REGISTERED NUMBER: 06668501 (England and Wales)

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

SOUTH COAST BUILDING SUPPLIES LTD.

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Income Statement

9

Consolidated Other Comprehensive Income

10

Consolidated Balance Sheet

11

Company Balance Sheet

12

Consolidated Statement of Changes in Equity

14

Company Statement of Changes in Equity

15

Consolidated Cash Flow Statement

16

Notes to the Consolidated Cash Flow Statement

17

Notes to the Consolidated Financial Statements

19

DIRECTORS:

Mr G D Ellis

Mr T M Payne

SECRETARY:

Mrs M Ellis

REGISTERED OFFICE:

5 Nuffield Road

Poole

Dorset

BH17 0SS

REGISTERED NUMBER:

06668501 (England and Wales)

AUDITORS:

Carter & Coley Limited

Chartered Accountants and Statutory Auditor

3 Durrant Road

Bournemouth

Dorset

BH2 6NE

The directors present their strategic report of the company and the group for the year ended 31 December 2024.

REVIEW OF BUSINESS

There has been a minor increase in turnover of 0.5%, from £22,638,628 to £22,752,635, this is in line with the current construction market and our expectations given the contraction seen. Gross profit margin has decreased from 25.1% to 23.5% as a result of increase costs in the period.

The business outlook is neutral, there is a contraction in the general construction market with RMI more heavily effected, however we feel market activity will improve in the second half of 2025. The Directors continue to look for opportunities for further depots within 20 miles of current operating base.

Further development of business processes will also be undertaken to ensure the business operates from a solid and efficient platform and continually evaluating product holding to ensure customer offer is in line with demand.

The company consider turnover and gross profit margin to be key performance indicators.

2024

2023

Turnover

22,752,635

22,638,628

Gross Profit Margin

23.5%

25.1%

PRINCIPAL RISKS AND UNCERTAINTIES

The company aims to pay its suppliers in accordance with their terms of business. Working capital is provided by invoice discounting which provides adequate funds to fulfil the businesses growth targets.

Price stability continues to be closely managed by the business with a mixed picture into 2025. With inflation dropping most product groups have had benign price increases however deflation across some heavyside products, especially bricks have meant we have to manage stocks closer than we historically have.years.

ON BEHALF OF THE BOARD:

Mr G D Ellis - Director

29 September 2025

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

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of builders merchants.

DIVIDENDS

Interim dividends have been paid on Ordinary shares totalling £69,000 (2023 - £106,000) in the period.

Interim dividends totalling £114,775 (2023 - £109,070) have been paid in the period on Ordinary A shares.

DIRECTORS

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

Mr G D Ellis

Mr T M Payne

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Carter & Coley Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr G D Ellis - Director

29 September 2025

Opinion

We have audited the financial statements of South Coast Building Supplies Ltd. (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31 December 2024 and of the group's profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 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 group's and 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.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group 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 Group 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 Group 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 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 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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 three, 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 group's and the parent 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 group or the parent 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:

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 financial statements.

Our audit testing might include testing complete populations of certain transactions and balances, possibly using data auditing techniques. However, it typically involves selecting a limited number of items for testing, rather than testing complete populations. We will often seek to target particular items for testing based on their size or risk characteristics. In other cases, we will use audit sampling to enable us to draw a conclusion about the population from which the sample is selected.

In planning our audit tests we considered the laws and regulations that are most closely associated with the business which would include Health and Safety legislation.

Our audit tests will also consider the susceptibility to fraud arising from petty pilferage from the stores and yards and the misuse of credit cards in the warehouses.

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.

Andrew A Clark (Senior Statutory Auditor)

for and on behalf of Carter & Coley Limited

Chartered Accountants and Statutory Auditor

3 Durrant Road

Bournemouth

Dorset

BH2 6NE

29 September 2025

TURNOVER

22,752,635

22,638,628

Cost of sales

17,405,555

16,955,668

GROSS PROFIT

5,347,080

5,682,960

Administrative expenses

4,830,652

4,848,746

516,428

834,214

Other operating income

82,206

134,967

OPERATING PROFIT

4

598,634

969,181

Exceptional item

5

376,863

248,338

221,771

720,843

Interest receivable and similar income

6,665

46,025

228,436

766,868

Interest payable and similar expenses

6

80,718

59,958

PROFIT BEFORE TAXATION

147,718

706,910

Tax on profit

7

(39,377

)

209,979

PROFIT FOR THE FINANCIAL YEAR

187,095

496,931

Profit attributable to:

Owners of the parent

187,095

496,931

PROFIT FOR THE YEAR

187,095

496,931

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

187,095

496,931

Total comprehensive income attributable to:

Owners of the parent

187,095

496,931

FIXED ASSETS

Intangible assets

10

14,500

-

Tangible assets

11

1,114,261

1,308,866

Investments

12

100,000

100,000

1,228,761

1,408,866

CURRENT ASSETS

Stocks

13

2,833,609

2,899,902

Debtors

14

7,256,974

6,901,278

Cash at bank and in hand

108,939

53,677

10,199,522

9,854,857

CREDITORS

Amounts falling due within one year

15

4,785,201

4,638,054

NET CURRENT ASSETS

5,414,321

5,216,803

TOTAL ASSETS LESS CURRENT LIABILITIES

6,643,082

6,625,669

CREDITORS

Amounts falling due after more than one year

16

(304,450

)

(280,782

)

PROVISIONS FOR LIABILITIES

20

(141,830

)

(151,405

)

NET ASSETS

6,196,802

6,193,482

CAPITAL AND RESERVES

Called up share capital

21

150,004

150,004

Retained earnings

22

6,046,798

6,043,478

SHAREHOLDERS' FUNDS

6,196,802

6,193,482

The financial statements were approved by the Board of Directors and authorised for issue on 29 September 2025 and were signed on its behalf by:

Mr G D Ellis - Director

FIXED ASSETS

Intangible assets

10

14,500

-

Tangible assets

11

1,114,261

1,308,866

Investments

12

100,400

100,000

1,229,161

1,408,866

CURRENT ASSETS

Stocks

13

2,833,609

2,899,902

Debtors

14

7,225,627

6,901,278

Cash at bank

108,249

53,677

10,167,485

9,854,857

CREDITORS

Amounts falling due within one year

15

4,753,564

4,638,054

NET CURRENT ASSETS

5,413,921

5,216,803

TOTAL ASSETS LESS CURRENT LIABILITIES

6,643,082

6,625,669

CREDITORS

Amounts falling due after more than one year

16

(304,450

)

(280,782

)

PROVISIONS FOR LIABILITIES

20

(141,830

)

(151,405

)

NET ASSETS

6,196,802

6,193,482

CAPITAL AND RESERVES

Called up share capital

21

150,004

150,004

Retained earnings

22

6,046,798

6,043,478

SHAREHOLDERS' FUNDS

6,196,802

6,193,482

Company's profit for the financial year

187,095

496,931

The financial statements were approved by the Board of Directors and authorised for issue on 29 September 2025 and were signed on its behalf by:

Mr G D Ellis - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

150,004

5,761,617

5,911,621

Changes in equity

Dividends

-

(215,070

)

(215,070

)

Total comprehensive income

-

496,931

496,931

Balance at 31 December 2023

150,004

6,043,478

6,193,482

Changes in equity

Dividends

-

(183,775

)

(183,775

)

Total comprehensive income

-

187,095

187,095

Balance at 31 December 2024

150,004

6,046,798

6,196,802

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

150,004

5,761,617

5,911,621

Changes in equity

Dividends

-

(215,070

)

(215,070

)

Total comprehensive income

-

496,931

496,931

Balance at 31 December 2023

150,004

6,043,478

6,193,482

Changes in equity

Dividends

-

(183,775

)

(183,775

)

Total comprehensive income

-

187,095

187,095

Balance at 31 December 2024

150,004

6,046,798

6,196,802

Cash flows from operating activities

Cash generated from operations

1

1,288,294

601,726

Interest paid

(62,743

)

(51,744

)

Interest element of hire purchase payments paid

(17,975

)

(8,214

)

Tax paid

(584,771

)

(233,391

)

Net cash from operating activities

622,805

308,377

Cash flows from investing activities

Purchase of intangible fixed assets

(29,000

)

-

Purchase of tangible fixed assets

(167,427

)

(413,695

)

Purchase of fixed asset investments

-

(100,000

)

Sale of tangible fixed assets

7,000

-

Interest received

6,665

46,025

Net cash from investing activities

(182,762

)

(467,670

)

Cash flows from financing activities

New loans in year

-

398,574

Loan repayments in year

(949,109

)

-

HP repayments in year

(135,286

)

(94,205

)

Amount introduced by directors

719,618

25,450

Amount withdrawn by directors

-

(38,638

)

HP advances in year

163,771

-

Equity dividends paid

(183,775

)

(215,070

)

Net cash from financing activities

(384,781

)

76,111

Increase/(decrease) in cash and cash equivalents

55,262

(83,182

)

Cash and cash equivalents at beginning of year

2

53,677

136,859

Cash and cash equivalents at end of year

2

108,939

53,677

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024

2023

£

£

Profit before taxation

147,718

706,910

Depreciation charges

371,419

436,466

(Profit)/loss on disposal of fixed assets

(1,887

)

1,305

Finance costs

80,718

59,958

Finance income

(6,665

)

(46,025

)

591,303

1,158,614

Decrease in stocks

66,293

504,230

(Increase)/decrease in trade and other debtors

(990,039

)

1,026,198

Increase/(decrease) in trade and other creditors

1,620,737

(2,087,316

)

Cash generated from operations

1,288,294

601,726

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31/12/24

1/1/24

£

£

Cash and cash equivalents

108,939

53,677

Year ended 31 December 2023

31/12/23

1/1/23

£

£

Cash and cash equivalents

53,677

136,859

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1/1/24

Cash flow

At 31/12/24

£

£

£

Net cash

Cash at bank and in hand

53,677

55,262

108,939

53,677

55,262

108,939

Debt

Finance leases

(405,150

)

(28,485

)

(433,635

)

Debts falling due within 1 year

(1,487,412

)

949,109

(538,303

)

(1,892,562

)

920,624

(971,938

)

Total

(1,838,885

)

975,886

(862,999

)

1.	STATUTORY INFORMATION

South Coast Building Supplies Ltd. 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 General Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Turnover

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

Goodwill

Goodwill is amortised over a period of 10 years. Impairment is considered and adjusted for when deemed necessary.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life of two years.

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.

Short leasehold

-

in accordance with the term of the lease

Plant and machinery

-

25% on reducing balance and 20% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

50% on cost

Stocks

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