M.H.J. Limited and subsidiaries Group accounts (Group and Company)

COMPANY REGISTRATION NUMBER: 01458196

M.H.J. LIMITED AND SUBSIDIARIES

Financial Statements

31 December 2024

M.H.J. LIMITED AND SUBSIDIARIES

Financial Statements

Year ended 31 December 2024

Contents	Page

Officers and professional advisers	1

Strategic report	2

Directors' report	4

Independent auditor's report to the members	6

Consolidated statement of comprehensive income	10

Consolidated statement of financial position	11

Company statement of financial position	12

Consolidated statement of changes in equity	13

Company statement of changes in equity	16

Consolidated statement of cash flows	17

Notes to the financial statements	18

M.H.J. LIMITED AND SUBSIDIARIES

Officers and Professional Advisers

The board of directors	R E Melhuish
	J A Maclean
	T E Melhuish

Company secretary	K Bishop

Registered office	Numeric House
	98 Station Road
	Sidcup
	Kent
	DA15 7BY

Auditor	Affinia (Orpington)
	Chartered Accountants & statutory auditor
	Lynwood House
	Crofton Road
	Orpington
	Kent
	BR6 8QE

Bankers

	Barclays Bank Plc
	19 North Street
	Guildford
	Surrey
	GU1 4AG

Solicitors	DMH Stallard
	Griffin House
	135 High Street
	Crawley
	West Sussex
	RH10 1DQ

M.H.J. LIMITED AND SUBSIDIARIES

Strategic Report

Year ended 31 December 2024

M.H.J Limited is the parent company of a trading group, the company provides management support to the trading subsidiaries. The overall performance of the company is based on the performance of the whole group.

Strategic Management The objective of the company is to grow the Operational Activity, Revenue Stream and Trading Profits of its subsidiaries.

Business environment The Board is cautiously optimistic about the operational climate for each of its subsidiaries. The group is subject to various health and safety risks due to the nature of business. The company is totally committed to achieving the highest level of health and safety provision throughout all areas of the group and aims to work towards achieving a working environment that is free from work-related accidents and ill health. This is regarded as an ongoing process.

Promotion of the success of the company The Board recognises its responsibility to have regard to matters set out in Section 172(1) a-f Companies Act 2006 when performing their duty under Section 172. The Board recognises that Directors of a company must act in a way that they consider to be in good faith, and will be most likely to promote the success of the Group for the benefit of its members as a whole, and in doing so have had regard to the follows:- a. The likely consequences of any decision in the long term - The Board is and remains very conscious of the impact of any decisions which could have a long term impact on the Group. b. The interests of the Group's employees - The Board recognises the importance of the Group's employees as stakeholders in the organisation, and is very mindful of their interests. c. The need to foster the Group's business relationships with Suppliers, Customers and Others - The Board is careful to ensure that the Group's business relationships with suppliers, customers and others match the culture of the Group, and the objective is to generate long term, reliable, and mutually beneficial interests. d. The impact of the Group's operations on the Community and the Environment - The Board is very conscious of the Group's overarching obligations to the community and the environment, and this thinking flows through all of its operations. e. The desirability of the Group maintaining a reputation for high standards of business conduct - The Board ensures that the Group maintains its long tradition of acting within the highest levels of business integrity. f. The need to act fairly as between members of the Group - The Board ensures that there is a collegiate relationship between members of the Group and that fairness flows through each of the operational transactions.

Business performance MHJ & the Land & Water Group is first and foremost an environmental company, full of people who are passionate about caring for our coastline and the nation's network of rivers, streams, wetlands and waterways. We are committed to leaving the world in a better place for future generations and are therefore looking to find innovative engineering solutions that regenerate our environment, putting back more than we take out, whilst inspiring our staff and others to do the same. The group is forecasting financial growth in 2025 & 2026 as Land and Water Services is expected to secure a large regenerative project, and along with our existing frameworks this will also secure revenue streams in our Plant company and in a lesser way for Land and Water Remediation. Whilst financial security (prosperity) is essential for the growth of MHJ and the Group we recognise this isn't enough, this is only the foundation that we need to establish if we are to achieve our other ESG targets, and move towards adopting the 5 Pillars of Sustainability (Prosperity, People, Planet, Peace, Partnership) Our people are our strongest asset & we commit to ensuring that we support our staff, that we nurture & encourage staff to reach their full potential by ensuring we are providing training and mentoring, & that we provide a safe and secure place to work. Although many of our staff are site based MHJ have invested in a new southern based office which is not only a more sustainable building, but it will also significantly improve the working environment of our staff, with an open plan feel, & facilities that encourage both time away from the desk and collaborative working and integration. This facility was ready to move into in October 2024, with another new midland's-based office and yard planned to start in late 2025, early 2026. We will continue to innovate and find nature-based solutions to help restore the environment, to achieve this we will look to design new equipment that specifically solves complex environmental challenges. Our medium-term aspiration is to become a wholly regenerative service provider, only taking on projects where we leave the planet in a better place. We will maintain and develop inventive ways to recycle waste products, patented waste treatment technologies and incorporated species-saving solutions into the most sensitive habitats. Within our 5 Year strategy we will also be looking to build an eco-system (partnership) of Customers and Suppliers that have complimentary skills and a similar environmental vision, so that we can build a more sustainable future. The Board regards the following as the key performance indicators for the Group: 1. The revenue volumes as compared to the previous operating period Revenue volumes in 2024 decreased by 4.75% from last year, the Board were pleased with this result and aim to increase this in the continuing years. 2. The rate of net profit In 2024 the group has made a net profit after tax of £764,033. The Board have been working hard in 2024 to improve the profitability of the companies in the group. The Board is confident that this will improve in the coming year.

This report was approved by the board of directors on 16 December 2025 and signed on behalf of the board by:

Mr R E Melhuish Director

M.H.J. LIMITED AND SUBSIDIARIES

Directors' Report

Year ended 31 December 2024

The directors present their report and the financial statements of the group for the year ended 31 December 2024 .

Directors

The directors who served the company during the year were as follows:

R E Melhuish
J A Maclean
T E Melhuish

Dividends

Particulars of recommended dividends are detailed in note 12 to the financial statements.

Future developments

The Group Board is focused on several strategic areas of expansion for the operating subsidiaries.

Business relationships

The Directors recognise the need to foster the Group's business relationships with suppliers, customers, and others, and this matter is addressed in the Strategic Report.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, directors' report 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 group and the company and the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: - select suitable accounting policies and then apply them consistently; - make judgments 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. Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the group and the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the group and the company's auditor is aware of that information.

This report was approved by the board of directors on 16 December 2025 and signed on behalf of the board by:

Mr R E Melhuish Director

M.H.J. LIMITED AND SUBSIDIARIES

Independent Auditor's Report to the Members of M.H.J. Limited and subsidiaries

Year ended 31 December 2024

Opinion

We have audited the financial statements of M.H.J. Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the consolidated statement of comprehensive income, consolidated statement of financial position, company statement of financial position, consolidated statement of changes in equity, company statement of changes in equity, consolidated statement of cash flows and the related notes, 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 FRS 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 group's and of the parent company's affairs as at 31 December 2024 and of the group's profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's or the parent 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the directors' report 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or - the parent company 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 directors' responsibilities statement, 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 is 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: - the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; - we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sectors of which the group operate. - we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including Companies Act 2006, taxation legislation, environmental and health and safety legislation; - we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and - identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: - making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud. - considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: - performed analytical procedures to identify any unusual or unexpected relationships; - tested journal entries to identify unusual transactions; - assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; - investigated the rationale behind significant or unusual transactions; and - observed and identified internal controls in place, specifically around payroll and bank transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: - agreeing financial statement disclosures to underlying supporting documentation; - enquiring of management as to actual and potential litigation and claims; and - reviewing correspondence with HMRC and reviewing for evidence of correspondence with legal advisors. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. 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 an auditor's report 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.

Christopher Jones FCCA

(Senior Statutory Auditor)

For and on behalf of

Affinia (Orpington)

Chartered Accountants & statutory auditor

Lynwood House

Crofton Road

Orpington

Kent

BR6 8QE

16 December 2025

M.H.J. LIMITED AND SUBSIDIARIES

Consolidated Statement of Comprehensive Income

Year ended 31 December 2024

		2024	2023
			(restated)
Note		£	£
Turnover	4	36,926,929	38,768,950

Cost of sales	29,416,834	28,263,540
	-------------	-------------
Gross profit	7,510,095	10,505,410

Administrative expenses		6,172,341	8,525,055
		------------	-------------
Operating profit	5	1,337,754	1,980,355

Share of profit of associates	15	396,211	382,132
Interest receivable	9	( 65,855)	135,334
Interest payable	10	352,048	229,585
		------------	-------------
Profit before taxation		1,316,062	2,268,236

Taxation on ordinary activities	11	552,029	694,923
		------------	------------
Profit for the financial year and total comprehensive income		764,033	1,573,313
		------------	------------

Profit for the financial year attributable to:

The owners of the parent company	631,645	1,341,443
Non-controlling interests	132,388	231,870
	---------	------------
	764,033	1,573,313
	---------	------------

All the activities of the group are from continuing operations.

M.H.J. LIMITED AND SUBSIDIARIES

Consolidated Statement of Financial Position

31 December 2024

	2024	2023
		(restated)
Note	£	£

Fixed assets

Intangible assets	13	1	1
Tangible assets	14	13,958,840	11,934,297
Investments:	15
Investments in associates		1,665,532	1,368,374
		-------------	-------------
		15,624,373	13,302,672

Current assets

Stocks	16	490,775	460,951
Debtors	17	15,967,536	17,142,189
Cash at bank and in hand		3,457,036	3,017,746
		-------------	-------------
		19,915,347	20,620,886

Creditors: amounts falling due within one year	19	13,337,712		12,830,699
		-------------		-------------
Net current assets			6,577,635	7,790,187
			-------------	-------------
Total assets less current liabilities			22,202,008	21,092,859

Creditors: amounts falling due after more than one year	20		3,869,797	3,128,470

Provisions

Taxation including deferred tax	22	2,127,057	2,035,817
		-------------	-------------
Net assets		16,205,154	15,928,572
		-------------	-------------

Capital and reserves

Called up share capital	26	48,650	48,650
Share premium account	27	406,694	406,694
Profit and loss account	27	14,384,708	14,103,208
		-------------	-------------
Equity attributable to the owners of the parent company		14,840,052	14,558,552

Non-controlling interests	1,365,102	1,370,020
	-------------	-------------
	16,205,154	15,928,572
	-------------	-------------

These financial statements were approved by the board of directors and authorised for issue on 16 December 2025 , and are signed on behalf of the board by:

R E Melhuish J A Maclean

Company registration number: 01458196

M.H.J. LIMITED AND SUBSIDIARIES

Company Statement of Financial Position

31 December 2024

	2024	2023
Note	£	£

Fixed assets

Tangible assets	14	4,117,933	2,503,312
Investments	15	488,671	488,671
		------------	------------
		4,606,604	2,991,983

Current assets

Debtors	17	4,352,566	4,953,628
Cash at bank and in hand		–	631
		------------	------------
		4,352,566	4,954,259

Creditors: amounts falling due within one year	19	3,217,369		2,461,143
		------------		------------
Net current assets			1,135,197	2,493,116
			------------	------------
Total assets less current liabilities			5,741,801	5,485,099

Creditors: amounts falling due after more than one year	20	1,208,147	368,333
		------------	------------
Net assets		4,533,654	5,116,766
		------------	------------

Capital and reserves

Called up share capital	26	48,650	48,650
Share premium account	27	406,694	406,694
Profit and loss account	27	4,078,310	4,661,422
		------------	------------
Shareholders funds		4,533,654	5,116,766
		------------	------------

The loss for the financial year of the parent company was £ 186,038 (2023: £ 1,627,940 profit).

These financial statements were approved by the board of directors and authorised for issue on 16 December 2025 , and are signed on behalf of the board by:

R E Melhuish J A Maclean

Company registration number: 01458196

M.H.J. LIMITED AND SUBSIDIARIES

Consolidated Statement of Changes in Equity

Year ended 31 December 2024

		Called up share capital	Share premium account	Profit and loss account	Equity attributable to the owners of the parent company	Non-controlling interests	Total
Note		£	£	£	£	£	£
At 1 January 2023 (as previously reported)		48,650	406,694	13,436,225	13,891,569	1,350,781	15,242,350
Prior period adjustments	25	–	–	(300,698)	(300,698)	–	(300,698)
		--------	---------	-------------	-------------	------------	-------------
At 1 January 2023 (restated)		48,650	406,694	13,135,527	13,590,871	1,350,781	14,941,652
		--------	---------	-------------	-------------	------------	-------------

Profit for the year				1,341,443	1,341,443	231,870	1,573,313
		--------	---------	-------------	-------------	------------	-------------
Total comprehensive income for the year		–	–	1,341,443	1,341,443	231,870	1,573,313

Dividends paid and payable	12	–	–	( 373,762)	( 373,762)	( 212,631)	( 586,393)
		--------	---------	-------------	-------------	------------	-------------
Total investments by and distributions to owners		–	–	( 373,762)	( 373,762)	( 212,631)	( 586,393)

At 31 December 2023 (as previously reported)		48,650	406,694	14,708,561	15,163,905	1,370,020	16,533,925
Prior period adjustments	25	–	–	(605,353)	(605,353)	–	(605,353)
		--------	---------	-------------	-------------	------------	-------------
At 31 December 2023 (restated)		48,650	406,694	14,103,208	14,558,552	1,370,020	15,928,572
		--------	---------	-------------	-------------	------------	-------------

Profit for the year				631,645	631,645	132,388	764,033
		--------	---------	-------------	-------------	------------	-------------
Total comprehensive income for the year		–	–	631,645	631,645	132,388	764,033

M.H.J. LIMITED AND SUBSIDIARIES

Consolidated Statement of Changes in Equity (continued)

Year ended 31 December 2024

		Called up share capital	Share premium account	Profit and loss account	Equity attributable to the owners of the parent company	Non-controlling interests	Total
Note		£	£	£	£	£	£
Dividends paid and payable	12	–	–	( 397,073)	( 397,073)	( 28,448)	( 425,521)
Redemption of shares		–	–	46,928	46,928	( 108,858)	( 61,930)
		----	----	---------	---------	---------	---------
Total investments by and distributions to owners		–	–	( 350,145)	( 350,145)	( 137,306)	( 487,451)

		--------	---------	-------------	-------------	------------	-------------
At 31 December 2024		48,650	406,694	14,384,708	14,840,052	1,365,102	16,205,154
		--------	---------	-------------	-------------	------------	-------------

M.H.J. LIMITED AND SUBSIDIARIES

Company Statement of Changes in Equity

Year ended 31 December 2024

M.H.J. LIMITED AND SUBSIDIARIES

Company Statement of Changes in Equity

Year ended 31 December 2024

		Called up share capital	Share premium account	Profit and loss account	Total
		£	£	£	£
At 1 January 2023		48,650	406,694	3,407,244	3,862,588

Profit for the year				1,627,940	1,627,940
		--------	---------	------------	------------
Total comprehensive income for the year		–	–	1,627,940	1,627,940

Dividends paid and payable	12	–	–	( 373,762)	( 373,762)
		--------	---------	------------	------------
Total investments by and distributions to owners		–	–	( 373,762)	( 373,762)

At 31 December 2023		48,650	406,694	4,661,422	5,116,766

Loss for the year				( 186,038)	( 186,038)
		--------	---------	------------	------------
Total comprehensive income for the year		–	–	( 186,038)	( 186,038)

Dividends paid and payable	12	–	–	( 397,074)	( 397,074)
		----	----	---------	---------
Total investments by and distributions to owners		–	–	( 397,074)	( 397,074)

		--------	---------	------------	------------
At 31 December 2024		48,650	406,694	4,078,310	4,533,654
		--------	---------	------------	------------

M.H.J. LIMITED AND SUBSIDIARIES

Consolidated Statement of Cash Flows

Year ended 31 December 2024

	2024	2023
		(restated)
Note	£	£

Cash flows from operating activities

Profit for the financial year	764,033	1,573,313

Adjustments for:
Depreciation of tangible assets	1,529,364	1,459,842
Share of profit of associates	( 396,211)	( 382,132)
Interest receivable	65,855	( 135,334)
Interest payable	352,048	229,585
Loss/(gains) on disposal of tangible assets	20,350	( 403,678)
Taxation on ordinary activities	552,029	694,923
Accrued expenses	510,354	95,395

Changes in:
Stocks	( 29,824)	56,267
Trade and other debtors	1,175,058	( 2,379,804)
Trade and other creditors	36,463	( 1,497,821)
	------------	------------
Cash generated from operations	4,579,519	( 689,444)

Interest paid	( 352,048)	( 229,585)
Interest received	( 65,855)	135,334
Tax (paid)/received	( 277,899)	147,556
	------------	---------
Net cash from/(used in) operating activities	3,883,717	( 636,139)
	------------	---------

Cash flows from investing activities

Purchase of tangible assets	( 2,022,356)	( 563,837)
Proceeds from sale of tangible assets	438,512	1,343,906
	------------	------------
Net cash (used in)/from investing activities	( 1,583,844)	780,069
	------------	------------

Cash flows from financing activities

Purchase of own shares	( 61,930)	–
Proceeds from borrowings	1,125,000	–
Repayments of borrowings	( 260,000)	( 260,000)
Proceeds from loans from participating interests	( 135,041)	165,632
Payments of finance lease liabilities	( 1,954,355)	( 1,556,469)
Dividends paid	( 425,521)	( 586,393)
	------------	------------
Net cash used in financing activities	( 1,711,847)	( 2,237,230)
	------------	------------

Net increase/(decrease) in cash and cash equivalents		588,026	( 2,093,300)
Cash and cash equivalents at beginning of year		2,243,954	4,337,254
		------------	------------
Cash and cash equivalents at end of year	18	2,831,980	2,243,954
		------------	------------

M.H.J. LIMITED AND SUBSIDIARIES

Notes to the Financial Statements

Year ended 31 December 2024

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Numeric House, 98 Station Road, Sidcup, Kent, DA15 7BY.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through the statement of comprehensive income. The financial statements are prepared in sterling, which is the functional currency of the entity.

Debtors

Debtors are initially recorded at fair value and are assessed for impairment at each year end date. If any impairments exist the debtors are remeasured to the present value of the expected future cash inflows.

Creditors

Creditors are initially recorded at fair value and are then remeasured to the present value of the expected future cash outflows.

Equipment leased to customers

Equipment leased to customers under operating leases is capitalised. Operating lease income is accounted for on a straight line basis with rental income and any rental increases recognised during the period to which they relate.

Disclosure exemptions

The parent company satisfies the criteria of being a qualifying entity as defined in FRS 102. As such, advantage has been taken of the following reduced disclosures available under FRS 102:

(a) Disclosures in respect of each class of share capital have not been presented.

(b) No cash flow statement has been presented for the company.

(c) Disclosures in respect of financial instruments have not been presented.

(d) No disclosure has been given for the aggregate remuneration of key management personnel.

Consolidation

The financial statements consolidate the financial statements of M.H.J. Limited and all of its subsidiary undertakings. The results of subsidiaries acquired or disposed of during the year are included from or to the date that control passes. The parent company has applied the exemption contained in section 408 of the Companies Act 2006 and has not included its individual statement of comprehensive income. Business combinations In the parent company M.H.J Limited, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment. Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill. Basis of Consolidation The consolidated group M.H.J Limited and Subsidiaries consist of M.H.J Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates. All financial statements are made up to 31st December 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group. All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases. Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates. Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill. If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate. Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

Non-controlling interests

Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the Group’s equity. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the minority’s share of changes in equity since the date of the combination.

The proportions of profit or loss and changes in equity allocated to the owners of the parent and to the non-controlling interests are determined on the basis of existing ownership interests and do not reflect the possible exercise or conversion of options or convertible instruments.

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. Significant judgements The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Bad debt provision Provision is made for bad debts. This requires management's best estimate of the value of payments expected to be received in the future. In addition, the timing of the cash flows requires management's judgement. Rebate recoverability Provision is made for irrecoverable rebates. This requires management's best estimate of the value of payments expected to be received in the future. In addition, the timing of the cash flows requires management's judgement. Long term contracts and uninvoiced sales Provision is made for the uninvoiced sales which is based on the works completed pre year end but invoiced post year end. Management also make a judgement to determine the stage of completion of each project. Key sources of estimation uncertainty Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows: There are no material estimates and assumptions.

Revenue recognition

Revenue refers to amounts earned from the Company's principal activity; operating as a holding company and the provision of plant hire and management services and the group activities of port and inland dredging, the provision of Management and Administration services, the provision of Environmental Contracting services, the hire of plant and machinery and online learning courses for British water safety. Revenue from dredging services for ports and inland waterways is recognised when the following conditions are met; the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company, the stage of completion of the service can be measured reliably and the costs incurred and the costs to complete the service can be measured reliably. Revenue from dredging services is typically recognised at the point when the service is rendered and the customer has accepted the work performed. Management and Administration services revenue comprises recharges of administrative and support service costs incurred on behalf of other group companies. Revenue is measured at the fair value of the consideration received or receivable, excluding VAT and other sales-related taxes. Recharges are recognised as revenue when the related services have been provided and the costs are allocated to group entities. This typically occurs monthly, based on actual costs incurred and agreed allocation methodologies. Revenue from environmental contracting services, including site remediation, ecological restoration, waste handling, and environmental monitoring is measured at the fair value of the consideration received or receivable, excluding VAT and net of discounts and rebates. Revenue from the rendering of environmental contracting services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered. Revenue from the hire of plant and equipment is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Revenue from the hire of plant and equipment is recognised on a straight-line basis over the period of hire as the services are rendered. Where hire contracts include delivery, setup, or dismantling services, revenue attributable to these components is recognised when the service is performed. The revenue from operating as a holding company shown in the statement of comprehensive income represents amounts invoiced during the year, exclusive of Value Added Tax. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered.

Income tax

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 equity. In this case, tax is recognised in other comprehensive income or directly in equity, 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.

Goodwill

Goodwill arising on consolidation is written off over the 5 years following the year of acquisition.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

	Goodwill	-	5 Year straight line

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Tangible assets with a cost value in excess of £500 are capitalised, all items below this limit are expensed through the Statement of comprehensive income.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Leasehold Improvements	-	50%, 17.50%, 12.50%, 10% SL and 10 Years & 5 Years SL
Plant & machinery	-	10% / 15% / 17.5% SL and 33% SL and 33%, 25%, 20% & 15% RB
Equipment	-	3 Yr SL and 16% SL
Motor vehicles	-	25% RB and 25% SL and 33% SL and 4Yrs SL
Fixtures & fittings	-	3 Year SL, 50%, 33%, 25% & 15% SL and 25% RB and 5 Yrs SL

Freehold land is not depreciated. Freehold properties are maintained to such a standard that their estimated residual values are not less than cost and as such depreciation is not charged. Although the Companies Act would normally require the systematic annual depreciation of freehold properties, the Directors believe that this policy of not providing depreciation is necessary in order for the accounts to give a true and fair view, since the current value of the freehold properties, and changes in that current value, are of prime importance rather than a calculation of systematic annual depreciation. Depreciation is only one of the many factors reflected in the annual valuation and the amount that might otherwise have been shown cannot be separately identified or quantified.

Investments

Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.

Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.

Investments in subsidiaries

Investments in subsidiaries accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in subsidiaries accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in the income statement. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the associate arising before or after the date of acquisition.

Investments in participating interests

Investments in participating interest accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in participating interest accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value recognised in the income statement. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the joint venture arising before or after the date of acquisition.

Impairment of fixed assets

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. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities .

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

4. Turnover

Turnover arises from:

	2024	2023
		(restated)
	£	£
Rendering of services	14,026,784	12,327,807
Construction contracts	22,900,145	26,441,143
	-------------	-------------
	36,926,929	38,768,950
	-------------	-------------

The whole of the turnover is attributable to the principal activity of the group wholly undertaken in the United Kingdom.

5. Operating loss

Operating profit or loss is stated after charging/crediting:

	2024	2023
		(restated)
	£	£
Depreciation of tangible assets	1,529,364	1,459,842
Loss/(gains) on disposal of tangible assets	20,350	( 403,678)
Impairment of trade debtors	242,383	132,626
Research and development expenditure written off	19,515	–
Foreign exchange differences	( 9,283)	–
	------------	------------

6. Auditor's remuneration

	2024	2023
		(restated)
	£	£
Fees payable for the audit of the financial statements	36,000	36,000
	--------	--------

Fees payable to the company's auditor and its associates for other services:

Other non-audit services	15,000	15,319
	--------	--------

7. Particulars of employees

The average number of persons employed by the group during the year, including the directors, amounted to:

	2024	2023
	No.	No.
Office and administration	55	92
Plant operators	63	65
Site management	54	30
	----	----
	172	187
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2024	2023
		(restated)
	£	£
Wages and salaries	9,248,801	9,803,198
Social security costs	698,002	736,896
Other pension costs	219,937	95,842
	-------------	-------------
	10,166,740	10,635,936
	-------------	-------------

The average number of employees employed by undertakings that are proportionately consolidated are 9, (2023:9).

8. Directors' remuneration

The directors' aggregate remuneration in respect of qualifying services was:

	2024	2023
		(restated)
	£	£
Remuneration	1,011,892	1,179,039
	------------	------------

The number of directors who accrued benefits under company pension plans was as follows:

	2024	2023
		(restated)
	No.	No.
Defined contribution plans	2	2
	----	----

Remuneration of the highest paid director in respect of qualifying services:

	2024	2023
		(restated)
	£	£
Aggregate remuneration	170,877	204,308
	---------	---------

9. Interest receivable

	2024	2023
		(restated)
	£	£
Interest on loans and receivables	41,840	–
Interest on cash and cash equivalents	( 107,695)	135,334
	---------	---------
	( 65,855)	135,334
	---------	---------

10. Interest payable

	2024	2023
		(restated)
	£	£
Interest on banks loans and overdrafts	109,805	–
Interest on obligations under finance leases and hire purchase contracts	242,243	229,585
	---------	---------
	352,048	229,585
	---------	---------

11. Taxation on ordinary activities

Major components of tax expense

	2024	2023
		(restated)
	£	£

Current tax:

UK current tax income	431,752	318,641
Adjustments in respect of prior periods	( 4,540)	( 95,973)
Share of associate tax charge	99,053	180,276
	---------	---------
Total current tax	526,265	402,944
	---------	---------

Deferred tax:

Origination and reversal of timing differences	25,764	291,979
	---------	---------
Taxation on ordinary activities	552,029	694,923
	---------	---------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is higher than (2023: lower than) the standard rate of corporation tax in the UK of 25 % (2023: 23.50 %).

	2024	2023
		(restated)
	£	£
Profit on ordinary activities before taxation	1,316,062	2,268,236
	------------	------------
Profit on ordinary activities by rate of tax	350,198	733,995
Adjustment to tax charge in respect of prior periods	( 4,540)	( 95,973)
Effect of expenses not deductible for tax purposes	11,785	( 350,853)
Effect of capital allowances and depreciation	69,769	8,612
Unused tax losses	–	( 73,113)
Share of associate tax charge	99,053	180,276
Effect on deferred tax	25,764	291,979
	------------	------------
Tax on (loss)/profit	552,029	694,923
	------------	------------

12. Dividends

Dividends paid during the year (excluding those for which a liability existed at the end of the prior year):

	2024	2023
		(restated)
	£	£
Equity dividends on ordinary shares	425,521	586,393
	---------	---------

13. Intangible assets

Group	Goodwill
	£
Cost
At 1 January 2024 (as restated) and 31 December 2024	4,764
	-------
Amortisation
At 1 January 2024 and 31 December 2024	4,763
	-------
Carrying amount
At 1 January 2024 and 31 December 2024	1
	-------
At 31 December 2023	1
	-------

The company has no intangible assets.

14. Tangible assets

Group	Land and buildings	Plant and machinery	Fixtures, fittings and equipment	Motor vehicles	Total
	£	£	£	£	£
Cost
At 1 January 2024 (as restated)	4,664,733	13,974,725	806,816	518,974	19,965,248
Additions	1,783,096	1,805,020	117,243	307,410	4,012,769
Disposals	( 233,228)	( 1,074,585)	( 4,224)	( 147,119)	( 1,459,156)
	------------	-------------	---------	---------	-------------
At 31 December 2024	6,214,601	14,705,160	919,835	679,265	22,518,861
	------------	-------------	---------	---------	-------------
Depreciation
At 1 January 2024	1,658,080	5,565,516	615,617	191,738	8,030,951
Charge for the year	228,197	1,092,595	120,369	88,203	1,529,364
Disposals	( 97,843)	( 788,538)	–	( 113,913)	( 1,000,294)
	------------	-------------	---------	---------	-------------
At 31 December 2024	1,788,434	5,869,573	735,986	166,028	8,560,021
	------------	-------------	---------	---------	-------------
Carrying amount
At 31 December 2024	4,426,167	8,835,587	183,849	513,237	13,958,840
	------------	-------------	---------	---------	-------------
At 31 December 2023	3,006,653	8,409,209	191,199	327,236	11,934,297
	------------	-------------	---------	---------	-------------

Company	Land and buildings	Plant and machinery	Fixtures and fittings	Total
	£	£	£	£
Cost
At 1 January 2024	2,499,088	1,425	4,224	2,504,737
Additions	1,754,230	–	–	1,754,230
Disposals	( 135,385)	–	( 4,224)	( 139,609)
	------------	-------	-------	------------
At 31 December 2024	4,117,933	1,425	–	4,119,358
	------------	-------	-------	------------
Depreciation
At 1 January 2024 and 31 December 2024	–	1,425	–	1,425
	------------	-------	-------	------------
Carrying amount
At 31 December 2024	4,117,933	–	–	4,117,933
	------------	-------	-------	------------
At 31 December 2023	2,499,088	–	4,224	2,503,312
	------------	-------	-------	------------

Assets held for use in operating leases originally cost £13,951,124 (2023: £13,235,139) and have a net book value of £7,684,608 (2023: £8,197,437).

Finance leases and hire purchase contracts

Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:

Group	Plant and machinery	Motor vehicles	Total
	£	£	£
At 31 December 2024	7,089,555	36,458	7,126,013
	------------	--------	------------
At 31 December 2023	5,291,069	–	5,291,069
	------------	--------	------------

The company has no tangible assets held under finance lease or hire purchase agreements.

15. Investments

Group	Interests in associates
	£
Share of net assets/cost
At 1 January 2024 as restated	1,368,374
Share of profit or loss	297,158
	------------
At 31 December 2024	1,665,532
	------------
Impairment
At 1 January 2024 as restated and 31 December 2024	–
	------------

Carrying amount
At 31 December 2024	1,665,532
	------------
At 31 December 2023	1,368,374
	------------

Company	Shares in group undertakings	Shares in participating interests	Total
	£	£	£
Cost
At 1 January 2024 as restated and 31 December 2024	460,671	28,000	488,671
	---------	--------	---------
Impairment
At 1 January 2024 as restated and 31 December 2024	–	–	–
	---------	--------	---------

Carrying amount
At 1 January 2024 and 31 December 2024	460,671	28,000	488,671
	---------	--------	---------
At 31 December 2023	460,671	28,000	488,671
	---------	--------	---------

Subsidiaries, associates and other investments

Details of the investments in which the group and the parent company have an interest of 20% or more are as follows:

	Class of share	Percentage of shares held
Subsidiary undertakings
Land & Water Services Limited	Ordinary shares	87.5
Land & Water Plant Limited	Ordinary shares	90
Land & Water Remediation Limited	Ordinary shares	95
Land and Water Group Limited	Ordinary shares	100
Land & Water Estates Limited	Ordinary shares	90
Waterwise Training Limited	Ordinary shares	75
Sudstainability Limited	Ordinary shares	100
Charybdis Limited	Ordinary shares	100
Land & Water Services (Scotland) Limited	Ordinary shares	100
Terraqua Limited	Ordinary shares	100

Other significant holdings
LC Energy Limited	Ordinary shares	40
NTD National Tracked Dumper Hire Limited	Ordinary shares	45

Investments in associates

Summarised financial information of associates:

	2024	2023
		(restated)
	£	£
Fixed assets	3,325,693	2,727,959
Current assets	554,054	492,567
Non-current liabilities	905,481	( 759,202)
Current liabilities	910,452	( 793,722)
	------------	------------

Revenues	1,460,288	1,295,395
Profit from continuing operations	396,211	382,132
Total comprehensive income	297,158	201,857
	------------	------------

16. Stocks

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Raw materials	490,775	460,951	–	–
	---------	---------	----	----

17. Debtors

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Trade debtors	3,058,828	4,658,815	8,667	4,155
Amounts owed by group undertakings	–	–	37,083	1,574,949
Amounts owed by undertakings in which the company has a participating interest	857,420	693,404	728,460	581,777
Deferred tax asset	66,794	1,319	66,794	956
Prepayments and accrued income	540,709	998,045	47,430	19,079
Corporation tax repayable	–	–	–	70
Directors loan account	–	36,518	–	134,453
Amounts recoverable on contracts	6,890,369	5,007,463	–	–
Other debtors	4,553,416	5,746,625	3,464,132	2,638,189
	-------------	-------------	------------	------------
	15,967,536	17,142,189	4,352,566	4,953,628
	-------------	-------------	------------	------------

The debtors above include the following amounts falling due after more than one year:

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Amounts owed by undertakings in which the company has a participating interest	723,633	581,777	723,633	581,777
	---------	---------	---------	---------

18. Cash and cash equivalents

Cash and cash equivalents comprise the following:

	2024	2023
		(restated)
	£	£
Cash at bank and in hand	3,457,036	3,017,746
Bank overdrafts	( 625,056)	( 773,792)
	------------	------------
	2,831,980	2,243,954
	------------	------------

19. Creditors: amounts falling due within one year

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Bank loans and overdrafts	910,242	1,033,792	1,976,547	1,262,186
Trade creditors	4,687,627	4,198,762	106,043	89,866
Amounts owed to group undertakings	–	–	608,503	721,766
Amounts owed to undertakings in which the company has a participating interest	30,621	165,662	–	30
Accruals and deferred income	4,676,164	4,165,810	39,773	30,556
Corporation tax	454,467	370,225	14,970	–
Social security and other taxes	363,972	853,231	–	–
Obligations under finance leases and hire purchase contracts	1,818,012	1,683,467	–	–
Director loan accounts	174,124	–	255,890	–
Other creditors	222,483	359,750	215,643	356,739
	-------------	-------------	------------	------------
	13,337,712	12,830,699	3,217,369	2,461,143
	-------------	-------------	------------	------------

The group has entered into a composite accounting agreement with Natwest Bank Plc between Land & Water Services Limited, Land & Water Plant Limited, Land & Water Remediation Limited, Land & Water Estates Limited, M.H.J. Limited & Land and Water Group Limited. Under the terms of this agreement the bank is authorised in certain circumstances to seize bank account balances and apply them in reduction of liabilities including overdrawn bank accounts of the other group companies in the agreement. The total potential liability under the composite agreement at the year end is £2,312,912.

20. Creditors: amounts falling due after more than one year

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Bank loans and overdrafts	1,208,147	368,333	1,208,147	368,333
Obligations under finance leases and hire purchase contracts	2,661,650	2,760,137	–	–
	------------	------------	------------	---------
	3,869,797	3,128,470	1,208,147	368,333
	------------	------------	------------	---------

21. Finance leases and hire purchase contracts

The total future minimum lease payments under finance leases and hire purchase contracts are as follows:

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Not later than 1 year	1,818,012	1,683,467	–	–
Later than 1 year and not later than 5 years	2,379,010	2,760,137	–	–
Later than 5 years	282,640	–	–	–
	------------	------------	----	----
	4,479,662	4,443,604	–	–
	------------	------------	----	----

22. Provisions

Group	Deferred tax (note 23)
	£
At 1 January 2024 (as restated)	2,035,817
Additions	122,037
Charge against provision	( 30,797)
	------------
At 31 December 2024	2,127,057
	------------

The company does not have any provisions.

23. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Included in debtors (note 17)	66,794	1,319	66,794	956
Included in provisions (note 22)	( 2,127,057)	( 2,035,817)	–	–
	------------	------------	--------	----
	( 2,060,263)	( 2,034,498)	66,794	956
	------------	------------	--------	----

The deferred tax account consists of the tax effect of timing differences in respect of:

	Group		Company
	2024	2023	2024	2023
		(restated)	(restated)
	£	£	£	£
Accelerated capital allowances	2,060,263	2,034,498	( 66,794)	( 956)
	------------	------------	--------	----

24. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 219,937 (2023: £ 95,842 ).

25. Prior period errors

The accounts have been restated to incorporate the impact of treating the investment in an associate on the cost basis instead of the equity basis. The change has resulted in the following changes to profits available for distribution; 31 December 2023 Decrease in share of profit of associate in Statement of Comprehensive Income £247,806 Decrease in share of associate tax charge in Statement of Comprehensive Income £46,511 Increase in Shares in associated undertakings £28,000 Decrease in Interest in associate in Statement of Financial Position £300,698 In addition a correcton was made to the related party transactions. The change has resulted in the following changes to the profits available for distribution; Increase in Bad Debt Provision in Statement of Comprehensive Income £103,360.

26. Called up share capital

Authorised share capital

	2024		2023
			(restated)
	No.	£	No.	£
Ordinary shares of £ 1 each	48,650	48,650	48,650	48,650
	--------	--------	--------	--------

Issued, called up and fully paid

	2024		2023
			(restated)
	No.	£	No.	£
Ordinary shares of £ 1 each	48,650	48,650	48,650	48,650
	--------	--------	--------	--------

27. Reserves

Share premium account - This reserve records the amount above the nominal value received for shares sold, less transaction costs. Profit and loss account - This reserve records retained earnings and accumulated losses.

28. Analysis of changes in net debt

	At 1 Jan 2024	Cash flows	At 31 Dec 2024
	£	£	£
Cash at bank and in hand	3,017,746	439,290	3,457,036
Bank overdrafts	(773,792)	148,736	(625,056)
Debt due within one year	(2,109,129)	(198,814)	(2,307,943)
Debt due after one year	(3,128,470)	(741,327)	(3,869,797)
	------------	---------	------------
	( 2,993,645)	( 352,115)	( 3,345,760)
	------------	---------	------------

29. Directors' advances, credits and guarantees

Advances brought forward and additional advances made during the year totalling £494,651 were made available to the directors. The balance outstanding at the year end was £494,651. The advances were made interest free and are repayable on demand (2023 : £389,574).

M.H.J. LIMITED AND SUBSIDIARIES

Notes to the Financial Statements (continued)

Year ended 31 December 2024

30. Related party transactions

Group

The group has taken advantage of the exemption conferred by FRS 102 paragraph 33.1A not to disclose transactions with wholly owned subsidiaries within the group. At the year end the group was owed £2,621,460 (2023: £2,377,831) by Geomac Limited. The group is related to Geomac Limited by the virtue that they are under the control of the same Directors. During the year sales of £564,195 (2023 £225,745) and purchases of £477,258 (2023 £20,381) were made to/from Geomac Limited by the group. At the year end the group was owed £2,285 (2023 £1,654) by Hill House Partnership, this partnership is related to the group due to J Maclean's interest in both. At the year end the group was owed £726,633 by Earth Change Limited.The group is related to this company as the parent company has a shareholding in this company. At the year end the group was owed £4,827 by L C Energy Limited. The group is related to this company as they are under the common control of the same directors. At the year end the group was owed £125,960 by NTD National Tracked Dumper Hire Limited and owed them £28,821. The group is related to this company as 50% of the shares are owned by Land & Water Plant Limited. At the year the company owed £1,800 to Land & Water Speacial Projects Limited. The group is related to this company as they are under the common control of the same directors. All transactions are at market value and all loans were made interest free and repayable on demand.

31. Ultimate controlling party

During the year the company was under control of R E Melhuish by virtue of his majority shareholding in M.H.J. Limited.