Company registration number 10552361 (England and Wales)
INDUSTRIAL POWER SYSTEMS LTD
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
PAGES FOR FILING WITH REGISTRAR
INDUSTRIAL POWER SYSTEMS LTD
CONTENTS
Page
Balance sheet
1 - 2
Notes to the financial statements
3 - 8
INDUSTRIAL POWER SYSTEMS LTD
BALANCE SHEET
AS AT
31 JANUARY 2025
31 January 2025
- 1 -
2025
2024
Notes
£
£
£
£
Fixed assets
Intangible assets
4
5,677
6,011
Tangible assets
5
500,123
501,310
505,800
507,321
Current assets
Stocks
194,098
135,379
Debtors
6
538,951
492,884
Cash at bank and in hand
318,169
246,408
1,051,218
874,671
Creditors: amounts falling due within one year
7
(414,017)
(419,281)
Net current assets
637,201
455,390
Total assets less current liabilities
1,143,001
962,711
Creditors: amounts falling due after more than one year
8
(137,928)
(146,332)
Provisions for liabilities
(38,671)
(24,475)
Net assets
966,402
791,904
Capital and reserves
Called up share capital
9
100
100
Revaluation reserve
10
76,053
Profit and loss reserves
890,249
791,804
Total equity
966,402
791,904
INDUSTRIAL POWER SYSTEMS LTD
BALANCE SHEET (CONTINUED)
AS AT
31 JANUARY 2025
31 January 2025
- 2 -
For the financial year ended 31 January 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 10 July 2025 and are signed on its behalf by:
P A Campbell
Director
Company registration number 10552361 (England and Wales)
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
- 3 -
1
Accounting policies
Company information
Industrial Power Systems Ltd is a private company limited by shares incorporated in England and Wales. The registered office is Unit 4 Roundwood Trade Park, Roundwood Drive, Sherdley Industrial Estate, St Helens, WA9 5XU.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company.
The financial statements have been prepared under the historical cost convention, modified to include freehold land and buildings at fair value. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
1.3
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives of 20 years.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land and buildings
Not depreciated
Plant and equipment
25% Reducing balance
Fixtures and fittings
20% Reducing balance
Computers
20% Reducing balance
Motor vehicles
25% Reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
Properties whose fair value can be measured reliably are held under the revaluation model and are carried at a revalued amount, being their fair value at the date of valuation.
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
1
Accounting policies
(Continued)
- 4 -
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, 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.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares 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.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
1
Accounting policies
(Continued)
- 5 -
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2025
2024
Number
Number
Total
6
6
3
Taxation
2025
2024
£
£
Current tax
UK corporation tax on profits for the current period
93,976
41,550
Adjustments in respect of prior periods
(22)
(164)
Total current tax
93,954
41,386
Deferred tax
Origination and reversal of timing differences
(11,155)
(55,591)
Total tax charge/(credit)
82,799
(14,205)
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 6 -
4
Intangible fixed assets
Other intangible assets
£
Cost
At 1 February 2024 and 31 January 2025
6,679
Amortisation and impairment
At 1 February 2024
668
Amortisation charged for the year
334
At 31 January 2025
1,002
Carrying amount
At 31 January 2025
5,677
At 31 January 2024
6,011
5
Tangible fixed assets
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 February 2024
317,801
74,381
23,944
3,963
228,883
648,972
Additions
15,795
3,244
2,772
21,811
Disposals
(189,042)
(189,042)
Revaluation
101,404
101,404
At 31 January 2025
435,000
74,381
27,188
6,735
39,841
583,145
Depreciation and impairment
At 1 February 2024
43,110
9,023
1,913
93,616
147,662
Depreciation charged in the year
7,818
3,239
488
14,317
25,862
Eliminated in respect of disposals
(90,502)
(90,502)
At 31 January 2025
50,928
12,262
2,401
17,431
83,022
Carrying amount
At 31 January 2025
435,000
23,453
14,926
4,334
22,410
500,123
At 31 January 2024
317,801
31,271
14,921
2,050
135,267
501,310
The freehold property was revalued at £435,000 on 25 November 2024 by RCS Chartered Surveyors. The valuation was conducted in accordance with the RICS Valuation - Global standards and reflects the fair value of the property at the valuation date. The historic cost of the property was £333,596.
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 7 -
6
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
169,603
136,608
Other debtors
359,122
351,000
Prepayments and accrued income
10,226
5,276
538,951
492,884
Included within other debtors is a loan to a connected company of £350,000 (2024 - £350,000).
7
Creditors: amounts falling due within one year
2025
2024
£
£
Bank loans
8,400
8,400
Trade creditors
106,228
126,461
Corporation tax
93,976
41,550
Other taxation and social security
120,931
110,555
Other creditors
212
4,392
Accruals and deferred income
84,270
127,923
414,017
419,281
The bank loan is secured against the freehold property by way of a fixed and floating charge.
8
Creditors: amounts falling due after more than one year
2025
2024
Notes
£
£
Bank loans and overdrafts
137,928
146,332
The bank loan is secured against the freehold property by way of a fixed and floating charge.
Amounts included above which fall due after five years are £104,327 payable by instalments.
9
Called up share capital
2025
2024
2025
2024
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary Shares of £1 each
100
100
100
100
INDUSTRIAL POWER SYSTEMS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
- 8 -
10
Revaluation reserve
2025
2024
£
£
At the beginning of the year
Revaluation surplus arising in the year
101,404
Deferred tax on revaluation of tangible assets
(25,351)
-
At the end of the year
76,053
-
11
Events after the reporting date
Subsequent to the year end, in February 2025, the company completed the sale of its freehold property for £435,000. The proceeds were used to fully repay a bank loan of £146,328, which was secured on the property.