EDMUND A STEPHENS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2024
Company Registration No. 01376043 (England and Wales)
EDMUND A STEPHENS LIMITED
COMPANY INFORMATION
Director
M E Stephens
Secretary
M E Stephens
Company number
01376043
Registered office
37 Bankhall Street
Bootle
Merseyside
L20 8JD
Auditor
DSG Audit
Castle Chambers
43 Castle Street
Liverpool
L2 9TL
Business address
37 Bankhall Street
Bootle
Merseyside
L20 8JD
EDMUND A STEPHENS LIMITED
CONTENTS
Page
Strategic report
1
Director's report
2
Director's responsibilities statement
3
Independent auditor's report
4 - 6
Statement of comprehensive income
7
Balance sheet
8
Statement of changes in equity
9
Notes to the financial statements
10 - 22
EDMUND A STEPHENS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 1 -
The director presents the strategic report for the year ended 30 November 2024.
Principal activities
The principal activity of the company continued to be that of the selling of timber and pallets.
Review of the business
The results for the year and the financial position at the end were considered satisfactory by the directors, with sales decreasing on the prior year. The results for the company show a pre-tax profit of £1,080,198 (2023: £1,505,092) for the year and turnover of £17,047,842 (2023: £16,616,665). The company has net assets of £3,199,460 (2023: £3,140,986).
Principal risks and uncertainties
We have set out below a number of risk factors that we believe could cause our actual future results to differ materially from expected results. However, other factors could adversely affect the results so the factors set out below should not be considered to be a complete set of all potential risks and uncertainties.
Business conditions and the general economy
The profitability of the company could be adversely affected by a worsening of general economic conditions in the United Kingdom. Whilst a short term worsening in the economic conditions in the United Kingdom should not significantly adversely impact profitability, a sustained downturn over a number of years would be likely to lead to reduced profit in this area.
Credit risk
Credit risk is a constant risk and all new customers are reviewed and their financial position assessed before acceptance. The debt from existing customers is monitored on a regular basis to reduce the cash flow risk.
Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.
Liquidity risk
The company manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business.
Interest rate risk
The company is exposed to fair value interest rate risk on its fixed rate borrowings and cash flow interest rate risk on floating rate deposits, bank overdrafts and loans.
Regulatory compliance risk
The company is subject to regulatory compliance risk which can arise from a failure to comply fully with the laws, regulations or codes applicable, for example health and safety, licensing and fire regulations. Non-compliance can lead to fines, enforced suspension from sale of certain products or public reprimand.
Key performance indicators
Measure 2024 2023
Turnover £17.0m £16.6m
Gross profit £2.9m £3.2m
Operating profit £1.1m £1.5m
M E Stephens
Director
29 July 2025
EDMUND A STEPHENS LIMITED
DIRECTOR'S REPORT
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 2 -
The director presents his annual report and financial statements for the year ended 30 November 2024.
Results and dividends
The results for the year are set out on page 7.
Ordinary dividends were paid amounting to £750,320. The director does not recommend payment of a further dividend.
Director
The director who held office during the year and up to the date of signature of the financial statements was as follows:
M E Stephens
Post reporting date events
There are no adjusting or non-adjusting events which have come to light at this current time.
Auditor
DSG resigned as auditor on 11 September 2024. DSG Audit were appointed on 11 September 2024 as auditor to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.
Strategic report
The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. The company has done so in respect of its principal activities and financial instruments.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.
On behalf of the board
M E Stephens
Director
29 July 2025
EDMUND A STEPHENS LIMITED
DIRECTOR'S RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 3 -
The director is responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the director must not approve the financial statements unless he is 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 director is required to:
select suitable accounting policies and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The director is 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. He is 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.
EDMUND A STEPHENS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF EDMUND A STEPHENS LIMITED
- 4 -
Opinion
We have audited the financial statements of Edmund A Stephens Limited (the 'company') for the year ended 30 November 2024 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
give a true and fair view of the state of the company's affairs as at 30 November 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.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the 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 director's 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 director with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the director's report have been prepared in accordance with applicable legal requirements.
EDMUND A STEPHENS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF EDMUND A STEPHENS LIMITED (CONTINUED)
- 5 -
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 director's 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 director's remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.
Responsibilities of director
As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Capability of the audit in detecting irregularities, including fraud
Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements.
During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity. The following laws and regulations were identified as being of significance to the entity:
Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law, Tax and Pensions legislation, and distributable profits legislation.
Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements include environmental regulations, health and safety legislation, trades description act, employment legislation.
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).
EDMUND A STEPHENS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF EDMUND A STEPHENS LIMITED (CONTINUED)
- 6 -
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Jean Ellis BA FCA CTA (Senior Statutory Auditor)
For and on behalf of DSG Audit, Statutory Auditor
Chartered Accountants
Castle Chambers
43 Castle Street
Liverpool
L2 9TL
29 July 2025
EDMUND A STEPHENS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 7 -
2024
2023
Notes
£
£
Turnover
3
17,047,842
16,616,665
Cost of sales
(14,149,398)
(13,462,824)
Gross profit
2,898,444
3,153,841
Administrative expenses
(1,802,878)
(1,627,826)
Operating profit
4
1,095,566
1,526,015
Interest receivable and similar income
7
966
Interest payable and similar expenses
8
(16,334)
(20,923)
Profit before taxation
1,080,198
1,505,092
Tax on profit
9
(271,404)
(345,925)
Profit for the financial year
808,794
1,159,167
There was no other comprehensive income for 2024 (2023: £nil).
The notes on pages 10 to 22 form part of these financial statements.
EDMUND A STEPHENS LIMITED
BALANCE SHEET
AS AT
30 NOVEMBER 2024
30 November 2024
- 8 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
11
457,902
538,424
Current assets
Stocks
12
2,843,646
2,077,910
Debtors
13
5,301,806
4,919,777
Cash at bank and in hand
1,169,648
1,967,633
9,315,100
8,965,320
Creditors: amounts falling due within one year
14
(6,333,669)
(6,004,635)
Net current assets
2,981,431
2,960,685
Total assets less current liabilities
3,439,333
3,499,109
Creditors: amounts falling due after more than one year
15
(100,340)
(198,892)
Provisions for liabilities
Provisions
18
50,000
50,000
Deferred tax liability
19
89,533
109,231
(139,533)
(159,231)
Net assets
3,199,460
3,140,986
Capital and reserves
Called up share capital
21
5,000
5,000
Profit and loss reserves
3,194,460
3,135,986
Total equity
3,199,460
3,140,986
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
The financial statements were approved and signed by the director and authorised for issue on 29 July 2025
M E Stephens
Director
Company registration number 01376043 (England and Wales)
EDMUND A STEPHENS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 9 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 December 2022
5,000
3,066,819
3,071,819
Year ended 30 November 2023:
Profit and total comprehensive income
-
1,159,167
1,159,167
Dividends
10
-
(1,090,000)
(1,090,000)
Balance at 30 November 2023
5,000
3,135,986
3,140,986
Year ended 30 November 2024:
Profit and total comprehensive income
-
808,794
808,794
Dividends
10
-
(750,320)
(750,320)
Balance at 30 November 2024
5,000
3,194,460
3,199,460
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 10 -
1
Accounting policies
Company information
Edmund A Stephens Limited is a private company limited by shares incorporated in England and Wales. The registered office is 37 Bankhall Street, Bootle, Merseyside, L20 8JD.
The principal activities of the company are disclosed in the Strategic Report.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 4 ‘Statement of Financial Position’: Reconciliation of the opening and closing number of shares;
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’: Carrying amounts, interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
The financial statements of the company are consolidated in the financial statements of EAS Group Limited.
EAS Group Limited is a company incorporated in Great Britain and registered in England and Wales. The registered office is C/O DSG, Chartered Accountants Castle Chambers, 43 Castle Street, Liverpool, United Kingdom, L2 9TL.
1.2
Going concern
The financial statements have been prepared on a going concern basis. The directors have assessed the company’s current financial position, including its cash flow forecasts and available funding, and have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, being a period of at least twelve months from the date of approval of these financial statements.true
In making this assessment, the directors have considered the company’s trading performance, balance sheet strength, and access to financing facilities. No material uncertainties have been identified that would cast significant doubt on the company’s ability to continue as a going concern. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.
1.3
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 11 -
Turnover 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 turnover 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.
Other income
Rental income is recognised when receivable.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
Over 25 years
Plant and machinery
15% reducing balance
Computer equipment
20% straight line
Motor vehicles
25% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.6
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.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 12 -
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.
1.7
Cash and cash equivalents
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial 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 realise 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.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
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.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 13 -
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
Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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.
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 liabilities
Derivatives, including interest rate swaps and 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.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
1
Accounting policies
(Continued)
- 14 -
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.11
Provisions
Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
1.12
Employee benefits
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.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
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.
1.13
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.14
Leases
As lessee
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 15 -
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is 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.
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Recoverability of receivables
Management reviews the carrying amount of trade receivables on a regular basis to identify items where recoverability may be in doubt. The timing and quantum of any impairment of receivables is a matter of management judgement.
Determining and reassessing residual values and useful economic lives of tangible assets
The company depreciates tangible assets over their estimated useful lives. In determining appropriate useful lives of assets, the director has considered historic performance as well as future expectations for factors such as expected usage of the asset, physical wear and tear, technical and commercial obsolescence and legal limitations of the usage of the asset, such as lease terms. The actual lives of these assets can vary depending on a variety of factors, including technological innovation, product life cycles and maintenance programmes.
Judgement is applied to determine the residual values for tangible assets. When determining the residual values, the director has assessed the amount that the group would currently obtain for the disposal of the asset, if it were already of the condition expected at the end of its useful economic life. At each reporting date, the director has also assessed whether there have been any indicators, such as a change in how the asset is used, significant unexpected wear and tear and changes in market prices, which suggest previous estimates may differ from current expectations. Where this is the case, the residual value and/or useful life is amended and accounted for on a prospective basis.
3
Turnover and other revenue
An analysis of the company's turnover is as follows:
2024
2023
£
£
Turnover analysed by class of business
Sales of goods
16,990,482
16,572,825
Rent receivable
57,360
43,840
17,047,842
16,616,665
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
17,047,842
16,616,665
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
3
Turnover and other revenue
(Continued)
- 16 -
2024
2023
£
£
Other revenue
Interest income
966
-
4
Operating profit
2024
2023
Operating profit for the year is stated after charging/(crediting):
£
£
Auditors remuneration
12,375
11,250
Depreciation of owned tangible fixed assets
37,193
44,692
Depreciation of tangible fixed assets held under finance leases
54,339
69,812
Profit on disposal of tangible fixed assets
-
(29,512)
Operating lease charges
93,349
90,616
5
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Employees
62
62
Their aggregate remuneration comprised:
2024
2023
£
£
Wages and salaries
1,438,342
1,321,665
Social security costs
135,800
116,644
Pension costs
35,752
31,886
1,609,894
1,470,195
6
Director's remuneration
2024
2023
£
£
Remuneration for qualifying services
8,936
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 17 -
7
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
966
8
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
2,585
4,339
Interest on finance leases and hire purchase contracts
13,749
16,584
16,334
20,923
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
291,102
351,154
Deferred tax
Origination and reversal of timing differences
(19,698)
(5,229)
Total tax charge
271,404
345,925
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2024
2023
£
£
Profit before taxation
1,080,198
1,505,092
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 25.00%)
270,050
376,273
Tax effect of expenses that are not deductible in determining taxable profit
1,074
(326)
Effect of change in corporation tax rate
(35,582)
Permanent capital allowances in excess of depreciation
280
5,560
Taxation charge for the year
271,404
345,925
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 18 -
10
Dividends
2024
2023
£
£
Final paid
750,320
1,090,000
11
Tangible fixed assets
Freehold land and buildings
Plant and machinery
Computer equipment
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 December 2023
377,773
697,977
37,124
572,388
1,685,262
Additions
11,010
11,010
At 30 November 2024
377,773
708,987
37,124
572,388
1,696,272
Depreciation and impairment
At 1 December 2023
276,271
498,049
26,277
346,241
1,146,838
Depreciation charged in the year
1,729
31,225
2,042
56,536
91,532
At 30 November 2024
278,000
529,274
28,319
402,777
1,238,370
Carrying amount
At 30 November 2024
99,773
179,713
8,805
169,611
457,902
At 30 November 2023
101,502
199,928
10,847
226,147
538,424
Tangible fixed assets includes assets held under finance leases or hire purchase contracts, as follows:
2024
2023
£
£
Plant and machinery
96,411
113,401
Motor vehicles
112,043
149,392
208,454
262,793
12
Stocks
2024
2023
£
£
Raw materials and consumables
2,843,646
2,077,910
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 19 -
13
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
5,132,513
4,788,798
Other debtors
153,146
114,832
Prepayments and accrued income
16,147
16,147
5,301,806
4,919,777
An impairment loss of £1,964,380 (2023: £1,554,880) Is recognised against trade debtors.
14
Creditors: amounts falling due within one year
2024
2023
Notes
£
£
Bank loans
16
15,301
29,674
Obligations under finance leases
17
82,854
95,619
Trade creditors
2,778,296
2,656,922
Amounts owed to group undertakings
2,828,757
2,307,848
Corporation tax
182,191
351,154
Other taxation and social security
224,639
345,107
Other creditors
20,927
17,607
Accruals and deferred income
200,704
200,704
6,333,669
6,004,635
Amounts owed to group undertakings are interest free, have no fixed repayment date and are repayable on demand.
15
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Bank loans
16
14,723
Obligations under finance leases
17
100,340
184,169
100,340
198,892
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 20 -
16
Loans and overdrafts
2024
2023
£
£
Bank loans
15,301
44,397
Payable within one year
15,301
29,674
Payable after one year
14,723
The bank loan is secured by a debenture and a legal charge over the land and buildings of the company.
The bank loan is repayable by instalments and is due to be repaid April 2025. Interest is charged at 3% over the bank base rate.
17
Finance lease obligations
2024
2023
Future minimum lease payments due under finance leases:
£
£
Within one year
82,854
95,619
In two to five years
100,340
184,169
183,194
279,788
Finance lease payments represent rentals payable by the company for certain items of motor vehicles. The finance leases are secured on the assets acquired.
18
Provisions for liabilities
2024
2023
£
£
Dilapidations
50,000
50,000
Movements on provisions:
Dilapidations
£
At 1 December 2023 and 30 November 2024
50,000
The dilapidations provision represents the company's liability to repair the premises it holds under operating lease, which are payable on the earlier of the end of the lease or when the works have been completed.
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 21 -
19
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
89,533
109,231
2024
Movements in the year:
£
Liability at 1 December 2023
109,231
Credit to profit or loss
(19,698)
Liability at 30 November 2024
89,533
20
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
35,752
31,886
The company contributes to a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
21
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
5,000
5,000
5,000
5,000
EDMUND A STEPHENS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
- 22 -
22
Operating lease commitments
As lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2024
2023
£
£
Within 1 year
97,170
16,109
Years 2-5
270,000
-
After 5 years
540,000
-
907,170
16,109
23
Related party transactions
Included in other debtors is a balance of £54,578 (2023: £42,202) due from a company with a common director.
The company has taken advantage of the reduced disclosure exemption available under Financial Reporting Standard 102 relating to the disclosure of related party transactions between wholly owned group companies.
No other transactions with related parties were undertaken such as are required to be disclosed under Financial Reporting Standard 102.
24
Ultimate controlling party
The ultimate parent company is EAS Group Limited, a company incorporated in Great Britain and registered in England and Wales. The registered office is C/O DSG, Chartered Accountants Castle Chambers, 43 Castle Street, Liverpool, United Kingdom, L2 9TL. EAS Group Limited prepares consolidated financial statements which includes Edmund A Stephens Limited.
The smallest and largest group into which the results of this entity are consolidated is that headed by EAS Group Limited.
EAS Group Limited is controlled by Mr M Stephens.
2024-11-302023-12-01falsefalsefalseCCH SoftwareCCH Accounts Production 2025.200M E StephensM E Stephens013760432023-12-012024-11-3001376043bus:Director12023-12-012024-11-3001376043bus:CompanySecretary12023-12-012024-11-3001376043bus:RegisteredOffice2023-12-012024-11-30013760432024-11-30013760432022-12-012023-11-3001376043core:RetainedEarningsAccumulatedLosses2022-12-012023-11-3001376043core:RetainedEarningsAccumulatedLosses2023-12-012024-11-30013760432023-11-3001376043core:LandBuildingscore:OwnedOrFreeholdAssets2024-11-3001376043core:PlantMachinery2024-11-3001376043core:ComputerEquipment2024-11-3001376043core:MotorVehicles2024-11-3001376043core:LandBuildingscore:OwnedOrFreeholdAssets2023-11-3001376043core:PlantMachinery2023-11-3001376043core:ComputerEquipment2023-11-3001376043core:MotorVehicles2023-11-3001376043core:ShareCapital2024-11-3001376043core:ShareCapital2023-11-3001376043core:RetainedEarningsAccumulatedLosses2024-11-3001376043core:RetainedEarningsAccumulatedLosses2023-11-3001376043core:ShareCapital2022-11-3001376043core:RetainedEarningsAccumulatedLosses2022-11-3001376043core:ShareCapitalOrdinaryShareClass12024-11-3001376043core:ShareCapitalOrdinaryShareClass12023-11-3001376043core:LandBuildingscore:OwnedOrFreeholdAssets2023-12-012024-11-3001376043core:PlantMachinery2023-12-012024-11-3001376043core:ComputerEquipment2023-12-012024-11-3001376043core:MotorVehicles2023-12-012024-11-3001376043core:UKTax2023-12-012024-11-3001376043core:UKTax2022-12-012023-11-3001376043core:LandBuildingscore:OwnedOrFreeholdAssets2023-11-3001376043core:PlantMachinery2023-11-3001376043core:ComputerEquipment2023-11-3001376043core:MotorVehicles2023-11-30013760432023-11-3001376043core:CurrentFinancialInstruments2024-11-3001376043core:CurrentFinancialInstruments2023-11-3001376043core:Non-currentFinancialInstruments2024-11-3001376043core:Non-currentFinancialInstruments2023-11-3001376043core:WithinOneYear2024-11-3001376043core:WithinOneYear2023-11-3001376043core:BetweenTwoFiveYears2024-11-3001376043core:BetweenTwoFiveYears2023-11-3001376043bus:OrdinaryShareClass12023-12-012024-11-3001376043bus:OrdinaryShareClass12024-11-3001376043bus:OrdinaryShareClass12023-11-3001376043core:MoreThanFiveYears2024-11-3001376043bus:PrivateLimitedCompanyLtd2023-12-012024-11-3001376043bus:FRS1022023-12-012024-11-3001376043bus:Audited2023-12-012024-11-3001376043bus:FullAccounts2023-12-012024-11-30xbrli:purexbrli:sharesiso4217:GBP