ACCOUNTS - Final Accounts

An analysis of turnover by class of business is as follows:

Registered number: 03426602

SCIENCE (UK) LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

SCIENCE (UK) LIMITED

COMPANY INFORMATION

Directors	D S Hirst
	C Hirst
	C Hirst
	C O B Hirst


Registered number	03426602


Registered office	Eighth Floor
	6 New Street Square
	New Fetter Lane
	London
	EC4A 3AQ


Independent auditor	Rawlinson & Hunter Audit LLP
	Statutory Auditors & Chartered Accountants
	Eighth Floor
	6 New Street Square
	New Fetter Lane
	London
	EC4A 3AQ

SCIENCE (UK) LIMITED

CONTENTS

	Page
Strategic report	1
Directors' report	2 - 3
Directors' responsibilities statement	4
Independent auditor's report	5 - 8
Statement of comprehensive income	9
Balance sheet	10
Statement of changes in equity	11
Statement of cash flows	12 - 13
Analysis of net debt	13
Notes to the financial statements	14 - 29

SCIENCE (UK) LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction

The directors present their Annual Report, which consists of the Strategic Report and the Directors' Report, and the financial statements of Science (UK) Limited ("the company") for the year ended 31 December 2024.

Business review

The company produces artwork which are sold onto the parent company, Science Limited. In 2024 the company also sold prints to third parties for £1.0m (2023 - £0.6m). In 2024 intercompany sales were £10.1m compared to £13.6m in 2023. As a result turnover was significantly lower in 2024 at £11.1m compared to £14.2m in 2023. The company also provides support services to its parent undertaking, and its other subsidiaries which are charged on through a management charge fee. The company's activity is therefore linked to Science Limited and its subsidiaries ("the group"). The profitability of the company is dependent on the level of activity of the group and the services provided to it during the year. The directors are satisfied with the 2024 result and the ability to continue to provide these services in future years.

Future developments

The company is funded by working capital from the parent company and the future development of the company is dependent on the health of the international contemporary art market. The company will continue to provide its services to the other group companies whose principal activities remain within this field.

Principal risks and uncertainties

Foreign currency fluctuation is the main financial risk for the company as currency movements can impact on expenditure as certain costs are in Euros and US Dollars. The company manages these risks by maintaining foreign currency bank accounts in the main currencies it operates in - Sterling, Euro and US Dollars.
There are minimal cash flow and credit risks to the company as it is funded by the parent company which is its major customer. The parent company has agreed to continue to support the company for a period of at least 12 months from the date of signing these financial statements.
The company is exposed to risk of certain commodity prices that it uses in the production of contemporary art. These include bronze, gold and silver.
The company is also exposed to a fall in property valuations due to its ownership of freehold and investment properties.

Financial key performance indicators

As the company has one principal customer, its parent company, the directors are of the opinion that any analysis using key performance indicators of the business is not necessary for the understanding of the development, performance and operation of the business.

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

D S Hirst

Director

Date: 26 September 2025

Page 1

SCIENCE (UK) 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.

Principal activity

The principal activity of the company during the year was that of the provision of management services and production of artworks. The company also fabricates and sells prints and books.

Results and dividends

The profit for the year, after taxation, amounted to £5,049,740 (2023 - £7,437,552).

No dividends were paid or proposed in the current or prior year.

Directors

The directors who served during the year and up to the date of this report were:

D S Hirst

C Hirst

C O B Hirst

Matters covered in the Strategic report

The company's business review, future developments, principal risks and uncertainties and key performance indicators are set out in the Strategic Report.

Going concern

The company's operation is to create artworks to be sold to Science Limited, its parent company, and to manage the operations of Science Limited and its subsidiaries ("the group"). The company is therefore a cost based company with limited ability to generate third party revenue and cash flows independently. Together, the company is a party to cross guarantee on the loan facilities of its parent company and therefore the company’s ability to continue as a going concern is reliant on the ability of its parent company and the group as a whole to generate cash and operate within its available credit facilities to be able to continue as a going concern.
The directors have prepared cashflow forecasts for the group to 31 December 2026 and are confident that the company will be able to meet its liabilities as they fall due for a period of twelve months from the signing of the financial statements.
The group's bank facilities combined with the business plan of the group will provide the company with sufficient facilities to meet the cash flow requirements for at least twelve months from the aproval of these financial statments.
Based on their assessments the directors consider that the adoption of the going concern basis of preparation is appropriate. The financial statements therefore do not include any adjustments which might be required if the going concern basis was inappropriate.

Page 2

SCIENCE (UK) LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

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 affecting the company since the year end.

Auditor

Under section 487(2) of the Companies Act 2006, Rawlinson & Hunter Audit LLP will be deemed to have been reappointed as auditor 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

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

D S Hirst

Director

Date: 26 September 2025

Page 3

SCIENCE (UK) LIMITED

DIRECTORS' RESPONSIBILITIES STATEMENT

FOR THE YEAR ENDED 31 DECEMBER 2024

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 judgements and accounting estimates that are reasonable and prudent;

∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

∙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.

Page 4

SCIENCE (UK) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SCIENCE (UK) LIMITED

Opinion

We have audited the financial statements of Science (UK) Limited ("the company") for the year ended 31 December 2024, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of cash flows, the Analysis of net debt, 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 5

SCIENCE (UK) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SCIENCE (UK) LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report and Financial Statements other than the financial statements and our Auditor's report thereon. The directors are responsible for the other information contained within the Annual Report and Financial Statements. 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 4, 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 6

SCIENCE (UK) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SCIENCE (UK) 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. Some of the specific procedures performed to detect irregularities, including fraud, are detailed below.

∙the review of control accounts and journal entries for large, unusual or unauthorised entries;

∙the analytical review of the detailed profit and loss account for variances that are either unexpected or considered not to be in accordance with our understanding of the business and art sector during the year;

∙obtaining and reviewing for completeness a list of entities and persons considered to be related parties (as defined by Financial Reporting Standard 102) and reviewing the ledgers of the company for previously unreported related party transactions;

∙the verification of a sample of sales made in the year, ensuring that each has been recognised in accordance with the company’s revenue recognition policy and that the corresponding purchase has also been recognised in the same period;

∙the verification of the existence of a sample of employees to documentation outside of the accounting system;

∙the review of employees bank account details for evidence of fictitious employees from duplicate bank account details; and

∙the review of transactions and journals for any indication of fraud or management override.

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.

Page 7

SCIENCE (UK) LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SCIENCE (UK) LIMITED (CONTINUED)

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.

William Watson (Senior statutory auditor)

for and on behalf of

Rawlinson & Hunter Audit LLP

Statutory Auditors & Chartered Accountants

Eighth Floor

6 New Street Square

New Fetter Lane

London

EC4A 3AQ

26 September 2025

Page 8

SCIENCE (UK) LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2023
Note	£	£


Turnover	4	11,153,710	14,248,309
Cost of sales		(10,067,169)	(13,685,538)
Gross profit		1,086,541	562,771
Administrative expenses		(20,264,912)	(23,739,169)
Other operating income	5	24,644,392	31,731,523
Operating profit	6	5,466,021	8,555,125
Interest payable and similar expenses	10	(363,015)	(177,770)
Profit before tax		5,103,006	8,377,355
Tax on profit	11	(53,266)	(939,803)
Profit for the financial year		5,049,740	7,437,552

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

The notes on pages 14 to 29 form part of these financial statements.

Page 9

SCIENCE (UK) LIMITED

REGISTERED NUMBER: 03426602

BALANCE SHEET

AS AT 31 DECEMBER 2024


	2024	2023
Note	£	£

Fixed assets
Tangible assets	12	66,274,983	63,647,525
Investment property	13	7,722,999	6,557,999
		73,997,982	70,205,524
Current assets
Stocks	14	38,627,398	38,278,501
Debtors: amounts falling due within one year	15	18,535,880	17,890,358
Cash at bank and in hand	16	1,805,508	635,796
		58,968,786	56,804,655
Creditors: amounts falling due within one year	17	(99,250,503)	(98,086,090)
Net current liabilities		(40,281,717)	(41,281,435)
Total assets less current liabilities		33,716,265	28,924,089
Deferred tax	19	(934,977)	(1,192,541)
Net assets		32,781,288	27,731,548

Capital and reserves
Called up share capital	20	50,000	50,000
Profit and loss account	21	32,731,288	27,681,548
		32,781,288	27,731,548

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

D S Hirst

Director

Date: 26 September 2025

The notes on pages 14 to 29 form part of these financial statements.

Page 10

SCIENCE (UK) LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 January 2024	50,000	27,681,548	27,731,548
Comprehensive income for the year
Profit for the year	-	5,049,740	5,049,740
Total comprehensive income for the year	-	5,049,740	5,049,740
At 31 December 2024	50,000	32,731,288	32,781,288

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2023

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 January 2023	50,000	20,243,996	20,293,996
Comprehensive income for the year
Profit for the year	-	7,437,552	7,437,552
Total comprehensive income for the year	-	7,437,552	7,437,552
At 31 December 2023	50,000	27,681,548	27,731,548

The notes on pages 14 to 29 form part of these financial statements.

Page 11

SCIENCE (UK) LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	5,049,740	7,437,552
Adjustments for:
Depreciation of tangible assets	2,062,179	1,191,982
Reversal of impairment of tangible assests	(4,063,081)	-
Loss on disposal of tangible assets	8,835	201,753
Interest payable	363,015	177,770
Taxation charge	53,266	939,803
(Increase)/decrease in stocks	(348,897)	1,103,987
Decrease/(increase) in debtors	2,451,544	(3,427,335)
(Increase) in amounts owed by groups	(3,532,669)	(2,620,623)
Increase/(decrease) in creditors	3,069,014	(2,128,755)
Increase/(decrease) in amounts owed to groups	(351,946)	(1,800,163)
Net fair value (gains) recognised in P&L	(1,165,000)	-
Corporation tax (paid)	(1,786,676)	-
Net cash generated from operating activities	1,809,324	1,075,971

Cash flows from investing activities
Purchase of tangible fixed assets	(649,245)	(990,374)
Sale of tangible fixed assets	13,854	161,351
Net cash used in investing activities	(635,391)	(829,023)
Cash flows from financing activities
Interest paid	(4,221)	(37,770)
Net cash used in financing activities	(4,221)	(37,770)
Net increase in cash and cash equivalents	1,169,712	209,178
Cash and cash equivalents at beginning of year	635,796	426,618
Cash and cash equivalents at the end of year	1,805,508	635,796

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	1,805,508	635,796
	1,805,508	635,796

Page 12

SCIENCE (UK) LIMITED

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2024


At 1 January 2024	Cash flows	At 31 December 2024
£	£	£

Cash at bank and in hand	635,796	1,169,712	1,805,508
	635,796	1,169,712	1,805,508

The notes on pages 14 to 29 form part of these financial statements.

Page 13

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

Science (UK) Limited ("the company") is a private company incorporated in England and Wales and is a company limited by shares. The address of the registered office is Eighth Floor, 6 New Street Square, New Fetter Lane, London, EC4A 3AQ. The company's trading address is 40 Beak Street, London, W1F 9RQ.

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 preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

2.2

Going concern

The company's operation is to create artworks to be sold to Science Limited, its parent company, and to manage the operations of the whole Science Limited and its subsidiaries ("the group"). The company is therefore a cost based company with limited ability to generate third party revenue and cash flows independently. Together, the company is a party to cross guarantee on the loan facilities of its parent company and therefore the company’s ability to continue as a going concern is reliant on the ability of its parent company and the group as a whole to generate cash and operate within its available credit facilities to be able to continue as a going concern.
The directors have prepared cashflow forecasts for the group to 31 December 2026 and are confident that the company will be able to meet its liabilities as they fall due for a period of twelve months from the signing of these financial statements.
The group's bank facilities combined with the business plan of the group will provide the company with sufficient facilities to meet the cash flow requirements for at least twelve months from the aproval of these financial statments.
Based on their assessments the directors consider that the adoption of the going concern basis of preparation is appropriate. The financial statements therefore do not include any adjustments which might be required if the going concern basis was inappropriate.

Page 14

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.3

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

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

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

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.

2.4

Turnover

Revenue from sales of artworks is recognised when the company has transferred the significant risks and rewards of ownership to the buyer and it is probable that the company will receive the previously agreed upon payment. For sales to third parties these criteria are met when either the buyer collects or when the company delivers the artwork. For intercompany sales it is when the fabrication of the artwork is completed.
Revenue from intercompany sales comprises costs charged to the parent company during the year for the fabrication of artworks.

2.5

Management fees

Management fees comprise costs charged to the parent company during the year for the running of the business, such as professional fees and indirect costs related to the fabrication of artworks which are sold through the parent company, exclusive of Value Added Tax. Management fees are included within 'Other operating income'.

2.6

Operating leases: the company as lessor

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

2.7

Operating leases: the company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term.

Page 15

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.8

Finance costs

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

2.9

Pensions

Defined contribution pension plan

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

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

2.10

Current and deferred taxation

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

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

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

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

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

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

2.11

Tangible fixed assets

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

Page 16

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.11

Tangible fixed assets (continued)

Land is not depreciated. Depreciation on other assets is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, as shown below.

Depreciation is provided on the following basis:

Freehold property	-	50 years straight line
Long-term leasehold property	-	Over the period of the lease
Motor vehicles	-	25% straight line
Other fixed assets	-	10% to 33% straight line

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

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

2.12

Impairment of fixed assets

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit (CGU) to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

2.13

Investment property

Investment properties are measured at fair value at each reporting date with changes in fair value recognised in profit or loss.

2.14

Stocks

Stocks, representing contemporary art, 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, and includes attributable overheads.
At each balance sheet 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.

2.15

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

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.16

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.

2.17

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.

2.18

Provisions for liabilities

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

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

2.19

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.

Page 18

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

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

In preparing the financial statements, management has to make judgments on how to apply the company's accounting policies and make estimates about the future. The critical judgments that have been made in arriving at the amounts recognised in the financial statements and the key areas of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying value of assets and liabilities in the next financial year, are discussed below:
Impairment of stocks
Management assesses annually whether there are indicators of impairment of the company's stocks at the year end. Factors taken into consideration in reaching such a decision include the saleability of the stock and progress on production of artworks.
Valuation of investment properties

Investment property valuations are performed on a regular basis by property agents registered with RICS on an open market value for existing use basis. At the year end management assess these valuations and adjust for movement in market sales prices. The valuation is inherently subjective with an underlying uncertainty as to what price would be achieved were the properties made available for sale.

Tangible fixed assets depreciation
Tangible fixed assets are depreciated over their useful lives, taking into account residual values where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the assets and projected disposal values.

Sales to third parties	1,036,733	608,666
Intercompany sales	10,116,977	13,639,643
	11,153,710	14,248,309

All turnover arose within the United Kingdom.

Page 19

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

5.	Other operating income
		2024	2023
		£	£

Management fees	23,598,458	26,154,988
Rental income	911,176	1,076,372
Other income	134,758	4,500,163
	24,644,392	31,731,523

Depreciation of tangible fixed assets	2,062,179	1,191,982
Loss/(profit) on disposal of tangible fixed assets	8,835	201,753
Reversal of impairment of tangible fixed assets	(4,063,081)	-
Exchange differences	20,791	97,467
Other operating lease rentals	2,775,684	2,822,447

7.	Auditor's remuneration
		2024	2023
		£	£

	Fees for the audit of the company	58,000	55,000
		58,000	55,000

Page 20

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Wages and salaries	7,320,300	6,615,665
Social security costs	921,359	708,814
Cost of defined contribution scheme (Note 23)	235,762	209,425
	8,477,421	7,533,904

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

	2024	2023
	No.	No.

Employees	180	163

9.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	423,768	436,268
Directors pension costs	26,069	3,750
	449,837	440,018

	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 £236,268 (2023 - £236,268).
	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).

Key management includes the directors and other members of senior management. The compensation paid or payable to key management for employee services was £852,459 (2023 - £826,655).

10.	Interest payable and similar expenses
		2024	2023
		£	£

Other interest payable

363,015

177,770

Page 21

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Corporation tax
Current tax on profits for the year	-	964,133
Adjustments in respect of previous periods	(124,773)	(9,445)
Group taxation relief	435,603	-

Total current tax	310,830	954,688

Deferred tax
Origination and reversal of timing differences	(257,564)	(14,885)
Total deferred tax	(257,564)	(14,885)


	Taxation on profit on ordinary activities	53,266	939,803

The current tax charge for the year has been increased to £310,830 because of group relief claimed of £435,603 by the company for which a payment of £435,603 will be left outstanding on an inter-company account. In 2023, £1,213,215 group relief was claimed by the company for which no payment was made to the surrendering group company.

Page 22

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.Taxation (continued)

Profit on ordinary activities before tax

5,103,006

8,377,355

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25.00% (2023 - 23.52%)	1,275,752	1,970,354
Effects of:
Fixed asset differences	(3,713)	65,708
Expenses not deductible for tax purposes	213,020	127,282
Adjustments to tax charge in respect of prior periods	(124,773)	(9,445)
Non-taxable income	(1,307,020)	-
Remeasurement of deferred tax for changes in tax rates	-	(881)
Group relief claimed	(435,603)	(1,213,215)
Payment for group relief	435,603	-
Total tax charge for the year	53,266	939,803

Page 23

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.Taxation (continued)

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

12.	Tangible fixed assets

	Freehold property	Long-term leasehold property	Motor vehicles	Other fixed assets	Total
	£	£	£	£	£
Cost or valuation
At 1 January 2024	45,081,174	40,431,453	1,090,261	4,594,790	91,197,678
Additions	-	-	16,498	632,747	649,245
Disposals	-	-	(16,498)	(297,990)	(314,488)
At 31 December 2024	45,081,174	40,431,453	1,090,261	4,929,547	91,532,435
Depreciation
At 1 January 2024	4,573,590	19,960,409	349,509	2,666,645	27,550,153
Charge for the year on owned assets	917,371	82,125	274,283	788,400	2,062,179
Disposals	-	-	(1,718)	(290,081)	(291,799)
Impairment losses written back	-	(4,063,081)	-	-	(4,063,081)
At 31 December 2024	5,490,961	15,979,453	622,074	3,164,964	25,257,452
Net book value
At 31 December 2024	39,590,213	24,452,000	468,187	1,764,583	66,274,983
At 31 December 2023	40,507,584	20,471,044	740,752	1,928,145	63,647,525

Page 24

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

13.	Investment property

		Freehold investment property
		£
	Valuation
	At 1 January 2024	6,557,999
	Surplus on revaluation	1,165,000
	At 31 December 2024	7,722,999

The 2024 valuations were based on a valuation completed in March 2025 for Beak Street by JLL, on an open market value for existing use basis, and for the remaining properties on valuations completed by an independent expert in 2019.

If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:
	2024	2023
	£	£

Historical cost	10,488,381	10,488,381
Accumulated depreciation and impairments	(1,067,628)	(956,374)
	9,420,753	9,532,007

The cross guarantee as disclosed in Note 22 is secured against the freehold, long-term leasehold (see Note 12) and investment properties (see above).

14.	Stocks
		2024	2023
		£	£

Work in progress (goods to be sold)	38,627,398	38,278,501
	38,627,398	38,278,501

During the year, an impairment of £1,236,575 (2023 - charge of £2,392,011) was recognised in cost of sales against stock during the year due to slow-moving and obsolete stock.

Page 25

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

15.

Debtors

					2024	2023
					£	£


Trade debtors	994,974	857,920
Amounts owed by group undertakings	14,414,792	11,317,726
Other debtors	1,126,209	3,817,869
Prepayments and accrued income	1,999,905	1,896,843
	18,535,880	17,890,358

16.	Cash and cash equivalents
		2024	2023
		£	£

Cash at bank and in hand	1,805,508	635,796
	1,805,508	635,796

Trade creditors	5,560,353	4,429,910
Amounts owed to group undertakings	83,625,062	83,977,008
Corporation tax	1,397,913	2,950,568
Other taxation and social security	214,895	282,282
Other creditors	60,124	202,293
Accruals and deferred income	8,392,156	6,244,029
	99,250,503	98,086,090

Page 26

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

18.	Financial instruments
		2024	2023
		£	£

Financial assets
Financial assets measured at fair value through profit or loss	1,805,508	635,796
Financial assets that are debt instruments measured at amortised cost	15,840,283	12,246,846
	17,645,791	12,882,642

	Financial liabilities
	Financial liabilities measured at amortised cost	(96,838,093)	(94,711,202)

	Financial assets measured at fair value through profit or loss comprise cash at bank and in hand. Financial assets that are debt instruments measured at amortised cost comprise trade debtors, amounts owed by group undertakings, other debtors and accrued income.
	Financial liabilities measured at amortised cost comprise trade creditors, amounts owed to group undertakings, other creditors and accruals.

19.	Deferred tax

		2024
		£

	At beginning of year	(1,192,541)
	Credited to profit or loss (Note 11)	257,564
	At end of year	(934,977)

The provision for deferred taxation is made up as follows:
	2024	2023
	£	£

Fixed asset timing differences

934,977

1,192,541

Page 27

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

20.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

50,000 (2023 - 50,000) Ordinary shares of £1.00 each	50,000	50,000

21.

Reserves

Profit and loss account

The profit and loss account represents cumulative profits and losses net of dividends paid and other adjustments.

22.	Contingent liabilities

The company is party to a cross guarantee with other companies in the group in relation to the bank loan of Science Limited. At the year end the maximum exposure under this cross guarantee was £59,075,000 (2023 - £61,855,000).

23.	Pension commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £235,762 (2023 - £209,425). Contributions totaling £60,124 (2023 - £37,293) were payable to the fund at the balance sheet date and are included in creditors.

Page 28

SCIENCE (UK) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Not later than 1 year	1,963,193	1,734,553
Later than 1 year and not later than 5 years	4,378,711	3,093,960
	6,341,904	4,828,513

The company leases out the investment properties under non-cancellable operating leases for the following future minimum lease payments. There are additional contingent rental clauses which are based on turnover.
	2024	2023
	£	£

Not later than 1 year	895,500	895,500
Later than 1 year and not later than 5 years	956,949	1,854,903
	1,852,449	2,750,403

25.	Related party transactions
	The company has taken advantage of the exemption conferred by FRS 102 s.33.1A and not disclosed transactions with other group companies as the company was a wholly owned subsidiary of Science Limited at the year end.

26.	Controlling party

The parent company and immediate controlling party is Science Limited, a company incorporated in Jersey.
The ultimate controlling party is D S Hirst.

Page 29