Registration number:
Motortronics UK Limited
for the Year Ended 31 July 2025
Motortronics UK Limited
Contents
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Statement of Financial Position |
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Notes to the Financial Statements |
Motortronics UK Limited
(Registration number: 01559267)
Statement of Financial Position as at 31 July 2025
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Note |
2025 |
2024 |
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Fixed assets |
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Intangible assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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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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Net assets |
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Capital and reserves |
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Called up share capital |
68,750 |
68,750 |
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Share premium reserve |
132,613 |
132,613 |
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Capital redemption reserve |
150,000 |
150,000 |
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Profit and loss account |
1,684,830 |
1,522,966 |
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Shareholders' funds |
2,036,193 |
1,874,329 |
Approved and authorised by the
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Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025
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General information |
The company is a private company limited by share capital, incorporated in England & Wales.
The address of its registered office is:
Principal activity
The principal activity of the company is the development and manufacture of control devices for industrial electric motors incorporating energy saving features.
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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).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The financial statements are prepared in sterling which is the functional currency of the entity.
Going concern
The financial statements have been prepared on a going concern basis.
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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2 |
Accounting policies (continued) |
Audit report
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Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. |
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 value added tax, returns, rebates and discounts.
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 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.
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.
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:
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Asset class |
Depreciation method and rate |
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Short leasehold land and buildings |
over the lease term |
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Plant and machinery |
20-33% straight line |
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Fixtures and fittings |
20-33% straight line |
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Motor vehicles |
25% straight line |
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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2 |
Accounting policies (continued) |
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Office equipment |
20-33% straight line |
Impairment
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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2 |
Accounting policies (continued) |
Taxation
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised in other comprehensive income or directly in capital and reserves. In this case, tax is recognised in other comprehensive income or directly in capital and reserves, respectively.
Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Intangible assets
Separately acquired trademarks and licences are shown at historical cost.
Trademarks, licences (including software) and customer-related intangible assets acquired in a business combination are recognised at fair value at the acquisition date.
Trademarks, licences and customer-related intangible assets have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
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Asset class |
Amortisation method and rate |
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Patents |
10% straight line |
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Product approvals |
20% straight line |
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. In the statement of financial position, bank overdrafts are shown within borrowing or current liabilities.
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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2 |
Accounting policies (continued) |
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Costs include all costs of purchase, costs of conversion and other costs incurred in bringing the stocks to their present location and condition.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the statement of comprehensive income over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Financial instruments
Recognition and measurement
Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
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Intangible assets |
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Other intangible assets |
Total |
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Cost or valuation |
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At 1 August 2024 |
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Additions internally developed |
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At 31 July 2025 |
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Amortisation |
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At 1 August 2024 |
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Amortisation charge |
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At 31 July 2025 |
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Carrying amount |
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At 31 July 2025 |
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At 31 July 2024 |
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Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Tangible assets |
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Short leasehold land and buildings |
Fixtures and fittings |
Plant and machinery |
Office equipment |
Motor vehicles |
Total |
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Cost or valuation |
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At 1 August 2024 |
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Additions |
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- |
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- |
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Disposals |
- |
- |
( |
( |
- |
( |
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At 31 July 2025 |
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Depreciation |
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At 1 August 2024 |
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Charge for the year |
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- |
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Eliminated on disposal |
- |
- |
( |
( |
- |
( |
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At 31 July 2025 |
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Carrying amount |
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At 31 July 2025 |
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- |
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At 31 July 2024 |
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Included within the net book value of land and buildings above is £90,389 (2024 - £129,647) in respect of short leasehold land and buildings.
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Stocks |
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2025 |
2024 |
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Stock |
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Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Debtors |
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2025 |
2024 |
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Trade debtors |
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Amounts owed by group undertakings |
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Other debtors |
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Prepayments |
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Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Creditors |
Creditors: amounts falling due within one year
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Note |
2025 |
2024 |
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Loans and borrowings |
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Trade creditors |
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Amounts owed to group undertakings |
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Accruals |
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Other creditors |
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The bank overdraft is secured by a fixed and floating charge over the assets of the company. The shareholders have provided the bank with a guarantee on behalf of the company, limited to £200,000.
Included within other creditors is income received from a government grant as part of the company's move to the new premises at Gillard Way. The government grant was intended to help fund job creation and retention.
Creditors: amounts falling due after more than one year
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Note |
2025 |
2024 |
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Loans and borrowings |
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Loans and borrowings |
Non-current loans and borrowings
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2025 |
2024 |
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Bank borrowings |
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Current loans and borrowings
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2025 |
2024 |
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Bank borrowings |
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Bank overdrafts |
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Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Reserves |
The share premium account represents the accumulation of funds received in excess of par value for shares issued.
The capital redemption reserve represents the accumulation of funds used to redeem capital instruments previously issued by the company. This reserve is not distributable.
The profit and loss account records retained earnings and accumulated losses.
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Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
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2025 |
2024 |
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Not later than one year |
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Later than one year and not later than five years |
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Later than five years |
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The amount of non-cancellable operating lease payments recognised as an expense during the year was £Nil (2024 - £Nil).
Motortronics UK Limited
Notes to the Financial Statements for the Year Ended 31 July 2025 (continued)
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Related party transactions |
Net transaction value
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2025 |
2024 |
2023 |
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Phasetronics Inc |
21,702 |
(31,651) |
222,529 |
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Motortronics International Korea |
70,160 |
69,636 |
223,550 |
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91,862 |
37,985 |
446,079 |
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Balance owed by/(owed to)
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2025 |
2024 |
2023 |
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Phasetronics Inc |
27,702 |
34,751 |
47,733 |
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Motortronics International Korea |
- |
6,389 |
(77) |
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Fairford Electronics Holdings Limited |
1,480 |
1,410 |
1,250 |
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29,182 |
42,550 |
48,906 |
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During the period there were arms length transactions of sales amounting to £294,476 (2024: £486,796) and purchases amounting to £246,018 (2024: £448,812) between Motortronics UK Ltd and the shareholder companies (Phasetronics Inc/Motortronics US and Motortronics International Korea).
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Parent undertaking |
The company is jointly owned by Fairford Electronics Holdings Ltd and Motortronics International Korea, companies which are respectively under the ultimate control of Mr James Mitchell, Mrs Joyce Mitchell and Mr Brian Hong.