Registration number:
for the
Year Ended 28 February 2025
Shaunaks Limited
Contents
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Company Information |
|
|
Strategic Report |
|
|
Directors' Report |
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|
Statement of Directors' Responsibilities |
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|
Independent Auditor's Report |
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|
Profit and Loss Account |
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|
Balance Sheet |
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|
Statement of Changes in Equity |
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|
Notes to the Financial Statements |
Shaunaks Limited
Company Information
|
Directors |
Mr K D Shaunak Mr V D Shaunak |
|
Company secretary |
Mr K D Shaunak |
|
Registered office |
|
|
Auditors |
|
Shaunaks Limited
Strategic Report for the Year Ended 28 February 2025
The directors present their strategic report for the year ended 28 February 2025.
Principal activity
The principal activity of the company is that of a dispensing pharmacists, retailing medicines, toiletries, domestic household products and cosmetic products and wholesale activity. No significant changes in activities arose during the year.
Fair review of the business
During the year, the company consolidated its position by improving its existing branches and acquiring one branch in January 2025. At the year end, the company had 13 retail pharmacies in the South West. The pharmacies operated continue to be at the centre of the local community, dispensing 2,143,921 (2024 - 2,050,360) NHS items.
The results for the year which are set out in the profit and loss account show turnover of £22,921,249 (2024 - £22,466,696) and an operating profit of £198,887 (2024 - £77,572). The increase in operating profit is largely due to an increase in turnover and an improvement in gross profit margin.
At 28 February 2025 the company had net assets of £4,426,007 (2024 - £4,887,113). The directors consider the performance for the year and the financial position at the year end to be satisfactory.
The company's key financial and other performance indicators during the year were as follows:
|
Financial KPIs |
Unit |
2025 |
2024 |
|
Turnover |
£ |
22,921,249 |
22,466,696 |
|
Gross profit |
£ |
7,699,595 |
7,158,038 |
|
Gross profit margin |
% |
34 |
32 |
|
Adjusted EBITDA |
£ |
2,915,650 |
2,820,676 |
|
Adjusted EBITDA |
% |
13 |
13 |
|
Net Assets |
£ |
4,426,007 |
4,887,113 |
|
Average number of employees |
No |
136 |
130 |
Earnings before interest, tax, depreciation and amortisation (EBITDA) is calculated as operating profit before depreciation and amortisation charges. Adjusted EBITDA represents EBITDA excluding intercompany loan write offs.
Principal risks and uncertainties
The management of the company and the execution of the company's strategy are subject to a number of risks. The key business risks and uncertainties affecting the company are considered to relate to NHS funding and the competition in the local market.
Approved by the
Director
Shaunaks Limited
Directors' Report for the Year Ended 28 February 2025
The directors present their report and the financial statements for the year ended 28 February 2025.
Directors of the company
The directors who held office during the year were as follows:
Financial instruments
The company's financial instruments, comprise cash and liquid resources, and various other items such as trade debtors, trade creditors, etc that arise directly from its operations. The main purposes of these financial instruments is to finance the operations of the company. As the company's main source of income is prescription receipts from the NHS, these trade debtors are not subject to credit risk although the timing of these receipts gives rise to a cash flow risk.
The credit risk on liquid funds is limited because the counterparties are banks with high credit-ratings assigned by international credit-rating agencies.
The company aims to mitigate liquidity risk by managing cash generation of its operations and monitoring trading results to ensure that the company can meet its future obligations as they fall due.
The Board constantly monitor the company's trading results to ensure that the company can meet its future obligations as they fall due and have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and therefore continue to adopt the going concern basis of accounting in preparing the annual financial statements.
Future developments
The impact from funding increases to the NHS pharmacy budget will some what offset the rise in other cost increases across the company, however, the directors remain confident that they will be able to increase the profitability of the company through organic growth and acquisitions.
Disclosure of information to the auditors
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 auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Reappointment of auditors
Hazlewoods LLP have expressed their willingness to continue in office.
Approved by the
Director
Shaunaks Limited
Statement of Directors' Responsibilities
The directors are responsible for preparing the Strategic Report, Directors' 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 company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
• | select suitable accounting policies and apply them consistently; |
• | make judgements and accounting estimates that are reasonable and prudent; |
• | state whether applicable UK Accounting Standards has been followed, subject to any material departures disclosed and explained in the financial statements; and |
• | 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 company's transactions and disclose with reasonable accuracy at any time the financial position of 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Shaunaks Limited
Independent Auditor's Report to the Members of Shaunaks Limited
Opinion
We have audited the financial statements of Shaunaks Limited (the 'company') for the year ended 28 February 2025, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, 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 company's affairs as at 28 February 2025 and of its loss 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 responsibilities for the audit of the financial statements section of our report. We are independent of the company 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.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company'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:
|
• |
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 |
|
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Shaunaks Limited
Independent Auditor's Report to the Members of Shaunaks Limited (continued)
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:
• | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | 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.
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.
Extent to which the audit was capable of detecting irregularities, including fraud
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We considered the nature of the company’s industry and its control environment and reviewed the company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.
We obtained an understanding of the legal and regulatory framework that the company operates in and identified the key laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements, including the UK Companies Act and tax legislation, and, those that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty.
We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.
In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgments made in accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.
In addition to the above, our procedures to respond to the risks identified included the following:
|
• |
reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statement; |
|
• |
performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; |
Shaunaks Limited
Independent Auditor's Report to the Members of Shaunaks Limited (continued)
|
• |
enquiring of management concerning actual and potential litigation and claims and instances of non-compliance with laws and regulations; and |
|
• |
reading minutes of meetings of those charged with governance. |
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.
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.
Use of this 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.
For and on behalf of
Staverton Court
Staverton
GL51 0UX
Shaunaks Limited
Profit and Loss Account for the Year Ended 28 February 2025
|
Note |
2025 |
2024 |
|
|
Turnover |
|
|
|
|
Cost of sales |
( |
( |
|
|
Gross profit |
|
|
|
|
Administrative expenses: |
|||
|
Administrative expenses |
(4,931,566) |
(4,514,146) |
|
|
Write off of intercompany loan debtor |
(2,574,284) |
(2,566,320) |
|
|
Total administrative expenses |
( |
( |
|
|
Other operating income |
|
- |
|
|
Operating profit |
198,887 |
77,572 |
|
|
Other interest receivable and similar income |
|
|
|
|
Interest payable and similar expenses |
- |
( |
|
|
Profit before tax |
|
|
|
|
Taxation |
( |
( |
|
|
Loss for the financial year |
( |
( |
The above results were derived from continuing operations.
The company has no other comprehensive income for the year.
Shaunaks Limited
(Registration number: 01456399)
Balance Sheet as at 28 February 2025
|
Note |
2025 |
2024 |
|
|
Fixed assets |
|||
|
Intangible assets |
|
- |
|
|
Tangible assets |
|
|
|
|
Investment property |
|
- |
|
|
Investments |
|
- |
|
|
|
|
||
|
Current assets |
|||
|
Stocks |
|
|
|
|
Debtors |
|
|
|
|
Debtors: Amounts falling due after more than one year |
- |
500,000 |
|
|
Cash at bank and in hand |
|
|
|
|
|
|
||
|
Creditors: Amounts falling due within one year |
( |
( |
|
|
Net current assets |
|
|
|
|
Total assets less current liabilities |
|
|
|
|
Deferred tax |
( |
( |
|
|
Other provisions |
(242,049) |
- |
|
|
Net assets |
|
|
|
|
Capital and reserves |
|||
|
Called up share capital |
|
|
|
|
Capital redemption reserve |
|
|
|
|
Profit and loss account |
|
|
|
|
Total equity |
|
|
Approved and authorised by the
Director
Shaunaks Limited
Statement of Changes in Equity for the Year Ended 28 February 2025
|
Share capital |
Capital redemption reserve |
Profit and loss account |
Total |
|
|
At 1 March 2024 |
|
|
|
|
|
Loss for the year |
- |
- |
( |
( |
|
At 28 February 2025 |
|
|
|
|
|
Share capital |
Capital redemption reserve |
Profit and loss account |
Total |
|
|
At 1 March 2023 |
40,200 |
23,370 |
5,312,520 |
5,376,090 |
|
Loss for the year |
- |
- |
(488,977) |
(488,977) |
|
At 29 February 2024 |
40,200 |
23,370 |
4,823,543 |
4,887,113 |
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025
|
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
|
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 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.
Summary of disclosure exemptions
Shaunaks Limited meets the definition of a qualifying entity under FRS 102 and has therefore taken advantage of disclosure exemptions available to it in respect of its financial statements.
Exemptions have been taken in relation to financial instruments and presentation of a statement of cash flows.
Exemption from preparing group accounts
The company is exempt under section 400 of the Companies Act 2006 from the requirement to prepare
consolidated financial statements as it and its subsidiary are included by full consolidation in the consolidated
financial statements of its parent, Shaunaks Holdings Limited.
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.
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.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
2 |
Accounting policies (continued) |
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 company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the company.
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 company's activities.
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, other than land and properties under construction over their estimated useful lives, as follows:
|
Asset class |
Depreciation method and rate |
|
Freehold property |
2% on cost |
|
Leasehold improvements |
Straight line over period of lease |
|
Plant and machinery |
15% on reducing balance basis |
|
Motor vehicles |
25% on reducing balance basis |
Investment property
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
2 |
Accounting policies (continued) |
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 company 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 company 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 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
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’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.
Negative goodwill arising on an acquisition is recognised on the face of the balance sheet on the acquisition date and subsequently the excess up to the fair value of non-monetary assets acquired is recognised in profit or loss in the periods in which the non-monetary assets are recovered.
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 |
Over 5 years |
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.
Trade debtors
Trade debtors are amounts due from customers for goods sold or 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 sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of stocks comprises direct materials and, where applicable, 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.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
2 |
Accounting policies (continued) |
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 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.
Financial instruments
Classification
Recognition and measurement
Impairment
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.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
2 |
Accounting policies (continued) |
Provisions
Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
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.
|
Turnover |
The analysis of the company's turnover for the year from continuing operations is as follows:
|
2025 |
2024 |
|
|
Sale of goods |
|
|
|
Rendering of services |
|
|
|
|
|
The total turnover of the company has been derived from its principal activity wholly undertaken in the United Kingdom.
|
Operating profit |
Arrived at after charging
|
2025 |
2024 |
|
|
Depreciation expense |
|
|
|
Amortisation expense (included in administrative expenses) |
|
|
|
Operating lease expense - property |
|
|
|
Other interest receivable and similar income |
|
2025 |
2024 |
|
|
Interest income on other loans |
93,315 |
98,105 |
|
Interest payable and similar expenses |
|
2025 |
2024 |
|
|
Interest on bank overdrafts and borrowings |
- |
|
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
|
2025 |
2024 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
|
|
The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:
|
2025 |
2024 |
|
|
Administration and support |
|
|
|
Sales, marketing and distribution |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2025 |
2024 |
|
|
Remuneration |
- |
|
|
Contributions paid to money purchase schemes |
|
|
|
120,000 |
128,168 |
During the year the number of directors who were receiving benefits was as follows:
|
2025 |
2024 |
|
|
Accruing benefits under money purchase pension scheme |
|
|
|
Auditors' remuneration |
|
2025 |
2024 |
|
|
Audit of the financial statements |
|
|
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Taxation |
Tax charged/(credited) in the profit and loss account
|
2025 |
2024 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
UK corporation tax adjustment to prior periods |
( |
- |
|
704,606 |
680,832 |
|
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
48,702 |
(16,271) |
|
Tax expense in the profit and loss account |
|
|
The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2024 - higher than 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 |
|
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
|
Decrease in relation to adjustment for prior periods |
( |
- |
|
Tax increase from effect of capital allowances |
|
|
|
Tax decrease arising from group relief |
- |
( |
|
Total tax charge |
|
|
In March 2021 changes to the UK corporation tax rate were announced by the Chancellor of the Exchequer, including an increase in the main rate of corporation tax to 25% from April 2023, which was substantively enacted in May 2021. The enacted rates at the balance sheet date have been appropriately reflected in the calculation of deferred tax in the company's financial statements.
Deferred tax
Deferred tax assets and liabilities
|
2025 |
Liability |
|
Fixed asset timing differences |
|
|
|
|
2024 |
Liability |
|
Fixed asset timing differences |
|
|
|
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Intangible assets |
|
Goodwill |
|
|
Cost or valuation |
|
|
At 1 March 2024 |
|
|
Additions acquired separately |
|
|
At 28 February 2025 |
|
|
Amortisation |
|
|
At 1 March 2024 |
|
|
Amortisation charge for the year |
|
|
At 28 February 2025 |
|
|
Carrying amount |
|
|
At 28 February 2025 |
|
|
At 29 February 2024 |
- |
On 31 January 2025, the company acquired the entire share capital of Frampton Pharmacy Limited for a total consideration of £265,736. The trade, assets and liabilities were immediately hived up into the company with, an amount outstanding on the intercompany account of £62,380. This resulted in an apparent over valuation of the investment in the subsidiary although there was no overall loss to the company. The Companies Act 2006 requires that where an over valuation is expected to be permanent, the investment should be written down accordingly.
The directors considered that, as there had been no overall loss to the company, such treatment would fail to give a true and fair view. The potential impairment in the value of the investment of £265,636 has been instead reallocated to goodwill, which is amortised over five years. The effect of this on the company's balance sheet of the departure from the requirements of the Companies Act 2006 is to recognise goodwill of £265,636 and amortisation of £5,318.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Tangible assets |
|
Land and buildings |
Leasehold improvements |
Plant and machinery |
Motor vehicles |
Total |
|
|
Cost |
|||||
|
At 1 March 2024 |
|
|
|
|
|
|
Additions |
|
- |
|
|
|
|
Disposals |
- |
- |
- |
( |
( |
|
At 28 February 2025 |
|
|
|
|
|
|
Depreciation |
|||||
|
At 1 March 2024 |
|
|
|
|
|
|
Charge for the year |
|
|
|
|
|
|
Eliminated on disposal |
- |
- |
- |
( |
( |
|
At 28 February 2025 |
|
|
|
|
|
|
Carrying amount |
|||||
|
At 28 February 2025 |
|
|
|
|
|
|
At 29 February 2024 |
|
|
|
|
|
Included within the net book value of land and buildings above is £259,181 (2024 - £104,497) in respect of freehold land and buildings.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Investment properties |
|
2025 |
|
|
At 1 March 2024 |
- |
|
Additions |
|
|
At 28 February 2025 |
|
The directors are of the opinion that the fair value of the properties at the balance sheet date has not changed significantly since the date of acquisition.
|
Investments |
|
2025 |
2024 |
|
|
Investments in subsidiaries |
|
- |
|
Subsidiaries |
£ |
|
Cost |
|
|
At 1 March 2024 |
- |
|
Additions |
|
|
Transfer to goodwill |
( |
|
At 28 February 2025 |
|
|
Carrying amount |
|
|
At 28 February 2025 |
|
|
At 29 February 2024 |
- |
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:
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2025 |
2024 |
|||
|
Subsidiary undertakings |
||||
|
Frampton Pharmacy Limited |
Shaunak House, Netham Road, Redfield, Bristol, BS5 9PQ England & Wales |
Ordinary shares |
100% |
0% |
The entire issued share capital of Frampton Pharmacy Limited was acquired by the company on 31 January 2025. The trade and assets held in the company, which were that of a retail pharmacy, were hived up immediately into Shaunaks Limited.
|
Stocks |
|
2025 |
2024 |
|
|
Medicines and retail stock |
|
|
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Debtors |
|
Current |
2025 |
2024 |
|
Trade debtors |
|
|
|
Amounts owed by related parties |
|
- |
|
Other debtors |
|
|
|
Prepayments |
|
|
|
|
|
|
Non-current |
2025 |
2024 |
|
Other debtors |
- |
500,000 |
Included in other debtors are loans of £nil (2024 - £500,000) of which £nil (2024 - £500,000) is repayable after more than one year. The loan was secured by a first legal fixed charge on the property concerned and was repayable in full by 31 October 2025, with interest charged at a fixed rate of 4%.
|
Creditors |
|
2025 |
2024 |
|
|
Due within one year |
||
|
Trade creditors |
|
|
|
Amounts due to related parties |
|
|
|
Social security and other taxes |
|
|
|
Outstanding defined contribution pension costs |
|
|
|
Other creditors |
|
- |
|
Accrued expenses |
|
|
|
Corporation tax liability |
|
|
|
|
|
|
Deferred tax and other provisions |
|
Deferred tax |
NHS reimbursement |
Dilapidations provision |
Total |
|
|
At 1 March 2024 |
|
- |
- |
|
|
Additional provisions |
- |
|
|
|
|
Increase in existing provisions |
|
- |
- |
|
|
At 28 February 2025 |
|
|
|
|
|
|
||||
The NHS reimbursement provision is to cover clawback of potential over-reimbursement received in the current financial year, which will be clawed back over the next 12 months.
The dilapidations are potentially due to be paid upon the termination of the lease on the branch that they relate to.
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
4,027 |
|
4,027 |
|
|
|
2,673 |
|
2,673 |
|
|
|
6,700 |
|
6,700 |
|
|
|
6,700 |
|
6,700 |
|
|
|
20,100 |
|
20,100 |
|
|
|
|
40,200 |
|
The different classes of shares referred to above carry separate rights to dividends but, in all other significant respects, rank pari passu.
|
Reserves |
Called up share capital
Share capital represents the issued equity share capital of the company.
Capital redemption reserve
The capital redemption reserve represents the nominal value of shares that have been repurchased by the company.
Profit and loss account
Represents cumulative profits or losses, net of dividends paid and other adjustments.
|
Obligations under leases |
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 |
|
|
|
Later than five years |
|
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Shaunaks Limited
Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)
|
Related party transactions |
|
Parent and ultimate parent undertaking |
The company's immediate and ultimate parent is
Shaunaks Holdings Limited produces publicly available consolidated financial statements in which these financial statements are consolidated. The consolidated financial statements are available from Shaunak House, Netham Road, Redfield, Bristol, BS5 9PQ.