REGISTERED NUMBER: 01050645 (England and Wales)

EDWIN C FARRALL (TRANSPORT) LIMITED

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Income Statement

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Notes to the Financial Statements

14

DIRECTORS:

M C Farrall

Mrs E A Farrall

Mrs K A Farrall

M Farrall

D Biggs

SECRETARY:

Mrs K A Farrall

REGISTERED OFFICE:

Second Avenue

Deeside Industrial Park

Deeside

CH5 2NX

REGISTERED NUMBER:

01050645 (England and Wales)

AUDITORS:

Murray Smith LLP

Chartered Accountants

Statutory Auditor

Darland House

44 Winnington Hill

Northwich

Cheshire

CW8 1AU

The directors present their strategic report for the year ended 31 December 2024.

Principal Activity

During the period under review, the principal activity of the Company was the provision of contract distribution, general haulage, and pallet network operations across a range of industries. The Company's customer base primarily comprises industrial, retail, and manufacturing businesses serving both UK and international markets.

Business review

We aim to provide a balanced and comprehensive review of the Company's performance during the year and its financial position at year-end. This review reflects the size and complexity of the business and is presented in the context of the key risks and uncertainties we face.

The results for the year, along with the Company's financial position, are set out in the accompanying financial statements. We consider turnover and profit margin to be our key financial performance indicators, as they best reflect the Company's overall financial performance and strength.

The Company increased its turnover to £16,082,725 in 2024, up from £14,478,225 in 2023. This growth was primarily driven by the addition of a Pallet Network depot, which has had a positive impact on the business and contributed to a 2.56% increase in gross profit. Although the Company reported a loss for 2024, the results are an improvement compared to the prior year, indicating progress towards operational profitability.

2024 remained a challenging year for the Company, as it did for many within the logistics and distribution sector. Despite an overall increase in turnover compared to the previous year, sales volumes were inconsistent on a day-to-day and month-to-month basis. This level of unpredictability made resource planning and operational scheduling more difficult, ultimately impacting our efficiency and utilisation levels across the business.

The ongoing impact of the war in Ukraine continued to contribute to economic uncertainty and inflationary pressures throughout 2024. As a result, the Company-along with the wider industry-remained in a reactive position, needing to adapt quickly to evolving market conditions.

Although fuel prices became more stable during the second half of the year, costs remained elevated, particularly in Q1 and Q2. Beyond fuel, the conflict also contributed to widespread cost increases across multiple areas of the business, including vehicle parts, tyres, insurance, utilities, and general supply chain inputs. These sustained pressures have had a noticeable impact on our cost base, further challenging operational efficiency and profitability. this combined with the need to maintain high service standards for our customers, put further strain on our margins and operational performance.

The Company has taken steps to address these challenges by investing in improved route planning, strengthening customer communication, and implementing cost-control measures where possible. We continue to monitor market conditions closely and remain focused on increasing operational resilience and efficiency to support long-term profitability.

During 2024, the Company maintained its focus on building stability and strengthening the foundations of the business. We continued to invest in our fleet and expanded our operational footprint by adding new sites. While these initiatives have contributed to increased costs in the short term, they are expected to deliver improved efficiency and capacity in the years ahead.

A key theme for the year was sustainability-both in terms of our environmental impact and the long-term viability of our operations. We also placed significant emphasis on enhancing the experience and support we provide to both our customers and our staff, with improvements made in service delivery, working conditions, and internal processes.

Principal risks and uncertainties

The Company is subject to the same risks and uncertainties that affect the wider transport and storage industry. These include economic volatility, fuel price fluctuations, labour availability, regulatory changes, and supply chain disruptions.

The directors remain confident that the business is well-positioned to navigate these challenges, supported by a highly motivated and capable workforce. The Company benefits from strong leadership, effective internal processes, and a skilled operational team. Together, these elements ensure that the business is not only able to manage industry-wide pressures but is also well-placed to exceed performance expectations.

Financial Risk Management and Objectives

The Company uses various financial instruments in order to raise finance for the Company's operations. The existence of these financial instruments exposes the company to a number of financial risks, which are described in more detail below.

The main risks arising from the Company's financial instruments are market risk, cash flow interest rate risk, credit risk and liquidity risk. The directors review and agree policies for managing each of these risks. These policies remain unchanged from previous years.

In order to further manage credit risk, the directors set specific credit limits on clients based on criteria including payment history, credit referencing and market intelligence. Credit limits are reviewed regularly.

The Company seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. Short term flexibility is achieved by the use of overdraft facilities.

Based on the circumstances presented above, the directors have a realistic expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The directors are confident we are commercially and financially in a very strong position to continue our development of the business and our strategic plans. Accordingly, the directors continue to adopt the going concern basis of accounting in preparing these financial statements.

Financial key performance indicators

The Company uses a number of key performance indicators in assessing and driving performance. The key financial and non-financial indicators used by the Company are sales, spend per head, gross margin, wages as a percentage of sales and customer feedback.

2024

2023

Change

£

£

£

Turnover

16,082,725

14,478,225

1,604,500

Gross profit

2,423,264

1,810,400

612,864

Wages as % of sales

23.71%

25.71%

(2%

)

Future developments

Following a year of growth in 2024, the team views 2025 as a year of consolidation, with a primary focus on achieving sustainable and stable results. As in the previous year, we remain committed to strengthening the Company's financial position and maintaining growth within a sustainable and scalable structure.

Our fleet renewal programme will continue in 2025, adopting a more structured and disciplined approach than in previous years. This will be aligned with turnover levels and managed carefully to ensure ongoing cost efficiencies. By investing in new and enhanced equipment, we aim to improve operational efficiency while sustainably increasing fleet capacity to support expansion of our customer base.

We will also remain focused on our core values as a family business, ensuring they are clearly promoted to both our workforce and our customers. These values form the foundation of a balanced and resilient business model-one that supports long-term financial growth for everyone connected to the Company.

A key ongoing priority for 2025 is our transition towards Net Zero. Building on the significant progress made in 2024, we will continue to invest in electric vehicles and the supporting charging infrastructure. We are actively working alongside our customers and suppliers to ensure our environmental ambitions are achieved, and we remain fully committed to playing our part in creating a more sustainable future for the transport and logistics sector.

ON BEHALF OF THE BOARD:

Mrs K A Farrall - Secretary

26 September 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2024.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

M C Farrall

Mrs E A Farrall

Mrs K A Farrall

M Farrall

Other changes in directors holding office are as follows:

D Biggs was appointed as a director after 31 December 2024 but prior to the date of this report.

P Mather ceased to be a director after 31 December 2024 but prior to the date of this report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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:

-	select suitable accounting policies 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 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Murray Smith LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mrs K A Farrall - Secretary

26 September 2025

Opinion

We have audited the financial statements of Edwin C Farrall (Transport) Limited (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 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.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 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.

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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors 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 Report of the Directors.

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 five, 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 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.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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:

The audit procedures designed to identify irregularities included:

- enquiry of management and those charged with governance around actual and potential litigation and claims;

- enquiry of company staff with responsibilities for tax and compliance matters to identify any instances of

non compliance with laws and regulations;

- reviewing financial statement disclosures and testing to supporting documentation to assess compliance with

applicable laws and regulations;

- auditing the risk of management override of controls, including through testing journal entries and other

adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the

normal course of business.

There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, intentional misrepresentations or through collusion.

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

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 a Report of the Auditors 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.

Steven Williams (Senior Statutory Auditor)

for and on behalf of Murray Smith LLP

Chartered Accountants

Statutory Auditor

Darland House

44 Winnington Hill

Northwich

Cheshire

CW8 1AU

27 September 2025

TURNOVER

4

16,082,725

14,478,225

Cost of sales

13,659,461

12,667,825

GROSS PROFIT

2,423,264

1,810,400

Administrative expenses

3,151,434

2,852,135

(728,170

)

(1,041,735

)

Other operating income

5

811,407

797,971

OPERATING PROFIT/(LOSS)

8

83,237

(243,764

)

Interest payable and similar expenses

10

199,265

151,413

LOSS BEFORE TAXATION

(116,028

)

(395,177

)

Tax on loss

11

56,004

(14,219

)

LOSS FOR THE FINANCIAL YEAR

(172,032

)

(380,958

)

LOSS FOR THE YEAR

(172,032

)

(380,958

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(172,032

)

(380,958

)

FIXED ASSETS

Tangible assets

13

6,234,924

6,412,180

Investments

14

1

1

6,234,925

6,412,181

CURRENT ASSETS

Stocks

15

35,437

43,951

Debtors

16

3,540,774

3,181,970

Cash at bank and in hand

12,825

61,909

3,589,036

3,287,830

CREDITORS

Amounts falling due within one year

17

5,474,739

4,647,528

NET CURRENT LIABILITIES

(1,885,703

)

(1,359,698

)

TOTAL ASSETS LESS CURRENT LIABILITIES

4,349,222

5,052,483

CREDITORS

Amounts falling due after more than one year

18

(2,132,746

)

(2,719,979

)

PROVISIONS FOR LIABILITIES

22

(732,677

)

(676,673

)

NET ASSETS

1,483,799

1,655,831

CAPITAL AND RESERVES

Called up share capital

23

20,000

20,000

Revaluation reserve

24

672,885

672,885

Profit and loss account

24

790,914

962,946

SHAREHOLDERS' FUNDS

1,483,799

1,655,831

The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2025 and were signed on its behalf by:

M Farrall - Director

Mrs K A Farrall - Director

Called up

Profit

share

and loss

Revaluation

Total

capital

account

reserve

equity

£

£

£

£

Balance at 1 January 2023

20,000

1,601,604

681,845

2,303,449

Changes in equity

Dividends

-

(266,660

)

-

(266,660

)

Total comprehensive income

-

(371,998

)

(8,960

)

(380,958

)

Balance at 31 December 2023

20,000

962,946

672,885

1,655,831

Changes in equity

Total comprehensive income

-

(172,032

)

-

(172,032

)

Balance at 31 December 2024

20,000

790,914

672,885

1,483,799

1.	STATUTORY INFORMATION

Edwin C Farrall (Transport) Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirement of paragraph 33.7.

This information is included in the consolidated financial statements of Farralls Transport (Properties) Limited as at 31 December 2024 and these financial statements can be obtained from Companies House.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer, the amount of revenue can be measured reliably and it is probable that the economic benefits associated with the transaction will flow to the company.

Revenue from contracts to provide services is recognised by reference to the stage of completion of the contract, at the end of the reporting period, provided that the outcome can be reliably measured, including the amount of revenue, the stage of completion, the costs incurred, the costs to complete the contract and that it is probable that the company will receive the consideration due under the contract.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Land and buildings

-

2% on cost

Leasehold improvements

-

5% on cost

Plant and machinery

-

10% on cost and 10% - 25% on reducing balance

Commercial vehicles

-

20% on reducing balance

Computer equipment

-

25% on reducing balance and 20% on cost

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

Freehold and leasehold property is included at fair value at the date of the most recent valuation, less any subsequent accumulated depreciation. Gains are recognised in other comprehensive income and accumulated in the revaluation reserve. Deferred taxation is provided on these gains at the rate expected to apply when the property is sold.

Freehold land is not depreciated.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Financial instruments

Basic financial assets and liabilities are initially recognised at the transaction price unless the arrangement constitutes a financing transaction where the transaction is measured at the present value of the future payments discounted at a market rate of interest.

Such assets and liabilities are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to the profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Rental income from operating leases is credited to profit or loss on a straight line basis over the term of the relevant lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents

Cash and cash equivalents includes cash at bank and in hand less bank overdrafts.

Going concern

The accounts have been prepared on the going concern basis, as management has prepared forecasts which show the company will be able to realise its assets and discharge its liabilities in the normal course of business. Accordingly, the directors believe it is appropriate to prepare the financial statements on a going concern basis.

Investments in joint ventures

Investments in joint ventures are recognised at cost less any provision for impairment.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of financial statements requires the company's management to make judgements, assumptions and estimates that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following are critical judgements and estimates that the directors have made in the process of applying the company's accounting policies and that have the most significant effect on amounts recognised in the financial statements:

Valuation of land and buildings

The value of land and buildings is subject to estimation uncertainty. The carrying value of land and buildings at the year end is the fair value at the date of the last revaluation less any subsequent accumulated depreciation. At the year end, the net book value of land and buildings totalled £802,370 (2023: £816,648). The directors do not consider this carrying value to be materially different to the fair value at the year end.

Impairment of fixed assets

Management also exercises judgement in estimating the useful life of tangible fixed assets. At the year end, the net book value of fixed assets totalled £6,234,924 (2023: £6,412,180), including the net book value of land and buildings.

4.

TURNOVER

The turnover and loss before taxation are attributable to the principal activities of the company.

An analysis of turnover by class of business is given below:

2024

2023

£

£

General haulage & warehousing

15,836,249

14,221,555

Electrical repairs

246,476

256,670

16,082,725

14,478,225

All turnover arose within the United Kingdom.

5.	OTHER OPERATING INCOME

2024

2023

£

£

Rents received

398,319

377,350

Management charges receivable

396,422

420,621

Government grants

16,666

-

811,407

797,971

6.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

3,348,803

3,277,200

Social security costs

350,322

338,786

Other pension costs

113,609

106,803

3,812,734

3,722,789

The average number of employees during the year was as follows:

2024

2023

Drivers

75

70

Administration

26

25

Warehouse

9

7

Technicians

3

3

Management

4

4

Directors

3

3

120

112

7.	DIRECTORS' EMOLUMENTS

2024

2023

£

£

Directors' remuneration

65,025

72,453

Directors' pension contributions to money purchase schemes

1,601

1,866

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

3

3

Additional directors' remuneration (including contributions to defined contribution pension schemes) is paid by Farralls Transport (Properties) Limited and recharged to Edwin C. Farrall (Transport) Limited by way of a management charge. During the year, directors' remuneration of £203,573 (2023 £206,251) was recharged.

Inclusive of the above recharge, the highest paid director received remuneration of £92,445 (2023 £93,599).

The value of the company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £2,700 (2023 £4,500).

8.	OPERATING PROFIT/(LOSS)

The operating profit (2023 - operating loss) is stated after charging/(crediting):

2024

2023

£

£

Hire of plant and machinery

283,804

329,411

Depreciation - owned assets

263,582

234,652

Depreciation - assets on hire purchase contracts

974,907

796,790

(Profit)/loss on disposal of fixed assets

(9,583

)

4,342

Other operating lease rentals

800,164

892,293

9.	AUDITORS' REMUNERATION

2024

2023

£

£

Fees payable to the company's auditors for the audit of the company's financial statements

15,000

18,000

10.

INTEREST PAYABLE AND SIMILAR EXPENSES

2024

2023

£

£

Bank interest

5,630

3,828

Bank loan interest

19,052

10,052

Hire purchase

174,583

137,533

199,265

151,413

11.

TAXATION

Analysis of the tax charge/(credit)

The tax charge/(credit) on the loss for the year was as follows:

2024

2023

£

£

Current tax:

UK corporation tax

-

(19,539

)

Overprovision in prior year

-

(28,208

)

Total current tax

-

(47,747

)

Deferred tax:

Origination and reversal of

timing differences

56,004

33,528

Tax on loss

56,004

(14,219

)

Reconciliation of total tax charge/(credit) included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2024

2023

£

£

Loss before tax

(116,028

)

(395,177

)

Loss multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 23.520%)

(29,007

)

(92,946

)

Effects of:

Expenses not deductible for tax purposes

4,100

14,428

Adjustments to tax charge in respect of previous periods

-

(28,208

)

Adjustment to deferred tax in respect of previous periods

-

21,145

Other differences leading to an increase in taxation

-

2,542

Adjustment in research and development tax credit leading to an increase in tax charge

-

1,128

Ineligible depreciation

5,915

5,536

Changes in rates leading to an increase in deferred tax charged

-

732

Super deduction pool adjustment

-

(8,223

)

Group relief

74,996

69,647

Total tax charge/(credit)

56,004

(14,219

)

12.

DIVIDENDS

2024

2023

£

£

Ordinary shares of £1 each

Interim

-

266,660