Registered number: 13746196
COMPANY INFORMATION
CONTENTS
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2026
The directors present the Strategic report for the year ended 31 March 2026.
Autoguard Group Ltd derives its income from the provision of non-regulated service and maintenance plans and regulated motor vehicle warranties to the automobile industry across the UK and Internationally, as well as directly to individuals in the UK. The service and maintenance plans, and warranties are designed to cover repair costs in the event that the vehicle suffers a breakdown during the period of cover, to ensure our customers remain mobile.
The sales are made either directly to customers via our online platform or by a dedicated sales team via a network of motor dealers and OEM’s.
The principal activity of Autoguard Group Ltd is the provision of administration services, repair requests and claims handling, and the management of all products, ensuring all services and support are to the high standard expected by our customers, both in the UK and Internationally.
The business runs its own proprietary CRM IT system across all UK and international markets; we consider this to be a competitive differentiator and continue to invest in its development e.g. building in multi-currency capability.
Our in-house administration and claims teams ensure services are provided to a clear and auditable standard.
The sales are made either directly to customers via our online platform or by a dedicated sales team via a network of motor dealers and OEM’s.
The principal activity of Autoguard Group Ltd is the provision of administration services, repair requests and claims handling, and the management of all products, ensuring all services and support are to the high standard expected by our customers, both in the UK and Internationally.
The business runs its own proprietary CRM IT system across all UK and international markets; we consider this to be a competitive differentiator and continue to invest in its development e.g. building in multi-currency capability.
Our in-house administration and claims teams ensure services are provided to a clear and auditable standard.
The international business has been moved out of Autoguard Warranties Ltd and is now operated through a branch of the Group in the UAE — Autoguard Group Ltd - UAE Branch. While this branch is fully controlled and managed by the Group, it is not a separate legal entity, but rather an extension of Autoguard Group Ltd operating overseas.
Autoguard Group Ltd has experienced an excellent year of business performance across all areas of its operations. Turnover has increased by 36% (£7.1m). Gross Profit Margin has decreased by 2.6% (to 34 %) reflecting change in product mix.
In the UK turnover grew by 27.6% with our non-regulated dealer business growing by 17% despite a challenging used car market. At our direct-to-consumer business (Best4) turnover grew by over 200%, reinforcing our view that consumers are keeping their cars longer and are showing an increasing demand for warranties and service and maintenance plans.
We have continued to invest in our international business, growing the staff in our UAE branch office and expanding our overseas relationships with major OEM brands and large independent automotive companies and that has resulted in Rest of the World revenue growth of 127% (to £3.9m). We see significant opportunity for further international growth and post year-end have opened an office in Kuala Lumpur, Malaysia, to drive business in far east markets.
Administrative costs have increased as we continue to invest in people, processes and IT. We have increased the size of our international sales and claims & administration personnel to support the local markets.
As well as investing in international expansion, Autoguard Warranties Ltd has purchased the remaining 20% not already owned of Warranty Administration Services Ltd and acquired 20% of the Archipelago Cell – a cell captive part of Falcon Insurance PCC Ltd.
In line with our growth across the Group, our employee numbers increased from 76 to 83 during the year, enforcing our commitment to grow our workforce to ensure continued success for the future. We continue to invest in the wellbeing and training of all our employees.
As well as the Group continuing to perform strongly from a trading perspective, the cash position remains strongly positive, and the balance sheet has been strengthened.
Our relationship with our business partners and insurers continues to be strong in all markets and the directors are confident that the business is well positioned for future profitable growth.
The strong trading performance is reflected in the reported EBITDA of £1.9m an increase of £0.7m on last year and a net cash balance of £7.2m, which is £3.8m higher than last year’s position.
Autoguard Group Ltd has experienced an excellent year of business performance across all areas of its operations. Turnover has increased by 36% (£7.1m). Gross Profit Margin has decreased by 2.6% (to 34 %) reflecting change in product mix.
In the UK turnover grew by 27.6% with our non-regulated dealer business growing by 17% despite a challenging used car market. At our direct-to-consumer business (Best4) turnover grew by over 200%, reinforcing our view that consumers are keeping their cars longer and are showing an increasing demand for warranties and service and maintenance plans.
We have continued to invest in our international business, growing the staff in our UAE branch office and expanding our overseas relationships with major OEM brands and large independent automotive companies and that has resulted in Rest of the World revenue growth of 127% (to £3.9m). We see significant opportunity for further international growth and post year-end have opened an office in Kuala Lumpur, Malaysia, to drive business in far east markets.
Administrative costs have increased as we continue to invest in people, processes and IT. We have increased the size of our international sales and claims & administration personnel to support the local markets.
As well as investing in international expansion, Autoguard Warranties Ltd has purchased the remaining 20% not already owned of Warranty Administration Services Ltd and acquired 20% of the Archipelago Cell – a cell captive part of Falcon Insurance PCC Ltd.
In line with our growth across the Group, our employee numbers increased from 76 to 83 during the year, enforcing our commitment to grow our workforce to ensure continued success for the future. We continue to invest in the wellbeing and training of all our employees.
As well as the Group continuing to perform strongly from a trading perspective, the cash position remains strongly positive, and the balance sheet has been strengthened.
Our relationship with our business partners and insurers continues to be strong in all markets and the directors are confident that the business is well positioned for future profitable growth.
The strong trading performance is reflected in the reported EBITDA of £1.9m an increase of £0.7m on last year and a net cash balance of £7.2m, which is £3.8m higher than last year’s position.
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GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
The directors consider the principal risks and uncertainties facing the business to be:
Credit
Credit risk is the risk that a customer or provider fails to perform its financial obligations.
The Company's principal financial assets are bank balances, trade and other debtors. The Company's exposure to credit risk is mitigated by the large numbers of individual motor dealers in their network. In addition, the financial position of the Company is continually reviewed to limit any risk. Our credit control in the UK is excellent and we have very little overdue debt.
Liquidity
Liquidity risk is the risk that the Company is unable to meet its financial obligations as they fall due.
The Company's exposure to liquidity risk is mitigated by the regular review of cash forecasts, actual cash flows and ensuring adequate cash reserves. There is also regular analysis of loss ratios to ensure adequate funds remain in place for future repair request and claims.
Compliance
Regulatory changes are always a challenge in this industry, and the Company ensures that preparations are made in the background to ensure business continuity should any regulatory changes be imposed. Autoguard Warranties Ltd has been subject to an HMRC VAT review for the years 21/22. This is still ongoing and may result in an assessment in due course.
Commercial
Commercial risks include economic conditions and competition factors that may impact the Company's financial performance.
The Company regularly reviews and, where appropriate, updates its warranty and service and maintenance plan terms to ensure they meet changing requirements of customers and their vehicles. This includes competitive pricing and reviews of products. The Company is fully aware of economic conditions and regularly reviews key financial performance indicators to identify any emerging trends.
Objectives, policies and processes for managing risks arising from non-regulated contracts
The Group’s objective in managing risks from non-regulated contracts is to ensure the continued fulfilment of obligations under non-regulated administration services and service & maintenance plans, while maintaining financial stability. The Group implements robust pricing, operational, and reserving policies to address its risk exposure for these contracts.
Key policies include:
•Maintaining the positive customer outcomes are at the centre of decision making
•Reviewing and adjusting non-regulated contract pricing based on historical repair/service request data
•Maintaining adequate reserves to meet expected future obligations for non-regulated contracts
•Monitoring live contract performance across non-regulated products and regions
•Conducting due diligence on dealer partners to reduce fraudulent repair/service request exposure
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GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Methods used to manage those risks
The Group mitigates its exposure through a combination of internal controls and operational processes:
•Experienced in-house handlers validate and authorise repair/service requests against strict criteria for non-regulated
products
•Proactive fraud detection and case monitoring for non-regulated business
•Regular performance reviews of non-regulated products and customer experience metrics
•Segregation of dealer funds and customer contract provisions for non-regulated risk management and solvency
Risk management procedures are reviewed by senior management and adjusted as needed in response to evolving market or operational factors.
Exposure to risk on non-regulated contracts
The primary risk is that the cost or frequency of repair/service requests exceeds expectations. This is managed through detailed modelling, contract structuring, regular dealer fund reviews, and conservative provisioning based on historic performance.
Concentrations of non-regulated risk
Risk is well diversified across a wide portfolio of vehicle types, customers and geographic markets. No individual dealer or customer represents a significant concentration of exposure.
Actual claims compared with previous estimates
Activity during the year was in line with management’s estimates, reflecting growth in volumes and observed inflation in average cost per repair/service request. The provision model is reviewed regularly to ensure appropriate matching of income and liabilities.
Market risk
The Group is exposed to changes in the cost of repairs, parts, and labour which may affect profitability of non-regulated products. This is managed through frequent reviews of average costs and by adjusting contract pricing where appropriate. Currency exposure is limited due to the majority of transactions being denominated in GBP. Where we have foreign currency revenue we usually also have foreign currency costs.
2026 2025
Turnover £26,977,318 £19,798,050
EBITDA £1,941,910 £1,199,451
Turnover £26,977,318 £19,798,050
EBITDA £1,941,910 £1,199,451
The above are deemed the most relevant KPIs by the directors. These are discussed throughout this report.
This report was approved by the board and signed on its behalf.
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DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2026
The directors present their report and the financial statements for the year ended 31 March 2026.
The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Group's financial statements and then 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 Group 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 the Group and to 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The profit for the year, after taxation and minority interests, amounted to £1,243,817 (2025 - £549,846).
Ordinary dividends were paid amounting to £Nil (2025 - £Nil).
Post balance sheet date the company received a dividend of £662,500 from Autoguard Warranties Limited and paid out a dividend of £662,500 to shareholders.
Post balance sheet date the company received a dividend of £662,500 from Autoguard Warranties Limited and paid out a dividend of £662,500 to shareholders.
The directors who served during the year were:
The Company has chosen in accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 to set out in the Company's strategic report information required by the Schedule 7 of the Large and Medium-sized companies and Groups (Accounts and Reports) Regulation 2008 it must be stated in the Director's Report that it has done so. This includes information that would have been included in the business review, the principal risks and uncertainties and future developments.
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DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
Under section 487(2) of the Companies Act 2006, Menzies LLP will be deemed to have been reappointed as auditor 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.
This report was approved by the board and signed on its behalf.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF AUTOGUARD GROUP LIMITED
We have audited the financial statements of Autoguard Group Limited (the 'Parent Company') and its subsidiaries (the 'Group') for the year ended 31 March 2026, which comprise the Consolidated statement of comprehensive income, the Consolidated statement of financial position, the Company statement of financial position, the Consolidated statement of changes in equity, the Company statement of changes in equity, the Consolidated statement of cash flows, and the Consolidated analysis of net debt and the related notes, 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 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 Group's or the Parent 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.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report. 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. 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 course of 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.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF AUTOGUARD GROUP LIMITED (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Group strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.
In the light of the 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 Group strategic report or the Directors' report.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF AUTOGUARD GROUP LIMITED (CONTINUED)
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 Group financial statements.
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:
∙The Group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant:
−The Companies Act 2006;
−Financial Reporting Standard 102;
−UK employment legislation;
−UK tax legislation;
−The Financial Conduct Authority regulations;
−UK health and safety legislation; and
−General Data Protection Regulations.
∙We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.
∙We understood how the Group is complying with those legal and regulatory frameworks by, making inquiries to management and those responsible for legal and compliance procedures. We corroborated our inquiries through our review of relevant documentation.
∙The Group engagement partner assessed whether the Group engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The assessment did not identify any issues in this area.
∙We assessed the susceptibility of the Group financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included;
−Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
−Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;
−Challenging assumptions and judgements made by management in its significant accounting estimates; and
−Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations.
∙As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:
−The application of inappropriate judgements or estimation to manipulate the Group's financial position;
−Posting of unusual journals and complex transactions;
−The use of management override of controls to manipulate results, or to cause the Group to enter into transactions not in its best interests; and
−The misrepresentation of revenue to enable staff and consultants to receive commission payments that are not warranted by actual sales.
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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF AUTOGUARD GROUP LIMITED (CONTINUED)
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 will be less likely to become aware of 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 Auditor's report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants & Statutory Auditor
2nd Floor, Origin One
108 High Street
RH10 1BD
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CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2026
Page 10
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2026
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CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 31 MARCH 2026
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 19 to 39 form part of these financial statements.
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COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2026
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 19 to 39 form part of these financial statements.
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CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2026
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COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2026
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CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2026
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CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2026
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CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 MARCH 2026
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
Autoguard Group Limited ("the Company") is a private company limited by shares incorporated in England and Wales. Details of the Company's registered office, which is also its principal place of business, can be found on the Company Information page.
The Group consists of Autoguard Group Limited and all of its subsidiaries.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.
The following principal accounting policies have been applied:
The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of financial position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of financial position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
The Group made a profit before tax of £1,848,969 (2025 - £1,105,135) and has net assets of £924,087 (2025 - net liabilities of £175,064). At the year end the Group has net current assets of £4,125,635 (2025 - £2,459,225).
The application of the going concern basis in preparing the financial statements has been critically analysed and reviewed to determine its viability.
At the time of approving the financial statements the directors have taken into consideration the below matters, to form a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future:
−Review of the Group's budget for the next twelve months; and
−Stress testing the budget.
On the basis of this review, the directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. Therefore the directors have used the going concern basis in preparing the financial statements.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Functional and presentation currency
Transactions and balances
Regulated policies
The Group acts as agent to all insured transactions. The Group recognises the revenue in line with the cost to the business on inception, the remaining commission is deferred over the term of the policy to reflect the Group's obligation to fulfil claims handling.
Non-Regulated service contracts
Revenue from non regulated service contracts is recognised in line with the cost to the business on inception, the remaining revenue is deferred to reflect the Company's obligation to fulfil claims handling. Additionally, income is released to align the reported margin with the latest achievable margin data across Autoguard's portfolio of comparable contracts. The deferred income is released over the term of the agreement.
Admin Services
Revenue from non-regulated admin services is recognised as each performance obligation is discharged, apportioned according to the apportionment of costs incurred. Certain performance obligations are discharged immediately on inception of the contract. The remaining turnover is deferred and released over the term of the contract. Revenue is deferred to reflect the Group's obligation to fulfil administration services for our dealer partners.
Recovery and Breakdown
Revenue from recovery and breakdown services is recognised as each performance obligation is discharged, apportioned according to the apportionment of costs incurred. Certain performance obligations are discharged immediately on inception of the contract. The remaining revenue is deferred over the length of the contract in order to meet the Group’s obligations.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Goodwill
Other intangible assets
All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.
The estimated useful lives range as follows:
The IT development is deemed to have a maximum useful life of seven years due to the rapidly changing environment in which technology develops.
Goodwill is deemed to have a maximum useful life of ten years due to the assessed useful life of the investment being at least equal to the maximum permitted 10 years.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
In the consolidated accounts, interests in associated undertakings are accounted for using the equity method of accounting. Under this method an equity investment is initially recognised at the transaction price (including transaction costs) and is subsequently adjusted to reflect the investors share of the profit or loss, other comprehensive income and equity of the associate. The Consolidated statement of comprehensive income includes the Group's share of the operating results, interest, pre-tax results and attributable taxation of such undertakings applying accounting policies consistent with those of the Group. In the Consolidated statement of financial position, the interests in associated undertakings are shown as the Group's share of the identifiable net assets, including any unamortised premium paid on acquisition.
Any premium on acquisition is dealt with in accordance with the goodwill policy.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
The Group is party to service contracts and dealer admin warranty programs which, whilst they do not meet the legal definition of insurance contracts, are subject to an element of insurance risk as defined in FRS 103. Income and expenditure, assets and liabilities and cash flows arising from these contracts are accounted for in accordance with the provisions of FRS 103, which are not substantially different to the revenue recognition principles applied to income arising from service contracts in accordance with FRS 102. Disclosures in relation to accounting estimates and assumptions arising from such contracts can be found in notes 2.5 and 3. Details of the risks arising in connection with these contracts and management of these risks can be found in the Strategic Report. A reconciliation of liabilities arising in connection with such contracts can be found in note 23.
The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
3.Judgements in applying accounting policies (continued)
Analysis of turnover by country of destination:
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
12.Taxation (continued)
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NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2026
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