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No description of principal activities is disclosed
2023-01-01
Sage Accounts Production 21.0 - FRS102_2021
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Company registration number:
08079612
FDM Digital Solutions
Trading as
FDM Digital Solutions Ltd
Unaudited abridged financial statements
31 December 2023
FDM Digital Solutions
Contents
Directors and other information
Director's report
Accountants report
Abridged statement of comprehensive income
Abridged statement of financial position
Statement of changes in equity
Notes to the financial statements
FDM Digital Solutions
Directors and other information
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Director |
Mr Graeme Bond |
(Appointed 1 March 2024) |
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Mr Philipp Visotschnig |
(Resigned 1 March 2024) |
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Company number |
08079612 |
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Registered office |
Unit 4, Ams Technology Park |
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Billington Road |
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Burnley |
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Lancashire |
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BB11 5UB |
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Business address |
Unit 4, Ams Technology Park |
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Billington Road |
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Burnley |
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Lancashire |
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BB11 5UB |
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Accountants |
Longden & Co Ltd |
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Riverside House |
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4 Melbourne Street |
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Stalybridge |
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Cheshire |
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SK15 2JE |
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Bankers |
Royal Bank Of Scotland |
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1 Princess Street |
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London |
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EC2R 8BP |
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Solicitors |
BHW Solictors |
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5 Grove Court |
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Grove Park |
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Enderby |
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Leicestershire |
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LE19 1SA |
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FDM Digital Solutions
Director's report
Year ended 31 December 2023
The director presents his report and the audited financial statements of the company for the year ended 31 December 2023.
Director
The director who served the company during the year was as follows:
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Mr Philipp Visotschnig |
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(Resigned 1 March 2024) |
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The Company has in place qualifying third party indemnity provisions for the benefit of its directors.
Dividends
The director does not recommends the payment of a dividend.
The principal activity of the Company is the provision of engineering solutions, additive layer manufacturing products and manufacturing services.
These financial statements have been prepared for the year ended 31 December 2023.
The loss for the year after taxation amounted to £199,000 (Year to 31 December 2022: profit £56,000). The directors do not recommend the payment of a dividend for the year, (Year to 31 December 2022: £nil) resulting in an amount of £199,000 (Year to 31 December 2022: £56,000 transferred to reserve) to be withdrawn from reserves.
Other matters
Given that FDM Digital Solutions Limited is exempt from the requirement to file audited accounts under Section 479A of the Companies Act 2006, it is also exempt from the requirement to prepare and file a strategic report, however the Directors have agreed to a limited assurance engagement (LAE).
Small company provisions
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
This report was approved by the board of directors on
21 November 2024
and signed on behalf of the board by:
Mr Graeme Bond
Director
FDM Digital Solutions
Chartered accountants report to the director on the preparation of the
unaudited statutory financial statements of FDM Digital Solutions
Year ended 31 December 2023
As described on the statement of financial position, the director of the company is responsible for the preparation of the financial statements for the year ended 31 December 2023 which comprise the abridged statement of comprehensive income, abridged statement of financial position, statement of changes in equity and related notes.
You consider that the company is exempt from an audit under the Companies Act 2006. In accordance with your instructions we have compiled these unaudited financial statements in order to assist you to fulfil your statutory responsibilities, from the accounting records and from information and explanations supplied to us.
We have determined that FDM Digital Solutions Limited is classified as a small company.
Longden & Co Ltd
Riverside House
4 Melbourne Street
Stalybridge
Cheshire
SK15 2JE
21 November 2024
FDM Digital Solutions
Abridged statement of comprehensive income
Year ended 31 December 2023
|
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2023 |
2022 |
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Note |
£ |
£ |
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|
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|
|
|
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Gross profit |
|
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895,531 |
|
1,062,908 |
|
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|
|
|
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Staff costs |
|
4 |
(
439,918) |
|
(
466,253) |
Depreciation and other amounts written off tangible and intangible fixed assets |
|
|
(
96,004) |
|
(
54,966) |
Other operating expenses |
|
|
(
411,649) |
|
(
316,157) |
|
|
|
_______ |
|
_______ |
Operating (loss)/profit |
|
|
(
52,040) |
|
225,532 |
|
|
|
|
|
|
Interest payable and similar expenses |
|
|
(
11,776) |
|
(
9,008) |
|
|
|
_______ |
|
_______ |
(Loss)/profit before taxation |
|
5 |
(
63,816) |
|
216,524 |
|
|
|
|
|
|
Tax on (loss)/profit |
|
|
(
134,925) |
|
(
160,129) |
|
|
|
_______ |
|
_______ |
(Loss)/profit for the financial year and total comprehensive income |
|
|
(
198,741) |
|
56,395 |
|
|
|
_______ |
|
_______ |
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All the activities of the company are from continuing operations.
FDM Digital Solutions
Abridged statement of financial position
31 December 2023
|
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2023 |
|
|
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2022 |
|
|
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|
Note |
£ |
|
£ |
|
£ |
|
£ |
|
|
|
|
|
|
|
|
|
|
Fixed assets |
|
|
|
|
|
|
|
|
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Tangible assets |
|
6 |
285,575 |
|
|
|
221,315 |
|
|
|
|
|
_______ |
|
|
|
_______ |
|
|
|
|
|
|
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285,575 |
|
|
|
221,315 |
|
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Current assets |
|
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|
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Stocks |
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48,555 |
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52,790 |
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Debtors |
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294,617 |
|
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|
779,285 |
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Cash at bank and in hand |
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81,874 |
|
|
|
124,368 |
|
|
|
|
|
_______ |
|
|
|
_______ |
|
|
|
|
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425,046 |
|
|
|
956,443 |
|
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Creditors: amounts falling due |
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|
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|
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within one year |
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|
(
345,453) |
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(
473,438) |
|
|
|
|
|
_______ |
|
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|
_______ |
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Net current assets |
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79,593 |
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|
|
483,005 |
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|
|
|
|
_______ |
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_______ |
Total assets less current liabilities |
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365,168 |
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704,320 |
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Creditors: amounts falling due |
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after more than one year |
|
7 |
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(
796,041) |
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|
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(
890,686) |
Accruals and deferred income |
|
|
|
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(
61,007) |
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|
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(
106,769) |
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|
|
|
|
|
|
|
|
|
|
|
|
|
_______ |
|
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_______ |
Net liabilities |
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|
|
|
(
491,880) |
|
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(
293,135) |
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_______ |
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_______ |
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Capital and reserves |
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Share premium account |
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|
182,800 |
|
|
|
182,800 |
Profit and loss account |
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|
|
(
674,680) |
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|
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(
475,935) |
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|
|
|
|
_______ |
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_______ |
Shareholders deficit |
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|
|
(
491,880) |
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(
293,135) |
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|
|
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|
_______ |
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_______ |
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For the year ending 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Director's responsibilities:
-
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;
-
The director acknowledges their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
All of the members have consented to the preparation of the abridged statement of comprehensive income and the abridged statement of financial position for the current year ending 31 December 2023 in accordance with Section 444(2A) of the Companies Act 2006.
These financial statements were approved by the
board of directors
and authorised for issue on
21 November 2024
, and are signed on behalf of the board by:
Mr Graeme Bond
Director
Company registration number:
08079612
FDM Digital Solutions
Statement of changes in equity
Year ended 31 December 2023
|
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Share premium account |
|
Profit and loss account |
Total |
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|
£ |
|
£ |
£ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
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At 1 January 2022 |
|
182,800 |
|
(
532,330) |
(
349,530) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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(Loss)/profit for the year |
|
|
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56,395 |
56,395 |
|
|
|
|
|
|
|
_______ |
|
_______ |
_______ |
|
|
|
|
|
Total comprehensive income for the year |
|
- |
|
56,395 |
56,395 |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
_______ |
|
_______ |
_______ |
|
|
|
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|
At 31 December 2022 and 1 January 2023 |
|
182,800 |
|
(475,939) |
(293,139) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit for the year |
|
|
|
(
198,741) |
(
198,741) |
|
|
|
|
|
|
|
_______ |
|
_______ |
_______ |
|
|
|
|
|
Total comprehensive income for the year |
|
- |
|
(
198,741) |
(
198,741) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
_______ |
|
_______ |
_______ |
|
|
|
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|
At 31 December 2023 |
|
182,800 |
|
(
674,680) |
(
491,880) |
|
|
|
|
|
|
|
_______ |
|
_______ |
_______ |
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FDM Digital Solutions
Notes to the financial statements
Year ended 31 December 2023
1.
General information
The company is a private company limited by shares, registered in England & Wales. The address of the registered office in Unit 4, AMS Technology Park, Billington Road, Burnley, Lancashire, BB11 5UB. The Company's intermediate parent undertaking, Gardner Aerospace Holdings Limited ("The Gardner Group" / "Gardner") includes the Company in its consolidated financial statements. The consolidated financial statements of Gardner Aerospace Holdings Limited are prepared in accordance with FRS 102 and are available to the public and may be obtained from Unit 9, Victory Park, Victory Road, Derby, DE24 8ZF. In these financial statements, the Company is considered to be a qualifying entity (for the purposes of this FRS) and has applied the exemptions available under FRS 102.
2.
Statement of compliance
These financial statements have been prepared in compliance with the provisions of FRS 102, Section 1A, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
3.
Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
Having considered the basis of preparation of FDM Digital Solutions Limited Financial Statements, the Directors are satisfied that it remains appropriate to prepare the Company Financial Statements on a going concern basis.
Disclosure exemptions
The company satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of "Gardner Aerospace Holdings Limited" which can be obtained from Unit 9, Victory Park, Victory Road, Derby, DE24 8ZF. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS102:(a) No cash flow statement has been presented for the company.(b) Disclosures in respect of financial instruments have not been presented.(c) Disclosures in respect of share-based payments have not been presented.(d) No disclosure has been given for the aggregate remuneration of key management personnel.
Turnover
Turnover represents amounts receivable for goods and services provided in the normal course of business, net of trade discounts, VAT and other sales related taxes and is recognised when goods are despatched, and all the risks and rewards have been transferred to the customer. Income from service contracts is recognised over the life of the contracts.
Taxation
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised in other comprehensive income or directly in capital and reserves. In this case, tax is recognised in other comprehensive income or directly in capital and reserves, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Operating leases
Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.
Tangible assets
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Leases in which the Company assumes substantially all the risks and rewards of ownership of the leased asset are classified as finance leases. All other leases are classified as operating leases. Leased assets acquired by way of finance lease are stated on initial recognition at an amount equal to the lower of their fair value and the present value of the minimum lease payments at inception of the lease, including any incremental costs directly attributable to negotiating and arranging the lease. At initial recognition a finance lease liability is recognised equal to the fair value of the leased asset or, if lower, the present value of the minimum lease payments. The present value of the minimum lease payments is calculated using the interest rate implicit in the lease.The Company assesses at each reporting date whether tangible fixed assets (including those leased under a finance lease) are impaired.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
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Leasehold property |
- |
Straight line over the period of the lease |
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Plant and machinery |
- |
5 to 10 years |
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Fittings fixtures and equipment |
- |
5 to 10 years |
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If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets, the depreciation is revised prospectively to reflect the new estimates.
Impairment excluding stocks and deferred assets
Financial assets (including trade and other debtors)A financial asset not carried at fair value through profit or loss is assessed at each reporting date to determine whether there is objective evidence that it is impaired. A financial asset is impaired if objective evidence indicates that a loss event has occurred after the initial recognition of the asset, and that the loss event had a negative effect on the estimated future cash flows of that asset that can be estimated reliably.An impairment loss in respect of a financial asset measured at amortised cost is calculated as the difference between its carrying amount and the present value of the estimated future cash flows discounted at the asset's original effective interest rate. For financial instruments measured at cost less impairment, impairment is calculated as the difference between its carrying amount and the best estimate of the amount that the Company would receive for the asset if it were to be sold at the reporting date. Interest on the impaired asset continues to be recognised through the unwinding of the discount. Impairment losses are recognised in profit or loss. When a subsequent event causes the amount of impairment loss to decrease, the decrease in impairment loss is reversed through profit or loss.Non-financial assetsThe carrying amounts of the Company's non-financial assets, other than stocks and deferred tax assets, are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset's recoverable amount is estimated. The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For the purpose of impairment testing, assets that cannot be tested individually are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the "CGU", "cash-generating unit"). An impairment loss is recognised if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognised in profit or loss. An impairment loss is reversed if and only if the reasons for the impairment have ceased to apply. Impairment losses recognised in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed only to the extent that the asset's carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the weighted average principle and includes expenditure incurred in acquiring the stocks, production or conversion costs and other costs in bringing them to their existing location and condition. In the case of manufactured stocks and work in progress, cost includes an appropriate share of overheads based on normal operating capacity.At each reporting date, the Company assesses whether stocks are impaired or if an impairment loss recognised in prior periods has reversed. Any excess of the carrying amount of stock over its estimated selling price less costs to complete and sell is recognised as an impairment loss in the profit and loss.Reversals of impairment losses are recognised in the profit and loss.
Government grants
Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in the creditors as deferred income. Grants of a revenue nature are recognised in the Statement of Comprehensive Income in the same period as the related expenditure
Financial instruments
In accordance with FRS 102.22, financial instruments issued by the Company are treated as equity only to the extent that they meet the following two conditions: (a) they include no contractual obligations upon the Company to deliver cash or other financial assets or to exchange financial assets or financial liabilities with another party under conditions that are potentially unfavourable to the Company; and (b) where the instrument will or may be settled in the Company's own equity instruments, it is either a non-derivative that includes no obligation to deliver a variable number of the Company's own equity instruments or is a derivative that will be settled by the Company's exchanging a fixed amount of cash or other financial assets for a fixed number of its own equity instruments.To the extent that this definition is not met, the proceeds of issue are classified as a financial liability. Where the instrument so classified takes the legal form of the Company's own shares, the amounts presented in these financial statements for called up share capital and share premium account exclude amounts in relation to those shares. Trade and other debtors are recognised initially at transaction price less attributable transaction costs. Trade and other creditors are recognised initially at transaction price plus attributable transaction costs. Subsequent to initial recognition they are measured at amortised cost using the effective interest method, less any impairment losses in the case of trade debtors. If the arrangement constitutes a financing transaction, for example if payment is deferred beyond normal business terms, then it is measured at the present value of future payments discounted at a market rate of instrument for a similar debt instrument.Interest-bearing borrowing's classified as basic financial instruments Interest-bearing borrowing's are recognised initially at the present value of future payments discounted at a market rate of interest. Subsequent to initial recognition, interest-bearing borrowing's are stated at amortised cost using the effective interest method, less any impairment losses.
Defined contribution plans
A defined contribution plan is a post-employment benefit plan under which the Company pays fixed contributions into a separate entity and will have no legal or constructive obligation to pay further amounts. Obligations for contributions to defined contribution pension plans are recognised as an expense in the profit and loss account in the periods during which services are rendered by employees.
4.
Staff costs
The average number of persons employed by the company during the year amounted to Nil (2022: Nil).
The aggregate payroll costs incurred during the year were:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Wages and salaries |
|
390,302 |
409,132 |
|
Social security costs |
|
41,525 |
48,617 |
|
Other pension costs |
|
8,091 |
8,504 |
|
|
|
_______ |
_______ |
|
|
|
439,918 |
466,253 |
|
|
|
_______ |
_______ |
|
|
|
|
|
5.
Loss/profit before taxation
Loss/profit before taxation is stated after charging/(crediting):
|
|
|
|
2023 |
2022 |
|
|
|
|
£ |
£ |
|
Depreciation of tangible assets |
|
|
96,004 |
54,966 |
|
|
|
|
_______ |
_______ |
|
|
|
|
|
|
6.
Tangible assets
|
|
|
|
|
|
|
|
|
|
|
£ |
|
|
|
|
|
|
|
Cost |
|
|
|
|
|
|
|
|
At 1 January 2023 |
1,579,271 |
|
|
|
|
|
|
|
Additions |
160,263 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
At 31 December 2023 |
1,739,534 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
Depreciation |
|
|
|
|
|
|
|
|
At 1 January 2023 |
1,357,956 |
|
|
|
|
|
|
|
Charge for the year |
96,003 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
At 31 December 2023 |
1,453,959 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
Carrying amount |
|
|
|
|
|
|
|
|
At 31 December 2023 |
285,575 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
At 31 December 2022 |
221,315 |
|
|
|
|
|
|
|
|
_______ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
7.
Creditors: amounts falling due after more than one year
Included within creditors: amounts falling due after more than one year is an amount of £ -
(2022 £ 94,645 ) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date.
Included within creditors: amounts falling due after more than one year is an amount of £ 796,041
(2022 £ 796,041 ) in respect of liabilities payable or repayable otherwise than by instalments which fall due for payment after more than five years from the reporting date.
The convertible preference shares carry a cumulative preferential dividend of 10% of the issue price, they are convertible to A Ordinary shares at the rate of 115 convertible shares to 1 A Ordinary share. They do not have the right to a vote at general meetings of the Company. The preference shares are entitled to a cumulative preferential dividend at an annual rate of 10% of the issued price of each share. They do not have the right to vote at general meetings of the Company.
8.
Events after the end of the reporting period
The Group sold its entire share holding in
FDM Digital Solutions
Limited (“FDM”) to an unrelated third party in March 2024. The disposal was completed following a full share purchase agreement. The Group has determined that the disposal of FDM does not constitute a discontinued operation. As such, the financial information of FDM has been included in the consolidated financial statements up to the date of disposal.
9.
Related party transactions
As the Company was a wholly owned subsidiary of Gardner Group Limited, who in turn are a wholly owned subsidiary of Gardner Aerospace Holdings Limited at 31 December 2022, the Company has taken advantage of the exemption contained in FRS102.33.1A and has therefore not disclosed transactions or balances with wholly owned entities which form part of the Group headed by Gardner Aerospace Holdings Limited.
10.
Controlling party
The Company's controlling party and ultimate parent company is Ligeance Aerospace Technology Co. Ltd ("LAT"), a company registered in the Peoples' Republic of China and listed on the Shenzhen Stock Exchange. The consolidated accounts of LAT are available from LAT's registered office, No.55 Century Avenue, Fengxi New City, Xixian New District, Xianyang City, Shaanxi Province, China.Ligeance Investments Limited is the Company's immediate parent undertaking. The smallest and largest group in which the results of the company are consolidated is that headed by LAT, the consolidated accounts for which be obtained at the address detailed above.Since 2022 Sichuan Development Holdings ("SDH"), a significant shareholder of LAT, has been working on a transaction to convert its debt with LAT into equity which would result in SDH taking a controlling interest in LAT. The transaction is subject to governmental approvals particularly in the UK and France. The French government approval was given in March 2022, whilst the UK Government consent in October 2022 was subject to certain remedy actions, in particular the reinforcement of the existing security agreement with the MoD, and certain governance changes. On 9 November 2023 LAT announced an application for SDH to subscribe for 200 million of shares in LAT, through a private placement. This transaction was approved by the Shenzhen Stock Exchange and the China Securities Regulatory Commission (CSRC) during December 2023 and once completed will see SDH hold approximately 34% of shares in LAT.
11.
Accounting estimates and judgements
The preparation of the financial statements requires the Group to make estimates and assumptions that affect the application of policies and reported amounts. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are considered to be reasonable under the circumstances. Actual results may differ from these estimates. The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are: Deferred tax asset: The utilisation of tax losses and reversals of accelerated capital allowances are based on management forecasts. Development costs: Development costs on major new programmes, where the outcome of these programmes is assessed as being reasonably certain, where they are capable of production and where their duration is expected to be substantial, are capitalised and amortised over their useful economic life. Stock provision: Management consider the recoverability of the stock at the year end by looking at the ageing analysis and also the forward order book and based on this, provide in line with the stock provisioning policy adopted by the Group. This is based on a prudent approach. Other provisions: Management consider the likelihood of any potential outflows and make relevant provisions on this basis at the year end. Impairment review: Management perform annual impairment reviews of tangible and intangible assets by carrying out an assessment of an assets value in use and fair value based on scenario analysis and reasonable judgements. Any excess in an assets carrying value is then impaired to its recoverable amount.