REGISTERED NUMBER: 04535081 (England and Wales)

Strategic Report, Report of the Directors and

Audited Financial Statements for the Year Ended 31 December 2024

for

W M Building Services (Leicester) Ltd

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditor

5

Income Statement

8

Other Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

14

DIRECTORS:

R W Foster

L J Sutton

REGISTERED OFFICE:

657 Melton Road

Thurmaston

Leicestershire

LE4 8EB

REGISTERED NUMBER:

04535081 (England and Wales)

SENIOR STATUTORY AUDITOR:

Graham Barnes FCA

AUDITOR:

Graham Barnes FCA

26 Rectory Lane

Thurcaston

Leicestershire

LE77JQ

The directors present their strategic report for the year ended 31 December 2024.

The financial year commencing January 1st, 2024, was generally in line with our expectations. Turnover was very similar to the year 2023 with profit 24% lower than the previous year, this reduction was generally down to cost increases across the market and an increase in overhead which has been necessary to prepare for 2025/2026 year.

Administrative expenses have increased by 10% from the previous year with pre-tax profits decreased by 25%, and the margin being reduced to 4.6% of turnover.

The outlook for 2025/2026 is positive. We expect to see an increase in turnover by 10-15% from 2024/2025 and margins similar at 5%. It is still an extremely competitive industry and this does affect margin, but enquiries have been on the increase for several months with projects that were being delayed now looking to commence in Q3/Q4 2025 and into 2026.

The order book for 2025 is healthy with a variety of industrial and commercial projects to commence during the year along with several multi room projects also due to commence during 2025/2026 with delayed projects completing during 2025. Across the business we do see a significant shift from the previous two years and look to invest and expand to meet the demand and our commitments to be a carbon neutral business in 2025.

ON BEHALF OF THE BOARD:

L J Sutton - Director

10 July 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of heating, ventilation and air conditioning engineering.

DIVIDENDS

An interim dividend of £1,235 per share was paid on 30 June 2024. The directors recommend a final dividend of 14,117 per share, making a total of 15,352 per share for the year ended 31 December 2024.

The total distribution of dividends for the year ended 31 December 2024 will be £ 522,000 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

R W Foster

L J Sutton

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditor is unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditor is aware of that information.

AUDITOR

The auditor, Graham Barnes FCA, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

L J Sutton - Director

10 July 2025

Opinion

I have audited the financial statements of W M Building Services (Leicester) Ltd (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 my opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its 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

I conducted my audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. My responsibilities under those standards are further described in the Auditor responsibilities for the audit of the financial statements section of my report. I am independent of the company in accordance with the ethical requirements that are relevant to my audit of the financial statements in the UK, including the FRC's Ethical Standard, and I have fulfilled my other ethical responsibilities in accordance with these requirements. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

Conclusions relating to going concern

In auditing the financial statements, I have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work I have performed, I have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

My responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and my Report of the Auditor thereon.

My opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in my report, I do not express any form of assurance conclusion thereon.

In connection with my audit of the financial statements, my responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or my knowledge obtained in the audit or otherwise appears to be materially misstated. If I identify such material inconsistencies or apparent material misstatements, I am required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work I have performed, I conclude that there is a material misstatement of this other information, I am required to report that fact. I have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In my opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which I am required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, I have not identified material misstatements in the Strategic Report or the Report of the Directors.

I have nothing to report in respect of the following matters where the Companies Act 2006 requires me to report to you if, in my opinion:

-	adequate accounting records have not been kept, or returns adequate for my audit have not been received from branches not visited by me; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	I have not received all the information and explanations I require for my audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

My objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditor that includes my 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.

We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity, the entity

could not operate if it did not adhere to health and safety laws and is subject to a separate audit by its insurers.

A further description of my responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of my Report of the Auditor.

Use of my 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. My audit work has been undertaken so that I might state to the company's members those matters I am required to state to them in a Report of the Auditor and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the company and the company's members as a body, for my audit work, for this report, or for the opinions I have formed.

Graham Barnes FCA (Senior Statutory Auditor)

for and on behalf of Graham Barnes FCA

26 Rectory Lane

Thurcaston

Leicestershire

LE77JQ

10 July 2025

TURNOVER

3

25,364,716

25,874,605

Cost of sales

21,801,685

22,147,644

GROSS PROFIT

3,563,031

3,726,961

Administrative expenses

2,385,385

2,172,721

1,177,646

1,554,240

Other operating income

-

32,894

OPERATING PROFIT

6

1,177,646

1,587,134

Interest payable and similar expenses

7

-

1,026

PROFIT BEFORE TAXATION

1,177,646

1,586,108

Tax on profit

8

287,203

371,155

PROFIT FOR THE FINANCIAL YEAR

890,443

1,214,953

PROFIT FOR THE YEAR

890,443

1,214,953

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

890,443

1,214,953

FIXED ASSETS

Tangible assets

10

213,100

184,265

CURRENT ASSETS

Debtors

11

9,316,516

9,445,391

Cash and cash equivalents

4,741,277

4,368,862

14,057,793

13,814,253

CREDITORS

Amounts falling due within one year

12

3,676,286

3,783,174

NET CURRENT ASSETS

10,381,507

10,031,079

TOTAL ASSETS LESS CURRENT LIABILITIES

10,594,607

10,215,344

CREDITORS

Amounts falling due after more than one year

13

11,113

293

NET ASSETS

10,583,494

10,215,051

CAPITAL AND RESERVES

Called up share capital

16

34

34

Retained earnings

17

10,583,460

10,215,017

SHAREHOLDERS' FUNDS

10,583,494

10,215,051

The financial statements were approved by the Board of Directors and authorised for issue on 10 July 2025 and were signed on its behalf by:

L J Sutton - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

34

9,042,064

9,042,098

Changes in equity

Dividends

-

(42,000

)

(42,000

)

Total comprehensive income

-

1,214,953

1,214,953

Balance at 31 December 2023

34

10,215,017

10,215,051

Changes in equity

Dividends

-

(522,000

)

(522,000

)

Total comprehensive income

-

890,443

890,443

Balance at 31 December 2024

34

10,583,460

10,583,494

Cash flows from operating activities

Cash generated from operations

1

1,055,113

1,179,518

Interest paid

-

(1,026

)

Tax paid

(435,624

)

105,576

Net cash from operating activities

619,489

1,284,068

Cash flows from investing activities

Purchase of tangible fixed assets

(50,074

)

-

Net cash from investing activities

(50,074

)

-

Cash flows from financing activities

Share issue

-

34

Equity dividends paid

(197,000

)

(42,000

)

Net cash from financing activities

(197,000

)

(41,966

)

Increase in cash and cash equivalents

372,415

1,242,102

Cash and cash equivalents at beginning of year

2

4,368,862

3,126,760

Cash and cash equivalents at end of year

2

4,741,277

4,368,862

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

31.12.24

31.12.23

£

£

Profit before taxation

1,177,646

1,586,108

Depreciation charges

21,238

17,477

Finance costs

-

1,026

1,198,884

1,604,611

Increase in trade and other debtors

(196,125

)

(2,235,564

)

Increase in trade and other creditors

52,354

1,810,471

Cash generated from operations

1,055,113

1,179,518

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

4,741,277

4,368,862

Year ended 31 December 2023

31.12.23

1.1.23

£

£

Cash and cash equivalents

4,368,862

3,126,760

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.24

Cash flow

At 31.12.24

£

£

£

Net cash

Cash and cash equivalents

4,368,862

372,415

4,741,277

4,368,862

372,415

4,741,277

Debt

Debts falling due within 1 year

(7,414

)

(24,183

)

(31,597

)

Debts falling due after 1 year

-

(11,113

)

(11,113

)

(7,414

)

(35,296

)

(42,710

)

Total

4,361,448

337,119

4,698,567

1.	STATUTORY INFORMATION

W M Building Services (Leicester) Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision

of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax,

returns, rebates and discounts.

The company recognises revenue when:

The amount of revenue can be reliably measured;

it is probable that future economic benefits will flow to the entity;

and specific criteria have been met for each of the company's activities.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

2% on cost

Fixtures and fittings

-

15% on cost

Motor vehicles

-

25% on cost

Financial instruments

The company recognises financial instruments when it becomes a party to the contractual terms of the instrument.

All financial assets and liabilities are initially measured at the transaction price, which includes transaction costs. If a financing arrangement exists (e.g., deferred settlement terms not at market rates), the instrument is initially recognised at the present value of future payments discounted at a market rate of interest.

Classification

The company classifies its financial instruments into the following categories:

Basic Financial Instrument), which typically include:

Trade receivables

Trade payables

Cash and cash equivalents

Bank loans and overdrafts

Measured at amortised cost using the effective interest method, where applicable.

Trade receivables and payables are measured at the invoice amount unless a financing arrangement exists.

Bank borrowings are measured at amortised cost.

Investments in shares that are publicly traded or where fair value can be reliably measured are held at fair value through profit or loss.

Other Financial Instruments:

Measured at fair value through profit or loss, with changes in fair value recognised in the profit and loss account.

Impairment of Financial Assets

The company reviews financial assets at each reporting date for indicators of impairment.

If there is evidence of impairment (e.g., overdue receivables or significant financial difficulty of a customer), the impairment loss is calculated as the difference between the asset’s carrying amount and the estimated recoverable amount, discounted at the asset’s original effective interest rate.

Impairment losses are recognised in the profit and loss account and reversed if the reasons for impairment cease to exist.

Derecognition

A financial asset is derecognised when the contractual rights to cash flows expire or are transferred and substantially all risks and rewards are passed to another party.

A financial liability is derecognised when the obligation is discharged, cancelled, or expires.

Hedge Accounting

Hedge accounting is applied when specific criteria under Section 12 are met. This applies primarily to foreign exchange contracts used to hedge future sales or purchases denominated in foreign currency.

The company formally documents hedge relationships and tests effectiveness both at inception and on an ongoing basis.

Disclosures

The company discloses information required under FRS 102 Sections 11 and 12, including:

Categories and carrying amounts of financial assets and liabilities

Exposure to credit, liquidity, and market risks

Nature and extent of hedging instruments, if applicable

Fair value measurement disclosures for instruments held at fair value

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

31.12.24

31.12.23

£

£

United Kingdom

25,364,716

25,874,605

25,364,716

25,874,605

4.	EMPLOYEES AND DIRECTORS

31.12.24

31.12.23

£

£

Wages and salaries

1,228,410

1,238,083

Social security costs

142,271

153,061

Other pension costs

146,455

126,260

1,517,136

1,517,404

The average number of employees during the year was as follows:

31.12.24

31.12.23

Production

7

6

Office

20

20

27

26

During the year the company paid pension contributions of £10,000 (2023 - £10,000) on behalf of Mr L Sutton, a director of the company.

5.	DIRECTORS' EMOLUMENTS

31.12.24

31.12.23

£

£

Directors' remuneration

116,834

121,683

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

1

1

6.	OPERATING PROFIT

The operating profit is stated after charging:

31.12.24

31.12.23

£

£

Other operating leases

23,596

21,050

Depreciation - owned assets

21,239

17,477

Auditors' remuneration

8,000

7,500

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.12.24

31.12.23

£

£

Interest payable

-

1,026

8.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.12.24

31.12.23

£

£

Current tax:

UK corporation tax

287,203

371,155

Tax on profit

287,203

371,155

UK corporation tax has been charged at 25% .

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

31.12.24

31.12.23

£

£

Profit before tax

1,177,646

1,586,108

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 25%)

294,412

396,527

Effects of:

Capital allowances in excess of depreciation

(7,209

)

(25,372

)

Total tax charge

287,203

371,155

9.

DIVIDENDS

31.12.24

31.12.23

£

£

Ordinary shares of 1 each

Final

197,000

42,000

10.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

and

Motor

property

fittings

vehicles

Totals

£

£

£

£

COST

At 1 January 2024

121,076

188,699

162,448

472,223

Additions

-

-

50,074

50,074

At 31 December 2024

121,076

188,699

212,522

522,297

DEPRECIATION

At 1 January 2024

-

188,699

99,259

287,958

Charge for year

2,421

-

18,818

21,239

At 31 December 2024

2,421

188,699

118,077

309,197

NET BOOK VALUE

At 31 December 2024

118,655

-

94,445

213,100

At 31 December 2023

121,076

-

63,189

184,265

11.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

£

Trade debtors

6,826,408

6,870,721

Amounts recoverable on contract

1,049,223

1,236,788

Other debtors

1,440,885

1,337,882

9,316,516

9,445,391