Company registration number 02388475 (England and Wales)
BAUER TECHNOLOGIES LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
BAUER TECHNOLOGIES LIMITED
COMPANY INFORMATION
Directors
Mr JF Theos
Mr PM Doyle
Mr NJ Rogers
Mr CJ Dobson
Secretary
Mr JF Theos
Company number
02388475
Registered office
10 Ducketts Wharf
South Street
Bishops Stortford
Hertfordshire
England
CM23 3AR
Auditor
Finnies Accountants Limited
4-6 Swaby's Yard
Walkergate
Beverley
East Yorkshire
United Kingdom
HU17 9BZ
BAUER TECHNOLOGIES LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 6
Independent auditor's report
7 - 9
Income statement
10
Statement of financial position
11
Statement of changes in equity
12
Statement of cash flows
13
Notes to the financial statements
14 - 30
BAUER TECHNOLOGIES LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 1 -
The directors present the strategic report for the year ended 31 December 2024.
Review of the business
2024 was an exceptional year for the business in that we were able to successfully complete a major project in Scotland alongside our existing major project at HS2 while still maintaining our core business activities. This has demonstrated our ability to scale up our resources when needed and further justifies our strategy of targeted project acquisition and delivery. Additionally, there were no significant HSE issues throughout the year so overall, the team performed very well.
Looking forward into 2025, we were already seeing a slowing down of tenders and projects getting delayed from Q3 in 2024. We expect the geotechnical contracting sector to be especially challenging in 2025 with fewer opportunities and increased competition. As a consequence, our revenue expectation is significantly lower than for 2024 but we are still confident in achieving a profitable result for 2025.
The board has assessed that the following Key Performance Indicators (KPI’s) are the most effective measures of progress towards achieving our targets.
- Organic sales growth – year on year increase in sales revenue
- Gross return on sales – gross profit as a percentage of sales revenue
- Net return on sales – profit before tax as a percentage of sales revenue
- Free cash flow – cash generated from operations less tax and interest paid
Performance against KPI's 2024 2023
Organic sales growth 61.00% 57.23%
Gross return on sales 24.61% 35.03%
Net return on sales 7.81% 10.53%
Free cash flow £10,359,776 £3,987,101
As a means of measuring the business performance, profit before tax would give the best result for comparison purposes.
BAUER TECHNOLOGIES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -
Principal risks and uncertainties
Management continually monitor the risks facing the company together with assessing the controls used for managing these risks. The board of directors formally reviews and documents the principal risks facing the business at least annually.
(a) Economic downturn
The directors are aware of the consistent requirement to monitor the wider performance and outlook of the UK economy and the likely effect on the construction industry sector. As soon as signs of a downturn are identified appropriate reviews of cost base are undertaken to identify suitable measures and actions that will contain the potential impact of the adverse conditions.
(b) Competitor pressure
Competitive tendering is continually monitored, all tenders whether won or lost are reviewed internally to establish how pricing and the offering can be improved on future tenders. It is of note that several competitors are not at full capacity and are forcing pricing pressures into the market, which the directors monitor to ensure the company remains competitive.
(c) Loss of key personnel
The company needs to attract and retain excellent people to continue to manage the growth plans of the company. This is achieved by performance management and regular review of remuneration to ensure the risk is mitigated.
(d) Reliance on key suppliers
Our key supplier is our parent company, we have the ability to draw upon expertise from our parent company to meet the demands of the specialist market. Machinery is also bought or resourced from within the group to meet the specific requirements of each project.
(e) Brexit
The impact of Brexit is now well-known to the business and the market. Import of goods and equipment is now allowed for with respect time, cost and documentation and represents only minor inconvenience. The free movement of people from the European Union however continues to disrupt the business with respect to bringing in labour force from our Group businesses to the UK, with many positions it is impossible to do so. The business has mitigated these challenges by widening its UK recruitment base and increasing its ties with UK based Agencies for providing temporary labour.
(f) Health and Safety
Excellent Health and Safety performance has the highest priority in Bauer Technologies. The company is accredited to BS ISO 45001 and is subject to regular independent audit to maintain registration. Robust H&S polices are in place: these are implemented on all our sites by the company in cooperation with our main contractors and clients. Performance against Health and Safety KPI's is monitored regularly by senior management and corrective action taken as required. Regular training, including updates as required, is provided to Bauer employees, subcontractors and suppliers on a business need basis.
Mr JF Theos
Director
6 February 2025
BAUER TECHNOLOGIES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 3 -
The directors present their annual report and financial statements for the year ended 31 December 2024.
Principal activities
The principal activity of the company in the year under review was that of specialist ground engineering contractor working in the United Kingdom.
Results and dividends
The results for the year are set out on page 10.
Ordinary dividends were paid amounting to £4,102,394. The directors do not recommend payment of a final dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr JF Theos
Mr PM Doyle
Mr NJ Rogers
Mr CJ Dobson
Supplier payment policy
The company's current policy concerning the payment of trade creditors is to follow the CBI's Prompt Payers Code (copies are available from the CBI, Centre Point, 103 New Oxford Street, London WC1A 1DU).
The company's current policy concerning the payment of trade creditors is to:
settle the terms of payment with suppliers when agreeing the terms of each transaction;
ensure that suppliers are made aware of the terms of payment by inclusion of the relevant terms in contracts; and
pay in accordance with the company's contractual and other legal obligations.
Trade creditors of the company at the year end were equivalent to 15 day's purchases, based on the average daily amount invoiced by suppliers during the year.
BAUER TECHNOLOGIES LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 4 -
Financial instruments
(a) Credit risk
Credit risk arises from cash and cash equivalents and deposits with banks and financial institutions, as well as credit exposures to customers, including outstanding receivables and committed transactions. The company has implemented policies that require the maintenance of appropriate credit limits on all customers. The company's credit risk is primarily attributable to its trade receivables balance. The amounts presented in the statement of financial position are net of allowances for doubtful debts.
The Company does not have significant concentrations of credit risk. The deposits with banks are only held with reputable financial institutions. This credit worthiness is reviewed periodically in order to ensure active management of counter-party risk. If customers are independently rated, these ratings are used. If there is no independent rating, the board of directors assesses the credit quality of the customer, taking into account its financial position, past experience and other factors. Individual risk limits are set based on internal or external ratings in accordance with limits set by the board. The utilisation of credit limits is regularly monitored.
No credit limits were exceeded during the reporting period, and management does not expect any losses from non-performance by these counterparties.
(b) Interest rate cash flow risk
The company has both interest bearing assets and interest bearing liabilities. Interest bearing assets comprise only cash balances, which earn interest at floating rates. Interest bearing liabilities comprise amounts due on hire purchase agreements which attract interest at fixed rates.
(c) Foreign currency risk
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the income statement within 'finance income or cost'. All other foreign exchange gains and losses are presented in the income statement within 'other (losses)/gains - net.
(d) Capital risk management
The entity manages as capital share capital, consisting of ordinary shares and deferred ordinary shares, and an intercompany loan balance.
The Company's objectives when managing capital are to safeguard the Company's ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital.
In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.
The Company keeps the capital structure under review with a process of monthly financial forecasts updated quarterly. These forecasts, including a detailed cash flow forecast, provide the Board with an assessment of the Company's capital adequacy for the period under review.
BAUER TECHNOLOGIES LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 5 -
(e) Liquidity risk
The Company manages liquidity risk by maintaining sufficient cash to enable it to meet its operational requirements. Operating cash flows are actively managed with annual cash flow forecasts updated as required and subject to board review.
The table below analyses the company's non-derivative financial liabilities into relevant maturity groupings based on the remaining period at the statement of financial position date to the contractual maturity date. The amounts disclosed in the table are the contractual undisclosed cash flows.
Less than 1 Between Between More than
year 1 & 2 years 2 & 5 years 5 years
£ £ £ £
At 31st December 2023
Borrowings 1,054,273 1,025,252 3,297,213 -
Trade Payables 1,383,521 - - -
Borrowings from Group Undertakings 356,856 - - -
2,794,650 1,025,252 3,297,213 16,147
At 31st December 2024
Borrowings 1,284,527 581,859 376,469 -
Trade Payables 2,555,380 - - -
Borrowings from Group Undertakings 128,423 - - -
3,966,405 581,859 378,483 -
Going Concern
Due to the exceptional 2024 and the anticipated slow down in 2025, the company have set realistic targets for 2025. Additionally, the directors have prepared financial forecasts for 2026 and annual forecasts to 2029. We believe that our assumptions are realistic based on evidence currently available and that the company will consequently have enough headroom within its liquid capital to continue for the foreseeable future.
Statement of directors' responsibilities
The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with International Financial Reporting Standards (IFRSs) as adopted by the United Kingdom. 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, International Accounting Standard 1 requires that directors:
properly select and apply accounting policies;
present information, including accounting policies, in a manner that provides relevant, reliable, comparable and understandable information;
provide additional disclosures when compliance with the specific requirements in IFRSs are insufficient to enable users to understand the impact of particular transactions, other events and conditions on the entity's financial position and financial performance; and
make an assessment of the company's ability to continue as a going concern.
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.
BAUER TECHNOLOGIES LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 6 -
Statement of disclosure to auditor
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.
AUDITORS
The auditors, Finnies Accountants Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.
On behalf of the board
Mr JF Theos
Mr PM Doyle
Director
Director
6 February 2025
BAUER TECHNOLOGIES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF BAUER TECHNOLOGIES LIMITED
- 7 -
Opinion
We have audited the financial statements of Bauer Technologies Limited (the 'company') for the year ended 31 December 2024 which comprise the income statement, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and UK adopted international accounting standards.
In our opinion the financial statements:
give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended;
have been properly prepared in accordance with UK adopted international accounting standards; and
have been prepared in accordance with the requirements of the Companies Act 2006.
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 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.
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 our 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.
BAUER TECHNOLOGIES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF BAUER TECHNOLOGIES LIMITED
- 8 -
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, 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.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
We tailored the scope of our audit to ensure that we performed sufficient work to allow us to give an opinion on the financial statements as a whole taking into account the business structure, the accounting processes, controls and the industry in which it operates.
Specific audit procedures were used in respect of provision's on contracts and potential claims on works done which included obtaining management representations.
Materiality was set based on turnover and we applied performance materiality to each section based on risk to material misstatement. This allows us to determine the scope of the audit and the nature, timing and extent of our audit procedures on the financial statements lines and disclosure in evaluating the effect of any misstatement.
A further description of our responsibilities is available on the Financial Reporting Council's website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
BAUER TECHNOLOGIES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF BAUER TECHNOLOGIES LIMITED
- 9 -
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Nicholas Michael Auton (Senior Statutory Auditor)
For and on behalf of Finnies Accountants Limited
Chartered Certified Accountants
Statutory Auditor
4-6 Swaby's Yard
Walkergate
Beverley
East Yorkshire
United Kingdom
HU17 9BZ
14 February 2025
BAUER TECHNOLOGIES LIMITED
INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 10 -
2024
2023
Notes
£
£
Revenue
4
84,130,630
52,253,571
Cost of sales
(63,428,913)
(33,946,688)
Gross profit
20,701,717
18,306,883
Other operating income
15,000
284,030
Administrative expenses
(20,235,829)
(18,065,621)
Operating profit
5
480,888
525,292
Share of results of associates and joint ventures
5,543,516
4,866,962
Investment revenues
9
1,051,554
634,277
Finance costs
10
(507,641)
(521,766)
Profit before taxation
6,568,317
5,504,765
Income tax expense
11
(1,592,081)
(1,174,969)
Profit and total comprehensive income for the year
29
4,976,236
4,329,796
Earnings per share
13
Basic
1,256.63
1,093.38
Diluted
1,256.63
1,093.38
Earnings per share from continuing operations
Basic
1,256.63
1,093.38
Diluted
1,256.63
1,093.38
BAUER TECHNOLOGIES LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2024
31 December 2024
- 11 -
2024
2023
Notes
£
£
Non-current assets
Property, plant and equipment
14
8,224,064
11,239,073
Current assets
Inventories
17
67,027
18,226
Investments
15
19,700,045
6,952,240
Trade and other receivables
18
3,439,700
5,122,771
Current tax recoverable
163,306
15,000
Cash and cash equivalents
1,038
1,421,842
23,371,116
13,530,079
Current liabilities
Trade and other payables
23
18,797,152
10,060,575
Current tax liabilities
195
Borrowings
21
754,323
950,004
Lease liabilities
24
1,284,527
1,054,273
Deferred revenue
26
354,457
21,190,459
12,065,047
Net current assets
2,180,657
1,465,032
Non-current liabilities
Lease liabilities
24
958,328
4,322,465
Deferred tax liabilities
25
966,557
775,646
1,924,885
5,098,111
Net assets
8,479,836
7,605,994
Equity
Called up share capital
28
396,000
396,000
Retained earnings
29
8,083,836
7,209,994
Total equity
8,479,836
7,605,994
The financial statements were approved by the board of directors and authorised for issue on 6 February 2025 and are signed on its behalf by:
Mr JF Theos
Mr PM Doyle
Director
Director
Company registration number 02388475 (England and Wales)
BAUER TECHNOLOGIES LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 12 -
Share capital
Retained earnings
Total
Notes
£
£
£
Balance at 1 January 2023
396,000
4,598,758
4,994,758
Year ended 31 December 2023:
Profit and total comprehensive income
-
4,329,796
4,329,796
Transactions with owners:
Dividends
12
-
(1,718,560)
(1,718,560)
Balance at 31 December 2023
396,000
7,209,994
7,605,994
Year ended 31 December 2024:
Profit and total comprehensive income
-
4,976,236
4,976,236
Transactions with owners:
Dividends
12
-
(4,102,394)
(4,102,394)
Balance at 31 December 2024
396,000
8,083,836
8,479,836
BAUER TECHNOLOGIES LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
32
12,417,088
4,508,867
Interest paid
(507,641)
(521,766)
Tax paid
(1,549,671)
Net cash inflow from operating activities
10,359,776
3,987,101
Investing activities
Purchase of property, plant and equipment
(1,368,568)
(6,551,704)
Proceeds on disposal of property, plant and equipment
3,172,681
1,711,260
Receipts from joint ventures
5,543,516
4,866,962
Receipts arising from loans made
(12,747,805)
179,465
Interest received
1,051,554
634,277
Net cash (used in)/generated from investing activities
(4,348,622)
840,260
Financing activities
Payment of lease liabilities
(3,133,883)
(1,258,996)
Dividends paid
(4,102,394)
(1,718,560)
Net cash used in financing activities
(7,236,277)
(2,977,556)
Net (decrease)/increase in cash and cash equivalents
(1,225,123)
1,849,805
Cash and cash equivalents at beginning of year
471,838
(1,377,967)
Cash and cash equivalents at end of year
(753,285)
471,838
Bank balances and short term deposits
1,038
1,421,842
Bank overdrafts
(754,323)
(950,004)
BAUER TECHNOLOGIES LIMITED
STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 14 -
1
Adoption of new and revised standards and changes in accounting policies
In the current year, the following new and revised Standards and Interpretations have been adopted by the company and have an effect on the current period or a prior period or may have an effect on future periods:
IAS 1 (Amendments)
Classification of liabilities as Current or Non-Current
IFRS 16 (Amendments)
Lease Liability in Sale and Leaseback
IAS 1 (Amendments)
Non Current Liabilities with Covenants
IAS 7 and IFRS 7 (Amendments)
Supplier Finance Arrangements
Standards which are in issue but not yet effective
At the date of authorisation of these financial statements, the following Standards and Interpretations, which have not yet been applied in these financial statements, were in issue but not yet effective (and in some cases had not yet been adopted by the UK):
IAS 21 (Amendment)
Lack of Exchangeability
Standards not yet Endorsed
Amendments:
New:
IFRS S1 - General Requirements for Disclosure of Sustainability related Financial Information
IFRS S2 - Climate Related financial disclosures
IFRS 18 - Presentation and Disclosures in Financial Statements
IFRS 19 - Subsidiaries without Public Accountability Disclosures
Amendments:
Amendments to SASB standards to enhance their international applicability
IFRS 9 and IFRS 7 - Classification and measurement of financial instruments
Annual Improvements to IFRS Accounting Standards - Volume 11
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 15 -
2
Accounting policies
Company information
Bauer Technologies Limited is a private company limited by shares incorporated in England and Wales. The registered office is 10 Ducketts Wharf, South Street, Bishops Stortford, Hertfordshire, England, CM23 3AR. The company's principal activities and nature of its operations are disclosed in the directors' report.
2.1
Accounting convention
These financial statements have been prepared in accordance with International Financial Reporting Standards, International Accounting Standards and Interpretations (collectively IFRS issued by the International Accounting Standards Board (IASB) as adopted by the United Kingdom ("adopted IFRS's") and are in accordance with IFRS as issued by the IASB. The financial statements have been prepared under the historical cost convention.
The preparation of financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts in the financial statements. The areas involving a higher degree of judgement or complexity, or areas where assumptions or estimates are significant to the financial statements are disclosed in note 4.
The IFRS primary financial statements are presented in accordance with IAS 1 - Presentation of the Financial
Statements.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, except for the revaluation of . The principal accounting policies adopted are set out below.
2.2
Revenue
When the outcome of a fixed priced construction contract can be estimated reliably, revenue and costs are recognised on a percentage of completion basis, measured by reference to the proportion that costs incurred to date bear to estimated total costs for each contract. Variations in contract work and claims are included in contract revenue to the extent that they have been accepted by the customer.
When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised as an expense immediately.
2.3
Property, plant and equipment
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Freehold land and buildings
2% on cost
Fixtures and fittings
25% pa on cost
Plant and equipment
Straight line over 6 years, Straight line over 12 years, Straight line over 8 years, Straight line over 4 years and down to residual value over 18 months
Motor vehicles
33% pa on cost
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
2
Accounting policies
(Continued)
- 16 -
All plant and equipment is stated at historical cost less accumulated depreciation. The cost of property, plant and equipment includes expenditure that is directly attributable to the acquisition of the asset.
The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each statement of financial position date.
An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater than its recoverable amount.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within administration expenses in the statement of total of comprehensive income.
Freehold land and buildings are subsequently measuered under the cost model, the asset is carried at its historical cost less any accumulated depreciation and impairment losses.
2.4
Inventories
Inventories are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition.
Inventories held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
2.5
Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
2.6
Financial assets
Financial assets are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. Financial assets are classified into specified categories, depending on the nature and purpose of the financial assets.
At initial recognition, financial assets classified as fair value through profit and loss are measured at fair value and any transaction costs are recognised in profit or loss. Financial assets not classified as fair value through profit and loss are initially measured at fair value plus transaction costs.
2.7
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
2.8
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
2
Accounting policies
(Continued)
- 17 -
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
The ultimate parent undertaking is Bauer Aktiengesellschaft, a company registered in Germany, falls under OCED Pillar Two Regime which applies to all its subsidiaries.
2.9
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of inventories or non-current assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2.10
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2.11
Grants
Government grants are recognised when there is reasonable assurance that the grant conditions will be met and the grants will be received.
2.12
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
2
Accounting policies
(Continued)
- 18 -
2.13
The company's operations expose it to a variety of financial risks that include the effects of credit risk, liquidity risk and interest rate risk. The company's overall risk managements programme focuses on the unpredictability of, the markets in which it operations and seeks to minimise associated volatility of the Company's financial performance. The company does not use derivative financial instruments to manage interest rate costs and as such, no hedge accounting is applied.
Given the size of the company, the directors have not delegated the responsibility of monitoring financial risk management to a sub-committee of the board. The policies set by the board of directors are implemented by the executive directors.
(a) Credit risk
Credit risk arises from cash and cash equivalents and deposits with banks and financial institutions, as well as credit exposures to customers, including outstanding receivables and committed transactions. The company has implemented policies that require the maintenance of appropriate credit limits on all customers. The company's credit risk is primarily attributable to its trade receivables balance. The amounts presented in the statement of financial position are net of allowances for doubtful debts.
The Company does not have significant concentrations of credit risk. The deposits with banks are only held with reputable financial institutions. This credit worthiness is reviewed periodically in order to ensure active management of counter-party risk. If customers are independently rated, these ratings are used. If there is no independent rating, the board of directors assesses the credit quality of the customer, taking into account its financial position, past experience and other factors. Individual risk limits are set based on internal or external ratings in accordance with limits set by the board. The utilisation of credit limits is regularly monitored.
No credit limits were exceeded during the reporting period, and management does not expect any losses from non-performance by these counterparties.
(b) Interest rate cash flow risk
The company has both interest bearing assets and interest bearing liabilities. Interest bearing assets comprise only cash balances, which earn interest at floating rates. Interest bearing liabilities comprise amounts due on hire purchase agreements which attract interest at fixed rates.
(c) Foreign currency risk
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the income statement within 'finance income or cost'. All other foreign exchange gains and losses are presented in the income statement within 'other (losses)/gains - net.
(d) Capital risk management
The entity manages as capital share capital, consisting of ordinary shares and deferred ordinary shares, and an intercompany loan balance.
The Company's objectives when managing capital are to safeguard the Company's ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital.
In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.
The Company keeps the capital structure under review with a process of monthly financial forecasts updated quarterly. These forecasts, including a detailed cash flow forecast, provide the Board with an assessment of the Company's capital adequacy for the period under review.
(e) Liquidity risk
The Company manages liquidity risk by maintaining sufficient cash to enable it to meet its operational requirements. Operating cash flows are actively managed with annual cash flow forecasts updated as required and subject to board review.
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
2
Accounting policies
(Continued)
- 19 -
3
Critical accounting estimates and judgements
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, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.
(a) Estimation of claims made by the company
The company has made claims during the year in relation to contracts in progress where additional costs have been incurred and which contractually allows the company to claim against the contractor. Each claim is looked at individually and the directors have in all cases taken a commercial viewpoint on the level of claim that should be achievable as against the full amount of the claim.
(b) Depreciation of plant and machinery
The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater than its recoverable amount.
(c) Impairment of inventories
The inventories residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. An inventories carrying amount is written down immediately to its recoverable amount if the inventories carrying amount is greater than its recoverable amount. The directors feel this accounting policy is necessary due to the conditions the equipment is used in.
(d) Estimation of claims made against the company
These are created in accordance with IAS37 where a present obligation arises from a past event, a relevant claim is more likely than unlikely and the amount of claim can be reliably estimated. The provisions are stated at their performance amount, and are not netted against profit contributions. Long term provisions are recognised at present value. Provisions are created only for legal or constructive obligations to third parties.
(g) Going concern
The directors have reviewed the current performance and prepared cash flow forecasts for the next 12 months which shows sufficient cash balances to fund the business. The realisation of these forecasts may be affected by a number of factors, including changes in customer behaviour, however the directors are confident that the Company has adequate resources to continue its operations for the foreseeable future.
For this reason, they continue to adopt the going concern basis in preparing the financial statements. The financial statements do not include any adjustments that would result from the basis of preparation being inappropriate.
4
Revenue
2024
2023
£
£
Revenue
84,130,630
52,253,571
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 20 -
5
Operating profit
2024
2023
Operating profit for the year is stated after charging/(crediting):
£
£
Exchange gains
(10,585)
(61,676)
Depreciation of property, plant and equipment
2,281,014
2,370,810
(Profit)/loss on disposal of property, plant and equipment
(1,070,118)
256,589
Cost of inventories recognised as an expense
41,889,293
23,653,384
6
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
65,241
50,460
For other services
Other services
6,250
1,950
Total non-audit fees
6,250
1,950
7
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2024
2023
Number
Number
Directors
4
4
Sales, technical and administration
96
99
Total
100
103
Their aggregate remuneration comprised:
2024
2023
£
£
Wages and salaries
7,758,547
6,487,720
Social security costs
896,100
795,729
Pension costs
676,285
538,979
9,330,932
7,822,428
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 21 -
8
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
523,982
686,629
Company pension contributions to defined contribution schemes
176,962
153,287
700,944
839,916
Remuneration disclosed above include the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
161,054
187,045
Company pension contributions to defined contribution schemes
57,600
44,802
Accrued pension at the end of the year
4,350
-
9
Investment income
2024
2023
£
£
Interest income
Financial instruments measured at amortised cost:
Bank deposits
29,955
9,625
Other interest income on financial assets
1,021,599
624,652
Total interest revenue
1,051,554
634,277
Income above relates to assets held at amortised cost, unless stated otherwise.
10
Finance costs
2024
2023
£
£
Interest on bank overdrafts and loans
26,187
234,454
Interest on lease liabilities
225,980
287,312
Other interest payable
255,474
Total interest expense
507,641
521,766
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 22 -
11
Income tax expense
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
1,448,511
Adjustments in respect of prior periods
(47,344)
Total UK current tax
1,401,167
Deferred tax
Origination and reversal of temporary differences
190,914
1,174,969
Total tax charge
1,592,081
1,174,969
The charge for the year can be reconciled to the profit per the income statement as follows:
2024
2023
£
£
Profit before taxation
6,568,317
5,504,765
Expected tax charge based on a corporation tax rate of 25.00% (2023: 23.52%)
1,642,079
1,294,721
Effect of expenses not deductible in determining taxable profit
305,293
69,185
Unutilised tax losses carried forward
(219,802)
(241,246)
Group relief
(21,091)
(201,214)
Permanent capital allowances in excess of depreciation
(249,369)
(919,182)
Research and development tax credit
(8,599)
(2,264)
Under/(over) provided in prior years
(47,344)
Deferred tax liability movement
(28,676)
918,543
Deferred tax asset movement
219,590
256,426
Taxation charge for the year
1,592,081
1,174,969
The OCED Pillar Two regime regulations have been considered and no adjustments are required.
12
Dividends
2024
2023
2024
2023
Amounts recognised as distributions:
per share
per share
Total
Total
£
£
£
£
Ordinary shares
Interim dividend paid
10.36
4.34
4,102,394
1,718,560
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 23 -
13
Earnings per share
2024
2023
Number
Number
Number of shares
Weighted average number of ordinary shares for basic earnings per share
396,000
396,000
2024
2023
Earnings
£
£
Continuing operations
Profit for the period from continued operations
4,976,236
4,329,796
2024
2023
Pence per share
Pence per share
Basic and diluted earnings per share
From continuing operations
1,256.63
1,093.38
14
Property, plant and equipment
Freehold land and buildings
Fixtures and fittings
Plant and equipment
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 January 2023
1,194,233
272,410
13,477,205
120,303
15,064,151
Additions
6,550,703
1,000
6,551,703
Disposals
(2,144,929)
(2,144,929)
At 31 December 2023
1,194,233
272,410
17,882,979
121,303
19,470,925
Additions
1,245,698
122,870
1,368,568
Disposals
(4,554,412)
(86,044)
(4,640,456)
At 31 December 2024
1,194,233
272,410
14,574,265
158,129
16,199,037
Accumulated depreciation and impairment
At 1 January 2023
99,175
208,015
5,675,529
55,403
6,038,122
Charge for the year
31,339
33,903
2,266,911
38,657
2,370,810
Eliminated on disposal
(177,080)
(177,080)
At 31 December 2023
130,514
241,918
7,765,360
94,060
8,231,852
Charge for the year
31,344
14,764
2,203,229
31,677
2,281,014
Eliminated on disposal
(2,451,849)
(86,044)
(2,537,893)
At 31 December 2024
161,858
256,682
7,516,740
39,693
7,974,973
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
14
Property, plant and equipment
Freehold land and buildings
Fixtures and fittings
Plant and equipment
Motor vehicles
Total
£
£
£
£
£
(Continued)
- 24 -
Carrying amount
At 31 December 2024
1,032,375
15,728
7,057,525
118,436
8,224,064
At 31 December 2023
1,063,719
30,492
10,117,619
27,243
11,239,073
At 31 December 2022
1,095,058
64,395
7,801,676
64,900
9,026,029
Plant and machinery includes £2,763,489 (2023 £4,310,963) relating to assets held on hire purchase contracts.
Motor vehicles includes £4,763 (2023 £16,193 ) relating to assets held on hire purchase contracts.
15
Investments
Current
Non-current
2024
2023
2024
2023
£
£
£
£
Loans and receivables at amortised cost
19,700,045
6,952,240
Fair value of financial assets carried at amortised cost
Except as detailed below the directors believe that the carrying amounts of financial assets carried at amortised cost in the financial statements approximate to their fair values.
The company's investments at the Statement of Financial Position date in the share capital of companies include the following:
Joint venture
Bauer Keller Joint Venture
During the year ended 31 December 2018 the Company entered into an unincorporated partnership with Keller Limited, the partnership is called Bauer Keller Joint Venture. Bauer Technologies Limited has a 50% share of the business.
16
Contracts with customers
2024
2023
2023
Period end
Period end
Period start
£
£
£
Contracts in progress
Gross amounts due from customers for contract work
138,127
2,351,947
5,536,107
Contract liabilities
(486,286)
-
-
Contract liabilities relates to over certified works in the year.
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 25 -
17
Inventories
2024
2023
£
£
Machinery spares
67,027
18,226
18
Trade and other receivables
2024
2023
£
£
Trade receivables
1,064,075
Gross amounts due from customers for contract work (note 16)
138,127
2,351,947
VAT recoverable
1,946,992
456,835
Amounts owed by fellow group undertakings
123,513
172,897
Amounts owed by joint ventures
629,722
436,206
Other receivables
394,677
446,372
Prepayments
206,669
194,439
3,439,700
5,122,771
19
Trade receivables - credit risk
Fair value of trade receivables
The directors consider that the carrying amount of trade and other receivables is approximately equal to their fair value.
No significant receivable balances are impaired at the reporting end date.
20
Fair value of financial liabilities
The directors consider that the carrying amounts of financial liabilities carried at amortised cost in the financial statements approximate to their fair values.
21
Borrowings
2024
2023
£
£
Borrowings held at amortised cost:
Bank overdrafts
754,323
950,004
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 26 -
22
Liquidity risk
Under 1 year
1 - 2 years
2 - 5 years
Total
£
£
£
£
At 31 December 2023
Borrowings
1,054,273
1,025,252
3,297,213
5,376,738
Trade Payables
1,279,090
-
-
1,279,090
Borrowings from Group Undertakings
461,287
-
-
461,287
2,794,650
1,025,252
3,297,213
7,117,115
At 31 December 2024
Borrowings
1,284,527
581,859
376,469
2,242,855
Trade Payables
2,555,380
-
-
2,555,380
Borrowings from Group Undertakings
128,423
-
-
128,423
3,968,330
581,859
376,469
4,926,658
23
Trade and other payables
2024
2023
£
£
Trade payables
2,555,380
1,279,090
Contract liabilities (note 16)
486,286
-
Amount owed to parent undertaking
117,807
213,058
Amounts owed to fellow group undertakings
10,616
248,229
Accruals
15,344,039
8,045,965
Social security and other taxation
282,121
272,739
Other payables
903
1,494
18,797,152
10,060,575
24
Lease liabilities
2024
2023
Maturity analysis
£
£
Within one year
1,353,291
1,251,601
In two to five years
998,586
4,496,993
Total undiscounted liabilities
2,351,877
5,748,594
Future finance charges and other adjustments
(108,932)
(371,856)
Lease liabilities in the financial statements
2,242,945
5,376,738
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
24
Lease liabilities
(Continued)
- 27 -
Lease liabilities are classified based on the amounts that are expected to be settled within the next 12 months and after more than 12 months from the reporting date, as follows:
2024
2023
£
£
Current liabilities
1,284,527
1,054,273
Non-current liabilities
958,328
4,322,465
2,242,855
5,376,738
2024
2023
Amounts recognised in profit or loss include the following:
£
£
Interest on lease liabilities
225,980
287,312
25
Deferred taxation
Liabilities
2024
2023
£
£
Deferred tax balances
966,557
775,646
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon during the current and prior reporting period.
ACAs
Tax losses
Total
£
£
£
Liability at 1 January 2023
76,691
(476,014)
(399,323)
Deferred tax movements in prior year
Charge/(credit) to profit or loss
918,543
256,426
1,174,969
Liability at 1 January 2024
995,234
(219,588)
775,646
Deferred tax movements in current year
Charge/(credit) to profit or loss
(28,677)
219,588
190,911
Liability at 31 December 2024
966,557
966,557
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 28 -
26
Deferred revenue
2024
2023
£
£
Arising from customer contracts
354,457
-
All deferred revenues are expected to be settled within 12 months from the reporting date.
27
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
676,285
538,979
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
The accrual for December contributions as at 31 December 2024 was £60,955 (2023 £49,718).
28
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
396,000
396,000
396,000
396,000
29
Retained earnings
2024
2023
£
£
At the beginning of the year
7,209,994
4,598,758
Profit for the year
4,976,236
4,329,796
Dividends
(4,102,394)
(1,718,560)
At the end of the year
8,083,836
7,209,994
30
Ultimate Parent Company
The company is a wholly owned subsidiary of Bauer Spezialtiefbau GmbH, a company registered in Germany. The ultimate parent undertaking is Bauer Aktiengesellschaft, a company registered in Germany, the largest group in which the company's results are consolidated.
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 29 -
31
Related party transactions
During the year the company entered into the following transactions with related parties:
Sale of goods
Purchase of goods
2024
2023
2024
2023
£
£
£
£
Parent company
1,228,288
911,172
3,819,374
3,715,567
Subsidiaries
450,863
686,506
119,804
842,826
Associates
15,486,085
32,036,543
17,165,236
33,634,221
3,939,178
4,558,393
Purchase/(Sale) of Fixed Assets
Year end balances to/from related parties
2024
2023
2024
2023
£
£
£
£
Parent company
(620,116)
5,693,025
(37,631)
(213,058)
Subsidiaries
(1,026,079)
(1,062,593)
32,721
(75,333)
Associates
-
-
629,722
436,206
(1,646,195)
4,630,432
624,812
147,815
32
Cash generated from operations
2024
2023
£
£
Profit for the year before income tax
6,568,317
5,504,765
Adjustments for:
Share of results of associates and joint ventures
(5,543,516)
(4,866,962)
Finance costs
507,641
521,766
Investment income
(1,051,554)
(634,277)
(Gain)/loss on disposal of property, plant and equipment
(1,070,118)
256,589
Depreciation and impairment of property, plant and equipment
2,281,014
2,370,810
Movements in working capital:
(Increase)/decrease in inventories
(48,801)
111,381
Decrease in contract assets
2,213,820
3,184,160
Decrease/(increase) in trade and other receivables
959,408
(7,501)
Increase in contract liabilities
486,286
-
Increase/(decrease) in trade and other payables
6,760,134
(1,931,864)
Increase in deferred revenue outstanding
354,457
-
Cash generated from operations
12,417,088
4,508,867
BAUER TECHNOLOGIES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 30 -
33
Analysis of changes in net debt
1 January 2024
Cash flows
31 December 2024
£
£
£
Cash at bank and in hand
1,421,842
(1,420,804)
1,038
Bank overdrafts
(950,004)
195,681
(754,323)
471,838
(1,225,123)
(753,285)
Obligations under finance leases
(5,376,738)
3,133,883
(2,242,855)
(4,904,900)
1,908,760
(2,996,140)
1 January 2023
Cash flows
31 December 2023
Prior year:
£
£
£
Cash at bank and in hand
73,881
1,347,961
1,421,842
Bank overdrafts
(1,451,848)
501,844
(950,004)
(1,377,967)
1,849,805
471,838
Obligations under finance leases
(6,635,734)
1,258,996
(5,376,738)
(8,013,701)
3,108,801
(4,904,900)
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