H & A JOINERY SERVICES LIMITED

Executive Summary

H & A Joinery Services Limited operates as a micro-entity in the joinery installation segment, facing financial challenges evidenced by its recent negative net asset position and liquidity pressures. While typical of small joinery firms to experience market sensitivity, the company’s financial decline suggests vulnerabilities relative to industry peers who maintain more stable working capital and equity. Market conditions such as construction sector volatility and material cost inflation further impact its operational outlook, positioning it as a niche local player currently under financial strain.

H & A JOINERY SERVICES LIMITED - Analysis Report

Company Number: 13118043

Analysis Date: 2025-07-20 13:14 UTC

1. Industry Classification
   H & A Joinery Services Limited operates primarily in the joinery installation segment, classified under SIC code 43320. This sector falls within the broader construction industry, focusing on skilled carpentry, fitting, and installation of wooden components in buildings. Characteristics of this niche include a reliance on craftsmanship, local client bases (often residential or small commercial projects), and sensitivity to construction market cycles and housing developments.

2. Relative Performance
   As a micro-entity, H & A Joinery Services Limited is characterized by limited scale, with fewer than 10 employees and turnover below £632k. Its financials show a troubling trajectory: net assets declined from a positive £4,029 in 2023 to a negative £13,265 in 2024, driven by a sharp increase in current liabilities (£22,500 in 2024 vs. £8,449 in 2023) and shrinking current assets. Negative working capital of over £20,000 indicates liquidity pressures. This contrasts with typical micro-joinery firms which often maintain positive net assets and manageable short-term liabilities to sustain operations. The company’s fixed assets also decreased, suggesting either asset disposals or underinvestment, which could impact operational capacity.

3. Sector Trends Impact
   The joinery installation sector is influenced by fluctuations in the construction industry and housing market. Recent trends include supply chain disruptions and raw material cost inflation, which can squeeze margins for small joinery firms. Additionally, labour shortages and increased regulatory compliance (health & safety, environmental standards) add operational complexities. Demand can be cyclical, with residential construction booms benefiting joiners, while downturns or project delays may exacerbate cash flow issues. Micro-entities like H & A may be particularly vulnerable to these macro pressures due to limited capital buffers.

4. Competitive Positioning
   H & A Joinery Services Limited appears to be a small-scale, niche player focused on local joinery installation. Its negative net asset position and growing current liabilities suggest financial strain relative to sector norms, where healthy micro-joinery firms maintain positive equity and stable working capital. Strengths may include specialized skills and local market knowledge, but weaknesses include limited financial resilience and potentially constrained growth capacity. Competitors with stronger balance sheets and more diversified client bases are better positioned to weather market volatility. The company’s small size and recent incorporation (2021) also imply it is still establishing its market presence and operational stability.