Registration number:
Black & Veatch (U.K.) Limited
for the Year Ended 31 December 2024
Black & Veatch (U.K.) Limited
Contents
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Company Information |
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Strategic Report |
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Director's Report |
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Statement of Director's Responsibilities |
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Independent Auditor's Report |
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Consolidated Profit and Loss Account |
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Consolidated Statement of Comprehensive Income |
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Consolidated Balance Sheet |
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Statement of Financial Position |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Black & Veatch (U.K.) Limited
Company Information
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Director |
Y Merjaneh |
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Company secretary |
G J Wilson |
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Registered office |
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Auditors |
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Black & Veatch (U.K.) Limited
Strategic Report for the Year Ended 31 December 2024
The Director presents his group strategic report for the year ended 31 December 2024 for the consolidated financial statements for Black & Veatch (UK) Limited ("the company") and its subsidiary (together "the group").
Black & Veatch (U.K.) Limited ("the group") is a wholly owned subsidiary of Black & Veatch International Company, a corporation which is part of the Black & Veatch Group of companies whose principal place of business is 11401 Lamar Avenue, Overland Park, KS 66211, United States of America.
Principal activity
The group's principal activities are the provision of engineering, construction, procurement, architectural and scientific study and design, construction management, financial and management consulting, infrastructure life-cycle management services, and other related professional services. These services are provided to electrical power generation and transmission, telecommunications, transportation, petroleum, chemical, petrochemical, gas processing, and government clients. The group also performs turnkey contracts primarily for industry and utilities. Work is executed under various types of contracts including cost-plus, fixed-price, fixed price modified by incentive and penalty provisions, and time and materials contracts. These contracts are undertaken independently by the company, in consortium with other parties, or through joint venture arrangements. The group has a branch in the Republic of Ireland.
Fair review of the business
For the year ended 31 December 2024, total revenue for the group was £39M (2023: £38.1M).
The group concluded the year with a profit on ordinary activities before tax of £4.3M (2023: £2.6M). Details of the Profit and Loss performance can be found on page 14.
The directors consider the group’s significant stakeholders to be its employees, its clients, its collaborators in projects, its supply chain, the communities, businesses and industries it serves, the environment and the Black & Veatch Group and its employee owners.
The group's key financial and other performance indicators during the year were as follows:
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Financial KPIs |
Unit |
2024 |
2023 |
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Revenue |
£ |
39,020 |
38,150 |
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Cash at bank |
£ |
40,751 |
32,222 |
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Staff Turnover |
No. |
80 |
78 |
Future developments
The group continued to execute the portfolio of projects it acquired in prior years and also was awarded new projects. This development requires the addition of new professionals in different disciplines to ensure further strengthening of the funnel with profitable prospects, and the profitable execution of the projects. The group is already active in delivering such projects, developing new projects and adding to its backlog. The directors will continue to seek opportunities for business growth and development in the future.
Black & Veatch (U.K.) Limited
Strategic Report for the Year Ended 31 December 2024 (continued)
Principal risks and uncertainties
Competitive pressure is a continuing risk for the group, which could result in it losing sales to its key competitors. To manage this risk, the group strives to provide enhanced services to its clients, driving higher levels of project execution and addressing issues promptly, and through maintaining strong relationships with clients and other stakeholders.
The group's businesses may be affected by fluctuations in the price and supply of key raw materials and labour costs. Through stringent purchasing policies and active supply chain management and practices the group seeks to mitigate such risks. The impact of Brexit is also being monitored by the directors, though to date there appears to be little impact on the group's businesses.
Black & Veatch (U.K.) Limited is the sponsoring employer of the Black & Veatch UK pension scheme. The defined benefit section is closed to new members and is currently in surplus. The funding level of this pension plan may be subject to adverse change resulting from movements in the actuarial assumptions underlying the calculation of plan liabilities, including decreasing discount rates and increasing longevity of plan members, as well as declines in the market value of plan investments. Significant adverse changes in the actuarial assumptions underlying the UK plan valuation and the company's share of any deficit-reduction contributions made into the plan could materially impact the company's financial position. The Defined contribution scheme relevant to most current employees of the company is managed by a specialist provider. The company has obligations regarding contributions which are in line with such stakeholder schemes and are considered acceptable.
Financial risk management objectives and policies
Foreign currency risk
A majority of the group's operation takes place within the UK and consequently there is little direct exchange risk other than intercompany financing and trading with Black & Veatch group affiliates. Where appropriate, the group manages this risk with forward foreign exchange contracts in line with Black & Veatch Group treasury policies.
Credit risk
Credit risk arises from cash and cash equivalents, deposits with banks and financial institutions, as well as credit exposures to customers, including outstanding receivables and committed transactions. The group has a credit risk exposure to the providers of its banking facilities; this risk is managed by dealing only with major banks and financial institutions with appropriate credit ratings. Exposure to credit risk of customers is managed by undertaking regular credit checks and review of credit rating of new and existing customers. In addition, this risk is actively managed by regular project reviews.
Liquidity risk
Liquidity risk management requires the maintenance of sufficient cash and the availability of funding through an adequate amount of committed credit facilities. The group has limited liquidity risk exposure as its operations are financed by a mixture of retained profits and group resources. Given the size and nature of the group's operations, the liquidity risk is managed by the Black & Veatch Group corporate treasury team.
Contractual risk
The group is exposed to a variety of contractual risks depending on the nature of work undertaken. These risks may include but are not limited to unforseen natural events, unexpected ground conditions, adverse industry impact, material inflation etc. These risks are actively managed by regular project reviews.
Black & Veatch (U.K.) Limited
Strategic Report for the Year Ended 31 December 2024 (continued)
Cyber security risk
Various privacy and security laws require us to protect sensitive and confidential information from disclosure. For example, the European Union’s General Data Protection Regulation (“GDPR”) greatly increases the jurisdictional reach of EU law and adds a broad array of requirements related to personal data, including individual notice and opt-out preferences and the public disclosure of significant data breaches. Our computer systems face the threat of unauthorized access, computer hackers, viruses, malicious code, cyber-attacks, phishing, and other security incursions and system disruptions, including attempts to improperly access our confidential and proprietary information as well as the confidential and proprietary information of our clients and other business partners. These risks are actively managed by the Black & Veatch Group corporate Digital & Information Technology team.
Section 172(1) statement
The matters set out in section 172(1) (a) to (f) of the Companies Act 2006 are that a director must act in the way they consider, in good faith, would be most likely to promote the success of the company for the benefit of its member and in doing so has regard (amongst other matters) to:
a) The likely consequences of any decision in the long term:
The group operates with a long-term strategic focus, ensuring that decisions on projects, investments, and operations are made with consideration of future outcomes, sustainability, and resilience. Major infrastructure and engineering projects are assessed not only for immediate financial viability but also for their long-term value, technical durability, and alignment with industry evolution and environmental trends. Risk management processes are embedded into strategic planning to address both short- and long-term uncertainties.
b) The interests of the group's employees:
Employees are at the heart of the group’s success. The group is committed to fostering a safe, inclusive, and supportive working environment that prioritises well-being, professional growth, and equal opportunity. Regular communication, training programmes, and career development initiatives help to retain and motivate staff. Health and safety remains a top priority, especially across construction and field-based engineering operations.
c) The need to foster the group's business relationships with suppliers, customers and others:
The group maintains strong, collaborative relationships with clients, delivery partners, subcontractors, and suppliers. These relationships are critical to delivering complex engineering and infrastructure projects effectively and on time. The directors encourage regular engagement, transparent communication, and fair commercial practices, ensuring mutual trust and long-term cooperation. The group strives to pay suppliers on time, in line with agreed terms, and works closely with customers to understand and respond to evolving project needs.
d) The impact of the group's operations on the community and the environment:
The group is committed to minimising environmental impact and contributing positively to the communities in which it operates. Environmental assessments and safety reviews are integral to all project planning and execution. The group actively integrates sustainable engineering solutions into its work, including innovations in renewable energy, water treatment, and decarbonisation. Local community engagement is encouraged to ensure that projects support societal well-being and minimise disruption.
e) The desirability of the group maintaining a reputation for high standards of business conduct; and compliance with all mandatory regulations:
The group places a strong emphasis on ethical conduct, regulatory compliance, and professional integrity. Directors ensure that decision-making is governed by thorough internal review, robust reporting, and alignment with UK regulations and international standards. Compliance training, quality assurance processes, and performance monitoring support the group’s commitment to delivering work responsibly and transparently.
Black & Veatch (U.K.) Limited
Strategic Report for the Year Ended 31 December 2024 (continued)
f) The need to act fairly as between members of the group:
The group has a single class of share and treats all members equitably. Directors engage with the shareholder(s) both formally through general meetings and informally where appropriate to ensure open communication and fair consideration of all interests. Group-wide decisions are made transparently and with a view to balanced outcomes for all stakeholders.
Engagement with employees
All directors are required to complete a directors' duty training module which provides management with an overview of the general duties and further support is provided by the Black & Veatch Group.
The directors fulfil their duties through the large Black & Veatch Group governance framework that delegates day to day responsibilities to its employees with appropriate review and assurance policies in place.
The directors have regard to the likely consequences of any decision in the long term in all aspects of the business. The "Principal Risks and Uncertainties" section of the group’s Strategic Report sets out the group's approach to management of risks that might adversely affect the group's business in the medium and long term.
As an employee-owned organisation, the Black & Veatch Group is committed to being a responsible employer recognising that our people are the key to success. We strive to engage with all our employees, making sure everyone is involved in the development of our business. Please refer to the 'Employee well-being' section of the group's Strategic Report for further details.
Engagement with suppliers, customers and other relationships
The directors regularly review our business relationships, maintaining high levels of client satisfaction and operating many long term partnership arrangements with key suppliers.
A reputation for high standards of business conduct is crucial to the business and its future success. This underpins everything we do and influences the decision that the directors make.
Health, safety, well-being and environment
As a group, providing a wide range of engineering services, health, safety, well-being and the environment are central to the group's operations. The directors and the group are committed to preventing work-related ill health, supporting and promoting the general and mental health and well-being of employees and others affected by its activities, and to improving the company's environmental performance in all areas of work, including the activities of its sub-contractors and suppliers.
As part of our commitment to responsible business practices, the Black & Veatch Group tracks key environmental and employee metrics including global energy use, greenhouse gas emissions, renewable energy use, safety incident rates, and a variety of people-based metrics. We currently track Scope 1, Scope 2 and Scope 3 business travel emissions and will expand our inventory to include other relevant Scope 3 categories in our 2025 carbon inventory. In 2024, our total global location-based emissions were 45,164 MtCO2e. In support of our goal to achieve net zero greenhouse gas emissions across Scopes 1, 2 and 3 by 2050, we currently participate in green energy programs and purchase renewable energy certificates to offset a portion of our emissions.
The management of environment, health, safety and well-being in the group is a line management responsibility supported by dedicated in-house Environmental, Safety, Health and Security (ESH&S) and Well-Being resources shared with the wider Black & Veatch Group. The group's policies and procedures in these areas are validated by certification to ISO 9001:2015 (Quality Management), ISO 14001:2015 (Environmental Management), ISO 45001:2018 (Health & Safety Management) with UKAS registered Lloyd's Register.
Black & Veatch (U.K.) Limited
Strategic Report for the Year Ended 31 December 2024 (continued)
Employees
Our people are our greatest asset in building a sustainable enterprise. We recognize the critical roles of safety and diversity, in both our organization and the communities we serve, and drive company initiatives that propel impact in these areas. For the Black & Veatch Group, safety is a foundational value and it is our unwavering goal to make each day injury-free. In 2024 our recordable incident rate was 0.28 and our lost time incident rate was 0.06.
It is the policy of the Black & Veatch Group to give full and fair consideration to applications for employment made by disabled persons having regard to their particular aptitudes and abilities, to continue wherever possible the employment of and to arrange appropriate training for those who become disabled and to provide equal opportunities for the training and career development of disabled employees. The Black & Veatch Group has a strong ethos of supporting equal opportunity through close attention to diversity and inclusion which is embraced by the company.
It is also the policy of the Black & Veatch Group to maintain and develop the involvement of all employees in the affairs of the company by which each is employed. Local managers provide, on a regular basis, information of concern to employees using a variety of methods such as business review meetings, briefing discussions, and training sessions. The views of employees are also sought on matters affecting them.
All employees of the group are expected to comply with Black & Veatch Group Policies including Black & Veatch Group Values and the high ethical standards maintained by the global Group.
Going concern
The group’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Review of Business on page 2. The financial position of the group, its cash flows, financial resources and borrowing facilities are described in the Strategic Report and the Report of the Directors on pages 2 to 8.
The directors have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the group to continue as a going concern. The directors have made this assessment for a period of at least one year from the date of the approval of these financial statements. The group has access to considerable financial resources from the Black & Veatch Group together with long-term contracts with certain customers and suppliers across different areas. Consequently, the directors are of the opinion that there are no material uncertainties as to the group’s ability to continue as a going concern in the foreseeable future (twelve months from the date of approval of these financial statements) and therefore believe it remains appropriate to prepare the financial statements on a going concern basis.
Events after the financial period
There have been no other significant events between the year end and the date of approval of these financial statements which would require a change to, or disclosure in, the financial statements.
Approved and authorised by the
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Black & Veatch (U.K.) Limited
Director's Report for the Year Ended 31 December 2024
The Director presents his report and financial statements for the year ended 31 December 2024.
Principal activity
The principal activity of the company is the provisioning of engineering services and the management of construction and engineering contracts.
Directors of the group
The directors who held office during the year were as follows:
Dividends
The company paid £Nil dividends in the year (2023: £Nil)
Information included in the Strategic Report
The directors have included the following disclosures required by s416(4) of the Companies Act 2006 in the Strategic Report in accordance with s414C(11): Principal risks and uncertainties, Future developments, Financial risk management objectives and policies and employee matters and with Sch7A.20D to Sch70.20I: Emissions and energy consumption.
Going concern
The group’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Review of Business on page 2. The financial position of the group, its cash flows, financial resources and borrowing facilities are described in the Strategic Report and the Report of the Directors on pages 2 to 8.
The directors have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the group to continue as a going concern. The directors have made this assessment for a period of at least one year from the date of the approval of these financial statements. The group has access to considerable financial resources from the Black & Veatch Group together with long-term contracts with certain customers and suppliers across different areas. Consequently, the directors are of the opinion that there are no material uncertainties as to the group’s ability to continue as a going concern in the foreseeable future (twelve months from the date of approval of these financial statements) and therefore believe it remains appropriate to prepare the financial statements on a going concern basis.
Important non adjusting events after the financial period
There have been no other significant events between the year end and the date of approval of these financial statements which would require a change to, or disclosure in, the financial statements.
Director's liabilities
All directors benefited from qualifying third party indemnity provisions in place during the financial year and at the date of approval of this report. Through policies affected by the Black & Veatch Group, the company has qualifying third party indemnity provisions for its directors and officers which remain in force at the date of this report.
Black & Veatch (U.K.) Limited
Director's Report for the Year Ended 31 December 2024 (continued)
Disclosure of information to the auditor
The director has taken steps that ought to have taken as a director in order to make aware of any relevant audit information and to establish that the company's auditor is aware of that information (as defined by s418 of Companies Act 2006). The director confirms that there is no relevant information that of and of which the auditor is unaware.
Reappointment of auditors
The auditors Shaw Gibbs (Audit) Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.
Approved and authorised by the
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Black & Veatch (U.K.) Limited
Statement of Director's Responsibilities
The Director acknowledges his responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the company and enable to ensure that the financial statements comply with the Companies Act 2006. also responsible for safeguarding the assets of the group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Black & Veatch (U.K.) Limited
Independent Auditor's Report
to the Members of Black & Veatch (U.K.) Limited
Opinion
We have audited the financial statements of Black & Veatch (U.K.) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Statement of Financial Position, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, 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 group's and the parent company's affairs as at 31 December 2024 and of the group's profit 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 director's 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 group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Black & Veatch (U.K.) Limited
Independent Auditor's Report
to the Members of Black & Veatch (U.K.) Limited (continued)
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our 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 and the Director's Report.
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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company 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 the director
As explained more fully in the Statement of Director's Responsibilities [set out on page 9], the director is 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 director determines is 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 director is 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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 an auditor’s 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
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Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including
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the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements; |
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we obtained an understanding of the legal and regulatory frameworks that the company operates in, and identified the laws and regulations applicable to the company through discussions with directors and other management, and from our cumulative audit and commercial knowledge and experience of the company and the industry; |
Black & Veatch (U.K.) Limited
Independent Auditor's Report
to the Members of Black & Veatch (U.K.) Limited (continued)
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we focused on specific laws and regulations which we considered may have a direct material effect on the determination of material amounts and disclosures the financial statements or the operations of the company, including the Companies Act 2006 and taxation legislations. We also considered and identified laws and regulations that do not have a direct affect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty, including the Bribery Act, Data Protection Act 2018, Employment Law and Health & Safety legislations. |
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we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
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identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
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We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
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making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and |
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considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
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We are also required to perform specific procedures to respond to the risk of management bias and override of controls. To address this, we performed analytical procedures to identify any unusual or unexpected relationships; tested journal entries to identify unusual transactions. |
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In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
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agreeing financial statement to disclosures underlying supporting documentation; |
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enquiring of management as to actual and potential litigation and claims; and |
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reviewing correspondence with HMRC, analysing legal costs to ascertain if there have been instances of non-compliance with laws and regulations. |
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There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. |
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Black & Veatch (U.K.) Limited
Independent Auditor's Report
to the Members of Black & Veatch (U.K.) Limited (continued)
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 an auditor’s 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.
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For and on behalf of
Salatin House
19 Cedar Road
Surrey
SM2 5DA
Black & Veatch (U.K.) Limited
Consolidated Profit and Loss Account
for the Year Ended 31 December 2024
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Note |
2024 |
2023 |
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Revenue |
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Cost of sales |
( |
( |
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Gross profit |
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Administrative expenses |
( |
( |
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Other operating income/(expenses) |
( |
( |
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Operating profit |
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Other interest receivable and similar income |
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Interest payable and similar expenses |
( |
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Profit before tax |
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Tax on profit |
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Profit for the financial year |
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Profit/(loss) attributable to: |
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Owners of the company |
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Minority interests |
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- |
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The above results were derived from continuing operations.
Black & Veatch (U.K.) Limited
Consolidated Statement of Comprehensive Income
for the Year Ended 31 December 2024
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2024 |
2023 |
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Profit for the year |
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Foreign currency translation gains |
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Remeasurement loss on defined benefit pension schemes |
( |
( |
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(514) |
(72) |
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Total comprehensive income for the year |
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Total comprehensive income attributable to: |
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Owners of the company |
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Minority interests |
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- |
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Black & Veatch (U.K.) Limited
(Registration number: 02376420)
Consolidated Balance Sheet as at 31 December 2024
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Note |
2024 |
2023 |
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Non-current assets |
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Property, plant and equipment |
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Investments |
- |
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Current assets |
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Receivables |
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Cash at bank and in hand |
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Payables: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Provisions for liabilities |
( |
( |
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Net assets excluding pension asset/(liability) |
17,685 |
13,033 |
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Net pension asset |
4,161 |
4,639 |
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Net assets |
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Equity |
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Called up share capital |
10,000 |
10,000 |
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Foreign currency translation reserve |
52 |
39 |
|
|
Retained earnings |
11,613 |
7,526 |
|
|
Equity attributable to owners of the company |
21,665 |
17,565 |
|
|
Minority interests |
181 |
107 |
|
|
Shareholders' funds |
21,846 |
17,672 |
Approved and authorised by the
|
......................................... |
Black & Veatch (U.K.) Limited
(Registration number: 02376420)
Statement of Financial Position as at 31 December 2024
|
Note |
2024 |
2023 |
|
|
Non-current assets |
|||
|
Property, plant and equipment |
|
|
|
|
Investments |
|
|
|
|
|
|
||
|
Current assets |
|||
|
Receivables |
|
|
|
|
Cash at bank and in hand |
|
|
|
|
|
|
||
|
Payables: Amounts falling due within one year |
( |
( |
|
|
Net current assets |
|
|
|
|
Total assets less current liabilities |
|
|
|
|
Provisions for liabilities |
( |
( |
|
|
Net assets excluding pension asset/(liability) |
14,649 |
10,475 |
|
|
Net pension asset |
4,161 |
4,639 |
|
|
Net assets |
|
|
|
|
Equity |
|||
|
Called up share capital |
10,000 |
10,000 |
|
|
Retained earnings |
8,810 |
5,114 |
|
|
Shareholders' funds |
18,810 |
15,114 |
As permitted by s408 Companies Act 2006, the company has not presented its own Profit & Loss Account and related notes. The company made a profit after tax for the financial year of £4,227,027 (2023 - profit of £2,797,627).
Approved and authorised by the
|
......................................... |
Black & Veatch (U.K.) Limited
Consolidated Statement of Changes in Equity
for the Year Ended 31 December 2024
Equity attributable to the parent company
|
Share capital |
Foreign currency translation reserve |
Retained earnings |
Total |
Non-controlling Interests |
Total Equity |
|
|
At 1 January 2024 |
|
|
|
|
|
|
|
Profit for the year |
- |
- |
|
|
|
|
|
Other comprehensive income/(loss) |
- |
|
( |
( |
|
( |
|
Total comprehensive income |
- |
|
|
|
|
|
|
At 31 December 2024 |
|
|
|
|
|
|
|
Share capital |
Foreign currency translation reserve |
Retained earnings |
Total |
Non-controlling interests |
Total Equity |
|
|
At 1 January 2023 |
|
( |
|
|
|
|
|
Profit for the year |
- |
- |
|
|
- |
|
|
Other comprehensive income/(loss) |
- |
|
( |
( |
- |
( |
|
Total comprehensive income |
- |
|
|
|
- |
|
|
At 31 December 2023 |
10,000 |
39 |
7,526 |
17,565 |
107 |
17,672 |
Black & Veatch (U.K.) Limited
Statement of Changes in Equity
for the Year Ended 31 December 2024
|
Share capital |
Retained earnings |
Total |
|
|
At 1 January 2024 |
|
|
|
|
Profit for the year |
- |
|
|
|
Other comprehensive income/(loss) |
- |
( |
( |
|
Total comprehensive income |
- |
|
|
|
At 31 December 2024 |
|
|
|
|
Share capital |
Retained earnings |
Total |
|
|
At 1 January 2023 |
|
|
|
|
Profit for the year |
- |
|
|
|
Other comprehensive income/(loss) |
- |
( |
( |
|
Total comprehensive income |
- |
|
|
|
At 31 December 2023 |
10,000 |
5,114 |
15,114 |
Black & Veatch (U.K.) Limited
Consolidated Statement of Cash Flows
for the Year Ended 31 December 2024
|
Note |
2024 |
2023 |
|
|
Cash flows from operating activities |
|||
|
Profit for the year |
|
|
|
|
Adjustments to cash flows from non-cash items |
|||
|
Depreciation and amortisation |
|
|
|
|
Finance income |
( |
( |
|
|
Finance costs |
|
( |
|
|
Income tax expense |
( |
( |
|
|
Foreign exchange gains/losses |
|
|
|
|
|
|
||
|
Working capital adjustments |
|||
|
(Increase)/decrease in receivables |
( |
|
|
|
Increase in payables |
|
|
|
|
Decrease in retirement benefit obligation net of actuarial changes |
( |
( |
|
|
(Decrease)/increase in provisions |
( |
|
|
|
Cash generated from operations |
|
|
|
|
Income taxes received |
|
|
|
|
Net cash flow from operating activities |
|
|
|
|
Cash flows from investing activities |
|||
|
Interest received |
|
|
|
|
Acquisitions of property, plant and equipment |
( |
( |
|
|
Proceeds from sale of intangible assets |
|
- |
|
|
Net cash flows from investing activities |
|
|
|
|
Cash flows from financing activities |
|||
|
Interest paid |
( |
|
|
|
Net increase in cash and cash equivalents |
|
|
|
|
Cash and cash equivalents at 1 January |
|
|
|
|
Cash and cash equivalents at 31 December |
40,751 |
32,222 |
|
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024
|
General information |
Black & Veatch (U.K.) Limited (the 'company') is a private company limited by share capital, registered in England and Wales under the Companies Act. The address of the registered office is given on page 1. The nature of the company’s operations and its principal activities are set out in the directors' report on page 7.
|
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Going concern
The directors have considered the group's financial position, liquidity and future performance together with financial projections for the group and over the foreseeable future and have also reviewed the availability of banking facilities. After making enquiries, the directors are satisfied that the group has sufficient resources to continue in operation for the foreseeable future, being at least 12 months from the date of signing the financial statements. Accordingly, they continue to adopt the going concern basis in preparing the group's financial statements.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 (FRS102) 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' issued by the Financial Reporting Council and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The functional currency of the company is considered to be pound sterling (£) because that is the currency of the primary economic environment in which the company operates. The financial statements are presented in pound sterling (£'000).
Basis of consolidation
The consolidated financial statement consolidate the financial statements of the company, its subsidiary undertakings together with a proportionate consolidation of its joint venture drawn up to 31 December 2024.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
2 |
Accounting policies (continued) |
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Statement of Comprehensive Income from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Jointly controlled entities
Where the Group undertakes joint arrangements that are classified as joint operations or involve jointly controlled assets, it applies proportionate consolidation in accordance with the provisions of Section 15 of FRS 102 - Investments in Joint Ventures. Under proportionate consolidation, the Group recognises its share of the assets, liabilities, income, and expenses of the joint arrangement on a line-by-line basis in the consolidated financial statements. This includes the Group’s share of any jointly held assets, its share of any liabilities incurred jointly with other venturers, and its share of the income and expenses arising from the joint arrangement.
The Group’s involvement in such joint arrangements is typically governed by contractual agreements which set out the terms of joint control, decision-making processes, and profit- and risk-sharing arrangements. These agreements are assessed to determine whether the substance of the arrangement meets the definition of a joint operation under FRS 102.
The Group assesses at each reporting date whether there is any indication of impairment in respect of its interest in jointly controlled assets and recognises any impairment loss in accordance with Section 27 of FRS 102 - Impairment of Assets.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
2 |
Accounting policies (continued) |
Key sources of estimation uncertainty
The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on a regular basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected.
In particular, information about significant areas of estimation uncertainty and critical judgements in applying accounting policies that have the most significant effects on the amounts recognised in the financial statements are set out below:
Contract outcome estimation:
Contract outturns are based on actual costs incurred to date and forecast costs to complete. These costs are based on the directors' best estimate of the results of these contracts. There remains a range of possible outcomes of the eventual contract outturn. The final contract outcomes may be materially different and are dependent on future events which include but are not limited to the ability of the company to mitigate known and potential future risk, learning efficiencies achieved and the outcome of any future commercial negotiation in relation to the scope of work provided to the customers concerned as part of a contract variation. However, based on current plans and available information (after considering valuations by qualified engineers and surveyors) the directors believe that the contract outturns booked in these financial statements represent an appropriate best estimate of the likely outturn (including any losses)..
Revenue recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognised:
Rendering of services
Revenue from services rendered is recognised by reference to the stage of completion of the transaction. Revenue from services provided on a short-term or one-off basis is recognised when the service is complete. The provision of services over a long-term period are treated as construction contracts, and the revenue recognised as set out below.
Construction contracts
Revenue and profit attributable from construction contracts, including long-term service provision contracts, is recognised by reference to the stage of completion of the contract. An expected loss on a contract is recognised immediately in the income statement.
Forecast contract revenues
Costs to complete
The forecast costs to complete on long term contracts are subject to a range of possible outcomes dependent on factors such as the cost, quantity required and usage of raw materials. The number and cost of man-hours are dependent on the likelihood of contractual risks being incurred and if incurred, being successfully mitigated.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
2 |
Accounting policies (continued) |
Overall contract review process
The directors participate and challenge management on their cost assessments as part of monthly contract reviews. The estimated costs to complete at a point in time represent the directors' best estimate of the likely contract outcome given the facts and circumstances that are known at the time the estimate is undertaken.
Foreign currency transactions and balances
Taxation
Current tax, including UK corporation tax and foreign tax, is provided at amounts expected to be paid (or recovered) using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events that result in an obligation to pay more tax in the future or a right to pay less tax in the future have occurred at the balance sheet date. Timing differences are differences between the Company's taxable profits and its results as stated in the financial statements that arise from the inclusion of gains and losses in tax assessments in periods different from those in which they are recognised in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that, on the basis of all available evidence, it can be regarded as more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of the timing difference. Deferred tax assets and liabilities are offset only if: a) the company has a legally enforceable right to set off current tax assets against current tax liabilities; and b) the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same taxation authority.
Property, plant and equipment
Tangible fixed assets are recorded at historical cost less accumulated depreciation and any provision for impairment. Cost comprises the purchase price together with all expenses directly incurred in bringing the asset to its location and condition ready for use.
Depreciation
Depreciation is provided by the company to write off the cost less the estimated residual value of tangible fixed assets on a straight line basis over the estimated useful economic lives of individual assets.
Depreciation is charged on a straight line basis from the approximate date of the asset coming into use. The following rates of depreciation (per annum) have been used for each class of assets:
|
Asset class |
Depreciation method and rate |
|
Computer equipment |
3 to 5 years |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and at bank.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
2 |
Accounting policies (continued) |
Centralising cash pooling arrangements
The Group participates in a centralised cash management arrangement (cash pool), under which certain bank accounts are subject to a pooling agreement, either on a physical or notional basis, to optimise liquidity and manage interest effectively across participating entities. Under the terms of the arrangement, individual cash balances of participating entities may be offset by the bank for interest calculation purposes, although legally each entity maintains separate rights and obligations in respect of its own balances. The Group does not offset balances in the financial statements unless a legally enforceable right of set-off exists and the intention is to settle on a net basis, in accordance with Section 2 of FRS 102 - Concepts and Pervasive Principles and paragraph 2.52 (netting of assets and liabilities).
Cash pool balances that represents:
Surplus positions are classified as cash and cash equivalents or amounts receivable from group undertakings, depending on their nature and legal enforceability.
Deficit positions are classified as bank overdrafts or amounts payable to group undertakings, as appropriate.
Interest income and expense arising from the cash pool are recognised in the income statement on an accruals basis, in accordance with the contractual terms of the arrangement. Intercompany interest is recognised within finance income or finance costs, unless capitalised in accordance with the Group’s borrowing cost policy. All intercompany positions arising under the cash pool arrangement are subject to the Group’s normal credit and settlement procedures and are eliminated on consolidation where relevant.
Receivables
Receivables are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of receivables is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms.
Payables
Payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities. Payables are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
2 |
Accounting policies (continued) |
Defined benefit pension plan and other post-retirement benefits
The company participates in a group wide pension scheme which is hybrid, comprising a defined benefit section and a defined contribution section.
The defined benefit section is recognised and accounted for in accordance with Section 28 (Employee benefits) of FRS 102. For defined contribution schemes the amount charged to the Statement of Comprehensive Income in respect of pension costs and other retirement benefits is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either other creditor or other debtor in the statement of financial position.
Financial instruments
Classification
|
Revenue |
The analysis of the group's Revenue for the year from continuing operations is as follows:
|
2024 |
2023 |
|
|
Rendering of services |
|
|
|
Intercompany revenue |
|
|
|
|
|
|
Operating profit |
Arrived at after charging/(crediting)
|
2024 |
2023 |
|
|
Depreciation expense |
|
|
|
Other interest receivable and similar income |
|
2024 |
2023 |
|
|
Interest income on bank deposits |
|
|
|
Interest payable and similar expenses |
|
2024 |
2023 |
|
|
Foreign exchange (gains)/losses |
|
( |
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
Staff costs |
The aggregate payroll costs (including directors' remuneration who have resigned) during the year were as follows:
|
2024 |
2023 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
|
|
The average number of persons employed by the group (including the directors who have resigned) during the year, analysed by category was as follows:
|
2024 |
2023 |
|
|
Administration and support |
|
|
|
Sales, marketing and distribution |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Contributions paid to Defined contribution pension scheme |
|
|
|
254 |
388 |
The remuneration shown above relates to two directors who were remunerated by the group. All other directors' remuneration is borne by other group companies.
In respect of the highest paid director:
|
2024 |
2023 |
|
|
Remuneration |
|
|
|
Company contributions to pension schemes |
|
|
|
166 |
174 |
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
Auditors' remuneration |
|
2024 |
2023 |
|
|
Audit of these financial statements |
19 |
17 |
|
Other fees to auditors |
||
|
All other non-audit services |
|
|
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2024 |
2023 |
|
|
Current taxation |
||
|
UK corporation tax |
( |
( |
|
Foreign tax |
- |
|
|
Total current income tax |
(413) |
(59) |
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
|
( |
|
Tax receipt in the income statement |
( |
( |
The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (2024 - lower than the standard rate of corporation tax in the UK) of 25% (2023 - 23.5%)
The differences are reconciled below:
|
2024 |
2023 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Effect of tax losses |
( |
( |
|
Total tax credit |
( |
( |
In the Spring Budget 2021, the UK Government announced that from 1 April 2023 the corporation tax rate would increase to 25% (rather than remaining at 19%, as previously enacted). This new law was substantively enacted on 24 May 2021. For the financial year ended 31 December 2024 the tax rate was 25% (2023: the weighted averaged tax rate was 23.5%).
The company has unrelieved tax losses of approximately £2.9M (2023: £5.3M) carried forward as at 31 Dec 2024. These unrelieved tax losses are available for utilisation against future trading profits.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
10 |
Taxation (continued) |
Deferred tax
Tax relating to items recognised in other comprehensive income or equity - group
|
2024 |
2023 |
|
|
Deferred tax related to items recognised as items of other comprehensive income |
( |
|
Tax relating to items recognised in other comprehensive income or equity - company
|
2024 |
2023 |
|
|
Deferred tax related to items recognised as items of other comprehensive income |
( |
|
|
Property, plant and equipment |
Group
|
Computer equipment |
|
|
Cost |
|
|
At 1 January 2024 |
|
|
Additions |
|
|
At 31 December 2024 |
|
|
Depreciation |
|
|
At 1 January 2024 |
|
|
Charge for the year |
|
|
At 31 December 2024 |
|
|
Carrying amount |
|
|
At 31 December 2024 |
|
|
At 31 December 2023 |
|
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
11 |
Property, plant and equipment (continued) |
Company
|
Computer equipment |
|
|
Cost |
|
|
At 1 January 2024 |
|
|
Additions |
|
|
At 31 December 2024 |
|
|
Depreciation |
|
|
At 1 January 2024 |
|
|
Charge for the year |
|
|
At 31 December 2024 |
|
|
Carrying amount |
|
|
At 31 December 2024 |
|
|
At 31 December 2023 |
|
|
Investments |
Company
|
2024 |
2023 |
|
|
Investments in subsidiaries |
|
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:
|
Undertaking |
Country of incorporation |
Holding |
Proportion of voting rights and shares held |
|
|
2024 |
2023 |
|||
|
Subsidiary undertakings |
||||
|
|
Mongolia |
|
|
|
|
|
Kingdom of Saudi Arabia |
|
|
|
|
Joint venture |
||||
|
|
United Kingdom |
Ordinary |
|
|
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
12 |
Investments (continued) |
|
Undertaking |
Country of incorporation |
Holding |
Proportion of voting rights and shares held |
|
|
Associates |
||||
|
|
Colorado, USA |
Ordinary |
|
|
Subsidiary undertakings
|
Black & Veatch Mongolia LLC The principal activity of Black & Veatch Mongolia LLC is |
|
Black & Veatch Partner Consulting Engineers The principal activity of Black & Veatch Partner Consulting Engineers is |
Associate undertakings
|
SJC - BVIL
The principal activity of SJC - BVIL is |
Joint venture undertakings
|
Skanska UK Plc The principal activity of Skanska UK Plc is |
|
Subsidiaries |
£ 000 |
|
Cost |
|
|
At 1 January 2024 |
|
|
Carrying amount |
|
|
At 31 December 2024 |
|
|
At 31 December 2023 |
|
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
Receivables |
|
Group |
Company |
||||
|
Current |
Note |
2024 |
2023 |
2024 |
2023 |
|
Trade receivables |
|
|
|
|
|
|
Amounts owed by group undertakings |
|
|
|
|
|
|
Amounts recoverable on contract |
|
|
|
|
|
|
Deferred tax asset |
|
|
|
|
|
|
Other receivables |
|
|
|
|
|
|
|
|
|
|
||
The amounts owed by group undertakings disclosed as falling within one year is unsecured, payable on demand and is not interest bearing.
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2024 |
2023 |
2024 |
2023 |
|
|
Cash at bank |
|
|
|
|
|
Payables |
|
Group |
Company |
||||
|
Note |
2024 |
2023 |
2024 |
2023 |
|
|
Due within one year |
|||||
|
Trade payables |
|
|
|
|
|
|
Payments on account |
|
|
|
|
|
|
Amounts owed to group undertakings |
|
|
|
|
|
|
Corporate tax liability |
5 |
158 |
5 |
- |
|
|
Social security and other taxes |
|
|
|
|
|
|
Other payables |
|
|
|
|
|
|
Accruals |
|
|
|
|
|
|
|
|
|
|
||
The amounts owed to group undertakings disclosed as falling within one year is unsecured, payable on demand and interest bearing.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
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Provisions for liabilities |
Group
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Deferred tax |
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At 1 January 2024 |
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Provisions used |
( |
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At 31 December 2024 |
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|
|
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Company
|
Deferred tax |
|
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At 1 January 2024 |
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Provisions used |
( |
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At 31 December 2024 |
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Provision for liabilities as at the year end is in respect of deferred tax on pension assets.
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Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Defined benefit pension schemes
As a result of the 31 December 2020 sale of the former related company, Black & Veatch Limited, some of the pension schemes operated by that company transferred to the company. The scheme which transferred is a hybrid pension scheme comprising a defined contribution section and a section that provides benefits based on final pensionable pay (defined benefit). The defined benefit section has been closed to new members since 2009. These pension arrangements for the company's employees are currently provided through the Black & Veatch (UK) Pension Scheme, the assets of which are held separately from those of the company in an independently administered fund. An actuarial update of the final salary section was carried out at 31 December 2024 and a full actuarial valuation of the Scheme was undertaken as at 31 March 2024. The total pension charge for the period was £132,000 (2023: (£184,000).
The mortality assumption used by the actuary for the year was 92% of S2PMA light tables for male pensioners; 103% of S3P (year of birth) light tables for male pensioners; 99% of S3P light tables for female pensioners; 109% of S3P (year of birth) tables for non pensioners. The mortality assumption for future improvements was CMI 2020 model with long term rate of improvement of 1.25% p.a. The company also has an obligation to fund the obligations to a retired partner of an entity acquired in 1995; this is an unfunded scheme. This obligation was acquired from Black & Veatch Power Limited, (formerly Black & Veatch Consulting Limited), a fellow group company, on 31 December 2004.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
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17 |
Pension and other schemes (continued) |
Reconciliation of scheme assets and liabilities to assets and liabilities recognised
The amounts recognised in the statement of financial position are as follows:
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2024 |
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Fair value of scheme assets |
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Present value of defined benefit obligation |
( |
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Defined benefit pension scheme surplus |
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Defined benefit obligation
Changes in the defined benefit obligation are as follows:
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2024 |
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Present value at start of year |
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Interest cost |
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Actuarial gains and losses |
( |
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Benefits paid |
( |
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Present value at end of year |
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Fair value of scheme assets
Changes in the fair value of scheme assets are as follows:
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2024 |
|
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Fair value at start of year |
|
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Interest income |
|
|
Expenses paid |
( |
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Actuarial gains and losses |
( |
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Employer contributions |
|
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Benefits paid |
( |
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Fair value at end of year |
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Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
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17 |
Pension and other schemes (continued) |
Analysis of assets
The major categories of scheme assets are as follows:
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2024 |
2023 |
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Cash and cash equivalents |
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Debt instruments |
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Asset-backed securities |
76 |
77 |
|
100 |
100 |
Return on scheme assets
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2024 |
2023 |
|
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Return on scheme assets |
( |
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The pension scheme has not invested in any of the group's own financial instruments or in properties or other assets used by the group.
Principal actuarial assumptions
The principal actuarial assumptions at the statement of financial position date are as follows:
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2024 |
2023 |
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Discount rate |
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Inflation |
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The scheme assets do not include any financial instruments of the company, nor any property occupied by, or other assets used by, the company. To develop the expected long-term rate of return on assets assumptions, the company considered the current level of expected returns on risk free investments (primarily government bonds), the historical level of the risk premium associated with the other asset classes in which the portfolio is invested and the expectations for future returns of each asset class. The expected return for each asset class was then weighted based on the target asset allocation to develop the expected long-term rate of return on assets assumption for the portfolio. This resulted in the selection of the 5.05% assumption.
The above principal actuarial assumptions are expressed as weighted averages for the main scheme. Including the retired partners scheme assumptions as a weighted average would not lead to a material difference.
Future contributions:
The directors anticipate no contributions will be required from the company in 2025.
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
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Share Capital & Reserves |
Allotted, called up and fully paid shares
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2024 |
2023 |
|||
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No. 000 |
£ 000 |
No. 000 |
£ 000 |
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|
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10,000 |
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10,000 |
Reserves
The retained earnings reserve represents cumulative profit or losses net of dividends paid and other adjustments.
The foreign currency reserve comprises all foreign exchange differences arising from the translation of the financial statements of the group's foreign subsidiary into the presentational currency.
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Minority interests |
The minority interests relate to:
Black & Veatch Partner Consulting Engineers of which 25% (2023 - 25%) of the voting rights are held outside of the group.
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Contingent liabilities |
There were no contingent liabilities for the group or company.
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Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
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2024 |
2023 |
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Not later than one year |
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Later than one year and not later than five years |
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The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
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Related party transactions |
Group
Income and receivables from related parties
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2024 |
Joint venture |
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Rendering of services |
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2023 |
Joint venture |
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Rendering of services |
- |
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Expenditure with and payables to related parties
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2024 |
Joint venture |
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Expenditure |
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Amounts payable to related parties |
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2023 |
Joint venture |
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Expenditure |
- |
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Amounts payable to related parties |
- |
|
- |
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Company
Income and receivables from related parties
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2024 |
Joint venture |
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Rendering of services |
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2023 |
Joint venture |
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Rendering of services |
- |
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Black & Veatch (U.K.) Limited
Notes to the Financial Statements
for the Year Ended 31 December 2024 (continued)
|
22 |
Related party transactions (continued) |
Expenditure with and payables to related parties
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2024 |
Joint venture |
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Expenditure |
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Amounts payable to related parties |
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2023 |
Joint venture |
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Expenditure |
- |
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Amounts payable to related parties |
- |
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- |
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Parent and ultimate parent undertaking |
The company is a subsidiary undertaking of Black & Veatch International Company, which is incorporated in the State of Missouri, in the United States of America.
The largest and smallest group in which the results of the company are consolidated is that headed by BVH, Inc., a corporation whose principal place of business is at 11401 Lamar, Overland Park, Kansas 66211, United States of America. The most senior parent entity producing publicly available financial statements is Black & Veatch (U.K.) Limited. The company knows or has reasonable cause to believe that there is no registrable person in relation to BVH, Inc. under the Companies Act 2006.
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Non adjusting events after the financial period |
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