REGISTERED NUMBER: SC443156 (Scotland)

Strategic Report, Report of the Directors and

Audited Financial Statements for the Year Ended 31 December 2024

for

Sasgo Limited

Page

Strategic Report

1

Report of the Directors

2

Report of the Independent Auditors

3

Statement of Comprehensive Income

6

Balance Sheet

7

Statement of Changes in Equity

8

Notes to the Financial Statements

9

The directors present their strategic report for the year ended 31 December 2024.

REVIEW OF BUSINESS

The directors are pleased to report a successful year for the company.

The company has generated £13,896,858 (2023: £14,892,879) of turnover generating a profit before tax of £954,302 (2023: £1,510,532).

At the period end the company had shareholders funds of £3,931,803 (2023: £3,779,407) including distributable profits of £3,891,803 (2023: £3,739,407). The directors therefore believe the company's position to be satisfactory, especially as the company's current assets exceed its current liabilities by £1,921,425 (2023: £2,823,603).

The directors believe that there is a strong foundation to build the business further with sound strategic planning and investment opportunities.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors consider that the main risks facing the company are market conditions within the UK construction industry and geopolitical risks adversely affecting the UK economy and global supply chains.

The company aims to mitigate these risk by continuing to differentiate its proposition by delivering consistently high quality products and service levels, coupled with a strategy of continuous improvement and investment.

ON BEHALF OF THE BOARD:

Mr N Smerdon - Director

31 July 2025

The directors present their report with the financial statements of the company for the year ended 31 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of supply of flooring materials.

DIVIDENDS

The total distribution of dividends for the year ended 31 December 2024 will be £552,333.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

Mr A Gibson

Mr N Smerdon

Mr E Smerdon

Mr R J Smerdon

Mr R Gibson

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

Drummond Laurie CA are deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:

Mr N Smerdon - Director

31 July 2025

Opinion

We have audited the financial statements of Sasgo Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

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, or returns adequate for our audit have not been received from branches not visited by us; or

-	the 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.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities outlined above to detect material misstatements in respect of irregularities, including fraud.

Based on our understanding of the company, we identified that the principal risks of non-compliance with laws and regulations related to fraudulent manipulation of the financial statements, including the risk of override of controls, to reduce profits and tax liabilities. We determined that the most likely method of manipulation would be the posting of inappropriate journal entries. Audit procedures performed by the audit engagement team consisted of a review of large and unusual journal entries, challenging assumptions and judgements made by management in significant accounting estimates, discussions with management related to known or suspected instances of non-compliance with laws and regulations, review of Board minutes where available, and an evaluation of management controls designed to prevent and detect irregularities.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

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 a Report of the Auditors 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.

Craig Clinton (Senior Statutory Auditor)

for and on behalf of Drummond Laurie CA

Statutory Auditor

Unit 5

Gateway Business Park

Beancross Road

Grangemouth

FK3 8WX

31 July 2025

TURNOVER

13,896,858

14,892,879

Cost of sales

(10,236,331

)

(10,689,719

)

GROSS PROFIT

3,660,527

4,203,160

Administrative expenses

(2,671,920

)

(2,668,580

)

988,607

1,534,580

Other operating income

3,334

3,268

OPERATING PROFIT

4

991,941

1,537,848

Interest receivable and similar income

31,248

16,256

1,023,189

1,554,104

Interest payable and similar expenses

5

(68,887

)

(43,572

)

PROFIT BEFORE TAXATION

954,302

1,510,532

Tax on profit

6

(249,573

)

(382,899

)

PROFIT FOR THE FINANCIAL YEAR

704,729

1,127,633

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

704,729

1,127,633

FIXED ASSETS

Intangible assets

8

89,982

178,917

Tangible assets

9

2,581,376

1,634,180

2,671,358

1,813,097

CURRENT ASSETS

Stocks

10

2,096,746

2,302,743

Debtors

11

1,965,831

2,270,481

Cash at bank

1,790,253

1,578,509

5,852,830

6,151,733

CREDITORS

Amounts falling due within one year

12

(3,931,405

)

(3,328,130

)

NET CURRENT ASSETS

1,921,425

2,823,603

TOTAL ASSETS LESS CURRENT LIABILITIES

4,592,783

4,636,700

CREDITORS

Amounts falling due after more than one year

13

(491,959

)

(694,648

)

PROVISIONS FOR LIABILITIES

17

(169,021

)

(162,645

)

NET ASSETS

3,931,803

3,779,407

CAPITAL AND RESERVES

Called up share capital

18

40,000

40,000

Retained earnings

19

3,891,803

3,739,407

SHAREHOLDERS' FUNDS

3,931,803

3,779,407

The financial statements were approved by the Board of Directors and authorised for issue on 31 July 2025 and were signed on its behalf by:

Mr N Smerdon - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

40,000

3,050,034

3,090,034

Changes in equity

Dividends

-

(438,260

)

(438,260

)

Total comprehensive income

-

1,127,633

1,127,633

Balance at 31 December 2023

40,000

3,739,407

3,779,407

Changes in equity

Dividends

-

(552,333

)

(552,333

)

Total comprehensive income

-

704,729

704,729

Balance at 31 December 2024

40,000

3,891,803

3,931,803

1.	STATUTORY INFORMATION

Sasgo Limited is a private company, limited by shares, domiciled in Scotland, registration number SC443156. The registered office is Unit 14 Faraday Road, Glenrothes, KY6 2RU.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover

Turnover represents net invoiced sales of flooring materials, excluding value added tax. Sales are recognised at the point at which the goods are delivered or the service is complete.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2014, is being amortised evenly over its estimated useful life of ten years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Brand costs are being amortised evenly over their estimated useful life of five years.

Tangible fixed assets and depreciation

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

-

25% on cost

Fixtures and fittings

-

33% on cost

Motor vehicles

-

25% on reducing balance

Tangible fixed assets are stated at cost less depreciation. Cost represent purchase price together with any incidental costs of acquisition.

The directors have considered the residual value of all tangible fixed assets, apart from land & buildings, to be immaterial and therefore these tangible fixed assets are depreciated to nil value.

Land is not depreciated and buildings will be depreciated at 2% when active use has been confirmed.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. Cost is represented by purchase price.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Provisions

Provisions are recognised when the company has a legal or constructive obligation as a result of a past event, it is probable that an outflow of resources will be required to settle the obligation, and the amount has been reliably estimated. Provisions are not recognised for future operating losses. Provisions are discounted where the time value of money is material.

Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small.

3.	EMPLOYEES AND DIRECTORS

31.12.24

31.12.23

£

£

Wages and salaries

1,815,935

1,638,644

Social security costs

146,763

139,241

Other pension costs

25,185

21,999

1,987,883

1,799,884

The average number of employees during the year was as follows:

31.12.24

31.12.23

Employees

48

51

31.12.24

31.12.23

£

£

Directors' remuneration

47,694

45,094

Directors' pension contributions to money purchase schemes

112

-

4.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

31.12.24

31.12.23

£

£

Depreciation - owned assets

120,423

88,289

Depreciation - assets on hire purchase contracts

164,944

120,062

Profit on disposal of fixed assets

(4,697

)

(3,081

)

Goodwill amortisation

23,750

95,000

Brand costs amortisation

65,185

65,185

Auditors' remuneration

-

12,000

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.12.24

31.12.23

£

£

Other loan interest

43,247

27,220

Hire purchase

25,640

16,352

68,887

43,572

6.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.12.24

31.12.23

£

£

Current tax:

UK corporation tax

243,197

292,630

Over/under provision

-

16,680

Total current tax

243,197

309,310

Deferred tax

6,376

73,589

Tax on profit

249,573

382,899

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

31.12.24

31.12.23

£

£

Profit before tax

954,302

1,510,532

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 23.521%)

238,576

355,292

Effects of:

Expenses not deductible for tax purposes

6,233

4,532

Income not taxable for tax purposes

(1,174

)

(1,705

)

Capital allowances in excess of depreciation

(439

)

(65,489

)

Deferred tax movement

6,377

73,589

Over/under provision

-

16,680

Total tax charge

249,573

382,899

7.

DIVIDENDS

31.12.24

31.12.23

£

£

Ordinary shares of £1 each

Final

552,333

438,260

8.	INTANGIBLE FIXED ASSETS

Brand

Goodwill

costs

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

950,000

325,928

1,275,928

AMORTISATION

At 1 January 2024

926,250

170,761

1,097,011

Amortisation for year

23,750

65,185

88,935

At 31 December 2024

950,000

235,946

1,185,946

NET BOOK VALUE

At 31 December 2024

-

89,982

89,982

At 31 December 2023

23,750

155,167

178,917

9.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2024

971,121

179,643

439,516

617,076

2,207,356

Additions

950,185

104,023

72,210

106,145

1,232,563

At 31 December 2024

1,921,306

283,666

511,726

723,221

3,439,919

DEPRECIATION

At 1 January 2024

-

72,347

282,611

218,218

573,176

Charge for year

27,745

59,518

90,414

107,690

285,367

At 31 December 2024

27,745

131,865

373,025

325,908

858,543

NET BOOK VALUE

At 31 December 2024

1,893,561

151,801

138,701

397,313

2,581,376

At 31 December 2023

971,121

107,296

156,905

398,858

1,634,180

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Fixtures

Plant and

and

Motor

machinery

fittings

vehicles

Totals

£

£

£

£

COST

At 1 January 2024

138,315

-

552,290

690,605

Additions

69,376

72,210

101,145

242,731

Transfer to ownership

(36,713

)

-

(122,400

)

(159,113

)

At 31 December 2024

170,978

72,210

531,035

774,223

DEPRECIATION

At 1 January 2024

57,228

-

183,183

240,411

Charge for year

44,741

20,056

100,147

164,944

Transfer to ownership

(32,889

)

-

(85,323

)

(118,212

)

At 31 December 2024

69,080

20,056

198,007

287,143

NET BOOK VALUE

At 31 December 2024

101,898

52,154

333,028

487,080

At 31 December 2023

81,087

-

369,107

450,194

10.

STOCKS

31.12.24

31.12.23

£

£

Finished goods

2,096,746

2,302,743

11.

DEBTORS

31.12.24

31.12.23

£

£

Amounts falling due within one year:

Trade debtors

1,771,557

1,917,706

Amounts owed by associates

-

807

Other debtors

61,105

66,660

Directors' current accounts

-

139,247

Tax

46,996

46,996

Prepayments

86,173

37,960

1,965,831

2,209,376

Amounts falling due after more than one year:

Other debtors

-

61,105

Aggregate amounts

1,965,831

2,270,481

12.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

£

Bank loans and overdrafts (see note 14)

50,000

71,058

Other loans (see note 14)

155,320

93,101

Hire purchase contracts (see note 15)

172,036

140,981

Trade creditors

1,697,106

1,578,299

Amounts owed to associates

600

-

Tax

58,030

275,796

Social security and other taxes

38,385

42,572

VAT

63,543

45,263

Directors' current accounts

1,230,400

919,612

Accruals and deferred income

273,730

161,448

Deferred government grants

192,255

-

3,931,405

3,328,130

13.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

31.12.24

31.12.23

£

£

Bank loans (see note 14)

25,000

146,272

Other loans (see note 14)

255,520

333,776

Hire purchase contracts (see note 15)

211,439

214,600

491,959

694,648