OMC MEDICAL LIMITED

Executive Summary

OMC Medical Limited presents a strong financial profile with growing net assets, low liabilities, and excellent liquidity. The company’s balance sheet health and cash flow position support a positive credit decision. Continued monitoring of receivables and investment holdings is recommended to maintain credit quality.

OMC MEDICAL LIMITED - Analysis Report

Company Number: 12409343

Analysis Date: 2025-07-20 18:28 UTC

1. Credit Opinion: APPROVE

OMC Medical Limited demonstrates a solid financial position with increasing net assets and positive working capital, indicating adequate capacity to meet short-term obligations. The company’s growth in net assets from £391k (2023) to £545k (2024) and consistent positive cash balance support its debt servicing capability. There is no indication of financial distress, and all statutory filings are up to date. The directors have maintained stable control with no adverse conduct records. Given the company’s sector (professional scientific consultancy) with relatively low capital intensity and a small, stable workforce, it appears to be financially managed prudently.

2. Financial Strength:

The balance sheet shows a healthy increase in net assets (+39% year-over-year), from £391k to £545k, driven by an increase in investments (£139k) and growth in net current assets (£375k). Fixed assets are modest but stable. The company’s equity base is strong relative to its liabilities, with shareholders’ funds covering net assets fully. Current liabilities have significantly decreased from £137k to £49k, reducing short-term financial risk. The company has no long-term debt reported, indicating low leverage and financial resilience.

3. Cash Flow Assessment:

OMC Medical Limited maintains a robust liquidity position with cash balances of £212k against current liabilities of £49k, giving a current ratio of approximately 8.6x and strong net working capital of £375k. Debtors have increased to £212k from £71k, but this is offset by the cash balance. The company’s ability to convert receivables into cash appears stable, and the cash reserves ensure comfortable coverage of short-term obligations. The low employee count (2) suggests operating expenses are manageable, supporting positive cash flow generation.

4. Monitoring Points:

• Monitor debtor aging to ensure receivables are collected timely and do not impair liquidity.
• Watch the level and nature of investments (£139k) for any risk exposure or illiquidity.
• Track turnover and profitability trends when profit & loss data becomes available to confirm sustainable earnings.
• Keep an eye on any changes in director appointments or PSCs that could impact governance.
• Review any potential increases in liabilities or credit facilities that may affect leverage.