D A JOHNSTONE PLANT HIRE LIMITED


Director	JOHNSTONE, David Angus


Registered Address	Johnstone House
	Station Yard Longhirst Station
	Morpeth
	NE61 3HZ


Registered Number	05981696 (England and Wales)

Notes to the Financial Statements
for the year ended 31 October 2025

1.	Accounting policies

	Statutory information
	The company is a private company limited by shares and registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

	Basis of preparation
	The financial statements have been prepared under the historical cost convention on a going concern basis unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

	Functional and presentation currency
	The financial statements are presented in sterling and this is the functional currency of the company.

	Turnover policy
	Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and/or the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.

Turnover policy

Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and/or the rendering of services.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. 

Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.

	Employee benefits
	The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further obligation. Contributions to defined contribution plans are expensed in the period to which they relate. Amounts not paid are shown in accruals in the Statement of Financial Position. The assets of the plan are held separately from the company in independently administered funds.

Employee benefits

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further obligation.

Contributions to defined contribution plans are expensed in the period to which they relate. Amounts not paid are shown in accruals in the Statement of Financial Position. The assets of the plan are held separately from the company in independently administered funds.

	Foreign currency translation
	Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

Foreign currency translation

Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to the Income Statement

	Deferred tax
	Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.

Deferred tax

Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. 

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference, except for revalued land and investment property where the tax rate that applies to the sale of the asset is used. Current and deferred tax assets and liabilities are not discounted.

	Intangible assets
	Intangible assets are stated at cost less accumulated amortisation and accumulated impairment losses. The assets are reviewed for impairment if the above factors indicate that the carrying amount may be impaired. Amortisation is included in 'administrative expenses' in the profit and loss account.

	Tangible fixed assets and depreciation
	Tangible fixed assets are stated at cost or valuation less depreciation. The assets residual values, useful lives and depreciation methods are reviewed and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Income Statement Land is not depreciated as it is considered to have an indefinite useful economic life. The buildings included in land and buildings are to be depreciated at 10% straight line once they are brought into use. Depreciation is provided on all tangible fixed assets as follows:

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost or valuation less depreciation. 

The assets residual values, useful lives and depreciation methods are reviewed and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Income Statement

Land is not depreciated as it is considered to have an indefinite useful economic life.
The buildings included in land and buildings are to be depreciated at 10% straight line once they are brought into use.

Depreciation is provided on all tangible fixed assets as follows:


	Reducing balance (%)	Straight line (years)
Land and buildings	-	10
Plant and machinery	15	-
Vehicles	25	-
Office Equipment	25	-

	Finance leases and hire purchase contracts
	Assets held under finance leases which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts are capitalised in the Statement of Financial Position. They are depreciated over the shorter of their useful lives or the term of the lease. All other lease arrangements are classified as an operating lease

	Stocks and work in progress
	Stocks are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete). Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition At each date of Statement of Financial Position, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Income Statement.

Stocks and work in progress

Stocks are valued at the lower of cost and estimated selling price (less any associated costs to enable such sales to complete). 

Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock
to its present location and condition

At each date of Statement of Financial Position, stocks are assessed for impairment.  If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell.  The impairment loss is recognised immediately in the Income Statement.

2.	Average number of employees


		2025		2024
	Average number of employees during the year	10		11

3.	Intangible assets

	Goodwill	Total
	£	£
Cost or valuation
At 01 November 24	75,000	75,000
At 31 October 25	75,000	75,000
Amortisation and impairment
At 01 November 24	75,000	75,000
At 31 October 25	75,000	75,000
Net book value
At 31 October 25	-	-
At 31 October 24	-	-

4.	Tangible fixed assets

	Land & buildings	Plant & machinery	Vehicles	Office Equipment	Total
	£	£	£	£	£
Cost or valuation
At 01 November 24	268,194	5,785,909	128,018	13,387	6,195,508
Additions	359,242	701,181	17,763	-	1,078,186
At 31 October 25	627,436	6,487,090	145,781	13,387	7,273,694
Depreciation and impairment
At 01 November 24	-	1,686,173	95,896	7,329	1,789,398
Charge for year	-	660,560	12,119	3,042	675,721
At 31 October 25	-	2,346,733	108,015	10,371	2,465,119
Net book value
At 31 October 25	627,436	4,140,357	37,766	3,016	4,808,575
At 31 October 24	268,194	4,099,736	32,122	6,058	4,406,110


	Included within Land and buildings are buildings purchased during the year of £49,000 which, as at 31 October 2025, were not yet available for use. Accordingly, no depreciation has been charged in respect of these assets.

5.	Stocks

	2025	2024
	£	£
Raw materials and consumables	159,836	122,811
Finished goods	140,820	140,820
Total	300,656	263,631

6.	Debtors: amounts due within one year

	2025	2024
	£	£
Trade debtors / trade receivables	800,029	1,225,999
Other debtors	92,368	335,315
Prepayments and accrued income	20,644	19,786
Total	913,041	1,581,100


	Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method.

7.	Creditors: amounts due within one year

	2025	2024
	£	£
Trade creditors / trade payables	304,097	687,799
Taxation and social security	23,807	81,288
Finance lease and HP contracts	620,638	783,376
Other creditors	324,255	645,193
Accrued liabilities and deferred income	58,360	106,312
Total	1,331,157	2,303,968


	Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. Included within other creditors is £307,654 (2024: £625,101) advanced against factored debts. This is secured by fixed and floating charges against the company’s assets Finance leases and HP contracts due within one year are secured against the assets to which they relate.

Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.

Included within other creditors is £307,654 (2024: £625,101) advanced against factored debts. This is secured by fixed and floating charges against the company’s assets

Finance leases and HP contracts due within one year are secured against the assets to which they relate.

8.	Creditors: amounts due after one year

	2025	2024
	£	£
Other creditors	1,140,282	1,292,726
Total	1,140,282	1,292,726


	Other creditors represent finance lease and HP creditors, which are secured against the assets to which they relate.

9.	Provisions for liabilities

	2025	2024
	£	£
Net deferred tax liability (asset)	959,263	751,292
Total	959,263	751,292

10.	Directors advances, credits and guarantees
	On 1 November 2024, the director owed the Company £25,715. During the period the director was advanced a further £60,750 and repaid £43,411. As at 31 October 2025 the director owed the Company £43,054. Interest on the overdrawn loan account was due under the terms of a loan agreement at a rate of 3.75% per annum from 6 April 2025. The loan was repaid in full on 27 May 2026.

	Notes	2025		2024
		£	£	£	£
Fixed assets
Tangible assets	4		4,808,575		4,406,110
			4,808,575		4,406,110
Current assets
Stocks	5	300,656		263,631
Debtors	6	913,041		1,581,100
Cash at bank and on hand		360,702		478,928
		1,574,399		2,323,659
Creditors amounts falling due within one year	7	(1,331,157)		(2,303,968)
Net current assets (liabilities)			243,242		19,691
Total assets less current liabilities			5,051,817		4,425,801
Creditors amounts falling due after one year	8		(1,140,282)		(1,292,726)
Provisions for liabilities	9		(959,263)		(751,292)
Net assets			2,952,272		2,381,783
Capital and reserves
Called up share capital			1		1
Profit and loss account			2,952,271		2,381,782
Shareholders' funds			2,952,272		2,381,783