REGISTERED NUMBER: 00766637 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 December 2024

for

Backer Heatrod Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

DIRECTORS:

S Ellam

U C Fredriksson

SECRETARY:

Southampton Row Secretaries Limited

REGISTERED OFFICE:

Unit 10 Top Deck

Smethurst Lane

Farnworth

Bolton

Lancashire

BL4 0AN

REGISTERED NUMBER:

00766637 (England and Wales)

AUDITORS:

S&W Audit

Statutory Auditor

Chartered Accountants

3rd Floor

56 Wellington Street

Leeds

West Yorkshire

LS1 2EE

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

Principal activity

Backer Heatrod Limited is a leading manufacturer of heating elements and process heating equipment.

REVIEW OF BUSINESS

Overheads and staffing levels were actively managed to ensure costs were kept at expected levels, whilst allowing capacity for growth in our key revenue streams.Backer Heatrod Ltd had revenue growth across all key revenue streams.

Backer Heatrod Ltd achieved 28.9% sales growth 2024 £9,916k (2023 £7,691k).

The companys focus remains on industrial markets and engineered solutions, predominantly for the UK market.

The directors are satisfied with the performance.

PRINCIPAL RISKS AND UNCERTAINTIES

The company's operations expose it to a variety of financial risks including the effects of changes in foreign currency exchange rates, interest rates on debt, credit risk and liquidity risk.

Ongoing supply chain and international pricing issues are actively monitored to ensure adequate stocking levels are met. Forward raw material prices are secured where possible to ensure the best price for our customers.

KEY FINANCIAL PERFORMANCE INDICATORS

Revenue by employee 2024 £130k (2023 £115k).

FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

- Credit risk

- Exchange rate risk

The company's credit risk is largely attributable to its trade receivables. This risk is managed by applying suitable credit limits to customers as recommended by external credit rating agencies. Customers are constantly monitored to limit exposure. The policy is to ensure adequate risk management of customers and prevent significant exposure.

Exchange risk is managed by constant review of the market exchange rates and mitigating the effects of adverse currency movements through the timing of buying and selling currencies.

ON BEHALF OF THE BOARD:

S Ellam - 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.

DIRECTORS

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

S Ellam

U C Fredriksson

Other changes in directors holding office are as follows:

H T Hansson ceased to be a director after 31 December 2024 but prior to the date of this report.

FINANCIAL RISK MANAGEMENT

o Credit risk

o Exchange rate risk

The companies credit risk is largely attributable to its trade receivables. This risk is managed by applying suitable credit limits to customers as recommended by external credit rating agencies. Customers are constantly monitored to limit exposure. The policy is to ensure adequate risk management of customers and prevent significant exposure.

Exchange risk is managed by constant review of the market exchange rates and mitigating the effects of adverse currency movements through the timing of buying and selling currencies..

MATTERS COVERED IN THE STRATEGIC REPORT

Disclosures with regards to principle activity, review of the business, future developments, principle risks and uncertainties and financial and other key performance indicatiors are included within the strategic report.

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, S&W Audit (a trading name of S&W Partners Audit Limited), will be proposed for re-appointment at the forthcoming Annual General Meeting in accordance with section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:

S Ellam - Director

30 September 2025

Opinion

We have audited the financial statements of Backer Heatrod Limited (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 profit for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the Report of the Directors 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 Report of the Directors and Financial Statements. Our opinion on the financial statements does not cover the other information and 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.

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

We obtained a general understanding of the Company's legal and regulatory framework through enquiry of management concerning their understanding of relevant laws and regulations, the entity's policies and procedures regarding compliance, and how they identify, evaluate and account for litigation claims. We also drew on our existing understanding of the Company's industry and regulation.

We understand that the Company complies with the framework through:

- Outsourcing accounts preparation and tax compliance to external experts.

- Subscribing to relevant updates from external experts, and making changes to internal procedures and controls as necessary.

- The Directors' close involvement in the day-to-day running of the business, meaning that any litigation or claims would come to their attention directly.

In the context of the audit, we considered those laws and regulations which determine the form and content of the financial statements, which are central to the Company's ability to conduct its business, and/or where there is a risk that failure to comply could result in material penalties. We identified the following laws and regulations as being of significance in the context of the Company:

- The Companies Act 2006 and FRS 102 1A in respect of the preparation and presentation of the financial statements.

- UK Taxation Law

- Specific industry standards

We performed the following specific procedures to gain evidence about compliance with the significant laws and regulations identified above:

- Made enquiries of management regarding compliance with laws and regulations and any known non-compliance in the year

- Reviewed legal expense accounts

- Obtaining written management representations regarding the adequacy of procedures in place.

The senior statutory auditor led a discussion with senior members of the engagement team regarding the susceptibility of the entity's financial statements to material misstatement, including how fraud might occur. The areas identified in this discussion were:

- Manipulation of the financial statements, especially revenue, via fraudulent manual journal entries.

- Incorrect recognition of revenue

The procedures we carried out to gain evidence in the above areas included:

- Testing of manual journal entries, selected based on specific risk assessments applied based on the client processes and controls surrounding manual journals; and

- Testing a sample of revenue transactions to underlying documentation, including ensuring revenue is recognised in the correct period and has occurred

Overall, the senior statutory auditor was satisfied that the engagement team collectively had the appropriate competence and capabilities to identify or recognise irregularities.

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.

Matthew Barton BA (Hons) FCA CTA (Senior Statutory Auditor)

for and on behalf of S&W Audit

Statutory Auditor

Chartered Accountants

3rd Floor

56 Wellington Street

Leeds

West Yorkshire

LS1 2EE

30 September 2025

TURNOVER

4

9,915,590

7,691,138

Cost of sales

5,969,714

4,697,314

GROSS PROFIT

3,945,876

2,993,824

Distribution costs

133,374

115,455

Administrative expenses

2,926,464

2,433,889

3,059,838

2,549,344

886,038

444,480

Other operating income

356,051

409,750

OPERATING PROFIT

7

1,242,089

854,230

Interest receivable and similar income

434

9,421

1,242,523

863,651

Interest payable and similar expenses

8

202,496

206,994

PROFIT BEFORE TAXATION

1,040,027

656,657

Tax on profit

9

-

(27,014

)

PROFIT FOR THE FINANCIAL YEAR

1,040,027

683,671

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,040,027

683,671

FIXED ASSETS

Intangible assets

10

921,551

1,072,046

Tangible assets

11

588,861

638,304

Investments

12

1,675,463

1,675,463

3,185,875

3,385,813

CURRENT ASSETS

Stocks

13

2,205,948

2,817,843

Debtors

14

3,831,845

2,001,746

Cash at bank and in hand

144,501

61,769

6,182,294

4,881,358

CREDITORS

Amounts falling due within one year

15

2,187,137

2,961,866

NET CURRENT ASSETS

3,995,157

1,919,492

TOTAL ASSETS LESS CURRENT LIABILITIES

7,181,032

5,305,305

CREDITORS

Amounts falling due after more than one year

16

(5,270,250

)

(4,444,050

)

PROVISIONS FOR LIABILITIES

19

(24,500

)

(15,000

)

NET ASSETS

1,886,282

846,255

CAPITAL AND RESERVES

Called up share capital

20

50,000

50,000

Retained earnings

21

1,836,282

796,255

SHAREHOLDERS' FUNDS

1,886,282

846,255

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:

S Ellam - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

50,000

112,584

162,584

Changes in equity

Total comprehensive income

-

683,671

683,671

Balance at 31 December 2023

50,000

796,255

846,255

Changes in equity

Total comprehensive income

-

1,040,027

1,040,027

Balance at 31 December 2024

50,000

1,836,282

1,886,282

1.	STATUTORY INFORMATION

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

2.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Financial Reporting Standard 102 - reduced disclosure exemptions

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

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 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 requirements of paragraphs 26.18(b), 26.19 to 26.21 and 26.23;

•

the requirement of paragraph 33.7;

•

the requirements of paragraph 24(b) of IFRS 6.

This information is included in the consolidated statements of NIBE INdustrier AB as at 31 December 2023 and these financial statements may be obtained from Nibe Industrier AB, Hannabadsvagen 5, Markaryd, Sweden (visitors address), Box 14, SE 285 21, Markaryd, Sweden (postal address).

Exemption from preparing consolidated financial statements

The financial statements contain information about Backer Heatrod Limited as an individual company and so not contain consolidated financial information as the parent of a group. The company is exempt under Section 400/401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertakings are included by full consolidation in the consolidated financial statements of its parent, Nibe Industrier AB, whose registered office is: Hannabadsvägen 5, Markaryd, Sweden (visitors address), Box 14, SE 285 21, Markaryd, Sweden (postal address).

Going concern

The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment. Based on these assessments, and the current resources available, the Directors have concluded that they can continue to adopt the going concern basis in preparing the annual report and accounts

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

The whole of the turnover is attributable to the Company's principle activity being sales of electric heating components and finished products.

Revenue is recognised to the extent that ist is probable athat the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods:

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

- the company has transferred the significant risks and rewards of ownership to the buyer,

- the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold,

- the amount of revenue can be measured reliably,

- it is probable that the Company will receive the consideration due under the transaction; and

- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Goodwill

Goodwill represents the excess of the cost of a business combination over the total acquisition date fair value of the identifiable assets, liabilities and contingent liabilities acquired.

Cost comprises the fair value of assets given, liabilities assumed and equity instruments issued.

When a business combination agreement provides for an adjustment to the cost of the combination which is contingent on future events, the Company includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can measured reliably. However, if the potential adjustment is not recognised at the acquisition date but subsequently becomes probable and can be measured reliably, the additional consideration shall be treated as an adjustment to the cost of the combination. Changes in the estimated value of the contingent consideration arising on business combinations completed as a consequence result in a change in the carrying value of the related goodwill.

The estimated useful lives range as follows:

Goodwill - 10% straight line

Intangible assets

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

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the assets 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.

Intangible assets are considered to have a finite useful life of 7 years. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

-

1-10 years

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

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.

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 differences arising on translation are recognised in the profit and loss account.

Defined contribution pension plan

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

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 in a separate entity. Once the contributions have been paid the Company has not further payment obligations.

The contribution 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.

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.

Provisions are charged as an expense of the Statement of comprehensive income in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the Balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.

When payments are eventually made, they are charged to the provision carried in the Balance sheet.

Financial instruments

The Company 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.

Financial assets are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and the best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Debtors

Short term debtors are measured at the 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.

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice or not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from he date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Creditors

Short term creditors are measure 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.

Employee benefits

Short-term employee benefits and contributions to defined contribution plans are recognised as an

expense in the period in which they are incurred.

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the

balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

4.

TURNOVER

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

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

2024

2023

£

£

Sale of goods

9,915,590

7,691,138

9,915,590

7,691,138

An analysis of turnover by geographical market is given below:

2024

2023

£

£

United Kingdom

9,056,010

6,920,483

Europe

776,760

465,830

Rest of World

82,820

304,825

9,915,590

7,691,138

5.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

2,259,172

1,815,464

Social security costs

221,435

168,634

Other pension costs

121,136

79,375

2,601,743

2,063,473

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

2024

2023

76

67

6.	DIRECTORS' REMUNERATION

2024

2023

£

£

Directors' emoluments

155,364

119,486

Company contributions to defined contribution pension scheme

45,916

43,059

201,280

162,544

The highest paid director in the year received total remuneration of £201,280 (2023: £162,544)

7.	OPERATING PROFIT

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

2024

2023

£

£

Depreciation - owned assets

122,978

113,671

Profit on disposal of fixed assets

(10,000

)

-

Goodwill amortisation

145,274

62,682

Patents and licences amortisation

5,221

10,751

Auditors' remuneration

10,250

9,925

Foreign exchange differences

(39,729

)

(15,779

)

Other operating leases

-

260,656

8.

INTEREST PAYABLE AND SIMILAR EXPENSES

2024

2023

£

£

Bank loan interest

202,496

206,994

9.

TAXATION

Analysis of the tax credit

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

2024

2023

£

£

Current tax:

UK corporation tax

-

(27,014

)

Tax on profit

-

(27,014

)

Reconciliation of total tax credit included in profit and loss

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

2024

2023

£

£

Profit before tax

1,040,027

656,657

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

260,007

164,164

Effects of:

Expenses not deductible for tax purposes

262

2,920

Depreciation in excess of capital allowances

37,624

8,957

Adjustments to tax charge in respect of previous periods

-

(21,107

)

undertakings

Change in tax rates

-

(11,598

)

Allowed expenses

-

(2,216

)

Movement in unrecognised deferred tax asset

(297,893

)

(168,134

)

Total tax credit

-

(27,014

)

Factors that may affect future tax charges

The Company has unused tax losses of approximately £4,819,512 (2023:£5,998,778) available to carry forward against future trading profits.

10.	INTANGIBLE FIXED ASSETS

Patents

and

Goodwill

licences

Totals

£

£

£

COST

At 1 January 2024

and 31 December 2024

1,437,047

49,063

1,486,110

AMORTISATION

At 1 January 2024

374,913

39,151

414,064

Amortisation for year

145,274

5,221

150,495

At 31 December 2024

520,187

44,372

564,559

NET BOOK VALUE

At 31 December 2024

916,860

4,691

921,551

At 31 December 2023

1,062,134

9,912

1,072,046

11.	TANGIBLE FIXED ASSETS

Plant and

machinery

£

COST

At 1 January 2024

1,936,809

Additions

73,535

Disposals

(398,902

)

At 31 December 2024

1,611,442

DEPRECIATION

At 1 January 2024

1,298,505

Charge for year

122,978

Eliminated on disposal

(398,902

)

At 31 December 2024

1,022,581

NET BOOK VALUE

At 31 December 2024

588,861

At 31 December 2023

638,304

12.	FIXED ASSET INVESTMENTS

Shares in

group

undertaking

£

COST

At 1 January 2024

and 31 December 2024

1,675,463

NET BOOK VALUE

At 31 December 2024

1,675,463

At 31 December 2023

1,675,463