H.R. Smith Aviation Limited - Period Ending 2025-01-31

Registration number: 13117972 (England and Wales)

Prepared for the registrar

H.R. Smith Aviation Limited

Annual Report and Financial Statements

for the Year Ended 31 January 2025

H.R. Smith Aviation Limited

Contents

Company Information	1
Balance Sheet	2
Notes to the Financial Statements	3 to 7

H.R. Smith Aviation Limited

Company Information

Directors

Mr R E L Smith

Miss S F Smith

Mrs L M M Sharp-Smith

Registered office

Street Court
Kingsland
Leominster
Herefordshire
HR6 9QA

Auditors

Hazlewoods LLP Staverton Court
Staverton
Cheltenham
GL51 0UX

H.R. Smith Aviation Limited

(Registration number: 13117972)
Balance Sheet as at 31 January 2025

	Note	2025 £	2024 £
Fixed assets
Tangible assets	5	505,519	646,210
Current assets
Debtors	6	274,833	249,136
Cash at bank and in hand		46,964	76,338
		321,797	325,474
Creditors: Amounts falling due within one year	7	(1,313,587)	(1,257,452)
Net current liabilities		(991,790)	(931,978)
Total assets less current liabilities		(486,271)	(285,768)
Provision for liabilities	8	(117,332)	(151,928)
Net liabilities		(603,603)	(437,696)
Capital and reserves
Called up share capital		1	1
Profit and loss account		(603,604)	(437,697)
Total equity		(603,603)	(437,696)

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the Board on 29 October 2025 and signed on its behalf by:

Mrs L M M Sharp-Smith
Director

H.R. Smith Aviation Limited

Notes to the Financial Statements for the Year Ended 31 January 2025

1

General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
Street Court
Kingsland
Leominster
Herefordshire
HR6 9QA

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime). 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.

Basis of preparation

These financial statements have been prepared using the historical cost convention except for, where disclosed in these accounting policies, certain items that are shown at fair value.

The presentational currency of the financial statements is Pounds Sterling, being the functional currency of the primary economic environment in which the company operates. Monetary amounts in these financial statements are rounded to the nearest Pound.

Related party exemption
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable to UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group

Name of parent of group

These financial statements are consolidated in the financial statements of H. R. Smith Group Limited.

The financial statements of H. R. Smith Group Limited may be obtained from the company's registered office Street Court, Kingsland, Leominster, Herefordshire, HR6 9QA.

Going concern

Ongoing financial support by group and related companies has provided the working capital for the company to trade. The directors consider that this support will be maintained for the foreseeable future and therefore at the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Included within current liabilities are amounts due to the parent company, H.R. Smith Group Limited, together with amounts owed to another group company. The parent and group company remains committed to supporting the company and has no plans to call upon the balances owed.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

H.R. Smith Aviation Limited

Notes to the Financial Statements for the Year Ended 31 January 2025

Judgements

No significant judgements have been made by management in preparing these financial statements.

Key sources of estimation uncertainty

No key sources of estimation uncertainty have been identified by management in preparing these financial statements other than those detailed in these accounting policies.

Revenue recognition

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 and after eliminating sales within the company.

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.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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 taxable income.

Deferred income tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

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 assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

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

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Plant and machinery	15% straight line on cost

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

H.R. Smith Aviation Limited

Notes to the Financial Statements for the Year Ended 31 January 2025

Financial instruments

Classification
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability on the balance sheet. The corresponding dividends relating to the liability component are charged as interest expenses in the profit and loss account.

Recognition and impairment
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Impairment
Assets, other than those measured at fair value, are assessed for indicators of impairment at each balance sheet date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss as described below.

A non financial asset is impaired where there is objective evidence that, as a result of one or more events that occurred after initial recognition, the estimated recoverable value of the asset has been reduced. The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

For financial assets carried at amortised cost, the amount of an impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the financial asset’s original effective interest rate.

For financial assets carried at cost less impairment, the impairment loss is the difference between the asset’s carrying amount and the best estimate of the amount that would be received for the asset if it were to be sold at the reporting date.

Where indicators exist for a decrease in impairment loss, and the decrease can be related objectively to an event occurring after the impairment was recognised, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired financial asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised.

3

Staff numbers

The average number of persons employed by the company (including directors) during the year, was 3 (2024 - 3).

H.R. Smith Aviation Limited

Notes to the Financial Statements for the Year Ended 31 January 2025

4

Taxation

Tax charged/(credited) in the profit and loss account

	2025 £	2024 £
Current taxation
Group relief receivable	(20,707)	(19,963)
Deferred taxation
Arising from origination and reversal of timing differences	(34,596)	(34,558)
Tax receipt in the income statement	(55,303)	(54,521)

5

Tangible assets

	Plant and machinery £
Cost
At 1 February 2024	937,938
At 31 January 2025	937,938
Depreciation
At 1 February 2024	291,728
Charge for the year	140,691
At 31 January 2025	432,419
Carrying amount
At 31 January 2025	505,519
At 31 January 2024	646,210

6

Debtors

	2025 £	2024 £
Trade debtors	3,225	3,841
Amounts owed by group undertakings	233,978	213,271
Prepayments	27,842	25,203
Other debtors	9,788	6,821
	274,833	249,136

Amounts owed by group undertakings are unsecured, interest free and have no fixed date of repayment and are repayable on demand.

H.R. Smith Aviation Limited

Notes to the Financial Statements for the Year Ended 31 January 2025

7

Creditors

	2025 £	2024 £
Due within one year
Trade creditors	7,030	8,598
Amounts owed to group undertakings	1,300,308	1,241,748
Accruals and deferred income	6,249	7,106
	1,313,587	1,257,452

Amounts owed to group undertakings are unsecured, interest free and have no fixed date of repayment and are repayable on demand.

8

Deferred tax

Deferred tax assets and liabilities

2025	Liability £
Fixed asset timing differences	117,332
	117,332

2024	Liability £
Fixed asset timing differences	151,928
	151,928

9

Parent and ultimate parent undertaking

The ultimate parent company and ultimate controlling party is H. R. Smith Group Limited, incorporated and registered in England and Wales.

The largest group of which H. R. Smith Aviation Limited is a member and for which group accounts are prepared is headed by H. R. Smith Group Limited, company registered in England and Wales, with its registered office of Street Court, Kingsland, Leominster, Herefordshire, HR6 9QA.
.

10

Audit report

The Independent Auditor's Report was unqualified. We draw your attention to note 2 in the financial statements, which describes the reliance by the company on group support in respect of going concern purposes.

Our opinion is not modified in the respect of this matter. The name of the Senior Statutory Auditor who signed the audit report on 31 October 2025 was Felicity Sang, who signed for and on behalf of Hazlewoods LLP.