Registration number:
Legacie Investments Ltd
for the Period from 1 January 2024 to 30 September 2024
Legacie Investments 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 and Statement of Retained Earnings |
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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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Statement of Cash Flows |
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Notes to the Financial Statements |
Legacie Investments Ltd
Company Information
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Director |
Mr John Morley |
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Registered office |
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Auditors |
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Legacie Investments Ltd
Strategic Report for the period from 1 January 2024 to 30 September 2024
The director presents his strategic report for the period from 1 January 2024 to 30 September 2024.
Principal activity
The principal activity of the group is that of building and construction services.
Fair review of the business
The construction sector, reflecting the wider UK economy in 2024, has been a challenging environment to operate in. The many geopolitical factors, from a new UK government to international tariffs, to foreign conflicts, all have a direct effect on both financial markets and appetites, as well as commodity prices.
Through the trading year we have experienced some easing of inflationary pressures, but this remains against a backdrop of economic uncertainty from previous trading years. Whilst inflation affecting construction costs has been more stable in the last twelve months, construction costs overall remain at the highest levels known in modern times.
Regulatory change has been a major consideration in the construction sector in 2024, with the implementation of the gateway process for high-risk residential buildings. Whilst the regulations brought in by the Building Safety Regulator in October 2023 will bring increased certainty over construction risk, the delays resulting from the gateway process do bring challenges to construction commencement timelines. These challenges should smooth with time as the industry adapts, but they will persist in the short to medium term.
The Group's trading subsidiary, Legacie Contracts Limited, specialises in all residential sectors and the continued requirement for high quality homes in the North West, and the wider UK, places us well despite the above challenges and has been demonstrated by the impressive growth in revenue and order book during the year.
Our partnering and strategic integration model has assisted the business’s year-on-year growth in turnover and profit before tax (PBT). The directors and board continue to be confident in our placement within the market and have established good governance and process to ensure continued growth and resilience.
The group's key financial and other performance indicators during the period were as follows:
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Financial KPIs |
Unit |
2024 |
2023 |
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Turnover |
£m |
116.15 |
97.12 |
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Gross Profit Margin |
% |
3.40 |
2.95 |
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Net Profit Margin |
% |
.70 |
.52 |
Principal risks and uncertainties
The Group has clearly established governance to regularly take assessment of all principal risks. These risks stem from the micro project risks to the macro political, regulatory and geographical risks which remain under systematic review and mitigation.
Legacie Investments Ltd
Strategic Report for the period from 1 January 2024 to 30 September 2024
Section 172(1) statement
In executing our strategy, Directors must act in accordance with a set of general duties detailed in section 172 of the Companies Act 2006. These general duties include a duty to promote the success of the group, and specifically, to act in a way that the Director considers, in good faith, would be most likely to promote the success of the group for the benefit of its shareholders as a whole and, in doing so, having regard (amongst other matters) to the:
- likely impact of any decisions in the long-term
- interests of the employees of the group
- the group's business relationships with stakeholders
- impact of the group's operations on the community and environment
- desirability of the group maintaining a reputation for high standards of business conduct
The above reiterates the Boards understating of the inextricable link between the success of our operations and the long term impact on the environment, our communities and our people.
In order for us to be useful, the Board understand that they must be responsive to change and act in a forward thinking manner.
This statement has been prepared in accordance with the requirements of The Companies (Miscellaneous Reporting) Regulations 2018, which require the group to describe how the Directors have had regard to the matters set out in section 172 of the Companies Act 2006 during the financial year under review.
It is noted that the Directors have always acted in accordance with such duties in their decision making and they will continue to do so. Considering the additional disclosure requirements, we have set out in the strategic report how the Directors have fulfilled their duties during the year ended 30 September 2024.
Non-financial and sustainability information
Energy and carbon report
We are mandated under the Companies (Directors' Report) and Limited Liabilities Partnerships (Energy & Carbon Report) Regulations 2019 to disclosure our energy use and associated greenhouse gas emissions. These disclosures are set out below.
Emissions and energy consumption
Summary of scope 1 (direct) greenhouse gas emissions for the period from 1 January 2024 to 30 September 2024:
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Name and |
Unit of |
2024 |
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Fuel consumed for own transport |
Metric Tonnes |
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Summary of scope 2 (indirect) greenhouse gas emissions for the period from 1 January 2024 to 30 September 2024:
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Name and |
Unit of |
2024 |
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Electricity from grid |
Metric Tonnes |
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Legacie Investments Ltd
Strategic Report for the period from 1 January 2024 to 30 September 2024
Summary of scope 3 (other indirect) greenhouse gas emissions for the period from 1 January 2024 to 30 September 2024:
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Name and |
Unit of |
2024 |
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Fuel consumed for transport not owned |
Metric Tonnes |
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Summary of energy consumption for the period from 1 January 2024 to 30 September 2024:
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Name and |
Unit of |
2024 |
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Aggregate of energy consumption in the year |
kWh |
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Intensity measurement
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Measures taken to improve efficiency
We encourage our sites continue to manage waste in the most environmentally friendly manner.
In the period covered by and following this report, Legacie Contracts Limited has continued to review and develop its Environmental policy in line with industry innovations.
Approved and authorised by the
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Legacie Investments Ltd
Director's Report for the Period from 1 January 2024 to 30 September 2024
The director presents his report and the for the period from 1 January 2024 to 30 September 2024.
Director of the group
The director who held office during the period was as follows:
Information included in the Strategic Report
The group has chosen, in accordance with Companies Act 2006, s.141C (11), to set out in the group's Strategic Report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2006, Sch.7 to be contained in the Directors' Report.
Financial instruments
Objectives and policies
The Group makes limited use of financial instruments, other than an operational bank account. Consequently, its exposure to price risk, credit risk, liquidity risk, and cash flow risk is not considered material for assessing the company's financial position or performance.
Going concern
The financial statements have been prepared on a going concern basis.
This is based on management's assessment of existing projects in progress and the anticipated profitability and consequent cashflows from those projects as forecast for 12 months from the date of signing of these financial statements, as well as potential support from shareholders and the scope for external financing if required.
Based on this review, management are of the opinion that the group will be able to meet its financial obligations as they fall due for the next 12 months from the approval of these accounts.
Disclosure of information to the auditor
The director has taken 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 company's auditor is aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditor is unaware.
Reappointment of auditors
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Williamson & Croft Audit Ltd as auditors of the group is to be proposed at the forthcoming Annual General Meeting.
Approved and authorised by the
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Legacie Investments Ltd
Statement of Director's Responsibilities
The director acknowledges his 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 he 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 him to ensure that the financial statements comply with the Companies Act 2006. He 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.
Legacie Investments Ltd
Independent Auditor's Report to the Members of Legacie Investments Ltd
Opinion
We have audited the financial statements of Legacie Investments Ltd (the 'parent company') and its subsidiaries (the 'group') for the period from 1 January 2024 to 30 September 2024, which comprise the Consolidated Profit and Loss Account and Statement of Retained Earnings, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, 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 30 September 2024 and of the group's profit for the period 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.
Legacie Investments Ltd
Independent Auditor's Report to the Members of Legacie Investments Ltd
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Director's Report for the financial period 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:
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We obtained an understanding of the legal and regulatory frameworks that are applicable to the group and parent company through discussions with management and determined that the most significant are the Companies Act 2006, Construction Indutry Scheme (CIS), GDPR, Employment Law and Health and Safety Regulations including Building Safety Act 2022 and Construction (Design and Management) Regulations 2015. |
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Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved review of the documented policies and procedures, legal costs incurred during the period, reports from regulators and discussions with the Board of Directors and key management personnel. |
Legacie Investments Ltd
Independent Auditor's Report to the Members of Legacie Investments Ltd
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We assessed the susceptibility of the group’s financial statements to material misstatement, including how fraud might occur by considering the key risks impacting the financial statements. We assessed this risk as low due to oversight by management and by the Board of Directors as well segregation of duties and other key controls in the business. |
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We have reviewed the group and parent company’s control environment and assessed that it is adequate for an entity of its size and nature. |
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We designed our audit testing to review the presumed risk under ISA (UK) 240 that that revenue may be misstated due to the improper recognition of revenue and that management over-ride of controls is present in all entities. |
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.
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For and on behalf of
20 York Street
Manchester
M2 3BB
Legacie Investments Ltd
Consolidated Profit and Loss Account and Statement of Retained Earnings for the Period from 1 January 2024 to 30 September 2024
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Note |
2024 |
2023 |
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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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Operating profit |
|
|
|
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Other interest receivable and similar income |
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- |
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Interest payable and similar charges |
( |
( |
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(4) |
(14) |
||
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Profit before tax |
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Taxation |
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Profit for the financial period |
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Profit/(loss) attributable to: |
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Owners of the company |
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Retained earnings brought forward |
1,105 |
601 |
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Retained earnings carried forward |
1,920 |
1,105 |
Legacie Investments Ltd
(Registration number: 13780655)
Consolidated Balance Sheet as at 30 September 2024
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Note |
2024 |
2023 |
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Fixed assets |
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Tangible assets |
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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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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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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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Retained earnings |
1,920 |
1,105 |
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Shareholder's funds |
1,920 |
1,105 |
Approved and authorised by the
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Legacie Investments Ltd
(Registration number: 13780655)
Balance Sheet as at 30 September 2024
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Note |
2024 |
2023 |
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Fixed assets |
|||
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Investments |
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Capital and reserves |
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Called up share capital |
100 |
100 |
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Shareholder's funds |
100 |
100 |
The company made a profit of £Nil for the financial period ended 30 September 2024 and for the financial period ended 31 December 2023.
Approved and authorised by the
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Legacie Investments Ltd
Consolidated Statement of Changes in Equity for the Period from 1 January 2024 to 30 September 2024
Equity attributable to the parent company
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Retained earnings |
Total |
Total equity |
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At 1 January 2024 |
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Profit for the period |
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At 30 September 2024 |
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Retained earnings |
Total |
Total equity |
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At 1 January 2023 |
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Profit for the period |
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At 31 December 2023 |
1,105 |
1,105 |
1,105 |
Legacie Investments Ltd
Statement of Changes in Equity for the Period from 1 January 2024 to 30 September 2024
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Share capital |
Retained earnings |
Total |
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At 30 September 2024 |
- |
- |
- |
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Share capital |
Retained earnings |
Total |
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At 31 December 2023 |
- |
- |
- |
Legacie Investments Ltd
Consolidated Statement of Cash Flows for the Period from 1 January 2024 to 30 September 2024
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Note |
2024 |
2023 |
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Cash flows from operating activities |
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Profit for the period |
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Adjustments to cash flows from non-cash items |
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Depreciation and amortisation |
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Finance income |
( |
- |
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Finance costs |
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Income tax expense |
( |
( |
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Working capital adjustments |
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Increase in trade debtors |
( |
( |
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Increase in trade creditors |
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Cash generated from operations |
( |
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Income taxes received |
- |
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Net cash flow from operating activities |
( |
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Cash flows from investing activities |
|||
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Interest received |
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- |
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Acquisitions of tangible assets |
( |
( |
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Net cash flows from investing activities |
( |
( |
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Cash flows from financing activities |
|||
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Interest paid |
( |
( |
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Proceeds/(repayments) of bank loans |
( |
( |
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Net cash flows from financing activities |
( |
( |
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Net (decrease)/increase in cash and cash equivalents |
( |
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Cash and cash equivalents at 1 October |
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Cash and cash equivalents at 30 September |
2,226 |
3,629 |
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Legacie Investments Ltd
Statement of Cash Flows for the Period from 1 January 2024 to 30 September 2024
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2024 |
2023 |
|
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Cash flows from operating activities |
||
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Profit/(loss) for the period |
- |
- |
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Net cash flow from operating activities |
- |
- |
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Net increase/(decrease) in cash and cash equivalents |
- |
- |
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Cash and cash equivalents at 1 January |
- |
- |
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Cash and cash equivalents at 30 September |
- |
- |
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 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:
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 presented in sterling which is the functional currency of the company.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 September 2024.
The component entity accounts are presented for the 12 month period to 30 September 2024 while the comparative component accounts are presented for the 12 month period to 30 September 2023. Given the non-trading nature of the parent company it has been deemed impractical to amend the component statements to align with the parent year end across the current and comparative periods.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 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.
This is based on management's assessment of existing projects in progress and the anticipated profitability and consequent cashflows from those projects as forecast for 12 months from the date of signing of these financial statements, as well as potential support from shareholders and the scope for external financing if required.
Based on this review, management are of the opinion that the company will be able to meet its financial obligations as they fall due for the next 12 months from the approval of these accounts.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
Key sources of estimation uncertainty
Accounting for contracts:
Contract accounting requires estimates to be made for contract costs and income. In many cases, these contractual obligations span more than one financial period. Also, the costs and income may be affected by a number of uncertainties that depend on the outcome of future events and may need to be revised as events unfold and uncertainties are resolved.
Management bases its estimation of costs and income and its assessment of the expected outcome of each contractual obligation on the latest available information, which includes detailed contract valuations and forecasts of the costs to complete. The estimates of the contract position, reflecting both the forecasted costs and the reliable estimate of the forecasted revenue on each contract, and the profit or loss earned to date are updated regularly and significant changes are highlighted through established internal reporting and review procedures. The impact of any change in the accounting estimates is then reflected in 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 and after eliminating sales within the group.
The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.
Contract revenue recognition
Turnover is recognised at the fair value of the consideration received or receivable for the provision of services
to external customers in the ordinary nature of the business. The fair value of consideration takes into accounts
trade discounts, settlement discounts and volume rebates.
For long term contracts, profit is recognised by reference to the stage of completion of each contract where there
is reasonable certainty that the contract will be profitable. Where the outcome of the contract cannot be
established with reasonable certainty, revenue is only recognised to the extent that it is probable it will be
recoverable. Foreseeable losses are provided for in full at the point at which the loss is anticipated.
The stage of completion for each contract is measured by Legacie's quantity surveyor based on the level of work
performed, as estimated by the percentage of costs incurred against total forecast cost, taking into account
expected contract profitability.
Where amounts invoiced exceed the value of the work done, the excess is accounted for as payments received
on account and is included within accruals and deferred income. Where the value of the work exceeds the
amounts invoiced, the excess is accounted for as amounts recoverable on contracts and is included within
prepayments and accrued income.
Tax
The tax expense for the period comprises current tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
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.
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.
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:
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Asset class |
Depreciation method and rate |
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Plant and machinery |
15% straight line |
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.
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 that 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.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
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.
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.
|
Turnover |
The analysis of the group's turnover for the period from continuing operations is as follows:
|
2024 |
2023 |
|
|
Rendering of services |
|
|
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
The turnover of the group is entirely generated from the group's principal activity of building and construction services and is wholly within the United Kingdom.
|
Operating profit |
Arrived at after charging/(crediting)
|
2024 |
2023 |
|
|
Depreciation expense |
|
|
|
Other interest receivable and similar income |
|
2024 |
2023 |
|
|
Interest income |
|
- |
|
Interest payable and similar expenses |
|
2024 |
2023 |
|
|
Interest on bank overdrafts and borrowings |
|
|
|
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 |
|
|
|
|
|
The average number of persons employed by the group (including the director) during the period, analysed by category was as follows:
|
2024 |
2023 |
|
|
Other departments |
|
|
|
|
|
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Director's remuneration |
The director's remuneration for the period was as follows:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
308 |
292 |
|
Auditors' remuneration |
|
2024 |
2023 |
|
|
Audit of these financial statements |
18 |
18 |
|
Other fees to auditors |
||
|
Taxation compliance services |
|
|
|
All other non-audit services |
|
|
|
|
|
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2024 |
2023 |
|
|
Current taxation |
||
|
UK corporation tax |
( |
( |
The tax on profit before tax for the period is lower than the standard rate of corporation tax in the UK (2023 - lower than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2024 |
2023 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Increase in UK and foreign current tax from adjustment for prior periods |
- |
|
|
Tax decrease from effect of capital allowances and depreciation |
( |
( |
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
- |
|
Tax decrease from effect of adjustment in research and development tax credit |
( |
( |
|
Total tax credit |
( |
( |
For financial years beginning on or after 1 April 2023, the corporation tax rate was increased to 25% for profits over £250,000. A small profits rate (SPR) was also introduced for companies with profits of £50,000 or less so that they will continue to pay corporation tax at 19%. Companies with profits between £50,000 and £250,000 will pay tax at the main rate reduced by marginal relief.
In the comparative period, an effective tax rate of 22% was therefore applicable due to the change in tax rates being implemented during that period.
The group has trading tax losses carried forward of £1,756,821 (2023: £1,756,821).
No deferred tax asset is recognised in respect of these tax losses (except to the extent that such an asset offsets any deferred tax liabilities) on the basis that the timing and quantum of the future utilisation of these losses is uncertain.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Tangible assets |
Group
|
Furniture, fittings and equipment |
Total |
|
|
Cost or valuation |
||
|
At 1 January 2024 |
|
|
|
Additions |
|
|
|
At 30 September 2024 |
|
|
|
Depreciation |
||
|
At 1 January 2024 |
|
|
|
Charge for the period |
|
|
|
At 30 September 2024 |
|
|
|
Carrying amount |
||
|
At 30 September 2024 |
|
|
|
At 31 December 2023 |
|
|
|
Investments |
Company
|
Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 1 January 2024 |
|
|
Provision |
|
|
Carrying amount |
|
|
At 30 September 2024 |
|
|
At 31 December 2023 |
|
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
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 |
||||
|
|
80 & 82 Great George Street, Liverpool, England, L1 5FF United Kingdom |
|
|
|
|
Debtors |
|
Group |
Company |
||||
|
Current |
Note |
2024 |
2023 |
2024 |
2023 |
|
Trade debtors |
|
|
- |
- |
|
|
Amounts owed by related parties |
|
|
- |
- |
|
|
Other debtors |
|
|
- |
- |
|
|
Prepayments |
|
|
- |
- |
|
|
Accrued income |
|
|
- |
- |
|
|
Income tax asset |
|
|
- |
- |
|
|
|
|
- |
- |
||
Included within Trade Debtors is £9,480,384 (2023: £10,134,275) owing from related parties, being companies which are under control.
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Cash at bank |
|
|
- |
- |
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Creditors |
|
Group |
Company |
||||
|
Note |
2024 |
2023 |
2024 |
2023 |
|
|
Due within one year |
|||||
|
Loans and borrowings |
|
|
- |
- |
|
|
Trade creditors |
|
|
- |
- |
|
|
Amounts due to related parties |
|
|
- |
- |
|
|
Social security and other taxes |
|
|
- |
- |
|
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
|
Other payables |
|
- |
- |
- |
|
|
Accruals |
|
|
- |
- |
|
|
|
|
- |
- |
||
|
Due after one year |
|||||
|
Loans and borrowings |
|
|
- |
- |
|
|
Other non-current financial liabilities |
|
|
- |
- |
|
|
|
|
- |
- |
||
Included within Trade Creditors is £5,572,476 (2023: £5,477,656) due to related parties, being companies which are under common control.
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the period 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. |
£ |
|
|
100 |
|
100 |
|
100 |
|
Reserves |
Group
Reserves held by the group and company and how they have arisen are as follows, as outlined in the Statement of changes in equity on pages 13 and 14:
Share capital
Ordinary share capital issued to shareholders
Retained earnings
Cumulative retained profits and losses
Legacie Investments Ltd
Notes to the Financial Statements for the Period from 1 January 2024 to 30 September 2024
|
Loans and borrowings |
Non-current loans and borrowings
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Bank borrowings |
|
|
- |
- |
Current loans and borrowings
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Bank borrowings |
|
|
- |
- |
|
Related party transactions |
Group
Summary of transactions with all entities with joint control or significant interest
The group also recharges certain shared expenses at cost to companies under common control and those amounts are included in the relevant expenditure heading.
|
Parent and ultimate parent undertaking |
The ultimate controlling party is