Hannon Transport Limited iXBRL

Company Registration Number: NI042118

Hannon Transport Limited

Reports and Financial Statements

for the financial year ended 31 December 2024

Hannon Transport Limited

DIRECTORS AND OTHER INFORMATION


Directors	Aodh Hannon
	Teresa Hannon
	David Burnett (Appointed 21 October 2024)
	Gary McLaren (Appointed 21 October 2024)
	Joe Kavanagh (Appointed 21 October 2024)
	Jonathan Boyle (Appointed 21 October 2024)


Company Secretary	Aodh Hannon


Company Registration Number	NI042118


Registered Office and Business Address	21 Brankinstown Road
	Aghalee
	Lurgan
	Co. Armagh
	BT67 0DF
	United Kingdom


Independent Auditors	Cooper Parry Audit (Ireland) Limited
	36-38 Northland Row
	Dungannon
	Co. Tyrone
	BT71 6AP
	Northern Ireland


Bankers	HSBC UK Bank PLC
	25-29 Royal Avenue
	Belfast
	Co. Antrim
	BT1 1FB
	United Kingdom


	HSBC
	1 Grand Canal Square
	Grand Canal Harbour
	Dublin 2
	Ireland


Solicitors	Tughans
	Marlborough House
	30 Victoria Street
	Belfast
	Co. Antrim
	BT1 3GG
	United Kingdom

Hannon Transport Limited

STRATEGIC REPORT

for the financial year ended 31 December 2024

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

Business overview and model

Hannon Transport Limited is a UK trading subsidiary of Hannon Holdings Limited. It is a key entity within a broad ranging road transport & logistics group. The business provides a unified, transparent logistics solution for the UK, Ireland and wider EU for a wide range of business sectors.

Principal Risks and Uncertainties

The directors have identified the following as the perceived risks and uncertainties facing the company over the next 12 months.

Cost Control Risk
Management continually monitor costs and variances to test against margin requirements. A strategy of building long term supplier relationships is employed with marked price monitoring to ensure best value and consistency of service delivery.

Business Continuity Risk
As part of the digital transformation strategy there is an ongoing review of hardware, software and protocols to ensure that any risk from current and future activities is managed and associated risk mitigated. The Company employs a short and long-term IT infrastructure strategy, employing onsite and offsite data backup services.

Foreign Exchange Risk
The main denominations used within the company are Sterling and Euro. Currency risk is further mitigated where possible through balancing supplier invoiced currency and, if necessary, hedging.

Compliance Risk
The Company is exposed to a number of regulatory frameworks specific to road haulage, in particular with specific requirements relating to the transportation of foodstuffs. In addition to the standard health and safety and employment requirements, there is continued emphasis and investment of time and resources to ensure ongoing compliance in all of these areas.

Credit Risk
The Company is exposed to credit risk and has implemented robust policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure to any individual counterpart is subject to limit which is reassessed regularly by the credit control and management team.

Financial Risk Management
The Company's operations expose it to a variety of financial risks. The company has implemented policies and procedures to monitor and reduce financial risk within the entity. Ongoing financial performance is monitored and reviewed by management using a wide range of metrics to manage stability of both short and long-term performance.

Business Review

For the year ended 31 December 2024, the company achieved a turnover of £93,786,176 (eleven months to December 2023: £83,620,829), representing strong sales volume growth, driven by several strategic and operational factors.

The company continued to pursue its strategy of sustainable growth, focusing on expansion of its European network. Hannon Transport continued the development of sales utilising its multiple operational hubs in neighbouring European countries, therefore enhancing its service reach and responsiveness. It also pursued the continuation of our customer-centric approach by continuing to prioritise long-term relationship development and delivering high-quality services to its expanding customer base.

The gross margin for the year remained increase to 21.4% (2023: 17.5%). Despite persistent inflationary pressures, and external operational challenges, throughout the reporting period, the company mitigated cost impacts through a combination of strict cost control measures, strategic cost recovery initiatives, and operational efficiency.
Throughout a challenging trading environment, exacerbated by port disruptions toward the end of the year, the company successfully reinforced its position as a trusted transportation partner. Senior management maintained a customer-focused strategy across all major decisions, ensuring alignment with long-term business goals and client needs.

Looking ahead, the directors remain confident in the company’s ability to sustain and build upon its current level of performance, underpinned by a resilient operating model, and ongoing commitment to service excellence.

The directors are confident that the company will continue to maintain and grow its current level of performance.

Statement by the directors in performance of their statutory duties in accordance with s172(1) Companies Act 2006

This section describes how the directors have had regard to the matters set out in section 172(1) (a) to (f). and forms the directors' statement required under Companies (Miscellaneous Reporting) Regulations 2018.

The Board promotes Hannon Transport Limited's approach to responsible and ethical business behaviour with underlying principle that everyone working for Hannon Transport Limited, including the directors, must adhere to the highest standards of integrity, loyalty, fairness, and confidentiality, including meeting all legal and regulatory requirements. Specific policies and procedures on the prevention, detection and investigation of fraud, bribery and corruption have been approved by the Board.

The directors seek to ensure that they are cognisant of the long-term impact of any decisions. To that end, the Board periodically reviews the company's strategy and regularly obtains updates on strategic issues which may impact the business. Additionally, the Board requires management to prepare an annual budget for the following year, including detailed financial projections and funding requirements, as well as completing a review of business risks, both principal and emerging.

Key Performance Indicators

The Key Performance Indicators during the financial year were as follows:


	2024	2023
	£	£
Turnover	93,786,176	83,620,829
Turnover growth %	10	2
Gross Profit Margin %	24	24
Operating Profit Margin %	12	11

Hannon Transport Ltd manages its operations from its operational base in Aghalee.

Capital Investment

The Directors continued their capital investment program in its fleet to grow operational capacity during this trading period. This resulted in the business having a continued platform to service the continued EU demand from its customers. Additional to this the Directors have, as part of a digital transformation strategy, continued to invest in the enhancement of business and information systems. This investment will allow the business to focus and maximise its growth strategy.

Employees

Employees are kept as fully informed as practicable about developments within the business.

Hannon Transport Ltd aims to ensure the health, safety and well-being of employees across the business.

The company treats all job applicants and employees fairly and will not discriminate on any grounds regardless of age, sex, gender reassignment, martial or civil partnership status, pregnancy or maternity, religious belief or political opinion, race, disability or sexual orientation.

On behalf of the board




___________________________
Aodh Hannon
Director

30 September 2025

Hannon Transport Limited

DIRECTORS' REPORT

for the financial year ended 31 December 2024

The directors present their report and the audited financial statements for the financial year ended 31 December 2024.

Principal Activity

The principal activity of the company is that of national and international refrigerated haulage. The company provides general logistic services alongside its main flower, plant, fruit and meat transport services, using refrigerated and dual evap-trailers.

Results and Dividends

The profit for the financial year after providing for depreciation and taxation amounted to £4,662,024 (2023 - £4,010,900).

The directors have paid an interim dividend amounting to £1,800,000 and they do not recommend payment of a final dividend.

Directors

The directors who served during the financial year are as follows:

Aodh Hannon

Teresa Hannon

David Burnett (Appointed 21 October 2024)

Gary McLaren (Appointed 21 October 2024)

Joe Kavanagh (Appointed 21 October 2024)

Jonathan Boyle (Appointed 21 October 2024)

Charitable and political contributions

The company did not make any disclosable political donations in the current financial year.

Statement of Directors' Responsibilities

The directors are responsible for preparing the Strategic Report, Directors' Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law) including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and apply them consistently;

-make judgements and accounting estimates that are reasonable and prudent;

-state whether applicable UK Accounting Standards comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements;

-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of Information to Auditor
Each persons who are directors at the date of approval of this report confirms that:
In so far as the directors are aware:
-there is no relevant audit information (information needed by the company's auditor in connection with preparing the auditor's report) of which the company's auditor is unaware, and
-the directors have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

Auditors

The auditors, Cooper Parry Audit (Ireland) Limited have indicated their willingness to continue in office in accordance with the provisions of Section 485 of the Companies Act 2006.

Streamlined energy and carbon reporting

The company has availed of the exemption from reporting the section 172 Streamlined Energy and Carbon Reporting requirements on the basis that it is a qualifying entity, and this information is included in the consolidated financial statements of its ultimate parent company, Hannon Holdings Limited.

On behalf of the board

___________________________

Aodh Hannon

Director

30 September 2025

INDEPENDENT AUDITOR'S REPORT

to the Shareholders of Hannon Transport Limited

Report on the audit of the financial statements

Opinion

We have audited the financial statements of Hannon Transport Limited ('the company') for the financial year ended 31 December 2024 which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Changes in Equity and the related notes to the financial statements, including significant accounting policies set out in note . The financial reporting framework that has been applied in their preparation is applicable Law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the financial 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's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from the date when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other Information

The other information comprises the information included in the annual report other than the financial statements and our Auditor's Report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and the Directors' 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 any material misstatements in the Strategic Report and the Directors' 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, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

Responsibilities of directors for the financial statements

The directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine 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 directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditor's 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

A further description of our responsibilities for the audit of the financial statements is contained in the appendix to this report, located at page , which is to be read as an integral part of our 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.

Mr Desmond Kelly (Senior Statutory Auditor)

for and on behalf of

Cooper Parry Audit (Ireland) Limited

Statutory Auditors

36-38 Northland Row

Dungannon

Co. Tyrone

BT71 6AP

Northern Ireland

30 September 2025

Hannon Transport Limited

APPENDIX TO THE INDEPENDENT AUDITOR'S REPORT

Further information regarding the scope of our responsibilities as auditor

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company's internal control.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our Auditor's Report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditor's Report. However, future events or conditions may cause the company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Hannon Transport Limited

PROFIT AND LOSS ACCOUNT

for the financial year ended 31 December 2024

	2024	2023
Notes	£	£
		as restated

Turnover	4	93,786,176	83,620,829

Cost of sales		(73,636,995)	(68,983,440)
		─────────	─────────
Gross profit		20,149,181	14,637,389

Administrative expenses		(11,188,052)	(8,000,530)
Other operating income		-	21,835
		─────────	─────────
Operating profit	5	8,961,129	6,658,694

Interest receivable and similar income	6	5,549	-
Interest payable and similar expenses	7	(1,246,064)	(1,172,323)
		─────────	─────────
Profit before taxation		7,720,614	5,486,371

Tax on profit	9	(3,058,590)	(1,475,471)
		─────────	─────────
Profit for the financial year		4,662,024	4,010,900
		═════════	═════════

Hannon Transport Limited

Company Registration Number: NI042118

BALANCE SHEET

as at 31 December 2024

		2024	2023
	Notes	£	£
			as restated

Fixed Assets

Tangible assets

32,446,832

34,511,899

Investments

15,660

15,660

─────────

Fixed Assets

32,462,492

34,527,559

─────────

Current Assets

Stocks

218,982

134,098

Debtors

27,413,918

22,915,340

Cash and cash equivalents

918,824

480,299

─────────

28,551,724

23,529,737

─────────

Creditors: amounts falling due within one year

(23,800,632)

(21,983,475)

─────────

Net Current Assets

4,751,092

1,546,262

─────────

Total Assets less Current Liabilities

37,213,584

36,073,821

Creditors:

amounts falling due after more than one year

(11,600,312)

(16,381,163)

Provisions for liabilities

(6,811,421)

(3,752,831)

─────────

Net Assets

18,801,851

15,939,827

═════════

Capital and Reserves

Called up share capital

102

102

Retained earnings

18,801,749

15,939,725

─────────

Equity attributable to owners of the company

18,801,851

15,939,827

═════════

Approved by the Board and authorised for issue on 30 September 2025 and signed on its behalf by




________________________________
Aodh Hannon
Director

Hannon Transport Limited

STATEMENT OF CHANGES IN EQUITY

as at 31 December 2024

	Called up	Retained	Total
	share	earnings
	capital
	£	£	£

At 1 January 2023	102	12,198,825	12,198,927
	─────────	─────────	─────────
Profit for the financial year	-	4,010,900	4,010,900
	─────────	─────────	─────────
Payment of dividends	-	(270,000)	(270,000)
	─────────	─────────	─────────
At 31 December 2023	102	15,939,725	15,939,827
	─────────	─────────	─────────
Profit for the financial year	-	4,662,024	4,662,024
	─────────	─────────	─────────
Payment of dividends	-	(1,800,000)	(1,800,000)
	─────────	─────────	─────────
At 31 December 2024	102	18,801,749	18,801,851
	═════════	═════════	═════════

Hannon Transport Limited

NOTES TO THE FINANCIAL STATEMENTS

for the financial year ended 31 December 2024

General Information

Hannon Transport Limited is a company limited by shares incorporated and registered in Northern Ireland. The registered number of the company is NI042118. The registered office of the company is 21 Brankinstown Road, Aghalee, Lurgan, Co. Armagh, BT67 0DF, Northern Ireland which is also the principal place of business of the company. The nature of the company's operations and its principal activities are set out in the Directors' Report. The financial statements have been presented in Pound (£) which is also the functional currency of the company.

Summary of Significant Accounting Policies

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements.

Statement of compliance

The financial statements of the company for the year ended 31 December 2024 have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102) issued by the Financial Reporting Council and in accordance with the Companies Act 2006.

Basis of preparation

The financial statements have been prepared on the going concern basis and in accordance with the historical cost convention except for certain properties and financial instruments that are measured at revalued amounts or fair values, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for assets.

Cash flow statement

The company has availed of the exemption in FRS 102 from the requirement to prepare a Cash Flow Statement because it is a subsidiary undertaking for which the consolidated financial statements are publicly available.

Turnover

Turnover comprises the fair value of the consideration received or receivable for the provision of transport services and related logistical activities in the ordinary course of the company's business. Turnover is shown net of value added tax, returns, rebates and discounts.

Segmental information in respect of turnover is not disclosed in these financial statements, as permitted by Section 409(4) of the Companies Act 2006 as, in the opinion of the directors, to do so would be prejudicial to the interest of the company.

Revenue Recognition

Revenue is recognised when goods have been collected and delivered, and where necessary, proof of delivery has been received. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates and value added tax.
Revenue also includes revenue from the provision of management services on behalf of other companies within the Hannon group.

Critical accounting judgements and key sources of estimation uncertainty

In applying the company's accounting policies the directors are required to make significant judgements, estimates and assumptions in determining the carrying amounts of assets and liabilities. The directors' judgements, estimates and assumptions are based on the best and most reliable evidence available at the time when the decisions are made, and are based on historical experience and other factors that are considered to be applicable. Due to the inherent subjectivity involved in making such judgements, estimates and assumptions, the actual results and outcomes may differ. The items in the financial statements where these judgements and estimates have been made include:

(i) Determining and reassessing the residual values and useful economic lives of tangible assets
The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual value of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on future investments, economic utilisation and physical condition of the assets.

(ii) Assessing indicators of impairment
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss. If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.

Goodwill

Purchased goodwill arising on the acquisition of a business represents the excess of the acquisition cost over the fair value of the identifiable net assets including other intangible fixed assets when they were acquired. Purchased goodwill is capitalised in the Balance Sheet and amortised on a straight line basis over its economic useful life of 25 years and 10 years, which is estimated to be the period during which benefits are expected to arise. On disposal of a business any goodwill not yet amortised is included in determining the profit or loss on sale of the business.

Tangible assets and depreciation

Tangible assets are stated at cost or at valuation, less accumulated depreciation. The charge to depreciation is calculated to write off the original cost or valuation of tangible assets, less their estimated residual value, over their expected useful lives as follows:

Tractor units

20% Reducing Balance

Buildings

4% Straight line

Trailers

20% Reducing Balance

Fixtures, fittings and equipment

20% Reducing Balance

Motor vehicles

20% Reducing Balance

Depreciation on additions is charged from the date of acquisition whilst no depreciation is charged in the year of disposal. Land is not depreciated.

The carrying values of tangible fixed assets are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable.

Leasing and hire purchases

Tangible assets held under leasing and Hire Purchases arrangements which transfer substantially all the risks and rewards of ownership to the company are capitalised and included in the Balance Sheet at their cost or valuation, less depreciation. The corresponding commitments are recorded as liabilities. Payments in respect of these obligations are treated as consisting of capital and interest elements, with interest charged to the Profit and Loss Account.

Leasing

Rentals payable under operating leases are dealt with in the Profit and Loss Account as incurred over the period of the rental agreement.

Investments

Investments held as fixed assets are stated at cost less provision for any permanent diminution in value.

Stocks

Stock, which consists of vehicle parts and related consumables, is valued at the lower of cost and net realisable value.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Taxation and deferred taxation

Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the financial year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Balance Sheet date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the company's taxable profits and its results as stated in the financial statements. Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Dividends

The board of directors decide on an annual basis on the voting of dividends; both interim and final.

Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated at the rates of exchange ruling at the Balance Sheet date. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated at the rates of exchange ruling at the date of the transaction. Non-monetary items that are measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value was determined. The resulting exchange differences are dealt with in the Profit and Loss Account.

Financial Instruments

The company has chosen to apply the provisions of Section 11 and 12 of FRS 102 to account for all of its financial instruments.

Financial Assets

Basic financial assets, including trade and other debtors and cash and bank balnces, are initially recognised at transaction price, unless the arrangement consititues a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the statement of comprehensive income. If there is a decrease in the impairment loss arising from an event occuring 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 the statement of comprehensive income.

Financial assets are derecognised when (i) the contractual rights to the cash flows from the asset expire or are settled, or (ii) substanially all the risks and rewards of the ownership of the asset are transferred to another party, or (iii) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to a unrelated third party with out imposing additional restrictions.

Financial liabilities

Basic financial liabilities, including trade and other creditors, bank overdrafts, invoice discounting, bank loans and loans from fellow group undertakings, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if payment is due within one period or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the drawdown occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Offsetting

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Ordinary share capital

The ordinary share capital of the company is presented as equity.

Group Company Exemptions Claimed

The company has availed of the exemption under Section 400(1)a and Section 400(2) from the obligation to prepare and deliver group accounts. The company and its subsidaries are consolidated into the group financial statements prepared by the immediate and ultimate parent company, Hannon Holdings Ltd. This company is incorporated in Northern Ireland.

Turnover

The whole of the company's turnover is attributable to its market in the UK, Ireland and Europe and is derived from the principal activity of specialised haulage.


5.	Operating profit	2024	2023
		£	£
	Operating profit is stated after charging/(crediting):
	Depreciation of tangible assets	3,164,567	2,938,351
	Loss/(profit) on disposal of tangible assets	806,124	(97,273)
	(Profit)/loss on foreign currencies	(531,687)	115,855
	Operating lease rentals
	- Motor vehicles	40,214	20,684
	Auditor's remuneration
	- audit services	15,750	23,000
	- taxation advisory services	-	4,250
		═════════	═════════


6.	Interest receivable and similar income	2024	2023
		£	£

	Other interest	5,549	-
		═════════	═════════


7.	Interest payable and similar expenses	2024	2023
		£	£

	On bank loans and overdrafts	266,558	309,953
	Hire purchase interest	979,506	862,370
		─────────	─────────
		1,246,064	1,172,323
		═════════	═════════

Employees and remuneration

Number of employees

The average number of persons employed (including executive directors) during the financial year was as follows:

2024

2023

Number

Number

Directors

Drivers & Maintenance

148

178

Office & Administration

102

─────────

254

274

═════════

The staff costs (inclusive of directors' salaries) comprise:

2024

2023

Wages and salaries

10,223,746

9,011,471

Social security costs

1,093,883

953,617

Pension costs

177,167

217,069

─────────

11,494,796

10,182,157

═════════

Tax on profit

2024

2023

(a) Analysis of charge in the financial year

Current tax:

Corporation tax at 25.00% (2023 - 23.36%) (Note 9 (b))

─────────

Deferred tax:

Origination and reversal of timing differences

3,058,590

1,475,471

─────────

Total deferred tax

3,058,590

1,475,471

═════════

(b) Factors affecting tax charge for the financial year

The tax assessed for the financial year differs from the standard rate of corporation tax in the UK 25.00% (2023 - 23.36%). The differences are explained below:

2024

2023

Profit taxable at 25.00%

7,720,614

5,486,371

═════════

Profit before tax

multiplied by the standard rate of corporation tax

in the UK at 25.00% (2023 - 23.36%)

1,930,154

1,281,616

Effects of:

Expenses not deductible for tax purposes

5,071

6,956

Depreciation in excess of capital allowances for period

89,591

(2,765,293)

Deferred tax

3,058,590

1,475,471

Tax on available losses

(2,024,816)

1,476,721

─────────

Total tax charge for the financial year (Note 9 (a))

3,058,590

1,475,471

═════════


10.	Dividends	2024	2023
		£	£
	Dividends on equity shares:

	Ordinary Shares £1 each - Interim paid	1,800,000	-
	Ordinary Shares £1 each - Final paid	-	270,000
		─────────	─────────
		1,800,000	270,000
		═════════	═════════

11.

Reclassification of Comparative amounts

During the year, the company undertook a review of the presentation of its profit and loss account to better align with the nature of its operations and to improve transparency of financial reporting. As a result, certain items previously included within sales have been reclassified to Cost of Sales.

The reclassifications have no impact on the profit before tax, net assets, or cash flows reported in prior periods.


12.	Intangible assets

		Goodwill
		£
	Cost
	At 1 January 2024	602,428
		─────────

	At 31 December 2024	602,428
		─────────
	Amortisation

	At 31 December 2024	602,428
		─────────
	Net book value
	At 31 December 2024	-
		═════════


13.	Tangible assets
		Tractor units	Buildings	Trailers	Fixtures,	Motor	Total
					fittings and	vehicles
					equipment
		£	£	£	£	£	£
	Cost
	At 1 January 2024	14,604,203	2,198,878	28,780,094	2,336,509	963,219	48,882,903
	Additions	931,869	21,100	1,409,460	612,555	322,464	3,297,448
	Disposals	(2,512,789)	-	(3,328,515)	(100,000)	(113,274)	(6,054,578)
		─────────	─────────	─────────	─────────	─────────	─────────
	At 31 December 2024	13,023,283	2,219,978	26,861,039	2,849,064	1,172,409	46,125,773
		─────────	─────────	─────────	─────────	─────────	─────────
	Depreciation
	At 1 January 2024	3,520,297	271,061	9,094,356	1,134,764	350,526	14,371,004
	Charge for the financial year	1,044,272	87,999	1,635,689	256,277	140,330	3,164,567
	On disposals	(1,541,231)	-	(2,256,576)	-	(58,823)	(3,856,630)
		─────────	─────────	─────────	─────────	─────────	─────────
	At 31 December 2024	3,023,338	359,060	8,473,469	1,391,041	432,033	13,678,941
		─────────	─────────	─────────	─────────	─────────	─────────
	Net book value
	At 31 December 2024	9,999,945	1,860,918	18,387,570	1,458,023	740,376	32,446,832
		═════════	═════════	═════════	═════════	═════════	═════════
	At 31 December 2023	11,083,906	1,927,817	19,685,738	1,201,745	612,693	34,511,899
		═════════	═════════	═════════	═════════	═════════	═════════

13.1.

Tangible assets continued

Included above are assets held under finance leases or hire purchase contracts as follows:

2024

2023

Net

Depreciation

Net

Depreciation

book value

charge

book value

charge

Trailers

24,047,186

2,139,103

27,992,796

2,296,333

Fixtures, fittings and equipment

353,146

47,474

140,620

20,480

Motor vehicles

24,997

21,980

69,980

15,710

─────────

24,425,329

2,208,557

28,203,396

2,332,523

═════════


14.	Investments
		Subsidiary	Total
		undertakings
		shares

	Investments	£	£
	Cost

	At 31 December 2024	15,660	15,660
		─────────	─────────
	Net book value
	At 31 December 2024	15,660	15,660
		═════════	═════════
	At 31 December 2023	15,660	15,660
		═════════	═════════

14.1.

Holdings in related undertakings

The company holds 20% or more of the share capital of the following companies:

Country

Nature

Details

Proportion

held by

Name

incorporation and address of Registered Office

business

investment

company

Subsidiary undertaking

Hannon Logistics BV

ABC Westland 549
2685DG Poeldijk
Netherlands

Transport Logistics Office

Ordinary

100%

SASU Hannon Logistics

Batiment EOE
30 Avenue de la
Villette
94150 Chevilly
Larue
France

Transport Logistics Office

Ordinary

100%

The aggregate amount of capital and reserves and the results of these undertakings for the last relevant financial year were as follows:

Year ended

Capital and

Profit for

reserves

the year

Hannon Logistics BV

31 December 2024

740,903

213,944

SASU Hannon Logistics

31 December 2024

115,929

46,948

═════════

The investments represents the company's:
100% shareholding in Hannon Logisitcs BV, a company resident and trading in Holland.
100% shareholding in SASU Hannon Logistics, a company resident and trading in France.

In the opinion of the directors, the value to the company of the unlisted investments is not less than the book amount shown above.


15.	Stocks	2024	2023
		£	£

	Vehicle parts and Consumables	218,982	134,098
		═════════	═════════

16.

Debtors

2024

2023

Trade debtors

11,507,014

10,962,233

Amounts owed by group undertakings

10,987,670

8,466,195

Amounts owed by connected parties (Note 25)

599,280

361,019

Other debtors

1,955,773

1,761,129

Directors' current accounts (Note 24)

495,019

Taxation (Note 19)

756,477

352,135

Prepayments and accrued income

1,607,704

517,610

─────────

27,413,918

22,915,340

═════════

Amounts owed by connected parties and group undertakings are unsecured, interest free and repayable on demand.

17.

Creditors

2024

2023

Amounts falling due within one year

Bank overdrafts

5,048,223

1,851,848

Net obligations under finance leases

and hire purchase contracts

5,708,733

5,548,141

Trade creditors

5,570,314

5,999,272

Amounts owed to group undertakings

6,613,332

7,672,845

Taxation (Note 19)

414,765

460,042

Directors' current accounts (Note 24)

19,744

Other creditors

274,008

175,001

Accruals

151,513

276,326

─────────

23,800,632

21,983,475

═════════

Amounts owed to group undertakings are unsecured, interest free and repayable on demand.

18.

Creditors

2024

2023

Amounts falling due after more than one year

Finance leases and hire purchase contracts

11,600,312

16,381,163

═════════

Net obligations under finance leases

and hire purchase contracts

Repayable within one year

5,708,733

5,548,141

Repayable between one and five years

11,600,312

16,381,163

─────────

17,309,045

21,929,304

═════════

HSBC hold the following security and guarantees:

Debenture including fixed charge over all present freehold and leasehold property: First Fixed Charge over book and other debts, chattels, goodwill and uncalled capital, both present and future; and First Floating Charge over all assets and undertaking both present and future dated 17 February 2009.
Unlimited Cross Company Guarantee dated 20 April 2016 given by Hannon Steel Ltd
Contract Monies charge dated 24 February 2009.


19.	Taxation	2024	2023
		£	£

	Debtors:
	VAT	756,477	352,135
		═════════	═════════
	Creditors:
	VAT	-	46,107
	PAYE / NI	414,765	413,935
		─────────	─────────
		414,765	460,042
		═════════	═════════

20.

Provisions for liabilities

The amounts provided for deferred taxation are analysed below:

Capital

Total

Total

allowances

2024

2023

At financial year start

3,752,831

3,752,831

2,277,360

Charged to profit and loss

3,058,590

3,058,590

1,475,471

─────────

At financial year end

6,811,421

3,752,831

═════════

21.

Financial Instruments

The company has chosen to apply the provisions of Section 11 and 12 of FRS 102 to account for all of its financial instruments.


22.	Share capital			2024	2023
				£	£
	Description	Number of shares	Value of units

	Allotted, called up and fully paid
	Ordinary Shares £1 each	102	£1.00 each	102	102

				═════════	═════════

23.

Financial commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

2024

2023

Due:

Within one year

35,144

21,437

Between one and five years

52,305

16,514

─────────

87,449

37,951

═════════


24.	Directors' remuneration and transactions	2024	2023
		£	£

	Directors' remuneration
	Remuneration	230,703	116,465
	Pension contributions	3,432	66,412
		─────────	─────────
		234,135	182,877
		═════════	═════════

	Highest Paid Director	£	£
	Amounts included above:
	Emoluments and other benefits	56,025	-
		═════════	═════════

The following advances were made to the directors:

Balance at

Movement

Balance at

Maximum

31/12/24

in year

31/12/23

in year

Aodh Hannon

(495,019)

495,019

1,250,620

═════════

The following amounts are repayable to the directors:

2024

2023

Aodh Hannon

19,744

═════════

Net balances with the directors:

2024

2023

Aodh Hannon

(19,744)

495,019

═════════

25.

Related party transactions

The company has availed of the exemption under FRS 102 in relation to the disclosure of transactions with group undertakings.

Balance

Balance

2024

2023

Empire Autos N.I. Limited

577,277

303,926

Hannon Steel Ltd

22,003

57,093

─────────

599,280

361,019

═════════

Transactions during the year with related parties and amounts owed by/to related parties are analysed above. Transactions with companies not forming part of Hannon Holdings Ltd are disclosed in this note.

During the period ended 31 December 2024, the company received in respect of goods £44,754 from Hannon Steel Limited and provided services to Hannon Steel Limited amounting to £462,886.

Mr Aodh Hannon, a director of Hannon Transport Limited and Hannon Steel Ltd, is also a director and shareholder of Empire Autos N.I. Limited.

All transactions between these related parties were transacted on an arms's length basis.

26.

Parent company

The company regards Hannon Holdings Limited as its parent company. The ultimate controlling party are the joint shareholders in the holding company Mr & Mrs Aodh Hannon.