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Registered number: SC371389
SUSTAINABLE PIPELINE SYSTEMS LIMITED
UNAUDITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
REGISTERED NUMBER: SC371389
BALANCE SHEET
AS AT 31 MAY 2025
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Debtors: amounts falling due within one year
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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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The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.
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.
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 comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
REGISTERED NUMBER: SC371389
BALANCE SHEET (CONTINUED)
AS AT 31 MAY 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 27 November 2025.
The notes on pages 3 to 10 form part of these financial statements.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
Sustainable Pipeline Systems Limited ("the Company") is a company limited by shares, incorporated in Scotland. Its registered office is 28 Albyn Place, Aberdeen, United Kingdom, AB10 1YL.
The Company is a knowledge intensive company under the definition of the Enterprise Investment Scheme where all turnover and costs contribute to the intellectual property value.
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:
At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources and funding to continue in operational existence for the foreseeable future. The directors therefore continue to adopt the going concern basis of accounting in preparing the financial statements.
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.
In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight line basis over their useful economic lives.
Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Statement of comprehensive income in the same period as the related expenditure.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
2.Accounting policies (continued)
Interest income is recognised in profit or loss using the effective interest method.
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that 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.
All borrowing costs are recognised in profit or loss in the year in which they are incurred.
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 balance sheet date in the countries where the Company operates and generates income.
Expenses in relation to the intellectual property is capitalised at cost. Such costs relate to subcontractors, consumables and a proportion of direct labour costs including pension and national insurance contributions. On completion of the study, under the cost model, intellectual property is amortised over the useful life of the asset and is subsequently measured at cost less any accumulated amortisation and any accumulated impairment losses.
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.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
2.Accounting policies (continued)
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Tangible fixed assets (continued)
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Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
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.
Short term debtors are measured at transaction price, less any impairment.
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Cash and cash equivalents
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
Short term creditors are measured at the transaction price
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors and loans to related parties.
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The average monthly number of employees, including directors, during the year was 9 (2024 - 9).
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
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SPS was formed in 2011 to commercialise the £3.5m Helipipe programme, previously undertaken by ITI Scotland, a subsidiary of Scottish Enterprise (SE), which successfully patented elements of the underpinning winding technology. SE owns and continues to protect this Intellectual Property (IP), to which SPS has added over the years and SPS has the benefit of an exclusive licence for the use of the international background patents with the rights to buy all IP outright.
The Company is a knowledge intensive company under the definition of the Enterprise Investment Scheme where all turnover and costs contribute to the intellectual property value.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
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Charge for the year on owned assets
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Cash and cash equivalents
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
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Creditors: Amounts falling due within one year
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Other taxation and social security
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Creditors: Amounts falling due after more than one year
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Government grants received
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Accruals and deferred income
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The bank loan of £900,000 (2024 - £900,000) is secured by a floating and fixed charge over the assets of the Company. The loan of £900,000, from Innovate UK, has a seven year repayment term and a three year and six month repayment holiday. Under certain circumstances, the loan is convertible to equity at a future date at the market value of the company prevailing at that time. The loan comes with free scale-up support from Innovate UK, a benefit only extended to approximately three hundred of the top innovative small companies in the UK.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 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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Allotted, called up and fully paid
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174,816 (2024 - 166,842) Ordinary shares of £0.00001 each
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During the period 7,974 Ordinary £0.00001 shares were issued for cash at a premium of £22.78 each.
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Share premium account
The share premium account represents the consideration of shares issued above par value.
Profit and loss account
The profit and loss account represents cumulative distributable profits and losses net of dividends and other adjustments.
The Executive Directors have since 2009 accepted a deferral of a portion of their remuneration. The total contingent liability for these deferred fees at 31 May 2025 was around £700,000. Payment of this sum, or any part of it, will be subject to the agreement of the Board (excluding the Executive Directors concerned). Payment of these sums will be subject to the business being in a strong financial position and that any payments made will not be material to the business at that time.
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SUSTAINABLE PIPELINE SYSTEMS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2025
In the period the Company incurred defined contribution pension costs of £43,605 of which £42,763 was capitalised (2024 - £41,096 incurred and £40,445 capitalised). Included in other creditors is an amount of £Nil (2024 - £236) owed to the pension scheme.
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Related party transactions
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Included within other debtors is an amount of £3,891 (2024 - £3,891) owed by a company with a common director.
Included within other creditors is an amount of £64,500 (2024 - £15,500) owed to directors of the company.
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