Hingley & Callow Investments Limited - Limited company accounts 20.1
Hingley & Callow Investments Limited - Limited company accounts 20.1
REGISTERED NUMBER: 00955492 (England and Wales) |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE PERIOD |
1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
FOR |
HINGLEY & CALLOW INVESTMENTS LIMITED |
PREVIOUSLY KNOWN AS |
HINGLEY & CALLOW OILS LIMITED |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 7 |
Report of the Independent Auditors | 9 |
Statement of Comprehensive Income | 11 |
Statement of Financial Position | 12 |
Statement of Changes in Equity | 13 |
Statement of Cash Flows | 14 |
Notes to the Statement of Cash Flows | 15 |
Notes to the Financial Statements | 17 |
HINGLEY & CALLOW INVESTMENTS LIMITED |
COMPANY INFORMATION |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors and Accountants |
Mountfield House |
661 High Street |
Kingswinford |
West Midlands |
DY6 8AL |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STRATEGIC REPORT |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
The directors present their strategic report for the period 1st July 2019 to 30th September 2020. |
PRINCIPAL ACTIVITIES AND REVIEW OF BUSINESS |
The principal activity of the company is the distribution of domestic, agricultural and industrial fuels. However, we also sell petrol, oils and associated products from a petrol filling station, and have a portfolio of investment properties. |
Business review |
On 2nd December 2019 there was a reorganisation of the company's shares. |
100% of the shares in the company were acquired by Hingley & Callow Oils Limited (formerly Henry Edwards Fuels Holdings Limited), a company owned by Mr JD Callow, Mrs AM Callow and The James Callow 1996 Discretionary Settlement. As consideration for this acquisition, 29,827,000 £1 Ordinary shares were issued by Hingley and Callow Oils Limited in exchange for the 2,000 £1 Ordinary shares in the company. As a result, the company became a wholly owned subsidiary of Hingley and Callow Oils Limited. |
The company changed its financial period end to 30th September 2020 to facilitate further corporate reorganisation on 1st October 2020. |
Performance |
The key financial performance indicators are as follows: |
15 months to | Year to |
30th September | 30th June |
2020 | 2019 |
£ | £ |
Turnover |
67,779,132 |
63,251,76 5 |
Gross profit | 9,810,710 | 6,827,460 |
Operating profit | 2,564,965 | 1,206,405 |
Gross profit % | 14.5% | 10.8% |
Average number of employees | 91 | 84 |
The pro rata turnover for an annual period to 30th June 2020 of £54,223,305, has fallen by 14% due to the significant drop in the sales prices within the Petrochemical Industry as a consequence of the widespread lockdowns enforced across the world due to the Covid -19 pandemic and the significant decrease in oil prices on the world markets. |
Commercial sales were effected by the lockdown, however domestic fuel requirements increased significantly as a result of the price fall and overall litres sold increased substantially. This in turn led to an increased overall profit margin of 14.5%. The company continues to be competitive within the market sector and retains a very good customer base. |
The portfolio of land and buildings held by the company continues to provide a good return, with net rental income increasing by 14.1% to £251,876 on a pro rata basis. Development work on the investment properties has continued throughout the period. |
Although it has been an extremely challenging period, the directors are pleased with the profit levels achieved. The Balance Sheet is strong, with good liquidity, and the company maintains an excellent relationship with its key suppliers. |
Going forward the company is undergoing a restructure but there are no plans to acquire or dispose of any operations. The directors long term strategy is to expand the company's market share and improve efficiency, to maximise future profitability and ensure that the company is able to respond quickly to increases (and decreases) in the demand for fuel. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STRATEGIC REPORT |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The company is exposed to interest rate risk on any borrowings. However, overdraft use is rare and therefore this risk continues to be low. The bank is currently satisfied with the company's financial performance and the directors do not think there is any risk of facilities being withdrawn. |
Fuel prices are monitored daily to minimise price risk and ensure the company remains competitive. |
Credit risk is managed by strict credit control and thorough credit checks on new customers. Customers are encouraged to pay a regular amounts by direct debit, to spread the cost of their fuel bills. This means that for most of the year many of the sales ledger accounts are in credit. |
All sales are to UK customers and all suppliers are UK based. There are therefore no risks relating to exchange rate movements. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STRATEGIC REPORT |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
SECTION 172(1) STATEMENT |
This S172 Statement, which is reported for the first time, explains how the directors |
- have engaged with employees, suppliers, customers and others; and |
- have had regard to employee interests, the need to foster the company's business relationships with suppliers, customers, and others, and the effect of the principal decisions taken by the company during the financial period. |
The key decision made during the period was that the shareholders agreed to sell their shares in the company. These shares were acquired by Hingley & Callow Oils Limited (formerly Henry Edwards Fuels Holdings Limited) a company owned by Mr JD Callow, Mrs AM Callow and The James Callow 1996 Discretionary Settlement ("the Trust"). 29,827,000 £1 Ordinary shares were issued by Hingley & Callow Oils Limited in consideration for the share transfer. In deciding on this acquisition, the directors took into account the long term stability of the business and the impact on all stakeholders including the employees, suppliers and customers. |
When making decisions, each director ensures that they act in the way they consider, in good faith, would most likely promote the company's success for the benefits of its members as a whole, and in so doing they have regard (among other matters) to: |
The likely consequences of any decision in the long term |
As a business founded in 1969 and still prospering in 2021, our longevity demonstrates a commitment to the long term. It is embedded in our culture that we work hard for our customers, look after our employees, and make decisions for the long term. |
The interests of the company's employees |
The directors recognise that our employees are fundamental to the success of our business; having good employees depends on our ability to attract, retain and motivate them. From pay to our health, safety and workplace environment, the directors factor the implications of decisions on employees and the wider workforce. |
The need to foster the company's business relationships with suppliers, customers and others |
In order to succeed, we need strong, mutually beneficial, relationships with suppliers, customers and our bank. These relationships are based on trust and openness, principals that have served us well over the years. Where we can, we try to build those relationships at a local level and go far beyond a transactional relationship. The directors are "hands on" in the business and receive regular updates from the management team on how the business is performing and how these stakeholders have been engaged. |
The impact of the company's operations on the community and the environment |
The directors regularly review opportunities to reduce environmental impact by complying with all relevant legislation and being aware of our responsibilities. |
We support the community through our sponsorship and support of local charities, sports clubs and events. |
The desirability of the company maintaining a reputation for high standards of business conduct |
We aim to operate with fairness in all our dealings and expect our staff to act accordingly. Where we have areas to improve, we will create action plans and implement any necessary changes. |
The need to act fairly between members of the company |
The company continues to be controlled by the Callow family and all members are treated fairly. The directors consider which course of action best enables delivery of long term value for the group and company. In so doing, the directors ensure that decisions made consider the interests of all members. |
On an ongoing basis, the board will continue to review and challenge how engagement with stakeholders can be improved. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STRATEGIC REPORT |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
KEY PERFORMANCE INDICATORS (KPI) |
The company is result orientated. Actual performance is measured against budgeted performance taking into account the impact of world oil prices. The main KPI's used by the company to measure performance are gross margin, earnings before interest and tax, evaluation of working capital, capacity, litres sold and cashflow. |
ENVIRONMENT |
The company continually seeks to minimise the environmental impact of its operations by complying with all relevant legislation and being aware of its environmental responsibilities. |
EMPLOYEES |
The directors recognise the importance of investing in the training and development of employees. Retention of key staff is also an important factor in the ongoing success of the company. |
COVID-19 |
Overall risk to operations |
During 2020, the spread of Covid-19 severely impacted many local economies around the globe. In the UK many businesses were forced to cease or limit operations for the worst period of the pandemic. Measures taken to contain the spread of the virus, including travel bans, quarantine, social distancing and closures of non-essential services triggered significant disruption to businesses, resulting in an economic slowdown. |
We continued to trade throughout this lockdown. Many of our commercial customers were forced to close during this period and as a result, our sales to these customers fell. However, sales to domestic customers increased significantly with the drop in fuel prices caused by the worldwide drop in demand. |
After the end of the first lockdown our commercial and domestic activities returned to normal levels. |
Two further less stringent national lockdowns have been imposed post period end, however we have continued to trade at near normal levels. |
The company has determined that these events are non-adjusting subsequent events. Accordingly the financial position and results of operations as of and for the period ended 30th September 2020 have not been adjusted to reflect their impact. The duration and impact of Covid-19 pandemic, as well as the effectiveness of government and central bank responses, remains unclear at this time. It is not possible to reliably estimate the duration and severity of these consequences, as well as their impact on the financial position and results of the company for future periods. |
Going concern |
The company has a very strong Balance Sheet and the directors have a reasonable expectation that the company has adequate resources to continue trading for the foreseeable future and, therefore, continue to adopt the going concern basis of accounting in preparing the financial statements. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STRATEGIC REPORT |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
POST BALANCE SHEET EVENTS |
On 1st October 2020 the company declared a dividend in specie, whereby the entire business and net trading assets of the company, excluding £78,966 of cash, listed investments, investment properties and certain other specified properties, were transferred to the holding company, Hingley & Callow Oils Limited. |
On 1st January 2021 a capital reduction demerger occurred, whereby 7,755,020 £1 Ordinary A shares in Hingley & Callow Oils Limited, held by The James Callow 1996 Discretionary Settlement (the Trust), were cancelled in return for the company cancelling 1,999 of its Ordinary £1 shares. The company then issued 1,999 Ordinary £1 shares to Hingley & Callow Investment Holdings Limited, who in turn issued 7,755,020 Ordinary £1 A shares to the Trust. The final one Ordinary £1 share in the company was then cancelled for no further consideration. |
The company is now a 100% subsidiary of Hingley & Callow Investment Holdings Limited and its trading activity is now that of investment in property and listed investments. |
ON BEHALF OF THE BOARD: |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
REPORT OF THE DIRECTORS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
The Directors present their report with the financial statements of the Company for the period 1st July 2019 to 30th September 2020. |
CHANGE OF NAME |
The company passed a special resolution on 1st October 2020 changing its name from Hingley & Callow Oils Limited to Hingley & Callow Investments Limited. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the period under review was that of the distribution of domestic, agricultural and industrial fuels. However, the company also sells petrol, oils and associated products from a petrol filling station, and has a portfolio of investment properties. |
DIVIDENDS |
No dividends will be distributed for the period ended 30th September 2020. |
FUTURE DEVELOPMENTS |
The company is now a 100% subsidiary of Hingley & Callow Investment Holdings Limited and its trading activity is now that of investment in property and listed investments. |
EVENTS SINCE THE END OF THE PERIOD |
Information relating to events since the end of the period is given in the notes to the financial statements. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st July 2019 to the date of this report. |
DISCLOSURE IN THE STRATEGIC REPORT |
The business review, financial key performance indicators and financial management risk objectives are included in the Strategic Report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
REPORT OF THE DIRECTORS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued |
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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
HINGLEY & CALLOW INVESTMENTS LIMITED |
Opinion |
We have audited the financial statements of Hingley & Callow Investments Limited (the 'company') for the period ended 30th September 2020 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 30th September 2020 and of its profit for the period 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 Auditors' 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 |
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where: |
- | the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or |
- | the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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. |
Opinions on other matters 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 the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
HINGLEY & CALLOW INVESTMENTS LIMITED |
Matters on which we are required to report by exception |
In the light of the 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 or the Report of the Directors. |
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 pages seven and eight, 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 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. |
Auditors' 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 a Report of the Auditors 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. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
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 a Report of the Auditors 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 |
Statutory Auditors and Accountants |
Mountfield House |
661 High Street |
Kingswinford |
West Midlands |
DY6 8AL |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STATEMENT OF COMPREHENSIVE INCOME |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
Period | Year Ended |
1.7.19 to 30.9.20 | 30.6.19 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Distribution costs |
Administrative expenses |
7,623,214 | 5,848,340 |
2,187,496 | 979,120 |
Other operating income | 4 |
2,564,965 | 1,206,405 |
Profit on sale of investments | 6 |
2,584,109 | 1,219,587 |
Interest receivable and similar income |
2,684,214 | 1,305,338 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION | 8 |
Tax on profit | 9 |
PROFIT FOR THE FINANCIAL PERIOD |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STATEMENT OF FINANCIAL POSITION |
30TH SEPTEMBER 2020 |
2020 | 2019 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
Investment property | 13 |
CURRENT ASSETS |
Stocks | 14 |
Debtors | 15 |
Investments | 16 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 17 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 20 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 21 |
Non distributable reserves | 22 |
Retained earnings | 22 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
Called up | Non |
share | Retained | distributable | Total |
capital | earnings | reserves | equity |
£ | £ | £ | £ |
Balance at 1st July 2018 |
Changes in equity |
Total comprehensive income | - | ( |
) |
Balance at 30th June 2019 |
Changes in equity |
Total comprehensive income | - | ( |
) |
Balance at 30th September 2020 |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
STATEMENT OF CASH FLOWS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Purchase of fixed asset investments | (19,000 | ) | - |
Purchase of investment property | ( |
) | ( |
) |
Sale of tangible fixed assets |
Purchase of current asset investments | ( |
) | ( |
) |
Sale of current asset investments |
Interest received |
Dividends received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Amount introduced by directors | 1,813,381 | 1,185,391 |
Amount withdrawn by directors | (1,526,868 | ) | (850,702 | ) |
Government grants received |
Net cash from financing activities |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of period |
2 |
9,168,264 |
Cash and cash equivalents at end of period | 2 | 12,409,485 | 10,446,620 |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE STATEMENT OF CASH FLOWS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Profit before taxation |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Fair value adjustments | 17,362 | 4,285 |
Profit on sale of investments | (19,144 | ) | (13,182 | ) |
Government grants | ( |
) |
Finance costs | 41,275 | 28,645 |
Finance income | (100,105 | ) | (85,751 | ) |
3,497,722 | 2,024,385 |
Decrease in stocks |
Decrease in trade and other debtors |
Decrease in trade and other creditors | ( |
) | ( |
) |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Period ended 30th September 2020 |
30.9.20 | 1.7.19 |
£ | £ |
Cash and cash equivalents | 12,409,485 | 10,446,620 |
Year ended 30th June 2019 |
30.6.19 | 1.7.18 |
£ | £ |
Cash and cash equivalents | 10,446,620 | 9,168,264 |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE STATEMENT OF CASH FLOWS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.7.19 | Cash flow | At 30.9.20 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 10,446,620 | 1,962,865 | 12,409,485 |
10,446,620 | 12,409,485 |
Liquid resources |
Current asset investments | 383,002 | 7,221 | 390,223 |
383,002 | 7,221 | 390,223 |
Total | 10,829,622 | 1,970,086 | 12,799,708 |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
1. | STATUTORY INFORMATION |
Hingley & Callow Investments Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets. |
The accounting period has been extended to cover the 15 month period to 30th September 2020. The comparative figures cover the year to 30th June 2019. The increase has been made to accommodate the restructuring of the company and the financial year end will revert to 30th June in 2021. |
Significant judgements and estimates |
In preparing these financial statements, the directors have had to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities income and expenses. |
The estimates and associated assumptions are based on historic experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities and are not readily apparent from other sources. Actual results may differ from these estimates. The judgements, estimates and assumptions which have significant risk of material adjustment to the carrying amount of assets and liabilities are: |
(a) Depreciation of tangible fixed assets - tangible fixed assets, other than freehold land and buildings, are depreciated over their useful economic lives, taking into account residual values where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. |
(b) Valuation of investment properties - the directors review the valuation of the properties at each balance sheet date based on their knowledge of the market at that time and historical experience. The valuations may vary depending on a number of external factors. |
(c) Debtor provisions - The company has recognised provisions against specific trade debtor balances. The judgements and estimates necessary to calculate these provisions are based on historical experience and other reasonable factors. This provision is based on the age of the debtor balance and the assessed risk of recoverability. The value of trade debtors in note 15 is net of the provision for doubtful debts. |
(d) Obsolete stock - obsolete stocks are written off and removed from the stock records when identified. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
2. | ACCOUNTING POLICIES - continued |
Revenue |
Revenue from the sale of goods is recognised when the company has transferred the significant risks and rewards of ownership to the buyer and it is probable that the company will receive the previously agreed upon payment. Revenue is shown net of discounts, rebates, value added tax and other sales taxes. |
Revenue is recognised at the point that the goods are delivered to or collected by the customer. |
Other operating income |
Other operating income represents rental income, investment income and other income. Income is recognised in accordance with the period to which it relates. |
Goodwill and single farm payment entitlements |
Goodwill, being the amount paid in connection with the acquisition of two businesses, has been amortised in full over its estimated useful economic life. |
Single Farm Payment entitlements have been amortised evenly over their estimated useful life. |
Tangible fixed assets |
Long leasehold | - |
Short leasehold | - |
Plant and machinery | - |
Motor vehicles | - |
No depreciation has been charged on freehold property as the estimated remaining useful economic life of the properties exceeds 50 years and a continuous policy of renewal and maintenance is undertaken. A full review of the impairment of freehold property has been completed at the end of the accounting period with no adjustments being considered necessary to the value at which these properties are shown in the financial statements. Land is not depreciated. |
Impairment of assets |
At each reporting date assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is immediately recognised in profit or loss. |
If an impairment loss subsequently reverses, the carrying value of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal in an impairment loss is recognised immediately in profit or loss. |
Government grants |
Government grants received towards the additional costs associated with the Covid-19 epidemic are treated as income and are credited to profit in the period they are received. |
Investment property |
Investment properties, for which the fair value can be measured reliably without undue cost or effort, are measured at fair value at each reporting date, with changes to fair value being recognised in profit or loss. |
Investments |
Investments comprise investments in quoted shares and a debenture, which are measured at fair value. Changes in fair value are recognised in profit or loss. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
2. | ACCOUNTING POLICIES - continued |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Cost is based on the cost of purchase on a first in, first out basis |
At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to sell. The impairment loss is recognised immediately in profit or loss. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs and are measured subsequently at amortised cost using the effective interest method, less any impairment. |
Cash and cash equivalents |
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than 3 months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. |
Creditors |
Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
Taxation |
Taxation for the period comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference. |
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. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
2. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
The company operates two pension schemes, a self administered scheme (assets held in independently administered funds) for the directors, and an automatic enrolment scheme for the employees. Contributions payable for the year are charged in the profit and loss account. |
Provisions for liabilities |
Provisions are recognised where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. |
Provisions are charged as an expense to profit or loss in the year that the company becomes aware of the obligation, and are measured at the best estimate at the Balance Sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. |
Operating leases |
Gross earnings from operating leases are recognised in the profit and loss account on a straight line basis over the period of each lease. Any direct costs in arranging the leases are charged to the profit and loss account in the period in which they are incurred. |
Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by class of business is given below: |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
4. | OTHER OPERATING INCOME |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Rents received |
Solar generation income | 18,610 | 10,863 |
Changes in fair value of investments | ( |
) | ( |
) |
Government grants |
377,469 | 227,285 |
Other operating income includes Government grants received of £61,375 (2019: £nil). Of this amount £11,375 was received under the Job Retention Scheme and £50,000 under the Covid Business Support Scheme. |
5. | EMPLOYEES AND DIRECTORS |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the period was as follows: |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
Administration | 18 | 15 |
Sales and distribution | 70 | 66 |
Works | 3 | 3 |
The company operates two pension schemes, a self administered scheme for the directors and an automatic enrolment scheme for the benefit of the employees. The assets of the schemes are administered by independent pension providers. Pension payments recognised as an expense during the period amount to £70,024 (2019: £49,692). |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
5. | EMPLOYEES AND DIRECTORS - continued |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
Information regarding the highest paid director is as follows: |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Emoluments etc |
Pension contributions to money purchase schemes |
6. | EXCEPTIONAL ITEMS |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Profit on sale of investments |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Bank interest |
Other interest |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
8. | PROFIT BEFORE TAXATION |
The profit is stated after charging/(crediting): |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Operating lease income | ( |
) | ( |
) |
Depreciation - owned assets |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Goodwill amortisation |
Auditors' remuneration |
Auditors' remuneration for non audit work |
Taxation compliance services |
Operating lease rentals - land and buildings |
Changes in fair value of investments |
Defined benefit pension contributions |
9. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the period was as follows: |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax: |
Deferred tax |
Deferred tax on fair value |
adjustment of investment |
properties | - | (155 | ) |
Total deferred tax |
Tax on profit |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
9. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the period is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
1.7.19 |
to | Year Ended |
30.9.20 | 30.6.19 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2019 - |
Effects of: |
Expenses not deductible for tax purposes |
Income not taxable for tax purposes | ( |
) | ( |
) |
Depreciation in excess of capital allowances | - |
rates |
Gains and losses in fair value adjustments | 3,299 | 814 |
Investment property fair value adjustments | - | (155 | ) |
Total tax charge | 536,428 | 257,601 |
Factors that may affect future tax charges |
A change in the tax rate was announced in the Budget on 3rd March 2021, whereby companies with taxable profits over £250,000 will be subject to corporation tax at a rate of 25% from 1st April 2023. This will increase the Company's tax charge accordingly. |
10. | INTANGIBLE FIXED ASSETS |
Single |
Farm |
Payment |
Goodwill | entitlements | Totals |
£ | £ | £ |
COST |
At 1st July 2019 |
and 30th September 2020 |
AMORTISATION |
At 1st July 2019 |
and 30th September 2020 |
NET BOOK VALUE |
At 30th September 2020 |
At 30th June 2019 |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
11. | TANGIBLE FIXED ASSETS |
Freehold | Long | Short |
property | leasehold | leasehold |
£ | £ | £ |
COST |
At 1st July 2019 |
Additions |
Disposals |
At 30th September 2020 |
DEPRECIATION |
At 1st July 2019 |
Charge for period |
Eliminated on disposal |
At 30th September 2020 |
NET BOOK VALUE |
At 30th September 2020 |
At 30th June 2019 |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1st July 2019 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) |
At 30th September 2020 |
DEPRECIATION |
At 1st July 2019 |
Charge for period |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 30th September 2020 |
NET BOOK VALUE |
At 30th September 2020 |
At 30th June 2019 |
Tangible fixed assets with a carrying value of £1,085,467 (2019: £1,051,373) are pledged as security for the company's banking and credit facilities. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
12. | FIXED ASSET INVESTMENTS |
Investments (neither listed nor unlisted) were as follows: |
2020 | 2019 |
£ | £ |
Debentures | 19,000 | - |
13. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1st July 2019 |
Additions |
At 30th September 2020 |
NET BOOK VALUE |
At 30th September 2020 |
At 30th June 2019 |
At 30 June 2020 the company had contractual obligations to develop and enhance investment properties of £nil (2019: £56,720) |
Fair value at 30th September 2020 is represented by: |
£ |
Valuation in 2005 | 1,318,038 |
Valuation in 2006 | 333,463 |
Valuation in 2008 | 75,965 |
Valuation in 2009 | (4,024 | ) |
Valuation in 2011 | 115,324 |
Valuation in 2012 | 416,965 |
Valuation in 2013 | 446,269 |
Valuation in 2015 | (387,092 | ) |
Valuation in 2016 | 324,365 |
Valuation in 2017 | 27,007 |
Cost | 6,159,608 |
8,825,888 |
If the investment properties had not been revalued they would have been included at the following historical cost: |
2020 | 2019 |
£ | £ |
Cost | 6,159,608 | 5,690,565 |
The investment properties were valued on an open market basis on 30th September 2020 by J D Callow, a Director of the company . |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
14. | STOCKS |
2020 | 2019 |
£ | £ |
Fuels, oils and lubricants |
Confectionery and provisions |
15. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2020 | 2019 |
£ | £ |
Trade debtors |
Other debtors |
VAT |
Prepayments |
16. | CURRENT ASSET INVESTMENTS |
2020 | 2019 |
£ | £ |
Listed investments | 390,223 | 383,002 |
Market value of listed investments at 30th September 2020 - £ 390,223 (2019 - £ 383,002 ). |
17. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2020 | 2019 |
£ | £ |
Trade creditors |
Tax |
Social security and other taxes |
Other creditors |
Directors' current accounts | 1,280,694 | 994,181 |
Accrued expenses |
18. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2020 | 2019 |
£ | £ |
Within one year |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
19. | SECURED DEBTS |
Bank borrowings are secured by a legal charge over certain of the company's land and buildings along with a fixed and floating charge over the other assets of the company. |
Included within trade creditors are balances of £nil (2019 - £2,962,047) secured by legal charges over certain freehold land and buildings. |
20. | PROVISIONS FOR LIABILITIES |
2020 | 2019 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 316,044 | 223,666 |
Capital gain on revaluation | 82,685 | 82,685 |
398,729 | 306,351 |
Deferred |
tax |
£ |
Balance at 1st July 2019 |
Charge to Statement of Comprehensive Income during period |
Balance at 30th September 2020 |
21. | CALLED UP SHARE CAPITAL |
Allotted and issued: |
Number: | Class: | Nominal | 2020 | 2019 |
value: | £ | £ |
Ordinary | £1 | 2,000 | 2,000 |
Each £1 ordinary share carries one voting right. |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
22. | RESERVES |
Non |
Retained | distributable |
earnings | reserves | Totals |
£ | £ | £ |
At 1st July 2019 | 20,380,111 |
Profit for the period |
Transfer to non distributable |
reserves | 17,362 | (17,362 | ) | - |
At 30th September 2020 | 22,486,622 |
Called up share capital - represents the nominal value of shares that have been issued. |
Retained Earnings - includes all current and prior period retained profits and losses. |
Non distributable reserve - includes reserves that are not distributable to shareholders. |
23. | CAPITAL COMMITMENTS |
2020 | 2019 |
£ | £ |
Contracted but not provided for in the |
financial statements |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
24. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
J D Callow and Mrs A M Callow |
During the period the company leased premises from Mr J D Callow and his wife Mrs A M Callow. Rent of £24,000 (2019: £32,000) was paid.There are no formal leasing agreements in respect of these premises. |
The company also paid Mr and Mrs Callow interest of £32,891 (2019: £27,526) on their directors loan account during the period. This was calculated at 4% above bank base rates. |
2020 | 2019 |
£ | £ |
Amount due to related party at balance sheet date | 564,513 | 893,242 |
Mrs H L Needham |
The company paid Mrs Needham interest of £105 (2019: £nil) on her directors loan account during the period. This was calculated at 4% above bank base rates. |
2020 | 2019 |
£ | £ |
Amount due to related party at balance sheet date | 278,674 | 3,057 |
J Callow |
The company paid Mr Callow interest of £8,271 (2019: £1074) on his directors loan account during the period. This was calculated at 4% above bank base rates. |
2020 | 2019 |
£ | £ |
Amount due to related party at balance sheet date | 437,506 | 97,882 |
25. | RELATED PARTY DISCLOSURES |
During the period, a total of key management personnel compensation of £ |
HINGLEY & CALLOW INVESTMENTS LIMITED (REGISTERED NUMBER: 00955492) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 1ST JULY 2019 TO 30TH SEPTEMBER 2020 |
26. | POST BALANCE SHEET EVENTS |
On 1st October 2020 the company declared a dividend in specie, whereby the entire business and net trading assets of the company, excluding £78,966 of cash, listed investments, investment properties and certain other specified properties, were transferred to the holding company, Hingley & Callow Oils Limited. |
On 1st January 2021 a capital reduction demerger occurred, whereby 7,755,020 £1 Ordinary A shares in Hingley & Callow Oils Limited, held by The James Callow 1996 Discretionary Settlement (the Trust), were cancelled in return for the company cancelling 1,999 of its Ordinary £1 shares. The company then issued 1,999 Ordinary £1 shares to Hingley & Callow Investment Holdings Limited, who in turn issued 7,755,020 Ordinary £1 A shares to the Trust. The final one Ordinary £1 share in the company was then cancelled for no further consideration. |
The company is now a 100% subsidiary of Hingley & Callow Investment Holdings Limited and its trading activity is now that of investment in property and listed investments. |
During 2020, the spread of Covid-19 severely impacted many local economies around the globe. In the UK many businesses were forced to cease or limit operations for the worst period of the pandemic. Measures taken to contain the spread of the virus, including travel bans, quarantine, social distancing and closures of non-essential services triggered significant disruption to businesses, resulting in an economic slowdown. |
We continued to trade throughout the lockdown. Many of our commercial customers were forced to close during this period and as a result, our sales to these customers fell. However, sales to domestic customers increased significantly with the drop in fuel prices caused by the worldwide drop in demand. |
After the end of the first lockdown our commercial and domestic activities returned to normal levels. |
Two further less stringent national lockdowns have been imposed post period end, however we have continued to trade at near normal levels. |
The company has determined that these events are non-adjusting subsequent events. Accordingly the financial position and results of operations as of and for the period ended 30th September 2020 have not been adjusted to reflect their impact. The duration and impact of COVID-19 pandemic, as well as the effectiveness of government and central bank responses, remains unclear at this time. It is not possible to reliably estimate the duration and severity of these consequences, as well as their impact on the financial position and results of the company for future periods. |
27. | ULTIMATE CONTROLLING PARTY |
On 2nd December 2019 the entire share capital of the Company was acquired by Hingley & Callow Oils Limited (formerly Henry Edwards Fuels Holdings Limited). The Company was therefore a wholly owned subsidiary of Hingley & Callow Oils Limited as at the balance sheet date. |
Following a subsequent restructure on 1st January 2021, the Company became a wholly owned subsidiary of Hingley and Callow Investment Holdings Limited.The entire share capital with voting rights of Hingley & Callow Investment Holdings Limited is held by The James Callow 1996 Discretionary Settlement. |
The registered address for both Hingley & Callow Oils Limited and Hingley & Callow Investment Holdings Limited is Severn House, Sandy Lane Industrial Estate, Stourport-on-Severn DY13 9QB. Financial statements for both these companies are available at Companies House, Crown Way, Cardiff CF14 3UZ. |