CTR (Collections) Ltd Company accounts

COMPANY REGISTRATION NUMBER: 09002214

CTR (Collections) Ltd

Financial Statements

31 December 2024

CTR (Collections) Ltd

Financial Statements

Year ended 31 December 2024

Contents	Page

Officers and professional advisers	1

Strategic report	2

Director's report	5

Independent auditor's report to the member	7

Statement of income and retained earnings	11

Statement of financial position	12

Statement of cash flows	13

Notes to the financial statements	14

CTR (Collections) Ltd

Officers and Professional Advisers

Director	M Fitzgerald

Registered office	Unit 30 Marchington Industrial Estate
	Stubby Lane
	Marchington
	Uttoxeter
	Staffordshire
	ST14 8LP

Auditor	Lindley & Co
	Chartered Certified Accountants & statutory auditor
	Suite 4 Europa House
	Europa Way
	Britannia Enterprise Park
	Lichfield
	Staffordshire
	WS14 9TZ

CTR (Collections) Ltd

Strategic Report

Year ended 31 December 2024

Introduction

2024 was a year of challenges, opportunities and reflection for CTR. The Group faced numerous external pressures, including global geopolitical instability, persistently high inflation, and a significant downturn in the reuse textile market. Despite this backdrop, CTR traded resiliently, positioning itself for 2025 with a strengthened business model and new opportunities for growth.

Acknowledgement and thanks

The Director wishes to express his sincere thanks to all associates, customers and stakeholders for their patience, hard work and understanding during 2024. Their commitment enabled CTR Group to continue doing what it does best - developing and delivering cohesive plans for the future.

Industry context and market challenges

During 2024, the challenges in the reuse textile market crystallised. The global wholesale price of second-hand clothing collapsed, halving compared with the previous year. Rising collection costs - including labour, insurance and rent - created further pressure on day-to-day trading. Despite these pressures, CTR ensured that all services remained unaffected and continued to comply fully with legal and environmental standards. The Director notes with regret that some organisations within the sector chose to disregard regulatory requirements, thereby gaining an unfair economic advantage and undercutting compliant operators. CTR remains committed to maintaining the highest standards of compliance and governance.

Financial and operational performance

Turnover in the collections business reduced by approximately 50% compared with the prior year. CTR responded by streamlining operations, reducing overheads, and developing an aggressive financial and business plan for 2025. Key initiatives include: - Establishing and strengthening strategic partnerships with retailers, wholesalers and distributors. - Acquiring a fourth facility in Corby, taking total footprint to over 150,000 sq ft with more than 100 associates. - Launching CTR Recover, a new waste management and material recovery division, to diversify revenue and reduce reliance on charity and collections arms.

Principal risks and uncertainties

The Director has identified the following principal risks and uncertainties: - Market Volatility: Fluctuations in global demand and pricing for reusable textiles. - Regulatory Compliance: Rising costs of maintaining compliance and potential penalties for non-compliance in the industry. - Supply Chain Pressures: Labour availability, transport costs and insurance. - Competitive Environment: Non-compliant operators offering higher prices to win work. - Foreign Expansion Risks: Currency fluctuations, regulatory differences and logistical complexities in European markets. Mitigation measures include diversifying revenue streams, maintaining robust compliance systems, forging long-term partnerships, and continuous market monitoring.

Key performance indicators (kpi's)

The Group measures its performance using a mixture of financial and non-financial KPIs, including: - Turnover by Business Division: Monitoring trends in collections, retail partnerships and CTR Recover. - Gross Margin %: Tracking profitability and cost-control effectiveness. - Compliance Metrics: Percentage of operations meeting regulatory and environmental standards. - Customer & Partner Retention Rates: Assessing the stability of relationships and contracts. - Operational Efficiency: Cost per tonne of textiles processed/collected.

Environmental and social responsibilities

CTR is committed to environmental stewardship and social responsibility. During 2024 the Group: - Maintained full compliance with environmental regulations. - Continued to promote textile reuse, recycling and recovery as a sustainable alternative to landfill. - Provided stable employment to over 100 associates, offering training and development opportunities. - Strengthened partnerships with retailers and charities to promote circular economy practices.

Future developments and outlook for 2025

The investments made in 2024 and the ongoing diversification strategy are expected to provide a positive contribution to Group revenues in 2025 and beyond. Key developments include: - Expansion into mainland Europe to deliver CTR's model across borders. - Further development of CTR Recover to maximise recycling, reuse and recovery opportunities. - Strengthening retailer partnerships to provide sustainable, measurable and commercial solutions. - Continuing to improve operational efficiency and compliance standards across all Group activities. The Director believes that 2025 will be a year of new opportunities, growth and successful delivery of our business plan, creating employment, enhancing stability and providing sustainable solutions for the Group and its partners.

Closing statement

Once again, the Director thanks all associates, customers, stakeholders and commercial partners for their ongoing support and collaboration as we work together towards our common goal - being the best in what we do.

This report was approved by the board of directors on 24 September 2025 and signed on behalf of the board by:

M Fitzgerald
Director

Registered office:

Unit 30 Marchington Industrial Estate

Stubby Lane

Marchington

Uttoxeter

Staffordshire

ST14 8LP

CTR (Collections) Ltd

Director's Report

Year ended 31 December 2024

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

Principal activities

The principal activity of the company during the year was that of recycling and refuse solutions.

Director

The director who served the company during the year was as follows:

M Fitzgerald

Dividends

The director does not recommend the payment of a dividend.

Disclosure of information in the strategic report

In accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013, information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 has been included in the Strategic Report.

Director's responsibilities statement

The director is responsible for preparing the strategic report, director's report and the financial statements in accordance with applicable law and regulations. Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period. In preparing these financial statements, the director is required to: - select suitable accounting policies and then apply them consistently; - make judgments 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 company will continue in business. The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board of directors on 24 September 2025 and signed on behalf of the board by:

M Fitzgerald
Director

Registered office:

Unit 30 Marchington Industrial Estate

Stubby Lane

Marchington

Uttoxeter

Staffordshire

ST14 8LP

CTR (Collections) Ltd

Independent Auditor's Report to the Member of CTR (Collections) Ltd

Year ended 31 December 2024

Opinion

We have audited the financial statements of CTR (Collections) Ltd (the 'company') for the year ended 31 December 2024 which comprise the statement of income and retained earnings, statement of financial position, statement of cash flows 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 FRS 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 December 2024 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The director is responsible for the other information. 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.

Opinions on other matters prescribed by the Companies Act 2006

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

- the information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the director's report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of director's remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit.

Responsibilities of the director

As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 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 industry in which it operates and considered the risk of any acts by the company that were not in line with the applicable laws and regulations, including fraud. Additionally, we gained an understanding of management's procedures relating to detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud. - We made enquiries of management, being those charged with governance, and reviewed correspondence with the company's solicitors around actual and potential litigation and claims. - We made enquiry of staff in compliance functions to identify any instances of non-compliance with laws and regulations. - We reviewed the financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; - We performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. - We performed audit work over the risk of fraud in revenue recognition including substantive testing and analytical procedures, over the recording of revenue and testing of year end cut off. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the director. - Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Sandra Kay Lindley

(Senior Statutory Auditor)

For and on behalf of

Lindley & Co

Chartered Certified Accountants & statutory auditor

Suite 4 Europa House

Europa Way

Britannia Enterprise Park

Lichfield

Staffordshire

WS14 9TZ

24 September 2025

CTR (Collections) Ltd

Statement of Income and Retained Earnings

Year ended 31 December 2024

		2024	2023
Note		£	£
Turnover	4	15,689,093	22,480,994

Cost of sales	10,856,140	16,232,716
	-------------	-------------
Gross profit	4,832,953	6,248,278

Administrative expenses		4,646,260	6,049,300
		------------	------------
Operating profit	5	186,693	198,978

Interest payable and similar expenses	9	105,507	45,182
		------------	------------
Profit before taxation		81,186	153,796

Tax on profit	10	28,956	54,136
		--------	---------
Profit for the financial year and total comprehensive income		52,230	99,660
		--------	---------

Retained earnings at the start of the year	1,470,577	1,370,917
	------------	------------
Retained earnings at the end of the year	1,522,807	1,470,577
	------------	------------

All the activities of the company are from continuing operations.

CTR (Collections) Ltd

Statement of Financial Position

31 December 2024

	2024	2023
Note	£	£

Fixed assets

Intangible assets	11	469,401	819,401
Tangible assets	12	92,128	108,385
Investments	13	100	100
		---------	---------
		561,629	927,886

Current assets

Stocks	14	1,034,708	1,809,271
Debtors	15	4,898,701	4,423,755
Cash at bank and in hand		483,167	229,990
		------------	------------
		6,416,576	6,463,016

Creditors: amounts falling due within one year	16	5,233,261	5,572,918
		------------	------------
Net current assets		1,183,315	890,098
		------------	------------
Total assets less current liabilities		1,744,944	1,817,984

Creditors: amounts falling due after more than one year	17	199,105	320,310

Provisions	18	23,031	27,096
		------------	------------
Net assets		1,522,808	1,470,578
		------------	------------

Capital and reserves

Called up share capital	21	1	1
Profit and loss account		1,522,807	1,470,577
		------------	------------
Shareholder funds		1,522,808	1,470,578
		------------	------------

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.

These financial statements were approved by the board of directors and authorised for issue on 24 September 2025 , and are signed on behalf of the board by:

M Fitzgerald
Director

Company registration number: 09002214

CTR (Collections) Ltd

Statement of Cash Flows

Year ended 31 December 2024

	2024	2023
	£	£

Cash flows from operating activities

Profit for the financial year	52,230	99,660

Adjustments for:
Depreciation of tangible assets	16,257	19,128
Amortisation of intangible assets	350,000	350,000
Impairment of intangible assets	–	280,500
Interest payable and similar expenses	105,507	45,182
Tax on profit	28,956	54,136
Accrued income	( 8,305)	( 139,500)

Changes in:
Stocks	774,563	( 561,750)
Trade and other debtors	( 474,946)	( 1,160,387)
Trade and other creditors	( 437,540)	1,435,513
	---------	------------
Cash generated from operations	406,722	422,482

Interest paid	( 105,507)	( 45,182)
Tax received/(paid)	14,651	( 30,900)
	---------	---------
Net cash from operating activities	315,866	346,400
	---------	---------

Cash flows from financing activities

Proceeds from borrowings	( 62,689)	( 242,995)
	---------	---------
Net cash used in financing activities	( 62,689)	( 242,995)
	---------	---------

Net increase in cash and cash equivalents	253,177	103,405
Cash and cash equivalents at beginning of year	229,990	126,585
	---------	---------
Cash and cash equivalents at end of year	483,167	229,990
	---------	---------

CTR (Collections) Ltd

Notes to the Financial Statements

Year ended 31 December 2024

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Unit 30 Marchington Industrial Estate, Stubby Lane, Marchington, Uttoxeter, Staffordshire, ST14 8LP.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis. The financial statements are prepared in sterling, which is the functional currency of the entity.

Related party exemption

The company has taken advantage of exemption under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' not to disclose related party transactions with wholly owned subsidiaries within the group.

Going concern

The financial statements have been prepared on a going concern basis, which places reliance on the continued support of the company's director, bankers and trade creditors. The director has no reason to believe that the company bankers will not continue to provide the necessary loans and working capital finance to the company on their current agreed terms. The director has received assurance from the company's bankers that such finance will continue to be made available under its current terms. The director believes that the company has adequate resources to continue its current operations and that it remains appropriate to prepare the financial statements on a going concern basis and the financial statements do not include the adjustments that would result if the company was unable to continue as a going concern.

Consolidation

The entity has taken advantage of the exemption from preparing consolidated financial statements contained in Section 400 of the Companies Act 2006 on the basis that it is a subsidiary undertaking and its immediate parent undertaking is established under the law of any part of the United Kingdom.

Judgements 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 There were no judgements (apart from those involving estimations) 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. Key sources of estimation uncertainty Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. There were no key assumptions or other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods supplied and services rendered, stated net of discounts and of Value Added Tax.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Goodwill

Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acquired business. Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over its estimated useful life of five years.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

	Goodwill	-	20% straight line

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

	Plant and machinery	-	15% reducing balance

Investments

Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided.

4. Turnover

Turnover arises from:

	2024	2023
	£	£
Sale of goods	15,689,093	22,480,994
	-------------	-------------

The turnover is attributable to the one principal activity of the company. An analysis of turnover by the geographical markets that substantially differ from each other is given below:

	2024	2023
	£	£
United Kingdom	5,789,188	11,203,677
Overseas	9,899,905	11,277,317
	-------------	-------------
	15,689,093	22,480,994
	-------------	-------------

5. Operating profit

Operating profit or loss is stated after charging:

	2024	2023
	£	£
Amortisation of intangible assets	350,000	350,000
Depreciation of tangible assets	16,257	19,128
Impairment of trade debtors	132,664	–
	---------	---------

6. Auditor's remuneration

	2024	2023
	£	£
Fees payable for the audit of the financial statements	5,000	9,500
	-------	-------

7. Staff costs

The average number of persons employed by the company during the year, including the director, amounted to:

	2024	2023
	No.	No.
Distribution staff	119	176
Administrative staff	36	27
	----	----
	155	203
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2024	2023
	£	£
Wages and salaries	4,566,638	5,782,420
Social security costs	427,682	534,210
Other pension costs	88,107	102,387
	------------	------------
	5,082,427	6,419,017
	------------	------------

8. Director's remuneration

The director's aggregate remuneration in respect of qualifying services was:

	2024	2023
	£	£
Remuneration	88,830	87,508
Company contributions to defined contribution pension plans	1,321	1,321
	--------	--------
	90,151	88,829
	--------	--------

The number of directors who accrued benefits under company pension plans was as follows:

	2024	2023
	No.	No.
Defined contribution plans	1	1
	----	----

9. Interest payable and similar expenses

	2024	2023
	£	£
Interest on banks loans and overdrafts	86,257	45,182
HMRC interest and penalties	19,250	–
	---------	--------
	105,507	45,182
	---------	--------

10. Tax on profit

Major components of tax expense

	2024	2023
	£	£

Current tax:

UK current tax expense	–	84,256
Adjustments in respect of prior periods	33,021	( 32,989)
	--------	--------
Total current tax	33,021	51,267
	--------	--------

Deferred tax:

Origination and reversal of timing differences	( 4,065)	2,869
	--------	--------
Tax on profit	28,956	54,136
	--------	--------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2023: higher than) the standard rate of corporation tax in the UK of 25 % (2023: 23.52 %).

	2024	2023
	£	£
Profit on ordinary activities before taxation	81,186	153,796
	--------	---------
Profit on ordinary activities by rate of tax	20,296	36,173
Adjustment to tax charge in respect of prior periods	33,021	( 32,989)
Effect of expenses not deductible for tax purposes	87,500	83,589
Effect of capital allowances and depreciation	–	7,370
Group relief	(111,861)	(40,007)
	---------	---------
Tax on profit	28,956	54,136
	---------	---------

11. Intangible assets

	Goodwill
	£
Cost
At 1 January 2024 and 31 December 2024	1,787,732
	------------
Amortisation
At 1 January 2024	968,331
Charge for the year	350,000
	------------
At 31 December 2024	1,318,331
	------------
Carrying amount
At 31 December 2024	469,401
	------------
At 31 December 2023	819,401
	------------

12. Tangible assets

	Plant and machinery
	£
Cost
At 1 January 2024 and 31 December 2024	247,967
	---------
Depreciation
At 1 January 2024	139,582
Charge for the year	16,257
	---------
At 31 December 2024	155,839
	---------
Carrying amount
At 31 December 2024	92,128
	---------
At 31 December 2023	108,385
	---------

13. Investments

	Shares in group undertakings
	£
Cost
At 1 January 2024 and 31 December 2024	100
	----
Impairment
At 1 January 2024 and 31 December 2024	–
	----

Carrying amount
At 31 December 2024	100
	----
At 31 December 2023	100
	----

Subsidiaries, associates and other investments

	Registered office	Class of share	Percentage of shares held
Subsidiary undertakings
Thrift Trading Limited (Previously Salvatex Recycling Limited)	Unit 1 Brunel Road	Ordinary	100
	Earlstree Industrial Estate
	Corby
	NN17 4SL

The results and capital and reserves for the year are as follows:

	Capital and reserves		Profit/(loss) for the year
	2024	2023	2024	2023
	£	£	£	£
Subsidiary undertakings
Thrift Trading Limited (Previously Salvatex Recycling Limited)	19,475	28,238	( 8,763)	(30,630)
	--------	--------	-------	--------

14. Stocks

	2024	2023
	£	£
Raw materials and consumables	1,034,708	1,809,271
	------------	------------

15. Debtors

	2024	2023
	£	£
Trade debtors	2,122,425	2,341,875
Amounts owed by group undertakings	940,304	556,751
Amounts owed by undertakings in which the company has a participating interest	1,404,717	897,075
Prepayments and accrued income	316,508	534,668
Other debtors	114,747	93,386
	------------	------------
	4,898,701	4,423,755
	------------	------------

16. Creditors: amounts falling due within one year

	2024	2023
	£	£
Bank loans and overdrafts	287,340	228,824
Trade creditors	4,237,561	4,825,558
Accruals and deferred income	64,944	73,249
Corporation tax	183,476	135,804
Social security and other taxes	409,167	258,340
Other creditors	50,773	51,143
	------------	------------
	5,233,261	5,572,918
	------------	------------

17. Creditors: amounts falling due after more than one year

	2024	2023
	£	£
Bank loans and overdrafts	199,105	320,310
	---------	---------

On 11 September 2019 MEIF WM DEBT LP registered a fixed and floating charge over the assets of CTR (Collections) Ltd and CTR (Group) Ltd.

18. Provisions

	Deferred tax (note 19)
	£
At 1 January 2024	27,096
Charge against provision	( 4,065)
	--------
At 31 December 2024	23,031
	--------

19. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2024	2023
	£	£
Included in provisions (note 18)	23,031	27,096
	--------	--------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2024	2023
	£	£
Accelerated capital allowances	23,031	27,096
	--------	--------

20. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 88,107 (2023: £ 102,387 ).

21. Called up share capital

Issued, called up and fully paid

	2024		2023
	No.	£	No.	£
Ordinary shares of £ 1 each	1	1	1	1
	----	----	----	----

22. Analysis of changes in net debt

	At 1 Jan 2024	Cash flows	At 31 Dec 2024
	£	£	£
Cash at bank and in hand	229,990	253,177	483,167
Debt due within one year	(228,824)	(58,516)	(287,340)
Debt due after one year	(320,310)	121,205	(199,105)
	---------	---------	---------
	( 319,144)	315,866	( 3,278)
	---------	---------	---------

23. Related party transactions

CTR Asset Management Limited An associated company in which CTR (Group) Limited holds 50% of the issued share capital. Included in debtors is an amount of £370,000 (2023 £182,445) due from this company. Intercompany sales and management charges in the year amounted to £660,566 (2023 £137,405) and purchases of £72,495 (2023 £3,963) CTR (Fulfillment) Limited An associated company in which CTR (Group) Limited holds 50% of the issued share capital. Included in debtors is an amount of £100,000 (2023 £8,280) due from this company. Intercompany management charges in the year amounted to £100,000 (2023 £nil) R Almond R Almond is a director and 50% shareholder of CTR Asset Management Limited and CTR (Fulfillment) Limited. Included in debtors is an amount of £840,717 (2023 £18,898) from Reuseaworld, a subsidiary of Hammer Time Auctions Limited in which Rob Almond is a 100% shareholder and director. This amount is unsecured, interest free and repayable on demand. Sales to this company were made under normal market conditions.

CTR (Collections) Ltd

Notes to the Financial Statements (continued)

Year ended 31 December 2024

24. Controlling party

The company's parent undertaking is CTR (Group) Limited, a company registered in England and Wales, whose registered office and principal place of business is Unit 30 Marchington Industrial Estate, Stubby Lane, Marchington, Uttoxeter, Staffordshire, ST14 8LP. These financial statements are included in the consolidated accounts of CTR (Group) Limited, which can be found on Companies House.