ACCOUNTS - Final Accounts

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

Registered number: 02918087

FEED FACTORS LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

FEED FACTORS LIMITED

COMPANY INFORMATION

Directors	Mr W S Heide
	Mr W E Krueger
	Mr J J Hopkinson


Company secretary	Mr J W Phelps


Registered number	02918087


Registered office	6th Floor
	2 London Wall Place
	London
	EC2Y 5AU


Trading Address	The Gallery
	Whittaker Avenue
	Richmond
	TW9 1EH



Independent auditors	MHA
	Chartered Accountants and Statutory Auditors
	6th Floor
	2 London Wall Place
	London
	EC2Y 5AU

FEED FACTORS LIMITED

CONTENTS

	Page
Strategic Report	1 - 3
Directors' Report	4 - 6
Independent Auditors' Report	7 - 10
Statement of Comprehensive Income	11
Balance Sheet	12
Statement of Changes in Equity	13
Notes to the Financial Statements	14 - 28

FEED FACTORS LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction

Feed Factors Limited is a wholly owned subsidiary of The Andersons, Inc. The company's principal activity is the trading, importing and distribution of agricultural commodities for human and animal consumption.

Business review

The Directors are pleased to present the annual report for the year ended 31 December 2024, highlighting the company’s performance across key financial indicators including turnover, gross profit, and net assets.
Despite the decline in turnover, the company’s gross profit margin showed a marked improvement. In 2024, gross profit stood at 8.3%, recovering significantly from the previous year’s margin of just 0.8%. This rebound is driven by operational efficiency, tighter cost controls, and a more profitable sales mix. This recovery in gross margin indicates a return to more sustainable profitability levels.
Net assets continued to strengthen over the three-year period. As of 31 December 2024, net assets totalled £51.2 million, up from £49.3 million in 2023 and £34.5 million in 2022. This upward trajectory reflects the company’s ability to retain earnings and maintain a solid financial position despite revenue pressures. The growth in net assets underscores the resilience of the company’s balance sheet and its capacity to support future investment and strategic initiatives.
Future Developments
The first two quarters of 2025 delivered strong sales margins, supported by healthy demand and effective pricing. However, the global market softened in the second half of the year, with falling prices and reduced sales volumes becoming a consistent trend.

Principal risks and uncertainties

Foreign exchange risk
The Company purchases stock generally in US dollars whilst sales are primarily in pounds sterling with some sales in Euros. It reduces its currency risk by entering into forward contracts on the foreign exchange market. The Company sources its products from numerous origins, and has spent many years nurturing and maintaining a network of high quality, reliable suppliers, who have remained loyal even in the times of poor harvests and political unrest.
Credit risk
The Company has protected itself against customer default and bad debts by entering into a comprehensive credit insurance policy.
Price risk
The Company manages price risk by ensuring, where possible, a buyer is found and a price agreed before committing to a purchase.
Liquidity and cashflow risk
Liquidity and cashflow risk are managed by ensuring there are adequate overdraft facilities in place before committing to a trade.

Page 1

FEED FACTORS LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Financial key performance indicators

The company is affected by the scale and profitability of individual contracts, hence turnover and profits may not
follow a steady pattern but vary substantially from year to year:
   31/12/204 31/12/2023 31/12/2022
Turnover £66.1m £88.2m £187.8m
Gross Profit (%) 8.3% 0.8% 9.1%
Net Assets £51.2m £49.3m £34.5m
For the above reason, using KPIs would vary on a year to year basis.

Directors' statement of compliance with duty to promote the success of the Company

The likely consequences of any decision in the long term
Feed Factors previous parent company Lansing trade group was acquired by The Andersons Inc, in January 2019. All local UK decisions are now reviewed to consider both the needs of the UK subsidiary and the requirements and expectations of a US Public company.
The interest of the company’s employees
The Directors believe that the employees serve an integral part in carrying out the strategic direction of the company. Our focus is to maintain a culture that supports and encourages a healthy lifestyle and provide a high quality affordable benefits package that is truly valued by our employees.
For more information on engagement see “Employee involvement” within the Directors’ Report on page 4.
The need to foster the company’s business relations with suppliers, customers and others
We believe in strong long-term partnerships working closely with suppliers and serving the needs of our buyers.

The impact of the company’s operations on the community and environment
Our business model is based on promoting organic farming throughout the world and therefore reducing the usage of chemicals in agricultural production. Our consumer clients abide by organic principles of animal welfare, where space and quality of life is of paramount importance.
We promote low impact farming, whilst supporting both economically and socially the small farm networks throughout the world. Organic certification synchronises with our fair-trade principles of paying a responsible and sustainable price level to farmers in order to benefit their families and the local economy.
The desirability of the company maintaining a reputation for high standards of business conduct
Feed Factors is one of the largest organic trading houses in Europe specialising in non-genetically modified, organics and identity preservation. The Company periodically reviews its Sustainability Statement, which details the principals that guide the company to maintain its reputation for high standards. The Board also reviews the Human Rights and Modern Slavery Statement to ensure that high standards are maintained within the business and within business relationships.

The business model is based on promoting organic farming throughout the world and therefore reducing the usage of chemicals in agricultural production. We are further guided by standards of the following organizations:
• Organic Food Federation (OFF)
• Grain and Feed Trade Association (GAFTA)
• The GAFTA trade assurance scheme (GTAS)
• Human Rights and Modern Slavery Policy
• Hazard Analysis and Critical Control Points (HACCP)
• Good Trade Practice (GTP)

Page 2

FEED FACTORS LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

The need to act fairly as between members of the company
The directors of the company make decisions based on all relevant information, making the best decision for the Company.

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

Mr J J Hopkinson

Director

Date: 30 September 2025

Page 3

FEED FACTORS LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The Directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

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

Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

In preparing these financial statements, the Directors are required to:

∙select suitable accounting policies for the Company's financial statements and then apply them consistently;

∙make judgments and accounting estimates that are reasonable and prudent;

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

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

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

Results and dividends

The profit for the year, after taxation, amounted to £2,959,770 (2023 - loss £490,279).

Directors

The Directors who served during the year were:

Mr W S Heide

Mr W E Krueger

Mr J J Hopkinson

Qualifying third party indemnity provisions

The Company has maintained throughout the year Directors' and Officers' liability insurance for the benefit of the Company, the Directors and its Officers.

Employee involvement

The Company keeps the employees informed of the performance of the Company, their relationships with clients
and the principal decisions taken by means of regular briefings, company circulars and other meetings. All employees have opportunities to develop and to progress according to their ability, irrespective of age, marital
status, sex, race and creed.

Page 4

FEED FACTORS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Greenhouse gas emissions, energy consumption and energy efficiency action

The Companies (Directors' Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018 requires Feed Factors Limited to disclose annual UK energy consumption and Greenhouse Gas (GHG) emissions from SECR regulated sources.

Reported energy and GHG emissions data is compliant with SECR requirements and has been calculated in accordance with the GHG Protocol and SECR guidelines. Energy and GHG emissions are reported from buildings where operational control is held - this includes electricity, heat, water and recycling.

The table below details the regulated SECR energy and GHG emission sources for the current reporting period 1 January 2024 to 31 December 2024.

The total energy comsumption for the year 2024 amounted to 31,275 kWh (2023: 35,515 kWh).

Energy use has been calculated by converting reported carbon emissions into kilowatt hours using the UK Government (BEIS/DEFRA) 2022–2023 UK electricity grid average conversion factor kgCO2e per kWh. This approach is consistent with SECR reporting requirements and allows for comparability with prior year figures.

The company remains committed to reducing its environmental impact and supporting the transition to a low-carbon economy. In 2024, our total reported greenhouse gas emissions were 38.88 tCO2e, a significant reduction from 91.40 tCO2e in 2023. This decrease reflects both lower levels of business travel and our ongoing efforts to manage energy use efficiently.

Business travel continues to be the largest contributor to our carbon footprint; however, flight-related emissions were materially lower in the current year compared to 2023. We have continued to encourage the use of virtual meetings as an alternative to travel wherever practical. Staff commuting remains modest, supported by our hybrid working policy and participation in the cycle-to-work scheme.

Office operations remain relatively low impact, as our energy consumption is limited to administrative purposes. Electricity usage in 2024 accounted for 6.48 tCO2e, down from 7.50 tCO2e in 2023, demonstrating the ongoing efficiency of our office operations. No additional specific actions to improve energy efficiency were taken during the year. We continue to review opportunities to further reduce energy demand and emissions across all areas of activity.

Page 5

FEED FACTORS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Matters covered in the Strategic Report

The company has chosen to include several items in the strategic report which would otherwise be required to
be disclosed in the Directors' report. These include information on the exposure to price risk, credit risk, liquidity
risk and cash flow risk, details of any important events affecting the company since the end of the financial year
and an indication of likely future developments in the business of the company.

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:

∙so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

∙the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditor, MHA, previously traded through the legal entity MacIntyre Hudson LLP. In response to regulatory

changes, MacIntyre Hudson LLP ceased to hold an audit registration with the engagement transitioning to MHA

Audit Services LLP.

MHA, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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

Mr J J Hopkinson

Director

Date: 30 September 2025

Page 6

FEED FACTORS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FEED FACTORS LIMITED

Opinion

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

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 December 2024 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Page 7

FEED FACTORS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FEED FACTORS LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

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

∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

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

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

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

∙certain disclosures of Directors' remuneration specified by law are not made; or

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

Responsibilities of directors

As explained more fully in the Directors' Responsibilities Statement set out on page 4, the Directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Page 8

FEED FACTORS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FEED FACTORS LIMITED (CONTINUED)

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- Performing 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 review of accounting estimates for bias;

- Reviewing financial statement disclosures and testing supporting documentation to assess compliance with applicable laws and regulations

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Page 9

FEED FACTORS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FEED FACTORS LIMITED (CONTINUED)

Use of our report

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Stephen Poleykett BA (Hons) FCA (Senior Statutory Auditor)

for and on behalf of

MHA

Chartered Accountants and Statutory Auditors

London

United Kingdom

Date:

MHA is the trading name of MHA Audit Services LLP, a limited liability partnership in England and Wales (registered number OC455542) 30 September 2025

Page 10

FEED FACTORS LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2023
Note	£	£


Turnover	4	66,133,074	88,196,364
Cost of sales		(60,634,551)	(87,526,047)
Gross profit		5,498,523	670,317
Administrative expenses		(3,075,383)	(4,607,568)
Operating profit/(loss)	5	2,423,140	(3,937,251)
Interest receivable and similar income	9	1,686,421	4,268,293
Interest payable and similar expenses	10	(105,805)	(999,988)
Profit/(loss) before tax		4,003,756	(668,946)
Tax on profit/(loss)	11	(1,043,986)	178,667
Profit/(loss) for the financial year		2,959,770	(490,279)

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

The notes on pages 14 to 28 form part of these financial statements.

Page 11

FEED FACTORS LIMITED

REGISTERED NUMBER: 02918087

BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Tangible assets	12		193,523		87,369
Investments	13		15,334,227		15,334,227
			15,527,750		15,421,596
Current assets
Stocks	14	18,598,013		16,258,204
Debtors: amounts falling due within one year	15	7,207,337		28,568,157
Cash at bank and in hand	16	22,635,982		2,893,289
		48,441,332		47,719,650
Creditors: amounts falling due within one year	17	(11,714,629)		(13,846,563)
Net current assets			36,726,703		33,873,087
Total assets less current liabilities			52,254,453		49,294,683

Net assets			52,254,453		49,294,683

Capital and reserves
Called up share capital	19	372	372
Share premium account	20	17,859,042	17,859,042
Profit and loss account	20	34,395,039	31,435,269
		52,254,453	49,294,683

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

Mr J J Hopkinson

Director

Date: 30 September 2025

The notes on pages 14 to 28 form part of these financial statements.

Page 12


		FEED FACTORS LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Share premium account	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2023	372	2,524,902	31,925,548	34,450,822
Comprehensive income for the year
Loss for the year	-	-	(490,279)	(490,279)
Total comprehensive income for the year	-	-	(490,279)	(490,279)
Contributions by and distributions to owners
Shares issued during the year	-	15,334,140	-	15,334,140
Total transactions with owners	-	15,334,140	-	15,334,140

At 1 January 2024	372	17,859,042	31,435,269	49,294,683
Comprehensive income for the year
Profit for the year	-	-	2,959,770	2,959,770
Total comprehensive income for the year	-	-	2,959,770	2,959,770
At 31 December 2024	372	17,859,042	34,395,039	52,254,453

The notes on pages 14 to 28 form part of these financial statements.

Page 13

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

Feed Factors Limited is a private company limited by shares incorporated in England and Wales in the United Kingdom, registration number 02918087. The address of its registered office is detailed in the company information section.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The financial statements have been prepared in the functional currency, pounds sterling, rounded to the nearest £1

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

The following principal accounting policies have been applied:

2.2

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 the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

∙the requirements of Section 7 Statement of Cash Flows;

∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);

∙the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47,
11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

∙the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27,12.29(a),
12.29(b) and 12.29A;

∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of The Andersons, Inc, as at 31 December 2023 and these financial statements may be obtained from the registered office in the state of Ohio, USA, whose registered office is 1947 Briarfield Blvd, Maumee, OH 43537, USA.

2.3

Excemption from preparing consolidated financial statements

The financial statements contain information about Feed Factors Ltd as an individual company and do not contain consolidated financial information as a parent of a group. The company is exempt under Section 401 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, The Andersons, Inc, a company registered in USA.

Page 14

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.4

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

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

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

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

2.5

Revenue

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 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.

2.6

Operating leases: the Company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 15

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.8

Finance costs

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

2.9

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

2.10

Pensions

Defined contribution pension plan

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

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

2.11

Current and deferred taxation

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

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

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

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

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

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

Page 16

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.12

Tangible fixed assets

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

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	-	33%
				Fixtures and fittings	-	20%

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

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

2.13

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

2.14

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.15

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.16

Cash and cash equivalents

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

Page 17

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.17

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.18

Provisions for liabilities

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

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

2.19

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Balance Sheet when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with 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.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for

Page 18

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.19

Financial instruments (continued)

objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Page 19

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

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

The preparation of financial statements in conformity with generally accepted accounting principles requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Although these estimates are based on management's best knowledge of the amount, event or actions, actual results may ultimately differ from those estimates.
The critical estimate in applying these policies is:
Fixed Assets
Management apply judgment on the estimated useful life of each class of fixed asset. At each balance sheet date fixed assets are assessed for impairment and written down where appropriate.
Stock
Stocks are valued at the lower of cost and net realisable value, after allowance for obsolete stock. The Directors are satisfied that the stock is valued on an appropriate basis.
Debtors
The Directors have considered the recoverability of trade debtors and are satisfied that the debtors are fairly stated.

Trading, importing and distribution of agricultural commodities	66,133,074	88,196,364
	66,133,074	88,196,364

					2024	2023
					£	£

United Kingdom	66,133,074	88,196,364
	66,133,074	88,196,364

All turnover arose within the United Kingdom.

Page 20

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

	Exchange differences	(172,568)	725,303
	Other operating lease rentals	202,807	207,101

Fees payable to the Company's auditors for the audit of the Company's financial statements	44,000	38,500
Fees payable to the Company's auditors and their associates in respect of:
Preparation of accounts of the Company	6,000	5,000
Taxation compliance services	5,750	4,000

Wages and salaries	1,141,546	877,592
Social security costs	143,843	116,153
Cost of defined contribution scheme	84,431	79,637
	1,369,820	1,073,382

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

	2024	2023
	No.	No.

Administration staff	10	10
Distribution staff	2	2

	12	12

Page 21

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

8.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	332,580	223,179
Company contributions to defined contribution pension schemes	19,800	19,650
	352,380	242,829

	During the year retirement benefits were accruing to 1 Directors (2023 - 1) in respect of defined contribution pension schemes.
	The highest paid Director received remuneration of £220,000 (2023 - £223,179).
	The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £19,800 (2023 - £19,650).

9.	Interest receivable
		2024	2023
		£	£

	Other interest receivable	1,686,421	4,268,293
		1,686,421	4,268,293

10.	Interest payable and similar expenses
		2024	2023
		£	£

	Bank interest payable	105,805	999,988
		105,805	999,988

Page 22

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Corporation tax
Current tax on profits for the year	787,385	-
Adjustments in respect of previous periods	39,059	(24,110)
	826,444	(24,110)

Total current tax	826,444	(24,110)

Deferred tax
Origination and reversal of timing differences	217,542	(154,557)
Total deferred tax	217,542	(154,557)


	Tax on profit/(loss)	1,043,986	(178,667)

Profit/(loss) on ordinary activities before tax

4,003,756

(668,946)

Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)	1,000,939	(157,202)
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	3,988	5,768
Adjustments to tax charge in respect of prior periods	39,059	(24,110)
Other	-	(3,123)
Total tax charge for the year	1,043,986	(178,667)

Page 23

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.Taxation (continued)

Factors that may affect future tax charges

The rate of corporation tax increased to 25% on 1 April 2023.
Feed Factors Limited is part of a group that operates in a number of jurisdictions. The effective tax rate for the financial year 2024 was 25% (2023: Nil).
For periods commencing on or after 1 January 2024, new tax legislation will apply to ensure the effective tax rate of the UK companies within the group will be at least 15%, subject to various complex calculations. This is in line with the minimum taxation rules announced by the G7 and progressed by the OECD Inclusive Framework on Base Erosion and Profit Shifting. These rules have been implemented in the UK via the Domestic Top Up Tax legislation during the year.
Historically Feed Factors Limited’s effective rate has been above 15% and therefore the Management have concluded that there should not be a future exposure to Domestic Top Up Tax. In addition, the temporary exception has been taken in relation to recognising any deferred tax assets or liabilities in relation to the OECD pillar two income taxes.”

12.	Tangible fixed assets

	Plant and machinery	Fixtures and fittings	Total
	£	£	£
Cost or valuation
At 1 January 2024	432,223	266,772	698,995
Additions	130,210	14,742	144,952
At 31 December 2024	562,433	281,514	843,947
Depreciation
At 1 January 2024	353,206	258,420	611,626
Charge for the year	30,613	8,185	38,798
At 31 December 2024	383,819	266,605	650,424
Net book value
At 31 December 2024	178,614	14,909	193,523
At 31 December 2023	79,017	8,352	87,369

Page 24

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

13.	Fixed asset investments

		Investments in subsidiary companies
		£
	Cost or valuation
	At 1 January 2024	15,334,227
	At 31 December 2024	15,334,227

On 2 June 2023 the company acquired 100% of The Andersons Switzerland SARL through a group reorganisation and this was facilitated by way of a share for share exchange for a consideration of the allotment of 1 Ordinary share of £0.01 in the company at a premium of £15,334,140.

Subsidiary undertakings
The following were subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

	Feed Factors Ireland Limited	77 Sir John Rogerson's Quay, Block C, Grand Canal Docklands, Dublin 2, DO2 VK60, Ireland	Ordinary shares of €1	100%
	The Andersons Switzerland SARL	Avenue de Rhodanie, 40 D Lausanne, 1007 Switzerland	Ordinary shares of CHF 1,000	100%

14.	Stocks
		2024	2023
		£	£

Finished goods and goods for resale	18,598,013	16,258,204
	18,598,013	16,258,204

Stock recognised in cost of sales during the year as an expense was £60,634,551 (2023: £87,526,044).

Page 25

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

15.

Debtors

					2024	2023
					£	£


Trade debtors	6,187,182	9,445,103
Amounts owed by group undertakings	159,817	-
Other debtors	425,571	425,615
Prepayments and accrued income	426,895	343,273
Deferred taxation	7,872	225,414
Financial instruments	-	18,128,752
	7,207,337	28,568,157

16.	Cash and cash equivalents
		2024	2023
		£	£

Cash at bank and in hand	22,635,982	2,893,289
Less: bank overdrafts	(1,928,862)	(1,488,417)
	20,707,120	1,404,872

17.	Creditors: Amounts falling due within one year
		2024	2023
		£	£

Bank overdrafts	1,928,862	1,488,417
Trade creditors	2,694,561	3,867,529
Amounts owed to group undertakings	1,922,264	4,714,696
Corporation tax	787,384	-
Other taxation and social security	50,489	38,091
Other creditors	60,387	-
Accruals and deferred income	4,270,682	3,737,830
	11,714,629	13,846,563

The company's overdrafts and bank loans are secured by way of a fixed and floating charge over the undertaking and all property and assets and by way of a fixed charge over the company's bank deposits.

Page 26

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

18.	Deferred taxation

		2024
		£

	At beginning of year	225,414
	Charged to profit or loss	(217,542)
	At end of year	7,872

The deferred tax asset is made up as follows:
	2024	2023
	£	£

Accelerated capital allowances	(40,389)	(13,138)
Tax losses carried forward	-	137,278
Short term timing differences	48,261	101,274
	7,872	225,414

19.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

37,200 (2023 - 37,200) Ordinary shares shares of £0.01 each	372	372

20.

Reserves

Share premium account

The share premium account balance of £17,859,042 (2023: £17,859,042) which was derived from the following transactions:
- On 5 May 2021, the company issued 1 Ordinary share of £0.01 each at a subscription price of £2,524,902.
- On 2 June 2023 the company issued further 1 Ordinary share of £0.01 each at a subscription price of £15,334,140 to acquire The Andersons Switzerland SARL

Profit and loss account

The reserve is used to record the accumulated distributable profits and losses realised during the course of the year

Page 27

FEED FACTORS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

21.	Pension commitments

The Company operates a defined contribution group personal pension scheme. The pension cost charge represents contributions payable by the Company to the scheme and amounted to £84,431 (2023: £79,637). There were contributions of £10,418 (2023: £6,731) payable to the fund at the balance sheet date.

Not later than 1 year	73,135	168,950
Later than 1 year and not later than 5 years	817,083	73,135
Later than 5 years	832,500	-
	1,722,718	242,085

23.

Related party transactions

The company has taken advantage of the exemption available in Financial Reporting Standard 102 Section 33 whereby it has not disclosed transactions with the ultimate parent company or any wholly owned subsidiary undertaking of the group. The consolidated financial statements of the ultimate parent company, The Andersons, Inc, are available from the registered office in the state of Ohio, USA, whose registered office is 1947 Briarfield Blvd, Maumee, OH 43537, USA.

24.	Controlling party

The company is under the control of Lansing Trade Group LLC, the immediate parent company.
The ultimate controlling party is The Andersons, Inc, a public company incorporated in and registered in the state of Ohio, USA, whose registered office is 1947 Briarfield Blvd, Maumee, OH 43537, USA.

Page 28