REGISTERED NUMBER: 02142541 (England and Wales)

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 OCTOBER 2025

FOR

E.D.S. ENGINEERING LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

Mr G W Harvey

Mr N F Smith

REGISTERED OFFICE:

Laurence Walter House

32 Addison Road

Sudbury

Suffolk

CO10 2YW

REGISTERED NUMBER:

02142541 (England and Wales)

SENIOR STATUTORY AUDITOR:

Mr Adam Moody FCCA

AUDITORS:

Xeinadin Audit Limited

Statutory Auditor

Maple House, Level 5A

149 Tottenham Court Road

London

W1T 7NF

FIXED ASSETS

Intangible assets

4

248,944

194,165

Tangible assets

5

426,698

287,796

675,642

481,961

CURRENT ASSETS

Stocks

846,957

885,822

Debtors

6

1,897,795

1,746,479

Cash at bank

477,470

308,112

3,222,222

2,940,413

CREDITORS

Amounts falling due within one year

7

2,267,747

2,248,721

NET CURRENT ASSETS

954,475

691,692

TOTAL ASSETS LESS CURRENT LIABILITIES

1,630,117

1,173,653

CREDITORS

Amounts falling due after more than one year

8

(177,335

)

-

PROVISIONS FOR LIABILITIES

11

(63,455

)

(19,987

)

NET ASSETS

1,389,327

1,153,666

CAPITAL AND RESERVES

Called up share capital

10,000

10,000

Retained earnings

1,379,327

1,143,666

1,389,327

1,153,666

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 17 July 2026 and were signed on its behalf by:

Mr G W Harvey - Director

1.	STATUTORY INFORMATION

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

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

2.	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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover represents the invoiced value of goods and services supplied to external customers, excluding value added tax. Turnover is recognised and a debtor recorded as accrued income once all obligations under the sales order have been performed subject to adjustments for work in progress at the year end.

Turnover is recognised when goods and services are delivered and legal title is passed to customers.

Intangible assets

Development expenditure that relates to clearly defined projects where the costs can be separately identified are capitalised in the balance sheet. These costs are amortised, once the associated products are in commercial production or have been brought into use, over their estimated useful lives, usually 7 years.

Research and development expenditure not linked to a clearly defined project is written off to the profit and loss account in the year incurred.

Tangible fixed assets

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

Short leasehold

-

Straight line over 10 years

Land and buildings

-

10% on cost

Plant and machinery

-

10% - 20% on straight line basis

Fixtures and fittings

-

20% - 33% on cost

Motor vehicles

-

33% on cost

Computer equipment

-

33% on cost

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. The company assesses at each reporting date whether tangible fixed assets are fully impaired.

Depreciation methods, useful lives and residual values are reviewed if there is an indication of a significant change since last annual reporting date in the pattern by which the company expects to consume an asset's future economic benefits.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Financial instruments

Basic financial assets, including trade and other receivables and cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

Basic financial liabilities, including trade and other payables, bank loans and loans from fellow Group companies, are initially recognised at transaction price.

Debt instruments are recognised at initial transaction price.

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

Assets that are held by company under leases which transfer to the company substantially all the risks and rewards of ownership are classified as being held under finance leases. Leases which do not transfer substantially all the risks and rewards of ownership to the company are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the company at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. 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 expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately in profit or loss, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the company's policy on borrowing costs (see the accounting policy above). Contingent rentals are recognised as expenses in the periods in which they are incurred.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed. Contingent rentals arising under operating leases are recognised as an expense in the period in which they are incurred.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straighto line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 31 (2024 - 35 ) .

4.	INTANGIBLE FIXED ASSETS

Development

costs

£

COST

At 1 November 2024

194,165

Additions

54,779

At 31 October 2025

248,944

NET BOOK VALUE

At 31 October 2025

248,944

At 31 October 2024

194,165

Amortisation will only begin once commercial production has started or when the developed product comes into use.

5.	TANGIBLE FIXED ASSETS

Short

Land and

Plant and

leasehold

buildings

machinery

£

£

£

COST

At 1 November 2024

363,472

1,051

2,269,431

Additions

-

-

259,530

Disposals

-

-

(149,031

)

At 31 October 2025

363,472

1,051

2,379,930

DEPRECIATION

At 1 November 2024

180,330

1,051

2,166,185

Charge for year

36,104

-

84,124

Eliminated on disposal

-

-

(149,031

)

At 31 October 2025

216,434

1,051

2,101,278

NET BOOK VALUE

At 31 October 2025

147,038

-

278,652

At 31 October 2024

183,142

-

103,246

Fixtures

and

Motor

Computer

fittings

vehicles

equipment

Totals

£

£

£

£

COST

At 1 November 2024

43,244

12,151

126,850

2,816,199

Additions

-

-

-

259,530

Disposals

-

-

-

(149,031

)

At 31 October 2025

43,244

12,151

126,850

2,926,698

DEPRECIATION

At 1 November 2024

41,836

12,151

126,850

2,528,403

Charge for year

400

-

-

120,628

Eliminated on disposal

-

-

-

(149,031

)

At 31 October 2025

42,236

12,151

126,850

2,500,000

NET BOOK VALUE

At 31 October 2025

1,008

-

-

426,698

At 31 October 2024

1,408

-

-

287,796

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

£

COST

At 1 November 2024

and 31 October 2025

892,077

DEPRECIATION

At 1 November 2024

and 31 October 2025

892,077

NET BOOK VALUE

At 31 October 2025

-

At 31 October 2024

-

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

766,951

570,556

Amounts owed by group undertakings

1,009,664

1,024,185

Other debtors

121,180

151,738

1,897,795

1,746,479

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Hire purchase contracts (see note 9)

49,489

29,007

Trade creditors

199,849

244,211

Amounts owed to group undertakings

1,197,192

1,374,555

Taxation and social security

337,096

202,857

Other creditors

484,121

398,091

2,267,747

2,248,721

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2025

2024

£

£

Hire purchase contracts (see note 9)

177,335

-

9.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase

contracts

2025

2024

£

£

Net obligations repayable:

Within one year

49,489

29,007

Between one and five years

177,335

-

226,824

29,007

Non-cancellable

operating leases

2025

2024

£

£

Within one year

-

214,000

Between one and five years

-

856,000

-

1,070,000

10.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2024

£

£

Hire purchase contracts

226,824

29,007

Hire purchase contracts are secured over the assets to which they relate.

11.	PROVISIONS FOR LIABILITIES

2025

2024

£

£

Deferred tax

63,455

19,987

Deferred

tax

£

Balance at 1 November 2024

19,987

Provided during year

43,468

Balance at 31 October 2025

63,455

The deferred tax provision relates to accelerated capital allowances.

12.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Mr Adam Moody FCCA (Senior Statutory Auditor)

for and on behalf of Xeinadin Audit Limited

13.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 Section 1A 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

During the year the company supplied and received services to companies within a group that Mr G W Harvey and Mr N F Smith have an interest in and are also directors of. The amounts involved are:

- Services supplied £356,511 (2024: £496,494)

- Services received £247,138 (2024: £269,342)

- At the year end £143,192 (2024: £92,444) was owed from these related parties

- At the year end £2,512 (2024: £10,336) was owed to these related parties

- At the year end a loan balance of £nil (2024: 282,547) was also due to these related parties.

14.	FRC ETHICAL STANDARD - PROVISIONS AVAILABLE FOR SMALL ENTITIES

In common with many other businesses of our size and nature we use our auditors to prepare and submit returns to the tax authorities and assist with the preparation of the financial statements.

15.	ULTIMATE CONTROLLING PARTY

On 31 May 2023, the HBS Group Trustees Ltd (an Employee Ownership Trust) acquired 80% of the share capital of the company's parent company. The Trustees of the Employee Ownership Trust are Mr D J Horbury, Mr K J Vincent and Mr G W Harvey.