Smyth Steel Ltd

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

1	General information

The company is a private company limited by share capital, incorporated in Northern Ireland.

The address of its registered office is: 15 Gorran Road, Garvagh, Coleraine, BT51 4HA.

These financial statements were authorised for issue by the Board on 15 July 2026.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

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

Basis of preparation

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

Audit report

The Independent Auditor's Report was unqualified.

The name of the Senior Statutory Auditor who signed the audit report on 15 July 2026 was Sean McIlhatton, who signed for and on behalf of Stevenson & Wilson.

Revenue recognition

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

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

Contract revenue recognition

Long term contracts are recognised over the life of the contract using the percentage of completion method. Progress towards completion is measured using the output method. Anticipated profit is recognised over the life of the contract based on the stage of completion and contract losses are recognised immediately when anticipated. Contract balances are presented in the balance sheet under 'Stocks'.

Smyth Steel Ltd

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

Tax

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

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

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

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

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

Tangible assets

Tangible assets are stated in the balance sheet at cost/valuation, 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
Land and buildings	4% straight line
Plant and machinery	25% reducing balance
Motor vehicles	25% straight line
Office equipment	15% straight line

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. 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.

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.

Smyth Steel Ltd

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

Short-term debtors and creditors

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the income statement in operating expenses.

Stocks

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

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

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.

3	Staff numbers

The average number of persons employed by the company (including directors) during the year, was 19 (2024 - 20).

Smyth Steel Ltd

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

4	Intangible assets

	Licences  £	Total £
Cost or valuation
At 1 January 2025	53,436	53,436
At 31 December 2025	53,436	53,436
Amortisation
At 1 January 2025	53,436	53,436
At 31 December 2025	53,436	53,436
Carrying amount
At 31 December 2025	-	-

5	Tangible assets

	Land and buildings £	Plant and machinery £	Fixtures and fittings  £	Total £
Cost or valuation
At 1 January 2025	2,800,000	1,263,030	85,624	4,148,654
Additions	65,198	165,091	59,802	290,091
Disposals	-	(72,860)	-	(72,860)
At 31 December 2025	2,865,198	1,355,261	145,426	4,365,885
Depreciation
At 1 January 2025	261,332	574,401	76,272	912,005
Charge for the year	113,193	179,719	10,519	303,431
Eliminated on disposal	-	(66,335)	-	(66,335)
At 31 December 2025	374,525	687,785	86,791	1,149,101
Carrying amount
At 31 December 2025	2,490,673	667,476	58,635	3,216,784
At 31 December 2024	2,538,668	688,629	9,352	3,236,649

Included within the net book value of land and buildings above is £2,490,673 (2024 - £2,538,668) in respect of freehold land and buildings.
 

Smyth Steel Ltd

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

Revaluation
A revaluation adjustment has been included in the financial statements to ensure land & buildings and plant & equipment are reflected at fair value. The valuation was carried out at 25th August 2022. Had these classes of assets been measured on a historical cost basis, the carrying amount would have been as follows:
Land and buildings: £220,644
Plant and machinery: £141,344

6

Stocks

	2025 £	2024 £
Stock and work in progress	477,589	1,026,458

7

Debtors

Current	2025 £	2024 £
Trade debtors	-	965,070
Prepayments	21,762	20,916
Other debtors	938,436	462,466
	960,198	1,448,452

8

Creditors

Creditors: amounts falling due within one year

	2025 £	2024 £
Due within one year
Trade creditors	283,227	649,519
Taxation and social security	15,375	29,429
Accruals and deferred income	64,781	24,212
Other creditors	8,126	807,131
	371,509	1,510,291

Smyth Steel Ltd

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

9	Share capital

Allotted, called up and fully paid shares

	2025		2024
	No.	£	No.	£
Ordinary of £1 each	28,408	28,408	28,408	28,408

10	Related party transactions

The following balance was owed (to)/from the directors at the year end:

	2025  £	2024  £
Directors current account	242,695	237,355

Included in other creditors is £69,295 (2024: £788,261) owed to its parent Company, Maine Surface Finishing Ltd.

Other creditors at 31st December 2024 included £6,431 (2025: Nil) due to Premier Protective Coatings Ltd, a company controlled by the directors of Smyth Steel Limited. Purchases from Premier Protective Coatings Ltd amounted to £9,343 during 2024 (2025: Nil).

11	Parent and ultimate parent undertaking

Smyth Steel Limited is a 100% subsidiary of Maine Surface Finishing Ltd, a company incorporated in Northern Ireland. Mr Eugene Dixon and Mr Adrian Dixon are considered to be the ultimate controlling parties.