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Registration number: 05650507

Environmental Integrated Solutions Limited

Annual Report and Financial Statements

for the Year Ended 30 December 2023

 

Environmental Integrated Solutions Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3

Statement of Directors' Responsibilities

4

Independent Auditor's Report

5 to 8

Profit and Loss Account

9

Statement of Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Statement of Cash Flows

13

Notes to the Financial Statements

14 to 23

 

Environmental Integrated Solutions Limited

Company Information

Directors

T R Gleason

P K Johansson

D A Barker

J Watkins-Asiyanbi

J J Woodus

Company secretary

J Turner

Registered office

15 The Courtyard
Buntsford Drive
Bromsgrove
Worcestershire
B60 3DJ

Bankers

Citibank
Citibank, N.A., London Branch
Citigroup Centre 2
25 Canada Square
London
E14 5LB

Auditors

Lambert Chapman LLP
3 Warners Mill
Silks Way
Braintree
Essex
CM7 3GB

 

Environmental Integrated Solutions Limited

Strategic Report for the Year Ended 30 December 2023

The directors present their strategic report for the year ended 30 December 2023.

Principal activity

The principal activity of the company is Industrial Air Pollution Control

Fair review of the business


During 2023, turnover was £17.471m (2022: £15.557m). The gross margin was 24.2%, a 4.1% increase over the previously reported period.

The Company employs a range of indicators to monitor performance monthly, quarterly and year on year. Core indicators of sales, margins, profitability, and financial stability are periodically augmented by KPls specific to improvement projects.

The company's key financial and other performance indicators during the year were as follows:

Financial KPIs

Unit

2023

2022

Sales growth

%

12

12

Net profit margin

%

11

10

EBITDA

£000

2,499

2,016

Principal risks and uncertainties

Within the business there are a number of normal commercial risks which may affect the performance of the Company.

These risks are subject to regular review and, where appropriate, processes are established to minimise the level of exposure.

Operating expenses - these are continually monitored. A budget is prepared annually, and forecasts are prepared monthly. Revenue and expenses are reviewed each month against forecast.

Working capital - this is part of the annual budget and monthly forecasts. Contractual terms are monitored closely to ensure invoices are billed and collected per the terms and conditions agreed to. Environmental Industrial Solutions is effective at matching contractual terms from customers with the terms given to subcontractors to manage cash flow.

Financial risk - credit risk is addressed by carrying out regular credit checks of our customers with a reputable credit risk agency.

Currency risk - the growing level of trade with overseas companies leads to an increased risk from currency movements. The company aims to mitigate the risk by transacting in the same currencies throughout each contract wherever possible.

Ukraine War - Management has reviewed the current situation in Ukraine carefully and confirmed that this will not have a direct impact in the day-to-day operations of the company. Management is also aware that there may be indirect impact on the company's operational activity such as increase in expense, however management does not consider that these will have any significant impact.

Approved by the Board on 28 March 2025 and signed on its behalf by:


P K Johansson
Director

 

Environmental Integrated Solutions Limited

Directors' Report for the Year Ended 30 December 2023

The directors present their report and the financial statements for the year ended 30 December 2023.

Directors of the company

The directors who held office during the year were as follows:

T R Gleason

P K Johansson

D A Barker

J Watkins-Asiyanbi

J J Woodus (appointed 27 November 2023)

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Reappointment of auditors

In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Lambert Chapman LLP as auditors of the company is to be proposed at the forthcoming Annual General Meeting.

Approved by the Board on 28 March 2025 and signed on its behalf by:


P K Johansson
Director

 

Environmental Integrated Solutions Limited

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities 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:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

Environmental Integrated Solutions Limited

Independent Auditor's Report to the Members of
Environmental Integrated Solutions Limited

Opinion

We have audited the financial statements of Environmental Integrated Solutions Limited (the 'company') for the year ended 30 December 2023, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the company's affairs as at 30 December 2023 and of its profit for the year then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor 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 director's 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 original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

 

Environmental Integrated Solutions Limited

Independent Auditor's Report to the Members of
Environmental Integrated Solutions Limited

Opinion on other matter prescribed by the Companies Act 2006

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

the information given in the Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our 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 and the Directors' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page 4, 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 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.

 

Environmental Integrated Solutions Limited

Independent Auditor's Report to the Members of
Environmental Integrated Solutions Limited

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. 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:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and from our knowledge and experience of the sector within which the company operates;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, employment and health and safety legislation.

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

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

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

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

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

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

- agreeing financial statement disclosures to underlying supporting documentation;

- enquiring of management as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed the 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.

 

Environmental Integrated Solutions Limited

Independent Auditor's Report to the Members of
Environmental Integrated Solutions Limited

A further description of our responsibilities is available on the Financial Reporting Council’s website at: 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.





Lisa Greenwood FCCA (Senior Statutory Auditor)
For and on behalf of Lambert Chapman LLP, Statutory Auditor

3 Warners Mill
Silks Way
Braintree
Essex
CM7 3GB

28 March 2025

 

Environmental Integrated Solutions Limited

Profit and Loss Account for the Year Ended 30 December 2023

Note

2023
£

2022
£

Turnover

3

17,470,730

15,556,771

Cost of sales

 

(13,239,683)

(12,426,011)

Gross profit

 

4,231,047

3,130,760

Administrative expenses

 

(1,733,534)

(1,117,392)

Operating profit

5

2,497,513

2,013,368

Other interest receivable and similar income

6

-

703

Profit before tax

 

2,497,513

2,014,071

Tax on profit

10

(561,630)

(452,919)

Profit for the financial year

 

1,935,883

1,561,152

The above results were derived from continuing operations.

The company has no recognised gains or losses for the year other than the results above.

 

Environmental Integrated Solutions Limited

Statement of Comprehensive Income for the Year Ended 30 December 2023

2023
£

2022
£

Profit for the year

1,935,883

1,561,152

Total comprehensive income for the year

1,935,883

1,561,152

 

Environmental Integrated Solutions Limited

(Registration number: 05650507)
Balance Sheet as at 30 December 2023

Note

2023
£

(As restated)

2022
£

Fixed assets

 

Tangible assets

11

11,880

14,012

Investments

12

-

36,555

 

11,880

50,567

Current assets

 

Stocks

13

265,866

331,552

Debtors

14

11,052,411

8,347,732

Cash at bank and in hand

 

1,196,617

1,428,807

 

12,514,894

10,108,091

Creditors: Amounts falling due within one year

16

(5,794,654)

(5,364,796)

Net current assets

 

6,720,240

4,743,295

Total assets less current liabilities

 

6,732,120

4,793,862

Provisions for liabilities

17

(2,971)

(596)

Net assets

 

6,729,149

4,793,266

Capital and reserves

 

Called up share capital

250,316

250,316

Retained earnings

6,478,833

4,542,950

Shareholders' funds

 

6,729,149

4,793,266

Approved and authorised by the Board on 28 March 2025 and signed on its behalf by:
 

.........................................
P K Johansson
Director

   
     
 

Environmental Integrated Solutions Limited

Statement of Changes in Equity for the Year Ended 30 December 2023

Retained earnings
£

Total
£

At 31 December 2022

4,542,950

4,542,950

Profit for the year

1,935,883

1,935,883

At 30 December 2023

6,478,833

6,478,833


 

Retained earnings
£

Total
£

At 30 December 2021

2,981,798

2,981,798

Profit for the year

1,561,152

1,561,152

At 30 December 2022

4,542,950

4,542,950


 


 

 

Environmental Integrated Solutions Limited

Statement of Cash Flows for the Year Ended 30 December 2023

2023
£

(As restated)

2022
£

Cash flows from operating activities

Profit for the year

1,935,883

1,561,152

Adjustments to cash flows from non-cash items

Depreciation and amortisation

2,131

2,500

Loss from disposals of investments

36,555

-

Finance income

-

(703)

Income tax expense

561,630

452,919

2,536,199

2,015,868

Working capital adjustments

Decrease in stocks

65,686

1,122,127

(Increase) in debtors

(1,940,991)

(3,218,383)

Increase/(decrease) in creditors

570,325

(1,008,185)

Cash generated from operations

1,231,219

(1,088,573)

Income taxes paid

(699,721)

(302,219)

Net cash flow from operating activities

531,498

(1,390,792)

Cash flows from investing activities

Interest received

-

703

Loans made to parent company

(763,688)

-

Net cash flows from investing activities

(763,688)

703

Net decrease in cash and cash equivalents

(232,190)

(1,390,089)

Cash and cash equivalents at 31 December 2022

1,428,807

2,818,896

Cash and cash equivalents at 30 December

1,196,617

1,428,807

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

1

General information

The company is a private company limited by share capital, incorporated in England & Wales.

The trading and registered office address is: 15 The Courtyard, Buntsford Drive, Bromsgrove, Worcestershire, B60 3DJ, England.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention.

These financial statements are presented in Sterling (£), which is the company's functional currency.

Going concern

The financial statements have been prepared on a going concern basis.

Prior period errors

The Balance Sheet for the year ended 30 December 2022 has been restated. An adjustment has been made to reclassify the amounts due to and from customers for contract work. These amounts were both previously shown within work in progress. The adjustment made was to increase work in progress by £38,576, increase debtors by £367,582, with a corresponding increase in creditors of £406,158. This has no impact on the net current assets, nor the net assets as at 30 December 2022.

Judgements

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

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised 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.

Key sources of estimation uncertainty

The directors consider amounts recoverable on long term contracts as a key area of estimation uncertainty. The value of work recoverable is assessed internally on a regular basis and is reviewed for accuracy and completeness.

Revenue 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 as a proportion of total estimated costs for a contract. This method of revenue recognition creates work in progress and deferred income balances to ensure the appropriate amount of revenue is recognised in the year.

The accounts include a warranty provision which is based upon the anticipated costs that may be incurred on contracts which are still within the applicable warranty period. The carrying amount is £Nil (2022 -£70,000).

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

Revenue recognition

Turnover is recognised at the fair value of the consideration received or receivable for good 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.

Contract revenue recognition

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 as a proportion of total costs for each project. 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.

Costs calculated on long-term contracts are recognised by reference to the stage of completion of the contract at the Balance Sheet date.

Where costs are incurred on smaller works undertaken (such as maintenance and repair work) this is recognised within the financial statements as Work in Progress.

Profits on contracts are recognised when the Company is satisfied that the outcome of the contract can be assessed with reasonable certainty. When it is probable that total contract costs will exceed turnover, the expected total loss is recognised as an expense immediately.

The amount due from customers for contract work billed in the year is shown within trade debtors; amounts recognised as income but not yet billed is shown within gross amount due from customers for contract work in debtors.

Where customers have been invoiced amounts in excess of the amount recognised as income, the excess is shown within gross amount due to customers for contract work within creditors.

Foreign currency transactions and balances

Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the Balance Sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

Tax

Current tax is recognised in the profit and loss account, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.


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.

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023


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.

Deferred tax is calculated at the tax rate 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 is 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.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation.

Depreciation

Depreciation is charged so as to write off the cost or valuation of assets, over their estimated useful lives, as follows:

Asset class

Depreciation method and rate

Plant and equipment

15% reducing balance

Fixtures and fittings

15% reducing balance

Investments

All investment assets acquired by the company are initially recognised at cost and adjusted for fair value where the fair value can be reliably determined.

At each reporting 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.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits.

Trade debtors

Trade debtors are amounts due from customers for products sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is appropriate evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Work in progress relates to contracts which are not dealt with under contract accounting. Work in progress is recognised in respect of smaller works undertaken (such as maintenance and repair work) by reference to the costs incurred to date on work yet to be invoiced at the Balance Sheet date.

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

Trade creditors

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 the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Provisions

Provisions are recognised when the company has an obligation at the reporting date 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.

Share capital

Ordinary shares are classified as equity.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

3

Turnover

The analysis of the company's turnover for the year from continuing operations is as follows:

2023
£

2022
£

Sale of goods

17,470,730

15,556,771

The analysis of the company's turnover for the year by market is as follows:

2023
£

2022
£

UK

8,977,482

5,174,519

Europe

7,175,943

4,464,311

Rest of world

1,317,305

5,917,941

17,470,730

15,556,771

4

Other gains and losses

The analysis of the company's other gains and losses for the year is as follows:

2023
£

2022
£

Loss from disposals of investments

(36,555)

-

Foreign currency (gains)/losses

(240,150)

691,947

(276,705)

691,947

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

5

Operating profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

2,131

2,500

6

Other interest receivable and similar income

2023
£

2022
£

Interest income on bank deposits

-

703

7

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2023
£

2022
£

Wages and salaries

860,187

848,337

Social security costs

146,730

110,697

Pension costs, defined contribution scheme

63,465

501,256

Other employee expense

13,500

7,610

1,083,882

1,467,900

The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:

2023
No.

2022
No.

Managers

3

3

Project Managers

10

8

13

11

8

Directors' remuneration

The directors' remuneration for the year was as follows:

2023
£

2022
£

Remuneration

9,993

-

9

Auditors' remuneration

2023
£

2022
£

Audit of the financial statements

22,000

22,000


 

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

10

Taxation

Tax charged/(credited) in the profit and loss account

2023
£

2022
£

Current taxation

UK corporation tax

559,255

465,471

UK corporation tax adjustment to prior periods

-

(9,770)

559,255

455,701

Deferred taxation

Arising from origination and reversal of timing differences

2,375

(2,782)

Tax expense in the income statement

561,630

452,919

The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2022 - the same as the standard rate of corporation tax in the UK) of 23.5% (2022 - 19%).

The differences are reconciled below:

2023
£

2022
£

Profit before tax

2,497,513

2,014,071

Corporation tax at standard rate

587,018

382,673

Tax increase from effect of capital allowances and depreciation

501

-

Effect of expense not deductible in determining taxable profit (tax loss)

-

80,683

Deferred tax expense/(credit) from unrecognised temporary difference from a prior period

2,375

(9,770)

Effect of change in corporation tax rate

-

(667)

Tax decrease from allowable deduction

(28,264)

-

Total tax charge

561,630

452,919

Deferred tax

Deferred tax assets and liabilities

2023

Liability
£

Accelerated capital allowances

2,971

2,971

2022

Liability
£

Accelerated capital allowances

596

596

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

11

Tangible assets

Fixtures and fittings
 £

Plant and equipment
£

Total
£

Cost or valuation

At 31 December 2022

46,267

30,092

76,359

At 30 December 2023

46,267

30,092

76,359

Depreciation

At 31 December 2022

35,178

27,169

62,347

Charge for the year

1,693

439

2,132

At 30 December 2023

36,871

27,608

64,479

Carrying amount

At 30 December 2023

9,396

2,484

11,880

At 30 December 2022

11,089

2,923

14,012

12

Fixed asset investments

Unlisted investments
£

Total
£

Cost or valuation

At 31 December 2022

36,555

36,555

Disposals

(36,555)

(36,555)

At 30 December 2023

-

-

13

Stocks

2023
£

(As restated)

2022
£

Work in progress

265,866

331,552

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

14

Debtors

Current

Note

2023
£

(As restated)

2022
£

Trade debtors

 

4,438,791

2,450,928

Gross amounts due from customers for contract work

 

232,139

367,582

Amounts owed by related parties

6,000,541

5,236,853

Other debtors

 

350,248

266,388

Prepayments

 

30,692

25,981

   

11,052,411

8,347,732

15

Cash and cash equivalents

2023
£

2022
£

Cash at bank

1,196,617

1,428,807

16

Creditors

2023
£

(As restated)

2022
£

Due within one year

Trade creditors

2,064,993

542,939

Gross amounts due to customers for contract work

2,994,906

3,744,396

Amounts due to related parties

40,537

-

Accruals

389,052

667,365

Social security and other taxes

35,537

-

Corporation tax

269,629

410,096

5,794,654

5,364,796

17

Provisions for liabilities

Deferred tax
£

Total
£

At 31 December 2022

596

596

Increase (decrease) in existing provisions

2,375

2,375

At 30 December 2023

2,971

2,971

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

18

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £63,465 (2022 - £501,256).

19

Share capital

Allotted, called up and fully paid shares

2023

2022

No.

£

No.

£

Ordinary shares of £1 each

102

102

102

102

Ordinary A shares of £1 each

102

102

102

102

Ordinary B shares of £1 each

100

100

100

100

Ordinary C shares of £1 each

3

3

3

3

Ordinary D shares of £1 each

3

3

3

3

Ordinary E shares of £1 each

3

3

3

3

Ordinary F shares of £1 each

3

3

3

3

Ordinary G shares of £1 each

250,000

250,000

250,000

250,000

250,316

250,316

250,316

250,316

20

Analysis of changes in net debt

At 31 December 2022
£

Financing cash flows
£

At 30 December 2023
£

Cash and cash equivalents

Cash

1,428,807

(232,190)

1,196,617

 

1,428,807

(232,190)

1,196,617

 

Environmental Integrated Solutions Limited

Notes to the Financial Statements for the Year Ended 30 December 2023

21

Parent and ultimate parent undertaking

The ultimate parent company is CECO Environmental Corporation, a publicly listed company on the NASDAQ and registered in the United States of America. Its registered office is 5080 Spectrum Drive, Suite 800E, Addison, Texas 75001.

The immediate parent company is Peerless Europe Limited, a company registered in England and Wales.

The financial statements contain information about Environmental Integrated Solutions Limited as an individual company and do not contain consolidated financial information as the subsidiary of a group. In accordance with paragraph 9.3 of FRS 102 and Section 401 of the Companies Act 2006, Environmental Integrated Solutions Limited has not been consolidated into the financial statements of its parent, Peerless Europe Limited.

The ultimate parent company of the group preparing consolidated financial statements that include both Peerless Europe Limited and Environmental Integrated Solutions Limited is CECO Environmental Corporation, and copies of those financial statements are available from investors.cecoenviro.com.