Registration number: 06376890

M J Davidson Groundworks Ltd

Contents

Company Information	1
Statement of Financial Position	2
Notes to the Unaudited Financial Statements	3 to 11

M J Davidson Groundworks Ltd

Company Information

Directors

Mrs SJ Davidson Mr MJ Davidson

Registered office

82 Liverpool Old Road Much Hoole Preston Lancashire PR4 4QA

Accountants

McDade Roberts Accountants Ltd Chartered Accountants316 Blackpool Road Preston Lancashire PR2 3AE

M J Davidson Groundworks Ltd

(Registration number: 06376890)
Statement of Financial Position as at 31 January 2026

	Note	2026 £	2025 £
Fixed assets
Tangible assets	4	2,657,636	2,450,645
Current assets
Stocks	5	361,862	115,840
Debtors	6	1,099,288	775,886
Cash at bank and in hand		594,501	404,358
		2,055,651	1,296,084
Creditors: Amounts falling due within one year	7	(1,370,085)	(1,074,712)
Net current assets		685,566	221,372
Total assets less current liabilities		3,343,202	2,672,017
Creditors: Amounts falling due after more than one year	7	(880,236)	(822,985)
Provisions for liabilities		(651,631)	(339,136)
Net assets		1,811,335	1,509,896
Capital and reserves
Called up share capital		120	120
Retained earnings		1,811,215	1,509,776
Shareholders' funds		1,811,335	1,509,896

For the financial year ending 31 January 2026 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Income Statement.

Approved and authorised by the Board on 12 June 2026 and signed on its behalf by:
 

......................................... Mr MJ Davidson Director

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026

1	General information

The company is a private company limited by share capital, incorporated in England & Wales.

The address of its registered office is:
82 Liverpool Old Road
Much Hoole
Preston
Lancashire
PR4 4QA

These financial statements were authorised for issue by the Board on 12 June 2026.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

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

Revenue recognition

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

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Tax

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

The current 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 company operates and generates taxable income.

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

2	Accounting policies (continued)

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

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

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

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

Depreciation

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

Asset class	Depreciation method and rate
Plant & Machinery	15% Reducing Balance
Fixtures & Fittings	25% Reducing Balance
Motor Vehicles	25% Reducing Balance
Office Equipment	25% Straight Line

Cash and cash equivalents

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

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 using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

2	Accounting policies (continued)

Stocks

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

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

Trade creditors

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

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

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

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

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

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

2	Accounting policies (continued)

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.

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

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

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

Share capital

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

Dividends

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

Defined contribution pension obligation

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

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

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 21 (2025 - 21).

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

4	Tangible assets

	Fixtures and fittings £	Plant and machinery £	Office equipment £	Motor vehicles  £
Cost or valuation
At 1 February 2025	12,290	3,240,202	17,008	480,550
Additions	4,100	703,689	6,054	21,600
Disposals	-	(98,925)	-	(20,000)
At 31 January 2026	16,390	3,844,966	23,062	482,150
Depreciation
At 1 February 2025	4,169	1,017,212	15,615	262,409
Charge for the year	2,344	379,506	2,437	56,292
Eliminated on disposal	-	(11,826)	-	(19,226)
At 31 January 2026	6,513	1,384,892	18,052	299,475
Carrying amount
At 31 January 2026	9,877	2,460,074	5,010	182,675
At 31 January 2025	8,121	2,222,990	1,393	218,141

	Total £
Cost or valuation
At 1 February 2025	3,750,050
Additions	735,443
Disposals	(118,925)
At 31 January 2026	4,366,568
Depreciation
At 1 February 2025	1,299,405
Charge for the year	440,579
Eliminated on disposal	(31,052)
At 31 January 2026	1,708,932
Carrying amount
At 31 January 2026	2,657,636
At 31 January 2025	2,450,645

The net book value of assets held under hire purchase agreements is £1,868,880 (2025 £1,771,662)

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

5

Stocks

	2026 £	2025 £
Work in progress	358,862	112,840
Other inventories	3,000	3,000
	361,862	115,840

6

Debtors

Current	2026 £	2025 £
Trade debtors	1,063,869	762,477
Prepayments	35,419	578
Other debtors	-	12,831
	1,099,288	775,886

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

7

Creditors

Creditors: amounts falling due within one year

	Note	2026 £	2025 £
Due within one year
Loans and borrowings	8	407,512	424,550
Trade creditors		744,030	553,459
Taxation and social security		145,474	29,793
Accruals and deferred income		3,450	3,870
Other creditors		69,619	63,040
		1,370,085	1,074,712

Creditors: amounts falling due after more than one year

	Note	2026 £	2025 £
Due after one year
Loans and borrowings	8	880,236	822,985

8	Loans and borrowings

Non-current loans and borrowings

	2026 £	2025 £
Bank borrowings	-	4,724
Hire purchase contracts	880,236	818,261
	880,236	822,985

Current loans and borrowings

	2026 £	2025 £
Bank borrowings	4,394	10,049
Hire purchase contracts	403,118	414,501
	407,512	424,550

The UK Government have provided a 100% guarantee on the Bounce Back Loan Scheme (BBLS), borrowings obtained from Royal Bank of Scotland.

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

9	Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

	2026 £	2025 £
Not later than one year	40,396	37,350
Later than one year and not later than five years	31,500	19,890
	71,896	57,240

The amount of non-cancellable operating lease payments recognised as an expense during the year was £38,863 (2025 - £33,127).

10	Related party transactions

M J Davidson Groundworks Ltd

Notes to the Unaudited Financial Statements for the Year Ended 31 January 2026 (continued)

10	Related party transactions (continued)

Directors' remuneration

The directors' remuneration for the year was as follows:

	2026 £	2025 £
Remuneration	25,140	25,140