Company registration number 02605319 (England and Wales)
FICHTNER CONSULTING ENGINEERS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
FICHTNER CONSULTING ENGINEERS LIMITED
COMPANY INFORMATION
Directors
Dr E J Weatherby
Mr S M Othen
Mr D S Abernethy
Mr R J Hawcutt
Mrs E L Edgley
Mr T Herzig
Dr J Agnew
Mr E A Fichtner
(Appointed 16 October 2024)
Secretary
Mrs E L Edgley
Company number
02605319
Registered office
Kingsgate
Wellington Road North
Stockport
Cheshire
SK4 1LW
Auditor
Simpson Wood Limited
Bank Chambers
Market Street
Huddersfield
HD1 2EW
FICHTNER CONSULTING ENGINEERS LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 7
Profit and loss account
8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Statement of cash flows
12
Notes to the financial statements
13 - 27
FICHTNER CONSULTING ENGINEERS 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 a strong year with a record turnover of £33,282,787. A significant factor in this result was the strong sales performance in 2023 and throughout 2024. The sales team achieved a balance between long-term roles (construction project management) and fast burn (due diligence and project development). This ensured that we maintained a consistent and healthy utilisation factor (Fee earning hours divided by available working hours) throughout the year which was important for staff wellbeing and retention. Our diversification strategy continues to progress to plan as we focus on maintaining our strong position in established sectors (e.g. waste and power) and focus on projects in emerging sectors (e.g. carbon capture, pumped storage and collocated solar and battery) that will lead to delivery/construction assignments.

 

Our regional offices in Belfast and Glasgow continue to thrive and grow, resulting in both teams planning to move into larger premises in 2025. The recruitment market in Dublin is challenging but we continue to recruit to allow us to service the opportunities in waste and energy transition in the Republic of Ireland.

 

Following two years of succession planning, in February 2024, John Weatherby retired as Managing Director after 28 years at Fichtner. Rob Hawcutt, Managing Director and Duncan Abernethy, Chairman took over from John as co-leaders of the business. The remit and responsibilities of each of the co-leaders was clearly defined and the transfer of leadership responsibilities was smooth with no impact on business operations.

 

We continue to invest in our personnel, infrastructure and systems. We grew by net 11 new staff in 2024, and we focussed on ensuring that staff had the time and opportunity to undertake learning and development, and technical strengthening activities. In 2024 we transitioned from our aging Sage accounting software to the more flexible Microsoft Business Central system. The support staff and engineers that were involved in this project worked tirelessly for many months to ensure that the switchover, that was implemented on 8 April 2024, had no negative impact on business operations. As an engineering consultancy that thrives on collaboration, we are convinced that cooperative working in an office environment is an essential part of the development and learning of our staff, but have combined this with more flexible working to suit our employees. We remain a carbon neutral company aiming to reduce our carbon footprint and buying offsets to compensate unavoidable carbon dioxide emissions from heating and travel.

 

We are very positive with regards to 2025 with the growth of energy transition opportunities and the need for the UK and Ireland to modify its infrastructure to achieve carbon reduction targets. Our strategy is to continue to grow long term and diversify into new business sectors, with a focus on energy transition sectors which require our core engineering skills. A key priority in 2025 is to secure long-term substantial roles on construction projects in sectors such as carbon capture, collocated solar and battery, waste, pumped storage, anaerobic digestion and hydrogen.

On behalf of the board

Mr R J Hawcutt
Director
11 February 2025
FICHTNER CONSULTING ENGINEERS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -

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 technical consultants to the process, power, renewables and industrial sectors.

Results and dividends

The results for the year are set out on page 8.

Ordinary dividends were paid amounting to £4,980,631. 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:

Dr E J Weatherby
Mr P M Eddy
(Retired 28 August 2024)
Mr S M Othen
Mr D S Abernethy
Mr R J Hawcutt
Mrs E L Edgley
Mr T Herzig
Mr M Wilfer
(Resigned 16 October 2024)
Dr J Agnew
Mr E A Fichtner
(Appointed 16 October 2024)
Auditor

In accordance with the company's articles, a resolution proposing that Simpson Wood Limited be reappointed as auditor of the company will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
Mr R J Hawcutt
Director
11 February 2025
FICHTNER CONSULTING ENGINEERS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 3 -

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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law, the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

In preparing these financial statements, the directors are required to:

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.

FICHTNER CONSULTING ENGINEERS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FICHTNER CONSULTING ENGINEERS LIMITED
- 4 -
Opinion

We have audited the financial statements of Fichtner Consulting Engineers Limited (the 'company') for the year ended 31 December 2024 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, 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 United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

FICHTNER CONSULTING ENGINEERS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FICHTNER CONSULTING ENGINEERS LIMITED (CONTINUED)
- 5 -
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:

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.

FICHTNER CONSULTING ENGINEERS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FICHTNER CONSULTING ENGINEERS LIMITED (CONTINUED)
- 6 -
The extent to which the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

 

 

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining and understanding of how fraud might occur, by:

 

 

To address the risk of fraud through management bias and override of controls, we:

 

 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in 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.

FICHTNER CONSULTING ENGINEERS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FICHTNER CONSULTING ENGINEERS LIMITED (CONTINUED)
- 7 -
Sukhbinder Khangura BA FCA (Senior Statutory Auditor)
For and on behalf of Simpson Wood Limited, Statutory Auditor
Chartered Accountants
Bank Chambers
Market Street
Huddersfield
HD1 2EW
11 February 2025
FICHTNER CONSULTING ENGINEERS LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 8 -
2024
2023
as restated
Notes
£
£
Turnover
3
33,282,787
31,204,038
Cost of sales
(3,188,637)
(4,221,334)
Gross profit
30,094,150
26,982,704
Administrative expenses
(21,176,563)
(19,143,115)
Other operating income
636,991
339,312
Operating profit
4
9,554,578
8,178,901
Interest receivable and similar income
8
99,336
112,656
Amounts written off investments
9
209,929
100,526
Profit before taxation
9,863,843
8,392,083
Tax on profit
10
(1,949,178)
(2,044,360)
Profit for the financial year
7,914,665
6,347,723

The profit and loss account has been prepared on the basis that all operations are continuing operations.

FICHTNER CONSULTING ENGINEERS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
- 9 -
2024
2023
as restated
£
£
Profit for the year
7,914,665
6,347,723
Other comprehensive income
-
-
Total comprehensive income for the year
7,914,665
6,347,723
FICHTNER CONSULTING ENGINEERS LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2024
31 December 2024
- 10 -
2024
2023
as restated
Notes
£
£
£
£
Fixed assets
Tangible assets
12
840,439
751,542
Investments
13
2,867,790
2,625,593
3,708,229
3,377,135
Current assets
Debtors
15
7,908,283
7,832,729
Cash at bank and in hand
9,565,076
8,824,858
17,473,359
16,657,587
Creditors: amounts falling due within one year
16
(6,989,837)
(8,858,005)
Net current assets
10,483,522
7,799,582
Total assets less current liabilities
14,191,751
11,176,717
Provisions for liabilities
Deferred tax liability
17
285,000
204,000
(285,000)
(204,000)
Net assets
13,906,751
10,972,717
Capital and reserves
Called up share capital
19
315,000
315,000
Share premium account
97,500
97,500
Profit and loss reserves
13,494,251
10,560,217
Total equity
13,906,751
10,972,717

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 11 February 2025 and are signed on its behalf by:
Mr R J Hawcutt
Director
Company registration number 02605319 (England and Wales)
FICHTNER CONSULTING ENGINEERS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 11 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
As restated for the period ended 31 December 2023:
Balance at 1 January 2023
315,000
97,500
8,468,840
8,881,340
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
6,347,723
6,347,723
Dividends
11
-
-
(4,256,346)
(4,256,346)
Balance at 31 December 2023
315,000
97,500
10,560,217
10,972,717
Year ended 31 December 2024:
Profit and total comprehensive income
-
-
7,914,665
7,914,665
Dividends
11
-
-
(4,980,631)
(4,980,631)
Balance at 31 December 2024
315,000
97,500
13,494,251
13,906,751
FICHTNER CONSULTING ENGINEERS LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 12 -
2024
2023
as restated
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
23
7,861,655
7,541,775
Income taxes paid
(1,953,776)
(1,933,790)
Net cash inflow from operating activities
5,907,879
5,607,985
Investing activities
Purchase of tangible fixed assets
(254,098)
(731,982)
Proceeds from disposal of investments
(32,268)
-
0
Interest received
80,043
104,207
Dividends received
19,293
8,449
Net cash used in investing activities
(187,030)
(619,326)
Financing activities
Dividends paid
(4,980,631)
(4,256,346)
Net cash used in financing activities
(4,980,631)
(4,256,346)
Net increase in cash and cash equivalents
740,218
732,313
Cash and cash equivalents at beginning of year
8,824,858
8,092,545
Cash and cash equivalents at end of year
9,565,076
8,824,858
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 13 -
1
Accounting policies
Company information

Fichtner Consulting Engineers Limited is a private company limited by shares incorporated in England and Wales. The registered office is Kingsgate, Wellington Road North, Stockport, Cheshire, SK4 1LW.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

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, The principal accounting policies adopted are set out below.

1.2
Going concern

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

1.4
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

1.5
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold improvements
in accordance with the lease terms
Fixtures and fittings
10% - 20% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 14 -
1.6
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. 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 which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.7
Rendering of service contracts

Where the outcome involving the rendering of service contracts can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the transaction at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable.

 

When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately.

 

Where the outcome of a service contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recoverable. Contract costs are recognised as expenses in the period in which they are incurred. When costs incurred in securing a contract are recognised as an expense in the period in which they are incurred, they are not included in contract costs if the contract is obtained in a subsequent period.

The “percentage of completion method” is used to determine the appropriate amount to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the estimated total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as amounts owed by contract customers, provided it is probable they will be recovered.

1.8
Cash at bank and in hand

Cash and cash equivalents are basic financial assets and 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.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 15 -
1.9
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

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

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 16 -
Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

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

1.10
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.11
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account 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.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 17 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing 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 profit and loss account, 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.

1.12
Provisions

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

 

1.13
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 stock or fixed 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.

1.14
Retirement benefits

The company operates a defined contribution pension scheme. Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.15
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.16
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 are included in the profit and loss account for the period.

 

The monetary items of the overseas branch have been translated into sterling from their functional currency at the rate of exchange ruling at the balance sheet date. The results of the overseas branches are translated at an average rate.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 18 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

 

Significant judgements and estimates are made in arriving at the valuation of work in progress and accrued expenses. These are applied on a consistent basis.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Accrued and deferred income

The outcome involving the rendering of service contracts can be measured reliably, therefore, accrued and deferred income from the provision of service contracts are disclosed within the financial statements on the percentage of completion basis.

 

Where customers have not yet been invoiced for services provided, income has been recognised in order to show the profit made on the work performed.

 

Where customers have been invoiced in advance of services being provided, this has been recognised as deferred income.

Employee benefit trust share valuation

Employees at the company are able to buy a number of shares within the company through an employee benefit trust. As an unlisted company, the shares are valued using the price earnings ratio for similar listed companies. The trust shares the company's main bank account with the funds belonging to the Trust being ringfenced and amounts owed to the Trust being shown in creditors.

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by geographical market
UK
27,234,220
25,533,248
Europe
5,805,550
5,442,952
Rest of the world
243,017
227,838
33,282,787
31,204,038
2024
2023
£
£
Other revenue
Interest income
80,043
104,207
Dividends received
19,293
8,449
R&D tax credit
636,991
339,312
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 19 -
4
Operating profit
2024
2023
Operating profit for the year is stated after charging:
£
£
Exchange losses
58,800
28,912
Depreciation of owned tangible fixed assets
165,201
82,773
Operating lease charges
842,848
866,464
5
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
26,000
12,331
For other services
All other non-audit services
4,779
17,706
6
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2024
2023
Number
Number
Technical, management and sales
149
140
Administration
23
17
Total
172
157

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
14,651,291
13,280,570
Social security costs
1,905,933
1,687,099
Pension costs
745,883
740,786
17,303,107
15,708,455
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 20 -
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
785,289
1,003,936
Company pension contributions to defined contribution schemes
96,774
34,851
882,063
1,038,787

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 7 (2023 - 6).

Remuneration disclosed above include the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
341,550
210,192
Company pension contributions to defined contribution schemes
9,035
10,000
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
67,068
67,903
Other interest income
12,975
36,304
Total interest revenue
80,043
104,207
Other income from investments
Dividends received
19,293
8,449
Total income
99,336
112,656
2024
2023
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
80,043
68,751
Dividends from financial assets measured at fair value through profit or loss
19,293
8,449
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 21 -
9
Fair value gains/(losses) on investments
2024
2023
£
£
Gain/(loss) on disposal of investments held at fair value
266,270
(85,710)
Amounts (written off)/written back to investments held at fair value
(56,341)
186,236
209,929
100,526
10
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
1,868,178
1,855,360
Deferred tax
Origination and reversal of timing differences
81,000
189,000
Total tax charge
1,949,178
2,044,360

The corporation tax rate increased from 19% to 25% from 1 April 2023. As a result, the effective corporation tax rate for this year is 25% (2023: 23.5%).

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
9,863,843
8,392,083
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 23.50%)
2,465,961
1,972,140
Tax effect of expenses that are not deductible in determining taxable profit
(235,427)
(74,042)
Tax effect of income not taxable in determining taxable profit
(227,170)
(79,937)
Adjustments in respect of prior years
-
0
166,822
Double tax relief
(130,775)
-
0
Dividend income
(4,411)
(1,986)
Capital allowances in excess of depreciation
-
0
(127,637)
Deferred tax movement
81,000
189,000
Taxation charge for the year
1,949,178
2,044,360
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 22 -
11
Dividends
2024
2023
£
£
Interim paid
4,980,631
4,256,346
12
Tangible fixed assets
Leasehold improvements
Fixtures and fittings
Total
£
£
£
Cost
At 1 January 2024
1,019,329
824,405
1,843,734
Additions
17,896
236,202
254,098
At 31 December 2024
1,037,225
1,060,607
2,097,832
Depreciation and impairment
At 1 January 2024
566,000
526,192
1,092,192
Depreciation charged in the year
74,694
90,507
165,201
At 31 December 2024
640,694
616,699
1,257,393
Carrying amount
At 31 December 2024
396,531
443,908
840,439
At 31 December 2023
453,329
298,213
751,542
13
Fixed asset investments
2024
2023
£
£
Unlisted investments
2,867,790
2,625,593
Fixed asset investments revalued

Financial assets are measured at quoted market price in an active market.

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
13
Fixed asset investments
(Continued)
- 23 -
Movements in fixed asset investments
Investments
£
Cost or valuation
At 1 January 2024
2,625,593
Additions
3,106,829
Valuation changes
242,197
Income reinvested
32,268
Fund charges
(27,222)
Disposals
(3,111,875)
At 31 December 2024
2,867,790
Carrying amount
At 31 December 2024
2,867,790
At 31 December 2023
2,625,593
14
Financial instruments
2024
2023
£
£
Carrying amount of financial assets include:
Instruments measured at fair value through profit or loss
2,867,790
2,625,593

Financial assets are measured at quoted market price in an active market.

15
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
5,222,615
5,782,971
Amounts owed by contract customers
1,531,468
1,164,853
Corporation tax recoverable
306,415
220,817
Amounts owed by group undertakings
15,825
35,065
Other debtors
1,976
444
Prepayments and accrued income
829,984
628,579
7,908,283
7,832,729
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 24 -
16
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
142,778
239,894
Taxation and social security
1,528,688
1,460,063
Other creditors
740,541
1,180,548
Accruals and deferred income
4,577,830
5,977,500
6,989,837
8,858,005
17
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
193,000
173,000
Revaluations
92,000
31,000
285,000
204,000
2024
Movements in the year:
£
Liability at 1 January 2024
204,000
Charge to profit or loss
81,000
Liability at 31 December 2024
285,000
18
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
745,883
740,786

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.

At the balance sheet date the company had a commitment in respect of payments to the defined contribution pension scheme of £51,571 (2023 - £98,582).

FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 25 -
19
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
315,000
315,000
315,000
315,000
20
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within one year
448,354
426,985
Between two and five years
929,397
756,824
In over five years
13,551
540,377
1,391,302
1,724,186
21
Related party transactions
Transactions with related parties

During the year the company entered into the following transactions with related parties:

Sales
Purchases
2024
2023
2024
2023
£
£
£
£
Entities with control, joint control or significant influence over the company
302,048
215,948
549,460
917,548
Fellow subsidiaries
134,624
66,234
19,169
35,949

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due to related parties
£
£
Entities over which the entity has control, joint control or significant influence
23,756
-
Fichtner Employee Benefit Trust - A shareholder of the entity
728,504
1,170,914
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
21
Related party transactions
(Continued)
- 26 -

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due from related parties
£
£
Entities with control, joint control or significant influence over the company
9,993
35,065
Fellow subsidiaries
5,832
-
22
Ultimate controlling party

The ultimate controlling party is Fichtner GmbH & Co KG.

 

This is a company incorporated in Germany.

23
Cash generated from operations
2024
2023
£
£
Profit after taxation
7,914,665
6,347,723
Adjustments for:
Taxation charged
1,949,178
2,044,360
Investment income
(99,336)
(112,656)
Depreciation and impairment of tangible fixed assets
165,201
82,773
Other gains and losses
(209,929)
(100,526)
Movements in working capital:
Decrease in stocks
-
0
874,747
Decrease/(increase) in debtors
10,044
(3,808,260)
(Decrease)/increase in creditors
(1,868,168)
2,213,614
Cash generated from operations
7,861,655
7,541,775
24
Analysis of changes in net funds
1 January 2024
Cash flows
31 December 2024
£
£
£
Cash at bank and in hand
8,824,858
740,218
9,565,076
25
Prior period adjustment
Reconciliation of changes in equity
The prior period adjustments do not give rise to any effect upon equity.
FICHTNER CONSULTING ENGINEERS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
25
Prior period adjustment
(Continued)
- 27 -
Reconciliation of changes in profit for the previous financial period
2023
£
Total adjustments
-
Profit as previously reported
6,347,723
Profit as adjusted
6,347,723
Notes to reconciliation

The prior year adjustment is as a result of amounts owed by contract customers being shown as debtors as opposed to work in progress. This has affected note 15 debtors with no material adjustment being made to the profit and loss reserve.

2024-12-312024-01-01falsefalsefalseCCH SoftwareCCH Accounts Production 2024.310Dr E J WeatherbyMr P M EddyMr S M OthenMr D S AbernethyMr R J HawcuttMr T HerzigMr M WilferDr J AgnewMr E A FichtnerMr E A FichtnerMrs E L Edgley026053192024-01-012024-12-3102605319bus:Director12024-01-012024-12-3102605319bus:Director32024-01-012024-12-3102605319bus:Director42024-01-012024-12-3102605319bus:Director52024-01-012024-12-3102605319bus:CompanySecretaryDirector12024-01-012024-12-3102605319bus:Director62024-01-012024-12-3102605319bus:Director82024-01-012024-12-3102605319bus:Director92024-01-012024-12-3102605319bus:CompanySecretary12024-01-012024-12-3102605319bus:Director22024-01-012024-12-3102605319bus:Director72024-01-012024-12-3102605319bus:Director102024-01-012024-12-3102605319bus:RegisteredOffice2024-01-012024-12-31026053192024-12-31026053192023-01-012023-12-3102605319core:RetainedEarningsAccumulatedLosses2023-01-012023-12-3102605319core:RetainedEarningsAccumulatedLosses2024-01-012024-12-31026053192023-12-3102605319core:LeaseholdImprovements2024-12-3102605319core:FurnitureFittings2024-12-3102605319core:LeaseholdImprovements2023-12-3102605319core:FurnitureFittings2023-12-3102605319core:CurrentFinancialInstrumentscore:WithinOneYear2024-12-3102605319core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3102605319core:CurrentFinancialInstruments2024-12-3102605319core:CurrentFinancialInstruments2023-12-3102605319core:ShareCapital2024-12-3102605319core:ShareCapital2023-12-3102605319core:SharePremium2024-12-3102605319core:SharePremium2023-12-3102605319core:RetainedEarningsAccumulatedLosses2024-12-3102605319core:RetainedEarningsAccumulatedLosses2023-12-3102605319core:ShareCapital2022-12-3102605319core:SharePremium2022-12-3102605319core:RetainedEarningsAccumulatedLosses2022-12-31026053192023-12-31026053192022-12-3102605319core:LeaseholdImprovementscore:LeasedAssetsHeldAsLessee2024-01-012024-12-3102605319core:FurnitureFittings2024-01-012024-12-3102605319core:UKTax2024-01-012024-12-3102605319core:UKTax2023-01-012023-12-310260531912024-01-012024-12-310260531912023-01-012023-12-310260531922024-01-012024-12-310260531922023-01-012023-12-3102605319core:LeaseholdImprovements2023-12-3102605319core:FurnitureFittings2023-12-3102605319core:LeaseholdImprovements2024-01-012024-12-3102605319core:Non-currentFinancialInstrumentscore:UnlistedNon-exchangeTraded2024-12-3102605319core:Non-currentFinancialInstrumentscore:UnlistedNon-exchangeTraded2023-12-3102605319core:WithinOneYear2024-12-3102605319core:WithinOneYear2023-12-3102605319core:BetweenTwoFiveYears2024-12-3102605319core:BetweenTwoFiveYears2023-12-3102605319core:MoreThanFiveYears2024-12-3102605319core:MoreThanFiveYears2023-12-3102605319core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntitycore:SaleOrPurchaseGoods2024-01-012024-12-3102605319core:EntitiesWithJointControlOrSignificantInfluenceOverReportingEntitycore:SaleOrPurchaseGoods2023-01-012023-12-3102605319bus:PrivateLimitedCompanyLtd2024-01-012024-12-3102605319bus:FRS1022024-01-012024-12-3102605319bus:Audited2024-01-012024-12-3102605319bus:FullAccounts2024-01-012024-12-31xbrli:purexbrli:sharesiso4217:GBP