ACCOUNTS - Final Accounts

An analysis of turnover by class of business is as follows:

Registered number: 07452893

ARROWCRUIT HOLDINGS LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

ARROWCRUIT HOLDINGS LIMITED

COMPANY INFORMATION

DIRECTOR	Mr R O Hutchinson


REGISTERED NUMBER	07452893


REGISTERED OFFICE	White House Farm
	Sandy Lane West
	Billingham
	Stockton on Tees
	TS22 5NB


INDEPENDENT AUDITORS	Waltons Business Advisers Limited
	Chartered Accountants & Statutory Auditors
	Harbour Walk
	The Marina
	Hartlepool
	Teesside
	TS24 0UX

ARROWCRUIT HOLDINGS LIMITED

CONTENTS

	Page
Director's Report	1 - 2
Group Strategic Report	3 - 4
Independent Auditors' Report	5 - 8
Consolidated Statement of Comprehensive Income	9
Consolidated Balance Sheet	10 - 11
Company Balance Sheet	12
Consolidated Statement of Changes in Equity	13
Company Statement of Changes in Equity	14
Consolidated Statement of Cash Flows	15 - 16
Consolidated Analysis of Net Debt	17
Notes to the Financial Statements	18 - 37

ARROWCRUIT HOLDINGS LIMITED

DIRECTOR'S REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The director presents his report and the financial statements for the year ended 31 December 2024.

DIRECTOR'S RESPONSIBILITIES STATEMENT

The director is responsible for preparing the Group Strategic Report, the Director's Report and the consolidated financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period.

In preparing these financial statements, the director is required to:

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

∙make judgements and accounting estimates that are reasonable and prudent;

∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and to enable him to ensure that the financial statements comply with the Companies Act 2006. He is 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.

PRINCIPAL ACTIVITY

The principal activity of the company during the year was that of general construction and civil engineering.

RESULTS AND DIVIDENDS

The profit before taxation attributable to the owners of the parent for 2024 was £816,379 (2023 - £973,707). A dividend of £1,000 (2023: £2,000) has been declared.

DIRECTOR

The director who served during the year was:

Mr R O Hutchinson

FUTURE DEVELOPMENTS

We continue to target infrastructure work in the housing and commercial sectors. The company is prominent in these sectors and a major concern within the region.

MATTERS COVERED IN THE STRATEGIC REPORT

The business review, principal risks and uncertainties and financial key performance indicators are included in the strategic report.

Page 1

ARROWCRUIT HOLDINGS LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

DISCLOSURE OF INFORMATION TO AUDITORS

The director at the time when this Director's Report is approved has confirmed that:

∙so far as he is aware, there is no relevant audit information of which the company and the group's auditors are unaware, and

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

POST BALANCE SHEET EVENTS

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

AUDITORS

The auditors, Waltons Business Advisers Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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

Mr R O Hutchinson

Director

Date: 4 September 2025

Page 2

ARROWCRUIT HOLDINGS LIMITED

GROUP STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

INTRODUCTION

The company activities continue in the construction sector, specialising in providing civil engineering and groundworks infrastructure to both the housing and commercial sectors. These activities include roads & sewers, attenuation, deep drainage, earthworks, site remediation and plotwork and are complimented by some above ground construction work. The majority of operations continue to be focused in the north east of England.
The directors are proud of the quality of service, attention to detail, and up-to-date knowledge of the most effective practices. It is these elements that have established the company and achieve recognition with customers to generate continued opportunities for repeat business.
The management team continues to be stable and able to draw upon many years of experience to deliver services to the highest standards when handling infrastructure projects, construction, refurbishment or the upgrading of facilities.

BUSINESS REVIEW

The Directors are pleased to report the trading results for the 12 months to 31 December 2024. The business achieved a profit before tax (attributable to the parent company) in 2024 of £816,379 (2023: £973,707). The business has reported a gross profit of 17.5% for 2024 (2023: 17.4%). The business achieved sales of £24,736k (2023: £24,902k), a small decrease of 0.6% compared with the previous year. Cash balances remained strong with a year end balance of £926k (2023: £1,339k).
On 1 January 2024 Arrowcruit Holdings Ltd (ACH) acquired 60% share capital of Innovation Developments NE Ltd (IDNE). IDNE was focused on the construction of social housing for national housing associations. By mid-2024 IDNE was expecting orders for two projects based in the North-East of England. In July 2024 there was a change in Government, which brought about budget uncertainties for the national housing associations. By Q4 budget uncertainties continued and it looked unlikely that IDNE would receive any orders. At this point the Directors of IDNE agreed that the company should cease trading. IDNE suffered a loss of £232k in 2024.
Under FRS102, IDNE is considered to be a subsidiary of ACH, as ACH acquired more than 50% of the share capital. For reporting purposes the results of all subsidiaries must be included at 100% within the consolidated statement of comprehensive income and balance sheet. The profit before tax is summarised as follows :
Profit before tax (consolidated statement of comprehensive income) £724k (includes 100% of IDNE)
Remove non-controlling IDNE loss (40% of £232k) £93k
Profit before tax attributable to owners of ACH £816k
The Group invested in £4.6m of new plant, machinery and motor vehicles during 2024. This will provide the Group with up to date, well maintained equipment that will help support efficient working practices and increase profitability, whilst servicing the client base and delivering the on-going order book. The investment resulted in an increased depreciation charge for the year of £1,725k (2023: £1,557k).
The group continues to strive to achieve the best controls of contracts throughout their duration and accurate pricing of new contracts. The main focus of the company continues to be infrastructure work for the housing and commercial sectors.
At the date of this report, the order book for future work continues to run in excess of £27 million, again giving visibility of work for the following months and a strong base of work for the following twenty-four months. The company is therefore in a strong position of being able to choose the most desirable work offered to it.

Page 3

ARROWCRUIT HOLDINGS LIMITED

GROUP STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

PRINCIPAL RISKS AND UNCERTAINTIES

Despite 2024 experiencing a change in Government, the house building sector remains largely predictable. Demand for new build housing remains strong and house prices reasonably stable. This is maintaining continued profitability in the sector despite upward pressure on materials. Although work patterns can time to time be impacted by clients delaying the phasing of work, the strong order book and the spread of work and customers helps to mitigate this.
Customers and contracts are chosen carefully for their match to the company capabilities. Only contracts offering sufficient profitability are undertaken. The risk of significant default by any customer continues to be mitigated by most of the work being undertaken for only those who can be fully insured.
The director continue to keep in place opportunities for trade finance to assist when additional support is required for short term borrowings. Planning for future cash requirements remains a consideration to ensure that the order book can be fulfilled.

FINANCIAL KEY PERFORMANCE INDICATORS

Key performance indicators	12 months ended 31 December 2024	12 months ended 31 December 2023	12 months ended 31 December 2022	12 months ended 31 December 2021
Sales growth / (reduction)	-0.6%	3.1%	15.4%	31.3%
Gross profit %	17.5%	17.4%	17.6%	20.4%
Profit before tax (attributable to the parent)	816,379	973,707	778,887	1,024,768
Net assets attributable to the parent growth	7.8%	12.2%	12.2%	14.0%

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

Mr R O Hutchinson

Director

Date: 4 September 2025

Page 4

ARROWCRUIT HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF ARROWCRUIT HOLDINGS LIMITED

UNQUALIFIED OPINION

We have audited the financial statements of Arrowcruit Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, 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's 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

CONCLUSIONS RELATING TO GOING CONCERN

In auditing the financial statements, we have concluded that the 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 group's or 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 director with respect to going concern are described in the relevant sections of this report.

Page 5

ARROWCRUIT HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF ARROWCRUIT HOLDINGS LIMITED (CONTINUED)

OTHER INFORMATION

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The director is responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:

∙the information given in the Group Strategic Report and the Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Group Strategic Report and the Director's Report have been prepared in accordance with applicable legal requirements.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of the knowledge and understanding of the 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 Director's Report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

∙adequate accounting records have not been kept 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 director's remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Page 6

ARROWCRUIT HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF ARROWCRUIT HOLDINGS LIMITED (CONTINUED)

RESPONSIBILITIES OF DIRECTORS

As explained more fully in the Director's Responsibilities Statement set out on page 1, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the director is responsible for assessing the 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so.

AUDITORS' RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the company and the area in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material mistatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We identified that the greatest potential for fraud in the following areas: recognition and completeness of income and management override of controls (especially the posting of journals). We discussed these risks with management and designed audit procedures to test the recognition and completeness of revenue. We reviewed journals posted to key control accounts or posted around the year end, to look for potential "window dressing" as well as looking at a sample throughout the year.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Page 7

ARROWCRUIT HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF ARROWCRUIT HOLDINGS LIMITED (CONTINUED)

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 Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Paul Harrison MSc, BSc, FCA (Senior Statutory Auditor)

for and on behalf of

Waltons Business Advisers Limited

Chartered Accountants

Statutory Auditors

Harbour Walk

The Marina

Hartlepool

Teesside

TS24 0UX

4 September 2025

Page 8

ARROWCRUIT HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

		As restated
	2024	2023
Note	£	£


Turnover	4	24,736,146	24,901,777
Cost of sales		(20,415,698)	(20,568,350)
GROSS PROFIT		4,320,448	4,333,427
Administrative expenses		(3,044,729)	(3,128,536)
Exceptional administrative expenses	13	(231,774)	-
Other operating income	5	160,626	203,094
OPERATING PROFIT		1,204,571	1,407,985
Interest receivable and similar income	9	7,357	8,324
Interest payable and similar expenses	10	(488,259)	(442,602)
PROFIT BEFORE TAX		723,669	973,707
Tax on profit	11	(299,060)	(249,930)
PROFIT FOR THE FINANCIAL YEAR		424,609	723,777

PROFIT FOR THE YEAR ATTRIBUTABLE TO:
Non-controlling interest	(92,710)	-
Owners of the parent company	517,319	723,777
	424,609	723,777

There were no recognised gains and losses for 2024 or 2023 other than those included in the consolidated statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 18 to 37 form part of these financial statements.

.	PROFIT BEFORE TAX FOR THE YEAR ATTRIBUTABLE TO:
		2024	2023
		£	£

Non-controlling interest	(92,710)	-
Owners of the parent company	816,379	973,707
	723,669	973,707

Page 9

ARROWCRUIT HOLDINGS LIMITED

REGISTERED NUMBER: 07452893

CONSOLIDATED BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

FIXED ASSETS
Intangible assets	15		26,545		23,778
Tangible assets	16		13,993,750		12,136,057
			14,020,295		12,159,835
CURRENT ASSETS
Stocks	18	263,665		203,973
Debtors: amounts falling due within one year	19	6,924,267		6,773,798
Cash at bank and in hand	20	926,197		1,338,811
		8,114,129		8,316,582
Creditors: amounts falling due within one year	21	(7,928,580)		(7,868,852)
NET CURRENT ASSETS			185,549		447,730
TOTAL ASSETS LESS CURRENT LIABILITIES			14,205,844		12,607,565
Creditors: amounts falling due after more than one year	22		(5,889,239)		(5,013,629)
PROVISIONS FOR LIABILITIES
Deferred taxation	26	(1,250,293)		(951,233)
			(1,250,293)		(951,233)
NET ASSETS EXCLUDING PENSION ASSET			7,066,312		6,642,703
NET ASSETS			7,066,312		6,642,703

CAPITAL AND RESERVES
Called up share capital	27	100	100
Investment property reserve	28	120,000	120,000
Profit and loss account	28	7,038,922	6,522,603
EQUITY ATTRIBUTABLE TO OWNERS OF THE PARENT COMPANY		7,159,022	6,642,703
Non-controlling interests		(92,710)	-
		7,066,312	6,642,703

Page 10

ARROWCRUIT HOLDINGS LIMITED

REGISTERED NUMBER: 07452893

CONSOLIDATED BALANCE SHEET (CONTINUED)

AS AT 31 DECEMBER 2024

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

Mr R O Hutchinson

Director

Date: 4 September 2025

The notes on pages 18 to 37 form part of these financial statements.

Page 11

ARROWCRUIT HOLDINGS LIMITED

REGISTERED NUMBER: 07452893

COMPANY BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

FIXED ASSETS
Tangible assets	16		3,185,002		2,548,880
Investments	17		823		501
			3,185,825		2,549,381
CURRENT ASSETS
Debtors: amounts falling due within one year	19	840,228		857,888
Cash at bank and in hand	20	7,581		321,771
		847,809		1,179,659
Creditors: amounts falling due within one year	21	(610,812)		(836,624)
NET CURRENT ASSETS			236,997		343,035
TOTAL ASSETS LESS CURRENT LIABILITIES			3,422,822		2,892,416

Creditors: amounts falling due after more than one year	22		(2,199,340)		(1,768,676)

NET ASSETS			1,223,482		1,123,740

CAPITAL AND RESERVES
Called up share capital	27		100		100
Revaluation reserve	28		120,000		120,000
Profit and loss account brought forward		1,003,640		794,208
Profit for the year		100,742		211,432
Dividends		(1,000)		(2,000)
Profit and loss account carried forward			1,103,382		1,003,640
			1,223,482		1,123,740

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

Mr R O Hutchinson

Director

Date: 4 September 2025

The notes on pages 18 to 37 form part of these financial statements.

Page 12

ARROWCRUIT HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Revaluation reserve	Profit and loss account	Equity attributable to owners of parent company	Non-controlling interests	Total equity
	£	£	£	£	£	£
At 1 January 2024	100	120,000	6,522,603	6,642,703	-	6,642,703
COMPREHENSIVE INCOME FOR THE YEAR
Profit for the year	-	-	517,319	517,319	(92,710)	424,609
Dividends: Equity capital	-	-	(1,000)	(1,000)	-	(1,000)
AT 31 DECEMBER 2024	100	120,000	7,038,922	7,159,022	(92,710)	7,066,312

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2023

	Called up share capital	Revaluation reserve	Profit and loss account	Equity attributable to owners of parent company	Total equity
	£	£	£	£	£
At 1 January 2023	100	120,000	5,800,826	5,920,926	5,920,926
COMPREHENSIVE INCOME FOR THE YEAR
Profit for the year	-	-	723,777	723,777	723,777
Dividends: Equity capital	-	-	(2,000)	(2,000)	(2,000)
AT 31 DECEMBER 2023	100	120,000	6,522,603	6,642,703	6,642,703

The notes on pages 18 to 37 form part of these financial statements.

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ARROWCRUIT HOLDINGS LIMITED

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Revaluation reserve	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2024	100	120,000	1,003,640	1,123,740
COMPREHENSIVE INCOME FOR THE YEAR
Profit for the year	-	-	100,742	100,742
Dividends: Equity capital	-	-	(1,000)	(1,000)
AT 31 DECEMBER 2024	100	120,000	1,103,382	1,223,482

The notes on pages 18 to 37 form part of these financial statements.

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2023

	Called up share capital	Revaluation reserve	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2023	100	120,000	794,208	914,308
COMPREHENSIVE INCOME FOR THE YEAR
Profit for the year	-	-	211,432	211,432
Dividends: Equity capital	-	-	(2,000)	(2,000)
AT 31 DECEMBER 2023	100	120,000	1,003,640	1,123,740

The notes on pages 18 to 37 form part of these financial statements.

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ARROWCRUIT HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2024

			2024	2023
			£	£

CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the financial year	424,609	723,777
ADJUSTMENTS FOR:
Amortisation of intangible assets	(8,371)	-
Depreciation of tangible assets	1,724,932	1,557,150
Loss on disposal of tangible assets	(132,770)	(26,166)
Government grants	(14,077)	(7,920)
Interest paid	488,259	442,602
Interest received	(7,357)	(8,324)
Taxation charge	299,060	249,930
(Increase)/decrease in stocks	(59,692)	98,927
(Increase) in debtors	(150,469)	(52,956)
Increase in creditors	123,700	430,920
NET CASH GENERATED FROM OPERATING ACTIVITIES	2,687,824	3,407,940

CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of intangible fixed assets	(3,000)	-
Purchase of tangible fixed assets	(1,030,540)	(1,222,651)
Sale of tangible fixed assets	1,183,301	768,324
Government grants received	14,077	7,920
Purchase of fixed asset investments	8,604	(233)
Interest received	7,357	8,324
HP interest paid	(285,315)	(237,529)
NET CASH FROM INVESTING ACTIVITIES	(105,516)	(675,845)
CASH FLOWS FROM FINANCING ACTIVITIES
Repayment of loans	(68,587)	(92,613)
Repayment of/new finance leases	(2,722,391)	(2,593,187)
Dividends paid	(1,000)	(2,000)
Interest paid	(202,944)	(205,073)
NET CASH USED IN FINANCING ACTIVITIES	(2,994,922)	(2,892,873)
(DECREASE) IN CASH AND CASH EQUIVALENTS	(412,614)	(160,778)
Cash and cash equivalents at beginning of year	1,338,811	1,499,589
CASH AND CASH EQUIVALENTS AT THE END OF YEAR	926,197	1,338,811

CASH AND CASH EQUIVALENTS AT THE END OF YEAR COMPRISE:

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ARROWCRUIT HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

		2024	2023
		£	£

Cash at bank and in hand	926,197	1,338,811
	926,197	1,338,811

The notes on pages 18 to 37 form part of these financial statements.

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ARROWCRUIT HOLDINGS LIMITED

CONSOLIDATED ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2024


At 1 January 2024	Cash flows	New finance leases	At 31 December 2024
£	£	£	£

Cash at bank and in hand	1,338,811	(412,614)	-	926,197
Debt due after 1 year	(1,951,656)	(303,575)	-	(2,255,231)
Debt due within 1 year	(532,387)	366,430	-	(165,957)
Finance leases	(4,792,519)	1,894,336	(2,774,561)	(5,672,744)
	(5,937,751)	1,544,577	(2,774,561)	(7,167,735)

The notes on pages 18 to 37 form part of these financial statements.

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ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	GENERAL INFORMATION

The company is a private company, limited by shares, incorporated in England and Wales and its registered office is:-
White House Farm
Sandy Lane West
Billingham
Stockton on Tees
TS22 5NB

2.ACCOUNTING POLICIES

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

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

The company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.

The following principal accounting policies have been applied:

2.2

Basis of consolidation

The consolidated financial statements present the results of the company and its own subsidiaries ("the group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance Sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Page 18

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.ACCOUNTING POLICIES (CONTINUED)

2.3

Revenue

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

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the group has transferred the significant risks and rewards of ownership to the buyer;

∙the group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the group will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the group will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.4

Going concern

The director has prepared projected cash flow information for a period of at least twelve months from the date of their approval of the financial statements. The director has also continued finance from their bankers and management have potential alternative sources of finance to draw upon if required. On the basis of this cash flow information, the director considers that the company will continue to operate within the available cash funds. Therefore, the director considers it appropriate to prepare the financial statements on a going concern basis.

2.5

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Consolidated Statement of Comprehensive Income in the same period as the related expenditure.

Page 19

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.ACCOUNTING POLICIES (CONTINUED)

2.6

Current and deferred taxation

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

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company and the group operate and generate income.

2.7

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the group but are presented separately due to their size or incidence.

2.8

Intangible assets

Goodwill

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

Other intangible assets

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

Computer software will be depreciated over a period of five years, and will commence when the software is used.

2.9

Tangible fixed assets

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

Page 20

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.ACCOUNTING POLICIES (CONTINUED)

2.9

Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property	-	50 years straight line
Plant and machinery	-	3-7 years straight line and 20% reducing balance basis
Motor vehicles	-	3-7 years straight line
Fixtures and fittings	-	3-5 years straight line

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

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

2.10

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

2.11

Stocks

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

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.12

Long term work in progress

Profit on long term contracts is taken as the work is carried out if the final outcome can be assessed with reasonable certainty. The profit included is calculated on a prudent basis to reflect the proportion of work carried out at the year end by recording turnover and related costs as a contract activity advances. Turnover is calculated as that proportion of total contract value which costs incurred to date bear to total expected costs for that contract. Profits can vary as a contract progresses. Full provision is made for losses on all contracts in the year in which they are first foreseen.

2.13

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks, other third parties and loans to related parties.

Page 21

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

3.	JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Significant judgements
The judgements and key source of estimation uncertainty that management has made in the process of applying the entity’s accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows:
Long term contracts
The director accounts for long term contracts using the stage of completion method as the contract progresses. This method requirements judgement which is based on their knowledge and experience, to accurately estimate the extent of progress towards contract completion and may involve estimates of total contract costs to completion, total revenues, contract risks and other judgements.
The accounting estimates and assumptions are made concerning the future and by their nature, will rarely equal the related actual outcome.
Related party debtor
At the reporting date there was £257,933 owed by companies that are a related party (companies under common control). These companies are in their infancy and development stage still incurring research and development costs. The directors consider this debt to be recoverable, but this is dependent upon the profitable execution of new orders now in the pipeline.

Construction and civil engineering	23,955,616	24,299,675
Plant hire	780,530	602,102
	24,736,146	24,901,777

All turnover arose within the United Kingdom.

Page 22

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

5.	OTHER OPERATING INCOME
		2024	2023
		£	£

Other operating income	54,957	53,647
Net rents receivable	70,985	135,629
Government grants receivable	14,077	7,920
Insurance claims receivable	16,500	5,898
Management fees	4,107	-
	160,626	203,094

Fees payable to the company's auditors for the audit of the consolidated and parent company's financial statements	38,850	31,225
Fees payable to the company's auditors in respect of:
Taxation compliance services	3,803	2,505
All non-audit services not included above	10,300	9,250

Page 23

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

7.	EMPLOYEES
	Staff costs, including director's remuneration, were as follows:

		Group	Group
		2024	2023
		£	£


Wages and salaries	4,859,260	5,166,876
Social security costs	518,874	416,109
Cost of defined contribution scheme	151,097	93,079
	5,529,231	5,676,064

The average monthly number of employees, including the director, during the year was as follows:

	Group	Group	Company	Company
	2024	2023	2024	2023
	No.	No.	No.	No.

Employees	129	109	-	-
Directors	1	1	1	1

	130	110	1	1

8.	DIRECTOR'S REMUNERATION
		2024	2023
		£	£

Director's emoluments	148,232	70,170
	148,232	70,170

During the year retirement benefits were accruing to no directors (2023 - NIL) in respect of defined contribution pension schemes.

9.	INTEREST RECEIVABLE
		2024	2023
		£	£

	Other interest receivable	7,357	8,324
		7,357	8,324

Page 24

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

10.	INTEREST PAYABLE AND SIMILAR EXPENSES
		2024	2023
		£	£

Bank interest payable	30,366	36,887
Other loan interest payable	172,578	168,186
Finance leases and hire purchase contracts	285,315	237,529
	488,259	442,602

Deferred tax
Origination and reversal of timing differences	299,060	249,930
Total deferred tax	299,060	249,930


		299,060	249,930

Profit on ordinary activities before tax

723,669

973,707

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 22.5%)	200,134	219,085
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	56,022	4,533
Capital allowances for year in excess of depreciation	(488,400)	(227,909)
Utilisation of tax losses	232,244	4,291
Short-term timing difference leading to an increase (decrease) in taxation	299,060	249,930
Total tax charge for the year	299,060	249,930

Page 25

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.TAXATION (CONTINUED)

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

12.	DIVIDENDS
		2024	2023
		£	£

	Ordinary dividends	1,000	2,000
		1,000	2,000

13.	EXCEPTIONAL ITEMS
		2024
		£

	Innovation Developments NE Limited - loss for the year	231,774
		231,774

On the 1 January 2024 Arrowcruit Holdings Ltd (ACH) acquired 60% share capital of Innovation Developments NE Ltd (IDNE). IDNE was focused on the construction of social housing for national housing associations. By mid-2024 IDNE was expecting orders for two projects based in the North-East of England. In July 2024 there was a change in Government, which brought about budget uncertainties for the national housing associations. By Q4 budget uncertainties continued and it looked unlikely that IDNE would receive any orders. At this point the Directors of IDNE agreed that the company should cease trading. The loss attributable to the owners of the parent company is £139k (60%).

14.	PARENT COMPANY PROFIT FOR THE YEAR

The company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements. The profit after tax of the parent company for the year was £100,742 (2023 - £211,432).

Page 26

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

15.	INTANGIBLE ASSETS
	Group and Company

	Computer software	Goodwill	Total
	£	£	£
Cost
At 1 January 2024	23,545	233	23,778
Additions	3,000	-	3,000
On acquisition of subsidiaries	-	(8,604)	(8,604)
At 31 December 2024	26,545	(8,371)	18,174
Amortisation
Charge for the year on owned assets	-	(8,371)	(8,371)
At 31 December 2024	-	(8,371)	(8,371)
Net book value
At 31 December 2024	26,545	-	26,545
At 31 December 2023	23,545	233	23,778

Page 27

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

16.	TANGIBLE FIXED ASSETS
	Group

	Freehold property	Plant and machinery	Motor vehicles	Fixtures and fittings	Total
	£	£	£	£	£
Cost or valuation
At 1 January 2024	2,592,881	10,559,003	4,126,314	68,439	17,346,637
Additions	648,121	2,952,618	1,032,417	-	4,633,156
Disposals	-	(1,667,069)	(256,622)	-	(1,923,691)
At 31 December 2024	3,241,002	11,844,552	4,902,109	68,439	20,056,102
Depreciation
At 1 January 2024	44,000	3,600,972	1,497,169	68,439	5,210,580
Charge for the year on owned assets	12,000	162,501	9,067	-	183,568
Charge for the year on financed assets	-	1,054,036	487,328	-	1,541,364
Disposals	-	(799,020)	(74,140)	-	(873,160)
At 31 December 2024	56,000	4,018,489	1,919,424	68,439	6,062,352
Net book value
At 31 December 2024	3,185,002	7,826,063	2,982,685	-	13,993,750
At 31 December 2023	2,548,881	6,958,031	2,629,145	-	12,136,057

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2024	2023
	£	£


Plant and machinery	6,925,978	5,190,058
Motor vehicles	2,910,131	2,226,833
	9,836,109	7,416,891

Page 28

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

16.TANGIBLE FIXED ASSETS (CONTINUED)

	Company

		Freehold property
		£
	Cost
	At 1 January 2024	2,592,880
	Additions	648,122
	At 31 December 2024	3,241,002
	Depreciation
	At 1 January 2024	44,000
	Charge for the year on owned assets	12,000
	At 31 December 2024	56,000
	Net book value
	At 31 December 2024	3,185,002
	At 31 December 2023	2,548,880

Page 29

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

17.	FIXED ASSET INVESTMENTS

	Company

		Investments in subsidiary companies
		£
	Cost
	At 1 January 2024	501
	Additions	322
	At 31 December 2024	823

SUBSIDIARY UNDERTAKINGS
The following were subsidiary undertakings of the company:
Name	Registered office	Class of shares	Holding

Arrowcruit Limited	White House Farm Sandy Lane West Billingham TS22 5NB	Ordinary	100%
Arrowbuild & Civil Engineering Limited	As above	Ordinary	100%
Arrowhaul & Plant Hire Limited	As above	Ordinary	100%
Arrowflow Limited	As above	Ordinary	100%
Turbo Tool Hire Limited	As above	Ordinary	100%
New Road Surfacing Limited	As above	Ordinary	100%
Innovate D&B Limited	As above	Ordinary	100%
Innovation Developments NE Limited	Level Q Sheraton House Surtees Way Surtees Business Park Stockton-On-Tees TS18 3HR	Ordinary	60%

Page 30

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

SUBSIDIARY UNDERTAKINGS (CONTINUED)

The aggregate of the share capital and reserves as at 31 December 2024 and the profit or loss for the year ended on that date for the subsidiary undertakings were as follows:
Name	Aggregate of share capital and reserves	Profit/(Loss)
	£	£

Arrowcruit Limited	1,031,688	(150,428)
Arrowbuild & Civil Engineering Limited	4,698,538	477,609
Arrowhaul & Plant Hire Limited	429,244	114,593
Arrowflow Limited	(153,044)	45,444
Turbo Tool Hire Limited	(1,690)	(1,714)
New Road Surfacing Limited	19,177	9,880
Innovate D&B Limited	3,161	3,635
Innovation Developments NE Limited	(231,654)	(231,774)

Innovate D&B Limited (company number 12075889) and Turbo Tool Hire Limited (company number 13420023) are exempt from the requirements of the Companies Act relating to the audit of their financial statements for the year ended 31 December 2024. This exemption is under S479C CA2006.

18.	STOCKS
		Group	Group
		2024	2023
		£	£

Raw materials and consumables	263,665	201,679
Finished goods and goods for resale	-	2,294
	263,665	203,973

The difference between purchase price or production cost of stocks and their replacement cost is not material.

Page 31

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

19.

DEBTORS

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Trade debtors	3,008,115	3,224,217	7,324	7,321
Amounts owed by group undertakings	-	-	702,034	827,483
Other debtors	877,550	815,615	122,653	9,375
Prepayments and accrued income	8,217	13,709	8,217	13,709
Amounts recoverable on L/T contracts	1,863,903	1,862,252	-	-
Retentions	1,166,482	858,005	-	-
	6,924,267	6,773,798	840,228	857,888

20.	CASH AND CASH EQUIVALENTS
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Cash at bank and in hand	926,197	1,338,811	7,581	321,771
	926,197	1,338,811	7,581	321,771

21.	CREDITORS: Amounts falling due within one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans	159,123	531,285	1,142	403,736
Trade creditors	3,045,116	2,430,542	38,497	24,398
Amounts owed to group undertakings	-	-	230,132	-
Other taxation and social security	260,936	288,259	-	11,030
Obligations under finance lease and hire purchase contracts	2,230,538	1,894,336	-	-
Other creditors	608,133	1,450,601	329,968	378,981
Accruals and deferred income	1,624,734	1,273,829	11,073	18,479
	7,928,580	7,868,852	610,812	836,624

Page 32

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

22.	CREDITORS: Amounts falling due after more than one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank and other loans	2,255,231	1,951,656	2,119,710	1,689,368
Net obligations under finance leases and hire purchase contracts	3,442,206	2,898,183	-	-
Other creditors	191,802	163,790	79,630	79,308
	5,889,239	5,013,629	2,199,340	1,768,676

The following liabilities were secured:
	Group	Group	Company	Company
	2024	2023	2024	2023
	£	£	£	£


Bank loans	1,714,354	2,149,768	1,420,852	1,393,104
Other loan	700,000	700,000	700,000	700,000
Net obligations under finance leases and hire purchase contracts	5,672,744	4,792,519	-	-
	8,087,098	7,642,287	2,120,852	2,093,104

Details of security provided:

The bank loans are secured by a fixed and floating charge over the assets of the group.
The other loan is personally guaranteed by the director.
The net obligations under finance leases and hire purchase contracts are secured on the assets to which they relate.

The aggregate amount of liabilities repayable wholly or in part more than five years after the balance sheet date is:
	Group	Group	Company	Company
	2024	2023	2024	2023
	£	£	£	£


Repayable by instalments	4,853	2,870	4,853	2,870
Repayable other than by instalments	900,000	900,000	900,000	900,000
	904,853	902,870	904,853	902,870

One bank loan, which has £900,285 due in more than 5 years, is partly repayable by variable monthly repayments and the balance of £900,000 is repayable at the end of the loan term in March 2030. Interest is charged at a variable rate of 4.4% above LIBOR.

Page 33

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

23.	LOANS
	Analysis of the maturity of loans is given below:
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Amounts falling due within one year
Bank loans	159,123	531,285	1,142	403,736
Amounts falling due 1-2 years
Bank loans	1,351,520	947,456	1,215,999	779,609
Amounts falling due 2-5 years
Bank loans	3,426	101,329	3,426	6,888
Amounts falling due after more than 5 years
Bank loans	900,285	902,871	900,285	902,871
	2,414,354	2,482,941	2,120,852	2,093,104

24.	HIRE PURCHASE AND FINANCE LEASES
	Minimum lease payments under hire purchase fall due as follows:
		Group	Group
		2024	2023
		£	£

Within one year	2,185,823	1,894,336
Between 1-5 years	3,427,301	2,898,183
	5,613,124	4,792,519

Page 34

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

25.	FINANCIAL INSTRUMENTS
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Financial assets
Financial assets measured at fair value through profit or loss	926,197	1,338,811	7,581	321,771
Financial assets that are debt instruments measured at amortised cost	5,749,568	5,902,084	736,459	844,179
	6,675,765	7,240,895	744,040	1,165,950

	Financial liabilities
	Financial liabilities measured at amortised cost	(13,797,031)	(11,775,487)	(2,579,020)	(2,605,300)

	Financial assets measured at fair value through profit or loss comprise cash at bank and in hand.
	Financial assets that are debt instruments measured at amortised cost comprise trade debtors, amounts due from group undertakings, other debtors and amounts recoverable on long term contracts.
	Financial liabilities measured at amortised cost comprise bank overdraft, bank loan, other loans, trade creditors, other creditors, obligations under finance lease and hire purchase contracts, accruals.

26.	DEFERRED TAXATION
	Group

	2024	2023
	£	£

At beginning of year	951,233	701,303
Charged to profit or loss	299,060	249,930
At end of year	1,250,293	951,233

		Group	Group
		2024	2023
		£	£

	Accelerated capital allowances	1,250,293	951,233
		1,250,293	951,233

Page 35

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

27.	SHARE CAPITAL
		2024	2023
		£	£

Allotted, called up and fully paid

100 (2023 - 100) Ordinary shares of £1.00 each	100	100

28.

RESERVES

Revaluation reserve

The revaluation reserve represents the uplift in value of the freehold property prior to the implementation of FRS 102 when at this point in time the freehold valuation became the deemed cost.

Profit and loss account

The profit and loss account represents accumulated profits less dividends paid.

29.	PRIOR YEAR RESTATEMENT

The prior year figures have been restated by £434,656 to account for misstatement between cost of sales and admin expenses. This adjustment has no impact on the value of the balance sheet or the profit of the period.

30.	PENSION COMMITMENTS

The company contributes to a defined contribution scheme. The total pension charge during the year amounted to £70,179. Included within other creditors is an amount of £21,367 (1 January 2024: £18,334) in relation to pension contributions.

31.	COMMITMENTS UNDER OPERATING LEASES
	At 31 December 2024 the group and the company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
		Group	Group
		2024	2023
		£	£

Not later than 1 year	21,864	30,996
Later than 1 year and not later than 5 years	5,784	26,481
	27,648	57,477

Operating lease payments recognised as an expense in the year amounted to £30,996

Page 36

ARROWCRUIT HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

32.	RELATED PARTY TRANSACTIONS
	At 31 December 2024 £93,630 (31 December 2023: £126,480) was due to the director. During the year, the group had sales of £360,770 and purchases of £60,776 with companies and businesses in which a director has an interest. At 31 December 2024 £257,933 (31 December 2023: £1,676,850) was due from companies in which a director has an interest.

Page 37