24 24 MCS Test Equipment Ltd 04147703 false 2023-01-01 2023-12-31 2023-12-31 The principal activity of the company is the sale, servicing and leasing of test equipment. Digita Accounts Production Advanced 6.30.9574.0 true true 04147703 2023-01-01 2023-12-31 04147703 2023-12-31 04147703 bus:OrdinaryShareClass1 bus:Non-cumulativeShares 2023-12-31 04147703 core:CurrentFinancialInstruments 2023-12-31 04147703 core:CurrentFinancialInstruments core:WithinOneYear 2023-12-31 04147703 core:Goodwill 2023-12-31 04147703 core:FurnitureFittingsToolsEquipment 2023-12-31 04147703 bus:SmallEntities 2023-01-01 2023-12-31 04147703 bus:Audited 2023-01-01 2023-12-31 04147703 bus:FilletedAccounts 2023-01-01 2023-12-31 04147703 bus:SmallCompaniesRegimeForAccounts 2023-01-01 2023-12-31 04147703 bus:RegisteredOffice 2023-01-01 2023-12-31 04147703 bus:Director5 2023-01-01 2023-12-31 04147703 bus:Director6 2023-01-01 2023-12-31 04147703 bus:Director7 2023-01-01 2023-12-31 04147703 bus:OrdinaryShareClass1 bus:Non-cumulativeShares 2023-01-01 2023-12-31 04147703 bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 04147703 bus:Agent1 2023-01-01 2023-12-31 04147703 core:Goodwill 2023-01-01 2023-12-31 04147703 core:NetGoodwill 2023-01-01 2023-12-31 04147703 core:ComputerEquipment 2023-01-01 2023-12-31 04147703 core:FurnitureFittings 2023-01-01 2023-12-31 04147703 core:FurnitureFittingsToolsEquipment 2023-01-01 2023-12-31 04147703 core:Non-standardPPEClass1ComponentTotalPropertyPlantEquipment 2023-01-01 2023-12-31 04147703 core:ToolsEquipment 2023-01-01 2023-12-31 04147703 countries:AllCountries 2023-01-01 2023-12-31 04147703 2022-12-31 04147703 core:Goodwill 2022-12-31 04147703 core:FurnitureFittingsToolsEquipment 2022-12-31 04147703 2022-01-01 2022-12-31 04147703 2022-12-31 04147703 bus:OrdinaryShareClass1 bus:Non-cumulativeShares 2022-12-31 04147703 core:CurrentFinancialInstruments 2022-12-31 04147703 core:CurrentFinancialInstruments core:WithinOneYear 2022-12-31 04147703 core:Goodwill 2022-12-31 04147703 core:FurnitureFittingsToolsEquipment 2022-12-31 xbrli:pure iso4217:GBP xbrli:shares

Registration number: 04147703

MCS Test Equipment Ltd

Filleted Financial Statements

for the Year Ended 31 December 2023

 

MCS Test Equipment Ltd

Contents

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3 to 10

 

MCS Test Equipment Ltd

Company Information

Directors

R S Frazee

D R Stewart

G Dann

Registered office

8 New Vision Business Park
Glascoed Road
St Asaph
Denbighshire
LL17 0LP

Auditors

Additions Accountants Limited One Derby Square, Liverpool
L2 9QR

 

MCS Test Equipment Ltd

(Registration number: 04147703)
Balance Sheet as at 31 December 2023

Note

2023
£

2022
£

Fixed assets

 

Intangible assets

5

318,796

359,479

Tangible assets

6

3,039,215

3,999,610

 

3,358,011

4,359,089

Current assets

 

Stocks

7

1,121,898

850,578

Debtors

8

2,412,542

2,324,194

Cash at bank and in hand

 

1,042,641

1,616,113

 

4,577,081

4,790,885

Creditors: Amounts falling due within one year

9

(1,311,359)

(2,096,822)

Net current assets

 

3,265,722

2,694,063

Total assets less current liabilities

 

6,623,733

7,053,152

Provisions for liabilities

(759,804)

(921,442)

Net assets

 

5,863,929

6,131,710

Capital and reserves

 

Called up share capital

10

100

100

Retained earnings

5,863,829

6,131,610

Shareholders' funds

 

5,863,929

6,131,710

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 12 May 2025 and signed on its behalf by:
 

.........................................
G Dann
Director

   
     
 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

1

General information

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

The address of its registered office is:
8 New Vision Business Park
Glascoed Road
St Asaph
Denbighshire
LL17 0LP
Wales

These financial statements were authorised for issue by the Board on 12 May 2025.

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 have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

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

Going concern

After reviewing the company’s forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis of accounting in preparing its financial statements.

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Audit report

The Independent Auditor's Report was qualified. In our opinion, except for the possible effects of the matter described in the basis for qualified opinion section of our report, the financial statements:
•give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its loss 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
. The name of the Senior Statutory Auditor who signed the audit report on 12 May 2025 was Maxine Desse BA (Econ) FCA, who signed for and on behalf of Additions Accountants Limited.

.........................................

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date.

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Tax

The tax expense for the period comprises current tax. Tax is recognised in profit or loss, 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 current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

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

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

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

Asset class

Depreciation method and rate

Tools & equipment

20% on cost

Furniture, fixtures & fittings

10% on cost

Computer equipment

33% on cost

Test equipment held for operating leases

20% on cost

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Goodwill (1) - acquisition in 2004

5% on cost

Goodwill (2) - acquisition in 2021

10% on cost

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise 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 objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

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.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

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.

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 24 (2022 - 24).

4

Loss/profit before tax

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

758,469

806,617

Amortisation expense

40,683

42,350

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

5

Intangible assets

Goodwill
 £

Total
£

Cost or valuation

At 1 January 2023

448,495

448,495

At 31 December 2023

448,495

448,495

Amortisation

At 1 January 2023

89,016

89,016

Amortisation charge

40,683

40,683

At 31 December 2023

129,699

129,699

Carrying amount

At 31 December 2023

318,796

318,796

At 31 December 2022

359,479

359,479

6

Tangible assets

Furniture, fittings and equipment
 £

Total
£

Cost or valuation

At 1 January 2023

4,950,498

4,950,498

Additions

104,399

104,399

Transfer to stock

(379,635)

(379,635)

At 31 December 2023

4,675,262

4,675,262

Depreciation

At 1 January 2023

950,889

950,889

Charge for the year

758,469

758,469

Transfer to stock

(73,311)

(73,311)

At 31 December 2023

1,636,047

1,636,047

Carrying amount

At 31 December 2023

3,039,215

3,039,215

At 31 December 2022

3,999,610

3,999,610

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

7

Stocks

2023
£

2022
£

Finished goods and goods for resale

1,121,898

850,578

8

Debtors

Current

Note

2023
£

2022
£

Trade debtors

 

1,667,677

1,931,446

Amounts owed by group undertakings

689,548

374,320

Prepayments

 

50,941

18,158

Other debtors

 

4,376

270

   

2,412,542

2,324,194

9

Creditors

Creditors: amounts falling due within one year

Note

2023
£

2022
£

Due within one year

 

Trade creditors

 

476,208

1,125,748

Amounts owed to group undertakings

308,734

327,426

Taxation and social security

 

415,129

559,954

Accruals and deferred income

 

82,772

70,272

Other creditors

 

28,516

13,422

 

1,311,359

2,096,822

10

Share capital

Allotted, called up and fully paid shares

2023

2022

No.

£

No.

£

Ordinary of £1 each

100

100

100

100

       

11

Financial commitments, guarantees and contingencies

At 31 December 2023 the company had commitments under non-cancellable operating leases over the remaining life of the leases of £73,434 (2022: £77,197). The amount payable within one year in respect of these leases was £57,407 (2022: £63,439).

 

MCS Test Equipment Ltd

Notes to the Financial Statements for the Year Ended 31 December 2023

12 Parent company disclosures

The parent of the smallest group for which consolidated financial statements are drawn up of which the company is a member is Distribution Solutions Group, Inc., a company incorporated in the United States of America whose principal business address is 301 Commerce Street, Suite 1700, Fort Worth, TX 76102.

Distribution Solutions Group, Inc. is also the ultimate parent company.