ACCOUNTS - Final Accounts preparation

An analysis of turnover by class of business is as follows:

Registered number: 10477551

BROOKS ENGINEERING GROUP LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

BROOKS ENGINEERING GROUP LIMITED

COMPANY INFORMATION

Directors	J C Brooks
	S M Brooks
	S C Brooks
	A J Brooks


Registered number	10477551


Registered office	Doulton Road
	Cradley Heath
	West Midlands
	B64 5QJ


Independent auditor	MHA
	Statutory Auditors
	11 Merus Court
	Meridian Business Park
	Leicester
	LE19 1RJ

BROOKS ENGINEERING GROUP LIMITED

CONTENTS

	Page
Group Strategic Report	1 - 2
Directors' Report	3 - 4
Independent Auditor's Report	5 - 8
Consolidated Statement of Comprehensive Income	9
Consolidated Balance Sheet	10 - 11
Company Balance Sheet	12 - 13
Consolidated Statement of Changes in Equity	14
Company Statement of Changes in Equity	15
Consolidated Statement of Cash Flows	16 - 17
Consolidated Analysis of Net Debt	18
Notes to the Financial Statements	19 - 40

BROOKS ENGINEERING GROUP LIMITED

GROUP STRATEGIC REPORT

FOR THE YEAR ENDED 31 MARCH 2025

Introduction

The directors present their Strategic Report on the Group for the year ended 31 March 2025. The principal activity of the Company is to act as a Holding Company to other Group Companies.

Business review

The principal activity of the companies within the Group are the production and sale of forged, machined and fabricated metal components and imported metal components.

A stronger than expected year was reported driven by growth in construction related sales. Looking forward, the current year to 31 March 2026 is forecast to remain profitable but with significantly reduced activity. This reduced activity is due to delays in large infrastructure and construction projects, together with economic uncertainty affecting business decisions.

The Group continues to take opportunities when they arise and seeks to widen its customer and industry base whilst acquiring plant and machinery from companies withdrawing from the forging sector.

The directors continue to re-focus the Group on widening the capabilities offered.

Principal risks and uncertainties

The key risks to the Group include:

• Price fluctuations and availability of raw materials – mitigated by carrying sufficient stocks, of raw materials, to provide flexibility in terms of timing of purchases and through having a diverse supplier base;
• Government policy - changes affect certainty, outlook and the placement of long-term contracts.
• Cost effective replacement and maintenance of plant & machinery;
• Increased energy and raw material costs and other inflationary pressures from suppliers mitigated by a mix of energy needs, some long-term contracts and reducing consumption where possible.
• Credit risk of customers – mitigated through a diverse customer base, robust credit control procedures and credit insurance.
• Changes seen within the World economy, with barriers to international trade being introduced.

Looking forward the directors have reviewed budgets and forecasts for the period to 31 March 2026 and are forecasting continued profitability and cash generation.

As the business enters its 66th year the directors continue to maintain a strong Balance Sheet to ensure the Group is well capitalised to withstand financial shocks and continues to have strong cash and other liquid balances, built up over a number of years of profitable cash generative trading. These reserves are primarily held for the replacement of plant and machinery, future acquisitions and expansion, following the ethos of its founding and current Chairman to take opportunities should they arise. They are available to fund temporary disruption and knock on adverse effects to profitability and cashflow. They are sufficient for the Group to continue as a going concern for the next 12 months and the foreseeable future.

Financial key performance indicators

The directors monitor the financial health of the Group through the review of quarterly management accounts and key performance indicators such as gross margins and liquidity ratios which can be obtained from the Statement of Comprehensive Income. Weekly order intakes, monthly trading figures and cash requirements are also all closely monitored.

Page 1

BROOKS ENGINEERING GROUP LIMITED

GROUP STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Future developments

The directors will continue to focus on improving the performance of acquired companies, maintaining a strong Balance Sheet to withstand financial shocks, providing security and comfort to stakeholders such as employees, customers and creditors as well as taking advantage of potential opportunities should they arise.

This report was approved by the board and signed on its behalf.

................................................

A J Brooks

Director

Date: 16 December 2025

Page 2

BROOKS ENGINEERING GROUP LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2025

The directors present their report and the financial statements for the year ended 31 March 2025.

Results and dividends

The profit for the year, after taxation, amounted to £2,764 thousand (2024 - £2,338 thousand).

During the year, dividends amounting to £2,197 thousand (2024 - £576 thousand) were paid by the Group.

Directors

The directors who served during the year were:

J C Brooks

S M Brooks

S C Brooks

A J Brooks

Future developments

Reference to future developments are made in the Group Strategic Report.

Liquidity risk

The Group aims to mitigate liquidity risk by managing cash generation by its operations and applying debtor collection targets.

Credit risk

The risk of financial loss to counterparty's failure to honor obligations arises principally in relation to transactions where the Group provides goods on deferred credit terms. Group policies are aimed at minimising such losses and require that deferred terms are granted only to customers who demonstrate an appropriate payment history and satisfy creditworthiness procedures. Individual exposures are monitored with customers subject to credit limits to ensure that the Group's exposure to bad debts is not significant.

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditor is unaware; and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditor is aware of that information.

Post balance sheet events

There have been no significant events affecting the Group or Company since the year end.

Page 3

BROOKS ENGINEERING GROUP LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Auditor

The auditor, MHA, previously traded though the legal entity MacIntyre Hudson LLP. In response to the regulatory changes, MacIntyre Hudson LLP ceased to hold an audit registration with the engagement transitioning to MHA Audit Services LLP.

MHA will be proposed for reappointment in accordance section 485 of the Companies Act 2006.

Directors' responsibilities statement

The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Group's financial statements and then apply them consistently;

∙make judgements and accounting estimates that are reasonable and prudent;

∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group 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 the Group and to 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

This report was approved by the board and signed on its behalf.

................................................

A J Brooks

Director

Date: 16 December 2025

Doulton Road

Cradley Heath

West Midlands

B64 5QJ

Page 4

BROOKS ENGINEERING GROUP LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BROOKS ENGINEERING GROUP LIMITED

Opinion

We have audited the financial statements of Brooks Engineering Group Limited (the 'Company') and its subsidiaries (the 'Group') for the year ended 31 March 2025, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated and Company Balance Sheets, the Consolidated and Company Statement of Changes in Equity, the Consolidated Statement of Cash Flows and the related notes, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 March 2025 and of the Group's profit for the year then ended;

∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

∙have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 United Kingdom, including the Financial Reporting Council'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.

Page 5

BROOKS ENGINEERING GROUP LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BROOKS ENGINEERING GROUP LIMITED (CONTINUED)

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 contained within the Annual Report. 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. 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 course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion 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 Group 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 Group 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 Group 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.

Page 6

BROOKS ENGINEERING GROUP LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BROOKS ENGINEERING GROUP LIMITED (CONTINUED)

Responsibilities of directors

As explained more fully in the Directors' Responsibilities Statement set out on page 4, 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 objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

• Enquiry of management and those charged with governance around actual, potential or suspected litigation, claims, non-compliance with applicable laws and regulations and fraud;
• Enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations;
• Performing audit work over the risk of management override, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias;
• Reviewing of financial statements disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
• Discussions amongst the engagement team in relation to how and where fraud might occur in the financial statements and any potential indicators of fraud.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's Report.

Page 7

BROOKS ENGINEERING GROUP LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BROOKS ENGINEERING GROUP LIMITED (CONTINUED)

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.

Liam Hammond FCA (Senior Statutory Auditor)
for and on behalf of MHA,
Statutory Auditor,
Leicester, United Kingdom

Date:

MHA is the trading name of MHA Audit Services LLP, a limited liability partnership in England and Wales (registered number OC455542).

16 December 2025

Page 8

BROOKS ENGINEERING GROUP LIMITED

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2025

	2025	2024
Note	£000	£000


Turnover	4	12,438	12,438
Cost of sales		(5,546)	(6,328)
Gross profit		6,892	6,110
Administrative expenses		(3,550)	(3,502)
Other operating income	5	65	38
Operating profit	6	3,407	2,646
Interest receivable and similar income	10	204	179
Other finance income	11	39	33
Profit before taxation		3,650	2,858
Tax on profit	12	(886)	(520)
Profit for the financial year		2,764	2,338

Profit for the year attributable to:
Owners of the Company	2,764	2,338
	2,764	2,338

There were no recognised gains and losses for 2025 or 2024 other than those included in the Consolidated Statement of Comprehensive Income.

There was no other comprehensive income for 2025 (2024 - £Nil).

The notes on pages 19 to 40 form part of these financial statements.

Page 9

BROOKS ENGINEERING GROUP LIMITED

REGISTERED NUMBER: 10477551

CONSOLIDATED BALANCE SHEET

AS AT 31 MARCH 2025

		2025		2024
Note		£000		£000

Fixed assets
Intangible assets	15		(182)		(270)
Tangible assets	16		1,932		1,657
Investment property	18		285		285
			2,035		1,672
Current assets
Stocks	19	1,610		1,518
Debtors: amounts falling due within one year	20	2,295		2,418
Current asset investments	21	899		860
Cash at bank and in hand	22	5,906		5,641
		10,710		10,437
Current liabilities
Creditors: amounts falling due within one year	23	(1,536)		(1,556)
Net current assets			9,174		8,881
Total assets less current liabilities			11,209		10,553
Provisions for liabilities
Deferred taxation	25	(170)		(81)
			(170)		(81)
Net assets			11,039		10,472

Capital and reserves
Called up share capital	26	3	3
Profit and loss account		11,036	10,469
		11,039	10,472

Page 10

BROOKS ENGINEERING GROUP LIMITED

REGISTERED NUMBER: 10477551

CONSOLIDATED BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2025

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

................................................

A J Brooks

Director

Date: 16 December 2025

The notes on pages 19 to 40 form part of these financial statements.

Page 11

BROOKS ENGINEERING GROUP LIMITED

REGISTERED NUMBER: 10477551

COMPANY BALANCE SHEET

AS AT 31 MARCH 2025

		2025		2024
Note		£000		£000

Fixed assets
Investments	17		1,973		1,973
Current assets
Debtors: amounts falling due within one year	20	42		51
Current asset investments	21	633		602
Cash at bank and in hand	22	2,737		3,205
		3,412		3,858
Current liabilities
Creditors: amounts falling due within one year	23	(2,067)		(2,053)
Net current assets			1,345		1,805
Total assets less current liabilities			3,318		3,778


Net assets			3,318		3,778

Capital and reserves
Called up share capital	26	3	3
Profit and loss account		3,315	3,775
		3,318	3,778

Page 12

BROOKS ENGINEERING GROUP LIMITED

REGISTERED NUMBER: 10477551

COMPANY BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2025

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

................................................

A J Brooks

Director

Date: 16 December 2025

The notes on pages 19 to 40 form part of these financial statements.

Page 13

BROOKS ENGINEERING GROUP LIMITED

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2025

	Called up share capital	Profit and loss account	Total equity
	£000	£000	£000
At 1 April 2023	3	8,707	8,710
Comprehensive income for the year
Profit for the year	-	2,338	2,338
Dividend for the year	-	(576)	(576)

At 1 April 2024	3	10,469	10,472
Comprehensive income for the year
Profit for the year	-	2,764	2,764
Dividend for the year	-	(2,197)	(2,197)
At 31 March 2025	3	11,036	11,039

	The notes on pages 19 to 40 form part of these financial statements.
	Profit and loss account Profit and loss account reserve includes all recognised profits, gains and losses less dividends to shareholders. Amounts not distributable to shareholders is £276 thousand (2024 - £237 thousand).

Page 14

BROOKS ENGINEERING GROUP LIMITED

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2025

	Called up share capital	Profit and loss account	Total equity
	£000	£000	£000
At 1 April 2023	3	2,004	2,007
Comprehensive income for the year
Profit for the year	-	2,347	2,347
Dividend for the year	-	(576)	(576)

At 1 April 2024	3	3,775	3,778
Comprehensive income for the year
Profit for the year	-	1,738	1,738
Dividend for the year	-	(2,197)	(2,197)
At 31 March 2025	3	3,316	3,319

	The notes on pages 19 to 40 form part of these financial statements.
	Profit and loss account Profit and loss account reserve includes all recognised profits, gains and losses less dividends to shareholders.

Page 15

BROOKS ENGINEERING GROUP LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2025

			2025	2024
			£000	£000

Cash flows from operating activities
Profit for the financial year	2,764	2,338
Adjustments for:
Amortisation of intangible assets	(88)	(88)
Depreciation of tangible assets	430	346
(Profit)/loss on disposal of tangible assets	(40)	9
Government grants	-	(77)
Interest received	(204)	(179)
Taxation charge	886	520
(Increase)/decrease in stocks	(92)	366
Decrease in debtors	124	556
Decrease in creditors	(121)	(486)
Net fair value gains recognised in P&L	(39)	(33)
Corporation tax paid	(697)	(333)
Net cash generated from operating activities	2,923	2,939

Cash flows from investing activities
Purchase of tangible fixed assets	(829)	(297)
Sale of tangible fixed assets	164	12
Government grants received	-	77
Interest received	204	179
Net cash from investing activities	(461)	(29)
Cash flows from financing activities
Dividends paid	(2,082)	(576)
Repayment of directors loan account	(115)	-
Net cash used in financing activities	(2,197)	(576)
Net increase in cash and cash equivalents	265	2,334

Page 16

BROOKS ENGINEERING GROUP LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

		2025	2024
		£000	£000


Cash and cash equivalents at beginning of year	5,641	3,307
Cash and cash equivalents at the end of year	5,906	5,641

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	5,906	5,641
	5,906	5,641

The notes on pages 19 to 40 form part of these financial statements.

Page 17

BROOKS ENGINEERING GROUP LIMITED

CONSOLIDATED ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 MARCH 2025

Consolidated analysis of net debt

	At 1 April 2024	Cash flows	Other non-cash changes	At 31 March 2025
	£000	£000	£000	£000

Cash at bank and in hand	5,641	265	-	5,906
Debt due within 1 year	143	(115)	96	124
Liquid investments	860	39	-	899
	6,644	189	96	6,929

The notes on pages 19 to 40 form part of these financial statements.

Page 18

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

1.	General information

Brooks Engineering Group Limited is a private company, limited by shares, registered in England and Wales, registration number 10477551. The registered office is Doulton Road, Cradley Heath, West Midlands, B64 5QJ.

The principal activity of the Company during the year continued to be that of a Holding Company to other Group Companies. The principal activity of the Companies within the group are the production and sales of forged, machined and fabricated metal components and imported metal components.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.

The following principal accounting policies have been applied:

2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

The consolidated financial statements incorporate the results of business combinations using merger accounting in respect of group re-organisations and acquisition accounting in respect of acquisitions from third parties. Under acquisition accounting, the acquiree's identifiable assets and liabilities and consideration paid are initially recognised at their fair values at the acquisition. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Where merger accounting is used, the acquiree's identifiable assets, liabilities and contingent liabilities and reserves are initially recognised at the book value showing in the merged business within the consolidated balance sheet with any difference between the investment value in parent and share capital value of the merged business being recognised in a merger reserve on the date of acquisition. In respect of profit loss account, the trading of the entities subject to merger accounting is treated as if it had been part of the group for the entire accounting period.

Page 19

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.3

Going concern

The directors continue to monitor forecasts and maintain a strong Balance Sheet to ensure the Group is well capitalised to withstand financial shocks and continues to have strong cash and other liquid balances, built up over a number of years of profitable cash generative trading. These reserves are primarily held for future acquisitions and expansion but are available to fund temporary disruption and knock on adverse effects to profitability and cashflow. They are sufficient for the Group to continue as a going concern for the next 12 months and the foreseeable future.

Accordingly the financial statements have been prepared on a going concern basis.

2.4

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is British Pound Sterling.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Consolidated Statement of Comprehensive Income except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Consolidated Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in the Consolidated Statement of Comprehensive Income within 'other operating income'.

Page 20

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group 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. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Group has transferred the significant risks and rewards of ownership to the buyer;

∙the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

2.6

Operating leases: the Group as lessor

Rental income from operating leases is credited to the Consolidated Statement of Comprehensive Income on a straight-line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight-line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

2.7

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to the Consolidated Statement of Comprehensive Income on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

2.8

Research and development

Research and development costs are expensed to the Consolidated Statement of Comprehensive Income as and when they occur.

2.9

Government grants

Grants of a revenue nature are recognised in the Consolidated Statement of Comprehensive Income in the same period as the related expenditure.

2.10

Interest income

Interest income is recognised in the Consolidated Statement of Comprehensive Income using the effective interest method.

Page 21

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.11

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in the Consolidated Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Group in independently administered funds.

2.12

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income 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 and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and

∙Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 22

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.13

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition.

In the event that a negative goodwill balance is recognised, the balance will be released over a period of 10 years to the the Consolidated Statement of Comprehensive Income which is in line with the depreciation of fixed assets of which the negative goodwill is affiliated.

2.14

Tangible fixed assets

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.

At each reporting date the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The Group adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Group. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to the Consolidated Statement of Comprehensive Income during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line or reducing balance methods.

Depreciation is provided on the following basis:

Freehold property	-	2% on cost
Plant and machinery	-	10-33% on cost and reducing balance
Motor vehicles	-	25% on cost and reducing balance
Fixtures and fittings	-	25% on a reducing balance

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 the Consolidated Statement of Comprehensive Income.

Page 23

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.15

Investment property

Investment property is carried at fair value determined annually by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are Consolidated Statement of Comprehensive Income.

2.16

Impairment of fixed assets and goodwill

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

2.17

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Current asset investments in listed company shares are measured at market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Consolidated Statement of Comprehensive Income for the period.

2.18

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Consolidated Statement of Comprehensive Income.

2.19

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at transaction price, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 24

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.20

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice. Cash equivalents are highly liquid investments that are readily convertible to known amounts of cash with only insignificant risk of change in value.

In the Consolidated Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.21

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at transaction price, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.22

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

2.23

Financial instruments

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the Consolidated Statement of Comprehensive Income. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Page 25

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.23

Financial instruments (continued)

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Consolidated Statement of Comprehensive Income.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through Consolidated Statement of Comprehensive Income). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the Consolidated Statement of Comprehensive Income.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the Consolidated Statement of Comprehensive

Page 26

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.23

Financial instruments (continued)

Income. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

2.24

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 27

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.

(i) Stocks provisioning

The Group continues to purchase and manufacture forgings for resale. The directors consider the recoverability of the cost of stocks and any associated provisioning required. When calculating the stocks provision, the directors consider the nature and condition of the stocks, as well as applying assumptions around anticipated saleability.

(ii) Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

(iii) Impairment of debtors

The Group makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the age profile of debtors and historical experience.

(iv) Impairment of intangible assets and goodwill

The directors consider that the useful economic life of the goodwill included within these financial statements cannot be reliably measured. As a result, the directors have adopted the maximum useful economic life allowed under FRS 102.

Page 28

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

	Provision of metal forgings	12,438	12,438

Analysis of turnover by country of destination:

					2025	2024
					£000	£000

United Kingdom	11,780	11,470
Rest of Europe	85	563
Rest of the world	573	405
	12,438	12,438

5.	Other operating income
		2025	2024
		£000	£000

Net rents receivable	26	21
Insurance claims	32	-
Foreign exchange profit	7	17
	65	38

Defined contribution pension costs	122	130
Depreciation and impairment	430	346
Release of negative goodwill	(88)	(88)
Exchange differences	(7)	(17)
Other operating lease rentals	-	88
(Profit)/loss on sale of fixed assets	(40)	9

Page 29

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Fees payable to the Company's auditor for the audit of the consolidated and parent Company's financial statements	7	7
Fees payable to the Company's auditor in respect of:
The auditing of accounts of associates of the Company	25	25
Taxation compliance services	7	7
All non-audit services not included above	10	10

8.	Employees
	Staff costs were as follows:

		Group	Group
		2025	2024
		£000	£000


Wages and salaries	3,288	3,280
Social security costs	300	288
Cost of defined contribution scheme	122	130
	3,710	3,698

The average monthly number of employees, including the directors, during the year was as follows:

	Group	Group	Company	Company
	2025	2024	2025	2024
	No.	No.	No.	No.

Directors	4	4	4	4
Production staff	69	60	-	-
Office and management	26	34	-	-

	99	98	4	4

Page 30

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

9.	Directors' remuneration
		2025	2024
		£000	£000

Directors' emoluments	298	356
Group contributions to defined contribution pension schemes	41	62
	339	418

	During the year retirement benefits were accruing to 2 directors (2024 - 2) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £113 thousand (2024 - £145 thousand).
	The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £32 thousand (2024 - £22 thousand).

10.	Interest receivable
		2025	2024
		£000	£000

Other interest receivable

204

179

11.	Other finance income
		2025	2024
		£000	£000


Increase in fair value of current asset investment	39	33
	39	33

Page 31

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Corporation tax
Current tax on profits for the year	797	698
Adjustments in respect of previous periods	-	(165)

Total current tax	797	533

Deferred tax
Origination and reversal of timing differences	89	(13)
Total deferred tax	89	(13)


		886	520

Profit on ordinary activities before tax

3,650

2,858

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	912	706
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	2	4
Capital allowances for year in excess of depreciation	6	4
Non taxable income	(2)	(3)
Prior year tax adjustment	-	(165)
Other timing differences leading to an decrease in taxation	(32)	(26)
Total tax charge for the year	886	520

Factors that may affect future tax charges

There are no factors that may affect future tax charges.

Page 32

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

13.	Dividends
		2025	2024
		£000	£000

Dividends paid

2,197

576

14.	Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements. The profit after tax of the parent Company for the year was £1,738 thousand (2024 - £2,347 thousand).

15.	Intangible assets
	Group and Company

		Goodwill
		£000
	Cost
	At 1 April 2024	(882)
	At 31 March 2025	(882)
	Amortisation
	At 1 April 2024	(612)
	Charge for the year	(88)
	At 31 March 2025	(700)
	Net book value
	At 31 March 2025	(182)
	At 31 March 2024	(270)

Page 33

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

16.	Tangible fixed assets
	Group

	Freehold property	Plant and machinery	Motor vehicles	Fixtures and fittings	Total
	£000	£000	£000	£000	£000
Cost
At 1 April 2024	1,124	3,575	704	812	6,215
Additions	-	536	228	65	829
Disposals	-	-	(377)	-	(377)
At 31 March 2025	1,124	4,111	555	877	6,667
Depreciation
At 1 April 2024	244	3,227	456	630	4,557
Charge for the year on owned assets	22	231	91	86	430
Disposals	-	-	(252)	-	(252)
At 31 March 2025	266	3,458	295	716	4,735
Net book value
At 31 March 2025	858	653	260	161	1,932
At 31 March 2024	879	348	248	182	1,657

Page 34

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

17.	Fixed asset investments

	Company

		Investments in subsidiary companies
		£000
	Cost or valuation
	At 1 April 2024	1,973
	At 31 March 2025	1,973

Direct subsidiary undertakings
The following were direct subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

Brooks Forgings Limited	Doulton Road, Cradley Heath, West Midlands, B64 5QJ	Ordinary	100%
W. H. Tildesley Holdings Limited	Clifford Works, Bow Street, Willenhall, West Midlands, England, WV13 2AN	Ordinary	100%
Linkstud PSR Limited	11 Merus Court, Meridian Business Park, Leicester, England, LE19 1RJ	Ordinary	100%

Indirect subsidiary undertakings
The following were indirect subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

W.H. Tildesley Limited	Clifford Works, Bow Street, Willenhall, West Midlands, WV13 2AN	Ordinary	100%
W.H. Tildesley Properties Holdings Limited	Clifford Works, Bow Street, Willenhall, West Midlands, WV13 2AN	Ordinary	100%
W.H. Tildesley Properties Limited	Clifford Works, Bow Street, Willenhall, West Midlands, WV13 2AN	Ordinary	100%

Page 35

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

18.	Investment property
	Group

		Freehold investment property
		£000
	Valuation
	At 1 April 2024	285
	At 31 March 2025	285

Freehold investment properties were revalued to fair value as at 31 March 2024. The valuation was completed by an external valuer, who are RICS registered.

The directors have deemed there is material no change in the valuation as at 31 March 2025.

If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:
	2025	2024
	£000	£000

Historic cost	81	81
Accumulated depreciation and impairments	(21)	(21)
	60	60

19.	Stocks
		Group	Group
		2025	2024
		£000	£000

Raw materials and finished goods	1,041	893
Work in progress (goods to be sold)	569	625
	1,610	1,518

A provision of £145 thousand has been released (2024 - £140 thousand (expensed)) against slow moving stock has been recognised in the Consolidated Statement of Comprehensive Income.

Page 36

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

20.

Debtors

Group	Group	Company	Company
2025	2024	2025	2024
£000	£000	£000	£000


Trade debtors	2,151	2,308	-	-
Other debtors	92	54	42	51
Prepayments and accrued income	52	56	-	-
	2,295	2,418	42	51

A provision of £10 thousand (2024 - £3 thousand) was recognised against doubtful debts.

21.	Current asset investments
		Group	Group	Company	Company
		2025	2024	2025	2024
		£000	£000	£000	£000

	Listed investments	899	860	633	602

22.	Cash and cash equivalents
		Group	Group	Company	Company
		2025	2024	2025	2024
		£000	£000	£000	£000

	Cash at bank and in hand	5,906	5,641	2,737	3,205

23.	Creditors: Amounts falling due within one year
		Group	Group	Company	Company
		2025	2024	2025	2024
		£000	£000	£000	£000

Trade creditors	608	720	-	-
Amounts owed to group undertakings	-	-	1,918	1,911
Corporation tax	301	201	31	15
Other taxation and social security	62	125	-	-
Other creditors	256	250	109	112
Accruals and deferred income	309	260	9	15
	1,536	1,556	2,067	2,053

The amounts owed to Group undertakings are unsecured and repayable on demand, bearing no interest.

Page 37

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

24.	Financial instruments
		Group	Group	Company	Company
		2025	2024	2025	2024
		£000	£000	£000	£000

	Financial assets
	Financial assets measured at fair value through statement of comprehensive income	899	860	633	602

25.	Deferred taxation
	Group

		2025
		£000

	At beginning of year	81
	Charged to the Consolidated Statement of Comprehensive Income.	89
	At end of year	170

		Group	Group
		2025	2024
		£000	£000

	Accelerated capital allowances	170	81
		170	81

Page 38

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

26.	Share capital
		2025	2024
		£000	£000

Allotted, called up and fully paid

531 (2024 - 531) Ordinary A shares of £1.00 each	1	1
274 (2024 - 274) Ordinary B shares of £1.00 each	-	-
1,789 (2024 - 1,789) Ordinary C shares of £1.00 each	2	2
250 (2024 - 250) Ordinary D shares of £1.00 each	-	-
250 (2024 - 250) Ordinary E shares of £1.00 each	-	-

	3	3

Ordinary A, B, C, D and E shares have attached to them equal rights with respect to voting, income and capital. Dividend rights across each class of share are varied to allow for different dividend amounts to be paid to each class of share independent of each other.

27.	Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £122 thousand (2024 - £130 thousand). Contributions totalling £14 thousand (2024 - £14 thousand) were payable to the fund at the balance sheet date and are included in creditors.

28.	Commitments under operating leases
	At 31 March 2025 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
		Group	Group
		2025	2024
		£000	£000

Not later than 1 year

Page 39

BROOKS ENGINEERING GROUP LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

29.

Related party transactions

The Group has taken advantage of the exemption under Financial Report Standard 102, section 33.1A from the requirement to disclose transactions with group companies on the grounds that all subsidiaries are wholly owned by members of the group.

At the year end, an amount of £18 thousand (2024: (£7) thousand) was due to the Group by a company under common directorship and control. Rent amounting to £200 thousand (2024: £200 thousand) was paid to this company.

During the year, rent totalling £14 thousand (2024: £14 thousand) was paid to the Brooks Forgings Limited Retirement and Death Benefit Scheme.

Total key management personnel remuneration for the year was £369 thousand (2024: £448 thousand).

As at 31 March 2025, the Group owed certain directors an amount totalling £174 thousand (2024: £152 thousand).

As at 31 March 2025, certain directors owed the Group an amount totalling £50 thousand (2024: £9 thousand).

30.	Controlling party

The Directors are considered the ultimate controlling party by virtue of their controlling shareholdings.

Page 40