 weeks 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.


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 in relation to which 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 Directors' Responsibilities Statement set out on page 8, 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 Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


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 an Auditors' 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.
 
Page 10


WEBBS GARDEN CENTRES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEBBS GARDEN CENTRES LIMITED (CONTINUED)

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 nature of the industry and sector, control environment and business performance;
results of our enquiries of management and the board about their own identification and assessment of the risks of irregularities;
any matters we identified having obtained and reviewed the company's documentation of their policies and procedures relating to:
°identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non compliance
°detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;
°the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud, which included incorrect recognition of revenue and management override of controls using manual journal entries, and these were identified as the greatest potential area for fraud.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond the risk of management override.
We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and tax legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. These included occupational health and safety regulations and employment legislation.
Our procedures to respond to risks identified included the following:
reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
reviewing the financial statements disclosures and testing to supporting documentation to assess the recognition of revenue;
enquiring of management and those charged with governance concerning actual and potential litigation and claims;
performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
reading minutes of meetings of those charged with governance; and
Page 11


WEBBS GARDEN CENTRES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WEBBS GARDEN CENTRES LIMITED (CONTINUED)

in addressing the risk of fraud through management override of controls:
°testing the appropriateness of journal entries and other adjustments;
assessing whether the judgments made in making accounting estimates are indicative of a potential bias; and
°evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from an error, as fraud may involve deliberate concealment by, for an example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed 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 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 Auditors' 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 2006Our 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 Auditors' 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.






David Butler FCA (Senior Statutory Auditor)
for and on behalf of
Bishop Fleming LLP
Chartered Accountants
Statutory Auditors
1-3 College Yard
Worcester
WR1 2LB

18 July 2025
Page 12


WEBBS GARDEN CENTRES LIMITED

 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

53 weeks ended
 5 January
52 weeks ended
31 December
2025
2023
Note
£
£

  

Turnover
 4 
32,528,628
31,666,375

Cost of sales
  
(16,748,782)
(16,459,716)

GROSS PROFIT
  
15,779,846
15,206,659

Administrative expenses
  
(15,632,585)
(15,545,002)

Other operating income
 5 
877,240
804,046

OPERATING PROFIT
 6 
1,024,501
465,703

Income from fixed assets investments
  
6,750
20,250

Interest receivable and similar income
  
1,892
1,722

Interest payable and similar expenses
 11 
(450,394)
(332,829)

PROFIT BEFORE TAX
  
582,749
154,846

Tax on profit
 12 
(370,530)
(223,953)

PROFIT/(LOSS) FOR THE FINANCIAL 53 WEEKS
  
212,219
(69,107)

OTHER COMPREHENSIVE INCOME FOR THE 53 WEEKS
  

Unrealised (deficit) on revaluation of tangible fixed assets
  
-
(3,000,000)

Deferred tax movement
  
-
750,000

Other comprehensive income
  
427,827
396,972

OTHER COMPREHENSIVE INCOME FOR THE 53 WEEKS
  
427,827
(1,853,028)

TOTAL COMPREHENSIVE INCOME FOR THE 53 WEEKS
  
640,046
(1,922,135)

The notes on pages 19 to 42 form part of these financial statements.

Page 13


WEBBS GARDEN CENTRES LIMITED
REGISTERED NUMBER:00777596

STATEMENT OF FINANCIAL POSITION
AS AT 5 JANUARY 2025

2024
2023
Note
£
£

FIXED ASSETS
  

Intangible assets
 14 
3,778,185
4,198,810

Tangible assets
 15 
22,843,324
22,742,095

Investments
 16 
738,115
738,115

Investment property
 17 
3,575,000
3,575,000

  
30,934,624
31,254,020

CURRENT ASSETS
  

Stocks
 18 
4,061,042
4,147,942

Debtors: amounts falling due within one year
 19 
1,167,486
918,064

Cash at bank and in hand
 20 
53,695
167,620

  
5,282,223
5,233,626

Creditors: amounts falling due within one year
 21 
(6,714,907)
(6,946,933)

NET CURRENT LIABILITIES
  
(1,432,684)
(1,713,307)

TOTAL ASSETS LESS CURRENT LIABILITIES
  
29,501,940
29,540,713

Creditors: amounts falling due after more than one year
 22 
(3,957,270)
(4,726,074)

PROVISIONS FOR LIABILITIES
  

Deferred tax
 26 
(2,504,847)
(2,129,862)

NET ASSETS
  
23,039,823
22,684,777


CAPITAL AND RESERVES
  

Called up share capital 
 27 
691
691

Share premium account
 28 
45,700
45,700

Revaluation reserve
 28 
10,114,844
10,136,183

Capital redemption reserve
 28 
359
359

Profit and loss account
 28 
12,878,229
12,501,844

  
23,039,823
22,684,777


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 





Edward Alexander Broughton Webb
Director

Date: 17 July 2025

The notes on pages 19 to 42 form part of these financial statements.

Page 14


WEBBS GARDEN CENTRES LIMITED


STATEMENT OF CHANGES IN EQUITY
FOR THE 53 WEEKS ENDED 5 JANUARY 2025


Called up share capital
Share premium account
Capital redemption reserve
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£
£
£

At 1 January 2024
691
45,700
359
10,136,183
12,501,844
22,684,777


COMPREHENSIVE INCOME FOR THE 53 WEEKS

Profit for the 53 weeks
-
-
-
-
212,219
212,219

Depreciation add back on revaluation
-
-
-
(21,339)
449,166
427,827
TOTAL COMPREHENSIVE INCOME FOR THE 53 WEEKS
-
-
-
(21,339)
661,385
640,046


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
-
-
(285,000)
(285,000)


AT 5 JANUARY 
2025
691
45,700
359
10,114,844
12,878,229
23,039,823


The notes on pages 19 to 42 form part of these financial statements.

Page 15


WEBBS GARDEN CENTRES LIMITED


STATEMENT OF CHANGES IN EQUITY
FOR THE 52 WEEKS ENDED 31 DECEMBER 2023


Called up share capital
Share premium account
Capital redemption reserve
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£
£
£

At 2 January 2023
691
45,700
359
12,402,916
12,442,246
24,891,912


COMPREHENSIVE INCOME FOR THE PERIOD

Loss for the 52 weeks
-
-
-
-
(69,107)
(69,107)

Deficit on revaluation of freehold property
-
-
-
(3,000,000)
-
(3,000,000)

Surplus on revaluation of freehold property
-
-
-
(16,733)
413,705
396,972

Deferred tax on revaluation of freehold property
-
-
-
750,000
-
750,000
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD
-
-
-
(2,266,733)
344,598
(1,922,135)


CONTRIBUTIONS BY AND DISTRIBUTIONS TO OWNERS

Dividends: Equity capital
-
-
-
-
(285,000)
(285,000)


AT 31 DECEMBER 2023
691
45,700
359
10,136,183
12,501,844
22,684,777


The notes on pages 19 to 42 form part of these financial statements.

Page 16


WEBBS GARDEN CENTRES LIMITED


STATEMENT OF CASH FLOWS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2024
2023
£
£

CASH FLOWS FROM OPERATING ACTIVITIES

Profit/(Loss) for the financial period
212,219
(69,107)

ADJUSTMENTS FOR:

Amortisation of intangible assets
420,625
339,316

Depreciation of tangible assets
1,170,579
1,207,137

Loss on disposal of tangible assets
233
(11,989)

Interest paid
450,394
332,829

Interest received
(1,892)
(1,722)

Taxation charge
370,530
223,953

Decrease in stocks
86,900
258,163

(Increase)/decrease in debtors
(249,422)
500,312

(Decrease)/increase in creditors
(100,312)
598,890

Dividends received
(6,750)
(20,250)

NET CASH GENERATED FROM OPERATING ACTIVITIES
2,353,104
3,357,532

CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of intangible fixed assets
(856,811)
(1,346,406)

Sale of intangible assets
-
128,482

Sale of tangible fixed assets
12,597
-

Interest received
1,892
1,722

HP interest paid
-
(54,240)

Dividends received
6,750
20,250

NET CASH FROM INVESTING ACTIVITIES
(835,572)
(1,250,192)

CASH FLOWS FROM FINANCING ACTIVITIES

Repayment of loans
(784,824)
(958,911)

Repayment finance leases
(423,119)
(502,109)

Dividends paid
(285,000)
(285,000)

Interest paid
(450,394)
(278,589)

NET CASH USED IN FINANCING ACTIVITIES
(1,943,337)
(2,024,609)

(DECREASE)/INCREASE IN CASH AND CASH EQUIVALENTS
(425,805)
82,731

Cash and cash equivalents at beginning of 53 weeks
66,954
(15,777)

CASH AND CASH EQUIVALENTS AT THE END OF 53 WEEKS
(358,851)
66,954


Cash at bank and in hand
53,695
-

Bank overdrafts
(412,546)
66,954

(358,851)
66,954


The notes on pages 19 to 42 form part of these financial statements.

Page 17


WEBBS GARDEN CENTRES LIMITED


ANALYSIS OF NET DEBT
FOR THE 53 WEEKS ENDED 5 JANUARY 2025




At 1 January 2024
Cash flows
At 5 January 2025
£

£

£

Cash at bank and in hand

167,620

(113,925)

53,695

Bank overdrafts

(100,666)

(311,880)

(412,546)

Debt due after 1 year

(3,524,156)

461,695

(3,062,461)

Debt due within 1 year

(811,428)

314,913

(496,515)

Finance leases

(1,675,709)

435,790

(1,239,919)



(5,944,339)
786,593
(5,157,746)

The notes on pages 19 to 42 form part of these financial statements.

Page 18


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

1.


GENERAL INFORMATION

Webbs Garden Centres Limited is a private company, limited by shares, registered in England and Wales. The registered office is Worcester Road, Wychbold, Droitwich, Worcestershire, WR9 0DG.
The company registration number is: 00777596. 
The functional and presentation currency of the financial statements is the Pound Sterling (£). 
The current financial year is a 53 week period to 5 January 2025, but is presented in the financial statements as '2024'. The comparative financial year is presented as '2023', and is a 52 week period to 31 December 2023.

2.ACCOUNTING POLICIES

 
2.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

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 preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

ASSOCIATES AND JOINT VENTURES

Associates and Joint Ventures are held at cost less impairment.

 
2.3

GOING CONCERN

The Directors have considered the implications of external factors (such as the global conflicts between Russia and Ukraine, and Israel and Palestine, and the ongoing economic environment in the UK) in relation to the risk of the business continuing to operate as a going concern and have concluded that there are sufficient cash resources in place to trade through the current economic climate, as well as having the ongoing support of our bank and funding providers as required.
Whilst the business is in a net current liability position, this reflects ongoing investment in working capital, as well as capital improvements to all sites for future enhanced returns, funded through operating cash flows. They have not identified any significant issues that are expected to affect the company's ability to continue as a going concern.
 
Page 19


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)

 
2.4

REVENUE

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 
2.5

INTANGIBLE ASSETS

GOODWILL

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Statement of Comprehensive Income over its useful economic life.

OTHER INTANGIBLE ASSETS

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Goodwill
-
Over 23 years
Computer Software
-
Over 5 years



 
2.6

TANGIBLE FIXED ASSETS

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 20


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)


2.6
TANGIBLE FIXED ASSETS (CONTINUED)

Land is not depreciated. Depreciation on other assets is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided at the following annual rates in order to write off each asset over the estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter. 

Freehold property
-
over 10 to 50 years
Long-term leasehold property
-
over 35 years
Short-term leasehold property
-
over 25 years
Plant and machinery
-
over 3 to 10 years
Motor vehicles
-
over 4 years
Fixtures and fittings
-
over 4 to 10 years
Computer equipment
-
over 3 to 5 years
Assets under construction
-
not depreciated

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.7

REVALUATION OF TANGIBLE FIXED ASSETS

Individual freehold and leasehold properties are held at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

 
2.8

INVESTMENT PROPERTY

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

 
2.9

VALUATION OF INVESTMENTS

Investments in unlisted Company shares, whose market value can be reliably determined, are remeasured to market value at each reporting date. Gains and losses on remeasurement are recognised in the Statement of Comprehensive Income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

Page 21


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)

 
2.10

STOCKS

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.

At each reporting date, 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 profit or loss.

 
2.11

DEBTORS

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.12

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.
 
 
2.13

FINANCIAL INSTRUMENTS

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.



 
Page 22


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)


2.13
FINANCIAL INSTRUMENTS (CONTINUED)


Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.
Page 23


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)


2.13
FINANCIAL INSTRUMENTS (CONTINUED)


Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

 
2.14

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.15

FINANCE COSTS

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.16

DIVIDENDS

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

 
2.17

OPERATING LEASES: THE COMPANY AS LESSOR

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight-line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

The Company has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard 01 January 2017 to continue to be charged over the period to the first market rent review rather than the term of the lease.

Page 24


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)

 
2.18

OPERATING LEASES: THE COMPANY AS LESSEE

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

The Company has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard 01 January 2017 to continue to be charged over the period to the first market rent review rather than the term of the lease.

 
2.19

PENSIONS

DEFINED CONTRIBUTION PENSION PLAN

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.20

INTEREST INCOME

Interest income is recognised in profit or loss using the effective interest method.

 
2.21

BORROWING COSTS

All borrowing costs are recognised in profit or loss in the period in which they are incurred.

 
2.22

PROVISIONS FOR LIABILITIES

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

Page 25


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

2.ACCOUNTING POLICIES (CONTINUED)

 
2.23

CURRENT AND DEFERRED TAXATION

The tax expense for the 53 weeks comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.



3.


JUDGMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Preparation of the financial statements requires management to make significant judgements and estimates.

Critical areas of judgement:

Depreciation and Amortisation

The difference between the purchase price and estimated residual value of a fixed asset which has a limited useful economic life should be allocated on a systematic basis to each accounting period during the useful life of the asset. The depreciation/amortisation charge for each period should be recognised as an expense in the profit and loss account unless it is permitted to be included in the carrying amount of another asset.
For each major class of depreciable asset the method of depreciation/amortisation and the or depreciation/amortisation rates have been disclosed.
Property Valuation
The properties are revalued periodically, as required, by the Directors and independent valuers. The valuation is subject to, among other factors, the nature of the property, market conditions, expected trade and rental income. As a result, the valuation incorporated into the financial statements is subject to a degree of uncertainty and is made on the basis of assumptions which may prove to be inaccurate particularly in periods of volatility or low transaction flow in the market.

Page 26


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

4.


TURNOVER

All turnover arose within the United Kingdom and related to the one principal activity of the company.


5.


OTHER OPERATING INCOME

53 weeks ended 
5 January
52 weeks ended
31 December
2025
2023
£
£

Ground rent receivable
767,919
743,238

Sundry income
89,933
39,830

Commissions receivable
19,388
20,978

877,240
804,046



6.


OPERATING PROFIT

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

53 weeks ended 
5 January
52 weeks ended
31 December
2025
2023
£
£

Other operating lease rentals
1,000,797
968,692

Operating lease income
(767,919)
(743,238)

Depreciation of tangible fixed assets - owned assets
903,442
899,534

Depreciation of tangible fixed assets - assets on hire purchase contracts
267,137
267,137

Amortisation of intangible fixed assets
420,625
339,316

Loss/(Profit) on sale of tangible fixed assets
233
(11,989)

Page 27


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

7.


AUDITORS' REMUNERATION

During the period, the Company obtained the following services from the Company's auditors and their associates:


53 weeks ended 
5 January
52 weeks ended
31 December
2025
2023
£
£

Fees payable to the Company's auditors and their associates for the audit of the Company's financial statements
34,350
33,000

Fees payable to the Company's auditors and their associates in connection with:

Taxation compliance services
2,300
2,235

Page 28


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

8.


EMPLOYEES






Staff costs, including directors' remuneration, were as follows:


53 weeks ended 
5 January
52 weeks
ended 31 December
2025
2023
£
£

Wages and salaries
7,969,012
7,617,125

Social security costs
556,735
510,198

Cost of defined contribution scheme
337,452
322,765

8,863,199
8,450,088


The average monthly number of employees, including the directors, during the 53 weeks was as follows:


   53 weeks ended
 5 January
   52 weeks ended
  31 December
        2025
        2023
            No.
            No.







Sales
466
472



Administration
46
46

512
518


9.


DIRECTORS' REMUNERATION

53 weeks ended 
5 January
52 weeks
ended 31 December
2025
2023
£
£

Directors' emoluments
329,146
369,812

Company contributions to defined contribution pension schemes
17,093
26,025

346,239
395,837


During the 53 weeks retirement benefits were accruing to 3 directors (2023: 3) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £130,475 (2023: £125,180) and the company made pension contributions in respect of them of £Nil (2023: £9,625).
The Key Management Personnel of the company comprise of the directors of the company.

Page 29


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

10.


INCOME FROM INVESTMENTS

53 weeks ended 5 January
52 weeks
ended 31 December
2025
2023
£
£





Dividends received from unlisted investments
6,750
20,250

6,750
20,250



11.


INTEREST PAYABLE AND SIMILAR EXPENSES

53 weeks ended 
5 January
52 weeks
 ended 31 December
2025
2023
£
£


Bank interest payable
396,154
278,589

Finance leases and hire purchase contracts
54,240
54,240

450,394
332,829


12.


TAXATION


53 weeks ended 
5 January
52 weeks
ended 31 December
2025
2023
£
£

CORPORATION TAX


Current tax on profits for the year
4,198
-

Adjustments in respect of previous periods
(8,653)
-

(4,455)
-


DEFERRED TAX


Charge for the period
374,985
223,953

TOTAL DEFERRED TAX
374,985
223,953


TAX ON PROFIT
370,530
223,953
Page 30


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025
 
12.TAXATION (CONTINUED)


FACTORS AFFECTING TAX CHARGE FOR THE PERIOD

The tax assessed for the period is higher than (2023: higher than) the standard rate of corporation tax in the UK of 25% (2023: 23.53%). The differences are explained below:

53 weeks ended
5 January
52 weeks
ended 31 December 
2025
2023
£
£


Profit on ordinary activities before tax
582,749
154,846


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023: 23.53%)
145,687
36,440

EFFECTS OF:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
3,431
5,418

Other timing differences leading to an increase in taxation
223,100
217,729

Other tax charge (relief) on exceptional items
(1,688)
(4,765)

Remeasurement of deferred tax for changes in tax rates
-
(30,869)

Total tax charge for the period
370,530
223,953


FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There were no factors that may affect future tax charges.


13.


DIVIDENDS

2024
2023
£
£


Dividends payable on ordinary shares
285,000
285,000

285,000
285,000

Page 31


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

14.


INTANGIBLE ASSETS




Computer software
Goodwill
Total

£
£
£



COST


At 1 January 2024
1,505,960
3,127,277
4,633,237



At 5 January 2025

1,505,960
3,127,277
4,633,237



AMORTISATION


At 1 January 2024
295,560
138,867
434,427


Charge for the 53 weeks
301,192
119,433
420,625



At 5 January 2025

596,752
258,300
855,052



NET BOOK VALUE



At 5 January 2025
909,208
2,868,977
3,778,185



At 31 December 2023
1,210,400
2,988,410
4,198,810



Page 32
 

WEBBS GARDEN CENTRES LIMITED
 
 
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025


15.


TANGIBLE FIXED ASSETS






Freehold property
Long-term l'hold property
Short-term l'hold property
Plant and machinery
Motor vehicles
Fixtures & fittings
Assets under construction
Total

£
£
£
£
£
£
£
£



COST OR VALUATION


At 1 January 2024
18,303,237
816,146
14,728
2,273,977
263,943
7,484,640
1,696,970
30,853,641


Additions
302,334
-
-
42,321
3,699
150,020
358,437
856,811


Disposals
-
-
-
-
-
(42,486)
-
(42,486)


Transfers between classes
1,368,999
-
-
-
-
505,966
(1,874,965)
-



At 5 January 2025
19,974,570
816,146
14,728
2,316,298
267,642
8,098,140
180,442
31,667,966



DEPRECIATION


At 1 January 2024
194,676
100,793
8,443
1,992,822
153,131
5,661,681
-
8,111,546


Charge for the 53 weeks
543,807
-
-
108,461
43,508
474,803
-
1,170,579


Disposals
-
-
-
-
-
(29,656)
-
(29,656)


Revaluation depreciation add back
(427,827)
-
-
-
-
-
-
(427,827)



At 5 January 2025
310,656
100,793
8,443
2,101,283
196,639
6,106,828
-
8,824,642



NET BOOK VALUE



At 5 January 2025
19,663,914
715,353
6,285
215,015
71,003
1,991,312
180,442
22,843,324



At 31 December 2023
18,108,561
715,353
6,285
281,155
110,812
1,822,959
1,696,970
22,742,095

Page 33

WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

           15.TANGIBLE FIXED ASSETS (CONTINUED)




The net book value of land and buildings may be further analysed as follows:


2024
2023
£
£

Freehold
19,663,914
18,108,561

Long leasehold
715,353
715,353

Short leasehold
6,285
6,285

20,385,552
18,830,199


The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2024
2023
£
£



Fixtures & fittings
2,196,348
2,463,485

2,196,348
2,463,485


If Land and Buildings had not been revalued they would have been included at the following historical cost:


2024
2023
£
£



Cost
11,301,136
9,775,415

Aggregate Depreciation
(6,058,479)
(5,630,651)

Freehold land and buildings were valued on an existing use basis on 24 April 2024 by Savills at £22,000,000. This was split between investment property of £3,575,000 and leasehold property of £18,425,000.
The freehold land and buildings were valued as fully equipped operational entities having regard to their trading potential.
A formal valuation of the freehold property was carried out by professional valuers in April 2024 and the directors consider this valuation to be unchanged as at the year end date. As a result, an adjustment is made to reduce the annual depreciation charged to reflect the carrying value during the year being unchanged.
Page 34


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

16.


FIXED ASSET INVESTMENTS





Investments in associates

£



COST OR VALUATION


At 1 January 2024
738,115



At 5 January 2025
738,115





17.


INVESTMENT PROPERTY


Freehold investment property

£



VALUATION


At 1 January 2024
3,575,000



At 5 January 2025
3,575,000

In line with the accounting treatment stated in FRS102, land and buildings occupied by concessions on the Webbs site have been classified as Investment Property. However in practical terms this property forms parts of the structure of the trading premises of the business and for all intents and purposes is not considered to be any different to the freehold property held.
A property valuation was carried out on an open market value for existing use basis in April 2024 by Savills.  The directors consider this to be reflective of the markets as at the period end and therefore have used this as the basis for the valuation.  The directors apply judgment in allocating the overall valuation between tangible fixed assets and investment property.

The April 2024 valuations were made by Savills, on an open market value for existing use basis.



If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:

2024
2023
£
£


Historic cost
1,542,732
1,542,732

1,542,732
1,542,732

Page 35


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

18.


STOCKS



2024
2023
£
£

Raw materials and consumables
158,374
152,349

Goods for resale
3,902,668
3,995,593

4,061,042
4,147,942


The difference between purchase price or production cost of stocks and their replacement cost is immaterial.


19.


DEBTORS



2024
2023
£
£


Trade debtors
4,848
169,733

Other debtors
354,814
186,628

Prepayments and accrued income
807,824
561,703

1,167,486
918,064



20.


CASH AND CASH EQUIVALENTS



2024
2023
£
£

Cash at bank and in hand
53,695
167,620

Less: bank overdrafts
(412,546)
(100,666)

(358,851)
66,954


Page 36


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

21.


CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR



2024
2023
£
£

Bank overdrafts
412,546
100,666

Bank loans
496,515
811,428

Trade creditors
2,619,564
2,449,954

Other taxation and social security
1,339,713
1,334,441

Obligations under finance lease and hire purchase contracts
345,110
473,791

Other creditors
86,543
321,266

Accruals and deferred income
1,411,796
1,452,267

Financial instruments
3,120
3,120

6,714,907
6,946,933


Secured Creditors
The bank loans are secured by a first legal charge over the company's freehold property and a debenture including fixed charge over all present freehold and leasehold property, first fixed charge over book and other debts, chattles, goodwill and uncalled capital, both present and future and first floating charge over all assets and undertaking both present and future.
HP balances are secured on the assets to which they relate.


22.


CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR



2024
2023
£
£

Bank loans
3,062,461
3,524,156

Net obligations under finance leases and hire purchase contracts
894,809
1,201,918

3,957,270
4,726,074


Secured Creditors
The bank loans are secured by a first legal charge over the company's freehold property and a debenture including fixed charge over all present freehold and leasehold property, first fixed charge over book and other debts, chattles, goodwill and uncalled capital, both present and future and first floating charge over all assets and undertaking both present and future.
HP balances are secured on the assets to which they relate.

Page 37


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

23.


LOANS


Analysis of the maturity of loans is given below:




2024
2023
£
£

AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans
496,515
811,428


496,515
811,428

Amounts falling due 1-2 years

Bank loans
516,299
496,515


516,299
496,515

Amounts falling due 2-5 years

Bank loans
1,468,037
1,611,544


1,468,037
1,611,544

Amounts falling due after more than 5 years

Bank loans
1,078,125
1,416,097

1,078,125
1,416,097

3,558,976
4,335,584


The company has five bank loans.


24.


HIRE PURCHASE AND FINANCE LEASES


Minimum lease payments under hire purchase fall due as follows:



2024
2023
£
£

Within one year
345,110
473,839

Between 1-5 years
409,845
550,197

Over 5 years
484,964
651,722

1,239,919
1,675,758

Page 38


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

25.


FINANCIAL INSTRUMENTS

The company, on occasion, uses forward foreign exchange contracts to manage its exchange rate risk. 
 



2024
2023
£
£

FINANCIAL ASSETS

Financial assets measured at fair value through profit or loss
53,695
167,620


FINANCIAL LIABILITIES

Derivative financial instruments measured at fair value through profit or loss held as part of a trading portfolio
(3,120)
(3,120)

Other financial liabilities measured at fair value through profit or loss
(4,798,895)
(6,011,342)

(4,802,015)
(6,014,462)




Financial assets measured at fair value through profit or loss comprise cash at bank and in hand.


Derivative financial instruments measured at fair value through profit or loss held as part of a trading portfolio comprise financial instruments.

Page 39


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

26.


DEFERRED TAXATION




5 January 2025
31 December 2023


£

£






At beginning of year
(2,129,862)
(2,655,909)


Charged to profit or loss
(374,985)
(223,953)


Charged to other comprehensive income
-
750,000



AT END OF YEAR
(2,504,847)
(2,129,862)

The provision for deferred taxation is made up as follows:

2024
2023
£
£


Accelerated capital allowances
(1,353,807)
(1,321,439)

Tax losses carried forward
-
356,057

Short term timing differences
7,081
22,636

Capital gains
(1,158,121)
(1,187,116)

(2,504,847)
(2,129,862)


27.


SHARE CAPITAL

2024
2023
£
£
ALLOTTED, CALLED UP AND FULLY PAID



69,100 (2023: 69,100) Ordinary shares of £0.01 each
691
691

All shares have equal voting rights and equal rights to dividends. 


Page 40


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

28.


RESERVES

Share premium account

Share premium includes any premiums received on issue of share capital. Any transactions associated with the issuing of shares are deducted from share premium. 

Revaluation reserve

Revaluation reserve includes the movement in revaluation of assets over cost.

Capital redemption reserve

Capital redemption reserves relates to shares lapsed or issued during the year.

Profit and loss account

Profit and loss account includes all current and prior period retained profits and losses. There is an amount of £1,913,797 (2023: £1,984,735) non distributable profits and losses. This relates to the investment property revaluation of £2,032,268 (2023: £2,032,268) less tax of £118,471 (2023: £118,471).


29.


PENSION COMMITMENTS

The company operates a defined contribution pension scheme the assets of which are held in independently administered funds. 
The pension cost charge represents contributions payable by the company and amounted to £337,452 (2023: £322,765).
The company had outstanding liabilites at year end of £44,135 (2023: £Nil) in respect of the defined contribution pension scheme.


30.


COMMITMENTS UNDER OPERATING LEASES

At 5 January 2025 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:




2024
2023
£
£

Not later than 1 year
1,488,239
756,972

Later than 1 year and not later than 5 years
3,456,094
2,763,495

Later than 5 years
27,058,155
27,592,601

32,002,488
31,113,068

Page 41


WEBBS GARDEN CENTRES LIMITED

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE 53 WEEKS ENDED 5 JANUARY 2025

31.


OPERATING LEASE RECEIVABLES

At 5 January 2025 the Company had future minimum lease payments receivable in its capacity as a lessor under non-cancellable operating leases:


2024
2023
£
£



Not later than 1 year
590,881
530,353

Later than 1 year and not later than 5 years
1,784,441
1,401,064

Later than 5 years
658,972
878,250

3,034,294
2,809,667


32.


TRANSACTIONS WITH DIRECTORS

The following advances and credits to a director subsisted during the years ended 5 January 2025 and 31 December 2023:



2024
2023
£
£

Edward Alexander Broughton Webb


Balance outstanding at the start of the year
76,522
77,295

Amounts repaid
(14,337)
(773)

Balance outstanding at the end of the year
62,185
76,522

Included within debtors due within one year is amounts owed by Edward Alexander Broughton Webb, a director, amounting to £62,185 (2023: £76,522). Amounts repaid during the year totalled £14,337. Interest is charged at HMRC approved rates.

33.


RELATED PARTY TRANSACTIONS


2024
2023
£
£

Dividends distributed to directors
97,750
97,750
Amounts distributed to related parties
9,000
9,000
Dividends received from related company
6,750
20,250
Management charges received and sales to related parties
19,388
20,978
Amounts owed by related parties at year end
62,185
76,522



34.


CONTROLLING PARTY

The company is controlled by majority shareholder Edward Alexander Broughton Webb.
 
Page 42