ACCOUNTS - Final Accounts preparation

OPERATING PROFIT/(LOSS)

The operating profit/(loss) is stated after charging:

Registered number: 01050233

ATKINSON EQUIPMENT LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

ATKINSON EQUIPMENT LIMITED

COMPANY INFORMATION

DIRECTORS	C R Atkinson
	J E Atkinson
	S T Pearce
	G R Atkinson
	G P Atkinson


REGISTERED NUMBER	01050233


REGISTERED OFFICE	Moat Works
	Moat Road
	West Wilts Trading Estate
	Westbury
	Wiltshire
	BA13 4JF


INDEPENDENT AUDITORS	Bishop Fleming Audit Limited
	Chartered Accountants & Statutory Auditors
	10 Temple Back
	Bristol
	BS1 6FL

ATKINSON EQUIPMENT LIMITED

CONTENTS

	Page
Strategic report	1 - 2
Directors' report	3
Directors' responsibilities statement	4
Independent auditors' report	5 - 8
Statement of comprehensive income	9
Statement of financial position	10
Statement of changes in equity	11
Notes to the financial statements	12 - 29

ATKINSON EQUIPMENT LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 MARCH 2026

INTRODUCTION

The directors present their strategic report for the year ended 31 March 2026.

The principal activities of the company in the year under review were that of precision engineers, and as a manufacturer of fuel measurement and dispensing equipment. The company is also the holding company of Taylor-Davis Limited, Avery Knight & Bowlers Engineering Limited and Sema Sprayers Limited.

BUSINESS REVIEW

The Directors recognise that the performance for the year was an improvement on the previous year, against a backdrop of a continuing challenging economic climate.

As highlighted in previous years, the Board's primary focus, as always, has been in providing top quality service and products to our customers and this determination remains unchanged.

Future developments
The Company’s future plans include continued investment in its operational infrastructure and the development of its product offering. During the forthcoming financial year, the Company expects to progress the implementation of a new enterprise resource planning (ERP) system, with the objective of enhancing the efficiency of business processes, management information and internal controls. The Company also intends to continue evaluating potential new products and opportunities to broaden its product range in response to customer requirements and market conditions. The directors will continue to monitor the performance of the business and relevant market developments and will assess investment and development opportunities having regard to the Company’s financial resources and longer-term strategic objectives.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors have identified the following principal risks and uncertainties affecting the company:

Market risk: Both the Product and Engineering Divisions are affected by the market price of the stock or raw materials they purchase. There is little control we can directly influence over this other than maintain regular dialogue with our long-standing suppliers.

Legislative and regulatory risk: There are no new changes that have been introduced, but the Company does monitor any changes in legislative or regulatory risk.

Actions of competitors: The directors continue to explore for further products that the Company can sell.

Operational risks: Cover is in place for the provision of general and fleet insurance for the operational aspects of the business. Atkinson Equipment Limited also has a trade credit insurance policy over its book debts and in conjunction with a strictly controlled credit function we endeavour to minimise the risk of any bad debts.

In respect of our IT infrastructure there are robust controls to safeguard our data, provide backup information in the event of disaster recovery and our hardware and software is monitored periodically.

Page 1

ATKINSON EQUIPMENT LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2026

FINANCIAL KEY PERFORMANCE INDICATORS

The year saw an increase in turnover and gross profit, resulting in an operating profit before tax.

This report was approved by the board and signed on its behalf.

S T Pearce

Director

Date: 9 October 2026

Page 2

ATKINSON EQUIPMENT LIMITED

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.

RESULTS AND DIVIDENDS

The profit for the year, after taxation, amounted to £2,726,902 (2025: loss £284,205).

During the year dividends of £3,000,000 were declared and paid (2025: £Nil).

DIRECTORS

The directors who served during the year were:

C R Atkinson

J E Atkinson

S T Pearce

G R Atkinson

G P Atkinson

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

AUDITORS

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.

S T Pearce

Director

Date: 9 October 2026

Page 3

ATKINSON EQUIPMENT LIMITED

DIRECTORS' RESPONSIBILITIES STATEMENT

FOR THE YEAR ENDED 31 MARCH 2026

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.

Page 4

ATKINSON EQUIPMENT LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATKINSON EQUIPMENT LIMITED

OPINION

We have audited the financial statements of Atkinson Equipment Limited (the 'Company') for the year ended 31 March 2026, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of changes in equity 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 our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 March 2026 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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 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.

OTHER INFORMATION

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.

Page 5

ATKINSON EQUIPMENT LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATKINSON EQUIPMENT LIMITED (CONTINUED)

OPINION ON OTHER MATTERS 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 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.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

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.

We have nothing to report in respect of the following matters in relation to which 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 Directors' responsibilities statement set out on page 4, 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.

Page 6

ATKINSON EQUIPMENT LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATKINSON EQUIPMENT LIMITED (CONTINUED)

AUDITORS' 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 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:

We have considered the following:

∙The nature of the industry and sector, control environment and business performance;

∙Results of our enquiries of management and directors in relation to their own identification and assessment of the risks of irregularities within the company; and

∙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.

As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the areas of high risk to be in relation to revenue recognition. 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 have also obtained an understanding of the legal and regulatory frameworks that the Company operates in, focussing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures within the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, Financial Reporting Standard 102 and UK tax legislation. In addition we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental for the Company's ability to operate or avoid a material penalty. These include health and safety regulations, employment legislation and data protection laws.

Our audit procedures performed to respond to the risks identified included, but were not limited to:

∙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;

∙Reviewing the financial statement disclosures and testing to supporting documentation to assess the recognition of revenue;

∙Enquiring of management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud;

∙Identifying and testing journal entries, evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

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.

Page 7

ATKINSON EQUIPMENT LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ATKINSON EQUIPMENT LIMITED (CONTINUED)

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from an error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.

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.

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 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 members, as a body, for our audit work, for this report, or for the opinions we have formed.

Simon Morrison FCA (Senior statutory auditor)

for and on behalf of

Bishop Fleming Audit Limited

Chartered Accountants

Statutory Auditors

10 Temple Back

Bristol

BS1 6FL

12 October 2026

Page 8

ATKINSON EQUIPMENT LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2026

	2026	2025
Note	£	£


Turnover	4	3,571,554	3,141,488
Cost of sales		(2,905,717)	(2,759,580)
Gross profit		665,837	381,908
Administrative expenses		(942,658)	(1,140,782)
Other operating income	5	569,215	454,695
Operating profit/(loss)	6	292,394	(304,179)
Income from fixed assets investments		2,500,000	-
Interest receivable and similar income	11	21,632	34,090
Interest payable and similar expenses	12	(6,383)	(6,383)
Profit/(loss) before tax		2,807,643	(276,472)
Tax on profit/(loss)	13	(80,741)	(7,733)
Profit/(loss) for the financial year		2,726,902	(284,205)

Other comprehensive income for the year
Total comprehensive income for the year		2,726,902	(284,205)

The notes on pages 12 to 29 form part of these financial statements.

Page 9

ATKINSON EQUIPMENT LIMITED

REGISTERED NUMBER:01050233

STATEMENT OF FINANCIAL POSITION

AS AT 31 MARCH 2026

		2026		2025
Note		£		£

Fixed assets
Tangible assets	16		2,290,030		2,078,946
Investments	17		132,193		132,193
			2,422,223		2,211,139
Current assets
Stocks	18	1,030,375		923,874
Debtors: amounts falling due within one year	19	1,028,731		1,321,373
Cash at bank and in hand	20	352,183		658,431
		2,411,289		2,903,678
Creditors: amounts falling due within one year	21	(421,750)		(488,530)
Net current assets			1,989,539		2,415,148
Total assets less current liabilities			4,411,762		4,626,287
Provisions for liabilities
Deferred tax	23	(170,551)		(111,978)
			(170,551)		(111,978)
Net assets			4,241,211		4,514,309

Capital and reserves
Called up share capital	24	1,964	1,964
Revaluation reserve		145,399	145,399
Capital redemption reserve		1,634	1,634
Profit and loss account		4,092,214	4,365,312
		4,241,211	4,514,309

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 9 October 2026.

S T Pearce

Director

The notes on pages 12 to 29 form part of these financial statements.

Page 10

ATKINSON EQUIPMENT LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2026

	Called up share capital	Capital redemption reserve	Revaluation reserve	Profit and loss account	Total equity
	£	£	£	£	£
At 1 April 2024	1,964	1,634	380,399	4,414,517	4,798,514

Loss for the year	-	-	-	(284,205)	(284,205)
Transfer of realised revaluation surplus	-	-	(235,000)	235,000	-

At 1 April 2025	1,964	1,634	145,399	4,365,312	4,514,309

Profit for the year	-	-	-	2,726,902	2,726,902
Dividends	-	-	-	(3,000,000)	(3,000,000)
At 31 March 2026	1,964	1,634	145,399	4,092,214	4,241,211

The notes on pages 12 to 29 form part of these financial statements.

Page 11

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

1.	GENERAL INFORMATION

Atkinson Equipment Limited is a private company, limited by shares, registered in England and Wales. The registered office is Moat Works, Moat Road, West Wilts Trading Estate, Westbury, BA13 4JF.

2.ACCOUNTING POLICIES

2.1

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

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 following principal accounting policies have been applied:

2.2

FINANCIAL REPORTING STANDARD 102 - REDUCED DISCLOSURE EXEMPTIONS

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 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;

∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Atkinson Equipment Group Limited as at 31 March 2026 and these financial statements may be obtained from Companies House.

2.3

EXEMPTION FROM PREPARING CONSOLIDATED FINANCIAL STATEMENTS

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.

2.4

GOING CONCERN

After reviewing the Company's forecasts and projections, which cover the 12-month period from the date of signing the financial statements, the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. The Company therefore continues to adopt the going concern basis in preparing its financial statements.

Page 12

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.5

REVENUE

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.6

INTEREST INCOME

Interest income is recognised in profit or loss using the effective interest method.

2.7

FINANCE COSTS

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.8

PENSIONS

DEFINED CONTRIBUTION PENSION PLAN

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

Page 13

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.9

CURRENT AND DEFERRED TAXATION

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

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 income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

2.10

INTANGIBLE ASSETS

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

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.

2.11

TANGIBLE FIXED ASSETS

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 14

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.11

TANGIBLE FIXED ASSETS (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:

Long-term leasehold property	-	over period of lease
Plant and machinery	-	over 10 years
Motor vehicles	-	over 6 years
Fixtures and fittings	-	over 3 -7 years

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.

The long leasehold building leases vary in length between 79 and 93 years.

The Directors have taken advantage of the option in FRS102 to include properties owned by the parent company and used by other group entities as tangible fixed assets.

2.12

VALUATION OF INVESTMENTS

Investments in subsidiaries are measured at cost less accumulated impairment.

2.13

STOCKS

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is 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.

2.14

DEBTORS

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.15

CASH AND CASH EQUIVALENTS

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.16

CREDITORS

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 15

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.17

PROVISIONS FOR LIABILITIES

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

2.18

FINANCIAL INSTRUMENTS

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of financial position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Page 16

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.18

FINANCIAL INSTRUMENTS (CONTINUED)

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Page 17

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

2.ACCOUNTING POLICIES (CONTINUED)

2.19

DIVIDENDS

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

3.	JUDGMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these 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 only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below:

Trade and other receivables - The allowance for doubtful accounts involves significant management judgement and review of individual receivables based on individual customer creditworthiness, current economic trends and analysis of historical bad debts on a portfolio basis.

Stock provisions - Significant estimates are involved in the determination of stock provisions. Management exercise significant judgement in determining whether costs of stock items can be recovered. A provision is made where a loss can be reliably estimated.

Investments - Investments are stated at their historic cost to the company less, where appropriate, impairment provisions for any permanent or temporary diminution in value. The determination of the recoverable amount of an investment involves the use of estimates by management.

Page 18

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

TURNOVER

An analysis of turnover by class of business is as follows:
	2026	2025
	£	£

Product sales	2,208,722	2,279,160
Engineering	1,362,832	862,328
	3,571,554	3,141,488

Analysis of turnover by country of destination:

					2026	2025
					£	£

United Kingdom	3,485,732	3,084,827
Europe	67,303	35,270
Rest of the world	18,519	21,391
	3,571,554	3,141,488

5.	OTHER OPERATING INCOME
		2026	2025
		£	£

Other operating income	335,705	167,065
Net rents receivable	222,550	228,845
Sundry income	10,960	8,785
Profit on disposal of fixed asset investments	-	50,000
	569,215	454,695

Depreciation	175,312	169,051
Profit on disposal of fixed assets	(5,261)	(50,000)
Auditors remuneration	12,781	19,525
Exchange differences	(127)	1,946
Cost of inventories recognised as expense	1,640,340	2,043,626

Page 19

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

Fees payable to the Company's auditors for the audit of the Company's financial statements

12,781

19,525

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.

Wages and salaries	1,241,570	1,107,030
Social security costs	140,439	102,550
Cost of defined contribution scheme	124,598	94,020
	1,506,607	1,303,600

The average monthly number of employees, including the directors, during the year was as follows:

	2026	2025
	No.	No.

Direct staff	15	23
Administrative staff	17	17

	32	40

9.	DIRECTORS' REMUNERATION
		2026	2025
		£	£

Directors' emoluments	106,043	120,770
Company contributions to money purchase schemes	38,083	10,943
	144,126	131,713

During the year retirement benefits were accruing to 2 directors (2025: 2) in respect of money purchase schemes.

Page 20

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

10.	INCOME FROM INVESTMENTS
		2026	2025
		£	£

Income from fixed asset investments	2,500,000	-
	2,500,000	-

Income from fixed asset investments consists of dividends received from subsidiary companies.

11.	INTEREST RECEIVABLE
		2026	2025
		£	£

	Other interest receivable	21,632	34,090
		21,632	34,090

12.	INTEREST PAYABLE AND SIMILAR EXPENSES
		2026	2025
		£	£

	Interest payable	6,383	6,383
		6,383	6,383

Page 21

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

CORPORATION TAX
Current tax on profits for the year	22,168	-
	22,168	-

TOTAL CURRENT TAX	22,168	-

DEFERRED TAX
Origination and reversal of timing differences	58,573	7,733
TOTAL DEFERRED TAX	58,573	7,733


	TAX ON PROFIT/(LOSS)	80,741	7,733

Profit/(loss) on ordinary activities before tax

2,807,643

(276,472)

Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2025: 25%)	701,911	(69,118)
EFFECTS OF:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	877	116,768
Capital allowances for year in excess of depreciation	2,953	(55,092)
Non-taxable income	-	(78,234)
Rental profits	-	53,073
Deferred tax movement	-	7,733
Exempt ABGH distributions	(625,000)	-
Capital gains	-	32,603
TOTAL TAX CHARGE FOR THE YEAR	80,741	7,733

FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There were no factors that may affect future tax charges.

Page 22

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

13.TAXATION (CONTINUED)

14.	DIVIDENDS
		2026	2025
		£	£

ORDINARY
Dividends	3,000,000	-
	3,000,000	-

15.	INTANGIBLE ASSETS

	Goodwill	Business IPR	Total
	£	£	£
COST
At 1 April 2025	1	499,999	500,000
At 31 March 2026	1	499,999	500,000
AMORTISATION
At 1 April 2025	1	499,999	500,000
At 31 March 2026	1	499,999	500,000
NET BOOK VALUE
At 31 March 2026	-	-	-
At 31 March 2025	-	-	-

Page 23

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

16.	TANGIBLE FIXED ASSETS

	Long-term leasehold property	Plant and machinery	Motor vehicles	Total
	£	£	£	£
COST OR VALUATION
At 1 April 2025	1,627,855	1,922,662	62,721	3,613,238
Additions	9,474	378,472	4,000	391,946
Disposals	-	(36,832)	-	(36,832)
At 31 March 2026	1,637,329	2,264,302	66,721	3,968,352
DEPRECIATION
At 1 April 2025	303,236	1,212,189	18,867	1,534,292
Charge for the year on owned assets	21,285	143,241	10,786	175,312
Disposals	-	(31,282)	-	(31,282)
At 31 March 2026	324,521	1,324,148	29,653	1,678,322
NET BOOK VALUE
At 31 March 2026	1,312,808	940,154	37,068	2,290,030
At 31 March 2025	1,324,619	710,473	43,854	2,078,946

The net book value of land and buildings may be further analysed as follows:
	2026	2025
	£	£

Long leasehold	1,312,808	1,324,619
	1,312,808	1,324,619

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2026	2025
	£	£


Plant and machinery	145,478	166,261
	145,478	166,261

Page 24

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

17.	FIXED ASSET INVESTMENTS

	Investments in subsidiary companies	Other fixed asset investments	Total
	£	£	£
COST OR VALUATION
At 1 April 2025	519,742	62,143	581,885
At 31 March 2026	519,742	62,143	581,885
IMPAIRMENT
At 1 April 2025	449,692	-	449,692
At 31 March 2026	449,692	-	449,692
NET BOOK VALUE
At 31 March 2026	70,050	62,143	132,193
At 31 March 2025	70,050	62,143	132,193

SUBSIDIARY UNDERTAKINGS
The following were subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

Taylor-Davis Limited	Moat Works, Moat Road, West Wilts Trading Estate, Westbury Wilts, BA13 4JF	Ordinary	100%
Avery Knight & Bowlers Engineering Limited	Moat Works, Moat Road, West Wilts Trading Estate, Westbury Wilts, BA13 4JF	Ordinary	100%
Sema Sprayers Limited (Dormant)	Moat Works, Moat Road, West Wilts Trading Estate, Westbury Wilts, BA13 4JF	Ordinary	100%

The directors of Avery Knight & Bowlers Engineering Limited, a subsidiary of the Company, voted to put that company into voluntary liquidation on 8 October 2025, and it therefore ceased to trade on the same date.

Page 25

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

SUBSIDIARY UNDERTAKINGS (CONTINUED)

The aggregate of the share capital and reserves as at 31 March 2026 and the profit or loss for the year ended on that date for the subsidiary undertakings were as follows:
Name	Aggregate of share capital and reserves	Profit/(Loss)
	£	£

Taylor-Davis Limited	7,257,768	1,844,604
Avery Knight & Bowlers Engineering Limited	(154,498)	(57,139)
Sema Sprayers Limited (Dormant)	174,654	-

18.	STOCKS
		2026	2025
		£	£

Work in progress	206,163	178,081
Finished goods	824,212	745,793
	1,030,375	923,874

19.

DEBTORS

					2026	2025
					£	£


Trade debtors	555,687	575,894
Amounts owed by group undertakings	422,584	717,227
Prepayments and accrued income	50,460	28,252
	1,028,731	1,321,373

Amounts owed by group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

20.	CASH AND CASH EQUIVALENTS
		2026	2025
		£	£

Cash at bank and in hand	352,183	658,431
	352,183	658,431

Page 26

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

21.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
		2026	2025
		£	£

Trade creditors	203,894	101,318
Corporation tax	22,168	-
Other taxation and social security	103,558	235,200
Obligations under finance lease and hire purchase contracts	4,925	64,025
Other creditors	3,017	5,232
Accruals and deferred income	84,188	82,755
	421,750	488,530

The company's bankers hold fixed and floating charges over all assets, book debts, chattels, goodwill and uncalled capital both present and future together with an unlimited multilateral guarantee given by the company and its parent company Atkinson Equipment Group Limited.

Within one year	4,925	59,100
Between 1-5 years	-	64,025
	4,925	123,125

23.	DEFERRED TAXATION

		2026
		£

	At beginning of year	(111,978)
	Charged to profit or loss	(58,573)
	AT END OF YEAR	(170,551)

The provision for deferred taxation is made up as follows:
	2026	2025
	£	£

	Accelerated capital allowances	(170,551)	(111,978)
		(170,551)	(111,978)

Page 27

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

24.	SHARE CAPITAL
		2026	2025
		£	£

ALLOTTED, CALLED UP AND FULLY PAID

1,481 (2025: 1,481) Ordinary shares of £1.00 each	1,481	1,481
98 (2025: 98) Ordinary A shares of £1.00 each	98	98
374 (2025: 374) Ordinary B shares of £1.00 each	374	374
11 (2025: 11) Ordinary C shares of £1.00 each	11	11

	1,964	1,964

There are no restrictions on the distribution of dividends and the repayment of capital or voting rights.

25.	CONTINGENT LIABILITIES

The company has guaranteed the unutilised bank overdraft facilities of its subsidiary undertakings supported by a fixed and floating charge over the assets and undertakings of the group.

The company is part of a group VAT scheme with two subsidiaries and all companies are therefore jointly and severally liable for the VAT liability of the group. The amount outstanding by the subsidiary at 31 March 2026 amounted to £502,021 (2025: £530,121) which is included in the consolidated accounts of the parent company.

Richmond Precision Services Limited (RPSL), a subsidiary company, occupies premises leased on their behalf by Atkinson Equipment Limited (AEL). As such, RPSL meets the rental liability on a day to day basis. Should RPSL be unable to fulfil this commitment however, AEL would be contractually required to make the payments. The annual rent is £50,000 and the total minimum future lease payments at the balance sheet date amounted to £112,500.

26.	PENSION COMMITMENTS

The company operates a defined contribution pension scheme. During the year the charge to profit or loss in respect of defined contribution scheme was £124,598 (2025: £123,634). At 31 March 2026, contributions of £9,883 (2025: £8,232) were due to the fund and are included in creditors.

Not later than 1 year	51,294	68,865
Later than 1 year and not later than 5 years	109,599	177,999
Later than 5 years	1,369,440	1,395,360
	1,530,333	1,642,224

Page 28

ATKINSON EQUIPMENT LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2026

28.

RELATED PARTY TRANSACTIONS

The company is a wholly owned subsidiary of Atkinson Equipment Group Limited and is therefore part of a group.

The company has taken advantage of the exemption available under FRS 102 Section 33, Related Party Disclosures, not to disclose transactions entered into with wholly owned members of the group.

There were no other related party transactions requiring disclosure in the financial statements.

29.	CONTROLLING PARTY

The immediate and ultimate parent undertaking is Atkinson Equipment Group Limited, a company incorporated in England and Wales.

There is no ultimate controlling party.

Page 29