P.J. Livesey Holdings Limited - Limited company accounts 17.3

REGISTERED NUMBER: 03195231 (England and Wales)

GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30TH JUNE 2017

FOR

P.J. LIVESEY HOLDINGS LIMITED

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Income Statement

7

Consolidated Other Comprehensive Income

8

Consolidated Balance Sheet

9

Company Balance Sheet

10

Consolidated Statement of Changes in Equity

11

Company Statement of Changes in Equity

12

Consolidated Cash Flow Statement

13

Notes to the Consolidated Cash Flow Statement

14

Notes to the Consolidated Financial Statements

15

DIRECTORS:

Mr P J Livesey

Mrs D A Livesey

Mr J W Allcock

Mr R Brocklehurst

Mr P G Richardson

Mrs G A Livesey

Mr J N D Woodmansee

Mr M Duckett

Mr G W Graves

Mr C D Lynch

SECRETARY:

Mrs D A Livesey

REGISTERED OFFICE:

Ashburton Park

Ashburton Road West

Trafford Park

Manchester

M17 1AF

REGISTERED NUMBER:

03195231 (England and Wales)

AUDITORS:

Ainsworths Limited

Chartered Accountants

and Statutory Auditors

Charter House

Stansfield Street

Nelson

Lancashire

BB9 9XY

The directors present their strategic report of the company and the group for the year ended 30th June 2017.

REVIEW OF BUSINESS

The group's key financial indicators during the year were as follows:

2017

2016

Change

£

£

%

Income Statement

Turnover

76,369,871

50,785,785

+ 50.4%

Profit before taxation

7,100,867

5,949,919

+ 19.3%

Balance sheet

Cash at bank and in hand

12,289,392

8,600,896

+ 42.9%

Shareholders' funds

41,453,009

36,249,327

+ 14.4%

The group turnover has increased by 50.4% from the previous year, this is a result of strong sales rates and increased

sales values across the board. The group over performed significantly on two sites, St James Place, the former

Manchester Metropolitan Campus and The Residence, the conversion of the former Chocolate Factory into 180 luxury

apartments.

The profit before taxation has increased by as a consequence of this increase in turnover.

A further key performance measure of the group is the amount that is held in the bank to ensure that adequate working

capital is retained at all times and to enable the purchase of suitable development land that becomes available. Whilst

some funds have been reinvested into fixed assets and current development, the directors are pleased to report that bank

balances of the group have increased by 42.9%.

The directors are satisfied with an increase in the shareholders' funds of 14.4% from the prior year and believe this

represents an attractive return on the capital employed in the group.

PRINCIPAL RISKS AND UNCERTAINTIES

The major risks and uncertainties facing the group are related to the future of the property market, availability of suitable

sites and the availability of finance. The directors believe that as a result of the timely action that they have taken, the

group is in a strong position to benefit from the improvement in the housing market.

ON BEHALF OF THE BOARD:

Mrs G A Livesey - Director

26th March 2018

The directors present their report with the financial statements of the company and the group for the year ended

30th June 2017.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of the construction of residential properties.

DIVIDENDS

Interim dividends per share were paid as follows:

£1,200

- 1st July 2016

£1,200

- 1st October 2016

£5,100

- 26th June 2017

£7,500

The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 30th June 2017 will be £ 750,000 .

FUTURE DEVELOPMENTS

No changes to the group's business are anticipated.

DIRECTORS

The directors shown below have held office during the whole of the period from 1st July 2016 to the date of this report.

Mr P J Livesey

Mrs D A Livesey

Mr J W Allcock

Mr R Brocklehurst

Mr P G Richardson

Mrs G A Livesey

Mr J N D Woodmansee

Other changes in directors holding office are as follows:

Mr M Duckett , Mr G W Graves and Mr C D Lynch were appointed as directors after 30th June 2017 but prior to the date of this report.

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;

-	state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

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.

AUDITORS

The auditors, Ainsworths Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mrs G A Livesey - Director

26th March 2018

Opinion

We have audited the financial statements of P.J. Livesey Holdings Limited (the 'parent company') and its subsidiaries

(the 'group') for the year ended 30th June 2017 on pages seven to twenty six. 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 group's and of the parent company affairs as at 30th June 2017 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

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 group'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 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 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 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.

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 pages three and 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 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.

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.

Michael Heys (Senior Statutory Auditor)

for and on behalf of Ainsworths Limited

Chartered Accountants

and Statutory Auditors

Charter House

Stansfield Street

Nelson

Lancashire

BB9 9XY

26th March 2018

TURNOVER

3

76,369,871

50,785,785

Cost of sales

65,318,665

41,162,269

GROSS PROFIT

11,051,206

9,623,516

Distribution costs

923,473

893,734

Administrative expenses

3,585,498

2,912,655

4,508,971

3,806,389

6,542,235

5,817,127

Other operating income

65,883

15,441

OPERATING PROFIT

5

6,608,118

5,832,568

Profit on sale of investment property

6

630,852

136,970

7,238,970

5,969,538

Interest receivable and similar income

5,400

14,713

7,244,370

5,984,251

Interest payable and similar expenses

7

143,503

34,332

PROFIT BEFORE TAXATION

7,100,867

5,949,919

Tax on profit

8

1,147,185

950,000

PROFIT FOR THE FINANCIAL YEAR

5,953,682

4,999,919

Profit attributable to:

Owners of the parent

5,953,682

4,999,919

PROFIT FOR THE YEAR

5,953,682

4,999,919

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

5,953,682

4,999,919

Total comprehensive income attributable to:

Owners of the parent

5,953,682

4,999,919

FIXED ASSETS

Tangible assets

11

8,742,701

2,518,930

Investments

12

-

-

Investment property

13

2,653,660

1,640,910

11,396,361

4,159,840

CURRENT ASSETS

Stocks

14

47,494,236

47,756,477

Debtors

15

3,528,685

2,989,005

Cash at bank and in hand

12,289,392

8,600,896

63,312,313

59,346,378

CREDITORS

Amounts falling due within one year

16

33,255,665

27,256,891

NET CURRENT ASSETS

30,056,648

32,089,487

TOTAL ASSETS LESS CURRENT LIABILITIES

41,453,009

36,249,327

CAPITAL AND RESERVES

Called up share capital

19

100

100

Retained earnings

20

41,452,909

36,249,227

SHAREHOLDERS' FUNDS

41,453,009

36,249,327

The financial statements were approved by the Board of Directors on 26th March 2018 and were signed on its behalf by:

Mr P J Livesey - Director

FIXED ASSETS

Tangible assets

11

2,359,965

2,448,412

Investments

12

2,808,180

68

Investment property

13

-

-

5,168,145

2,448,480

CURRENT ASSETS

Stocks

14

30,150

30,150

Debtors

15

31,164,487

33,880,549

Cash at bank and in hand

9,058,547

5,304,570

40,253,184

39,215,269

CREDITORS

Amounts falling due within one year

16

7,628,241

7,474,987

NET CURRENT ASSETS

32,624,943

31,740,282

TOTAL ASSETS LESS CURRENT LIABILITIES

37,793,088

34,188,762

CAPITAL AND RESERVES

Called up share capital

19

100

100

Retained earnings

20

37,792,988

34,188,662

SHAREHOLDERS' FUNDS

37,793,088

34,188,762

Company's profit for the financial year

4,354,326

1,144,617

The financial statements were approved by the Board of Directors on 26th March 2018 and were signed on its behalf by:

Mr P J Livesey - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1st July 2015

100

32,229,308

32,229,408

Changes in equity

Dividends

-

(980,000

)

(980,000

)

Total comprehensive income

-

4,999,919

4,999,919

Balance at 30th June 2016

100

36,249,227

36,249,327

Changes in equity

Dividends

-

(750,000

)

(750,000

)

Total comprehensive income

-

5,953,682

5,953,682

Balance at 30th June 2017

100

41,452,909

41,453,009

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1st July 2015

100

34,024,045

34,024,145

Changes in equity

Dividends

-

(980,000

)

(980,000

)

Total comprehensive income

-

1,144,617

1,144,617

Balance at 30th June 2016

100

34,188,662

34,188,762

Changes in equity

Dividends

-

(750,000

)

(750,000

)

Total comprehensive income

-

4,354,326

4,354,326

Balance at 30th June 2017

100

37,792,988

37,793,088

Cash flows from operating activities

Cash generated from operations

1

8,933,613

(7,958,478

)

Interest paid

(143,503

)

(34,332

)

Tax paid

(14,429

)

(8,856

)

Net cash from operating activities

8,775,681

(8,001,666

)

Cash flows from investing activities

Purchase of tangible fixed assets

(6,407,676

)

(72,950

)

Sale of tangible fixed assets

-

149,492

Sale of investment property

1,616,102

884,618

Interest received

5,400

14,713

Net cash from investing activities

(4,786,174

)

975,873

Cash flows from financing activities

New loans in year

4,025,000

5,079,979

Capital repayments in year

(3,397,750

)

(114,049

)

Amount introduced by directors

-

570,015

Amount withdrawn by directors

(178,261

)

-

Equity dividends paid

(750,000

)

(980,000

)

Net cash from financing activities

(301,011

)

4,555,945

Increase/(decrease) in cash and cash equivalents

3,688,496

(2,469,848

)

Cash and cash equivalents at beginning of year

2

8,600,896

11,070,744

Cash and cash equivalents at end of year

2

12,289,392

8,600,896

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

30.6.17

30.6.16

£

£

Profit before taxation

7,100,867

5,949,919

Depreciation charges

183,905

164,269

Profit on disposal of fixed assets

(630,852

)

(74,933

)

Finance costs

143,503

34,332

Finance income

(5,400

)

(14,713

)

6,792,023

6,058,874

Increase in stocks

(1,735,759

)

(8,765,499

)

(Increase)/decrease in trade and other debtors

(581,196

)

535,967

Increase/(decrease) in trade and other creditors

4,458,545

(5,787,820

)

Cash generated from operations

8,933,613

(7,958,478

)

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 30th June 2017

30.6.17

1.7.16

£

£

Cash and cash equivalents

12,289,392

8,600,896

Year ended 30th June 2016

30.6.16

1.7.15

£

£

Cash and cash equivalents

8,600,896

11,070,744

1.	STATUTORY INFORMATION

P.J. Livesey Holdings 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 General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" 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

Preparation of the financial statements requires management to consider any significant judgements and

estimates.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates,

value added tax and other sales taxes.

Turnover from the sale of property is recognised on legal completion.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

2% on cost

Workshop plant and machinery

-

20% on cost and 10% - 25% on cost

Office fixtures and fittings

-

20% on cost

Vehicles

-

25% on cost

Tangible fixed assets are capitalised at cost.

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 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 includes all direct expenditure and an appropriate proportion of

overheads.

Net realisable value is based on estimated selling price less all further costs to completion and disposal.

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.