Registration number:
Airline Component Services Limited
for the Year Ended 31 March 2025
Airline Component Services Limited
Contents
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Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Consolidated Profit and Loss Account |
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Consolidated Statement of Comprehensive Income |
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Consolidated Balance Sheet |
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Balance Sheet |
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Consolidated Statement of Changes in Equity |
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Statement of Changes in Equity |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Airline Component Services Limited
Company Information
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Directors |
G J Higgins E E Bradley R M E Stanborough |
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Company secretary |
E E Bradley |
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Registered office |
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Bankers |
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Auditors |
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Airline Component Services 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 group is the supply, inspection and repair to structured airline components.
Fair review of the business
The Group consists of Airline Component services Limited and ACS Aviation Industries Limited. Airline Component Services Limited is a specialist stockist of Rotable Flight Controls & Structural Components for Airbus & Boeing aircraft. ACS Aviation Industries Limited is a UK CAA 145, EASA 145 and FAA 145, approved repair station specialising in the repair of all Boeing & Airbus structural components.
The key objectives of the ACS Group are firstly the provision of exceptional customer service, which includes the provision of high-quality components, being flexible to customer needs, the provision of technical assistance to customers, ease of transaction and speed of turn-around times.
Secondly, that of employee engagement. This is achieved through the provision of tailored training plans and ongoing support, opportunities to develop and progress, along with providing a supportive workplace that values the wellbeing of its team-members.
During 2024, The ACS Group achieved both the Kings award for Enterprise (International Growth) and the Investors in People (Gold) accreditation. The ACS Quality Management System is approved to ISO9001:2015 and ASA 100 and we are currently in the process of applying for ISO 14001 – Environmental management.
The Leadership team have regular meetings to discuss strategically relevant matters along with any other significant operational events. All members have substantial experience within their relevant areas of expertise.
We are in the process of implementing a new IT system which should give greater insight into performance and allowing for greater flexibility around how we work and analyse our data to meet business needs.
This year, The ACS Group has created a ‘technical team’ to assist all staff members and customers with their technical requirements.
The company's key financial and other performance indicators during the year were as follows:
|
Financial KPIs |
Unit |
2025 |
2024 |
|
Turnover growth |
% |
- |
26 |
|
Gross profit margin |
% |
46 |
49 |
|
Net profit margin |
% |
18 |
28 |
|
Employee growth |
% |
19 |
18 |
Principal risks and uncertainties
The anticipated growth is leading to the need for skilled individuals for our niche product which can be difficult to find within a reasonable commutable distance. We are addressing this through development of a comprehensive internal training programme.
Uncertainties arising within the industry include a shortage of used components for procurement. Also, shortages of spare parts for repairs continue to impact the supply chain following Covid. The ACS Group are addressing these issues by continuing to build relationships with our suppliers as well as increasing the range of parts we stock.
ACS Aviation Industries Limited continue to have issues with finding trained engineers to keep up with the levels of incoming work.
Airline Component Services Limited
Strategic Report for the Year Ended 31 March 2025
Financial Risk Management Objectives and Policies
The process of risk acceptance and risk management is addressed through a framework of policies, procedures and internal controls. The Group's activities expose it to several financial risks. These individual risks are assessed in relation to their impact on the operation. These are as follows:
Currency Risk
Due to the primary currency of the aviation industry being US dollars, the group is exposed to risks from exchange rate fluctuations. This is managed by careful observation of the exchange position and if deemed appropriate, hedging against the risk using financial instruments.
Credit Risk
Credit risk increases with the growth in international trade, the value of the components themselves and the need to deliver quickly without unnecessary delays. Our systems have been created and our sales team trained to analyse the current risk situation both to maximise conversion rates, reduce delivery times and minimise the risk of bad debts.
Liquidity Risk
The working capital is reviewed monthly together with cash flow and cash generation in order that the cash requirements (existing and future) of the business can be fully met.
Approved by the
.........................................
R M E Stanborough
Director
Airline Component Services Limited
Directors' Report for the Year Ended 31 March 2025
The directors present their report and the for the year ended 31 March 2025.
Directors of the group
The directors who held office during the year were as follows:
Information included in the Strategic Report
Information regarding objectives and policies is disclosed in the Strategic Report.
Disclosure of information to the auditor
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 group's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Reappointment of auditors
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Lambert Chapman LLP as auditors of the company is to be proposed at the forthcoming Annual General Meeting.
Approved by the
.........................................
R M E Stanborough
Director
Airline Component Services Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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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 group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Airline Component Services Limited
Independent Auditor's Report to the Members of Airline Component Services Limited
Qualified opinion
We have audited the financial statements of Airline Component Services Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025, which comprise the Consolidated Profit and Loss Account, Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, 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, except for the possible effects of the matter described in the basis for qualified opinion section of our report, the financial statements:
• | give a true and fair view of the state of the group's and the parent company's affairs as at 31 March 2025 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for qualified opinion on financial statements
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 group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's 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 directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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.
Airline Component Services Limited
Independent Auditor's Report to the Members of Airline Component Services Limited
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
Except for the possible effects of the matter described in the basis for qualified opinion section of our report, in our opinion, based on the work undertaken in the course of the audit:
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• |
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 |
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• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
Except for the matter described in the basis for qualified opinion section of our report, in the light of our knowledge and understanding of the Group and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
Arising solely from the limitation on the scope of our work relating to inventory, referred to above:
• we have not obtained all the information and explanations that we considered necessary for the purpose of the audit; and
• we were unable to determine whether adequate accounting records have been kept.
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:
• | returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page 5, 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 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.
Airline Component Services Limited
Independent Auditor's Report to the Members of Airline Component Services Limited
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. Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the company through discussions with directors and from our knowledge and experience of the sector within which the company operates;
- 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 Civil Aviation Authority, the Federal Aviation Administration and the European Union Aviation Safety Agency, the Companies Act 2006, taxation legislation, 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 Group 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 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;
- enquiring of management as to actual and potential litigation and claims.
There are inherent limitations in our audit procedures described above. The more removed the 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.
Airline Component Services Limited
Independent Auditor's Report to the Members of Airline Component Services Limited
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
For and on behalf of
Silks Way
Braintree
Essex
CM7 3GB
Airline Component Services Limited
Consolidated Profit and Loss Account for the Year Ended 31 March 2025
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Note |
2025 |
2024 |
|
|
Turnover |
|
|
|
|
Cost of sales |
( |
( |
|
|
Gross profit |
|
|
|
|
Administrative expenses |
( |
( |
|
|
Other operating income |
|
|
|
|
Exceptional items |
(176,215) |
- |
|
|
Other interest receivable and similar income |
|
|
|
|
Interest payable and similar expenses |
( |
- |
|
|
Profit before tax |
|
|
|
|
Tax on profit |
( |
( |
|
|
Profit for the financial year |
|
|
|
|
Profit/(loss) attributable to: |
|||
|
Owners of the company |
|
|
|
|
Minority interests |
|
|
|
|
|
|
The group has no recognised gains or losses for the year other than the results above.
Airline Component Services Limited
Consolidated Statement of Comprehensive Income for the Year Ended 31 March 2025
|
2025 |
2024 |
|
|
Profit for the year |
|
|
|
Total comprehensive income for the year |
|
|
|
Total comprehensive income attributable to: |
||
|
Owners of the company |
|
|
|
Minority interests |
|
|
|
|
|
Airline Component Services Limited
(Registration number: 05596134)
Consolidated Balance Sheet as at 31 March 2025
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Note |
2025 |
(As restated) |
|
|
Fixed assets |
|||
|
Tangible assets |
|
|
|
|
Current assets |
|||
|
Stocks |
|
|
|
|
Debtors |
|
|
|
|
Cash at bank and in hand |
|
|
|
|
|
|
||
|
Creditors: Amounts falling due within one year |
( |
( |
|
|
Net current assets |
|
|
|
|
Total assets less current liabilities |
|
|
|
|
Provisions for liabilities |
( |
( |
|
|
Net assets |
|
|
|
|
Capital and reserves |
|||
|
Called up share capital |
2 |
2 |
|
|
Retained earnings |
12,278,878 |
10,814,422 |
|
|
Equity attributable to owners of the company |
12,278,880 |
10,814,424 |
|
|
Minority interests |
1,092,611 |
918,597 |
|
|
Shareholders' funds |
13,371,491 |
11,733,021 |
Approved and authorised by the
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Airline Component Services Limited
(Registration number: 05596134)
Balance Sheet as at 31 March 2025
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Note |
2025 |
2024 |
|
|
Fixed assets |
|||
|
Tangible assets |
|
|
|
|
Investments |
|
|
|
|
|
|
||
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Current assets |
|||
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Stocks |
|
|
|
|
Debtors |
|
|
|
|
Cash at bank and in hand |
|
|
|
|
|
|
||
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Creditors: Amounts falling due within one year |
( |
( |
|
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Net current assets |
|
|
|
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Total assets less current liabilities |
|
|
|
|
Provisions for liabilities |
( |
( |
|
|
Net assets |
|
|
|
|
Capital and reserves |
|||
|
Called up share capital |
2 |
2 |
|
|
Retained earnings |
11,626,789 |
10,025,097 |
|
|
Shareholders' funds |
11,626,791 |
10,025,099 |
The company has opted to take the exemption under section 408 of the Companies Act 2006 to omit its profit and loss account. The company made a profit after tax for the financial year of £1,901,692 (2024 - profit of £2,731,845).
Approved and authorised by the
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Airline Component Services Limited
Consolidated Statement of Changes in Equity for the Year Ended 31 March 2025
Equity attributable to the parent company
|
Share capital |
Retained earnings |
Total |
Non-controlling interests - Equity |
Total equity |
|
|
At 1 April 2024 |
|
|
|
|
|
|
Profit for the year |
- |
|
|
|
|
|
Dividends |
- |
( |
( |
- |
( |
|
At 31 March 2025 |
|
|
|
|
|
|
(As restated) |
Retained earnings |
Total |
Non-controlling interests - Equity |
Total equity |
|
|
At 1 April 2023 |
|
|
|
|
|
|
Profit for the year |
- |
|
|
|
|
|
Dividends |
- |
( |
( |
- |
( |
|
At 31 March 2024 |
2 |
10,814,422 |
10,814,424 |
918,597 |
11,733,021 |
Airline Component Services Limited
Statement of Changes in Equity for the Year Ended 31 March 2025
|
Share capital |
Retained earnings |
Total |
|
|
At 1 April 2024 |
|
|
|
|
Profit for the year |
- |
|
|
|
Dividends |
- |
( |
( |
|
At 31 March 2025 |
|
|
|
|
Share capital |
Retained earnings |
Total |
|
|
At 1 April 2023 |
|
|
|
|
Profit for the year |
- |
|
|
|
Dividends |
- |
( |
( |
|
At 31 March 2024 |
2 |
10,025,097 |
10,025,099 |
Airline Component Services Limited
Consolidated Statement of Cash Flows for the Year Ended 31 March 2025
|
2025 |
2024 |
|
|
Cash flows from operating activities |
||
|
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
||
|
Depreciation and amortisation |
|
|
|
(Profit)/loss on disposal of tangible assets |
( |
|
|
Finance income |
( |
( |
|
Finance costs |
|
- |
|
Income tax expense |
|
|
|
|
|
|
|
Working capital adjustments |
||
|
(Increase) in stocks |
( |
( |
|
Decrease in debtors |
|
( |
|
(Increase) in creditors |
( |
|
|
Decrease in provisions |
- |
( |
|
Cash generated from operations |
|
|
|
Income taxes paid |
( |
( |
|
Net cash flow from operating activities |
|
|
|
Cash flows from investing activities |
||
|
Interest received |
|
|
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
|
|
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
||
|
Interest paid |
( |
- |
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
( |
( |
|
Net increase/(decrease) in cash and cash equivalents |
|
( |
|
Cash and cash equivalents at 1 April |
|
|
|
Cash and cash equivalents at 31 March |
2,180,292 |
2,107,231 |
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
General information |
The company is a private company limited by share capital, incorporated in England & Wales.
The address of its registered office and principal place of business is:
These financial statements were authorised for issue by the
|
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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention.
These financial statements are presented in Sterling (£), which is the company's functional currency.
Summary of disclosure exemptions
The Company has take advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
- the requirements of Section 7 Statement of Cash Flows.
This exemption has been taken advantage of as the Company is a qualifying entity as per FRS 102 section 1.
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 March 2025.
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Reclassification of comparative amounts
Key sources of estimation uncertainty
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.
A warranty provision has been included in the accounts based on an estimation made by the directors using historical data. The directors judge this to be an appropriate measurement of warranty claims in the year.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of repair services in the ordinary course of the group's activities. Turnover is shown net of value added tax, returns, rebates and discounts.
In respect of goods sold, the revenue is recognised when the order has been fulfilled and the part has been delivered to or collected by the customer.
For repair income, revenue is recognised when the repair work has been completed and the part has been certified by the appropriate aviation authority for the country the part is destined for. Costs incurred on partially completed repair works are valued at the lower of cost and net realisable value and are included in the balance sheet as work in progress.
Tax
Current Tax is recognised in the profit and loss account, 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 income 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 financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation.
Depreciation
Depreciation is charged so as to write off the cost of assets, over their estimated useful lives, as follows:
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Asset class |
Depreciation method and rate |
|
Office equipment |
25% Reducing Balance / 33% Straight Line |
|
Plant and machinery |
25% Reducing Balance |
|
Improvements to property |
10% Straight Line/25% Reducing Balance |
|
Motor vehicles |
25% Reducing Balance |
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the Group will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
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.
For stock of consumables for repair work, the group provides for slow moving stock once it is over one year old. For stock of parts held for re-sale, the Group provides in full for parts it considers non-core stock items, once they are over two years old.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Provisions
Provisions are recognised when the group has an obligation at the reporting date as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Share capital
Ordinary shares are classified as equity.
Dividends
Dividend distribution to the group’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 group 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.
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Turnover |
The analysis of the group's Turnover for the year from continuing operations is as follows:
|
2025 |
2024 |
|
|
Sale of goods and rendering of services |
|
|
The analysis of the group's Turnover for the year by market is as follows:
|
2025 |
2024 |
|
|
UK |
|
|
|
Europe |
|
|
|
Rest of world |
|
|
|
|
|
|
Other operating income |
The analysis of the group's other operating income for the year is as follows:
|
2025 |
2024 |
|
|
Miscellaneous other operating income |
|
|
|
Management charges receivable |
36,000 |
- |
|
|
|
|
Other interest receivable and similar income |
|
2025 |
2024 |
|
|
Other finance income |
|
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
|
2025 |
2024 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
2025 |
2024 |
|
|
Operations |
|
|
|
Administration and support |
|
|
|
Stores |
|
|
|
Management |
|
|
|
|
|
|
Directors' remuneration |
The directors' remuneration for the year was as follows:
|
2025 |
2024 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
623,197 |
657,724 |
In respect of the highest paid director:
|
2025 |
2024 |
|
|
Remuneration |
|
|
|
Company contributions to money purchase pension schemes |
|
|
|
Auditors' remuneration |
|
2025 |
2024 |
|
|
Audit of these financial statements |
43,438 |
6,000 |
|
Taxation |
Tax charged/(credited) in the consolidated profit and loss account
|
2025 |
2024 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
UK corporation tax adjustment to prior periods |
|
- |
|
766,760 |
1,129,913 |
|
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
|
|
|
Tax expense in the income statement |
|
|
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2025 |
2024 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Tax increase/(decrease) from effect of capital allowances and depreciation |
|
( |
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
|
Under/(over) provision in previous years |
|
( |
|
Effect of consolidation adjustment |
|
|
|
Effect of deferred tax movement |
|
|
|
Tax (decrease)/increase from changes in pension fund / bonus prepayment |
( |
|
|
Total tax charge |
|
|
Deferred tax
Group
Deferred tax assets and liabilities
|
2025 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
|
2024 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
The amount of the net reversal of deferred tax assets and deferred tax liabilities expected to occur during the year beginning after the reporting period is £
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Company
Deferred tax assets and liabilities
|
2025 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
|
2024 |
Asset |
Liability |
|
Accelerated capital allowances |
- |
|
|
- |
|
The amount of the net reversal of deferred tax assets and deferred tax liabilities expected to occur during the year beginning after the reporting period is £
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Tangible assets |
Group
|
Improvement to property |
Office equipment |
Motor vehicles |
Plant and machinery |
Total |
|
|
Cost or valuation |
|||||
|
At 1 April 2024 |
|
|
|
|
|
|
Additions |
|
|
- |
|
|
|
Disposals |
- |
- |
- |
( |
( |
|
At 31 March 2025 |
|
|
|
|
|
|
Depreciation |
|||||
|
At 1 April 2024 |
|
|
|
|
|
|
Charge for the year |
|
|
|
|
|
|
Eliminated on disposal |
- |
- |
- |
( |
( |
|
At 31 March 2025 |
|
|
|
|
|
|
Carrying amount |
|||||
|
At 31 March 2025 |
|
|
|
|
|
|
At 31 March 2024 |
|
|
|
|
|
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Company
|
Improvements to property |
Office equipment |
Motor vehicles |
Plant and machinery |
Total |
|
|
Cost or valuation |
|||||
|
At 1 April 2024 |
|
|
|
|
|
|
Additions |
|
|
- |
- |
|
|
At 31 March 2025 |
|
|
|
|
|
|
Depreciation |
|||||
|
At 1 April 2024 |
|
|
|
|
|
|
Charge for the year |
|
|
|
|
|
|
At 31 March 2025 |
|
|
|
|
|
|
Carrying amount |
|||||
|
At 31 March 2025 |
|
|
|
|
|
|
At 31 March 2024 |
|
|
|
|
|
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Investments |
Company
|
2025 |
2024 |
|
|
Investments in subsidiaries |
|
|
|
Subsidiaries |
£ |
|
Cost or valuation |
|
|
At 1 April 2024 |
|
|
Carrying amount |
|
|
At 31 March 2025 |
|
|
At 31 March 2024 |
|
Details of undertakings
Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
|
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
|
|
2025 |
2024 |
|||
|
Subsidiary undertakings |
||||
|
|
15 Swinbourne Drive, Springwood Industrial Estate, Braintree, Uk, England, CM7 2YP United Kingdom |
|
|
|
|
Subsidiary undertakings |
|
ACS Aviation Industries Limited The principal activity of ACS Aviation Industries Limited is |
|
Exceptional item |
The exceptional item relates to a partial waiver of a loan with a company that is connected.
|
Stocks |
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Work in progress |
|
|
- |
- |
|
Stocks |
|
|
|
|
|
|
|
|
|
|
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Debtors |
|
Group |
Company |
||||
|
Current |
Note |
2025 |
2024 |
2025 |
2024 |
|
Trade debtors |
|
|
|
|
|
|
Amounts owed by group undertakings |
- |
- |
- |
|
|
|
Directors loan |
|
|
- |
- |
|
|
Other debtors |
|
|
|
|
|
|
Prepayments |
|
|
|
|
|
|
|
|
|
|
||
|
Cash and cash equivalents |
|
Group |
Company |
|||
|
2025 |
2024 |
2025 |
2024 |
|
|
Cash at bank |
|
|
|
|
|
Creditors |
|
Group |
Company |
||||
|
Note |
2025 |
2024 |
2025 |
2024 |
|
|
Due within one year |
|||||
|
Trade creditors |
|
|
|
|
|
|
Amounts owed to group undertakings |
- |
- |
|
- |
|
|
Social security and other taxes |
|
|
|
|
|
|
Corporation tax |
252,700 |
623,992 |
133,612 |
419,270 |
|
|
Outstanding defined contribution pension costs |
|
|
|
|
|
|
Other creditors |
|
|
|
|
|
|
Directors loan |
|
|
|
|
|
|
Accruals |
|
|
|
|
|
|
|
|
|
|
||
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Provisions for liabilities |
Group
|
Deferred tax |
Warranties |
Total |
|
|
At 1 April 2024 |
|
|
|
|
Additional provisions |
|
- |
|
|
At 31 March 2025 |
|
|
|
|
|
|||
Company
|
Deferred tax |
Total |
|
|
At 1 April 2024 |
|
|
|
Additional provisions |
|
|
|
At 31 March 2025 |
|
|
|
|
||
|
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
2 |
|
2 |
Rights, preferences and restrictions
|
Ordinary Shares have the following rights, preferences and restrictions: |
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
|
Obligations under leases and hire purchase contracts |
Group
Operating leases
The total of future minimum lease payments is as follows:
|
2025 |
2024 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
Company
Operating leases
The total of future minimum lease payments is as follows:
|
2025 |
2024 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
|
|
The amount of non-cancellable operating lease payments recognised as an expense during the year was £
|
Analysis of changes in net debt |
Group
|
At 1 April 2024 |
Financing cash flows |
At 31 March 2025 |
|
|
Cash and cash equivalents |
|||
|
Cash |
2,107,230 |
73,062 |
2,180,292 |
|
|
|||
|
|
|
|
|
|
Related party transactions |
Group
Summary of transactions with key management
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Summary of transactions with parent
Expenditure with and payables to related parties
|
2025 |
Other related parties |
|
Rendering of services |
|
|
|
|
|
2024 |
Other related parties |
|
Rendering of services |
|
|
|
|
Loans to related parties
|
2025 |
Other related parties |
Total |
|
At start of period |
2,422,285 |
2,422,285 |
|
Advanced |
300,510 |
300,510 |
|
Repaid |
(102,850) |
(102,850) |
|
Waived |
(176,216) |
(176,216) |
|
At end of period |
2,443,729 |
2,443,729 |
|
|
||
|
2024 |
Other related parties |
Total |
|
At start of period |
1,723,760 |
1,723,760 |
|
Advanced |
802,365 |
802,365 |
|
Repaid |
(103,841) |
(103,841) |
|
At end of period |
2,422,284 |
2,422,284 |
|
|
||
Company
Summary of transactions with key management
Summary of transactions with other related parties
Airline Component Services Limited
Notes to the Financial Statements for the Year Ended 31 March 2025
Expenditure with and payables to related parties
|
2025 |
Other related parties |
|
Rendering of services |
|
|
|
|
|
2024 |
Other related parties |
|
Rendering of services |
|
|
|
|
Loans to related parties
|
2025 |
Other related parties |
Total |
|
At start of period |
2,133,223 |
2,133,223 |
|
Advanced |
213,804 |
213,804 |
|
Impairment |
(176,216) |
(176,216) |
|
At end of period |
2,170,811 |
2,170,811 |
|
|
||
|
2024 |
Other related parties |
Total |
|
At start of period |
1,593,909 |
1,593,909 |
|
Advanced |
539,314 |
539,314 |
|
At end of period |
2,133,223 |
2,133,223 |
|
|
||