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Registered number: SC631215
MORVOLTS LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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MORVOLTS LIMITED
COMPANY INFORMATION
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Mr N G Tordoff (resigned 20 January 2025)
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Ms A G Stammers (resigned 12 May 2025)
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Mr W W Hodgson (appointed 20 January 2025)
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Mr M J D Welsh (appointed 17 March 2025)
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Chartered Accountants & Statutory Auditors
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MORVOLTS LIMITED
REGISTERED NUMBER: SC631215
STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Creditors: amounts falling due after more than one year
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Provisions for liabilities
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MORVOLTS LIMITED
REGISTERED NUMBER: SC631215
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 MARCH 2025
The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.
The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The Company has opted not to file the statement of income and retained earnings in accordance with provisions applicable to companies subject to the small companies' regime.
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 19 September 2025.
The notes on pages 3 to 10 form part of these financial statements.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
MorVolts Limited is a private company, limited by shares, incorporated in Scotland with the registration number SC631215. The registered office is Lochaline Harbour Lochaline, Morvern, Oban, Scotland, PA80 5XT.
The Company's functional and presentational currency is GBP.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The following principal accounting policies have been applied:
Although the company has significant liabilities, the directors have modelled cashflows over the life of the project and are confident that adequate income will be received to cover the liabilities as they fall due. On that basis, the directors believe that the use of the going concern basis is appropriate.
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:
Sale of energy
Turnover from the sale of energy is recognised when the energy has been generated and transferred to the customer. These transfers are measured by an automated meter reading process and revenue is recognised using these readings at the point of transfer through the customer's self-billing procedure.
Management regularly review the self-billing invoices agree to the readings of the physical meters. Where this results in the identification of under-recorded income, the increase in revenue is recognised when agreed by the customer.
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Operating leases: the Company as lessee
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Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.
Interest income is recognised in profit or loss using the effective interest method.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
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Current and deferred taxation
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The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.
Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, .
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
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Provisions for liabilities
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Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
Increases in provisions are generally charged as an expense to profit or loss.
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the Company's Statement of financial position when the Company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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The average monthly number of employees, including directors, during the year was 4 (2024 - 4).
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Charge for the year on owned assets
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Included within the Cost of Plant and Machinery is £170,049 (2024 - £170,049) of financing costs incurred during the construction of the assets.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Due after more than one year
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Prepayments and accrued income
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Creditors: Amounts falling due within one year
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Other taxation and social security
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Accruals and deferred income
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The entire balance of both bank and other loans is secured as described in Note 9.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Creditors: Amounts falling due after more than one year
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The entire balance of both bank and other loans is secured as described in Note 9.
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The aggregate amount of liabilities repayable wholly or in part more than five years after the reporting date is:
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The bank loan from Triodos is repayable in four tranches, each of which are held on an interest-only basis until the prior tranche is repaid in full. Once capital repayment commences for each tranche, the capital is repaid in twenty instalments.
The other loan from Energy Investment Fund (administered by Scottish Enterprise) is repayable by instalments following an agreed schedule. The first instalment was paid in April 2023 and the final instalment is due in April 2042.
Bank loans totalling £3,836,592 are secured by a standard security in favour of Triodos Bank UK Limited over all and whole the tenant’s interest in lease of land at Barr Forest, Lochaline, Morvern which forms part and portion of the estates of Glenmorvern and Drimmin via an an existing first bond and floating charge over all assets and undertakings (both present and future) of the company.
The other loan of £1,641,951 from the Energy Investment Fund is secured by a standard security in favour of Scottish Enterprise (as administrator of the Energy Investment Fund) over all and whole the tenant's interest in the lease of land at Barr Forest, Lochaline, Morvern. A ranking agreement is in place giving first charge to Triodos Bank in respect of this land.
In addition, Triodos have the right of set-off for any liability against any accounts held with the bank by the company.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Analysis of the maturity of loans is given below:
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Amounts falling due within one year
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Amounts falling due 1-2 years
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Amounts falling due 2-5 years
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Amounts falling due after more than 5 years
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Allotted, called up and fully paid
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100 (2024 - 100) Ordinary shares of £1.00 each
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Related party transactions
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The group has taken advantage of provisions within FRS102 and has not disclosed transactions entered into with other wholly owned members of the group.
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MORVOLTS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
The Company is a wholly owned subsidiary of The Morvern Community Development Company (MCDC), a company limited by guarantee incorporated in Scotland with registration number SC200325. MCDC is the ultimate controlling party and has its registered office at Lochaline Harbour, Lochaline, Morvern, Oban, Argyll, PA80 5XT.
MCDC is the parent undertaking of the smallest and largest group of undertakings to consolidate these financial statements at 31 March 2025. The results of MorVolts Limited are included within the consolidated financial statements of MCDC.
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Provisions available for audits of small entities
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In keeping with many other businesses of our size and nature, we use our auditor to prepare and submit returns to the tax authorities and assist with the preparation of the financial statements.
The auditors' report on the financial statements for the year ended 31 March 2025 was unqualified.
The audit report was signed on 22 September 2025 by Douglas Rae (Senior statutory auditor) on behalf of Sumer Auditco Limited.
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