Registration number:
Hothouse Holdings Limited
for the Year Ended 31 March 2025
Hothouse Holdings Limited
Contents
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Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Consolidated Profit and Loss Account |
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Consolidated Statement of Comprehensive Income |
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Consolidated Balance Sheet |
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Balance Sheet |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Statement of Cash Flows |
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Notes to the Financial Statements |
Hothouse Holdings Limited
Company Information
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Directors |
Mrs Melanie Brownlow Mr Dean Cook |
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Registered office |
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Auditors |
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Hothouse Holdings Limited
Strategic Report for the Year Ended 31 March 2025
The directors present their strategic report for the year ended 31 March 2025.
Principal activity
The principal activity of the company is that of a holding company. The principal activity of the group is that of the manufacture, sale and distribution of health and beauty products.
Fair review of the business
The group continuously evaluates its operations and invests in its people, systems and equipment. The directors of the companies provide a safe working environment to its staff and have implemented comprehensive health & safety at work procedures.
The group is committed to supplying high quality and innovative beauty and personal care products to its customers, alongside high service levels.
The group’s focus on investment, efficiency, NPD and driving new commercial opportunities in the US well places the business to return to profitable growth in the current year.
The Directors monitor the performance of the group’s operations by considering various key performance indicators. The main indicators are changes to Turnover & Gross profit.
The group's key financial and other performance indicators during the year were as follows:
|
Financial KPIs |
Unit |
2025 |
2024 |
|
Turnover |
£m |
19.54 |
20.41 |
|
Gross profit |
% |
45.53 |
43.31 |
|
Gross profit |
£m |
8.89 |
8.84 |
Principal risks and uncertainties
The group operates globally in varied markets and manages the risks inherent in its activities. External Risks include economic conditions and actions of competitors. Internal risks include investment risk with new products and supply chain risk. Risk associated with the financial operations of the group include Credit risk, Liquidity risk and Foreign Exchange Risk.
Approved and authorised by the
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Hothouse Holdings Limited
Directors' Report for the Year Ended 31 March 2025
The directors present their report and the for the year ended 31 March 2025.
Directors of the group
The directors who held office during the year were as follows:
Financial instruments
Objectives and policies
The main objective of the business is to create, develop and manufacture high quality cosmetics brands all of which are lovingly crafted in England. We are passionate about delivering excellent service and quality and are able to do this thanks to having full control of our inhouse development and manufacturing processes.
Price risk, credit risk, liquidity risk and cash flow risk
The Company seeks to mitigate exposure to all risks, where practicable, and to transfer risks to insurers where cost effective. Specific risk mitigation actions include:
Credit Risk – Risk is mitigated by rigorous credit control procedures and appropriate credit insurance policies.
Liquidity risk – To ensure that funds are available for ongoing operations and business growth opportunities, the company maintains good levels of cash reserves combined with medium term loans.
Foreign Exchange risk – The Group’s operations give a high level of natural hedging. Foreign exchange movements are closely monitored to ensure this is the case on an ongoing basis.
Research and development
The company is always striving to bring new and innovative products to the market for the consumer.
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Approved and authorised by the
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Hothouse Holdings Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual 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). 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 group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
Opinion
We have audited the financial statements of Hothouse Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 31 March 2025 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other information
The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and 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 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:
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
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adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
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the parent company financial statements are not in agreement with the accounting records and returns; or |
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certain disclosures of directors' remuneration specified by law are not made; or |
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we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 4], 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 the directors 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 have no realistic alternative but to do so.
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council's website, to detect material misstatements in respect of irregularities, including fraud.
We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we 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. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.
In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:
• Enquiry of management and those charged with governance around actual and potential litigation and claims as well as actual, suspected and alleged fraud;
• Assessing the extent of compliance with the laws and regulations considered to have a direct material effect on the financial statements of the operations of the entity through enquiry and inspection;
• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
• Performing audit work over the risk of management bias and override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for indicators of potential bias.
The inherent limitations of an audit mean there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. 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 controls.
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Hothouse Holdings Limited
Independent Auditor's Report to the Members of Hothouse Holdings Limited
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
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For and on behalf of
South Yorkshire
S66 1EH
Hothouse Holdings Limited
Consolidated Profit and Loss Account for the Year Ended 31 March 2025
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Note |
2025 |
2024 |
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Turnover |
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|
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Cost of sales |
( |
( |
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Gross profit |
|
|
|
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Distribution costs |
( |
- |
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Administrative expenses |
( |
( |
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Operating profit |
|
|
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Income from participating interests |
|
- |
|
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Other interest receivable and similar income |
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|
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Interest payable and similar expenses |
( |
( |
|
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15,703 |
(2,683) |
||
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Profit before tax |
|
|
|
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Tax on profit |
( |
( |
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Profit for the financial year |
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|
|
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Profit/(loss) attributable to: |
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Owners of the company |
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The group has no recognised gains or losses for the year other than the results above.
Hothouse Holdings Limited
Consolidated Statement of Comprehensive Income for the Year Ended 31 March 2025
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2025 |
2024 |
|
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Profit for the year |
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Total comprehensive income for the year |
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Total comprehensive income attributable to: |
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Owners of the company |
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Hothouse Holdings Limited
(Registration number: 11600321)
Consolidated Balance Sheet as at 31 March 2025
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Note |
2025 |
2024 |
|
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Fixed assets |
|||
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Intangible assets |
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Tangible assets |
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Investments |
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Current assets |
|||
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Stocks |
|
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Debtors |
|
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Cash at bank and in hand |
|
|
|
|
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||
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Creditors: Amounts falling due within one year |
( |
( |
|
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Net current assets |
|
|
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Total assets less current liabilities |
|
|
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Creditors: Amounts falling due after more than one year |
( |
( |
|
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Provisions for liabilities |
( |
( |
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Net assets |
|
|
|
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Capital and reserves |
|||
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Called up share capital |
50 |
50 |
|
|
Share premium reserve |
54 |
54 |
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Other reserves |
7,300,537 |
7,300,537 |
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Retained earnings |
4,221,135 |
4,574,146 |
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Equity attributable to owners of the company |
11,521,776 |
11,874,787 |
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Shareholders' funds |
11,521,776 |
11,874,787 |
Approved and authorised by the
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Hothouse Holdings Limited
(Registration number: 11600321)
Balance Sheet as at 31 March 2025
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Note |
2025 |
2024 |
|
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Fixed assets |
|||
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Investments |
|
|
|
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Current assets |
|||
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Debtors |
|
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Cash at bank and in hand |
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|
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||
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Creditors: Amounts falling due within one year |
( |
( |
|
|
Net current assets |
|
|
|
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Net assets |
|
|
|
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Capital and reserves |
|||
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Called up share capital |
50 |
50 |
|
|
Share premium reserve |
54 |
54 |
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Other reserves |
7,300,537 |
7,300,537 |
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Retained earnings |
6,561,150 |
6,105,665 |
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Shareholders' funds |
13,861,791 |
13,406,306 |
The company made a profit after tax for the financial year of £1,695,485
Approved and authorised by the
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Hothouse Holdings Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 March 2025
Equity attributable to the parent company
|
Share capital |
Share premium |
Merger reserve |
Retained earnings |
Total |
Total equity |
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|
At 1 April 2024 |
|
|
|
|
|
|
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Profit for the year |
- |
- |
- |
|
|
|
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Dividends |
- |
- |
- |
( |
( |
( |
|
At 31 March 2025 |
|
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|
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Hothouse Holdings Limited
Statement of Changes in Equity for the Year Ended 31 March 2025
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Share capital |
Share premium |
Merger reserve |
Retained earnings |
Total |
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At 1 April 2024 |
|
|
|
|
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Profit for the year |
- |
- |
- |
|
|
|
Dividends |
- |
- |
- |
( |
( |
|
At 31 March 2025 |
|
|
|
|
|
|
Share capital |
Share premium |
Merger reserve |
Retained earnings |
Total |
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At 1 April 2023 |
|
|
|
|
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Profit for the year |
- |
- |
- |
|
|
|
Dividends |
- |
- |
- |
( |
( |
|
At 31 March 2024 |
50 |
54 |
7,300,537 |
6,105,665 |
13,406,306 |
Hothouse Holdings Limited
Consolidated Statement of Cash Flows for the Year Ended 31 March 2025
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Note |
2025 |
2024 |
|
|
Cash flows from operating activities |
|||
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Profit for the year |
|
|
|
|
Adjustments to cash flows from non-cash items |
|||
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Depreciation and amortisation |
|
|
|
|
Profit on disposal of tangible assets |
- |
( |
|
|
Finance income |
( |
( |
|
|
Finance costs |
|
|
|
|
Income tax expense |
|
|
|
|
|
|
||
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Working capital adjustments |
|||
|
(Increase)/decrease in stocks |
( |
|
|
|
(Increase)/decrease in trade debtors |
( |
|
|
|
Decrease in trade creditors |
( |
( |
|
|
Cash generated from operations |
|
|
|
|
Income taxes paid |
( |
( |
|
|
Net cash flow from operating activities |
|
|
|
|
Cash flows from investing activities |
|||
|
Interest received |
|
|
|
|
Acquisitions of tangible assets |
( |
( |
|
|
Proceeds from sale of tangible assets |
- |
|
|
|
Foreign currency gains/(losses) |
( |
|
|
|
Net cash flows from investing activities |
( |
( |
|
|
Cash flows from financing activities |
|||
|
Interest paid |
( |
( |
|
|
Bank loan repayments |
( |
( |
|
|
Dividends paid |
( |
( |
|
|
Net cash flows from financing activities |
( |
( |
|
|
Net (decrease)/increase in cash and cash equivalents |
( |
|
|
|
Cash and cash equivalents at 1 April |
|
|
|
|
Cash and cash equivalents at 31 March |
2,767,134 |
2,774,887 |
|
Hothouse Holdings Limited
Statement of Cash Flows for the Year Ended 31 March 2025
|
Note |
2025 |
2024 |
|
|
Cash flows from operating activities |
|||
|
Profit for the year |
|
|
|
|
Adjustments to cash flows from non-cash items |
|||
|
Finance income |
( |
( |
|
|
( |
( |
||
|
Working capital adjustments |
|||
|
Increase in trade debtors |
( |
( |
|
|
(Decrease)/increase in trade creditors |
( |
|
|
|
Cash generated from operations |
( |
( |
|
|
Income taxes received |
- |
|
|
|
Net cash flow from operating activities |
( |
( |
|
|
Cash flows from investing activities |
|||
|
Dividends received |
|
|
|
|
Interest received |
- |
|
|
|
Net cash flows from investing activities |
|
|
|
|
Cash flows from financing activities |
|||
|
Dividends paid |
( |
( |
|
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
|
Cash and cash equivalents at 1 April |
|
|
|
|
Cash and cash equivalents at 31 March |
77,592 |
20,247 |
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
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General information |
The company is a private company limited by share capital, incorporated in England & Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 March 2025.
No Profit and Loss Account is presented for the company as permitted by section 408 of the Companies Act 2006. The company made a profit after tax for the financial year of £1,695,485 (2024 - profit of £3,306,942).
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The financial statements have been prepared on a going concern basis.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.
The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
|
Asset class |
Depreciation method and rate |
|
Motor Vehicles |
25% straight line basis |
|
Plant and machinery |
10 - 20% straight line basis |
|
Land and buildings |
5 - 10% straight line basis |
|
Office equipment |
15 - 20% straight line basis |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Intangible assets
Separately acquired trademarks and licences are shown at historical cost.
Trademarks, licences (including software) and customer-related intangible assets acquired in a business combination are recognised at fair value at the acquisition date.
Trademarks, licences and customer-related intangible assets have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
|
Asset class |
Amortisation method and rate |
|
Goodwill |
10 years straight line basis |
|
Trademarks, Patents and Licences |
Not amortised |
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
|
Revenue |
The analysis of the group's turnover for the year from continuing operations is as follows:
|
2025 |
2024 |
|
|
Sale of goods |
|
|
|
Other revenue |
- |
|
|
|
|
|
Other gains and losses |
The analysis of the group's other gains and losses for the year is as follows:
|
2025 |
2024 |
|
|
Gain on disposal of tangible assets |
- |
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Operating profit |
Arrived at after charging/(crediting)
|
2025 |
2024 |
|
|
Depreciation expense |
|
|
|
Amortisation expense |
|
|
|
Profit on disposal of property, plant and equipment |
- |
( |
|
Other interest receivable and similar income |
|
2025 |
2024 |
|
|
Interest income on bank deposits |
|
|
|
Other finance income |
|
|
|
|
|
|
Interest payable and similar expenses |
|
2025 |
2024 |
|
|
Interest on bank overdrafts and borrowings |
|
|
|
Interest expense on other finance liabilities |
|
- |
|
Foreign exchange (gains)/losses |
|
( |
|
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
|
2025 |
2024 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Other short-term employee benefits |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
|
2025 |
2024 |
|
|
Production |
|
|
|
Administration and support |
|
|
|
Research and development |
|
|
|
Sales |
|
|
|
Marketing |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2025 |
2024 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
- |
|
Sums paid to third parties for directors' services |
|
|
|
223,020 |
204,515 |
In respect of the highest paid director:
|
2025 |
2024 |
|
|
Remuneration |
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Auditors' remuneration |
|
2025 |
2024 |
|
|
Audit of these financial statements |
18,000 |
20,500 |
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2025 |
2024 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
UK corporation tax adjustment to prior periods |
( |
|
|
494,256 |
606,063 |
|
|
Foreign tax |
- |
|
|
Total current income tax |
494,256 |
611,475 |
|
Deferred taxation |
||
|
Accelerated capital allowances |
( |
|
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2025 |
2024 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Decrease in UK and foreign current tax from adjustment for prior periods |
( |
- |
|
Tax increase from effect of capital allowances and depreciation |
|
|
|
Tax (decrease)/increase from other short-term timing differences |
( |
|
|
Effect of foreign tax rates |
- |
|
|
Tax increase from effect of unrelieved loss on foreign subsidiaries |
|
|
|
Tax (decrease)/increase from other tax effects |
( |
|
|
Total tax charge |
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Deferred tax
Group
Deferred tax assets and liabilities
|
2025 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
|
2024 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
The deferred tax balance at 31 March 2025 has been measured at 25%, being the rate which deferred tax assets and liabilities are expected to reverse based on substantially enacted legislation.
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Intangible assets |
Group
|
Goodwill |
Trademarks, patents and licenses |
Total |
|
|
Cost or valuation |
|||
|
At 1 April 2024 |
|
|
|
|
At 31 March 2025 |
|
|
|
|
Amortisation |
|||
|
At 1 April 2024 |
|
- |
|
|
Amortisation charge |
|
- |
|
|
At 31 March 2025 |
|
- |
|
|
Carrying amount |
|||
|
At 31 March 2025 |
|
|
|
|
At 31 March 2024 |
|
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
tangible assets |
Group
|
Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Total |
|
|
Cost or valuation |
||||
|
At 1 April 2024 |
|
|
|
|
|
Additions |
|
|
- |
|
|
At 31 March 2025 |
|
|
|
|
|
Depreciation |
||||
|
At 1 April 2024 |
|
|
|
|
|
Charge for the year |
|
|
|
|
|
At 31 March 2025 |
|
|
|
|
|
Carrying amount |
||||
|
At 31 March 2025 |
|
|
|
|
|
At 31 March 2024 |
|
|
|
|
Included within the net book value of land and buildings above is £554,725 (2024 - £567,052) in respect of long leasehold land and buildings and £564,768 (2024 - £605,369) in respect of short leasehold land and buildings.
|
Investments |
Company
|
2025 |
2024 |
|
|
Investments in subsidiaries |
|
|
|
Investments in associates |
|
|
|
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 1 April 2024 |
|
|
Provision |
|
|
Carrying amount |
|
|
At 31 March 2025 |
|
|
At 31 March 2024 |
|
|
Associates |
£ |
|
Cost |
|
|
At 1 April 2024 |
|
|
Provision |
|
|
Carrying amount |
|
|
At 31 March 2025 |
|
|
At 31 March 2024 |
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Aggregate financial information of associates
|
2025 |
2024 |
|
|
Total assets |
|
|
|
Total liabilities |
( |
( |
|
Net assets |
|
( |
|
Revenues |
|
|
|
Profit or loss |
3,128 |
53,522 |
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2025 |
2024 |
|||
|
Subsidiary undertakings |
||||
|
|
Unit 4 Provincial Park
England |
|
|
|
|
|
Unit 4 Provincial Park
England |
|
|
|
|
|
Unit 4 Provincial Park
England |
|
|
|
|
|
Unit 4 Provincial Park
England |
|
|
|
|
|
550 Hume Street
Australia |
|
|
|
|
|
3500 South Dupont Highway
US |
|
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
Associates |
||||
|
|
Unit 4 Provincial Park
|
Ordinary |
|
|
|
England |
||||
|
|
Unit 4 Provincial Park
|
Ordinary |
|
|
|
England |
||||
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Subsidiary undertakings |
|
Hothouse Beauty Limited The principal activity of Hothouse Beauty Limited is |
|
Cosmarida Limited The principal activity of Cosmarida Limited is |
|
Hothouse Holdings Properties Limited The principal activity of Hothouse Holdings Properties Limited is |
|
Hothouse Partnerships Ltd The principal activity of Hothouse Partnerships Ltd is |
|
Hot House Beauty Co. Pty Ltd The principal activity of Hot House Beauty Co. Pty Ltd is |
|
Hothouse Beauty Inc The principal activity of Hothouse Beauty Inc is |
|
Associates |
|
Lisa Shepherd Haircare Limited The principal activity of Lisa Shepherd Haircare Limited is |
|
Pura Cosmetics Limited The principal activity of Pura Cosmetics Limited is |
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Stocks |
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Raw materials and consumables |
|
|
- |
- |
|
Finished goods |
|
|
- |
- |
|
|
|
- |
- |
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
debtors |
|
Group |
Company |
||||
|
Current |
Note |
2025 |
2024 |
2025 |
2024 |
|
Trade debtors |
|
|
- |
- |
|
|
Amounts owed by related parties |
( |
|
|
|
|
|
Other debtors |
|
|
- |
- |
|
|
Prepayments |
|
|
|
|
|
|
Income tax asset |
|
- |
- |
- |
|
|
|
|
|
|
||
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Cash on hand |
|
|
- |
- |
|
Cash at bank |
|
|
|
|
|
Short-term deposits |
|
|
- |
- |
|
|
|
|
|
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Creditors |
|
Group |
Company |
||||
|
Note |
2025 |
2024 |
2025 |
2024 |
|
|
Due within one year |
|||||
|
Loans and borrowings |
|
|
- |
- |
|
|
Trade creditors |
|
|
- |
- |
|
|
Amounts due to related parties |
( |
- |
- |
|
|
|
Social security and other taxes |
|
|
- |
- |
|
|
Outstanding defined contribution pension costs |
|
|
- |
- |
|
|
Other payables |
|
|
- |
|
|
|
Accruals |
|
|
|
|
|
|
Income tax liability |
311,362 |
166,732 |
- |
- |
|
|
Dividends payable |
|
|
|
|
|
|
|
|
|
|
||
|
Due after one year |
|||||
|
Loans and borrowings |
|
|
- |
- |
|
|
Provisions for liabilities |
Group
|
Deferred tax |
Total |
|
|
At 1 April 2024 |
|
|
|
Increase (decrease) in existing provisions |
( |
( |
|
At 31 March 2025 |
|
|
|
|
||
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
50 |
|
50 |
|
Loans and borrowings |
Non-current loans and borrowings
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Bank borrowings |
|
|
- |
- |
Current loans and borrowings
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Bank borrowings |
|
|
- |
- |
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Group
Bank borrowings
|
The bank borrowings are secured by a mortgage over the leasehold property known as 3 Smithy Wood Drive, Chapeltown, Sheffield and by a fixed and floating charge over the assets of the business.
|
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
|
2025 |
2024 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
|
Dividends |
Final dividends paid
|
2025 |
2024 |
|||
|
Final dividend of £ |
|
|
||
Interim dividends paid
|
2025 |
2024 |
|||
|
Interim dividend of £ |
|
|
||
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Analysis of changes in net debt |
Group
|
At 1 April 2024 |
Cash flows |
At 31 March 2025 |
|
|
Cash and cash equivalents |
|||
|
Cash |
2,774,887 |
(7,753) |
2,767,134 |
|
Borrowings |
|||
|
Long term borrowings |
(317,664) |
28,716 |
(288,948) |
|
Short term borrowings |
(47,748) |
7,308 |
(40,440) |
|
(365,412) |
36,024 |
(329,388) |
|
|
|
|||
|
|
|
|
|
Company
|
At 1 April 2024 |
Cash flows |
At 31 March 2025 |
|
|
Cash and cash equivalents |
|||
|
Cash |
20,247 |
57,345 |
77,592 |
|
Borrowings |
|||
|
Intra-group debt |
(2,500) |
2,500 |
- |
|
|
|
|
|
|
|
|||
Hothouse Holdings Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Related party transactions |
Group
Summary of transactions with associates
Income and receivables from related parties
|
2025 |
|
|
|
2024 |
Associates |
|
Sale of goods |
|
|
Amounts receivable from related party |
|
|
Provision for doubtful debts |
(32,644) |
|
|
|
Loans to related parties
|
2025 |
Associates |
Total |
|
At start of period |
|
|
|
At end of period |
|
|
|
|
||
|
2024 |
Associates |
Total |
|
At start of period |
|
|
|
At end of period |
|
|
|
|
||
Terms of loans to related parties