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Registered number:
CONSOLIDATED
FOR THE YEAR ENDED 31 DECEMBER 2024
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TEEM GROUP LIMITED
COMPANY INFORMATION
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TEEM GROUP LIMITED
CONTENTS
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TEEM GROUP LIMITED
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The principal activity of the Group continued to be that of the design, build and installation of mechanical, electrical and public health services for industrial and commercial buildings.
The directors consider the results for the year and the financial position of the Group at the end of the year satisfactory and demonstrate resilience.
The results were achieved despite the impact and uncertainty and the continuing inflationary pressures caused by the war in Ukraine and consequential high interest rates that affected decision making in the office fit out market in 2024, which however saw somewhat of a Covid bounce back. The Group continues to explore diversification of its client base, geographical spread, and work sectors and protects its liquidity and profitability by careful contract selection, credit insurance and by vetting suppliers and subcontractors' financial risk. The financial position of the Group is presented in the Balance Sheet. The total shareholders’ funds on 31 December 2024 was £13,516,150 (2023: £12,704,927). The company continues to maintain a strong Balance Sheet for investment in the future. Cash balances at the end of the year totalled £11,705,566 (2023 £6,426,449).
The key business risks and uncertainties affecting the company include;
• Increased competition in securing contracts • Contractual risk including mispricing of contracts, managing changes to contracts, contract disputes and poor project delivery • Credit risk associated with upstream insolvency and Main Contractor failure as a result of spiralling commodity costs. • Increased potential for failures in our supply chain • Lack of availability of sufficiently skilled people in the marketplace • Risk to health and safety of our people • Inflation risk association with fixed price contracts • Inflationary material costs and delays in delivery caused by production problems, increased delivery • costs and transport delays • The continuing effect of the Ukrainian war affecting decision making and costs in 2024 and beyond. • Tightening of the bond market due to high profile failures and bondholders' losses. The Directors are confident that these risks and uncertainties are and will continue to be appropriately managed and mitigated by the company’s strategies, procedures, and commercial diligence, with constant monitoring and stringent risk management.
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TEEM GROUP LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors consider the key financial performance indicators to be gross profit margin percentage and profit before tax. Gross profit margin percentage for the year under review was 20.28% (2023: 16.8%) and Profit before tax was £3,155,066 (2023: £1,359,473).
The directors consider the Group's health and safety record and days lost through injury to be non-financial key performance indicators. We have a dedicated Health & Safety Director who reports regularly on Health & Safety performance at Board Meetings. The company aims to achieve a year-on-year improvement with regards to safety.
The Group, through its commitment to high standards of health & safety has this year won the RoSPA ‘Order of Distinction’ for 20 consecutive Gold Awards as well as maintaining the accreditation ISO45001:2018 for health and safety. Our delivery performance continues to lead the market and has identified our company as such. Our ability to complete fast track installations, meeting client budgets has been recognised within our sector continuously over the past 29 years. Our ability to offer design solutions that provide commercial benefit, is key to our success.
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TEEM GROUP LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The Board of Directors considers that it has complied in all material respects with their s172(1) duties.
• Engagement with suppliers, customers and others The Board of Directors acknowledges that the long-term success of the Group is dependent on the way it works with several important stakeholders. Key stakeholders are considered in the Board’s decision making, which ensures that the directors' duty is discharged under section 172 of the Companies Act 2006. • Customers We always aim to build long standing relationships with our customers through our commitment to our core ethic of ‘Complete Project Delivery’. This has enabled us to achieve continued high-quality service. Repeat business forms over 80% which is indicative of our reputation. Our specialist in-house design ability allows us to offer a Design and Build solution for our customers. We maintain our exceptional reputation and credibility with our customers by exceeding the requirements for the key industry standard certifications, including ISO9001:2015, ISO 14001:2015, ISO 45001:2018, ISO 27001:2022 and ISO19650:2018 standard certifications. We also hold Cyber Essentials + certification in order to protect client data. • Supplier and Subcontractors We consider our supplier relationships critical to our overall success, allowing us to deliver an exceptional level of service to our customers in an efficient manner. We continue to build strong relationships with both existing and new suppliers allowing us to react quickly to the constantly changing market. We work extremely closely with our subcontractors and suppliers to maintain performance and product quality during the course of contracts, including frequent progress and design meetings involving the client and professional team. We require compliance with BS/CE standards from our suppliers and we review additional trade specific accreditations to ensure quality of work of our subcontractors and any other requirements of our customers. Suppliers and subcontractors are also required to adhere to ethical standards, in line with those expected from us by our customers. Our suppliers and subcontractors are therefore contractually obliged to follow Anti Corruption, Modern Slavery, Data-Protection, Criminal Finance and Confidentiality standards as part of our standard terms and conditions. We ensure the financial stability of our suppliers and subcontractors by undertaking credit checks on new companies and regular reviews prior to the award of large orders. We also enforce set requirements on insurance and product warranties. • Employees The Group recognises the importance of retention and development of talented employees to the ongoing success of the company. We regularly update employees on internal procedures, new regulations, products and health and safety matters via toolbox talks, newsletters, notices, formal courses and workshops. We encourage and support training of apprenticeships and participation in degree programmes across all departments within the Group, supporting external courses with additional in-house training programmes. We also value input from our employees on potential operational enhancements. This resulted in several
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TEEM GROUP LIMITED
GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
improvements to ways of working being implemented. A feedback process was carried out during the previous financial year.
• Environment The risk of environmental damage is controlled through the implementation and enforcement of rigorous environmental policies and procedures in line with our environmental management system ISO14001. The company has developed a Sustainable Procurement Strategy with our Supply Chain, the main objectives of which are to: 1. Use fewer resources and consume less energy through the use of innovative solutions 2. Procure materials with a preference for recognised responsible sourcing schemes 3. Specify and procure on a basis that strikes a balance between socio-economic and environmental factors and generate benefits to the economy and society 4. Use resource efficient products and give due consideration to end of life uses, future deconstruction and recovery of resources 5. Procure locally where possible and agree fair contract prices and terms are applied. • Shareholders We are a privately owned business with a small group of shareholders, who are involved in the day to day management of the Group's operations. The Directors’ have acted to maximise profit and free cash flow, as shown by the results in the current financial year in order to create value for shareholders. • Principal decisions taken in the year The Directors welcome the new reporting requirements as a means of explaining how dialogue with stakeholders has helped form and shape its decisions to promote the success of the Group.
This report was approved by the board on 12 September 2025 and signed on its behalf.
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TEEM GROUP LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
The profit for the year, after taxation, amounted to £2,682,522 (2023 - £1,253,917).
The directors declared a dividend of £1,871,299 (2023: £Nil).
The directors who served during the year were:
This report has been prepared at a time when we are experiencing negative effect on our supply chain, high interest rates, material price inflation and client decision making caused by the ongoing Ukraine war, the unsettled situation in the Middle East and the economic uncertainty caused by the new US tariff regime.
Against a backdrop of weak economic recovery and a Government whose decisions will affect planning consent, taxation, housing and infrastructure projects, the response of clients continues to be uncertain. However, because of our marketing efforts and some recovery in the South East fit out market during 2024 we are encouraged to plan for growth. We have modelled and forecast projections in various scenarios and are confident that we will remain profitable in 2025. The Group's financial position remains strong at £13,516,150. The directors are confident, after reviewing detailed cash flow information, that the company has adequate resources to pay its debts as they fall due for the foreseeable future. We remain confident we will come through the current challenges to continue to trade profitably.
Please refer to the Strategic Report.
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TEEM GROUP LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Methodology
ISO14064 Part 1 2018 and CEMARS 2024 2023 Emissions from other activities tCO2e (Scope 3): Transport - other 8.58 17.54 Emissions from other activities tCO2e (Scope 3): Electricity Nil Nil Total gross Scope 3 emissions tCO2e 23.33 17.54 Total gross Scope 1, Scope 2 & Scope 3 emissions tCO2e 78.93 77.99 Total gross GHG emissions per unit turnover/revenue (tCO2e/£M) 1.13 1.31 Third Party verification - Verified to ISO14064 Part 1 2018 and Carbon Reduce
Measures taken to improve energy efficiency
The Group is committed to managing and reducing our emissions from our operational activities, this shall be via ‘SMART’ targets (specific, measurable, achievable, realistic, time-constrained). We are committed to managing and reducing our emissions annually and to be Carbon Neutral by 2030. We shall achieve this by reducing our energy consumption within our Offices through employee education and reviewing A/C systems usage during overnight and weekend periods. Purchase A++ rating energy efficient equipment or as highest rating as possible. Intensity Measurement The Directors consider the intensity measurement based on the unit turnover/revenue (tCO2e/£M) as an appropriate ratio to use in relation to energy consumption.
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TEEM GROUP LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors recognise the economic and trading impact of the continuing Ukraine War and the conflict in the Middle East, the economic uncertainty caused by global US tariff negotiations, the effect of continuing high inflation and interest rates, the UK economic slowdown as well as potential Government decisions likely to affect planning consent, taxation and infrastructure projects with a knock-on effect on material prices, the availability of labour.
The auditors, Haslers, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board on
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TEEM GROUP LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Group's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group 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 the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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TEEM GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TEEM GROUP LIMITED
We have audited the financial statements of Teem Group Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
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TEEM GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TEEM GROUP LIMITED (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Group Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Group Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Directors' Report.
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TEEM GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TEEM GROUP LIMITED (CONTINUED)
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that: • had a direct effect on the determination of material amounts and disclosures in the financial statements. These included the UK Companies Act and tax legislation etc; and • do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty. These include operational and employment laws and regulations including health and safety regulations, environmental regulations, GDPR and Subcontractor insurance requirements. We obtained an understanding of how the company is complying with those legal and regulatory frameworks by making enquiries with management and those responsible for legal and compliance frameworks. We corroborated our enquiries through review of correspondence with regulatory bodies and gaining an understanding of the entity level controls of the company in respect of these areas and the controls in place to reduce opportunity for fraudulent transactions. We discussed among the audit engagement team including relevant internal tax specialists, regarding the opportunities and incentives, including management override of controls, that may exist within the organisation for fraud and how and where fraud might occur in the financial statements. We also communicated the applicable laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. As a result of performing the above, we identified the greatest potential for fraud in the following areas, and our specific procedures performed to address it are described below: The principal risks related to management override in relation to posting of non-standard manual journals in respect of revenue and misstatement of expenses in relation to work in progress. Procedures performed to address these were as follows: • Walkthrough testing was carried out to identify and assess the design effectiveness of controls, management have in place to prevent and detect fraud, including known of suspected instances or non-compliance with laws and regulations and fraud; • Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process; • Using analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatements due to fraud;
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TEEM GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TEEM GROUP LIMITED (CONTINUED)
• Assessing the appropriateness of accounting estimates and challenging any significant assumptions or judgements made by management;
• Incorporating testing of manual journal entries that were posted throughout the year. In particular, we focused on material journal entries, journal entries posted with unusual account combinations, and journal entries crediting revenue or cash. These were scrutinised for evidence of unusual entries; • Reviewing revenue recognition policies and general policies in relation to work in progress. We assessed the accuracy and completeness of the management’s estimates through developing a detailed understanding of the contract stage and reviewing post year end activity; • Evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business; and • Reviewing compliance with the following Audit Summary Certificates; ISO9001:2015, ISO14001:2015, ISO27007:2017, ISO045001:2018.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.
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TEEM GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TEEM GROUP LIMITED (CONTINUED)
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants
Statutory Auditor
Old Station Road
Essex
IG10 4PL
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TEEM GROUP LIMITED
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
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TEEM GROUP LIMITED
REGISTERED NUMBER: 07370176
CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2024
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TEEM GROUP LIMITED
REGISTERED NUMBER: 07370176
CONSOLIDATED BALANCE SHEET (CONTINUED)
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 12 September 2025.
The notes on pages 24 to 44 form part of these financial statements.
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TEEM GROUP LIMITED
REGISTERED NUMBER: 07370176
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 24 to 44 form part of these financial statements.
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
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