Registration number:
Azimuth Motors Holdings Ltd.
for the Year Ended 31 December 2024
Azimuth Motors Holdings Ltd.
Contents
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Company Information |
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Strategic Report |
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Director's Report |
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Statement of Director's Responsibilities |
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Independent Auditor's Report |
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Consolidated Profit and Loss Account |
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Consolidated Balance Sheet |
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Balance Sheet |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Azimuth Motors Holdings Ltd.
Company Information
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Director |
A Moiseeva |
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Registered office |
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Auditors |
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Azimuth Motors Holdings Ltd.
Strategic Report for the Year Ended 31 December 2024
The director presents her strategic report for the year ended 31 December 2024.
Principal activity
The principal activity of the company is that of a holding company. The group conducts the purchasing, selling, and repairing motor vehicles and other ancillary services.
Fair review of the business
The Group delivered a robust performance in 2024, building on the steady progress of the previous year. Total turnover increased significantly to £58,283,120 (2023: £51,869,483), reflecting strong trading across all core departments. Gross profit rose to £7,668,609 (2023: £6,817,806), demonstrating effective margin management despite competitive market conditions. Despite this, the financial statements show a loss in the year with results adversely impacted by dilapidations on leased properties and interest charges on loan funding.
New Vehicle Sales
The new vehicle department achieved turnover of £25,414,067 with a gross profit of £736,692. A total of 988 new vehicles were sold in 2024, representing an increase from 873 units in 2023. This growth in new car sales demonstrates the group’s ability to capture market share despite ongoing supply constraints and shifting consumer preferences, which continue to impact the wider new vehicle market.
Used Vehicle Sales
Used vehicle turnover reached £23,816,214 with a gross profit of £2,229,288. The group sold 2,325 used vehicles, a substantial increase from 2,151 units in 2023. This growth underlines the ongoing strength and resilience of the used car market, which continues to offset softness in new vehicle sales.
Aftersales Departments
• Parts department turnover was £4,115,785 (gross profit £656,678), up from £3,560,000 in 2023, reflecting continued demand for genuine parts and accessories.
• Service department turnover increased to £4,339,835 (gross profit £2,938,780), compared to £3,680,000 in 2023. The growth in service revenue is closely linked to the higher volume of used vehicles sold, as these vehicles typically generate greater aftersales activity and technician labor hours.
• Bodyshop sales totaled £190,443 with a gross profit of £41,676, maintaining a stable contribution to group results.
Expenses and Profitability
Total administrative expenses rose to £7,890,963 (2023: £5,849,628), reflecting inflationary pressures and increased operational activity. Despite higher costs, the company maintained a healthy net profit margin, supported by strong performance in used vehicles and aftersales.
Azimuth Motors Holdings Ltd.
Strategic Report for the Year Ended 31 December 2024
Principal risks and uncertainties
The management of the business and the nature of the group's strategy are subject to a number of risks. The directors have set out below the principal risks facing the business.
a) Manufacturer Supply and Product Mix
The group remains dependent on its manufacturer partners for the supply and pricing of new vehicles. Ongoing supply chain disruptions and model changes may continue to impact new vehicle availability and margins. The group mitigates this risk with a strong focus on used vehicle operations and aftersales growth.
b) Economic and Market Conditions
Consumer confidence and discretionary spending remain vital to business performance. Risks from inflation, interest rate changes, and broader economic uncertainty could affect demand for both new and used vehicles. The group continues to monitor economic indicators and adjust its sales and marketing strategies accordingly.
c) Development and Performance
The significant shift from new to used vehicle sales highlights the importance of adapting to evolving market dynamics. The group is committed to expanding its used vehicle offering and enhancing its aftersales proposition to maintain profitability and customer loyalty.
d) Regulatory and Industry Risks
Future risks include changes in emissions regulations, the transition to electric vehicles, and potential changes in government policy affecting vehicle taxation and incentives. The group continues to invest in staff training and infrastructure to remain compliant and competitive.
e) Brexit and Geopolitical Uncertainty
The impact of Brexit and other geopolitical factors, particularly regarding tariffs and the importation of new vehicles and parts, continues to be monitored. The group remains well-placed to capitalize on opportunities in the used vehicle market, which is less exposed to these risks.
f) Technological Change and Consumer Preferences
Rapid advances in automotive technology and changing consumer preferences (e.g., increased demand for electric vehicles and digital retailing) present both risks and opportunities. The group is investing in staff expertise and digital platforms to meet these challenges.
The Board remains confident in the group’s strategy and its ability to deliver sustainable growth, underpinned by a balanced business model and a commitment to customer service excellence.
The company's key financial and other performance indicators during the year were as follows:
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Financial KPIs |
Unit |
2024 |
2023 |
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New units |
988 |
873 |
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Used units |
2,325 |
2,151 |
Approved and authorised by the
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Azimuth Motors Holdings Ltd.
Director's Report for the Year Ended 31 December 2024
The director presents her report and the for the year ended 31 December 2024.
Director of the group
The director who held office during the year was as follows:
Financial instruments
Objectives and policies
The company uses various financial instruments which include stocking loans, loans from the director, cash, trade debtors and trade creditors that arise directly from operations. The main purpose of these financial instruments is to raise finance for the company's operations. Their existance exposes the company to a number of financial risks.
The main risks arising from the company's financial instruments are interest rate risk, liquidity risk and credit risk. The directors review and agree policies for managing each of these risks which are summarised below. These policies have remained unchanged from previous years.
Price risk, credit risk, liquidity risk and cash flow risk
Liquidity risk
The comapny seeks to manage risk by ensuring sufficient liquidity is available to meet forseeable needs to invest cash assets safelt and profitably.
The company's policy throughout the year has been to achieve this objective through the day to day involvement of management in business decisions rather than through setting maximum or minimum liquidity ratios.
Interest rate risk
The company finances its operations through a mixture of shareholder funding and other external borrowings. The company's exposure to interest rate fluctuations on its borrowings is managed through day to day involvement of management in business decisions rather than through setting maximum and minimum levels of the level of fixed interest rate borrowings.
Credit risk
The company's pricipal financial assets are cash and trade debtors. The credit risk associated with the cash is limited as counterparts have high credit ratings assigned by international credit-rating agencies. The principal credit risk therefore arises from its trade debtors.
In order to manage credit risk, the director sets credit limits for customers based on a combination of payment history and third party credit references. Credit limits are reviewed by the director on a regular basis in conjunction with debt ageing and collection history.
Azimuth Motors Holdings Ltd.
Director's Report for the Year Ended 31 December 2024
Disclosure of information to the auditor
The director has taken steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditor is aware of that information. The director confirms that there is no relevant information that she knows of and of which she knows the auditor is unaware.
Approved and authorised by the
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Azimuth Motors Holdings Ltd.
Statement of Director's Responsibilities
The director acknowledges her responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless she is satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable her to ensure that the financial statements comply with the Companies Act 2006. She is also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Azimuth Motors Holdings Ltd.
Independent Auditor's Report to the Members of Azimuth Motors Holdings Ltd.
Opinion
We have audited the financial statements of Azimuth Motors Holdings Ltd. (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, 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 group's and the parent company's affairs as at 31 December 2024 and of the group's 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 auditor 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
Other information
The director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
Azimuth Motors Holdings Ltd.
Independent Auditor's Report to the Members of Azimuth Motors Holdings Ltd.
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the information given in the Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our 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 and the Director's Report.
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 director's remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of the director
As explained more fully in the Statement of Director's Responsibilities [set out on page 6], the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor Responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Azimuth Motors Holdings Ltd.
Independent Auditor's Report to the Members of Azimuth Motors Holdings Ltd.
Detecting irregularities, including fraud
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. As such, we have considered:
• the nature of the industry and sector, control environment and business performance including the group's remuneration policies, bonus levels, and performance targets;
• the group's own assessment, including assessments made by key management, of the risks that irregularities may occur either as a result of fraud or error;
• any matters we identified having reviewed the company's policies and procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or
alleged fraud; and
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
• the matters discussed amongst the audit engagement team.
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the areas in which management is required to exercise significant judgement, such as the disclosure of adjusting items. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
We also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context were the Companies Act, tax legislation and regulations concerning importing and exporting to and from the UK.
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 or intentional misrepresentations, or through collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
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 an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Azimuth Motors Holdings Ltd.
Independent Auditor's Report to the Members of Azimuth Motors Holdings Ltd.
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For and on behalf of
Newbury
Berkshire
RG14 1QL
Azimuth Motors Holdings Ltd.
Consolidated Profit and Loss Account for the Year Ended 31 December 2024
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Note |
2024 |
(As restated) |
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Turnover |
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Cost of sales |
( |
( |
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Gross profit |
|
|
|
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Administrative expenses |
( |
( |
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Other operating income |
- |
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Operating (loss)/profit |
( |
|
|
|
Other interest receivable and similar income |
|
|
|
|
Interest payable and similar expenses |
( |
( |
|
|
(224,407) |
(194,476) |
||
|
(Loss)/profit before tax |
( |
|
|
|
Tax on (loss)/profit |
( |
( |
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(Loss)/profit for the financial year |
( |
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|
|
Profit/(loss) attributable to: |
|||
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Owners of the company |
( |
|
The group has no recognised gains or losses for the year other than the results above.
Azimuth Motors Holdings Ltd.
(Registration number: 09490423)
Consolidated Balance Sheet as at 31 December 2024
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Note |
2024 |
(As restated) |
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Fixed assets |
|||
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Intangible assets |
|
|
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Tangible assets |
|
|
|
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Investment property |
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|
|
|
|
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||
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Current assets |
|||
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Stocks |
|
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Debtors |
|
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|
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Cash at bank and in hand |
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|
|
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||
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Creditors: Amounts falling due within one year |
( |
( |
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|
Net current assets |
|
|
|
|
Total assets less current liabilities |
|
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
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Provisions for liabilities |
( |
( |
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Net assets |
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|
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Capital and reserves |
|||
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Called up share capital |
141 |
141 |
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Share premium reserve |
2,812,100 |
2,812,100 |
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Retained earnings |
1,712,102 |
2,174,407 |
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Equity attributable to owners of the company |
4,524,343 |
4,986,648 |
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Shareholders' funds |
4,524,343 |
4,986,648 |
Approved and authorised by the
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Azimuth Motors Holdings Ltd.
(Registration number: 09490423)
Balance Sheet as at 31 December 2024
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Note |
2024 |
(As restated) |
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Fixed assets |
|||
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Tangible assets |
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Investment property |
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Investments |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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||
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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|
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Creditors: Amounts falling due after more than one year |
( |
( |
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Net assets |
|
|
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Capital and reserves |
|||
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Called up share capital |
141 |
141 |
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Share premium reserve |
2,812,100 |
2,812,100 |
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Retained earnings |
(329,598) |
12,940 |
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Shareholders' funds |
2,482,643 |
2,825,181 |
The company made a loss after tax for the financial year of £342,538 (2023 - loss of £51,282).
Approved and authorised by the
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Azimuth Motors Holdings Ltd.
Consolidated Statement of Changes in Equity for the Year Ended 31 December 2024
Equity attributable to the parent company
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Share capital |
Share premium |
Retained earnings |
Total |
Total equity |
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At 1 January 2023 |
|
|
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|
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Profit for the year |
- |
- |
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At 31 December 2023 |
141 |
2,812,100 |
2,174,407 |
4,986,648 |
4,986,648 |
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Share capital |
Share premium |
Retained earnings |
Total |
Total equity |
|
|
At 1 January 2024 |
|
|
|
|
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Loss for the year |
- |
- |
( |
( |
( |
|
At 31 December 2024 |
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Azimuth Motors Holdings Ltd.
Statement of Changes in Equity for the Year Ended 31 December 2024
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Share capital |
Share premium |
Retained earnings |
Total |
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At 1 January 2023 |
|
|
|
|
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Loss for the year |
- |
- |
( |
( |
|
At 31 December 2023 |
141 |
2,812,100 |
12,940 |
2,825,181 |
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Share capital |
Share premium |
Retained earnings |
Total |
|
|
At 1 January 2024 |
|
|
|
|
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Loss for the year |
- |
- |
( |
( |
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At 31 December 2024 |
|
|
( |
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Azimuth Motors Holdings Ltd.
Consolidated Statement of Cash Flows for the Year Ended 31 December 2024
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Note |
2024 |
(As restated) |
|
|
Cash flows from operating activities |
|||
|
(Loss)/profit for the year |
( |
|
|
|
Adjustments to cash flows from non-cash items |
|||
|
Depreciation and amortisation |
|
|
|
|
Finance income |
( |
( |
|
|
Finance costs |
|
|
|
|
Income tax expense |
|
|
|
|
|
|
||
|
Working capital adjustments |
|||
|
(Increase)/decrease in stocks |
( |
|
|
|
Increase in trade debtors |
( |
( |
|
|
Decrease in trade creditors |
( |
( |
|
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Increase in provisions |
|
- |
|
|
Cash generated from operations |
|
|
|
|
Income taxes paid |
(289,203) |
(285,391) |
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Interest paid |
(24,085) |
(111,341) |
|
|
Net cash flow from operating activities |
( |
|
|
|
Cash flows from investing activities |
|||
|
Interest received |
|
|
|
|
Acquisitions of tangible assets |
( |
( |
|
|
Net cash flows from investing activities |
( |
( |
|
|
Cash flows from financing activities |
|||
|
New loans |
|
|
|
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
|
Cash and cash equivalents at 1 January |
|
|
|
|
Cash and cash equivalents at 31 December |
4,245,814 |
6,609,103 |
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
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General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
The principal place of business is:
Slough House
87-89 Farnham Road
Slough
Berkshire
SL1 4UN
England
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The financial statements are prepared in sterling, which is the functional currency of the company, and rounded to the nearest pound.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 December 2024.
No Profit and Loss Account is presented for the company as permitted by section 408 of the Companies Act 2006. The company made a loss after tax for the financial year of £342,538 (2023 - loss of £51,282).
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
Prior period adjustments
The comparatives have been adjusted to reduce both sales and cost of sales by £1,015,845, this is due to internal transfers grossing up sales and cost of sales.
There is a £680,000 decrease in current liabilities and increase in non-current liabilities in the comparative period. This is due to reclassification of a director loan.
Judgements
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
Key sources of estimation uncertainty
Stock valuation is regularly monitored against age profile and market demand. Management use a number of market tools during the appraisal process including Glass' and CAP valuation guides. The director maintains oversight of ageing stock profiles and a monthly review of any provision required is performed. Used vehicles had a carrying amount of £2,683,254 (2023 -£2,923,440).
Vauxhall bonus valuation is regualarly monitored against through the performance feedback provided by Vauxhall, which enables the company to estimate the probable income that they will receive in respect of commission bonus for the year. The commission earned in the year is disclosed in the notes to the financial statements.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
Tax
The tax expense for the period comprises current tax payable and deferred tax.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
|
Asset class |
Depreciation method and rate |
|
Land and buildings |
10% straight line |
|
Plant and machinery |
8-33% straight line |
|
Fixtures and fittings |
5-10% straight line |
|
Office equipment |
20-33% straight line |
|
Leasehold property |
over the life of the lease |
Investment property
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
|
Asset class |
Amortisation method and rate |
|
Goodwill |
10% straight line |
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Provisions
Provisions are recognised when the group has an obligation at the reporting date as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the 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.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
Financial instruments
Classification
Recognition and measurement
Financial assets are only offset in the Balance Sheet when there exists a legally enforceable right to set off the recognised amounts and the company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled; or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party; or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
Impairment
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been effected. 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.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
|
2024 |
(As restated) |
|
|
Sale of goods |
|
|
|
Rendering of services |
|
|
|
Rental income from investment property |
- |
|
|
Commissions received |
|
|
|
Other revenue |
|
|
|
|
|
|
Operating (loss)/profit |
Arrived at after charging/(crediting)
|
2024 |
2023 |
|
|
Depreciation expense |
|
|
|
Amortisation expense |
|
|
|
Operating lease expense - property |
|
|
|
Other interest receivable and similar income |
|
2024 |
2023 |
|
|
Interest income on bank deposits |
|
|
|
Other finance income |
|
|
|
|
|
|
Interest payable and similar expenses |
|
2024 |
2023 |
|
|
Interest expense on other finance liabilities |
|
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Staff costs |
The aggregate payroll costs (including director's remuneration) were as follows:
|
2024 |
2023 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the group (including the director) during the year, analysed by category was as follows:
|
2024 |
2023 |
|
|
Administration and support |
|
|
|
Sales |
|
|
|
Distribution |
|
|
|
|
|
|
Director's remuneration |
The director's remuneration for the year was as follows:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
36,140 |
29,116 |
During the year the number of directors who were receiving benefits and share incentives was as follows:
|
2024 |
2023 |
|
|
Accruing benefits under defined benefit pension scheme |
|
|
|
Auditors' remuneration |
|
2024 |
2023 |
|
|
Audit of these financial statements |
24,500 |
22,250 |
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2024 |
2023 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
UK corporation tax adjustment to prior periods |
- |
( |
|
87,992 |
290,294 |
|
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
( |
|
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2024 |
(As restated) |
|
|
(Loss)/profit before tax |
( |
|
|
Corporation tax at standard rate |
( |
|
|
Tax increase/(decrease) from effect of capital allowances and depreciation |
|
( |
|
Effect of expense not deductible in determining taxable profit (tax loss) |
( |
|
|
Deferred tax (credit)/expense relating to changes in tax rates or laws |
( |
|
|
Tax decrease from changes in tax provisions due to legislation |
- |
( |
|
Tax increase/(decrease) from other tax effects |
|
( |
|
Total tax charge |
|
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Intangible assets |
Group
|
Goodwill |
Total |
|
|
Cost or valuation |
||
|
At 1 January 2024 |
|
|
|
At 31 December 2024 |
|
|
|
Amortisation |
||
|
At 1 January 2024 |
|
|
|
Amortisation charge |
|
|
|
At 31 December 2024 |
|
|
|
Carrying amount |
||
|
At 31 December 2024 |
|
|
|
At 31 December 2023 |
|
|
|
Tangible assets |
Group
|
Land and buildings |
Furniture, fittings and equipment |
Total |
|
|
Cost or valuation |
|||
|
At 1 January 2024 |
|
|
|
|
Additions |
|
|
|
|
At 31 December 2024 |
|
|
|
|
Depreciation |
|||
|
At 1 January 2024 |
|
|
|
|
Charge for the year |
|
|
|
|
At 31 December 2024 |
|
|
|
|
Carrying amount |
|||
|
At 31 December 2024 |
|
|
|
|
At 31 December 2023 |
|
|
|
Included within the net book value of land and buildings above is £12,055,243 (2023 - £4,805,123) in respect of freehold land and buildings and £1,851,049 (2023 - £2,190,327) in respect of long leasehold land and buildings.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
Company
|
Land and buildings |
Total |
|
|
Cost or valuation |
||
|
At 1 January 2024 |
|
|
|
Additions |
|
|
|
At 31 December 2024 |
|
|
|
Depreciation |
||
|
At 1 January 2024 |
|
|
|
Charge for the year |
|
|
|
At 31 December 2024 |
|
|
|
Carrying amount |
||
|
At 31 December 2024 |
|
|
|
At 31 December 2023 |
|
|
Included within the net book value of land and buildings above is £12,055,243 (2023 - £4,805,123) in respect of freehold land and buildings and £1,450,628 (2023 - £1,868,528) in respect of long leasehold land and buildings.
|
Investment properties |
Group
|
2024 |
|
|
At 1 January |
|
|
At 31 December |
|
There has been no valuation of investment property by an independent valuer.
Company
|
2024 |
|
|
At 1 January |
|
|
At 31 December |
|
There has been no valuation of investment property by an independent valuer.
|
Investments |
Company
|
2024 |
2023 |
|
|
Investments in subsidiaries |
|
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 1 January 2024 |
|
|
Provision |
|
|
Carrying amount |
|
|
At 31 December 2024 |
|
|
At 31 December 2023 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2024 |
2023 |
|||
|
Subsidiary undertakings |
||||
|
|
Slough House, 87-89 Farnham Road, Slough, Berkshire, SL1 4UN England and Wales |
|
|
|
|
Subsidiary undertakings |
|
Advance Motors Ltd The principal activity of Advance Motors Ltd is |
|
Stocks |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Raw materials and consumables |
|
|
- |
- |
|
Other inventories |
|
|
- |
- |
|
|
|
- |
- |
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Debtors |
|
Group |
Company |
||||
|
Current |
Note |
2024 |
2023 |
2024 |
2023 |
|
Trade debtors |
|
|
|
|
|
|
Amounts owed by related parties |
- |
- |
|
|
|
|
Other debtors |
|
|
- |
- |
|
|
Prepayments |
|
|
- |
- |
|
|
|
|
|
|
||
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Cash at bank |
|
|
|
|
|
Creditors |
|
Group |
Company |
||||
|
Note |
2024 |
(As restated) |
2024 |
(As restated) |
|
|
Due within one year |
|||||
|
Trade creditors |
|
|
|
|
|
|
Social security and other taxes |
|
|
- |
- |
|
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
|
Other payables |
|
|
- |
|
|
|
Accruals |
|
|
|
|
|
|
Income tax liability |
87,992 |
289,203 |
87,992 |
67,495 |
|
|
|
|
|
|
||
|
Due after one year |
|||||
|
Loans and borrowings |
|
|
|
|
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Provisions for liabilities |
Group
|
Deferred tax |
Other provisions |
Total |
|
|
At 1 January 2024 |
|
- |
|
|
Additional provisions |
- |
|
|
|
Increase (decrease) in existing provisions |
( |
- |
( |
|
At 31 December 2024 |
|
|
|
|
|
|||
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2024 |
2023 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
141 |
|
141 |
Rights, preferences and restrictions
|
Ordinary Shares have the following rights, preferences and restrictions: |
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Loans and borrowings |
Non-current loans and borrowings
|
Group |
Company |
|||
|
2024 |
(As restated) |
2024 |
(As restated) |
|
|
Other borrowings |
|
|
|
|
The company borrowings are:
1) A loan for £4,490,000. The amount is unsecured and interest charged at 5% per annum. The loan is fully repayable in 2027.
2) A loan with the director, taken out in 2023 for £680,000. This amount is unsecured and interest charged at 3% per annum. The loans are fully repayable in 2026.
3) Two loans with another lender, taken out in 2023 for £2,500,000 and £500,000. These amounts are unsecured and interest charged at 3% per annum. The loans are fully repayable in 2028.
4) A loan for £1,000,000 was taken out in 2024. These amounts are unsecured and interest charged at 4% per annum. The loan is fully repayable in 2029.
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Operating leases - lessor
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
Total contingent rents recognised as income in the period are £
Company
Operating leases - lessor
The total of future minimum lease payments is as follows:
|
2024 |
2023 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
Total contingent rents recognised as income in the period are £
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Analysis of changes in net debt |
Group
|
(As restated) |
Cash Flows |
Other non-cash changes |
At 31 December 2024 |
|
|
Cash and cash equivalents |
||||
|
Cash |
6,609,103 |
(2,363,289) |
- |
4,245,814 |
|
Borrowings |
||||
|
Long term borrowings |
(8,169,972) |
(5,589,979) |
(3,580,634) |
(17,340,585) |
|
Other payables |
(3,580,634) |
- |
3,580,634 |
- |
|
Accrued Interest |
(682,588) |
- |
(370,199) |
(1,052,787) |
|
(12,433,194) |
(5,589,979) |
(370,199) |
(18,393,372) |
|
|
|
||||
|
( |
( |
( |
( |
|
Azimuth Motors Holdings Ltd.
Notes to the Financial Statements for the Year Ended 31 December 2024
|
Related party transactions |
Group
|
Other transactions with the director |
The company has an interest free loan from the director. At the balance sheet date the value of this loan was £8,850,620 (2023: £4,260,634).
Company
Summary of transactions with other related parties
1) In 2021, £4,489,986 was loaned from a company incorporated in the British Virgin Islands and with common directors. At the balance sheet date £4,489,986 (2023: £4,489,986) remained outstanding in respect of the principal loan balance. Included in accruals is an amount of £838,337 (2023: £613,838) relating to unpaid interest on this loan.
2) In 2023, £2,999,986 was loaned from a company incorporated in Cyprus and with common directors. At the balance sheet date £2,999,986 (2023: £2,999,986) remained outstanding in respect of the principal loan balance. Included in accruals is an amount of £153,750 (2023: £68,750) relating to unpaid interest on this loan.
3) During the year, £1,000,000 was loaned from a company incorporated in Cyprus and with common directors. At the balance sheet date £999,993 (2023: £nil) remained outstanding in respect of the principal loan balance.
|
Parent and ultimate parent undertaking |
The ultimate controlling party is