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Registered number:
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
COMPANY INFORMATION
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EMIXA INDUSTRY SOLUTIONS LIMITED
CONTENTS
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EMIXA INDUSTRY SOLUTIONS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
The Directors present their Strategic Report in respect of the year ended 31 December 2024. The comparatives are for the 15 months ended 31 December 2023.
The board of Directors consider the FY24 business performance to reflect the various challenges it has faced during the year. While still experiencing the transition from a perpetual software licence model to a software subscription model, the business has seen a decrease in its technical services compared to 2023.
Whilst not quite achieving the aggressive FY24 sales plan, the business revenues grew slightly compared to 2023. However, technical services were not delivered as per the plan and hence this had the biggest detriment on EBITDA.
FY24 led to the awards from Siemens’ of Top EMEA Partner FY24 Lifecycle Collaboration Software, Top EMEA Partner Saas and Net New Business Generation and Top Salesperson UK & Ireland. These are the highest accolades the company and group can achieve, competing against all Siemens PLM partners across Europe. The award recognises outstanding performance for software sales, technical support, customer satisfaction and retention.
The senior management team all remain in place and are committed to continue to drive the business forward, with significant experience shown in all areas of the business.
The business remains committed to ensuring a long term relationship and high performance with its customers, which has shown in its low attrition of customers across its various revenue streams.
Brexit risk
As expected, the Group has not been materially impacted by Brexit. The Directors and their European colleagues continue to monitor the situation. Software Subscriptions The move from perpetual software license sales to a subscription model still continues to challenge the business short term finance model. However, being two years into this transition, the business is more than confident that it will be able to meet all of its financial commitments in the future.
Technical Services
A more conservative plan has been put in place for FY25, albeit the directors are still confident of a 20% growth on FY24 in this area. The acquisition into the group will enable the company to expand its services offerings, along with the development of the company Mendix practice.
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EMIXA INDUSTRY SOLUTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
The Group considers its key financial performance indicators to be revenue and EBITDA. Revenue has remained strong and for the 12 months to 31 December 2024 amounted to £21,695,916 (15 months to 31 December 2023: £26,459,737). On a pro rata basis (comparing last year's 15 month period pro rated for 12 months with this year's 12 month period), revenue has increased slightly by 0.2% to £21,695,916 (2023: £21,167,790).
EBITDA has decreased for the 12 months to 31 December 2024 and amounted to £1,445,407 (15 months to 31 December 2023: £3,668,075). On a pro rata basis (comparing last year's 12 month period pro rated for 12 months with this year's 12 month period), EBITDA has decreased by 51% to £1,445,407 (2023: £2,934,460). The main reason behind this decrease in EBITDA was due to the decrease in services revenues for 2024. The company and group remain in a strong financial position which reflects the commitment of the Directors to expand the services of the Group through existing customer relationships together with new opportunities arising from its new parent and its fellow subsidiaries in Europe.
The Company does not have any non-financial key performance indicators.
This report was approved by the board and signed on its behalf.
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EMIXA INDUSTRY SOLUTIONS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
The Directors present their report and the financial statements for the year ended ended 31 December 2024.
The Directors who served during the year ended were:
The Directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the Directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙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 to 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.
The profit for the year ended, after taxation, amounted to £422,713 (2023 - £2,067,976).
The Company paid no dividends during the year (2023: £Nil)
The aim of the Company is to expand its customer base and continue to develop long term relationships with existing customers.
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EMIXA INDUSTRY SOLUTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
There have been no significant events affecting the Company since the year end.
The auditors, James Cowper Kreston Audit, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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EMIXA INDUSTRY SOLUTIONS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMIXA INDUSTRY SOLUTIONS LIMITED
We have audited the financial statements of Emixa Industry Solutions Limited (the 'Company') for the year ended ended 31 December 2024, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of cash flows, 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 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (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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EMIXA INDUSTRY SOLUTIONS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMIXA INDUSTRY SOLUTIONS 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 ended 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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EMIXA INDUSTRY SOLUTIONS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMIXA INDUSTRY SOLUTIONS 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.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.
The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. The specific procedures for this engagement that we designed and performed to detect material misstatements in respect of irregularities, including fraud, were as follows:
∙Enquiry of management and those charged with governance around actual and potential litigation and claims;
∙Enquiry of management and those charged with governance to identify any material instances of non-compliance with laws and regulations;
∙Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
∙Performing audit work to address the risk of irregularities due to management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for evidence of bias.
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.
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EMIXA INDUSTRY SOLUTIONS LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMIXA INDUSTRY SOLUTIONS LIMITED (CONTINUED)
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 and Statutory Auditor
201 Cumnor Hill
Cumnor
Oxfordshire
OX2 9PJ
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EMIXA INDUSTRY SOLUTIONS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
REGISTERED NUMBER: 10884951
BALANCE SHEET
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 14 to 28 form part of these financial statements.
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EMIXA INDUSTRY SOLUTIONS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED ENDED 31 DECEMBER 2023
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EMIXA INDUSTRY SOLUTIONS LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
ANALYSIS OF NET DEBT
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
Emixa Industry Solutions Limited is a private company, limited by shares, incorporated and domiciled in England and Wales. The address of the registered office is Station Point, Old Station Way, Eynsham, Witney, OX29 4TL.
The principal activity of the Company is that of engineering software sales and engineering consultancy for designers.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company is exempt from the requirement to prepare consolidated financial statements as all of its subsidiaries are required to be excluded from consolidation by section 402 of the Companies Act 2006.
Functional and presentation currency
Transactions and balances
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 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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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Goodwill
Other intangible assets
All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.
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.
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
Goodwill Management recognise goodwill for the consideration paid in excess of the fair value of net assets acquired under the purchase method. Management review the useful economic life of goodwill based on past trading experience of subsidiaries acquired and expected future discounted cash flows. The estimate of the useful economic life of goodwill has a material impact to the financial statements.
Analysis of turnover by country of destination:
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
11.Taxation (continued)
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
Share premium account
Profit and loss account
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EMIXA INDUSTRY SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED ENDED 31 DECEMBER 2024
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 and amounted to £169,600 (2023: £194,324). Contributions totalling £4,990 (2023: £4,456) were payable to the fund at the balance sheet date and are included in creditors.
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