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Registered number:
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
COMPANY INFORMATION
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ATLAS COPCO IAS UK LIMITED
CONTENTS
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ATLAS COPCO IAS UK LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
Atlas Copco IAS UK Limited is a part of the Atlas Copco Group, which is a world-leading provider of sustainable productivity solutions. The Group serves customers in more than 180 countries with products and service focused on productivity, energy efficiency, safety and ergonomics. Its vision is to become and remain 'First in Mind - First in Choice' for all of its stakeholders. This principle also drives the Group's strategy which is to create positive value for customers, shareholders and employees in an increasingly resource-constrained world.
Atlas Copco IAS UK Limited ("the Company") is principally engaged in the design, development, manufacturing and supply of self-piercing riveting systems, rivets, and associated technology.
The Company has continued with its strategy of maintaining its market leading position. This strategy is based largely on established products as well as developing its product range. To achieve future market growth the company is committed to developing innovative assembly systems whilst maintaining a competitive pricing structure. Customer focus is a guiding principle for Atlas Copco IAS UK Limited. We aim to have close relationships with our customers and to help them increase their productivity in a sustainable way. The company's key financial performance measures are revenue and gross profit margin, and are shown below for continuing operations: 2024 2023 Revenue £43m £44m Profit before tax £13.6m £14.1m Gross profit margin 26% 27.6% Operating profit margin 31.6% 31.9% Total revenue, including discontinued operations, is £43m in 2024 (2023: £44m). This is a reduction of 2% from prior year. There was no revenue from any discontinued operations in 2024 (2023: £nil). The decrease in profit for continuing operations is mainly attributable to reduced revenue, especially in Asia where the market has slowed down, resulting in reduced sales to the customer centre in China. The Company is looking to further reduce production costs with research into new products and continued investment to drive efficiency improvements in order to maintain a competitive advantage and maximise profitability. Research & Development (R&D) remains an integral part of the business with a continuous focus on further investments in this area. This year the total investment in R&D has been £4.6m in 2024 (2023: £4.4m). The Company has a provision of £2m (2023: £1.74m) for general product warranties, which relates to expected claims on products sold in the last three years and specific warranty claims on products sold in the previous years.
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ATLAS COPCO IAS UK LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The management of the business and the nature of the company's strategy are subject to a number of risks. The directors have set out below the principal risks facing the business.
The Company is exposed to financial risks through its financial assets and liabilities. The Directors are of the opinion that a thorough risk management process is adopted and implemented on a continual improvement basis and a regular appraisal of the potential risks that could present to the business. The Company employs a formal review of all the risks identified below and where possible, processes are in place to monitor and mitigate such risks. The Directors have considered the impact of the resulting Ukraine crisis and expect to experience an increase in costs. This has been mitigated with price increases and the Directors have concluded that the Ukraine crisis will not have a significant impact on the business overall. Competition The market in which the company operates is competitive. As a result, there is downward pressure on margins and the additional risk of being unable to meet customers' expectations on price. Policies of product engineering aimed at cost efficiencies, constant price monitoring and ongoing market research are in place to mitigate such risks. Product obsolescence Due to the nature of the market in which the company operates, products are subject to technological advances and as a result, obsolescence. The directors are committed to the research and development strategy in place and are confident that the company is able to react effectively to developments within the market. Financial risk management objectives and policies The Company's activities expose it to a number of financial risks the most important elements being credit risk and liquidity risk. The company has used various financial instruments including loans, cash, and various items, such as trade debtors and trade creditors that arise directly from its operations. The main purpose of these financial instruments was to raise finance for the company's operations. Since the Company was acquired by Atlas Copco AB in September 2014 the company has been funded by the Group's internal resources. Credit risk The Company's principal financial assets are bank balances and cash, trade and other receivables. The Company's credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows. The credit risk on liquid funds is limited because the counterparties are inter-company and banks with high credit- ratings assigned by international credit-rating agencies. The Company has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers. Liquidity risk In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the company utilises group funds.
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ATLAS COPCO IAS UK LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The Board of Directors confirm that during the year under review, it has acted to promote the long-term success
of the Company for the benefit of shareholders, whilst having due regard to the matters set out in section 172(1) (a) to (f) of the Companies Act 2006, being: (a) The likely consequences of any decision in the long term (b) The interests of the Company's employees (c) The need to foster the Company's business relationships with suppliers, customers and others (d) The impact of the Company's operations on the community and the environment (e) The desirability of the Company maintaining a reputation for high standards of business conduct (f) The need to act fairly between members of the Company In reaching our decisions we consider our purpose, vision, values and the Group's strategic priorities as outlined in the Annual Report of Atlas Copco AB (https://www.atlascopcogroup .com/en/investor -relations/financial -reportspresentations /financial-publications ). We have a process in place for decision-making and we aim to make sure that our decisions are consistent across the board. As is usual practice for similar companies, we delegate authority for day-to-day management to the management team and then engage them in setting, approving and overseeing execution of the business strategy and related policies. We review health and safety, financial and operational performance and legal and regulatory compliance at our Board meetings. We are not aware of any significant impact of the Company's operations on the community. However, we constantly consult with our stakeholders who assess impacts of the Company's operations and the wider Group on climate change. As part of the Group vision, it is vital we maintain our reputation for high standards of business conduct and act fairly between members of the company. The Company has a business code of practice in place which is applicable to all our employees and business partners.
This report was approved by the board on 9 June 2025 and signed on its behalf.
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ATLAS COPCO IAS UK LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
The directors are responsible for preparing the Strategic report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 101 ‘Reduced Disclosure Framework’. 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 then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙state whether applicable UK 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 profit for the year, after taxation, amounted to £9,814 thousand (2023 - £9,715 thousand).
A dividend of £15 million was declared and paid during the year (2023: £6 million). A dividend of £7 million has been declared and will be paid in June 2025.
The directors who served during the year were:
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ATLAS COPCO IAS UK LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The Company will continue with its strategy of maintaining its market leading position. This strategy is based largely on established products as well as developing and advancing its product range through on-going investment in R&D. To achieve future market growth the company is committed to developing innovative assembly systems whilst maintaining a competitive pricing structure. Customer focus is a guiding principle for Atlas Copco IAS UK Limited. We aim to have close relationships with our customers and to help them increase their productivity in a sustainable way.
Below we set out how we have engaged with various stakeholders during the year, the key issues raised and
outcomes: Employees: We engage with our employees throughout the year on a number of topics. Employees are encouraged to participate in the group-wide employee insight survey which takes place every other year. We hold regular team meetings with all staff members and operate an "open door" policy. Atlas Copco IAS UK Limited strives to be a good employer to attract, develop, and keep qualified and motivated people. Employees are responsible for their own professional career and supported by continuous competence development and an internal job market. Employees are encouraged to grow professionally and take up new positions. A set of KP ls to measure the Company's performance in terms of training and internal mobility is included in the people management reporting. Suppliers: We have an open and transparent engagement style with our suppliers in line with our business code of practice. We engage on a number of matters including quality, Health & Safety, environmental issues and ethics.
The company takes environmental sustainability seriously and is committed to reducing the carbon footprint and limit its negative contribution to climate change from operations where practicable. Energy from operations is a key measure for the business and is reviewed regularly with the goal to continuously decrease CO2 emissions, decrease waste, and reduce water consumption. In addition to investing in renewable energy, the company is also investigating ways to reduce plastic usage and promote use of reusable packaging.
Measure 2024 2023 Energy Consumption used to calculate emissions: kWh 5,567,141 6,299,400 Emissions from combustion of gas tCO2e (Scope 1) 10 11 Emissions from combustion of fuel for transport purposes (Scope 1) - i.e. fuel purchase for company/pool cars. tCO2e 0 0 Emissions from business travel in rental cars or employee-owned vehicles where company is responsible for purchasing the fuel (Scope 3) i.e. expenses for private car mileage 0 0 Emissions from purchased electricity (Scope 2, location-based) 100% renewable 100% renewable Total gross CO2 (tonnes) based on above 10 11 Intensity ratio: tCO2e Gross figure based on mandatory fields above/ per £M Cost of Sales 0.3 0.4
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ATLAS COPCO IAS UK LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
There have been no significant events affecting the Company since the year end.
The auditors, Langtons Professional Services Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board on
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ATLAS COPCO IAS UK LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATLAS COPCO IAS UK LIMITED
We have audited the financial statements of Atlas Copco IAS UK Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of changes in equity and the related notes, 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 101 ‘Reduced Disclosure Framework’ (United Kingdom Generally Accepted Accounting Practice).
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 Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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ATLAS COPCO IAS UK LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATLAS COPCO IAS UK LIMITED (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.
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ATLAS COPCO IAS UK LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATLAS COPCO IAS UK LIMITED (CONTINUED)
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 Auditors' 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.
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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
The objectives of our audit, in respect to fraud, are: • to identify and assess the risks of material misstatement of the financial statements due to fraud; • to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and • to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management. Our approach was as follows: • We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework (FRS 101 and the Companies Act 2006), the relevant tax compliance regulations in the UK and the EU General Data Protection Regulation (GDPR). • We understood how the Company is complying with those frameworks by making enquiries of management. Through consideration of the results of our audit procedures we were able to either corroborate or provide contrary evidence which was then followed up. • Based on our understanding we designed our audit procedures to identify non-compliance with laws and regulations. Our procedures involved: enquiries of management; and journal entry testing, with a focus on manual journals indicating large or unusual transactions based on our understanding of the business. • We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur by meeting with management to understand where it considered there was susceptibility to fraud. We also considered performance targets and their propensity to influence efforts made by management to manage revenue and earnings. Where the risk was considered to be higher, including areas impacting key performance indicators or management remuneration, we performed audit procedures to address each identified fraud risk or other risk of material misstatement. These procedures included those on revenue recognition detailed above, the assessment of items identified by management as non-recurring and testing manual journals and were designed to provide reasonable assurance that the financial statements were free from material fraud or error.
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ATLAS COPCO IAS UK LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATLAS COPCO IAS UK LIMITED (CONTINUED)
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 Auditors' 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 Auditors' 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.
for and on behalf of
Chartered Accountants
Statutory Auditors
The Plaza
100 Old Hall Street
L3 9QJ
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ATLAS COPCO IAS UK LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
REGISTERED NUMBER: 01873269
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
REGISTERED NUMBER: 01873269
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 15 to 35 form part of these financial statements.
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ATLAS COPCO IAS UK LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Atlas Copco IAS UK Limited (the Company) is a private Company incorporated by shares in the United Kingdom under the Companies Act 2006. The address of the registered office is in England and given on page 1. The nature of the business is principally the design, development, manufacturing and supply of self-piercing riveting systems, rivets and associated technology.
These financial statements are presented to the nearest £'000 in pounds sterling because that is the currency of the primary economic environment in which the Company operates.
2.Accounting policies
The preparation of financial statements in compliance with FRS 101 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions under FRS 101:
∙the requirements of paragraphs 62, B64(d), B64(e), B64(g), B64(h), B64(j) to B64(m), B64(n)(ii), B64(o)(ii), B64(p), B64(q)(ii), B66 and B67 of IFRS 3 Business Combinations
∙the requirements of paragraphs 91-99 of IFRS 13 Fair Value Measurement
∙the requirements of the second sentence of paragraph 110 and paragraphs 113(a), 114, 115, 118, 119(a) to (c), 120 to 127 and 129 of IFRS 15 Revenue from Contracts with Customers
∙the requirements of paragraphs 10(d), 10(f), 16, 38A, 38B, 38C, 38D, 40A, 40B, 40C, 40D, 111 and 134-136 of IAS 1 Presentation of Financial Statements
∙the requirements of IAS 7 Statement of Cash Flows
∙the requirements of paragraphs 30 and 31 of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors
∙the requirements of paragraph 17 and 18A of IAS 24 Related Party Disclosures
∙the requirements of paragraphs 130(f)(ii), 130(f)(iii), 134(d)-134(f) and 135(c)-135(e) of IAS 36 Impairment of Assets.
This information is included in the consolidated financial statements of Atlas Copco AB as at 31 December 2023 and these financial statements may be obtained from Patent and Registration Office, Bolagsavdelningen, Storgatan 13, S85181, Sundsvall, Sweden.
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
In accordance with their responsibilities, the directors of the company have considered the appropriateness of the going concern basis, which has been used in the preparation of these financial statements.
The company continues to manage its liquidity needs through a group bank pooling facility managed by the ultimate parent company, Atlas Copco AB. The company has no external debt and with the bank pooling facility it ensures sufficient resources are immediately available if need be. The going concern of Atlas Copco IAS UK Limited is linked to that of the overall group. The Directors made enquiries of the group to ascertain the group position on going concern. Following these enquiries, the Directors are satisfied the group's strategy is robust and that they will continue as a going concern. The directors have considered the company’s current and prospects and its availability of intercompany financing. In turn, the company has received assurances, in the form of a letter of support, that Atlas Copco Airpower NV will continue to provide sufficient cash resources as required to enable the company to meet its liabilities as they fall due for the period to 30 September 2026. The company therefore continues to adopt the going concern basis in preparing its financial statements which has been applied consistently throughout the year.
Functional and presentation currency
Transactions and balances
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Royalty revenue is recognised on an accrual basis in accordance with the substance of the relevant agreement (provided that it is probable that the economic benefits will flow to the Company and the amount of revenue can be measured reliably). Royalties determined on a time basis are recognised on a straight-line basis over the period of the agreement. Royalty arrangements that are based on production, sales and other measures are recognised by reference to the underlying arrangement. Royalty revenue is recognised in the financial statements under revenue.
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The Company recognises financial instruments when it becomes a party to the contractual arrangements of the instrument. Financial instruments are de-recognised when they are discharged or when the contractual terms expire. The Company's accounting policies in respect of financial instruments transactions are explained below:
Financial assets and financial liabilities are initially measured at fair value.
Financial assets
All recognised financial assets are subsequently measured in their entirety at either fair value or amortised cost, depending on the classification of the financial assets.
Fair value through profit or loss
Impairment of financial assets
Financial liabilities
Fair value through profit or loss
At amortised cost
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument and are initially measured at fair value. The subsequent measurement of financial liabilities depends on their classification as follows:
The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial liability, or (where appropriate) a shorter period, to the amortised cost of a financial liability. Where an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such as an exchange or modification, this is treated as a derecognition of the original liability, such that the difference in the respective carrying amounts together with any costs or fees incurred are recognised in profit or loss.
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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. Judgements There were no critical accounting judgements in the preparation of the financial statements. Key sources of estimation uncertainty The key assumptions concerning the future, and other key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are discussed below. Warranty provision The provision (note 24), is based on both specific and general warranty claims. Specific provision is for equipment projects with known technical issues. General provision is an estimate based on the average warranty claims of the last 2 years.
Analysis of turnover by country of destination:
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 26
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
12.Taxation (continued)
The standard rate of tax applied to reported profit on ordinary activities is 25% (2023 - 23.5%). Following the substantive enactment of the Finance Act 2021 the applicable tax rate increased from 19% to 25% from 1 April 2023. As a result deferred tax has been calcuated at 25% (2023 - 25%).
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 29
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 30
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
15.Tangible fixed assets (continued)
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Page 33
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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ATLAS COPCO IAS UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Share premium account
Profit and loss account
The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund.
The immediate parent undertaking of the company is Atlas Copco UK Holdings Limited. A company incorporated in Great Britain and registered in England and Wales. The Company's registered address is Swallow dale Lane, Hemel Hempstead, Hertfordshire, HP2 7EA. Atlas Copco UK Holdings Limited does not prepare group financial statements.
The ultimate parent undertaking and controlling party is Atlas Copco AB, Sweden, which is the only entity to consolidate these financial statements. This company is incorporated in Sweden and its registered address is SE-105 23 Stockholm., Sweden. Copies of its financial statements are available from the Patent and Registration Office, Bolagsavdelningen, Storgatan 13, S85181, Sundsvall, Sweden. This is the largest and smallest company which prepares group financial statements.
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