A.B.S./ Elbrow Limited - Limited company accounts 23.2

REGISTERED NUMBER: 02818534 (England and Wales)

REPORT OF THE DIRECTORS AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2023

FOR

A.B.S./ ELBROW LIMITED

Page

Company Information

1

Report of the Directors

2

Profit & Loss Account

3

Balance Sheet

4

Notes to the Financial Statements

6

DIRECTORS:

R J Booker

P D Field

SECRETARY:

Mrs D L Booker

REGISTERED OFFICE:

The Workshop

7 Station Road Yate

Bristol

South Gloucestershire

BS37 5HZ

REGISTERED NUMBER:

02818534 (England and Wales)

ACCOUNTANTS:

Gordon Wood Scott & Partners Limited

Chartered Accountants

Dean House

94 Whiteladies Road

Clifton

Bristol

BS8 2QX

The directors present their report with the financial statements of the company for the year ended 31 May 2023.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of contractors specialising in industrial roofing and cladding systems.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 June 2022 to the date of this report.

R J Booker

P D Field

DIRECTORS' LIABILITY INSURANCE

The company maintains directors' and officers insurance on behalf of its directors and officers to provide cover should any legal action be brought against them.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

ON BEHALF OF THE BOARD:

Mrs D L Booker - Secretary

5 February 2024

TURNOVER

16,543,617

12,451,115

Cost of sales

(14,356,583

)

(11,176,095

)

GROSS PROFIT

2,187,034

1,275,020

Administrative expenses

(1,013,051

)

(631,636

)

1,173,983

643,384

Other operating income

131

89,391

OPERATING PROFIT

4

1,174,114

732,775

Interest receivable and similar income

11,995

405

1,186,109

733,180

Interest payable and similar expenses

5

(25,459

)

(5,448

)

PROFIT BEFORE TAXATION

1,160,650

727,732

Tax on profit

6

(230,132

)

(142,510

)

PROFIT FOR THE FINANCIAL YEAR

930,518

585,222

FIXED ASSETS

Tangible assets

7

312,126

181,590

CURRENT ASSETS

Debtors

8

4,368,865

3,141,660

Cash at bank

2,441,736

1,322,620

6,810,601

4,464,280

CREDITORS

Amounts falling due within one year

9

(3,804,291

)

(2,229,864

)

NET CURRENT ASSETS

3,006,310

2,234,416

TOTAL ASSETS LESS CURRENT LIABILITIES

3,318,436

2,416,006

CREDITORS

Amounts falling due after more than one year

10

(300,018

)

(352,500

)

PROVISIONS FOR LIABILITIES

11

(65,447

)

(41,053

)

NET ASSETS

2,952,971

2,022,453

CAPITAL AND RESERVES

Called up share capital

12

38

38

Capital redemption reserve

13

62

62

Retained earnings

13

2,952,871

2,022,353

SHAREHOLDERS' FUNDS

2,952,971

2,022,453

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2023 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The accounts were approved by the Board of Directors and authorised for issue on 5 February 2024 and were signed on its behalf by:

R J Booker - Director

P D Field - Director

1.	STATUTORY INFORMATION

A.B.S./ Elbrow Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

During the Coronavirus pandemic the business utilized the Job Retention Scheme and VAT Deferral Payment Scheme received a Small Business Support Scheme Grant and borrowed £450,000 under the Coronavirus Business Interruption Loan Scheme.

Turnover - income recognition

Turnover represents the fair value of work carried out during the year and is stated after deducting discounts allowed and excludes VAT.

Profit is accounted for on contracts on the basis of wage costs. Profit is recognised pro rata based on total wages to date as a percentage of total wage costs over the life of the contract.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

20% on cost

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit & Loss Account, 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 balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet 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 year 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Financial instruments and cash equivalents

The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors.

Short term debtors are measured at transaction price less any impairment.

Short term creditors are measured at transaction price.

Cash is represented by deposits with financial institutions repayable without penalty on notice of not more than 24 hours.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 36 (2022 - 41 ) .

4.	OPERATING PROFIT

The operating profit is stated after charging:

31.5.23

31.5.22

£

£

Depreciation - owned assets

79,439

16,672

Depreciation - assets on hire purchase contracts

5,792

27,151

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.5.23

31.5.22

£

£

Bank interest

23,498

1,445

Hire purchase interest

1,961

4,003

25,459

5,448

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.5.23

31.5.22

£

£

Current tax:

UK corporation tax

205,738

117,445

Deferred tax

24,394

25,065

Tax on profit

230,132

142,510

7.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 June 2022

455,958

Additions

225,767

Disposals

(28,570

)

At 31 May 2023

653,155

DEPRECIATION

At 1 June 2022

274,368

Charge for year

85,231

Eliminated on disposal

(18,570

)

At 31 May 2023

341,029

NET BOOK VALUE

At 31 May 2023

312,126

At 31 May 2022

181,590

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.5.23

31.5.22

£

£

Trade debtors

3,804,317

2,453,873

Social security & other taxes

176,388

208,448

Prepayments and accrued income

388,160

479,339

4,368,865

3,141,660

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.5.23

31.5.22

£

£

Bank loans and overdrafts

90,000

90,000

Hire purchase contracts

4,314

2,943

Payments on account

-

181,986

Trade creditors

3,231,995

1,694,377

Corporation Tax

205,641

117,445

Social security and other taxes

95,855

59,403

Accruals and deferred income

176,486

83,710

3,804,291

2,229,864

10.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.5.23

31.5.22

£

£

Bank loans - 1-2 years

90,000

90,000

Bank loans - 2-5 years

172,500

262,500

Hire purchase contracts

37,518

-

300,018

352,500

11.	PROVISIONS FOR LIABILITIES

31.5.23

31.5.22

£

£

Deferred tax

Accelerated capital allowances

65,447

41,053

Deferred

tax

£

Balance at 1 June 2022

41,053

Charge to Profit & Loss Account during year

24,394

Balance at 31 May 2023

65,447

12.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

31.5.23

31.5.22

value:

£

£

38

Ordinary

1

38

38

13.

RESERVES

Capital

Retained

redemption

earnings

reserve

Totals

£

£

£

At 1 June 2022

2,022,353

62

2,022,415

Profit for the year

930,518

930,518

At 31 May 2023

2,952,871

62

2,952,933

14.	OTHER FINANCIAL COMMITMENTS

The company has a commitment for operating lease charges amounting to £15,392 (£32,056: 2022)