| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Financial Statements for the Year Ended 31 October 2024 |
| for |
| Global Machinery Solutions Limited |
| REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Financial Statements for the Year Ended 31 October 2024 |
| for |
| Global Machinery Solutions Limited |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Contents of the Financial Statements |
| for the Year Ended 31 October 2024 |
| Page |
| Company Information | 1 |
| Strategic Report | 2 |
| Report of the Directors | 4 |
| Report of the Independent Auditors | 6 |
| Statement of Comprehensive Income | 9 |
| Statement of Financial Position | 10 |
| Statement of Changes in Equity | 11 |
| Notes to the Financial Statements | 12 |
| Global Machinery Solutions Limited |
| Company Information |
| for the Year Ended 31 October 2024 |
| DIRECTORS: |
| SECRETARY: |
| REGISTERED OFFICE: |
| REGISTERED NUMBER: |
| AUDITORS: |
| Lake House |
| Market Hill |
| Royston |
| Hertfordshire |
| SG8 9JN |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Strategic Report |
| for the Year Ended 31 October 2024 |
| The directors present their strategic report for the year ended 31 October 2024. |
| REVIEW OF BUSINESS |
| For the year ended 31 October 2024 revenues were £16.6m (2023 - £19.4m) with Gross Margin 8.3% (2023 - 11.4%) |
| The principal activity of the business remains importing machinery for industrial use; providing sales, service and hire within the forestry, confi-shred, recycling, construction and aggregates industries. |
| The company's focus was on consolidation following a restructure with training and development being a key element to this. The company embarked on a journey of business improvement in response to a tightened market following the post-pandemic boom and continues to recognise the importance of face to face relationships and how these affect customers purchasing requirements. The company has spent time analysing the required resources to properly service the distribution territories, as well ensuring it carries suitable product lines to support our current and future customers and achieve sustainable profitability. |
| The company encountered a challenging year as customers were more cautious on placing orders for capital equipment as the UK continued to battle with inflation, interest rates and changes in government. With tough market conditions also faced by customers and industries which we operate within, the company found many businesses looking towards repairing and servicing rather than replacing. When businesses looked to purchase, the availability of competitor stock acted to drive margins down. |
| The delivery of wholegood stock is back to normal industry expectations. The business intends to carry decent levels of machinery stock aided by a combination of well secured payment terms and supply chain relationships. The company is well placed to provide services via maintenance contracts and strong engineering -in-house resources. |
| Demand in the aftersales sector consisting of service and parts was as expected. The company achieved similar results to that over the prior year, with further planned expansion in the coming years through the business improvement plan and roll out of the strategy. |
| Despite the ongoing cost of running a business within the capital equipment sector, and challenges faced in a time of uncertainty and competition, the board of directors are confident in the structure and management level within the business to weather the period and come out stronger the other side. |
| PRINCIPAL RISKS AND UNCERTAINTIES |
| Other than the financial risks detailed below, other risks to the company include, but are not limited to, the failure to comply with legislative and regulatory requirements including environmental and litigation failures, business continuity and the actions of customers and competitors. The company has implemented risk controls and loss mitigation plans against these to address where possible. |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Strategic Report |
| for the Year Ended 31 October 2024 |
| FINANCIAL RISK MANAGEMENT POLICIES |
| The overall aim of the company financial risk management policy is to minimise potential adverse effects on financial performance and net assets. In the course of the business, the company is exposed primarily to foreign exchange risk, liquidity risk and credit risk. Interest rate is not considered significant as the company does not have any liabilities that accrue significant interest and interest income on bank deposits is not material. |
| The company manages the principal financial risk within policies and operating parameters approved by the board of directors. The company does not enter into speculative transactions. |
| i) Foreign currency risk |
| The Company operates domestically and overseas. The company does hedge certain cash flows when the directors believe this to be appropriate. |
| ii) Liquidity risk |
| The Company's policy on liquidity risk is to ensure that sufficient cash is available to fund on-going operations without the need to carry significant net debt. Where appropriate financing can be negotiated, assets may be purchased under finance lease agreement. The extent of this financing is not considered material. |
| iii) Credit risk |
| Credit risk arises on financial instruments such as trade receivables. Policies and procedures exist to ensure that |
| customers have an appropriate credit history. Machinery is generally not released to customers until payment is received in full. Overall, the company considers that it is not exposed to a significant amount of credit risk. |
| ON BEHALF OF THE BOARD: |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Report of the Directors |
| for the Year Ended 31 October 2024 |
| The directors present their report with the financial statements of the company for the year ended 31 October 2024. |
| PRINCIPAL ACTIVITY |
| The principal activity of the company in the year under review was that of sourcing and trading in equipment and machinery to be used in the recycling industry. |
| DIVIDENDS |
| No dividends will be distributed for the year ended 31 October 2024. |
| RESEARCH AND DEVELOPMENT |
| The company remains committed to research and development in pursuit of its strategy and objectives and undertakes work together with its primary suppliers in these areas whenever it is anticipated that a competitive advantage is to be achieved in terms of its principal activity of the import, sub-assembly, stocking, distribution, and export of various forestry, confi-shred, recycling, and construction equipment. |
| EVENTS SINCE THE END OF THE YEAR |
| Information relating to events since the end of the year is given in the notes to the financial statements. |
| DIRECTORS |
| The directors shown below have held office during the whole of the period from 1 November 2023 to the date of this report. |
| Other changes in directors holding office are as follows: |
| STATEMENT OF DIRECTORS' RESPONSIBILITIES |
| The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
| Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 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 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. |
| STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
| So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Report of the Directors |
| for the Year Ended 31 October 2024 |
| AUDITORS |
| The auditors, Hardcastle Burton LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
| ON BEHALF OF THE BOARD: |
| Report of the Independent Auditors to the Members of |
| Global Machinery Solutions Limited |
| Opinion |
| We have audited the financial statements of Global Machinery Solutions Limited (the 'company') for the year ended 31 October 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity 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 31 October 2024 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. |
| Basis for opinion |
| We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 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. |
| Other information |
| The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
| Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
| In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
| Opinions on other matters prescribed by the Companies Act 2006 |
| In our opinion, based on the work undertaken in the course of the audit: |
| - | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
| - | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
| Report of the Independent Auditors to the Members of |
| Global Machinery Solutions Limited |
| Matters on which we are required to report by exception |
| 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 Report of the Directors. |
| We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
| - | adequate accounting records have not been kept, 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 four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
| In preparing the financial statements, the directors are responsible for assessing the 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. |
| Auditors' responsibilities for the audit of the financial statements |
| Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
| The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
| 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 frameworks which are directly relevant to specific assertions in the financial statements are those that related to the reporting framework (FRS 102 and Companies Act 2006). |
| We obtained an understanding to how the company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through correspondence with management and a review of any correspondence received from regulatory bodies. |
| We assessed the susceptivity of the company's financial statements to material misstatement, including how fraud might occur by meeting with management from various parts of the business to understand the systems and controls of the company. |
| Based on our understanding we designed our audit procedures to identify non-compliance with such laws and regulations identified in the paragraphs above. Our procedures involved; journal entry testing; focusing on manual journals and journals indicating large or unusual transactions based on our understanding of the business; enquiries of management and focused testing in relation to revenue and management override. |
| A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
| Report of the Independent Auditors to the Members of |
| Global Machinery Solutions Limited |
| Use of our report |
| This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
| for and on behalf of |
| Lake House |
| Market Hill |
| Royston |
| Hertfordshire |
| SG8 9JN |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Statement of Comprehensive |
| Income |
| for the Year Ended 31 October 2024 |
| 31.10.24 | 31.10.23 |
| Notes | £ | £ |
| TURNOVER | 3 |
| Cost of sales |
| GROSS PROFIT |
| Administrative expenses |
| OPERATING LOSS | 5 | ( |
) | ( |
) |
| Exceptional items | 6 |
| (1,440,279 | ) | (496,120 | ) |
| Interest payable and similar expenses | 7 |
| LOSS BEFORE TAXATION | ( |
) | ( |
) |
| Tax on loss | 8 |
| LOSS FOR THE FINANCIAL YEAR | ( |
) | ( |
) |
| OTHER COMPREHENSIVE INCOME | - | - |
| TOTAL COMPREHENSIVE LOSS FOR THE YEAR |
( |
) |
( |
) |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Statement of Financial Position |
| 31 October 2024 |
| 31.10.24 | 31.10.23 |
| Notes | £ | £ | £ | £ |
| FIXED ASSETS |
| Intangible assets | 9 |
| Tangible assets | 10 |
| Investments | 11 |
| CURRENT ASSETS |
| Stocks | 12 |
| Debtors | 13 |
| Cash at bank and in hand |
| CREDITORS |
| Amounts falling due within one year | 14 |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| CREDITORS |
| Amounts falling due after more than one year |
15 |
| NET ASSETS |
| CAPITAL AND RESERVES |
| Called up share capital | 19 |
| Share premium |
| Retained earnings | ( |
) |
| SHAREHOLDERS' FUNDS |
| The financial statements were approved by the Board of Directors and authorised for issue on |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Statement of Changes in Equity |
| for the Year Ended 31 October 2024 |
| Called up |
| share | Retained | Share | Total |
| capital | earnings | premium | equity |
| £ | £ | £ | £ |
| Balance at 1 November 2022 |
| Changes in equity |
| Issue of share capital | - |
| Total comprehensive loss | - | ( |
) | - | ( |
) |
| Balance at 31 October 2023 |
| Changes in equity |
| Total comprehensive loss | - | ( |
) | - | ( |
) |
| Balance at 31 October 2024 | ( |
) |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements |
| for the Year Ended 31 October 2024 |
| 1. | STATUTORY INFORMATION |
| Global Machinery Solutions Limited is a |
| The presentation currency of the financial statements is the Pound Sterling (£). |
| The principal place of business is Global Way, Long Bennington, Newark, Nottinghamshire, NG23 5TU. |
| 2. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| Financial Reporting Standard 102 - reduced disclosure exemptions |
| The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland": |
| • | the requirements of Section 7 Statement of Cash Flows; |
| • | the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c); |
| • | the requirement of paragraph 33.7. |
| Preparation of consolidated financial statements |
| The financial statements contain information about Global Machinery Solutions Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Heathpatch Limited, Dairy Farm Office, Semer, Ipswich, Suffolk, IP7 6RA. |
| Related party exemption |
| The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
| Significant judgements and estimates |
| The preparation of the financial statements requires management to make judgements, estimates and assumptions which impact on the reported amounts of assets and liabilities. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
| The Company's machinery which is available for hire has been recognised in both stock and tangible fixed assets. The machinery held in stock is on the basis it is also available for sale, with the remainder being recognised in tangible fixed assets. The machines are assessed for impairment at each reporting date and impairment losses are recognised if their carrying amounts exceed their recoverable amounts. The recoverable amounts of the machines are determined as the higher of their selling prices less costs to sell and values in use i.e. the future net hire income. Consequently, the carrying values of machines are the same when recognised in stock as they would be in tangible fixed assets. |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Turnover |
| Revenue from the sale of goods is recognised when significant risks and rewards of the ownership of the goods have been transferred to the buyer. |
| Intangible assets |
| Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
| Tangible fixed assets |
| Short leasehold | - |
| Plant and machinery | - |
| Fixtures and fittings | - |
| Motor vehicles | - |
| Investments in subsidiaries |
| Investments in subsidiary undertakings are initially recognised at cost and are reviewed annually for impairments. |
| Stocks |
| Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
| Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition. |
| Cost is determined on a first in first out basis and includes all direct costs incurred. Net realisable value is based upon estimated selling price allowing for further costs of completion and disposal. |
| Financial instruments |
| The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102 to all of its financial instruments. |
| Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. |
| Basic financial assets |
| Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
| Basic financial liabilities |
| Basic financial liabilities, including creditors and loans that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
| Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 2. | ACCOUNTING POLICIES - continued |
| Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
| Current or deferred taxation assets and liabilities are not discounted. |
| Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
| Deferred tax |
| Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
| Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
| Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
| Foreign currencies |
| Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
| Hire purchase and leasing commitments |
| Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
| The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
| Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
| Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
| 3. | TURNOVER |
| The turnover and loss before taxation are attributable to the one principal activity of the company. |
| An analysis of turnover by geographical market is given below: |
| 31.10.24 | 31.10.23 |
| £ | £ |
| United Kingdom | 14,636,157 | 15,762,400 |
| EU & Europe | 1,727,656 | 3,470,417 |
| Rest of the world | 197,112 | 167,291 |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 4. | EMPLOYEES AND DIRECTORS |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Wages and salaries |
| Social security costs |
| Other pension costs |
| The average number of employees during the year was as follows: |
| 31.10.24 | 31.10.23 |
| Sales staff | 11 | 10 |
| Office staff | 17 | 16 |
| Production / site staff | 24 | 24 |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Directors' remuneration |
| Directors' pension contributions to money purchase schemes |
| The number of directors to whom retirement benefits were accruing was as follows: |
| Money purchase schemes |
| 5. | OPERATING LOSS |
| The operating loss is stated after charging/(crediting): |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Other operating leases |
| Depreciation - owned assets |
| Depreciation - assets on hire purchase contracts |
| Profit on disposal of fixed assets | ( |
) | ( |
) |
| Website development amortisation |
| Auditors' remuneration |
| Foreign exchange differences | ( |
) | ( |
) |
| 6. | EXCEPTIONAL ITEMS |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Exceptional items | ( |
) |
| During the previous year the company completed their move into new premises in order to expand the capabilities of the business. In the previous year, the exceptional items were all associated with move costs to the new site. |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Bank loan interest |
| Other loan interest payable |
| Hire purchase |
| 8. | TAXATION |
| Analysis of the tax charge |
| No liability to UK corporation tax arose for the year ended 31 October 2024 nor for the year ended 31 October 2023. |
| Reconciliation of total tax charge included in profit and loss |
| The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Loss before tax | ( |
) | ( |
) |
| Loss multiplied by the standard rate of corporation tax in the UK of (2023 - |
( |
) |
( |
) |
| Effects of: |
| Expenses not deductible for tax purposes |
| Movement in deferred tax not provided | 413,524 | (134,160 | ) |
| Group tax relief surrendered/(claimed) | - | 335,767 |
| Enhanced costs under capital allowances | - | (1,161 | ) |
| Losses carried forward | - | 33,779 |
| Total tax charge | - | - |
| No liability to UK corporation tax arose for the year ended 31 October 2024 nor the year ended 31 October 2023, due to losses of approximately £2.0m (2023: £0.2m). |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 9. | INTANGIBLE FIXED ASSETS |
| Website |
| development |
| £ |
| COST |
| At 1 November 2023 |
| Additions |
| At 31 October 2024 |
| AMORTISATION |
| At 1 November 2023 |
| Amortisation for year |
| At 31 October 2024 |
| NET BOOK VALUE |
| At 31 October 2024 |
| At 31 October 2023 |
| 10. | TANGIBLE FIXED ASSETS |
| Fixtures |
| Short | Plant and | and | Motor |
| leasehold | machinery | fittings | vehicles | Totals |
| £ | £ | £ | £ | £ |
| COST |
| At 1 November 2023 |
| Additions |
| Disposals | ( |
) | ( |
) | ( |
) | ( |
) |
| At 31 October 2024 |
| DEPRECIATION |
| At 1 November 2023 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) | ( |
) | ( |
) |
| Impairments |
| At 31 October 2024 |
| NET BOOK VALUE |
| At 31 October 2024 |
| At 31 October 2023 |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 10. | TANGIBLE FIXED ASSETS - continued |
| Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
| Plant and | Motor |
| machinery | vehicles | Totals |
| £ | £ | £ |
| COST |
| At 1 November 2023 |
| Additions |
| Disposals | ( |
) | ( |
) |
| Reclassification/transfer | ( |
) | ( |
) |
| At 31 October 2024 |
| DEPRECIATION |
| At 1 November 2023 |
| Charge for year |
| Eliminated on disposal | ( |
) | ( |
) |
| Reclassification/transfer | ( |
) | ( |
) |
| At 31 October 2024 |
| NET BOOK VALUE |
| At 31 October 2024 |
| At 31 October 2023 |
| 11. | FIXED ASSET INVESTMENTS |
| Shares in |
| group |
| undertakings |
| £ |
| COST |
| At 1 November 2023 |
| and 31 October 2024 |
| NET BOOK VALUE |
| At 31 October 2024 |
| At 31 October 2023 |
| The company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
| Registered office: 61 Littlewood, Belarmine Avenue, Stepaside, Dublin 18 |
| Nature of business: |
| % |
| Class of shares: | holding |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 12. | STOCKS |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Machine stock |
| Parts stock | 3,077,490 | 3,284,048 |
| Work-in-progress |
| Included within stock are items with a cost of £241,443 (2023: £728,699) secured against finance agreements. |
| 13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Trade debtors |
| Amounts owed by group undertakings |
| Other debtors |
| Prepayments and accrued income |
| 14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Bank loans and overdrafts (see note 16) |
| Hire purchase contracts (see note 17) |
| Trade creditors |
| Amounts owed to group undertakings |
| Social security and other taxes |
| VAT | 310,846 | 263,393 |
| Other creditors |
| Accruals and deferred income |
| 15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Hire purchase contracts (see note 17) |
| Amounts owed to group undertakings |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 16. | LOANS |
| An analysis of the maturity of loans is given below: |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Amounts falling due within one year or on demand: |
| Bank overdrafts |
| Bank loans |
| 17. | LEASING AGREEMENTS |
| Minimum lease payments fall due as follows: |
| Hire purchase contracts |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Net obligations repayable: |
| Within one year |
| Between one and five years |
| Non-cancellable operating | leases |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Within one year |
| Between one and five years |
| In more than five years |
| Global Machinery Solutions Limited (Registered number: 04936450) |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 October 2024 |
| 18. | SECURED DEBTS |
| The following secured debts are included within creditors: |
| 31.10.24 | 31.10.23 |
| £ | £ |
| Bank overdraft |
| Bank loans |
| Hire purchase contracts | 433,616 | 418,868 |
| The company has given a cross guarantee and debenture between Global Machinery Solutions Limited and Heathpatch Limited dated 15 September 2020 to Barclays Bank Plc. |
| The company has entered into a Composite Accounting Agreement with an unlimited guarantee to Barclays Bank Plc dated 19 February 2021. The participating companies in the guarantee are: Camden Boss Limited, Material Change Limited, Nedging Hall Estate Limited and the ultimate parent company, Heathpatch Limited. The agreement allows for interest to be set off and debit balances to be used in reducing liabilities within the Composite Accounting System. |
| Hire purchase liabilities are secured by the individual assets to which the liabilities relate. |
| The company has a secured finance facility available of up to £1,250,000 (2023: £750,000) for the purpose of purchasing stock. This facility is secured on the machines purchased using the facility. At the year end this amounted to £Nil (2023: £487,256). |
| 19. | CALLED UP SHARE CAPITAL |
| Allotted, issued and fully paid: |
| Number: | Class: | Nominal | 31.10.24 | 31.10.23 |
| value: | £ | £ |
| Ordinary | £1 | 1,784,800 | 1,784,800 |
| 20. | PENSION COMMITMENTS |
| The company operates a defined pension contribution scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents the contributions payable by the company to the fund and amounted to £52,307 (2023: £45,844). The contributions payable at the year end amounted to £11,083 (2023: £10,286) comprising both employer and employee contributions. |
| 21. | ULTIMATE PARENT COMPANY |
| Heathpatch Limited is the ultimate parent company. |
| The largest and smallest group of undertakings for which group accounts have been drawn up is headed by Heathpatch Limited, copies of the group accounts can be obtained from Companies House or at the company's registered office. |
| 22. | EVENTS SINCE THE YEAR END |
| After the year end, the company lost a key contract within a division. For the year ended 31 October 2024, the whole division contributed turnover of £1.6m and an operating profit of £236k to the company, which will reduce in future reporting periods following the loss of this contract. |