REGISTERED NUMBER: 13250102 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2023 |
FOR |
RVW PUGH GROUP LTD |
REGISTERED NUMBER: 13250102 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2023 |
FOR |
RVW PUGH GROUP LTD |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 18 |
RVW PUGH GROUP LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
7 Lower Brook Street |
Oswestry |
Shropshire |
SY11 2HG |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
The directors present their strategic report of the company and the group for the year ended 28 February 2023. |
REVIEW OF BUSINESS |
The results for the year and financial position of the group are as shown in the annexed financial statements. |
During this year the gross profit percentage has increased slightly from 11.24% at the end of 2022 to 12% in the year ended 2023, and the net profit has increased from 6.54% at the end of 2022 to 7.92% in the year ended 2023. The industry average net profit percentage remains at 1%, so the Company is performing well in its sector. Return on capital employed and return on equity remain healthy. |
The Company's bespoke Wedding Venue has been open all year and seen steady bookings for 2024 and 2025. |
Now into our fifth decade of business, the group is progressing well. |
The year commencing 1st March 2023 has started positively. |
ON BEHALF OF THE BOARD: |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 28 February 2023. |
DIVIDENDS |
An interim dividend of £2 per share was paid on 28 February 2023. The directors recommend that no final dividend be paid. |
The total distribution of dividends for the year ended 28 February 2023 will be £ 4,000 . |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 March 2022 to the date of this report. |
DISCLOSURE IN THE STRATEGIC REPORT |
The group has chosen, in accordance with s414C(11) of the Companies Act, to set out in the group's strategic report information regarding the review of business and a description of the principal risks and uncertainties facing the group. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group'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 group's auditors are aware of that information. |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
AUDITORS |
The auditors, D.R.E. & Co. (Audit) Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RVW PUGH GROUP LTD |
Opinion |
We have audited the financial statements of RVW Pugh Group Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 28 February 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 28 February 2023 and of the group's 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 group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group 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 this gives rise to a material misstatement in the financial statements themselves. 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 Group 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 Group 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 |
RVW PUGH GROUP LTD |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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 three, 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RVW PUGH GROUP LTD |
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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
-the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
-we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the client's operating sector; |
-we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, employment, environmental and health and safety legislation; |
-we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and |
-identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
-making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and |
-reviewing the client's system notes and internal controls. |
To address the risk of fraud through management bias and override of controls, we: |
-performed analytical procedures to identify any unusual or unexpected relationships; |
-tested journal entries to identify unusual transactions; |
-assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; |
-investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
-agreeing financial statement disclosures to underlying supporting documentation; |
- reading the minutes of meetings of those charged with governance; |
-enquiring of management as to actual and potential litigation and claims; |
-reviewing correspondence with HMRC. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
RVW PUGH GROUP LTD |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
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 |
7 Lower Brook Street |
Oswestry |
Shropshire |
SY11 2HG |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONSOLIDATED INCOME STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
Notes | £ | £ |
TURNOVER | 4 | 41,159,921 | 33,404,281 |
Cost of sales | (36,484,367 | ) | (29,648,421 | ) |
GROSS PROFIT | 4,675,554 | 3,755,860 |
Administrative expenses | (1,450,461 | ) | (1,513,879 | ) |
3,225,093 | 2,241,981 |
Other operating income | 11,549 | 27,532 |
OPERATING PROFIT | 6 | 3,236,642 | 2,269,513 |
Interest receivable and similar income | 3,427 | 179 |
3,240,069 | 2,269,692 |
Interest payable and similar expenses | 7 | (155,151 | ) | (83,675 | ) |
PROFIT BEFORE TAXATION | 3,084,918 | 2,186,017 |
Tax on profit | 8 | (579,292 | ) | (512,379 | ) |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 2,508,847 | 1,670,351 |
Non-controlling interests | (3,221 | ) | 3,287 |
2,505,626 | 1,673,638 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONSOLIDATED OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 2,505,626 | 1,673,638 |
OTHER COMPREHENSIVE INCOME |
Reserve transfer on group reconstruction | - | 10,784,457 |
Income tax relating to other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
- |
10,784,457 |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
2,505,626 |
12,458,095 |
Total comprehensive income attributable to: |
Owners of the parent | 2,508,847 | 12,454,808 |
Non-controlling interests | (3,221 | ) | 3,287 |
2,505,626 | 12,458,095 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONSOLIDATED BALANCE SHEET |
28 FEBRUARY 2023 |
28.2.23 | 28.2.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 | 5,691,560 | 4,234,537 |
Investments | 12 | 198,024 | 198,024 |
5,889,584 | 4,432,561 |
CURRENT ASSETS |
Stocks | 13 | 14,671,975 | 12,469,968 |
Debtors | 14 | 5,566,657 | 3,227,011 |
Cash at bank | 2,028,781 | 1,231,440 |
22,267,413 | 16,928,419 |
CREDITORS |
Amounts falling due within one year | 15 | 11,886,403 | 7,789,594 |
NET CURRENT ASSETS | 10,381,010 | 9,138,825 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
16,270,594 |
13,571,386 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(506,864 |
) |
(580,725 |
) |
PROVISIONS FOR LIABILITIES | 20 | (806,909 | ) | (535,466 | ) |
NET ASSETS | 14,956,821 | 12,455,195 |
CAPITAL AND RESERVES |
Called up share capital | 21 | 1,000 | 1,000 |
Retained earnings | 22 | 14,955,655 | 12,450,808 |
SHAREHOLDERS' FUNDS | 14,956,655 | 12,451,808 |
NON-CONTROLLING INTERESTS | 23 | 166 | 3,387 |
TOTAL EQUITY | 14,956,821 | 12,455,195 |
The financial statements were approved by the Board of Directors and authorised for issue on 28 November 2023 and were signed on its behalf by: |
R V W Pugh - Director |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
COMPANY BALANCE SHEET |
28 FEBRUARY 2023 |
28.2.23 | 28.2.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 11 |
Investments | 12 |
CURRENT ASSETS |
Debtors | 14 |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 21 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 4,000 | - |
The financial statements were approved by the Board of Directors and authorised for issue on |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Called up |
share | Retained | Non-controlling | Total |
capital | earnings | Total | interests | equity |
£ | £ | £ | £ | £ |
Changes in equity |
Issue of share capital | 1,000 | - | 1,000 | - | 1,000 |
Dividends | - | (4,000 | ) | (4,000 | ) | - | (4,000 | ) |
Total comprehensive income | - | 12,454,808 | 12,454,808 | 3,287 | 12,458,095 |
1,000 | 12,450,808 | 12,451,808 | 3,287 | 12,455,095 |
Non-controlling interest arising on business combination |
- |
- |
- |
100 |
100 |
Balance at 28 February 2022 | 1,000 | 12,450,808 | 12,451,808 | 3,387 | 12,455,195 |
Changes in equity |
Dividends | - | (4,000 | ) | (4,000 | ) | - | (4,000 | ) |
Total comprehensive income | - | 2,508,847 | 2,508,847 | (3,221 | ) | 2,505,626 |
Balance at 28 February 2023 | 1,000 | 14,955,655 | 14,956,655 | 166 | 14,956,821 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Changes in equity |
Issue of share capital | - |
Balance at 28 February 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 28 February 2023 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 2,771,709 | 1,864,120 |
Interest paid | (155,151 | ) | (83,675 | ) |
Tax paid | (301,961 | ) | (344,478 | ) |
Net cash from operating activities | 2,314,597 | 1,435,967 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (2,516,567 | ) | (1,161,695 | ) |
Sale of tangible fixed assets | 865,054 | 278,765 |
Cash introduced on group reconstruction | - | 980,398 |
Interest received | 3,427 | 179 |
Net cash from investing activities | (1,648,086 | ) | 97,647 |
Cash flows from financing activities |
Loan repayments in year | (168,581 | ) | (169,088 | ) |
New hire purchase in year | 475,278 | - |
Capital repayments in year | (200,160 | ) | (163,739 | ) |
Amount introduced by directors | 28,293 | 34,653 |
Equity dividends paid | (4,000 | ) | (4,000 | ) |
Net cash from financing activities | 130,830 | (302,174 | ) |
Increase in cash and cash equivalents | 797,341 | 1,231,440 |
Cash and cash equivalents at beginning of year |
2 |
1,231,440 |
- |
Cash and cash equivalents at end of year | 2 | 2,028,781 | 1,231,440 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Profit before taxation | 3,084,918 | 2,186,017 |
Depreciation charges | 569,127 | 463,627 |
Profit on disposal of fixed assets | (374,637 | ) | (45,832 | ) |
Adjustment to investment in subsidiary | - | 998 |
Finance costs | 155,151 | 83,675 |
Finance income | (3,427 | ) | (179 | ) |
3,431,132 | 2,688,306 |
Increase in stocks | (2,202,007 | ) | (216,813 | ) |
Increase in trade and other debtors | (2,339,646 | ) | (354,971 | ) |
Increase/(decrease) in trade and other creditors | 3,882,230 | (252,402 | ) |
Cash generated from operations | 2,771,709 | 1,864,120 |
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 28 February 2023 |
28.2.23 | 1.3.22 |
£ | £ |
Cash and cash equivalents | 2,028,781 | 1,231,440 |
Period ended 28 February 2022 |
28.2.22 | 9.3.21 |
£ | £ |
Cash and cash equivalents | 1,231,440 | - |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.3.22 | Cash flow | At 28.2.23 |
£ | £ | £ |
Net cash |
Cash at bank | 1,231,440 | 797,341 | 2,028,781 |
1,231,440 | 797,341 | 2,028,781 |
Debt |
Finance leases | (298,158 | ) | (275,118 | ) | (573,276 | ) |
Debts falling due within 1 year | (171,323 | ) | (1,877 | ) | (173,200 | ) |
Debts falling due after 1 year | (481,807 | ) | 170,458 | (311,349 | ) |
(951,288 | ) | (106,537 | ) | (1,057,825 | ) |
Total | 280,152 | 690,804 | 970,956 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
1. | STATUTORY INFORMATION |
RVW Pugh Group Ltd 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 General Information page. |
The principal place of business is Mellington, Churchstoke, Montgomery, Powys, SY15 6TQ. |
2. | STATEMENT OF COMPLIANCE |
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. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under the historical cost convention. |
The financial statements are for the group as well as for the individual entity, |
The financial statements are presented in sterling (£), rounded to the nearest £1. |
Going Concern |
The financial statements have been prepared under a going concern basis on the directors expectation that the group will continue to operate in the foreseeable future. |
Basis of consolidation |
The consolidated financial statements present the results of the parent company and those of its subsidiaries. All consolidated subsidiaries have coterminous financial year ends. Inter group transactions have been eliminated from the financial statements and subsidiary results have been restated, where applicable to reflect comparable accounting policies. |
As the formation of the group arose out of a restructure of the R V W Pugh Limited business, negative goodwill arising on consolidation has not been recognised on the consolidated balance sheet, and has been written off to reserves. |
The directors have reported in the consolidated profit and loss statement the trading results for the whole year to the reporting date. |
The financial statements therefore include: |
RVW Pugh Group Limited | - Parent company |
R.V.W. Pugh Ltd | - 100% direct subsidiary undertaking |
TR Machinery Ltd | - 90% direct subsidiary undertaking |
Significant judgements and estimates |
The group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below. |
The group provides against the stock it holds based on the age profile of the units held utilising management's past experience and anticipated future market trends. See stock note for the net carrying amount of stock. |
The group makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. See debtors note for the net carrying amount of debtors. |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
3. | ACCOUNTING POLICIES - continued |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Tangible fixed assets |
Land & buildings | - |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Stocks |
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition. |
Financial instruments |
A financial asset held as an equity instrument is recognised initially at the transaction price (including transaction costs). |
At the end of each reporting period, unlisted equity investments are recorded at fair value, where appropriate, or at cost less impairment if their fair value cannot be reliably measured. Objective evidence of the impairment of financial assets is assessed at each period end and any impairment loss recognised in the profit or loss immediately. Impairment loss is calculated as the difference between the carrying amount of the instrument and the best estimate of the cash flows expected to be derived from the asset (including sales proceeds if sold) at the balance sheet date. |
Investment income is recognised in the financial statements when the company becomes entitled to its share of profits from the financial instrument. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, 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. |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
3. | ACCOUNTING POLICIES - continued |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
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 group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
The group also makes payments to the directors personal pension scheme. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Sale of goods | 38,269,515 | 30,956,402 |
Provision of services | 673,435 | 2,447,879 |
38,942,950 | 33,404,281 |
**TURNOVER ENTERED ON CLIENT SCREEN - CURRENT YEAR | 38,942,950 |
**DOES NOT AGREE TO TURNOVER PER TRIAL BALANCE | 41,159,921 |
5. | EMPLOYEES AND DIRECTORS |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Wages and salaries | 2,074,452 | 1,913,998 |
Social security costs | 188,416 | 170,885 |
Other pension costs | 120,164 | 115,749 |
2,383,032 | 2,200,632 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
5. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
Sales | 11 | 11 |
Admin | 10 | 9 |
Other | 60 | 59 |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Directors' remuneration | 55,080 | 55,080 |
Directors' pension contributions to money purchase schemes | 81,278 | 81,298 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 2 | 2 |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Other operating leases | 16,870 | - |
Depreciation - owned assets | 377,221 | 399,697 |
Depreciation - assets on hire purchase contracts | 191,906 | 63,930 |
Profit on disposal of fixed assets | (374,637 | ) | (45,832 | ) |
Auditors' remuneration | 24,750 | 18,750 |
Other operating costs | 86,245 | 84,370 |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Bank & HP interest | 132,350 | 67,215 |
Bank loan interest | 22,801 | 16,460 |
155,151 | 83,675 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Current tax: |
UK corporation tax | 307,849 | 301,961 |
Deferred tax | 271,443 | 210,418 |
Tax on profit | 579,292 | 512,379 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Profit before tax | 3,084,918 | 2,186,017 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2022 - 19 %) |
586,134 |
415,343 |
Effects of: |
Expenses not deductible for tax purposes | 1,047 | 1,545 |
Capital allowances in excess of depreciation | (280,328 | ) | (114,927 | ) |
Net chargeable gains | 996 | - |
Deferred tax | 271,443 | 210,418 |
Total tax charge | 579,292 | 512,379 |
Tax effects relating to effects of other comprehensive income |
There were no tax effects for the year ended 28 February 2023. |
9.3.21 to 28.2.22 |
Gross | Tax | Net |
£ | £ | £ |
Reserve transfer on group reconstruction | 10,784,457 | - | 10,784,457 |
9. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
10. | DIVIDENDS |
Period |
9.3.21 |
Year Ended | to |
28.2.23 | 28.2.22 |
£ | £ |
Ordinary shares of £1 each |
Interim | 4,000 | 4,000 |
11. | TANGIBLE FIXED ASSETS |
Group |
Improvements |
Land & | to | Plant and |
buildings | property | machinery |
£ | £ | £ |
COST |
At 1 March 2022 | 2,479,744 | 230,893 | 2,666,742 |
Additions | 299,022 | 8,147 | 1,866,304 |
Disposals | - | - | (911,238 | ) |
At 28 February 2023 | 2,778,766 | 239,040 | 3,621,808 |
DEPRECIATION |
At 1 March 2022 | 354,353 | 122,738 | 1,096,172 |
Charge for year | 71,428 | 20,355 | 354,181 |
Eliminated on disposal | - | - | (444,331 | ) |
At 28 February 2023 | 425,781 | 143,093 | 1,006,022 |
NET BOOK VALUE |
At 28 February 2023 | 2,352,985 | 95,947 | 2,615,786 |
At 28 February 2022 | 2,125,391 | 108,155 | 1,570,570 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
11. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixtures |
and | Motor |
fittings | vehicles | Totals |
£ | £ | £ |
COST |
At 1 March 2022 | 172,287 | 954,188 | 6,503,854 |
Additions | 9,096 | 333,998 | 2,516,567 |
Disposals | - | (54,277 | ) | (965,515 | ) |
At 28 February 2023 | 181,383 | 1,233,909 | 8,054,906 |
DEPRECIATION |
At 1 March 2022 | 131,329 | 564,725 | 2,269,317 |
Charge for year | 14,291 | 108,872 | 569,127 |
Eliminated on disposal | - | (30,767 | ) | (475,098 | ) |
At 28 February 2023 | 145,620 | 642,830 | 2,363,346 |
NET BOOK VALUE |
At 28 February 2023 | 35,763 | 591,079 | 5,691,560 |
At 28 February 2022 | 40,958 | 389,463 | 4,234,537 |
Included within the above group totals are the following amounts held on hire purchase / finance leases: |
Plant & machinery: Net book value £1,198,028, depreciation charge for the year £172,375. |
Motor vehicles: Net book value £107,647 depreciation charge for the year £19,531. |
12. | FIXED ASSET INVESTMENTS |
Group | Company |
28.2.23 | 28.2.22 | 28.2.23 | 28.2.22 |
£ | £ | £ | £ |
Shares in group undertakings | - | - |
Other investments not loans | 198,024 | 198,024 |
198,024 | 198,024 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
12. | FIXED ASSET INVESTMENTS - continued |
Additional information is as follows: |
Group |
Equity |
instruments |
£ |
COST |
At 1 March 2022 |
and 28 February 2023 | 105,000 |
NET BOOK VALUE |
At 28 February 2023 | 105,000 |
At 28 February 2022 | 105,000 |
Investments (neither listed nor unlisted) were as follows: |
28.2.23 | 28.2.22 |
£ | £ |
Other investments - cost brought forward | 93,024 | 93,024 |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 March 2022 |
and 28 February 2023 |
NET BOOK VALUE |
At 28 February 2023 |
At 28 February 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Mellington, Churchstoke, Montgomery, Powys, SY15 6TQ |
Nature of business: |
% |
Class of shares: | holding |
28.2.23 | 28.2.22 |
£ | £ |
Aggregate capital and reserves |
Profit for the year/period |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
12. | FIXED ASSET INVESTMENTS - continued |
Registered office: Mellington, Churchstoke, Montgomery, Powys, SY15 6TQ |
Nature of business: |
% |
Class of shares: | holding |
28.2.23 | 28.2.22 |
£ | £ |
Aggregate capital and reserves |
(Loss)/profit for the year/period | ( |
) |
13. | STOCKS |
Group |
28.2.23 | 28.2.22 |
£ | £ |
Stocks | 14,635,815 | 12,439,068 |
Work-in-progress | 36,160 | 30,900 |
14,671,975 | 12,469,968 |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
28.2.23 | 28.2.22 | 28.2.23 | 28.2.22 |
£ | £ | £ | £ |
Trade debtors | 5,127,707 | 2,630,398 |
Amounts due from group |
undertaking | - | - |
Prepayments and accrued income | 438,950 | 596,613 |
5,566,657 | 3,227,011 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
28.2.23 | 28.2.22 | 28.2.23 | 28.2.22 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 173,200 | 171,323 |
Hire purchase contracts (see note 18) | 377,761 | 199,240 |
Trade creditors | 2,158,636 | 1,953,062 |
Tax | 307,849 | 301,961 |
Social security and other taxes | 57,256 | 63,408 |
VAT | 277,578 | 70,596 | - | - |
Amounts owed to group | - | - | - | 900 |
Directors' current accounts | 132,157 | 103,864 |
Accruals and deferred income | 8,401,966 | 4,926,140 |
11,886,403 | 7,789,594 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
28.2.23 | 28.2.22 |
£ | £ |
Bank loans (see note 17) | 311,349 | 481,807 |
Hire purchase contracts (see note 18) | 195,515 | 98,918 |
506,864 | 580,725 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
28.2.23 | 28.2.22 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 173,200 | 171,323 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 311,349 | 481,807 |
Loans are repayable by instalments as analysed above and have an annual debit interest rate of 2.6%. |
18. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
28.2.23 | 28.2.22 |
£ | £ |
Net obligations repayable: |
Within one year | 377,761 | 199,240 |
Between one and five years | 195,515 | 98,918 |
573,276 | 298,158 |
Group |
Non-cancellable operating | leases |
28.2.23 | 28.2.22 |
£ | £ |
Within one year | 89,135 | 89,135 |
Between one and five years | 20,465 | 20,385 |
109,600 | 109,520 |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
19. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
28.2.23 | 28.2.22 |
£ | £ |
Bank loans | 484,549 | 653,130 |
Hire purchase contracts | 573,276 | 298,158 |
1,057,825 | 951,288 |
The bank overdraft and bank loans are secured by a charge on the following business property: |
- Mellington, Churchstoke, Powys dated 22 May 2000 |
- Garthmyl Hall, Garthmyl, Montgomery, Powys dated 19 October 2015 |
- The Coach House, Garthmyl Hall, Garthmyl, Montgomery, Powys dated 03 November 2015 |
- Land adjacent to Garthmyl Hall, Garthmyl, Montgomery, Powys dated 17 November 2015 |
- Bluebell pub, Churchstoke, Montgomery, Powys, dated 5 August 2022 |
Bank borrowings are also secured by a personal guarantee from the directors up to £300,000 supported by a legal charge over the directors private property dated 21 April 1999 and a debenture dated 9 February 1999. |
Barclays Bank Plc also hold a fixed and floating charge dated 29 November 2019, of which the floating charge is against all assets of the company concerned . The charge also contains a negative pledge. |
Hire purchase assets are secured on the assets to which they relate. |
20. | PROVISIONS FOR LIABILITIES |
Group |
28.2.23 | 28.2.22 |
£ | £ |
Deferred tax | 806,909 | 535,466 |
Group |
Deferred |
tax |
£ |
Balance at 1 March 2022 | 535,466 |
Provided during year | 271,443 |
Balance at 28 February 2023 | 806,909 |
21. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 28.2.23 | 28.2.22 |
value: | £ | £ |
Ordinary | £1 | 1,000 | 1,000 |
The company share capital was acquired via a share for share exchange with the shareholders of R.V.W. Pugh Limited, a subsidiary company. |
RVW PUGH GROUP LTD (REGISTERED NUMBER: 13250102) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 28 FEBRUARY 2023 |
21. | CALLED UP SHARE CAPITAL - continued |
Ordinary shares are entitled to full voting rights and dividends. |
22. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 March 2022 | 12,450,808 |
Profit for the year | 2,508,847 |
Dividends | (4,000 | ) |
At 28 February 2023 | 14,955,655 |
23. | NON-CONTROLLING INTERESTS |
Minority interest represents the net assets of the subsidiary companies not controlled by the group. |
24. | CONTINGENT LIABILITIES |
The group companies are in a cross guarantee agreement with AGCO Finance Ltd. In this agreement are R.V.W Pugh Group Limited, RVW Pugh Limited, and T R Machinery Limited. As at the year end the potential contingent liability for R.V.W Pugh Group Limited amounted to £7,949,068 (2022: £5,030,881). |
The company entered in to a contract dated 1st November 2021 with AGCO Limited to provide a guarantee up to a value of £200,000. |
25. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The directors have also given a personal guarantee to the bank, details of which are disclosed in note 19 to the financial statements. |
26. | RELATED PARTY DISCLOSURES |
During the period directors of the company charged the group rent of £50,000 (2022: £50,000). |
RVW Pugh Limited Retirement Scheme |
Directors of the company are members of both the company and scheme. |
The group has been charged £18,750 (2022: £18,750) as rental contributions. |
Key management personnel |
During the year, a total of key management personnel compensation of £ 225,363 (2022 - £ 164,160 ) was paid. |
27. | ULTIMATE CONTROLLING PARTY |
Mr RVW Pugh and Mrs CA Pugh are the ultimate controlling party due to their 100% shareholding in RVW Pugh Group Ltd, the parent company. |