Company No: 08711428 (England and Wales)

Contents

• Company Information
• Accountants' Report
• Balance Sheet
• Notes to the Financial Statements

Directors	D M MacBain
	J L MacBain (Appointed 01 October 2024)

Registered office	11 Stirling Park
	Laker Road
	Rochester
	Kent
	ME1 3QR
	United Kingdom

Company number

08711428 (England and Wales)

Accountant	Kreston Reeves LLP
	2nd Floor, Maritime Place
	Quayside
	Chatham Maritime
	Chatham
	Kent
	ME4 4QZ

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Hydraflex Management Services Limited for the financial year ended 31 December 2024 which comprise the Balance Sheet and the related notes 1 to 12 from the Company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at www.icaew.com/regulation.

It is your duty to ensure that Hydraflex Management Services Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Hydraflex Management Services Limited. You consider that Hydraflex Management Services Limited is exempt from the statutory audit requirement for the financial year.

We have not been instructed to carry out an audit or a review of the financial statements of Hydraflex Management Services Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

This report is made solely to the Board of Directors of Hydraflex Management Services Limited, as a body, in accordance with the terms of our engagement letter dated 20 June 2022. Our work has been undertaken solely to prepare for your approval the financial statements of Hydraflex Management Services Limited and state those matters that we have agreed to state to the Board of Directors of Hydraflex Management Services Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Hydraflex Management Services Limited and its Board of Directors as a body for our work or for this report.

Kreston Reeves LLP
Chartered Accountants

2nd Floor, Maritime Place
Quayside
Chatham Maritime
Chatham
Kent
ME4 4QZ

25 September 2025

	Note	2024		2023
		£		£
Fixed assets
Tangible assets	3	246,056		445,692
Investments	4	448,500		448,500
		694,556		894,192
Current assets
Debtors	5	1,534,300		1,319,749
Investments	6	7,048,853		5,228,867
Cash at bank and in hand		1,093,507		1,900,119
		9,676,660		8,448,735
Creditors: amounts falling due within one year	7	( 686,336)		( 389,261)
Net current assets		8,990,324		8,059,474
Total assets less current liabilities		9,684,880		8,953,666
Creditors: amounts falling due after more than one year	8	( 10,695)		( 32,087)
Provision for liabilities	9	( 55,626)		( 77,203)
Net assets		9,618,559		8,844,376
Capital and reserves
Called-up share capital		100		100
Profit and loss account		9,618,459		8,844,276
Total shareholder's funds		9,618,559		8,844,376

For the financial year ending 31 December 2024 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings has not been delivered.

The financial statements of Hydraflex Management Services Limited (registered number: 08711428) were approved and authorised for issue by the Board of Directors on 25 September 2025. They were signed on its behalf by:

D M MacBain Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Hydraflex Management Services (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 11 Stirling Park Laker Road, Rochester, Kent, England, ME1 3QR, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Turnover

Turnover is stated net of VAT and trade discounts and is recognised when the significant risks and rewards are considered to have been transferred to the buyer. Turnover from the supply of services represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the fair value of the consideration received or receivable. Where a contract has only been partially completed at the Balance Sheet date turnover represents the fair value of the service provided to date based on the stage of completion of the contract activity at the Balance Sheet date. Where payments are received from customers in advance of services provided, the amounts are recorded as deferred income and included as part of creditors due within one year.

Interest income

Interest income is recognised when it is probable that the economic benefits will flow to the Company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset's net carrying amount on initial recognition.

Finance costs

Finance costs are charged to the Statement of Income and Retained Earnings over the term of the debt using the effective interest method so the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Plant and machinery	25 % reducing balance
Vehicles	25 % reducing balance
Office equipment	15 % reducing balance

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts, except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Balance Sheet date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Associates and joint ventures

Associates and Joint Ventures are held at cost less impairment.

2. Employees

	2024		2023
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	4		4

3. Tangible assets

	Plant and machinery		Vehicles		Office equipment		Total
	£		£		£		£
Cost
At 01 January 2024	67,649		832,264		21,358		921,271
Additions	0		50,000		4,862		54,862
Disposals	0		( 395,800)		0		( 395,800)
At 31 December 2024	67,649		486,464		26,220		580,333
Accumulated depreciation
At 01 January 2024	57,473		412,405		5,701		475,579
Charge for the financial year	2,544		82,103		2,573		87,220
Disposals	0		( 228,522)		0		( 228,522)
At 31 December 2024	60,017		265,986		8,274		334,277
Net book value
At 31 December 2024	7,632		220,478		17,946		246,056
At 31 December 2023	10,176		419,859		15,657		445,692

4. Fixed asset investments

Investments in subsidiaries

	2024
	£
Cost
At 01 January 2024	448,500
At 31 December 2024	448,500
Carrying value at 31 December 2024	448,500
Carrying value at 31 December 2023	448,500

5. Debtors

	2024		2023
	£		£
Trade debtors	87,855		285,639
Prepayments	1,558		0
Other debtors	1,444,887		1,034,110
	1,534,300		1,319,749

6. Current asset investments

	2024		2023
	£		£
Unlisted investments	6,728,867		5,228,867

7. Creditors: amounts falling due within one year

	2024		2023
	£		£
Trade creditors	15,130		584
Amounts owed to directors	207,134		9,789
Accruals	45,807		35,538
Corporation tax	345,509		170,489
Other taxation and social security	48,508		50,214
Obligations under finance leases and hire purchase contracts	21,392		21,392
Other creditors	2,856		101,255
	686,336		389,261

8. Creditors: amounts falling due after more than one year

	2024		2023
	£		£
Obligations under finance leases and hire purchase contracts	10,695		32,087

9. Deferred tax

	2024		2023
	£		£
At the beginning of financial year	( 77,203)		( 87,661)
Credited to the Statement of Income and Retained Earnings	21,577		10,458
At the end of financial year	( 55,626)		( 77,203)

The deferred taxation balance is made up as follows:

	2024		2023
	£		£
Accelerated capital allowances	( 55,626)		( 77,203)

10. Contingencies

Contingent assets

The company sold its shares in a subsidiary undertaking in 2022. As part of the consideration there was an earn-out based on post sale trading results. It is not practicable to estimate the future amount of the contingent asset.

11. Related party transactions

At the year end, the company had outstanding trading balances with entities under common control, including a receivable of £500,000 from Hydraflex Metal Hose & Bellows Limited, £200,000 from Hydraflex Plumbing & Cooling Hoses Limited, and £520,000 from Stirling Park Properties Limited.

During the year the company paid dividends to the sole director and shareholder of the company totalling £200,000 (2023: £285,000).

12. Hire purchase and finance leases

Minimum lease payments under hire purchase fall due as follows:

	2024		2023
	£		£
Within one year	(21,392)		(21,392)
Between 1-5 years	(10,695)		(21,391)
Over 5 years	0		(10,696)
	(32,087)		(53,479)