REGISTERED NUMBER: 07291374 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 March 2025

for

CMT Equipment Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

13

Cash Flow Statement

14

Notes to the Cash Flow Statement

15

Notes to the Financial Statements

17

DIRECTORS:

Mr A G Hazell

Mr G J Hales

SECRETARY:

Mrs B Hazell

REGISTERED OFFICE:

Riverbridge House

Anchor Boulevard

Crossways Business Park

DARTFORD

Kent

DA2 6SL

REGISTERED NUMBER:

07291374 (England and Wales)

AUDITORS:

Nicholsons Audit (Statutory Auditor)

Newland House

The Point

Weaver Road

LINCOLN

Lincolnshire

LN6 3QN

BANKERS:

HSBC

8 Market Place

SPALDING

Lincolnshire

PE11 1SN

The CMT group consists of several entities including this company working across Equipment, Manufacturing and Healthcare and operating in the UK, EMEA, North and South America and APAC. As such, not all entities' financial positions are included in these financial statements.

The business continues to operate within a challenging economic environment. Ongoing economic headwinds including persistent inflationary pressures, higher interest rates, supply chain disruptions, and a tight labour market are impacting both operating costs and customer demand. In addition, uncertainty in global markets has contributed to fluctuating exchange rates and reduced business confidence.

Despite these challenges, the company remains focused on its long-term objectives: maintaining operational efficiency, investing in sustainable growth, and protecting margins through prudent cost management and careful capital allocation.

Management continue to be focused on their growth strategy developing existing relationships and building new ones across the UK. Underpinning this growth is the development of back office and fulfilment teams ensuring growth is locked in and sustainably delivered.

Management of working capital is essential to fund growth and management monitor this on an ongoing basis.

Financial Performance

During the period, the company maintained stable revenues and continued to invest in core operations to support future growth. Cost control measures and disciplined cash management have helped to mitigate the impact of increased input costs and financing expenses.

Key financial performance indicators are summarised below:

2025

£m

Turnover (£)

£75,425,516

EBITDA (£)

£12,742,444

EBITDA (%)

16.89%

Operating cash flow (£)

£12,667,603

Liquidity

2.56

The company continues to prioritise maintaining a robust balance sheet, ensuring sufficient liquidity to support day-to-day operations and future growth initiatives.

Principal Risks and Uncertainties

The company faces a range of external and operational risks, including economic uncertainty, rising costs, and supply chain disruption, all of which could impact margins and cash flow. Higher interest rates and tighter funding conditions present additional financial pressures, while talent shortages remain a challenge for sustaining growth. Regulatory requirements and increasing cyber security threats also add to the risk profile. The Directors and management team monitor these risks closely and has controls and contingency plans in place to mitigate them where possible.

Outlook

The company remains optimistic about the future and will continue to focus on cost discipline, strengthening the balance sheet, and pursuing opportunities that support sustainable long-term growth.

PRINCIPAL RISKS AND UNCERTAINTIES

Management are conscious of inflationary pressure in the UK economy and watch closely the impact of global events on their sector. These pressures have the potential to disrupt supply and prices and are therefore key risks that are monitored.

Management mitigate these risks by continuous nurturing of supply chain relationships and close monitoring of stock to ensure fast moving items are prioritised by the buying team.

Management are also conscious of the impact un-structured growth could have on the business and have strengthened internal controls and key management positions to ensure growth is delivered on a strong operational platform.

ON BEHALF OF THE BOARD:

Mr A G Hazell - Director

8 October 2025

The directors present their report with the financial statements of the company for the year ended 31 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of wholesale of machine tools.

DIVIDENDS

During the year the company paid dividends per share of £4,100.

DIRECTORS

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

Mr A G Hazell

Mr G J Hales

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 auditors are 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 auditors are aware of that information.

ON BEHALF OF THE BOARD:

Mr A G Hazell - Director

8 October 2025

Opinion

We have audited the financial statements of CMT Equipment Limited (the 'company') for the year ended 31 March 2025 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 our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 March 2025 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

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 company 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 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 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.

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 our Report of the Auditors 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 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.

Opinions on other matters prescribed by the Companies Act 2006

In our 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 we are 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, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

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, or returns adequate for our audit have not been received from branches not visited by us; 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

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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.

Auditors' 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 a Report of the Auditors 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.

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.

Based on our understanding of the company and its industry we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation, anti-money laundering regulation.

To help us identify instances of non-compliance with these laws and regulations and in identifying and assessing the risk of material misstatement in respect to non-compliance, our procedures included, but were not limited to:

- Inquiring of management and where appropriate those charged with governance as to whether the company is in compliance with laws and regulations.

- Inspecting correspondence, if any, with relevant licensing authorities.

- Communicating to our engagement team identified laws and regulations and remaining alert to any instances of non-compliance throughout our audit; and

- Considering the risk of acts by the company which were contrary to applicable laws and regulations, including fraud.

We also considered those laws and regulations which have a direct effect on the preparation of the financial statements such as tax legislation, the Companies Act 2006 and the reporting framework (FRS102).

Further to this, we evaluated the Director's and managements incentives and opportunities for fraudulent manipulation of the financial statements including the risk of management override of controls and determined the principal risks were related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular provisions around stock, as well as estimates around the calculation of costs pertaining to revenue recognition and significant one off or unusual transactions.

Our audit procedures in relation to fraud included but were not limited to:

- Making enquiries of the director and management on whether they had knowledge of any actual, suspected or alleged fraud;

- Gaining an understanding of internal controls established to mitigate risks related to fraud;

- Discussing amongst the engagement team the risks of fraud;

- Addressing the risks of fraud through management override of controls by performing journal entry testing;

- Testing of assumptions and reperforming calculations; and

- Sensitivity analysis around assumptions used.

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 Report of the Auditors.

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 a Report of the Auditors 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.

Joanne Brown (Senior Statutory Auditor)

for and on behalf of Nicholsons Audit (Statutory Auditor)

Newland House

The Point

Weaver Road

LINCOLN

Lincolnshire

LN6 3QN

9 October 2025

TURNOVER

3

75,425,516

44,445,727

Cost of sales

48,708,074

30,852,494

GROSS PROFIT

26,717,442

13,593,233

Administrative expenses

14,583,040

9,755,924

12,134,402

3,837,309

Other operating income

58,301

3,455

OPERATING PROFIT

5

12,192,703

3,840,764

Interest receivable and similar income

81,241

62,511

12,273,944

3,903,275

Interest payable and similar expenses

7

96,476

51,729

PROFIT BEFORE TAXATION

12,177,468

3,851,546

Tax on profit

8

3,110,123

901,039

PROFIT FOR THE FINANCIAL YEAR

9,067,345

2,950,507

PROFIT FOR THE YEAR

9,067,345

2,950,507

OTHER COMPREHENSIVE INCOME

Revaluation

-

41,682

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

41,682

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

9,067,345

2,992,189

FIXED ASSETS

Intangible assets

10

19,923

17,521

Tangible assets

11

2,731,004

2,446,953

2,750,927

2,464,474

CURRENT ASSETS

Stocks

12

10,406,856

8,545,738

Debtors

13

19,628,813

17,762,314

Cash at bank and in hand

10,662,791

632,170

40,698,460

26,940,222

CREDITORS

Amounts falling due within one year

14

15,817,219

10,432,434

NET CURRENT ASSETS

24,881,241

16,507,788

TOTAL ASSETS LESS CURRENT LIABILITIES

27,632,168

18,972,262

PROVISIONS FOR LIABILITIES

18

390,990

388,429

NET ASSETS

27,241,178

18,583,833

CAPITAL AND RESERVES

Called up share capital

19

100

100

Revaluation reserve

20

41,682

41,682

Retained earnings

20

27,199,396

18,542,051

SHAREHOLDERS' FUNDS

27,241,178

18,583,833

The financial statements were approved by the Board of Directors and authorised for issue on 8 October 2025 and were signed on its behalf by:

Mr A G Hazell - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2023

100

16,358,212

-

16,358,312

Changes in equity

Dividends

-

(766,668

)

-

(766,668

)

Total comprehensive income

-

2,950,507

41,682

2,992,189

Balance at 31 March 2024

100

18,542,051

41,682

18,583,833

Changes in equity

Dividends

-

(410,000

)

-

(410,000

)

Total comprehensive income

-

9,067,345

-

9,067,345

Balance at 31 March 2025

100

27,199,396

41,682

27,241,178

Cash flows from operating activities

Cash generated from operations

1

12,667,603

6,714,937

Interest paid

(96,476

)

(51,729

)

Tax paid

(1,858,422

)

(96,951

)

Net cash from operating activities

10,712,705

6,566,257

Cash flows from investing activities

Purchase of intangible fixed assets

(12,556

)

(22,581

)

Purchase of tangible fixed assets

(742,398

)

(840,659

)

Sale of tangible fixed assets

-

5,685

Interest received

81,241

62,511

Net cash from investing activities

(673,713

)

(795,044

)

Cash flows from financing activities

New loans in year

324,625

-

Loan repayments in year

-

(4,062,270

)

Amount withdrawn by directors

(33,846

)

(2,969,861

)

Equity dividends paid

(410,000

)

(766,668

)

Net cash from financing activities

(119,221

)

(7,798,799

)

Increase/(decrease) in cash and cash equivalents

9,919,771

(2,027,586

)

Cash and cash equivalents at beginning of year

2

(250,546

)

1,777,040

Cash and cash equivalents at end of year

2

9,669,225

(250,546

)

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

31/3/25

31/3/24

£

£

Profit before taxation

12,177,468

3,851,546

Depreciation charges

468,502

352,024

Profit on disposal of fixed assets

-

(22,576

)

Provisions

-

(390,000

)

Finance costs

96,476

51,729

Finance income

(81,241

)

(62,511

)

12,661,205

3,780,212

Increase in stocks

(1,861,118

)

(2,194,444

)

(Increase)/decrease in trade and other debtors

(1,832,653

)

6,750,998

Increase/(decrease) in trade and other creditors

3,700,169

(1,621,829

)

Cash generated from operations

12,667,603

6,714,937

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 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

10,662,791

632,170

Bank overdrafts

(993,566

)

(882,716

)

9,669,225

(250,546

)

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

632,170

2,533,316

Bank overdrafts

(882,716

)

(756,276

)

(250,546

)

1,777,040

3.	ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

632,170

10,030,621

10,662,791

Bank overdrafts

(882,716

)

(110,850

)

(993,566

)

(250,546

)

9,919,771

9,669,225

Debt

Debts falling due within 1 year

(788,765

)

(324,626

)

(1,113,391

)

(788,765

)

(324,626

)

(1,113,391

)

Total

(1,039,311

)

9,595,145

8,555,834

1.	STATUTORY INFORMATION

CMT Equipment Limited 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 as modified by the revaluation of certain assets.

Critical accounting judgements and key sources of estimation uncertainty

The financial statements are prepared to generally accepted accounting principles which requires management to make estimates and assumptions that affect assets and liabilities. Actual results could be different due to these estimates. The effect of any differences are reported at the time the information becomes available.

The most significant judgements relate to provisions and the valuation and subsequent

impairment of tangible fixed assets. Provisions have been estimated based on a detailed

review of historical information and current trends. Tangible assets have been valued

based upon their consumer interaction level.

Turnover

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

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2013, is being amortised evenly over its estimated useful life of five years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Patents and licences are being amortised evenly over their estimated useful life of five years.

Trade marks are being amortised evenly over their estimated useful life of two years.

Website is being amortised evenly over its estimated useful life of two years.

Tangible fixed assets

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

Tenants improvements

-

at variable rates on reducing balance

Plant and machinery

-

25% on reducing balance and 15% on reducing balance

Fixtures and fittings

-

15% on reducing balance

Motor vehicles

-

25% on reducing balance

Hire stock

-

Written down to net realisable value

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Financial instruments

Only basic financial instruments as defined in FRS 102 are held. Financial assets and financial liabilities are recognised in the accounts only when the entity becomes party to the contractual provisions of the instrument and their measurement basis is as follows:

Financial assets - trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments.

Cash at bank is classified as a basic financial instrument and is measured at transaction price.

Financial liabilities - trade creditors, accruals and other creditors are basic financial instruments, and are measured at amortised cost. Where a financial liability constitutes a financing transaction it is initially and subsequently measured at the present value of future payments, discounted at a market rate of interest.

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.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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 company has taken advantage of the exemption not to disclose the segmentation analysis of turnover.

4.	EMPLOYEES AND DIRECTORS

31/3/25

31/3/24

£

£

Wages and salaries

8,214,379

6,058,607

Social security costs

727,889

525,777

Other pension costs

29,668

32,237

8,971,936

6,616,621

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

31/3/25

31/3/24

Directors

2

2

Warehouse staff

33

28

Administrative staff

94

81

129

111

31/3/25

31/3/24

£

£

Directors' remuneration

92,000

35,000

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

Money purchase schemes

1

1

5.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

31/3/25

31/3/24

£

£

Hire of plant and machinery

170,453

129,370

Rent

1,671,023

1,249,107

Depreciation - owned assets

458,347

346,964

Profit on disposal of fixed assets

-

(22,576

)

Website amortisation

10,154

5,060

Auditors' remuneration

18,900

18,000

Foreign exchange differences

268,567

42,353