ACCOUNTS - Final Accounts preparation

ACCOUNTS - Final Accounts preparation

J T ATKINSON & SONS LIMITED - Company Information

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J T ATKINSON & SONS LIMITED 2014-01-01 false true 2014-12-312014-12-31truetrueEach of the persons who are directors at the time when this directors' report is approved has confirmed that: so far as that director is aware, there is no relevant audit information of which the company's auditors are unaware, and that director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information. 01027936 2014-01-01 2014-12-31 01027936 2013-01-01 2013-12-31 01027936 2014-12-31 01027936 2013-12-31 01027936 2013-01-01 01027936 d:CompanySecretary 2014-01-01 2014-12-31 01027936 c:MotorVehicles 2014-01-01 2014-12-31 01027936 c:FixturesFittingsToolsEquipment 2014-01-01 2014-12-31 01027936 c:MotorVehicles 2013-12-31 01027936 c:MotorVehicles 2014-12-31 01027936 c:FixturesFittingsToolsEquipment 2013-12-31 01027936 c:FixturesFittingsToolsEquipment 2014-12-31 01027936 d:OrdinaryShareClass1 2014-12-31 01027936 d:OrdinaryShareClass1 2013-12-31 01027936 d:OrdinaryShareClass1 2014-01-01 2014-12-31 01027936 d:Director1 2014-01-01 2014-12-31 01027936 d:Director2 2014-01-01 2014-12-31 01027936 d:Director3 2014-01-01 2014-12-31 01027936 d:Director4 2014-01-01 2014-12-31 01027936 d:Director5 2014-01-01 2014-12-31 01027936 d:Director6 2014-01-01 2014-12-31 01027936 d:EntityAccountantsOrAuditors 2014-12-31 01027936 d:AllEntityOfficers 2014-01-01 2014-12-31 01027936 d:AllEntityOfficers 2013-01-01 2013-12-31 01027936 c:PlantMachinery 2014-01-01 2014-12-31 01027936 c:PlantMachinery 2013-12-31 01027936 c:PlantMachinery 2014-12-31 01027936 c:LandBuildings c:LongLeaseholdProperties 2014-01-01 2014-12-31 01027936 c:LandBuildings c:LongLeaseholdProperties 2013-12-31 01027936 c:LandBuildings c:LongLeaseholdProperties 2014-12-31 01027936 d:RegisteredOffice 2014-01-01 2014-12-31 01027936 c:OwnedOrFreeholdTangibleFixedAssets 2014-01-01 2014-12-31 01027936 c:OwnedOrFreeholdTangibleFixedAssets 2013-01-01 2013-12-31 01027936 c:LeasedTangibleFixedAssets 2014-01-01 2014-12-31 01027936 c:LeasedTangibleFixedAssets 2013-01-01 2013-12-31 01027936 d:EntityAccountantsOrAuditors 2013-01-01 2013-12-31 01027936 d:EntityAccountantsOrAuditors 2014-01-01 2014-12-31 01027936 c:WithinOneYear 2014-12-31 01027936 c:WithinOneYear 2013-12-31 01027936 c:DividendsPaid d:AllOrdinaryShares 2014-01-01 2014-12-31 01027936 c:DividendsPaid d:AllOrdinaryShares 2013-01-01 2013-12-31 xbrli:shares xbrli:pure iso4217:GBP
















J T ATKINSON & SONS LIMITED






DIRECTORS' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2014















Registered number: 01027936

 
J T ATKINSON & SONS LIMITED
 
 
COMPANY INFORMATION


DIRECTORS
Mr J E Atkinson 
Mr J J Boyd FCA 
Mr M R Atkinson 
Mr E Atkinson 
Mr J D E Atkinson 
Mr M Stalley 




COMPANY SECRETARY
Mr J J Boyd FCA



REGISTERED NUMBER
01027936



REGISTERED OFFICE
Thornton House
Cargo Fleet Lane

Middlesbrough

TS3 8DE




INDEPENDENT AUDITORS
Waltons Clark Whitehill Limited
Chartered Accountants & Statutory Auditors

Maritime House

Harbour Walk

The Marina

Hartlepool

TS24 0UX




 
J T ATKINSON & SONS LIMITED
 

CONTENTS


Page

 
Directors' report
 
1 - 2
Strategic report
 
3
Independent auditors' report
 
4 - 5
Profit and loss account
 
6
Balance sheet
 
7
Notes to the financial statements
 
8 - 16
The following pages do not form part of the statutory financial statements:
 
Detailed profit and loss account and summaries
 
17 - 19
 
 
J T ATKINSON & SONS LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2014

The directors present their report and the financial statements for the year ended 31 December 2014.
 
 
DIRECTORS' RESPONSIBILITIES STATEMENT
 
 
The directors are responsible for preparing the strategic report, the directors' report and the financial statements in accordance with applicable law and regulations.
 
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

·select suitable accounting policies and then apply them consistently;

·make judgments and accounting estimates that are reasonable and prudent;

·state whether applicable UK 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.
 
 
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.
 
 
PRINCIPAL ACTIVITIES
 
 
The company's principal activity during the year was the operation of builders merchants.
 
 
RESULTS AND DIVIDENDS
 
 
The profit for the year, after taxation, amounted to £1,753,311 (2013 - £909,699).
 
 
During the year the company paid a dividend of £1,500,000 (2013 -  £750,000)
 
 
DIRECTORS
 
 
The directors who served during the year were:
 
 
Mr J E Atkinson 
Mr J J Boyd FCA 
Mr M R Atkinson 
Mr E Atkinson 
Mr J D E Atkinson 
Mr M Stalley 
 
The company is a wholly owned subsidiary of Atkinson Northern Limited. 
 
 
Page 1
 
J T ATKINSON & SONS LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2014

FUTURE DEVELOPMENTS
 
 
The company intends to continue expanding the business through the opening of appropriately sited branches in the North of England.
 
 
MATTERS COVERED IN THE STRATEGIC REPORT
 
 
The business review, principal risks and uncertainties and financial key performance indicators are all included in the strategic report.
 
 
DISCLOSURE OF INFORMATION TO AUDITORS
 
 
Each of the persons who are directors at the time when this directors' report is approved has confirmed that:

·so far as that director is aware, there is no relevant audit information of which the company's auditors are unaware, and

·that director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information.
 
 
AUDITORS
 
 
The auditors, Waltons Clark Whitehill Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
 
 
This report was approved by the board on 22 April 2015 and signed on its behalf.
 
 




Mr J E Atkinson
Director
Page 2
 
J T ATKINSON & SONS LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2014

BUSINESS REVIEW

The company was well placed to take advantage of the strong demand which continued throughout 2014. Sales growth was accompanied by an improvement in gross margins and this led to a significant increase in profit.

PRINCIPAL RISKS AND UNCERTAINTIES

The principal risks and uncertainties remain the level of demand in the repair, maintenance, improvements and construction markets in the North of England and the competitive pressures in those markets.

FINANCIAL KEY PERFORMANCE INDICATORS

The board monitors company performance using a range of indicators, some of the most significant of which
are as follows:-

Key Performance Indicators   2014  2013  2012  2011
      
Sales growth                  12.9%   14.3%   9.4%    9.4%
Gross margin growth    18.0%     17.4%        5.3%        12.7%
Gross profit %     30.7%  29.4%  28.6%  29.7%
Employee costs as a % of gross margin  45.9%  47.3%  51.3%      52.0%
 



This report was approved by the board on 22 April 2015 and signed on its behalf.






Mr J E Atkinson
Director

Page 3
 
J T ATKINSON & SONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF J T ATKINSON & SONS LIMITED

We have audited the financial statements of J T Atkinson & Sons Limited for the year ended 31 December 2014, set out on pages 6 to 16. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
 
 
This report is made solely to the company's shareholders, 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 shareholders those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's shareholders as a body, for our audit work, for this report, or for the opinions we have formed.
 
 
RESPECTIVE RESPONSIBILITIES OF DIRECTORS AND AUDITORS
 
 
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board's Ethical Standards for Auditors.
 
 
SCOPE OF THE AUDIT OF THE FINANCIAL STATEMENTS
 
 
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the company's circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the directors; and the overall presentation of the financial statements.  In addition, we read all the financial and non-financial information in the strategic report and the directors' report to identify material inconsistencies with the audited financial statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course of performing the audit. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report.
 
 
UNQUALIFIED OPINION ON FINANCIAL STATEMENTS
 
 
In our opinion the financial statements:
 
·give a true and fair view of the state of the company's affairs as at 31 December 2014 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.
 
 
OPINION ON OTHER MATTER PRESCRIBED BY THE COMPANIES ACT 2006
  
 
In our opinion the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements.
 
 
Page 4
 
J T ATKINSON & SONS LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF J T ATKINSON & SONS LIMITED

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION
  
 
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.
 
 


Paul Harrison MSc BSc FCA (senior statutory auditor)
  
for and on behalf of
Waltons Clark Whitehill Limited
 
Chartered Accountants
Statutory Auditors
  
Maritime House
Harbour Walk
The Marina
Hartlepool
TS24 0UX

28 April 2015
Page 5
 
J T ATKINSON & SONS LIMITED
 
 
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2014

        2014
        2013
Note

        £

        £

 
TURNOVER
1,2
39,548,358
35,032,858
 
Cost of sales

(27,401,398)
(24,740,105)

 
GROSS PROFIT
12,146,960
10,292,753
 
Distribution costs

(5,891,023)
(5,243,059)
 
Administrative expenses

(3,863,651)
(3,648,987)

 
OPERATING PROFIT
3
2,392,286
1,400,707
 
Interest receivable and similar income
6
5,497
6,964
 
Interest payable and similar charges
7
(229,207)
(220,447)

 
PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION

2,168,576
1,187,224
 
Tax on profit on ordinary activities
8
(415,265)
(277,525)

 
PROFIT FOR THE FINANCIAL YEAR
 
15
 
 1,753,311
 909,699




All amounts relate to continuing operations.

There were no recognised gains and losses for 2014 or 2013 other than those included in the profit and loss account.

The notes on pages 8 to 16 form part of these financial statements.

Page 6
 
J T ATKINSON & SONS LIMITED
REGISTERED NUMBER: 01027936

BALANCE SHEET
AS AT 31 DECEMBER 2014

2014
2013
Note
£
£
£
£
 
FIXED ASSETS





 
Tangible assets
 
9
2,270,004
1,927,484
 
CURRENT ASSETS





 
Stocks
10
4,570,396
4,115,717

 
Debtors
11
5,194,332
5,107,539

 
Cash in hand

15,299
14,161







 
9,780,027
9,237,417
 
CREDITORS: amounts falling due within one year
12
(5,057,903)
(4,260,025)
 
NET CURRENT ASSETS


4,722,124

4,977,392
 
TOTAL ASSETS LESS CURRENT LIABILITIES
6,992,128
6,904,876
 
CREDITORS: amounts falling due after more than one year
13
(5,457,574)

(5,623,633)

NET ASSETS




 1,534,554


 1,281,243
  
CAPITAL AND RESERVES

 
Called up share capital
14
381,839
381,839
 
Other reserves
3,061
3,061
 
Profit and loss account
15
1,149,654
896,343
 
SHAREHOLDERS' FUNDS
 
16

 1,534,554

 1,281,243


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 22 April 2015.




Mr J E Atkinson
Mr J J Boyd FCA
Director
Director

The notes on pages 8 to 16 form part of these financial statements.

Page 7
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

1.ACCOUNTING POLICIES

1.1
Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention and in accordance with applicable accounting standards.

1.2
Going concern

The directors, having made due and careful enquiry and preparing forecasts, are of the opinion that the company has adequate working capital to execute its operations over the next 12 months. The directors, therefore, have made an informed judgement, at the time of approving the financial statements, that there is reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. As a result the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements.

1.3
Cash flow

The company, being a subsidiary undertaking where 90% or more of the voting rights are controlled within the group whose consolidated financial statements are publicly available, is exempt from the requirement to draw up a cash flow statement in accordance with FRS 1.

1.4
Turnover

Turnover comprises revenue recognised by the company in respect of goods and services supplied during the year, exclusive of Value Added Tax and trade discounts.

1.5
Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation.  Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Additions to leasehold premises
-
over the period of the lease
Plant and equipment
-
over 4 to 8 years
Motor vehicles
-
over 4 to 5 years
Fixtures & Fittings
-
over 4 to 8 years

1.6
Leasing and hire purchase

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account on a straight line basis over the period of the agreement.

1.7
Operating leases

Rentals under operating leases are charged to the profit and loss account on a straight line basis over the lease term.
Page 8
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

1.ACCOUNTING POLICIES (continued)

1.8
Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.

1.9
Pensions

The company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the company to the fund in respect of the year.


2.TURNOVER

All turnover arose within the United Kingdom.


3.OPERATING PROFIT

The operating profit is stated after charging:

        2014
        2013
        £

        £

Depreciation of tangible fixed assets:
- owned by the company
417,362
275,875
- held under finance leases
163,087
320,012
Auditors' remuneration
12,475
12,475
Operating lease rentals:
- plant and machinery
24,917
33,409
- other operating leases
807,488
803,104


4.STAFF COSTS

Staff costs, including directors' remuneration, were as follows:

        2014
        2013
        £

        £



Wages and salaries
5,022,621
4,421,142


Social security costs
435,010
362,878


Other pension costs
114,278
82,830


 5,571,909
 4,866,850

Page 9
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

4.STAFF COSTS (continued)

The average monthly number of employees, including the directors, during the year was as follows:

        2014
        2013
            No.
            No.






Administration
19
19


Selling and distribution
204
192



223

211
 

5.DIRECTORS' REMUNERATION

        2014
        2013
        £

        £

Remuneration

 189,036
 77,221

Company pension contributions to defined contribution pension schemes

 9,923
 3,682

During the year retirement benefits were accruing to 2 directors (2013 - 3) in respect of defined contribution pension schemes.

 

6.INTEREST RECEIVABLE

        2014
        2013
        £

        £

Other interest receivable
 5,497
 6,964
 

7.INTEREST PAYABLE 

        2014
        2013
        £

        £

On finance leases and hire purchase contracts
16,752
21,872
On loans from group undertakings
212,455
198,575


 229,207
 220,447
 
Page 10
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

8.TAXATION

        2014
        2013
        £

        £

Analysis of tax charge in the year

UK corporation tax charge on profit for the year
420,000
280,000
Adjustments in respect of prior periods
(4,735)
(2,475)




Tax on profit on ordinary activities

 415,265
 277,525

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2013 - higher than) the standard rate of corporation tax in the UK of 21.5% (2013 - 23.25%). The differences are explained below:

        2014
        2013
        £

        £

Profit on ordinary activities before tax
 
 2,168,576
 1,187,224

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 21.5% (2013 - 23.25%)
466,244
276,030

Effects of:



Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
1,670
9,503
Capital allowances for year in excess of depreciation
(66,265)
(5,678)
Adjustments to tax charge in respect of prior periods
(4,735)
(2,475)
Over provided corporation tax charge
18,351
145


Current tax charge for the year (see note above)

 415,265
 277,525

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 11
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

9.TANGIBLE FIXED ASSETS


Additions to leasehold property
Plant & machinery
Motor vehicles
Fixtures & fittings


£

£

£

£


Cost 


At 1 January 2014
185,012
2,174,549
2,411,254
713,958

Additions
-
207,465
690,354
56,188

Disposals
-
(59,441)
(256,115)
(733)


At 31 December 2014

185,012

2,322,573

2,845,493

769,413



Depreciation


At 1 January 2014
44,084
1,509,596
1,414,970
588,639

Charge for the year
13,874
146,210
337,629
82,736

On disposals
-
(59,441)
(225,040)
(770)


At 31 December 2014

57,958

1,596,365

1,527,559

670,605







Net book value


At 31 December 2014
 127,054
 726,208
 1,317,934
 98,808


At 31 December 2013

 140,928

 664,953

 996,284

 125,319

Total


£


Cost 


At 1 January 2014
5,484,773

Additions
954,007

Disposals
(316,289)


At 31 December 2014

6,122,491



Depreciation


At 1 January 2014
3,557,289

Charge for the year
580,449

On disposals
(285,251)


At 31 December 2014

3,852,487




Net book value


At 31 December 2014
 2,270,004


At 31 December 2013

 1,927,484

Page 12
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

9.TANGIBLE FIXED ASSETS (continued)

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:

        2014
        2013

        £

        £

Motor vehicles and plant and machinery
 427,914
 591,002


 

10.STOCKS

        2014
        2013
        £

        £

Goods for resale
 4,570,396
 4,115,717
 
 
11.DEBTORS
 
        2014
        2013
        £
        £



Trade debtors
3,965,759
3,997,142
Other debtors
10,926
18,091
Prepayments and accrued income
1,217,647
1,092,306



 5,194,332
 5,107,539
 
Page 13
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

12.CREDITORS:
Amounts falling due within one year

        2014
        2013
        £

        £

Bank overdraft
1,170,665
698,252
Net obligations under finance leases and hire purchase contracts
166,059
173,174
Trade creditors
2,131,901
2,012,848
Amounts owed to group undertakings
50,000
-
Corporation tax
205,000
280,000
Other taxation and social security
638,661
593,713
Other creditors
105,674
115,819
Accruals and deferred income
589,943
386,219


 5,057,903
 4,260,025

The bank overdraft is secured by a fixed and floating charge over all current and future assets of the company and by group composite guarantees.

The assets held under finance leases and hire purchase contracts are secured upon the assets to which they relate.


 

13.CREDITORS:
Amounts falling due after more than one year

        2014
        2013
        £

        £

Net obligations under finance leases and hire purchase contracts
207,574
373,633
Amounts owed to group undertakings
5,250,000
5,250,000



 5,457,574
 5,623,633

Obligations under finance leases and hire purchase contracts, included above, are payable as follows:

        2014
        2013
        £
        £


Between one and five years
 207,574
 373,633


14.SHARE CAPITAL

        2014
        2013
        £

        £

Allotted, called up and fully paid



381,839 Ordinary shares of £1 each
 381,839
 381,839

Page 14
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

15.RESERVES

Profit and loss account
£


At 1 January 2014
896,343
Profit for the financial year
1,753,311
Dividends: Equity capital
(1,500,000)


At 31 December 2014

 1,149,654

Goodwill at a cost of £280,000 has previously been fully amortised to profit and loss account reserves.

16.RECONCILIATION OF MOVEMENT IN SHAREHOLDERS' FUNDS

        2014
        2013

        £

        £

Opening shareholders' funds
1,281,243
1,121,544
Profit for the financial year
1,753,311
909,699
Dividends (Note 17)
(1,500,000)
(750,000)

Closing shareholders' funds

 1,534,554
 1,281,243



 

17.DIVIDENDS

        2014
        2013
        £
        £


Dividends paid on equity capital
 1,500,000
 750,000
 

18.OPERATING LEASE COMMITMENTS

At 31 December 2014 the company had annual commitments under non-cancellable operating leases as follows:

Land and buildings
Other
2014
2013
2014
2013

£

£

£

£

Expiry date:

Within 1 year
-
-
12,458
1,415
Between 2 and 5 years
-
-
-
24,917
After more than 5 years
807,488
803,104
-
-
 
Page 15
 
J T ATKINSON & SONS LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2014

19.ULTIMATE PARENT UNDERTAKING AND CONTROLLING PARTY

The ultimate holding company is Atkinson Northern Limited. There is no ultimate controlling party.


20.RELATED PARTY TRANSACTIONS


The company has taken advantage of the exemption from disclosing transactions with entities within the Atkinson Northern Limited group on the grounds that the consolidated accounts of the group are publicly available from Companies House, Crown Way, Maindy, Cardiff.


Page 16
 
J T ATKINSON & SONS LIMITED
 
 
DETAILED TRADING AND PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2014

        2014
        2013
Page

        £

        £

 
TURNOVER
18
39,548,358
35,032,858
 
Cost of sales
18
(27,401,398)
(24,740,105)





 
GROSS PROFIT
12,146,960
10,292,753
 
Gross profit %

30.7%

29.4%

 
LESS: OVERHEADS

 
Selling and distribution expenses
18
(5,891,023)
(5,243,059)
 
Administration expenses
19
(3,863,651)
(3,648,987)





 
OPERATING PROFIT

2,392,286

1,400,707

 
Interest receivable
19
5,497
6,964
 
Interest payable
19
(229,207)
(220,447)





 
PROFIT FOR THE YEAR

 2,168,576
 1,187,224
 Page 17
 
J T ATKINSON & SONS LIMITED
 
 
SCHEDULE TO THE DETAILED ACCOUNTS
FOR THE YEAR ENDED 31 DECEMBER 2014
 
        2014
        2013
        £

        £

TURNOVER

Sales
 39,548,358
 35,032,858
 
 
        2014
        2013
        £

        £

COST OF SALES

Cost of sales
 27,401,398
 24,740,105
 
 
        2014
        2013
        £

        £

SELLING AND DISTRIBUTION EXPENSES

Salaries
4,447,840
3,883,323
National Insurance
373,690
304,044
Pensions
95,875
80,354
Motor running costs
688,170
676,303
Depreciation
299,031
300,729
Profit on disposal of fixed asset
(13,583)
(1,694)





 5,891,023
 5,243,059
 
 Page 18
 
J T ATKINSON & SONS LIMITED
 
 
SCHEDULE TO THE DETAILED ACCOUNTS
FOR THE YEAR ENDED 31 DECEMBER 2014
 
        2014
        2013
        £

        £

ADMINISTRATION EXPENSES

Directors salaries
175,405
76,266
Directors pension costs
9,923
3,682
Staff salaries
399,376
461,553
Staff National Insurance
61,320
58,834
Staff pensions
8,480
(1,206)
Hotels, travel and subsistence
50,221
69,493
Printing, postage and stationery
96,923
104,105
Telephone and fax
59,291
45,987
Advertising and promotion
45,685
21,474
Legal and professional
38,464
39,660
Auditors' remuneration
12,475
12,475
Equipment hire
149,801
70,277
Equipment leasing (operational)
24,917
33,409
Sundry expenses
310,445
282,703
Rent
807,488
803,104
Rates
449,758
445,431
Light and heat
121,333
114,340
Cleaning
40,716
38,381
Insurances
76,485
78,263
Repairs and maintenance
494,356
475,598
Depreciation
281,418
295,158
(Profit) on sale of tangible assets
(44,629)
-
Management charge
194,000
120,000





 3,863,651
 3,648,987
 
 
        2014
        2013
        £

        £

INTEREST RECEIVABLE

Other interest receivable
 5,497
 6,964



 
 
        2014
        2013
        £

        £

INTEREST PAYABLE

Group interest payable
212,455
198,575
Hire purchase interest payable
16,752
21,872





 229,207
 220,447
 
 Page 19