REGISTERED NUMBER: 02663209 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

FOR

EUROTEK FOUNDRY PRODUCTS LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Notes to the Financial Statements

13

DIRECTORS:

D C C Crystal

R A Higgins

R Catchpole

J Crystal-Black

REGISTERED OFFICE:

c/o Eurotek Foundry Products Limited

Wistons Lane

Elland

West Yorkshire

HX5 9DT

REGISTERED NUMBER:

02663209 (England and Wales)

AUDITORS:

Walter Dawson & Son

Chartered Accountants

First Floor Offices, Unit A4

Old Power Way

Lowfields Business Park

Elland

HX5 9DE

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

REVIEW OF BUSINESS

The main business activity remains unchanged and continues to be the production and supply of foundry binder systems and ancillary products. This accounts for over 95 percent of the business.

The general softening in the UK and EU markets from Q2 onwards led to a reduction in demand for Eurotek products, which fell by just over 12% in 2024. This overall economic slowdown, together with high energy costs, created particularly difficult conditions for the foundry industry and led to a higher level of competitive intensity bringing both cost and price pressure. Export sales, which accounted for around 57% of sales in 2024, fell in line with the market, although there were a several bright spots as sales into the Indian market remained healthy and demand in Ukraine continued on its steady pathway to recovery, this growth being linked to more reliable energy availability and to foundries re-establishing themselves away from the war zones.

Turnover in 2024 decreased by 17% to £10.9m compared to prior year, partly driven by reduced pricing on lower raw materials but mainly by the lower market demand. Operating Profit fell by 55% to £0.55m, arising from a combination of reduced demand and higher overheads from increased COMAH costs together with a a full year of management charges and loan interest repayments (established after the company was acquired in May 2023).

Safety is fundamental to all activities of Eurotek and we remain committed to the well-being of our employees, our neighbours and the environment. In 2025 there were zero lost time injuries on site, which is always our target. In line with our aim to consistently achieve zero injuries to our workforce, we continue to reinforce safety awareness throughout the organisation together with the implementation of behavioural, procedural and risk reduction improvements wherever possible.

PRINCIPAL RISKS AND UNCERTAINTIES

Escalation of the Russia - Ukraine war is a constant threat to market stability, although there is cautious optimism that the recovery in the Ukraine will continue through 2025. There are no signs that any recovery from the market slowdown which started in Q2 2024 will take place in 2025. Political events and trade wars could destabilise the global business and significantly alter the supply-demand dynamics.

FUTURE

The business in 2024 is built upon a strong platform of quality products and excellent service which has provided a solid foundation to support future growth, which will come from geographic expansion into new targeted territories, product range diversification and new product innovations.

The Joint Venture with a key partner in India began trading in 2024 and will commence manufacturing in 2025. This is expected to deliver strong growth in the coming years.

Until the economy recovers and stronger demand returns, 2025 is expected to be a year of consolidation in the home markets of UK and EU. In parallel, growth in new territories and growth with new products are both expected to boost the business to higher levels.

RESEARCH AND DEVELOPMENT

Eurotek has a continued focus on sustainability and the environment throughout the manufacturing process, starting from raw materials, through production to the final products. Raw materials are constantly assessed and replaced with more environmentally friendly alternatives, resulting in new products with an improved sustainability profile. In 2024 Eurotek rolled out a new technology which significantly improves the working conditions in many foundries by reducing odours and removing hazardous airborne particles.

ON BEHALF OF THE BOARD:

D C C Crystal - Director

29 September 2025

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

DIVIDENDS

Particulars of recommended dividends are detailed in the notes to the accounts.

DIRECTORS

R Catchpole has held office during the whole of the period from 1 January 2024 to the date of this report.

Other changes in directors holding office are as follows:

J Crystal-Black - appointed 24 April 2024

QUALIFYING INDEMNITY PROVISION

The company has made qualifying third party indemnity provisions for the benefit of its directors which were made during the year and remain in force at the date of this report.

DISCLOSURE IN THE STRATEGIC REPORT

Certain matters required by regulation to be dealt with in the annual report have been dealt with in the strategic report rather than in the directors report. These include the review of business and the principal risks and uncertainties.

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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Walter Dawson & Son, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

D C C Crystal - Director

29 September 2025

Opinion

We have audited the financial statements of Eurotek Foundry Products 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 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.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design

procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of

irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities,

including fraud is detailed below: Our approach to identifying and assessing the risk of material

misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations,

was as follows:

- the engagement partner ensured that the engagement team collectively had the appropriate

competence, capabilities and skills to identify or recognise non-compliance with applicable laws and

regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and

other management, and form our commercial knowledge and experience of the sector;

- we focussed on specific laws and regulations which considered may have a direct material effect on the

financial statements or the operations of the company, including the Companies Act 2006, taxation

legislation, data protection, anti-bribery, employment, environmental and health and safety legislation;

- we assessed the extent of compliance with the laws and regulations identified above through making

enquiries of management and inspecting any legal correspondence; and

- identified laws and regulations were communicated within the audit team regularly and the team

remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including

obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was a susceptibility to fraud, their

knowledge of actual, suspected and alleged fraud; 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 overide 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 and where

indicative of potential bias; and

- investigated the rationale behind any 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;

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

- reviewing any correspondence with HMRC, relevant regulators including the Health and Safety Executive,

and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and

regulations are from financial transactions, the less likely it is that we would become aware 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.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as

they may involve deliberate concealment or collusion.

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.

John Richard Hall (Senior Statutory Auditor)

for and on behalf of Walter Dawson & Son

Chartered Accountants

First Floor Offices, Unit A4

Old Power Way

Lowfields Business Park

Elland

HX5 9DE

29 September 2025

TURNOVER

3

10,904,232

13,184,595

Cost of sales

7,350,723

9,276,720

GROSS PROFIT

3,553,509

3,907,875

Distribution costs

677,129

623,275

Administrative expenses

2,306,759

2,005,820

2,983,888

2,629,095

OPERATING PROFIT

5

569,621

1,278,780

Interest receivable and similar income

6

648

2,411

PROFIT BEFORE TAXATION

570,269

1,281,191

Tax on profit

7

92,577

260,852

PROFIT FOR THE FINANCIAL YEAR

477,692

1,020,339

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

477,692

1,020,339

FIXED ASSETS

Tangible assets

8

102,678

124,227

Investments

9

667,084

667,084

769,762

791,311

CURRENT ASSETS

Stocks

10

835,904

813,080

Debtors

11

6,020,981

6,134,422

Cash at bank and in hand

362,071

666,182

7,218,956

7,613,684

CREDITORS

Amounts falling due within one year

12

2,031,252

2,927,339

NET CURRENT ASSETS

5,187,704

4,686,345

TOTAL ASSETS LESS CURRENT LIABILITIES

5,957,466

5,477,656

PROVISIONS FOR LIABILITIES

15

10,598

8,480

NET ASSETS

5,946,868

5,469,176

CAPITAL AND RESERVES

Called up share capital

16

1,000

1,000

Share premium

39,851

39,851

Capital redemption reserve

149

149

Profit and loss account

5,905,868

5,428,176

SHAREHOLDERS' FUNDS

5,946,868

5,469,176

The financial statements were approved by the Board of Directors and authorised for issue on 29 September 2025 and were signed on its behalf by:

D C C Crystal - Director

Called up

Profit

Capital

share

and loss

Share

redemption

Total

capital

account

premium

reserve

equity

£

£

£

£

£

Balance at 1 January 2023

1,000

4,407,837

39,851

149

4,448,837

Changes in equity

Profit for the year

-

1,020,339

-

-

1,020,339

Total comprehensive income

-

1,020,339

-

-

1,020,339

Balance at 31 December 2023

1,000

5,428,176

39,851

149

5,469,176

Changes in equity

Profit for the year

-

477,692

-

-

477,692

Total comprehensive income

-

477,692

-

-

477,692

Balance at 31 December 2024

1,000

5,905,868

39,851

149

5,946,868

1.	STATUTORY INFORMATION

Eurotek Foundry Products 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.

The presentation currency of the financial statements is the Pound Sterling (£).

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.

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemption 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.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Turnover

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

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

-

20% on reducing balance

Motor vehicles

-

25% on reducing balance

Office equipment

-

20% on reducing balance

Stocks

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

Financial instruments

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.

Research and development

Expenditure on research is written off in the year in which it is incurred.

Development expenditure incurred is capitalised as an intangible asset only when all of he following criteria are met:

- It is technically feasible to complete the intangible asset so that it will be available for use or sale;

- There is the intention to complete the intangible asset and use or sell it;

- There is the ability to use or sell the intangible asset;

- The use or sale of the intangible asset will generate probable future economic benefits;

- There are adequate technical, financial and other resources available to complete the development and to use or sell the intangible asset; and

- The expenditure attributable to the intangible asset during its development can be measured reliably.

Expenditure that does not meet the above criteria is expensed as incurred.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

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

Pension costs and other post-retirement benefits

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.

Income recognition

Income is recognised when goods have been delivered to customers such that the risks and rewards of ownership have transferred to them.

3.

TURNOVER

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

An analysis of turnover by geographical market is given below:

2024

2023

£

£

United Kingdom

4,691,817

5,299,313

Europe

6,212,415

7,885,282

10,904,232

13,184,595

4.	EMPLOYEES AND DIRECTORS

2024

2023

£

£

Wages and salaries

1,088,536

965,160

Social security costs

97,049

87,386

Other pension costs

29,685

41,886

1,215,270

1,094,432

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

2024

2023

Production staff

8

8

Administrative and sales staff

10

10

18

18

2024

2023

£

£

Directors' remuneration

282,873

205,630

Directors' pension contributions to money purchase schemes

8,857

13,227

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

Information regarding the highest paid director is as follows:

2024

2023

£

£

Emoluments etc

112,050

111,800

Pension contributions to money purchase schemes

4,482

4,473

5.	OPERATING PROFIT

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

2024

2023

£

£

Hire of plant and machinery

17,605

19,223

Other operating leases

127,462

147,413

Depreciation - owned assets

28,248

34,455

(Profit)/loss on disposal of fixed assets

(4,897

)

5,487

Auditors' remuneration

13,860

8,400

Loss/(gain) on foreign exchange

28,437

33,685

6.

INTEREST RECEIVABLE AND SIMILAR INCOME

2024

2023

£

£

Deposit account interest

648

229

Other interest received

-

2,182

648

2,411

7.

TAXATION

Analysis of the tax charge

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

2024

2023

£

£

Current tax:

UK corporation tax

90,459

268,441

Previous year adjustments

-

(3,304

)

Total current tax

90,459

265,137

Deferred tax

2,118

(4,285

)

Tax on profit

92,577

260,852

Reconciliation of total tax charge 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

570,269

1,281,191

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

142,567

320,298

Effects of:

Expenses not deductible for tax purposes

2,428

7,347

Income not taxable for tax purposes

-

(546

)

Depreciation in excess of capital allowances

2,236

1,354

Adjustments to tax charge in respect of previous periods

(35

)

(3,304

)

Group relief

(54,619

)

(47,412

)

Change in corporation tax rate to 25%

-

(16,885

)

Total tax charge

92,577

260,852

8.	TANGIBLE FIXED ASSETS

Plant and

Motor

Office

machinery

vehicles

equipment

Totals

£

£

£

£

COST

At 1 January 2024

384,485

104,768

112,836

602,089

Additions

-

-

16,665

16,665

Disposals

-

(25,926

)

(4,229

)

(30,155

)

At 31 December 2024

384,485

78,842

125,272

588,599

DEPRECIATION

At 1 January 2024

329,797

64,949

83,116

477,862

Charge for year

11,567

9,016

7,665

28,248

Eliminated on disposal

-

(17,723

)

(2,466

)

(20,189

)

At 31 December 2024

341,364

56,242

88,315

485,921

NET BOOK VALUE

At 31 December 2024

43,121

22,600

36,957

102,678

At 31 December 2023

54,688

39,819

29,720

124,227

9.	FIXED ASSET INVESTMENTS

Interest

in other

participating

interests

£

COST

At 1 January 2024

and 31 December 2024

667,084

NET BOOK VALUE

At 31 December 2024

667,084

At 31 December 2023

667,084

The investment consists of a 100% shareholding in Eurotek Polska Sp.z.o.o. whose registered office is Ul. Skladowa 9, Starachowice, Swietokrzyskie, Poland, 27-200

10.

STOCKS

2024

2023

£

£

Raw materials

317,320

358,628

Finished goods

518,584

454,452

835,904

813,080