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Registration number: 04138140 (England & Wales)

Quickmach Engineering Limited

Annual Report and Financial Statements

for the Year Ended 31 March 2025

 

Quickmach Engineering Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3

Statement of Directors' Responsibilities

4

Independent Auditor's Report

5 to 7

Profit and Loss Account

8

Balance Sheet

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11 to 22

 

Quickmach Engineering Limited

Company Information

Directors

Peter Cornish

Michael Quinn

Martin Phelps

Registered office

Brabazon 1
Meteor Business Park
Cheltenham Road East
Staverton
Gloucestershire
GL2 9QL

Auditors

Hazlewoods LLP
Staverton Court
Staverton
Cheltenham
GL51 0UX

 

Quickmach Engineering Limited

Strategic Report for the Year Ended 31 March 2025

The directors present their strategic report for the year ended 31 March 2025.

Principal activity

The principal activity of the company is precision engineering, predominantly for the aerospace industry.

Fair review of the business

The results for the year which are set out in the profit and loss account show turnover of £10,173,169 (2024 - £6,973,079) and an operating profit of £1,079,893 (2024 - £130,128). At 31 March 2025, the company had net assets of £885,090 (2024 - £841,451).

The company are continuing to recover from the impact of the global COVID-19 pandemic which adversely impacted the aerospace industry and still has ongoing effects on the industry.

Management consider turnover and gross profit to be the key performance indicators and monitor these closely.

The company's key financial and other performance indicators during the year were as follows:

Financial KPIs

Unit

2025

2024

Turnover

£

10,173,169

6,973,079

Gross profit

£

3,901,002

2,510,294

Future developments
The directors continue to seek future opportunities to diversify and grow the company.

Principal risks and uncertainties

The principal risk and uncertainties surrounding the business relate to competition and pricing. Senior management have significant experience in the industry and continue to win new work. The directors are satisfied that the systems and controls in place are adequate to mitigate the principal risk and uncertainties.

Approved by the Board on 23 December 2025 and signed on its behalf by:


Peter Cornish
Director

 

Quickmach Engineering Limited

Directors' Report

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

Directors of the company

The directors who held office during the year were as follows:

Peter Cornish

Michael Quinn

Martin Phelps

Financial instruments

Objectives and policies

The directors have close involvement in the day to day running of the business and, as such, have a detailed knowledge of the financial risks the business is subject to. The objectives of financial risk management are to ensure the company has sufficient working capital and resources to be able to continue the business' growth strategy. The directors have put in systems and controls which monitor financial risk and highlight when potential issues may occur. Management have a good attitude towards financial risk and a detailed knowledge of the business and industry.

Credit risk, liquidity risk and interest rate risk

Credit risk
The company mitigates this risk by performing proper credit checks on its customers prior to entering in to sales agreements and is continually monitoring balances to ensure customers are within their credit terms.

Liquidity risk
The company manages liquidity risk by managing cash generation by its operations and constantly monitors the company's trading results to ensure the company can meet its future obligations as they fall due.

Interest rate risk
The company has external borrowing and is therefore subject to interest rate risk. The company mitigates this through balancing interest rate risk between fixed and variable rates.

Going concern

Forecasts have been prepared which take into account estimates of future performance based on changes in the economic environment. Based on the forecasts prepared and the funds available, the directors believe that there are sufficient resources for the company to conduct business for at least 12 months from the date of approval of these financial statements. The company therefore continue to adopt the going concern basis in preparing these financial statements.

Reappointment of auditors

In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Hazlewoods LLP as auditors of the company is to be proposed at the forthcoming Annual General Meeting.

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Approved by the Board on 23 December 2025 and signed on its behalf by:


Peter Cornish
Director

 

Quickmach Engineering Limited

Statement of Directors' Responsibilities

The directors are responsible for preparing the Directors' Report, Strategic 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 company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards has 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 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.

 

Quickmach Engineering Limited

Independent Auditor's Report to the Members of Quickmach Engineering Limited

Opinion

We have audited the financial statements of Quickmach Engineering Limited (the 'company') for the year ended 31 March 2025, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, and Notes to the Financial Statements, 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 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 company's affairs as at 31 March 2025 and of its 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 responsibilities for the audit of the financial statements section of our report. We are independent of the company 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 company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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.

Opinion on other matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

 

Quickmach Engineering Limited

Independent Auditor's Report to the Members of Quickmach Engineering Limited

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the 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 Statement of Directors' Responsibilities 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 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 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 financial statements.

Extent to which the audit was capable of detecting irregularities, including fraud

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:

We considered the nature of the company’s industry and its control environment and reviewed the company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.

We obtained an understanding of the legal and regulatory framework that the company operates in and identified the key laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements, including the UK Companies Act and tax legislation, and, those that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty.

We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

In common with all audits carried out in accordance with ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override of controls. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addition to the above, our procedures to respond to the risks identified included the following:

reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatements due to fraud;

 

Quickmach Engineering Limited

Independent Auditor's Report to the Members of Quickmach Engineering Limited

enquiring of management concerning actual and potential litigation and claims and instances of non-compliance with laws and regulations; and

reading minutes of meetings of those charged with governance.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

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 this 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.





Paul Fussell (Senior Statutory Auditor)
For and on behalf of Hazlewoods LLP, Statutory Auditor

Staverton Court
Staverton
Cheltenham
GL51 0UX

23 December 2025

 

Quickmach Engineering Limited

Profit and Loss Account for the Year Ended 31 March 2025

Note

2025
 £

2024
 £

Turnover

3

10,173,169

6,973,079

Cost of sales

 

(6,272,167)

(4,462,785)

Gross profit

 

3,901,002

2,510,294

Administrative expenses

 

(2,830,524)

(2,396,901)

Other operating income

4

9,415

16,735

Operating profit

 

1,079,893

130,128

Other interest receivable and similar income

6

15,720

17,911

Interest payable and similar charges

7

(102,096)

(117,428)

Profit on ordinary activities before taxation

 

993,517

30,611

Taxation

11

(234,878)

72,958

Profit for the financial year

 

758,639

103,569

The above results were derived from continuing operations.

The company has no other comprehensive income for the year.

 

Quickmach Engineering Limited

(Registration number: 04138140)
Balance Sheet as at 31 March 2025

Note

2025
 £

2024
 £

Fixed assets

 

Intangible assets

12

4,375

5,875

Tangible assets

13

1,623,390

1,374,783

 

1,627,765

1,380,658

Current assets

 

Stocks

14

1,200,831

1,291,937

Debtors

15

3,130,167

2,010,387

Cash at bank and in hand

26,140

718,044

 

4,357,138

4,020,368

Creditors: Amounts falling due within one year

16

(3,270,156)

(2,696,343)

Net current assets

 

1,086,982

1,324,025

Total assets less current liabilities

 

2,714,747

2,704,683

Creditors: Amounts falling due after more than one year

16

(921,136)

(1,152,978)

Provisions for liabilities

19

(908,521)

(710,254)

Net assets

 

885,090

841,451

Capital and reserves

 

Called up share capital

21, 22

100

100

Profit and loss account

22

884,990

841,351

Total equity

 

885,090

841,451

Approved and authorised by the Board on 23 December 2025 and signed on its behalf by:
 


Peter Cornish
Director

 

Quickmach Engineering Limited

Statement of Changes in Equity for the Year Ended 31 March 2025

Share capital
£

Profit and loss account
£

Total
£

At 1 April 2024

100

841,351

841,451

Profit for the year

-

758,639

758,639

Dividends

-

(715,000)

(715,000)

At 31 March 2025

100

884,990

885,090

Share capital
£

Profit and loss account
£

Total
£

At 1 April 2023

100

1,329,981

1,330,081

Profit for the year

-

103,569

103,569

Dividends

-

(592,199)

(592,199)

At 31 March 2024

100

841,351

841,451

 

Quickmach Engineering Limited

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

 

1

General information

The company is a private company limited by share capital, incorporated in the United Kingdom.

The address of its registered office is:
Brabazon 1
Meteor Business Park
Cheltenham Road East
Staverton
Gloucestershire
GL2 9QL

 

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (January 2022) and the Companies Act 2006.

Basis of preparation

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

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

Summary of disclosure exemptions

Quickmach Engineering Limited meets the definition of a qualifying entity under FRS102 and has therefore taken advantage of the disclosure exemptions available to it in respect of its financial statements. Exemptions have been taken in relation to financial instruments and presentation of a cash flow statement.

Going concern

Forecasts have been prepared which take into account estimates of future performance based on changes in the economic environment. Based on the forecasts prepared and the funds available, the directors believe that there are sufficient resources for the company to conduct business for at least 12 months from the date of approval of these financial statements. The company therefore continue to adopt the going concern basis in preparing these financial statements.

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

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

 

Quickmach Engineering Limited

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

 

2

Accounting policies (continued)

Judgements

Management have made a significant judgement with regards to the stock provision in the period. The carrying amount of the provision is £520,171 (2024 - £288,475).

Management have made a significant judgement with regards to the dilapidations provision in the period. The carrying amount of the provision is £525,629 (2024 - £393,284).

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The company recognises revenue when the amount of revenue can be reliably measured, it is probable that future economic benefits can be reliably measured, and it is probable that future economic benefits will flow to the entity.

Tax

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

The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.

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

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

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

Depreciation

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

Asset class

Depreciation method and rate

Short leasehold land and buildings

10% straight line

Plant and machinery

10% straight line

Motor vehicles

20% straight line

Intangible assets

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date.

 

Quickmach Engineering Limited

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

 

2

Accounting policies (continued)

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Goodwill

20 years straight line

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value, and integral cash management finance facilities.

Trade debtors

Trade debtors are amounts due from customers for goods sold in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. All trade debtors are repayable within one year and hence are included at the undiscounted cost of cash expected to be received. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the debtors.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and all are repayable within one year and hence are included at the undiscounted amount of cash expected to be paid.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Provisions

Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

Quickmach Engineering Limited

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

 

2

Accounting policies (continued)

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the Profit and Loss Account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

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

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

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

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

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

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

 

Quickmach Engineering Limited

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

 

2

Accounting policies (continued)

The recoverable amount of goodwill is derived from measurement of the present value of the future cash flows of the cash-generating units ('CGUs') of which the goodwill is a part. Any impairment loss in respect of a CGU is allocated first to the goodwill attached to that CGU, and then to other assets within that CGU on a pro-rata basis.

Where indicators exist for a decrease in impairment loss, the prior impairment loss is tested to determine reversal. An impairment loss is reversed on an individual impaired asset to the extent that the revised recoverable value does not lead to a revised carrying amount higher than the carrying value had no impairment been recognised. Where a reversal of impairment occurs in respect of a CGU, the reversal is applied first to the assets (other than goodwill) of the CGU on a pro-rata basis and then to any goodwill allocated to that CGU.

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

 

3

Turnover

The analysis of the company's turnover for the year from continuing operations is as follows:

2025
 £

2024
 £

Sale of goods

10,173,169

6,973,079

The analysis of the company's turnover for the year by market is as follows:

2025
£

2024
£

United Kingdom

9,838,085

6,738,772

Europe

331,904

234,307

Rest of the world

3,180

-

10,173,169

6,973,079

 

4

Other operating income

The analysis of the company's other operating income for the year is as follows:

2025
£

2024
£

Miscellaneous other operating income

9,415

16,735

 

5

Operating profit

Operating profit is stated after charging:

2025
 £

2024
 £

Depreciation

299,998

442,056

Amortisation

1,500

1,625

Operating lease expense

211,387

194,970

 

Quickmach Engineering Limited

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

 

6

Other interest receivable and similar income

2025
 £

2024
 £

Other interest receivable

15,583

15,556

Interest income on bank deposits

137

2,355

15,720

17,911

 

7

Interest payable and similar expenses

2025
 £

2024
 £

Interest on bank borrowings

49,313

72,921

Finance charges

30,344

42,707

Other interest payable

22,439

1,800

102,096

117,428

 

8

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2025
 £

2024
 £

Wages and salaries

2,528,206

2,007,657

Social security costs

245,665

171,341

Pension costs

414,286

82,319

3,188,157

2,261,317

The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:

2025
No.

2024
No.

Production

54

45

Administration and support

15

12

69

57

 

9

Directors' remuneration

The directors' remuneration for the year was as follows:

2025
 £

2024
 £

Remuneration (including benefits in kind)

136,832

90,442

Contributions paid to money purchase schemes

152,000

3,605

288,832

94,047

 

Quickmach Engineering Limited

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

 

9

Directors' remuneration (continued)

During the year the number of directors who were receiving benefits was as follows:

2025
No.

2024
No.

Accruing benefits under money purchase pension scheme

1

1

In respect of the highest paid director:

2025
£

2024
£

Remuneration

117,146

94,407

 

10

Auditors' remuneration

2025
£

2024
£

Audit of the financial statements

16,765

15,965


 

 

11

Taxation

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

2025
£

2024
£

Current taxation

UK corporation tax

168,956

54,639

UK corporation tax adjustment to prior periods

-

(81,379)

168,956

(26,740)

Deferred taxation

Arising from origination and reversal of timing differences

65,922

(46,218)

Tax expense/(receipt) in the profit and loss account

234,878

(72,958)

The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (year - lower than the standard rate of corporation tax in the UK) of 25% (2024 - 25%).

The differences are reconciled below:

2025
£

2024
£

Profit before tax

993,517

30,611

Corporation tax at standard rate

248,379

7,653

Effect of expense not deductible in determining taxable profit (tax loss)

4,314

363

Adjustments to tax charge in respect of prior periods

-

(81,379)

Fixed asset differences

375

405

Tax decrease arising from group relief

(18,190)

-

Total tax charge/(credit)

234,878

(72,958)

 

Quickmach Engineering Limited

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

 

11

Taxation (continued)

Deferred tax

Deferred tax assets and liabilities

2025

Liability
£

Fixed asset timing differences

402,440

Short term timing differences

(19,548)

382,892

2024

Liability
£

Fixed asset timing differences

335,348

Short term timing differences

(18,378)

316,970

 

12

Intangible assets

Goodwill
 £

Cost

At 1 April 2024

30,000

At 31 March 2025

30,000

Amortisation

At 1 April 2024

24,125

Amortisation charge

1,500

At 31 March 2025

25,625

Carrying amount

At 31 March 2025

4,375

At 31 March 2024

5,875

 

Quickmach Engineering Limited

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

 

13

Tangible assets

Short leasehold land and buildings
£

Motor vehicles
 £

Plant and machinery
 £

Total
£

Cost

At 1 April 2024

51,353

230,818

5,854,226

6,136,397

Additions

-

-

567,105

567,105

Disposals

-

-

(240,733)

(240,733)

At 31 March 2025

51,353

230,818

6,180,598

6,462,769

Depreciation

At 1 April 2024

51,353

206,168

4,504,093

4,761,614

Charge for the year

-

11,889

288,109

299,998

Eliminated on disposal

-

-

(222,233)

(222,233)

At 31 March 2025

51,353

218,057

4,569,969

4,839,379

Carrying amount

At 31 March 2025

-

12,761

1,610,629

1,623,390

At 31 March 2024

-

24,650

1,350,133

1,374,783

Assets held under finance leases and hire purchase contracts

The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:

 

2025
£

2024
£

Plant and machinery

996,758

1,262,278

     
 

14

Stocks

2025
 £

2024
 £

Raw materials

129,121

205,170

Work in progress

681,814

682,236

Finished goods

389,896

404,531

1,200,831

1,291,937

 

15

Debtors

2025
 £

2024
 £

Trade debtors

2,562,113

1,476,859

Amounts owed by related parties

524,752

509,262

Prepayments and accrued income

43,302

24,266

3,130,167

2,010,387

 

Quickmach Engineering Limited

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

 

16

Creditors

Note

2025
 £

2024
 £

Due within one year

 

Loans and borrowings

17

1,118,992

812,819

Trade creditors

 

744,769

1,148,931

Amounts due to group undertakings

 

761,657

511,657

Other taxes and social security

 

313,288

114,121

Outstanding defined contribution pension costs

 

16,326

11,352

Other creditors

 

43,224

37,045

Accruals and deferred income

 

99,990

2,731

Corporation tax

 

171,910

57,687

 

3,270,156

2,696,343

Due after one year

 

Loans and borrowings

17

921,136

1,152,978

 

17

Loans and borrowings

Current loans and borrowings

2025
£

2024
£

Bank borrowings

380,000

419,402

Finance lease liabilities

471,620

393,417

Other borrowings

267,372

-

1,118,992

812,819

Non-current loans and borrowings

2025
£

2024
£

Bank borrowings

316,667

695,385

Finance lease liabilities

604,469

457,593

921,136

1,152,978

Bank borrowings comprises a Coronavirus Business Interruption Loan ("CBILS") of £696,667 (2024 - £1,114,787) which after 12 months from draw down attracts interest at 2.34% plus the bank base rate. The loan is repayable in 60 equal instalments of £31,668, with the final instalment falling due in January 2027.

Amounts owed under finance leases are secured on the assets to which they relate.

Other borrowings relates to an invoice discounting facility of £267,372 (2024 - £nil), which is secured over certain trade debtor balances.

 

Quickmach Engineering Limited

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

 

18

Obligations under leases

Finance leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

523,406

423,670

Later than one year and not later than five years

662,008

470,601

1,185,414

894,271

Operating leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

190,167

198,097

Later than one year and not later than five years

366,756

517,724

556,923

715,821

The amount of non-cancellable operating lease payments recognised as an expense during the year was £211,387 (2024 - £194,970).

 

19

Deferred tax and other provisions

Deferred tax
£

Dilapidations provision
£

Total
£

At 1 April 2024

316,970

393,284

710,254

Increase in existing provisions

65,922

132,345

198,267

At 31 March 2025

382,892

525,629

908,521

The provision for dilapidations is recognised based on the directors' best estimate of the likely committed cash flow.

 

20

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £414,286 (2024 - £82,319).

 

21

Share capital

Allotted, called up and fully paid shares

 

2025

2024

 

No.

£

No.

£

Ordinary A - F of £0.01 each

10,000

100

10,000

100

         

Each class of share ranks pari passu in all respects except that they carry independent rights to dividends.

 

Quickmach Engineering Limited

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

 

22

Reserves

Share capital
Share capital represents the issued share capital of the company.

Profit and loss account
This represents the cumulative profits or losses, net of dividends paid and other adjustments.

 

23

Dividends

2025
 £

2024
 £

Dividends paid

715,000

592,199

 

24

Related party transactions

Transactions with related parties
During the financial year ended 2023, a £520,000 loan was provided to a Company with Directors in common. At the balance sheet date, Quickmach Engineering Limited were owed £524,752 (2024 - £509,262). Interest income of £15,490 (2024 - £15,556) was received during the year.

 

25

Parent and ultimate parent undertaking

The company is controlled by the immediate and ultimate parent company, Quickmach Holdings Limited, a company incorporated in the United Kingdom, into which the results of the company are consolidated. A copy of their financial statements is available from the registered address at Brabazon 1 Meteor Business Park, Cheltenham Road, East Staverton, Gloucester, GL2 9QL.