A Machine Gun Company was attached to each Infantry Brigade and their subsequent Division.

Brigade attached to: 54th Brigade
Division attached to: 18th (Eastern) Division
Formed from the: Machine Gun Section of 11th Bn. Royal Fusiliers
Machine Gun Section of 7th Bn. Bedfordshire Regiment
Machine Gun Section of 6th Bn. Northamptonshire Regiment
Machine Gun Section of 12th Bn. Middlesex Regiment

The 54th M.G. Coy. disembarked at le Havre on 09 February 1916 and joined the 54th Brigade on 13 February 1916 at Ribemont. It may have absorbed machine gunners from the Machine Gun Sections of the listed infantry battalions.

As a unit of the 18th (Eastern) Infantry Division during this period, it may have taken part in the following battles and engagements.

01 to 08 July Battle of Albert [XIII Corps, Fourth Army].
14 to 17 July Battle of Bazentin Ridge [XIII Corps, Fourth Army].
14 July Capture of Trones Wood (54th Bde.).
19 to 21 July Battle of Delville Wood (53rd Bde., under 9th Div.) [XIII Corps, Fourth Army].
26 to 28 September Battle of Thiepval Ridge [II Corps, Reserve Army].
01 to 05 October; and 17 October to 11 November Battle of the Ancre Heights [II Corps, Reserve Army – became Fifth Army on 30 October].
30 September to 05 October Capture of the Schwaben Redoubt (55th Bde.).
21 October Capture of Regina Trench.
13 to 18 November Battle of the Ancre [II Corps, Fifth Army].
16 January to 13 March Operations on the Ancre [II Corps, Fifth Army].
17 and 18 February Miraumont.
10 March Capture of Irles (53rd Bde.).
14 to 20 March German Retreat to the Hindenburg Line [II Corps, Fifth Army].
03 and 04 May Third Battle of the Scarpe [VII Corps, Third Army].
31 July Battle of Pilckem Ridge [II Corps, Fifth Army].
10 August Inverness Copse [II Corps, Fifth Army].
16 and 17 August Battle of Langemarck (53rd Bde., with 56th Div.) [II Corps, Fifth Army].
12 October First Battle of Passchendaele [XVIII Corps, Fifth Army].
22 October Capture of Poelcappelle [XVIII Corps, Fifth Army].
05 to 10 November Second Battle of Passchendaele [XIX Corps, Fifth Army].

On 16 February 1918, it was amalgamated with the 53rd and 55th Machine Gun Companies to form No. 18 Battalion, Machine Gun Corps.