Viamaster Transport Limited - Limited company accounts 18.1.1

REGISTERED NUMBER: 01011790 (England and Wales)

VIAMASTER TRANSPORT LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2017

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Comprehensive Income

8

Balance Sheet

9

Statement of Changes in Equity

10

Cash Flow Statement

11

Notes to the Cash Flow Statement

12

Notes to the Financial Statements

13

DIRECTORS:

A B Warrington

D K Warrington

SECRETARY:

A B Warrington

REGISTERED OFFICE:

Europort Distribution Centre

Altofts Lane

Castleford

Yorkshire

WF10 5PZ

REGISTERED NUMBER:

01011790 (England and Wales)

AUDITORS:

Broadhead Peel Rhodes Limited

Statutory Auditors

Leeds

West Yorkshire

LS28 7LG

BANKERS:

Yorkshire Bank

94 Albion Street

Leeds

LS1 6AG

The directors present their strategic report for the year ended 30 September 2017.

REVIEW OF BUSINESS

Viamaster Transport Limited is a specialist in road haulage services for both national and international

distribution, including extensive warehousing services.

The year ended 30 September 2017 has seen the company maintain its position on the new site at Europort

Distribution Centre which in turn has enabled the company to focus on business development. This has been

particularly evident in the storage division of the business.

Turnover has remained relatively consistent at £11,774,616 (2016: £11,506,830). This represents capacity at

the existing site hence no growth on the previous year. The company have however sustained a minimal

reduction in gross margin reducing from 23.38% (2016) to 22.2% (2017). This is predominantly due to

increasing employment costs.

Results for the year show:

Turnover: £11,774,616 (2016: £11,506,830)

Gross profit margin: 22.21% (2016: 23.25%)

Net assets: £4,179,932 (2016: £3,656,069)

Financial position at the reporting date

During the year to 30 September 2017 the company achieved a 14.33% increase in the value of net assets to

£4,179,932 with profit after taxation for the financial period of £1,033.403 contributing to this.

Tangible fixed asset additions of £2,260,111 in the year resulted in a 21.8% increase in the value of total fixed

assets as at 30 September 2017 which was partly funded via new hire purchase agreements and partly

through the company's own working capital

The detailed results for the year and financial position of the company are as shown in the annexed financial

statements.

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and the execution of the company's strategy are subject to a number of

risks. The key business risks affecting the company are:

Market share

Despite the company experiencing a sustained position this year in their market share, competition still

remains as ever the main risk. Improvements in services offered and recent relocation mean the company

are in a strong position to look forward to the future and increase our client base.

Maintenance of the company's fixed assets

In order to provide customers with the high level service they expect it is essential that the company's assets

are maintained to a high standard. The company manages this risk through planned maintenance

programmes for vehicles and other items of plant and through continued investment in its fleet..

Employee motivation

The company's employees are central to its operations. The company is committed to encouraging employee

involvement throughout the business to ensure that the workforce remain motivated and committed. Further

details are given in the Report of the Directors.

General

Other than factors outside the company's control, the directors are not aware of any significant risk which may

adversely impact on the company during the forthcoming financial year. In the view of the directors, the

performance of the company's business is primarily dependent upon maintaining a high level of service and

well maintained fleet and the directors intend to continue to optimise this position in the interests of all

stakeholders in the company.

KEY PERFORMANCE INDICATORS

In order to achieve the growth in the profitability and cash flow, strong financial management is carried out by

the company. A number of key financial performance indicators are used as measures to ensure the

company grows, remains financially strong to meet its obligations and invests in the future. The indicators are

all drawn from the accounts and are shown below:

2017

2016

Turnover

£11,774,616

£11,506,830

Gross profit margin

22.21%

23.25%

Profit before tax

£1,227,510

£1,249,078

Shareholders' funds

£4,179,932

£3,656,069

FUTURE DEVELOPMENTS

The company's intentions for the year to 30 September 2018 remain to be:

To consolidate its operation to incorporate the additional storage capacity following the completion of the

development of the existing site, work on which commenced in December 2015 and was completed in June

2018. The project over ran in terms of costs and time and proved to be challenging for the business.

Further develop its staff, services and technology.

Engage further with its existing clients promoting cost and service efficiencies.

Attract and engage with new clients.

ON BEHALF OF THE BOARD:

A B Warrington - Secretary

25 June 2018

The directors present their report with the financial statements of the company for the year ended 30 September 2017.

DIVIDENDS

Interim dividends totalling £16.98 per share were paid during the period.

The directors recommend that no final dividends be paid.

The total distribution of dividends for the year ended 30 September 2017 will be £509,540.

FUTURE DEVELOPMENTS

The company's intentions for the year to 30 September 2018 remain to be:

i) Further develop both our staff, services and technology.

ii) Engage further with our existing clients promoting cost and service efficiencies in conjunction with attracting

and engaging with new clients.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 October 2016 to the date of

this report.

A B Warrington

D K Warrington

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;

-	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.

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 ought to have taken as a director in order to make himself aware of any relevant audit information and

to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

A B Warrington - Secretary

25 June 2018

Opinion

We have audited the financial statements of Viamaster Transport Limited (the 'company') for the year ended

30 September 2017 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of

Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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).

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.

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 September 2017 and of its profit 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 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 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, 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 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.

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 page four, 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.

Our 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.

Martin Garrity ACA FCCA (Senior Statutory Auditor)

for and on behalf of Broadhead Peel Rhodes Limited

Statutory Auditors

Leeds

West Yorkshire

LS28 7LG

25 June 2018

TURNOVER

11,774,616

11,506,830

Cost of sales

9,159,851

8,831,178

GROSS PROFIT

2,614,765

2,675,652

Administrative expenses

1,667,136

1,640,267

947,629

1,035,385

Other operating income

143,296

120,689

Gain/loss on revaluation of assets

288,006

-

OPERATING PROFIT

4

1,378,931

1,156,074

Profit on sale of investments

5

-

233,937

1,378,931

1,390,011

Interest payable and similar expenses

6

151,421

140,933

PROFIT BEFORE TAXATION

1,227,510

1,249,078

Tax on profit

7

194,107

281,264

PROFIT FOR THE FINANCIAL YEAR

1,033,403

967,814

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,033,403

967,814

FIXED ASSETS

Tangible assets

9

7,374,978

7,861,327

Investment property

10

2,200,000

-

9,574,978

7,861,327

CURRENT ASSETS

Stocks

11

19,879

58,958

Debtors

12

2,307,303

2,681,713

Cash at bank

263

165

2,327,445

2,740,836

CREDITORS

Amounts falling due within one year

13

3,451,164

3,924,596

NET CURRENT LIABILITIES

(1,123,719

)

(1,183,760

)

TOTAL ASSETS LESS CURRENT LIABILITIES

8,451,259

6,677,567

CREDITORS

Amounts falling due after more than one year

14

(4,046,960

)

(2,800,812

)

PROVISIONS FOR LIABILITIES

18

(224,367

)

(220,686

)

NET ASSETS

4,179,932

3,656,069

CAPITAL AND RESERVES

Called up share capital

19

30,000

30,000

Non-distributable reserve

20

233,285

-

Retained earnings

20

3,916,647

3,626,069

SHAREHOLDERS' FUNDS

4,179,932

3,656,069

The financial statements were approved by the Board of Directors on 25 June 2018 and were signed on its behalf by:

D K Warrington - Director

Called up

share

Retained

Non-distributable

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 October 2015

30,000

3,184,462

-

3,214,462

Changes in equity

Dividends

-

(526,207

)

-

(526,207

)

Total comprehensive income

-

967,814

-

967,814

Balance at 30 September 2016

30,000

3,626,069

-

3,656,069

Changes in equity

Dividends

-

(509,540

)

-

(509,540

)

Total comprehensive income

-

1,033,403

-

1,033,403

Transfer of non-distributable

reserves

-

(233,285

)

233,285

-

Balance at 30 September 2017

30,000

3,916,647

233,285

4,179,932

Cash flows from operating activities

Cash generated from operations

1

1,977,693

1,836,302

Interest paid

(92,821

)

(82,761

)

Interest element of hire purchase payments paid

(58,600

)

(58,172

)

Profit on sale of investment

-

233,937

Tax paid

(270,426

)

(164,586

)

Net cash from operating activities

1,555,846

1,764,720

Cash flows from investing activities

Purchase of tangible fixed assets

(2,260,111

)

(713,768

)

Sale of tangible fixed assets

102,310

80,548

Sale of fixed asset investments

-

40,000

Profit on sale of investment

-

(233,937

)

Net cash from investing activities

(2,157,801

)

(827,157

)

Cash flows from financing activities

Loan movements in year

-

30,182

Capital repayments in year

(134,512

)

(481,838

)

Amount introduced by directors

69,183

-

Equity dividends paid

(509,540

)

(526,207

)

Net cash from financing activities

(574,869

)

(977,863

)

Decrease in cash and cash equivalents

(1,176,824

)

(40,300

)

Cash and cash equivalents at beginning of year

2

(116,487

)

(76,187

)

Cash and cash equivalents at end of year

2

(46,833

)

(116,487

)

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2017

2016

£

£

Profit before taxation

1,227,510

1,249,078

Depreciation charges

737,615

718,096

Profit on disposal of fixed assets

(5,459

)

(1,778

)

Gain on revaluation of fixed assets

(288,006

)

-

Finance costs

151,421

140,933

1,823,081

2,106,329

Decrease/(increase) in stocks

39,079

(25,730

)

Decrease/(increase) in trade and other debtors

374,410

(208,843

)

Decrease in trade and other creditors

(258,877

)

(35,454

)

Cash generated from operations

1,977,693

1,836,302

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in

respect of these Balance Sheet amounts:

Year ended 30 September 2017

30.9.17

1.10.16

£

£

Cash and cash equivalents

263

165

Bank overdrafts

(47,096

)

(116,652

)

(46,833

)

(116,487

)

Year ended 30 September 2016

30.9.16

1.10.15

£

£

Cash and cash equivalents

165

509

Bank overdrafts

(116,652

)

(76,696

)

(116,487

)

(76,187

)

1.	STATUTORY INFORMATION

Viamaster Transport 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Significant judgements and estimates

The preparation of financial statements in compliance with FRS 102 requires the use of certain

critical accounting estimates. It also requires management to exercise judgement in applying the

company's accounting policies.

Estimates and judgements are continually evaluated and are based on historical experience and other

factors, including expectations of future events.

In preparing these financial statements, the directors have had to make the following judgement:

Tangible fixed assets

Tangible fixed assets are depreciated over their useful lives which are assessed annually by the

directors. In re-assessing asset lives, factors such as technological innovation, product life cycles and

maintenance programmes are taken into account

During the year depreciation of £737,615 (2016: £718,096) has been provided.

Turnover

Turnover is recognised in the accounts when the company obtains the right to consideration in

exchange for performance and is stated at the net invoice value, excluding value added tax. Where a

contract has only been partially completed at the balance sheet date turnover represents the fair value

of the service provided to that date based on the stage of completion of the contract activity at the

balance sheet date.

Depreciation

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

Freehold property

-

4% on cost

Plant and machinery

-

20% on reducing balance

Fixtures and fittings

-

10% and 25% on reducing balance

Motor vehicles

-

25% on reducing balance

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from

changes in fair value is recognised in profit or loss.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for

obsolete and slow moving items.

Taxation

Taxation for the year 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 balance sheet date.

Taxation

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

Financial assets and financial liabilities are recognised when the company becomes a party to the

contractual provisions of the instrument.

Financial assets and liabilities are initially measured at transaction price, except for those financial

assets classified as at fair value through profit or loss.

Basic financial instruments

Basic financial instruments are those with relatively straight forward terms and would normally include

cash, bank balances, trade debtors, trade creditors and uncomplicated bank loans.

Where the arrangement does not constitute a financing transaction, e.g. trade debtors on normal

commercial terms, the debtor will be valued initially at transaction price (i.e. cost) and subsequently at

transaction price less impairment (if any) due to concerns over recoverability.

Other financial instruments

Other financial instruments are those that do not qualify as basic due to the fact that they have more

complicated terms and would normally include complex bank loans, derivatives (including interest rate

SWAPS), options and foreign exchange forward contracts, investments in convertible debt and

convertible preference shares, rights, warrants and futures contracts and asset-backed securities.

The company has no 'other financial instruments' at the present time.

Investments

Investments where shares are publicly traded, or their fair value is reliably measurable, are measured

at fair value through profit or loss. Where fair value cannot be measured reliably, investments are

measured at cost less impairment.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at

each balance sheet date. If such indication exists, the recoverable amount of the asset, or the assets

cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount

exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is

carried at a revalued amount where the impairment loss is a revaluation decrease.

Invoice discounting

The company utilises finance arrangements in respect of certain of its trade debtors. The

arrangements are such that separate presentation of the relevant trade debtors and the related finance

is adopted.

3.	EMPLOYEES AND DIRECTORS

2017

2016

£

£

Wages and salaries

3,206,834

3,140,148

Social security costs

327,414

314,864

Other pension costs

91,482

96,694

3,625,730

3,551,706

The average number of employees during the year was as follows:

2017

2016

Drivers and support staff

103

112

Directors

2

2

105

114