Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-3182false83false2023-01-01Engineering design and consultancy servicesfalse 03729504 2023-01-01 2023-12-31 03729504 2022-01-01 2022-12-31 03729504 2023-12-31 03729504 2022-12-31 03729504 2022-01-01 03729504 1 2023-01-01 2023-12-31 03729504 1 2022-01-01 2022-12-31 03729504 4 2023-01-01 2023-12-31 03729504 4 2022-01-01 2022-12-31 03729504 5 2023-01-01 2023-12-31 03729504 5 2022-01-01 2022-12-31 03729504 d:CompanySecretary1 2023-01-01 2023-12-31 03729504 d:Director2 2023-01-01 2023-12-31 03729504 d:Director3 2023-01-01 2023-12-31 03729504 d:RegisteredOffice 2023-01-01 2023-12-31 03729504 d:Agent1 2023-01-01 2023-12-31 03729504 e:PlantMachinery 2023-01-01 2023-12-31 03729504 e:PlantMachinery 2023-12-31 03729504 e:PlantMachinery 2022-12-31 03729504 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:PlantMachinery e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:MotorVehicles 2023-01-01 2023-12-31 03729504 e:MotorVehicles 2023-12-31 03729504 e:MotorVehicles 2022-12-31 03729504 e:MotorVehicles e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:MotorVehicles e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:FurnitureFittings 2023-01-01 2023-12-31 03729504 e:FurnitureFittings 2023-12-31 03729504 e:FurnitureFittings 2022-12-31 03729504 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:FurnitureFittings e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:ComputerEquipment 2023-01-01 2023-12-31 03729504 e:ComputerEquipment 2023-12-31 03729504 e:ComputerEquipment 2022-12-31 03729504 e:ComputerEquipment e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:ComputerEquipment e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:OtherPropertyPlantEquipment 2023-01-01 2023-12-31 03729504 e:OtherPropertyPlantEquipment 2023-12-31 03729504 e:OtherPropertyPlantEquipment 2022-12-31 03729504 e:OtherPropertyPlantEquipment e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:OtherPropertyPlantEquipment e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 03729504 e:LeasedAssetsHeldAsLessee 2023-01-01 2023-12-31 03729504 e:CurrentFinancialInstruments 2023-12-31 03729504 e:CurrentFinancialInstruments 2022-12-31 03729504 e:Non-currentFinancialInstruments 2023-12-31 03729504 e:Non-currentFinancialInstruments 2022-12-31 03729504 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 03729504 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 03729504 e:Non-currentFinancialInstruments e:AfterOneYear 2023-12-31 03729504 e:Non-currentFinancialInstruments e:AfterOneYear 2022-12-31 03729504 e:ReportableOperatingSegment1 2023-01-01 2023-12-31 03729504 e:ReportableOperatingSegment1 2022-01-01 2022-12-31 03729504 f:UnitedKingdom 2023-01-01 2023-12-31 03729504 f:UnitedKingdom 2022-01-01 2022-12-31 03729504 f:RestEuropeOutsideUK 2023-01-01 2023-12-31 03729504 f:RestEuropeOutsideUK 2022-01-01 2022-12-31 03729504 e:UKTax 2023-01-01 2023-12-31 03729504 e:UKTax 2022-01-01 2022-12-31 03729504 e:ShareCapital 2023-12-31 03729504 e:ShareCapital 2022-12-31 03729504 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 03729504 e:RetainedEarningsAccumulatedLosses 2023-12-31 03729504 e:RetainedEarningsAccumulatedLosses e:PriorPeriodIncreaseDecrease 2023-01-01 2023-12-31 03729504 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 03729504 e:RetainedEarningsAccumulatedLosses 2022-12-31 03729504 e:RetainedEarningsAccumulatedLosses e:PriorPeriodIncreaseDecrease 2022-01-01 2022-12-31 03729504 e:RetainedEarningsAccumulatedLosses 2022-01-01 03729504 d:OrdinaryShareClass1 2023-01-01 2023-12-31 03729504 d:OrdinaryShareClass1 2023-12-31 03729504 d:OrdinaryShareClass1 2022-12-31 03729504 d:FRS102 2023-01-01 2023-12-31 03729504 d:Audited 2023-01-01 2023-12-31 03729504 d:FullAccounts 2023-01-01 2023-12-31 03729504 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 03729504 e:WithinOneYear 2023-12-31 03729504 e:WithinOneYear 2022-12-31 03729504 e:BetweenOneFiveYears 2023-12-31 03729504 e:BetweenOneFiveYears 2022-12-31 03729504 e:HirePurchaseContracts e:WithinOneYear 2023-12-31 03729504 e:HirePurchaseContracts e:WithinOneYear 2022-12-31 03729504 e:HirePurchaseContracts e:BetweenOneFiveYears 2023-12-31 03729504 e:HirePurchaseContracts e:BetweenOneFiveYears 2022-12-31 03729504 2 2023-01-01 2023-12-31 03729504 e:MotorVehicles e:LeasedAssetsHeldAsLessee 2023-12-31 03729504 e:MotorVehicles e:LeasedAssetsHeldAsLessee 2022-12-31 03729504 e:LeasedAssetsHeldAsLessee 2023-12-31 03729504 e:LeasedAssetsHeldAsLessee 2022-12-31 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 03729504






TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023










img12a1.png

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
COMPANY INFORMATION


Directors
S R Hawker 
U Jankowski 




Company secretary
S R Hawker



Registered number
03729504



Registered office
22 Seax Court
Southfields Industrial Park

Basildon

Essex

SS15 6SL




Independent auditors
Venthams
Chartered Accountants & Statutory Auditor

Millhouse

32 - 38 East Street

Rochford

Essex

SS4 1DB




Bankers
Commerzbank
30 Gresham Street

London

EC2P 2XY





 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

CONTENTS



Page
Strategic report
 
 
1 - 5
Directors' report
 
 
6 - 7
Independent auditors' report
 
 
8 - 11
Statement of income and retained earnings
 
 
12
Balance sheet
 
 
13
Statement of cash flows
 
 
14
Analysis of net debt
 
 
15
Notes to the financial statements
 
 
16 - 29


 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The directors present their report and financial statements for the year ended 31 December 2023.

Page 1

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Business review
 
During the year the company continued to provide engineering services and develop technological solutions  primarily within the automotive sector both here in the UK and overseas.
2023 saw some reorganisation in the automotive sector as OEMs adjust to the change in pace of the EV market and redirection of product portfolio. This saw some projects being put on hold and Q1 saw a drop in YoY performance.
However, our team worked hard to open up new opportunities, not least new overseas customers and we have seen these client accounts develop through the rest of 2023 to close the gap and finish the year with a solid result.
The current planning reflects the automotive market changes predicted in 2024 and 2025 due to developments in technology, modifications in regulations, and changes in consumer preferences. With ongoing investments in battery technology, infrastructure for charging, and the increase of EV models provided by both established manufacturers and newcomers to the market, electric vehicles (EVs) continue to gain popularity.
However, the delay of EV introduction comes with the potential for ICE vehicles to be an option for a while longer, giving changes to certain product cycle planning and therefore engineering support needs.
While autonomous driving technology is making smaller strides, societal acceptance and regulatory obstacles remain in the way of its broad use. To advance the development of autonomous vehicles, cooperation between regulators, tech companies, and manufacturers is still essential and as such we have seen an increase in the customer enquiries for this field.

In reaction to regulatory pressures and environmental concerns, automakers step up their efforts to lower emissions and increase fuel efficiency throughout their whole fleet of vehicles. This in turn has seen an increase in discussions, internal research and customer enquiries for lightweight materials, aerodynamic designs, and hybrid powertrains which we foresee turning into revenue streams.
In addition, digitalization is still changing the automobile sector, emphasizing data-driven services, in-car infotainment systems, and connected cars. As cars get more and more connected, automakers are investing in cybersecurity solutions to protect them from cyber threats and this is an area we are developing with the wider Tecosim group.
Mobility-as-a-service (MaaS) is becoming more and more popular, with a focus on shared mobility solutions including ride-hailing, car-sharing, and micro-mobility choices. Urbanization, environmental concerns, and the need for practical, affordable transportation options are the main drivers of this movement and Tecosim has been at the forefront of this sector for some years, with expertise and knowledge on hand for customer programs.

2023 was an interesting year for new projects and our team, as always, has been able to capitalise on opportunities and support our customers with valuable engineering delivery. 
Our shareholders and directors remain deeply grateful for the unwavering dedication and commitment exhibited by our team throughout the year. They consistently demonstrate efficiency, determination, and a commitment to quality. Moreover, they exhibit remarkable flexibility and foresight in navigating through exceptionally challenging engineering expectations. The capacity to promptly address customer needs and provide agile, adaptable services is paramount to our business success.
In 2023, Tecosim had good results with further development of new markets, not least product design, energy and marine.
The overall program of work for 2023 remained diverse, split between all aspect of engineering and offering continued CAD, CAE, Engineering, Testing, Prototyping and Project Management.
There is a continued development of tools for the integration of AI and Machine Learning along with other
Page 2

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

internal research projects being conducted for future benefit.
As before, the business has maintained a low administrative cost and flexibility in the business structure to allow for future change/growth and focused in 2023 on continued optimisation of the structure and workflow.
The performance of 2023 will give confidence that through challenging times, a solid result is achieved as the business continues to remain debt free and cash positive.
The US activity from the new business established there in 2021 continued to show positive results in 2023 in terms of establishing a market presence and opening new doors. This has led to an increase in customer business and the groundwork of the UK and US team in 2023 will lead to some exciting announcements in early 2024.

Page 3

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Principal risks and uncertainties
 
The management of the business and the nature of the company’s strategy are subject to a number of risks.  The directors have set out the principal risks and how these are mitigated below:
Economic climate
The UK economy experienced extremely high inflation in 2022-23 compared to previous years which had a definite impact on the automotive sector. However, 2023 saw recovery for the automotive sector where it finished the year as the fastest growing sector on its rebound from previous contractions.
The sector was on course in Q4 to break the £100 billion mark for the first time since pre Covid times, marking the return to robust output and OEM confidence.
However, global market changes had an influence on customer planning and spend in Q1/Q2 2023, giving some micro level uncertainty and product viability.
The labour market improved as companies started operating again and hiring increased, resulting in a decrease in unemployment rates. Nonetheless, there have always been worries about a labour shortage in several industries, most notably construction, hospitality, and healthcare from a result of post Brexit changes.
Disruptions in the supply chain, growing energy costs, and a rise in the demand for goods and services all contributed to the persistence of inflationary pressures. 
The government prioritized infrastructure investment and green initiatives to drive economic growth and transition to a more sustainable future. Initiatives such as the Green Industrial Revolution aimed to create jobs, reduce carbon emissions, and foster innovation in renewable energy and clean technologies.
Overall, while the UK economy faced lingering challenges and uncertainties, signs of recovery and resilience were evident in 2023, laying the groundwork for future growth and prosperity.
Competition
The markets for engineering and automotive development are highly competitive. To satisfy customers and keep ahead of the competition, constant development and change are necessary. The team works hard to continuously develop and improve our tools, processes and know-how because they are still essential to our ability to be our customers' go-to supplier. 
In order to continue being a dependable partner to our clients, these are combined with outstanding internal quality initiatives and affordable prices.
Financial risk
The main risks arising from the company’s financial instruments are liquidity risk and credit risk with currency and interest risks being deemed immaterial.
Throughout 2023, there was a small but continued risk from delayed customer payments, some of whom were restructuring their finances through the year. The business team worked hard in 2023 to ensure that these risks were minimised and all accounts were settled during the year with no bad debt at the year end. This meant that the business did not need to rely on any external financial support during the crisis.
Liquidity
The company is part of TECOSIM Group, where liquidity is managed and reviewed at a group level. At all times, the business operates at optimal liquidity.

Credit risk
The principal risk arises from the company’s trade debtors. The company utilises an external credit service to check customer credit performance and has a warning system setup to provide alerts on client credit conditions.
In addition, a monitoring and action process is followed for late payments to minimise the exposure.

Page 4

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Financial key performance indicators
 
The directors use the following key performance indicators to monitor the business: -
                                                    2023                   2022                                          
                                                         
£                        £
Turnover                               17,111,847          17,059,017
Gross Profit                           1,715,630            1,324,143
Profit before tax                    363,518                 47,290

Other key performance indicators
 
IIn addition to the above the company’s other key performance indicators include the satisfaction and acknowledgement of yearly performance from the holding company, number of employees, cash flow and customer feedback.


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



S R Hawker
Director

Date: 27 August 2024

Page 5

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the financial statements for the year ended 31 December 2023.

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;

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 profit for the year, after taxation, amounted to £276,558 (2022 -£47,290).

The directors do not recommend the payment of a final dividend.

Directors

The directors who served during the year were:

S R Hawker 
U Jankowski 

Future developments

The outlook for 2024 is favourable, with continued projects and customer relationships from 2023. Tecosim will continue to support the clients with their changing plans and needs and to support where there may be delivery gaps for the client engineering programs.

Disclosure of information to auditors

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 auditors are 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 auditors are aware of that information.

Page 6

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Auditors

The auditorsVenthamswill 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.
 





S R Hawker
Director

Date: 27 August 2024

Page 7

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

Opinion


We have audited the financial statements of Tecosim Limited (Formerly known as: Tecosim-Technical Simulation Limited) (the 'company') for the year ended 31 December 2023, which comprise the Statement of Income and Retained Earnings, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policiesThe 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:

give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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 Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.

Page 8

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED) (CONTINUED)

Opinion 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 the 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.

Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 6, 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 either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Page 9

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED) (CONTINUED)

Auditors' 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 Auditors' 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.

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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Discussions with and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.
The following laws and regulations were identified as being of significance to the entity:
- Those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company Law, Tax and Pensions legislation, and distributable profits legislation.
- Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements include health and safety legislation.
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

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 Auditors' Report.

Page 10

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED) (CONTINUED)

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 2006Our 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 Auditors' 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.




Stuart Harrison (Senior statutory auditor)
  
for and on behalf of
Venthams
 
Chartered Accountants
Statutory Auditor
  
Millhouse
32 - 38 East Street
Rochford
Essex
SS4 1DB

28 August 2024
Page 11

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
17,111,847
17,059,017

Cost of sales
  
(15,396,217)
(15,734,874)

Gross profit
  
1,715,630
1,324,143

Administrative expenses
  
(1,443,947)
(1,319,544)

Other operating income
 5 
56,568
9,500

Operating profit
 6 
328,251
14,099

Interest receivable and similar income
 10 
47,589
33,191

Interest payable and similar expenses
 11 
(12,322)
-

Profit before tax
  
363,518
47,290

Tax on profit
 12 
(86,960)
-

Profit after tax
  
276,558
47,290

Retained earnings
  

-  as previously stated
  
316,468
47,590

-  correction of a prior period error
  
-
221,588

At the beginning of the year
  
316,468
269,178

  

Profit for the year
  
276,558
47,290

Retained earnings at the end of the year
  
593,026
316,468
Page 12

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
REGISTERED NUMBER:03729504

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 13 
101,621
97,118

  
101,621
97,118

Current assets
  

Debtors: amounts falling due within one year
 14 
3,616,957
4,217,631

Cash at bank and in hand
 15 
417,722
405,393

  
4,034,679
4,623,024

Creditors: amounts falling due within one year
 16 
(3,312,542)
(4,203,674)

Net current assets
  
 
 
722,137
 
 
419,350

Total assets less current liabilities
  
823,758
516,468

Creditors: amounts falling due after more than one year
 17 
(30,732)
-

  

Net assets
  
793,026
516,468


Capital and reserves
  

Called up share capital 
 19 
200,000
200,000

Profit and loss account
 20 
593,026
316,468

  
793,026
516,468


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




S R Hawker
Director

Date: 27 August 2024

Page 13

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

Cash flows from operating activities

Profit for the financial year
276,558
47,290

Adjustments for:

Depreciation of tangible assets
52,383
69,424

Loss on disposal of tangible assets
527
-

Interest paid
12,322
-

Interest received
(47,590)
(33,191)

Taxation charge
86,960
-

Decrease/(increase) in debtors
181,616
(351,967)

Decrease/(increase) in amounts owed by groups
419,058
(527,395)

(Decrease)/increase in creditors
(1,314,551)
929,773

Increase/(decrease)) in amounts owed to groups
407,666
(27,064)

Corporation tax (paid)/received
(86,960)
-

Net cash generated from operating activities

(12,011)
106,870


Cash flows from investing activities

Purchase of tangible fixed assets
(62,762)
(43,571)

Sale of tangible fixed assets
5,350
-

Interest received
47,590
33,191

HP interest paid
(960)
-

Net cash from investing activities

(10,782)
(10,380)

Cash flows from financing activities

Repayment of/new finance leases
46,484
(1,480)

Interest paid
(11,362)
-

Net cash used in financing activities
35,122
(1,480)

Net increase in cash and cash equivalents
12,329
95,010

Cash and cash equivalents at beginning of year
405,393
310,383

Cash and cash equivalents at the end of year
417,722
405,393


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
417,722
405,393

417,722
405,393


Page 14

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 

ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2023





At 1 January 2023
Cash flows
New finance leases
At 31 December 2023
£

£

£

£

Cash at bank and in hand

405,393

12,329

-

417,722

Debt due within 1 year

(18,132)

(31,784)

-

(49,916)

Finance leases

-

-

(46,484)

(46,484)


387,261
(19,455)
(46,484)
321,322

Page 15

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

Tecosim Limited is a private company limited by shares, incorporated in England and Wales. Its registered office is 22 Seax Court, Southfields Industrial Park, Basildon, Essex SS15 6SL.
The principal activity of the company continued to be the provision of engineering design and consultancy services.

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

Going concern

The directors have considered in detail and, taking into account a period exceeding 12 months from the date of approval of these financial statements, the directors have a reasonable expectation that it has adequate resources to continue in operational existence for the foreseeable future. These financial statements have therefore been prepared on the going concern basis.

 
2.3

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

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

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

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

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

Page 16

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Revenue

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and the turnover can be reliably measured. Turnover 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 turnover is recognised:

Rendering of services

Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of turnover can be measured reliably;
it is probable that the company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease 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.

 
2.6

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. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.
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.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.8

Finance costs

Finance costs are charged to profit or loss 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.

Page 17

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

Pensions

Defined contribution pension plan

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

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

 
2.10

Taxation

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

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

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

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

 
2.11

Tangible fixed assets

All fixed assets with a cost in excess of £1,000 are capitalised.

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.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Page 18

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.11
Tangible fixed assets (continued)

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

Depreciation is provided on the following basis:

Plant & machinery
-
33% straight line
Motor vehicles
-
25% reducing balance
Fixtures & fittings
-
20% straight line
Computer equipment
-
50% straight line
Leasehold improvements
-
Over the length of the lease

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

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

 
2.12

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.

 
2.13

Cash and cash equivalents

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

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management.

 
2.14

Creditors

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

Page 19

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.15

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 with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

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 profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments 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
Page 20

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.15
Financial instruments (continued)

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.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

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


3.


 Judgements in applying accounting policies and key sources of estimation uncertainty

The directors have made key assumptions regarding the stage of completion, future costs to complete and collectability of billings of some engineering contracts.
Revenue on construction contracts is recognised based on the percentage of completion method.
Included in creditors, shown as payments received on account, is £1,481,759 (2022: £2,082,619) in respect of revenue received in advance on engineering contracts.

Page 21

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Rendering of services

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


2023
2022
£
£

Turnover
17,111,847
17,059,017

17,111,847
17,059,017


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
13,774,753
13,428,135

Overseas sales
3,337,094
3,630,882

17,111,847
17,059,017



5.


Other operating income

2023
2022
£
£

Other operating income
500
9,500

R&D RDEC Credit
56,068
-

56,568
9,500





6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Exchange differences
67,852
(123,759)

Other operating lease rentals
56,360
32,016

Page 22

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

7.


Auditors' remuneration

During the year, the company obtained the following services from the company's auditors:


2023
2022
£
£

Fees payable to the company's auditors for the audit of the company's financial statements
7,100
6,800


8.


Employees

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


2023
2022
£
£

Wages and salaries
4,124,344
4,257,406

Social security costs
475,291
514,655

Cost of defined contribution scheme
148,325
143,391

4,747,960
4,915,452


The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Management
2
2



Admin
3
3



Cost of sales
78
77

83
82


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
198,000
199,800

Company contributions to defined contribution pension schemes
37,000
42,000

235,000
241,800


During the year retirement benefits were accruing to 1 director (2022 - 1) in respect of defined contribution pension schemes.

Page 23

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Interest receivable

2023
2022
£
£


Interest receivable from group companies
47,589
33,191

47,589
33,191


11.


Charges and interest payable and similar expenses

2023
2022
£
£


Finance leases and hire purchase contracts
960
-

Other charges and interest payable
11,362
-

12,322
-


12.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
74,093
-

Adjustments in respect of previous periods
12,867
-



Tax on profit
86,960
-
Page 24

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 -higher than) the standard rate of corporation tax in the UK of 23.5% (2022 -19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
363,518
47,290


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 -19%)
85,427
8,985

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
-
(2,384)

Capital allowances for year in excess of depreciation
(1,587)
2,040

Utilisation of tax losses
(6,001)
29,214

Adjustments to tax charge in respect of prior periods
12,867
-

Other timing differences leading to an increase (decrease) in taxation
73
-

Non-taxable income
(5,230)
-

Adjustment in research and development tax credit leading to an increase (decrease) in the tax charge
-
(42,250)

Changes in provisions leading to an increase (decrease) in the tax charge
1,411
-

Unrelieved tax losses carried forward
-
4,395

Total tax charge for the year
86,960
-



Page 25

 

TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023


13.


Tangible fixed assets






Plant & machinery
Motor vehicles
Fixtures & fittings
Computer equipment
Leasehold improvements
Total

£
£
£
£
£
£



Cost or valuation


At 1 January 2023
28,874
91,669
54,585
167,127
51,396
393,651


Additions
-
49,841
1,628
11,294
-
62,763


Disposals
(7,671)
(10,300)
(51,529)
(83,585)
-
(153,085)



At 31 December 2023

21,203
131,210
4,684
94,836
51,396
303,329



Depreciation


At 1 January 2023
21,526
61,231
48,953
133,223
31,600
296,533


Charge for the year on owned assets
4,637
7,181
937
26,235
10,278
49,268


Charge for the year on financed assets
-
3,115
-
-
-
3,115


Disposals
(6,595)
(8,582)
(48,446)
(83,585)
-
(147,208)



At 31 December 2023

19,568
62,945
1,444
75,873
41,878
201,708



Net book value



At 31 December 2023
1,635
68,265
3,240
18,963
9,518
101,621



At 31 December 2022
7,348
30,438
5,632
33,904
19,796
97,118

Page 26

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

           13.Tangible fixed assets (continued)

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2023
2022
£
£



Motor vehicles
46,725
-

46,725
-


14.


Debtors

2023
2022
£
£


Trade debtors
2,700,397
2,872,706

Amounts owed by group undertakings
668,772
1,087,830

Other debtors
33,830
27,111

Prepayments and accrued income
213,958
229,984

3,616,957
4,217,631



15.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
417,722
405,393

417,722
405,393


Page 27

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

16.


Creditors: Amounts falling due within one year

2023
2022
£
£

Payments received on account
1,481,759
2,082,619

Trade creditors
724,321
1,274,693

Amounts owed to group undertakings
478,478
70,811

Taxation and social security
549,681
481,734

Obligations under finance lease and hire purchase contracts
15,752
-

Other creditors
47,726
17,714

Accruals and deferred income
14,825
276,103

3,312,542
4,203,674



17.


Creditors: Amounts falling due after more than one year

2023
2022
£
£

Net obligations under finance leases and hire purchase contracts
30,732
-

30,732
-



18.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

2023
2022
£
£


Within one year
15,752
-

Between 1-5 years
30,732
-

46,484
-


19.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



200,000 (2022 -200,000) Ordinary shares of £1.00 each
200,000
200,000


Page 28

 
TECOSIM LIMITED (FORMERLY KNOWN AS: TECOSIM-TECHNICAL SIMULATION LIMITED)
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

20.


Reserves

Profit & loss account

Includes all current and prior period retained profits and losses.


21.


Pension commitments

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounts to £148,325 (2022: £143,391). Contributions totalling £18,132 (2021: £31,628) were payable to the fund at the balance sheet date and are included in creditors.


22.


Commitments under operating leases

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

2023
2022
£
£


Not later than 1 year
78,370
117,125

Later than 1 year and not later than 5 years
63,339
104,003

141,709
221,128


23.


Related party transactions

The company has taken advantage of the exemption in FRS102 which does not require disclosure of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member.


24.


Controlling party

The immediate parent is Tecosim Group GmbH and the ultimate parent company is Mind Venture AG, a company registered in Germany, with registered office at Gutenbergplatz 1, 65187 Wiesbaden, Germany.
The parent of the largest and smallest group into which the results of this company are consolidated is Mind Venture AG. Copies of the group financial statement can be obtained from its registered office.

 
Page 29