REGISTERED NUMBER: SC029181 (Scotland)

Unaudited Financial Statements

for the Year Ended 31 December 2025

for

Arrell Engineering Company Ltd

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

Report of the Accountants

7

DIRECTORS:

V Walker

G Walker

SECRETARY:

V Walker

REGISTERED OFFICE:

Westfield Avenue

Rutherglen

G73 2DZ

REGISTERED NUMBER:

SC029181 (Scotland)

ACCOUNTANTS:

Gordon Ferguson & Co Ltd

76 Hamilton Road

Motherwell

Lanarkshire

ML1 3BY

FIXED ASSETS

Tangible assets

4

395,615

661,753

Investments

5

6,000

6,000

401,615

667,753

CURRENT ASSETS

Stocks

6,000

6,000

Debtors

6

1,182,471

231,312

Cash at bank

528,641

1,357,402

1,717,112

1,594,714

CREDITORS

Amounts falling due within one year

7

450,870

552,183

NET CURRENT ASSETS

1,266,242

1,042,531

TOTAL ASSETS LESS CURRENT LIABILITIES

1,667,857

1,710,284

CREDITORS

Amounts falling due after more than one year

8

53,329

51,434

NET ASSETS

1,614,528

1,658,850

CAPITAL AND RESERVES

Called up share capital

652

652

Revaluation reserve

9

168,335

168,335

Retained earnings

1,445,541

1,489,863

1,614,528

1,658,850

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2025.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2025 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

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

The financial statements were approved by the Board of Directors and authorised for issue on 31 March 2026 and were signed on its behalf by:

V Walker - Director

1.	STATUTORY INFORMATION

Arrell Engineering Company Ltd is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

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

Freehold property

-

2% on cost

Plant and machinery

-

25% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Computer equipment

-

20% on reducing balance

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

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

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

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

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 20 (2024 - 22 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

property

machinery

fittings

£

£

£

COST

At 1 January 2025

435,600

1,528,683

61,743

Additions

-

-

-

Disposals

(225,000

)

-

-

At 31 December 2025

210,600

1,528,683

61,743

DEPRECIATION

At 1 January 2025

49,424

1,361,281

53,062

Charge for year

5,712

41,850

2,170

Eliminated on disposal

(10,500

)

-

-

At 31 December 2025

44,636

1,403,131

55,232

NET BOOK VALUE

At 31 December 2025

165,964

125,552

6,511

At 31 December 2024

386,176

167,402

8,681

Motor

Computer

vehicles

equipment

Totals

£

£

£

COST

At 1 January 2025

117,764

112,479

2,256,269

Additions

91,285

-

91,285

Disposals

(93,769

)

-

(318,769

)

At 31 December 2025

115,280

112,479

2,028,785

DEPRECIATION

At 1 January 2025

21,905

108,844

1,594,516

Charge for year

26,841

908

77,481

Eliminated on disposal

(28,327

)

-

(38,827

)

At 31 December 2025

20,419

109,752

1,633,170

NET BOOK VALUE

At 31 December 2025

94,861

2,727

395,615

At 31 December 2024

95,859

3,635

661,753

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

Plant and

Motor

machinery

vehicles

Totals

£

£

£

COST

At 1 January 2025

121,950

-

121,950

Additions

-

54,995

54,995

At 31 December 2025

121,950

54,995

176,945

DEPRECIATION

At 1 January 2025

40,705

-

40,705

Charge for year

20,311

5,729

26,040

At 31 December 2025

61,016

5,729

66,745

NET BOOK VALUE

At 31 December 2025

60,934

49,266

110,200

At 31 December 2024

81,245

-

81,245

5.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 January 2025

and 31 December 2025

6,000

NET BOOK VALUE

At 31 December 2025

6,000

At 31 December 2024

6,000

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Trade debtors

178,384

228,511

Amounts owed by group undertakings

1,000,000

-

Other debtors

4,087

2,801

1,182,471

231,312

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Hire purchase contracts

21,351

21,351

Trade creditors

39,115

38,096

Taxation and social security

96,138

66,205

Other creditors

294,266

426,531

450,870

552,183

8.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.25

31.12.24

£

£

Hire purchase contracts

53,329

51,434

9.

RESERVES

Revaluation

reserve

£

At 1 January 2025

and 31 December 2025

168,335

The following reproduces the text of the report prepared for the directors in respect of the company's annual unaudited financial statements. In accordance with the Companies Act 2006, the company is only required to file a Balance Sheet. Readers are cautioned that the Income Statement and certain other primary statements and the Report of the Directors are not required to be filed with the Registrar of Companies.

As described on the Balance Sheet you are responsible for the preparation of the financial statements for the year ended 31 December 2025 set out on pages three to eight and you consider that the company is exempt from an audit.

In accordance with your instructions, we have compiled these unaudited financial statements in order to assist you to fulfil your statutory responsibilities, from the accounting records and information and explanations supplied to us.

Gordon Ferguson & Co Ltd

76 Hamilton Road

Motherwell

Lanarkshire

ML1 3BY

31 March 2026