ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging:

Registered number: 03914333

BLAGDEN SPECIALTY CHEMICALS LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

BLAGDEN SPECIALTY CHEMICALS LIMITED

COMPANY INFORMATION

Directors	R G Turton (Managing)
	G W J Turton


Registered number	03914333


Registered office	Osprey House
	Black Eagle Square
	Westerham
	Kent
	TN16 1PA


Trading Address	14 Spitfire Road
	Triumph Trading Park
	Speke Hall Road
	Liverpool
	L24 9BF



Independent auditors	Barnes Roffe Audit Limited
	Chartered Accountants & Statutory Auditor
	1st Floor
	73-81 Southwark Bridge Road
	London
	SE1 0NQ


Bankers	Barclays Bank UK PLC
	1 Churchill Place
	London
	E14 5HP


HR Lawyers	Loch Associates Group


Trade Associations	Chemical Business Association
	British Coatings Federation Ltd
	Composites UK

BLAGDEN SPECIALTY CHEMICALS LIMITED

CONTENTS

	Page
Strategic report	1 - 2
Directors' report	3 - 5
Independent auditor's report	6 - 9
Statement of comprehensive income	10
Statement of financial position	11
Statement of changes in equity	12
Statement of cash flows	13 - 14
Notes to the financial statements	15 - 27

BLAGDEN SPECIALTY CHEMICALS LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction

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

Fair review of business

Blagden acts as a specialist distributor carrying out the functions of global sourcing, technical promotion, sales and marketing, warehousing and distribution of specialty chemicals. The key industry sectors include paint and coatings, adhesives ands sealants; plastics and polymers; industrial applications; life sciences including personal care, food and nutrition, medical and healthcare. The bespoke blending of custom-made solutions takes place at our Liverpool distribution site.

Principal risks and uncertainties

The Company buys the majority of its purchases in Euros and US Dollars and is therefore at risk to exchange rate fluctuations. Forward purchases are used to minimise this risk.
The Company continued to receive cost increases from its raw material suppliers and rising cost of living/inflation.
The UK economy was at best flat, higher interest rates, higher corporation tax and energy prices - the highest globally, all caused negative pressure.
The Company continues to take measures to improve supply lines and to hold stock to support our customers. Availability of the supply of some products from our suppliers was hit by events in the global supply chain.
As always there is the possibility of the loss of a key supply partner.

Financial key performance indicators

The company uses a number of KPIs to monitor the performance of its different divisions, including turnover and margin percentage, stock turn and its continuing positive cashflow.

Analysis of the development and performance of the business

The business experienced a decline in some its end market segments but despite the lower sales turnover, gross margin percentage was improved as well as inventory turnover.
Logistics cost increases mainly fuel for haulage continued to impact.
We continue to strive for improvements to our business processes and customer service. Our CRM system, installed, worked well for the benefit of our sales teams.

Analysis of the position of the business

Despite volumes and sales revenues falling our business model and finances continue to be resilient.

Page 1

BLAGDEN SPECIALTY CHEMICALS LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Key performance indicators

2024 2023
Stocks/cost of sales % 9.06% 10.4%
Debtors/Sales % 14.7% 14.9%
Creditors/cost of sales % 14.6% 14.8%
Net current assets/Sales % 38.9% 39.0%
Stock turnover in calendar days 33.1 days 38.0 days
Inventory turnover for the year 11.0 times 9.6 times
Trade debtors in calendar days 53.7 days 54.4 days
Trade creditors in calendar days 53.2 days 53.9 days
Gross margin 28.0% 27.2%
EBITDA/Sales % 8.0% 8.9%
Profit before interest and tax/Net current assets % 19.7% 22.0%

This report was approved by the board on 27 August 2025 and signed on its behalf.

R G Turton

Director

G W J Turton

Director

Page 2

BLAGDEN SPECIALTY CHEMICALS LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The Directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The Directors are responsible for preparing the Strategic report, the Directors' report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

∙make judgments 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 to 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.

Results and dividends

The profit for the year, after taxation, amounted to £1,454,020 (2023 - £1,540,017).

Dividends paid during the year £1,544,000 (2023: 1,544,000).

Principal Activities

The principal activities of the Company are the sourcing and supply of a comprehensive range of specialty chemicals to key market sectors in the UK and Ireland and by representation of mainly overseas chemicals manufacturers.
The Strategic Report on page 1 provides information regarding the review of the current business, principal risks, uncertainties and future development.

Financial Instruments

The Company’s principal funding instruments comprise bank balances, trade creditors and trade debtors. The Company has bank accounts denominated in foreign currencies and manages foreign currency contracts to reduce exposure to the variability of foreign exchange.
Credit risk and cash flow risk relating to trade debtors are managed by utilising services for the regular monitoring of credit terms and credit limits. Liquidity risk associated with trade creditors is managed by ensuring sufficient funds are available to meet liabilities as they fall due.

Page 3

BLAGDEN SPECIALTY CHEMICALS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Directors’ Indemnities

Directors’ and Officers’ insurance cover has been established for all Directors for a number of years to provide appropriate cover for their reasonable actions on behalf of the Company. The indemnities, which constitute a qualifying third-party indemnity provision as defined by section 234 of the Companies Act 2006, were in force during the 2023 financial year and remain in force for all current and past Directors and Officers of the Company.

Directors

The directors who served during the year were:

R G Turton

G W J Turton

Going Concern

The Directors and senior management have successfully implemented their business continuity plans including the distribution centre being fully staffed and all administrative staff back to work at our offices. This was considered to be essential for the continued improvement of the business. Measures have been increased for the reporting requirements on the business to analyse the impact and implement appropriate measures. The Directors hold the view that the Company has the ability to meet its financial obligations within twelve months from the date of this report.

Future developments

Our business model and finances continue to be resilient, together with the growth of some end markets served and new products available for distribution.

Disclosure of information to auditor

Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that:

∙so far as the Director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

∙the Director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

Post balance sheet events

There have been no significant events beyond the normal risks and uncertainties affecting the Company since the year end.

Auditor

After the year end Barnes Roffe LLP resigned as auditors due to the transfer of its audit business and its successor Barnes Roffe Audit Limited was appointed by the directors under s485 Companies Act 2006.

Page 4

BLAGDEN SPECIALTY CHEMICALS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

This report was approved by the board and signed on its behalf.

R G Turton Director	G W J Turton Director

Date: 27 August 2025	Date: 27 August 2025

Page 5

BLAGDEN SPECIALTY CHEMICALS LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLAGDEN SPECIALTY CHEMICALS LIMITED

Opinion

We have audited the financial statements of Blagden Specialty Chemicals Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of cash flows, the Statement of changes in equity and the related notes, 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 Auditor's 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 United Kingdom, including the Financial Reporting Council'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.

Page 6

BLAGDEN SPECIALTY CHEMICALS LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLAGDEN SPECIALTY CHEMICALS LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report. 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. 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 course of 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.

Opinion 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 Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic report and the Directors' report 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 Directors' report.

We have nothing to report in respect of the following matters in relation to which 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 Directors' responsibilities statement set out on page 3, 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 is 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.

Page 7

BLAGDEN SPECIALTY CHEMICALS LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLAGDEN SPECIALTY CHEMICALS LIMITED (CONTINUED)

Auditor's 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 an Auditor's report 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.

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with law and regulations, was as follows:
• The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
• We identified the laws and regulations applicable to the company through discussion with directors and other management, and from our commercial knowledge and experience of the chemical supply industry;
• The specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, are as follows:
  o Companies Act 2006;
  o FRS102;
   o ISO 9001 Quality management system ;
  o Packaging Waste Regulations;
  o COMAH (Control of Major Accident Hazards) 2015;
  o Control of Substances Hazardous to Health (COSHH) Regulation
  o UK REACH regulation;
  o Data Protection Act 2018;
  o Health and Safety at Work Act;
  o Bribery Act 2010;
  o National Minimum Wage Act 1998;
  o Employment legislation; and
  o Tax legislation.
• We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management, reviewing board minutes and inspecting legal correspondence and invoices;
• Laws and regulations were communicated within the audit team at the planning meeting, and during the audit as any further laws and regulation were identified. The audit team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur by:
• Making enquires of management as to where they consider there was susceptibility to fraud and their knowledge of actual suspected and alleged fraud;
• Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;
• Reviewing the financial statements and testing the disclosures against supporting documentation;
• Inspecting and testing journal entries to identify unusual or unexpected transactions;
• Assessing whether judgement and assumptions made in determining significant accounting estimates, including accruals, bad debt provision and depreciation were indicative of management bias; and

Page 8

BLAGDEN SPECIALTY CHEMICALS LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLAGDEN SPECIALTY CHEMICALS LIMITED (CONTINUED)

• Investigating the rationale behind significant transactions, or transactions that are unusual or outside the company’s usual course of business.
The areas that we identified as being susceptible to misstatement through fraud were:
• Management bias in regard to accounting estimates and judgements made;
• Management override of controls; and
• Posting of unusual journals or transactions
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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 Auditor's report.

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 an Auditor's report 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.

Duncan Stannett (Senior statutory auditor)

for and on behalf of

Barnes Roffe Audit Limited

Chartered Accountants

Statutory Auditor

1st Floor

73-81 Southwark Bridge Road

London

SE1 0NQ

27 August 2025

Page 9

BLAGDEN SPECIALTY CHEMICALS LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2023
Note	£	£

Turnover	4	22,577,560	22,819,559
Cost of sales		(16,247,980)	(16,611,666)
Gross profit		6,329,580	6,207,893
Administrative expenses		(4,654,305)	(4,311,352)
Other operating income	5	51,493	61,683
Operating profit	6	1,726,768	1,958,224
Interest receivable and similar income	10	158,692	122,409
Interest payable and similar expenses	11	(4,661)	-
Profit before tax		1,880,799	2,080,633
Tax on profit	12	(426,779)	(540,616)
Profit for the financial year		1,454,020	1,540,017

There were no recognised gains and losses for 2024 or 2023 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 15 to 27 form part of these financial statements.

Page 10

BLAGDEN SPECIALTY CHEMICALS LIMITED

REGISTERED NUMBER: 03914333

STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	13		5,869		7,063
Tangible assets	14		261,075		193,720
			266,944		200,783
Current assets
Stocks	15	1,471,737		1,730,755
Debtors: amounts falling due within one year	16	7,855,693		7,606,743
Cash at bank and in hand	17	4,653,317		5,072,649
		13,980,747		14,410,147
Creditors: amounts falling due within one year	18	(5,211,750)		(5,513,955)
Net current assets			8,768,997		8,896,192
Creditors: amounts falling due after more than one year	19		(28,946)		-

Net assets			9,006,995		9,096,975

Capital and reserves
Called up share capital	20	37,500	37,500
Share premium account		37,500	37,500
Profit and loss account		8,931,995	9,021,975
		9,006,995	9,096,975

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

R G Turton	G W J Turton
Director	Director

Date: 27 August 2025

The notes on pages 15 to 27 form part of these financial statements.

Page 11

BLAGDEN SPECIALTY CHEMICALS LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Share premium account	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2024	37,500	37,500	9,021,975	9,096,975

Profit for the year	-	-	1,454,020	1,454,020
Dividends	-	-	(1,544,000)	(1,544,000)
At 31 December 2024	37,500	37,500	8,931,995	9,006,995

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2023

	Called up share capital	Share premium account	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2023	37,500	37,500	9,025,958	9,100,958

Profit for the year	-	-	1,540,017	1,540,017
Dividends	-	-	(1,544,000)	(1,544,000)
At 31 December 2023	37,500	37,500	9,021,975	9,096,975

The notes on pages 15 to 27 form part of these financial statements.

Page 12

BLAGDEN SPECIALTY CHEMICALS LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	1,454,020	1,540,017
Adjustments for:
Amortisation of intangible fixed assets	1,194	1,194
Depreciation of tangible fixed assets	80,969	79,023
Loss on disposal of tangible fixed assets	730	(9,500)
Interest paid	4,661	-
Interest received	(158,692)	(122,409)
Taxation charge	426,779	540,616
Decrease in stocks	259,018	739,504
(Increase)/decrease in debtors	(248,935)	546,400
(Increase) in amounts owed by groups	(15)	(500,150)
(Decrease)/increase in creditors	(225,872)	71,242
Increase in amounts owed to groups	19,900	38,394
Corporation tax (paid)	(531,104)	(520,000)
Unrealised currency translation gains	(37,644)	(10,831)
Net cash generated from operating activities	1,045,009	2,393,500

Cash flows from investing activities
Purchase of tangible fixed assets	(152,554)	(69,606)
Sale of tangible fixed assets	3,500	9,500
Interest received	158,692	122,409
HP interest paid	(2,034)	-
Net cash from investing activities	7,604	62,303
Cash flows from financing activities
Repayment of/new finance leases	37,038	-
Dividends paid	(1,544,000)	(1,544,000)
Interest paid	(2,627)	-
Effect of exchange rate fluctuations on cash held	37,644	10,831
Net cash used in financing activities	(1,471,945)	(1,533,169)
Net (decrease)/increase in cash and cash equivalents	(419,332)	922,634
Cash and cash equivalents at beginning of year	5,072,649	4,150,015
Cash and cash equivalents at the end of year	4,653,317	5,072,649

Page 13

BLAGDEN SPECIALTY CHEMICALS LIMITED

STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

		2024	2023
		£	£

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	4,653,317	5,072,649
	4,653,317	5,072,649

The notes on pages 15 to 27 form part of these financial statements.

Page 14

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

Blagden Specialty Chemicals Limited is a private company limited by shares and incorporated in England and Wales. The registered office address of the company is Osprey House, Black Eagle Square, Westerham, Kent, TN16 1PA. The principal activity of the company during the year has been that of specialist distributor of chemicals.

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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

2.2

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.

2.3

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.

Page 15

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.4

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.

2.5

Interest income

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

2.6

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 Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

2.7

Taxation

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 reporting 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 reporting 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 reporting date.

Page 16

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.8

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

2.9

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.

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 and reducing balance basis.

Depreciation is provided on the following basis:

Plant and machinery	-	15% reducing balance basis
Motor vehicles	-	Straight line over 3-5 years
Fixtures, fittings and equipment	-	12.5% - 33.3% reducing balance basis

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.

2.10

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.

At each 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 profit or loss.

2.11

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.

Page 17

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.12

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.

In the Statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

2.13

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.

2.14

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

2.15

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements the Directors have made judgements in the following areas.
Bad debt provision
The Directors make judgements as to the Company's ability to collect outstanding debtors and provide allowances for a portion of debtors when collection becomes doubtful. Provisions are made based on a specific review of significant outstanding invoices.
Stock provision
Judgement is also made in valuing the net realisable value of stock. A stock provision is made based on a review of the age of the stock and based on products which have passed or are approaching their expiry dates.

Page 18

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Turnover

Analysis of turnover by country of destination:

					2024	2023
					£	£

United Kingdom	22,110,465	22,072,146
Europe	367,735	678,293
Rest of the world	99,360	69,120
	22,577,560	22,819,559

5.	Other operating income
		2024	2023
		£	£

Supplier settlements	51,493	61,683
	51,493	61,683

Depreciation of tangible fixed assets	80,969	79,023
Amortisation of intangible assets	1,194	1,194
Auditor's remuneration	27,040	26,000
Difference on foreign exchange	(19,532)	(43,801)
Operating lease expenditure	130,000	130,978

7.	Auditor's remuneration

The company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent company.

Page 19

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Wages and salaries	2,552,960	2,435,313
Social security costs	295,407	269,495
Cost of defined contribution scheme	214,483	192,796
	3,062,850	2,897,604

The average monthly number of employees, including the directors, during the year was as follows:

	2024	2023
	No.	No.

Warehouse and distribution	5	5
Selling	24	23
Administration	25	25

	54	53

9.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	443,272	418,481
Company contributions to defined contribution pension schemes	5,400	5,064
	448,672	423,545

	During the year retirement benefits were accruing to 1 director (2023 - 1) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £305,727 (2023 - £306,508).
	The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £NIL (2023 - £NIL).

Page 20

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

10.	Interest receivable
		2024	2023
		£	£

	Interest receivable	158,692	122,409
		158,692	122,409

11.	Interest payable and similar expenses
		2024	2023
		£	£

Other loan interest payable	1,648	-
Finance leases and hire purchase contracts	2,034	-
Other interest payable	979	-
	4,661	-

Page 21

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Corporation tax
Current tax on profits for the year	426,779	540,616

Total current tax	426,779	540,616

Profit on ordinary activities before tax

1,880,799

2,080,633

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 19%)	470,200	520,158
Effects of:
Expenses not deductible for tax purposes	(33,051)	63,684
Capital allowances for year in excess of depreciation	(10,669)	2,418
Non-tax deductible amortisation	299	299
Adjustment in research and development tax credit leading to a decrease in the tax charge	-	(11,728)
Movement in tax charge due to changes to tax rates	-	(34,215)
Total tax charge for the year	426,779	540,616

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 22

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

13.	Intangible assets

		Investment Property
		£
	Cost
	At 1 January 2024	11,938
	At 31 December 2024	11,938
	Amortisation
	At 1 January 2024	4,875
	Charge for the year	1,194
	At 31 December 2024	6,069
	Net book value
	At 31 December 2024	5,869
	At 31 December 2023	7,063

Page 23

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

14.	Tangible fixed assets

	Plant and machinery	Motor vehicles	Fixtures, fittings and equipment	Total
	£	£	£	£
Cost or valuation
At 1 January 2024	496,700	285,350	858,513	1,640,563
Additions	62,770	-	89,784	152,554
Disposals	(14,074)	-	-	(14,074)
At 31 December 2024	545,396	285,350	948,297	1,779,043
Depreciation
At 1 January 2024	400,852	248,453	797,538	1,446,843
Charge for the year	13,982	18,172	42,512	74,666
Charge for the year on financed assets	6,303	-	-	6,303
Disposals	(9,844)	-	-	(9,844)
At 31 December 2024	411,293	266,625	840,050	1,517,968
Net book value
At 31 December 2024	134,103	18,725	108,247	261,075
At 31 December 2023	95,848	36,897	60,975	193,720

15.	Stocks
		2024	2023
		£	£

Finished goods and goods for resale	1,471,737	1,730,755
	1,471,737	1,730,755

Page 24

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

16.

Debtors

					2024	2023
					£	£


Trade debtors	3,319,413	3,400,893
Other debtors	994,463	638,933
Prepayments and accrued income	149,518	174,633
Amounts owed by group undertakings	3,392,299	3,392,284
	7,855,693	7,606,743

17.	Cash and cash equivalents
		2024	2023
		£	£

Cash at bank and in hand	4,653,317	5,072,649
	4,653,317	5,072,649

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

Trade creditors	2,366,180	2,451,418
Corporation tax	150,137	254,462
Other taxation and social security	633,569	625,302
Other creditors	20,386	19,693
Obligations under finance lease and hire purchase contracts	8,092	-
Accruals and deferred income	819,366	968,960
Amounts owed to group undertakings	1,214,020	1,194,120
	5,211,750	5,513,955

Page 25

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

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

Net obligations under finance leases and hire purchase contracts	28,946	-
	28,946	-

20.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

150,000 (2023 - 150,000) Ordinary shares shares of £0.25 each	37,500	37,500

21.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension costs charge represents contributions payable by the Company to the fund and amounted to £214,483 (2023: £192,796). Contributions totalling £23,246 (2023: £20,294) were payable to the fund at the balance sheet date and are included in other creditors.

Within one year	130,000	130,000
In two to five years	498,333	520,000
Later than 5 years	-	108,333
	628,333	758,333

23.	Related party transactions
	The Company has taken advantage of the exemptions provided by FRS 102 paragraph 33.1A and not disclosed the transactions with group undertakings where 100% of the voting rights are controlled within the group.

Page 26

BLAGDEN SPECIALTY CHEMICALS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

24.	Controlling party

The ultimate parent company is Blagden (Holdings) Limited, a company incorporated in England and Wales, which is 100% owned by R G Turton, Director. A copy of the group financial statements can be obtained from Osprey House, Black Eagle Square, Westerham, Kent, TN16 1PA.

Page 27