The directors present the strategic report for the year ended 31 March 2025.
The Directors are pleased to report that trading has continues to exceed expectations in 2025 with Profits on Ordinary Activities before taxation of £1,824,822 (2024 - £2,451,449).
Sales Revenue for the year reduced to £68,826,035 (2024 - £71,128,638) as a result of price reduction of fuel. Fuel volumes decreased by 4.34% and by 3.1% respectively for Hills of Corby Hill and Hills of Lakeland and gross profits per litre decreased by 1.96% (2024 – increase of 5.8%) and 10.72% (2024 – increase of 8.5%) for Hills of Corby Hill and Hills of Lakeland respectively. Whilst forecourt shop sales remained similar for Hills of Corby Hill and increased by 3.3% for Hills of Lakeland. Shop margins decreased to 24.19% (2024 – 24.71%) for Hills of Corby Hill and increased to 25.16% (2024 - 24.87%) for Hills of Lakeland. Direct wage and staff pension costs amounted to £4,519,342 (2024 - £4,058,637) an increase of 11.35%. Overall Gross Profits from trading operations amounted to £5,035,218 (2024 - £5,189,660) with profit margins increasing to 7.32% (2024 – 7.30%).
Administration Overheads for 2025 amounted to £3,638,791 (2024 - £3,052,996) an increase of £585,795 over the previous year. This increase was largely due to higher wages, and employer pension contributions.
Other Operating Income in 2025 amounted to £353,531 (2024 - £304,728).
Interest Payable for the year amounted to £3,854 (2024 - £Nil).
The Group’s financial position at 31st March 2025 shows Net Assets increasing to £9,330,217 (2024 - £8,195,085) with cash and cash equivalents improving to £6,248,583 (2024 - £6,076,132).
Dividends paid in the year amounted to £200,000 (2024 - £200,000).
Future Developments
The Directors report that trading conditions remain challenging and expect them to continue to be difficult due to increasing business costs and continuing and increasing reduced customer confidence in the UK economy causing our customers to be especially conscious of value for money pricing including offers and deals. Therefore, we expect to continue focusing hard on providing value for money pricing and reducing business costs where possible.
Inflation is continuing higher, and the Government may well continue and possibly increase its tax take from business’s thereby increasing the importance of continuing focus on value for money pricing and reducing costs.
Although the financial background remains bleak, the Directors are confident that they and the business continue to be in a strong financial position and thus better placed than many to withstand future financial pressures.
There has been no change in the risk profile of the Company. The identification of strategic, operational, compliance and financial risks is a key part of the management function. The Company regularly monitors its key risks and reviews its processes and controls to ensure that they are effective. Where appropriate the Company uses third party advisors to monitor compliance. General risks include loss or disruption by a major supplier in respect of fuel or shop deliveries, changes in key personnel, non-compliance with legislation, environmental and health and safety risks.
On behalf of the board
The directors present their annual report and financial statements for the year ended 31 March 2025.
The results for the year are set out on page 8.
Ordinary dividends were paid amounting to £200,000. The directors do not recommend payment of a further dividend.
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
We have audited the financial statements of HOCH Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including 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).
Basis for opinion
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our 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.
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.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the company through discussions with directors and other management;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;
to address the risk of fraud through management bias and override of controls, we:
performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of meetings with those charged with governance;
enquiring of management as to actual and potential litigation and claims; and
reviewing correspondence with HMRC, relevant regulators and the company's legal advisors.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://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.
The notes on pages 14 to 34 form part of these financial statements.
The notes on pages 14 to 34 form part of these financial statements.
The notes on pages 14 to 34 form part of these financial statements.
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £252,261 (2024 - £193,570 profit).
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
The notes on pages 14 to 34 form part of these financial statements.
The notes on pages 14 to 34 form part of these financial statements.
The notes on pages 14 to 34 form part of these financial statements.
HOCH Group Limited (“the company”) is a private company limited by shares incorporated in England and Wales. The registered office is Corby Hill Garage, Corby Hill, Carlisle, CA4 8PL.
The group consists of HOCH Group Limited and all of its subsidiaries.
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
The consolidated group financial statements consist of the financial statements of the parent company HOCH Group Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.
All financial statements are made up to 31 March 2025. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.
At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the income statement.
Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.
In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the group's statement of financial position when the group becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally 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.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
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. Amounts payable are classified as current liabilities if payment is due within one year 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.
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.
The tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
Defined contribution plans
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Defined benefit plans
The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.
The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as an expense in measuring profit or loss in the period in which they arise.
The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in or as other finance revenue or cost.
Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other comprehensive income in the period in which they occur and are not reclassified to profit and loss in subsequent periods.
The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Judgements and estimates are continually evaluated and are based on historical experiences and other factors, including expectation of future events that are believed to be reasonable under the circumstances.
The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have significant risk of causing a material adjustment to the carrying value of assets and liabilities within the next financial year are discussed below:-
(a)Establishing useful economic lives for depreciation purposes of tangible fixed assets Long-lived assets, consisting primarily of tangible fixed assets, comprise a significant portion of the total fixed assets. The annual depreciation charge depends primarily on the estimated useful economic lives of each type of asset and estimates of residual values. The directors regularly review these assets' useful economic lives and change them as necessary to reflect current thinking o remaining lives in light of prospective economic utilisation and physical condition of the assets concerned. Changes in asset useful lives can have a significant impact on depreciation charges for the period. Details of the depreciation policies based on useful economic lives are included in the accounting policies.
(b)Pension liabilities
The present value of the defined benefit liability depends on a number of factors that are determined on an actuarial basis using a variety of assumptions. The assumptions used in determining the net cost or income for pensions include the discount rate. Any changes in these assumptions, which are disclosed in the notes to the accounts, will impact the carrying amount of the pension liability. Furthermore a roll forward approach which projects results from the latest full actuarial valuation performed at 5 April 2022 has been used by the actuary in valuing the pensions liability at 31 March 2025. Any differences between the figures derived from the roll forward approach and a full actuarial valuation would impact on the pension liability.
Where the year end defined benefit pension is in surplus, the directors assess future recoverability through reduced future deficit contributions. As deficit contributions to the scheme are still increasing year on year, the directors have chosen not to recognise this asset in the financial statements.
The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.
The average monthly number of persons (including directors) employed by the group and company during the year was:
Their aggregate remuneration comprised:
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2024: 2).
The number of directors for whom retirement benefits are accruing under defined benefit schemes amounted to 1 (2024: 1).
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
The fair value of the investment property has been arrived at on the basis of a valuation carried out at 1 April 2023 by John Taylor Chartered Surveyors, Valuers & Estate Agents who are not connected with the company. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
The directors do not believe any change in value of the investment properties has occurred since the last formal valuation on 1 April 2023.
Details of the company's subsidiaries at 31 March 2025 are as follows:
HOCH Group Limited has two wholly owned subsidiary undertakings; Hills of Corby Hill Limited (Company Registration Number 01211554) and Hills of Lakeland Limited (Company Registration Number 01500533). Both companies are private companies limited by shares and registered in England and Wales. The companies are included in the consolidated accounts using merger accounting.
Included within other debtors is £167,875 (2024: £105,789) relating to unsecured loans made to employees. No date has been set for the repayment of these loans.
Included within debtors is £121,594 being the amount falling due after more than one year.
The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:
The net amount of deferred tax assets and liabilities that are expected to reverse within one year of the balance sheet date is £40,000 (2024: £38,000) relating to the reversal of existing timing differences on tangible and fixed assets.
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.
At the balance sheet date pension contributions of £21,774 (2024 - £33,945) were outstanding and are included in other creditors.
The group also operates a pension scheme providing benefits on a final pensionable pay in respect of its own employees and employees of a related company. The assets of the scheme are held separately from those of the group, being invested with insurance companies as a Section of the Motor Industry Pension Plan.
During the year, the company made contributions totalling £171,000 (2024: £219,000) to the scheme, with employees making contributions totalling £15,000 (2024 - £14,000).
Contributions in the year ending 31 March 2026 are expected to be about £150,000.
This Section is a funded scheme of the defined benefit type, providing retirement benefits based on final salary.
The valuation used for FRS102 disclosures has been based on a full assessment of the liabilities of the plan as at 31st March 2022. The present values of the defined benefit obligation, the related current service cost and any past service costs were measured using the projected unit credit method. As it is not certain that the company is able to recognise the pension surplus via reduced contributions or via refunds, the pension asset has not been recognised on the balance sheet. In line with FRS102, interest, service costs and pension expenses have been recognised in the profit and loss in place of employer contributions relating to the scheme.
Actuarial gains and losses have been recognised in the period in which they occur through the statement of comprehensive income. The resulting pension surplus has also been restricted to nil through the statement of comprehensive income.
The statement of financial position net defined benefit asset is determined as follows:
Assumed life expectations on retirement at age 65:
The amounts included in the statement of financial position arising from obligations in respect of defined benefit plans are as follows:
Amounts recognised in the income statement
Amounts taken to other comprehensive income
Movements in the present value of defined benefit obligations
The defined benefit obligations arise from plans which are wholly or partly funded.
Movements in the fair value of plan assets
The actual return on plan assets was £389,000 (2024: £295,000).
Fair value of plan assets at the reporting period end
The Ordinary A shares do not have any voting rights but do have rights to receive dividends, capital distribution and are not redeemable.
The Ordinary B to D shares have full voting, dividend, capital distribution rights and are not redeemable.
The Ordinary X shares do not have voting rights unless in the event of a deadlock following voting of B, C and D shareholders. The Ordinary X shares do not have rights to dividends but do have capital distribution rights and are non redeemable.
Capital redemption reserve - This reserve records the nominal value of shares repurchased by the company.
Profit and loss account - This reserve records retained earnings and accumulated losses.
Included within the profit and loss reserve is £263,000 (2024: £262,000) of undistributable reserves relating to the revaluation of investment properties, net of associated deferred tax.
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
At the year end there is a total of £146,676 for deferred consideration payable to Hills of Lakeland Limited by H & H Bakeries Limited for the shares in Gretna Bakery Limited. This is contingent on Gretna Bakery making a profit with the amount receivable in any deferred consideration period being based on a percentage of EBITDA. At the year end the amount receivable for the year ended 31 March 2025 can not be reliably measured and has therefore not been included within accrued income at the end of the year.
The remuneration of key management personnel is as follows.
The Hills Trust is a self-administered defined benefit pension scheme operated for the benefit of the company directors and senior management.
During the year, rent totalling £193,123 (2024: £103,123) was paid to The Hills Trust. At the balance sheet date £26,065 (2024: £25,454) was included within other debtors falling due within one year being owed by The Hills Trust. In addition, at the balance sheet date £90,000 was included within accruals being the amount owed to The Hills Trust in respect of backdated rent following a rent review.
During the year, rent of £89,275 (2024: £58,350) was paid to one director and three close family members of a director. At the balance sheet date £30,925 was included within accruals being the amount owed to the above in respect of backdated rent following a rent review.
Three staff loans totalling £102,845 (2024: £97,764) were outstanding at the balance sheet date to employees who are also close family members of a director. In addition one staff loan totalling £58,160 (2024: £nil) was outstanding at the balance sheet date to an employee who is a member of key management personnel. These are unsecured loans with no fixed date of repayment.
Five close family members of directors were paid remuneration of £176,3480 (2024: £181,960).
During the prior year £200,000 was loaned to EDEC Limited. Nathan Collin, who is the son of director Michael Collin, is a Director of EDEC Limited. Included within other debtors at the year end was £160,107 (2024: £196,999) owed by EDEC Limited.
Included within other creditors falling due within one year is £63,472 (2024: £150,059) being the amount owed to Mr D E Hill, a director of Hills of Corby Hill Limited. During the year a further £148,867 was provided to the group by Mr D E Hill and payments back to Mr D E Hill totalled £235,454.
Included within other debtors is £127,694 (2024: £151,333) being the amount owed by Mrs B Pryde, a director of Hills of Corby Hill Limited. Advances during the year amounted to £217 and repayments during the year amounted to £23,857.
Included within other creditors is £426 (2024: £426) being the amount owed to Mr W M Collin, a director of Hills of Corby Hill Limited.
The loans to directors are interest free and repayable on demand.