REGISTERED NUMBER: |
MIDA Civil Engineering Limited |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 31st March 2024 |
REGISTERED NUMBER: |
MIDA Civil Engineering Limited |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 31st March 2024 |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Contents of the Financial Statements |
For The Year Ended 31st March 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 | to | 3 |
Report of the Directors | 4 | to | 5 |
Report of the Independent Auditors | 6 | to | 9 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Balance Sheet | 12 |
Statement of Changes in Equity | 13 |
Notes to the Financial Statements | 14 | to | 21 |
MIDA Civil Engineering Limited |
Company Information |
For The Year Ended 31st March 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Statutory Auditor |
310 Wellingborough Road |
Northampton |
NN1 4EP |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Strategic Report |
For The Year Ended 31st March 2024 |
The directors present their strategic report for the year 1st April 2023 to 31st March 2024 |
REVIEW OF BUSINESS |
The company has had a successful financial period with turnover achieved in the twelve month period to 31st March 2024 of £50.58 million and a profit before taxation of £3.82 million |
The directors regard the profit before taxation and the gross profit percentage achieved on contract work as key performance indicators. These were maintained in line with prior financial periods. |
The group's debtor and creditor days were consistent with the prior reporting period, highlighting the mutually beneficial approach MIDA Civil Engineering takes to its supply chain, and its clients take to MIDA Civil Engineering. |
In the period, the company balance sheet net assets have increased by £5.53 million, demonstrating the continued strengthening of the balance sheet. |
All of the below ratios and key performance indicators show sustainable growth in the business, indicating the continued growth and strength of the group. |
12 months to 31.03.2024 |
9 months to 31.03.2023 |
12 months to 30.06.2022 |
12 months to 30.06.2021 |
KPI's | £ s | £ s | £ s | £ s |
Sales | 50,582 | 33,033 | 33,314 | 10,221 |
Gross profit | 5,371 | 3,640 | 3,526 | 1,281 |
Net profit before tax | 3,763 | 2,937 | 2,645 | 871 |
Trade debtors | 6,508 | 5,036 | 6,102 | 2,604 |
Trade creditors | 5,587 | 3,321 | 5,830 | 2,034 |
Trade purchases | 43,154 | 27,911 | 28,891 | 8,615 |
RATIOS | Percentage | Percentage | Percentage | Percentage |
Gross profit percentage | 10.62 | 11.02 | 10.58 | 12.53 |
Net profit before tax percentage | 7.44 | 8.63 | 7.94 | 8.53 |
Net profit after tax percentage | 5.84 | 6.98 | 7.47 | 6.84 |
Trade creditors/ trade purchases | 12.95 | 11.90 | 20.18 | 23.60 |
Current assets / current liabilities | 193.69 | 148.35 | 126.90 | 147.68 |
Days | Days | Days | Days |
Trade debtors/ sales | 47.09 | 41.78 | 66.86 | 93.24 |
Trade creditors/ trade purchases | 47.39 | 32.60 | 73.65 | 86.39 |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Strategic Report |
For The Year Ended 31st March 2024 |
PRINCIPAL RISKS AND UNCERTAINTIES |
Demand for housebuilding ,and for the civil engineering relating to this, was steady at 31st March 2024. Though an uncertain domestic and global political landscape, elevated interest rates and an unpredictable planning system may subdue residential housing investment until the economic situation is more favourable. The directors are confident that the group has enough contracts in progress to cope with potential market headwinds and existing commercial relationships will deliver a continued inflow of new contracts. |
Since the year end various new contracts have been won, and the recent change in Government and their policy for housebuilding is favourable if they deliver on the targets set out. |
RESEARCH & DEVELOPMENT |
The company is always looking into new and innovative ways of carrying out civil engineering and aims to be in the forefront of any new methods or efficiencies which raise the industry standard.Also working through various obstacles to achieve the desired project completion for their clients in the difficulties that can occur when a new site starts. |
HEALTH & SAFETY |
The company takes the physical and mental health of its employees seriously and aims to make working for the company a safe and fulfilling experience. It has its own dedicated health and safety team which aim to ensure that the company's trading activities on site and elsewhere are carried out in compliance with UK health and safety legislation and best practice. |
FUTURE DEVELOPMENTS |
The company is looking towards the future and to enable further sustainable growth, it plans to invest in additional staff and improved processes to achieve this is in the following year. |
ON BEHALF OF THE BOARD: |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Report of the Directors |
For The Year Ended 31st March 2024 |
The directors present their report with the financial statements of the company for the year ended 31st March 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of being a civil engineering construction company . |
DIVIDENDS |
During the period to 31st March 2024 there were various interim dividends paid to the holding company amounting to £950,000 (2023 - £773,333). |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1st April 2023 to the date of this report. |
Other changes in directors holding office are as follows: |
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT |
The financial risks relating to the company are closely related to those risks identified in the Strategic Report of the company. The company is proactive when managing working capital and liquid funds to meet cash outflows as well as monitoring profitability. It does this by producing quarterly management accounts to keep a check on key liquidity and profitability ratios as well as monitoring the actual results against the budget both for the quarter in question and the cumulative period to date. In this way management control can be exercised by the directors to ensure that risks are anticipated, and their potential effects subjected to planned mitigation. |
POLITICAL DONATIONS AND EXPENDITURE |
There were no political donations made in the period, all donations were for charitable purposes. |
STRATEGIC REPORT |
The company has chosen in accordance with s.414C (11) Companies Act 2006 to set out in the company's strategic report information required by Schedule 7 of the Large and Medium -sized Companies and Group's (Accounts and Reports) Regulations 2008 to be contained in the directors' report. It has done so in relation to review of the business, research and development and future developments. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the 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 and then apply them consistently; |
- | make judgements 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 enable them to ensure that the financial statements comply with the Companies Act 2006. They 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. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Report of the Directors |
For The Year Ended 31st March 2024 |
AUDITORS |
The auditors, Cheney & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
MIDA Civil Engineering Limited |
Opinion |
We have audited the financial statements of MIDA Civil Engineering Limited (the 'company') for the year ended 31st March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 31st March 2024 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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors 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 Report of the Directors. |
We have nothing to report in respect of the following matters where 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. |
Report of the Independent Auditors to the Members of |
MIDA Civil Engineering Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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 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. |
Report of the Independent Auditors to the Members of |
MIDA Civil Engineering Limited |
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 a Report of the Auditors 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: |
The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatements due to fraud or error; and to respond appropriately to those risks. |
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. |
Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatement in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). |
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: |
We obtained an understanding of the legal and regulatory frameworks applicable to the company and the sectors in which it operates. We determine that the following laws and regulations were most significant: the Companies Act 2006, UK taxation laws, UK GAAP and health & safety legislation applicable to the construction industry. |
We obtained an understanding on how the company is complying with those legal and regulatory frameworks by making inquiries of management. |
We have discussed with management the specific risk to the company of the liabilities arising from disputes relating to work undertaken by the company, leading to legal liabilities, and have concluded that this risk is small. There has been nothing that has come to light and no instances of legal action against this company in this regard. |
The major critical judgement in relation to the company's financial statements is the valuation of the applications for payment, and provisions against these amounts, which are a components of the balance sheet items of trade debtors or trade creditors, as accrued or deferred income, as appropriate, and also reflected in turnover figure in the income statement. |
We have undertaken high levels of testing of balances included in the balance sheet and have performed a detailed analytical review of the income statement. |
Prior to commencement of the audit staff were briefed on the risk assessment of the susceptibility of the company's financial statements to material misstatement, including how fraud could occur. |
At the completion stage of the audit the results of audit tests were re-examined to ensure that they were consistent with our knowledge of the client and did not warrant further investigation of transactions and balances. |
We have assessed the susceptibility of the financial statements of the company to material misstatement, including how fraud might occur. Audit procedures performed for the company's accounts included: |
- identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud; |
- understanding how those charged with governance considered and addressed the potential for the override of controls or other inappropriate influence over the financial reporting process; |
- challenging assumptions and judgements made by the management in its significant accounting estimates; |
- identifying and testing journal entries, in particular any journal entries posted with unusual account combinations; and |
- assessing the extent of the compliance with the relevant laws and regulations. |
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 Report of the Auditors. |
Report of the Independent Auditors to the Members of |
MIDA Civil Engineering Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors 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. |
for and on behalf of |
Statutory Auditor |
310 Wellingborough Road |
Northampton |
NN1 4EP |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Income Statement |
For The Year Ended 31st March 2024 |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
Notes | £ | £ |
TURNOVER | 4 |
Cost of sales | ( |
) | ( |
) |
GROSS PROFIT |
Administrative expenses | ( |
) | ( |
) |
3,761,985 | 2,851,932 |
Other operating income |
OPERATING PROFIT and |
PROFIT BEFORE TAXATION |
Tax on profit | 7 | ( |
) | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Other Comprehensive Income |
For The Year Ended 31st March 2024 |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Balance Sheet |
31st March 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
13 |
( |
) |
PROVISIONS FOR LIABILITIES | 15 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 16 |
Retained earnings | 17 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Statement of Changes in Equity |
For The Year Ended 31st March 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1st July 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31st March 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31st March 2024 |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements |
For The Year Ended 31st March 2024 |
1. | STATUTORY INFORMATION |
MIDA Civil Engineering Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared for the nine months to 31st March 2023, to align the company to the fiscal year for corporation tax. Therefore, the figures for the nine months to 31st March 2023, will not be directly comparable to the previous financial statements for the twelve months to the 30th June 2022. |
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
• | the requirements of Section 7 Statement of Cash Flows; |
• | the requirement of paragraph 3.17(d); |
• | the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); |
• | the requirement of paragraph 33.7. |
Turnover |
Turnover arises from increases in valuations on contracts and is the gross value of work carried out for the period to the balance sheet date, including contract variations and claims. |
Variations in contract work are only included to the extent that it is probable that they will result in revenue and that they are capable of being reliably measured. |
Where the total income of a contract cannot be estimated reliably, contract revenue is recognised to the extent that it is probable contract costs will be recovered. |
Profit on contracts is calculated in accordance with the accounting standards and industry practice. Profit recognition is based on an assessment of the overall profitability forecast on individual contracts and is recognised when the outcome of the contract can be assessed with reasonable certainty. The profit recognised reflects that part of the total profit currently estimated to arise over the duration of the contract that fairly represents the profit attributable to work performed at the balance sheet date. The assessment of the final outcome of each contract is determined by regular review of the revenues and costs to complete that contract. |
Provisions are made for losses incurred or foreseen in bringing the contract to completion as soon as they become apparent. |
Applications income received in advance of that relating to the appropriate proportion of the cost relating to the stage reached on the overall contract , determined by reference to the anticipated profitability of the overall contract when completed, is treated as deferred income and carried forward in other creditors at the balance sheet date. |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Long-term contracts |
Amounts recoverable on long term contracts represent the gross unbilled amounts for contract work performed to date. They are measured at cost plus profit recognised to date (see turnover accounting policy) less a provision for foreseeable losses and less progress billings |
Amounts recoverable on contracts is presented in debtors as part of the amounts recoverable on contracts in the balance sheet. If payments received from customers exceed the income recognised, then the difference is presented in payments on account included within creditors on the balance sheet. |
Depreciation, amortisation and residual values |
The directors have reviewed the asset lives and associated residual values of all fixed asset classes, and have concluded that asset lives and residual values are appropriate. |
The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values. |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
The company makes estimates and assumptions concerning the future. The directors are also required to exercise judgement in the process of applying the company`s accounting policies. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below. |
In preparing these financial statements, the directors have made the following judgements: |
Recognition of profit on long - term contracts |
Profit recognition is based on an assessment of the overall profitability forecast on individual contracts. Losses are recognised as soon as they are foreseen. Profits are recognised by the directors when the outcome of the contract can be assessed within reasonable certainty. The profit recognised reflects that part of the total profit currently estimated to arise over the duration of the contract that fairly represents the profit attributable to work performed at the accounting date. |
Recoverability of trade and other debtors |
Trade and other debtors are recognised to the extent that they are judged recoverable. The directors' reviews are performed to estimate the level of provision required for irrecoverable debt. Provisions are made specifically against invoices where recoverability is uncertain. |
The directors make allowances for doubtful debts based on an assessment of the recoverability of debtors. Allowances are applied to debtors where events or changes in circumstances indicate that the carrying amounts may not be recoverable. The directors specifically analyse historical bad debts, customer creditworthiness, current economic trends and changes in customer payment terms when making a judgement to evaluate the adequacy of the provision for doubtful debts. Where the expectation is different from the original estimate, such a difference will impact the carrying value of debtors and the charge in the profit and loss account. |
Provisions |
A provision is recognised when the company has a present legal or constructive obligation as a result of a past event for which it is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated. If the effect is material, provisions are determined by discounting the expected future cash flow that reflects the time value of money and the risks specific to the liability. |
Whether a present obligation is probable or not requires judgement. The nature and type of risks for these provisions differ, the directors` judgement is applied regarding the nature and extent of obligations in deciding if an outflow of resources is probable or not. |
4. | TURNOVER |
All the turnover is generated from activities carried out in the UK. |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover represents applied for sales and net invoiced sale of goods, excluding value added tax. |
On sales applications revenue is recognised as follows: Measured works - 100% |
Variations: Priced and agreed - 100% |
Revenue from contracts for the provision of groundwork services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered. |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
5. | EMPLOYEES AND DIRECTORS |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
Directors | 3 | 4 |
Staff | 35 | 28 |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
6. | OPERATING PROFIT |
The operating profit is stated after charging: |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Auditors' remuneration |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Current tax: |
Group relief cross charge | 815,283 | 545,198 |
Deferred tax | ( |
) | ( |
) |
Tax on profit |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Income not taxable for tax purposes |
Capital allowances in excess of depreciation | - | ( |
) |
Depreciation in excess of capital allowances | - |
Deferred Tax | (3,700 | ) | (300 | ) |
Research & development claim | (201,583 | ) | - |
Total tax charge | 811,583 | 544,898 |
8. | DIVIDENDS |
Period |
1.7.22 |
Year ended | to |
31.3.24 | 31.3.23 |
£ | £ |
Interim |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
Plant and | and |
machinery | fittings | Totals |
£ | £ | £ |
COST |
At 1st April 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 31st March 2024 |
DEPRECIATION |
At 1st April 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31st March 2024 |
NET BOOK VALUE |
At 31st March 2024 |
At 31st March 2023 |
10. | STOCKS |
The value of stock at the year end is comprised of raw materials. All other items in connection with the long term contracts are treated as items within debtors and creditors, as appropriate. |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
VAT |
Prepayments and accrued income |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade creditors |
Amounts owed to group undertakings |
Social security and other taxes |
Other creditors |
Accruals and deferred income |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Accruals and deferred income |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
14. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
15. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax | 17,000 | 20,700 |
Deferred |
tax |
£ |
Balance at 1st April 2023 |
Provided during year | ( |
) |
Balance at 31st March 2024 |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 1 | 1 |
17. | RESERVES |
Retained |
earnings |
£ |
At 1st April 2023 |
Profit for the year |
Dividends | ( |
) |
At 31st March 2024 |
18. | ULTIMATE PARENT COMPANY |
MIDA Holdings Limited is regarded by the directors as being the company's ultimate parent company. |
19. | CONTINGENT LIABILITIES |
There were no contingent liabilities as at 31st March 2024 or 31st March 2023. |
20. | CAPITAL COMMITMENTS |
There were no capital commitments as at 31st March 2024 or 31st March 2023. |
21. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
MIDA Civil Engineering Limited (Registered number: 12707028) |
Notes to the Financial Statements - continued |
For The Year Ended 31st March 2024 |
22. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party are the shareholders of the parent company, MIDA Holdings limited. This is the direct and ultimate parent company and a copy of the parent company consolidated financial statements can be obtained from the business address as shown on the company information on request. |