Company registration number 07804285 (England and Wales)
AMR SPECIALIST SYSTEMS LTD
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
AMR SPECIALIST SYSTEMS LTD
COMPANY INFORMATION
Directors
Mrs J Shanahan
Mr R Shanahan
Company number
07804285
Registered office
Unit 1
Meridian Business Park
Fleming Road
Waltham Abbey
Auditor
Barlow Andrews LLP
Carlyle House
78 Chorley New Road
Bolton
AMR SPECIALIST SYSTEMS LTD
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 7
Group profit and loss account
8
Group balance sheet
9
Company balance sheet
10
Group statement of changes in equity
11
Company statement of changes in equity
12
Group statement of cash flows
13
Notes to the financial statements
14 - 27
AMR SPECIALIST SYSTEMS LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The directors present the strategic report for the year ended 31 March 2024.

Review of the business
The key performance indicators for the group are as follows:
2024
2023
£
£
Turnover
22,179,844
16,040,985
Profit before taxation
3,941,656
1,906,618
Gross profit margin
35.24%
32.14%
Net current assets
6,314,673
5,437,288
Profit and loss reserves
6,737,344
5,757,084
Debtors days
47
41

The group strives to maintain its position as a leader in the field of metal roofing and repair services, whilst acting in a responsible and ethical manner in its dealings with clients, members of the supply chain, the general public and not least it's employees.

With our clients' projects becoming increasingly complex and demanding, we believe our highly trained staff, group infrastructure and trusted supply chain, combined with continued customer relations, will be important factors in ensuring the future prosperity of the business.

Increased capital expenditure and equipment investment is allocated in the upcoming years to sustain success in the market and to ensure the group is well positioned technologically for emerging markets. Further investment into obtaining and retaining highly skilled staff members to ensure the company meets the ever increasing customer demand. Investment and testing of new materials within the market will also expand the service offering of the company to meet additional needs.

Principal risks and uncertainties

The directors consider that the group is subject to general risks and uncertainties experienced in the general course of business. In addition, the directors consider there are certain specific risks and uncertainties including:

Cybersecurity

The group is aware of the ever-evolving threat to all businesses of the holding of electronic data and the possibility of cyber attacks and commercial data breaches. As a result, the Group regularly reviews it's own operating procedures and systems in order to ensure that data breaches and threats thereto are kept to a minimum.

Liquidity risk

The group continues to carefully manage and control it's cash and borrowing requirements in order to ensure that it always maintains adequate and readily available funds to meet the day to day operating requirements of the business.

Credit risk

The group endeavours to mitigate any potential financial losses by ensuring all potential customers, and those looking to increase their credit, as subject to rigorous assessment procedures before credit facilities are granted or raised.

Exchange risk

The group is not presently expected to be significantly or detrimentally impacted by fluctuating exchange rates as the predominant sales and expenses of the company are within the UK and based in GBP.

 

AMR SPECIALIST SYSTEMS LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -

On behalf of the board

Mr R Shanahan
Director
22 August 2024
AMR SPECIALIST SYSTEMS LTD
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -

The directors present their annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the company continued to be that of head office activities.

 

The subsidiary undertakings and their principal activities are as follows:

All Metal Roofing Limited - Metal roof installation and repair services

Results and dividends

The results for the year are set out on page 8.

Ordinary dividends were paid amounting to £2,000,000. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mrs J Shanahan
Mr R Shanahan
Auditor

Barlow Andrews LLP were appointed as auditor to the group and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr R Shanahan
Director
22 August 2024
AMR SPECIALIST SYSTEMS LTD
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -

The directors are responsible for preparing the Annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

AMR SPECIALIST SYSTEMS LTD
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF AMR SPECIALIST SYSTEMS LTD
- 5 -
Opinion

We have audited the financial statements of AMR Specialist Systems Limited (the 'parent company') and its subsidiary (the 'group') for the year ended 31 March 2024 which comprise the group profit and loss account, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 group and parent 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 group's and parent 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. 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 our audit:

AMR SPECIALIST SYSTEMS LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF AMR SPECIALIST SYSTEMS LTD
- 6 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and their 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:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the parent 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.

AMR SPECIALIST SYSTEMS LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF AMR SPECIALIST SYSTEMS LTD
- 7 -

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

 

 

To address the risk of fraud through management bias and override of controls, we:

 

 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

 

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Other matters which we are required to address

The financial statements of AMR Specialist Systems Limited and its subsidiary for the year ended 31 March 2023 were not required to be audited under UK GAAP. As such, the comparative figures in the financial statements for the year ended 31 March 2024 are unaudited.

Use of our 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.

Adam Woodward (Senior Statutory Auditor)
For and on behalf of Barlow Andrews LLP
22 August 2024
Chartered Accountants
Statutory Auditor
Carlyle House
78 Chorley New Road
Bolton
AMR SPECIALIST SYSTEMS LTD
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 8 -
2024
2023
Notes
£
£
Turnover
3
22,179,844
16,040,985
Cost of sales
(14,364,385)
(10,885,058)
Gross profit
7,815,459
5,155,927
Administrative expenses
(3,876,285)
(3,238,263)
Operating profit
4
3,939,174
1,917,664
Interest receivable and similar income
8
3,598
3,217
Interest payable and similar expenses
9
(1,116)
(14,263)
Profit before taxation
3,941,656
1,906,618
Tax on profit
10
(961,396)
(324,826)
Profit for the financial year
2,980,260
1,581,792
Profit for the financial year is all attributable to the owners of the parent company.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

 

There is no other comprehensive income for the year. The total comprehensive income is the profit for the financial year shown above.

AMR SPECIALIST SYSTEMS LTD
GROUP BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 9 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
560,481
407,262
Current assets
Debtors
16
6,580,674
4,176,339
Cash at bank and in hand
3,251,670
2,908,819
9,832,344
7,085,158
Creditors: amounts falling due within one year
17
(3,517,671)
(1,647,870)
Net current assets
6,314,673
5,437,288
Total assets less current liabilities
6,875,154
5,844,550
Provisions for liabilities
Deferred tax liability
18
(137,680)
(87,336)
(137,680)
(87,336)
Net assets
6,737,474
5,757,214
Capital and reserves
Called up share capital
20
100
100
Capital redemption reserve
30
30
Profit and loss reserves
6,737,344
5,757,084
Total equity
6,737,474
5,757,214

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

The financial statements were approved by the board of directors and authorised for issue on 22 August 2024 and are signed on its behalf by:
22 August 2024
Mr R  Shanahan
Director
Company registration number 07804285 (England and Wales)
AMR SPECIALIST SYSTEMS LTD
COMPANY BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
- 10 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
560,481
407,262
Investments
13
100
100
560,581
407,362
Current assets
Debtors
16
1,947,485
28,766
Cash at bank and in hand
1,605,904
1,506,771
3,553,389
1,535,537
Creditors: amounts falling due within one year
17
(2,017,005)
(399,661)
Net current assets
1,536,384
1,135,876
Total assets less current liabilities
2,096,965
1,543,238
Provisions for liabilities
Deferred tax liability
18
(137,680)
(87,336)
(137,680)
(87,336)
Net assets
1,959,285
1,455,902
Capital and reserves
Called up share capital
20
100
100
Profit and loss reserves
1,959,185
1,455,802
Total equity
1,959,285
1,455,902

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £2,503,383 (2023 - £1,578,740 profit).

The financial statements were approved by the board of directors and authorised for issue on 22 August 2024 and are signed on its behalf by:
22 August 2024
Mr R  Shanahan
Director
Company registration number 07804285 (England and Wales)
AMR SPECIALIST SYSTEMS LTD
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
Share capital
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 April 2022
100
30
4,579,736
4,579,866
Year ended 31 March 2023:
Profit and total comprehensive income
-
-
1,581,792
1,581,792
Dividends
11
-
-
(404,444)
(404,444)
Balance at 31 March 2023
100
30
5,757,084
5,757,214
Year ended 31 March 2024:
Profit and total comprehensive income
-
-
2,980,260
2,980,260
Dividends
11
-
-
(2,000,000)
(2,000,000)
Balance at 31 March 2024
100
30
6,737,344
6,737,474
AMR SPECIALIST SYSTEMS LTD
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 12 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 April 2022
100
281,506
281,606
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
1,578,740
1,578,740
Dividends
11
-
(404,444)
(404,444)
Balance at 31 March 2023
100
1,455,802
1,455,902
Year ended 31 March 2024:
Profit and total comprehensive income
-
2,503,383
2,503,383
Dividends
11
-
(2,000,000)
(2,000,000)
Balance at 31 March 2024
100
1,959,185
1,959,285
AMR SPECIALIST SYSTEMS LTD
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
24
3,447,591
1,252,222
Interest paid
(1,116)
(14,263)
Income taxes paid
(798,124)
(395,400)
Net cash inflow from operating activities
2,648,351
842,559
Investing activities
Purchase of tangible fixed assets
(329,670)
(191,187)
Proceeds from disposal of tangible fixed assets
14,400
629,200
Repayment/(advance) of loans
6,172
(6,172)
Interest received
3,598
3,218
Net cash (used in)/generated from investing activities
(305,500)
435,059
Financing activities
Dividends paid to equity shareholders
(2,000,000)
(404,444)
Net cash used in financing activities
(2,000,000)
(404,444)
Net increase in cash and cash equivalents
342,851
873,174
Cash and cash equivalents at beginning of year
2,908,819
2,035,645
Cash and cash equivalents at end of year
3,251,670
2,908,819
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
1
Accounting policies
Company information

AMR Specialist Systems Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Unit 1, Meridian Business Park, Fleming Road, Waltham Abbey.

 

The group consists of AMR Specialist Systems Limited and all of its subsidiaries.

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.

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 is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:

 

1.2
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company AMR Specialist Systems Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 15 -
1.3
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4
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.

 

In respect of ongoing services, turnover represents the value of work done in the year, including estimates of amounts not yet invoiced. Turnover in respect on ongoing services is recognised by reference to the stage of completion.

 

Amounts recoverable on contracts are assessed on a contract to contract basis and reflected in the profit and loss account as contract activity progresses - see the accounting policy on long term contracts for further details.

1.5
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:

Freehold land and buildings
10% Straight Line
Plant and equipment
20% Reducing Balance
Fixtures and fittings
25-33% 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 recognised in the profit and loss account.

1.6
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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

1.7
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible 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.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 16 -
1.8
Construction contracts

Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract activity at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable.

 

When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately.

 

Where the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. When costs incurred in securing a contract are recognised as an expense in the period in which they are incurred, they are not included in contract costs if the contract is obtained in a subsequent period.

The “percentage of completion method” is used to determine the appropriate amount to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the estimated total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as stocks, prepayments or other assets depending on their nature, and provided it is probable they will be recovered.

1.9
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.

1.10
Financial instruments

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and 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 debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -
Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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 group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 interest. Financial liabilities classified as payable within one year are not amortised.

 

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

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.11
Equity instruments

Equity instruments issued by the group 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 group.

1.12
Taxation

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

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 18 -
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 group’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 if, and only if, there is 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.

1.13
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.

1.14
Retirement benefits

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

2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
2
Judgements and key sources of estimation uncertainty
(Continued)
- 19 -
Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Amounts recoverable on long term contracts

Profit on long term contracts is recognised in the profit or loss account based on the amount of chargeable work carried out by the end of the financial period less amounts already invoiced to the customer. A level of judgement is applied in assessing the likely overall outcome of the project.

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Contract income
22,179,844
16,040,985
2024
2023
£
£
Turnover analysed by geographical market
United Kingdom
22,179,844
16,040,985
2024
2023
£
£
Other revenue
Interest income
3,598
3,217
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Fees payable to the group's auditor for the audit of the group's financial statements
8,500
-
Depreciation of owned tangible fixed assets
127,438
90,998
Loss/(profit) on disposal of tangible fixed assets
34,613
(121,861)
Operating lease charges
109,791
100,000
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
8,500
-
Audit of the financial statements of the company's subsidiaries
13,500
-
22,000
-
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 20 -
6
Employees

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

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Staff
37
32
-
-
Directors
7
7
2
3
Total
44
39
2
3

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
2,441,678
2,054,676
360,000
396,000
Social security costs
234,718
189,994
-
-
Pension costs
150,234
107,118
120,000
80,000
2,826,630
2,351,788
480,000
476,000
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
360,000
396,000
Company pension contributions to defined contribution schemes
120,000
80,000
480,000
476,000
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
180,000
198,000
Company pension contributions to defined contribution schemes
60,000
40,000
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
3,598
3,217
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 21 -
9
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
1,116
14,263
10
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
955,270
350,139
Adjustments in respect of prior periods
(44,218)
(67,373)
Total current tax
911,052
282,766
Deferred tax
Origination and reversal of timing differences
50,344
42,060
Total tax charge
961,396
324,826

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
3,941,656
1,906,618
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
985,414
362,257
Tax effect of expenses that are not deductible in determining taxable profit
13,592
11,016
Adjustments in respect of prior years
(44,218)
(67,373)
Permanent capital allowances in excess of depreciation
6,608
(6,839)
Chargeable gains
-
0
25,765
Taxation charge
961,396
324,826
11
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Interim declared
2,000,000
404,444
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 22 -
12
Tangible fixed assets
Group
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
11,224
256,054
136,041
435,924
839,243
Additions
-
0
136,137
14,958
178,575
329,670
Disposals
-
0
(81,371)
(27,206)
(75,836)
(184,413)
At 31 March 2024
11,224
310,820
123,793
538,663
984,500
Depreciation and impairment
At 1 April 2023
1,521
106,305
86,313
237,842
431,981
Depreciation charged in the year
1,123
36,414
17,643
72,258
127,438
Eliminated in respect of disposals
-
0
(51,922)
(24,743)
(58,735)
(135,400)
At 31 March 2024
2,644
90,797
79,213
251,365
424,019
Carrying amount
At 31 March 2024
8,580
220,023
44,580
287,298
560,481
At 31 March 2023
9,703
149,749
49,728
198,082
407,262
Company
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
11,224
256,054
136,041
435,924
839,243
Additions
-
0
136,137
14,958
178,575
329,670
Disposals
-
0
(81,371)
(27,206)
(75,836)
(184,413)
At 31 March 2024
11,224
310,820
123,793
538,663
984,500
Depreciation and impairment
At 1 April 2023
1,521
106,305
86,313
237,842
431,981
Depreciation charged in the year
1,123
36,414
17,643
72,258
127,438
Eliminated in respect of disposals
-
0
(51,922)
(24,743)
(58,735)
(135,400)
At 31 March 2024
2,644
90,797
79,213
251,365
424,019
Carrying amount
At 31 March 2024
8,580
220,023
44,580
287,298
560,481
At 31 March 2023
9,703
149,749
49,728
198,082
407,262
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
100
100
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 April 2023 and 31 March 2024
100
Carrying amount
At 31 March 2024
100
At 31 March 2023
100
14
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
All Metal Roofing Limited
Unit 1 Meridian Business Park, Fleming Road, Waltham Abbey, England, EN9 3BZ
Metal roof installation and repair services. This company provides installation, repair and supporting services to its UK customers.
Ordinary
100.00
15
Financial instruments
Group
Company
2024
2023
2024
2023
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
6,858,653
5,214,047
n/a
n/a
Carrying amount of financial liabilities
Measured at amortised cost
3,241,957
1,190,899
n/a
n/a

As permitted by the reduced disclosure framework within FRS 102, the company has taken advantage of the exemption from disclosing the carrying amount of certain classes of financial instruments, denoted by 'n/a' above.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
16
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
2,843,360
1,823,434
-
0
-
0
Gross amounts owed by contract customers
2,696,911
1,631,828
-
0
-
0
Corporation tax recoverable
26
10,740
26
10,740
Amounts owed by group undertakings
-
-
1,878,058
-
Other debtors
246,758
188,811
66,740
13,970
Prepayments and accrued income
94,996
45,904
2,661
4,056
5,882,051
3,700,717
1,947,485
28,766
Amounts falling due after more than one year:
Trade debtors
698,623
475,622
-
0
-
0
Total debtors
6,580,674
4,176,339
1,947,485
28,766
17
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£
£
£
£
Trade creditors
1,167,334
1,137,275
14,677
15,386
Amounts owed to group undertakings
-
0
-
0
-
0
163,355
Corporation tax payable
267,903
165,689
-
0
-
0
Other taxation and social security
7,811
291,282
-
220,920
Other creditors
2,000,030
17,579
1,993,828
-
0
Accruals and deferred income
74,593
36,045
8,500
-
0
3,517,671
1,647,870
2,017,005
399,661
18
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
137,680
87,336
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
18
Deferred taxation
(Continued)
- 25 -
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
137,680
87,336
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 April 2023
87,336
87,336
Charge to profit or loss
50,344
50,344
Liability at 31 March 2024
137,680
137,680
19
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
150,234
107,118

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

20
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100

The holders of ordinary shares are entitled to full voting rights and are entitled to one vote per share at meetings of the Company. All ordinary shares rank equally with regard to the Company's residual assets.

AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 26 -
21
Operating lease commitments

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

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
148,977
107,630
27,907
7,630
Between two and five years
429,849
487,716
25,217
12,716
578,826
595,346
53,124
20,346
22
Related party transactions

During the year, a related party of a director charged rent to the company in relation to the office space of £96,000 (2023 - £Nil). This office space was sold to a related party of a director during the year to 31 March 2023.

 

During the year, related parties of the directors received total employee benefits of £100,838.

 

At the year end a balance of £65,000 (2023 - £Nil) was owed by a connected company, associated by one of the directors.

23
Directors' transactions

Dividends totalling £2,000,000 (2023 - £404,444) were declared in the year in respect of shares held by the company's directors.

At the year end, the company was owed £nil by a director (2023 - £6,172). There were no fixed terms of repayment and no interest charged on the loan.

24
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
2,980,260
1,581,792
Adjustments for:
Taxation charged
961,396
324,826
Finance costs
1,116
14,263
Investment income
(3,598)
(3,217)
Loss/(gain) on disposal of tangible fixed assets
34,613
(121,861)
Depreciation and impairment of tangible fixed assets
127,438
90,998
Movements in working capital:
Increase in debtors
(2,421,221)
(7,138)
Increase/(decrease) in creditors
1,767,587
(627,441)
Cash generated from operations
3,447,591
1,252,222
AMR SPECIALIST SYSTEMS LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 27 -
25
Analysis of changes in net funds - group
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
2,908,819
342,851
3,251,670
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