REGISTERED NUMBER: 00442955 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

CLUBB SAND AND GRAVEL LTD

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

DIRECTORS:

R M P P Reef

L S Dale

REGISTERED OFFICE:

C5 Premier Business Centre,

Newgate Lane

Fareham

Hampshire

PO14 1TY

REGISTERED NUMBER:

00442955 (England and Wales)

AUDITORS:

TC Group

Suite 4

2nd Floor

New Kings Court

Eastleigh

SO53 3LG

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

The principal activity of the company is the washing and processing of marine dredged Ballast into various grades of aggregate, this material is sold onto the open market and used in the company's two ready mixed concrete plants, and its bagging plant.

REVIEW OF BUSINESS

2024 was another year of restructuring and replacement to ensure we have a highly functioning team in place. Two key new positions were created which were a Technical Supervisor, and a General Manager. Steve Large has been recruited to the General Manager position and now completes the senior leadership team.

2024 and 2025 have seen a further increased focus on integrating the Clubb companies into the Agar group, and exploring further synergies that can be made across the group. With the exit of the Remix Dry Mortars Ltd's Managing Director, the Senior Leadership team of the Clubb businesses, led by Larry Dale as Managing Director, now heads up all three trading business within the group. This has cascaded down with management of the Transport, Compliance and Operations functions all now being managed as group functions. This is in addition to Finance which became a group managed function in 2023.

The market throughout 2024 Continued to be challenging and overall construction activity fell back 3% on a poor 2023, most of the decline came at the end of Q2 after what was a reasonable start, overall Sand and Gravel sales in the UK were back circa 7% on 2023. The main driver of the downturn was a significant drop in Housing starts which were 11% behind 2023.

The directors believe that the underlying acute housing shortage, and Government pledges to boost Housebuilding will drive growth in the future within the sectors in which the company trades, and opportunities for good trading partnerships already developed will continue.

PRINCIPAL RISKS AND UNCERTAINTIES

Any business faces several risks, and these are reviewed thoroughly and regularly by the directors. These reviews consider only the principal risks and uncertainties that the company faces:

- Health, safety and wellbeing

- Market volatility

- Escalating energy and environmental costs

- Escalating prices and shortages of transport

- Escalating prices all materials and goods

- Retention of key staff

- Sustainability target areas costs

The Directors are comfortable with managing these risks, and throughout 2024 many new initiatives, and KPIs have been embedded into the business to recognise and counter them.

FINANCIAL KEY PERFORMANCE INDICATORS

The most important key performance indicators for the company are:

- Volume output

- Selling price

- Gross margin

- Debtor days

- Distribution costs

- Labour costs

These key performance indicators are monitored by both local management and the directors of the company and any key adjustments to operations are made as necessary.

ON BEHALF OF THE BOARD:

L S Dale - Director

30 September 2025

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

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2024.

FUTURE DEVELOPMENTS

The directors continue to offer a quality service to their customers, building on their existing services.

DIRECTORS

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

R M P P Reef

L S Dale

FINANCIAL INSTRUMENTS

The company has various financial instruments such as trade debtors which arise directly from operations. The company does not enter into derivative transactions. The main financial risks arising from the company's activities are credit risk. The associated risk is monitored by the board of directors and are mitigated to an acceptable level. Other associated risks are exposure to foreign exchange movements and interest rate changes, which are deemed to be low risk due to low level of trade in currencies other than UK Sterling and there being no debt leveraged in the business.

CHARITY DONATIONS AND EXPENDITURE

During the year donations of £1,000 (2023: £2,730) were made to UK charities.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, TC Group, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

R M P P Reef - Director

30 September 2025

Opinion

We have audited the financial statements of Clubb Sand and Gravel Ltd (the 'company') for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

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

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:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant frameworks which are directly relevant so specific assertions in the financial statements are those that relate to the reporting framework (UK GAAP and the Companies Act 2006) and the relevant tax compliance regulations in the UK.

We understood how the company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through review of board minutes and discussions with those charged with governance.

We assess the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by discussion with management from various parts of the business to understand where they considered there was a susceptibility to fraud. We considered the procedures and controls that the

company has established to prevent and detect fraud, and how these are monitored by management, and also any enhanced risk factors such as performance targets.

Based on our understanding, we designed our audit procedures to identify any non-compliance with laws and regulations identified in the paragraphs above.

We also performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

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.

Richard Gillespie FCCA (Senior Statutory Auditor)

for and on behalf of TC Group

Suite 4

2nd Floor

New Kings Court

Eastleigh

SO53 3LG

30 September 2025

TURNOVER

4

11,609,414

10,581,360

Cost of sales

10,922,486

11,279,641

GROSS PROFIT/(LOSS)

686,928

(698,281

)

Administrative expenses

1,594,762

1,321,783

OPERATING LOSS

6

(907,834

)

(2,020,064

)

LOSS BEFORE TAXATION

(907,834

)

(2,020,064

)

Tax on loss

7

39,617

(232,402

)

LOSS FOR THE FINANCIAL YEAR

(947,451

)

(1,787,662

)

OTHER COMPREHENSIVE INCOME

Actuarial gains/(losses) pension scheme

-

1,000

Deferred tax movements

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

1,000

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(947,451

)

(1,786,662

)

FIXED ASSETS

Tangible assets

8

6,503,546

6,322,055

Investments

9

112,000

112,000

6,615,546

6,434,055

CURRENT ASSETS

Stocks

10

771,584

602,750

Debtors

11

9,346,214

9,588,155

Cash at bank and in hand

268,909

915,807

10,386,707

11,106,712

CREDITORS

Amounts falling due within one year

12

1,612,220

1,242,900

NET CURRENT ASSETS

8,774,487

9,863,812

TOTAL ASSETS LESS CURRENT LIABILITIES

15,390,033

16,297,867

CREDITORS

Amounts falling due after more than one year

13

(112,000

)

(112,000

)

PROVISIONS FOR LIABILITIES

15

(1,226,055

)

(1,186,438

)

NET ASSETS

14,051,978

14,999,429

CAPITAL AND RESERVES

Called up share capital

16

480,020

480,020

Revaluation reserve

17

2,145,582

2,145,582

Retained earnings

17

11,426,376

12,373,827

SHAREHOLDERS' FUNDS

14,051,978

14,999,429

The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2025 and were signed on its behalf by:

R M P P Reef - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2023

480,020

14,160,489

2,145,582

16,786,091

Changes in equity

Total comprehensive income

-

(1,786,662

)

-

(1,786,662

)

Balance at 31 December 2023

480,020

12,373,827

2,145,582

14,999,429

Changes in equity

Total comprehensive income

-

(947,451

)

-

(947,451

)

Balance at 31 December 2024

480,020

11,426,376

2,145,582

14,051,978

1.	STATUTORY INFORMATION

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

The principal activity of the company is the washing and processing of aggregates, production of ready mixed concrete.

The principal place of business is:

Church Hill

Wilmington

Dartford

DA2 7DZ.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

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

The Company's functional and presentational currency is GBP rounded to the nearest pound.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

•

the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A;

•

the requirement of paragraph 33.7.

This information is included in the consolidated financial statements of Agar Dry Mortar Holding Limited as at 31 December 2024 and these financial statements may be obtained from Companies House.

Going concern

The directors have considered the impact of current economic and environmental challenges in relation to their assessment of going concern and in their opinion have taken all reasonable steps to mitigate these factors. As at the point of authorising the accounts, and for the foreseeable future, the directors consider the going concern assumption to still be appropriate.

The directors acknowledge that given the currently rapidly changing business and social environment, there are likely to be significant unknown factors which may present themselves. Such factors are considered by the directors to represent a general inherent level of risk in relation to the going concern assumption albeit not quantifiable at this time.

The entity is in receipt of ongoing financial support of its group, to which the group has committed. The group has in place funding to finance short term working capital and growth. The directors consider the likelihood of failing to access sufficient funds to be remote and therefore consider the use of the going concern basis of preparation of the financial statements to be appropriate.

Exemption from preparation of consolidated financial statements

The financial statements contain information about Clubb Sand and Gravel Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Agar Dry Mortar Holding Limited, C5 Premier Business Centre, Newgate Lane, Fareham, Hampshire, PO14 1TY.

Turnover

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 on dispatch which is when all of the following conditions are considered to be 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.

Tangible fixed assets

Tangible fixed assets under the cost model are initially stated at cost and subsequently carried at 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.

The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

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.

Depreciation is provided on the following basis:

Plant and machinery

-

4% - 25% straight line

Motor vehicles

-

20% straight line

Freehold land was previously included in the financial statements at fair value using the revaluation method. On conversion to FRS 102, the directors took the option available to use the revalued amounts on conversion to FRS 102 as the deemed cost and use the cost model thereafter. Land is not depreciated.

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.

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

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost less accumulated impairment.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in, first out method. The carrying value of stock sold is recognised as an expense in the period in which the related revenue is recognised.

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 bank and other third parties, loan's to related parties and investments in ordinary shares.

Short term debtors and creditors are measured at the transaction price. Other financial instruments, including loans, 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.

Financial liabilities and equity are classified according to the substance of the financial instruments contractual obligations, rather than the financial instrument's legal form.

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Pension costs and other post-retirement benefits

Defined contribution pension plan

The company operates a defined contribution pension 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 the statement of comprehensive income 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.

Defined benefit pension plan

The company operates a defined benefit pension scheme and the assets are held separately from those of the company in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent term and currency to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date. The amounts charged to operating surplus are the current service costs and gains and losses on settlements and curtailments. They are included as part of staff costs. Past service costs are recognised immediately in the profit and loss account if the benefits have vested. If the benefits have not vested immediately, the costs are recognised over the period until vesting occurs. The expected return on assets and the interest cost are shown as a net finance amount of other finance costs or credits adjacent to interest. Actuarial gains and losses are recognised immediately within reserves.

Operating leases

Rentals paid under operating leases are charged to the statement of comprehensive income 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, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Revenue recognition

The key judgement made by management in respect of revenue is the point at which that revenue should be recognised. Management consider the underlying contract terms and conclude upon the most appropriate point of the cycle at which to recognise revenue based upon these terms and in particular where the risks and rewards of ownership transfers.

Operating lease commitments

The company has entered into commercial lease contracts and as a lessee it obtained use of the property, plant and equipment. The classification of such leases as operating or finance requires the company to determine, based on an evaluation of the terms and conditions of the arrangements, whether it retains the significant risks and rewards of ownership of the leased assets, and accordingly whether an asset and a corresponding liability should be recognised on the Balance Sheet.

Tangible fixed assets

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 asset and projected disposal values.

Defined Benefit Pension scheme asset and liability valuations:

The company operates a defined benefit pension scheme. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent term and currency to the liabilities. The actuarial valuations are obtained at least triennially and are updated at each balance sheet date.

4.

TURNOVER

All turnover in the year arose in the the United Kingdom and is attributable to the principal activity of the company.

5.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

1,463,792

1,280,735

Social security costs

140,845

125,449

Other pension costs

34,353

94,805

1,638,990

1,500,989

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

2024

2023

Office and Management

9

7

Production

26

23

35

30

2024

2023

£

£

Directors' remuneration

124,667

64,107

6.	OPERATING LOSS

2024

2023

£

£

Hire of plant and machinery

201,190

282,582

Depreciation - owned assets

360,650

347,767

(Profit)/loss on disposal of fixed assets

(52,747

)

(44,679

)

Audit-related assurance services

20,015

20,000

Foreign exchange differences

1,997

2,115

7.

TAXATION

Analysis of the tax charge/(credit)

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

2024

2023

£

£

Deferred tax

39,617

(232,402

)

Tax on loss

39,617

(232,402

)

UK corporation tax has been charged at 25% (2023 - 23.50%).

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

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

2024

2023

£

£

Loss before tax

(907,834

)

(2,020,064

)

Loss multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 23.500%)

(226,959

)

(474,715

)

Effects of:

Expenses not deductible for tax purposes

17,928

22,856

Capital allowances in excess of depreciation

(28,560

)

-

Depreciation in excess of capital allowances

-

63,821

Group relief

262,997

394,223

Deferred tax movement

39,617

(232,402

)

Other

(25,406

)

(6,185

)

Total tax charge/(credit)

39,617

(232,402

)

Tax effects relating to effects of other comprehensive income

There were no tax effects for the year ended 31 December 2024.

2023

Gross

Tax

Net

£

£

£

Actuarial gains/(losses) pension scheme

1,000

-

1,000

Deferred tax movements

1,000

-

1,000

8.	TANGIBLE FIXED ASSETS

Freehold

Plant and

Motor

land

machinery

vehicles

Totals

£

£

£

£

COST

At 1 January 2024

3,920,900

6,126,424

837,436

10,884,760

Additions

-

376,485

165,660

542,145

Disposals

-

(229,400

)

(191,103

)

(420,503

)

At 31 December 2024

3,920,900

6,273,509

811,993

11,006,402

DEPRECIATION

At 1 January 2024

-

3,819,747

742,958

4,562,705

Charge for year

-

320,628

40,022

360,650

Eliminated on disposal

-

(229,399

)

(191,100

)

(420,499

)

At 31 December 2024

-

3,910,976

591,880

4,502,856

NET BOOK VALUE

At 31 December 2024

3,920,900

2,362,533

220,113

6,503,546

At 31 December 2023

3,920,900

2,306,677

94,478

6,322,055

9.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 January 2024

and 31 December 2024

112,000

NET BOOK VALUE

At 31 December 2024

112,000

At 31 December 2023

112,000

The company's investments at the Balance Sheet date in the share capital of companies include the following:

Hye Oak Limited

Registered office: C5 Premier Business Centre, Newgate Lane, Fareham, Hampshire, PO14 1TY

Nature of business: Dormant company

%

Class of shares:

holding

Ordinary

100.00