REGISTERED NUMBER: 01866112 (England and Wales)

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST JANUARY 2025

FOR

TWO COUNTIES FOODS LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

D F Smith

R A Scott

S Davies

J Wells

A Bird

S Harper

D Lewins

S Harper

SECRETARY:

R A Scott

REGISTERED OFFICE:

Westgate House

87 St Dunstans Street

Canterbury

Kent

CT2 8AE

REGISTERED NUMBER:

01866112 (England and Wales)

AUDITORS:

Spain Brothers & Co

Chartered Accountants and Statutory Auditors

Westgate House

87 St Dunstans Street

Canterbury

Kent

CT2 8AE

FIXED ASSETS

Tangible assets

5

29,965

29,386

CURRENT ASSETS

Stocks

6

688,362

454,914

Debtors

7

4,205,347

3,372,082

Cash at bank

1,203,766

1,175,327

6,097,475

5,002,323

CREDITORS

Amounts falling due within one year

8

4,927,678

4,003,147

NET CURRENT ASSETS

1,169,797

999,176

TOTAL ASSETS LESS CURRENT LIABILITIES

1,199,762

1,028,562

PROVISIONS FOR LIABILITIES

6,913

6,861

NET ASSETS

1,192,849

1,021,701

CAPITAL AND RESERVES

Called up share capital

10,000

10,000

Retained earnings

1,182,849

1,011,701

SHAREHOLDERS' FUNDS

1,192,849

1,021,701

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 23rd September 2025 and were signed on its behalf by:

D F Smith - Director

1.	STATUTORY INFORMATION

Two Counties Foods Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	STATEMENT OF COMPLIANCE

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. There were no material departures from that standard.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

The financial statements are presented in sterling which is the functional currency of the company.

Turnover

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

Turnover from the sale of goods is recognised when sufficient risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on delivery of the goods.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Improvements to property

- 20% on cost

Plant and machinery

- 33 1/3% on cost

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences, with certain exceptions. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of timing differences. Deferred tax on revalued non-depreciable tangible fixed assets and investment properties is measured using the rates and allowances that apply to the sale of the asset.

Foreign currencies

Foreign currency transactions are initially recognised by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction.

Monetary assets and liabilities denominated in a foreign currency at the balance sheet date are translated using the closing rate.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

4.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 18 (2024 - 16 ) .

5.	TANGIBLE FIXED ASSETS

Plant and

machinery

£

COST

At 1st February 2024

53,649

Additions

11,850

At 31st January 2025

65,499

DEPRECIATION

At 1st February 2024

24,263

Charge for year

11,271

At 31st January 2025

35,534

NET BOOK VALUE

At 31st January 2025

29,965

At 31st January 2024

29,386

6.

STOCKS

2025

2024

£

£

Finished goods

688,362

454,914

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

3,786,865

3,326,594

Bad Debt Provision

(3,257

)

(100,860

)

Other debtors

53,707

28,436

VAT

72,841

50,450

Prepayments

295,191

67,462

4,205,347

3,372,082

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade creditors

4,160,343

3,604,302

Amounts owed to group undertakings

350,454

102,454

Corporation tax

348,131

235,717

Social security and other taxes

40,924

34,095

Accruals and deferred income

27,826

26,579

4,927,678

4,003,147

9.	SECURED DEBTS

The overdraft facility is secured by a fixed charge over book debts and a floating charge over all other assets.

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Paul Flood FCA (Senior Statutory Auditor)

for and on behalf of Spain Brothers & Co

11.	ULTIMATE PARENT COMPANY

The ultimate parent company is Two Counties Foods Holdings Limited.

Its registered office is situate at Westgate House, 87 St Dunstan's Street, Canterbury, Kent, CT2 8AE.