Watershed Technology Ltd
Registered name: WATERSHED TECHNOLOGY LTD
Watershed Technology Ltd made £16.1m revenue and £753k profit in the year to 31 Jan 2026.
Watershed Technology Ltd’s revenue grew 2% to £16.1m in the year to 31 Jan 2026, with £753k profit and 75 employees. The company is classified under “other software publishing” and is based in London; we hold 5 years of its filed accounts.
- Status
- Active
- Location
- London, London
- Age
- 4 yrs · since 2021
- Type
- Private Limited Company
Key figures
Badges are automated estimates derived from the filed figures — not statements of fact about the company.
Financial history
| Year to | 19 Dec 2021 | 31 Jan 2023 | 31 Jan 2024 | 31 Jan 2025 | 31 Jan 2026 |
|---|---|---|---|---|---|
| Disclosure | No P&L | No P&L | No P&L | Full P&L | Full P&L |
| Profit & loss | |||||
| Revenue (turnover) | — | — | — | £15.8m | £16.1m |
| Gross profit | — | — | — | £15.8m | £16.1m |
| Operating profit | — | — | — | £1.2m | £1.2m |
| Profit before tax | — | — | — | £1.2m | £1.2m |
| Profit after tax | — | — | — | £766k | £753k |
| Profit (best available) | — | — | — | £766k | £753k |
| Staff costs | — | — | — | £12m | £13m |
| Employees (average) | — | 6 | 25 | 63 | 75 |
| Ratios | |||||
| Profit margin | — | — | — | 4.9% | 4.7% |
| Gross margin | — | — | — | 100% | 100% |
| Revenue per employee | — | — | — | £250k | £214k |
| Profit per employee | — | — | — | £12.2k | £10k |
| Cash conversion | — | — | — | 118.1% | 106% |
| Growth (year on year) | |||||
| Revenue growth | — | — | — | — | ▲2% |
| Profit growth | — | — | — | — | ▼1.8% |
| Headcount growth | — | — | — | ▲152% | ▲19.1% |
| Balance sheet — indirect signals, not revenue | |||||
| Cash at bank | — | £528k | £20.4k | £642k | £665k |
| Net assets | — | £134k | £552k | £1.3m | £2.1m |
| Fixed assets | £0 | £18.5k | £39.4k | £701k | £1.7m |
| Current assets | — | £771k | £7.8m | £24.2m | £40.2m |
| Debtors | — | £243k | £7.7m | £23.5m | £39.5m |
| Deferred income | — | £56.2k | £75.2k | £267k | £204k |
| Cash from operations | — | — | — | £1.4m | £1.3m |
| Source | Accounts · bulk data Oct 2023 | Accounts · bulk data Oct 2023 | FullAccounts · bulk data Jan 2025 | FullAccounts · bulk data Oct 2025 | FullAccounts · bulk data Aug 2026 |
How the business works
- Profit margin
- 4.7%
- Profit ÷ revenue.
- Gross margin
- 100%
- Gross profit ÷ revenue. High for software and services.
- Revenue per employee
- £214k
- Revenue ÷ average employees.
- Profit per employee
- £10k
- Profit ÷ average employees.
- Cash conversion
- 106%
- Cash generated from operations ÷ operating profit. Needs a cash-flow statement.
- Fixed assets ÷ revenue
- 10.4%
- Capital intensity. Low = capital-light, cheaper to start.
- Deferred income ÷ revenue
- 1.3%
- Customers paying upfront (subscriptions, deposits). Approximate when combined with accruals.
- Debtors ÷ revenue
- 245.8%
- Money owed by customers. Low = customers pay quickly.
Balance-sheet signals
Year-on-year changes in filed balance-sheet items. They can hint at momentum (or investment) but are not revenue or profit and must not be read as such.
- Net assets
- ▲57%
- Now £2.1m
- Cash at bank
- ▲4%
- Now £665k
- Headcount
- ▲19%
- Now 75
- Deferred income
- ▼24%
- Now £204k
- Fixed assets
- ▲139%
- Now £1.7m
Deferred income is reported together with accruals in this filing (“accruals and deferred income”), so it is an approximate signal only.
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Sources
Latest figures from FullAccounts for the year to 31 Jan 2026 (profit £753k), from the Companies House accounts bulk data published Aug 2026. Spotted an error? Request a correction.
Contains public sector information from Companies House licensed under the Open Government Licence v3.0. Data from Companies House, © Crown copyright. View the licence.