REGISTERED NUMBER: 05279035 (England and Wales)

SOMETHING DIFFERENT WHOLESALE LIMITED

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 DECEMBER 2024

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Notes to the Financial Statements

13

DIRECTORS:

Mrs J Wallace-Jones

Mr A J David

SECRETARY:

Mrs J Wallace-Jones

REGISTERED OFFICE:

C/O Bevan Buckland LLP

Ground Floor

Cardigan House

Swansea

SA7 9LA

REGISTERED NUMBER:

05279035 (England and Wales)

AUDITORS:

Bevan Buckland LLP

Chartered Accountants

And Statutory Auditors

Ground Floor Cardigan House

Castle Court

Swansea Enterprise Park

Swansea

SA7 9LA

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

REVIEW OF BUSINESS

The Company continued to perform strongly in 2024, with turnover increasing for the third consecutive year to £11.4m (2023: £10.9m). This reflects robust demand across our product lines and successful retention of our loyal customer base. Gross profit margin remained stable at 39.0% (2023: 40.1%), indicating disciplined cost control and resilient pricing strategies amidst ongoing economic pressures.

2024

2023

2022

2021

Turnover £'000

11,388

10,940

10,599

12,693

Gross Profit Margin

39.0%

40.1%

39.3%

41.6%

Average Number of Employees

90

80

90

94

KEY PERFORMANCE INDICATORS

The directors monitor several key performance indicators (KPIs) to asses the Company's progress and inform decision-making. The primary financial KPIs are:

- Turnover

- Operating profit

- Gross profit margin

These are closely monitored against budgets and historical trends. In addition, non-financial KPIs, such as order fulfilment rates, customer satisfaction and operational efficiency metrics are also tracked internally to support long-term value creation.

FUTURE PLANS

The directors consider the Company's financial position at 31 December 2024 to be sound, and anticipate continued growth in 2025 and beyond. Sales remain substantially above pre-pandemic levels, supported by strong customer relationships and supply chain resilience.

Over the next five years, the Company will focus on:

- Expanding into new geographic markets

- Leveraging automation and digital technology to enhance efficiency

- Investing in logistics and warehousing infrastructure

- Developing talent and upskilling staff across operational areas

STAKEHOLDER CONSIDERATION

The Company recognises the importance of engaging with all stakeholders, including employees, customers, suppliers and the wider community. Open communication, ethical trading and a commitment to high standards of conduct form the foundation of our stakeholder approach.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors regularly review the key risks and uncertainties facing the business and implement appropriate measures to mitigate their impact. The main risks identified are as follows:

Liquidity Risk

The Company maintains adequate cash reserves and a prudent approach to cash flow management to ensure it can meet its obligations and respond to unforeseen demands.

Credit Risk

The Company's principal financial assets are trade receivables. Credit risk is managed through credit checks, payment history analysis, and ongoing debtor monitoring. Limits are set and reviewed by the Directors.

Interest Rate Risk

Exposure to interest rate risk is limited, as the Company holds sufficient cash balances without the need for further borrowings.

Economic and Cost Pressures

Ongoing inflation, rising labour costs, and national insurance increases continue to present a challenge. The directors review pricing structures and cost controls regularly and are implementing automation and process improvements to offset these increases.

Supply Chain Risk

Disruption in global supply chains, particularly in light of proposed tariff changes in the US, could affect availability and cost of goods. The Company maintains strategic stock levels and builds contingency plans with suppliers to mitigate these risks.

Cybersecurity and Data Protection

As technology becomes increasingly central to our operations, the risk of cyber threats has grown. The Company regularly reviews its IT infrastructure and cybersecurity protocols to enhance data protection and business continuity and maintains cyber insurance cover.

Regulatory Risk

Ongoing changes in trade, VAT, customs rules, GPSR and EPR packaging & waste regulations require careful navigation. The directors stay informed of developments and adapt systems and processes accordingly.

ENVIRONMENTAL, SOCIAL AND GOVERNANCE

The Company is committed to reducing its environmental impact and embracing sustainability into its operations. In 2022, we introduced a formal sustainability policy with a target to reduce carbon emissions by 18% by 2030 and to achieve net-zero emissions by 2050.

Key milestones to date include:

- Installation of solar panels on our warehouse roofs in 2023

- Transition to operating entirely on sustainable energy

- Ongoing review of packaging and distribution practices to reduce waste

These initiatives not only reduce environmental risk but also support cost stability and long-term operational resilience.

ON BEHALF OF THE BOARD:

Mrs J Wallace-Jones - Director

14 August 2025

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

DIVIDENDS

Interim dividends per share were paid as follows:

Ordinary £1 shares

£1,344.40

- 31 December 2024

Ordinary B £1 shares

£130.60

- 31 December 2024

The directors recommend that no final dividends be paid.

The total distribution of dividends for the year ended 31 December 2024 will be £ 201,863 .

DIRECTORS

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

Mrs J Wallace-Jones

Mr A J David

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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Bevan Buckland LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mrs J Wallace-Jones - Director

14 August 2025

Opinion

We have audited the financial statements of Something Different Wholesale Limited (the 'company') for the year ended 31 December 2024 which comprise the Income Statement, Other 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 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.

Extent to which the audit was considered capable of detecting irregularities, including fraud

We identify and assess the risks of material misstatement of the Financial Statements, whether due to fraud or error, and then, design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

We discussed our audit independence complying with the Revised Ethical Standard 2019 with the engagement team members whilst planning the audit and continually monitored our independence throughout the process.

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

Identifying and assessing potential risks related to irregularities.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

-

enquiring of management, including obtaining and reviewing support documentation, concerning the company's policies and procedures relating to:

-

identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance;

-

detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;

-

internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations;

-

discussing among the engagement team how and where fraud might occur in the Financial Statements and any potential indicators of fraud.

-

obtaining an understanding of the legal and regulatory frameworks that the company operates in, focusing on those laws and regulations that had a direct effect on the Financial Statements or that had a fundamental effect on the operations of the company, The key laws and regulations we considered in this context included the UK Companies Act and relevant tax legislation.

Audit response to risks identified

In addition to the above, our procedures to respond to risks identified included the following:

-

reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations;

-

enquiring of management concerning actual and potential litigation and claims; performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

-

reading minutes of meetings of those charged with governance and reviewing correspondence with HMRC;

-

in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments;

-

assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and

-

evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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.

Llinos Williams (Senior Statutory Auditor)

for and on behalf of Bevan Buckland LLP

Chartered Accountants

And Statutory Auditors

Ground Floor Cardigan House

Castle Court

Swansea Enterprise Park

Swansea

SA7 9LA

14 August 2025

TURNOVER

4

11,388,105

10,939,619

Cost of sales

6,948,110

6,546,988

GROSS PROFIT

4,439,995

4,392,631

Administrative expenses

3,935,848

3,346,894

504,147

1,045,737

Other operating income

18,125

18,125

OPERATING PROFIT

6

522,272

1,063,862

Interest receivable and similar income

10,236

6,684

532,508

1,070,546

Interest payable and similar expenses

7

8,416

2,610

PROFIT BEFORE TAXATION

524,092

1,067,936

Tax on profit

8

134,029

681,626

PROFIT FOR THE FINANCIAL YEAR

390,063

386,310

PROFIT FOR THE YEAR

390,063

386,310

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

390,063

386,310

FIXED ASSETS

Intangible assets

10

48,751

49,380

Tangible assets

11

152,630

107,814

201,381

157,194

CURRENT ASSETS

Stocks

12

3,834,459

3,148,621

Debtors

13

1,699,007

1,646,765

Cash at bank and in hand

796,212

2,080,918

6,329,678

6,876,304

CREDITORS

Amounts falling due within one year

14

1,586,440

2,257,073

NET CURRENT ASSETS

4,743,238

4,619,231

TOTAL ASSETS LESS CURRENT LIABILITIES

4,944,619

4,776,425

CREDITORS

Amounts falling due after more than one year

15

(13,702

)

(43,364

)

PROVISIONS FOR LIABILITIES

19

(37,117

)

(27,461

)

NET ASSETS

4,893,800

4,705,600

CAPITAL AND RESERVES

Called up share capital

20

1,053

1,053

Retained earnings

21

4,892,747

4,704,547

SHAREHOLDERS' FUNDS

4,893,800

4,705,600

The financial statements were approved by the Board of Directors and authorised for issue on 14 August 2025 and were signed on its behalf by:

Mrs J Wallace-Jones - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

1,053

4,491,317

4,492,370

Changes in equity

Dividends

-

(173,080

)

(173,080

)

Total comprehensive income

-

386,310

386,310

Balance at 31 December 2023

1,053

4,704,547

4,705,600

Changes in equity

Dividends

-

(201,863

)

(201,863

)

Total comprehensive income

-

390,063

390,063

Balance at 31 December 2024

1,053

4,892,747

4,893,800

1.	STATUTORY INFORMATION

Something Different Wholesale 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.

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 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 33.7.

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 is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added taxes and other sales taxes. The company distributes products across the world and VAT rates are applied based on the destination of the goods and the applicable VAT laws in the customer's country.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer. Typically, turnover from UK sales is recognised upon despatch of goods, but revenue generated from foreign sales is recognised when the customer receives the goods. Sufficient provisions are made for goods that has been despatched but not received at the year end.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2015, 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.

Computer software is being amortised evenly over its estimated useful life of four years.

Tangible fixed assets

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.

Improvements to property

-

20% on cost

Plant and Machinery

-

33% on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on cost

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 determined using a weighted average method. Cost includes purchase price, including taxes, duties, transport and handling directly attributable to bring stock to its present location and condition.

At the end of each reporting period stock is assessed for impairment. If an item of stock is impaired the item is reduced to its net realisable value and an impairment charge is recognised in the profit and loss account. Where a reversal of impairment is required the impairment charge is reversed and recognised as a credit in the profit and loss account.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.

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.

Provisions

Provisions are recognised when the entity has on obligation at the reporting date as a result of a past event; it is probate that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Debtors

Short term trade debtors are measured at transaction price, less any impairment. A provision for impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due.

Creditors

Short term creditors are measured at the transaction price. Bank loans are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Functional and Presentation Currency

The functional and presentational currency is pounds sterling.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Financial instruments

The company enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities such as trade and other receivables, payables and amounts due to and from related parties.

Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Debt instruments like loans and other receivables and payables are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an outright short-term loan not at market rate, the financial asset or liability is measured, initially and subsequently, at the present value of future payments discounted at a market rate of interest for a similar debt instrument.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit or loss. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying value and the present value of estimated cash flows discounted at the assets original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and the best estimate, which is an approximation, of the amount that the company would receive for the asset if it were to be sold at the reporting date.

Financial assets and liabilities are offset and the net amount recognised in the balance sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. At each reporting date non-financial assets not carried at fair value, such as property, plant and equipment are reviewed to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount of any asset or group of related assets, which is the higher of value in use and the fair value less costs to sell, is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in profit or loss.

If an impairment loss is subsequently reversed, the carrying amount of the asset or group of related assets is increased to the revised estimate of its recoverable amount, but not to exceed the amount that would have been determined had no impairment loss been recognised for the asset or group of related assets in prior periods. A reversal of an impairment loss is recognised immediately in profit or loss.

Government grants

Government grants are recorded initially as deferred income and recognised in the income statement in line with the expense to which they contribute. For grants in respect of the purchase of property, plant and equipment, the deferred income is released over the life of the related assets. For grants in respect of staff costs, the deferred income is released over the monitoring period of the grant offer.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities are as follows:

Inventory provisioning

The company has a significant amount of inventory and as a result it is necessary to consider recoverability of the cost of the inventory and the associated provisioning required. When calculating the inventory provision, management considers the nature and condition of the inventory, as well as applying assumptions around anticipated saleability of stock.

4.

TURNOVER

The turnover and profit before taxation are attributable to the principal activities of the company.

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

2024

2023

£

£

Sale of goods

11,388,105

10,939,619

11,388,105

10,939,619

An analysis of turnover by geographical market is given below:

2024

2023

£

£

United Kingdom

7,747,351

7,951,975

Europe

3,006,010

2,195,744

Rest of the World

634,744

791,900

11,388,105

10,939,619

5.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

2,324,629

1,889,900

Social security costs

177,171

155,199

Other pension costs

99,212

34,872

2,601,012

2,079,971

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

2024

2023

Administration

41

42

Warehouse

49

38

90

80

2024

2023

£

£

Directors' remuneration

25,040

40,165

6.	OPERATING PROFIT

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

2024

2023

£

£

Other operating leases

7,577

4,753

Depreciation - owned assets

50,626

39,105

Depreciation - assets on hire purchase contracts

5,937

16,782

Goodwill amortisation

1,188

1,200

Computer software amortisation

23,165

35,226

Auditors' remuneration

12,750

12,750

Release of deferred government grant

(18,125

)

(18,125

)

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2024

2023

£

£

Bank loan interest

875

1,237

Interest on corporation tax

6,323

-

Hire purchase

1,218

1,373

8,416

2,610

8.

TAXATION

Analysis of the tax charge

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

2024

2023

£

£

Current tax:

UK corporation tax

124,373

74,715

Payment for group relief

-

620,000

Total current tax

124,373

694,715

Deferred tax

9,656

(13,089

)

Tax on profit

134,029

681,626

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:

2024

2023

£

£

Profit before tax

524,092

1,067,936

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

131,023

266,984

Effects of:

Expenses not deductible for tax purposes

3,006

1,311

Capital allowances in excess of depreciation

-

(337

)

Group relief

-

(190,313

)

Payment for group relief

-

620,000

Effects of tax rate changes

-

(16,019

)

Total tax charge

134,029

681,626

The deferred tax asset/liabilities at 31 December 2024 have been calculated at the rate of 25% (2023: 25%).

9.

DIVIDENDS

2024

2023

£

£

Ordinary shares of £1 each

Interim

130,610

121,601

Ordinary B shares of £1 each

Interim

71,253

51,479

201,863

173,080

10.	INTANGIBLE FIXED ASSETS

Computer

Goodwill

software

Totals

£

£

£

COST

At 1 January 2024

12,000

244,335

256,335

Additions

-

23,724

23,724

At 31 December 2024

12,000

268,059

280,059

AMORTISATION

At 1 January 2024

10,812

196,143

206,955

Amortisation for year

1,188

23,165

24,353

At 31 December 2024

12,000

219,308

231,308

NET BOOK VALUE

At 31 December 2024

-

48,751

48,751

At 31 December 2023

1,188

48,192

49,380