REGISTERED NUMBER: 06175803 (England and Wales)

OPICO LIMITED

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Page

Company Information

1

Strategic Report

2

to

3

Report of the Directors

4

Report of the Independent Auditors

5

to

7

Statement of Comprehensive Income

8

Statement of Financial Position

9

Statement of Changes in Equity

10

Notes to the Financial Statements

11

to

19

DIRECTORS:

J A Woolway

D A Steven

R A Polson

REGISTERED OFFICE:

Cherry Holt Road

Bourne

Lincolnshire

PE10 9LA

REGISTERED NUMBER:

06175803 (England and Wales)

AUDITORS:

Duncan & Toplis Audit Limited, Statutory Auditor

Enterprise Way

Pinchbeck

Spalding

Lincolnshire

PE11 3YR

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

REVIEW OF BUSINESS

The agricultural machinery market continued its downward trend, which started in early 2023, throughout 2024. The combination of lower global commodity prices, weather and government policy changes impacted on farmer confidence levels and the high stock levels of new machinery caused issues for the dealer network. The earlier than planned reduction of Basic Payments and reduced profitability has and will continue to impact Arable Farming businesses significantly. Livestock Farmers, however, have benefited from low feed costs and increased prices for their produce during the year, hence this smaller sector of the machinery market improved towards the year end. The company started the year with a significantly lower order book than in recent years as a result of the lack of confidence and higher levels of stock in the dealer network. During the year the company experienced a significant downturn in order intake, and ultimately Turnover, due to the aggressive destocking policy employed by the dealer network.

As a result the market for the majority of machine types sold by OPICO saw unprecedented falls for the second year in a row in 2024. The overall turnover of the company also decreased as a result of the separation with Maschio Gaspardo who set up an independent daughter company in the UK. However, OPICO signed two new distribution agreements with smaller suppliers which had a small impact in 2024 and will boost turnover going forward.

During spring 2024 OPICO also agreed to part company with French supplier Sky-Agriculture who had rebranded and decided to sell their products direct into the UK market. This transition was complete with stock being sold or repurchased by Sky Agriculture at the end of 2024.

The company was busy throughout the year with the changes and consequent restructuring.

KEY PERFORMANCE INDICATORS

To gain an understanding of the development, performance and financial strength of the company, the management relies on the following key performance indicators:

2024

2023

Movement in turnover

(8,804,352)

1,190,090

Gross profit %

23.1%

20.4%

Shareholders' funds

4,347,663

4,422,932

PRINCIPAL RISKS AND UNCERTAINTIES

The management of the business and the execution of the group's strategy are subject to a number of risks. Risks are formally reviewed by the board and appropriate processes put in place to monitor and mitigate them.

The key risks affecting the company are set out below:

VIABILITY OF AGRICULTURE

The major risk that the company faces is from volatility in agricultural output prices and input costs combined with farming productivity, each of which affect the viability of agricultural businesses and their ability to invest in equipment. This can be impacted by local factors, such as weather in key growing and harvesting periods, and international factors on world markets. The company attempts to mitigate such a risk by having a diverse range of equipment available and also through aftersales activities such as servicing and part sales.

FOREIGN EXCHANGE RISK

The company imports machinery from around the world and is exposed to fluctuations in the foreign exchange rate. A blend of forward contracts and various hedging strategies are utilised to mitigate these risks.

WAR

The ongoing war between Russia and Ukraine is having knock on effects on commodity and energy prices but the majority of supply chains have now been reorganised so, until there is a fundamental change in the course of the war, OPICO are not likely to feel the effect as significantly as in Mid-2022. However, as both countries are large agricultural commodity, energy and steel producers and also significant markets for agricultural machinery the ongoing situation will be watched carefully.

POLITICS & SUBSIDIES

The Political situation in the UK is also important to agriculture, the drive to net Zero, trade deals with other nations and lack of desire for home grown food security are all of concern to the agricultural industry so the direction of travel is being monitored closely by the management.

Government policy is also changing, diminishing BPS subsidy payments are being replaced by different types of funding to encourage farmers to utilise more environmentally friendly farming practices. The Farming and Equipment Technology Fund (FETF) and Sustainable Farming Incentive (SFI) have been introduced and will be expanded over the coming years. The management have noted that these subsidies are distorting the market by changing the timings and types of machinery purchased.

WEATHER

The extremes of weather experienced in the UK over the past few years are a concern as weather directly affects crops and causes issues for OPICO's customers. The management are now noticing Farmers taking longer term decisions about their businesses to mitigate some of the impact of the difficulties they have had over the past few years. Changes in farming strategy are also being monitored by management.

ON BEHALF OF THE BOARD:

J A Woolway - Director

17 June 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 agricultural machinery distributors.

DIVIDENDS

Dividends totalling £nil (2023: £825,000) were paid during the year.

DIRECTORS

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

J A Woolway

D A Steven

Other changes in directors holding office are as follows:

C M Bedforth - resigned 19 April 2024

R A Polson - appointed 13 June 2024

DIRECTORS' INDEMNITIES

A qualifying third party indemnity provision is in place for the directors of the company. This covers liability for the actions of directors and officers of the company and associated costs including legal costs.

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.

ON BEHALF OF THE BOARD:

J A Woolway - Director

17 June 2025

Opinion

We have audited the financial statements of OPICO Limited (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Statement of Financial Position, 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 loss 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 four, 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:

We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with Directors and other management obtained as part of the work required by auditing standards. We have also discussed with the Directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit.

The potential impact of different laws and regulations varies considerably. Firstly, the company is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgemental areas of the financial statements such as the valuation and impairment of stock, as well as the risk of inappropriate journal entries to increase reported profitability. Audit procedures performed by the engagement team included the identification and testing of material and unusual journal entries and challenging management on key accounting estimates, assumptions and judgements made in the preparation of the financial statements. We carried out detailed substantive tests on accounting estimates, including reviewing the methods used by management to make those estimates, re-performing the calculation, and reviewing the outcome of prior year estimates.

Secondly, the company is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Health and Safety regulations and Employment laws.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and other management and inspection. This inspection included a review of the internal health and safety reporting documentation within the year for any evidence of ongoing claims, in addition to an assessment of the company's employment and health and safety controls. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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.

Alistair Main FCA (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor

Enterprise Way

Pinchbeck

Spalding

Lincolnshire

PE11 3YR

17 June 2025

TURNOVER

3

9,999,357

18,803,709

Cost of sales

7,694,459

14,976,132

GROSS PROFIT

2,304,898

3,827,577

Distribution costs

153,883

220,317

Administrative expenses

2,449,163

2,992,371

2,603,046

3,212,688

(298,148

)

614,889

Other operating income

161,560

4,901

OPERATING (LOSS)/PROFIT

5

(136,588

)

619,790

Profit/(loss) on sale of investment

6

-

825,000

(136,588

)

1,444,790

Interest receivable and similar income

-

221

(136,588

)

1,445,011

Interest payable and similar expenses

7

9,474

111,320

(LOSS)/PROFIT BEFORE TAXATION

(146,062

)

1,333,691

Tax on (loss)/profit

8

(70,793

)

106,631

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(75,269

)

1,227,060

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(75,269

)

1,227,060

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

344,546

388,823

344,546

388,823

CURRENT ASSETS

Stocks

12

3,953,076

4,217,122

Debtors

13

1,083,877

1,360,946

Cash at bank

22,101

325,545

5,059,054

5,903,613

CREDITORS

Amounts falling due within one year

14

1,009,755

1,786,015

NET CURRENT ASSETS

4,049,299

4,117,598

TOTAL ASSETS LESS CURRENT LIABILITIES

4,393,845

4,506,421

PROVISIONS FOR LIABILITIES

19

46,182

83,489

NET ASSETS

4,347,663

4,422,932

CAPITAL AND RESERVES

Called up share capital

20

1,000

1,000

Retained earnings

4,346,663

4,421,932

SHAREHOLDERS' FUNDS

4,347,663

4,422,932

The financial statements were approved by the Board of Directors and authorised for issue on 17 June 2025 and were signed on its behalf by:

J A Woolway - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

1,000

4,019,872

4,020,872

Changes in equity

Dividends

-

(825,000

)

(825,000

)

Total comprehensive income

-

1,227,060

1,227,060

Balance at 31 December 2023

1,000

4,421,932

4,422,932

Changes in equity

Total comprehensive income

-

(75,269

)

(75,269

)

Balance at 31 December 2024

1,000

4,346,663

4,347,663

1.	STATUTORY INFORMATION

OPICO Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Report 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 exemptions 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;

•

the requirement of paragraph 3.17(d).

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.

Significant judgements and estimates

In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis,. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

i) Stock provisions

The estimation and assumptions used to assess that stock is valued in line with the applicable accounting framework are based on the relevant aging of each stock item since the date the company took ownership of the individual item(s).

Management then assess the level of impairment required on each item using a standardised methodology which is

regularly reviewed.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue is recognised at the point risk and reward of ownership of a product is passed to the customer, usually this is on despatch for goods sales, on completion for servicing and repair work and for specified periods for service agreements.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2007, has been amortised evenly over its estimated useful life of three years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property

-

15% on cost

Plant and machinery

-

25% on cost, 20% on cost and Straight line over 15 years

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Stocks

Stocks and work in progress are valued at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average costing method.

At each financial reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Income Statement .

Financial instruments

The company has adopted Section 11 and 12 of FRS102 in respect of finacial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitute a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the income statement.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

Foreign currencies

The company's functional currency is the same as the presentational currency for these financial statements.

Foreign currency transactions are initially recognised by applying the foreign currency amount at spot exchange rate between the functional currency and the foreign currency at the date of transaction.

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 the 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 the Income Statement.

Foreign exchange gains and losses that relate to borrowings of cash and cash equivalents are presented in the Income Statement within 'financial income or costs'. All other foreign exchange gains and losses are presented in the Income Statement within 'administrative expenses'.

Hire purchase and leasing commitments

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

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.

Financial instruments

The company has adopted Sections 11 and 12 of FRS 102 in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cashflows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

Basic financial liabilities, including trade and other creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price,unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are measured at amortised cost using the effective interest method.

3.

TURNOVER

The turnover and loss (2023 - profit) before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2024

2023

£

£

Wholegoods

8,364,785

16,444,548

Parts

1,528,907

2,252,192

Carriage

105,665

106,969

9,999,357

18,803,709

4.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

1,297,996

1,701,091

Social security costs

158,490

191,956

Other pension costs

49,167

59,093

1,505,653

1,952,140

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

2024

2023

Directors

3

3

Administration and Production

32

39

35

42

2024

2023

£

£

Directors' remuneration

240,808

190,413

Directors' pension contributions to money purchase schemes

8,402

6,732

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

Information regarding the highest paid director for the year ended 31 December 2024 is as follows:

2024

£

Emoluments etc

104,094

Pension contributions to money purchase schemes

3,045

5.	OPERATING (LOSS)/PROFIT

The operating loss (2023 - operating profit) is stated after charging/(crediting):

2024

2023

£

£

Other operating leases

210,000

210,000

Depreciation - owned assets

124,576

112,694

Profit on disposal of fixed assets

(10,684

)

(49,320

)

Auditors' remuneration

12,700

11,550

Auditors' remuneration for non audit work

9,469

6,855

Foreign exchange differences

(156,143

)

(110,752

)

6.	EXCEPTIONAL ITEMS

2024

2023

£

£

Profit/(loss) on sale of investment

-

825,000

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2024

2023

£

£

Bank interest

9,474

111,320

8.

TAXATION

Analysis of the tax (credit)/charge

The tax (credit)/charge on the loss for the year was as follows:

2024

2023

£

£

Current tax:

UK corporation tax

-

128,830

Over provided in prior year

(59,056

)

(42,093

)

Payment re group relief

25,570

-

Total current tax

(33,486

)

86,737

Deferred tax

(37,307

)

19,894

Tax on (loss)/profit

(70,793

)

106,631

Reconciliation of total tax (credit)/charge included in profit and loss

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

2024

2023

£

£

(Loss)/profit before tax

(146,062

)

1,333,691

(Loss)/profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 25%)

(36,516

)

333,423

Effects of:

Expenses not deductible for tax purposes

5,206

7,201

Income not taxable for tax purposes

(15,171

)

-

Depreciation in excess of capital allowances

13,031

-

Utilisation of tax losses

33,450

-

Adjustments to tax charge in respect of previous periods

(33,486

)

(42,093

)

Change in tax rate

-

13,567

Capital disposal relief

-

(205,467

)

Deferred tax

(37,307

)

-

Total tax (credit)/charge

(70,793

)

106,631

Factors that may affect future tax charges

The statutory UK corporation tax rate is currently 25%, with a small profits rate of 19%.

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled, or the asset is realised, based on tax law and the corporation tax rates that have been enacted, or substantially enacted, at the year end date.

9.

DIVIDENDS

2024

2023

£

£

Ordinary shares of £1 each

Interim

-

825,000

10.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2024

and 31 December 2024

20,003

AMORTISATION

At 1 January 2024

and 31 December 2024

20,003

NET BOOK VALUE

At 31 December 2024

-

At 31 December 2023

-

11.	TANGIBLE FIXED ASSETS

Improvements

to

Plant and

property

machinery

Totals

£

£

£

COST

At 1 January 2024

168,049

806,579

974,628

Additions

-

129,842

129,842

Disposals

-

(83,396

)

(83,396

)

At 31 December 2024

168,049

853,025

1,021,074

DEPRECIATION

At 1 January 2024

157,809

427,996

585,805

Charge for year

2,959

121,617

124,576

Eliminated on disposal

-

(33,853

)

(33,853

)

At 31 December 2024

160,768

515,760

676,528

NET BOOK VALUE

At 31 December 2024

7,281

337,265

344,546

At 31 December 2023

10,240

378,583

388,823

12.

STOCKS

2024

2023

£

£

Stocks

3,953,076

4,217,122

13.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Trade debtors

488,231

1,029,117

Amounts owed by group undertakings

143,707

13,604

Other debtors

24,310

47,699

Factoring account

125,971

-

VAT

156,614

135,481

Prepayments and accrued income

145,044

135,045

1,083,877

1,360,946

14.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Bank loans and overdrafts (see note 15)

19,481

2

Trade creditors

647,844

607,809

Amounts owed to group undertakings

288,634

680,000

Taxation

-

128,748

Other taxes and social security

43,219

52,514

Other creditors

10,577

11,847

Factoring advances

-

148,450

Accruals and deferred income

-

156,645

1,009,755

1,786,015