Registration number:
for the Year Ended
Registration number:
for the Year Ended
Coveya Limited
Contents
|
Company Information |
|
|
Strategic Report |
|
|
Directors' Report |
|
|
Independent Auditor's Report |
|
|
Profit and Loss Account |
|
|
Statement of Comprehensive Income |
|
|
Balance Sheet |
|
|
Statement of Changes in Equity |
|
|
Statement of Cash Flows |
|
|
Notes to the Financial Statements |
Coveya Limited
Company Information
|
Directors |
Mr G I Herbert Mr R B Herbert Mr W Herbert |
|
Registered office |
|
|
Auditors |
|
Coveya Limited
Strategic Report for the Year Ended 31 December 2025
The Directors present their strategic report for the year ended 31 December 2025.
Principal activity
The principal activity of the Company is that of the hiring and selling of conveyor belts.
Fair review of the business
The directors consider the revenue and profits generated to be the company's key financial performance indicators ("KPI's").
The Company's key financial and other performance indicators during the year were as follows:
|
Financial KPIs |
Unit |
2025 |
2024 |
|
Gross profit margin |
% |
42.7 |
39.4 |
|
Profit before tax margin |
% |
11.8 |
7.4 |
|
Net assets |
£ |
6,944,754 |
6,465,169 |
Principal risks and uncertainties
The principal risks facing the company are as follows:-
Supply chain disruptions - Due to global supply chain issues, including delays and shortages of raw materials, the conveyor belt sector faces challenges in maintaining production schedules and meeting customer demands.
Economic instability - Fluctuating economic conditions, including inflation and changes in interest rates, can impact the cost of production and capital expenditure, affecting profitability and investment capabilities.
Technological advancements - Rapid technological changes and the need for continual innovation pose a risk as companies must invest in new technologies to remain competitive and meet evolving customer expectations.
Regulatory changes - Ongoing changes in environmental and safety regulations can increase operational costs and necessitate additional investment in compliance measures.
Labour shortages - Difficulty in attracting and retaining skilled labour can hinder production efficiency and increase operational costs, impacting overall business performance.
To manage the risk, the Company strives to:-
• provide added-value products and services to its customers;
• provide prompt response times in the supply of products and services;
• invests heavily in research and development of new products and improvements to existing products; and
• maintains strong relationships with suppliers and customers alike.
Approved and authorised by the
|
|
Coveya Limited
Directors' Report for the Year Ended 31 December 2025
The Directors present their report and the financial statements for the year ended 31 December 2025.
Directors of the company
The Directors who held office during the year were as follows:
Dividends
The directors paid an interim dividend payment of £507,052 be made in respect of the financial year ended 31 December 2025 (2024: £381,881). This dividend has not been recognised as a liability in the financial statements.
Financial instruments
Objectives and policies
The company has adopted policies in respect of achieving our objectives relating to financial instruments through a mixture of bank facilities including overdraft arrangements, hire purchase and finance lease arrangements.
Further details of financial instruments are given within the notes to the financial statements under note 2 - Accounting Policies.
Price risk, credit risk, liquidity risk and cash flow risk
Price risk
- the majority of the Company’s revenue derives from the hiring and selling of conveyor belts. As such the Company is exposed to the risk of changes to demand in the construction, waste management, manufacturing and agricultural sectors.
Credit risk - the Company supplies goods to other companies. Credit terms are offered to those customers. Coveya Limited (the trading subsidiary) has credit risk insurance in place to protect against the risk of default by those debtors.
Trading risk - the Company is exposed to the risk in change of importation legislation and demand following the United Kingdom's exit from the European Union.
Supply chain risk - the Company is also reliant on a good supply chain for belts and components without which the Company is unable to fulfil customer contracts.
Cash flow risk - risks of this nature generally arise from timing differences which arise during the Company's trading cycle. Any exceptional cash flow risks are mitigated by careful management of banking facilities, level of stock, trade debtors and trade creditors by the Companys experienced staff.
Coveya Limited
Directors' Report for the Year Ended 31 December 2025
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 United Kingdom 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 the maintenance and integrity of the corporate and financial information included on the Company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
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.
Future developments
The Company will continue to focus on strengthening its core operations in the hiring and selling of conveyor systems, with particular emphasis on expanding its customer base within the construction, recycling, and infrastructure sectors. Investment will continue in product innovation and service quality to ensure that the Company remains competitive and able to respond quickly to customer needs. The directors are also prioritising efficiency improvements, including enhancements to stock management and digital systems, to support sustainable growth and long-term profitability.
Research and development
The Company has invested in research and development to overcome a series of technological uncertainties in the sector. The Directors strive for a continual improvement of the Company’s product suite and to overcome issues raised by customers.
Disclosure of information to the auditors
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 auditors are aware of that information. The Directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.
Reappointment of auditors
The auditors Moore Scarrott Audit Limited are deemed to be reappointed under section 487(2) of the Companies Act 2006.
Coveya Limited
Directors' Report for the Year Ended 31 December 2025
Approved and authorised by the
|
|
Coveya Limited
Independent Auditor's Report to the Members of Coveya Limited
Opinion
We have audited the financial statements of Coveya Limited (the 'Company') for the year ended 31 December 2025, which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, 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 Company's affairs as at 31 December 2025 and of its 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 Company 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 Company'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.
Coveya Limited
Independent Auditor's Report to the Members of Coveya 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 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, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the 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, 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 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 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:
As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
|
• |
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control, |
|
• |
Obtain an understanding of internal control relevant to the audit of the Company in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. |
|
• |
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. |
Coveya Limited
Independent Auditor's Report to the Members of Coveya Limited
|
• |
Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s, ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company, to cease to continue as a going concern. |
|
• |
Evaluate the overall presentation, structure and content of the financial statements of the Company, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation. |
|
• |
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision, and performance of the Company audit. We remain solely responsible for our audit opinion. |
|
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide the directors with a statement that we have complied with relevant ethical requirements regarding independence and communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards. |
|
|
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 knowledge and experience of the sector; |
|
• |
We focussed on specific laws and regulations which we considered may have a direct material effect on the financial statements of 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 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 through 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; |
|
• |
Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and |
|
• |
Understanding the design of the Company's remuneration policies. |
|
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 set out in the accounting policies 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: |
Coveya Limited
Independent Auditor's Report to the Members of Coveya Limited
|
• |
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. |
|
|
|
|
|
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.
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.
For and on behalf of
South Road
Taunton
Somerset
TA1 3DU
Coveya Limited
Profit and Loss Account for the Year Ended 31 December 2025
|
Note |
2025 |
2024 |
|
|
Turnover |
|
|
|
|
Cost of sales |
( |
( |
|
|
Gross profit |
|
|
|
|
Administrative expenses |
( |
( |
|
|
Operating profit |
1,271,567 |
766,484 |
|
|
Other interest receivable and similar income |
|
|
|
|
Interest payable and similar expenses |
( |
( |
|
|
43,480 |
66,790 |
||
|
Profit before tax |
|
|
|
|
Tax on profit |
( |
( |
|
|
Profit for the financial year |
|
|
The above results were derived from continuing operations.
The Company has no recognised gains or losses for the year other than the results above.
Coveya Limited
Statement of Comprehensive Income for the Year Ended 31 December 2025
|
2025 |
2024 |
|
|
Profit for the year |
|
|
|
Total comprehensive income for the year |
|
|
Coveya Limited
(Registration number: 08468296)
Balance Sheet as at 31 December 2025
|
Note |
2025 |
2024 |
|
|
Fixed assets |
|||
|
Tangible assets |
|
|
|
|
Current assets |
|||
|
Stocks |
|
|
|
|
Debtors |
|
|
|
|
Cash at bank and in hand |
|
|
|
|
|
|
||
|
Creditors: Amounts falling due within one year |
( |
( |
|
|
Net current assets |
|
|
|
|
Total assets less current liabilities |
|
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
|
Provisions for liabilities |
( |
( |
|
|
Net assets |
|
|
|
|
Capital and reserves |
|||
|
Called up share capital |
|
|
|
|
Retained earnings |
|
|
|
|
Shareholders' funds |
|
|
Approved and authorised by the
|
|
Coveya Limited
Statement of Changes in Equity for the Year Ended 31 December 2025
|
Share capital |
Retained earnings |
Total |
|
|
At 1 January 2025 |
|
|
|
|
Profit for the year |
- |
|
|
|
Dividends |
- |
( |
( |
|
At 31 December 2025 |
|
|
|
|
Share capital |
Retained earnings |
Total |
|
|
At 1 January 2024 |
|
|
|
|
Profit for the year |
- |
|
|
|
Dividends |
- |
( |
( |
|
At 31 December 2024 |
5 |
6,465,169 |
6,465,174 |
Coveya Limited
Statement of Cash Flows for the Year Ended 31 December 2025
|
Note |
2025 |
2024 |
|
|
Cash flows from operating activities |
|||
|
Profit for the year |
|
|
|
|
Adjustments to cash flows from non-cash items |
|||
|
Depreciation and amortisation |
|
|
|
|
Loss on disposal of tangible assets |
|
|
|
|
Finance income |
( |
( |
|
|
Finance costs |
|
|
|
|
Income tax expense |
|
|
|
|
|
|
||
|
Working capital adjustments |
|||
|
Decrease/(increase) in stocks |
|
( |
|
|
Increase in debtors |
( |
( |
|
|
Increase/(decrease) in creditors |
|
( |
|
|
Cash generated from operations |
|
|
|
|
Income taxes paid |
( |
( |
|
|
Net cash flow from operating activities |
|
|
|
|
Cash flows from investing activities |
|||
|
Interest received |
|
|
|
|
Acquisitions of tangible assets |
( |
( |
|
|
Proceeds from sale of tangible assets |
- |
|
|
|
Net cash flows from investing activities |
( |
( |
|
|
Cash flows from financing activities |
|||
|
Interest paid |
( |
( |
|
|
Payments to finance lease creditors |
( |
( |
|
|
Dividends paid |
( |
( |
|
|
Net cash flows from financing activities |
( |
( |
|
|
Net decrease in cash and cash equivalents |
( |
( |
|
|
Cash and cash equivalents at 1 January |
|
|
|
|
Cash and cash equivalents at 31 December |
1,362,716 |
1,662,872 |
|
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
General information |
The Company is a private company limited by share capital, incorporated in England and Wales (registered number 08468296).
The address of its registered office is:
These financial statements were authorised for issue by the
|
Accounting policies |
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102. 'The Financial Reporting Standard applicable in the UK 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.
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 sales/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.
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.
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 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.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred income tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
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 |
|
Plant and machinery |
25% reducing balance |
|
Motor vehicles |
25% reducing balance |
|
Fixtures and fittings |
15% reducing balance |
|
Leasehold improvement |
Over the length of the lease |
Goodwill
Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the Company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.
Amortisation
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:
|
Asset class |
Amortisation method and rate |
|
Goodwill |
10 years straight line |
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.
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 stocks 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.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
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 whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases 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 depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease 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.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Judgements in applying accounting policies and key sources of estimation uncertainty |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However the nature of estimation means that actual outcomes could differ from those estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects that period, or in the period of revision and future periods if the revision affects both current and future periods. The critical judgements and key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below.
Critical judgements
Depreciation rates and residual values
Tangible fixed assets are depreciated over their useful economic lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing assets lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.
Sources of estimation uncertainty
Impairment of fixed assets
The company determines whether there are indicators of impairment of tangible assets. Factors taken into account consideration in reaching such a decision include the economic viability and expected future financial performance of the asset.
Stock provision
The company determines whether there are conditions that exist at the balance sheet date that indicates that the net realisable value of individual stock lines are less than the carrying value. Such indicators include post year end sales, and market demand.
Bad debt provision
The company determines whether there are conditions that exist at the balance sheet date that indicates the recoverable value of debtors is less than the carrying value. Such indicators include post year end cash receipts, and customer sales activity.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Revenue |
The analysis of the Company's Turnover for the year from continuing operations is as follows:
|
2025 |
2024 |
|
|
Sale of goods |
|
|
|
Hire of goods |
|
|
|
|
|
|
Other interest receivable and similar income |
|
2025 |
2024 |
|
|
Interest income on bank deposits |
|
|
|
Other finance income |
|
|
|
|
|
|
Interest payable and similar expenses |
|
2025 |
2024 |
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
|
Interest expense on other finance liabilities |
- |
|
|
|
|
|
Staff costs |
The aggregate payroll costs (including Directors' remuneration) were as follows:
|
2025 |
2024 |
|
|
Wages and salaries |
|
|
|
Social security costs |
|
|
|
Pension costs, defined contribution scheme |
|
|
|
Other employee expense |
|
|
|
|
|
The average number of persons employed by the Company (including Directors) during the year, was
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Directors' remuneration |
The Directors' remuneration for the year was as follows:
|
2025 |
2024 |
|
|
Remuneration |
|
|
|
Contributions paid to money purchase schemes |
|
|
|
97,710 |
159,022 |
|
Auditors' remuneration |
|
2025 |
2024 |
|
|
Audit of the financial statements |
|
|
|
Taxation |
Tax charged/(credited) in the profit and loss account
|
2025 |
2024 |
|
|
Current taxation |
||
|
UK corporation tax |
|
|
|
Deferred taxation |
||
|
Arising from origination and reversal of timing differences |
|
( |
|
Tax expense in the income statement |
|
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
|
2025 |
2024 |
|
|
Profit before tax |
|
|
|
Corporation tax at standard rate |
|
|
|
Tax (decrease)/increase from effect of capital allowances and depreciation |
( |
|
|
Tax increase in relation to deferred tax |
|
( |
|
Effect of expense not deductible in determining taxable profit (tax loss) |
( |
|
|
Tax decrease from other tax effects |
- |
( |
|
Total tax charge |
|
|
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Intangible assets |
|
Goodwill |
Total |
|
|
Cost or valuation |
||
|
At 1 January 2025 |
|
|
|
At 31 December 2025 |
|
|
|
Amortisation |
||
|
At 1 January 2025 |
|
|
|
At 31 December 2025 |
|
|
|
Carrying amount |
||
|
At 31 December 2025 |
- |
- |
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Tangible assets |
|
Leasehold improvements |
Fixtures and fittings |
Plant and machinery |
Motor vehicles |
Total |
|
|
Cost or valuation |
|||||
|
At 1 January 2025 |
|
|
|
|
|
|
Additions |
|
|
|
- |
|
|
Disposals |
- |
- |
( |
- |
( |
|
At 31 December 2025 |
|
|
|
|
|
|
Depreciation |
|||||
|
At 1 January 2025 |
|
|
|
|
|
|
Charge for the year |
|
|
|
|
|
|
Eliminated on disposal |
- |
- |
( |
- |
( |
|
At 31 December 2025 |
|
|
|
|
|
|
Carrying amount |
|||||
|
At 31 December 2025 |
|
|
|
|
|
|
At 31 December 2024 |
|
|
|
|
|
Included within the net book value of land and buildings above is £155,096 (2024 - £180,622) in respect of short leasehold land and buildings.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Stocks |
|
2025 |
2024 |
|
|
Stock |
|
|
|
Debtors |
|
Current |
Note |
2025 |
2024 |
|
Trade debtors |
|
|
|
|
Amounts owed by related parties |
|
|
|
|
Other debtors |
|
|
|
|
Prepayments |
|
|
|
|
|
|
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Cash and cash equivalents |
|
2025 |
2024 |
|
|
Cash at bank |
|
|
|
Short-term deposits |
|
|
|
|
|
|
Creditors |
|
Note |
2025 |
2024 |
|
|
Due within one year |
|||
|
HP and finance lease liabilities |
4,600 |
5,000 |
|
|
Trade creditors |
|
|
|
|
Social security and other taxes |
|
|
|
|
Outstanding defined contribution pension costs |
|
|
|
|
Other payables |
|
- |
|
|
Accruals |
|
|
|
|
Corporation tax |
152,469 |
242,273 |
|
|
|
|
||
|
Due after one year |
|||
|
HP and finance lease liabilities |
23,285 |
26,702 |
|
Provisions for liabilities |
|
Deferred tax |
Total |
|
|
At 1 January 2025 |
|
|
|
Increase (decrease) in existing provisions |
|
|
|
At 31 December 2025 |
|
|
|
|
||
|
Pension and other schemes |
Defined contribution pension scheme
The Company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the Company to the scheme and amounted to £
Contributions totalling £
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
|
No. |
£ |
No. |
£ |
|
|
|
|
1.97 |
|
0.02 |
|
|
|
0.03 |
|
0.03 |
|
|
|
- |
|
- |
|
|
|
1 |
|
1 |
|
|
|
1 |
|
1 |
|
|
|
1 |
|
1 |
|
|
- |
- |
|
1.95 |
|
|
|
|
|
|
Share capital - re-designation
During the year, all issued 19,489 Ordinary shares with a nominal value of £0.001 each were re-designated into Ordinary A shares. As a result, the Ordinary share class was cancelled and no longer exists.
Following the re-designation, the Company’s share capital comprises Ordinary A, Ordinary B, Ordinary C, W1, W2 and W3 shares.
The re-designation did not result in any change to the aggregate nominal value of the issued share capital and had no impact on shareholders’ funds.
|
Loans and borrowings |
Non-current loans and borrowings
|
2025 |
2024 |
|
|
Hire purchase contracts |
|
|
Current loans and borrowings
|
2025 |
2024 |
|
|
Hire purchase contracts |
|
|
Other borrowings
Hire purchases have a carrying amount at year end of £27,885 (2024 - £31,702).
The hire purchase contracts are secured against the assets to which they relate.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Commitments |
Operating leases
|
2025 |
2024 |
|
|
Not later than one year |
|
|
|
Later than one year and not later than five years |
|
|
|
Later than five years |
|
|
|
|
|
|
Related party transactions |
Summary of transactions with parent
Rental expenditure charged to the profit and loss account during the year amounted to £150,000 (2024: £181,667). The rental agreement is on normal commercial terms and is considered to be at market rates.
During the year, Coveya Limited engaged in related party transactions with their parent company, Coveya Holdings Limited. At 31 December 2025, Coveya Holdings Limited owed Coveya Limited £1,630,604 (2024: £1,720,070). This balance relates to intercompany loans and is interest-free and repayable on demand.
|
Transactions with Directors |
|
2025 |
At 1 January 2025 |
Advances to Director |
Repayments by Director |
At 31 December 2025 |
|
Mr R B Herbert |
||||
|
|
|
|
( |
|
|
Mr W Herbert |
||||
|
|
- |
|
( |
|
Overdrawn directors loans are unsecured, repayable on demand, and carried interest at a rate of 3.75% per annum, in line with HMRC's official rate of interest. The loans, together with any accrued interest, were repaid in full within nine months of the balance sheet date.
Summary of transactions with other related parties
The balance relates to intercompany loans and is interest free and repayable on demand.
Coveya Limited
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Parent and ultimate parent undertaking |
The company is a majority owned subsidiary of Coveya Holdings Limited, which is incorporated in England and Wales (registered number 13058556). Coveya Holdings Limited is the ultimate parent undertaking and their registered office is Unit 1 St Ivel Way, Warmley, Bristol, United Kingdom, BS30 8TY.
The largest and smallest group in which the Company is consolidated is Coveya Holdings Limited. These are available upon request from the company’s registered office or are publicly available at Companies House.
The ultimate controlling parties are Mr G I Herbert and Mrs A C Herbert.