REGISTERED NUMBER: 04639625 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31st March 2025

for

Versatile Equipment Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Cash Flow Statement

13

Notes to the Cash Flow Statement

14

Notes to the Financial Statements

15

DIRECTORS:

L Chater

B J Gass

REGISTERED OFFICE:

1 - 3 Manor Road

Chatham

Kent

ME4 6AE

REGISTERED NUMBER:

04639625 (England and Wales)

AUDITORS:

Beak Kemmenoe

Chartered Accountants

& Statutory Auditors

1-3 Manor Road

Chatham

Kent

ME4 6AE

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

REVIEW OF BUSINESS

Versatile Equipment Limited has continued to deliver a quality service in both its sales and hire of plant and machinery sectors.

The company has been successful in limiting the impact of a slow growing economy adversely affected by the economic uncertainty in the UK and the rest of the world. The directors consider the increase in turnover and gross profit percentage to be a positive result..

Despite the continuing difficult trading environment the company achieved a profit on ordinary activities before tax of 2.48% (1.67% - 2024) of gross sales, whilst maintaining its control over inflationary pressures.

PRINCIPAL RISKS AND UNCERTAINTIES

The financial risk management of the company is based upon sound economic objectives and good corporate practice.

The economy is experiencing relatively high inflation and costs are increasing across a number of areas. The company has been working closely with its customers on regular price adjustments to recover these increased costs without affecting quality of service.

The supply chain continues to be a concern due to the global economic situation. The company has maintained its strong relationship with its main supplier, which has facilitated a reduction in the stock levels and associated direct costs over the previous year.

The company is also subject to competitor risk, operating in a diverse market with unpredictable government initiatives with consequences for tendering which the directors work to mitigate. Customer care remains a top priority and the company maintains strong relationships with customers to enhance its service.

KPI'S

The directors monitor a number of key performance indicators including (but not limited to) measures around customer service, sales growth and gross profit, all of which are monitored on a regular basis. As these KPI's are interrelated no single KPI's are considered to be key indicators of company performance.The directors consider that the balance of these KPI's have been positive in the period.

FUTURE DEVELOPMENTS

The directors appreciate that only a dynamic organisation can have a secure future and therefore intend to seek and develop opportunities that arise taking advantage of the growing position of the company within its business sector.

The current Government policy emphasising housebuilding is improving the sentiment around the economic outlook in the company's main markets.

ON BEHALF OF THE BOARD:

L Chater - Director

23rd December 2025

The directors present their report with the financial statements of the company for the year ended 31st March 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the provision of serviced plant and equipment and sale of plant.

DIVIDENDS

Interim dividends of £7,020 per share were paid on schedule. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31st March will be £351,000.

DIRECTORS

The directors shown below have held office during the whole of the period from 1st April 2024 to the date of this report.

L Chater

B J Gass

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 then apply them consistently;

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

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Beak Kemmenoe, are deemed to be reappointed.

ON BEHALF OF THE BOARD:

L Chater - Director

23rd December 2025

Opinion

We have audited the financial statements of Versatile Equipment Limited (the 'company') for the year ended 31st March 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 31st 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 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 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 financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

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

Matters on which we are required to report by exception

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

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 three, 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 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.

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 a Report of the Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the business sector;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, employment and health and safety legislation;

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-agreeing financial statement disclosures to underlying supporting documentation;

- reading the minutes of meetings of those charged with governance;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities 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 Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors 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.

Ronald Price FCA (Senior Statutory Auditor)

for and on behalf of Beak Kemmenoe

Chartered Accountants

& Statutory Auditors

1-3 Manor Road

Chatham

Kent

ME4 6AE

23rd December 2025

TURNOVER

19,865,673

17,783,688

Cost of sales

18,039,108

16,318,551

GROSS PROFIT

1,826,565

1,465,137

Administrative expenses

1,258,788

1,122,406

OPERATING PROFIT

5

567,777

342,731

Interest receivable and similar income

1,168

5,142

568,945

347,873

Interest payable and similar expenses

6

75,100

50,516

PROFIT BEFORE TAXATION

493,845

297,357

Tax on profit

7

129,258

77,804

PROFIT FOR THE FINANCIAL YEAR

364,587

219,553

PROFIT FOR THE YEAR

364,587

219,553

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

364,587

219,553

FIXED ASSETS

Tangible assets

9

2,421,384

2,141,973

CURRENT ASSETS

Stocks

10

2,747,613

3,564,187

Debtors

11

4,297,236

3,751,372

Cash at bank and in hand

135,123

736,102

7,179,972

8,051,661

CREDITORS

Amounts falling due within one year

12

5,798,770

6,789,949

NET CURRENT ASSETS

1,381,202

1,261,712

TOTAL ASSETS LESS CURRENT LIABILITIES

3,802,586

3,403,685

CREDITORS

Amounts falling due after more than one year

13

(1,234,156

)

(919,778

)

PROVISIONS FOR LIABILITIES

16

(588,378

)

(517,442

)

NET ASSETS

1,980,052

1,966,465

CAPITAL AND RESERVES

Called up share capital

17

50

50

Capital redemption reserve

18

50

50

Retained earnings

18

1,979,952

1,966,365

SHAREHOLDERS' FUNDS

1,980,052

1,966,465

The financial statements were approved by the Board of Directors and authorised for issue on 23rd December 2025 and were signed on its behalf by:

L Chater - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1st April 2023

50

2,126,812

50

2,126,912

Changes in equity

Dividends

-

(380,000

)

-

(380,000

)

Total comprehensive income

-

219,553

-

219,553

Balance at 31st March 2024

50

1,966,365

50

1,966,465

Changes in equity

Dividends

-

(351,000

)

-

(351,000

)

Total comprehensive income

-

364,587

-

364,587

Balance at 31st March 2025

50

1,979,952

50

1,980,052

Cash flows from operating activities

Cash generated from operations

1

36,093

390,239

Interest element of hire purchase payments paid

(75,100

)

(50,516

)

Tax paid

(138,389

)

(96,422

)

Net cash from operating activities

(177,396

)

243,301

Cash flows from investing activities

Purchase of tangible fixed assets

(1,268,764

)

(830,353

)

Sale of tangible fixed assets

701,864

643,664

Interest received

1,168

5,142

Net cash from investing activities

(565,732

)

(181,547

)

Cash flows from financing activities

Capital repayments in year

493,149

51,243

Equity dividends paid

(351,000

)

(380,000

)

Net cash from financing activities

142,149

(328,757

)

Decrease in cash and cash equivalents

(600,979

)

(267,003

)

Cash and cash equivalents at beginning of year

2

736,102

1,003,105

Cash and cash equivalents at end of year

2

135,123

736,102

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

Profit before taxation

493,845

297,357

Depreciation charges

430,811

498,962

Profit on disposal of fixed assets

(143,322

)

(134,052

)

Finance costs

75,100

50,516

Finance income

(1,168

)

(5,142

)

855,266

707,641

Decrease/(increase) in stocks

816,574

(533,388

)

Increase in trade and other debtors

(545,864

)

(814,504

)

(Decrease)/increase in trade and other creditors

(1,089,883

)

1,030,490

Cash generated from operations

36,093

390,239

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31st March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

135,123

736,102

Year ended 31st March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

736,102

1,003,105

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

736,102

(600,979

)

135,123

736,102

(600,979

)

135,123

Debt

Finance leases

(1,423,327

)

(493,149

)

(1,916,476

)

(1,423,327

)

(493,149

)

(1,916,476

)

Total

(687,225

)

(1,094,128

)

(1,781,353

)

1.	STATUTORY INFORMATION

Versatile Equipment Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	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" and the Companies Act 2006.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions between members of the group.

Turnover

Turnover is the total amount receivable by the company for goods supplied and services provided, excluding VAT and trade discounts.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Leasehold property

-

10% on cost

Plant and machinery

-

15% - 25% on reducing balance

Fixtures and equipment

-

25% - 33.3% on reducing balance

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

1,391,887

1,279,110

Social security costs

150,507

137,368

Other pension costs

28,957

25,268

1,571,351

1,441,746

The average number of employees during the year was as follows:

2025

2024

Directors

2

2

Direct wages

27

26

Administration

7

5

36

33

2025

2024

£

£

Directors' remuneration

18,297

18,163

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

5.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2025

2024

£

£

Hire of plant and machinery

571,824

530,586

Depreciation - owned assets

33,096

46,218

Depreciation - assets on hire purchase contracts

397,715

452,744

Profit on disposal of fixed assets

(143,322

)

(134,052

)

Auditors' remuneration

7,700

6,000

Auditors' remuneration for non audit work

3,100

3,750

6.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

£

Hire purchase interest

75,100

50,516

7.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

58,322

121,207

Deferred tax

70,936

(43,403

)

Tax on profit

129,258

77,804

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

£

£

Profit before tax

493,845

297,357

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%)

123,461

74,339

Effects of:

Expenses not deductible for tax purposes

5,797

3,831

Capital allowances in excess of depreciation

(70,936

)

-

Depreciation in excess of capital allowances

-

43,403

Marginal rate relief

-

(366

)

Deferred tax (accelerated capital allowances)

70,936

(43,403

)

Total tax charge

129,258

77,804

8.

DIVIDENDS

2025

2024

£

£

Ordinary A shares of £1 each

Interim

351,000

380,000

9.	TANGIBLE FIXED ASSETS

Fixtures

Leasehold

Plant and

and

property

machinery

equipment

Totals

£

£

£

£

COST

At 1st April 2024

10,204

3,216,166

40,580

3,266,950

Additions

-

1,257,080

11,684

1,268,764

Disposals

-

(978,386

)

-

(978,386

)

At 31st March 2025

10,204

3,494,860

52,264

3,557,328

DEPRECIATION

At 1st April 2024

6,546

1,080,725

37,706

1,124,977

Charge for year

1,020

426,870

2,921

430,811

Eliminated on disposal

-

(419,844

)

-

(419,844

)

At 31st March 2025

7,566

1,087,751

40,627

1,135,944

NET BOOK VALUE

At 31st March 2025

2,638

2,407,109

11,637

2,421,384

At 31st March 2024

3,658

2,135,441

2,874

2,141,973