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Registered number:
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
COMPANY INFORMATION
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WREKIN HOLDINGS LIMITED
CONTENTS
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WREKIN HOLDINGS LIMITED
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The principal activity of the group is the sale, distribution and fabrication of access covers and geotextiles.
The directors consider that the results for the year and the financial position at the end of the year were satisfactory.
Our review is consistent with the size and non complex nature of our business. Trading performance is in line with expectations which took account of difficult economic conditions as the market faced challenges associated with high material prices, labour costs and global supply chain disruptions. Sales are £51,540,534 for the 12 months period to December 2024, from £50,672,407 for the 12 month period to December 2023 and our gross margin position remains satisfactory at £15,295,611 (2023: £15,121,781). We consider that our key financial performance indicators are the operating performance and liquidity ratio. The group operating profit for the 12 month period is £5,647,186 (the 12 month period prior was £5,842,202) and profit before tax and dividends for the 12 month period is £6,271,124 (from £5,952,447 of the 12 month period prior). The profit after tax of £5,078,827 for the 12 month period (from £4,743,424 for the 12 months prior) has been added to reserves. Liquidity ratio has decreased to 2.54:1 (2023: 2.81:1). Liquidity ratio has been calculated by dividing liquid assets by current liabilities. We have continued to invest in research and development to help continue the organic growth of the group. With the forecast planning and changes that have been implemented we are confident that the business is wholly sustainable for the foreseeable future and well placed to deal with future challenges. There will continue to be risks and uncertainties in the market and we are therefore aware that any plans for the future strategic development of the business may be subject to unforeseen future events outside of our control.
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WREKIN HOLDINGS LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The group's activities expose it to a number of financial risks including price risk, credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the group's policies approved by the board of directors.
The group's activities expose it primarily to the financial risks of changes in foreign exchange rates. The group uses foreign exchange forward contracts to hedge these exposures. Interest bearing assets and liabilities are held at fixed rate to ensure certainty of cash flows. The group's principal financial assets are trade and other receivables. The group's credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. The group has no significant concentration of credit risk, with exposure spread over a large number of counterparts and customers. Credit insurance is taken out to minimise the bad debt of its trade receivables. In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the group uses a mixture of short term and long term debt finance. The group is exposed to commodity price risk, but endeavours to manage this risk. The business is well placed to face adverse trading conditions in terms of cash position, diverse customer base and dynamic and flexible management.
In view of the nature of the business long term customer relationships are key to the business. All directors and managers spend time nurturing these relationships by attending social and work related events and through working together in partnership. This helps promote these relationships and ensure that there are strong foundations from which we can continue to build in the future.
The creation and retention of customer accounts, is carefully monitored to ensure that there is a foundation for growth and that the diverse customer base of the business is retained. Numerous new customer accounts continue to be created. Staff development and retention is also key to be able to deliver the high level of customer service upon which the business's customer relationships are built. Stability is also important as it creates the environment where long term relationships can be built. Directors and managers continually assess the training needs of staff to fulfil these aims. Furthermore, the business ensures that there is an intake of junior staff and apprenticeships to help build for the future. Where possible, staff are promoted from within, and many key management positions are filled by people who started as trainees and have developed through the business. Health and Safety risks are constantly reviewed by the directors. Details from regular health and safety meetings, and any accidents and near misses are reviewed carefully. The Group is ISO 45001 accredited and together with an internal HSQE manager the company also employs external consultants to help monitor and improve health and safety procedures. The group has also invested significant effort in developing and planning its Environmental Social Governance Report, which is available on our website. The targets set within will be delivered and reported upon annually, the Group produces an annual EPD report issued to the market and available on our website.
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WREKIN HOLDINGS LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The likely consequences of any decision in the long term
The board has a combined experience of over 125 years in the industry; the majority of which has been spent working for the Group. This understanding and experience combined with a strategy that focuses on long term stability and growth rather than short term gain ensures that all decisions focus on a positive long term benefit to the Group and its stakeholders. The interests of the group's employees The Group recognises that the success of the business depends on attracting, retaining, engaging and motivating employees. The Group policies are designed to ensure recruitment, promotion and opportunities for training, pay and benefits are not discriminatory, confirming the equal treatment of all individuals. It is the policy of the Group to ensure no applicants or existing employees are discriminated due to disabilities and that equal opportunities are given in regard to employment, training and career path development. In the event of an employee of the Group becoming disabled, every practical effort is made to ensure that their employment with the Group continues, and that appropriate training is arranged as needed. The need to foster the group's business relationships with suppliers, customers and others Customer engagement is fostered to gather and feedback customer's views to management, in order to guide product decisions and service offering to improve end user value and service. Senior management invest significant time in building and enhancing strong relationships with customers and this ethos is at the heart of the business. Fostering strong relationships with our suppliers is a priority of the Group, as it has allowed us to adapt to customers' needs through the uncertainty created in the current trading environment, ensuring value can be added to our customer experience, where possible. This is done through regular contact with key suppliers and supplier conferences. Employees The Group consults with employees, through appropriate channels including an annual employee survey, with respect to matters likely to affect their interests. The Directors engage in regular communication with department managers to ensure that information can be shared with staff and that there is an opportunity for staff to provide feedback. Furthermore, the Directors operate an open door policy and foster a culture of transparency and openness to encourage all members of staff to engage with them. The Directors are committed to furthering the development of communication procedures with employees. The business has employed external consultants and for 2025 gained the Investors in People accreditation. Local Communities The Group recognises its role and responsibilities toward local communities. Encouragement is given to support local communities through engagement, such as by sponsoring organisations and sports teams or donating to charitable organisations. The Group actively supports a number of local charities; it makes significant regular donations to SADS, Headway, Kids Village, St Giles Hospice and many more charity contributions throughout the year.
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WREKIN HOLDINGS LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The impact of the group's operations on the community and the environment
The Group recognises the importance of its environmental responsibilities and has prioritised reducing its carbon footprint through various initiatives such as:
∙Replacing its car fleet with Hybrid and fully electric cars;
∙Upgrading existing lighting at sites to low energy LED fixtures;
∙Investigation underway for the installation of solar panel energy generation;
∙Forklift trucks are upgraded to fully electric;
∙Lichfield waste is non-landfill;
∙Product EPD reports to be published in 2025.
The desirability of the group maintaining a reputation for high standards of business conduct
The Group aims to maintain a reputation for high standards of business conduct, maintaining good relationships with customers and suppliers. The board is updated and monitors compliance with relevant government standards and health and safety legislation. The group has also issued group values and behaviours documents as part of the evolution of our group manual, to help guide staff conduct.
The need to act fairly as between members of the group
When forming and reviewing long term strategy, the Directors consider the impact on relevant stakeholders.
This report was approved by the board on 3 September 2025 and signed on its behalf.
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WREKIN HOLDINGS LIMITED
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.
The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Group's financial statements 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 Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The profit for the year, after taxation, amounted to £5,078,827 (2023 - £4,743,424).
Dividends paid during the year amounted to £3,174,723 (2023: £nil).
The directors who served during the year were:
The Directors do not anticipate any factors likely to significantly impact the group in the coming 12 months.
Details of the Group's research and development activities are contained within the Strategic Report.
Details on the Group's engagement with suppliers, customers and others are included in the Strategic Report.
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WREKIN HOLDINGS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
This section includes our mandatory reporting of energy and greenhouse gas emissions for the year 1 January 2024 to 31 December 2024, pursuant to the Companies (Directors' Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, implementing the government's Streamlined Energy and Carbon Reporting (SECR) policy.
Our methodology to calculate our greenhouse gas emissions is based on the Environmental Reporting Guidelines: Including streamlined energy and carbon reporting guidance (March 2019) issued by DEFRA, using DEFRA's 2020 and 2021 conversion factors as appropriate. In some cases, consumption has been extrapolated from available data or direct comparison made to a comparable period.
We report using a financial control approach to define our organisational boundary. We have reported all material emission sources required by the regulations for which we deem ourselves to be responsible and have maintained records of all source data and calculations.
The table below includes total energy consumption (reported as kWh) and greenhouse gas emissions for the sources required by the regulations, along with our intensity ratios.
The auditors, PKF Smith Cooper Audit Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
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WREKIN HOLDINGS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
This report was approved by the board on
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WREKIN HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WREKIN HOLDINGS LIMITED
We have audited the financial statements of Wrekin Holdings Limited (the 'parent Company') and its subsidiary (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
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 Group's or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
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WREKIN HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WREKIN HOLDINGS LIMITED (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Group 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 Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Directors' Report.
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WREKIN HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WREKIN HOLDINGS LIMITED (CONTINUED)
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
Based on our understanding of the Group and industry, we identified the key laws and regulations affecting the Group are:
∙Companies Act 2006;
∙Tax legislation; and
∙Health and safety and employment legislation.
We identified that the principal risk of fraud or non-compliance with laws and regulations related to:
∙management bias in respect of accounting estimates and judgements made;
∙management override of controls; and
∙posting of unusual journals or transactions.
We focussed on those areas that could give rise to a material misstatement in the Group financial statements.
Our procedures included, but were not limited to:
∙Enquiry of management and those charged with governance around actual and potential litigation and claims, including instances of non-compliance with laws and regulations and fraud;
∙Reviewing minutes of meetings of those charged with governance, where available;
∙Reviewing legal expenditure in the year to identify instances of non-compliance with laws and regulations and fraud;
∙Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
∙Performing 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, in particular depreciation of tangible fixed assets and provision of slow moving stock items.
It is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.
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WREKIN HOLDINGS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WREKIN HOLDINGS LIMITED (CONTINUED)
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.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditors
Cornerblock
2 Cornwall St
B3 2DX
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WREKIN HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
REGISTERED NUMBER: 04654088
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 3 September 2025.
The notes on pages 20 to 37 form part of these financial statements.
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WREKIN HOLDINGS LIMITED
REGISTERED NUMBER: 04654088
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 20 to 37 form part of these financial statements.
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WREKIN HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Wrekin Holdings Limited ("the Company") is a private limited company, limited by shares and incorporated in England and Wales. The address of the Company's registered office and principal place of business is Unit 1a Europa Way, Britannia Enterprise Park, Lichfield, Staffordshire, WS14 9TZ. The Company (and the Group's) principal activities are set out in the Strategic report on page 1. The company's registration number is 04654088.
The financial statements are prepared in Sterling which is the functional currency of the group. The financial statements level of rounding is to the nearest £1.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.
The following principal accounting policies have been applied:
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Consolidated Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.
The Group continues to be profitable and the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.
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WREKIN HOLDINGS LIMITED
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 Group and the revenue 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.
Turnover is recognised on despatch of goods to customer.
Research and development expenditure is written off in the Consolidated Statement of Comprehensive Income in the period which it is incurred.
Goodwill is the difference between the cost of an acquired entity and the aggregate of the fair value of that entity's identifiable assets and liabilities. Positive goodwill is capitalised, classified as an asset on the Consolidated Statement of Financial Position and amortised on a straight line basis over its useful economic life which is estimated to be five years. The period of amortisation represents the period over which the goodwill is expected to give rise to economic benefits.
Patents acquired by the group are initially measured at cost and subsequently measured at cost less amortisation and any impairment losses. Amortisation is provided to write down patents over a period of five years.
In the opinion of the directors the amortisation basis represents the period over which the intangible assets are expected to give rise to economic benefits. Amortisation is charged to administrative expenses.
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exchange ruling at the reporting date. Non-monetary assets and liabilities denominated in foreign currencies are retranslated at the rate ruling at the date of the transaction or, if the asset or liability is measured at fair value, the rate when that fair value was determined. All translation differences are taken to the Consolidated Statement of Comprehensive Income, except to the extent that they relate to gains or losses on non-monetary items recognised in other comprehensive income, when the related translation gain or loss is also recognised in other comprehensive income.
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Page 22
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
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 the Consolidated Statement of Comprehensive Income.
At each reporting date, the Group assesses whether stocks are impaired or if an impairment loss recognised in prior periods has reversed. Any excess of the carrying amount of stock over its estimated selling price less costs to complete and sell, is recognised as an impairment loss in the Consolidated Statement of Comprehensive Income. Reversals of impairment losses are also recognised in the Consolidated Statement of Comprehensive Income.
Page 23
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
An asset and corresponding liability are recognised for leasing agreements that transfer to the Group substantially all of the risks and rewards incidental to ownership ("finance leases"). The amount capitalised is the fair value of the leased asset or, if lower, the present value of the minimum lease payments payable during the lease term, both determined at inception of the lease. Lease payments are treated as consisting of capital and interest elements. The interest is charged to the Consolidated Statement of Comprehensive Income so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Rentals payable under operating leases are charged to the Consolidated Statement of Comprehensive Income on a straight line basis over the lease term.
The Group has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102, in full, to all of its financial instruments.
Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of the instruments, and are offset only when the Group currently has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Trade, group and other debtors
Trade, group and other debtors which are receivable within one year and which do not constitute a financing transaction are initially measured at the transaction price and subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses. Where the arrangement with a debtor constitutes a financing transaction, the debtor is initially measured at the present value of future payments discounted at a market rate of interest for a similar debt instrument and subsequently measured at amortised cost. A provision for impairment of trade debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in the Consolidated Statement of Comprehensive Income for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in the Consolidated Statement of Comprehensive Income. Financial liabilities and equity Financial instruments are classified as liabilities and equity instruments according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities.
Equity instruments
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Financial instruments classified as equity instruments are recorded at the fair value of the cash or other resources received or receivable, net of direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Trade, group and other creditors Trade, group and other creditors (including accruals) payable within one year that do not constitute a financing transaction are initially measured at the transaction price and subsequently measured at amortised cost, being transaction price less any amounts settled. Where the arrangement with a creditor constitutes a financing transaction, the creditor is initially measured at the present value of future payments discounted at a market rate of interest for a similar instrument and subsequently measured at amortised cost. Derecognition of financial assets and liabilities A financial asset is derecognised only when the contractual rights to cash flows expire or are settled, or substantially all the risks are rewards of ownership are transferred to another party, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. A financial liability (or part thereof) is derecognised when the obligation specified in the contract is discharged, cancelled or expires. Stock Provision Stock is stated net of provisions for slow moving and obsolete stock, the calculation of which includes judgements. The directors review these periodically to ensure slow moving and obsolete stock is identified and provisions are appropriately calculated. Estimation of useful life The charge in respect of periodic depreciation and amortisation is derived after determining an estimate of an asset's expected useful life and the expected residual value at the end of its life. The useful lives of all assets are determined at the time the asset is acquired and reviewed at least annually for appropriateness by the directors.
Page 25
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
The turnover is attributable to the one principal activity of the group.
Analysis of turnover by country of destination:
Page 26
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 27
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 28
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
There were no factors that may affect future tax charges.
Page 29
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 30
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 31
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 32
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 33
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Hire purchase agreements are secured against the asset to which they relate.
Page 34
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
21.Financial instruments (continued)
Page 35
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Profit and loss account
The group has a Duty Deferment Guarantee in favour of HM Revenue & Customs for £20,000 (2023 - £20,000).
The group had capital commitments of £144,231 (2023 - £99,750).
The contributions payable by the Group charged to the Statement of Comprehensive Income amounted to £232,085 (2023: £207,760). Contributions totalling £nil (2023: £nil) were payable to the fund at the year end.
Page 36
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WREKIN HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
29.Forward contracts
At the balance sheet date, the company has entered into agreements to purchase US dollars at the higher of the spot exchange rates and the forward contract exchange rates at set expiration dates. The maximum amount of US dollars to be purchased under these agreements is $8,125,000. The agreements terminate by 29 May 2025.
The ultimate parent company is Civitec. Civitec is a private company, limited by shares and incorporated in France. The registered office is 26 Rue George Sand, 75016, Paris, France. The controlling party is David Azoute.
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