Caseware UK (AP4) 2022.0.179 2022.0.179 2023-05-312023-05-31false2022-06-01The principal activity of the company in the year under review was that of a water based technology company, designing, building and operating effective solutions for water treatment.3434truetrue 07364156 2022-06-01 2023-05-31 07364156 2021-06-01 2022-05-31 07364156 2023-05-31 07364156 2022-05-31 07364156 c:Director1 2022-06-01 2023-05-31 07364156 d:PlantMachinery 2022-06-01 2023-05-31 07364156 d:PlantMachinery 2023-05-31 07364156 d:PlantMachinery 2022-05-31 07364156 d:PlantMachinery d:OwnedOrFreeholdAssets 2022-06-01 2023-05-31 07364156 d:MotorVehicles 2022-06-01 2023-05-31 07364156 d:MotorVehicles 2023-05-31 07364156 d:MotorVehicles 2022-05-31 07364156 d:MotorVehicles d:OwnedOrFreeholdAssets 2022-06-01 2023-05-31 07364156 d:OtherPropertyPlantEquipment 2022-06-01 2023-05-31 07364156 d:OtherPropertyPlantEquipment 2023-05-31 07364156 d:OtherPropertyPlantEquipment 2022-05-31 07364156 d:OtherPropertyPlantEquipment d:OwnedOrFreeholdAssets 2022-06-01 2023-05-31 07364156 d:OwnedOrFreeholdAssets 2022-06-01 2023-05-31 07364156 d:CurrentFinancialInstruments 2023-05-31 07364156 d:CurrentFinancialInstruments 2022-05-31 07364156 d:Non-currentFinancialInstruments 2023-05-31 07364156 d:Non-currentFinancialInstruments 2022-05-31 07364156 d:CurrentFinancialInstruments d:WithinOneYear 2023-05-31 07364156 d:CurrentFinancialInstruments d:WithinOneYear 2022-05-31 07364156 d:Non-currentFinancialInstruments d:AfterOneYear 2023-05-31 07364156 d:Non-currentFinancialInstruments d:AfterOneYear 2022-05-31 07364156 d:ShareCapital 2023-05-31 07364156 d:ShareCapital 2022-05-31 07364156 d:SharePremium 2023-05-31 07364156 d:SharePremium 2022-05-31 07364156 d:CapitalRedemptionReserve 2023-05-31 07364156 d:CapitalRedemptionReserve 2022-05-31 07364156 d:RetainedEarningsAccumulatedLosses 2023-05-31 07364156 d:RetainedEarningsAccumulatedLosses 2022-05-31 07364156 c:FRS102 2022-06-01 2023-05-31 07364156 c:Audited 2022-06-01 2023-05-31 07364156 c:FullAccounts 2022-06-01 2023-05-31 07364156 c:PrivateLimitedCompanyLtd 2022-06-01 2023-05-31 07364156 c:SmallCompaniesRegimeForAccounts 2022-06-01 2023-05-31 07364156 6 2022-06-01 2023-05-31 07364156 4 2023-05-31 07364156 4 2022-05-31 07364156 f:PoundSterling 2022-06-01 2023-05-31 iso4217:GBP xbrli:pure

Registered number: 07364156










HYDRO INDUSTRIES LIMITED










FINANCIAL STATEMENTS

INFORMATION FOR FILING WITH THE REGISTRAR

FOR THE YEAR ENDED 31 MAY 2023

 
HYDRO INDUSTRIES LIMITED
REGISTERED NUMBER: 07364156

BALANCE SHEET
AS AT 31 MAY 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 4 
1,345,085
1,567,200

Investments
 5 
282,180
223,008

  
1,627,265
1,790,208

Current assets
  

Stocks
 6 
5,265,406
5,634,501

Debtors: amounts falling due within one year
 7 
3,454,993
3,318,894

Cash at bank and in hand
  
610,091
2,437,650

  
9,330,490
11,391,045

Creditors: amounts falling due within one year
 8 
(312,461)
(385,953)

Net current assets
  
 
 
9,018,029
 
 
11,005,092

Total assets less current liabilities
  
10,645,294
12,795,300

Creditors: amounts falling due after more than one year
 10 
(121,329)
(148,042)

  

Net assets
  
10,523,965
12,647,258


Capital and reserves
  

Called up share capital 
  
917
917

Share premium account
  
36,246,189
36,246,189

Capital redemption reserve
  
465
465

Profit and loss account
  
(25,723,606)
(23,600,313)

  
10,523,965
12,647,258


The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The Company has opted not to file the profit and loss account in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 15 February 2024.



Page 1

 
HYDRO INDUSTRIES LIMITED
REGISTERED NUMBER: 07364156
    
BALANCE SHEET (CONTINUED)
AS AT 31 MAY 2023


................................................
Wayne Preece
Director

Page 2

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

1.


General information

Hydro Industries Limited is a private company, limited by shares, registered in England and Wales. The company's registered number is 07364156 and registered office address is 16 Berkeley Street, London, W1J 8DZ
The presentation currency of the financial statements is the Pound Sterling (£).
Monetary amounts in these financial statements are rounded to the nearest £.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

 
2.2

Going concern

In preparing the financial statements, the directors have considered the current financial position of the company and its likely future cashflows. The directors have noted that the company has made a significant loss in the year, however continues to hold both net current assets and net assets at balance sheet date.
The company has prepared forecasts to assess its cash flows and funding requirements for the foreseeable future. In formulating the assumptions on trading and working capital, the company has considered current contracts and the impact on cash flows of future orders                                          .                                           .                                                              
At the date of signing the financial statements, after making appropriate enquiries and examining will have adequate resources to continue its operations for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

  
2.3

Preparation of consolidated financial statements

The financial statements contain information about Hydro Industries Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements.

  
2.4

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard
102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose
related party transactions with wholly owned subsidiaries within the group.

Page 3

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

2.Accounting policies (continued)

  
2.5

Significant judgements and estimates

The company 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 lliabilities within the next financial year are addressed below :
(i) Useful economic lives of tangible assets
The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on 'technological advancement, future investments, economic utilisation and the physical condition of the assets.
(ii) Inventory provisioning
The company assesses the requirement for inventory provision and considers the nature and condition of the inventory, as well as applying assumptions around - saleability of finished goods and future usage of raw materials.
(iii) Impairment of debtors
The company 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 the debtors and historical experience.

  
2.6

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding
discounts, rebates, value added tax and other sales taxes.
Revenue recognition
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the
company and the turnover can be reliably measured and the following criteria has been met :-
Sale of goods
Turnover from the sale of goods is recognised when all of the following conditions are satisfied:
- the company has transferred the significant risks and rewards of ownership to the buyer;
- the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold ;
- the amount of turnover can be measured reliably ;
- it is probable that the company will receive the consideration due under the transaction ; and
- the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Rendering of services
Turnover from a contract to provide services is recognised in the period in which the services are
provided in accordance with the stage of completion of the contract when all of the following conditions
are satisfied :
- the amount of turnover can be measured reliably ;
- it is probable that the company will receive the consideration due under the contract ;
- the stage of completion of the contract at the end of the reporting period can be measured reliably ;
and
- the costs incurred and the costs to complete the contract can be measured reliably.

Page 4

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

2.Accounting policies (continued)

 
2.7

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Profit and Loss Account within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

 
2.8

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

Page 5

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

2.Accounting policies (continued)

 
2.9

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

 
2.10

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
10 - 33% on cost
Motor vehicles
-
25% on cost
Water Systems Treatment Plant
-
10% on cost

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.11

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Other investments are measured at cost less accumulated impairment. 

Page 6

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

2.Accounting policies (continued)

 
2.12

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

  
2.13

Financial instruments

Basic financial assets, which include trade and other debtors and cash and bank balances, are initially measured at transaction price unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Basic financial liabilities, including trade and other creditors and loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of iinterest.

 
2.14

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

  
2.15

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.
Assets held under finance leases, which are leases where substantially all the risks and rewards of ownership of the asset have passed to the company, and hire purchase contracts are capitalised in the statement of financial position and are depreciated over the shorter of the lease term and the assets' useful lives. A corresponding liability is recognised for the lower of the fair value of the leased asset and the present value of the minimum lease payments are apportioned between the reduction of the lease liability and finance charges in the income statement so as to achieve a constant rate of interest on the remaining balance of the liability.

  
2.16

Grants

Grants received relating to tangible fixed assets are treated as deferred income and released to the
income statement over the estimated useful lives of the assets concerned. Revenue grants are credited to the profit or loss account on a received basis when the conditions of entitlement have been met.

Page 7

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

3.


Employees

The average monthly number of employees, including directors, during the year was 34 (2022 - 34).


4.


Tangible fixed assets





Plant and machinery
Motor vehicles
Water Systems Treatment Plant
Total

£
£
£
£



Cost or valuation


At 1 June 2022
1,060,920
285,352
992,688
2,338,960



At 31 May 2023

1,060,920
285,352
992,688
2,338,960



Depreciation


At 1 June 2022
629,601
142,160
-
771,761


Charge for the year on owned assets
72,065
50,780
99,269
222,114



At 31 May 2023

701,666
192,940
99,269
993,875



Net book value



At 31 May 2023
359,254
92,412
893,419
1,345,085



At 31 May 2022
431,319
143,193
992,688
1,567,200

The net book value of tangible fixed assets include £89,076 (2022 - £133,024) in respect of assets held under hire purchase contracts at the balance sheet date. 

Page 8

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

5.


Fixed asset investments





Investments

£





At 1 June 2022
223,008


Additions
59,172






Net book value



At 31 May 2023
282,180



At 31 May 2022
223,008


6.


Stocks

2023
2022
£
£

Raw materials and consumables
168,000
330,491

Work in progress
2,222,757
2,321,361

Finished goods
2,874,649
2,982,649

5,265,406
5,634,501



7.


Debtors

2023
2022
£
£


Trade debtors
54,620
38,230

Amounts owed by related parties
3,047,892
2,810,521

Other debtors
58,765
55,348

Prepayments and accrued income
89,386
414,795

Tax recoverable
204,330
-

3,454,993
3,318,894


Page 9

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

8.


Creditors: Amounts falling due within one year

2023
2022
£
£

Bank overdrafts
2
8

Trade creditors
173,951
218,130

Other taxation and social security
25,622
47,109

Obligations under finance lease and hire purchase contracts
25,485
24,797

Other creditors
65,148
66,071

Accruals and deferred income
22,253
29,838

312,461
385,953



9.


Pension commitments

The company operates a defined contribution pension scheme. The assets of the pension scheme are held separately from those of the company in independently administered funds. The pension cost charge in the year £72,675 (2022 - £112,750) represents contributions payable by the company to the funds. At the balance sheet date there were contributions outstanding of £7,485 (2022 - £7,195). 


10.


Creditors: Amounts falling due after more than one year

2023
2022
£
£

Net obligations under finance leases and hire purchase contracts
121,329
148,042

121,329
148,042


The following liabilities were secured:

£146,814 hire purchase contracts as at 31 May 2023 (2022 - £172,839). 




Details of security provided:

Obligations under hire purchase contracts are secured on the assets to which they relate. 


11.


Transactions with directors

Included in debtors is an amount of £28,211 (2022 - £51,033) relating to directors' loan accounts. These loan balances are interest-free and repayable on demand. 

Page 10

 
HYDRO INDUSTRIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023

12.


Ultimate Controlling Party

The directors do not consider there to be an ultimate controlling party.


13.


Auditors' information

The auditors' report on the financial statements for the year ended 31 May 2023 was unqualified.

The audit report was signed on 15 February 2024 by Brian Garland BA ACA (Senior Statutory Auditor) on behalf of MHA.                                                                                                                                                                                                    MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313).

 
Page 11