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Registered number: 08056471
EVM Direct Ltd.
Annual Report and Financial Statements
For the Year Ended 31 December 2024
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Company Information
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Unit 1 Oakhurst Business Park
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Statutory Auditor & Chartered Accountants
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Contents
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Independent Auditor's Report
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Statement of Income and Retained Earnings
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Notes to the Financial Statements
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Strategic Report
For the Year Ended 31 December 2024
The directors present their Strategic Report on EVM Direct Ltd. for the year ending 31 December 2024.
The directors have reviewed the Financial Statements for the year ended 31 December 2024 and are satisfied with the company’s performance for the year which is in line with their expectations.
Turnover for the year was £55,312,081 (2023: £44,066,922) resulting in Profit on ordinary activities before taxation for the year ended 31 December 2024 of £3,458,559 (2023: £2,384,057).
Development and Performance
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In addressing the unprecedented impact to both the supply of and the demand for the company’s product range experienced since 2020 by both the company and our customers as a result of Brexit, Covid 19 and the war in Ukraine, the directors expanded the company’s product range in 2024 to offer a wider range of products to an increased customer base across the UK Coach Industry. The increased number of vehicle offerings to a wider customer base reduces the potential impact of supply issues from individual vehicle partners and demand fluctuations in specific sectors of the UK Coach Industry.
The 2024 Financial Statements acknowledge a continued return to the company’s medium-term targets set in 2019. The return of demand in the coach market matched with a consistent supply chain from the company’s key partners, boosted by the protection offered by the wider product line servicing a greater proportion of the UK Coach industry, indicate that the company’s medium term targets achieved in 2024 will continue to be achieved in 2025.
The Directors will continue to adapt the business model to address issues as they arise and provide for the company’s continued success.
Principal risks and uncertainties
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While the directors believe the principal risks that negatively impacted the business’ growth expectation caused by Brexit and Covid 19 and the interruption these had on both demand and the company’s supply chain are now largely concluded there are uncertainties in the global and domestic economies which are impacting interest rates and GBP verses Euro currency rates which are out of the company’s control. In addressing these risks the directors have implemented robust processes and procedures to minimise any potential risk any adverse movements in foreign exchange rates or interest rates may have on the business.
Other key performance indicators
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The key financial performance indicators used by the directors as one of their tools in understanding and managing the performance and development of the business include the following:
Turnover for the year was £55,312,081 (2023: £44,066,922). The increased turnover is in line with the directors' expectations for the period.
Profit before tax for the year was £3,458,559 (2023: £2,384,057). The increased profit before tax is in line with the directors' expectations for the period.
Page 1
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Strategic Report (continued)
For the Year Ended 31 December 2024
This report was approved by the board and signed on its behalf.
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D McGee
Director
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Page 2
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Directors' Report
For the Year Ended 31 December 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
Directors' responsibilities statement
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The directors are responsible for preparing the Strategic Report, the Directors' 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 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 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:
∙select suitable accounting policies for the Company'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 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 to 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.
The principal activity of the Company is that of resale and repair of mini coaches and mini buses.
The profit for the year, after taxation, amounted to £2,576,202 (2023 - £1,832,795).
No dividend has been recommended in the period.
The directors who served during the year were:
Matters covered in the Strategic Report
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The Company is required to disclose an accurate reflection of the financial risk management objectives and policies and its future developments in its Directors' Report. This has instead been included in the Strategic Report in line with the Companies Act 2006.
Page 3
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Directors' Report (continued)
For the Year Ended 31 December 2024
Disclosure of information to auditor
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Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
∙so far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware, and
∙the director 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's auditor is aware of that information.
Post balance sheet events
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There have been no significant events affecting the Company since the year end.
The auditor, Kreston Reeves LLP, 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.
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D McGee
Director
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Page 4
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Independent Auditor's Report to the Members of EVM Direct Ltd.
We have audited the financial statements of EVM Direct Ltd. (the 'Company') for the year ended 31 December 2024, which comprise the Statement of Income and Retained Earnings, the Balance Sheet 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 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; and
∙have been prepared in accordance with the requirements of the Companies Act 2006.
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 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
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In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's Report thereon. The directors are 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.
Page 5
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Independent Auditor's Report to the Members of EVM Direct Ltd. (continued)
Opinion on other matters prescribed by the Companies Act 2006
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In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
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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 Directors' 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 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
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As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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.
Page 6
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Independent Auditor's Report to the Members of EVM Direct Ltd. (continued)
Auditor's responsibilities for the audit of the financial statements
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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:
Capability of the audit in detecting irregularities, including fraud
Based on our understanding of the company and industry, and through discussion with the directors and other management (as required by auditing standards), we identified that the principal risks of non-compliance with laws and regulations related to health and safety and employment law. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and taxation legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to the posting of inappropriate journal entries to increase revenue or reduce expenditure. Audit procedures performed by the engagement team included:
∙Discussions with management and assessment of known or suspected instances of non-compliance with laws and regulations (including health and safety) and fraud; and
∙Assessment of identified fraud risk factors: and
∙Identifying controls that management has in place to prevent and detect fraud: and
∙Confirmation of related parties with management, and review of transactions throughout the period to identify any previously undisclosed transactions with related parties outside the normal course of business; and
∙Performing analytical procedures with automated data analytics tools to identify any unusual or unexpected relationships, including related party transactions, that may indicate risks of material misstatement due to fraud; and
∙Review of internal controls and physical inspection of tangible assets susceptible to fraud or irregularity; and
∙Review of significant and unusual transactions and evaluation of the underlying financial rationale supporting the transactions; and
∙Identifying and testing journal entries, in particular any manual entries made at the year end for financial statement preparation.
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
As part of an audit in accordance with ISAs (UK), we exercise professional judgement 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.
Page 7
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Independent Auditor's Report to the Members of EVM Direct Ltd. (continued)
∙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 of the effectiveness of the Company's internal control.
∙Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
∙Conclude on the appropriateness of the directors' 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.
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.
Allan Pinner FCCA (Senior Statutory Auditor)
for and on behalf of
Kreston Reeves LLP
Statutory Auditor
Chartered Accountants
Horsham
25 September 2025
Page 8
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Statement of Income and Retained Earnings
For the Year Ended 31 December 2024
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Interest receivable and similar income
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Interest payable and similar expenses
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Retained earnings at the beginning of the year
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Retained earnings at the end of the year
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The notes on pages 11 to 26 form part of these financial statements.
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Page 9
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EVM Direct Ltd.
Registered number:08056471
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Balance Sheet
As at 31 December 2024
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Creditors: amounts falling due after more than one year
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Provisions for liabilities
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The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
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D McGee
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The notes on pages 11 to 26 form part of these financial statements.
Page 10
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Notes to the Financial Statements
For the Year Ended 31 December 2024
EVM Direct Ltd. is a private company limited by share capital incorporated in England, within the United Kingdom (Registered number: 08056471). The registered office and principal place of business is Unit 1 Oakhurst Business Park Wilberforce Way, Southwater, Horsham RH13 9RT.
2.Accounting policies
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Basis of preparation of financial statements
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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 management to exercise judgement in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
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Financial Reporting Standard 102 - reduced disclosure exemptions
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The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 11 Financial Instruments paragraphs 11.41(b), 11.41(c), 11.41(e), 11.41(f), 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of EVM Group Limited as at 31 December 2024 and these financial statements may be obtained from The Registrar of Companies.
Page 11
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Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover 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 turnover is recognised:
Sale of goods
Turnover from the sale of goods is recognised when all of the following conditions are satisfied:
∙the Company has transferred the significant risks and rewards of ownership to the buyer;
∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
∙the amount of turnover can be measured reliably;
∙it is probable that the Company 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
Turnover 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 turnover can be measured reliably;
∙it is probable that the Company 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.
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 12
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Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
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Tangible fixed assets (continued)
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Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives. .
Depreciation is provided on the following basis:
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Short-term leasehold property
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per annum - reducing balance basis / 5 and 10 years straight line basis
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per annum - reducing balance basis / 6 and 10 years straight line basis
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per annum - reducing balance basis
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per annum - reducing balance basis / 6 years straight line basis
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per annum - reducing balance basis / 3 years straight line basis
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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.
Interest income is recognised in profit or loss using the effective interest method.
Other intangibles
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.
All intangible assets are considered to have a finite useful life, deemed to be 10 years.
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.
Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
Page 13
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Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
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Cash and cash equivalents
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.
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Foreign currency translation
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Functional and presentation currency
The Company's functional and presentational currency is GBP.
Transactions and balances
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Statement of Income and Retained Earnings.
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Operating leases: the Company as lessee
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Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.
Page 14
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Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Defined contribution pension plan
The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.
The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.
All borrowing costs are recognised in profit or loss in the year in which they are incurred.
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Provisions for liabilities
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Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Balance Sheet.
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Current and deferred taxation
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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 operates and generates income.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.
Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Page 15
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Judgements in applying accounting policies and key sources of estimation uncertainty
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In preparing these financial statements, management has not made any significant judgements in the application of accounting policies that have a material impact in the amounts recognised in the financial statements.
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An analysis of turnover by class of business is as follows:
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Sales of parts and service
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Analysis of turnover by country of destination:
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The operating profit is stated after charging:
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Other operating lease rentals
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Page 16
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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During the year, the Company obtained the following services from the Company's auditor:
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Fees payable to the Company's auditor for the audit of the Company's financial statements
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The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.
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Staff costs, including directors' remuneration, were as follows:
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Cost of defined contribution scheme
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The average monthly number of employees, including the directors, during the year was as follows:
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Administration and finance
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Page 17
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Company contributions to defined contribution pension schemes
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During the year retirement benefits were accruing to 2 directors (2023 - 2) in respect of defined contribution pension schemes.
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The highest paid director received remuneration of £524,358 (2023 - £192,000).
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The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £10,000 (2023 - £60,000).
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Interest payable and similar expenses
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Finance leases and hire purchase contracts
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Page 18
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Current tax on profits for the year
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Origination and reversal of timing differences
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Factors affecting tax charge for the year
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The tax assessed for the year is higher than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 23.52%). The differences are explained below:
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Profit on ordinary activities before tax
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Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.52%)
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Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
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Capital allowances for year in excess of depreciation
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Changes in provisions leading to an increase (decrease) in the tax charge
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Total tax charge for the year
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Page 19
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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On 31 December 2024, EVM Direct Ltd purchased the following assets; business information, business IPRs, an exclusive distributor agreement, customer listing and goodwill for £350,000.
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Short-term leasehold property
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Page 20
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Notes to the Financial Statements
For the Year Ended 31 December 2024
13.Tangible fixed assets (continued)
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The net book value of assets held under finance leases or hire purchase contracts is £577,416 (2023: £231,471) included within motor vehicles. Depreciation charged in the year on assets held under finance leases or hire purchase contracts totalled £84,071 (2023: £42,407).
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Finished goods and goods for resale
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Amounts owed by group undertakings
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Cash and cash equivalents
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Page 21
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Creditors: Amounts falling due within one year
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Other taxation and social security
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Obligations under finance lease and hire purchase contracts
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Accruals and deferred income
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Creditors: Amounts falling due after more than one year
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Obligations under finance lease and hire purchase contracts
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Page 22
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Analysis of the maturity of loans is given below:
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Amounts falling due within one year
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Amounts falling due 1-2 years
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Amounts falling due 2-5 years
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Bank loans consist of a loan with National Westminster Bank plc received under the Coronavirus Business Interruption Loan Scheme (CBILS). The company received a Business Interruption Payment covering the first full year of interest. After the first full year, interest will be charged at 2.62% above Base Rate. The loan is repayable in 60 monthly repayments, ending November 2026.
Security has been given to National Westminster Bank plc in the form of a fixed and floating charge over all property or undertaking of the company. A partial guarantee has also been provided by the UK Government.
Other loans consist of a loan with Lombard. The amount is repayable within 180 days of issuance. Security has been given to Lombard in the form of the stock that is being purchased with the loan.
During the year a second loan with Lombard was taken up. Interest will be charged at a fixed rate of 5.24%. The loan is repayable in 60 monthly repayments, ending October 2029.
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Page 23
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Hire purchase and finance leases
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Minimum lease payments under hire purchase fall due as follows:
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Net obligations under finance lease and hire purchase contracts are secured by fixed charges on the assets concerned.
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Charged to profit or loss
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The provision for deferred taxation is made up as follows:
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Accelerated capital allowances
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Charged to profit or loss
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Page 24
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Allotted, called up and fully paid
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2 (2023 - 2) Ordinary shares of £1 each
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The Company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £205,183 (2023: £211,448). Contributions totalling £56,970 (2023: £17,127) were payable to the fund at the balance sheet date.
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Commitments under operating leases
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At 31 December 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
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Later than 1 year and not later than 5 years
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Page 25
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Notes to the Financial Statements
For the Year Ended 31 December 2024
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Related party transactions
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Summary of transactions with other related parties:
EVM Limited
A company registered in Ireland of which Mr D McGee is also a director.
During the year EVM Limited purchased goods and services from EVM Direct Ltd amounting to £64,263 (2023: £109,830) and sold goods and services to EVM Direct Ltd amounting to £6,105,896 (2023: £5,629,657). At the balance sheet date the amount owed to EVM Limited was £72,647 (2023: £193,315). This is comprised of a trade debtor of £39,124 (2023: £35,455) and a trade creditor of £111,771 (2023: £228,770).
EVM Direct IRL
A company registered in Ireland of which Mr D McGee is also a director.
During the year EVM Direct IRL purchased goods and services from EVM Direct Ltd amounting to £4,874,997 (2023: £2,413,999) and sold goods and services to EVM Direct Ltd amounting to £139,609 (2023: £Nil). During the year EVM Direct Ltd made payments on behalf of EVM Direct IRL totalling £566,007 (2023: £905,949). At the balance sheet date the amount owed to EVM Direct Ltd was £1,619,440 (2023: £1,183,419). This is comprised of a trade debtor of £1,759,049 (2023: £1,183,419) and a trade creditor of £139,609 (2023: £Nil).
Directors
During the year EVM Direct Ltd owed rent payable of £40,000 (2023: £nil) to a director. At the year end the amount owed to the director was £40,000 (2023: £Nil) and this is included within accruals.
The company has taken advantage of the exemption in Section 33 of FRS 102 'Related Party Disclosures' from disclosing transactions with other wholly owned members of the group.
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The company's immediate parent is EVM Group Limited, incorporated in England and Wales.
The most senior parent entity producing publicly available financial statements is EVM Group Limited. These financial statements are available upon request from The Registrar of Companies.
The ultimate controlling party is D McGee, a director and shareholder of EVM Group Limited, the parent company.
Page 26
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