REGISTERED NUMBER: 03031145 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 March 2025

for

Chepstow Plant International Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

6

Report of the Independent Auditors

8

Income Statement

12

Other Comprehensive Income

13

Balance Sheet

14

Statement of Changes in Equity

15

Cash Flow Statement

16

Notes to the Cash Flow Statement

17

Notes to the Financial Statements

19

DIRECTORS:

E A Hayward

S Hayward

T J Corcoran

I A Ormrod

R Hayward

SECRETARY:

S Hayward

REGISTERED OFFICE:

Beacon Court

Norman Way

Severn Bridge Industrial Estate

Portskewett

Monmouthshire

NP26 5PT

REGISTERED NUMBER:

03031145 (England and Wales)

AUDITORS:

.

Accountants and Statutory Auditor

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

REVIEW OF BUSINESS AND FUTURE DEVELOPMENTS

The results for the year and financial position of the company are shown in the annexed financial statements.

The directors aim to present a balanced review of the development and performance of the business during the year and its position at the year end consistent with its size and non-complex nature.

Summary

The year ending March 2025 marked a pivotal year for Chepstow Plant International. Losses before tax reduced by over £3m to £537,034 and gearing improved by 15% alongside fleet utilisation exceeding 90%. These results were achieved while investing £24m in new, sustainable fleet assets, underscoring Chepstow Plant International's resilience and commitment to long-term profitability.

Principal activities

The principal activities of Chepstow Plant International continue to be the hire of plant and machinery to construction-based markets, notably for earth moving projects and supporting the extraction and transport of minerals and aggregates.

In addition, the company leverages its extensive expertise in the trading of new and used plant, providing complementary support to its operating business and strengthening customer relationships across the UK.

Performance

Chepstow Plant International is one of the leading providers of plant and equipment to the extraction of minerals and aggregates industries, including household names within its customer profile. It is focused on providing a safety first, quality offering that allows partners to meet their operational objectives by providing best in class equipment, coupled with extensive expertise in extracting and moving product. Operating all over the United Kingdom on both short- and long-term contracts, partners value the safe, efficient and progressive service that Chepstow Plant International offers

The actions undertaken during the current and previous financial periods continue to bear fruit and support the business on its path towards future profitability. For the year ending 31st March 2025 Chepstow Plant International saw a £3m improvement on prior year profitability and despite still closing the period in a loss-making position, is a welcome step. With losses before tax reducing from £3.58m (-9.6%) to £0.54m (-1.6%) at the balance sheet date, it is also a positive trend that continues into the following fiscal. Although turnover has decreased over the preceding period, it has come at improved margins, especially when factoring in inflationary pressures.

As a heavily leveraged business, utilising hire purchase finance as a core part of its operating model the business is focused on monitoring its gearing levels. For the year ending 31st of March 2025, Chepstow Plant International has reduced its gearing by approximately 15% which management aims to reduce further in the coming year. Notably this was achieved against a backdrop of investing over £24m in new fleet assets over the preceding 12 months of the balance sheet date. The company therefore continues to maintain a new, environmentally focused, sustainable fleet equipped with the latest technologies. This direction of travel has continued with further reductions in gearing seen in the period following the balance sheet date.

This improvement has been achieved through considered asset-based restructuring, supported by fleet optimisation and improved efficiencies in its operating model. The business has adjusted its focus to enable it to respond quickly and proportionately to the market dynamics as they have evolved over the past twelve months. These activities, alongside sound strategic leadership are positioning the business to be a sustainable, profitable business as it enters its 31st year of operation - a testament to its longevity, resilience and ability to evolve with the market.

Although the outlook for economic growth, especially in some traditional industries remains far from certain, the activities undertaken by Chepstow Plant International are ensuring it is well placed to capitalise on future opportunities whilst allowing it to diversify into complementary markets in the plant hire industry.

With an asset base commensurate with market demands, with fleet utilisation exceeding 90% during the year, with the aim to increase this further, and the ability to flex the business model in line with customer requirements, Chepstow Plant International is positioning itself as a sustainable, forward-thinking going concern for the years to come.

Future developments and outlook

As Chepstow Plant International looks forward, the business is well positioned in that it has the structures and relationships in place to maintain its trajectory towards a sustainable and profitable operating business. Although the landscape, both now and in the future is expected to remaining challenging the significant reduction in losses during FY2025, combined with improved gearing and continued investment in a modern, environmentally focused fleet, provides confidence that the business is well positioned for sustainable growth.

It continues to challenge the industry norms, such as trialling a UK first in autonomous trucks and promotes a progressive attitude to health and safety. This is evidenced by the development in recent years of its ground level AdBlue refuelling system, a collaboration with both national and international partners.

Significant UK infrastructure projects provide further optimism in the downstream market, with projects such as Sizewell C and the Lower Thames Crossing on the horizon, alongside the long stated aim of successive UK Governments to support the house building industry the demands of the minerals and aggregates markets should improve with the associated knock-on for valued supply chain partners such as Chepstow Plant International.

With a flexible business model, strong customer relationships, and a fleet aligned to market requirements, Chepstow Plant International is well placed to support its existing commitments, and to capitalise on emerging opportunities. Management remains cautiously confident that the actions taken over the past 12 months have laid a solid foundation for profitability and long?term success.

PRINCIPAL RISKS AND UNCERTAINTIES

The business and economic environment continues to be challenging and for construction-affiliated sectors. Margins continue to be challenged as all businesses focus on minimising their cost footprint and Chepstow Plant International is subjected to these pressures much like other operators. absorbing costs where possible and passing on only those that are unavoidable.

There are specific risks that Chepstow Plant International is presented with and these are detailed below:

Financial Risk

As noted earlier, the Chepstow Plant International is heavily leveraged and utilizes several banking instruments to support its business activities. Therefore, any change in the Bank of England base rate can have a material impact on the interest payment liabilities where those instruments are not on fixed terms.

Chepstow Plant International therefore has a mixture of both fixed and variable agreements to mitigate this exposure and will actively restructure agreements as the business need arises. There is headroom in the current credit lines, allowing the business to flex with the market as required.

Liquidity Risk

The cost of the equipment that Chepstow Plant International maintains in its fleet has seen significant inflation over recent years. As a significant cash outlay to the business this can materially impact liquidity when combined with the financial risks noted above. To mitigate this, the business takes a cash first approach, supported by detailed cash management practices and strong relationships with its institutional banking partners to ensure that business liquidity remains positive and supports the achievement business objectives.

Credit Risk

As an SME, Chepstow Plant International does have exposure to credit default that can materially impact performance and cash recovery. Longer payments terms are standard, especially for its long-standing, blue-chip customers.

For short term hires, Chepstow Plant International utilises credit checking software and references to assess creditworthiness. Where risk is deemed unfavourable proforma payments and guarantees are required.

ON BEHALF OF THE BOARD:

E A Hayward - Director

23 December 2025

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

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2025.

DIRECTORS

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

E A Hayward

S Hayward

T J Corcoran

I A Ormrod

Other changes in directors holding office are as follows:

E A Hayward - resigned 14 March 2025

R Hayward - appointed 19 June 2024

DISCLOSURE IN THE STRATEGIC REPORT

The company has chosen in accordance with Sec 414C(11) Companies Act 2006 to set out its strategic report information required by Schedule 7 of the Large and Medium Sized Companies and Groups (Accounts and Reports) Regulations 2008. It has done so in respect of future developments and financial risk.

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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, ., will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

E A Hayward - Director

23 December 2025

Opinion

We have audited the financial statements of Chepstow Plant International Limited (the 'company') for the year ended 31 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 31 March 2025 and of its loss 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 six, 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:

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

Based on our understanding of both the company and industry, we identified the principal risks of non-compliance with laws and regulations, including those related to UK tax legislation, and considered the extent to which any non-compliance might have on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and ensured that all those involved in the audit undergo regular update training, including on how to identify or recognise fraud and non-compliane with laws and regulations.

We evaluated management's incentives and opportunities for manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting inaccurate journals and management bias in accounting estimates. We addressed these risks by carrying out specifically targeted procedures, which included:

- discussions with management, including consideration of any known or suspected instances of non-compliance with laws and regulations and/or fraud;

- reading minutes of meetings of those charged with governance;

- the appropriateness of journal entries and other adjustments;

- challenging management in relation to significant accounting estimates;

- evaluating the reasons for any large or unusual transactions;

- reviewing disclosures in the financial statements to underlying supporting documentation

As outlined above, reasonable assurance is a high level of assurance, but is not a guarantee that a material misstatement may always be detected.

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

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

. (Senior Statutory Auditor)

for and on behalf of .

Accountants and Statutory Auditor

23 December 2025

TURNOVER

3

34,120,601

37,342,390

Cost of sales

17,868,702

21,531,762

GROSS PROFIT

16,251,899

15,810,628

Depreciation

8,866,929

9,870,868

Administrative expenses

4,159,589

4,227,368

13,026,518

14,098,236

3,225,381

1,712,392

Profit/(loss) on disposal of

fixed assets

320,069

(694,211

)

OPERATING PROFIT

6

3,545,450

1,018,181

Interest payable and similar expenses

7

4,082,484

4,599,404

LOSS BEFORE TAXATION

(537,034

)

(3,581,223

)

Tax on loss

8

(77,947

)

(660,472

)

LOSS FOR THE FINANCIAL YEAR

(459,087

)

(2,920,751

)

LOSS FOR THE YEAR

(459,087

)

(2,920,751

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(459,087

)

(2,920,751

)

FIXED ASSETS

Tangible assets

9

67,837,095

77,934,201

CURRENT ASSETS

Stocks

10

64,008

310,200

Debtors

11

9,545,257

9,893,354

Cash at bank

1,341,574

1,126,065

10,950,839

11,329,619

CREDITORS

Amounts falling due within one year

12

26,504,023

30,784,125

NET CURRENT LIABILITIES

(15,553,184

)

(19,454,506

)

TOTAL ASSETS LESS CURRENT LIABILITIES

52,283,911

58,479,695

CREDITORS

Amounts falling due after more than one year

13

(30,118,489

)

(35,777,239

)

PROVISIONS FOR LIABILITIES

17

(4,046,850

)

(4,124,797

)

NET ASSETS

18,118,572

18,577,659

CAPITAL AND RESERVES

Called up share capital

18

3,215,000

3,215,000

Retained earnings

19

14,903,572

15,362,659

SHAREHOLDERS' FUNDS

18,118,572

18,577,659

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

E A Hayward - Director

T J Corcoran - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2023

3,215,000

18,283,410

21,498,410

Changes in equity

Total comprehensive income

-

(2,920,751

)

(2,920,751

)

Balance at 31 March 2024

3,215,000

15,362,659

18,577,659

Changes in equity

Total comprehensive income

-

(459,087

)

(459,087

)

Balance at 31 March 2025

3,215,000

14,903,572

18,118,572

Cash flows from operating activities

Cash generated from operations

1

14,598,307

16,899,105

Interest paid

(22,618

)

(53,363

)

Interest element of hire purchase payments paid

(4,059,866

)

(4,546,041

)

Net cash from operating activities

10,515,823

12,299,701

Cash flows from investing activities

Purchase of tangible fixed assets

(25,341,492

)

(42,103,708

)

Sale of tangible fixed assets

25,694,612

33,781,219

Net cash from investing activities

353,120

(8,322,489

)

Cash flows from financing activities

Loan repayments in year

(312,500

)

(312,500

)

Net capital advances in year

(10,432,745

)

(3,666,172

)

Net cash from financing activities

(10,745,245

)

(3,978,672

)

Increase/(decrease) in cash and cash equivalents

123,698

(1,460

)

Cash and cash equivalents at beginning of year

2

(5,228,875

)

(5,227,415

)

Cash and cash equivalents at end of year

2

(5,105,177

)

(5,228,875

)

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

31.3.25

31.3.24

£

£

Loss before taxation

(537,034

)

(3,581,223

)

Depreciation charges

8,866,929

9,870,868

Loss on disposal of fixed assets

877,057

738,172

Net hire purchase advances in year

-

1,833,086

Finance costs

4,082,484

4,599,404

13,289,436

13,460,307

Decrease/(increase) in stocks

246,192

(310,200

)

Decrease in trade and other debtors

348,097

3,962,663

Increase/(decrease) in trade and other creditors

714,582

(213,665

)

Cash generated from operations

14,598,307

16,899,105

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 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

1,341,574

1,126,065

Bank overdrafts

(6,446,751

)

(6,354,940

)

(5,105,177

)

(5,228,875

)

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

1,126,065

66,029

Bank overdrafts

(6,354,940

)

(5,293,444

)

(5,228,875

)

(5,227,415

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank

1,126,065

215,509

1,341,574

Bank overdrafts

(6,354,940

)

(91,811

)

(6,446,751

)

(5,228,875

)

123,698

(5,105,177

)

Debt

Finance leases

(56,078,938

)

10,432,745

(45,646,193

)

Debts falling due within 1 year

(312,500

)

234,375

(78,125

)

Debts falling due after 1 year

(78,125

)

78,125

-

(56,469,563

)

10,745,245

(45,724,318

)

Total

(61,698,438

)

10,868,943

(50,829,495

)

1.	STATUTORY INFORMATION

Chepstow Plant International Limited is a private company, limited by shares, incorporated in the United Kingdom. The registered office is Beacon Court, Norman Way, Severn Bridge Industrial Estate, Portskewett, Monmouthshire.

The nature of the company's operations and principal activities are the sale and hire of plant to the construction industry.

These financial statements are presented in Sterling (£), the company's functional currency, rounded to the nearest pound.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Turnover

Turnover represents revenue recognised by the company in respect of sales of goods and supplies of services, excluding value added tax. Sales are recognised at the point at which the company has fulfilled its contractual obligations and the risks and rewards attaching to the goods and services have been transferred to the customer.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

10% on cost

Plant and machinery

-

50% on cost, 33% on cost, 20% on cost, 15% on cost and 10% on cost

Motor vehicles

-

33% on cost and 15% on cost

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.

Stocks

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

Cost includes actual cost of purchase and other costs incurred in bringing stock to its present condition.

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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

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.

Significant judgements and estimates

The preparation of the financial statements requires management to make estimates and assumptions concerning the future. The resulting estimates will, by definition, be likely to differ from the related actual results. The estimates and assumption that have a significant risk of causing material adjustments to the carrying amounts of assets and liabilities within the next financial year are addressed below.

Depreciation

The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets.

The useful economic lives and residual values of the tangible fixed assets are regularly re-assessed and amended, as necessary, to reflect current estimates based on their future economic utilisation and physical condition.

Impairment of debtors

The company makes an estimate of the recoverable value of trade and other debtors.

When assessing impairment of trade and other debtors management considers factors including the credit rating of the debtor, the ageing profile of debtors and historical experience.

Recognition of income

Turnover representing the fair value of services provided and work done on contracts during the year is recognised as the contract progresses and the right to consideration is earned as determined by the company.

Non-derivative financial instruments

Non-derivative financial instruments comprise trade and other debtors, cash and cash equivalents, trade and other creditors and interest free loans.

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

Cash and cash equivalents comprise cash at bank and in hand. For the purpose of the cash flow statement cash and cash equivalents are net of bank overdrafts and advances which are repayable on demand.

Loans and borrowings and concessionary loans are initially recognised at transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method less impairment. If an arrangement constitutes a finance transaction it is measured at present value. Loans and borrowings receivable within one year are not discounted.

3.

TURNOVER

The turnover and loss before taxation are attributable to the principal activities of the company.

An analysis of turnover by class of business is given below:

31.3.25

31.3.24

£

£

Contracts

16,463,002

18,089,844

Non operated plant hire

8,865,727

10,047,240

Operated plant hire

7,282,883

7,946,438

Other plant hire income

1,508,989

1,258,868

34,120,601

37,342,390

4.	EMPLOYEES AND DIRECTORS

31.3.25

31.3.24

£

£

Wages and salaries

6,618,470

7,619,689

Social security costs

767,685

842,588

Other pension costs

101,875

116,416

7,488,030

8,578,693

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

31.3.25

31.3.24

Directors

5

4

Administration

18

19

Workshop site and operators

111

118

134

141

5.	DIRECTORS' EMOLUMENTS

31.3.25

31.3.24

£

£

Directors' remuneration

823,512

799,232

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

Money purchase schemes

1

1

Information regarding the highest paid director is as follows:

31.3.25

31.3.24

£

£

Emoluments etc

262,000

262,641

The remuneration of key management personnel is the same as that for the directors.

6.	OPERATING PROFIT

The operating profit is stated after charging:

31.3.25

31.3.24

£

£

Hire of plant and machinery

996,368

1,243,741

Depreciation - owned assets

8,866,929

9,870,868

Loss on disposal of fixed assets

877,057

738,172

Auditors' remuneration

24,000

23,000

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.3.25

31.3.24

£

£

Bank interest

130

7,542

Bank loan interest

22,488

45,821

Hire purchase

4,059,866

4,546,041

4,082,484

4,599,404