| REGISTERED NUMBER: |
| Strategic Report, Directors' Report and |
| Audited Financial Statements for the Year Ended 31 December 2024 |
| for |
| C W Fletcher & Sons Limited |
| REGISTERED NUMBER: |
| Strategic Report, Directors' Report and |
| Audited Financial Statements for the Year Ended 31 December 2024 |
| for |
| C W Fletcher & Sons Limited |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Contents of the Financial Statements |
| for the Year Ended 31 December 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Directors' Report | 4 |
| Report of the Independent Auditors | 6 |
| Statement of Comprehensive Income | 9 |
| Balance Sheet | 10 |
| Statement of Changes in Equity | 12 |
| Cash Flow Statement | 13 |
| Notes to the Cash Flow Statement | 14 |
| Notes to the Financial Statements | 16 |
| C W Fletcher & Sons Limited |
| Company Information |
| for the Year Ended 31 December 2024 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| INDEPENDENT AUDITORS: |
| Statutory Auditor |
| 68 Queen Street |
| Sheffield |
| South Yorkshire |
| S1 1WR |
| BANKERS: |
| 1 High Street |
| Sheffield |
| South Yorkshire |
| S1 2GA |
| SOLICITORS: |
| St Paul's Place |
| 121 Norfolk Row |
| Sheffield |
| S1 2JF |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Strategic Report |
| for the Year Ended 31 December 2024 |
| The directors present their strategic report for the year ended 31 December 2024. |
| BUSINESS OVERVIEW |
| With over a century of experience in precision engineering we work principally in aerospace and nuclear manufacturing. As highly skilled manufacturers of precision engineered components we add value via our own supply chain management service. |
| Markets we currently operate in include: the UK, US and Japan. Our cost effectiveness and reliability as a supplier gives us a good competitive position in these markets. |
| OBJECTIVES AND STRATEGY |
| Our overall strategy is to improve our operating margins year on year until we hit out long term target of 10%. |
| There are a number of growth opportunities for us based on our price, service and delivery performance. Our key strategy still remains accessing new markets outside the aerospace industry but still closely aligned to the skills and expertise that we already have. We are very focused on our digital infrastructure and roadmap towards industry 4.0, with a view to achieving a competitive edge over other companies our size. |
| Cost reduction and effective planning continue to be a major focus going forward as we strive for improved competitive advantage. |
| We manage this strategy via Key Performance Indicators (KPI's) set at a board level, that are then cascaded through the business via relevant lower level KPI's. |
| PRINCIPLE RISKS AND UNCERTAINTIES |
| The civil aerospace market has returned to growth, this continues to pose substantial challenges to the supply chain as the supply chain tries to respond in an industry where product and material is highly specified and therefore limited. We have secured financing via our bank and customers to enable us to reserve material to support this. |
| The requirement to increase our output to the aerospace market does make it difficult to focus on the strategy of accessing new markets due to capacity constraints. We are looking at new machinery to alleviate this issue. |
| Due to the change in government and current UK budget strategy, the substantial nuclear project that we secured in 2024 has been put on hold. For the reasons above, we are not concerned from a turnover growth view point, the main impact is on our diversification strategy. |
| The change in US government also poses a potential risk in terms on import tariffs, we have long standing and significant trade links with the US for both importing and exporting. We are keeping a close eye on this, we have not seen an impact as yet on the parts that we trade in. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Strategic Report |
| for the Year Ended 31 December 2024 |
| DEVELOPMENT AND PERFORMANCE |
| We achieved a turnover of £21.3m. |
| This resulted in a pre-tax profit of £772.1k. |
| The cash position remains healthy, however as predicted last year, we have had to invest heavily in working capital by using a combination of bank and customer financing. For this reason our approach to cash will continue to be cautious. |
| ON BEHALF OF THE BOARD: |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Directors' Report |
| for the Year Ended 31 December 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of the manufacture of precision components, predominantly for the aeronautical and nuclear industries. |
| DIVIDENDS |
| Total dividends distributed in the year were £39,790. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations. |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), 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 and then apply them consistently; |
| - | make judgements and accounting estimates that are reasonable and prudent; |
| - | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
| The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Directors' Report |
| for the Year Ended 31 December 2024 |
| AUDITORS |
| The auditors, Landin Wilcock & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| ON BEHALF OF THE BOARD: |
| Report of the Independent Auditors to the Members of |
| C W Fletcher & Sons Limited |
| Opinion |
| We have audited the financial statements of C W Fletcher & Sons Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
| In our opinion the financial statements: |
| - | give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended; |
| - | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
| - | have been prepared in accordance with the requirements of the Companies Act 2006. |
| Basis for opinion |
| We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
| Conclusions relating to going concern |
| In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
| Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
| Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Directors' Report, but does not include the financial statements and our Report of the Auditors thereon. |
| Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
| In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
| Report of the Independent Auditors to the Members of |
| C W Fletcher & Sons Limited |
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| - | the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements. |
| Matters on which we are required to report by exception |
| In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report. |
| We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
| - | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the financial statements are not in agreement with the accounting records and returns; or |
| - | certain disclosures of directors' remuneration specified by law are not made; or |
| - | we have not received all the information and explanations we require for our audit. |
| Responsibilities of directors |
| As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
| In preparing the financial statements, the directors are responsible for assessing the 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. |
| Report of the Independent Auditors to the Members of |
| C W Fletcher & Sons Limited |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| - minimal reliance was placed upon the operating effectiveness of internal controls in the design and |
| performance of our substantive procedures; |
| - discussions were held with management considering known or suspected non-compliance with laws, regulations |
| and fraud; |
| - evidence of up to date key compliance accreditations was sought; |
| - journal entries were reviewed for any entries made outside the ordinary reporting processes with particular |
| emphasis on those with unusual account combinations, entries crediting turnover and those without |
| specific descriptions; |
| - management assumptions in their significant accounting estimates were challenged and scrutinised, including establishing auditor's estimates. |
| There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. |
| A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
| Use of our report |
| This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
| for and on behalf of |
| Statutory Auditor |
| 68 Queen Street |
| Sheffield |
| South Yorkshire |
| S1 1WR |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Statement of Comprehensive |
| Income |
| for the Year Ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| TURNOVER | 4 |
| Cost of sales | ( |
) | ( |
) |
| GROSS PROFIT |
| Distribution costs | ( |
) | ( |
) |
| Administrative expenses | ( |
) | ( |
) |
| OPERATING PROFIT | 6 |
| Fair value gain or loss on derivatives | (74,491 | ) | 39,612 |
| 961,488 | 1,135,465 |
| Interest payable and similar expenses | 7 | ( |
) | ( |
) |
| PROFIT BEFORE TAXATION |
| Tax on profit | 8 | ( |
) | ( |
) |
| PROFIT FOR THE FINANCIAL YEAR |
| OTHER COMPREHENSIVE INCOME |
| Revaluation of tangible fixed assets |
| Income tax relating to other comprehensive income |
| OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Balance Sheet |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| FIXED ASSETS |
| Intangible assets | 10 |
| Tangible assets | 11 |
| Investment property | 12 |
| CURRENT ASSETS |
| Stocks | 13 |
| Debtors | 14 |
| Investments | 15 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 16 | ( |
) | ( |
) |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year |
17 |
( |
) |
( |
) |
| PROVISIONS FOR LIABILITIES | 22 | ( |
) | ( |
) |
| NET ASSETS |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Balance Sheet - continued |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| CAPITAL AND RESERVES |
| Called up share capital | 23 |
| Share premium | 24 |
| Revaluation reserve | 24 |
| Capital redemption reserve | 24 |
| Retained earnings | 24 |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Statement of Changes in Equity |
| for the Year Ended 31 December 2024 |
| Called up |
| share | Retained | Share |
| capital | earnings | premium |
| £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Share issue | 600 | - | 16,062 |
| Dividends | - | ( |
) | - |
| Total comprehensive income | - | - |
| Balance at 31 December 2023 |
| Changes in equity |
| Share issue | 600 | - | 16,062 |
| Dividends | - | ( |
) | - |
| Total comprehensive income | - | - |
| Balance at 31 December 2024 |
| Capital |
| Revaluation | redemption | Total |
| reserve | reserve | equity |
| £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Share issue | - | - | 16,662 |
| Dividends | - | - | ( |
) |
| Total comprehensive income |
| Balance at 31 December 2023 |
| Changes in equity |
| Share issue | - | - | 16,662 |
| Dividends | - | - | ( |
) |
| Total comprehensive income |
| Balance at 31 December 2024 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Cash Flow Statement |
| for the Year Ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| Cash flows from operating activities |
| Cash generated from operations | 1 |
| Interest paid | ( |
) | ( |
) |
| Interest element of hire purchase payments paid |
( |
) |
( |
) |
| Tax paid | ( |
) |
| Net cash from operating activities | ( |
) |
| Cash flows from investing activities |
| Purchase of tangible fixed assets | ( |
) | ( |
) |
| Sale of tangible fixed assets |
| Net cash from investing activities | ( |
) | ( |
) |
| Cash flows from financing activities |
| New loans in year |
| Loan repayments in year | ( |
) | ( |
) |
| Asset refinancing proceeds | 688,995 | - |
| Capital repayments in year | ( |
) | ( |
) |
| Equity dividends paid | ( |
) | ( |
) |
| Net cash from financing activities | ( |
) |
| Increase in cash and cash equivalents |
| Cash and cash equivalents at beginning of year |
2 |
2,372,379 |
| Cash and cash equivalents at end of year | 2 | 2,493,963 | 2,411,680 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Cash Flow Statement |
| for the Year Ended 31 December 2024 |
| 1. | RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS |
| 2024 | 2023 |
| £ | £ |
| Profit for the financial year |
| Depreciation charges |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Non-cash share issue | 16,662 | 16,662 |
| Fair value (gain)/loss on derivatives | 74,491 | (39,612 | ) |
| Finance costs | 189,362 | 145,211 |
| Taxation |
| 1,561,136 | 1,703,209 |
| Decrease/(increase) in stocks | ( |
) |
| (Increase)/decrease in trade and other debtors | ( |
) |
| Increase/(decrease) in trade and other creditors | ( |
) |
| Cash generated from operations |
| 2. | CASH AND CASH EQUIVALENTS |
| The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
| Year ended 31 December 2024 |
| 31/12/24 | 1/1/24 |
| £ | £ |
| Cash and cash equivalents | 2,493,963 | 2,411,680 |
| Year ended 31 December 2023 |
| 31/12/23 | 1/1/23 |
| £ | £ |
| Cash and cash equivalents | 2,411,680 | 2,372,379 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Cash Flow Statement |
| for the Year Ended 31 December 2024 |
| 3. | ANALYSIS OF CHANGES IN NET DEBT |
| At 1/1/24 | Cash flow | At 31/12/24 |
| £ | £ | £ |
| Net cash |
| Cash at bank and in hand | 2,411,680 | 82,283 | 2,493,963 |
| 2,411,680 | 2,493,963 |
| Liquid resources |
| Current asset investments | 39,612 | (39,612 | ) | - |
| 39,612 | (39,612 | ) | - |
| Debt |
| Finance leases | (1,061,755 | ) | (253,002 | ) | (1,314,757 | ) |
| Debts falling due within 1 year | (749,659 | ) | (287,598 | ) | (1,037,257 | ) |
| Debts falling due after 1 year | (1,194,649 | ) | 252,298 | (942,351 | ) |
| (3,006,063 | ) | (288,302 | ) | (3,294,365 | ) |
| Total | (554,771 | ) | (245,631 | ) | (800,402 | ) |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements |
| for the Year Ended 31 December 2024 |
| 1. | STATUTORY INFORMATION |
| C W Fletcher & Sons Limited is a |
| The presentation currency of the financial statements is the Pound Sterling (£). |
| 2. | ACCOUNTING POLICIES |
| Accounting convention |
| Going concern |
| The director's have reviewed forecasts and the order book which cover a period of at least twelve months from the date of signing the financial statements. The forecasts show that the company can meet its obligations as they fall due. |
| At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements. |
| Turnover |
| Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
| Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Tangible fixed assets |
| Freehold property | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| Tangible fixed assets are initially measured at cost. Subsequently, they are measured at cost less accumulated depreciation and impairment losses. |
| The gain or loss arising on the disposal of an asset is determined as the difference between the sales proceeds and the carrying value of the asset, and is credited or charged to profit or loss. |
| Properties whose fair values can be measured reliably are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation less any subsequent accumulated depreciation and impairment losses. The fair value of the land and buildings is usually considered to be their market value. |
| Revaluation gains and losses are recognised in other comprehensive income and accumulated in equity, except to the extend that a revaluation gain reverses an impairment loss previously recognised in profit or loss or a revaluation loss exceeds the accumulated revaluation gains recognised in equity; such gains and losses are recognised in profit or loss. |
| Investment property |
| Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
| Stocks |
| Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. |
| Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential. |
| At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. |
| Financial instruments are recognised in the company's balance sheet 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 realised the asset and settle the liability simultaneously. |
| Basic financial assets |
| Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised. |
| Impairment of financial assets |
| Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of |
| impairment at each reporting end date. |
| Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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. |
| If there is a decrease in the impairment loss arising from an event occurring after the impairment was |
| recognised, the impairment is reversed. The reversal is such that the current carrying amount does not |
| exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
| Derecognition of financial assets |
| Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
| Classification of 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 deducting all of its liabilities. |
| Basic financial liabilities, including creditors and bank loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
| Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
| Other financial financial liabilities |
| Derivatives, including forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge. |
| Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy. |
| Derecognition of financial liabilities |
| Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Foreign currencies |
| Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Hire purchase and leasing commitments |
| Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
| The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
| Pension costs and employee benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| The company operates several defined contribution pension schemes. The assets of the schemes are held separately from those of the company in independently administered funds. Contributions payable to the schemes are charged to profit or loss in the period to which they related. Any outstanding contributions are held as liabilities. |
| The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. |
| Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
| In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
| The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
| Stock |
| Stock is reviewed for obsolescence with reference to the holding quantity, purchases during the year and volume consumed. A 75% stock provision is applied to stock items which are 2 years old. Stock items over 2 years old are fully provided for. The directors have reviewed raw materials and work in progress to further identify any obsolete items. The directors review the completeness of the provision by assessing the ageing of items. The directors review the accuracy of the provision by reviewing items in the provision which have been issued recently and which therefore could be inappropriately provided for. |
| Depreciation |
| Depreciation is calculated per asset in line over its useful life from the date which the asset is made available for use. The directors assess the current depreciation policy in place for reasonableness. The directors review the depreciation calculations for accuracy through recalculation. |
| Property valuation |
| The freehold land and buildings are accounted for under the revaluation method. Investment properties are carried at fair value. The directors review the valuations of properties on an annual basis and consider the potential for significant changes in value. Where conditions exist that suggest a significant change in value, the directors appoint external valuers to determine a suitable valuation. |
| Share option valuation |
| Equity-settled share-based payments are measured at fair value at the date of grant by reference to the fair value of the equity instruments granted using a dividend growth model. The fair value determined at the grant date is expensed on a straight-line basis over the vesting period based on the estimate of shares that will eventually vest. A corresponding adjustment is made to equity. |
| 4. | TURNOVER |
| The turnover and profit before taxation are attributable to the one principal activity of the company. |
| An analysis of turnover by geographical market is given below: |
| 2024 | 2023 |
| £ | £ |
| United Kingdom |
| Rest of the world | 11,353,365 | 9,046,545 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 5. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Production staff | 57 | 51 |
| Administration staff | 18 | 17 |
| Indirect production staff | 52 | 45 |
| 2024 | 2023 |
| £ | £ |
| Directors' remuneration |
| Directors' pension contributions to money purchase schemes |
| The number of directors to whom retirement benefits were accruing was as follows: |
| Money purchase schemes |
| Information regarding the highest paid director is as follows: |
| 2024 | 2023 |
| £ | £ |
| Emoluments etc |
| Pension contributions to money purchase schemes |
| 6. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 2024 | 2023 |
| £ | £ |
| Depreciation - owned assets |
| Depreciation - assets on hire purchase contracts |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Auditors' remuneration |
| Foreign exchange differences | ( |
) |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £ | £ |
| Bank loan interest |
| Hire purchase |
| 8. | TAXATION |
| Analysis of the tax charge |
| The tax charge on the profit for the year was as follows: |
| 2024 | 2023 |
| £ | £ |
| Current tax: |
| UK corporation tax |
| Deferred tax |
| Tax on profit |
| Reconciliation of total tax charge included in profit and loss |
| The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
| 2024 | 2023 |
| £ | £ |
| Profit before tax |
| Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
| Effects of: |
| Expenses not deductible for tax purposes |
| Income not taxable for tax purposes | ( |
) | ( |
) |
| assets |
| Change in tax rates |
| Other timing differences |
| Total tax charge | 319,538 | 248,101 |
| Tax effects relating to effects of other comprehensive income |
| 2024 |
| Gross | Tax | Net |
| £ | £ | £ |
| Revaluation of tangible fixed assets | - | 396,188 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 8. | TAXATION - continued |
| 2023 |
| Gross | Tax | Net |
| £ | £ | £ |
| Revaluation of tangible fixed assets |
| 9. | DIVIDENDS |
| 2024 | 2023 |
| £ | £ |
| Ordinary shares of £1 each |
| Final |
| 10. | INTANGIBLE FIXED ASSETS |
| Development |
| costs |
| £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 |
| AMORTISATION |
| At 1 January 2024 |
| and 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 11. | TANGIBLE FIXED ASSETS |
| Fixtures |
| Freehold | Plant and | and | Motor |
| property | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) |
| Revaluations |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) | ( |
) |
| Revaluation adjustments | ( |
) | ( |
) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| Cost or valuation at 31 December 2024 is represented by: |
| Fixtures |
| Freehold | Plant and | and | Motor |
| property | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| Valuation in 2022 | 818,115 | - | - | - | 818,115 |
| Valuation in 2024 | 396,188 | - | - | - | 396,188 |
| Cost | 3,995,072 | 14,479,485 | 588,702 | 108,396 | 19,171,655 |
| 5,209,375 | 14,479,485 | 588,702 | 108,396 | 20,385,958 |
| Land and buildings were revalued at 1 April 2025 by Eddisons, independent valuers not connected with the company on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar properties. |
| Land and buildings are carried at valuation. If land and buildings were measured using the cost model, the carrying amounts would have been £3,183,032 (2023 - £3,225,220). |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 11. | TANGIBLE FIXED ASSETS - continued |
| Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
| Fixtures |
| Plant and | and |
| machinery | fittings | Totals |
| £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 |
| Transfer to ownership | (441,471 | ) | - | (441,471 | ) |
| At 31 December 2024 |
| DEPRECIATION |
| At 1 January 2024 |
| Charge for year |
| Transfer to ownership | (1,027,161 | ) | - | (1,027,161 | ) |
| At 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| 12. | INVESTMENT PROPERTY |
| Total |
| £ |
| FAIR VALUE |
| At 1 January 2024 |
| and 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| Investment property comprises part of the company's freehold land and buildings that is let out to third parties. |
| The value of the investment property has been determined using a yield formula derived from rentals earned and a percentage suggested from the valuation of the company premises undertaken as specified in the note under tangible fixed assets. |
| 13. | STOCKS |
| 2024 | 2023 |
| £ | £ |
| Raw materials |
| Work in progress and finished goods | 4,853,913 | 4,568,882 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Trade debtors |
| Other debtors |
| VAT |
| Prepayments and accrued income |
| 15. | CURRENT ASSET INVESTMENTS |
| 2024 | 2023 |
| £ | £ |
| Derivative financial instruments |
| 16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Bank loans and overdrafts (see note 18) |
| Hire purchase contracts (see note 19) |
| Trade creditors |
| Tax |
| Social security and other taxes |
| Other creditors |
| Derivative financial instruments | 34,879 | - |
| Accruals and deferred income |
| 17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 2024 | 2023 |
| £ | £ |
| Bank loans (see note 18) |
| Hire purchase contracts (see note 19) |
| Deferred government grants |
| 18. | LOANS |
| An analysis of the maturity of loans is given below: |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due within one year or on demand: |
| Bank loans |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 18. | LOANS - continued |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due between one and two years: |
| Bank loans - 1-2 years |
| Amounts falling due between two and five years: |
| Bank loans - 2-5 years |
| Amounts falling due in more than five years: |
| Repayable by instalments |
| Bank loans more 5 yr by instal | 503,603 | 588,105 |
| 19. | LEASING AGREEMENTS |
| Minimum lease payments under hire purchase fall due as follows: |
| 2024 | 2023 |
| £ | £ |
| Net obligations repayable: |
| Within one year |
| Between one and five years |
| 20. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| 2024 | 2023 |
| £ | £ |
| Bank loans |
| Hire purchase contracts | 1,314,757 | 1,061,755 |
| The bank loan is secured by way of a fixed and floating charge over the assets of the company. |
| Hire purchase liabilities are secured by the assets to which they relate. |
| The invoice discounting facility is secured by the debtors to which it relates. |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 21. | FINANCIAL INSTRUMENTS |
| Financial instruments accounted for under section 12 of FRS 102 comprise derivative instruments for forward foreign currency contracts not trade in active markets. Fair value has been determined in line with the company's accounting policy and specifically through observation of exchange rates corresponding to the maturity date. |
| The carrying value of financial assets is £nil (2023 - £39,612). The carrying value of financial liabilities is £34,879 (2023 - £nil). |
| 22. | PROVISIONS FOR LIABILITIES |
| 2024 | 2023 |
| £ | £ |
| Deferred tax |
| Accelerated capital allowances |
| Other timing differences | (4,492 | ) | (8,867 | ) |
| 780,944 | 729,101 |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 |
| Charge to Statement of Comprehensive Income during year |
| Balance at 31 December 2024 |
| 23. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary | £1 | 23,406 | 22,806 |
| C W Fletcher & Sons Limited (Registered number: 00097913) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 December 2024 |
| 24. | RESERVES |
| Capital |
| Retained | Share | Revaluation | redemption |
| earnings | premium | reserve | reserve | Totals |
| £ | £ | £ | £ | £ |
| At 1 January 2024 | 12,450,072 |
| Profit for the year |
| Dividends | ( |
) | ( |
) |
| Other movements | - | - | 396,188 | - | 396,188 |
| Share issue | - | 16,062 | - | - | 16,062 |
| At 31 December 2024 | 13,275,120 |
| Retained earnings represent accumulated profits and losses of the company net of dividends and transfers. |
| Share premium reserve is the excess of consideration received above the nominal value of shares issued. |
| Revaluation reserve is unrealised gains arising from the upward revaluation of property, plant and equipment net of tax effects. |
| Capital redemption reserve is the nominal value of previously issued ordinary shares repurchased by the company. |
| 25. | SHARE-BASED PAYMENT TRANSACTIONS |
| Number of share options | Weighted average exercise price (£) |
| 2024 | 2023 | 2024 | 2023 |
| Outstanding at start of the year | 2,800 | 3,400 | 77,756 | 94,418 |
| Exercised | (600 | ) | (600 | ) | (16,662 | ) | (16,662 | ) |
| Outstanding at end of the year | 2,200 | 2,800 | 61,094 | 77,756 |
| On 22 April 2025, a further 600 options were exercised by option holders. |