Registration number:
Read Construction Group Ltd
for the Year Ended 31 March 2025
Read Construction Group Ltd
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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Balance Sheet |
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Statement of Changes in Equity |
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Notes to the Financial Statements |
Read Construction Group Ltd
Company Information
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Directors |
R D Heaton A C Read K L Heaton-Morris |
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Company secretary |
L M Heaton |
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Registered office |
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Auditors |
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Read Construction Group Ltd
Strategic Report for the Year Ended 31 March 2025
The directors present their strategic report for the year ended 31 March 2025.
Principal activity
The principal activity of the company is acting as the parent undertaking of Read Construction Holdings Limited and holding the assets used in the trade of that company.
Fair review of the business
We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Operating loss increased from the prior year with increased depreciation on assets and remuneration cost and totalled £357,290 (2024 - £68,698). Increased dividends received from the subsidiary company from £584,134 in 2024 to £1,073,799 in 2025 led therefore an increase in profit before tax to £698,013 (2024 - £504,283).
Detailed analysis of the group performance is included in the accounts of the parent company, Read Construction UK Limited.
Principal risks and uncertainties
The principal risks and uncertainties facing the business are similar to those of the sector as a whole. Sourcing new equipment to ensure the fleet can continue to support the subsidiary company as required remains challenging but the directors and management team plan ahead to ensure project requirements are met.
Approved and authorised by the
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Read Construction Group Ltd
Directors' Report for the Year Ended 31 March 2025
The directors present their report and the financial statements for the year ended 31 March 2025.
Directors of the company
The directors who held office during the year were as follows:
Financial instruments
Objectives and policies
The business' principal financial instruments are bank balances and hire purchase financing. All of the bank balances are held in such a way that achieve a competitive rate of interest. Hire purchase financing is used to purchase higher value assets for the business and management seek alternative quotes to ensure best value in respect of interest rate and term is obtained.
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.
Approved and authorised by the
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Read Construction Group Ltd
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.
Read Construction Group Ltd
Independent Auditor's Report to the Members of Read Construction Group Ltd
Opinion
We have audited the financial statements of Read Construction Group Ltd (the 'company') for the year ended 31 March 2025, which comprise the Profit and Loss Account, 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 31 March 2025 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.
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.
Read Construction Group Ltd
Independent Auditor's Report to the Members of Read Construction Group Ltd
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.
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 4], 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.
Read Construction Group Ltd
Independent Auditor's Report to the Members of Read Construction Group Ltd
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:
• We obtained an understanding of the legal and regulatory frameworks that are applicable to this company and its sector and determined that the most significant are those relating to the reporting framework and the relevant UK tax legislation.
• We understood how the company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures.
• As an audit engagement team, we assessed the susceptibility of the company’s financial statements to material misstatement including how fraud might occur and considered the opportunities and incentives that may exist within the company for fraud. We considered the controls that the company has established to address the risks identified to prevent, deter and detect fraud; and how the management and directors monitor those controls.
• Based on our understanding we designed our audit procedures to identify non-compliance with laws and regulations. Those procedures involved: - enquiries of management and those charged with governance; - journal entry testing; - assessing whether judgements in making accounting estimates are indicative of a potential bias; and – evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.
• Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk or other risk of material misstatement. These procedures included revenue recognition and testing manual journals and were designed to provide reasonable assurance that the financial statements were free from fraud or error.
• We remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
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.
Read Construction Group Ltd
Independent Auditor's Report to the Members of Read Construction Group Ltd
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.
For and on behalf of
Rowan House North
1 The Professional Quarter
Shrewsbury Business Park
Shropshire
SY2 6LG
Read Construction Group Ltd
Profit and Loss Account for the Year Ended 31 March 2025
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Note |
2025 |
2024 |
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Turnover |
- |
- |
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Gross profit/(loss) |
- |
- |
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Administrative expenses |
( |
( |
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Other operating income |
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Operating loss |
(357,290) |
(68,698) |
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Income from shares in group undertakings |
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|
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Other interest receivable and similar income |
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|
|
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Interest payable and similar expenses |
( |
( |
|
|
1,055,303 |
572,981 |
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Profit before tax |
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|
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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.
Read Construction Group Ltd
(Registration number: 05637448)
Balance Sheet as at 31 March 2025
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Note |
2025 |
2024 |
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Fixed assets |
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Tangible assets |
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Investments |
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Current assets |
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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 liabilities |
( |
( |
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Total assets less current liabilities |
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|
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Creditors: Amounts falling due after more than one year |
( |
( |
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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 |
840 |
840 |
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Capital redemption reserve |
960 |
960 |
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Retained earnings |
272,830 |
268,920 |
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Shareholders' funds |
274,630 |
270,720 |
Approved and authorised by the
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Read Construction Group Ltd
Statement of Changes in Equity for the Year Ended 31 March 2025
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Share capital |
Capital redemption reserve |
Retained earnings |
Total |
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At 1 April 2024 |
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|
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Profit for the year |
- |
- |
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Dividends |
- |
- |
( |
( |
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At 31 March 2025 |
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|
|
|
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Share capital |
Capital redemption reserve |
Retained earnings |
Total |
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At 1 April 2023 |
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|
|
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Profit for the year |
- |
- |
|
|
|
Dividends |
- |
- |
( |
( |
|
At 31 March 2024 |
840 |
960 |
268,920 |
270,720 |
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
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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 has taken advantage of the disclosure exemption under section 1.12 of FRS 102 to not present a statement of cash flows.
Name of parent of group
These financial statements are consolidated in the financial statements of .
The financial statements of may be obtained from .
Tax
The tax expense for the period comprises 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.
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.
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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:
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Asset class |
Depreciation method and rate |
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Plant and machinery |
12.5% - 20% straight line |
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Fixtures and fittings |
20% - 33% straight line |
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Motor vehicles |
20% straight line |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
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.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
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.
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Other operating income |
The analysis of the company's other operating income for the year is as follows:
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2025 |
2024 |
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Miscellaneous other operating income |
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Operating loss |
Arrived at after charging/(crediting)
|
2025 |
2024 |
|
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Depreciation expense |
|
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Operating lease expense - plant and machinery |
|
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Profit on disposal of property, plant and equipment |
( |
( |
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Other interest receivable and similar income |
|
2025 |
2024 |
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Interest income on bank deposits |
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Interest payable and similar expenses |
|
2025 |
2024 |
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Interest on obligations under finance leases and hire purchase contracts |
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Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
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2025 |
2024 |
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Wages and salaries |
|
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Pension costs, defined contribution scheme |
|
- |
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The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
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2025 |
2024 |
|
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Administration and support |
|
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Directors' remuneration |
The directors' remuneration for the year was as follows:
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2025 |
2024 |
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Remuneration |
|
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Auditors' remuneration |
|
2025 |
2024 |
|
|
Audit of the financial statements |
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Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Taxation |
Tax charged/(credited) in the profit and loss account
|
2025 |
2024 |
|
|
Deferred taxation |
||
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Arising from origination and reversal of timing differences |
|
( |
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2025 |
2024 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Tax increase arising from group relief |
|
- |
|
Tax decrease from effect of dividends from UK companies |
( |
( |
|
Total tax charge/(credit) |
|
( |
Deferred tax
Deferred tax assets and liabilities
|
2025 |
Liability |
|
Accelerated tax depreciation |
|
|
Tax losses carried forward |
( |
|
|
|
2024 |
Liability |
|
Accelerated tax depreciation |
|
|
Tax losses carried forward |
( |
|
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Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Tangible assets |
|
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Other tangible assets |
Total |
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|
Cost or valuation |
|||||
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At 1 April 2024 |
|
|
|
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Additions |
- |
|
|
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|
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Disposals |
- |
- |
( |
( |
( |
|
At 31 March 2025 |
|
|
|
|
|
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Depreciation |
|||||
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At 1 April 2024 |
|
|
|
|
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Charge for the year |
- |
|
|
|
|
|
Eliminated on disposal |
- |
- |
( |
( |
( |
|
At 31 March 2025 |
|
|
|
|
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Carrying amount |
|||||
|
At 31 March 2025 |
- |
|
|
|
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At 31 March 2024 |
- |
|
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|
Included in the carrying value of tangible assets is £866,032 (2024 - £480,443) relating to assets held under finance leases or hire purchase agreements. The depreciation charge for the year in respect of these assets amounted to £103,595 (2024 - £79,434).
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Investments |
|
2025 |
2024 |
|
|
Investments in subsidiaries |
|
|
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Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 1 April 2024 |
|
|
At 31 March 2025 |
|
|
Carrying amount |
|
|
At 31 March 2025 |
|
|
At 31 March 2024 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2025 |
2024 |
|||
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Subsidiary undertakings |
||||
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Enterprise Centre
England and Wales |
|
|
|
|
Subsidiary undertakings |
|
Read Construction Holdings Limited The principal activity of Read Construction Holdings Limited is |
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
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Debtors |
|
2025 |
2024 |
|
|
Trade debtors |
|
|
|
Other debtors |
|
|
|
Prepayments |
- |
|
|
|
|
|
Cash and cash equivalents |
|
2025 |
2024 |
|
|
Cash at bank |
|
|
|
Creditors |
|
Note |
2025 |
2024 |
|
|
Due within one year |
|||
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Loans and borrowings |
|
|
|
|
Trade creditors |
- |
|
|
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Amounts due to related parties |
|
|
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Social security and other taxes |
|
|
|
|
|
|
||
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Due after one year |
|||
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Loans and borrowings |
|
|
|
Provisions for liabilities |
|
Deferred tax |
Total |
|
|
At 1 April 2024 |
|
|
|
Deferred tax charged to the P&L account |
287,304 |
287,304 |
|
At 31 March 2025 |
|
|
|
|
||
|
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 £
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
420 |
|
420 |
|
|
|
420 |
|
420 |
|
|
|
|
|
|
|
Loans and borrowings |
Non-current loans and borrowings
|
2025 |
2024 |
|
|
Hire purchase contracts |
|
|
Current loans and borrowings
|
2025 |
2024 |
|
|
Hire purchase contracts |
|
|
|
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
|
2025 |
2024 |
|
|
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 £
Read Construction Group Ltd
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Dividends |
Final dividends paid
|
2025 |
2024 |
|
|
Final dividend of £ |
|
|
|
Commitments |
Capital commitments
The total amount contracted for but not provided in the financial statements was £Nil (2024 - £
|
Related party transactions |
Summary of transactions with other related parties
|
Parent and ultimate parent undertaking |
The company's immediate parent is