Company Registration No. 07698622 (England and Wales)
ENGINEERING UTILITIES LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
6 Queen Street
Leeds
West Yorkshire
LS1 2TW
ENGINEERING UTILITIES LIMITED
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 12
ENGINEERING UTILITIES LIMITED
COMPANY INFORMATION
Directors
Mr J B Soulsby
Mrs A R Soulsby
Mr G Soulsby
Mr M Soulsby
Mr J Soulsby
Mr N Soulsby
Company number
07698622
Registered office
75 Swinnow Lane
Bramley
Leeds
West Yorkshire
LS13 4TY
Accountants
TC Group
6 Queen Street
Leeds
West Yorkshire
LS1 2TW
ENGINEERING UTILITIES LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
4
4,335
3,501
Tangible assets
5
89,261
92,373
Investments
6
100
100
93,696
95,974
Current assets
Stocks
8
1,094,823
968,730
Debtors
9
965,005
757,441
Cash at bank and in hand
527,700
685,888
2,587,528
2,412,059
Creditors: amounts falling due within one year
10
(914,933)
(857,542)
Net current assets
1,672,595
1,554,517
Total assets less current liabilities
1,766,291
1,650,491
Creditors: amounts falling due after more than one year
11
(124,481)
(185,497)
Provisions for liabilities
12
(12,531)
(20,094)
Net assets
1,629,279
1,444,900
Capital and reserves
Called up share capital
1,200
1,200
Profit and loss reserves
1,628,079
1,443,700
Total equity
1,629,279
1,444,900
ENGINEERING UTILITIES LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 DECEMBER 2023
31 December 2023
- 2 -

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

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

The financial statements were approved by the board of directors and authorised for issue on 28 March 2024 and are signed on its behalf by:
Mr M Soulsby
Director
Company Registration No. 07698622
ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
1
Accounting policies
Company information

Engineering Utilities Limited is a private company limited by shares incorporated in England and Wales. The registered office is 75 Swinnow Lane, Bramley, Leeds, West Yorkshire, LS13 4TY.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts, on the basis that the group of which this is the parent qualifies as a small group. The financial statements present information about the company as an individual entity and not about its group.

1.2
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

1.3
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -
1.4
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 5 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.5
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Website development costs
3 years straight line
1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold improvements
5 years straight line
Plant and equipment
25% reducing balance
Fixtures and fittings
25% reducing balance
Motor vehicles
25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 5 -
1.7
Fixed asset investments

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.8
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 6 -
1.9
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.10
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

1.12
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 7 -
1.13
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.14
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.15
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 8 -
1.16
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.17
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

2
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Total
17
17
ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
3
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
240,269
133,782
Adjustments in respect of prior periods
(3,296)
-
0
Total current tax
236,973
133,782
Deferred tax
Origination and reversal of timing differences
(7,563)
(3,214)
Total tax charge
229,410
130,568
4
Intangible fixed assets
Goodwill
Website development costs
Total
£
£
£
Cost
At 1 January 2023
425,000
40,885
465,885
Additions - internally developed
-
0
4,000
4,000
At 31 December 2023
425,000
44,885
469,885
Amortisation and impairment
At 1 January 2023
425,000
37,384
462,384
Amortisation charged for the year
-
0
3,166
3,166
At 31 December 2023
425,000
40,550
465,550
Carrying amount
At 31 December 2023
-
0
4,335
4,335
At 31 December 2022
-
0
3,501
3,501
ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
5
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 January 2023
5,920
257,303
263,223
Additions
-
0
53,597
53,597
Disposals
-
0
(26,795)
(26,795)
At 31 December 2023
5,920
284,105
290,025
Depreciation and impairment
At 1 January 2023
3,564
167,286
170,850
Depreciation charged in the year
1,188
30,400
31,588
Eliminated in respect of disposals
-
0
(1,674)
(1,674)
At 31 December 2023
4,752
196,012
200,764
Carrying amount
At 31 December 2023
1,168
88,093
89,261
At 31 December 2022
2,356
90,017
92,373
6
Fixed asset investments
2023
2022
£
£
Shares in group undertakings and participating interests
100
100
7
Subsidiaries

Details of the company's subsidiaries at 31 December 2023 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
ExpertPro Limited
United Kingdom
Dormant Company
Ordinary
100.00
ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
8
Stocks
2023
2022
£
£
Stocks
1,094,823
968,730
9
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
870,493
728,521
Other debtors
79,331
3,931
Prepayments and accrued income
15,181
24,989
965,005
757,441
10
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
70,000
70,000
Obligations under finance leases
11,765
10,883
Trade creditors
409,860
439,288
Amounts owed to group undertakings
100
100
Corporation tax
240,269
133,782
Other taxation and social security
177,750
195,617
Other creditors
-
0
5,496
Accruals and deferred income
5,189
2,376
914,933
857,542

The net obligations under hire purchase contracts are secured against the assets purchased.

 

The bank loan is secured by the way of a general pledge.

ENGINEERING UTILITIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 12 -
11
Creditors: amounts falling due after more than one year
2023
2022
Notes
£
£
Bank loans and overdrafts
88,333
158,333
Obligations under finance leases
36,148
27,164
124,481
185,497

The net obligations under hire purchase contracts are secured against the assets purchased.

 

The bank loan is secured by the way of a general pledge.

12
Provisions for liabilities
2023
2022
£
£
Deferred tax liabilities
12,531
20,094
13
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2023
2022
£
£
Total commitments
375,526
495,411
14
Directors' transactions

The loans are interest free and will be repaid with 9 months.

Description
% Rate
Opening balance
Amounts advanced
Closing balance
£
£
£
Directors Loans
-
(5,496)
69,315
63,819
(5,496)
69,315
63,819
2023-12-312023-01-01false02 April 2024CCH SoftwareCCH Accounts Production 2023.300No description of principal activityMr J B SoulsbyMrs A R SoulsbyMr G SoulsbyMr M SoulsbyMr J SoulsbyMr N Soulsbyfalse076986222023-01-012023-12-3107698622bus:Director12023-01-012023-12-3107698622bus:Director22023-01-012023-12-3107698622bus:Director32023-01-012023-12-3107698622bus:Director42023-01-012023-12-3107698622bus:Director52023-01-012023-12-3107698622bus:Director62023-01-012023-12-3107698622bus:RegisteredOffice2023-01-012023-12-31076986222023-12-31076986222022-12-3107698622core:Goodwill2023-12-3107698622core:DevelopmentCostsCapitalisedDevelopmentExpenditure2023-12-3107698622core:Goodwill2022-12-3107698622core:DevelopmentCostsCapitalisedDevelopmentExpenditure2022-12-3107698622core:LandBuildings2023-12-3107698622core:OtherPropertyPlantEquipment2023-12-3107698622core:LandBuildings2022-12-3107698622core:OtherPropertyPlantEquipment2022-12-3107698622core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3107698622core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3107698622core:Non-currentFinancialInstrumentscore:AfterOneYear2023-12-3107698622core:Non-currentFinancialInstrumentscore:AfterOneYear2022-12-3107698622core:CurrentFinancialInstruments2023-12-3107698622core:CurrentFinancialInstruments2022-12-3107698622core:Non-currentFinancialInstruments2023-12-3107698622core:Non-currentFinancialInstruments2022-12-3107698622core:ShareCapital2023-12-3107698622core:ShareCapital2022-12-3107698622core:RetainedEarningsAccumulatedLosses2023-12-3107698622core:RetainedEarningsAccumulatedLosses2022-12-3107698622core:Goodwill2023-01-012023-12-3107698622core:IntangibleAssetsOtherThanGoodwill2023-01-012023-12-3107698622core:DevelopmentCostsCapitalisedDevelopmentExpenditure2023-01-012023-12-3107698622core:LeaseholdImprovements2023-01-012023-12-3107698622core:PlantMachinery2023-01-012023-12-3107698622core:FurnitureFittings2023-01-012023-12-3107698622core:MotorVehicles2023-01-012023-12-31076986222022-01-012022-12-3107698622core:UKTax2023-01-012023-12-3107698622core:UKTax2022-01-012022-12-3107698622core:Goodwill2022-12-3107698622core:DevelopmentCostsCapitalisedDevelopmentExpenditure2022-12-31076986222022-12-3107698622core:Goodwillcore:InternallyGeneratedIntangibleAssets2023-01-012023-12-3107698622core:DevelopmentCostsCapitalisedDevelopmentExpenditurecore:InternallyGeneratedIntangibleAssets2023-01-012023-12-3107698622core:InternallyGeneratedIntangibleAssets2023-01-012023-12-3107698622core:LandBuildings2022-12-3107698622core:OtherPropertyPlantEquipment2022-12-3107698622core:LandBuildings2023-01-012023-12-3107698622core:OtherPropertyPlantEquipment2023-01-012023-12-3107698622bus:PrivateLimitedCompanyLtd2023-01-012023-12-3107698622bus:SmallCompaniesRegimeForAccounts2023-01-012023-12-3107698622bus:FRS1022023-01-012023-12-3107698622bus:AuditExemptWithAccountantsReport2023-01-012023-12-3107698622bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP