23360.02   19 June 2014 2:05 PM    proof 4
difficult things done well
Annual Report and Accounts for the year ended 31 March 2014 chamberlin plc 
Annual Report and Accounts  
for the year ended 31 March 2014
Stock code: CMH 23360.02   19 June 2014 2:05 PM    proof 4
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014
difficult things done well
Investment 
Proposition
 ÆOperating in markets with high barriers to entry protected by process 
know-how or market regulation
 ÆOperating across diversified markets with sales driven by the global 
engineering economy – 70% of sales are ultimately exported
 ÆGrowth opportunity in the turbocharger castings market benefiting from 
regulatory drivers and limited competition
 ÆStrong, credible management team with a proven track record
 ÆSignificant capacity opportunity at modest investment costs
Success in UK engineering has not been easy to 
achieve in recent years, but its requirements can 
be simply stated; winners must do difficult things 
and must do them well.
We define “difficult things” as activities with high engineering 
content delivering technically demanding products or processes. 
To take profitable advantage of them it is essential that a business 
is properly managed and performs well.
Visit us online
For more information on 
Chamberlin Group operations 
please visit our website at
www.chamberlin.co.uk 23360.02   19 June 2014 2:05 PM    proof 4
Contents
KEY POINTS
Strategic Report
Highlights  02 
Chairman’s Statement  03 
Group Overview 04
Business Review
Chief Executive’s Review 06–07
Measurements and Targets 08
Principal Risks and Uncertainties 09
Performance Review
Foundry Division 10
Engineering Division 11
Governance
The Board 13 
Corporate Governance Report 14–16 
Directors’ Report 17–20 
Directors’ Remuneration Report  21–23 
Financial Statements
Introduction  25 
Consolidated Income Statement  26 
Consolidated Statement of  
Comprehensive Income  28 
Consolidated Statement of  
Changes in Equity 29
Consolidated Balance Sheet  30 
Consolidated Cash Flow Statement  32 
Notes to the Accounts  34–66 
Independent Auditor’s Report 67 
Parent Company Balance Sheet 68 
Parent Company  
Cash Flow Statement  69 
Parent Company Statement of  
Changes in Equity  70
Five Year Financial Summary 71
Notice of Annual General Meeting  72–73 
Shareholder Information  74
 
Revenues 
£38.6m 
While revenues are down 8.6% year-
on-year, they have stabilised with 
second half revenues only 2.1% down 
on the first half.
Underlying  
profit before tax
(£818k) 
Second half underlying profit before 
tax reduced to (£179k) reflecting 
improvement in the second half
 
Bank facilities
Refinanced 
Debt facility increased from  
£5.0m at 31 March 2013 to £7.3m  
at 31 March 2014
Contents
www.chamberlin.co.uk
Stock code: CMH
IFC
01 23360.02   19 June 2014 2:05 PM    proof 4
Highlights
 Æ Senior management team appointed in September 2013
 Æ Revenues down 8.6% to £38.6m (2013: £42.3m)
 Æ Exceptional costs £1.0m – mainly reflects turnaround measures
 Æ Dividend suspended until justified by the trading performance of the Group
 Æ Board expect return to profitability in 2014/15
REv ENUE (£M) UNDERLYING PROFIT BEFORE TAx (£000)
2013
42.2
2014 38.6
2013
1,281
2014 (818)
£(818) £38.6
Visit us online
For more information on Chamberlin Group 
operations please visit our website at
www.chamberlin.co.uk
£(2,116)
STATUTORY PROFIT BEFORE TAx (£000) UNDERLYING DILUTED EARNINGS PER SHARE (pence)
2013
799
2014 (2,116)
2013
14
2014 (7.6)
(7.6)
0.0
DIv IDEND PER SHARE (pence) CASH GENERATED FROM OPERATIONS (£000)
2013
3.3
2014 0.0
2013
2,260
2014 (1,425)
(£1,425)
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Introduction
I am pleased to report a significant 
improvement in Chamberlin’s performance 
which has led to a reduction in the level of 
losses in the second half. 
The improvement principally reflects actions 
taken by the new management team to 
stem losses and address the reduction in 
revenues within the foundry operations. 
While foundry revenues are down by 14% 
year-on-year, they have stabilised with second 
half revenues only 3% down on the first half. 
As we previously reported, the light castings 
operations at Walsall showed most resilience 
with revenues down 3.5% while the medium 
and heavy castings business experienced 
reduced demand from key markets, including 
construction, quarrying and mineral 
processing, and power generation. By contrast 
the Group’s engineering businesses, which 
accounted for 25% of Group sales, delivered 
revenue growth of 12% and a significant 
increase in operating profits. 
We start the new financial 
year in a significantly better 
position than the last 
and while there are still 
challenges, we look forward 
to the Group returning to 
sustained profitable growth 
ahead of our original plans.
Results
Revenues for the year ended 31 March 2014 
were down 8.6% to £38.6m (2013: £42.3m). As 
a result, the Group generated an underlying 
loss before tax of £0.8m (2013: profit of 
£1.3m).
The diluted underlying loss per share was 7.6p 
with the second half loss at 0.8p versus the 
first half loss of 6.8p (2013: earnings per share 
of 13.4p).
On a statutory basis, the loss before tax was 
£2.1m (2013: profit of £0.8m), and diluted 
statutory loss per share was 20.2p (2013: 
earnings per share of 9.0p). 
Reflecting the poor operational performance, 
Chamberlin incurred an operating cash 
outflow of £1.5m (2013: inflow of £2.3m). The 
Group’s overdraft and net borrowings at  
31 March 2014 increased to £3.6m (2013: 
£1.0m). The Group’s borrowings were 
previously financed by a £5.0m overdraft 
facility. However, during the year, we agreed 
new asset backed debt facilities totalling 
£7.3m. This comprises a £6.0m invoice 
discounting facility, a £0.8m loan, and a £0.5m 
overdraft. 
Dividend
At the half year, we reported that the Board 
had decided to suspend the payment 
of dividends until the Group’s trading 
performance justified the restoration 
of payments and we are therefore not 
recommending the payment of a final 
dividend (2013: total 3.25p). 
The Board
In September 2013, we were delighted to 
welcome Kevin Nolan and David Roberts 
to the Board as Chief Executive and Finance 
Director respectively.
Kevin Nolan has 30 years’ senior level 
experience in the engineering sector and joins 
Chamberlin from global materials engineering 
group, Wall Colmonoy Ltd, where he was 
Managing Director. He previously worked 
for Doncasters Group Ltd, the international 
engineering group which manufactures 
precision components and assemblies where 
he successfully led the expansion of a number 
of the Group’s business units and latterly 
was appointed Divisional Managing Director 
of Doncasters’ largest division, Doncasters 
Turbine Airfoils and Structural Castings 
Division. 
David Roberts has substantial experience 
in senior financial roles within the 
manufacturing and engineering sectors. 
He was previously at Titanium Metals 
Corporation, a global producer of titanium 
melted and mill products, where he was 
European Finance Director. Before this, 
he worked for Britax International plc as 
Divisional Finance Director of Rear v ision 
Systems, a supplier of original equipment 
exterior mirrors for passenger cars and 
light trucks to automotive manufacturers 
worldwide. 
Staff
On behalf of the Board, I would like to thank 
all our staff for their tremendous efforts over 
a very challenging year. Their hard work will 
help to underpin Chamberlin’s continuing 
turnaround. 
Strategy & Outlook
At the half year, we reported that the new 
management team was focused on evaluating 
the necessary actions to return the Leicester 
and Scunthorpe foundry operations to 
profitability and at the same time, reviewing 
both the cost base and the Group’s growth 
plans. 
The significant improvement in the Group’s 
second half performance is encouraging 
and reflects some of the benefits of the 
actions already taken. We believe that 
there is further scope to reduce costs and 
improve productivity, which remains a key 
focus. The team is also working on business 
development and on improving processes. 
Management efforts remains focused on 
increasing sales in the existing businesses to 
improve capacity utilisation. 
We start the new financial year in a 
significantly better position than the last 
and while there are still challenges, we look 
forward to the Group returning to sustained 
profitable growth ahead of our original plans. 
Keith Butler-Wheelhouse 
Chairman 
20 May 2014
Chairman’s  
Statement
Keith Butler-Wheelhouse
Strategic Report
www.chamberlin.co.uk
Stock code: CMH
03
02 Reven Ue by b USine SS
DiReCT expo RTS
Ma RKeTS SeRve D
Light Castings 36%
Medium Castings 18%
Heavy Castings 21%
Security/safety 16%
Hazardous Environments 9%
Light Castings 65%
Medium Castings 8%
Heavy Castings 4%
Security/safety 13%
Hazardous Environments 10%
Hazardous environments 9%
Passenger car turbo 22% Mining & quarrying 5%
Commercial diesel turbo 11% Off road vehicles 2%
Commercial diesel  1% Power generation  4%
Safety/security 15% Civil engineering 5%
Construction equipment 8% General engineering 5%
Hydraulics 9% Other 4%
Global sales
engineering activity  
outside of the UK is a key  
driver of demand.
Approximately 70% of output is ultimately 
exported. Direct exports account for 35% of 
output with our customers located in Europe, 
America and Asia. Indirect exports, where 
Chamberlin businesses supply products to 
UK-based equipment manufacturers whose 
products are then shipped worldwide, 
account for approximately 40% of our 
output. Against this 30% of sales are driven 
by demand from the UK economy. Global 
demand for engineered products is strong 
and our UK customers, which include 
companies such as Siemens, Howden, JCB and 
Tata Steel, are typically leaders in their sectors.
UK Manufacturing
HeaD offi Ce 
 1 Walsall
fo UnDR ieS
 2 Chamberlin & Hill Castings, Walsall
 3 Chamberlin & Hill Castings, Leicester
 4 Russell Ductile Castings, Scunthorpe
en GineeR in G 
 5 Exidor, Cannock
 6 Petrel, Birmingham
2
3
4
6
5
 1
23360.02   19 June 2014 2:05 PM    proof 4
Product areas
Chamberlin operates 
across five locations in the 
UK. The f oundry Division 
specialises in technically 
demanding castings in 
complex shapes and in 
specialist metallurgies.
Work is allocated across its three foundry 
sites based on size and metallurgy as follows:
 ● Light castings based in Walsall produces 
castings up to 5kg in grey iron;
 ● Medium castings based in Leicester 
produce 5kg to 100kg castings in a wide 
variety of iron alloys;
 ● Heavy castings based in Scunthorpe make 
100kg and 6 tonnes castings again in a 
wide variety of iron grades.
The two engineering businesses supply to 
regulated markets operating from two sites in 
the West Midlands.
Group Overview
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 The f oundries Division currently comprises Chamberlin  
& Hill Castings Ltd and Russell Ductile Castings Ltd.
Chamberlin & Hill  
Castings Ltd
This subsidiary incorporates our Walsall and 
Leicester foundries with combined financial 
and sales functions. Walsall specialises in small 
castings with complex internal passages and 
has built a strong position in automotive 
turbochargers. Our Leicester foundry 
specialises in producing mid-size iron castings 
with complex metallurgy designed to give 
high strength, corrosion or wear resistance or 
low temperature capability and its expertise is 
relevant to many sectors.
Russell Ductile Castings Ltd
RDC is based in Scunthorpe and specialises in 
heavy castings for a wide variety of industries 
including power generation, oil & gas, steel 
and construction equipment. The majority of 
RDC customers are OEMs.
Reven Ue by b USine SS
Light Castings 48%
Medium Castings 24%
Heavy Castings 28%
Exidor 63%
Petrel 37%
Foundry Business
The engineering Division currently comprises  
exidor Ltd and petrel Ltd.
Exidor Ltd
Based in Cannock, Staffordshire, Exidor 
is a long established and leading supplier 
of specialist emergency exit hardware, i.e. 
the crash bars fitted to fire escape doors 
that allow rapid opening in the event of an 
emergency. In 2011, it added door closers 
to its range, following the acquisition out of 
administration of the assets of Jebron Ltd. 
Petrel Ltd
Petrel Ltd, based near the National 
Exhibition Centre to the East of Birmingham, 
concentrates on the development and 
production of certified lighting and control 
equipment for use in hazardous and explosive 
environments. This is a highly regulated 
market servicing a variety of sectors including 
the petrochemical and distilling industries. 
Reven Ue by b USine SS
Engineering Business
23360.02   19 June 2014 2:05 PM    proof 4
Read more on page 10
Read more on page 11
05
04
Stock code: CMH
www.chamberlin.co.uk www.chamberlin.co.uk
Stock code: CMH
Strategic Report Pictured: Centre Case and Bearing  
Support castings for gas turbine
23360.02   19 June 2014 2:05 PM    proof 4
The financial year to 31 March 2014 saw 
mixed trading conditions. Group sales are 
down 8.6% compared to 2013, with sales from 
Foundry activities down 14% and offsetting 
good growth in the Engineering businesses 
of 12%. The slowdown in the Foundry 
Division was especially apparent in the power 
generation, quarrying and mineral processing 
sectors, but there was also a reduction in 
order levels in turbocharger casings and 
housings. Although underlying demand 
remains subdued our focus during the 
second half of the financial year under review 
was to significantly reduce cost and improve 
productivity. At the same time we have 
implemented a more strategic approach to 
business development and the identification 
of new opportunities. 
While it has been a difficult year, good 
progress has been made and we are 
encouraged by the improvement in 
performance in the second half of the year. 
We believe that Chamberlin’s prospects for 
the medium term remain attractive.
Foundries
Foundry revenues show a 14% reduction 
year-on-year to £29.1m (2013: £33.7m), with 
revenues at the Leicester and Scunthorpe 
foundries especially impacted by lower 
demand while the Walsall foundry showed 
only a 3.5% year-on-year reduction. 
Encouragingly, foundry revenues in the 
second half have stabilised, with a 3% 
reduction between the second and first half. 
The total operating loss was £0.2m (2013: 
profit of £2.2m) but there was a significant 
improvement in the second half performance 
with a marginal operating profit of £0.04m 
against a loss of £0.28m in the first half. 
During the second half we brought the 
operations of the three foundries under 
a single management structure to create 
a Foundry Division. This has eliminated 
duplicate roles and reduced costs. 
Our foundry at Walsall specialises in 
producing small castings which have complex 
internal geometry, in mid-to-high volumes. 
It uses multiple grades of grey cast iron 
and the castings are typically below 3kg in 
weight. Its expertise in the development and 
production of castings with complex internal 
passages is well established and the complex 
geometry is achieved through the use of 
innovative core assembly techniques. A major 
market for the Walsall foundry is automotive 
turbochargers, where modern designs require 
careful alignment of cooling and lubrication 
passages to meet the increased performance 
demanded by modern engines. Turbochargers 
accounted for 35.0% of the Foundry Division 
sales (2013: 31.3%). Legislation to reduce CO
2
 
emissions is promoting the introduction of 
smaller, turbocharged petrol engines and this 
technology shift is continuing. 
During 2013/14 the Walsall foundry 
commissioned a chemical cleaning plant, 
enabling castings to be despatched clear 
of any sand or potential blockages. It also 
alleviates stresses that could be induced 
into the castings from alternative cleaning 
methods. This additional process has reduced 
lead time and improved quality. 
Our foundry in Leicester produces mid-
size castings typically around 20kg, with 
moderately complex internal shapes although 
typically with demanding metallurgy 
requirements around temperature, strength 
and wear resistance. A major market for 
the Leicester foundry is the construction 
equipment industry, and demand from 
this sector weakened significantly in the 
financial year. In addition, as previously 
reported, the Leicester foundry experienced 
severe operational problems during the year 
which increased scrap rates and created 
inefficiencies due to machine downtime.  
We took remedial action, which has rectified 
the issues. However, the additional one-off 
cost incurred during the financial year was 
£0.5m. While demand remains subdued at 
Leicester, work is underway to broaden the 
customer base.
Our foundry in Scunthorpe specialises in the 
production of heavy castings weighing up to 
6,000kg which have complex geometry and 
challenging metallurgy. Applications typically 
require high strength or high temperature 
performance and include castings for large 
process compressors, industrial gas turbines 
and mining, quarrying and construction 
equipment. The foundry also takes 
responsibility for machining the castings, via 
a range of sub-contractors, and so a large 
proportion of its output is supplied as a 
finished part. Demand from its key markets 
during the financial year remained subdued 
and we took action to reduce the foundry’s 
cost base to ensure a lower breakeven point. 
This has created a stronger platform which 
will help to ensure increased margin when 
volumes return. We are currently working 
closely with customer design engineers on 
high impact resistance irons to develop 
existing grades to a better performance level.
All foundries in the Group benefit from 
advanced thermal analysis testing equipment 
which allows a greater level of understanding 
and control of the base irons before the 
metal is committed to pouring into moulds. 
By associating this with the current casting 
simulation software we are able to advise 
on all aspects of production from the initial 
design stages.
Chief 
Executive’s 
Review
Kevin Nolan
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Engineering
Revenues from the engineering operations 
rose by 12% year-on-year to £9.5m (2013: 
£8.5m) and operating profits rose 76% to 
£0.7m (£2013: £0.4m). This Division now 
accounts for approximately 25% of Group 
revenues. 
Exidor
Exidor is the UK market leader in panic and 
emergency exit door hardware, and in 2011 
it expanded into the market for door closers 
through the acquisition of Jebron, thereby 
broadening its offering to its existing panic 
hardware customers. Exidor has continued 
to consolidate its UK market leading position 
in panic hardware and to improve its share 
of the door closer market, and to service 
the emerging need for physical security to 
protect high value retail infrastructure and 
critical national infrastructure. Exidor has 
been targeting increased export sales and 
I am pleased to report significant success, 
driven by a more strategic approach to new 
export market selection and development. 
We expect to see continuing growth in 
exports over the current year and beyond. 
Exidor operates in a highly regulated market 
as its products are for life-critical applications 
and its customers place great value upon 
the assurance of genuinely British designed, 
manufactured and certified product. 
Petrel
Petrel Limited manufactures lighting and 
control equipment for use in hazardous 
areas. The Company was established over 
30 years ago and provides high quality 
products, designed for use in the rigorous 
and demanding environments classified 
as hazardous areas. It has established 
a reputation for high quality design, 
development and production and supplies 
customers in the UK, European and 
International markets. 
To complement their existing hazardous 
area lighting portfolio, Petrel Limited 
recently entered the LED market and now 
provides its customers with solutions that 
carry the additional benefits of longer life, 
lower maintenance and reduced energy 
consumption. Being solid state components 
LEDs are also less prone to damage and 
external shock making them ideal for use 
in harsh environments. This technology 
continues to develop at a considerable pace 
and the Petrel LED offer utilises the very latest 
technology to ensure that customers can 
achieve the optimum benefits in terms of 
light output and reduced maintenance.
The very latest product launched is a portable 
light fitting. The PLx range is designed for 
use in a wide variety of Zone 1/21 hazardous 
area applications. Manufactured solely in 
the UK, it will provide users with a robust, 
reliable lighting solution whilst remaining light 
enough to be carried around on site with 
ease. Available in both fluorescent and LED 
versions, this product utilises the very latest 
in lighting technology to deliver high levels 
of lighting in a truly portable fitting. During 
2014 1.7% of sales (2013: 0.0%) were from 
portable lighting and LED. Further growth 
opportunities are expected to come from 
both product offerings. 
Outlook
The significant improvement in the 
underlying loss position of the Group in the 
second half of the year is very encouraging 
and we believe that Chamberlin should 
return to profitability during the new financial 
year. This will largely reflect the stabilisation 
in revenues and the realigned cost base. We 
believe that there is continuing scope to 
improve efficiencies and this remains a strong 
focus in the new financial year. At the same 
time, we are concentrating on driving new 
opportunities across the Foundry Division. 
Given the gestation period, we would expect 
to see the material results of these efforts to 
become more apparent in the financial year 
ending 31 March 2016. We expect to see 
continuing good progress within the two 
engineering operations. 
I remain very encouraged by prospects for 
enhanced performance. 
Kevin Nolan 
Chief Executive 
20 May 2014
Bright Sparks
www.chamberlin.co.uk
Bringing technical  
expertise in-house
During 2013/14 the Walsall foundry 
commissioned a chemical cleaning plant, 
enabling castings to be despatched clear 
of any sand or potential blockages. It also 
alleviates stresses that could be induced 
into the castings from alternative cleaning 
methods. This additional process has reduced 
lead time and improved quality. 
For more information on Chamberlin 
Group operations please visit our website at
07
Stock code: CMH
www.chamberlin.co.uk
06
Strategic Report
Business Review 23360.02   19 June 2014 2:05 PM    proof 4
Measurements 
and T argets
Business performance is measured through Group wide targets and improvement measures. 
Each Chamberlin business unit participates in an annual round of planning meetings with 
the Executive Management, during which performance and future plans for that business are 
reviewed and updated. These business plans are all aligned with the Group business strategy 
and include specific local and divisional targets and key performance indicators (KPIs). 
In addition, individual business reviews take place throughout the year on a regular basis 
enabling the Board to assess performance against tactical and strategic milestones. 
Key Performance Indicators
Key performance indicators (“KPIs”) are used to measure and evaluate Group performance 
against targets and monitor various activities throughout the Group. The main key 
performance indicators employed in the Group are set out below:
 Year to
 31 March 2014
 Year to
 31 March 2013*
Return on sales Foundries (0.8)% 6.4%
Engineering 7.1% 4.5%
Group (2.0)% 3.1%
Return on net assets Foundries (2.4)% 22.8%
Engineering 18.7% 11.9%
Group (10.9)% 15.9%
Sales per employee (£000) Foundries £95.0 £99.9
Engineering £97.0 £89.7
Group £93.4 £95.7
Accident frequency rate Foundries 9.3 14.3
Engineering 4.9 1.3
Group 8.4 12.9
The Directors note that the KPIs reflect  
the trading conditions of the Group during 
the year.
Calculations are based on numbers disclosed 
in the segmental analysis in note 3 to the 
accounts and are shown before exceptional 
items as detailed in note 12 to the accounts. 
The Group percentages incorporate shared 
costs. 
The above KPIs are defined as follows:
Return on sales
The ratio of the segment’s trading profit 
to the segment’s sales. The trading profit is 
defined in the segmental analysis in note 3.
Return on net assets
The ratio of the segment’s trading profit to 
the segment’s net assets (as analysed in  
note 3).
Sales per employee
The ratio of the segment’s sales to the 
segment’s average number of employees.
Accident frequency rate
The number of accidents per 100,000 hours 
worked averaged for the full year.
* 2013 KPIs have been amended to reflect the adoption 
of IAS 19 (revised) and changes to the Group’s segmental 
analysis methodology. 
(2.0)
RETURN ON SALES (%) RETURN ON NET ASSETS (%)
2013
3.1
2014 (2.0)
2013
15.9
2014 (10.9)
(10.9)
93.4
SALES PER EMPLOYEE (£000) ACCIDENT FREq UENCY RATE PER 100,000 HOURS
2013
95.7
2014 93.4
2013
12.9
2014 8.4
8.4 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Management throughout the Group uses a common model to identify and assess the impact of risks to their businesses. The Group’s risk 
management process is described further in the corporate governance report on pages 14 to 16 . 
Risk Description of Risk & Potential Impact Mitigation
Foreign currency fluctuation
Approximately 20% of Group revenue is 
derived in Euros. Significant fluctuations 
could have a material impact on the financial 
performance of the Group.
Group sells Euros forward in order to provide 
an effective hedge. 
Raw material pricing fluctuation
The price of many raw materials is dependent 
upon movements in commodity prices, 
especially iron. 
The Group negotiates, where appropriate, 
price surcharge arrangements into its 
customer contracts. 
Failure of our health, safety and 
environmental (HSE) controls resulting in 
harm to employees or other stakeholders
We recognise that we have a duty of care 
to our employees. We have made great 
progress in recent years but understand the 
impact on our employees from the failure 
of this obligation. This could result in injury 
or death to our employees or to others and 
environmental damage with the consequential 
impact of reputational damage and risk of 
regulator action. 
Established processes are in place to ensure 
that health, safety and environmental matters 
are appropriately addressed and any such risks 
are minimised including monthly reporting 
to, and review at the Executive Committee. 
Specialist HSE employees to provide support 
and guidance to businesses including the 
conduct of regular risk control and health and 
safety audits. 
IT failure/system collapse and loss of data 
We utilise a significant number of IT 
systems to support the Group’s production, 
technology, marketing, sales and financial 
functions. Failure of any of the systems, 
corruptions or loss of data could have a major 
impact on operations. 
Development and regular testing of business 
continuity plans. 
Ensuring business continuity plans are robust 
and address temporary unavailability of IT 
systems.  
Strategy to upgrade and replace key systems. 
Market deterioration
We are a capitally intensive business with a 
high level of fixed costs. Deterioration in our 
key markets could have a material impact on 
the financial performance of the Group.
The Group sells into a wide variety of different 
markets, selling a diversified product range. 
We strive to work with our key customer to 
introduce new products and are constantly 
seeking to identify new business segments 
and geographical locations into which to sell 
our products.
Production failures
Due to the complex technical nature and 
fine production tolerances of our products, 
an unstable production process can result 
in significant scrap which could have a 
significantly adverse impact on results.
The Group seeks to employ a skilled 
workforce backed by a highly experienced 
technical and production team in order to 
provide the relevant experience and skill set to 
mitigate any production failures.
The Group’s approach to managing other financial risk is set out in note 25 to the financial statements. 
Principal Risks  
and Uncertainties
www.chamberlin.co.uk
Stock code: CMH
09
08
Strategic Report
Business Review o ur three foundry sites cast a range of 
products ranging from 1kg up to 6,000kg 
and deliver castings with complex 
geometry and challenging metallurgy. 
23360.02   19 June 2014 2:05 PM    proof 4
Foundry 
Division
ope Ra TinG pR ofi T £000 RevenUe
Performance
Foundry division sales decreased by 13.7% 
reflecting reduced demand across all three 
sites. During 2014, the Leicester foundry 
experienced severe operational problems 
which increased scrap rates and created 
inefficiencies due to machine downtime. 
Remedial action has been completed and  
the additional cost incurred was £0.5m.
As a result of the lower revenue and the 
operational inefficiencies, segmental 
operating profit fell by £2.4m to a loss  
of £0.2m. 
Key Achievements
 ● Creation of a foundry division to  
eliminate duplicated roles and benchmark 
best practice
 ● Headcount reduction from 329 to 283  
as at the year end
www.chamberlin.co.uk/ 
our-businesses/castings
For more information on our Foundry 
Division please visit our website at:
2014 
2013 
(244)
2,159
Light Castings 48%
Medium Castings 24%
Heavy Castings 28%
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 o ur two engineering sites produce 
emergency exit hardware, mechanical and 
electrical door closers and lighting and 
control equipment for use in hazardous 
and explosive environments. 
23360.02   19 June 2014 2:05 PM    proof 4
The Strategic Report, which comprises pages 02 to 11, together with the commentary 
on the primary statements on pages 27 to 33, has been approved by the Board of 
Directors and signed on their behalf by:
David Roberts 
Secretary 
20 May 2014
Engineering 
Division
ope Ra Tin G pRofi T £000 RevenUe
Exidor 63%
Petrel 37%
2014 
2013 
672
381
Performance
Sales growth by 11.5% driven principally by 
export demand for door closers.
Segmental operating profit grew by 76.4%.
Key Achievements
 ● Launch of portable hazardous lighting 
product
 ● Development of export markets for panic 
hardware and door closers
www.chamberlin.co.uk/ 
our-businesses/engineering
For more information on our Foundry 
Division please visit our website at:
Strategic Report
Performance Review
10
11
Stock code: CMH
www.chamberlin.co.uk 23360.02 Design A 06-5-2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014
Governance
The Board 13 
Corporate Governance Report 14–16 
Directors’ Report  17–20  
Directors Remuneration Report 21–23 Non-Executive Chairman
Keith Butler-Wheelhouse
Aged 68, Keith joined the Board and was appointed 
Non-Executive Chairman in March 2012. Previously 
Chief Executive of Smiths Group plc, Saab 
Automobile Sweden and Delta Motor Corporation 
South Africa. He is currently Non-Executive 
Director of Plastics Capital plc and previously 
served as a non-executive Director with Atlas 
Copco AB, General Motors Europe, J Sainsbury plc 
and NIU Solutions.
Senior Independent Director
Keith Jackson
Aged 65, Keith joined the Board in 2005. He was 
previously Finance Director of Tarmac Group Ltd, 
and was Finance Director of Cape plc between 
1989 and 1996. He is a Director of EuroChem, as 
well as being Chairman of a number of pension 
funds. Keith is Senior Independent Director and 
Chairman of the Audit Committee.
Non-Executive Director
Alan Howarth
Aged 68, Alan was appointed as a Director in 
January 2007. Alan was previously a partner in Ernst 
& Young. He is Chairman of Cerillion Technologies 
Ltd, CRF Inc, and has further non-executive 
interests in a range of private companies. Alan is 
Chairman of the Remuneration Committee.
non-exe CUTive DiReCTo RS
Chief Executive
Kevin Nolan
Aged 57, Kevin joined the Board and was 
appointed Chief Executive on 9 September 2013. 
Kevin Nolan has 30 years’ senior level experience in 
the engineering sector and joins Chamberlin from 
global materials engineering group, Wall Colmonoy 
Ltd, where he was Managing Director. He previously 
worked for Doncasters Group Ltd, the international 
engineering group which manufactures precision 
components and assemblies where he successfully 
led the expansion of a number of the Group’s 
business units and latterly was appointed Divisional 
Managing Director of Doncasters’ largest division, 
Doncasters Turbine Airfoils and Structural Castings 
Division. 
Finance Director
David Roberts
Aged 45, David joined the Board and was 
appointed Finance Director and Company 
Secretary on 1 September 2013. David Roberts 
has substantial experience in senior financial roles 
within the manufacturing and engineering sectors. 
He was previously at Titanium Metals Corporation, 
a global producer of titanium melted and mill 
products, where he was European Finance Director. 
Before this, he worked for Britax International plc as 
Divisional Finance Director of Rear v ision Systems, 
a supplier of original equipment exterior mirrors 
for passenger cars and light trucks to automotive 
manufacturers worldwide. 
exe CUTive DiReCTo RS
Tim Hair resigned from the Board as Company Secretary on 2 September 2013 and as an Executive Director on 9 September 2013.
23360.02   19 June 2014 2:05 PM    proof 4
The Board
www.chamberlin.co.uk
Stock code: CMH
13
12 Governance 23360.02   19 June 2014 2:05 PM    proof 4
Principles of good governance
The Group has set out it’s Governance Code as described below and in the Directors’ Remuneration Report.
The Board and its committees:
(a) The Board
The Board normally comprises a non-executive Chairman, two other non-executive Directors and at least two executive Directors. The Directors 
(including non-executive Directors) have a range of experience and are of sufficient calibre to bring independent judgement to bear on issues 
of strategy, performance, resources and standards of conduct, which is vital to the success of the Group. The Board meets at least eight times a 
year and additionally when necessary. At each scheduled meeting of the Board, the Chief Executive reports on the Group’s operations and the 
Finance Director reports on the financial position of the Group. To enable the Board to discharge its duties, all Directors receive appropriate and 
timely information. Briefing papers are distributed by the Company Secretary to all Directors in advance of Board meetings. In addition the Board 
has adopted standard procedures and practices whereby significant issues affecting the Group are reviewed on a regular basis. 
 Keith Butler-Wheelhouse is the non-executive Chairman and Keith Jackson is the senior independent non-executive Director. There is a schedule 
of matters which are reserved for decision by the Board and matters which are delegated to the various Board committees or to the executive 
Directors, along with monetary levels of authority for capital expenditure and other financial commitments.
 Following the appointment of new Directors, an appropriately tailored induction programme is arranged and the training needs of Directors 
are regularly considered. If appropriate, all Directors have the authority to take independent legal advice and have direct access to the Company 
Secretary. 
 Evaluation of the performance of the Board and evaluation of the performance of individual Directors is conducted regularly on an annual cycle.
(b) Chairman and Chief Executive
 The Chairman of the Company is a non-executive Director who is responsible for the running of the Board. The Board is responsible to 
shareholders for the overall direction and control of the Company, and the Chief Executive is responsible to the Board for management of the 
Company within the parameters set by the Board. There is a clear division of responsibilities between the two roles.
(c) Supply of information
The Board is satisfied that it is provided with information in an appropriate form and quality to enable it to discharge its duties. 
(d) Appointments to the Board
 The Nominations Committee makes recommendations to the Board on the composition of the Board generally and on the balance between 
executive and non-executive Directors. It also makes recommendations on the appointment of new Directors and subsequent re-appointments 
on retirement by rotation. It comprises the non-executive Directors and the Chief Executive. The Chairman of the Committee is Keith Butler-
Wheelhouse.
(e) Re-election of Directors
 At the Annual General Meeting to be held on 31 July 2014 (see the Notice of Annual General Meeting on pages 72 to 73), all Directors will retire 
and, being eligible, offer themselves for re-election. Notwithstanding that Article 94 of the Articles of Association requires only a selection of the 
Directors to retire by rotation, the Directors have taken the decision to apply the good corporate governance provisions of the Code in respect of 
the re-election of Directors as it applies to FTSE 350 companies and consequently to require all Directors to be subject to re-election.
(f) Directors’ remuneration
 The statement of the Company’s policy on executive Directors’ remuneration and details of Directors’ emoluments and service contracts are 
contained in the Directors’ Remuneration Report on pages 21 to 23.
Corporate 
Governance Report
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
(g) Relations with shareholders
 Members of the Board hold meetings from time to time with major shareholders to discuss the Company’s strategy and financial performance. 
These are usually held after the public announcement of results each six months and usually involve the Company’s brokers, through whom 
feedback from institutional investors is obtained as necessary.
 The Board uses the Annual General Meeting to communicate with all private and institutional investors and welcomes their participation.
(h) Audit Committee
 The Audit Committee, which consists of the three non-executive Directors, Keith Jackson (Chairman), Keith Butler-Wheelhouse and Alan 
Howarth, meets at least twice per year with the external auditors in attendance when required. It has formal terms of reference and it assists 
the Board in ensuring that appropriate accounting policies, financial systems, internal controls and compliance procedures are in place. It also 
reviews the relationship between the Group and the external auditors in terms of the provision of non-audit services and ensuring that auditor 
independence and objectivity is maintained. The auditors have direct access to the Chairman of the Audit Committee. A formal “whistle-
blowing” policy is in operation, providing direct access to the Chairman of the Audit Committee, in relation to any concerns staff may have 
concerning the propriety of Group operations and activities. No issues or incidents have come to light as a result of this policy. 
 All proposals for the provision of non-audit services by the external auditor are pre-approved by the Audit Committee or its delegated member, 
the overriding consideration being to ensure that the provision of non-audit services does not impact the external auditor’s independence and 
objectivity.
(i) Remuneration Committee
 The Remuneration Committee comprises the three non-executive Directors. Further details are shown in the Directors’ Remuneration Report.
(j) Annual General Meeting
All Directors expect to attend the Annual General Meeting and to be available to answer questions put to them by shareholders.
(k) Internal control
 The Board is responsible for the Group’s system of internal control and for reviewing its effectiveness in accordance with the guidance set out in 
the Code. However, such a system is designed to manage rather than eliminate the risk of failure to achieve business objectives and can provide 
only reasonable and not absolute assurance against material misstatement or loss.
 The Code has a requirement that the Company Directors review the effectiveness of the Group’s system of internal controls. This includes 
internal financial controls and controls over financial, operational, compliance and risk management. The Directors of each business are required 
to complete internal control questionnaires, which when combined with regular reviews performed by members of the Group finance function, 
gives the Board confidence that internal controls are effective. There have been no identified significant control failings during the year. 
 The Group also operates a risk management process whereby each business identifies its key risks, the probability of those risks occurring, their 
potential impact, and action needed to manage them. This is carried out as a specific exercise as part of the annual budgeting process, but is also 
part of the day-to-day management process of each business.
There is an ongoing process to identify, evaluate and manage the significant risks faced by the Group – this process has been in place throughout 
the year under review and up to the date of approval of the annual report and accounts. This process is regularly reviewed by the Board and 
accords with the FRC Guidance on Internal Control.
www.chamberlin.co.uk
Stock code: CMH
15
14 Governance 23360.02   19 June 2014 2:05 PM    proof 4
Corporate 
Governance Report continued
(k) Internal control (continued)
 The Group has established procedures for planning and budgeting and monitoring the operational and financial performance of all businesses in 
the Group, as well as their compliance with applicable laws and regulations. These procedures include:
 ● Clear responsibilities on the part of line and financial management for good financial controls in the production of accurate and timely 
financial management information.
 ● The control of key financial risks through clearly laid down authorisation levels and proper segregation of accounting duties.
 ● Detailed monthly budgeting and reporting of trading results, balance sheets and cash flows with regular reviews of variances from budgets by 
management and the Board.
 ● Reporting on compliance with internal financial controls and procedures by each individual business unit under the supervision of the Group 
Finance Director and at the year end by external auditors. Interim and Annual Reports are reviewed by the Audit Committee prior to issue.
 The Board has undertaken an assessment of the need for a Group internal audit function. The Board considers that the control systems and 
procedures currently undertaken by the Group are adequately performed by the management and that the Group has not yet reached a size 
where a separate internal audit function would be an appropriate or cost effective method of ensuring compliance with Group policies. It 
therefore does not currently propose to introduce a Group internal audit function. This area will be kept under review as part of the Board’s 
assessment of the Group’s systems of internal control.
Summary of attendance at meetings
Board meetings
Nominations 
Committee
Remuneration 
Committee
Audit 
Committee
Number of meetings in the year 11 2 4 2
Keith Butler-Wheelhouse 11 2 4 2
Keith Jackson 11 2 4 2
Alan Howarth 11 2 4 2
Tim Hair (resigned 9 September 2013) 5 2 n/a n/a
Kevin Nolan (appointed 9 September 2013) 6 — n/a n/a
David Roberts (appointed 1 September 2013) 6 — n/a n/a
n/a – Indicates that a Director was not a member of a particular committee.
By order of the Board
David Roberts 
Company Secretary 
20 May 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Directors’ Report
The Directors present their report together with the audited financial statements for the year ended 31 March 2014.
The Company is registered in England and its registration number is 76928. 
(a) Employees
Staff numbers and associated costs are shown in note 5 to the accounts. The segmental split of the average number of employees is as follows:
 Year to
 31 March 
2014
 Year to
 31 March
2013
Foundries 306 337
Engineering 98 95
Head office* 9 9
Group 413 441
* Includes 3 non-executive Directors
The Group’s employment policy includes a commitment to the principles of equal opportunity for all, and specifically prohibits discrimination 
of any type. Our policy is always to ensure that all persons are treated fairly irrespective of their colour, race, sex, sexual orientation, age or youth, 
religion, political beliefs, trade union membership or non-membership, marital and physical or mental status or any other factors including 
pregnancy and maternity. 
In particular, the Group gives full consideration to applications for employment from disabled persons where the requirements of the job can be 
adequately fulfilled by a disabled person. We endeavour to provide those who have physical or mental disabilities with specific assistance, and 
arrangements are made to enable them to work for us wherever and whenever this is reasonably practical. We expect all employees to comply in 
every respect with the Group’s employment policies at all times.
The Group has arrangements in place for the involvement of all employees in the activities of the business, including management/employee 
briefings, dialogue with trade union representatives and health and safety meetings. A Safety Policy is in place throughout the Group and all 
employees are required to be aware of their responsibilities under the Health and Safety at Work Act. A copy of the policy and all relevant Codes 
of Practice are available at the workplace. It is the policy of the Group to recognise that the training of employees is important to the efficiency 
of the business and each employee’s welfare and safety. Promotion is encouraged within the organisation and it is Group policy to promote from 
within wherever this is appropriate.
(b) Environment
The Board recognises that our operations have an effect on the local, regional and global environment, and as a consequence of this, the Board is 
committed to continuous improvements in environmental performance and the prevention of pollution.
Specifically the Group has and will:
 ● comply with the requirements of all relevant environmental legislation, meeting any set emission limits and standards laid down, and use best 
available techniques in order to control impacts on the environment;
 ● maintain and develop environmental management policies and practices to continually monitor and progress the minimisation of the effects 
of the business on the environment. Environmental management is considered to be a key part of the business strategy at all levels within the 
Group;
 ● actively encourage the minimisation of waste from all aspects of the business and promote the benefits of recycling and re-use;
 ● as part of the Target 2010 climate change levy agreement, aim to meet the requirements to reduce energy use and emissions of carbon 
dioxide by increasing energy efficiency through all parts of the Group and to seek new opportunities of improving energy efficiency as part of 
the overall improvement of the business;
 ● consider environmental factors in respect of the growth of the business, seeking as far as is practical to reduce harmful environmental impacts 
and to integrate new developments into the local environment; and
 ● actively encourage the consideration of the environmental impact of all raw materials and services purchased by the business, and where 
practical to use the options with the least impact and to reduce the consumption of raw materials.
www.chamberlin.co.uk
Stock code: CMH
17
16 Governance 23360.02   19 June 2014 2:05 PM    proof 4
(c) Research and Development
The Group’s research and development activities in the year, as in previous years, consist primarily of devising methods for achieving the casting 
of complex shaped and/or multi-cored products in the foundry businesses and the design and development of new products in our engineering 
businesses, principally hazardous area lighting and emergency exit hardware products. The Board views such activities as key to the future 
prosperity of the business. Expenditure expensed through the income statement is shown in note 7 and expenditure capitalised in note 14 to the 
accounts.
Financial instruments
The Company’s policy in respect of financial instruments is disclosed in note 25.
Dividends
The Directors do not recommend the payment of a final dividend (2013: 2.0p). No interim dividend (2013: 1.25p) has been paid during the year.
Directors
Details of the Directors of the Company at the year end and their interests in the shares of the Company are shown below. The interests of the 
Directors in share options are shown in the Directors’ Remuneration Report on pages 21 to 23.
See Board of Directors on page 13 for details of all Directors during the year, including appointments and resignations.
Directors’ shareholdings
Beneficial interests of the Directors in the shares of the Company, including those of their immediate families were:-
At 31 March 
2014
Number of 
shares
At 31 March 
2013
Number of 
shares 
Keith Butler-Wheelhouse 86,152 58,500
Kevin Nolan — —
David Roberts 5,000 —
Keith Jackson 13,525 13,525
Alan Howarth 11,300 11,300
There have been no changes in the interests of the Directors set out above between 1 April 2014 and 20 May 2014.
Special Business at the Annual General Meeting
Directors’ authority to allot shares
As in previous years, approval will be sought for a special resolution to renew the authority given to the Directors to allot shares in the Company. 
Authority will be sought to allot shares in the Company up to an aggregate nominal amount of £663,177 (which represents approximately 33% of 
the issued share capital of the Company as at 20 May 2014). This limit is in line with the guidelines issued by the Association of British Insurers. 
Authority will also be sought from shareholders to allow the Directors to issue new shares for cash to persons other than to existing members up 
to a maximum nominal amount of £99,476. This sum represents 397,906 ordinary shares of 25 pence each, being equivalent to 5% of the issued 
share capital of the Company at 20 May 2014.
Authority to purchase own shares
At the Annual General Meeting in 2013, the Board was given authority to purchase and cancel up to 795,812 of its own shares representing just 
under 10% of the Company’s then existing issued share capital, through market purchases on The AIM Market. The maximum price to be paid 
on any exercise of the authority was restricted to 105% of the average of the middle market quotation for the shares for the five dealing days 
immediately preceding the day of a purchase. The minimum price which may be paid for each share is 25 pence. No purchases have been made.
The current authority to make market purchases expires at the forthcoming Annual General Meeting. The Directors have resolved, if the right 
circumstances exist, to exercise the current authority which remains valid until the Annual General Meeting, and will continue to consider 
circumstances in which they may exercise this authority. They are now seeking the approval of shareholders for the renewal of this authority 
upon the same terms, to allow the Company to purchase and cancel up to 795,812 of its own shares, again representing just under 10% of its 
issued share capital at 20 May 2014. 
Directors’ Report continued
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
The authority is sought by way of a special resolution, details of which are also included at item 11 in the Notice of Meeting. This authority will 
only be exercised if the Directors, in the light of market conditions prevailing at the time, expect it to result in an increase in earnings per share, 
and if it is in the best interests of the shareholders generally. Account will also be taken of the effect on gearing and the overall position of the 
Company.
Both authorities are to be for the period commencing on the date of passing of the resolution until the next Annual General Meeting. The 
proposed resolutions are set out as items 9 to 11 in the Notice of Meeting on page 72.
Substantial shareholders
At 20 May 2014 the Company was aware of the following interests of 3% or more of the Company’s share capital, other than those of Directors:
Number of 
shares
% of issued 
share capital
Discretionary Unit Fund Managers 1,500,000 18.8
Miton Capital Partners 965,471 12.1
Henderson Global Investors 741,000 9.3
Schroder Institutional UK Smaller Companies Fund 400,000 5.0
AxA Framlington 300,000 3.8
Chelverton Asset Management 300,000 3.8
q uilter & Co 283,800 3.6
Perfecta Assets Ltd 275,000 3.5
At the Annual General Meeting to be held on 31 July 2014 (see the Notice of Annual General Meeting on pages 72 to 73, all of the Directors will 
retire and, being eligible, offer themselves for re-election. 
No Director had a material interest during the year in any significant contract with the Company or with any subsidiary undertaking. The Group 
provides indemnities to the Directors in respect of liabilities or claims arising in the performance of their duties. For all the Directors serving 
during the year, and up to the date of this annual report, there are indemnity arrangements in place with each Director in respect of costs 
defending civil, criminal and regulatory proceedings brought against them in their capacity as Directors, where not covered by insurance and 
subject always to the limitations set by the Companies Act 2006.
Statement of Directors’ responsibilities 
The Directors are responsible for preparing the Annual Report and the Group and Company financial statements in accordance with applicable 
United Kingdom law and regulations. Company law requires the Directors to prepare Group and Company financial statements for each financial 
year. Under that law, the Directors have elected to prepare Group and Company financial statements under IFRSs as adopted by the European 
Union and in respect of the Company financial statements, as applied in accordance with the provisions of the Companies Act 2006.
Under Company Law the Directors must not approve the Group financial statements unless they are satisfied that they give a true and fair view 
of the state of affairs of the Group and of the profit or loss of the Group and Company for that period. In preparing the Group and Company 
financial statements the Directors are required to: 
 ● present fairly the financial position, financial performance and cash flows of the Group and Company;
 ● select suitable accounting policies in accordance with IAS 8: Accounting Policies Changes in Accounting Estimates and Errors, and then apply 
them consistently;
 ● present information, including accounting policies, in a manner that provides relevant, reliable, comparable and understandable information; 
 ● provide additional disclosures when compliance with the specific requirements in IFRS as adopted by the European Union is insufficient to 
enable users to understand the impact of particular transactions, other events and conditions on the Group and Company’s financial position 
and financial performance; 
 ● state whether the Group and Company financial statements have been prepared in accordance with IFRSs as adopted by the European 
Union, subject to any material departures disclosed and explained in the financial statements; and
 ● make judgements and estimates that are reasonable.
www.chamberlin.co.uk
Stock code: CMH
19
18 Governance 23360.02   19 June 2014 2:05 PM    proof 4
The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and Company’s 
transactions and disclose with reasonable accuracy at any time the financial position of the Group and Company and enable them to ensure that 
the Group and Company financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the 
Group and Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 
The Directors are also responsible for preparing the Directors’ Report and Strategic Report in accordance with the Companies Act 2006 and 
applicable regulations.
Going concern
After making appropriate enquiries, the Directors consider that the Group has adequate resources to continue in operation for the foreseeable 
future and are not reliant on the renewal of the Group’s £0.5m overdraft facility after its renewal date of February 2015. In forming this view the 
Directors have reviewed budgets and other financial information as set out in note 27 to the Financial Statements. For this reason, they continue 
to adopt the going concern basis in preparing the accounts.
Directors’ statement as to disclosure of information to auditors
The Directors who were members of the Board at the time of approving the Directors’ report are listed on page 13. Having made enquiries of 
fellow Directors and of the Company’s auditors, each of these Directors confirms that:
 ● to the best of each Director’s knowledge and belief, there is no information relevant to the preparation of their report of which the 
Company’s auditors are unaware; and
 ● each Director has taken all the steps a Director might reasonably be expected to have taken to be aware of relevant audit information and to 
establish that the Company’s auditors are aware of that information.
Post balance sheet events
There have been no post balance sheet events.
Auditors
A resolution will be proposed to reappoint Ernst & Young LLP as auditors and to authorise the Directors to determine their remuneration.
By order of the Board
David Roberts 
Company Secretary 
20 May 2014
Directors’ Report continued
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Remuneration Committee
The Remuneration Committee comprises the three non-executive Directors: Alan Howarth (Chairman), Keith Butler-Wheelhouse and  
Keith Jackson. The committee meets when necessary, usually at least twice per year, and is responsible for determining the remuneration 
packages of the executive Directors and of the Chairman.
Policy on remuneration of Executive Directors and Senior Executives
The committee aims to ensure that remuneration packages offered are designed to attract, maintain and motivate high calibre Directors 
and senior executives, without paying more than necessary for the purpose. The remuneration policy attempts to match the interests of the 
executives with those of shareholders by providing:-
(a) Basic salary and benefits
 Executive Directors’ basic salaries are reviewed each year, taking into account the performance of the individual and rates of salary for similar jobs 
in companies of comparable size. The main benefits provided are company cars and health insurance.
 The Company operates a number of defined contribution pension schemes for the majority of its employees, including executive Directors. No 
performance related bonuses nor benefits in kind are included in pensionable salary.
(b) Annual performance related bonus scheme
 In order to link executive remuneration to Group performance, executive Directors participate in bonus schemes appropriate to their objectives. 
For the year ended 31 March 2014 the bonus in respect of Kevin Nolan and David Roberts was linked to the profit performance of the Group 
and the achievement of personal objectives. The maximum amount of bonus payable is 100% of their basic salary. 
(c) Share options
 An incentive to achieve longer-term improvements in shareholder value is afforded through a share option. The key features of the scheme is 
summarised as follows:
i.  A Share Option Plan (“SOP”) which issued options at 100.2p per share. The options will normally become exercisable on or after the third, 
fourth and fifth anniversary of the date of grant subject to the satisfaction of performance conditions set by the Remuneration Committee of 
the Company at time of granting. The proportion of awards that become exercisable varies on a straight line basis, from 25% to 100%, based 
on shareholder return, calculated as the average share price during the three month period ending on the anniversary of the date of grant. 
A shareholder return of 125p is required for 25% of the options to be exercisable, with a shareholder return of 200p necessary for 100% of 
options to be exercised. No tranche of options are exercisable if shareholder return is below this range. 
Service contracts
All executive Directors who served during the year have rolling service contracts terminable on no more than one year’s notice.
Non-executive Directors
Remuneration of the non-executive Directors, apart from the Chairman, is approved each year by the Chairman and the executive Directors. The 
Chairman’s remuneration is approved by the Remuneration Committee.
Directors’ 
Remuneration Report
www.chamberlin.co.uk
Stock code: CMH
21
20 Governance 23360.02   19 June 2014 2:05 PM    proof 4
Directors’ remuneration
 
Basic
salary
£000
Benefits
£000
Annual
bonus
£000
Payment under 
employment 
settlement
£000
Total remuneration 
excluding pensions
2014
£000
2013
£000
Executive
Tim Hair* (resigned 9 September 2013) 248 21 — — 269 279
Kevin Nolan 107 1 45 — 153 —
David Roberts 78 1 27 — 106 —
Non-Executive
Keith Butler-Wheelhouse 75 — — — 75 75
Keith Jackson 23 — — — 23 23
Alan Howarth 23 — — — 23 23
Former Directors — — — — — 198
Total 554 23 72 — 649 598
Total 2013 442 33 43 80 598
* Highest paid Director in 2013 and 2014, including £141,000 of payments in lieu of notice included within exceptional costs as disclosed in note 12.
Benefits include all assessable tax benefits arising from employment by the Company, and relate mainly to the provision of company cars and 
private medical insurance. The figures above represent emoluments earned as Directors during the relevant financial year. Such emoluments 
are paid in the same financial year with the exception of bonuses which are paid in the year following that in which they are earned. The 
emoluments of other key management personnel are disclosed in note 26.
Directors’ pensions
No retirement benefits accrued during the year, or prior years, to Directors under the Chamberlin & Hill Staff Pension and Life Assurance Scheme 
(2013: nil) which is a closed defined benefit scheme.
Contributions into personal pension plans
Percentage of
basic salary
Contribution 
paid
2014
£000
Contribution 
paid
2013
£000
T Hair (resigned 9 September 2013) 10% 25 21
K Nolan 10% 10 —
D Roberts 10% 7 —
For Directors who have served during the year, no other pension contributions were paid other than as disclosed above.
Directors’ 
Remuneration Report continued
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Directors’ options
31  March 
2013
Granted 
 in year 
Exercised 
in year
Lapsed or 
forfeited
in year
31 March 
2014
Option 
exercise 
price Exercisable between
Tim Hair 525,865 — — — 525,865 52.8p 23.2.2013 – 20.11.2016 
Kevin Nolan — 59,880 — — 59,880 100.2p 20.9.2016 – 19.09.2023
— 59,880 — — 59,880 100.2p 20.9.2017 – 19.09.2023
— 59,880 — — 59,880 100.2p 20.9.2018 – 19.09.2023
David Roberts — 41,583 — — 41,583 100.2p 20.9.2016 – 19.09.2023
— 41,583 — — 41,583 100.2p 20.9.2017 – 19.09.2023
— 41,584 — — 41,584 100.2p 20.9.2018 – 19.09.2023
525,865 304,390 — — 830,255
Where applicable, option grants are exercisable only upon the achievement of the performance targets explained on page 21.
No consideration is payable for the grant of an option, which is exercisable at a price to be determined by the Remuneration Committee at the 
time when the option is granted as detailed above.
The exercise of share options resulted in a gain for Tim Hair in the previous year of £10,000. At the time of exercise the Company’s share price was 
119.5p. No share options have been exercised in 2013/14.
There have been no changes in the interests set out above between 1 April 2014 and 20 May 2014.
The mid-market price of the shares at 31 March 2014 was 74p and during the year ranged between 112p and 65.5p.
On behalf of the Board
Alan Howarth 
Chairman, Remuneration Committee 
20 May 2014
www.chamberlin.co.uk
Stock code: CMH
23
22 Governance 23360.02 Design A 06-5-2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014
Financial Statements
Welcome to the Financial Statements 
section of our Annual Report.
Introduction 25
Primary Statements 26–33
Section 1  
– Basis of Preparation 34–35
Section 2  
– Results of the Year 36–42
Section 3  
–  Operating Assets  
and Liabilities 43–50
Section 4  
– Capital Structure 51–52
Section 5  
– Other Supporting Notes 53-66
Independent Auditor’s Report 67
Parent Company  
Financial Statements 68–70
Five Year Financial Summary 71
Notes of the  
Annual General Meeting 72–73 
Shareholder Information 74 23360.02   19 June 2014 2:05 PM    proof 4
David Roberts
 
Introduction
The Directors have 
included the annual 
financial review, which 
forms part of the Strategic 
Report, on the following 
pages as commentary on 
the primary statements.
Whilst the accounting policies adopted by 
the Company are an important part of our 
Annual Report, we recognise that many 
readers of the Financial Statements prefer to 
use these as a reference tool. These policies 
are now included towards the end of the 
Financial Statements, rather than at the 
beginning. 
We included 26 notes to the Group Financial 
Statements in the previous year and while 
all of this information is necessary to ensure 
we comply with International Financial 
Reporting Standards, it does not always make 
it easy to find what you are looking for. We 
have therefore restructured the notes into 
five new categories (as outlined in the table 
of contents on the previous page) for easier 
navigation.
Introduction and  
Table of Contents
These financial statements are presented in 
a manner which attempts to make them less 
complex and more relevant to shareholders. 
We have grouped notes in sections under five 
headings: ‘Basis of Preparation’, ‘Results for the 
Year’, ‘Operating Assets and Liabilities’, ‘Capital 
Structure’ and ‘other supporting notes’. The 
purpose of this format is to provide readers 
with a clearer understanding of what drives 
the financial performance of the Group. 
Notes to the financial statements provide 
additional information required by statute, 
accounting standards to explain a particular 
feature of the financial statements. The notes 
that follow will also provide explanations 
and additional disclosure to assist readers’ 
understanding and interpretation of the 
Annual Report and the financial statements. 
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Year ended 31 March 2014
Year ended 31 March 2013
As restated
+
 Notes
Underlying
£000
Non-
underlying*
£000
Total
£000
Underlying
£000
Non-
underlying*
£000
Total
£000
Revenue 3 38,562  —  38,562  42,266  (69)  42,197 
Cost of sales (32,413)  —  (32,413)  (34,146)  —  (34,146) 
Gross profit 6,149  —  6,149  8,120  (69)  8,051 
Other operating expense 4, 12 (6,905)  (1,142)  (8,047)  (6,798)  (278)  (7,076) 
Operating (loss)/profit 7 (756)  (1,142)  (1,898)  1,322  (347)  975 
Finance costs 6 (62)  (156)  (218)  (41)  (135)  (176) 
(Loss)/profit before tax  (818)  (1,298)  (2,116)  1,281  (482)  799 
Tax credit/(expense) 8 214  298  512  (167)  115  (52) 
(Loss)/profit for the year from continuing 
operations attributable to equity holders 
of the parent company (604)  (1,000)  (1,604)  1,114  (367)  747 
(Loss)/earnings per share: 
Basic 11 (20.2)p 9.4p
Underlying 11 (7.6)p 14.0p 
Diluted 11 (20.2)p 9.0p
Diluted underlying 11 (7.6)p 13.4p 
*  Non-underlying items represent ineffective hedge costs, exceptional items as disclosed in note 12, administration costs of the pension scheme and net financing costs on pension 
obligations, share based payment costs and associated tax impact of these items.
+ Restated for a change in accounting policy as a result of the implementation of IAS 19 Employee Benefits (revised).
Consolidated Income Statement
for the year ended 31 March 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Overview
Sales decreased by 8.6% during the year to £38.6m (2013: £42.2m) and gross profit margin decreased significantly from 19.2% in 2013 to 15.9% in 
2014. During 2014, the Leicester foundry experienced severe operational problems which increased scrap rates and created inefficiencies due to 
machine downtime. Remedial action has been completed and the additional cost incurred during 2014 was £0.5m (1.3% of sales). The balance of 
the gross margin decrease (2.0% of sales, or £0.8m) is attributable to the negative operational gearing impact of lower revenue.
Underlying loss before tax is £0.8m (2013: profit of £1.3m). Diluted underlying loss per share was 7.6p (2013: earnings per share of 13.4p).
The statutory results show statutory operating loss of £1.9m (2013: profit of £1.0m), statutory loss before tax of £2.1m (2013: profit of £0.8m) and 
statutory loss per share of 20.2p (2013: earnings per share 9.0p).
Exceptional items
The current year includes exceptional items of £1.0m (2013: £0.2m). During 2014 the Group rationalised its Foundry operations into one division, 
enabling the elimination of duplication roles and implementation of best practice. As a result the headcount of the Foundry division has been 
reduced by 14.0% from 329 to 283. 
Tax
The Group’s underlying tax credit for the year was £0.2m (2013: charge of £0.2m) with an underlying effective rate of 26% (2013: 13%). The 
statutory total tax credit for the year was £0.5m (2013: charge of £0.1m), an effective tax rate of 24% (2013: 7%). The effective rate of tax is higher 
than the standard rate during the year due to completion of prior year research and development tax claims resulting in a tax repayment.
Foreign exchange
It is the Group’s policy to minimise risk to exchange rate movements affecting sales and purchases by economically hedging or netting currency 
exposures at the time of commitment, or when there is a high probability of future commitment, using currency instruments (primarily forward 
exchange contracts). A proportion of forecast exposures are hedged depending on the level of confidence and hedging is topped up following 
regular reviews. On this basis up to 50% of the Group’s annual exposures are likely to be hedged at any point in time and the Group’s net 
transactional exposure to different currencies varies from time to time.
Pension
The Group’s defined benefit pension scheme was closed to future accrual in 2007. Following the last triennial valuation, as at 1 April 2010, 
contributions were set at £0.3m per year for the period under review increasing by 3% per year thereafter based on a deficit recovery period of 10 
years. A triennial valuation as at 1 April 2013 is currently underway. The Group does not expect a significant increase in the annual deficit funding 
requirement.
The pension expense for the defined benefit scheme was £0.3m in 2014 (2013: £0.3m), and is shown in non-underlying items. The Group cash 
contribution during the year was £0.4m (2013: £0.4m).
The Group operates a defined contribution pension scheme for its current employees. The cost of £0.3m (2013: £0.3m) is included within 
underlying operating performance.
The IAS 19 deficit at 31 March 2014 was £3.5m (2013: £3.9m). The decrease principally reflects the increase in the discount rate used to calculate 
scheme liabilities, as a consequence of a rise in bond yields over the last year and an out performance of assets against expected levels.
Restatement for adoption of IAS19
The consolidated financial statements as at 31 December 2013 have been restated to take account of the adoption of IAS 19: Employee Benefits 
(revised 2011). The principal impact on the Group has been that the return on plan assets included in the income statement is now based on 
the discount rate applied to the liabilities. Prior to this revision, the plan assets’ interest income was included in the income statement. 
The effect of this restatement on 2013 diluted earnings per share was a reduction of 0.6p from 9.6p to 9.0p. 
Commentary on the  
Consolidated Income Statement
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Notes
2014
£000
2013
As restated
£000
(Loss)/profit for the year (1,604)  747 
Other comprehensive income
Reclassification for cashflow hedge included in sales 162  (199) 
Movements in fair value on cash flow hedges taken to other comprehensive income 199  (229) 
Deferred tax on movement in cash flow hedges 8 (79)  102 
Net other comprehensive income/(expense) that may be recycled to profit and loss  282  (326) 
Remeasurement gains/(losses) on pension assets and liabilities 22 338  (996) 
Deferred/current tax on remeasurement (gains)/losses on pension scheme 8 (78)  239 
Movement on deferred tax on remeasurement losses relating to rate change 8 (104)  (41) 
Net other comprehensive income/(expense) that will not be recycled to profit and loss 156  (798) 
Other comprehensive income/(expense) for the period net of tax 438  (1,124) 
Total comprehensive expense for the period attributable to equity holders of the parent company (1,166)  (377)
Commentary on the 
Consolidated Statement  
of Comprehensive Income
Accounting Standards require certain gains and losses on assets and liabilities, instead of being recorded in the consolidated income statement, 
to be credited or charged to reserves and recorded in the consolidated statement of other comprehensive income. In accordance with the 
amendment to IAS1, these items are now allocated between those items that may and those items that may not eventually be recycled to the 
consolidated income statement. 
The settlement of net cashflow hedge derivatives, which are used to protect the Group from foreign exchange exposure are subject to marked to 
market valuations, the movements of which are included within the consolidated statement of comprehensive income. These items (including 
the related taxation effect) amounted to a gain of £0.3m in 2014 (2013: loss of £0.3m).
Re-measurement gains and loss in the Group’s defined benefit pension obligations are also booked to other comprehensive income. These are 
explained in detail in section 5.
Consolidated Statement  
of Comprehensive Income
for the year ended 31 March 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Share 
capital
£000
Share
premium
account
£000
Capital
redemption
reserve
£000
Hedging
reserve
£000
Retained
earings
As restated
£000
Attributable 
to equity 
holders of 
the parent
As restated
£000
Balance at 1 April 2012 1,987  1,269  109  174  5,504  9,043 
Profit for the year —  —  —  —  747  747 
Other comprehensive income 
for the year net of tax  —  —  —  (326)  (798)  (1,124) 
Total comprehensive income —  —  —  (326)  (51)  (377) 
Shares issued on exercise of share options 3  —  —  —  (3)  — 
Dividends paid —  —  —  —  (258)  (258) 
Share-based payment  —  —  —  —  (11)  (11) 
Deferred tax on employee share options —  —  —  —  (104)  (104) 
Balance at 1 April 2013 1,990  1,269  109  (152)  5,077  8,293 
Loss for the year —  —  —  —  (1,604)  (1,604) 
Other comprehensive income 
for the year net of tax  —  —  —  282  156  438 
Total comprehensive income/(expense) —  —  —  282  (1,448)  (1,166) 
Dividends paid —  —  —  —  (159)  (159) 
Share-based payment  —  —  —  —  9  9 
Deferred tax on employee share options —  —  —  —  (37)  (37) 
Balance at 31 March 2014 1,990  1,269  109  130  3,442  6,940
Consolidated Statement  
of Changes in Equity
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Notes
31 March
2014
£000
31 March
2013
£000
Non-current assets
Property, plant and equipment 13 7,907  8,199 
Intangible assets 14 456  620 
Deferred tax asset 18 1,196  1,158 
 9,559  9,977 
Current assets
Inventories 15 3,734  3,331 
Trade and other receivables 16 7,508  8,072 
Current tax 16 38  — 
 11,280  11,403 
Total assets 20,839  21,380 
Current liabilities
Financial liabilities 17 3,041  981 
Trade and other payables 17 6,641  7,931 
Provisions 17 26  26 
Current tax —  95 
 9,708  9,033 
Non-current liabilities
Financial liabilities 18 600  — 
Deferred tax 18 98  141 
Defined benefit pension scheme deficit 22 3,493  3,913 
 4,191  4,054 
Total liabilities 13,899  13,087 
Capital and reserves
Share capital 19 1,990  1,990 
Share premium  1,269  1,269 
Capital redemption reserve  109  109 
Hedging reserve 130  (152) 
Retained earnings  3,442  5,077 
Total equity 6,940  8,293 
Total equity and liabilities 20,839  21,380 
Kevin Nolan
Director
David Roberts
Director
The accounts were approved by the Board of Directors on 20 May 2014
Consolidated Balance Sheet
at 31 March 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Net Debt
Net Debt at the year end was £3.6m compared to £1.0m at the end of the previous year. Total committed bank facilities available to the Group at 
the year end was £7.3m (2013: £5.0m), of which £3.6m (2013: £1.0m) was drawn.
Property, Plant and Equipment (PPE)
The net book value of the Group’s investment in PPE at 31 March 2014 was £7.9m. Capital Expenditure on PPE of £1.0m (2013: £1.4m) 
represented 81% (2013: 114%) of depreciation of £1.3m (2013: £1.2m).
Cash generation and financing
Chamberlin incurred cash outflows in the year due to operating losses. Operating cash outflow was £1.5m (2013: inflow of £2.3m).
Our overdraft and net borrowings at 31 March 2014 increased to £3.6m (2013: £1.0m). The Group was previously funded through a £5.0m 
overdraft facility renewable annually. During March 2014, the Group restructured its borrowing facility. Bank debt now has three elements: £6.0m 
invoice discounting facility, £0.5m overdraft, and a £0.8m loan repayable over four years. The Company is now trading with a comfortable level of 
headroom within these facilities and with covenants set at levels appropriate for the Group and this revised debt structure.
The facility has the following covenants which are compliant at year end:
Actual
31 March 
2014 Covenant
Tangible net worth £6.5m £5.25m
Debt turn 59 days 80 days
Credit notes issued as a percentage of sales 2.7% Less than 5%
Working Capital
Working Capital, comprising Inventories, Trade and Other Receivables and Trade and Other Payables was 12% of annual sales (2013: 8%) as at 
year end. 
Robust credit control has reduced trade receivables by 11.2% and overdue receivables have fallen to 7.2% (2013: 31.5%). This is offset by a 
reduction in trade payables of 24.4% due to timing of supplier payments.
Pensions
The Group has one defined benefit obligation scheme. It is closed to future accrual and the Group operated a defined contribution pension 
scheme for its current employees. 
The net liability for the defined benefit obligations at 31 March 2014 was £3.5m (2013: £3.9m). 
The last formal triennial actuarial valuation of the fund was carried out as at 30 September 2010. The statement of funding principles agreed with 
the Trustees during 2010 that the valuation resulted in an actuarial deficit of £2.8m where upon it was agreed to pay contributions of £0.2m each 
year rising by 3% per annum. The next triennial valuation commenced as at 1 April 2013 and is currently ongoing. Given the low interest rate 
environment it is expected that the 2013 triennial valuation will produce a significantly higher deficit. The Group continues to explore various 
options with the Trustees to lengthen the recovery period and mitigate the impact on the cash flow of the Group. 
Commentary on  
Consolidated Balance Sheet
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Operating activities Note
Year ended
31 March
2014
£000
Year ended
31 March
2013
£000
(Loss)/profit for the year before tax (2,116)  799 
Adjustments to reconcile (loss)/profit for the year to net cash(outflow)/inflow 
from operating activities:
Net finance costs excluding pensions 6 62  41 
Depreciation of property, plant and equipment 13 1,259  1,190 
Amortisation of software 14 82  102 
Amortisation and impairment of development costs 14 86  49 
Profit on disposal of property, plant and equipment 7 (29)  (13) 
Share-based payments 20 9  (69) 
Difference between pension contributions paid and amounts recognised in the  
 Consolidated Income Statement (82)  (144) 
(Increase)/decrease in inventories (403)  515 
Decrease in receivables 627  757 
Decrease in payables (992)  (993) 
Increase in provisions —  26 
Net cash (outflow)/inflow from operating activities (1,497)  2,260 
Investing activities
Purchase of property, plant and equipment 13 (1,018)  (1,353) 
Purchase of software 14 (4)  (60) 
Development costs 14 —  (69) 
Disposal of plant and equipment 80  98 
Net cash outflow from investing activities (942)  (1,384) 
Financing activities
Interest paid 6 (62)  (41) 
Dividends paid 9 (159)  (258) 
Issue of asset loans 800  — 
Net invoice finance drawdown 2,684  — 
Net cash inflow/(outflow) from financing activities 3,263  (299) 
Net increase in cash and cash equivalents 824  577 
Cash and cash equivalents at the start of the year (981)  (1,558) 
Cash and cash equivalents at the end of the year 17 (157)  (981) 
Cash and cash equivalents comprise:
Bank overdraft 17 (157)  (981) 
 (157)  (981) 
Consolidated Cash Flow 
Statement
for the year ended 31 March 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Operating Cash Flow
The operating cash out flow for the total Group was £1.5m (2013: inflow of £2.3m), driven by the loss before tax of £2.1m (2013: profit £0.8m).
Net working capital balances increased by £0.8m (2013: decrease of £0.3m) during the year. 
Cash spent on property, plant and equipment and capitalised software and development costs in the year was £1.0m (2013: £1.5m) which was 
equivalent to 72% (2013: 111%) of depreciation and amortisation thereon. 
Closing Net Debt
Opening net debt was £1.0m (2013: £1.6m). After the net debt movement in the year of £2.6m (2013: inflow of £0.6m) closing net debt was 
£3.6m (2013: £1.0m).
Commentary on the 
Consolidated Cash Flow 
Statement
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
1. Authorisation of financial statements and statement of compliance with IFRS
The Group’s and Company’s financial statements of Chamberlin plc (the ‘Company’) for the year ended 31 March 2014 were authorised for issue 
by the Board of Directors on 20 May 2014 and the balance sheets were signed on the Board’s behalf by Kevin Nolan and David Roberts. The 
Company is a public limited company incorporated and domiciled in England & Wales. The Company’s ordinary shares are traded on AIM within 
the London Stock Exchange.
The Group’s financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the 
European Union. The Company’s financial statements have been prepared in accordance with IFRS as adopted by the European Union and as 
applied in accordance with the provisions of the Companies Act 2006. 
The principal accounting policies adopted by the Group and by the Company are set out in note 27. 
2. New standards adopted 
The Group has applied IAS 1 Presentation of Items of Other Comprehensive Income which has introduced a grouping of items presented 
in other comprehensive income (OCI). The amendment affected presentation only and had no impact on the Group’s financial position or 
performance. 
The Group has applied IAS 19 Employee Benefits (revised) with effect from 1 April 2013. This has resulted in prior period restatements of the 
finance cost of the pension scheme and a reclassification of defined benefit scheme administration costs into non-underlying other operating 
expenses from non-underlying finance costs. As administrative costs of the pension scheme were included in the net finance income/expense 
of the pension scheme under the former IAS 19, they were previously excluded from underlying items. Management considers that users of 
the financial statements will continue to focus on the performance of the Group excluding these costs. Therefore, the definition of underlying 
profit which previously referred to the finance income/expense on the defined benefit pension scheme has been amended to exclude these 
administrative costs. 
In the year ended 31 March 2013 £125,000 of pension scheme administration costs have been reclassified from net interest to other operating 
expenses. The interest cost and expected return on plan assets used in the previous version of IAS 19 are replaced with a net-interest amount 
under IAS 19 (Revised 2011), which is calculated by applying the discount rate to the net defined benefit liability or asset at the start of each 
annual reporting period. In view of this change, an additional £60,000 pension scheme finance cost, with an associated tax credit of £14,000, has 
been charged to the Group’s profit and loss for the year. 
Accordingly, the prior year basic and diluted EPS has been reduced by 0.6p to 9.0p respectively. The adoption of IAS 19 Employee Benefits 
(revised) has not had an impact on the balance sheet reported at 31 March 2013.
The Group has applied IFRS 13 Fair v alue Measurement. IFRS 13 does not change when an entity is required to use fair value, but rather provides 
guidance on how to measure fair value under IFRS when fair value is required or permitted. The application of IFRS 13 has not impacted the 
fair value measurements carried out by the Group. All hedge contracts are shown at fair value, having an asset fair value at 31 March 2014 of 
£186,000 (2013: liability of £298,000).
Share-based payments are now shown within other operating expenses rather than shown separately within the Consolidated Income 
Statement, resulting in the elimination of the trading profit sub-total, as the Directors believe this is more appropriate. £9,000 of share-based 
payment charges (2013: credit of £69,000) have been reclassified. 
No other amended IFRS that have become effective in the period have had a material impact on the financial statements.
Section 1 
Basis of Preparation
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
New standards and interpretations not applied 
The IASB and IFRIC have issued the following standards and interpretations with an effective date for annual periods beginning after the date of 
these financial statements. 
International Accounting Standards Effective date
IAS 27 Separate Financial Statements (revised) 1 January 2014*
IAS 28 Investments in Associates and Joint v entures (revised) 1 January 2014*
IFRS 9 Financial Instruments: Classification and Measurement TBA
IAS 32 Offsetting of Financial Instruments 1 January 2014
IFRS 10 Consolidated Financial Statements 1 January 2014*
IFRS 11 Joint Arrangements 1 January 2014*
IFRS 12 Disclosure of Interest in Other Entities 1 January 2014*
International Financial Reporting Interpretive Committee (IFRIC)
IFRIC 21 Levies 1 January 2014
* Effective date in EU (early adoption permitted)
The Directors have also considered the IASB’s annual improvements to International Financial Reporting Standards effective 1 July 2014.
The standards and interpretations listed above and the annual improvements have not been adopted early by the Group. The Directors do not 
anticipate that the adoption of these standards, interpretations and other improvements will have a material impact on the Group’s reported 
disclosures, income or net assets in the period of adoption.
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 2 
Results of the Y ear 
3. Segmental analysis
For management purposes, the Group is organised into two operating divisions according to the nature of the products and services. Operating 
segments within those divisions are combined on the basis of their similar long term characteristics and similar nature of their products, services 
and end users as follows:
The Foundries segment is a supplier of iron castings, in raw or machined form, to a variety of industrial customers who incorporate the castings 
into their own products or carry out further machining or assembly operations on the castings before selling them on to their customers.
The Engineering segment provides manufactured and imported products to distributors and end-users operating in the safety and security 
markets. The products fall into the categories of door hardware, hazardous area lighting and control gear.
Management monitors the operating results of its divisions separately for the purposes of making decisions about resource allocation and 
performance assessment. The Chief Operating Decision Maker is the Chief Executive.
(i) By operating segment
Segmental revenue
Segmental
 operating profit
Year ended
2014
£000
2013
£000
2014
£000
2013
As restated
£000
Foundries 29,056  33,674  (244)  2,159 
Engineering 9,506  8,523  672  381 
Segment results 38,562  42,197  428  2,540 
Reconciliation of reported segmental operating profit
Segment operating profit 428  2,540 
Shared cost (excluding share-based payment charge) (1,184)  (1,218) 
Exceptional and non-underlying costs (note 12) (1,142)  (347) 
Net finance costs (note 6) (218)  (176) 
(Loss)/profit before tax (2,116)  799 
Segmental assets
Foundries 15,453  15,920 
Engineering 4,927  4,809 
 20,380  20,729 
Segmental liabilities
Foundries (5,342)  (6,437) 
Engineering (1,325)  (1,615) 
 (6,667)  (8,052) 
Segmental net assets 13,713  12,677 
Unallocated net liabilities (6,773)  (4,384) 
Total net assets 6,940  8,293 
Unallocated net liabilities include the pension liability of £3,493,000 (2013: £3,913,000), financial liabilities of £3,641,000 (2013: £981,000), deferred 
tax asset of £319,000 (2013: £472,000) and other assets of £42,000 (2013: £38,000).
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Capital expenditure, depreciation, amortisation and impairment
Capital additions
Foundries Engineering Total
2014
£000
2013
£000
2014
£000
2013
£000
2014
£000
2013
£000
Property, plant and equipment (note 13) 853  1,118  165  235  1,018  1,353 
Software (note 14) 3  60  1  —  4  60 
Development costs (note 14) —  46  —  23  —  69 
Depreciation, amortisation  
and impairment
Foundries Engineering Total
2014
£000
2013
£000
2014
£000
2013
£000
2014
£000
2013
£000
Property, plant and equipment (note 13) (989)  (948)  (270)  (242)  (1,259)  (1,190) 
Software (note 14) (67)  (87)  (15)  (15)  (82)  (102) 
Development costs (note 14) (69)  (35)  (17)  (14)  (86)  (49) 
Prior year numbers have been restated to include deferred tax assets of £545,000 disclosed at a segmental level and the reallocation of central 
costs (£450,000 to Foundries and £50,000 to Engineering) to segment results to be consistent with the current year definitions used for segment 
results and segment assets.
(ii) Geographical information
Revenue by location of customer
2014
£000
2013
£000
United Kingdom 25,450  28,534 
Germany 6,482  7,091 
Rest of Europe 4,257  3,896 
Other countries 2,373  2,676 
 38,562  42,197
The Group’s assets and costs are all located within the United Kingdom.
No individual customer represents more than 10% of Group revenue (2013: none).
4. Other operating expenses
2014
£000
2013
£000
Distribution costs 1,065 1,114
Administration and selling expenses 5,840 5,684
Operating expenses before exceptional items 6,905 6,798
Exceptional items (note 12) 1,142  278 
Operating expenses 8,047 7,076
www.chamberlin.co.uk
Stock code: CMH
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 2 
Results of the Y ear continued 
5. Staff numbers and costs
The average number of people employed by the Group during the year was:
2014
Number
2013
Number
Management and administration 81  81 
Production 332  360 
Total employees 413  441 
The aggregate employment costs, including redundancy, of these employees were as follows:
2014
£000
2013
£000
Wages and salaries 12,810  12,320 
Social security costs 1,231  1,211 
Other pension costs (note 22) 259  276 
Share-based payment expense (note 20) 9  (69) 
 14,309  13,738 
Directors’ remuneration summary
2014
£000
2013
£000
Directors’ remuneration 649  518 
Company contributions to money purchase pension scheme 42  30 
Payment under an employment settlement agreement in March 2013 —  80 
Aggregate gains made by directors on exercise of options —  10 
Share-based payment charge/(credit)of options granted to directors (see note 20) 9  (11) 
Number of directors accruing benefits under:
2014
Number
2013
Number
Defined contribution pension schemes 2  2 
Directors’ remuneration is analysed in detail in the Directors’ Remuneration Report on pages 21 to 23.
The total amount payable to the highest paid director in respect of remuneration was £269,000 (2013: £279,000), including £141,000 payment in 
lieu of notice. Company pension contributions of £25,000 (2013: £21,000) were made to a money purchase pension scheme on his behalf. The 
aggregate gain made on exercise of share options was £nil (2013: £10,000).
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
6. Finance costs
2014
£000
2013
As restated
£000
Finance costs
Bank overdraft interest payable (62)  (41) 
Finance cost of pensions (see note 22) (156)  (135) 
 (218)  (176) 
7. Operating (loss)/profit
2014
£000
2013
£000
This is stated after charging/(crediting):
Profit on disposal of fixed assets  (29)  (13) 
Depreciation of owned assets 1,259  1,190 
Amortisation of software 82  102 
Research and development expenditure (excluding capitalised development costs: note 14) 98  79 
Amortisation of development costs 40  49 
Impairment of development costs 46  — 
Cost of inventories recognised as an expense 15,451  18,055 
Exceptional costs (note 12) 1,002  222 
Exchange gain (7)  (12) 
Auditor’s remuneration: 
 Group audit fees  30  30 
 Audit fees for statutory accounts of subsidiaries  55  55 
 Audit related assurance services  5  5 
Rentals under operating leases: 
 Hire of plant and equipment 159  101 
 Land and buildings 330  330 
www.chamberlin.co.uk
Stock code: CMH
38
39
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 2 
Results of the Y ear continued 
8. Taxation
2014
£000
2013
As restated
£000
Current tax:
UK Corporation tax at 23% (2013: 24%) —  130 
Adjustments in respect of prior years (134)  (145) 
 (134)  (15) 
Deferred tax:
Origination and reversal of temporary differences (466)  117 
Adjustments in respect of prior years 25  (53) 
Change in tax rate 63  3 
 (378)  67 
Tax (credit)/expense reported in the consolidated income statement (512)  52 
The Corporation tax rate fell from 24% for the year ended 31 March 2013 to 23% for the year ended 31 March 2014. The Corporation tax rate 
will fall to 21% from 1 April 2014, a rate change which was substantively enacted on 2 July 2013. The Chancellor has announced a further 1% fall 
to 20% from 1 April 2015, which was substantively enacted on 2 July 2013.
During the year the Group utilised brought forward tax losses of £Nil (2013: £Nil).
In addition to the amount charged to the consolidated income statement, tax movements recognised through other comprehensive income 
and equity were as follows:
2014
£000
2013
As restated
£000
Current tax: —  (35) 
 —  (35) 
Deferred tax:
Retirement benefit obligation 78  (204) 
Fair value movements on cash flow hedges 79  (102) 
Change in tax rate 104  41 
 261  (265) 
Tax charge/(credit) reported in the consolidated statement of comprehensive income 261  (300)
2014
£000
2013
£000
Current tax: —  — 
 —  — 
Deferred tax:
Employee share options 37  104 
Tax charge reported in the consolidated statement of changes in equity 37  104
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
2014
£000
2013
As restated
£000
Reconciliation of total tax charge
(Loss)/profit on ordinary activities before tax (2,116)  799 
Corporation tax charge at standard rate of 23% (2013: 24%) on (loss)/profit before tax (487)  192 
Adjusted by the effects of:-
Expenses not deductible for tax purposes 37  66 
Short term timing differences
—  other timing differences (16)  (11) 
Amounts (over)/under provided in prior years
— corporation tax (134)  (145) 
— deferred tax 25  (53) 
Movement in deferred tax on change in corporation tax rate 63  3 
Total tax (credit)/expense reported in the consolidated income statement (512)  52 
9. Dividends paid and proposed
2014
£000
2013
£000
Paid equity dividends on ordinary shares
2013 final dividend of 2.0p per share (2012: 2.0p per share) 159  159 
2014 interim dividend of nil p per share (2013: 1.25p per share) —  99 
 159  258 
Proposed final dividend subject to shareholder approval  
2014 final dividend of nil p per share (2013: 2.0p per share) —  159 
10. Parent company transfer to reserves
The profit dealt with in the accounts of the parent company was £1,262,000 (2013: loss of £198,000).
11. (Loss)/earnings per share
The calculation of (loss)/earnings per share is based on the (loss) profit attributable to shareholders and the weighted average number of 
ordinary shares in issue. In calculating the diluted (loss)/earnings per share, adjustment has been made for the dilutive effect of outstanding 
share options. Underlying (loss)/earnings per share, as analysed below, which excludes non-underlying items as defined in note 27, summary 
of significant accounting policies, has also been disclosed as the Directors believe this allows a better assessment of the underlying trading 
performance of the Group.
Exceptionals costs are detailed in note 12.
www.chamberlin.co.uk
Stock code: CMH
40
41
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 2 
Results of the Y ear continued 
11. (Loss)/earnings per share continued
2014
£000
2013
As restated
£000
(Loss)/earnings for basic earnings per share (1,604)  747 
Ineffective hedges —  69 
Exceptional costs 1,002  222 
Net financing costs and service cost on pension obligations  287  260 
Share-based payment charge/(credit) 9  (69) 
Taxation effect of the above (298)  (115) 
(Loss)/earnings for underlying earnings per share (604)  1,114 
2014
Number
2013
Number
Weighted average number of ordinary shares 7,958  7,950 
Adjustment to reflect shares under options —  349 
Weighted average number of ordinary shares — fully diluted 7,958  8,299 
As at 31 March 2014 there is no adjustment for the 211,005 shares under option as they are required to be excluded from the weighted average 
number of shares for diluted (loss)/earnings per share as they are anti-dilutive for the period then ended.
12. Exceptional costs and non-underlying
2014
£000
2013
As restated
£000
Removal of former Director —  186 
Legal costs relating to subsidiary back pay claim —  36 
Prior CEO leaving costs 307  — 
Group reorganisation 695  — 
Exceptional costs 1,002  222 
Ineffective hedge costs —  69 
Share-based payment charge/(credit) 9  (69) 
Defined benefit pension scheme administration costs 131  125 
Non-underlying other operating expenses 1,142  347 
Taxation
— tax effect of exceptional costs (262)  (83) 
 880  264 
Prior CEO leaving costs relate to contractual payments made to the former CEO, Tim Hair, and costs associated with the recruitment of the 
current CEO, Kevin Nolan.
During 2014 the Group rationalised its Foundry operations into one division, enabling the elimination of duplication roles and implementation 
of best practice. Group reorganisation costs, including redundancy and recruitment, relate to this rationalisation.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Section 3 
Operating Assets and Liabilities 
13. Property, plant and equipment
Group
Land and
buildings
£000
Plant and
machinery
£000
Motor
vehicles
£000
Total
£000
Cost 
At 1 April 2012 5,443  26,044  725  32,212 
Additions 128  1,077  148  1,353 
Disposals —  (20)  (158)  (178) 
At 31 March 2013 5,571  27,101  715  33,387 
Additions 67  891  60  1,018 
Disposals —  (38)  (203)  (241) 
At 31 March 2014 5,638  27,954  572  34,164 
Depreciation
At 1 April 2012 1,788  21,889  414  24,091 
Charge for year 128  937  125  1,190 
Disposals —  (11)  (82)  (93) 
At 31 March 2013 1,916  22,815  457  25,188 
Charge for year 142  973  144  1,259 
Disposals —  (38)  (152)  (190) 
At 31 March 2014 2,058  23,750  449  26,257 
Net book value
At 31 March 2014 3,580  4,204  123  7,907 
At 31 March 2013 3,655  4,286  258  8,199 
At 1 April 2012 3,655  4,155  311  8,121 
Included within plant and machinery is £11,000 (2013: £93,000) relating to assets under the course of construction which is not depreciated.
Net book value of land and buildings comprises:
2014
£000
2013
£000
Freehold 3,539  3,648 
Short leasehold (leasehold improvements) 41  7 
 3,580  3,655 
www.chamberlin.co.uk
Stock code: CMH
42
43
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 3 
Operating Assets and Liabilities continued 
13. Property, plant and equipment continued
Company
Land and
buildings
£000
Plant and
machinery
£000
Motor
vehicles
£000
Total
£000
Cost 
At 1 April 2012 1,670  67  134  1,871 
Additions —  35  48  83 
Disposals —  —  (105)  (105) 
At 31 March 2013 1,670  102  77  1,849 
Additions —  10  27  37 
Disposals  —  —  (20)  (20) 
At 31 March 2014 1,670  112  84  1,866 
Depreciation
At 1 April 2012 760  33  50  843 
Charge for year 28  11  23  62 
Disposals —  —  (34)  (34) 
At 31 March 2013 788  44  39  871 
Charge for year 27  11  22  60 
Disposals —  —  (18)  (18) 
At 31 March 2014 815  55  43  913 
Net book value
At 31 March 2014 855  57  41  953 
At 31 March 2013 882  58  38  978 
At 1 April 2012 910  34  84  1,028 
Freehold land included above not subject to depreciation amounted to:
Group
£000
Company
£000
2014 743  743 
2013 743  743 
Impairment Testing
The Group has identified indications of impairment at two of its cash generating units (CGUs), Chamberlin & Hill Castings Limited (Leicester) 
and Russell Ductile Castings Limited, both part of the foundry segment, and as such has performed an impairment review on the carrying value 
of the property, plant and equipment and intangible assets at these two CGUs. The decline in turnover and the losses generated at Leicester and 
Russell Ductile Castings are the impairment indications which have led to the impairment review being performed.
Impairment has been assessed by comparing the book value of assets against their recoverable amounts. The recoverable amount of a CGU’s 
assets is the higher of its fair value less costs to sell and its value in use. v alue in use is determined using cashflow projections from financial 
budgets approved by the Board. The projected cashflows reflect the latest expectations of demand for products in year 1 and 2 and are 
extrapolated to year 10 using a 2.25% growth rate that is the long-term growth rate of the UK economy. The projected cashflows reflect an 
expected return in sales volumes in 2015/16 and a full realisation of cost saving programmes that require a certain gestation period to fully 
mature. The key sensitivites around these projections are the return of sales volumes and the full fruition of cost saving initiatives. 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
The key assumptions in these calculations are the long-term growth rates and discount rate applied to the forecast cashflows in addition to the 
achievement of the forecasts themselves. The long term growth rate used is based on economic forecats of the long-term growth rate for the 
UK. The pre-tax discount rate used is based on the Group pre-tax weighted average cost of capital of 14%.
It was concluded for both Chamberlin & Hill Castings Limited (Leicester) and Russell Ductile Castings Limited the recoverable amount of each 
CGU was greater than the book value of each CGU’s assets and as such no impairment charge is deemed necessary.
14. Intangible assets
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Software 423  501  1  4 
Development costs  33  119  —  — 
 456  620  1  4 
Software
Group
£000
Company
£000
Cost
At 1 April 2012 1,075  20 
Additions 60  2 
At 31 March 2013 1,135  22 
Additions 4  — 
At 31 March 2014 1,139  22 
Amortisation/impairment
At 1 April 2012 532  15 
Charge for the year 102  3 
At 31 March 2013 634  18 
Charge for year 82  3 
At 31 March 2014 716  21 
Net Book Value
At 31 March 2014 423  1 
At 31 March 2013 501  4 
At 1 April 2012 543  5 
Software has an estimated useful life of between 3 and 10 years.
www.chamberlin.co.uk
Stock code: CMH
44
45
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 3 
Operating Assets and Liabilities continued
14. Intangible assets continued
Development costs capitalised
Group
£000
Company
£000
Cost
At 1 April 2012 445  — 
Additions  69  — 
At 31 March 2013 514  — 
Additions  —  — 
At 31 March 2014 514  — 
Amortisation/impairment
At 1 April 2012 346  — 
Charge for year 49  — 
At 31 March 2013 395  — 
Charge for year 40  — 
Impairment 46 
At 31 March 2014 481  — 
Net Book Value
At 31 March 2014 33  — 
At 31 March 2013 119  — 
At 1 April 2012 99  — 
Development costs capitalised relate to specific major projects which result in an asset being created which is then amortised over the primary 
income generating period of the associated product. For the above items this has been estimated at 5 years from the commencement of 
commercial sales.
During the year management have deemed certain development costs to be impaired due uncertainty around the timing of commercial viability.
15. Inventories
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Raw materials 1,529  1,424  —  — 
Work in progress 870  968  —  — 
Finished goods 1,335  939  —  — 
 3,734  3,331  —  — 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
16. Trade and other receivables
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Trade receivables 6,443  7,356  —  — 
Amounts due from subsidiary undertakings —  —  2,178  5,032 
Other receivables 253  105  160  98 
Prepayments 626  611  44  115 
Fair value of derivative forward contracts 186  —  —  — 
 7,508  8,072  2,382  5,245 
Invoice finance liabilities are directly secured against the trade receivables of the Group. The Group retains the risk and rewards, such as default, 
associated with the holding of trade receivables. The Group has trade receivables as at 31 March 2014 of £6,443,000 of which an invoice finance 
liability of £2,684,000 was secured against. The total available invoice finance facility as at 31 March 2014 was £6,000,000.
Trade receivables are denominated in the following currencies:
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Sterling 5,044  6,015  —  — 
Euro  1,286  1,341  —  — 
US Dollar 113  —  —  — 
 6,443  7,356  —  — 
Out of the carrying amount of trade receivables of £6,443,000 (2013: £7,356,000), £1,370,000 (2013: £1,903,000) is against five major customers
Trade receivables are non-interest bearing and are generally on terms of 30 to 60 days and are shown net of a provision for impairment. As at  
31 March 2014 trade receivables at a nominal value of £134,000 (2013: £293,000) were impaired and fully provided for. Movements in the 
provision for impairment of receivables were as follows:
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
At 1 April 293  374  —  — 
Charge for year 195  152  —  — 
Amounts written off (354)  (233)  —  — 
At 31 March 134  293  —  — 
As at 31 March 2014, the analysis of trade receivables that were past due but not impaired is as follows:
Total
£000
Neither past 
due nor
impaired
£000
Past due but not impaired
<30 days
£000
30-60 days
£000
60-90 days
£000
90-120 days
£000
>120 days
£000
2014 6,443  5,978  400  44  10  11  — 
2013 7,356  5,036  1,676  219  291  134  — 
The credit quality of trade receivables that are neither past due nor impaired is assessed by reference to external credit ratings, where available, 
otherwise historical information relating to the counterparty default rates is used. 
www.chamberlin.co.uk
Stock code: CMH
46
47
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 3 
Operating Assets and Liabilities continued
16. Trade and other receivables continued
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Debtors where external credit ratings have been sought 6,167  6,586  —  — 
Debtors where internal credit assessments have been made 276  770  —  — 
 6,443  7,356  —  — 
Of the balance in respect of counterparties with internal ratings 8% (2013: 2%) is in respect of new customers, and 92% (2013: 98%) existing 
customers with no history of defaults.
Amounts due from subsidiary companies are interest free and repayable on demand.
Income taxes receivable
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
UK corporation tax 38  —  —  16 
17. Current liabilities
Financial liabilities
Group Company
2014
£000
2013
As restated
£000
2014
£000
2013
£000
Bank overdraft 157  981  369  3,826 
Current instalments due on asset finance loans 200  —  —  — 
Invoice finance facility 2,684  —  —  — 
 3,041  981  369  3,826 
The overdraft is held with HSBC Bank plc as part of the Group net facility of £500,000, is secured on all assets of the business, is repayable on 
demand and is renewable in February 2015. The net overdraft position as at 31 March 2014 was £157,000 (2013: £981,000), this comprises cash 
balances of £410,000 (2013: £2,845,000) and bank overdrafts of £567,000 (2013: £3,826,000). Interest is payable at 2.0% (2013: 2.0%) over base rate.
Asset finance loans are secured against various items of plant and machinery across the Group. These loans are repayable by monthly instalments 
for a period of four years to March 2018. Interest is payable at 3.25% over base rate. 
Invoice finance balances are secured against the trade receivables of the Group, are repayable on demand and are renewable in March 
2016. Interest is payable at 2.3% over base rate. The maximum facility is £6.0m. Management have assessed the treatment of the financing 
arrangements and have determined it is appropriate to recognise trade receivables and invoice finance liabilities separately.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Trade and other payables
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Trade payables 3,740  5,522  —  — 
Amounts due to subsidiary undertakings —  —  —  607 
Other taxation and social security 713  673  39  45 
Other payables 231  341  4  42 
Accruals 1,957  1,097  502  383 
Fair value of derivative forward contracts —  298  —  — 
 6,641  7,931  545  1,077 
Trade payables are non-interest bearing and are normally on terms of 30 to 60 days. 
Amounts due to subsidiary companies are interest free and repayable by agreement with the parent company.
Group
Legal
£000
Total
£000
As at 31 March 2012 —  — 
New provision 26  26 
As at 31 March 2013 and as at 31 March 2014 26  26 
Legal
The legal provision is held in respect of the offer made to date and future legal costs anticipated to be incurred in defence of the back pay claim 
by Group employees.
18. Non-current liabilities
Financial liabilities
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Instalments due on asset finance loans 600  —  —  — 
Asset finance loans are secured against various items of plant and machinery across the Group. These loans are repayable by monthly instalments 
for a period of four years to March 2018. £200,000 is repayable within year 1-2 and a further £400,000 repayable in years 2-5. Interest is payable at 
3.25% over base rate.
Provisions for liabilities
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Deferred taxation 98  141  3  15
www.chamberlin.co.uk
Stock code: CMH
48
49
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 3 
Operating Assets and Liabilities continued
18. Non-current liabilities continued
Deferred tax liabilities
2014
£000
2013
£000
Group liabilities
Temporary differences relating to capital allowances —  66 
Temporary differences relating to cash flow hedges 32  — 
Capital gains rolled over 66  75 
 98  141
2014
£000
2013
£000
Company liabilities
Temporary differences relating to capital allowances 3  15 
 3  15 
Deferred tax assets
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Temporary differences relating to capital allowances 166  — — — 
Temporary differences relating to pension scheme deficit 699  900  699  900 
Temporary differences relating to cash flow hedges —  45  —  — 
Temporary differences relating to share options 8  46  8  46 
Temporary differences relating to tax losses 315  161  —  — 
Other temporary differences 8  6  —  — 
 1,196  1,158  707  946 
A deferred tax asset is recognised in respect of tax losses carried forward only to the extent that there is a reasonable expectation that the losses 
will be recoverable within the forseeable future. The Group has assessed that it is probable that future profits fully justify the recognition of the 
deferred tax asset relating to current tax losses. 
Group tax losses not carried forward for which a deferred tax asset has not been recognised total £nil (2013: £nil). The deferred tax asset relating 
to the pension scheme deficit is deemed recoverable based upon the contributions into the pension scheme which are designed to return the 
scheme to a fully funded position by April 2020, based on the April 2010 actuarial valuation, and that there will be future taxable profits which 
the contributions can be utilised against.
Deferred income tax assets are recognised only to the extent that it is probable that taxable profits will be available against which the deductible 
temporary differences, carried forward tax credits or tax losses can be utilised. The Group has assessed that it is probable that future profits will 
fully utilise current tax losses and other deductible temporary differences. Deferred tax assets relating to the pension scheme deficit are expected 
to be recovered over the period that contributions are made into the scheme, including the agreed contributions to April 2020 and expected 
contributions to be agreed with the Trustees, following finalisation of the April 2013 actuarial valuation. The deferred tax assets have been 
assessed as recoverable against forecasts of future taxable profits.
All deferred tax assets are recoverable, and deferred tax liabilities will be settled, in greater than one year.
Of the total deferred tax credit of £80,000 (2013: £94,000), a credit of £378,000 (2013: charge of £67,000) was recognised within the consolidated 
income statement, a charge of £261,000 (2013: credit of £265,000) was recognised within other comprehensive income and a charge of £37,000 
(2013: charge of £104,000) recognised within the consolidated statement of changes in equity.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Section 4 
Capital Structure
19. Share capital
2014
£000
2013
£000
Allotted, called up and fully paid 
7,958,126 (2013: 7,958,126) Ordinary shares of 25p 1,990  1,990 
During the year nil shares (2013: 8,590) were issued to directors to satisfy share options at nil (2013: nil) cost.
During the year nil share options lapsed (2013: 273,220), 304,390 were granted (2013: nil) and nil (2013: 539,078) were forfeited.
20. Share-based payments
Details of the equity settled scheme used to incentivise the directors of the Group are set out in the Remuneration Committee Report on  
page 21.
In addition, cash settled options were issued to certain key managers within the business under a phantom share option scheme. The options 
became exercisable in February 2013 subject to the satisfaction of performance conditions set by the Remuneration Committee of the Company.
During the previous year all cash settled options were forfeited due to recipients leaving the Group. Under all schemes, options lapse if the 
employee leaves the Group subject to certain exceptions set out in the scheme rules. Due to the small number of individual grants made, each 
individual option is priced using the Black Scholes pricing model, rather than applying the model to weighted average figures for options granted 
in each year. 
Relevant options outstanding during the year were as follows:
Weighted average
No. of 
options
Exercise
price (p)
Remaining 
contractual life 
(years)
At 31 March 2012 1,346,753 50.3 7.0 
Lapsed (273,220) 51.2 6.7
Forfeited (539,078) 48.2 5.1
Exercised (8,590) 52.8 n/a
At 31 March 2013 525,865 52.8 3.7 
Granted 304,390 100.2 9.5 
At 31 March 2014 830,255 70.2 5.1
525,865 (2013: 525,865) shares were exercisable at the end of the year.
No shares were exercised during the current year. The market price at the date of share exercise during the prior year was 119.5p.
Based on the following assumptions at 31 March 2014, the total fair value of options was £101,000 (2013: £34,000), of which £9,000 was charged 
to the consolidated income statement (2013: credit of £11,000). The fair value of options granted in the year was £67,000 (2013: £nil). The exercise 
price of options as at 31 March 2014 is a range between 52.8p and 100.2p (2013: 52.8p).
www.chamberlin.co.uk
Stock code: CMH
50
51
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 4 
Capital Structure continued 
20. Share-based payments continued
The key assumptions in relation to the valuation of the options granted were:
2014
Share price 107.5p
Expected volatility 36.8%
Expected life 7.0 years
Risk free rate 2.1%
Expected dividend yield 3.0%
Expected volatility, to which the fair value is most sensitive, is based on movements in the share price during the year and taking account of the 
directors’ expectations of future movements. The expected life has been arrived at based on the directors’ best estimate taking into account 
exercise conditions and behavioural considerations. The mid-market price of the shares at 31 March 2014 was 74p (2013: 102p) and during the 
year ranged between 65.5p and 112p (2013: between 102p and 187.5p).
In the prior year, 539,078 options were forfeited following certain employees leaving the Group.
The total charge for the year of £9,000 (2013: credit of £69,000) is split £nil (2013: £58,000) for cash settled options and £9,000 (2013: £11,000) for 
equity settled options. 
21. Fixed asset investments
Shares in subsidiary undertakings
£000
Cost at 1 April 2013 and 1 April 2014 8,159 
Wholly owned operating subsidiaries Principal activity
Chamberlin & Hill Castings Ltd Manufacture and sale of engineering castings
Russell Ductile Castings Ltd Manufacture and sale of engineering castings
Exidor Ltd Manufacture and sale of emergency exit equipment and door closers
Petrel Ltd Manufacture and sale of lighting, switchgear and electrical installation products
The Company owns 100% of the issued ordinary share capital of the above companies, all of whom are registered and operate principally in 
England and Wales. 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes
22. Pension arrangements
During the year, the Group operated funded defined benefit and defined contribution pension schemes for the majority of its employees, these 
being established under trusts with the assets held separately from those of the Group. The pension operating cost for the Group defined benefit 
scheme for 2014 was £131,000 (2013: £125,000) plus £156,000 of financing cost (2013: £135,000). 
The other schemes within the Group are defined contribution schemes and the pension cost represents contributions payable. The total cost of 
defined contributions schemes was £259,000 (2013: £276,000). The notes below relate to the defined benefit scheme.
The actuarial liabilities have been calculated using the Projected Unit method. The major assumptions used by the actuary were (in nominal terms):
At 31 March
2014
£000
At 31 March
2013
£000
At 31 March
2012
£000
Rate of increase in salaries n/a n/a n/a
Rate of increase of pensions in payment — post 1997 accrual only 3.2% 3.2% 3.1%
Discount rate 4.3% 4.2% 4.7%
Inflation assumption — RPI 3.3% 3.3% 3.1%
Inflation assumption — CPI 2.2% 2.2% 2.0%
Demographic assumptions are all based on the S1NA mc mortality tables with a 1% annual increase. The post retirement mortality assumptions 
allow for expected increases in longevity. The current disclosures relate to assumptions based on longevity in years following retirement as of the 
balance sheet date, with future pensioners relating to an employee retiring in 2032.
2014
Years
2013
Years
Current pensioners at 65  — male 21.3 20.5 
  — female 23.6 23.2 
Future pensioners at 65  — male 22.3 21.9 
  — female 24.7 24.6 
The scheme was closed to future accrual with effect from 30 November 2007, after which the Company’s regular contribution rate reduced 
to zero (previously the rate had been 9.1% of members’ pensionable salaries). In addition the past service “catch up” contribution has been 
renegotiated with the Trustees and with effect from 1 April 2014 will increase to £27,365 per month (previously £26,782 per month), with a 3% 
annual increase thereafter, designed to return the scheme to a fully funded position by April 2020. 
The contributions expected to be paid during the year to 31 March 2015 are £328,000. 
Currently the triennial valuation as at 1 April 2013 is in progress.
The scheme assets are stated at the market values at the respective balance sheet dates. The assets and liabilities of the scheme were:
2014
£000
2013
£000
Equities/diversified growth fund 7,328  6,236 
Gilts  3,040  4,584 
Bonds 2,360  1,083 
Property —  1,101 
Insured pensioner assets 10  58 
Cash 118  75 
Market value of assets  12,856  13,137 
Actuarial value of liability (16,349)  (17,050) 
Scheme deficit (3,493)  (3,913) 
Related deferred tax asset 699  900 
Net pension liability (2,794)  (3,013) 
www.chamberlin.co.uk
Stock code: CMH
52
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued
22. Pension arrangements continued
Net benefit expense recognised in profit and loss
Year to
31 March
2014
£000
Year to
31 March 
2013
As restated
£000
Administration costs (131)  (125) 
Net interest cost (156)  (135) 
Net benefit expense (287)  (260) 
Re-measurement (gains)/losses in other comprehensive income
Year to
31 March
2014
£000
Year to
31 March 
2013
As restated
£000
Actuarial (gains)/losses arising from changes in financial assumptions (269)  1,497 
Actuarial losses arising from changes in demographic assumptions 34  — 
Experience adjustments (407)  — 
Return on assets (excluding interest income) 304  (501) 
Total re-measurement of the net defined (asset)/liability shown 
in other comprehensive Income (338)  996 
Year to
31 March
2014
£000
Year to
31 March 
2013
As restated
£000
Actual return on plan assets 240  1,080 
Movement in deficit during the year
Year to
31 March
2014
£000
Year to
31 March 
2013
As restated
£000
Deficit in scheme at beginning of year (3,913) (3,061) 
Movement in year:
Employer contributions 369  404 
Net benefit expense (287) (260) 
Actuarial gain/(loss) 338  (996) 
Deficit in scheme at end of year (3,493) (3,913) 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Movement in scheme assets
Year to
31 March
2014
£000
Year to
31 March 
2013
As restated
£000
Fair value at beginning of year 13,137  12,473 
Interest income on scheme assets 544  579 
Return on assets (excluding interest income) (304)  501 
Employer contributions 369  404 
Benefits paid (759)  (695) 
Administrative costs (131)  (125) 
Fair value at end of year 12,856  13,137 
Movement in scheme liabilities
Year to
31 March
2014
£000
Year to
31 March 
2013
£000
Benefit obligation at start of year 17,050  15,534 
Interest cost 700  714 
Actuarial (gains)/losses arising from changes in financial assumptions (269)  1,497 
Actuarial losses arising from changes in demographic assumptions 34  — 
Experience adjustments (407)  — 
Benefits paid (759)  (695) 
Benefit obligation at end of year 16,349  17,050 
The weighted average duration of the pension scheme liabilities are 14.5 years (2013: 16.0 years).
A quantitative sensitivity analysis for significant assumptions as at 31 March 2014 is as shown below:
Present value of scheme liabilities when changing the following assumptions:
2014
£000
Discount rate increased by 1% p.a. 14,439
RPI and CPI increased by 1% p.a. 17,259
Mortality — members assumed to be their actual age as opposed to 1 year older 16,885
The sensitivity analysis above has been determined based on a method that extrapolates the impact on defined benefit obligation as a result of 
reasonable changes in key assumptions occurring at the end of the year.
www.chamberlin.co.uk
Stock code: CMH
54
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
23. Contingent liabilities
Cross guarantees exist between the Company and its subsidiary undertakings in respect of the Group’s bank overdrafts, asset finance loans and 
invoice finance facilities. The total borrowings of the subsidiaries at 31 March 2014 amounted to £3,611,000 (2013: £nil).
24. Financial commitments
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Capital expenditure
Contracted for but not provided in the accounts 51  88  —  25
Lease commitments
The Group had total outstanding commitments under operating leases as follows:
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Future minimum payments due:
Not later than one year 445  434  40  — 
After one year but not more than five years 1,314  1,578  87  — 
After five years 25  26 — — 
 1,784  2,038  127  — 
Leases on land and buildings comprise the lease for the Leicester foundry (£270,000 per annum with an end date, subject to earlier termination, 
of 31 March 2018) and the lease for the premises of Petrel Limited (£60,000 per annum with an end date of 20 August 2019).
The lease on the Leicester foundry is terminable by the Company only on 12 months notice. The lease on Petrel’s premises is terminable by the 
Company on six months notice prior to 20 August 2014, after which early termination is not permitted.
25. Derivatives and financial instruments
The Group considers the use of derivatives to reduce financial risk in a number of areas noted below.
The only area where the use of derivatives is considered appropriate at present is that of currency risk.
The carrying amount of financial assets and financial liabilities are not materially different to their fair value.
The Company is only exposed to interest rate risk.
Currency risk
The Group’s functional currency is Sterling but approximately 20% of revenues are denominated in foreign currencies, principally Euros in relation 
to castings exports. In order to reduce the Group’s exposure to currency fluctuations a proportion of forecast exposures are hedged depending 
on the level of confidence and hedging is topped up following regular reviews. Hedging is built up over 18 months up to an 80% hedge, on 
this basis up to 50% of the Group’s annual exposures are likely to be hedged at any point in time and the Group’s net transactional exposure to 
different currencies varies from time to time. At the year end it had net monetary assets denominated in Euros of £47,000 (2013: £942,000). A 
proportion of the Group’s financial liabilities are denominated in Euros, reducing the currency risk of the Group. Because up to 80% of the Euro 
debtors are hedged, the impact on net monetary assets of a 5% exchange rate change in the Euro/Sterling would not be material to the profit 
and loss.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
At 31 March 2014, the Group held forward currency hedging contracts designated as hedges of expected future Euro exports for highly probable 
forecast sales transactions. The forward currency contracts are being used to hedge the foreign currency risk of highly probable forecast sales 
over 18 months.
The terms of the forward currency hedging contracts have been negotiated to match the terms of the commitments and the cash flow hedges 
of expected future sales were assessed to be highly effective. 
Forward currency contracts for the sale of Euros outstanding at the year end have been recorded at fair value with the movement being 
recognised directly in other comprehensive income through the consolidated statement of comprehensive income. If these contracts were not in 
place and the Euro/Sterling exchange rate moved by plus or minus 5% the corresponding gain/loss to equity would be £263,000 (2013: £296,000).
A risk to the Group relates to ineffective hedges whereby highly probable sales do not occur and the Group is over hedged against those 
particular sales. During the previous year a number of forward contracts were identified as being ineffective. As such a charge of £69,000 was 
taken to non-underlying items in the consolidated income statement where this would normally have gone through equity in the hedge reserve. 
This represents the fair value movement since the interim date, the date where effectiveness was last achieved. No ineffective hedges were 
identified in the current year.
Contracted
amount 
(Euro ’000)
Weighted
 average
contract
rate
Contracted 
amount
£’000
Contracted 
amount at 
year end rate
£’000
Unrealised 
gain/(loss)
£’000
At 31 March 2014 6,425 1.1631 5,524  5,310  214 
At 31 March 2013 7,700 1.2367 6,226  6,514  (288) 
Interest rate risk
The Group operates an overdraft facility with HSBC Bank plc along with asset finance loans and an invoice finance facility. Exposure to interest 
rate risk is considered to be low and no derivatives are used to modify the Group’s interest rate risk profile. The impact of a 50 basis point 
increase in UK interest rates would be a £18,000 reduction in profit before tax (2013: £5,000). An equivalent decrease in rates would increase 
profit before tax by £18,000 (2013: £5,000).
An analysis of interest bearing financial assets and liabilities is given below.
Financial liabilities
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Bank overdraft (Sterling denominated) 341  (611)  (369)  (3,826) 
Bank overdraft (Euro denominated) (498)  (370)  —  — 
Invoice finance (Sterling denominated) (1,945)  —  —  — 
Invoice finance (Euro denominated) (739)  —  —  — 
Invoice finance (US Dollar denominated) —  —  —  — 
Asset finance loans (Sterling denominated) (800)  —  —  — 
 (3,641)  (981)  (369)  (3,826) 
www.chamberlin.co.uk
Stock code: CMH
56
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
25. Derivatives and financial instruments continued
Credit risk
The Group trades only with recognised, creditworthy third parties. It is the Group’s policy that all customers who wish to trade on credit 
terms are subject to credit verification procedures. In addition, receivable balances are monitored on an ongoing basis with the result that the 
Group’s exposure to bad debts is not significant. The maximum exposure is the carrying amount as disclosed in note 16. There are no significant 
concentrations of credit risk within the Group.
With respect to credit risk arising from the other financial assets of the Group, which comprise cash and cash equivalents, the Group’s exposure 
to credit risk arises from default of the counterparty, with the maximum exposure equal to the carrying amount of the instrument.
The bad debt charge for the year was £195,000 (2013: £152,000).
Liquidity risk
The Group aims to mitigate liquidity risk by managing the cash generation of its operating units, and applying cash generation targets across the 
Group. Investment is carefully controlled, with authorisation limits operating up to Group board level and cash payback periods applied as part 
of the investment appraisal process. In this way the Group aims to maintain a good credit rating and operate within its existing facilities. There 
are no material differences between the fair values and carrying values of the financial assets and liabilities.
The Group’s funding strategy is to maintain flexibility in managing its day to day working capital needs through the use of an invoice finance 
facility, subject to net worth and debtor turn covenants, along with an overdraft facility which is not subject to financial covenants, and to fund 
acquisitions and significant capital projects through the use of longer term funding including bank loans and equity. The Group’s £0.5m overdraft 
facility is renewable annually and is renewable in February 2015. The Group’s £6.0m invoice finance facility is renewable in March 2016. The Group 
is also financed by an £800,000 loan repayable over four years as discussed in the consolidated balance sheet commentary on page 31.
Fair value hierarchy
The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:
Level 1: quoted (unadjusted) prices in active markets for identical assets or liabilities;
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or 
indirectly: and
Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market 
data.
All derivative financial assets and liabilities are valued by level 2 techniques (see note 1.2 for details of valuation technique and inputs). The fair 
values of short term receivables, short term payables, and the invoice finance facility and overdraft (both of which are repayable on demand) are 
not disclosed, as permitted by IFRS 7, where the carrying amount is a reasonable approximation to fair value. The fair value of the asset finance 
loan has been determined by discounting the expected future cash flows using prevailing market interest rates (a level 2 technique). Given that 
the asset loan is a floating rate loan only taken out in March 2014, its fair value is considered to be the same as the book value of £800,000.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
The table below summarises the maturity profile of the Group’s financial liabilities at 31 March 2014 and 31 March 2013.
Non-derivative financial liabilities On demand
Less than 
one year 1 to 2 years 2 to 5 years Total
At 31 March 2014
Bank overdraft 157  —  —  —  157 
Invoice finance 2,684  —  —  —  2,684 
Asset loans, including interest —  226  219 415 860 
Trade payables —  3,740  —  —  3,740 
 2,841  3,966  219 415 7,441 
At 31 March 2013
Bank overdraft 981  —  —  —  981 
Trade payables —  5,522  —  —  5,522 
 981  5,522  —  —  6,503 
The gross undiscounted future cashflows are analysed as follows:
Derivative financial liabilities On demand
Less than 
one year 1 to 2 years 2 to 5 years Total
At 31 March 2014
Foreign Exchange forward contracts —  4,468  842  —  5,310 
 —  4,468  842  —  5,310 
At 31 March 2013
Foreign Exchange forward contracts —  6,514  —  —  6,514 
 —  6,514  —  —  6,514 
Capital management
The Group defines capital as the total equity of the Group, which at the year end is £6,940,000 (2013: £8,293,000). The Group objective for 
managing capital is to deliver competitive, secure and sustainable returns to maximise long-term shareholder value. The Group is subject to net 
worth covenants and debtor turn covenants on its invoice finance facility. There are no financial covenant restrictions on the Group’s overdraft 
facility or asset loans. Further details are discussed in the consolidated balance sheet commentary on page 31.
www.chamberlin.co.uk
Stock code: CMH
58
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
26. Related party transactions
Group
All transactions between the parent company and subsidiary companies and between subsidiary companies have been eliminated on 
preparation of the consolidated accounts. The Group has not entered into any other related party transactions.
Company
The Company provides certain management services to subsidiary companies.
Certain payments in relation to items settled or provided on a central basis, principally corporation tax and insurance payments, are made by the 
Company and are then recharged to subsidiaries at cost.
Compensation of key management personnel (including directors)
Group Company
2014
£000
2013
£000
2014
£000
2013
£000
Short term employee benefits (including employer’s NI) 1,412  1,220  720  580 
Termination costs (including employer’s NI) 30  208  —  80 
Share-based payments 9  (69)  9  (11) 
Pension contributions 66  65  42  29 
 1,517  1,424  771  678
Key management, other than directors of the Company, comprise the Managing Directors and Finance Directors of the main operating 
subsidiaries and are included in Group figures above.
Details of key management share options are disclosed in note 20.
27. Summary of significant accounting policies 
Basis of preparation
The consolidated financial statements have been prepared on a historical cost basis and are presented in sterling and all values are rounded to 
the nearest thousand pounds (£000) except when otherwise indicated. The Company has taken advantage of the exemption provided under 
section 408 of the Companies Act 2006 not to publish its individual income statement and related notes.
Basis of consolidation
The consolidated financial statements comprise the financial statements of Chamberlin plc and its subsidiaries as at 31 March each year. The 
financial statements of subsidiaries are prepared for the same reporting year as the parent Company, using consistent accounting policies. 
All inter-company balances and transactions, including unrealised profits arising from intra-group transactions, have been eliminated in full. 
Subsidiaries are consolidated from the date on which control is transferred to the Group and cease to be consolidated from the date on which 
control is transferred out of the Group.
Going concern 
The Group’s activities together with the factors likely to affect its future development, performance and financial position, including its cash 
flows, liquidity position and borrowing facilities, are described in the Strategic Report on pages 02 to 11. In addition, Note 25 to the Group 
Financial Statements includes the Group’s objectives and policies for managing capital and financial risks in relation to currency, interest rates, 
credit and liquidity.
The Group’s forecasts and projections, taking account of reasonably possible changes in trading conditions, show that the Group is able to 
operate within the level of its current bank facilities, comprising a £6.0m invoice discounting facility renewable in March 2016, £0.5m overdraft 
renewable in February 2015 (the Group is not reliant on this renewal) and a £0.8m loan repayable over four years. As a consequence, the 
Directors believe that the Group is well placed to manage its business and financial risks successfully.
After making enquiries, the Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence 
for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the Financial Statements.
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Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Presentation of the Consolidated Income Statement
The Consolidated Income Statement is allocated between Underlying items which relate to the trading activities of the business and Non-
underlying items which are either non-recurring or are valued using market derived data which is outside of management’s control. As per the 
non-underlying and exceptional items accounting policy note, the Directors believe that this format sets out the performance of the Group 
more clearly.
Business combinations and goodwill
Business combinations from 1 April 2010
Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the 
consideration transferred, measured at acquisition date fair value and the amount of any non-controlling interest in the acquiree. The choice of 
measurement of non-controlling interest, either at fair value or at the proportionate share of the acquiree’s identifiable net assets is determined 
on a transaction by transaction basis. Acquisition costs incurred are expensed and included in administrative expenses.
When the Group acquires a business, it assesses the financial assets and liabilities assumed for appropriate classification and designation in 
accordance with the contractual terms, economic circumstances and pertinent conditions as at the acquisition date. 
Any contingent consideration to be transferred by the acquirer will be recognised at fair value at the acquisition date. Subsequent changes to 
the fair value of the contingent consideration which is deemed to be an asset or liability will be recognised in accordance with IAS39 either in 
profit or loss or in other comprehensive income. If the contingent consideration is classified as equity, it is not re-measured until it is finally settled 
within equity.
Goodwill is initially measured at cost being the excess of the aggregate of the acquisition-date fair value of the consideration transferred and the 
amount recognised for the non-controlling interest (and where the business combination is achieved in stages, the acquisition-date fair value of 
the acquirer’s previously held equity interest in the acquiree) over the net identifiable amounts of the assets acquired and the liabilities assumed 
in exchange for the business combination. Assets acquired and liabilities assumed in transactions separate to the business combinations, such 
as the settlement of pre-existing relationships or post-acquisition remuneration arrangements are accounted for separately from the business 
combination in accordance with their nature and applicable IFRSs. Identifiable intangible assets are recognised separately from goodwill. 
Contingent liabilities representing a present obligation are recognised if the acquisition-date fair value can be measured reliably. If the aggregate 
of the acquisition-date fair value of the consideration transferred and the amount recognised for the non-controlling interest (and where the 
business combination is achieved in stages, the acquisition-date fair value of the acquirer’s previously held equity interest in the acquiree) is lower 
than the fair value of the assets, liabilities and contingent liabilities and the fair value of any pre-existing interest held in the business acquired, the 
difference is recognised in profit and loss.
After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For the purpose of impairment testing, goodwill 
acquired in a business combination is, from the acquisition date, allocated to each of the Group’s cash-generating units that are expected to 
benefit from the combination, irrespective of whether other assets or liabilities of the acquiree are assigned to those units. Each unit or group of 
units to which goodwill is allocated shall represent the lowest level within the entity at which goodwill is monitored for internal management 
purposes and will not be larger than an operating segment before aggregation. Goodwill is tested for impairment when indicators of impairment 
are identified.
Where goodwill forms part of an operation which is disposed of, the goodwill associated with that operation is included in the carrying amount 
of the operation when determining the gain or loss on disposal of the operation. Goodwill disposed of in this circumstance is measured based on 
the relative values of the operation disposed of and the portion of the cash-generating unit retained.
Business Combinations prior to 1 April 2010
Business combinations are accounted for using the purchase method. The cost of an acquisition is measured as the cash paid, and the fair value 
of other assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the 
acquisition. The acquired identifiable assets, liabilities and contingent liabilities are measured at their fair value at the date of acquisition. 
Any excess of the cost of acquisition over the fair values of the identifiable net assets acquired is recognised as goodwill. Any deficiency of the 
cost of acquisition below the fair values of the identifiable net assets acquired (i.e. discount on acquisition) is credited to the consolidated income 
statement in the period of acquisition. 
www.chamberlin.co.uk
Stock code: CMH
60
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Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
27. Summary of significant accounting policies continued
Goodwill on acquisition is initially measured at cost being the excess of the cost of the business combination over the acquirer’s interest in the 
net fair value of the identifiable assets, liabilities and contingent liabilities. Following initial recognition, goodwill is measured at cost less any 
accumulated impairment losses. Goodwill is reviewed for impairment annually or more frequently if events or changes in circumstances indicate 
that the carrying value may be impaired.
As at the acquisition date, any goodwill acquired is allocated to each of the cash-generating units acquired. Impairment is determined by 
assessing the recoverable amount of the cash generating unit to which the goodwill relates. Where the recoverable amount of the cash 
generating unit is less than the carrying amount, an impairment loss is recognised. When there is a partial disposal of a cash generating unit, 
goodwill relating to the operation disposed of is taken into account in determining the gain or loss on disposal of that operation. The amount of 
goodwill allocated to a partial disposal is measured on the basis of the relative values of the operation disposed of and the operation retained.
Property, plant and equipment
All classes of property, plant and equipment are stated at cost less accumulated depreciation and any impairment in value. The initial cost of an 
asset comprises its purchase price or construction cost, and any costs directly attributable to bringing the asset into operation. The purchase 
price or construction cost is the aggregate amount paid and the fair value of any other consideration given to acquire the asset. For property, 
where appropriate the deemed cost as at the date of transition to IFRS is the fair value at the date of the last valuation of these assets.
With the exception of freehold land, depreciation is calculated on a straight-line basis over the estimated useful life of the asset as follows:
Freehold buildings and long leasehold property –   over expected useful life (not exceeding 50 years)
Short leasehold property – over the term of the lease
Plant and other equipment – 2 to 10 years
Motor vehicles – 4 years
The estimated useful lives of property, plant and equipment are reviewed on an annual basis and, if necessary, changes in useful lives are 
accounted for prospectively.
The carrying values of property, plant and equipment are reviewed for impairment when events or changes in circumstances indicate the 
carrying value may not be recoverable. If any such indication exists and where the carrying values exceed the estimated recoverable amount, the 
assets or cash-generating units are written down to their recoverable amount.
The recoverable amount of property, plant and equipment is the greater of net selling price (fair value less costs to sell) and value in use. In 
assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current 
market assessments of the time value of money and the risks specific to the asset. 
For an asset that does not generate largely independent cash inflows, the recoverable amount is determined for the cash-generating unit to 
which the asset belongs. Impairment losses are recognised in the consolidated income statement in the cost of sales line item or in the other 
operating expenses line item depending on the asset concerned.
An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise from the 
continued use of the asset. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds 
and the carrying amount of the item) is included in the consolidated income statement in the year the item is derecognised.
Intangible assets
Intangible assets are stated at cost less accumulated amortisation and accumulated impairment losses. Computer software, intellectual property 
rights and other intangible assets are initially recorded at cost. Where these assets have been acquired through a business combination, this 
will be the fair value allocated in the acquisition accounting. Where these have been acquired other than through a business combination, the 
initial cost is the aggregate amount paid and the fair value of any other consideration given to acquire the asset. Computer software and other 
intangible assets, such as capitalised development expenditure under IAS 38, are amortised over their useful lives on a straight line basis with 
the amortisation charge included within other operating expenses. Estimated useful life is the shorter of legal duration and economic useful life, 
which represents the Directors’ best estimate of the period over which the asset may be used to generate significant economic benefits to the 
Group. Software has an estimated useful life of between 3 years for normal software to 10 years for ERP systems.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Intangible assets in the course of development are tested for impairment annually or more frequently whenever events or changes in 
circumstances indicate that the carrying value may not be recoverable. Impairment losses are measured on a similar basis to property, plant and 
equipment. Useful lives are also examined on an annual basis and adjustments, where applicable, are made on a prospective basis.
Research and development costs
Research costs are expensed as incurred.
Clearly defined and identifiable development projects in which the technical degree of exploitation, adequacy of resources and potential market 
or development possibility in the undertaking can be clearly demonstrated, and where it is the intention to produce, market or execute the 
project, are capitalised when a correlation exists between the costs incurred and future benefits. Costs not meeting such criteria are expensed as 
incurred. Amortisation is applied as set out for intangible assets above, the useful life being determined for individual development projects. For 
projects capitalised to date a useful life of 5 years was considered appropriate.
The Company’s investments in subsidiaries
Investments in subsidiaries are stated at cost and dividends from subsidiaries are taken to profit or loss when the right to receive payment is 
established.
Inventories
Inventories are valued at the lower of cost and net realisable value, which is arrived at as follows:
Raw materials; purchase cost on a first-in, first-out basis; 
Finished goods and work-in progress; where detailed individual product costing information is available, actual cost of direct materials and 
labour and a proportion of manufacturing overheads based on normal operating capacity but excluding borrowing costs. 
Previously the engineering division included inventory valued at selling price less the calculated margin on certain finished goods in the absence 
of more detailed individual product costing information. During the year a change in estimate was made to value all finished goods using the 
method described above to be consistent with the rest of the Group. Management have evaluated the effect of this change in estimate and do 
not believe it to be material.
Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs 
necessary to make the sale.
Maintenance items are held in inventory and expensed on use unless they exceed a de minimis level where they are capitalised under plant and 
equipment and depreciated over the remaining useful economic life of the item of plant or equipment to which they relate.
Trade and other receivables
Trade receivables, which generally have 30-60 day terms, are recognised and carried at original invoice amount less any provision for bad debts. A 
provision for impairment, in respect of trade receivables, is made when there is objective evidence (such as the probable insolvency or significant 
financial difficulties of the debtor) that the Group will not be able to collect all of the amount due under the original terms of the invoice. The 
carrying amount of the receivable is reduced through a provision and impaired debts are derecognised when they are assessed as uncollectible.
Cash and cash equivalents
Cash and cash equivalents in the balance sheet comprise cash in hand and current balances with banks and similar institutions and short-term 
deposits with an original maturity of three months or less which are subject to insignificant risks of changes in value.
For the purpose of the consolidated cash flow statement, cash and cash equivalents consist of cash and cash equivalents as defined above, net of 
outstanding bank overdrafts.
Leases
Operating lease payments are recognised as an expense in the consolidated income statement on a straight-line basis over the lease term.
www.chamberlin.co.uk
Stock code: CMH
62
63
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
27. Summary of significant accounting policies continued
Foreign currency translation, derivative financial instruments and hedging
The functional and presentation currency of Chamberlin plc and its subsidiary undertakings is sterling (£). Transactions in foreign currencies are 
recorded in the functional currency at the rate of exchange ruling at the date of the transaction. Monetary assets and liabilities denominated in 
foreign currencies are retranslated at the functional currency rate of exchange ruling at the balance sheet date. Any resulting exchange differences 
are taken to the consolidated income statement.
The Group is exposed to foreign exchange risk on income streams denominated in foreign currencies. In order to reduce the Group’s exposure to 
currency fluctuations the Group sells a proportion of expected Euro revenues on forward contracts.
With effect from 1 April 2010 the Group adopted hedge accounting in respect of certain sales denominated in foreign currencies. Foreign 
currency forward contracts are being used to hedge the foreign currency risks on highly probable forecasted sales transactions. The fair value of 
forward currency contracts is calculated by reference to current market prices for contracts with similar maturity profiles. The proportion of the 
gain or loss on the hedging instrument that is determined as an effective hedge is recognised in other comprehensive income and the gain or 
loss on any ineffective component of a hedging instrument is recognised in profit and loss. Amounts initially recognised in equity are transferred 
to the consolidated income statement within sales when the forecast hedged transaction occurs.
At 31 March 2014 the Group held 15 months worth of foreign currency forward contracts designated as hedges of expected future sales to 
customers in Europe for which the Group has highly probable forecasted transactions.
Hedges are valued by reference to an external marked to market valuation. Group management perform an assessment to confirm the 
reasonableness of this valuation.
Employee benefits
Wages, salaries, bonuses, social security contributions, paid annual leave and sick leave are accrued in the year in which the associated services are 
rendered by employees of the Group. 
Pensions and other post-employment benefits
The Group operates a number of defined contribution schemes, which require contributions to be made to administered funds separate from 
the Group.
The Group also has a defined benefit pension scheme which is closed to future accrual. The scheme assets are measured at fair value and plan 
liabilities are measured on an actuarial basis, using the projected unit credit method. As the scheme is closed to future accrual, no service cost of 
providing pension to employees is charged to the consolidated income statement. The cost of making improvements to past pension and other 
post-retirement benefits is recognised in the consolidated income statement immediately as an expense.
Net interest is calculated by applying the discount rate to the net defined benefit liability or asset. The Group recognises the following changes in 
the net defined benefit obligation under non-underlying operating costs in the consolidated income statement:
 — Defined benefit pension scheme administration costs
Re-measurements gains and losses may result from: changes in financial assumptions, changes in demographic assumptions, experience 
adjustments and differences between the expected return and the actual return on plan assets. Re-measurements are recognised in full in the 
period in which they occur, in other comprehensive income.
For defined contribution plans, contributions payable for the year are charged to the consolidated income statement as an operating expense. 
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Income taxes
Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities, based on tax 
rates and laws that are enacted or substantively enacted by the balance sheet date.
Deferred income tax is recognised on all temporary differences arising between the tax bases of assets and liabilities and their carrying amounts 
in the financial statements, with the following exceptions:
 ● where the temporary difference arises from the initial recognition of goodwill or of an asset or liability in a transaction that is not a business 
combination that at the time of the transaction affects neither accounting nor taxable profit or loss;
 ● in respect of taxable temporary differences associated with investments in subsidiaries, associates and joint ventures, where the timing of the 
reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable 
future; and
 ● deferred income tax assets are recognised only to the extent that it is probable that taxable profit will be available against which the 
deductible temporary differences, carried forward tax credits or tax losses can be utilised within the foreseeable future.
Deferred income tax assets and liabilities are measured on an undiscounted basis at the tax rates that are expected to apply when the related 
asset is realised or liability is settled, based on tax rates and laws enacted or substantively enacted at the balance sheet date.
Income tax is charged or credited directly to other comprehensive income or equity if it relates to items that are credited or charged to other 
comprehensive income or to equity respectively. Otherwise income tax is recognised in the consolidated income statement.
Revenue
Revenue is recognised when the significant risks and rewards of ownership of the goods, in line with the International Commercial terms as 
defined by the International Chamber of Commerce, have passed to the buyer and can be reliably measured. Revenue is measured at the fair 
value of the consideration received or receivable and represents amounts receivable for goods provided in the normal course of business, net of 
discounts, customs duties and sales taxes.
Dividends
Dividend payments are recognised in the period in which they become a binding obligation on the Company, which for interim dividends is 
when they are paid and for final dividends is when they are approved at the AGM.
Borrowing costs
Borrowing costs directly attributable to the acquisition, construction or production of an asset, that necessarily takes a substantial period of 
time to get ready for its intended use or sale, are capitalised as part of the cost of the respective asset. All other borrowing costs are expensed 
as interest payable in the consolidated income statement in the period in which they are incurred. Borrowing costs consist of interest and other 
costs incurred in connection with the borrowing of funds.
Share-based payments
The Group grants equity-settled and cash-settled share-based payments to certain Directors and employees in the form of share options. 
Equity-settled share-based payments are measured at fair value at the date of grant using a Stochastic model. Cash-settled share-based payments 
are measured at fair value at the balance sheet date using a Stochastic model. The fair value is then charged to the consolidated income 
statement over the vesting period of the options. In valuing equity-settled payments, no account is taken of any service and performance 
conditions (vesting conditions) other than performance conditions linked to the price of the shares of the Company (market conditions). Any 
other conditions which are required to be met in order for an employee to become fully entitled to an award are considered to be non-vesting 
conditions. Like market performance conditions, non-vesting conditions are taken into account in determining the grant date fair value.
No expense is recognised for awards that do not ultimately vest except for awards where vesting is conditional upon a market vesting condition 
or a non-vesting condition, which are treated as vesting irrespective of whether or not the market vesting condition or non-vesting condition is 
satisfied, provided all non-market vesting conditions are satisfied.
www.chamberlin.co.uk
Stock code: CMH
64
65
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Section 5 
Other Supporting Notes continued 
27. Summary of significant accounting policies continued
At each balance sheet date before vesting the cumulative expense is calculated taking into account the extent to which the vesting period 
has expired and management’s best estimate of the achievement or otherwise of non-market vesting conditions and of the number of equity 
instruments that will ultimately vest or, in the case of an instrument subject to a market condition or a non-vesting condition, be treated as 
vesting above. The movement since the previous balance sheet date is recognised in the consolidated income statement, with a corresponding 
entry in equity.
The values for the expected life of the options and the expected volatility of the share price used in the calculation model are based on the 
Directors’ best estimates, taking into account conditions for exercise, historic data and behavioural considerations. Management have assessed 
the impact of market conditions on the valuation and have determined them not be material.
Non-underlying and exceptional items
The Group presents as non-underlying items on the face of the consolidated income statement, those items of income and expenditure 
which, because they are either non-recurring or are valued using market derived data which is outside management’s control, merit separate 
presentation to allow shareholders to better understand the elements of financial performance in the year, so as to facilitate comparison with 
prior periods and to allow assessment of trends in financial performance. Non-underlying items include ineffective hedge costs, share-based 
payment costs, administration costs of the pension scheme and net financing costs of pension obligations, costs associated with the resignation 
of the former Chief Executive, reorganisation costs and associated tax impact on these items.
Use of accounting estimates and judgements
The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and 
judgements that affect the reported amount of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance 
sheet date and the reported amounts of revenues and expenses during the reporting period. Actual outcomes could differ from those estimates 
and judgements. Where appropriate, details of estimates and assumptions used are set out in the relevant notes to the accounts.
The key figures in the accounts that are most sensitive to such estimates and assumptions are:
 ● Impairment of development costs – the Group determines whether development costs are impaired on an annual basis or more frequently if 
there are indicators of impairment. Impairment testing requires an estimate of future cash flows and the choice of a suitable discount rate.
 ● Impairment of property, plant and equipment – the Group performs an impairment review when indications of impairment exist. 
Impairment testing requires an estimate of future cash flows and the application of a suitable discount rate.
 ● Defined benefit scheme pension liabilities – the cost of the closed defined benefit pension plan is determined using actuarial valuations. The 
actuarial valuation involves making assumptions about discount rates, future salary increases, mortality rates and future pension increases.
 ● Legal provisions – the Group makes provision for legal cases where future costs are expected to be incurred in either defending the claim or 
in anticipating a settlement. The Group will seek legal advice on the chances of successful defence of any claim when assessing the extent of 
legal provision required.
 ● Restructuring provisions – the Group makes provision for restructuring costs, based on management’s best estimate of the costs of 
implementing such a restructuring.
 ● Recoverability of deferred tax assets – Deferred income tax assets are recognised only to the extent that it is probable that taxable profits 
will be available against which the deductible temporary differences, carried forward tax credits or tax losses can be utilised. The Group has 
assessed that it is probable that future profits will fully utilise current tax losses and other deductible temporary differences. Deferred tax 
assets relating to the pension scheme deficit are expected to be recovered over the period that contributions are made into the scheme, 
including the agreed contributions to April 2020 and expected contributions to be agreed with the Trustees, following finalisation of the April 
2013 actuarial valuation. The deferred tax assets have been assessed as recoverable against forecasts of future taxable profits.  
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Independent Auditor’s Report
to the members of Chamberlin plc
We have audited the financial statements of Chamberlin plc for the year ended 31 March 2014 which comprise the Consolidated Income 
Statement, the Consolidated Statement of Comprehensive Income, the Consolidated and Parent Company Balance Sheets, the Consolidated 
and Parent Company Cash Flow Statements, the Consolidated and Company Statements of Changes in Equity and the related notes 1 to 27. The 
financial reporting framework that has been applied in their preparation is applicable law and International Financial Reporting Standards (IFRSs) 
as adopted by the European Union and, as regards the parent Company financial statements, as applied in accordance with the provisions of the 
Companies Act 2006.
This report is made solely to the Company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit 
work has been undertaken so that we might state to the Company’s members those matters we are required to state to them in an auditor’s 
report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the 
Company and the Company’s members as a body, for our audit work, for this report, or for the opinions we have formed. 
Respective responsibilities of Directors and auditor
As explained more fully in the Statement of Directors’ Responsibilities set out on page 19, the Directors are responsible for the preparation of 
the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the 
financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to 
comply with the Auditing Practices Board’s Ethical Standards for Auditors.
Scope of the audit of the financial statements
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that 
the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the 
accounting policies are appropriate to the Group’s and the parent Company’s circumstances and have been consistently applied and adequately 
disclosed; the reasonableness of significant accounting estimates made by the Directors; and the overall presentation of the financial statements. 
In addition, we read all the financial and non-financial information in the Annual Report and Accounts to identify material inconsistencies with 
the audited financial statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent 
with, the knowledge acquired by us in the course of performing the audit. If we become aware of any apparent material misstatements or 
inconsistencies we consider the implications for our report.
Opinion on financial statements
In our opinion:
 ● the financial statements give a true and fair view of the state of the Group’s and of the parent Company’s affairs as at 31 March 2014 and of 
the Group’s loss for the year then ended;
 ● the Group financial statements have been properly prepared in accordance with IFRSs as adopted by the European Union; 
 ● the parent Company financial statements have been properly prepared in accordance with IFRSs as adopted by the European Union and as 
applied in accordance with the provisions of the Companies Act 2006; and
 ● the financial statements have been prepared in accordance with the requirements of the Companies Act 2006.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion 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.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
 ● adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from 
branches not visited by us; or
 ● the parent Company 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.
Adrian Roberts (Senior statutory auditor) 
for and on behalf of Ernst & Young LLP , Statutory Auditor 
Birmingham 
20 May 2014
www.chamberlin.co.uk
Stock code: CMH
66
67
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Parent Company  
Balance Sheet
at 31 March 2014
Notes
31 March
2014
£000
31 March
2013
£000
Non-current assets
Property, plant and equipment 13 953  978 
Intangible assets 14 1  4 
Investments 21 8,159  8,159 
Deferred tax asset 18 707  946 
 9,820  10,087 
Current assets
Trade and other receivables 16 204  213 
Income taxes receivable 16 —  16 
Amounts due from subsidiary undertakings 16 2,178  5,032 
 2,382  5,261 
Total assets 12,202  15,348 
Current liabilities
Financial liabilities 17 369  3,826 
Trade and other payables 17 545  470 
Amounts due to subsidiary undertakings 17 —  607 
Current tax 44  — 
 958  4,903 
Non-current liabilities
Deferred tax 18 3  15 
Defined benefit pension scheme deficit 22 3,493  3,913 
 3,496  3,928 
Total liabilities 4,454  8,831 
Capital and reserves
Share capital 19 1,990  1,990 
Share premium  1,269  1,269 
Capital redemption reserve  109  109 
Retained earnings  4,380  3,149 
Total equity 7,748  6,517 
Total equity and liabilities 12,202  15,348
Kevin Nolan
Director
David Roberts
Director
The accounts were approved by the Board of Directors on 20 May 2014
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Parent Company  
Cash Flow Statement
for the year ended 31 March 2014
Notes
Year ended
31 March 
2014
£000
Year ended
31 March
2013
As restated
£000
Operating activities £000 £000
Profit/(loss) for the year before tax 1,315  (194) 
Adjustments to reconcile profit/(loss) for the year to net cash 
inflow from operating activities:
Net finance costs excluding pensions 108  109 
Investment income (3,315)  (1,525) 
Dividends received 3,315  1,525 
Depreciation of property, plant and equipment 13 60  62 
Amortisation of software 14 3  3 
Loss on disposal of property, plant and equipment —  2 
Share-based payments 20 9  (69) 
Difference between pension contributions paid and amounts recognised in the Income Statement (82)  (144) 
Decrease/(increase) in receivables 24  (13) 
Increase/(decrease) in payables 75  (144) 
Net cash outflow from operating activities 1,512  (388) 
Investing activities
Purchase of property, plant and equipment 13 (37)  (83) 
Purchase of software 14 —  (2) 
Disposal of plant and equipment 2  69 
Repayment of intercompany loans 2,247  — 
Net cash inflow from investing activities 2,212  (16) 
Financing activities
Interest paid (108)  (109) 
Dividends paid 9 (159)  (258) 
Net cash outflow from financing activities (267)  (367) 
Net increase/(decrease) in financial liabilities 3,457  (771) 
Financial liabilities at the start of the year (3,826)  (3,055) 
Financial liabilities at the end of the year (369)  (3,826) 
Financial liabilities comprise:
Bank overdraft 17 (369)  (3,826) 
 (369)  (3,826) 
www.chamberlin.co.uk
Stock code: CMH
68
69
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Parent Company Statement of 
Changes in Equity
Share 
capital
£000
Share
premium
account
£000
Capital
redemption
reserve
£000
Retained
earnings
As restated
£000
Attributable 
to equity 
holders of the 
Company
As restated
£000
Balance at 1 April 2012 1,987  1,269  109  4,521  7,886 
Loss for the year —  —  —  (198)  (198) 
Other comprehensive income for the year net of tax  —  —  —  (798)  (798) 
Total comprehensive income —  —  —  (996)  (996) 
Shares issued on exercise of share options 3  —  —  (3)  — 
Dividends paid —  —  —  (258)  (258) 
Share-based payment —  —  —  (11)  (11) 
Deferred tax on employee share options —  —  —  (104)  (104) 
Balance at 1 April 2013 1,990  1,269  109  3,149  6,517 
Profit for the year —  —  —  1,262  1,262 
Other comprehensive income for the year net of tax  —  —  —  156  156 
Total comprehensive income —  —  —  1,418  1,418 
Dividends paid —  —  —  (159)  (159) 
Share-based payment —  —  —  9  9 
Deferred tax on employee share options —  —  —  (37)  (37) 
Balance at 31 March 2014 1,990  1,269  109  4,380  7,748 
Share premium account
The share premium account balance includes the proceeds that were above the nominal value from issuance of the Company’s equity share 
capital comprising 25p shares.
Capital redemption reserve
The capital redemption reserve has arisen on the cancellation of previously issued shares and represents the nominal value of those shares 
cancelled.
Retained earnings
Retained earnings include the accumulated profits and losses arising from the Consolidated Income Statement and items from the Consolidated 
Statement of Comprehensive Income attributable to equity shareholders, less distributions to shareholders and share-based compensation 
expense.
Hedging reserve
The hedging reserve records the effective portion of the net change in the fair value of the cash flow hedging instruments related to hedged 
transactions that have not yet occurred.
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Five Year  
Financial Summary
31 March
2014
£000
31 March
2013
£000
31 March
2012
£000
31 March
2011
£000
31 March
2010
£000
Revenue 38.6 42.2 45.5 39.8 28.5
Underlying profit before tax (818) 1,281 1,657 804 (1,028)
Statutory profit before tax (2,116) 799 1,430 333 (1,421)
Underlying diluted earnings per share (pence) (7.6) 14 16.5 6.1 (13.1)
Dividend per share (pence) 0 3.3 3 1 0
Cash generated from operation (1,425) 2,260 2,430 1,791 502
2013
2012
2011
2010
42.2
45.5
39.8
28.5
2014 38.6
2012
2011
2010
1,430
333
(1,421)
2013 799
2014 (2,116)
2012
2011
2010
2013 3.3
2014 0.0
0.0
3
1
2012
2011
2010
2013 1,281
1,657
804
(1,028)
2014 (818)
2012
2011
2010
2013 14
16.5
6.1
(13.1)
2014 (7.6)
2012
2011
2010
2013 2,260
2,430
1,791
502
2014 (1,425)
REv ENUE (£M)
STATUTORY PROFIT BEFORE TAx (£000)
DIv IDEND PER SHARE (pence)
UNDERLYING PROFIT BEFORE TAx (£000)
UNDERLYING DILUTED EARNINGS PER SHARE (pence)
CASH GENERATED FROM OPERATIONS (£000)
www.chamberlin.co.uk
Stock code: CMH
70
71
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Notice of  
Annual General Meeting
Pursuant to Regulation 41 of the Uncertificated Securities Regulations 2001, the Company specifies that only those members registered on the 
Company’s register of members at:
 ● 2.00 pm on 29 July 2014; or,
 ● If this Meeting is adjourned, at 10.00am on the day two days prior to the adjourned meeting,
shall be entitled to attend and vote at the AGM.
Notice is hereby given that the Annual General Meeting of the Company will be held on Thursday 31 July 2014 at the Registered Office, 
Chuckery Road, Walsall at 2.00 p.m. for the following purposes:
To consider and, if thought fit, to pass the following resolutions as ordinary resolutions:
1. To receive and adopt the Report of the Directors, Annual Accounts and Report of the Auditors for the year ended 31 March 2014 
(Resolution 1).
2. To re-elect as a Director Keith Butler-Wheelhouse (Resolution 2).
3. To re-elect as a Director Kevin Nolan who has been appointed by the Board since the last Annual General Meeting as a Director of the 
Company (Resolution 3).
4. To re-elect as a Director David Roberts who has been appointed by the Board since the last Annual General Meeting as a Director of the 
Company (Resolution 4).
5. To re-elect as a Director Keith Jackson (Resolution 5).
6. To re-elect as a Director Alan Howarth (Resolution 6).
7. To approve the Directors’ Remuneration Report for the year ended 31 March 2014 (Resolution 7).
8. To reappoint Ernst & Young LLP as Auditors of the Company and to authorise the Directors to fix the remuneration of the Auditors 
(Resolution 8).
9. That the Directors be and are hereby generally and unconditionally authorised in accordance with Section 551 of the Companies Act 2006 
(in substitution for all existing authorities under section 551 of the Companies Act 2006 which, to the extent unused at the date of this 
resolution, are revoked with immediate effect) to exercise all the powers of the Company to allot shares in the Company or to grant rights to 
subscribe for or to convert any security into shares in the Company up to an aggregate nominal amount of £663,177 provided that (unless 
previously revoked, varied or renewed) such authority shall expire at the earlier of the conclusion of the next Annual General Meeting of 
the Company or 31 October 2015, but so that this authority shall allow the Company to make, before the expiry of this authority, offers 
or agreements which would or might require shares to be allotted or rights to subscribe for or to convert any security into shares to be 
granted after such expiry and notwithstanding such expiry the Directors may allot shares or grant such rights in pursuance to such offers or 
agreements as if this authority had not expired (Resolution 9).
To consider and, if thought fit, to pass the following resolutions as special resolutions:
10. That, subject to the passing of resolution 9 and pursuant to section 570 of the Companies Act 2006 the Directors be and are hereby 
generally empowered (in substitution for all existing powers under section 570 of the Companies Act 2006 which, to the extent unused at 
the date of this resolution, are revoked with immediate effect) to allot equity securities (as defined in Section 560 of the Companies Act 
2006) for cash pursuant to the authority granted by resolution 9 as if Section 561(1) of the Companies Act 2006 did not apply to such 
allotment, provided that this power shall be limited to the allotment of equity securities
(a) in connection with an offer of equity securities (whether by way of a rights issue, open offer or otherwise):
(i) to holders of ordinary shares in the capital of the Company in proportion (as nearly as practicable) to the respective numbers of 
ordinary shares held by them; and
(ii) to holders of other equity securities in the capital of the Company, as required by the rights of those securities or, subject to such 
rights, as the directors otherwise consider necessary,
but subject to such exclusions or other arrangements as the directors may deem necessary or expedient in relation to treasury shares, 
fractional entitlements, record dates or any legal or practical problems under the laws of any territory or the requirements of any regulatory 
body or stock exchange; and
(b) otherwise than pursuant to paragraph 10(a) of this resolution, up to an aggregate nominal amount of £99,476,
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
and (unless previously revoked, varied or renewed) this power shall expire at the earlier of the conclusion of the next Annual General 
Meeting, of the Company or 31 October 2015, but so that this authority shall allow the Company to make, before the expiry of this 
authority, offers or agreements which would or might require shares to be allotted or rights to subscribe for or to convert any security into 
shares to be granted after such expiry and notwithstanding such expiry the Directors may allot shares or grant such rights in pursuance of 
such offers or agreements as if this authority had not expired (Resolution 10).
11. That the Company be and hereby is generally and unconditionally authorised pursuant to section 701 of the Companies Act 2006 to make 
market purchases (within the meaning of section 693(4) of the Companies Act 2006) of Ordinary Shares on such terms and in such manner 
as the Directors may from time to time determine provided that:
(a) the maximum aggregate number of Ordinary Shares which may be purchased is 795,812;
(b) the minimum price (exclusive of expenses) which may be paid for each Ordinary Share is 25 pence;
(c) the maximum price which may be paid for each Ordinary Share is an amount equivalent to 105 per cent. of the average of the middle 
market quotations for an Ordinary Share as derived from the Daily Official List of the London Stock Exchange Plc for the five business 
days immediately preceding the day on which the Ordinary Share in question is purchased,
and (unless previously revoked, varied or renewed) this authority shall expire at the earlier of the conclusion of the next Annual General 
Meeting of the Company or 31 October 2015, save that the Company may enter into a contract to purchase Shares before this authority 
expires under which such purchase will or may be completed or executed wholly or partly after this authority expires and may make a 
purchase of Shares pursuant to any such contract as if this authority had not expired (Resolution 11).
By order of the Board
David Roberts Chuckery Road
Company Secretary Walsall
20 May 2014 WS1 2DU
General Information
A member is entitled to appoint another person (whether a member or not) as his or her proxy to exercise all or any of his or her rights to 
attend and to speak and vote at the Meeting for which purpose a form of proxy is enclosed.  Proxies must be lodged at the office of the 
Company’s Registrars, Neville Registrars Ltd, 18 Laurel Lane, Halesowen, West Midlands B63 3DA, not later than 2:00pm on 29 July 2014 (or if the 
Meeting is adjourned, not later than 48 hours (excluding any part of a day that is not a working day) before the time of the adjourned meeting).  
Completion and return of the form of proxy in accordance with its instructions will not prevent a member from attending and voting at the 
Meeting instead of their proxy if they wish. A member may appoint more than one proxy in relation to the Meeting provided that each proxy is 
appointed to exercise the rights attached to a different share or shares held by the member. A member wishing to appoint more than one proxy 
should photocopy the proxy card and indicate on each copy the name of the proxy he appoints and the number of shares in respect of which 
that proxy is appointed.  A failure to specify the number of shares each proxy appointment relates to or specifying a number in excess of those 
held by the member may result in the proxy appointment being invalid.
A shareholder which is a corporation may authorise one or more persons to act as its representative(s) at the meeting. Each such representative 
may exercise (on behalf of the corporation) the same powers as the corporation could exercise if it were an individual shareholder, provided 
that (where there is more than one representative and the vote is otherwise than on a show of hands) they do not do so in relation to the same 
shares.
There will be available for inspection at the Registered Office of the Company during normal business hours (Weekends and Public Holidays 
excepted) from the date of this notice until the conclusion of the Annual General Meeting copies of contracts of service of Directors (including 
letters of appointment of non-executive Directors) with the Company or with any of its subsidiary undertakings.
Biographical details of all directors who are offering themselves for re election at the meeting are set out on page 13 of the enclosed annual 
report and accounts.
An explanation of Resolutions 9, 10 and 11 is set out in the Report of the Directors on pages 17 to 20. 
Members should notify the Registrars without delay of any change of address.
www.chamberlin.co.uk
Stock code: CMH
72
73
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
Shareholder Information
Directors Keith Butler-Wheelhouse (Non-Executive Chairman)
Kevin Nolan (Chief Executive)
David Roberts (Finance Director)
Keith Jackson (Non-Executive)
Alan Howarth (Non-Executive)
Company Secretary David Roberts
Registered Office Chuckery Road
Walsall
WS1 2DU
Registered in England No. 76928
Auditor Ernst & Young LLP
Birmingham
Solicitors DLA Piper
Birmingham
Stockbrokers Charles Stanley Securities
London
Bankers HSBC Bank plc
Birmingham
Registrars Neville Registrars Limited
Neville House
18 Laurel Lane
Halesowen
West Midlands
B63 3DA
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
www.chamberlin.co.uk
Stock code: CMH
74
75
Financial Statements 23360.02   19 June 2014 2:05 PM    proof 4
chamberlin plc
Annual Report and Accounts for the year ended 31 March 2014 23360.02   19 June 2014 2:05 PM    proof 4
Small complex grey iron castings, principally for the  
automotive sector and hydraulic applications.
Chamberlin & Hill Castings Ltd
Chuckery Road
Walsall, WS1 2DU
Tel: 01922 721411
Fax: 01922 614610
Bonchurch Street
Leicester, LE3 5EP
Tel: 0116 2992000
Fax: 0116 2998844
www.chcastings.co.uk
Large grey, ductile and alloyed iron castings for a range of 
applications including power generation, bearing housings, 
steelworks, construction and compressors.
Russell Ductile Castings Ltd
Trent Foundry
Dawes Lane
Scunthorpe, DN15 6UW
Tel: 01724 862152
Fax: 01724 280461
www.russellcastings.co.uk
Emergency exit equipment and traditional architectural  
hardware directed mainly at the DIY and construction  
markets.
Exidor Ltd
Progress Drive
Cannock, WS11 0JE
Tel: 01543 570050
Fax: 01543 573534
www.exidor.co.uk
Products associated with cable management. Lighting  
and switchgear associated with petrochemicals and  
construction applications.
Petrel Ltd
22 Fortnum Close
Kitts Green
Birmingham, B33 0LB
Tel: 0121 783 7161
Fax: 0121 783 5717
www.petrel-ex.co.uk
www.chamberlin.co.uk
Stock code: CMH 23360.02   19 June 2014 2:05 PM    proof 4
Annual Report and Accounts for the year ended 31 March 2014
Chuckery Road, Walsall, West Midlands, WS1 2DU
T: 01922 707100 F: 01922 638370
E: plc@chamberlin.co.uk
chamberlin plc 
Visit us online
For more information on Chamberlin Group 
operations please visit our website at
www.chamberlin.co.uk