| REGISTERED NUMBER: 12467881 (England and Wales) |
| Group Strategic Report, |
| Report of the Directors and |
| Consolidated Financial Statements |
| for the Year Ended 31 December 2024 |
| for |
| Shropshire Homes Group Limited |
| REGISTERED NUMBER: 12467881 (England and Wales) |
| Group Strategic Report, |
| Report of the Directors and |
| Consolidated Financial Statements |
| for the Year Ended 31 December 2024 |
| for |
| Shropshire Homes Group Limited |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Contents of the Consolidated Financial Statements |
| for the year ended 31 December 2024 |
| Page |
| Company Information | 1 |
| Group Strategic Report | 2 |
| Report of the Directors | 5 |
| Report of the Independent Auditors | 8 |
| Consolidated Income Statement | 12 |
| Consolidated Other Comprehensive Income | 13 |
| Consolidated Balance Sheet | 14 |
| Company Balance Sheet | 16 |
| Consolidated Statement of Changes in Equity | 17 |
| Company Statement of Changes in Equity | 18 |
| Consolidated Cash Flow Statement | 19 |
| Notes to the Consolidated Cash Flow Statement | 20 |
| Notes to the Consolidated Financial Statements | 22 |
| Shropshire Homes Group Limited |
| Company Information |
| for the year ended 31 December 2024 |
| DIRECTORS: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Chartered Accountants and Statutory Auditor |
| Belmont House |
| Shrewsbury Business Park |
| Shrewsbury |
| Shropshire |
| SY2 6LG |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Group Strategic Report |
| for the year ended 31 December 2024 |
| The directors present their strategic report of the company and the group for the year ended 31 December 2024. |
| REVIEW OF BUSINESS |
| Although showing signs of improvement the housing market continued to be subdued in 2024 as a result of continued high interest rates and economic and political uncertainty. However the Group increased sales by 17% to £50.5 million. |
| Profits were impacted by increased production costs and flat selling prices which squeezed margins. Despite higher revenues trading profits only increased slightly to £3.23m |
| The number of completions was 150 and the average selling price was £323,300 an increase from £306,980 in 2023 was as result of changes in the mix of dwellings sold. |
| The Group carried 30 reservations forward to 2025. |
| Key Performance Indicators ("KPIs") |
| 2024 | 2023 |
| Revenue | £50.5m | £43.6m |
| Pre Tax Profit | £924k | £789k |
| Plots Sold | 150 | 142 |
| Average Selling Price (£ 's) | 323 | 307 |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| There are risks and uncertainties which could impact on the group's performance in the longer term. The board of directors have carried out a risk assessment to identify, manage and mitigate business risk. |
| SECTION 172(1) STATEMENT |
| The directors believe that they have effectively implemented their duties under section 172(1) of the Companies Act 2006. The Group has considered the long term strategy of the business and consider that this strategy will continue to deliver long term success to the business and it's stakeholders. |
| The Group is committed to maintaining an excellent reputation and strives to achieve high standards. We are highly selective about which contractors are used to deliver best value while maintaining an awareness of the environmental impact of the work undertaken and strive to reduce our carbon footprint. |
| The directors recognize the importance of wider stakeholders in delivering their strategy and achieving sustainability within the business. The main stakeholders in the Group are considered to be the employees, suppliers and customers. Their importance to the business is considered below. |
| In ensuring that all our stakeholders are considered as part of every decision process we believe we act fairly between all members of the Group. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Group Strategic Report |
| for the year ended 31 December 2024 |
| ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS |
| The Group agrees terms and conditions for its business transactions with suppliers before orders are placed. Payments are then made in accordance with these obligations. |
| As a Group we believe it is important to pay our suppliers promptly and on time for the service they provide.The average time taken to pay invoices is 19 days which is significantly ahead of the industry norm. |
| The Group benefits from close relationships with a variety of suppliers and contractors, in which the Group has developed a high level of trust over the years. These relationships help the company to engineer cost effective solutions to individual project challenges for the mutual benefit of the supplier, customer and the Group. |
| BUSINESS DEVELOPMENT |
| Shropshire Homes Group Limited have identified profitable opportunities in working in partnership with other organisations, principally Registered Providers, to develop in appropriate locations. We have recruited an experienced leader in this field and plan to launch a specialist partnerships division, Shropshire Homes Partnerships, later this year |
| The Group has strengthened its senior management over recent years and has now recruited a strong technical and managerial team and invested in new software systems. This together with the strong land pipeline and our partnership business puts the Company in a strong position to move forward. |
| FUTURE BUSINESS PROSPECTS |
| The Group has experienced an upturn in demand in the first part of 2025 and we are confident that political stability, underlying demand for housing and falling interest rates will enable Shropshire Homes Group Limited to return to a profitable growth path in coming years. |
| We continued to experience very frustrating planning delays in 2024 although these are beginning to ease and we expect to receive consent for over 700 homes in the first half of 2025. |
| The new planning regime introduced by the Labour government should ensure that planning becomes less of an obstacle to growth than it has been in recent years. |
| We have been successful in replenishing our short and medium-term land bank and control sufficient land to generate around £500m of market sales. This will fuel growth over coming years and provides a great deal more certainty than many SME housebuilders |
| The directors continue to believe that underlying demand within the housing market will continue to generate a strong demand for new homes in the medium term and we are well positioned to benefit from this. We anticipate sales in the region of £100m in 2027. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Group Strategic Report |
| for the year ended 31 December 2024 |
| RESEARCH & DEVELOPMENT |
| To ensure Shropshire Homes Limited can continue to provide prestigious developments it is continually looking develop new processes and seeking to innovate with new solutions to improve it's existing processes. Historic R&D projects have included methodologies to reduce waste material transportation, develop gas venting solutions and provide retaining structures in restricted access locations, using our internal skilled workforce as well as external consultants with the relevant experience to assist in the design and delivery of these developments. |
| ON BEHALF OF THE BOARD: |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Report of the Directors |
| for the year ended 31 December 2024 |
| The directors present their report with the financial statements of the company and the group for the year ended 31 December 2024. |
| PRINCIPAL ACTIVITIES |
| The principal activities of the group in the year under review were those of a holding company. |
| DIVIDENDS |
| An interim dividend of 0.0375p per share on the Preference £1 shares was paid on 30 June 2024. The directors recommend a final dividend of 0.0375p per share, making a total of 0.075p per share for the year ended 31 December 2024. |
| No interim dividend was paid on the Ordinary A £1 shares. The directors recommend that no final dividend be paid on these shares. |
| The total distribution of dividends for the year ended 31 December 2024 will be £ 23,626 . |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
| BUSINESS DEVELOPMENT |
| Shropshire Homes Group Limited have identified profitable opportunities in working in partnership with other organisations, principally Registered Providers, to develop in appropriate locations. We have recruited an experienced leader in this field and plan to launch a specialist partnerships division, Shropshire Homes Partnerships, later this year. |
| The Group has strengthened its senior management over recent years and has now recruited a strong technical and managerial team and invested in new software systems. This together with the strong land pipeline and our partnership business puts the Group in a strong position to move forward. |
| STREAMLINED ENERGY AND CARBON REPORTING |
| In accordance with SECR requirements, this provides a summary of GHG emissions and energy data for Shropshire Homes Limited during the reporting year 1st January 2023 to 31st December 2023. |
| Element | 2023 (tCO2e) | 2022 (tCO2e) |
| Direct emissions (Scope 1) - LPG, refrigerant gases and company car fuel |
98 |
93 |
| Indirect emissions (Scope 2) - from purchased electricity |
40 |
40 |
| Indirect emissions (Scope 2) - from purchased gas | 31 | 43 |
| Total (tCO2e ) Scope 1 & 2 |
| Gross total emissions | 169 | 176 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Report of the Directors |
| for the year ended 31 December 2024 |
| Carbon offsetting purchased | - | - |
| Net total emissions | 169 | 176 |
| Tonnes CO2e per £100,000 sales revenue | 0.3938 | 0.3533 |
| Total (kWh) Scope 2 | 2023 (kWh) | 2022 (kWh) |
| Total consumption | 341,028 | 404,246 |
| DISCLOSURE IN THE STRATEGIC REPORT |
| Information on the future developments of the business, employee communication and financial risk management is shown in the Strategic Report. |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group 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; |
| - | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
| - | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
| The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Report of the Directors |
| for the year ended 31 December 2024 |
| 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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
| ON BEHALF OF THE BOARD: |
| Report of the Independent Auditors to the Members of |
| Shropshire Homes Group Limited |
| Opinion |
| We have audited the financial statements of Shropshire Homes Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 December 2024 and of the group's 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 group 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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
| Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
| Report of the Independent Auditors to the Members of |
| Shropshire Homes Group Limited |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, 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. |
| 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 Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Group Strategic Report and the Report of the Directors 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
| 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
| - | the parent company 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 six, 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 group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
| Report of the Independent Auditors to the Members of |
| Shropshire Homes Group Limited |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| Our approach to identifying and assessing the risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
| - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities, and skills to identify or recognize non-compliance with applicable laws and regulations; and |
| - we identified the laws and regulations applicable to the company through discussion with directors and other senior management, and from our commercial knowledge and experience of the housing development sector; and |
| - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection and employment; and |
| - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
| - identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
| We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
| - making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected, and alleged fraud; and |
| - considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
| To address the risk of fraud through management bias and override of controls, we: |
| - performed analytical procedures to identify any unusual or unexpected relationships. |
| - tested journal entries to identify unusual transactions. |
| - assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; and |
| - investigated the rationale behind significant or unusual transactions. |
| In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
| - agreeing financial statement disclosures to underlying supporting documentation. |
| - enquiring of management as to actual and potential litigation and claims; and |
| - reviewing correspondence with HMRC, relevant regulators and the company's legal advisors. |
| Report of the Independent Auditors to the Members of |
| Shropshire Homes Group Limited |
| There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
| 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 |
| Chartered Accountants and Statutory Auditor |
| Belmont House |
| Shrewsbury Business Park |
| Shrewsbury |
| Shropshire |
| SY2 6LG |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated |
| Income Statement |
| for the year ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| REVENUE | 3 | 50,509,604 | 43,599,998 |
| Cost of sales | 42,388,422 | 35,253,040 |
| GROSS PROFIT | 8,121,182 | 8,346,958 |
| Administrative expenses | 5,845,567 | 6,094,937 |
| OPERATING PROFIT | 5 | 2,275,615 | 2,252,021 |
| Interest receivable and similar income | 8,381 | 5,290 |
| 2,283,996 | 2,257,311 |
| Interest payable and similar expenses | 7 | 1,359,982 | 1,468,762 |
| PROFIT BEFORE TAXATION | 924,014 | 788,549 |
| Tax on profit | 8 | 868,232 | 318,346 |
| PROFIT FOR THE FINANCIAL YEAR |
| Profit attributable to: |
| Owners of the parent | 55,782 | 470,203 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated |
| Other Comprehensive Income |
| for the year ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| PROFIT FOR THE YEAR | 55,782 | 470,203 |
| OTHER COMPREHENSIVE INCOME |
| Property Revaluation | - | 275,920 |
| Income tax relating to other comprehensive income |
- |
- |
| OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
275,920 |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
55,782 |
746,123 |
| Total comprehensive income attributable to: |
| Owners of the parent | 55,782 | 746,123 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated Balance Sheet |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 11 | 3,600 | 1,847,986 |
| Property, plant and equipment | 12 | 836,526 | 943,113 |
| Investments | 13 | - | - |
| 840,126 | 2,791,099 |
| CURRENT ASSETS |
| Inventories | 14 | 32,273,099 | 35,757,856 |
| Debtors | 15 | 690,686 | 2,514,450 |
| Cash at bank and in hand | 64,266 | 40,996 |
| 33,028,051 | 38,313,302 |
| CREDITORS |
| Amounts falling due within one year | 16 | 15,528,767 | 18,685,174 |
| NET CURRENT ASSETS | 17,499,284 | 19,628,128 |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
18,339,410 |
22,419,227 |
| CREDITORS |
| Amounts falling due after more than one year |
17 |
(2,204,374 |
) |
(6,298,665 |
) |
| PROVISIONS FOR LIABILITIES | 21 | (82,882 | ) | (100,564 | ) |
| NET ASSETS | 16,052,154 | 16,019,998 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated Balance Sheet - continued |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ | £ |
| CAPITAL AND RESERVES |
| Called up share capital | 22 | 322,332 | 322,332 |
| Share premium | 23 | 8,231,132 | 8,231,132 |
| Revaluation reserve | 23 | 264,882 | 270,401 |
| Retained earnings | 23 | 7,233,808 | 7,196,133 |
| SHAREHOLDERS' FUNDS | 16,052,154 | 16,019,998 |
| The financial statements were approved by the Board of Directors and authorised for issue on 4 August 2025 and were signed on its behalf by: |
| R W Shackleton - Director |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Company Balance Sheet |
| 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 11 |
| Property, plant and equipment | 12 |
| Investments | 13 |
| CURRENT ASSETS |
| Debtors | 15 |
| Cash at bank |
| CREDITORS |
| Amounts falling due within one year | 16 |
| NET CURRENT (LIABILITIES)/ASSETS | ( |
) |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year |
17 |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 22 |
| Share premium | 23 |
| Retained earnings | 23 |
| SHAREHOLDERS' FUNDS |
| Company's profit for the financial year | 770,881 | 936,594 |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated Statement of Changes in Equity |
| for the year ended 31 December 2024 |
| Called up |
| share | Retained | Share | Revaluation | Total |
| capital | earnings | premium | reserve | equity |
| £ | £ | £ | £ | £ |
| Balance at 1 January 2023 | 322,519 | 6,951,961 | 8,441,284 | - | 15,715,764 |
| Changes in equity |
| Reduction in share capital | (187 | ) | (207,924 | ) | (210,152 | ) | - | (418,263 | ) |
| Dividends | - | (23,626 | ) | - | - | (23,626 | ) |
| Total comprehensive income | - | 475,722 | - | 270,401 | 746,123 |
| Balance at 31 December 2023 | 322,332 | 7,196,133 | 8,231,132 | 270,401 | 16,019,998 |
| Changes in equity |
| Dividends | - | (23,626 | ) | - | - | (23,626 | ) |
| Total comprehensive income | - | 61,301 | - | (5,519 | ) | 55,782 |
| Balance at 31 December 2024 | 322,332 | 7,233,808 | 8,231,132 | 264,882 | 16,052,154 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Company Statement of Changes in Equity |
| for the year ended 31 December 2024 |
| Called up |
| share | Retained | Share | Total |
| capital | earnings | premium | equity |
| £ | £ | £ | £ |
| Balance at 1 January 2023 |
| Changes in equity |
| Reduction in share capital | (187 | ) | (207,924 | ) | (210,152 | ) | (418,263 | ) |
| Dividends | - | ( |
) | - | ( |
) |
| Total comprehensive income | - | - |
| Balance at 31 December 2023 |
| Changes in equity |
| Dividends | - | ( |
) | - | ( |
) |
| Total comprehensive income | - | - |
| Balance at 31 December 2024 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Consolidated Cash Flow Statement |
| for the year ended 31 December 2024 |
| 2024 | 2023 |
| Notes | £ | £ |
| Cash flows from operating activities |
| Cash generated from operations | 1 | 9,099,899 | (8,697,315 | ) |
| Interest paid | (1,358,992 | ) | (1,467,772 | ) |
| Interest element of hire purchase payments paid |
(990 |
) |
(990 |
) |
| Tax paid | (393,904 | ) | (495,470 | ) |
| Net cash from operating activities | 7,346,013 | (10,661,547 | ) |
| Cash flows from investing activities |
| Purchase of intangible fixed assets | (3,600 | ) | - |
| Purchase of tangible fixed assets | (56,849 | ) | (43,819 | ) |
| Sale of tangible fixed assets | 22,178 | 24,297 |
| Interest received | 8,381 | 5,290 |
| Net cash from investing activities | (29,890 | ) | (14,232 | ) |
| Cash flows from financing activities |
| New loans in year | - | 11,500,000 |
| Loan repayments in year | (11,500,000 | ) | - |
| Capital repayments in year | (8,308 | ) | (8,310 | ) |
| Amount introduced by directors | 3,335,982 | 413,472 |
| Amount withdrawn by directors | (52,901 | ) | (373,925 | ) |
| Cancellation of shares | - | (187 | ) |
| Share buyback | - | (210,024 | ) |
| Share premium | - | (210,152 | ) |
| Equity dividends paid | (23,626 | ) | (23,626 | ) |
| Net cash from financing activities | (8,248,853 | ) | 11,087,248 |
| (Decrease)/increase in cash and cash equivalents | (932,730 | ) | 411,469 |
| Cash and cash equivalents at beginning of year |
2 |
(417,500 |
) |
(828,969 |
) |
| Cash and cash equivalents at end of year |
2 |
(1,350,230 |
) |
(417,500 |
) |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Cash Flow Statement |
| for the year ended 31 December 2024 |
| 1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
| 2024 | 2023 |
| £ | £ |
| Profit before taxation | 924,014 | 788,549 |
| Depreciation charges | 1,994,406 | 2,029,054 |
| Profit on disposal of fixed assets | (5,162 | ) | (7,047 | ) |
| Finance costs | 1,359,982 | 1,468,762 |
| Finance income | (8,381 | ) | (5,290 | ) |
| 4,264,859 | 4,274,028 |
| Decrease/(increase) in inventories | 3,484,757 | (8,824,610 | ) |
| Decrease/(increase) in trade and other debtors | 1,784,702 | (1,396,767 | ) |
| Decrease in trade and other creditors | (434,419 | ) | (2,749,966 | ) |
| Cash generated from operations | 9,099,899 | (8,697,315 | ) |
| 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 | 64,266 | 40,996 |
| Bank overdrafts | (1,414,496 | ) | (458,496 | ) |
| (1,350,230 | ) | (417,500 | ) |
| Year ended 31 December 2023 |
| 31.12.23 | 1.1.23 |
| £ | £ |
| Cash and cash equivalents | 40,996 | 30,619 |
| Bank overdrafts | (458,496 | ) | (859,588 | ) |
| (417,500 | ) | (828,969 | ) |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated 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 | 40,996 | 23,270 | 64,266 |
| Bank overdrafts | (458,496 | ) | (956,000 | ) | (1,414,496 | ) |
| (417,500 | ) | (932,730 | ) | (1,350,230 | ) |
| Debt |
| Finance leases | (20,771 | ) | 8,308 | (12,463 | ) |
| Debts falling due within 1 year | (12,500,000 | ) | 11,500,000 | (1,000,000 | ) |
| (12,520,771 | ) | 11,508,308 | (1,012,463 | ) |
| Total | (12,938,271 | ) | 10,575,578 | (2,362,693 | ) |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements |
| for the year ended 31 December 2024 |
| 1. | STATUTORY INFORMATION |
| Shropshire Homes Group Limited is a |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Turnover |
| Revenue is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
| Goodwill |
| Intangible assets |
| Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
| Tangible fixed assets |
| Freehold property | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses. |
| Fixed assets are assessed at each reporting date to determine whether there is any indication of impairment. Gains or losses on impairment are recognised though a revaluation reserve on the balance sheet. |
| Stocks |
| Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Financial instruments |
| The company has financial assets and financial liabilities of a kind that qualify as basic financial instruments. |
| Basic financial assets, including trade and other receivables and cash and bank balances are initially recognised at transaction price and subsequently carried at amortised cost with an assessment for objective evidence of impairment. Any impairment is recognised in profit and loss. |
| Financial assets are derecognised when (a) a contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards or control of the ownership of the asset are transferred to another party. |
| Basic financial liabilities including trade and other creditors are initially recognised at transaction price and subsequently carried at amortised cost. |
| Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Research and development |
| Expenditure on research and development is written off in the year in which it is incurred. |
| Pension costs and other post-retirement benefits |
| The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 3. | REVENUE |
| The revenue and profit before taxation are attributable to the principal activities of the group. |
| An analysis of revenue by class of business is given below: |
| 2024 | 2023 |
| £ | £ |
| House sales | 50,489,994 | 43,588,436 |
| Service charges | 19,610 | 11,562 |
| 50,509,604 | 43,599,998 |
| 4. | EMPLOYEES AND DIRECTORS |
| 2024 | 2023 |
| £ | £ |
| Wages and salaries | 2,498,031 | 2,547,182 |
| Social security costs | 307,990 | 328,206 |
| Other pension costs | 72,330 | 51,394 |
| 2,878,351 | 2,926,782 |
| The average number of employees during the year was as follows: |
| 2024 | 2023 |
| Production staff | 63 | 62 |
| Administrative staff | 49 | 53 |
| The average number of employees by undertakings that were proportionately consolidated during the year was 112 (2023 - 115 ) . |
| 2024 | 2023 |
| £ | £ |
| Directors' remuneration | 818,885 | 851,039 |
| Information regarding the highest paid director is as follows: |
| 2024 | 2023 |
| £ | £ |
| Emoluments etc | 202,493 | 234,214 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 5. | OPERATING PROFIT |
| The operating profit is stated after charging/(crediting): |
| 2024 | 2023 |
| £ | £ |
| Depreciation - owned assets | 146,420 | 181,071 |
| Profit on disposal of fixed assets | (5,162 | ) | (7,047 | ) |
| Goodwill amortisation | 1,847,986 | 1,847,983 |
| 6. | AUDITORS' REMUNERATION |
| 2024 | 2023 |
| £ | £ |
| Fees payable to the company's auditors and their associates for the audit of the company's financial statements |
20,833 |
22,434 |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 2024 | 2023 |
| £ | £ |
| Bank loan interest | 708,623 | 815,994 |
| Other interest | 83,334 | 64,694 |
| Interest payable | 125,813 | 95,365 |
| Loan interest payable | 441,222 | 491,719 |
| Hire purchase interest | 990 | 990 |
| 1,359,982 | 1,468,762 |
| 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 | 986,646 | 262,188 |
| Tax refunds | (100,732 | ) | - |
| Total current tax | 885,914 | 262,188 |
| Deferred tax | (17,682 | ) | 56,158 |
| Tax on profit | 868,232 | 318,346 |
| Tax effects relating to effects of other comprehensive income |
| There were no tax effects for the year ended 31 December 2024. |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 8. | TAXATION - continued |
| 2023 |
| Gross | Tax | Net |
| £ | £ | £ |
| Property Revaluation | 275,920 | - | 275,920 |
| 9. | INDIVIDUAL INCOME STATEMENT |
| As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
| 10. | DIVIDENDS |
| 2024 | 2023 |
| £ | £ |
| Preference shares of £1 each |
| Final | 11,813 | 11,813 |
| Interim | 11,813 | 11,813 |
| 23,626 | 23,626 |
| 11. | INTANGIBLE FIXED ASSETS |
| Group |
| Computer |
| Goodwill | software | Totals |
| £ | £ | £ |
| COST |
| At 1 January 2024 | 9,239,919 | 5,500 | 9,245,419 |
| Additions | - | 3,600 | 3,600 |
| At 31 December 2024 | 9,239,919 | 9,100 | 9,249,019 |
| AMORTISATION |
| At 1 January 2024 | 7,391,933 | 5,500 | 7,397,433 |
| Amortisation for year | 1,847,986 | - | 1,847,986 |
| At 31 December 2024 | 9,239,919 | 5,500 | 9,245,419 |
| NET BOOK VALUE |
| At 31 December 2024 | - | 3,600 | 3,600 |
| At 31 December 2023 | 1,847,986 | - | 1,847,986 |
| Goodwill has been acquired on consolidation. The carrying amount as at 31 December 2024 is £Nil (2023: £1,847,986). |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 12. | PROPERTY, PLANT AND EQUIPMENT |
| Group |
| Fixtures |
| Freehold | Plant and | and | Motor |
| property | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| COST OR VALUATION |
| At 1 January 2024 | 894,210 | 274,236 | 237,150 | 372,932 | 1,778,528 |
| Additions | - | - | 17,150 | 39,699 | 56,849 |
| Disposals | - | - | - | (46,575 | ) | (46,575 | ) |
| Reclassification/transfer | - | - | - | 28,090 | 28,090 |
| At 31 December 2024 | 894,210 | 274,236 | 254,300 | 394,146 | 1,816,892 |
| DEPRECIATION |
| At 1 January 2024 | 220,597 | 237,267 | 150,202 | 227,349 | 835,415 |
| Charge for year | 17,884 | 17,266 | 38,636 | 72,634 | 146,420 |
| Eliminated on disposal | - | - | - | (29,559 | ) | (29,559 | ) |
| Reclassification/transfer | - | - | - | 28,090 | 28,090 |
| At 31 December 2024 | 238,481 | 254,533 | 188,838 | 298,514 | 980,366 |
| NET BOOK VALUE |
| At 31 December 2024 | 655,729 | 19,703 | 65,462 | 95,632 | 836,526 |
| At 31 December 2023 | 673,613 | 36,969 | 86,948 | 145,583 | 943,113 |
| Cost or valuation at 31 December 2024 is represented by: |
| Fixtures |
| Freehold | Plant and | and | Motor |
| property | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| Valuation in 2005 | 175,351 | - | - | - | 175,351 |
| Valuation in 2008 | 4,450 | - | - | - | 4,450 |
| Valuation in 2013 | 38,024 | - | - | - | 38,024 |
| Valuation in 2024 | 275,920 | - | - | - | 275,920 |
| Cost | 400,465 | 274,236 | 254,300 | 394,146 | 1,323,147 |
| 894,210 | 274,236 | 254,300 | 394,146 | 1,816,892 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 13. | FIXED ASSET INVESTMENTS |
| Company |
| Shares in |
| group |
| undertakings |
| £ |
| COST |
| At 1 January 2024 |
| and 31 December 2024 |
| NET BOOK VALUE |
| At 31 December 2024 |
| At 31 December 2023 |
| The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
| Subsidiaries |
| Registered office: The Old Workhouse, Cross Houses, Shrewsbury, Shropshire, SY5 6JH |
| Nature of business: |
| % |
| Class of shares: | holding |
| 2024 | 2023 |
| £ | £ |
| Aggregate capital and reserves |
| Profit for the year |
| Registered office: The Old Workhouse, Cross Houses, Shrewsbury, Shropshire, SY5 6JH |
| Nature of business: |
| % |
| Class of shares: | holding |
| 2024 | 2023 |
| £ | £ |
| Aggregate capital and reserves | ( |
) | ( |
) |
| Loss for the year | ( |
) | ( |
) |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 14. | STOCKS |
| Group |
| 2024 | 2023 |
| £ | £ |
| Work-in-progress | 32,273,099 | 35,757,856 |
| 15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| Group | Company |
| 2024 | 2023 | 2024 | 2023 |
| £ | £ | £ | £ |
| Trade debtors | 166,558 | 377,566 |
| Amounts owed by group undertakings | - | - |
| Other debtors | 102,552 | 131,613 |
| Directors' loan accounts | 60,620 | 60,620 | - | - |
| Tax | - | 39,062 |
| VAT | 160,863 | 1,657,911 |
| Prepayments and accrued income | 200,093 | 247,678 |
| 690,686 | 2,514,450 |
| 16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| Group | Company |
| 2024 | 2023 | 2024 | 2023 |
| £ | £ | £ | £ |
| Bank loans and overdrafts (see note 18) | 2,414,496 | 12,958,496 |
| Hire purchase contracts (see note 19) | 8,309 | 8,308 |
| Trade creditors | 2,150,604 | 2,425,525 |
| Amounts owed to group undertakings | - | - |
| Tax | 452,948 | - |
| Social security and other taxes | 377,859 | 404,020 |
| Other creditors | 474,854 | 416,241 |
| Directors' loan accounts | 4,605,884 | 1,322,803 | 3,335,982 | - |
| Accruals and deferred income | 5,043,813 | 1,149,781 |
| 15,528,767 | 18,685,174 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| Group | Company |
| 2024 | 2023 | 2024 | 2023 |
| £ | £ | £ | £ |
| Hire purchase contracts (see note 19) | 4,154 | 12,463 |
| Other creditors | 2,200,220 | 6,286,202 |
| 2,204,374 | 6,298,665 |
| 18. | LOANS |
| An analysis of the maturity of loans is given below: |
| Group |
| 2024 | 2023 |
| £ | £ |
| Amounts falling due within one year or | on demand: |
| Bank overdrafts | 1,414,496 | 458,496 |
| Bank loans | 1,000,000 | 12,500,000 |
| 2,414,496 | 12,958,496 |
| 19. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Group |
| Hire purchase contracts |
| 2024 | 2023 |
| £ | £ |
| Net obligations repayable: |
| Within one year | 8,309 | 8,308 |
| Between one and five years | 4,154 | 12,463 |
| 12,463 | 20,771 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 20. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| Group |
| 2024 | 2023 |
| £ | £ |
| Bank overdrafts | 1,414,496 | 458,496 |
| Bank loans | 1,000,000 | 12,500,000 |
| 2,414,496 | 12,958,496 |
| The bank loans, overdraft and director's accounts are secured by charges over the company's assets. |
| 21. | PROVISIONS FOR LIABILITIES |
| Group |
| 2024 | 2023 |
| £ | £ |
| Deferred tax |
| Accelerated capital allowances | 13,902 | 31,584 |
| Other timing differences | 68,980 | 68,980 |
| 82,882 | 100,564 |
| Group |
| Deferred |
| tax |
| £ |
| Balance at 1 January 2024 | 100,564 |
| Provided during year | (17,682 | ) |
| Balance at 31 December 2024 | 82,882 |
| 22. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 2024 | 2023 |
| value: | £ | £ |
| Ordinary A | £1 | 7,332 | 7,332 |
| Preference | £1 | 315,000 | 315,000 |
| 322,332 | 322,332 |
| Shropshire Homes Group Limited (Registered number: 12467881) |
| Notes to the Consolidated Financial Statements - continued |
| for the year ended 31 December 2024 |
| 23. | RESERVES |
| Group |
| Retained | Share | Revaluation |
| earnings | premium | reserve | Totals |
| £ | £ | £ | £ |
| At 1 January 2024 | 7,196,133 | 8,231,132 | 270,401 | 15,697,666 |
| Profit for the year | 55,782 | 55,782 |
| Dividends | (23,626 | ) | (23,626 | ) |
| Other movements | 5,519 | - | (5,519 | ) | - |
| At 31 December 2024 | 7,233,808 | 8,231,132 | 264,882 | 15,729,822 |
| Company |
| Retained | Share |
| earnings | premium | Totals |
| £ | £ | £ |
| At 1 January 2024 | 20,395,807 |
| Profit for the year |
| Dividends | ( |
) | ( |
) |
| At 31 December 2024 | 21,143,062 |
| 24. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
| During the year loan notes payable to Mr H T Thorne, a director of the company, were cancelled and replaced by a directors loan account. |
| 25. | RELATED PARTY DISCLOSURES |
| Included in creditors falling due within one year are amounts totalling £341,956 (2023 £341,956) owing to Mrs M A Thorne, wife of Mr H T Thorne a company director. During the year interest totalling £30,638 (2023 £25,596) was paid to Mrs Thorne on the outstanding balance. |