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Registration number: 08805807 (England & Wales)

Prepared for the registrar
Churcham Homes Limited
Annual Report and Financial Statements
for the Year Ended 31 December 2024

Churcham Homes Limited

Contents

Company Information | 1
Balance Sheet | 2
Notes to the Financial Statements | 3 to 10

Churcham Homes Limited

Company Information

Directors | G J Hall S D Hall A J Hall J S Hall

Registered office | 5 Huntley Business Park Ross Road Huntley Gloucester Gloucestershire GL19 3FF

Auditors | Hazlewoods LLP Staverton Court Staverton Cheltenham GL51 0UX

Churcham Homes Limited

(Registration number: 08805807)
Balance Sheet as at 31 December 2024

| Note | 2024 £ | As restated 2023 £
Fixed assets |  |  |
Tangible assets | 5 | 508,612 | 579,863
Current assets |  |  |
Stocks |  | 3,113,573 | 2,360,407
Debtors | 6 | 345,171 | 1,579,113
Cash at bank and in hand |  | 117,768 | 26,681
|  | 3,576,512 | 3,966,201
Creditors: Amounts falling due within one year | 7 | (2,845,766) | (3,311,102)
Net current assets |  | 730,746 | 655,099
Total assets less current liabilities |  | 1,239,358 | 1,234,962
Creditors: Amounts falling due after more than one year | 7 | (34,220) | (140,550)
Deferred tax liabilities | 8 | (123,881) | (141,015)
Net assets |  | 1,081,257 | 953,397
Capital and reserves |  |  |
Called up share capital |  | 100 | 100
Profit and loss account |  | 1,081,157 | 953,297
Total equity |  | 1,081,257 | 953,397

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

Approved and authorised by the Board on 17 April 2026 and signed on its behalf by:

......................................... S D Hall Director |  |

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

| 1 | General information

The company is a private company limited by share capital, incorporated in the United Kingdom.

The address of its registered office is:
5 Huntley Business Park
Ross Road
Huntley
Gloucester
Gloucestershire
GL19 3FF

| 2 | 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 have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Name of parent of group

These financial statements are consolidated in the financial statements of Churcham Homes Holdings Limited.

The financial statements of Churcham Homes Holdings Limited may be obtained from the company's registered office: Unit 5, Huntley Business Park, Ross Road, Huntley, Gloucestershire, GL19 3FF.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.

Prior period adjustments
During the year, management identified the following matters in relation to previous years:
Payments on accounts had been incorrectly recognised in revenue for the year ended 31 December 2022 and 31 December 2023 of £444,906 and £750,561 respectively. This has been appropriately corrected through a prior period adjustment to defer total revenue of £1,195,467 at 31 December 2023, which resulted in reduced cost of sales and increased stock of £269,256 for year ended 31 December 2022 and £289,433 for year ended 31 December 2023.
The summary effect of the adjustment made to the prior period comparative amounts is set out below:

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

| As previously reported | Adjustment | As restated
| £ | £ | £
Profit and loss account: |  |  |
Turnover | 10,982,552 | (750,561) | 10,231,991
Cost of sales | (10,112,145) | 289,433 | (9,822,712)
Balance sheet |  |  |
Stock | 1,801,718 | 558,689 | 2,360,407
Creditors: Amounts falling due within one year | (2,115,635) | (1,195,467) | (3,311,102)
Profit and loss account (in equity) |  |  |
Profit and loss account at 1 January 2023 | 1,027,983 | (175,650) | 852,333
Profit for financial year | 562,092 | (461,128) | 100,964
Profit and loss account at 31 December 2023 | 1,590,075 | (636,778) | 953,297

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Judgements

No significant judgements have been made by management in preparing these financial statements.

Key sources of estimation uncertainty

No key sources of estimation uncertainty have been identified by management in preparing these financial statements other than those detailed in these accounting policies.

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 company 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.
Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the balance sheet, turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the balance sheet date.
Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the balance sheet date. This is measured by the proportion that contract costs incurred for work performed to date bear to the estimated total contract costs. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable. Where the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. The group recognises contract costs that relate to future activities as an asset providing that it is probable that the costs will be recovered. When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately.

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge 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 company operates and generates taxable income.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets over their estimated useful lives, as follows:

Asset class | Depreciation method and rate
Plant and machinery | Reducing balance 15%
Motor vehicles | Reducing balance 25%
Office equipment | Reducing balance 15%

Trade debtors

Trade debtors are amounts due from customers for services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.

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. Trade creditors are classified as current liabilities if the company 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 all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

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 company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the Profit and Loss Account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company 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.

Financial instruments
Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.
A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.
The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.
Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.
For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.
For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.
Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

| 3 | Staff numbers

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

| 2024 No. | 2023 No.
Average number of employees | 8 | 8

| 4 | Taxation

Tax charged/(credited) in the profit and loss account

| 2024 £ | 2023 £
Current taxation |  |
UK corporation tax | 30,770 | -
Deferred taxation |  |
Arising from origination and reversal of timing differences | (17,134) | (21,161)
Tax expense/(receipt) in the profit and loss account | 13,636 | (21,161)

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

| 5 | Tangible assets

| Plant and machinery £ | Motor vehicles £ | Office equipment £ | Total £
Cost
At 1 January 2024 | 998,564 | 87,243 | 8,848 | 1,094,655
Additions | 18,236 | - | 2,411 | 20,647
At 31 December 2024 | 1,016,800 | 87,243 | 11,259 | 1,115,302
Depreciation
At 1 January 2024 | 456,702 | 55,101 | 2,989 | 514,792
Charge for the year | 82,764 | 8,035 | 1,099 | 91,898
At 31 December 2024 | 539,466 | 63,136 | 4,088 | 606,690
Carrying amount
At 31 December 2024 | 477,334 | 24,107 | 7,171 | 508,612
At 31 December 2023 | 541,862 | 32,142 | 5,859 | 579,863

| 6 | Debtors

| 2024 £ | 2023 £
Trade debtors | 303,399 | 1,230,893
Amounts owed by group undertakings | - | 300,000
Other debtors | 41,772 | 48,220
| 345,171 | 1,579,113

| 7 | Creditors

| Note | 2024 £ | As restated 2023 £
Due within one year |  |  |
Loans and borrowings | 9 | 106,330 | 375,547
Trade creditors |  | 1,210,152 | 1,385,704
Amounts owed to group undertakings | 10 | 1,135,583 | -
Social security and other taxes |  | 56,632 | 86,251
Outstanding defined contribution pension costs |  | 339 | 160
Other creditors |  | - | 112,250
Accrued expenses |  | 305,960 | 142,197
Deferred income |  | - | 1,195,467
Corporation tax liability |  | 30,770 | 13,526
|  | 2,845,766 | 3,311,102
Due after one year |  |  |
Loans and borrowings | 9 | 34,220 | 140,550

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

| 8 | Deferred tax

Deferred tax assets and liabilities

2024 | Liability £
Difference between accumulated depreciation and capital allowances | 123,881
| 123,881

2023 | Liability £
Difference between accumulated depreciation and capital allowances | 141,015
| 141,015

| 9 | Loans and borrowings

| 2024 £ | 2023 £
Current loans and borrowings
Obligations under hire purchase contracts | 106,330 | 134,704
Other borrowings | - | 240,843
| 106,330 | 375,547

| 2024 £ | 2023 £
Non-current loans and borrowings
Obligations under hire purchase contracts | 34,220 | 140,550

All obligations under hire purchase contracts are secured against the asset financed.

| 10 | Related party transactions

Summary of transactions with directors
Sales were made to directors during the year totalling £526,490 (2023 - £nil), which were on an arms length basis.

| 11 | Parent and ultimate parent undertaking

The ultimate parent is Churcham Homes Holdings Limited, incorporated in the United Kingdom. Churcham Homes Holdings Limited is the most senior entity producing publicly available financial statements. These statements are available upon request from Companies House.

Churcham Homes Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

| 12 | Audit report

The Independent Auditor's Report gave a Disclaimer of Opinion. Construction costs, for the group in which the company is a member, are incurred by a fellow subsidiary undertaking and recharged to the respective group members. We have been unable to obtain sufficient appropriate audit evidence over whether the amounts recharged between the group members have been correctly allocated to each group company and their resultant construction costs. Consequently, we were unable to determine whether any adjustments were required to cost of sales of £10,946,970 for the year ended 31 December 2024, stocks at 31 December 2024 of £3,113,573 and amounts due to group undertakings at 31 December 2024 of £1,135,583.
In addition, the company has recognised revenue from its construction contracts based upon stage payments received with contract costs included within stocks at 31 December 2024 of £3,113,573. FRS 102 requires revenue and expenses from a construction contract to be recognised based upon the stage of completion of the contract activity, with resulting amounts due from customers and due to customers on construction contracts recognised in the balance sheet at the end of the reporting period. We have been unable to obtain sufficient appropriate audit evidence over the stage of completion of construction contracts to determine the appropriate adjustments to stocks at 31 December 2024 of £3,113,573, turnover of £11,443,317 for the year ended 31 December 2024, cost of sales of £10,976,970 for the year ended 31 December 2024 and the recognition and presentation of amounts due from and due to customers on construction contracts in the balance sheet at 31 December 2024.
The financial statements for the year ended 31 December 2023 were unaudited. As a result of the matters described above, we were also unable to obtain appropriate audit evidence over the allocation of such costs included in stock of £2,360,407 at 31 December 2023, the appropriate recognition of contract revenue and costs on construction contracts included in stock at 31 December 2023 and related deferred income at 31 December 2023 of £1,195,467. Consequently, we were unable to determine whether any adjustments to these amount at 31 December 2023 were necessary or whether there was any consequential effect on turnover of £11,443,317 and cost of sales of £10,946,970 for the year ended 31 December 2024.
As a result of these matters, we were unable to determine whether any adjustments might have been found necessary in respect of the items detailed above, and the elements making up the Profit and Loss Account, Balance Sheet, and Statement of Changes in Equity.
The name of the Senior Statutory Auditor who signed the audit report on 17 April 2026 was Paul Fussell, who signed for and on behalf of Hazlewoods LLP.