Registration number:
Hindle Gears Limited
for the Year Ended 30 November 2024
Hindle Gears Limited
Contents
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Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Profit and Loss Account |
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Statement of Comprehensive Income |
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Balance Sheet |
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Statement of Changes in Equity |
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Notes to the Financial Statements |
Hindle Gears Limited
Company Information
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Directors |
Mr David Hindle Mr Peter Roy Bingham Mr Richard John Hindle |
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Registered office |
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Accountants |
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Auditors |
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Hindle Gears Limited
Strategic Report for the Year Ended 30 November 2024
The directors present their strategic report for the year ended 30 November 2024.
Principal activity
The principal activity of the company is general engineers, gearbox specialists, gearbox manufacturers and specialist subcontractors.
Fair review of the business
During the previous financial year the directors implemented programmes to improve efficiency and cost cutting and these have resulted in a profit before tax of £992,782. The directors are hopeful that these programmes, along with customer gains, will yield further improvements.
The directors believe that the company enjoys a good reputation within the sectors it operates.
The company takes its environmental and pollution responsibilities seriously and is continually working to reduce its energy usage.
The company works very hard to provide customers ever demanding needs in these difficult times, with our sales in the UK, Europe and the rest of the world increasing over the previous year. We see this as continuing for the foreseeable future but still face challenges with materials, shipping and staffing levels on a day to day basis.
The company's key financial and other performance indicators during the year were as follows:
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Financial KPIs |
Unit |
2024 |
2023 |
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Turnover |
£ |
12,523,890 |
12,534,315 |
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Gross Profit |
£ |
2,373,654 |
2,102,912 |
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Profit before Tax |
£ |
1,356,105 |
1,041,598 |
Principal risks and uncertainties
The company operates from a UK manufacturing facility. The company manages the risks to the business and insures against risk wherever it is sensible and cost effective to do so.
Some of the company's activities operate in very competitive markets. In addition the company invests significant resources in monitoring manufacturing costs and managing the potential threats from low cost economies.
Approved and authorised by the
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Hindle Gears Limited
Directors' Report for the Year Ended 30 November 2024
The directors present their report and the financial statements for the year ended 30 November 2024.
Directors of the company
The directors who held office during the year were as follows:
Financial instruments
Objectives and policies
The directors continue to implement efficiency and cost cutting programmes within the company and drive down energy usage in production. The objectives currently in place are to increase turnover by increasing the customer base of the company and increasing sales to the existing customer base, and to keep purchase costs as low as possible to maintain gross margins.
Price risk, credit risk, liquidity risk and cash flow risk
The company's principal financial instruments comprise trade debtors, trade creditors, bank loans and hire and
lease purchase agreements. The main purpose of these instruments is to raise funds for the company's operations
and finance the company's operations.
Due to the nature of the financial instruments used by the company there is no exposure to price risk.
Trade debtors, credit and cash flow risks are managed by policies concerning the credit offered to customers and
the monitoring of the amounts outstanding in terms of time and credit limits.
In respect of loans, the liquidity risk is managed by the virtue of the flexible terms inherent within these
facilities. Trade creditors and amounts owed to related undertakings all arise from trading transactions and the
liquidity risk is managed from income generation and the use of the company's borrowing facilities.
Going concern
At the time of approving the financial statements the directors have a reasonable expectation that the company has adequate resources to continue to operate for at least 12 months from the date of approval and thus the directors continue to adopt a going concern basis of accounting in the preparation of these financial statements.
Disclosure of information to the auditors
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Reappointment of auditors
The auditors Duncan & Toplis Audit Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.
Hindle Gears Limited
Directors' Report for the Year Ended 30 November 2024
Approved and authorised by the
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Hindle Gears Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Hindle Gears Limited
Independent Auditor's Report to the Members of Hindle Gears Limited
Opinion
We have audited the financial statements of Hindle Gears Limited (the 'company') for the year ended 30 November 2024, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the company's affairs as at 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. |
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 auditor 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.
Other matters
The previous year's financial statements were not audited as the company was entitled to exemption under section 477 of the Companies Act 2006. Accordingly, the comparatives to the current year's financial statements are not audited.
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 original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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.
Hindle Gears Limited
Independent Auditor's Report to the Members of Hindle Gears Limited
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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our 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 and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 5], the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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:
Hindle Gears Limited
Independent Auditor's Report to the Members of Hindle Gears Limited
We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with directors and other management obtained as part of the work required by auditing standards. We have also discussed with the directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit.
Hindle Gears Limited
Independent Auditor's Report to the Members of Hindle Gears Limited
The potential impact of different laws and regulations varies considerably. Firstly, the company is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws and regulations as part of our financial statements audit. This included identification and testing of unusual material journal entries and challenging management on key areas of uncertainty being the estimates, assumptions and judgements made in the preparation of the financial statements.
Secondly, the company is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Health and Safety regulations, Employment law and Environmental regulations. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statements items.
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Owing to the inherent limitations of an audit, there is unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non- compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 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.
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For and on behalf of
Newark
Nottinghamshire
NG24 1TW
Hindle Gears Limited
Profit and Loss Account for the Year Ended 30 November 2024
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Note |
2024 |
2023 |
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Turnover |
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Cost of sales |
( |
( |
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Gross profit |
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Distribution costs |
( |
( |
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Administrative expenses |
( |
( |
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Operating profit |
1,351,206 |
1,052,875 |
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Other interest receivable and similar income |
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- |
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Interest payable and similar expenses |
( |
( |
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4,899 |
(11,277) |
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Profit before tax |
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Tax on profit |
( |
( |
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Profit for the financial year |
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The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
Hindle Gears Limited
Statement of Comprehensive Income for the Year Ended 30 November 2024
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2024 |
2023 |
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Profit for the year |
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Total comprehensive income for the year |
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Hindle Gears Limited
(Registration number: 07728560)
Balance Sheet as at 30 November 2024
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Note |
2024 |
2023 |
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Fixed assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Provisions for liabilities |
( |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
10,000 |
10,000 |
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Retained earnings |
4,328,019 |
3,525,974 |
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Shareholders' funds |
4,338,019 |
3,535,974 |
Approved and authorised by the
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Hindle Gears Limited
Statement of Changes in Equity for the Year Ended 30 November 2024
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Share capital |
Retained earnings |
Total |
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At 1 December 2023 |
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Profit for the year |
- |
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Dividends |
- |
( |
( |
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At 30 November 2024 |
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Share capital |
Retained earnings |
Total |
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At 1 December 2022 |
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Profit for the year |
- |
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At 30 November 2023 |
10,000 |
3,525,974 |
3,535,974 |
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
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General information |
The company is a private company limited by share capital, incorporated in England.
The address of its registered office is:
England
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.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 £.
Summary of disclosure exemptions
The company is a qualifying entity for the purposes of FRS102, 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 and loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements.
• 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’. 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 and loss and other comprehensive income.
• Section 26 ‘Share based Payment’. Share based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash settled share-based payments, explanation of modifications to arrangements.
• Section 33 ‘Related Party Disclosures’. Compensation for key management personnel.
Name of parent of group
These financial statements are consolidated in the financial statements of Hindle Gears Holdings Limited.
The financial statements of Hindle Gears Holdings Limited may be obtained from its registered office, Hapco Works, Caledonia Street, Bradford, BD5 0EL.
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
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Asset class |
Depreciation method and rate |
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Plant and machinery |
5-10 years straight line |
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Fixtures, fittings and equipment |
5-10 years straight line |
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
Financial instruments
Recognition and measurement
Financial Instruments are recognised in the group’s balance sheet when the group becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and 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, 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, 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 the 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
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
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.
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
Judgements
Judgements and key sources of estimation uncertainty |
In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the 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 material adjustment to the carrying value of assets and liabilities are as follows: |
Stock provisioning |
The group is that of general engineers, engine component remanufacturers, distributors of engineering products and manufacturer of industrial products. As a result, it is necessary to consider the recoverability of the cost and associated provision required. When calculating the stock provision, management consider the nature and condition of the stock, as well as applying assumptions around anticipated usability and saleability of finished goods. |
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Turnover |
The analysis of the company's turnover for the year from continuing operations is as follows:
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2024 |
2023 |
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Sale of goods |
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The analysis of the company's turnover for the year by market is as follows:
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2024 |
2023 |
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UK |
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Europe |
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Rest of world |
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Operating profit |
Arrived at after charging/(crediting)
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2024 |
2023 |
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Depreciation expense |
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Operating lease expense - plant and machinery |
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Loss on disposal of property, plant and equipment |
- |
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Auditor's remuneration - The audit of the company's annual accounts |
8,450 |
- |
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Foreign currency (gains)/losses |
1,020 |
5,869 |
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
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Other interest receivable and similar income |
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2024 |
2023 |
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Interest income on bank deposits |
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- |
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Interest payable and similar expenses |
|
2024 |
2023 |
|
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Interest on bank overdrafts and borrowings |
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Interest expense on other finance liabilities |
- |
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Foreign exchange gains |
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Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
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2024 |
2023 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
|
2024 |
2023 |
|
|
Production |
|
|
|
Administration and support |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
42,544 |
36,475 |
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
|
Auditors' remuneration |
|
2024 |
2023 |
|
|
Audit of the financial statements |
|
- |
|
Taxation |
Tax charged/(credited) in the profit and loss account
|
2024 |
2023 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
|
|
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2024 |
2023 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Tax decrease from effect of capital allowances and depreciation |
( |
( |
|
Decrease from effect of different UK tax rates on some earnings |
- |
( |
|
Tax increase from other short-term timing differences |
|
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
|
Tax decrease arising from group relief |
( |
( |
|
Deferred tax expense from unrecognised tax loss or credit |
|
|
|
Total tax charge |
|
|
Standard corporation tax rate changed from 19% to 25% as of 01 April 2023.
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
|
Intangible assets |
|
Goodwill |
Total |
|
|
Cost or valuation |
||
|
At 1 December 2023 |
|
|
|
At 30 November 2024 |
|
|
|
Amortisation |
||
|
At 1 December 2023 |
|
|
|
At 30 November 2024 |
|
|
|
Carrying amount |
||
|
At 30 November 2024 |
- |
- |
|
Tangible assets |
|
Plant and machinery |
Total |
|
|
Cost or valuation |
||
|
At 1 December 2023 |
|
|
|
Additions |
|
|
|
At 30 November 2024 |
|
|
|
Depreciation |
||
|
At 1 December 2023 |
|
|
|
Charge for the year |
|
|
|
At 30 November 2024 |
|
|
|
Carrying amount |
||
|
At 30 November 2024 |
|
|
|
At 30 November 2023 |
|
|
|
Stocks |
|
2024 |
2023 |
|
|
Raw materials and consumables |
|
|
|
Work in progress |
|
|
|
Finished goods and goods for resale |
|
|
|
Stock provision |
( |
( |
|
|
|
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
|
Debtors |
|
Current |
Note |
2024 |
2023 |
|
Trade debtors |
|
|
|
|
Amounts owed by related parties |
|
|
|
|
Other debtors |
|
- |
|
|
Prepayments |
|
|
|
|
|
|
|
Creditors |
|
Note |
2024 |
2023 |
|
|
Due within one year |
|||
|
Loans and borrowings |
- |
|
|
|
Trade creditors |
|
|
|
|
Amounts due to related parties |
|
|
|
|
Social security and other taxes |
|
|
|
|
Other payables |
|
|
|
|
Accruals |
|
|
|
|
Income tax liability |
331,137 |
70,318 |
|
|
|
|
|
Provisions for liabilities |
|
Deferred tax |
Total |
|
|
At 1 December 2023 |
|
|
|
Additional provisions |
|
|
|
At 30 November 2024 |
|
|
|
|
||
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:
|
Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
|
Share capital |
Allotted, called up and fully paid shares
|
2024 |
2023 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
4,000 |
|
4,000 |
|
|
|
2,000 |
|
2,000 |
|
|
|
2,000 |
|
2,000 |
|
|
|
2,000 |
|
2,000 |
|
|
|
|
|
|
|
Reserves |
|
Note |
£ |
|
|
As at 1 December 2023 |
3,525,974 |
|
|
Profit for the period |
802,045 |
|
|
As at 30 November 2024 |
4,328,019 |
|
Loans and borrowings |
Current loans and borrowings
|
2024 |
2023 |
|
|
Bank overdrafts |
- |
|
|
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
- |
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Hindle Gears Limited
Notes to the Financial Statements for the Year Ended 30 November 2024
|
Dividends |
Final dividends paid
|
2024 |
2023 |
|||
|
Final dividend of 22.00 (2023 - Nil) per each A Ordinary Shares |
88,000 |
- |
||
|
Final dividend of 22.00 (2023 - Nil) per each B Ordinary Shares |
44,000 |
- |
||
|
Final dividend of 22.00 (2023 - Nil) per each C Ordinary Shares |
44,000 |
- |
||
|
Final dividend of 22.00 (2023 - Nil) per each D Ordinary Shares |
44,000 |
- |
||
|
|
- |
|
Related party transactions |
Summary of transactions with key management
As a wholly owned subsidiary of Hindle Gears Holdings Limited, the company is exempt from the requirements of FRS 102 to disclose transactions with directors.
Expenditure with and payables to related parties
|
2024 |
Other related parties |
|
Purchase of goods |
|
|
Amounts payable to related party |
|
|
|
|
|
2023 |
Other related parties |
|
Purchase of goods |
|
|
Amounts payable to related party |
|
|
|
|
|
Parent and ultimate parent undertaking |
The ultimate parent is
These financial statements are available upon request from its registered office, Hapco Works, Caledonia Street, Bradford, BD5 0EL.