ACCOUNTS - Final Accounts preparation

Analysis of the maturity of loans is given below:

Company Registration Number: SC643927

GREENGOLD TIMBERLANDS 1 LIMITED

UNAUDITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

GREENGOLD TIMBERLANDS 1 LIMITED

REGISTERED NUMBER: SC643927

BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Tangible assets	4		56,529,910		47,572,573
			56,529,910		47,572,573
Current assets
Debtors: amounts falling due within one year	5	107,262		262,959
Cash at bank and in hand	6	160,090		572,073
		267,352		835,032
Creditors: amounts falling due within one year	7	(322,375)		(373,063)
Net current (liabilities)/assets			(55,023)		461,969
Total assets less current liabilities			56,474,887		48,034,542
Creditors: amounts falling due after more than one year			(8,045,451)		-

Net assets			48,429,436		48,034,542

Capital and reserves
Called up share capital	12	44,840,140	44,840,140
Capital redemption reserve		1,831,708	1,831,708
Profit and loss account		1,757,588	1,362,694
		48,429,436	48,034,542

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The Company has opted not to file the statement of income and retained earnings in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

C S Kling

Director

Date: 3 June 2025

The notes on pages 2 to 11 form part of these financial statements.

Page 1

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

GreenGold Timberlands 1 Limited is a private company, limited by shares, registered in Scotland. The company's registered number is SC643927 and registered office address is Unit 4, Ancaster Business Centre, Cross Street, Callander, FK17 8EA.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The following principal accounting policies have been applied:

2.2

Going concern

The directors, having made due and careful enquiry, are of the opinion that the company has adequate working capital to execute its operations of the next 12 months. Although the balance sheet this year shows a net current liabilities position, the company continues to meets its obligations through ongoing support from the company's parent entity, GreenGold Group AB, through a mixture of equity and flexible short term lending. GreenGold Group AB will continue to support the company for at least 12 months from the date of signing the financial statements. The directors, therefore, having made an informed judgment, at the time of approving the financial statements, state that there is a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. As a result, the directors have continued to adopt the going concern basis of accounting in preparing the annual financial statements.

2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of income and retained earnings within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

Page 2

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

2.6

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.7

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.8

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 3

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.9

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

2.10

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

2.11

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 4

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.11

Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Forestry land	-		No Depreciation
Agricultural land	-		No Depreciation
Motor vehicles	-	25%	Straight-line
Fixtures and fittings	-	25%	Straight-line
Computer equipment	-	25%	Straight-line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

2.12

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.13

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.14

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 5

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.15

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

Employees

The average monthly number of employees, including directors, during the year was 1 (2023 - 1).

Page 6


		GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

	4.	Tangible fixed assets

	Forestry land	Agricultural land	Motor vehicles	Fixtures and fittings	Office equipment	Total
	£	£	£	£	£	£
Cost or valuation
At 1 January 2024	44,783,251	2,774,137	26,257	1,477	2,631	47,587,753
Additions	-	8,963,390	-	-	2,051	8,965,441
At 31 December 2024	44,783,251	11,737,527	26,257	1,477	4,682	56,553,194
Depreciation
At 1 January 2024	-	-	13,126	736	1,318	15,180
Charge for the year on owned assets	-	-	6,564	369	1,171	8,104
At 31 December 2024	-	-	19,690	1,105	2,489	23,284
Net book value
At 31 December 2024	44,783,251	11,737,527	6,567	372	2,193	56,529,910
At 31 December 2023	44,783,251	2,774,137	13,131	741	1,313	47,572,573

Agricultural land represents forestry land held where tree planting has not yet taken place by the balance sheet date.

Page 7

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Debtors

					2024	2023
					£	£


Trade debtors	92,209	233,915
Other debtors	-	8,518
Prepayments and accrued income	11,816	18,457
Deferred taxation	3,237	2,069
	107,262	262,959

6.	Cash and cash equivalents
		2024	2023
		£	£

Cash at bank and in hand	160,090	572,073
	160,090	572,073

7.	Creditors: Amounts falling due within one year
		2024	2023
		£	£

Trade creditors	85,259	23,666
Corporation tax	40,237	50,689
Other taxation and social security	39,763	96,979
Other creditors	271	584
Accruals and deferred income	156,845	201,145
	322,375	373,063

8.	Creditors: Amounts falling due after more than one year
		2024	2023
		£	£

Intercompany loans	8,045,451	-
	8,045,451	-

Of the intercompany loans, £1,051,466 is repayable at a rate of 6.5% over a period of 5 years. A further £6,993,985 is repayable at a rate of 5.5% over a period of 5 years.

Page 8

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024



Amounts falling due 2-5 years
Intercompany loans	8,045,451	-

	8,045,451	-

10.	Deferred taxation

		2024
		£

	At beginning of year	2,069
	Charged to profit or loss	1,168
	At end of year	3,237

The deferred tax asset is made up as follows:
	2024	2023
	£	£

Fixed asset timing differences	3,169	2,004
Short term timing differences	68	65
	3,237	2,069

Page 9

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.	Secured Debts

The company has granted a Standard Security over the whole of the subjects known as "Todholes Wood" iin favour of Mr Peter Lewis Simpson and Mrs Isobel Rosemary Simpson in respect of all obligations and debts that may become due.
The company has granted a Standard Security over the whole of the subjects known as "Kirtleton North Forest" in favour of The Church Comissioners for England in respect of all obligations and debts that may become due. The charge includes a negative pledge.
The company has granted a Standard Security over the whole of the subjects known as "Kirtleton North Forest" in favour of Gresham House Management Limited in respect of all obligations and debts that may become due.
The company has granted a Standard Security over the whole of the subjects known as "Kirtleton North Forest" in favour of Upm-Kymmene (UK) Limited in respect of all obligations and debts that may become due.
The company has granted a Standard Security over the whole of the subjects known as "Cnoc an Devora" iin favour of Wemyss Forestry Developments Limited in respect of all obligations and debts that may become due.
The company has granted a Standard Security over the whole of the subjects known as "Sworedale Forest" in favour of E Power Limited in respect of all obligations and debts that may become due.

Page 10

GREENGOLD TIMBERLANDS 1 LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

12.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

19,906,900 (2023 - 19,906,900) Ordinary shares of £1.00 each	19,906,900	19,906,900
30,040,048 (2023 - 30,040,048) Ordinary shares of £0.83 each	24,933,240	24,933,240

	44,840,140	44,840,140

13.	Related party transactions
	The company is a subsidiary of GreenGold Group AB, a company registered in Sweden. The company has taken advantage of the exemption under section 33.1A from disclosing related party transactions with group members which are wholly owned.

14.	Controlling party

The immediate parent and ultimate controlling party is GreenGold Group AB, a company registered in Sweden. The largest group in which the results of the company are included is that headed by GreenGold Group AB.

15.	Auditor's information

The auditor's report on the financial statements for the year ended 31 December 2024 was unqualified.

The audit report was signed on 4 June 2025 by Andrew Shaw (Senior statutory auditor) on behalf of Anderson Anderson & Brown Audit LLP.

Page 11