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Registered number: NI048701
EDINA POWER LIMITED
DIRECTORS REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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EDINA POWER LIMITED
CONTENTS
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Independent Auditors' Report
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Statement of Comprehensive Income
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Statement of Financial Position
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Statement of Changes in Equity
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Notes to the Financial Statements
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EDINA POWER LIMITED
COMPANY INFORMATION
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Hugh Kerr Richmond (resigned 1 April 2024)
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Ricardo Luis De Sousa Alves
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Adam Max Bloom (appointed 1 April 2024)
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Shankar Gopal (appointed 1 April 2024)
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Abhishek Gupta (appointed 1 April 2024)
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Stephen Peter Nullis (appointed 1 April 2024)
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Ricardo Luis De Sousa Alves
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Lissue Industrial Estate West
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S&W Partners Audit (Ireland) Limited
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Chartered Accountants and Statutory Audit Firm
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National Westminster Bank
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Lux Nova Partners Limited
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EDINA POWER LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2025
The directors present their report and the audited financial statements of the company for the year ended 31 March 2025.
The principal activity of the company is the production of generating sets and the sale of related spare parts.
Review of business and future developments
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Both the level of business and the year end financial position were in line with the directors' expectations of performance for the year. The directors anticipate that the present level of activity will be improved upon in the foreseeable future.
The global energy sector is undergoing a transition and the company is evolving its offering to meet the needs of the transition. It is now offering a battery energy storage solution and a hybrid system, where we offer a combined engine and storage alternative, which helps with customers decarbonisation. The company is looking at alternative markets and solutions to meet the needs of the evolving market. The UK Government's efforts to decarbonise has caused some hesitation in the market. However, the reality is that natural gas, particularly in the kind of flexible generation systems provided by the company, is highly likely to continue to be a key part of the UK energy sector. National Grid are estimating that the UK's use of gas will continue up to 2050. There is also a drive to use hydrogen injected into the gas grid as a low carbon fuel. The company sells natural gas engines that are capable of running with up to 20% hydrogen, so when hydrogen is available our equipment can be modified accordingly. The engines are "hydrogen ready".
The loss for the year, after taxation, amounted to £819,088 (2024: £925,824).
The directors do not recommend the payment of a final dividend.
The directors who served during the year were:
Hugh Kerr Richmond
Nitin Wadhwa
Ricardo Luis De Sousa Alves
Adam Max Bloom
Shankar Gopal
Abhishek Gupta
Stephen Peter Nullis
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EDINA POWER LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
Principal risks and uncertainties
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In common with many businesses, the company is faced with the risk of increasing competition in the marketplace.
Economic Risks
The risk of increased interest rates and/or inflation causing a negative impact on served markets and the risk of increased costs adversely impacting on the company's competitiveness.
These risks are managed through carefully considering the interest rate environment and exercising stringent cost controls.
Market Risks
The directors manage market risk by due consideration to the energy and construction industries as they pertain to its activities.
The global increase in gas pricing has initially brought some uncertainty on the future use of gas as an energy source. The war in Ukraine and the consequential lack of gas from Russia has also brought concern on availability. This has not ultimately affected the UK and Republic of Ireland as we are not reliant on Russian Gas.
Furthermore, as the gas price increases so does the electricity price to maintain the "spark spread" between gas and power price, which maintains the economic viability of a CHP solution and still delivers significant cost savings to a client.
Financial Risks
The company operates budgetary and financial reporting procedures, which are supported by key performance indicators to manage credit, liquidity and other financial risks.
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EDINA POWER LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
Directors' responsibilities statement
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The directors are responsible for preparing the Directors' Report and the financial statements, in accordance with applicable law.
Company law requires the directors to prepare financial statements for each financial year. Under that law they have elected to prepare the financial statements in accordance with UK-adopted International Accounting Standards.
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 the financial statements, the directors are required to:
∙select suitable accounting policies and then apply them consistently;
∙make judgments and estimates that are reasonable and prudent;
∙state whether they have been prepared in accordance with UK-adopted International Accounting Standards, subject to any material departures disclosed and explained in the financial statements;
∙assess the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and
∙use the going concern basis of accounting unless they either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
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 responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the company and to prevent and detect fraud and other irregularities.
The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The company has incurred losses for the last number of financial periods and is in a net liability position. The company owes £4,170,724 (2024: £3,255,660) to group companies, who have given assurance that they will not seek repayment of this debt for a period of at least 12 months and one day from the date of approval of the financial statements or when Edina Power Limited is able to repay the debt, whichever is the lesser period.
The financial statements do not include any adjustment which may be required should the going concern basis of preparation be inappropriate.
After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.
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EDINA POWER LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
The measures taken by the directors to ensure compliance with the requirements of Section 386 of the Companies Act 2006, regarding adequate accounting records are the implementation of necessary policies and procedures for recording transactions, the employment of competent accounting personnel with appropriate expertise and the provision of adequate resources to the financial function. The books of account of the company are maintained at Rathdown Road, Lissue Industrial Estate West, Lisburn, Co. Antrim, BT28 2RE.
Disclosure of information to auditors
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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's auditors are 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's auditors are aware of that information.
Post balance sheet events
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There have been no significant events affecting the company since the end of the financial year, which would require adjustment to or disclosure in the financial statements.
The auditors, S&W Partners Audit (Ireland) Limited, have indicated their willingness to continue in office in accordance with section 485 of the Companies Act 2006.
This Report was approved by the Board on 24 June 2025 and signed on its behalf.
Ricardo Luis De Sousa Alves
Director
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EDINA POWER LIMITED
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF EDINA POWER LIMITED
We have audited the financial statements of Edina Power Limited for the year ended 31 March 2025 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and related notes. The financial reporting framework that has been applied in their preparation is applicable law and UK-adopted International Accounting Standards.
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 loss for the year then ended;
∙have been properly prepared in accordance with UK-adopted International Accounting Standards; and
∙have been prepared in accordance with the requirements of the Companies Act 2006.
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 auditors' 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 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
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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 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.
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EDINA POWER LIMITED
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF EDINA POWER LIMITED (CONTINUED)
The other information comprises the information included in the Directors' Report and financial statements, other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Directors' Report and financial statements. 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
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Based solely on the work undertaken in the course of the audit, in our opinion:
∙the information given in the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Directors' Report has 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in 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, 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 for the financial statements
As explained more fully in the Directors' Responsibilities Statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the 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.
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EDINA POWER LIMITED
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF EDINA POWER LIMITED (CONTINUED)
Auditors' 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 auditors' 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.
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.
We obtained a general understanding of the legal and regulatory framework, though enquiry of management concerning their understanding of relevant laws and regulations, the entity’s policies and procedures regarding compliance, and how they identify, evaluate, and account for litigation claims. We also drew on our existing understanding of the company’s industry and regulation.
We understand that the company complies with their legal framework through:
∙outsourcing of payroll, statutory accounts preparation and tax compliance to external experts; and
∙the directors' close involvement in the day-to-day running of the business, meaning that any noncompliance, litigation or claims would come to their attention directly.
In the context of the audit, we considered those laws and regulations which determine the form and content of the financial statements, which are central to the company's abilities to conduct its business, and/or where there is a risk that failure to comply could result in material penalties. The key laws and regulations we considered included the Companies Act 2006 and UK-adopted International Accounting Standards in respect of the preparation and presentation of the financial statements.
We performed the following specific procedures to gain evidence about compliance with the significant laws and regulations identified above:
∙enquiring of management and those charged with governance as to any non-compliance with the above laws and regulations;
∙obtaining written management representations regarding the adequacy of procedures in place to ensure compliance with laws and regulations; and
∙reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with the provisions of relevant laws and regulations described as having a direct effect on the financial statements.
The senior statutory auditor led a discussion with senior members of the engagement team regarding the susceptibility of the entity's financial statements to material misstatement, including how fraud might occur. The areas identified in this discussion were the manipulation of the financial statements, especially revenue, via fraudulent journal entries.
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EDINA POWER LIMITED
INDEPENDENT AUDITORS' REPORT TO THE SHAREHOLDERS OF EDINA POWER LIMITED (CONTINUED)
The procedures were carried out to gain evidence in the above areas included:
∙testing of journal entries, selected based on specific risk assessments applied based on the company's processes and controls surrounding journal entries;
∙reviewing the internal controls and the performance of the company;
∙enquiring of management and those charged with governance about their identification of the risks of material misstatement and fraud;
∙challenging management regarding the assumptions used in the estimates identified above, post-year-end data as appropriate; and
∙substantive work on material areas affecting profits.
Overall, the senior statutory auditor was satisfied that the engagement team collectively had the appropriate competence and capabilities to identify or recognise irregularities.
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 Auditors' Report.
The purpose of the audit report and to whom we owe our responsibilities
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This Report is made solely to the company's shareholders, 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 shareholders those matters we are required to state to them in an auditors' 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 shareholders, as a body, for our audit work, for this report, or for the opinions we have formed.
Gráinne Stewart
Senior Statutory Auditor
for and on behalf of
S&W Partners Audit (Ireland) Limited
Chartered Accountants and Statutory Audit Firm
Paramount Court
Corrig Road
Sandyford Business Park
Dublin 18
Ireland
2 July 2025
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EDINA POWER LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2025
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Total comprehensive income
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All activities derived from continuing operations. All profits or losses and total comprehensive profits or losses for the period and previous periods are attributable to the owners of the company.
The company has not recognised gains or losses other than those dealt with in the Statement of Comprehensive Income.
The accompanying notes on pages 14 to 30 form an integral part of these financial statements.
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EDINA POWER LIMITED
REGISTERED NUMBER: NI048701
STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025
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Property, plant and equipment
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Trade and other receivables
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Cash and cash equivalents
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Trade and other liabilities
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Issued capital and reserves
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The financial statements on pages 10 to 30 were approved and authorised for issue by the Board of Directors on 24 June 2025 and were signed on its behalf by:
Ricardo Luis De Sousa Alves
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The accompanying notes on pages 14 to 30 form an integral part of these financial statements.
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EDINA POWER LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2025
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Comprehensive income for the year
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Total comprehensive income for the year
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Comprehensive income for the year
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Total comprehensive income for the year
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The accompanying notes on pages 14 to 30 form an integral part of these financial statements.
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EDINA POWER LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2025
Cash flows from operating activities
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Depreciation of property, plant and equipment
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Gain on sale of property, plant and equipment
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Movements in working capital:
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Movement in trade and other receivables
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Movement in group receivables
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Movement in trade and other payables
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Movement in group payables
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Cash generated from operations
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Net cash from operating activities
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Cash flows from investing activities
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Purchase of property, plant and equipment
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Proceeds from disposal of property, plant and equipment
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Net cash used in investing activities
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Net increase/(decrease) in cash and cash equivalents
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Cash and cash equivalents at the beginning of year
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Cash and cash equivalents at the end of the year
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The accompanying notes on pages 14 to 30 form an integral part of these financial statements.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
Edina Power Limited is a private company limited by shares (registered under Companies Act 2006), incorporated in the United Kingdom. The company's registered office and it's principal place of business is Rathdown Road, Lissue Industrial Estate West, Lisburn, County Antrim, BT28 2RE.
2.Accounting policies
The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements.
The financial statements have been prepared in accordance with UK-adopted International Accounting Standards.
The financial statements have been prepared on the historical cost convention.
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Functional and presentation currency
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The financial statements are presented in Sterling (£), which is the company's functional currency.
Monetary assets and liabilities denominated in a foreign currency are translated into Sterling at the exchange rate ruling the reporting date, unless specifically covered by foreign exchange contracts whereupon the contract rate is used. Revenues, costs and non monetary assets are translated at the exchange rates ruling at the dates of the transactions. Where consideration is received in advance of revenue being recognised, the date of the transaction reflects the date the consideration is received. All exchange differences are dealt with through the Statement of Comprehensive Income.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
Standards and amendments to existing standards effective 1 April 2024.
The following standards, amendments and interpretations which became effective from 1 January 2024 are of relevance to the company:
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Applicable for years
beginning on/after
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Presentation of Financial Statements
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Financial Instruments: Disclosures
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General Requirements for Disclosure of Sustainability-related Financial Information
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Climate-related Disclosures
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There was no material impact to the financial statements in the current year from these standards, amendments and interpretations.
Standards, amendments and interpretations to existing standards that are not yet effective and have not been adopted early by the company:
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Applicable for years
beginning on/after
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The Effects of Changes in Foreign Exchange Rates
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Financial Instruments: Disclosures
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Presentation and Disclosure in Financial Statements
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In the year ended 31 March 2025, the company did not early adopt any new or amended standards and do not plan to early adopt any of the standards issued but not yet effective.
There would not have been a material impact on the financial statements if these standards had been applied in the current year.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
Revenue is measured based on the achievement of performance obligations, as initially assessed, and the transaction, and the transaction price within the contracts, net of discounts, VAT and other sales related taxes.
Contract Revenue
Revenue is recognised based on the input method, using percentage of estimated cost to completion as a measure.
Sale of parts
Revenue from the sale of parts is recognised upon delivery to the customer.
Retirement benefits for employees are met by payments to a defined contribution pension scheme. Contributions are charges to the Statement of Comprehensive Income in the year in which they fall due. The assets of the scheme are held separately from those of the company in an independently administered fund.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
Income tax expense comprises current and deferred tax. Income tax expense is recognised in the Statement of Comprehensive Income except to the extent that it relates to items recognised in Other Comprehensive Income or directly in equity, in which case the tax is also recognised in Other Comprehensive Income or equity respectively.
Current income tax is the expected tax payable on the taxable income for the period, using tax rates enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous periods.
Deferred tax is recognised using the liability method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes.
Deferred tax is not recognised for the following temporary differences: the initial recognition of goodwill, the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit, and differences relating to investments in subsidiaries to the extent that they probably will not reverse in the foreseeable future. Deferred tax is measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date.
A deferred tax asset is recognised to the extent that it is probable that future taxable profits will be available against which temporary differences can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realised.
Additional income taxes that arise from distributions are recognised at the same time as the liability to pay the related distributions is recognised.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
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Property, plant and equipment
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Items of property, plant and equipment are measured at cost less accumulated depreciation and any accumulated impairment losses.
If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items (major components) of property, plant and equipment. Any gain or loss on disposal of an item of property, plant and equipment is recognised in profit or loss. Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the company.
Depreciation is provided on all other items of property, plant and equipment so as to write off their carrying value over their expected useful economic lives. It is provided at the following rates:
The residual value and useful lives of the property, plant and equipment are reviewed annually and adjusted if appropriate at each reporting date.
On disposal of property, plant and equipment the cost and the related accumulated depreciation and impairments are removed from the financial statements and the net amount, less any proceeds, is taken to the Statement of Comprehensive Income.
The carrying amounts of the company's non-financial assets, other than deferred tax assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the assets' recoverable amount is estimated. For intangible assets that have indefinite lives or that are not yet available for use, recoverable amount is estimates at each reporting date.
An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable amount. A cash-generating unit is the smallest identifiable asset group that is expected to generate cash flows that largely are independent from other assets and groups. Impairment losses are recognised in the Statement of Comprehensive Income. Impairment losses recognised in respect of cash-generating units are allocated first to reduce the carrying amount of any goodwill allocated to the units and then to reduce the carrying amount of the other assets in the unit (group of units) on a pro rate basis.
The recoverable amount of an asset or cash generating unit is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current assessments of the time value of money and the risk specific to the asset.
Inventories are stated at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving inventory. The cost of inventory and work in progress includes all direct costs and an appropriate proportion of fixed and variable overheads based on normal capacity.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
Provisions are recognised when the company has a present obligation that arises as a consequence of a past event, it is probable that an outflow of resources will be required to settle that obligation and the obligation can be reliably measured.
Financial assets and financial liabilities are recognised in the Statement of Financial Position when the company becomes a party to the contractual provisions of the instrument.
Financial assets
Trade receivables are held in order to collect the contractual cash flows and are initially measured at the transaction price as defined in IFRS 15, as the contracts of the company do not contain significant financing components. Impairment losses are recognised based on lifetime expected credit losses in the Statement of Comprehensive Income.
Other receivables are held in order to collect the contractual cash flows and accordingly are measured at initial recognition at fair value, which ordinarily equates to cost and are subsequently measured at cost less impairment due to their short-term nature. A provision for impairment is established based on 12-month expected credit losses unless there has been a significant increase in credit risk when lifetime expected credit losses are recognised. The amount of any provision is recognised in the Statement of Comprehensive Income.
Cash and cash equivalents comprise cash held by the company and short-term bank deposits with an original maturity of three months or less.
Financial liabilities and equity
Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.
Interest bearing bank loans, overdrafts and other loans are initially recorded at fair value, which is ordinarily equal to the proceeds received net of transaction costs. These liabilities are subsequently measured at amortised cost, using the effective interest rate method.
A contingent liability is disclosed where the existence of an obligation will only be confirmed by future events or where the amount of the obligation cannot be measured with reasonable reliability. Contingent assets are not recognised but are disclosed where an inflow of economic benefit is probable.
Incremental costs directly attributable to their issue of ordinary shares and share options are recognised as a reduction in equity.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
2.Accounting policies (continued)
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Critical accounting judgements and key sources of estimation uncertainty
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The preparation of the financial statements in conformity with generally accepted accounting practice requires management to make judgements, estimates and assumptions that effect the application of accounting policies and the reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience from various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making judgements about carrying values of assets and liabilities that are not readily apparent from other sources.
In particular there are significant areas of estimation, uncertainty and critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements in the following areas:
Work in progress (Note 11)
Work in progress is stated at the lower of the purchase cost and net realisable value. Estimates of net realisable value of work in progress is based on the most reliable evidence available at the time the estimates are made. These estimates take into consideration the fluctuations of price or cost directly relating to events occurring subsequent to the reporting date to the extent that such events confirm conditions existing at the end of the reporting period.
Accrued income (Note 12)
Accrued income represents work performed for group companies which has resulted in the recognition of income in line with IFRS 15, but for which no invoice has been raised.
The accrued income for the year totalled £830,643 (2024: £1,282,571), which the directors are satisfied reflects the correct cut off for the period.
The company has incurred losses for the last number of financial periods and is in a net liability position. The company owes £4,507,158 (2024: £3,255,660) to group companies, who have given assurance that they will not seek repayment of this debt for a period of at least 12 months and one day from the date of approval of the financial statements or when Edina Power Limited is able to repay the debt, whichever is the lesser period. The directors have also reviewed budgets, projected cashflows and other relevant information, and on the basis of the review, are confident that the company should be in a position to have adequate financial resources to continue in operational existence for a period of at least twelve months from the date the financial statements were approved by the directors.
The financial statements do not include any adjustment which may be required should the going concern basis of preparation be inappropriate.
After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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The following is an analysis of the company's revenue for the year from continuing operations:
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Production of generating sets and the sale of related spare parts
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Analysis of revenue by geographic location:
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Loss on ordinary activities before taxation
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This is arrived at after charging:
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Depreciation on tangible fixed assets
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Foreign exchange differences
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Profit on disposal of property, plant and equipment
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Employee benefit expenses (including directors) comprise:
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Defined contribution pension cost
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Capitalised employee costs during the year amounted to £Nil (2024: £Nil).
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The monthly average number of persons, including the directors, employed by the company during the year was as follows:
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Directors' remuneration and key management personnel compensation
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Key management are those persons having authority and responsibility for planning, directing, and controlling the activities of the entity, directly or indirectly, including any directors of that entity. The directors are considered key management of the company.
The directors of Edina Power Limited did not receive any remuneration or other emoluments in the period (2024: £Nil).
There were no payments made by any third party to the directors for their services as directors in this company (2024: £Nil).
The company operates a defined contribution scheme in respect of its employees. The scheme and its assets are held by independent managers. The pension charge represents contributions due from the company and amounted to £72,197 (2024: £54,101).
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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9.1 Income tax recognised in profit or loss
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The reasons for the difference between the actual tax charge for the year and the standard rate of corporation tax in the United Kingdom applied to losses for the year are as follows:
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Income tax expense (including income tax on associate, joint venture and discontinued operations)
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Tax using the company's domestic tax rate of 25% (2024: 25%)
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Expenses not deductible for tax purposes, other than goodwill, amortisation and impairment
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Transfer pricing adjustments
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Movements in deferred tax
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Movement in deferred tax not recognised
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The tax rate used for the period end reconciliation above is the corporate rate of 25% (2024: 25%) payable by corporate entities in Northern Ireland on taxable profits under tax law in the jurisdiction of Northern Ireland.
The company has accumulated losses of £1,367,744 (2024: £1,737,729) that are available indefinitely to offset against future taxable profits. The company has not recognised a deferred tax asset in respect of these losses due to uncertain timing.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
9.Tax expense (continued)
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Property, plant and equipment
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Accumulated depreciation and impairment
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Charge owned for the year
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Charge owned for the year
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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The replacement cost of inventory is not considered to be materially different from the reporting value in the Statement of Financial Position.
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Trade and other receivables
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Amounts falling due within one year
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Amounts owed by group companies
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Amounts owed by group companies are interest free and repayable on demand.
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Cash and cash equivalents
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Amounts falling due within one year
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Amounts owed to group companies
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Other taxes and social welfare costs
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Some trade payables had reserved title to goods supplied to the company. Since the extent to which such trade payables are effectively secured depends on a number of factors and conditions, some of which are not readily determinable, it is not possible to indicate how much of the above amount is secured under reservation of title.
The amounts owed to group companies are interest free and repayable on demand.
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Cash and cash equivalents
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Related party transactions
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Included in debtors due less than one year are amounts due from other group companies of £384,916 (2024: £503,366). Included in creditors due less than one year are amounts due to other group companies of £4,170,724 (2024: £3,255,660). In the opinion of the directors, these amounts arise in the ordinary course of business.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
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Financial assets measured at fair value through profit or loss
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Financial assets that are debt instruments measured at amortised cost
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Financial liabilities measured at amortised cost
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Financial assets measured at fair value through profit or loss comprise cash and cash equivalents.
Financial assets that are debt instruments measured at amortised cost comprise group receivables and trade receivables.
Financial liabilities measured at amortised cost comprise trade and group payables.
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Ordinary shares of £1.00 each
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Ordinary shares of £1.00 each
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
Retained deficit
This reserve relates to the cumulative retained earnings less amounts distributed to shareholders.
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Financial risk management
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The company's principal financial instruments comprise receivables and payables. The main purpose of these financial instruments is to provide finance for the company's operations. The company has various other financial assets and liabilities which arise directly from its operations.
It is, and has been throughout the period under review, the company's policy that no trading in derivatives be undertaken.
The main risks arising from the company's financial instruments are foreign currency risk, credit risk, liquidity risk, interest rate risk and capital risk. The Board reviews and agrees policies for managing each of these risks which are summarised below.
Foreign currency risk
The company undertakes certain transactions denominated in foreign currencies. Hence, exposure to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters utilising forward exchange contracts where appropriate.
At the year ended 31 March 2025, the Company had no outstanding forward exchange contracts.
Credit risk
Credit risk refers to the risk that a counterpart will default on its contractual obligations resulting in financial loss to the company.
The company's financial assets comprise receivables and cash and cash equivalents.
The company does not have any significant credit risk exposure to any single counterpart or any group of counterpart having similar characteristics. The company defines counterpart as having similar characteristics if they are connected entities.
Liquidity risk management
Liquidity risk is the risk that the company will not have sufficient funds to meet liabilities. Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has built an appropriate liquidity risk management framework for the management of the company's short, medium and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves and by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities. Cash forecasts are regularly produced to identify the liquidly requirements of the company. To date, the company has relied on shareholder funding to finance its operations. The company had no borrowing facilities as 31 March 2025.
The company's financial liabilities as at 31 March 2025 were payable on demand.
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EDINA POWER LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
The company expects to meet its other obligations from operating cash flows.
The company had no derivative financial instruments as at 31 March 2025.
Interest rate risk
The company's exposure to the risk of changes in the market interest rates relates primarily to the company's intergroup loans.
Capital risk management
The company manages its capital to ensure that entities in the company will be able to continue as a going concern while maximising the return to stakeholders through the optimisation of the debt and equity balance.
The company manages its capital structure and makes adjustments to it, in light of changes in economic conditions. To maintain or adjust its capital structure, the company may adjust or issue new shares or raise debt. No changes were made in the objectives, policies or processes during the year ended 31 March 2025. The capital structure of the company consists of equity attributable to equity holders of the company, comprising issued capital, reserves and retained profits as disclosed in the Statement of Changes in Equity.
Fair values
The carrying amount of the company's financial assets and financial liabilities is a reasonable approximation of the fair value.
Hedging
At the year ended 31 March 2025, the company had no outstanding contracts designated as hedges.
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Ultimate controlling party
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The company is a 100% subsidiary of Edina Power Services Limited, a company registered in the Republic of Ireland.
The ultimate parent undertaking is Energy Efficiency Services Limited, a company incorporated in India, who holds 86.80% of the issued share capital of EESL EnergyPro Assets Limited. These accounts are included within the consolidated accounts of Energy Efficiency Services Limited which can be obtained from the registered office located at NFL Building, 5th & 6th floor, Core - III, SCOPE, Complex, Lodhi Road, New Delhi - 110003, India.
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Events after the reporting date
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There have been no significant events affecting the company since the end of the financial year which would require adjustment to or disclosure in the financial statements.
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Approval of financial statements
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The financial statements were approved by the Board.
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