NEW IDEA CONSTRUCTION COMPANY LIMITED

FINANCIAL STATEMENTS FOR THE YEAR

ENDED 31ST DECEMBER 2023

CHIKA OSUJI, NNAKWUZIE & CO.

CHARTERED ACCOUNTANTS
NEW IDEA CONSTRUCTION COMPANY LIMITED

(RC:359,165)

CONTENTS PAGE

Corporate Information 1

Reports of the Directors 2

Reports of the Auditors 4

Balance Sheet 5

Profit and Loss Account 6

Accounting Policies 7

Notes on the accounts 8

 NEW IDEA CONSTRUCTION COMPANY LIMITED
(RC:359,165)

REPORT OF THE DIRECTORS

For the year ended 31st December 2023.

The directors have pleasure in submitting to the members of the company their report
together with the Audited financial statements for the year ended 31st December 2023.

1. PRINCIPAL ACTIVITIES:

The company Is engaged in Engineering and General Construction.

2. STATE OF AFFAIRS
In the opinion of the directors, the state of the company’s affairs is satisfactory and there has
been no material change since the date of the balance sheet.

3 RESULT OF THE YEAR

2023 2022
N N
Profit/(Loss) for the year 116,763,948 12,820,433

4 DIRECTORS’ RESPONSIBILITIES

The Directors are responsible for the preparation of the financial statements.

It is the responsibility of the directors to ensure that:

 Proper accounting records are;
 Applicable accounting standards are followed;
 Internal control procedures are instituted which as far as is
reasonably possible, will safeguard the assets and prevent and detect
fraud and other irregularities;
 Suitable accounting policies are adopted and consistently applied;
 Judgments and estimates made are reasonable and prudent;
 The going concern basis is used.

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 NEW IDEA CONSTRUCTION COMPANY LIMITED

5 FIXED ASSET
Information relating to fixed assets of the company are contained in Note 1 on
page 8. In the opinion of the directors, there is no substantial difference between
the present market values of the assets and the amounts stated in these accounts.

6 EMPLOYMENT OF DISABLED PERSONS

The company employed no disabled person during the year.
However, It is the policy of the company that there is not unfair discrimination
in the consideration of applications for employment including those of disabled
persons.

7 HEALTH, SAFETY AND WELFARE OF EMPLOYEES

The company maintains relationship with hospitals which provide the
Employees with medical services.

8 AUDITORS
Messrs. Chika Osuji, Nnakwuzie & Co., having expressed their willingness will
continue in office as the company’s auditors in accordance with Section 357 (2)
of the companies and Allied Matters Act, 1990.

BY ORDER OF THE BOARD

COMPANY SECRETARY.
PORT HARCOURT

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 REPORT OF THE AUDITORS TO THE MEMBERS OF

NEW IDEA CONSTRUCTION COMPANY LIMITED

We have examined the financial statements set out on pages 1 to 13

and have obtained all information and explanation which to the best of our knowledge
and belief, were necessary for the purpose of our audit.

RESPONSIBILITY OF THE DIRECTORS

The directors are responsible for the preparation of the financial statements in
accordance with the provisions of sections 334 and 335 of the Companies and Allied
matters Act, CAP C20 LFN 2004.

RESPONSIBILITY OF AUDITORS
Our responsibility as auditors is to form an independent opinion on the financial
statements prepared by the Directors which we have audited.

OPINION
Proper books of accounts have been kept and the financial statements are in agreement
therewith.

In our opinion and to the best of our information and explanation given to us, the
financial statements which have been prepared on the basis of accounting policies set
out on page 7 give the information required by the Companies and Allied Matters Act, CAP
C20 LFN 2004 in the manner so required and give a true and fair view of the state of the
company’s affairs as at 31st December, 2023 and of the profit for the year ended on
that date.

CHIKA OSUJI, NNAKWUZIE & CO

CHARTERED ACCOUNTANTS

PORT HARCOURT
FEBRUARY 2024
4
 NEW IDEA CONSTRUCTION COMPANY LIMITED

(RC:359,165)

BALANCE SHEET
AS AT 31ST DECEMBER, 2023
2023 2022
NOTES N N N N

Fixed assets less depreciation (1) 154,462,061 195,731,183

Preliminary Expenses

Current assets (2) 292,783,140 90,146,751

Current liabilities (3) 107,450,347 159,956,209

Net Current Assets 185,332,794 -69,809,458

339,794,854 125,921,725

CAPITAL AND RESERVES

Called up share capital (4) 500,000 500,000

Profit and loss account 188,226,031 120,171,422

188,726,031 120,671,422

Directors Current Account 151,068,823 5,250,303

339,794,854 125,921,725

0
……………………………………..}

……………………………………..} Directors

……………………………………..}

The notes on pages 8 to 13 form an integral part of these accounts.

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
(RC:359,165)

PROFIT & LOSS ACCOUNT FOR THE YEAR

ENDED 31ST DECEMBER 2023

2023 2022
NOTES N N

Gross Income 1,593,937,926 1,446,505,889

less cost of sales 1,254,308,650 1,267,448,446

Gross Profit 339,629,276 179,057,443

Less Administrative Expenses (8) 222,865,327 166,237,010

Profit Before Tax (7) 116,763,948 12,820,433

CompanyTax provision -48,709,338 -7,962,593

Profit after Tax 68,054,610 4,857,839

Retained profit brought forward 120,171,422 115,313,582

Prior year adjustments (provisions reversed) 0 0

Profit carried forward 188,226,031 120,171,422

\
The notes on pages 10 and 11 form parts of these accounts.

6
 NEW IDEA CONSTRUCTION COMPANY LIMITED

(RC:359,165)

STATEMENT OF PRINCIPAL ACCOUNTING POLICIES

For the year Ended 31st December, 2023.

1. BASIS OF ACCOUNTING

a) The accounts of the company are prepared under the historical cost convention.

b) Turnover is the amount invoiced to third parties at arm’s length transactions.

c) Fixed assets are stated at cost or valuation less accumulated depreciation.

2. DEPRECIATION OF FIXED ASSETS

Depreciation is calculated to write off the cost or value of the assets over their expected useful

lives as follows:

Land and Building 5%

Plant & Machinery 10%

Motor Vehicles 25%

Furniture, Fittings & Equipment 10%

3. DEBTORS

Debtors are stated after consideration of portions doubtful of recovery.

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 NEW IDEA CONSTRUCTION COMPANY LIMITED

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED

31ST DECEMBER 2023

1 FIXED ASSETS

COST Land & Plant & Motor Furniture, TOTAL

Building Machinery Vehicles fittings, &
Equipment

Valuation/Cost 8,764,700 484,425,216 125,600,000 1,248,000 620,037,916

Additions 0 0 0 0 0

Disposal - - 0 - -

Balance at 31/12/2022 8,764,700 484,425,216 125,600,000 1,248,000 620,037,916

DEPRECIATION

Balance at 1/1/2022 6,157,350 333,863,903 83,037,490 1,247,990 424,306,733

Charge for the year 438,235 26,643,387 14,187,500 0 41,269,122

Elimination on Disposal - - -
0
Balance at 31/12/2022 6,595,585 360,507,290 97,224,990 1,247,990 465,575,855

NET BOOK VALUE: 2,169,115 123,917,926 28,375,010 10 154,462,061

AT 31/12/2022 2,607,350 150,561,313 42,562,510 10 195,731,183

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
(RC:359,165)

2 CURRENT ASSETS: Notes 2023 2022

N N

Stock & Work In Progress 2b 60,093,251 40,327,665

Trade Debtors 30,053,500 30,053,500
First Bank PLC Acct 1 8,826 808,388
Zenith Bank PLC, Owerri 337,530 16,839,853
First Bank PLC Acct 2 - 0
Fidelity Bank PLC 125,265 1,567,000
GUARANTY TRUST BANK 202,164,770 550,345
Polaris Bank - 0
ECOBANK 0
292,783,140 90,146,751

2b STOCKS
Stocks of Spares 0 0
Work in Progress 60,093,251 40,327,665
60,093,251 40,327,665
3 CURRENT LIABILITIES 0
Advances payments received 58,541,008 151,793,616
Accruals 200,000 200,000
Company Tax 48,709,338 7,962,593
107,450,347 159,956,209

4 CALLED UP SHARE CAPITAL: 2023 2022

N N

500,000 Ordinary shares of N1 each 500,000 500,000

500,000 Ordinary shares of N1 each 500,000 500,000

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
(RC:359,165)
2023 2022
5 Director Current Account
AT 1 January 5,250,303
Additions 145,818,520
Additions 151,068,823 5,250,303

6 TAXATION

Provision for income tax is based on the profit of the company as adjusted for taxation purposes.
2023 2022
Balance brought forward 7,962,593 8,245,757
Provision for the year 48,709,338 7,962,593
56,671,932 16,208,351
Adjustment of provision of prior year overprovisions 0

56,671,932 16,208,351
Less Paid 7,962,593 8,245,757
Balance Carried forward 48,709,338 7,962,593

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
9 INCOMES 2023 2022
N N
Contract income 1,593,923,997 142,683,500
Other Income 13,928 1,303,822,389

Gross Earnings 1,593,937,926 1,446,505,889

Direct costs
Opening Stock /Work in Progress 40,327,665 60,327,665
Purchase of Materials 1,274,074,236 1,247,448,446
Direct Labour -
Direct Expenses -
-
1,314,401,901 1,307,776,111
Less: Closing Stock /Work in progress (60,093,251) (40,327,665)
Total cost 1,254,308,650 1,267,448,446

10 Administrative/General costs
1 Traveling and Hotel Expenses 7,074,000 471,600
2 Printing and Stationary 15,700 -
3 Postages and Telephone 192,000 -
4 Repairs and Maintenance 31,152,000 15,576,000
5 Salaries 63,739,371 23,844,000
6 Motor Vehicle Running Expenses 14,788,000 13,405,280
7 Electricity and power 56,632,905 53,936,100
8 Bank Charges and Interest 1,141,814 1,322,643
9 Professional Expenses 750,000 100,000
10 Office Expenses - -
11 Audit fee 600,000 200,000
12 Deprec- Motor vehicles 14,187,500 14,187,500
13 Deprec- Furniture and Fittings - -
14 Deprec- Plant and Machinery 26,643,387 26,643,387
15 Deprec- Land and Building 438,235 438,235
16 Security Expenses 1,180,000 240,000
17 Rent and Rates -
20 Donation 4,000,000 7,211,500
21 Miscellaneous 330,416 132,166
22 Advertisements - 1,050,000
Medical/Other Allowances - 7,478,599
Trip Allowance - -
222,865,327 166,237,010

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
STATEMENT OF VALUE ADDED FOR THE YEAR ENDED 31ST DEC. 2023

2023 2022
N % N %
Turnover 1,593,937,926 1,446,505,889
Less: Bought in materials and services 1,371,415,484 1,368,372,334

Value Added 222,522,441 100% 78,133,554 100%

Applied as follows:
To pay employees- Salaries and wages 63,739,371 29% 23,844,000 31%
Directors Remunerations 750,000 0% 200,000 0%
64,489,371 29% 24,044,000 31%

To pay Government
Taxation (48,709,338) -22% (7,962,593) -10%

Retained for expansion and maintenance of Assets

Depreciation 41,269,122 19% 41,269,122 53%
Retained Earnings 68,054,610 31% 4,857,839 6%

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 NEW IDEA CONSTRUCTION COMPANY LIMITED

STATEMENT OF CASHFLOW FOR THE YEAR ENDED 31ST DEC. 2023

2023 2022
N N N N
Net Profit/loss before tax 116,763,948 12,820,433
Adj: for items not involving movement '
of funds:
Prior Year Adjustment - -
Depreciation 41,269,122 41,269,122

Operating Profit 158,033,070 54,089,554

CHANGES IN WORKING CAPITAL

(Increase)/Decrease in Stock (19,765,586) 20,000,000
(Increase)/Decrease in Debtors - -
Increase/(Decrease) in Creditors (93,252,607) (500,000)
(113,018,193) 19,500,000
45,014,877 73,589,554
CASHFLOW FROM INVESTING ACTIVITIES
Purchase of fixed assets - 56,750,000
Preliminary Expenses paid -
Company Tax Paid 7,962,593 8,245,757
7,962,593 64,995,757
37,052,284 8,593,797

CASHFLOW FROM FINANCING ACTIVITIES -

Funds generated from other sources: -
Share capital - -
Funds introduced/(withdrawn) by owners 145,818,520 (36,316,894)
145,818,520 - (36,316,894)
182,870,804 (27,723,096)

Cash and and Cash Equivalent at the beginning of the year 19,765,586 47,488,683

Cash and Cash Equivalent at the end of the year 202,636,390 19,765,586

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NEW IDEA CONSTRUCTION COMPANY LIMITED

COMPUTATION OF TAX LIABILITY

TAX YEAR 2024

YEAR OF ASSESSMENT
NORMAL ASSESSMENT 1/1/2023-31/12/2023

Profit/(Loss) per Profit & Loss Account 116,763,948

Add Back: Disallowed Deductions: Donation 4,000,000

Depreciation of Fixed Assets 41,269,121.88

Adjusted Profit 162,033,070.14

Loss to be relieved current year

Unrelieved loss brought forward -

Less: unrelieved loss more than 4 years now lost -

Loss relieved this year -

Total unrelieved loss carried forward -

Assessable income 162,033,070.14

Capital allowance applied 10,470,813.29

Taxable income 151,562,256.85

Tax Payable at 30% 45,468,677.05

Total capital allowance as computed 10,470,813

Add: unrelieved capital allowance brought forward 0

Total capital allowance available 10,470,813

2/3 of Adjusted profit 108,022,046.76

Total capital allowance applied 10,470,813.29

Unrelieved capital allowance now expired

Balance(unrelieved) carried forward -

COMPANY DUE ON CURRENT YEAR'S ACCT 45,468,677.05

EDUCATION TAX LIABILITY 3,240,661.40

TOTAL TAX LIABILITY PROVISION 48,709,338.46

min tax -
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 NEW IDEA CONSTRUCTION COMPANY LIMITED

COMPUTATION OF CAPITAL ALLOWANCES

1
COST Plant & Motor Land and Furniture TOTAL
Machinery Vehicles Building and fittings

2017 2024

NORM
INITIAL ALLOWANCE 50% 50% 15% 25%

ANNUAL ALLOWANCE 25% 25% 10% 20%

WDV B/FWD 5,915,831 21,749,335 1,436,662 16,567 29,118,395

0
Additions 0 0 0 0 0
0
Disposal 0
0
TOTAL 5,915,831 21,749,335 1,436,662 16,567 29,118,395

INVESTMENT ALLOWANCE

INITIAL ALLOWANCE 0 0 0 0 0

ANNUAL ALLOWANCE 2,957,916 7,327,793 179,583 5,522 10,470,813

BALANCING ALLOWANCE 0
0
NET CAP ALLOWANCE 2,957,916 7,327,793 179,583 5,522 10,470,813

WDV 2,957,916 14,421,543 1,257,079 11,045 18,647,582

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
COMPUTATION OF MINIMUM TAX
FOR 2019 YEAR OF ASSESSMENT

VALUE N TAX N
(i) Share Capital
Tax Due at 0.25%

(ii) Net Asset

SSMENT Tax Due @ 0.5%

(iii) Gross Profit

Tax Due @ 0.5%

(iv) Turnover 1,593,937,925.61

Min Tax 796,968.96

MINIMUM TAX -
Add Tax on excess Turnover

Total Tax payable 796,968.96 -

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 NEW IDEA CONSTRUCTION COMPANY LIMITED
4 YEARS FINANCIAL SUMMARY

ASSETS 2015 2015 2012 2011

N'000 N'000 N'000
Fixed Assets #BEZUG! #BEZUG! 642,000
Current Assets #BEZUG! #BEZUG! 226,795
#BEZUG! #BEZUG! 868,795

CAPITAL AND RESERVES

Share Capital #BEZUG! #BEZUG! 3,000
Deposit for Shares #BEZUG! #BEZUG! 820,250
General Reserves (P & L Account) #BEZUG! #BEZUG! (87,788)
SHAREHOLDERS' Fund #BEZUG! #BEZUG! 735,462

LIABILITIES
Non-current liabilities #BEZUG! #BEZUG! 133,333
Current Liabilities #BEZUG! #BEZUG! -
#BEZUG! #BEZUG! 133,333
#BEZUG! #BEZUG! 868,795

Turnover 538,701 336,068 49,180

(Loss) Before Tax (156,930) (178,484) (87,788)

(Loss) After Tax (165,230) (178,758) (87,788)

Earnings per share