Caseware UK (AP4) 2023.0.135 2023.0.135 2023-07-312023-07-3116518516The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” 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. Basic financial assets Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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. Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due within the operating cycle fall into this category of financial instruments. 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 the deduction of all its liabilities. Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial. Debt instruments are subsequently carried at their amortised cost using the effective interest rate method. Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial. Impairment of financial liabilities Financial liabilities are assessed for indicators of impairment at each reporting date. Financial liabilities are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial liabilities have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the liabilities original effective interest rate. If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Statement of Comprehensive Income. Derecognition of financial liabilities Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.During the current period and prior year there were no retirement benefits accruing to any directors. The highest paid Director received remuneration of £66,667 (year ended 31 March 2022: £482,841). The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £Nil (year ended 31 March 2022: £Nil).250281260624014147142114During the period there was a chattel mortgage in place in connection with a tangible fixed asset the company owns, on 19 June 2023 this charge was satisfied. In addition, a rent deposit deed was also in place in connection with a rent deposit, on 3 July 2023 this charge was satisfied. In 2019, the company received an unsecured loan of £4,000,000 from a director of the company. The loan beared interest at a fixed rate 1.5% on the principal amount and 5% on the loan utilised. 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Registered number: 06116476





 


GORDON MURRAY TECHNOLOGIES LIMITED
(Formerly known as Gordon Murray Design Limited)

 

ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
COMPANY INFORMATION


Directors
H Dabbas (appointed 12 July 2024)
N P Collins (appointed 31 January 2024)
M R Flewitt (appointed 31 January 2024)
E G Skaf (appointed 31 July 2023)
K-E Relander (appointed 31 July 2023)
S S Abdel Haq (appointed 31 July 2023)
K Raza (appointed 31 July 2023, resigned 12 July 2024)
I G Murray (resigned 28 June 2024)
J A Mclaren (resigned 12 June 2023)
S M Lewis (resigned 31 July 2023)
J Feiber (resigned 31 July 2023)
C-P E M Forster (resigned 31 July 2023)




Company secretary
Vista Cosec Limited



Registered number
06116476



Registered office
Suite 1
7th Floor 50 Broadway

London

England

SW1H 0DB




Independent auditor
Forvis Mazars LLP
Chartered Accountants & Statutory Auditor

2 Chamberlain Square

Birmingham

B3 3AX





 
GORDON MURRAY TECHNOLOGIES LIMITED
 

CONTENTS



Page
Strategic Report
1 - 2
Directors' Report
3 - 5
Independent Auditor's Report
6 - 9
Statement of Comprehensive Income
10
Balance Sheet
11 - 12
Statement of Changes in Equity
13
Statement of Cash Flows
14 - 15
Analysis of Net Debt
16
Notes to the Financial Statements
17 - 36


 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
STRATEGIC REPORT
FOR THE PERIOD ENDED 31 JULY 2023

The Directors present the Strategic Report for the 16 month period ended 31 July 2023 (2022: year ended 31 March 2022).

Principal activity
 
The principal activity of the Company during the period continued to be that of automotive design, and engineering.

Business review

A 90% majority share of the Company was acquired on 31 July 2023, with the new ultimate parent company being CYVN Holdings LLC (formerly Abu Dhabi Advance Motors Holdings LLC).
Revenue in the period increased due to the Company providing engineering services to Forseven Limited, a company under common control following the acquisition.

Key performance indicators

The directors consider the key KPI’s to be turnover and net assets. During the 16 month period revenue increased to £76,357,435 (year ended 31 March 2022: £21,574,639) due to the Company providing engineering services to Forseven Limited. As at 31 July 2023 the Company had net liabilities of £22,337,630 (As at 31 March 2022: Net assets £1,409,766) largely due to an increase in deferred income and the recognition of an onerous contract provision.

Principal risks and uncertainties

The board has a proactive approach to risk management and aims to protect its employees, and stakeholders, along with safeguarding the interests of the Company. The Company continually reviews its policies to ensure they are appropriately evaluating the risks of the business.
 
Financial Risk Management
 
The Company uses various financial instruments including cash, equity and trade payables in the course of its operations. The use of these instruments creates a liquidity risk. The directors review and agree policies to deal with each of these risks as summarised below.  
 
Price risk 
The Company continues to regularly review the market and monitor any change in risk. 
 
Liquidity risk 
The Company seeks to manage its liquidity risk by ensuring it has sufficient cash resources available to meet foreseeable needs at all times. This is done through forecasting, regular reporting and treasury management. 

Equal opportunities

The Company takes reasonable steps to ensure that all employees, existing and prospective, are given fair and equal opportunity regardless of sex, race, ethnicity, religion or disability.

Employee training

The Company is committed to offer training and support to ensure employees have best in class skills to perform their duties.

Page 1

 
GORDON MURRAY TECHNOLOGIES LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 JULY 2023

Future outlook

As of 28 June 2024 the remaining 10% of the Company was acquired with the ultimate parent company, CYVN Holdings LLC, now owning 100% of the Company. The Company continues to provide engineering services to Forseven Limited.


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



N P Collins
Director

Date: 31 July 2024

Page 2

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 31 JULY 2023

The Directors present their report and the financial statements for the 16 month period ended 31 July 2023 (2022: year ended 31 March 2022). The Company changed its accounting period to coincide with the acquisition. Due to this, the comparative figures are not strictly comparable.

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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements 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; and

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The loss for the 16 month period ended 31 July 2023, after taxation, amounted to £27,747,396 (year ended 31 March 2022:  loss £138,828).

The directors did not recommend a payment of a dividend for the 16 month period ended 31 July 2023 (year ended 31 March 2022: £Nil).

Directors

The Directors who served during the period and to the date of signing were:

E G Skaf (appointed 31 July 2023)
K-E Relander (appointed 31 July 2023)
S S Abdel Haq (appointed 31 July 2023)
K Raza (appointed 31 July 2023, resigned 12 July 2024)
I G Murray (resigned 28 June 2024)
J A Mclaren (resigned 12 June 2023)
S M Lewis (resigned 31 July 2023)
J Feiber (resigned 31 July 2023)
C-P E M Forster (resigned 31 July 2023)

Page 3

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 JULY 2023

Economic impact of global events

UK businesses are currently facing many uncertainties such as the consequences of environmental sustainability and geopolitical events such as the Russian invasion of Ukraine. These uncertainties have contributed to an environment where there exists a range of issues and risks, including inflation, rising interest rates, labour shortages, disrupted supply chains and new ways of working. 
The Directors have carried out an assessment of the potential impact of these uncertainties on the business, including the impact of mitigation measures, and have concluded that these are non-adjusting events with the greatest impact on the business expected to be from the economic ripple effect on the global economy. The Directors have taken account of these potential impacts in their going concern assessment.
The Company continues to work with its partners to minimise any impacts of these events and maximise the realisation of any opportunities they may provide to the business.

Going concern

Following the acquisition the Company relies on income from its provision of services to Forseven Limited to meet its day-to-day working capital requirements. The Company made a loss of £27,747,396 (year ended 31 March 2022: £138,828) for the period ended 31 July 2023 and had net liabilities of £22,337,630 (31 March 2022: net assets of £1,409,766).
 
The directors have received a letter of support from CYVN Holdings LLC confirming it will continue to provide the necessary financial support to the Company for a period of at least 12 months from the date of signing these financial statements, as it may require. The directors have reviewed the strategic plans, financial forecasts and cash flows for the Company, and consider that it will have sufficient funds available to meets its liabilities as they fall due for a minimum of 12 months from the date of signing these financial statements. As such, the directors continue to adopt the going concern basis of accounting in preparing the annual financial statements.  

Qualifying third party indemnity provisions

The Company maintains liability insurance for its directors and officers against liabilities which directors or officers may incur personally as a consequence of claims made against them alleging breach of duty or unlawful acts of or omissions in their capacity as a director or officer. The liability insurance was in place from 31 July 2023 and up to the date of signing this report.

Disclosure of information to auditor

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

the 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 auditor is aware of that information.

Post balance sheet events

On 28 June 2024 Gordon Murray Technologies Holdings Limited acquired the remaining 10% share of the Company.

Page 4

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 31 JULY 2023


Auditor

The auditor, Forvis Mazars LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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




N P Collins
Director

Date: 31 July 2024

Page 5

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GORDON MURRAY TECHNOLOGIES LIMITED
 

Opinion

We have audited the financial statements of Gordon Murray Technologies Limited (the ‘Company’) for the period ended 31 July 2023 which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and notes to the financial statements, including a summary of significant accounting policies. 
The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

give a true and fair view of the state of the Company’s affairs as at 31 July 2023 and of its loss for the period 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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Company 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

In auditing the financial statements, we have concluded that the Directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
Page 6

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GORDON MURRAY TECHNOLOGIES LIMITED
 

Other information (continued)
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 course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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.

Opinions 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 Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.

We have nothing to report in respect of the following matters in relation to which 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.
 
Page 7

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GORDON MURRAY TECHNOLOGIES LIMITED
 

Responsibilities of Directors

As explained more fully in the Directors' Responsibilities Statement set out on page 3, 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 is 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 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 intend either to liquidate the Company or to cease operations, or have no realistic alternative but to do so.
 
Auditor's 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 an auditor’s report 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.
 
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
 
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. 

Based on our understanding of the Company and its industry, we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation and anti-money laundering regulation.

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:
Inquiring of management and, where appropriate, those charged with governance, as to whether the company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;
Inspecting correspondence, if any, with relevant licensing or regulatory authorities;
Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and
Considering the risk of acts by the company which were contrary to applicable laws and regulations, including fraud.  

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, pension legislation, the Companies Act 2006. 
Page 8

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF GORDON MURRAY TECHNOLOGIES LIMITED
 

Auditor's responsibilities for the audit of the financial statements (continued)
In addition, we evaluated the Directors' and management’s incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of override of controls, and determined that the principal risks were related to  posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, revenue recognition (which we pinpointed to the cut-off assertion), and significant one-off or unusual transactions.

Our audit procedures in relation to fraud included but were not limited to:
Making enquiries of the directors and management on whether they had knowledge of any actual, suspected or alleged fraud;
Gaining an understanding of the internal controls established to mitigate risks related to fraud;
Discussing amongst the engagement team the risks of fraud; and
Addressing the risks of fraud through management override of controls by performing journal entry testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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 auditor’s report.

Use of the audit report

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 an auditor's 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 members as a body for our audit work, for this report, or for the opinions we have formed.




Elisa Howe (Senior Statutory Auditor)  
for and on behalf of
Forvis Mazars LLP
Chartered Accountants and Statutory Auditor 
2 Chamberlain Square
Birmingham
B3 3AX

31 July 2024
Page 9

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 JULY 2023

16 month period ended
31 July
Year ended
31 March
2023
2022
Note
£
£

  

Turnover
 4 
76,357,435
21,574,639

Cost of sales
  
(58,473,443)
(14,454,605)

Gross profit
  
17,883,992
7,120,034

Administrative expenses
  
(23,089,785)
(7,900,647)

Impairment of investment in subsidiary company
 14 
(20,649,852)
-

Other operating income
 5 
1,989
2,529

Operating loss
 6 
(25,853,656)
(778,084)

Interest receivable and similar income
 10 
22,497
293

Interest payable and similar expenses
 11 
(229,068)
(147,966)

Loss before tax
  
(26,060,227)
(925,757)

Tax on loss
 12 
(1,687,169)
786,929

Loss for the financial period
  
(27,747,396)
(138,828)

There was no other comprehensive income for 16 month period ended 31 July 2023 (year ended 31 March 2022: £Nil).

The notes on pages 17 to 36 form part of these financial statements.

Page 10

 
GORDON MURRAY TECHNOLOGIES LIMITED
REGISTERED NUMBER: 06116476

BALANCE SHEET
AS AT 31 JULY 2023

31 July
31 March
2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 13 
901,054
4,170,480

Investments
 14 
100
-

  
901,154
4,170,480

Current assets
  

Stocks
 15 
-
21,000

Debtors: amounts falling due within one year
 16 
4,641,168
6,526,271

Cash at bank and in hand
  
663,703
2,974,719

  
5,304,871
9,521,990

Creditors: amounts falling due within one year
 17 
(22,441,192)
(8,197,502)

Net current (liabilities)/assets
  
 
 
(17,136,321)
 
 
1,324,488

Total assets less current liabilities
  
(16,235,167)
5,494,968

Creditors: amounts falling due after more than one year
 18 
-
(4,085,202)

Provisions for liabilities
  

Other provisions
 20 
(6,102,463)
-

  
 
 
(6,102,463)
 
 
-

Net (liabilities)/assets
  
(22,337,630)
1,409,766


Capital and reserves
  

Called up share capital 
 21 
4,000,757
757

Capital redemption reserve
 22 
239
239

Profit and loss account
 22 
(26,338,626)
1,408,770

  
(22,337,630)
1,409,766


Page 11

 
GORDON MURRAY TECHNOLOGIES LIMITED
REGISTERED NUMBER: 06116476
    
BALANCE SHEET (CONTINUED)
AS AT 31 JULY 2023

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




N P Collins
Director

Date: 31 July 2024

The notes on pages 17 to 36 form part of these financial statements.

Page 12

 
GORDON MURRAY TECHNOLOGIES LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 JULY 2023


Called up share capital
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£


At 1 April 2021
757
239
1,547,598
1,548,594


Comprehensive income for the year

Loss for the year
-
-
(138,828)
(138,828)



At 1 April 2022
757
239
1,408,770
1,409,766


Comprehensive income for the period

Loss for the period

-
-
(27,747,396)
(27,747,396)

Shares issued during the period
4,000,000
-
-
4,000,000

Bonus issue
16,518,516
-
(16,518,516)
-

Reduction of share capital
(16,518,516)
-
16,518,516
-


At 31 July 2023
4,000,757
239
(26,338,626)
(22,337,630)


The notes on pages 17 to 36 form part of these financial statements.

Page 13

 
GORDON MURRAY TECHNOLOGIES LIMITED
 

STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 31 JULY 2023

31 July
31 March
2023
2022
£
£

Cash flows from operating activities

Loss for the financial period
(27,747,396)
(138,828)

Adjustments for:

Depreciation of tangible assets
1,965,316
678,053

Loss on disposal of tangible assets
-
450

Impairment of investment in subsidiary company
20,649,852
-

Settlement of intercompany balances
(16,344,389)
739,654

Government grants
(70,978)
-

Interest paid
229,068
147,966

Interest received
(22,497)
(293)

Taxation charge
1,687,169
(786,929)

Decrease in stocks
21,000
-

(Increase) in debtors
(2,586,484)
(245,925)

Increase in creditors
14,243,690
5,339,009

Decrease/(increase) in amounts owed by groups
2,501,968
(2,386,768)

Increase in provisions
6,102,463
-

Corporation tax received/(paid)
282,450
(72,526)

Net cash generated from operating activities

911,232
3,273,863


Cash flows from investing activities

Purchase of tangible fixed assets
(3,086,655)
(2,429,877)

Sale of tangible fixed assets
-
842

Government grants
70,978
-

Interest received
22,497
293

Net cash from investing activities

(2,993,180)
(2,428,742)
Page 14

 
GORDON MURRAY TECHNOLOGIES LIMITED
 

STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE PERIOD ENDED 31 JULY 2023

16 month period ended
31 July
12 month year ended
31 March

2023
2022

£
£



Cash flows from financing activities

New secured loans
-
48,767

Interest paid
(229,068)
(147,966)

Net cash used in financing activities
(229,068)
(99,199)

Net (decrease)/increase in cash and cash equivalents
(2,311,016)
745,922

Cash and cash equivalents at beginning of period
2,974,719
2,228,797

Cash and cash equivalents at the end of period
663,703
2,974,719


Cash and cash equivalents at the end of period comprise:

Cash at bank and in hand
663,703
2,974,719

663,703
2,974,719


The notes on pages 17 to 36 form part of these financial statements.

Page 15

 
GORDON MURRAY TECHNOLOGIES LIMITED
 

ANALYSIS OF NET DEBT
FOR THE PERIOD ENDED 31 JULY 2023





At 1 April 2022
Cash flows
Other non-cash changes
At 31 July 2023
£

£

£

£

Cash at bank and in hand

2,974,719

(2,311,016)

-

663,703

Director's loans

(4,085,202)

-

4,085,202

-


(1,110,483)
(2,311,016)
4,085,202
663,703

The notes on pages 17 to 36 form part of these financial statements.

Page 16

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

1.


General information

Gordon Murray Technologies Limited is a private company limited by shares and incorporated in England and Wales under the Companies Act 2006. The address of the registered office and principal place of business can be found on the Company Information page.
The Company changed its name from Gordon Murray Design Limited to Gordon Murray Technologies Limited on  26 June 2023.
The company changed its accounting period to coincide with the acquisition. Due to this, the comparative figures are not strictly comparable.

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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

  
2.2

Exemption from preparing consolidated financial statements

The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.

 
2.3

Going concern

Following the acquisition the Company relies on income from its provision of services to Forseven Limited to meet its day-to-day working capital requirements. The Company made a loss of £27,747,396 (year ended 31 March 2022: £138,828) for the period ended 31 July 2023 and had net liabilities of £22,337,630 (31 March 2022: net assets of £1,409,766).
 
The directors have received a letter of support from CYVN Holdings LLC confirming it will continue to provide the necessary financial support to the Company for a period of at least 12 months from the date of signing these financial statements, as it may require. The directors have reviewed the strategic plans, financial forecasts and cash flows for the Company, and consider that it will have sufficient funds available to meets its liabilities as they fall due for a minimum of 12 months from the date of signing these financial statements. As such, the directors continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Page 17

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)

 
2.4

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP. The financial statements are rounded to the nearest pound.

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.

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 the Statement of Comprehensive Income.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in the Statement of Comprehensive Income within 'other operating income'.

 
2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue 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 revenue 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.

 
2.6

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to the Statement of Comprehensive Income on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease, such as a rent free period, are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 18

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)

 
2.7

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

 
2.8

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. 
Grants of a revenue nature are recognised in the Statement of Comprehensive Income in the same period as the related expenditure.

 
2.9

Interest income

Interest income is recognised in the Statement of Comprehensive Income using the effective interest method.

 
2.10

Interest costs

Interest costs are charged to the Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.11

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 the Statement of Comprehensive Income 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 19

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)

 
2.12

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income 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.

 
2.13

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 as below.

Depreciation is provided on the following basis:

Leasehold improvements
-
Over the life of the lease
Plant and machinery
-
33% reducing balance
Motor vehicles
-
25% reducing balance
Fixtures and fittings
-
20% reducing balance
Office equipment
-
25% reducing balance
Computer equipment
-
33% straight line
Display Vehicles
-
Measured at fair value

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 the Statement of Comprehensive Income.

Page 20

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)

 
2.14

Impairment of fixed assets

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

 
2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.16

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 the Statement of Comprehensive Income.

 
2.17

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.18

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions. 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.

 
2.19

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 21

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)

 
2.20

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to the Statement of Comprehensive Income.
 
 
2.21

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” 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.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due within the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Statement of Comprehensive Income.
Page 22

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

2.Accounting policies (continued)


2.21
Financial instruments (continued)

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 the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Impairment of financial liabilities

Financial liabilities are assessed for indicators of impairment at each reporting date. 
Financial liabilities are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial liabilities have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the liabilities original effective interest rate.
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Statement of Comprehensive Income.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
Page 23

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In preparing the financial statements, the directors have had to make the following judgements in applying the above accounting policies;
 
Determine whether there are indicators of impairment of the Company's tangible assets, intergroup debtors and investments in subsidiary companies. Factors taken into consideration in reaching such decisions include the economic viability and expected future financial performance of the assets and underlying group entity.
Management estimation is required to determine the appropriateness of the recognition of the deferred tax assets based on the forecast level of future taxable profits.
Judgements regarding the estimation of costs to complete on long-term contracts. This involves forecasting future costs based on the progress of work to date, expected inflation, potential risks, and project-specific variables. These judgements directly impact the recognition of revenue and profit margins for these contracts.


4.


Turnover

An analysis of turnover by class of business is as follows:


16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Rendering of services
76,286,457
21,554,240

Grant income
70,978
20,399

76,357,435
21,574,639


All turnover arose within the United Kingdom.


5.


Other operating income

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Other operating income
1,989
-

Research and development tax credit
-
2,529

1,989
2,529


Page 24

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

6.


Operating loss

The operating loss is stated after charging/(crediting):

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Research & development charged as an expense
20,418
422,036

Loss on disposal of tangible fixed assets
-
450

Depreciation of tangible fixed assets
1,965,316
679,540

Exchange differences
42,982
(6,476)

Other operating lease rentals
1,956,889
690,365

Defined contribution pension costs
906,831
422,428


7.


Auditors' remuneration

During the period, the Company obtained the following services from the Company's auditors and their associates:


16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£



Audit-related assurances services
23,500
18,000

All other services
7,500
4,100

31,000
22,100

Page 25

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

8.


Employees

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


16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Wages and salaries
18,110,489
8,127,603

Social security costs
2,002,449
905,967

Defined contribution scheme
906,831
422,428

21,019,769
9,455,998


The average monthly number of employees, including the Directors, during the period was as follows:


16 month period ended
        31 July
       Year
ended
        31 March
        2023
        2022
            No.
            No.







Management
2
4



Design & Engineering
156
107



Administration Staff
62
27

220
138

Page 26

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

9.


Directors' remuneration

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Directors' emoluments
129,167
590,150


During the current period and prior year there were no retirement benefits accruing to any directors.
The highest paid Director received remuneration of £66,667
 (year ended 31 March 2022: £482,841).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £Nil (year ended 31 March 2022: £Nil).


10.


Interest receivable

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£


Bank interest receivable
22,497
293


11.


Interest payable and similar expenses

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£


Interest on directors loan
229,068
147,966

Page 27

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

12.


Taxation


16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£

Corporation tax


Current tax on loss for the period
138,977
(142,797)


Total current tax
138,977
(142,797)

Deferred tax


Origination and reversal of timing differences
1,464,328
(385,884)

Changes to tax rates
-
(278,954)

Adjustments in respect of previous periods
83,864
20,706

Total deferred tax
1,548,192
(644,132)


Tax on loss
1,687,169
(786,929)
Page 28

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023
 
12.Taxation (continued)


Factors affecting tax charge for the period/year

The tax assessed for the period/year is higher than (2022 - lower than) the standard rate of corporation tax in the UK of 20.50% (2022 - 19%). The differences are explained below:

16 month period ended
31 July
Year
ended
31 March
2023
2022
£
£


Loss on ordinary activities before tax
(26,060,226)
(925,757)


Loss on ordinary activities multiplied by standard rate of corporation tax in the UK of 20.50% (2022 - 19%)
(5,343,149)
(175,894)

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
4,363,819
5,910

Capital allowances for period/year in excess of depreciation
22,216
(60,235)

Changes to tax rates
(230,781)
(371,566)

Additional deduction for R&D expenditure
(97,595)
(255,380)

Surrender of tax losses for R&D tax credit refund
141,471
43,681

R&D expenditure credits
-
(1,567)

Adjustment to prior period/year corporation tax return
-
7,416

Adjustment to prior period/year deferred tax return
83,864
20,706

Movement in deferred tax not recognised
2,747,324
-

Total tax charge for the period/year
1,687,169
(786,929)

The Company has opted not to recognise deferred tax assets of £2,747,324 due to the uncertainty over the timing of future profits.
As at 31 July 2023 the Company had unused taxable losses of £11,201,643.

Page 29

 


 
GORDON MURRAY TECHNOLOGIES LIMITED


 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

13.
Tangible fixed assets








Leasehold improvements
Plant and machinery
Motor vehicles
Fixtures and fittings
Office equipment
Computer equipment
Display vehicles
Total

£
£
£
£
£
£
£
£



Cost or valuation


At 1 April 2022
2,938,598
746,531
66,213
444,878
216,702
2,593,686
332,000
7,338,608


Additions
962,717
80,930
335,807
187,579
6,340
1,513,282
-
3,086,655


Transfer to other entities
(3,409,782)
(681,901)
(124,011)
(496,821)
(221,300)
(3,648,378)
(332,000)
(8,914,193)



At 31 July 2023

491,533
145,560
278,009
135,636
1,742
458,590
-
1,511,070



Depreciation


At 1 April 2022
911,480
514,466
52,608
314,484
186,078
1,189,012
-
3,168,128


Charge for the period on owned assets
638,607
180,084
81,243
71,342
20,650
973,390
-
1,965,316


Transfer to other entities
(1,458,864)
(568,561)
(70,777)
(372,405)
(206,372)
(1,846,449)
-
(4,523,428)



At 31 July 2023

91,223
125,989
63,074
13,421
356
315,953
-
610,016



Net book value



At 31 July 2023
400,310
19,571
214,935
122,215
1,386
142,637
-
901,054



At 31 March 2022
2,027,118
232,065
13,605
130,394
30,624
1,404,674
332,000
4,170,480

Page 30

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

14.


Fixed asset investments








Investments in subsidiary companies

£



Cost


At 1 April 2022
-


Additions
20,649,952


Amounts impaired
(20,649,852)



At 31 July 2023
100




On 30 June 2023 Gordon Murray Technologies Limited acquired 100% of Gordon Murray Electronics Limited at book value.


Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

Gordon Murray Electronics Limited
Suite 1, 7th Floor, 50 Broadway, London, SW1H 0DB
Ordinary
100%

The aggregate of the share capital and reserves as at 31 July 2023 and the profit or loss for the period ended on that date for the subsidiary undertaking were as follows:

Name
Aggregate of share capital and reserves
Profit/(Loss)

Gordon Murray Electronics Limited
(1,123,122)
(1,111,136)


15.


Stocks

31 July
31 March
2023
2022
£
£

Raw materials and consumables
-
21,000


There is no material difference between the replacement cost of stock and its carrying amount.

Page 31

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

16.


Debtors

31 July
31 March
2023
2022
£
£


Trade debtors
71
-

Amounts owed by group undertakings
304,988
2,806,956

Amounts owed by related parties
3,000,000
-

Other debtors
369,439
53,620

Prepayments and accrued income
866,620
1,596,026

Tax recoverable
100,050
521,477

Deferred taxation (note 19)
-
1,548,192

4,641,168
6,526,271


Amounts owed by group undertakings and related parties are unsecured, interest free and payable on demand.


17.


Creditors: Amounts falling due within one year

31 July
31 March
2023
2022
£
£

Trade creditors
5,621,157
2,897,596

Other taxation and social security
490,768
314,717

Accruals and deferred income
16,329,267
4,985,189

22,441,192
8,197,502


During the period there was a chattel mortgage in place in connection with a tangible fixed asset the company owns, on 19 June 2023 this charge was satisfied. In addition, a rent deposit deed was also in place in connection with a rent deposit, on 3 July 2023 this charge was satisfied.

Page 32

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

18.


Creditors: Amounts falling due after more than one year

31 July
31 March
2023
2022
£
£

Director's loans
-
4,085,202


In 2019, the company received an unsecured loan of £4,000,000 from a director of the company. The loan beared interest at a fixed rate 1.5% on the principal amount and 5% on the loan utilised. 
On 31 July 2023 the loan was novated over to Gordon Murray Group Limited as part of the transfer of ownership of the Company.


19.


Deferred taxation






2023


£






At beginning of period
1,548,192


Charged to profit or loss
(1,548,192)



At end of period
-

The deferred tax asset is made up as follows:

31 July
31 March
2023
2022
£
£


Accelerated capital allowances
-
(451,981)

Tax losses carried forward
-
1,994,923

Pension surplus
-
5,250

-
1,548,192

Page 33

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

20.


Provisions






Onerous contract provision

£





At 1 April 2022
-


Charged to Statement of Comprehensive Income
6,102,463



At 31 July 2023
6,102,463

The onerous contract provision relates to a contract entered into prior to acquisition, it is expected to be fully incurred by the end of October 2025.


21.


Share capital

31 July
31 March
2023
2022
£
£
Allotted, called up and fully paid



400,075,700 (2022 - 75,700) Ordinary shares of £0.01 each
4,000,757
757


During the period, as part of the transfer of ownership the Company issued 3 deferred shares as a bonus issue, each with a nominal value of £5,506,172 totalling £16,518,516. Subsequently, the Company's share capital was reduced by cancelling the 3 deferred shares, resulting in a reduction in share capital of £16,518,516. Additionally, on 30 June 2023, the Company issued 400,000,000 ordinary shares with a nominal value of £0.01 each.


22.


Reserves

Capital redemption reserve

The capital redemption reserve records the nominal value of shares repurchased by the Company.

Profit and loss account

The profit and loss account represents cumulative profits or losses, net of dividends paid and other adjustments.

Page 34

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023


23.


Pension commitments

The Company operate a defined contribution pension scheme. The assets of the scheme are held separately from those of the Company in an independantly administered fund. The pension costs charge represents contribution payable by the company to the fund and amounted to £906,831 (year ended 31 March 2022: £422,428). Contributions totalling £143,250 (2022: £Nil) were payable to the fund at the reporting date.


24.


Commitments under operating leases

At 31 July 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

31 July
31 March
2023
2022
£
£


Not later than 1 year
585,202
598,250

Later than 1 year and not later than 5 years
367,381
1,043,639

Later than 5 years
-
90,696

952,583
1,732,585


25.


Related party transactions

The company has taken advantage of the exemption available under paragraph 33.1A of the Financial Reporting Standards 102 not to disclose related party transactions with other wholly owned members.
During 2019, the company received an unsecured loan of £4,000,000 from a director of the company. The loan was repayable in January 2024 and bore interest at a fixed rate 1.5% on the principal amount and 5% on the loan utilised. Interest of £229,068 (year ended 31 March 2022: £147,966) was charged to the Statement of Comprehensive Income during the period. At 31 July 2023 the balance outstanding on the loan was £Nil (2022: £4,085,202).
Gordon Murray Automotive Limited is a related party by virtue of a common shareholder. During the period the company made sales of £48,482,806 and made purchases of £133,124 from Gordon Murray Automotive Limited. At the period end the Company was owed £3,000,000 from Gordon Murray Automotive Limited and owes £Nil to Gordon Murray Automotive Limited.
Gordon Murray Group Limited is a related party by virtue of a common shareholder. During the period the company made purchases of £1,179,002 from Gordon Murray Group Limited.  At the period end the Company was owed £Nil from Gordon Murray Group Limited and owes £Nil to Gordon Murray Group Limited.


26.


Post balance sheet events

On 28 June 2024 Gordon Murray Technologies Holdings Limited acquired the remaining 10% share of the Company.
Page 35

 
GORDON MURRAY TECHNOLOGIES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 JULY 2023

27.


Controlling party

The immediate parent undertaking is Gordon Murray Technologies Holdings Limited, a company registered in England and Wales, whose registered address is Suite 1, 7th Floor, 50 Broadway, London, United Kingdom, SW1H 0DB. Gordon Murray Technologies Holdings Limited was incorporated as part of the acquisition.
The ultimate parent company is CYVN Holdings LLC (Formerly Abu Dhabi Advanced Motors Holding LLC), which is registered at Building No. 51B, Al Bateen Executive Airport, Abu Ahabi - U.A.E.
The smallest group into which the results of the company are consolidated is Foreight Limited, a company registered in England and Wales, whose registered address is Suite 1, 7th Floor, 50 Broadway, London, United Kingdom, SW1H 0DB.
The largest group into which the results of the company are consolidated is that headed by CYVN Holdings LLC and can be obtained from Building No. 51B, Al Bateen Executive Airport, Abu Ahabi - U.A.E.
The ultimate controlling party is the Abu Dhabi Government whose registered address is Department of Finance - Abu Dhabi, Al Muntazag - Zone 1, Abu Dhabi, U.A.E.

Page 36