FOR THE YEAR ENDED 31 DECEMBER 2025
CONDITION MONITORING TECHNOLOGY GROUP LIMITED
COMPANY INFORMATION
CONDITION MONITORING TECHNOLOGY GROUP LIMITED
CONTENTS
CONDITION MONITORING TECHNOLOGY GROUP LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2025
Condition Monitoring Technology Group Limited (CMTG) is the holding company that sits between the ultimate parent of the Group, Condition Monitoring Technology Group Holdings Limited, and the trading subsidiaries.
The Trading Group delivered a record performance in FY2025, achieving the highest turnover and order intake in the Group’s history. We enter FY2026 with our largest ever order book, 21% higher on a like-for-like basis than the opening position for FY2025, providing strong revenue visibility and underpinning confidence in continued growth.
EBITDA increased both in absolute terms and as a percentage of revenue, demonstrating the operating leverage within the business model. Margin expansion was driven not only by revenue growth but also by disciplined cost management and the continued execution of Group-wide synergy initiatives. These improvements reflect structural enhancements to our cost base rather than short-term efficiencies, strengthening the platform for sustainable profitability.
During the year, we invested selectively in senior operational, supply chain, and commercial leadership across the UK and North America. These appointments enhance execution capability, support our cost optimisation programme, and position the Group to accelerate organic growth across our core markets.
FUTURE DEVELOPMENTS
We will continue to invest in maintaining a technological edge across our core aerospace, defence, and energy production markets, where barriers to entry, certification requirements, and long-term customer relationships provide structural competitive advantages.
At the same time, we are intensifying our focus on:
The Trading Group delivered a record performance in FY2025, achieving the highest turnover and order intake in the Group’s history. We enter FY2026 with our largest ever order book, 21% higher on a like-for-like basis than the opening position for FY2025, providing strong revenue visibility and underpinning confidence in continued growth.
EBITDA increased both in absolute terms and as a percentage of revenue, demonstrating the operating leverage within the business model. Margin expansion was driven not only by revenue growth but also by disciplined cost management and the continued execution of Group-wide synergy initiatives. These improvements reflect structural enhancements to our cost base rather than short-term efficiencies, strengthening the platform for sustainable profitability.
During the year, we invested selectively in senior operational, supply chain, and commercial leadership across the UK and North America. These appointments enhance execution capability, support our cost optimisation programme, and position the Group to accelerate organic growth across our core markets.
FUTURE DEVELOPMENTS
We will continue to invest in maintaining a technological edge across our core aerospace, defence, and energy production markets, where barriers to entry, certification requirements, and long-term customer relationships provide structural competitive advantages.
At the same time, we are intensifying our focus on:
∙Further margin expansion through cost base optimisation and manufacturing efficiency
∙Supply chain resilience and scalability to support growth
∙Enhanced commercial and marketing capabilities to increase international penetration of our existing portfolio
∙Leveraging Group synergies to maximise returns on invested capital
We believe that sustained emphasis in these areas over the next two to three years will deliver further step-change improvements in EBITDA performance and long-term value creation.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
The board sets the policy for managing risk within the Group and recognises the importance of identifying, mitigating and managing both the financial and non-financial risks facing the Group.
The Group operates in international, highly regulated end markets and is therefore exposed to a range of external and operational risks. The principal risks and uncertainties that could impact future performance include:
The Group operates in international, highly regulated end markets and is therefore exposed to a range of external and operational risks. The principal risks and uncertainties that could impact future performance include:
∙Global trading environment – Exposure to foreign exchange volatility, export controls, and regulatory restrictions inherent in operating across multiple jurisdictions.
∙Macroeconomic pressures – Inflationary cost pressures, supply chain disruption, and the potential emergence of global trade barriers that may affect margins and market access.
∙Geopolitical developments – Shifts in geopolitical conditions which may influence defence spending, energy investment cycles, supply routes, and customer demand dynamics, both positively and negatively.
∙Talent and capability risk – The potential loss of key personnel or failure to attract and retain critical technical and commercial expertise required to execute the Group’s strategy.
∙Order timing volatility – Deferral or delay in new order intake, particularly in long-cycle aerospace, defence, and energy markets, which may affect short-term revenue phasing.
∙Operational and supply chain disruption – Significant business interruption at a manufacturing site or within the supply chain that could impact production continuity and customer delivery.
∙Regulatory and compliance risk – Failure to comply with applicable laws, export regulations, and industry standards across the jurisdictions in which the Group operates.
∙Cyber security and IT resilience – Exposure to cyber threats or system failures that could disrupt operations, compromise data integrity, or affect customer confidence.
The Board maintains an active risk management framework to identify, assess, and mitigate these exposures. Risks are subject to regular review, with defined controls, contingency planning, and governance oversight in place to minimise potential impact. While these factors could influence future performance, the Group’s diversified end markets, strengthened leadership capability, and continued investment in operational resilience provide a robust platform to manage risk effectively.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2025
The Group trades internationally and has wholly-owned subsidiaries in key territories - UK, Europe and the US. The performance for all subsidiary businesses within each of the key territories were in line with expectations during 2025.
This report was approved by the board and signed on its behalf.
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CONDITION MONITORING TECHNOLOGY GROUP 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.
The Directors who served during the year were:
The auditors, Bishop Fleming Audit Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2025
The Directors are responsible for preparing the Strategic report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CONDITION MONITORING TECHNOLOGY GROUP LIMITED
We have audited the financial statements of Condition Monitoring Technology Group Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of income and retained earnings, the Statement of financial position 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 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 and financial statements other than the financial statements and our Auditors' report thereon. The Directors are responsible for the other information contained within the annual report and financial statements. 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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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CONDITION MONITORING TECHNOLOGY GROUP LIMITED (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the 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 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 Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CONDITION MONITORING TECHNOLOGY 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 Auditors' 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.
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:
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:
∙the nature of the sector, control environment and the Company’s performance;
∙results of our enquiries of management and the directors, about their own identification and assessment of the risks of irregularities;
∙any matters we identified having obtained and reviewed the Company’s documentation of their policies and procedures relating to: identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; and
∙the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
We identified and obtained an understanding of the laws and regulations that are of significance to the Company by discussions with directors and by updating our understanding of the sector in which the Company operated in. Laws and regulations that are of direct significance to the Company, and of which non-compliance could result in material misstatement, are considered to be the UK Companies Act, FRS 102 and UK tax legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company’s ability to operate or to avoid a material penalty. These included data protection regulations, health and safety regulations and employment legislation.
Our procedures to respond to risks identified included the following:
We identified and obtained an understanding of the laws and regulations that are of significance to the Company by discussions with directors and by updating our understanding of the sector in which the Company operated in. Laws and regulations that are of direct significance to the Company, and of which non-compliance could result in material misstatement, are considered to be the UK Companies Act, FRS 102 and UK tax legislation.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Company’s ability to operate or to avoid a material penalty. These included data protection regulations, health and safety regulations and employment legislation.
Our procedures to respond to risks identified included the following:
∙reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
∙enquiring of directors and management concerning actual and potential litigation and claims;
∙performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
∙reading minutes of director meetings; and
∙in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; and assessing whether the judgements made in making accounting estimates are indicative of a potential bias.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF CONDITION MONITORING TECHNOLOGY GROUP LIMITED (CONTINUED)
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
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.
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 Auditors' report.
This report is made solely to the Company's Directors, 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 Directors those matters we are required to state to them in an Auditors' 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 Directors, 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 Auditors
Brook House
Winslade Park
Manor Drive
Exeter
EX5 1GD
Date:
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2025
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
REGISTERED NUMBER:05794029
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 13 to 19 form part of these financial statements.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
Condition Monitoring Technology Group Limited ("the company"), registered number 05794029, is a limited company domiciled and incorporated in England and Wales. The registered office is Hatchmoor Industrial Estate, Great Torrington, North Devon, EX38 7HP.
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 management to exercise judgment in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of Condition Monitoring Technology Group Holdings Limited as at 31 December 2025 and these financial statements may be obtained from the company's registered office, Hatchmoor Industrial Estate, Great Torrington, North Devon, EX38 7HP.
The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.ACCOUNTING POLICIES (continued)
The Company generated a profit of £6.7k (2024: £210k) during the year ended 31 December 2025 and, as of that date, the Company had net liabilities of £38k (2024: net assets of £206k).
The Company and the Group rely on its existing bank facilities to meet their day-to-day working capital requirements, and these facilities were renewed at favourable terms for both the Company and Group during 2026.
The Group includes Condition Monitoring Technology Group Holdings Limited, Condition Monitoring Technology Group Limited, Helitune Limited, Beran Instruments Limited, Prosig Limited, DJB Instruments (UK) Limited & its overseas subsidiaries as set out in Note 15 of the Parent company’s financial statements.
The Directors have prepared detailed forecasts covering a period of at least 12 months from the date of approval of these financial statements. These forecasts, together with the strong performance against forecast in H1 2026 indicate that the Company expects to be able to comfortably operate within these facilities for the whole of the foreseeable future and will be able to meet its liabilities as they fall due. As a result, the Directors conclude that it is appropriate to adopt the going concern basis in preparing the financial statements for the year ending 31 December 2025.
The Company and the Group rely on its existing bank facilities to meet their day-to-day working capital requirements, and these facilities were renewed at favourable terms for both the Company and Group during 2026.
The Group includes Condition Monitoring Technology Group Holdings Limited, Condition Monitoring Technology Group Limited, Helitune Limited, Beran Instruments Limited, Prosig Limited, DJB Instruments (UK) Limited & its overseas subsidiaries as set out in Note 15 of the Parent company’s financial statements.
The Directors have prepared detailed forecasts covering a period of at least 12 months from the date of approval of these financial statements. These forecasts, together with the strong performance against forecast in H1 2026 indicate that the Company expects to be able to comfortably operate within these facilities for the whole of the foreseeable future and will be able to meet its liabilities as they fall due. As a result, the Directors conclude that it is appropriate to adopt the going concern basis in preparing the financial statements for the year ending 31 December 2025.
Functional and presentation currency
Transactions and balances
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.ACCOUNTING POLICIES (continued)
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
2.ACCOUNTING POLICIES (continued)
The Company 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 related parties, loans to related parties and investments in ordinary shares.
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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.
Impairment of investments
The Company's investments are held at historic cost. Management assess the fair value of these investments annually based on the profitability, net asset position and contribution of each entity to the group performance.
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
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CONDITION MONITORING TECHNOLOGY GROUP LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2025
Share premium account
Capital redemption reserve
Profit and loss account
The profit and loss reserves reflect cumulative profits and losses net of distributions to shareholders.
The Company is party to a cross-guarantee in favour of Santander UK Plc in respect of all amounts owed by Condition Monitoring Technology Group Holdings Limited, Condition Monitoring Technology Group Limited, Beran Instruments Limited, Helitune Limited, Prosig Limited and DJB Instruments (UK) Limited. At the year end, the total amounts outstanding comprised overdrafts of £907,416 (2024: £1,311,729) and term loans of £1,182,112 (2024: £1,606,408).
The Company is party to a group VAT registration covering Condition Monitoring Technology Group Limited, Beran Instruments Limited and Helitune Limited, and is therefore jointly and severally liable for any amounts due. At the year end, the total amount owed to HMRC was £50,514 (2024: £58,125).
The Company is party to a group VAT registration covering Condition Monitoring Technology Group Limited, Beran Instruments Limited and Helitune Limited, and is therefore jointly and severally liable for any amounts due. At the year end, the total amount owed to HMRC was £50,514 (2024: £58,125).
12.GUARANTEES
Bank loans and overdrafts due within, and after more than one year, are secured by a debenture over the assets (whether present or future) of Condition Monitoring Technology Group Holdings Limited, Condition Monitoring Technology Group Limited, Beran Instruments Limited, Helitune Limited, Prosig Limited and DJB Instruments (UK) Limited, by specific legal charges over the freehold properties of Beran Instruments Limited, by a cross-guarantee between Condition Monitoring Technology Group Holdings Limited, Condition Monitoring Technology Group Limited, Beran Instruments Limited, Helitune Limited, Prosig Limited and DJB Instruments (UK) Limited, and by a keyman life insurance policy in respect of R Allen and D Graham.
The immediate and ultimate parent company is Condition Monitoring Technology Group Holdings Limited , a company incorporated in the United Kingdom and registered in England and Wales. Condition Monitoring Technology Group Holdings Limited heads the largest and smallest group in which the results of the Company are consolidated. The consolidated financial statements of Condition Monitoring Technology Group Holdings Limited can be obtained from the company's registered office, Hatchmoor Industrial Estate, Great Torrington, North Devon, EX38 7HP.
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