M C E Engineering Limited - Accounts to registrar (filleted)

REGISTERED NUMBER: 03258722 (England and Wales)

M C E Engineering Limited

Unaudited Financial Statements

for the Year Ended 31 March 2026

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTORS:

A J Lines

M J Southworth

S L Povey

REGISTERED OFFICE:

Unit 6 Empire Business Park

Parcel Terrace

Derby

Derbyshire

DE1 1LY

REGISTERED NUMBER:

03258722 (England and Wales)

ACCOUNTANTS:

UHY Hacker Young (Bham) LLP

9-11 Vittoria Street

Birmingham

B1 3ND

FIXED ASSETS

Intangible assets

4

-

Tangible assets

5

168,858

208,111

168,858

208,111

CURRENT ASSETS

Stocks

6

248,455

357,660

Debtors

7

303,026

660,616

Cash at bank

10,472

86,042

561,953

1,104,318

CREDITORS

Amounts falling due within one year

8

844,297

1,122,869

NET CURRENT LIABILITIES

(282,344

)

(18,551

)

TOTAL ASSETS LESS CURRENT
LIABILITIES

(113,486

)

189,560

CREDITORS

Amounts falling due after more than
one year

9

(264,794

)

(272,528

)

PROVISIONS FOR LIABILITIES

(34,938

)

(46,834

)

NET LIABILITIES

(413,218

)

(129,802

)

CAPITAL AND RESERVES

Called up share capital

13

80

Retained earnings

14

(413,298

)

(129,882

)

SHAREHOLDERS' FUNDS

(413,218

)

(129,802

)

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2026.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2026 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

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

(b)

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

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

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

The financial statements were approved by the Board of Directors and authorised for issue on 4 October 2026 and were signed on its behalf by:

M J Southworth - Director

1.	STATUTORY INFORMATION

M C E Engineering Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. It is the intention for MCE to be fully supported by the Invictus Engineering Group over the next year and to work much more closely with sister company CE Turner, the latter having a significant defence sector orderbook.

The directors have prepared financial forecasts which are showing that the business has sufficient resources to meet its liabilities for at least twelve months from signing these financial statements. Thus, the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover

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

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life of nil years.

Tangible fixed assets

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

Plant and machinery - 25% on reducing balance

Fixtures and fittings - 25% on reducing balance

Motor vehicles - 25% on reducing balance

Computer equipment - 33% straight line

Stocks

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

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Debt instruments are subsequently measured at amortised cost.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost re reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.

Taxation

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

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Hire purchase and leasing commitments

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

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

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

Pension costs and other post-retirement benefits

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

Debtors

Basic financial assets, including trade and other debtors, are intially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.

Cash and cash equivalents

Cash and cash equivalents are represented by cash in hand, deposits held at call with financial institutions, and other short-term 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.

Creditors

Basic financial liabilities, including trade and other creditors, loans from third parties and loans from related parties, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Such instruments are subsequently carried at amortised cost using the effective interest method, less any impairment.

Government grants

Grant income is recognised in the profit and loss at the time at which all conditions of the grant have been satisfied.

Grant income relating to capital purchases is deferred and released to the profit and loss account over the life of the asset of which it was received to fund.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 20 (2025 - 26 ) .

4.	INTANGIBLE FIXED ASSETS

Computer

software

£

COST

At 1 April 2025

and 31 March 2026

11,020

AMORTISATION

At 1 April 2025

and 31 March 2026

11,020

NET BOOK VALUE

At 31 March 2026

-

At 31 March 2025

-

5.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

Computer

machinery

fittings

vehicles

equipment

Totals

£

COST

At 1 April 2025

525,416

50,617

32,400

139,882

748,315

Additions

2,867

-

2,867

At 31 March 2026

528,283

50,617

32,400

139,882

751,182

DEPRECIATION

At 1 April 2025

414,089

30,335

29,067

66,713

540,204

Charge for year

28,822

4,885

964

7,449

42,120

At 31 March 2026

442,911

35,220

30,031

74,162

582,324

NET BOOK VALUE

At 31 March 2026

85,372

15,397

2,369

65,720

168,858

At 31 March 2025

111,327

20,282

3,333

73,169

208,111

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

Plant and

machinery

£

COST

At 1 April 2025

and 31 March 2026

82,990

DEPRECIATION

At 1 April 2025

28,146

Charge for year

28,822

At 31 March 2026

56,968

NET BOOK VALUE

At 31 March 2026

26,022

At 31 March 2025

54,844

6.

STOCKS

2026

2025

£

Stocks

54,564

112,905

Work-in-progress

193,891

244,755

248,455

357,660

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

Trade debtors

237,441

385,536

Amounts owed by group undertakings

28,308

246,138

VAT

7,000

-

Prepayments

30,277

28,942

303,026

660,616

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

Bank loans and overdrafts (see note 10)

4,526

81,414

Hire purchase contracts (see note 11)

3,208

18,528

Trade creditors

193,017

91,750

Amounts owed to group undertakings

195,000

Tax

75,555

Social security and other taxes

15,000

-

VAT

-

272,159

Other creditors

352,991

325,729

Accruals and deferred income

5,000

62,734

844,297

1,122,869

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2026

2025

£

Bank loans (see note 10)

-

4,526

Hire purchase contracts (see note 11)

-

3,208

Chiltern Industries Ltd

264,794

272,528

The loan of £264,794 from Chiltern Industries does not have defined terms. Repayment will not be sought until all other creditors of more than 1 year have been paid.

10.

LOANS

An analysis of the maturity of loans is given below:

2026

2025

£

Amounts falling due within one year or on demand:

Bank loans

4,526

81,414

Amounts falling due between two and five years:

Bank loans - 2-5 years

-

4,526

11.	LEASING AGREEMENTS

Minimum lease payments under hire purchase fall due as follows:

2026

2025

£

Gross obligations repayable:

Within one year

3,208

19,405

Between one and five years

-

3,234

3,208

22,639

Finance charges repayable:

Within one year

-

877

Between one and five years

-

26

-

903

Net obligations repayable:

Within one year

3,208

18,528

Between one and five years

-

3,208

21,736

12.	SECURED DEBTS

The following secured debts are included within creditors:

2026

2025

£

Bank loans

4,526

85,940

Hire purchase contracts

3,208

21,736

7,734

107,676

Obligations under hire purchase contracts are secured on the assets to which they relate.

13.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2026

2025

value:

£

80

'A' Ordinary

1

80

14.

RESERVES

Retained

earnings

£

At 1 April 2025

(129,882

)

Deficit for the year

(283,416

)

At 31 March 2026

(413,298

)

15.	PENSION COMMITMENTS

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund. Contributions totalling £15,805 (2025: £21,943) were paid in the year in respect of the defined contribution scheme.

16.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Chiltern Industries Limited is a company in which a Director Arnold James Lines is also a Director. As at 31 March 2026, a balance was owed to Chiltern Industries of £264,794 (2025: £264,794). This amount outstanding is unsecured with no formal agreement in place.

17.	ULTIMATE CONTROLLING PARTY

The ultimate controlling party is A J Lines, following the acquisition of 100% shareholding in Invictus Engineering Group Limited, the parent company of M C E Engineering Limited on 28 March 2024.