REGISTERED NUMBER: 14259143 (England and Wales)

Mississippi Lime UK Limited

Group Strategic Report, Report of the Directors and

Audited Consolidated Financial Statements for the Year Ended 31 December 2024

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

6

Report of the Independent Auditors

8

Consolidated Statement of Comprehensive Income

12

Consolidated Balance Sheet

14

Company Balance Sheet

16

Consolidated Statement of Changes in Equity

17

Company Statement of Changes in Equity

18

Consolidated Cash Flow Statement

19

Notes to the Consolidated Cash Flow Statement

20

Notes to the Consolidated Financial Statements

21

DIRECTORS:

C Fincher

P Hogan

P T Fitzgerald

M Kiefer

REGISTERED OFFICE:

2nd Floor

38-43 Lincoln's Inn Fields

London

WC2A 3PE

REGISTERED NUMBER:

14259143 (England and Wales)

AUDITORS:

Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

The directors present their strategic report of the Company and the Group for the year ended 31 December 2024.

Mississippi Lime UK Limited (the Company) was incorporated on 27 July 2022. The Company does not trade but acts as an investment holding company. On 7 September 2022 the Company acquired 100% of the issued share capital of Singleton Birch Limited, forming the "Group". These financial statements present the results of the Group for the year ended 31 December 2024. The comparative period was extended to coincide with the year end of the wider trading group, hence the comparative results reflect the 17 month period ended 31 December 2023 and are therefore not entirely comparable.

FINANCIAL HIGHLIGHTS

Year ended

17 months ended

31.12.2024

31.12.2023

Consolidated turnover

76,874,263

107,918,624

Group operating profit

2,111,718

3,706,656

Group profit before tax

1,949,059

3,359,325

EBITDA

16,196,292

21,258,199

Capital investment

10,086,650

12,306,561

REVIEW OF BUSINESS

The Group has delivered a strong financial performance for the year ended 31st December 2024, achieving robust profits and operational stability despite a dynamic and evolving market landscape

Sales volumes remained healthy, driven by steady demand across key sectors including construction, agriculture, environmental remediation, and steel production. The Group operating profit of £2.1m is stated after charging depreciation of £9m and goodwill amortisation totalling £4.8m.

The Group benefited from long-term customer relationships and efficient production processes, enabling it to maintain competitive pricing while managing cost inflation in areas such as energy and transportation.

Operationally, the main UK site maintained consistent output levels despite a kiln shut down for part of the year for a scheduled reline. Continued investment in health and safety, environmental compliance, and plant maintenance ensured good performance and regulatory alignment. The Company also advanced its sustainability objectives through evaluation of new technologies, energy efficiency, and waste management improvements.

Profit margins were supported by cost control disciplines, resulting in successful trading year. This performance provides a solid foundation for reinvestment in strategic capital projects aimed at enhancing long-term value.

Capital expenditure for the year was £10m and included a kiln reline and a major conveyor overhaul. The Boards strategy of capital investment, diversification of customers, products and services together with the development of new markets continues to be effective and remains a key feature of future strategy.

Key Performance Indicators

The Group tightly manages its cash flow and working capital and uses several KPI's to further monitor its performance. These include a range of financial and operational ratios as follows:

- Turnover

- EBITDA

- Gross profit margin

- Operating profit margin

- Tonnage produced and sold/deposited

- Capital expenditure

- Debtor days

- Cash balance

- Electricity production and utilisation

PRINCIPAL RISKS AND UNCERTAINTIES

Quarrying and lime production are high risk activities in relation to health and safety and environmental impact and the directors have established robust risk management systems to mitigate these risks and ensure legal compliance. The Company has obtained the Occupational Health and Safety Standard BS OHSAS 45001, the Environmental Management Standard ISO 14001 and the Energy Management standard ISO 50001, which all require audit by external accredited bodies. The Company has won a number of major awards over the years from its trade body, the Mineral Products Association, for continued excellence in health and safety performance.

The UK lime industry continues to play a critical role in supporting multiple downstream sectors including steelmaking, construction, water treatment, agriculture and national infrastructure projects. Demand has remained resilient, underpinned by infrastructure activity and environmental applications.

However, the sector faces several structural and regulatory challenges. The transition to a lower-carbon economy has placed increased pressure on lime producers to decarbonise operations, particularly given the sector's high energy intensity and CO2 emissions profile. In response, many operators, including our Company, are exploring cleaner fuels, carbon capture technologies, and more efficient processing techniques.

The UK Government's continued focus on sustainability, net zero targets, and planning reform have long-term implications for quarrying permissions, environmental compliance, and investment strategies. The UK Government is currently consulting on significant reforms to the landfill tax regime, which could see the removal of the lower rate of landfill tax and key exemptions, including those for quarry restoration and qualifying fines. If implemented as proposed, the reforms could materially impact the economic viability of landfill operation, quarry restoration and long-term site management The Company continues to monitor the consultation process closely and engage with industry bodies to assess the potential financial and operational implications.

Mitigation measures are in place to monitor and manage these risks, and the Board remains focused on ensuring the Company remains compliant, agile, and forward-looking.

The Board's diversification strategy in recent years aims to moderate the Group's reliance on major customers.

While these trends introduce uncertainty, they also present an opportunity for innovation and competitive differentiation for those operators who are proactive.

FINANCIAL INSTRUMENTS AND FINANCIAL RISK MANAGEMENT

The Group's activities expose it to a variety of financial risks: market risk, credit risk, interest rate and foreign currency risk and liquidity risk.

Specific Market Risks

i. Energy Costs

Market rate risk arises from fluctuations in the price of carbon emission allowances and gas rate prices. The Company manages such risk by having either variable pass-through costs in customer contracts or buying gas forward on fixed price agreements for the length of the contract. The UK Emission Trading (UK ETS) Scheme remains volatile and relatively illiquid. To mitigate against significant fluctuations we are purchasing carbon on a monthly basis to fulfil our annual requirements and adjusting customer prices at regular intervals accordingly.

ii. Credit Risk

Credit risk arises from cash and cash deposits, derivative financial instruments and exposure to customers, including outstanding trade receivables. The Board has agreed a policy for managing such risk which is controlled through credit limits, customer and counterparty approvals, and rigorous monitoring procedures. Credit checks are undertaken on all customers on an annual basis and credit insurance is obtained for all major customers where possible. Where credit insurance is not available for certain customers, credit terms are reduced, and the accounts are monitored closely to ensure exposure to credit risk is minimised.

iii. Foreign Exchange Risk

Foreign currency risk occurs at transactional and translation level from trade balances and transactions in foreign currencies. The vast majority of sales and purchases made across the Group are in GBP, so the Group runs minimal risk in this area. For the limited amount of transactions incurred in foreign currencies, the Group operates foreign currency bank accounts in order to naturally minimise exposure to sudden fluctuations.

iv. Cash Flow/ Liquidity Risk

Cash flow and liquidity are monitored regularly against forecasts and available finance facilities to ensure the Group has sufficient headroom. The Group actively maintains a mixture of long-term and short-term committed facilities which are designed to ensure the Group has sufficient available funds for operations and planned expansions equivalent to at least one year's forecast requirements at all times.

SECTION 172(1) STATEMENT

The Board have considered the matters set out in section 172 (1) (a) to (f) when performing their duty to promote the success of the Company and the Group.

The Board continues to ensure that any business decisions consider the long-term impact on all key stakeholders. This includes when evaluating acquisition and growth opportunities. During the period there has been a strong focus on the continued integration of acquired businesses to ensure that the Group will function in the future in a focussed and consistent manner. This integration promotes employee development and allows supplier and customer relationships to be monitored at group level.

Environmental issues continue to be a major focus of the business and are a key consideration of the Board's strategy. The Board encourages sharing of best practices between group companies to ensure the business operates at the highest possible standard and endeavours to ensure that all stakeholders are treated fairly.

The Board meets regularly to oversee implementation of the Group's strategy. This includes, but is not limited to, reviewing performance against budget forecasts, authorising and monitoring capital investment, assessing compliance with environmental regulations and maintaining a high level of active training to promote a safe working environment, all of which contribute directly to the long term success of the Group.

The Group is committed to supporting the local community and charitable activities within the area and contributes a percentage of net profits each year into a community fund to support various local community projects, charities and schools.

In addition, the Board considers the Group's employees, suppliers and customers to be integral to its continued success. The directors have reported on engagement with suppliers, customers and others within the Report of the Directors.

FUTURE DEVELOPMENTS AND RESEARCH AND DEVELOPMENT

The Melton Ross site sits close to a proposed CO2 route that encompasses power generation, steel and chemical operations around the Humber Estuary. The company is working with a number of partners and technologies which include innovative carbon capture and on-site hydrogen production to develop zero carbon lime production capabilities.

ON BEHALF OF THE BOARD:

M Kiefer - Director

24 September 2025

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

PRINCIPAL ACTIVITIES

The principal activity of the Company is that of an investment holding company. The principal activities of the trading Group in the period under review were those of quarrying, the manufacture, sale and distribution of lime products and other related chemicals, landfill operations, energy generation, maintenance of biogas, biosolids and other plants, the sale and maintenance of electronic weighing equipment and remote monitoring website technology.

DIVIDENDS

Interim dividends totalling £2,000,000 have been voted and paid during the period. The directors do not recommend the payment of a final dividend in respect of the period ended 31 December 2024.

The total distribution of dividends for the period ended 31 December 2024 will be £2,000,000.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

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

C Fincher

P Hogan

P T Fitzgerald

Other changes in directors holding office are as follows:

M Kiefer - appointed 13 August 2024

A Henken - resigned 26 January 2024

ENGAGEMENT WITH EMPLOYEES

The Board makes use of the senior management teams across the Group to ensure that all employees are kept up to date with key and relevant information which may concern them as employees. Each group division consults its employees as necessary when making material decisions which may affect them. Employees are encouraged to have an interest in the performance of the Group.

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

The Board continuously considers key stakeholder relationships and develops them through the senior management team across the Group. The Board considers relationships with customers and suppliers on a global scale and maintains strong relationships at a local and group level. Organic and acquisitive group actions take into consideration these business relationships.

STREAMLINED ENERGY AND CARBON REPORTING

The Company consumes less than 40,000 kWh of energy each year, therefore energy efficiency disclosures under the Streamlined Energy and Carbon Reporting regulation ("SECR") are not required. Energy efficiency disclosures required under SECR regulations for large companies within the Group are disclosed in the respective individual financial statements of subsidiary undertakings, where required.

DISCLOSURE IN THE STRATEGIC REPORT

Disclosures required relating to financial instruments, future developments and research and development activities are set out in the Strategic Report in accordance with s.414C(11) of the Companies Act 2006.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the Group and of the profit or loss of the Group 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;

-	state whether applicable 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 and the Group's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group 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 the Group 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 Group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the Group's auditors are aware of that information.

AUDITORS

The auditors, Smailes Goldie, will be proposed for re-appointment in accordance with section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:

M Kiefer - Director

24 September 2025

Opinion

We have audited the financial statements of Mississippi Lime UK Limited (the 'Parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 Group's and of the Parent Company affairs as at 31 December 2024 and of the Group's 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 Group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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 seven, 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Company and the Group, including the Companies Act 2006, anti-bribery, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory correspondence.

We assessed the susceptibility of the Company and the Group's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- reading the minutes of meetings of those charged with governance where available;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with relevant regulators and legal advisors.

Due to 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. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

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 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.

Jamie Chilcott ACA (Senior Statutory Auditor)

for and on behalf of Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

25 September 2025

TURNOVER

4

76,874,263

107,918,624

Cost of sales

(57,517,320

)

(82,351,047

)

GROSS PROFIT

19,356,943

25,567,577

Administrative expenses

(18,165,771

)

(21,979,692

)

1,191,172

3,587,885

Other operating income

920,546

118,771

GROUP OPERATING PROFIT

2,111,718

3,706,656

Share of operating profit in

Joint ventures

163,528

191,012

Interest receivable and similar income

224,164

177,973

2,499,410

4,075,641

Interest payable and similar expenses

Group

6

(328,485

)

(457,755

)

Joint ventures

(78,888

)

(114,345

)

Other finance costs

24

(142,978

)

(144,216

)

PROFIT BEFORE TAXATION

7

1,949,059

3,359,325

Tax on profit

8

(1,794,086

)

(2,748,149

)

PROFIT FOR THE FINANCIAL YEAR

154,973

611,176

OTHER COMPREHENSIVE INCOME

Actuarial movements

(503,533

)

527,086

Income tax relating to other comprehensive income

125,883

(68,439

)

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

(377,650

)

458,647

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(222,677

)

1,069,823

Profit attributable to:

Owners of the parent

154,973

611,176

Total comprehensive income attributable to:

Owners of the parent

(222,677

)

1,069,823

FIXED ASSETS

Intangible assets

11

37,206,528

41,877,191

Tangible assets

12

66,725,213

67,056,335

Investments

13

Interest in joint venture

Share of gross assets

1,922,202

2,073,665

Share of gross liabilities

(1,904,000

)

(2,073,665

)

18,202

-

Other investments

1,626,052

1,626,052

105,575,995

110,559,578

CURRENT ASSETS

Stocks

14

8,855,824

10,065,690

Debtors

15

20,440,478

21,074,800

Cash at bank and in hand

9,394,422

7,147,823

38,690,724

38,288,313

CREDITORS

Amounts falling due within one year

16

(13,402,827

)

(15,301,849

)

NET CURRENT ASSETS

25,287,897

22,986,464

TOTAL ASSETS LESS CURRENT LIABILITIES

130,863,892

133,546,042

CREDITORS

Amounts falling due after more than one year

17

(39,490

)

(122,978

)

PROVISIONS FOR LIABILITIES

20

(14,973,321

)

(15,383,133

)

PENSION LIABILITY

23

(3,315,714

)

(3,281,887

)

NET ASSETS

112,535,367

114,758,044

CAPITAL AND RESERVES

Called up share capital

21

100

100

Capital contribution reserve

22

115,768,973

115,768,973

Retained earnings

22

(3,233,706

)

(1,011,029

)

SHAREHOLDERS' FUNDS

112,535,367

114,758,044

The financial statements were approved by the Board of Directors and authorised for issue on 24 September 2025 and were signed on its behalf by:

M Kiefer - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

-

-

Investments

13

110,769,069

104,714,973

110,769,069

104,714,973

CURRENT ASSETS

Cash in hand

100

100

TOTAL ASSETS LESS CURRENT LIABILITIES

110,769,169

104,715,073

CAPITAL AND RESERVES

Called up share capital

21

100

100

Capital contribution reserve

22

110,769,069

104,714,973

SHAREHOLDERS' FUNDS

110,769,169

104,715,073

Company's profit for the financial year

2,000,000

2,080,852

The financial statements were approved by the Board of Directors and authorised for issue on 24 September 2025 and were signed on its behalf by:

M Kiefer - Director

Called up

Capital

share

Retained

contribution

Total

capital

earnings

reserve

equity

£

£

£

£

Changes in equity

Total comprehensive income

-

1,069,823

-

1,069,823

Issue of share capital

100

-

-

100

Dividends

-

(2,080,852

)

-

(2,080,852

)

Capital contribution

-

-

115,768,973

115,768,973

Total transactions with owners, recognised directly in equity

100

(2,080,852

)

115,768,973

113,688,221

Balance at 31 December 2023

100

(1,011,029

)

115,768,973

114,758,044

Changes in equity

Total comprehensive income

-

(222,677

)

-

(222,677

)

Dividends

-

(2,000,000

)

-

(2,000,000

)

Total transactions with owners, recognised directly in equity

-

(2,000,000

)

-

(2,000,000

)

Balance at 31 December 2024

100

(3,233,706

)

115,768,973

112,535,367

Called up

Capital

share

Retained

contribution

Total

capital

earnings

reserve

equity

£

£

£

£

Changes in equity

Total comprehensive income

-

2,080,852

-

2,080,852

Issue of share capital

100

-

-

100

Dividends

-

(2,080,852

)

-

(2,080,852

)

Capital contribution

-

-

104,714,973

104,714,973

Total transactions with owners, recognised directly in equity

100

(2,080,852

)

104,714,973

102,634,221

Balance at 31 December 2023

100

-

104,714,973

104,715,073

Changes in equity

Total comprehensive income

-

2,000,000

-

2,000,000

Dividends

-

(2,000,000

)

-

(2,000,000

)

Capital contribution

-

-

6,054,096

6,054,096

Total transactions with owners, recognised directly in equity

-

(2,000,000

)

6,054,096

4,054,096

Balance at 31 December 2024

100

-

110,769,069

110,769,169

Cash flows from operating activities

Cash generated from operations

1

15,790,517

15,957,863

Interest paid

(34,263

)

(55,048

)

Tax paid

(1,784,002

)

(1,945,307

)

Net cash from operating activities

13,972,252

13,957,508

Cash flows from investing activities

Purchase of intangible fixed assets

(161,551

)

-

Purchase of tangible fixed assets

(9,925,099

)

(12,306,561

)

Sale of tangible fixed assets

238,749

56,823

Acquisition of subsidiary undertakings

-

(104,714,973

)

Cash acquired with subsidiary

-

2,598,281

Receipts from redemption of loan notes

99,950

125,050

Interest received

224,164

177,973

Net cash from investing activities

(9,523,787

)

(114,063,407

)

Cash flows from financing activities

Repayment of bank loans

-

(6,051,016

)

Repayment of hire purchase contracts

(201,866

)

(383,483

)

Share issue

-

100

Capital contributions from parent

-

115,768,973

Equity dividends paid

(2,000,000

)

(2,080,852

)

Net cash from financing activities

(2,201,866

)

107,253,722

Increase in cash and cash equivalents

2,246,599

7,147,823

Cash and cash equivalents at beginning of year

2

7,147,823

-

Cash and cash equivalents at end of year

2

9,394,422

7,147,823

1.	RECONCILIATION OF OPERATING PROFIT TO CASH GENERATED FROM OPERATIONS

Period

27.7.22

Year ended

to

31.12.24

31.12.23

£

£

Operating profit

2,111,718

3,706,656

Depreciation charges

8,935,313

10,621,335

Profit on disposal of fixed assets

(170,307

)

(40,382

)

Amortisation of goodwill

4,832,214

6,444,952

Pension deficit contributions

(612,684

)

(810,093

)

Research and development tax credit

(463,714

)

(115,000

)

Movement in environmental provisions

(25,171

)

2,771

14,607,369

19,810,239

Decrease/(increase) in stocks

1,209,866

(3,547,380

)

Decrease in trade and other debtors

1,730,618

1,211,024

Decrease in trade and other creditors

(1,757,336

)

(1,516,020

)

Cash generated from operations

15,790,517

15,957,863

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

9,394,422

7,147,823

Period ended 31 December 2023

31.12.23

27.7.22

£

£

Cash and cash equivalents

7,147,823

-

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.24

Cash flow

At 31.12.24

£

£

£

Net cash

Cash at bank and in hand

7,147,823

2,246,599

9,394,422

7,147,823

2,246,599

9,394,422

Debt

Finance leases

(296,049

)

201,866

(94,183

)

(296,049

)

201,866

(94,183

)

Total

6,851,774

2,448,465

9,300,239