M.G.L. DEMOLITION LIMITED
Company number 01051184 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
Financial Health Assessment for M.G.L. DEMOLITION LIMITED
1. Financial Health Score: B (Good – Provisional)
Explanation: This score is based on structural and compliance indicators rather than full financial data. The company is long‑established (since 1972), remains active, has no overdue filings, and is part of a corporate group (Mgl Group Limited) – all positive signs. However, without access to actual turnover, profit margins, liquidity ratios, or debt levels, we cannot rule out underlying weaknesses. A full diagnosis would require the filed annual accounts.
2. Key Vital Signs
Note: The following are inferred from available company data. Actual financial metrics (e.g., current ratio, net profit margin) are not provided and should be reviewed from the latest accounts.
| Vital Sign | Indicator | Interpretation |
|---|---|---|
| Corporate Vitality | Incorporated 1972, active status | Longevity suggests resilience and market experience. |
| Compliance Health | Accounts and confirmation statement up to date | No overdue filings – good governance and regulatory discipline. |
| Ownership Structure | 100% owned by Mgl Group Limited (corporate PSC) | Group backing can provide financial support, but may also indicate dependency. |
| Director Stability | Three current directors, one secretary; all British, no disqualification records | Stable leadership team with no known conduct issues. |
| Share Capital | £250,000 paid up | Solid capital base relative to a small/medium demolition firm. |
| Account Category | Full accounts filed | Suggests the company is above the small threshold (likely medium or large) and subject to more detailed reporting. |
3. Diagnosis: Stable Condition with a Need for a Check‑Up
- Heart (Profitability): Unknown – without profit/loss figures we cannot assess whether the company is generating sustainable earnings.
- Lungs (Cash Flow & Liquidity): Unknown – we cannot evaluate working capital sufficiency or ability to meet short‑term obligations.
- Bones (Asset Base): The share capital and long trading history imply accumulated net assets, but the actual fixed/current asset mix is missing.
- Immune System (Debt & Liabilities): No information on borrowing levels – a high debt burden could weaken this otherwise robust patient.
Provisional Verdict: The company appears structurally sound (long history, compliant, group‑backed), but lacks the financial transparency needed for a definitive clean bill of health. It is like a patient who looks well but hasn’t had recent blood tests.
4. Recommendations
1. Obtain the Latest Full Accounts – Review the most recent balance sheet and profit & loss account (filed up to 31 March 2025) to calculate key ratios:
- Current ratio (current assets / current liabilities) – aim for >1.5.
- Net profit margin – should be positive and sustainable.
- Gearing ratio (debt / equity) – keep below 50% for a capital‑intensive industry like demolition.
2. Monitor Group Dependency – As a wholly owned subsidiary, ensure that intra‑group transactions are at arm’s length and that the parent’s own financial health is sound.
3. Stress‑Test Cash Flow – Demolition projects often involve large upfront costs and long payment cycles. Assess debtor days and cash conversion cycle.
4. Review Director Succession – With three directors, confirm there is a contingency plan for key personnel changes.