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REGISTERED NUMBER: 04676612 (England and Wales)















LINECROSS GROUP LIMITED

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2025






LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)






CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025




Page

Company Information 1

Group Strategic Report 2

Report of the Directors 6

Report of the Independent Auditors 8

Consolidated Income Statement 11

Consolidated Other Comprehensive Income 12

Consolidated Statement of Financial Position 13

Company Statement of Financial Position 14

Consolidated Statement of Changes in Equity 15

Company Statement of Changes in Equity 16

Consolidated Statement of Cash Flows 17

Notes to the Consolidated Statement of Cash Flows 18

Notes to the Consolidated Financial Statements 19


LINECROSS GROUP LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 JANUARY 2025







DIRECTORS: D T Austin BA, ACA
S D Fry C.Eng FIMechE





SECRETARY: D T Austin BA, ACA





REGISTERED OFFICE: Station Road
South Luffenham
Oakham
Rutland
LE15 8NG





REGISTERED NUMBER: 04676612 (England and Wales)





AUDITORS: Duncan & Toplis Audit Limited, Statutory Auditor
14 All Saints Street
Stamford
Lincolnshire
PE9 2PA

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2025

The directors present their strategic report of the company and the group for the year ended 31 January 2025.

The directors aim to present a balanced and comprehensive review of the development and performance of the group during the year and its position at the year end. The review is consistent with the non-complex nature and size of the group and the risks and uncertainties faced.

REVIEW OF BUSINESS
The headline results for the year and the three proceeding years are as follows:

Year to Year to Year to Year to
31 Jan'25 31 Jan'24 31 Jan'23 31 Jan'22
£    £    £    £   
Revenue 34,137 36,667 34,611 28,776
EBITDA 3,794 4,102 3,803 2,870
Operating profit 2,544 2,792 2,620 1,792
Profit for the year after tax 1,620 1,596 1,979 1,280

The stagnant macro-economic environment resulted in subdued underlying volumes from many of the group's customers during the year. In particular, the UK caravan and motorhome manufacturers made significant adjustments to volumes to realign to a prolonged period of weaker consumer demand. This impact to revenue was partially mitigated by two new long term automotive packages of work which began during the year. The net effect was for revenue from the supply of components to fall by just 3.7% from the prior year. Revenue from engineering services and tooling fell 30% in the year as a result of a delay in a customer commencing a new large program for which the group has been nominated. This work has now commenced and therefore this revenue will recover in the coming year.

The group's continued investment in new machinery and technology delivered improvements in labour and energy efficiencies which resulted in the gross profit for the year increasing to 15.2% (2024: 14.6%).

The group invested a further £1.6m in additional machinery and equipment during the year. This brings the total for the last three years to £6.8m and consequently the group has modern, efficient facilities with headroom for additional volumes across a wide range of polymer and polyurethane composite processes.

The group generated a net cash inflow from operating activities of £3.6m, which despite the capital additions of £1.6m enabled the group to reduce its debt by £1.3m. With shareholders' funds amounting to £13.2m gearing amounted to just 34% at the year end. The group continues to maintain significant financial headroom in order to both protect the group and its creditors from an unforeseen challenge, but also to have the resource to be able to react quickly should an appropriate opportunity arise.

KEY PERFORMANCE INDICATORS
The directors monitor the performance of the group through the use of a suite of key performance indicators (KPIs) which are aligned to the strategy of the group. These KPIs encompass all business disciplines and include such items as sales growth, product and process innovation, EBITDA, productivity and margins, cash generation and energy, health and safety and environmental performance. The directors are pleased with the performance achieved in the KPIs during the year.


FUTURE DEVELOPMENTS
The group has secured two substantial new prestige automotive nominations which will commence production supply in late 2026 and early 2027 and will provide regular production revenue to the group beyond 2030. Ahead of this there is a significant associated value of engineering and tooling work to complete over the next eighteen months.

As a consequence of the current low growth in the UK and global economies underlying demand is expected to remain subdued for at least the next six months. The group will continue to maintain a diligent control on costs, productivity and technology improvements and therefore the directors are confident the outlook for the coming year and beyond remains positive.


LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2025

PRINCIPAL RISKS AND UNCERTAINTIES
The main risks arising from the group's activities are liquidity risk, credit risk, currency risk, interest rate risk and competitor risk. The board reviews and agrees policies for managing each of these risks and they are summarised below.

Liquidity risk
The group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. Short term flexibility is achieved by overdraft and loan facilities.

Credit risk
The group seeks to manage its credit risk by dealing with established customers or otherwise checking the credit-worthiness of new customers, establishing clear contractual relationships with those customers and by identifying and addressing any credit issues arising in a timely manner.

Currency risk
The group is exposed to transaction foreign exchange risk. The directors seek, whenever possible, to use Sterling as the currency denomination when transacting with foreign suppliers. If considered necessary, transaction exposures including those associated with forecast transactions are hedged when known, principally using forward currency contracts. Whilst the aim is to achieve an economic hedge the group does not adopt an accounting policy of hedge accounting for these financial statements.

Interest rate risk
The group finances its operations through a combination of bank borrowings and finance leases. The group's exposure to interest rate fluctuations on its borrowings is managed by the use of both fixed and variable rate facilities.

Competitor risk
Competitive pressure is a continuing risk for the group. The group manages this risk by being agile and responsive to customer demands, maintaining strong relationships with customers and the supply chain and continually developing its products and processes through innovation and investment.



LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2025

SECTION 172(1) STATEMENT
The directors are bound by their duties under the Companies Act 2006 (the "Act") and understand each duty is in the interest of the overall success of the business. This statement sets out how the directors have regard to the matters set out in Section 172 of the Act whilst undertaking their roles, including but not limited to:

(a) the likely consequences of any decision in the long term;
(b) the interests of the group's employees;
(c) the need to foster the group's business relationships with customers, suppliers, and others;
(d) the impact of the group's operations on the community and the environment;
(e) the desirability of the group maintaining a reputation for high standards of business conduct; and
(f) need to act fairly as between members of the group.

The directors manage the group for the benefit of all stakeholders. In making decisions, the directors take into account their potential short and long-term implications. The objectives include the long-term sustainable growth and success of the business which will see the preservation and growth of assets whilst building long term relationships with the group's wider stakeholders. The directors maintain strong relationships with key financing partners thereby ensuring both short term working capital and longer term investment and growth requirements are fully funded.

The directors aim to maintain the strong reputation of the group and to ensure that decisions are made with the highest standard of business conduct in mind. Integrity is a key element of business behaviour throughout the group and the board of directors recognise that acting ethically and with integrity protects the reputation of the group, shareholders and stakeholders. The group is committed to maintaining the highest standard of ethics and compliance with all relevant laws and regulations.

The directors work to understand customer requirements and to develop the products and solutions our customers demand through innovation, investment and outstanding customer service.

The directors are committed to strong mutually beneficial relationships with the group's suppliers. The group seeks to work with suppliers who demonstrate high regard for the impact of their operations on communities and the environment.

The directors are committed to providing manufacturing practices that aim to minimise waste and achieve the group's carbon objectives. The directors are committed to providing a working environment that promotes our group employees' wellbeing and enables them to perform at their highest ability. The group invests in training, coaching and skills acquisition and aims to be transparent in its approach to pay and benefits. The health and safety of all staff, visitors and contractors is of paramount importance and therefore the directors maintain a comprehensive range of plans, procedures and controls to ensure the highest standards of health and safety are maintained at all times.


LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2025

CARBON AND ENERGY REPORT
The group is aware its activities associated with the development, manufacture, distribution and use of its products can have a direct or indirect influence on the environment, in particular carbon emissions contributing to global warming. Decarbonisation is therefore a priority for the group.

The group has developed a Carbon Management Plan which sets a roadmap for progress over the coming years. This plan was developed following a full carbon footprint calculation using 2022 data as the baseline. The group has set a target to reduce net emissions (excluding materials) to zero tCO2e by 2030.

As required by the Streamlined Energy and Carbon Reporting legislation, the table below summarises the carbon and energy consumed by the group during the financial year:

Energy GHG Energy GHG
Consumption Emissions Consumption Emissions
(MWh) (tCO2e) (MWh) (tCO2e)
Source of energy 2025 2025 2024 2024
Combustion of natural gas 323 59 283 52
Combustion of gas oil 737 191 587 152
Combustion of LPG 119 30 167 38
Combustion of fuel in vehicles 32 61 223 54
Refrigerant emissions - 13 - -
Scope 1 Total 1,211 354 1,260 296

Purchased electricity 3,854 798 4,489 930
Scope 2 Total 3,854 798 4,489 930

Grand Total 5,065 1,152 5,749 1,226

Intensity ratio (per production
kg consumed)
2.32 (kWh/kg) 0.53 (kgCO2e/kg) 2.31 (kWh/kg) 0.49 (kgCO2e/kg)

The calculation methodology is based upon templates provided by the British Plastics Federation and all conversion factors and fuel properties have been taken from the UK Government Greenhouse Gas Conversion Factors for Company Reporting database.

The group achieved reductions of 11.9% in energy consumption and 6% in green house gas emissions compared to the prior year. The fall in production kgs consumed resulted in the intensity ratios remaining broadly unchanged which is considered acceptable as energy efficiencies ordinarily decline as production volumes fall. The group's investment in electrical voltage optimisation equipment and the continued electrification of its vehicle and forklift truck fleet have contributed to the progress.

ON BEHALF OF THE BOARD:





D T Austin BA, ACA - Director


27 March 2025

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 JANUARY 2025

The directors present their report with the financial statements of the company and the group for the year ended 31 January 2025.

PRINCIPAL ACTIVITIES
The principal activities of the group in the year under review were those of the manufacture of technical plastic thermoformings, injection mouldings and polyurethane components together with associated tooling and engineering services.

DIVIDENDS
Interim dividends of £8 and £6 per share were declared and paid on 19 April 2024 and 24 January 2025 respectively.

The total distribution of dividends for the year ended 31 January 2025 will be £835,002. The directors recommend that no final dividend be paid.

RESEARCH AND DEVELOPMENT
It is the board's intention that the group shall remain in the forefront of innovation in its products and markets through a continuing programme of research and development in collaboration with its strategic customers and suppliers.

FUTURE DEVELOPMENTS
Information on future developments is presented within the Strategic Report and information on events since the year end is presented within the notes to the financial statements.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 February 2024 to the date of this report.

D T Austin BA, ACA
S D Fry C.Eng FIMechE

EMPLOYEE CONSULTATION
It is the policy of the group to keep its employees fully informed on all matters relevant to them through regular information and consultation meetings. By doing so, employees' views are considered in decisions that are likely to affect their interests and employees' participation in the group's performance is encouraged.

DISABLED EMPLOYEES
Full and fair consideration is always given to applications for employment by disabled persons. In the event of a member of staff becoming disabled, every effort is made to ensure their employment with the group continues and appropriate adjustments and training are provided where necessary. It is the policy of the group that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS
Details of how the directors have had regard to the need to foster the group's relationships with suppliers, customers and others with whom it has a business relationship can be found in the S172(1) Statement within the Strategic Report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained
in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 JANUARY 2025


STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group'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 group's auditors are aware of that information.

ON BEHALF OF THE BOARD:





D T Austin BA, ACA - Director


27 March 2025

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
LINECROSS GROUP LIMITED

Opinion
We have audited the financial statements of Linecross Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 January 2025 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 January 2025 and of the group's profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
LINECROSS GROUP LIMITED


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent company 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 Statement of Directors' Responsibilities set out on page six, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with directors and other management obtained as part of the work required by auditing standards. We have also discussed with the directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit. The potential impact of different laws and regulations varies considerably.

Firstly, the group is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates as well as the risk of inappropriate journal entries to increase reported profitability. Audit procedures performed by the engagement team included the identification and testing of unusual material journal entries and challenging management on key estimates, assumptions and judgements made in the preparation of the financial statements. We carried out substantive tests on accounting estimates, including reviewing the methods and data used by management to make those estimates, reperforming the calculation and reviewing the outcome of current year estimates since the financial reporting date.

Secondly, the group is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Health and safety regulations, employment law and environmental regulations. Our work included a review of any regulatory reporting within the year for any evidence of non-compliance and reading any minutes of management meetings, in addition to an assessment of the group's legal expenses and possible contingencies. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
LINECROSS GROUP LIMITED


Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, international omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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

Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Mark Hindmarch BSc ACA (Senior Statutory Auditor)
for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor
14 All Saints Street
Stamford
Lincolnshire
PE9 2PA

27 March 2025

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 JANUARY 2025

2025 2024
Notes £    £    £    £   

REVENUE 3 34,136,819 36,666,680

Cost of sales 28,932,888 31,321,213
GROSS PROFIT 5,203,931 5,345,467

Distribution costs 1,149,006 1,223,693
Administrative expenses 1,510,936 1,329,343
2,659,942 2,553,036
OPERATING PROFIT 5 2,543,989 2,792,431

Interest receivable and similar income 6 11,845 -
2,555,834 2,792,431

Interest payable and similar expenses 7 431,951 435,273
PROFIT BEFORE TAXATION 2,123,883 2,357,158

Tax on profit 8 503,890 760,869
PROFIT FOR THE FINANCIAL YEAR 1,619,993 1,596,289
Profit attributable to:
Owners of the parent 1,619,993 1,596,289

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

CONSOLIDATED OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JANUARY 2025

2025 2024
Notes £    £   

PROFIT FOR THE YEAR 1,619,993 1,596,289


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 1,619,993 1,596,289

Total comprehensive income attributable to:
Owners of the parent 1,619,993 1,596,289

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
31 JANUARY 2025

2025 2024
Notes £    £    £    £   
FIXED ASSETS
Property, plant and equipment 11 13,406,430 13,098,049
Investments 12 - -
13,406,430 13,098,049

CURRENT ASSETS
Inventories 13 5,108,127 4,906,510
Debtors 14 5,928,496 6,174,272
Cash at bank 8,912 12,744
11,045,535 11,093,526
CREDITORS
Amounts falling due within one year 15 7,009,925 6,724,438
NET CURRENT ASSETS 4,035,610 4,369,088
TOTAL ASSETS LESS CURRENT LIABILITIES 17,442,040 17,467,137

CREDITORS
Amounts falling due after more than one year 16 (2,447,658 ) (3,394,193 )

PROVISIONS FOR LIABILITIES 21 (1,781,285 ) (1,644,838 )
NET ASSETS 13,213,097 12,428,106

CAPITAL AND RESERVES
Called up share capital 22 59,643 59,643
Revaluation reserve 23 1,260,506 1,260,506
Capital redemption reserve 23 40,357 40,357
Retained earnings 23 11,852,591 11,067,600
SHAREHOLDERS' FUNDS 13,213,097 12,428,106

The financial statements were approved by the Board of Directors and authorised for issue on 27 March 2025 and were signed on its behalf by:





D T Austin BA, ACA - Director


LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

COMPANY STATEMENT OF FINANCIAL POSITION
31 JANUARY 2025

2025 2024
Notes £    £   
FIXED ASSETS
Property, plant and equipment 11 - -
Investments 12 804,000 804,000
804,000 804,000
TOTAL ASSETS LESS CURRENT LIABILITIES 804,000 804,000

CREDITORS
Amounts falling due after more than one year 16 677,017 678,265
NET ASSETS 126,983 125,735

CAPITAL AND RESERVES
Called up share capital 22 59,643 59,643
Capital redemption reserve 23 40,357 40,357
Retained earnings 23 26,983 25,735
SHAREHOLDERS' FUNDS 126,983 125,735

Company's profit for the financial year 836,250 780,000

The financial statements were approved by the Board of Directors and authorised for issue on 27 March 2025 and were signed on its behalf by:





D T Austin BA, ACA - Director


LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JANUARY 2025

Called up Capital
share Retained Revaluation redemption Total
capital earnings reserve reserve equity
£    £    £    £    £   
Balance at 1 February 2023 59,643 10,246,670 1,260,506 40,357 11,607,176

Changes in equity
Dividends - (775,359 ) - - (775,359 )
Total comprehensive income - 1,596,289 - - 1,596,289
Balance at 31 January 2024 59,643 11,067,600 1,260,506 40,357 12,428,106

Changes in equity
Dividends - (835,002 ) - - (835,002 )
Total comprehensive income - 1,619,993 - - 1,619,993
Balance at 31 January 2025 59,643 11,852,591 1,260,506 40,357 13,213,097

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JANUARY 2025

Called up Capital
share Retained redemption Total
capital earnings reserve equity
£    £    £    £   
Balance at 1 February 2023 59,643 21,094 40,357 121,094

Changes in equity
Dividends - (775,359 ) - (775,359 )
Total comprehensive income - 780,000 - 780,000
Balance at 31 January 2024 59,643 25,735 40,357 125,735

Changes in equity
Dividends - (835,002 ) - (835,002 )
Total comprehensive income - 836,250 - 836,250
Balance at 31 January 2025 59,643 26,983 40,357 126,983

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 JANUARY 2025

2025 2024
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 3,965,985 4,555,607
Interest paid (431,951 ) (435,273 )
Tax paid 63,425 (140,001 )
Net cash from operating activities 3,597,459 3,980,333

Cash flows from investing activities
Purchase of tangible fixed assets (1,630,905 ) (3,500,490 )
Sale of tangible fixed assets 72,103 9,418
Interest received 11,845 -
Net cash from investing activities (1,546,957 ) (3,491,072 )

Cash flows from financing activities
Loan advancements - 2,000,000
Capital loan repayments (200,004 ) (2,137,424 )
Movement on invoice financing facility (149,191 ) 43,210
HP financing advancements 20,000 1,285,500
Capital HP repayments (1,000,637 ) (1,025,078 )
Amounts introduced by directors 603,500 320,000
Amounts withdrawn by directors (493,000 ) (190,000 )
Equity dividends paid (835,002 ) (775,359 )
Net cash from financing activities (2,054,334 ) (479,151 )

(Decrease)/increase in cash and cash equivalents (3,832 ) 10,110
Cash and cash equivalents at beginning of year 2 12,744 2,634

Cash and cash equivalents at end of year 2 8,912 12,744

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 JANUARY 2025

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025 2024
£    £   
Profit before taxation 2,123,883 2,357,158
Depreciation charges 1,262,828 1,319,401
Profit on disposal of fixed assets (12,407 ) (9,418 )
Finance costs 431,951 435,273
Finance income (11,845 ) -
3,794,410 4,102,414
Increase in inventories (201,617 ) (366,376 )
Decrease in trade and other debtors 189,104 1,079,738
Increase/(decrease) in trade and other creditors 184,088 (260,169 )
Cash generated from operations 3,965,985 4,555,607

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 January 2025
31.1.25 1.2.24
£    £   
Cash and cash equivalents 8,912 12,744
Year ended 31 January 2024
31.1.24 1.2.23
£    £   
Cash and cash equivalents 12,744 2,634


3. ANALYSIS OF CHANGES IN NET DEBT

At 1.2.24 Cash flow At 31.1.25
£    £    £   
Net cash
Cash at bank 12,744 (3,832 ) 8,912
12,744 (3,832 ) 8,912
Debt
Finance leases (2,738,901 ) 980,637 (1,758,264 )
Debts falling due within 1 year (1,490,812 ) 149,191 (1,341,621 )
Debts falling due after 1 year (1,649,993 ) 200,004 (1,449,989 )
(5,879,706 ) 1,329,832 (4,549,874 )
Total (5,866,962 ) 1,326,000 (4,540,962 )

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025

1. STATUTORY INFORMATION

Linecross Group Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Financial Reporting Standard 102 - reduced disclosure exemptions
The parent company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

- the requirements of Section 7 Statement of Cash Flows;

-
the requirements of Section 11 Financial Instruments paragraphs 11.41(b), 11.41(c), 11.41(e), 11.41(f), 11.42, 11.44,
11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c)

The disclosures above are incorporated within these consolidated financial statements.

Basis of consolidation
The group accounts consolidate the accounts of Linecross Group Limited and all of its subsidiary undertakings using the equity method. The accounts of all group undertakings are prepared to 31 January 2025. Subsidiaries are entities controlled by the group.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the group's accounting policies, management are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 items in the financial statements subject to judgements, estimates and assumptions include:

i) Long term tooling projects
The directors estimate the stage of completion of long term tooling projects included in work in progress based on their knowledge of previous similar projects and by comparison to the detailed tooling budgets prepared.

ii) Overhead absorption rates
The overhead absorption rate applied to work in progress and finished goods is based on the labour and allowable direct overhead costs for the last three months. The directors consider that three months is appropriate as this is approximately the length of time taken for stock items to be completed and sold.

Revenue
Revenue arises from the sales of goods and services. It is stated at the fair value of the consideration receivable, net of value added tax, rebates and discounts.

Revenue from the sale of goods is recognised when the significant risks and benefits of ownership of the product have transferred to the buyer, which may be upon shipment, completion of the product or the product being ready for delivery, based on specific contract terms.

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Plant and equipment assets are held at cost less accumulated depreciation and impairment.

Depreciation is provided at varying rates between 33% and 6.67% on cost for plant, machinery and equipment and varying rates between 33% and 20% for vehicles in order to write off each asset over its estimated useful life.

The group has adopted a policy of revaluing freehold property. The revalued amounts equate to the fair value at the date of the revaluation, less any depreciation or impairment losses subsequently accumulated. Revaluations are carried out regularly so the carrying amounts do not materially differ from using the fair value at the statement of financial position date. Any revaluation increase or decrease on freehold property is recognised through other comprehensive income in the revaluation reserve.

The directors are of the opinion that the residual value of the freehold property is such that depreciation would not be material.

Inventories and work in progress
Stocks and work in progress are stated at the lower of cost and fair value less costs to complete and sell after making due allowance for slow moving and obsolete items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Work in progress is valued on the basis of direct cost plus attributable overheads based on normal level of activity.

The directors have considered the accounting of certain items of work in progress relating to long term contracts. These items have been classified as amounts recoverable on contracts within debtors. This adjustment has no impact on profit.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Research and development
Expenditure on research and development is written off in the year in which it is incurred.


Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

2. ACCOUNTING POLICIES - continued

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the Statement of Financial Position. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leased are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to the Income Statement over the relevant period. The capital element of the future payments is treated as a liability.

Pension costs and other post-retirement benefits
The company contributes to employees' personal pension plans, which are money purchase schemes. Contributions are charged to the income statement as incurred.

Financial instruments
The group has adopted the Sections 11 and 12 of FRS 102 in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, 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.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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.

Basic financial liabilities, including trade and other 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 receipts discounted at a market rate of interest.

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. Accounts 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.

Amounts recoverable on contracts
Profit on contracting activities is taken as work progresses. The profit included is calculated on a reasonable basis to reflect the value of work carried out by the year end and is stated at the lower of the margin earned to date and that forecast at completion, taking account of agreed claims.

Provision is made for any foreseeable losses where appropriate.

The amount by which recorded revenue is in excess of payments on account is disclosed as amounts recoverable on contracts.

Investments in subsidiary undertakings (parent)
Investments in subsidiary undertakings are recognised at cost in the parent company's financial statements.

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

3. REVENUE

The revenue and profit before taxation are attributable to the principal activities of the group.

An analysis of revenue by geographical market is given below:

2025 2024
£    £   
United Kingdom 31,591,566 34,487,349
Europe 1,891,603 1,587,118
Rest of the world 653,650 592,213
34,136,819 36,666,680

4. EMPLOYEES AND DIRECTORS
2025 2024
£    £   
Wages and salaries 8,970,397 8,994,647
Social security costs 772,858 696,284
Other pension costs 345,829 357,651
10,089,084 10,048,582

The average number of employees during the year was as follows:
2025 2024

Production staff 234 247
Sales and administrative staff 59 57
293 304

2025 2024
£    £   
Directors' remuneration 299,506 293,480
Directors' pension contributions to money purchase schemes 18,000 20,000

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

Information regarding the highest paid director is as follows:
2025 2024
£    £   
Emoluments etc 150,525 148,103
Pension contributions to money purchase schemes 9,000 10,000

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

5. OPERATING PROFIT

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

2025 2024
£    £   
Depreciation - owned assets 871,329 789,741
Depreciation - assets on hire purchase contracts 391,499 529,660
Profit on disposal of fixed assets (12,407 ) (9,418 )
Auditors' remuneration 29,450 30,350
Foreign exchange differences (40,420 ) (38,449 )
Operating lease rentals 329,413 321,702

6. INTEREST RECEIVABLE AND SIMILAR INCOME
2025 2024
£    £   
Interest from taxation 11,845 -

7. INTEREST PAYABLE AND SIMILAR EXPENSES
2025 2024
£    £   
Hire purchase interest 145,522 176,433
Bank and loan interest 286,429 258,840
431,951 435,273

8. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2025 2024
£    £   
Current tax:
UK corporation tax 374,196 15,041
Adjustment for previous period (6,753 ) 21,238
Total current tax 367,443 36,279

Deferred tax 136,447 724,590
Tax on profit 503,890 760,869

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

8. TAXATION - continued

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2025 2024
£    £   
Profit before tax 2,123,883 2,357,158
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2024 -
25 %)

530,971

589,290

Effects of:
Expenses not deductible for tax purposes 5,023 6,851
Income not taxable for tax purposes (6,425 ) (3,889 )
Capital allowances in excess of depreciation (142 ) (136,520 )
Adjustments to tax charge in respect of previous periods (6,753 ) 21,238
Research and development enhanced deduction (15,823 ) (6,706 )
Change in rate of deferred tax - 290,605
Interest received (2,961 ) -
Total tax charge 503,890 760,869

9. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.


10. DIVIDENDS
2025 2024
£    £   
Interim 835,002 775,359

11. PROPERTY, PLANT AND EQUIPMENT

Group
Vehicles
Freehold Plant and and
property machinery equipment Totals
£    £    £    £   
COST OR VALUATION
At 1 February 2024 4,706,490 15,821,782 2,569,290 23,097,562
Additions - 1,225,733 405,172 1,630,905
Disposals - (539,063 ) (378,199 ) (917,262 )
At 31 January 2025 4,706,490 16,508,452 2,596,263 23,811,205
DEPRECIATION
At 1 February 2024 - 8,544,457 1,455,056 9,999,513
Charge for year - 934,048 328,780 1,262,828
Eliminated on disposal - (538,699 ) (318,867 ) (857,566 )
At 31 January 2025 - 8,939,806 1,464,969 10,404,775
NET BOOK VALUE
At 31 January 2025 4,706,490 7,568,646 1,131,294 13,406,430
At 31 January 2024 4,706,490 7,277,325 1,114,234 13,098,049

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

11. PROPERTY, PLANT AND EQUIPMENT - continued

Group

Included within the net book value is £3,586,167 (2024 - £3,939,151) relating to assets held under finance leases and hire purchase agreements.

Cost or valuation at 31 January 2025 is represented by:

Vehicles
Freehold Plant and and
property machinery equipment Totals
£    £    £    £   
Valuation in 2023 650,044 - - 650,044
Cost 4,056,446 16,508,452 2,596,263 23,161,161
4,706,490 16,508,452 2,596,263 23,811,205

If freehold property had not been revalued it would have been included at the following historical cost:

2025 2024
£    £   
Cost 4,056,446 4,056,446
Aggregate depreciation 770,835 689,121

Freehold property was valued on an open market basis on 19 January 2023 by BNP Paribas Real Estate .

Having assessed local market data, the directors do not consider that the valuation of freehold property would have materially changed between 19 January 2023 and 31 January 2025. In accordance with the RICS valuation standards, the valuations were prepared having regard to the market based evidence for similar properties in the local area, subject to occupational leases where relevant.


12. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 February 2024
and 31 January 2025 804,000
NET BOOK VALUE
At 31 January 2025 804,000
At 31 January 2024 804,000

The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Subsidiaries

Linecross Limited 02523619
Registered office: Station Road, South Luffenham, Oakham, Rutland, LE15 8NG
Nature of business: Manufacturing
%
Class of shares: holding
Ordinary 100.00

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

12. FIXED ASSET INVESTMENTS - continued

Linecross Composites Limited 03847067
Registered office: Station Road, South Luffenham, Oakham, Rutland, LE15 8NG
Nature of business: Dormant
%
Class of shares: holding
Ordinary 100.00

The shares in Linecross Composites Limited are held by Linecross Limited.


13. INVENTORIES

Group
2025 2024
£    £   
Raw materials 2,824,750 2,810,537
Work-in-progress 1,326,588 1,182,821
Finished goods 956,789 913,152
5,108,127 4,906,510

Inventories are stated after provisions for impairment of £140,707 (2024 - £199,449).

The directors are of the opinion that there is no material difference between the purchased cost of stocks shown above and their replacement cost.

14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
2025 2024
£    £   
Trade debtors 5,549,558 5,754,559
Corporation tax - 56,672
Prepayments and accrued income 378,938 363,041
5,928,496 6,174,272

Trade debtors are subject to invoice financing. Where applicable, funds advanced for invoice financing are recorded within creditors.

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
2025 2024
£    £   
Bank loans (see note 17) 200,004 200,004
Invoice financing facility (see note 17) 1,141,617 1,290,808
Hire purchase contracts (see note 18) 760,595 994,701
Trade creditors 1,887,984 2,299,336
Corporation tax 374,196 -
Social security and other taxes 741,888 568,444
Directors' loan accounts 562,500 452,000
Accruals and deferred income 1,341,141 919,145
7,009,925 6,724,438

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

16. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Group Company
2025 2024 2025 2024
£    £    £    £   
Bank loans (see note 17) 1,449,989 1,649,993 - -
Hire purchase contracts (see note 18) 997,669 1,744,200 - -
Amounts owed to group undertakings - - 677,017 678,265
2,447,658 3,394,193 677,017 678,265

17. LOANS

An analysis of the maturity of loans is given below:

Group
2025 2024
£    £   
Amounts falling due within one year or on demand:
Bank loans 200,004 200,004
Invoice financing facility 1,141,617 1,290,808
1,341,621 1,490,812
Amounts falling due between one and two years:
Bank loans - 1-2 years 200,004 200,004
Amounts falling due between two and five years:
Bank loans - 2-5 years 1,249,985 1,449,989

Bank loans are repayable in instalments. Interest is charged at 1.55% over the Bank of England base rate.

18. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
2025 2024
£    £   
Net obligations repayable:
Within one year 760,595 994,701
Between one and five years 997,669 1,744,200
1,758,264 2,738,901

Group
Non-cancellable operating leases
2025 2024
£    £   
Within one year 363,850 285,469
Between one and five years 715,178 556,895
1,079,028 842,364

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

19. SECURED DEBTS

The following secured debts are included within creditors:

Group
2025 2024
£    £   
Bank loans 1,649,993 1,849,997
Hire purchase contracts 1,758,264 2,738,901
Invoice financing facility 1,141,617 1,290,808
4,549,874 5,879,706

Bank loans are secured by a fixed and floating charge over the company's assets and a cross guarantee between Linecross Limited and its ultimate parent.

Hire purchase contracts are secured against the assets to which they relate.

The group utilises an invoice discounting facility which is secured over the debts to which it relates.

20. FINANCIAL INSTRUMENTS

The group has the following financial instruments:
2025 2024
£ £
Financial assets that are debt instruments measured at amortised cost
Trade debtors 5,549,558 5,754,559

Financial liabilities measured at amortised cost
Bank loans and invoice financing facilities 2,791,610 3,140,805
Hire purchase contracts 1,758,264 2,738,901
Trade creditors 1,887,984 2,299,336
Directors' loan accounts 562,500 452,000

The total interest expense for financial assets and financial liabilities that are not measured at fair value through the Income Statement was £431,951 (2024 - £435,273).

21. PROVISIONS FOR LIABILITIES

Group
2025 2024
£    £   
Deferred tax
Accelerated capital allowances 1,781,285 1,644,838

Group
Deferred
tax
£   
Balance at 1 February 2024 1,644,838
Charge to Income Statement during year 136,447
Balance at 31 January 2025 1,781,285

The reversal of deferred taxation timing differences is not expected to be significant in the forthcoming period.

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

22. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2025 2024
value: £    £   
59,643 Ordinary £1 59,643 59,643

23. RESERVES

Group
Capital
Retained Revaluation redemption
earnings reserve reserve Totals
£    £    £    £   

At 1 February 2024 11,067,600 1,260,506 40,357 12,368,463
Profit for the year 1,619,993 1,619,993
Dividends (835,002 ) (835,002 )
At 31 January 2025 11,852,591 1,260,506 40,357 13,153,454

Company
Capital
Retained redemption
earnings reserve Totals
£    £    £   

At 1 February 2024 25,735 40,357 66,092
Profit for the year 836,250 836,250
Dividends (835,002 ) (835,002 )
At 31 January 2025 26,983 40,357 67,340

Retained earnings reserve
The retained earnings reserve represents cumulative profit and loss net of dividends and other adjustments.

Revaluation reserve
The aggregate surplus on re-measurement of freehold property, net of associated deferred tax, is transferred to a separate non-distributable revaluation reserve in order to assist with the identification of profits available for distribution.

Capital redemption reserve
The capital redemption reserve is a non-distributable reserve into which amounts are transferred following the redemption or purchase of the company's own shares from distributable profits.

24. CONTINGENT LIABILITIES

The company is party to a cross guarantee with it's fellow group companies, Linecross Limited and Linecross Composites Limited to secure the bank borrowings of the group.

25. CAPITAL COMMITMENTS
2025 2024
£    £   
Contracted but not provided for in the
financial statements 23,934 253,462

LINECROSS GROUP LIMITED (REGISTERED NUMBER: 04676612)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 JANUARY 2025

26. RELATED PARTY DISCLOSURES

At the reporting date loans totalling £562,500 (2024 - £452,000) were owed by the group to the directors. These loans are unsecured and repayable on demand. Interest is charged daily at a rate of 2.5% above the Bank of England base rate. During the year interest totalling £39,961 (2024 - £nil) was charged. Interest was waived in the prior year.

During the year, a director purchased fixed assets at market value from the group for £34,500 (2024 - £nil).

During the year, a total of key management personnel compensation of £548,418 (2024 - £569,714) was paid.

27. ULTIMATE CONTROLLING PARTY

There is no single ultimate controlling party.