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Registration number: 07655104

DBS Group Holdings Limited

Annual Report and Consolidated Financial Statements

for the Year Ended 31 July 2025

 

DBS Group Holdings Limited

Contents

Company Information

1

Strategic Report

2 to 4

Directors' Report

5 to 6

Independent Auditor's Report

7 to 10

Consolidated Profit and Loss Account and Statement of Retained Earnings

11

Consolidated Balance Sheet

12

Balance Sheet

13

Consolidated Statement of Cash Flows

14

Notes to the Financial Statements

15 to 32

 

DBS Group Holdings Limited

Company Information

Directors

Mr D R Blakey

Mr S P Byrne

Mr K B Sheppard

Registered office

8 Colne Way Court
Colne Way
Watford
Hertfordshire
WD24 7NE

Auditors

Xeinadin Audit Limited
Chartered Accountants
Statutory AuditorsLeavesden Park
5 Hercules Way
Watford
Hertfordshire
WD25 7GS

 

DBS Group Holdings Limited

Strategic Report for the Year Ended 31 July 2025

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

Principal activity

The principal activity of the group is that of air-conditioning, heating, and plumbing system installation, maintenance and servicing.

Business model and overview
Our strategy for the year 2025 was one of strategy change and continued recovery and copies the change in focus in 2024.

The group operates as an Installation and HVAC Service provider. Our business model focuses on delivering Planned Maintenance and reactive service remedials and Installation Projects up to £500,000. Supported by a Sales department focused on new PPM and client retention. Key resources include a Technical skilled workforce a solid administration team with software platforms and long-standing relationships with blue hip FM clients across the UK.

We had diversified into construction projects which moved focus from where our business should be; however, we have retained a good team and structure. This was compounded by large clients going into administration in prior years this follows on from the 2024 report.

2025 saw a massive financial turnaround for DBSME from the negative previous years, the strategy for core work projects only is proving the most productive. DBS and DBSME continued to support the group and debt throughout 2025. Following the strategy changes and reduction in staff mainly in the DBSE part of the group.

Our strategy was to concentrate on Core Project Installations with independent Project Managers. The recovery over this year was steady although we had also a construction element that was not successful.

DBS and DBSM&E continued cross company support was essential during this financial year. We knew we would have to be reactive, and all parts of the group would be a part of the required strategy and company investment for the future. This would be achieved and driven by disciplined cost control and working to strategy.

We work in an extremely competitive market that is growing all the time. A PESTLE analysis highlights extreme regulatory pressure, ongoing costs and inflation and fast Technological changes. As key drivers shaping our strategic choices.

Executive summary
This strategic report sets out the company’s current position, key market developments, and the strategic priorities for the next three years. Over the past year, revenue reduced but Nett profit increased due to the change in strategic plans with stable operating margins, driven by strong performance and disciplined cost control. The report concludes that the business is well-positioned for continued growth, provided we continue to control and manage business growth, invest in technology, expand in our two priority markets, and strengthen our operational efficiency.

Market context and external environment
The primary markets are London and the Southeast, with demand influenced by regulatory changes, economic conditions. Competitive intensity remains high, with new entrants offering low-cost solutions and established players consolidating to achieve scale. A PESTLE analysis highlights regulatory pressure, ongoing inflation, and rapid technological change as key external drivers shaping our strategic choices.

The cost implications for having to on board many different regulatory and compliance accreditations has been a limiting factor and costly.
 

 

DBS Group Holdings Limited

Strategic Report for the Year Ended 31 July 2025

Strategy and strategic priorities
Our long-term vision is to become the preferred HVAC service partner in our chosen Service disciplines. To deliver this, the Board has identified five strategic priorities.

Grow market share in two core sectors (Service and Installation).
Focus on Core Projects with PM management.
Invest in Sales Team/structure.
Enhance customer experience and retention.
Improve operational efficiency and margin.
Strengthen people capability and culture.

Each priority is underpinned by specific, time-bound objectives and key performance indicators to enable robust tracking of progress.
 

Key performance indicators (KPIs)
The company uses a balanced set of financial and non-financial KPIs to monitor strategy execution. Core KPIs include revenue growth, EBITDA margin, customer retention rate, employee engagement, and health and safety metrics. Performance against these indicators is reviewed quarterly by the Board, with variances analysed and corrective actions agreed.

Operational review
During the year, DBSME delivered substantial growth, supported by new contract wins and improved utilisation of project teams with 2 extra PM employed. Some parts of the business experienced slower growth due to the strategic sales plan change which we quickly understood was not working and became unproductive, due to Sales staff becoming nonproductive for personal reasons and Sales staff not being retained. and delays in customer decision-making, but the pipeline remains robust. Operational initiatives, such as process standardisation and automation of administration activities, delivered cost savings and improved service quality.

Principal risks and uncertainties
The Board maintains a formal risk register and reviews principal risks at least twice a year. Current principal risks include cyber security threats, key client concentration, regulatory change, talent attraction and retention. Each risk has an identified owner, mitigation plan, and associated early-warning indicators, which are reported through the company’s governance framework.

Environmental, social and governance (ESG)
The company is committed to responsible and sustainable business practices, aligned with stakeholder expectations and emerging regulatory requirements. Environmental initiatives include energy efficiency measures, reduced business travel, and targeted carbon-reduction projects, while social initiatives focus on employee wellbeing, diversity and inclusion, and community engagement. Governance practices are aligned with a strong emphasis on Board effectiveness, internal control, and transparent reporting. These practices are policed and audited by 3rd parties i.e. ISO.

Plus Apprenticeship schemes and work experience and Charitable Projects.
 

Financial review and outlook
The financial review summarises revenue, profitability, cash flow and capital structure, explaining key movements compared with the prior year. It highlights the need for strong cash generation, disciplined capital allocation, and sufficient headroom within committed banking facilities to fund the strategic agenda. Looking ahead, the outlook section outlines expected market trends, planned investments, and the Board’s assessment of the company’s prospects, including any material uncertainties that may affect future performance.

We believe that we have navigated through a recovery period post Covid and have a positive future/outlook.
 

The company's key financial and other performance indicators during the year were as follows:

 

DBS Group Holdings Limited

Strategic Report for the Year Ended 31 July 2025

Financial KPIs

Unit

2025

2024

Turnover

£

11,427,463

12,324,911

Turnover (decline) / growth

%

(7.3)

7.5

Gross profit

£

3,040,691

2,616,771

EBITDA

£

580,189

(1,704,416)

EBITDA margin

%

5.1

(13.8)

Conclusion and approval
The strategic report concludes by reaffirming the company’s strategic direction, the progress made, and the key focus areas for the next planning period. It is approved by the Board and signed on its behalf by an authorised director, confirming responsibility for the narrative and the fair review of the business.
 

Approved and authorised by the Board on 30 July 2026 and signed on its behalf by:
 

.........................................
Mr S P Byrne
Director

 

DBS Group Holdings Limited

Directors' Report for the Year Ended 31 July 2025

The directors present their report and the for the year ended 31 July 2025.

Change of company name

The company changed its name from DBS Managed Services Limited to DBS Group Holdings Limited effective from 26 May 2026.

Directors of the group

The directors who held office during the year were as follows:

Mr D R Blakey

Mr S P Byrne

Mr K B Sheppard

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 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 apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

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.

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 company'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.

 

DBS Group Holdings Limited

Directors' Report for the Year Ended 31 July 2025

Reappointment of auditors

The auditors Xeinadin Audit Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.

Approved and authorised by the Board on 30 July 2026 and signed on its behalf by:
 

.........................................
Mr S P Byrne
Director

 

DBS Group Holdings Limited

Independent Auditor's Report to the Members of DBS Group Holdings Limited

Opinion

We have audited the financial statements of DBS Group Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2025, which comprise the Consolidated Profit and Loss Account and Statement of Retained Earnings, Consolidated Balance Sheet, Balance Sheet, 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 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 July 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 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 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 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.

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.

 

DBS Group Holdings Limited

Independent Auditor's Report to the Members of DBS Group Holdings Limited

Opinion on other matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

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

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

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 by the parent company, or 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

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 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 group’s and the parent 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 group or the parent 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.

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

 

DBS Group Holdings Limited

Independent Auditor's Report to the Members of DBS Group Holdings Limited

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 other management, and from our commercial knowledge and experience of the sector;
• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

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

• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

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

• performed analytical procedures to identify any unusual or unexpected relationships;
• tested journal entries to identify unusual transactions;
• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
• investigated the rationale behind significant or unusual transactions.

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

• agreeing financial statement disclosures to underlying supporting documentation;
• reading the minutes of meetings of those charged with governance;
• enquiring of management as to actual and potential litigation and claims; and
• reviewing correspondence with HMRC, relevant regulators, and the company’s legal advisors.

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

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

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

 

DBS Group Holdings Limited

Independent Auditor's Report to the Members of DBS Group Holdings Limited

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.

......................................
Andrew Thomas (Senior Statutory Auditor)
For and on behalf of Xeinadin Audit Limited
Chartered Accountants
Statutory Auditors
Leavesden Park
5 Hercules Way
Watford
Hertfordshire
WD25 7GS

30 July 2026

 

DBS Group Holdings Limited

Consolidated Profit and Loss Account and Statement of Retained Earnings
for the Year Ended 31 July 2025

Note

2025
£

2024
£

Turnover

3

11,427,463

12,324,911

Cost of sales

 

(8,386,772)

(9,708,140)

Gross profit

 

3,040,691

2,616,771

Administrative expenses

 

(2,670,241)

(4,788,769)

Other operating income

4

68,279

350,167

Operating profit/(loss)

6

438,729

(1,821,831)

Other interest receivable and similar income

7

11,099

81,205

Interest payable and similar charges

8

(45,626)

(78,642)

 

(34,527)

2,563

Profit/(loss) before tax

 

404,202

(1,819,268)

Taxation

12

(122,183)

190,032

Profit/(loss) for the financial year

 

282,019

(1,629,236)

Profit/(loss) attributable to:

 

Owners of the company

 

282,019

(1,629,236)

Retained earnings brought forward

 

(98,034)

1,670,620

Dividends paid

 

(108,333)

(139,418)

Retained earnings carried forward

 

75,652

(98,034)

 

DBS Group Holdings Limited

(Registration number: 07655104)
Consolidated Balance Sheet as at 31 July 2025

Note

2025

2024

   

£

£

£

£

Fixed assets

   

 

Tangible assets

13

 

420,594

 

372,784

Current assets

   

 

Debtors

15

3,253,215

 

2,471,653

 

Cash at bank and in hand

16

77,898

 

481,384

 

 

3,331,113

 

2,953,037

 

Creditors: Amounts falling due within one year

17

(3,216,100)

 

(2,902,499)

 

Net current assets

   

115,013

 

50,538

Total assets less current liabilities

   

535,607

 

423,322

Creditors: Amounts falling due after more than one year

17

 

(381,291)

 

(460,027)

Provisions for liabilities

18

 

(18,777)

 

(1,442)

Net assets/(liabilities)

   

135,539

 

(38,147)

Capital and reserves

   

 

Called up share capital

20

1,100

 

1,100

 

Merger relief reserve

58,787

 

58,787

 

Retained earnings

75,652

 

(98,034)

 

Equity attributable to owners of the company

 

135,539

 

(38,147)

 

Shareholders' funds/(deficit)

   

135,539

 

(38,147)

Approved and authorised by the Board on 30 July 2026 and signed on its behalf by:
 

.........................................
Mr S P Byrne
Director

 

DBS Group Holdings Limited

(Registration number: 07655104)
Balance Sheet as at 31 July 2025

Note

2025

2024

   

£

£

£

£

Fixed assets

   

 

Investments

14

 

1,000

 

1,000

Current assets

   

 

Debtors

15

994,010

 

566,569

 

Cash at bank and in hand

16

18,631

 

46,818

 

 

1,012,641

 

613,387

 

Creditors: Amounts falling due within one year

17

(1,498,489)

 

(1,158,249)

 

Net current liabilities

   

(485,848)

 

(544,862)

Total assets less current liabilities

   

(484,848)

 

(543,862)

Creditors: Amounts falling due after more than one year

17

 

(132,691)

 

(75,958)

Net liabilities

   

(617,539)

 

(619,820)

Capital and reserves

   

 

Called up share capital

20

1,100

 

1,100

 

Retained earnings

(618,639)

 

(620,920)

 

Shareholders' deficit

   

(617,539)

 

(619,820)

The company made a profit after tax for the financial year of £110,615 (2024 - loss of £484,675).

Approved and authorised by the Board on 30 July 2026 and signed on its behalf by:
 

.........................................
Mr S P Byrne
Director

 

DBS Group Holdings Limited

Consolidated Statement of Cash Flows for the Year Ended 31 July 2025

Note

2025
£

2024
£

Cash flows from operating activities

Profit/(loss) for the year

 

282,019

(1,629,236)

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

6

141,460

117,415

Profit on disposal of tangible assets

5

-

(10,453)

Finance income

7

(11,099)

(81,205)

Finance costs

8

45,626

78,642

Corporation tax expense

12

122,183

(190,032)

 

580,189

(1,714,869)

Working capital adjustments

 

(Increase)/decrease in trade debtors

15

(806,759)

1,963,290

Increase/(decrease) in trade creditors

17

250,926

(267,427)

Cash generated from operations

 

24,356

(19,006)

Corporation tax paid

12

(124,052)

(2,838)

Net cash flow from operating activities

 

(99,696)

(21,844)

Cash flows from investing activities

 

Interest received

11,099

81,205

Acquisitions of tangible assets

(53,167)

(54,761)

Proceeds from sale of tangible assets

 

-

51,059

Net cash flows from investing activities

 

(42,068)

77,503

Cash flows from financing activities

 

Interest paid

8

(45,626)

(78,642)

Repayment of bank borrowing

 

(99,991)

(99,992)

Payments to finance lease creditors

 

(124,683)

(86,063)

Dividends paid

(108,333)

(139,418)

Net cash flows from financing activities

 

(378,633)

(404,115)

Net decrease in cash and cash equivalents

 

(520,397)

(348,456)

Cash and cash equivalents at 1 August

 

414,599

763,055

Cash and cash equivalents at 31 July

 

(105,798)

414,599

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

1

General information

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

The company was formerly known as DBS Managed Services Limited.

The address of its registered office is:
8 Colne Way Court
Colne Way
Watford
Hertfordshire
WD24 7NE

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 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 except that as disclosed in the accounting policies certain items are shown at fair value.

The presentational currency of these financial statements is £ Sterling, and the level of rounding is to the nearest £.

Summary of disclosure exemptions

The company has taken advantage of disclosure exemptions in FRS 102 1.12 relating to Section 7 Statement of Cash Flows, Section 33 Related Party Disclosures, and the exemption under FRS 102 Section 33 not to disclose transactions with group undertakings that are wholly owned by the group.

Basis of consolidation

The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 July 2025.

No Profit and Loss Account is presented for the company as permitted by section 408 of the Companies Act 2006. The company made a profit after tax for the financial year of £110,615 (2024 - loss of £484,675).

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 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 purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group, other than through group reconstructions. Under the purchase method, 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. 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.

For group reconstructions that meet the conditions in FRS 102 paragraph 19.27, where ultimate equity holders remain unchanged, relative rights are unaltered, and no non-controlling interest is changed, the Group applies merger accounting. Under the merger accounting method, the assets and liabilities of the combining entities are consolidated at their existing carrying values rather than fair values, no goodwill or incremental fair value adjustments are recognized, and the consolidated financial statements incorporate the combined results of the entities for the full reporting period, with comparative figures restated accordingly.

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.

Going concern

At the balance sheet date, although the group had a net asset position, the parent company had a net liability position of £617,539 following the write down of assets in the 2024 period. The group and parent company made a profit in the 2025 financial year, and unaudited management accounts to date for the 2026 period show the group and parent company continuing to be profitable, strengthening the reserves of the group and parent company. The directors have prepared cash flow forecasts for a period of at least 12 months from the date of approval of these financial statements which indicate that the group and parent company will have sufficient cash flows to meet liabilities as they fall due. The parent company forecasts account for the negative balance sheet, and are dependent on the continued financial support from subsidiary companies, which have provided written undertakings of financial support for a period of not less than 12 months from the approval date of these financial statements.

The directors therefore continue to adopt the going concern basis in preparing the financial statements.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

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 group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.

The group 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 group's activities.

For services performed, the group recognises revenue by reference to the stage of completion of works carried out.

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 group operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated 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 balance sheet 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

Leasehold improvements

10% Straight line

Fixtures and fittings

25% Straight line

Plant and machinery

25% Reducing balance

Motor vehicles

25% Reducing balance

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.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

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 group will not be able to collect all amounts due according to the original terms of the receivables.

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 group 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 profit and loss account 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 group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

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 or hire purchase contracts whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases and hire purchase contracts 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 included in tangible fixed assets and depreciated and assessed for impairment losses in the same way as owned assets. The corresponding liability to the lessor is included in the balance sheet as a finance lease or hire purchase contract obligation.

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

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

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 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.

Financial instruments

Classification
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments.
 Recognition and measurement
Basic financial instruments are recognised at amortised cost.
 

3

Turnover

The analysis of the group's Turnover for the year from continuing operations is as follows:

2025
£

2024
£

Sales of goods and services

11,427,463

12,324,911

4

Other operating income

The analysis of the group's other operating income for the year is as follows:

2025
£

2024
£

Other operating income

-

155,094

Management charges receivable

68,279

195,073

68,279

350,167

5

Other gains and losses

The analysis of the group's other gains and losses for the year is as follows:

2025
£

2024
£

Gain on disposal of tangible fixed assets

-

10,453

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

6

Operating profit/(loss)

Arrived at after charging/(crediting)

2025
£

2024
£

Depreciation expense

141,460

117,415

Profit on disposal of property, plant and equipment

-

(10,453)

7

Other interest receivable and similar income

2025
£

2024
£

Interest income on bank deposits

1,133

1,877

Other finance income

9,966

79,328

11,099

81,205

8

Interest payable and similar expenses

2025
£

2024
£

Interest on bank overdrafts and borrowings

30,784

75,317

Interest on obligations under finance leases and hire purchase contracts

4,890

2,003

Interest expense on other finance liabilities

9,952

1,322

45,626

78,642

9

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2025
£

2024
£

Wages and salaries

2,666,755

3,110,543

Social security costs

304,693

312,404

Pension costs, defined contribution scheme

86,190

118,614

Redundancy costs

27,741

-

3,085,379

3,541,561

The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:

2025
No.

2024
No.

Administration and support

27

28

Engineers

30

35

Directors and management

3

3

60

66

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

10

Directors' remuneration

The directors' remuneration for the year was as follows:

2025
£

2024
£

Remuneration

237,952

196,298

Contributions paid to money purchase schemes

29,386

48,035

267,338

244,333

During the year the number of directors who were receiving benefits and share incentives was as follows:

2025
No.

2024
No.

Accruing benefits under money purchase pension scheme

3

3

In respect of the highest paid director:

2025
£

2024
£

Remuneration

52,121

71,889

Company contributions to money purchase pension schemes

27,295

1,321

11

Auditors' remuneration

2025
£

2024
£

Audit of these financial statements

5,000

4,500


 

12

Taxation

Tax charged/(credited) in the consolidated profit and loss account

2025
£

2024
£

Current taxation

UK corporation tax

37,760

30,412

Deferred taxation

Arising from origination and reversal of timing differences

84,423

(220,444)

Tax expense/(receipt) in the income statement

122,183

(190,032)

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

The tax on profit before tax for the year is lower than the standard rate of corporation tax in the UK (2024 - higher than the standard rate of corporation tax in the UK) of 19% (2024 - 25%).

The differences are reconciled below:

2025
£

2024
£

Profit/(loss) before tax

404,202

(1,819,268)

Corporation tax at standard rate

76,798

(454,817)

Increase in UK and foreign current tax from adjustment for prior periods

5,254

2,546

Tax increase/(decrease) from effect of capital allowances and depreciation

4,141

(1,221)

Effect of revenues exempt from taxation

(29,468)

(3,603)

Effect of expense not deductible in determining taxable profit (tax loss)

42,209

373,365

Increase/(decrease) from tax losses for which no deferred tax asset was recognised

17,228

(106,302)

Deferred tax expense relating to changes in tax rates or laws

6,021

-

Total tax charge/(credit)

122,183

(190,032)

Deferred tax

Group

Deferred tax assets and liabilities

2025

Asset
£

Liability
£

Accelerated capital allowances

-

18,777

Unrelieved tax losses carried forward

138,149

-

138,149

18,777

2024

Asset
£

Liability
£

Accelerated capital allowances

-

1,442

Unrelieved tax losses carried forward

205,237

-

205,237

1,442

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

Company

Deferred tax assets and liabilities

2025

Asset
£

Unrelieved tax losses carried forward

1,199

1,199

2024

Asset
£

Unrelieved tax losses carried forward

9,867

9,867

13

Tangible assets

Group

Leasehold improvements
£

Fixtures and fittings
£

Plant and machinery
£

Motor vehicles
 £

Total
£

Cost or valuation

At 1 August 2024

33,468

97,120

27,099

600,946

758,633

Additions

-

-

-

189,270

189,270

At 31 July 2025

33,468

97,120

27,099

790,216

947,903

Depreciation

At 1 August 2024

23,429

95,147

24,830

242,443

385,849

Charge for the year

3,346

604

567

136,943

141,460

At 31 July 2025

26,775

95,751

25,397

379,386

527,309

Carrying amount

At 31 July 2025

6,693

1,369

1,702

410,830

420,594

At 31 July 2024

10,039

1,973

2,269

358,503

372,784

Assets held under finance leases and hire purchase contracts

The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:

2025
£

2024
£

Motor vehicles

340,344

317,689

   

Restriction on title and pledged as security

Tangible fixed assets with a carrying amount of £420,594 (2024 - £372,784) have been pledged as security for the group's bank borrowings, bank overdrafts, and hire purchase contract liabilities.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

14

Investments

Company

2025
£

2024
£

Investments in subsidiaries

1,000

1,000

Subsidiaries

£

Cost or valuation

At 1 August 2024

1,000

At 31 July 2025

1,000

Carrying amount

At 31 July 2025

1,000

At 31 July 2024

1,000

Details of undertakings

Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Country of incorporation

Holding

Proportion of voting rights and shares held

     

2025

2024

Subsidiary undertakings

David Blakey Services Limited

England and Wales

Ordinary Shares

100%

100%

DBS Mechanical & Electrical Ltd

England and Wales

Ordinary Shares

100%

100%

Subsidiary undertakings

David Blakey Services Limited

The principal activity of David Blakey Services Limited is that of air-conditioning, heating, and plumbing system installation, maintenance and servicing.

DBS Mechanical & Electrical Ltd

The principal activity of DBS Mechanical & Electrical Ltd is that of air-conditioning, heating, and plumbing system installation.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

15

Debtors

   

Group

Company

Current

Note

2025
£

2024
£

2025
£

2024
£

Trade debtors

 

2,326,960

1,704,677

625,316

-

Amounts owed by group undertakings

24

-

-

362,707

351,489

Other debtors

 

635,773

433,681

-

203,038

Prepayments and accrued income

 

86,320

36,847

-

-

Deferred tax assets

12

138,149

205,237

1,199

9,867

Corporation tax

12

66,013

91,211

4,788

2,175

   

3,253,215

2,471,653

994,010

566,569

16

Cash and cash equivalents

 

Group

Company

2025
£

2024
£

2025
£

2024
£

Cash at bank

77,898

481,384

18,631

46,818

Bank overdrafts

(183,696)

(66,785)

-

-

Cash and cash equivalents in statement of cash flows

(105,798)

414,599

18,631

46,818

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

17

Creditors

   

Group

Company

Note

2025
£

2024
£

2025
£

2024
£

Due within one year

 

Loans and borrowings

21

424,572

260,763

-

-

Trade creditors

 

1,794,110

1,544,101

328,321

6,099

Amounts owed to group undertakings

24

-

-

773,339

947,654

Social security and other taxes

 

400,317

463,875

29,330

61,615

Outstanding defined contribution pension costs

 

4,111

1,199

438

-

Other creditors

 

429,563

350,230

192,494

76,451

Accruals and deferred income

 

156,132

163,546

174,567

66,430

Corporation tax

12

7,295

118,785

-

-

 

3,216,100

2,902,499

1,498,489

1,158,249

Due after one year

 

Loans and borrowings

21

248,600

384,069

-

-

Other creditors

 

132,691

75,958

132,691

75,958

 

381,291

460,027

132,691

75,958

18

Provisions for liabilities

Group

Deferred tax
£

Total
£

At 1 August 2024

1,442

1,442

Increase (decrease) in existing provisions

17,335

17,335

At 31 July 2025

18,777

18,777

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

19

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 £86,190 (2024 - £118,614).

Contributions totalling £4,111 (2024 - £1,199) were payable to the scheme at the end of the year and are included in creditors.

20

Share capital

Allotted, called up and fully paid shares

2025

2024

No.

£

No.

£

A Ordinary shares of £1 each

264

264

264

264

B Ordinary shares of £1 each

572

572

572

572

C Ordinary shares of £1 each

264

264

264

264

1,100

1,100

1,100

1,100

21

Loans and borrowings

Non-current loans and borrowings

 

Group

Company

2025
£

2024
£

2025
£

2024
£

Bank borrowings

8,373

108,365

-

-

Hire purchase contracts

240,227

275,704

-

-

248,600

384,069

-

-

Current loans and borrowings

 

Group

Company

2025
£

2024
£

2025
£

2024
£

Bank borrowings

99,993

99,992

-

-

Bank overdrafts

183,696

66,785

-

-

Hire purchase contracts

140,883

93,986

-

-

424,572

260,763

-

-

Liabilities for bank borrowings, bank overdrafts, and hire purchase contracts are secured against assets of the group.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

22

Obligations under leases and hire purchase contracts

Group

Finance leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

148,947

96,320

Later than one year and not later than five years

248,343

279,035

397,290

375,355

Operating leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

122,654

137,387

Later than one year and not later than five years

101,156

223,810

223,810

361,197

The amount of non-cancellable operating lease payments recognised as an expense during the year was £142,414 (2024 - £139,314).

Company

Operating leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

69,430

69,430

Later than one year and not later than five years

91,061

160,491

160,491

229,921

The amount of non-cancellable operating lease payments recognised as an expense during the year was £69,430 (2024 - £67,355).

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

23

Dividends

2025

2024

£

£

Dividends paid during the year

108,333

139,418

 

 

During the year ended 31 July 2025, the company paid interim dividends of £108,333 (2024 - £139,418). At the time the dividends were declared, the directors had reasonable grounds to believe the company had sufficient distributable reserves to support the dividends in that year. Following the amendments and restatement of figures for the year ended 31 July 2024 as shown in the revised financial statements for that period, the company ceased to have sufficient distributable reserves. The directors consider that based on their assessment of having sufficient distributable reserves at the time of declaring the dividends, they are not unlawful dividends. The directors are taking steps to re-organise reserves within the group, and confirm no further distributions will be made until such time as there are sufficient distributable reserves available.

24

Related party transactions

Group

Dividends paid to directors

2025
£

2024
£

Dividends paid to directors

108,333

139,418

 

 

Summary of transactions with other related parties

Other related parties consist of companies under common control.
The group has transactions and loans with other related companies.

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

Income and receivables from related parties

2025

Other related parties
£

Sales

88,942

Management charges and recharged expenses receivable

184,767

Interest receivable on loans

9,952

283,661

Expenses recognised as bad debts on amounts receivable from related party

58,795

Amounts receivable from related party

281,677

2024

Other related parties
£

Sales

106,850

Management charges and recharged expenses receivable

366,072

Interest receivable on loans

14,413

487,335

Expenses recognised as bad debts on amounts receivable from related party

1,581,099

Amounts receivable from related party

260,098

Expenditure with and payables to related parties

2025

Other related parties
£

Purchases

99,668

Management charges and recharged expenses payable

108,857

Rent

66,500

Interest payable on loans

9,952

284,977

Amounts payable to related party

263,606

2024

Other related parties
£

Purchases

307,126

Management charges and recharged expenses payable

73,433

Purchase of fixed assets

23,735

Rent

72,042

Interest payable on loans

14,000

490,336

Amounts payable to related party

315,606

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

Company

Dividends paid to directors

2025
£

2024
£

Dividends paid to directors

108,333

139,418

 

 

Summary of transactions with other related parties

Other related parties consist of companies under common control.
The company has transactions and loans with other related companies.

Income and receivables from related parties

2025

Other related parties
£

Management charges and recharged expenses receivable

152,148

Interest receivable on loans

9,952

162,100

Expenses recognised as bad debts on amounts receivable from related party

9,952

Amounts receivable from related party

158,119

2024

Other related parties
£

Management charges and recharged expenses receivable

318,444

Interest receivable on loans

14,413

332,857

Expenses recognised as bad debts on amounts receivable from related party

788,574

Amounts receivable from related party

175,785

 

DBS Group Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2025

Expenditure with and payables to related parties

2025

Other related parties
£

Management charges and recharged expenses payable

72,853

Rent

66,500

Transfers of research and development

9,952

149,305

Amounts payable to related party

127,964

2024

Other related parties
£

Rent

72,041

Interest payable on loans

14,000

86,041

Amounts payable to related party

127,964

25

Parent and ultimate parent undertaking

The ultimate controlling party is Mr D R Blakey.