Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31false2023-01-01truetruetruetruefalsefalseThe principal activities of the company continued to be that of material subsurface preparation and specialist coatings for the construction and oil and gas industries. The company is a member of the eGroup Services Limited group.6960true SC202165 2023-01-01 2023-12-31 SC202165 2022-01-01 2022-12-31 SC202165 2023-12-31 SC202165 2022-12-31 SC202165 2022-01-01 SC202165 5 2023-01-01 2023-12-31 SC202165 5 2022-01-01 2022-12-31 SC202165 6 2023-01-01 2023-12-31 SC202165 6 2022-01-01 2022-12-31 SC202165 d:Exceptional 2023-01-01 2023-12-31 SC202165 d:Exceptional 2022-01-01 2022-12-31 SC202165 e:CompanySecretary1 2023-01-01 2023-12-31 SC202165 e:Director1 2023-01-01 2023-12-31 SC202165 e:Director2 2023-01-01 2023-12-31 SC202165 e:Director3 2023-01-01 2023-12-31 SC202165 e:RegisteredOffice 2023-01-01 2023-12-31 SC202165 d:Buildings 2023-01-01 2023-12-31 SC202165 d:Buildings 2023-12-31 SC202165 d:Buildings 2022-12-31 SC202165 d:Buildings d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:PlantMachinery 2023-01-01 2023-12-31 SC202165 d:PlantMachinery 2023-12-31 SC202165 d:PlantMachinery 2022-12-31 SC202165 d:PlantMachinery d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:MotorVehicles 2023-01-01 2023-12-31 SC202165 d:MotorVehicles 2023-12-31 SC202165 d:MotorVehicles 2022-12-31 SC202165 d:MotorVehicles d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:FurnitureFittings 2023-01-01 2023-12-31 SC202165 d:FurnitureFittings 2023-12-31 SC202165 d:FurnitureFittings 2022-12-31 SC202165 d:FurnitureFittings d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:OtherPropertyPlantEquipment 2023-01-01 2023-12-31 SC202165 d:OtherPropertyPlantEquipment 2023-12-31 SC202165 d:OtherPropertyPlantEquipment 2022-12-31 SC202165 d:OtherPropertyPlantEquipment d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC202165 d:CurrentFinancialInstruments 2023-12-31 SC202165 d:CurrentFinancialInstruments 2022-12-31 SC202165 d:Non-currentFinancialInstruments 2023-12-31 SC202165 d:Non-currentFinancialInstruments 2022-12-31 SC202165 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 SC202165 d:CurrentFinancialInstruments d:WithinOneYear 2022-12-31 SC202165 d:Non-currentFinancialInstruments d:AfterOneYear 2023-12-31 SC202165 d:Non-currentFinancialInstruments d:AfterOneYear 2022-12-31 SC202165 d:Non-currentFinancialInstruments d:BetweenOneTwoYears 2023-12-31 SC202165 d:Non-currentFinancialInstruments d:BetweenOneTwoYears 2022-12-31 SC202165 d:Non-currentFinancialInstruments d:BetweenTwoFiveYears 2023-12-31 SC202165 d:Non-currentFinancialInstruments d:BetweenTwoFiveYears 2022-12-31 SC202165 d:ReportableOperatingSegment1 2023-01-01 2023-12-31 SC202165 d:ReportableOperatingSegment1 2022-01-01 2022-12-31 SC202165 f:UnitedKingdom 2023-01-01 2023-12-31 SC202165 f:UnitedKingdom 2022-01-01 2022-12-31 SC202165 d:UKTax 2023-01-01 2023-12-31 SC202165 d:UKTax 2022-01-01 2022-12-31 SC202165 d:ShareCapital 2023-12-31 SC202165 d:ShareCapital 2022-12-31 SC202165 d:ShareCapital 2022-01-01 SC202165 d:RevaluationReserve 2023-01-01 2023-12-31 SC202165 d:RevaluationReserve 2023-12-31 SC202165 d:RevaluationReserve 2022-01-01 2022-12-31 SC202165 d:RevaluationReserve 2022-12-31 SC202165 d:RevaluationReserve 2022-01-01 SC202165 d:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 SC202165 d:RetainedEarningsAccumulatedLosses 2023-12-31 SC202165 d:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 SC202165 d:RetainedEarningsAccumulatedLosses 2022-12-31 SC202165 d:RetainedEarningsAccumulatedLosses 2022-01-01 SC202165 d:AcceleratedTaxDepreciationDeferredTax 2023-12-31 SC202165 d:AcceleratedTaxDepreciationDeferredTax 2022-12-31 SC202165 e:OrdinaryShareClass1 2023-01-01 2023-12-31 SC202165 e:OrdinaryShareClass1 2023-12-31 SC202165 e:OrdinaryShareClass1 2022-12-31 SC202165 e:FRS102 2023-01-01 2023-12-31 SC202165 e:Audited 2023-01-01 2023-12-31 SC202165 e:FullAccounts 2023-01-01 2023-12-31 SC202165 e:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 SC202165 d:WithinOneYear 2023-12-31 SC202165 d:WithinOneYear 2022-12-31 SC202165 d:BetweenOneFiveYears 2023-12-31 SC202165 d:BetweenOneFiveYears 2022-12-31 SC202165 2 2023-01-01 2023-12-31 SC202165 4 2023-01-01 2023-12-31 SC202165 5 2023-01-01 2023-12-31 SC202165 7 2023-01-01 2023-12-31 SC202165 g:PoundSterling 2023-01-01 2023-12-31 iso4217:GBP xbrli:shares xbrli:pure
Registered number: SC202165













EBLAST LIMITED






ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

 
EBLAST LIMITED
 

COMPANY INFORMATION


Directors
Mr S Duguid 
Mrs L McDonald 
Mr N McDonald 




Company secretary
LC Secretaries Limited



Registered number
SC202165



Registered office
Tumulus Way
Midmill Industrial Estate

Kintore

Inverurie

Aberdeenshire

AB51 0TG




Independent auditor
Anderson Anderson & Brown Audit LLP

Kingshill View

Prime Four Business Park

Kingswells

Aberdeen

AB15 8PU





 
EBLAST LIMITED
 

CONTENTS



Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Notes to the financial statements
12 - 26


 
EBLAST LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The directors present the strategic report in respect of eBlast Limited ("the company") for the period ended 31 December 2023.
Principal activities
The principal activities of the company continued to be that of material subsurface preparation and specialist coatings for the construction and oil and gas industries. The company is a member of the eGroup Services Limited group.

Business review
 
The company's business model is to consolidate its position within Scotland and beyond, with a focus of expanding its customer base and ultimately returning value to its shareholder.
The results for the company show turnover for the period of £9.5m (2022 - £7.6m), with gross margin of 43.6% (2022 - 43.2%) and profit before tax of £1.1m (2022 - £1.8m). The company's net asset position for the period end was £12.6m (2022 - £11.4m).
The turnover period on period has increased in real terms, which is primarily due to a return in customer demand experienced as a result of global market affairs. Gross margin has increased both as a result of the market activity but also as a result of continued efficiency increases, operational processes and careful cost control applied by management. 
At the year end the company continued to have a strong balance position, underpinned by working capital and fixed asset investment.

Principal risks and uncertainties
 
The directors regularly review the principal risks and uncertainties affecting the company and assess the controls and mitigation strategies required to reduce the potential impact to the business. The principal risks and uncertainties are listed below.

Project risk and return

Selecting the correct projects at bid stage, taking account of delivery risk and opportunities, and balancing this with contractual and project management requirements is critical to ensuring that projects deliver positive margins. One of the key areas of focus of the continuous improvement plan put in place by management included end to end project lifecycle management.

Health and safety

The workforce engages in health and safety activity as part of the operations and service delivery. This continues to be a risk for the business and a focus for the board of directors to ensure continued investment in equipment and safe systems of work, in order to safeguard our valued workforce and the business. Our HSEQ team has deployed a clear improvement strategy.

Supply chain

Diversification of the supply chain is a contributor to success in any business. The company relies on several critical path items in service delivery which requires wide and diverse supply lines (among others, steel, paints, cladding, and magnetic film). Through more direct and strategic management of the supply chain partners and close organisational management of projects, business continuity will be guaranteed.

Page 1

 
EBLAST LIMITED
 

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

Financial key performance indicators
 
The key financial performance indicators of the company are considered to be turnover, gross margin, profit before tax, EBITDA and net assets, which are monitored on a monthly basis.


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





Mr N McDonald
Director

Date: 20 September 2024

Page 2

 
EBLAST 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.

Results and dividends

The profit for the year, after taxation, amounted to £1,151,224 (2022 - £1,805,996).

The directors do not recommend the payment of a dividend for the year ended 31 December 2023 (2022 - £nil).

Directors

The directors who served during the year were:

Mr S Duguid 
Mrs L McDonald 
Mr N McDonald 

Disclosure of information to auditor

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

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditor is aware of that information.

Auditor

The auditor, Anderson Anderson & Brown Audit LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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





Mr N McDonald
Director

Date: 20 September 2024

Page 3

 
EBLAST LIMITED
 

DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023

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; and


prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

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

Page 4

 
EBLAST LIMITED
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EBLAST LIMITED
 

Opinion


We have audited the financial statements of eBlast Limited ("the company") for the year ended 31 December 2023, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of changes in equity 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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the 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 Auditor's 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 5

 
EBLAST LIMITED

 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EBLAST 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 4, 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 6

 
EBLAST LIMITED

 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EBLAST LIMITED (CONTINUED)

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.


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:

We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosure in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, employment and health and safety legislation.

We identified the greatest risk of material impact on the financial statements from irregularities including fraud to be:

Management override of controls to manipulate the copany's key performance indicators to meet targets;
Timing and completeness of revenue recognition;
Management judgement applied in calculating provisions; and
Compliance with relevant laws and regulations which directly impact the financial statement sand thse that the company needs to comply with for the purpose of trading.

Our audit procedures to respond to these risks included:

Testing of journal entries and other adjustments for appropriateness;
Evaluating the business rationale of significant transactions outside the normal course of business;
Reviewing judgements made by management in their calculation of accounting estimates for potential management bias;
Enquiries of management about litigation and claims and inspection of relevant correspondence;
Reviewing legal and professional fees to identify indications of actual or potential litigation, claims and any non-compliance with laws and regulation; and
Performing a disclosure checklist on the financial statements to ensure Companies Act 2006 requirements are satisfied.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's report.


Page 7

 
EBLAST LIMITED

 

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EBLAST 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 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.





Graeme Penman (Senior statutory auditor)
  
for and on behalf of
Anderson Anderson & Brown Audit LLP
 
Statutory Auditor
  
Kingshill View
Prime Four Business Park
Kingswells
Aberdeen
AB15 8PU

23 September 2024
Page 8

 
EBLAST LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
9,513,470
7,621,921

Cost of sales
  
(5,367,189)
(4,328,808)

Gross profit
  
4,146,281
3,293,113

Administrative expenses
  
(2,693,026)
(2,252,300)

Exceptional items
 11 
(356,108)
700,677

Other operating income
 5 
113,017
70,163

Operating profit
 6 
1,210,164
1,811,653

Tax on profit
 10 
(58,940)
(5,657)

Profit for the financial year
  
1,151,224
1,805,996

There was no other comprehensive income for 2023 (2022 - £nil).

The notes on pages 12 to 26 form part of these financial statements.

Page 9

 
EBLAST LIMITED

REGISTERED NUMBER:SC202165

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 12 
3,231,819
3,130,860

  
3,231,819
3,130,860

Current assets
  

Stocks
 13 
241,239
187,135

Debtors: amounts falling due within one year
 14 
10,913,031
9,563,934

Cash at bank and in hand
 15 
756,605
956,943

  
11,910,875
10,708,012

Creditors: amounts falling due within one year
 16 
(2,292,975)
(2,181,494)

Net current assets
  
 
 
9,617,900
 
 
8,526,518

Total assets less current liabilities
  
12,849,719
11,657,378

Creditors: amounts falling due after more than one year
 17 
(19,041)
(25,965)

Provisions for liabilities
  

Deferred tax
 19 
(185,380)
(137,339)

  
 
 
(185,380)
 
 
(137,339)

Net assets
  
12,645,298
11,494,074


Capital and reserves
  

Called up share capital 
 20 
100
100

Revaluation reserve
 21 
483,568
483,568

Profit and loss account
 21 
12,161,630
11,010,406

  
12,645,298
11,494,074


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




Mr N McDonald
Director

Date: 20 September 2024

The notes on pages 12 to 26 form part of these financial statements.

Page 10

 
EBLAST LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£


At 1 January 2022
100
515,887
9,172,091
9,688,078



Profit and total comprehensive income for the period
-
-
1,805,996
1,805,996

Transfer to/from profit and loss account
-
(32,319)
32,319
-



At 1 January 2023
100
483,568
11,010,406
11,494,074



Profit and total comprehensive income for the period
-
-
1,151,224
1,151,224


At 31 December 2023
100
483,568
12,161,630
12,645,298


The notes on pages 12 to 26 form part of these financial statements.

Page 11

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

1.


General information

eBlast Limited ("the company") is a private company limited by shares incorporated in Scotland. The registered office is Tumulus Way, Midmill Industrial Estate, Kintore, Aberdeenshire, AB51 0TG, which is also its trading address. The company is a wholly owned subsidiary of eGroup Services Limited (collectively known as "the group").

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).

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of eGroup Services Limited as at 31 December 2023 and these financial statements may be obtained from https://www.gov.uk/government /organisations /companies-house.

 
2.3

Going concern

The directors, having made due and careful enquiry, are of the opinion that the company has adequate working capital to execute its operations for a period of at least 12 months following the date of approval of these financial statements. The directors, therefore, have made an informed judgement, at the time of approving the financial statements, that there is a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future.
As a result, the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements. 

Page 12

 
EBLAST LIMITED
 

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

2.Accounting policies (continued)

 
2.4

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.

 
2.5

Revenue

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

Rendering of services

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

The amount of profit attributable to the stage of completion of a long term contract is recognised when the outcome of the contract can be foreseen with reasonable certainty. Revenue for such contracts is stated at the cost appropriate to their stage of completion plus attributable profits, less amounts recognised in previous years. Provision is made for losses as soon as they are foreseen.

 
2.6

Operating leases: the company as lessor

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight-line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

 
2.7

Interest income

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

Page 13

 
EBLAST LIMITED
 

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

2.Accounting policies (continued)

 
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.

 
2.9

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.10

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.

 
2.11

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. 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.

 
2.12

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the company but are presented separately due to their size or incidence.

Page 14

 
EBLAST LIMITED
 

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

2.Accounting policies (continued)

 
2.13

Tangible fixed assets

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

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Heritable property
-
2% Reducing balance
Plant and equipment
-
15% Reducing balance
Motor vehicles
-
25% Reducing balance
Fixtures and fittings
-
15% Reducing balance

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.

 
2.14

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

 
2.15

Stocks

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

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

 
2.16

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.

Page 15

 
EBLAST LIMITED
 

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

2.Accounting policies (continued)

 
2.17

Cash and cash equivalents

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

 
2.18

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.

 
2.19

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

 
2.20

Provisions for liabilities

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

 
2.21

Financial instruments

The company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

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

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.

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.
Page 16

 
EBLAST LIMITED
 

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

2.Accounting policies (continued)


2.21
Financial instruments (continued)


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 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.

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.

Page 17

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

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the company'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.

The following are considered to be either judgements that have had the most significant effect on amounts recognised in the financial statements, or estimates that are dependent upon assumptions which could change in the next financial year and have a material effect on the carrying amounts of assets and liabilities recognised at the balance sheet date.

Useful lives of fixed assets

Management considered the expected useful lives of fixed assets when capitalising costs. This impacts the depreciation charge on an annual basis. The useful lives are based on the intended use, asset class and historical experience of the asset class within the business. Consideration is also given to potential impairments and reviews are undertaken of the fixed asset base for potential impairments or reassessments of useful asset lives.

The directors consider that there are no other judgements, estimates and underlying assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities.

Revaluations of heritable property

The directors hold heritable property at valuation and engage professional valuers to provide refreshed fair valuation reports on a regular basis. An updated valuation was undertaken in December 2019, which was considered reflective of conditions that existed at the balance sheet date. Further information is provided in note 12.

The directors consider that there are no other judgements or estimates which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities.


4.


Turnover

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


2023
2022
£
£

Steel blasting, coating & fireproofing
9,513,470
7,621,921


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
9,513,470
7,621,921


Page 18

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

5.


Other operating income

2023
2022
£
£

Management fees receivable
113,017
70,163

113,017
70,163



6.


Operating profit/(loss)

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

2023
2022
£
£

Depreciation of owned tangible fixed assets
197,634
197,975

Gain on disposal of tangible fixed assets
(9,698)
(6,715)

Operating lease charges
84,999
82,029


7.


Auditor's remuneration

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


2023
2022
£
£

Fees payable to the company's auditor for the audit of the company's financial statements
10,750
10,000

Page 19

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

8.


Employees

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


2023
2022
£
£

Wages and salaries
2,969,173
2,413,192

Social security costs
329,089
275,589

Cost of defined contribution scheme
57,762
44,176

3,356,024
2,732,957


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


        2023
        2022
            No.
            No.







Direct
51
46



Administration
18
14

69
60


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
149,802
134,028

Company contributions to defined contribution pension schemes
1,378
2,044

151,180
136,072


During the year retirement benefits were accruing to 3 directors (2022 - 3) in respect of defined contribution pension schemes.

Page 20

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

10.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
10,899
-

Total current tax

10,899
-

Deferred tax


Origination and reversal of timing differences
48,041
5,657

Total deferred tax

48,041
5,657


Tax on profit
58,940
5,657

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19 %). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
1,210,164
1,811,653


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19 %)
284,631
344,214

Effects of:


Expenses not deductible for tax purposes
1,936
-

Fixed asset differences
44,634
(2,837)

Other tax adjustments, reliefs and transfers
(171,232)
(95,686)

Income not taxable
-
(144,069)

Adjustments to tax charge in respect of previous periods - deferred tax
(4,007)
-

Movement in deferred tax not recognised
182,009
-

Group relief
(271,169)
(97,322)

Marginal relief
(172)
-

Remeasurement for change in tax rates
(7,690)
1,357

Total tax charge for the year
58,940
5,657

Page 21

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

11.


Exceptional items

2023
2022
£
£


Intercompany bad debt provision
356,108
(700,677)

356,108
(700,677)


12.


Tangible fixed assets





Freehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Assets under construction
Total

£
£
£
£
£
£



Cost or valuation


At 1 January 2023
2,499,998
3,740,614
184,406
328,953
14,910
6,768,881


Additions
-
72,744
153,068
1,042
97,271
324,125


Transfers from other group undertakings
-
391,523
-
-
-
391,523


Disposals
-
(345,751)
-
-
-
(345,751)


Transfers between classes
14,910
47,070
-
7,226
(69,206)
-



At 31 December 2023

2,514,908
3,906,200
337,474
337,221
42,975
7,138,778



Depreciation


At 1 January 2023
223,614
3,032,871
114,907
266,629
-
3,638,021


Charge for the year on owned assets
34,907
105,365
42,937
14,425
-
197,634


Transfers from other group undertakings
-
300,690
-
-
-
300,690


Disposals
-
(229,386)
-
-
-
(229,386)



At 31 December 2023

258,521
3,209,540
157,844
281,054
-
3,906,959



Net book value



At 31 December 2023
2,256,387
696,660
179,630
56,167
42,975
3,231,819



At 31 December 2022
2,276,384
707,743
69,499
62,324
14,910
3,130,860

The company's heritable property was revalued at an open market value of £2,500,000 on 23 December 2019 by independent chartered surveyors, Ryden LLP.

Page 22

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

           12.Tangible fixed assets (continued)

If the land and buildings had not been included at valuation they would have been included under the historical cost convention as follows:

2023
2022
£
£



Cost
2,240,307
2,225,397

Accumulated depreciation
(467,364)
(432,581)

Net book value
1,772,943
1,792,816


13.


Stocks

2023
2022
£
£

Raw materials and consumables
194,359
181,202

Work in progress
46,880
5,933

241,239
187,135



14.


Debtors

2023
2022
£
£


Trade debtors
2,329,073
1,556,187

Amounts owed by group undertakings
8,326,203
7,795,173

Prepayments and accrued income
257,755
212,574

10,913,031
9,563,934


Amounts owed by group undertakings are unsecured, interest free and repayable on demand.
  
The company has made provisions against any amounts owed by group undertakings which are considered doubtful. 


15.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
756,605
956,943


Page 23

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

16.


Creditors: Amounts falling due within one year

2023
2022
£
£

Energy saving trust loan
6,924
6,924

Trade creditors
726,244
513,796

Amounts owed to group undertakings
1,035,010
872,296

Corporation tax
10,899
1,464

Other taxation and social security
255,961
669,989

Other creditors
69,402
68,266

Accruals and deferred income
188,535
48,759

2,292,975
2,181,494


Amounts owed to group undertakings are unsecured, interest free and repayable on demand.


17.


Creditors: Amounts falling due after more than one year

2023
2022
£
£

Energy saving trust loan
19,041
25,965

19,041
25,965



18.


Loans


Analysis of the maturity of loans is given below:


2023
2022
£
£

Amounts falling due within one year

Energy saving trust loan
6,924
6,924

 
Amounts falling due 1-2 years

Energy saving trust loan
6,924
6,924

 
Amounts falling due 2-5 years

Energy saving trust loan
12,117
19,041

25,965
32,889


Energy saving trust loan is unsecured, is interest free and repayable in equal monthly installments of £577. In the prior year the loan was wholly classified as repayable within one year, the comparative has been updated in these financial statements.

Page 24

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

19.


Deferred taxation




2023


£






At beginning of year
(137,339)


Charged to profit or loss
(48,041)



At end of year
(185,380)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
185,380
137,339

185,380
137,339


20.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



100 (2022 - 100) Ordinary Shares shares of £1.00 each
100
100



21.


Reserves

Revaluation reserve

Revaluation gains on heritable property are not realised profits under company law. Therefore the company has maintained the non-distributable reserve to facilitate this. This reserve is used to record increases in the fair value of heritable property and decreases to the extent that such decrease relates to an increase on the same asset. Deferred tax is provided for on heritable property measured at fair value and movements in such deferred tax provision are also recorded through this reserve.

Profit and loss account

This reserve records the accumulated distributable profits made by the company net of distributions to shareholders.


22.


Pension commitments

The company operates a defined contribution scheme for all qualifying employees. 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 amounted to £17,541 (2022 - £12,512). The charge to the profit or loss in respect of defined contribution schemes was £57,762 (2022 - £44,176).

Page 25

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

23.


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
117,609
7,537

Later than 1 year and not later than 5 years
248,410
6,660

366,019
14,197


24.Financial commitments and contingent liabilities

There is a floating charge held by the company's bank, over the company's assets. A cross guarantee has been provided by the company to the group's bankers in relation to it's fellow group companies. 


25.


Related party transactions

The company has taken advantage of the exemption available in accordance with section 33 of FRS 102 'Related Party Disclosure' not to disclose transactions entered into between two or more members of the group, on the basis that any subsidiary party to the transaction is wholly owned by the parent company.


26.


Controlling party

The company is a wholly owned subsidiary of eGroup Services Limited, a company registered in Scotland. eGroup Services Limited represents the largest and smallest group which prepares consolidated financial statements. A copy of the eGroup Services Limited group financial statements is available from https://www.gov.uk/government /organisations /companies-house.


Page 26