ACCOUNTS - Final Accounts

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

Financial Statements

Modern Tyres Limited

For the year ended 31 December 2024

Registered number: NI031242


Modern Tyres Limited

Company Information

Directors	N Byrne
	R Byrne
	S Byrne
	C Byrne
	J McKee


Company secretary	J McKee


Registered number	NI031242


Registered office	56 Tempo Road
	Enniskillen
	Co Fermanagh
	BT74 6HR


Independent auditor	Grant Thornton (NI) LLP
	Chartered Accountants & Statutory Auditors
	12 - 15 Donegall Square West
	Belfast
	BT1 6JH


Bankers	AIB NI
	2-4 East Bridge Street
	Enniskillen
	BT74 7BT


Solicitors	Murnaghan Fee Solicitors
	Boston Chambers
	Queen Elizabeth Road
	Enniskillen
	Co Fermanagh
	BT74 7JA


Modern Tyres Limited

Contents

	Page
Group strategic report	1 - 3
Directors' report	4 - 6
Independent auditor's report	7 - 10
Consolidated statement of comprehensive income	11
Consolidated balance sheet	12 - 13
Company balance sheet	14 - 15
Consolidated statement of changes in equity	16 - 17
Company statement of changes in equity	18
Consolidated statement of cash flows	19 - 20
Consolidated analysis of net debt	21
Notes to the financial statements	22 - 45


Modern Tyres Limited

Group strategic report

For the year ended 31 December 2024

Introduction

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

Principal activity and business review

The Group's principal activity is the sale of tyres and related accessories.
The Directors consider both the results for the year and the future trading prospects to be satisfactory. The balance sheet continues to reflect a strong financial position.

Principal risks and uncertainties

The Group uses various financial instruments including bank loans or overdrafts, cash, and various items, such as trade debtors and trade creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance from the Group's operations.
The existence of these financial instruments exposes the Group to a number of financial risks, which are described in more detail below. The Group does not make use of derivative transactions to minimise exposure to interest rates or foreign exchange movements. The main risks arising from the Group's financial instruments are liquidity risk, interest rate risk, credit risk and currency risk. The directors review and agree policies for managing each of these risks and they are summarised below. These policies have remained unchanged from previous years.
Liquidity Risk
The Group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs. The Group policy throughout the year has been to ensure continuity of funding by matching the source of funds to the intended use of those funds, so that fixed assets are financed out of reserves and through the use of long term borrowings with draw down and repayment terms that are spread over a period of years. Short-term flexibility is achieved by overdraft and other funding facilities.
Interest rate risk
The Group finances its operations through a mixture of retained profits, and bank and other borrowings. The Group exposure to interest rate fluctuations on its borrowings is managed through annual review of its borrowing requirements, and where appropriate, through the use of fixed or floating interest arrangements.

Credit risk
The Group's principal financial assets are cash and debtors. The credit risk associated with cash is limited. The principal credit risk arises therefore from trade debtors. In order to manage credit risk the directors assess potential customers based on a mixture of past history, credit references, and industry knowledge, and amounts owed are reviewed and followed up on a regular basis.

Currency risk
The Group is exposed to translation and transaction foreign exchange risk. In relation to this risk, the Group keeps this position under review. The Group is also exposed on foreign currency translation of its Irish subsidiary.

Price and market risk
As the Group does not normally make investments, price risk is considered inconsequential. The Directors review and agree policies for managing each of these risks.

Page 1


Modern Tyres Limited

Group strategic report (continued)

For the year ended 31 December 2024

Financial key performance indicators

The key performance indicator for the Company is its earnings before interest, taxes, depreciation and amortisation (EBITDA). This has increased from the prior year to £8,227,208 (2023: £6,927,130).

Directors' statement of compliance with duty to promote the success of the Company - Section 172 statement

From the perspective of the Directors, the matters for consideration under section 172 of the Companies Act 2006 (“s172”) have been considered to an appropriate extent by the Company. Such consideration is included in the statements set out below, noting the Directors’ duty under s172 to act in good faith to promote the success of the Company for the benefit of its shareholders but having regard amongst other matters to the following:

the likely consequences of any decision in the long term;

∙the interests of the Company’s employees;

∙the need to foster the Company’s business relationships with customers and others;

∙the impact of the Company’s operations on the community and the environment;

∙the desirability of the Company maintaining a reputation for high standards of business conduct; and

∙the need to act fairly as between members of the Company.

For the Company, compliance is one of cornerstone values and forms the basis for all decisions and activities. It is the key to integrity in conducting business and as a global company. The Directors are committed to ensuring that all business is carried out in full accordance with the law as well as internal rules and principles.
The Board of Directors of the Company, both individually and together, confirmed that they have acted in the way they consider, in good faith, would be most likely to promote success of the Company for the benefit of its members as a whole (having regard to the stakeholders and matters set out in Section 172(1) (a-f) of the Act) in the decisions taken during the year ended 31 December 2023. The following paragraphs summarise how the directors fulfil their duties:

∙As the Board of Directors, out intention is to behave responsibly and ensure that management operate the business in a responsible manner.

∙As the Board of Directors, we are committed to openly engage with our shareholders. It is important to us that shareholders understand our strategy and objectives, so these must be clearly communicated, feedback heard and issues or questions raised properly considered.

∙As our services provided grow, our risk environment also becomes more complex. It is therefore, important that we effectively identify, evaluate, manage and mitigate the risks the Company faces. For details of our principal risks and uncertainties, please see previous paragraphs of our Company strategic report.

∙Our employees are vital to the services provided by the Company. We aim to be a responsible employer in our approach to the pay and benefits for our employees. For our business to succeed, we need to manage our employees’ performance and develop talent while ensuring the Company operates as efficiently as possible. The health and safety of our employees is very important to us.

∙In order to grow our business, we need to develop and maintain strong business relationships. We value all of our suppliers and customers.

Page 2


Modern Tyres Limited

Group strategic report (continued)

For the year ended 31 December 2024

This report was approved by the board on 24 September 2025 and signed on its behalf.

R Byrne

Director

Page 3


Modern Tyres 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 Group strategic report, the Directors' report and the consolidated 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 the Group and of the profit or loss of the Group for that period.

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

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

∙make judgements 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 Group 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 the Group 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 the Group 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 £4,282,640 (2023 - £3,129,287).

The directors paid a dividend of £400,000 (2023: £400,000).

Directors

The Directors who served during the year were:

N Byrne

R Byrne

S Byrne

C Byrne

J McKee

Future developments

The Directors plan continued operation under the founding strategic business objectives of sustainable growth, relationship management, investment in staff and cost control. Accordingly, the directors remain confident of the Group’s sustained profitability.

Page 4


Modern Tyres Limited

Directors' report (continued)

For the year ended 31 December 2024

Engagement with suppliers, customers and others

Our strategy prioritises growth, driven by continued expansion and bringing new customers into the Company, and up-selling services to existing clients. To do this, we need to develop and nurture strong customer relationships.
We value all of our suppliers and have multi-year contracts in place with our key suppliers.

Greenhouse gas emissions, energy consumption and energy efficiency action

The Group's greenhouse gas emissions and energy consumption for the year are:

2024
	tCO2	kWH
Direct emissions

Combustion of gas	19,965	109,156
Combustion of kerosene	111,073	43,727
Fuel for transport	779,527	315258

Indirect emissions
Purchase of electricity	201,229	971,887

Sales intensity ratio	tCO2/£m sales
Combustion of gas	333
Fuel for transport	13,010
Purchase of electricity	3,358

Intensity measurement
We have chosen the metric gross global scope 1 and 2 emissions in tonnes of CO2e per £m sales revenue as this is a common business metric for our industry sector.
Methodologies used
We have followed the 2024 UK government environmental reporting guidance and we have used 2024 UK Government's GHG conversion factors for reporting. We engaged with our suppliers to obtain actual usage information for the Group.

Matters covered in the Group strategic report

Under Schedule 7.1Aof 'Large and Medium-Sized Companies and Groups (Accounting and Reporting) Regulations 2008', the Company has elected to disclose the following directors' report information in the Strategic Report:

∙Principal activity and business review;

∙Principal risks and uncertainties;

∙Financial key performance indicators; and

∙S172 Reporting.

Page 5


Modern Tyres Limited

Directors' report (continued)

For the year ended 31 December 2024

Disclosure of information to auditor

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 and the Group's auditor is 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 and the Group's auditor is aware of that information.

Post balance sheet events

Post year end the group acquired Best Buy Ireland by Continental Global Holding Netherlands BV.

Auditor

The auditor, Grant Thornton (NI) LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 24 September 2025 and signed on its behalf.

R Byrne

Director

Page 6

Independent auditor's report to the members of Modern Tyres Limited

Opinion

We have audited the financial statements of Modern Tyres Limited (the 'parent Company') and its subsidiaries (the 'Group'), which comprise the Consolidated Statement of comprehensive income, the Consolidated and Company Balance sheets, the Consolidated Statement of cash flows, the Consolidated and Company Statement of changes in equity for the year ended 31 December 2024, and the related 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, Modern Tyres Limited's financial statements:

∙give a true and fair view in accordance with United Kingdom Generally Accepted Accounting Practice of the assets, liabilities and financial position of the Group's and the Company as at 31 December 2024 and of the Group financial performance and cash flows for the year then ended; 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 'Responsibilities of the auditor for the audit of the financial statements' section of our report. We are independent of the Group and Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, namely the FRC's Ethical Standard and the ethical pronouncements established by Chartered Accountants Ireland, applied as determined to be appropriate in the circumstances of the entity. We have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

Independent auditor's report to the members of Modern Tyres Limited (continued)

Other information

Other information comprises the information included in the Annual Report, other than the financial statements and our Auditor's report thereon, including the Directors' report and the Strategic Report. The Directors are responsible for the other information. Our opinion on the financial statements does not cover the 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 in the financial statements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 Directors' report and the Strategic Report for the year for which the financial statements are prepared is consistent with the financial statements, and

∙the Directors' report and the Strategic 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 we have obtained in the course of the audit, we have not identified material misstatements in the Directors' report and the Strategic 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 by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or

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

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

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

Page 8

Independent auditor's report to the members of Modern Tyres Limited (continued)

Responsibilities of management and those charged with governance for the financial statements

Management is responsible for the preparation of the financial statements which give a true and fair view in accordance with United Kingdom Generally Accepted Accounting Practice, including FRS102 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, management is responsible for assessing the Group and 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 management either intend to liquidate the Group and Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Group and Company's financial reporting process.

Responsibilities of the auditor for the audit of the financial statements

The objectives of an auditor 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 Auditor's report that includes their 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.

A further description of an auditor's 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 auditor's report.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatement in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with ISAs (UK).

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

Based on our understanding of the Company and industry, we identified that the principal risks of non-compliance with laws and regulations related to Data Privacy Law, Employment Law, Environmental Regulations and Health and Safety Laws, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as Companies Act 2006 and applicable tax laws. The Audit engagement partner considered the experience and expertise of the engagement team to ensure that the team had appropriate competence and capabilities to identify or recognise non-compliance with the laws and regulation.

Page 9

Independent auditor's report to the members of Modern Tyres Limited (continued)

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to manipulate financial performance and management bias through judgements and assumptions in significant accounting estimates, in particular in relation to significant one-off or unusual transactions. We apply professional scepticism through the audit to consider potential deliberate omission or concealment of significant transactions, or incomplete/inaccurate disclosures in the financial statements.
In response to these principal risks, our audit procedures included but were not limited to:

∙inquiries of management on the policies and procedures in place regarding compliance with laws and regulations, including consideration of known or suspected instances of non-compliance and whether they have knowledge of any actual, suspected or alleged fraud;

∙inspection of the Company's regulatory and legal correspondence and review of minutes of the board of directors meetings during the year to corroborate inquiries made;

∙gaining an understanding of the internal controls established to mitigate risk related to fraud;

∙discussion amongst the engagement team in relation the the identified laws and regulations and regarding the risk of fraud, and remaining alert to any indications of non-compliance or opportunities for fraudulent manipulation of financial statements throughout the audit;

∙identifying and testing journal entries to address the risk of inappropriate journals and management override of controls;

∙designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing;

∙challenging assumptions and judgements made by management in their significant accounting estimates, including estimating useful lives of tangible and intangible fixed assets, estimating an allowance for the impairment of debtors and stock; and

∙review of the financial statement disclosures to underlying supporting documentation and inquiries of management.

The primary responsibility for the prevention and detection of irregularities including fraud rests with those charged with governance and management. As with any audit, there remains a risk of non-detection or irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or override of internal controls.

The purpose of our audit work and to whom we owe our responsibilities

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 auditor’s 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.

Louise Kelly FCA (Senior statutory auditor)

for and on behalf of

Grant Thornton (NI) LLP

Chartered Accountants &

Statutory Auditors

Belfast
24 September 2025

Page 10


Modern Tyres Limited

Consolidated statement of comprehensive income

For the year ended 31 December 2024

	2024	2023
Note	£	£


Turnover	4	59,938,428	56,850,550
Cost of sales		(42,175,644)	(41,201,183)
Gross profit		17,762,784	15,649,367
Administrative expenses		(11,714,059)	(10,812,720)
Other operating income	5	372,409	267,469
Operating profit	6	6,421,134	5,104,116
Interest payable and similar expenses	9	(927,105)	(1,013,004)
Profit before taxation		5,494,029	4,091,112
Tax on profit	10	(1,211,389)	(961,825)
Profit for the financial year		4,282,640	3,129,287


Foreign exchange on consolidation	(635,382)	(298,489)
Other comprehensive income for the year	(635,382)	(298,489)
Total comprehensive income for the year	3,647,258	2,830,798

Profit for the year attributable to:
Owners of the parent Company	4,282,640	3,129,287
	4,282,640	3,129,287

All amounts relate to continuing operations.
There were no recognised gains and losses for 2024 or 2023 other than those included in the consolidated statement of comprehensive income.

The notes on pages 22 to 45 form part of these financial statements.

Page 11


Modern Tyres Limited Registered number:NI031242

Consolidated balance sheet

As at 31 December 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	13		2,400,001		3,191,740
Tangible assets	14		22,347,999		22,340,678
Investment property	16		2,000,785		2,118,312
			26,748,785		27,650,730
Current assets
Stocks	17	15,617,782		12,690,085
Debtors: amounts falling due within one year	18	10,646,548		9,951,317
Cash at bank and in hand	19	752,898		828,823
		27,017,228		23,470,225
Current liabilities
Creditors: amounts falling due within one year	20	(14,561,046)		(14,353,987)
Net current assets			12,456,182		9,116,238
Total assets less current liabilities			39,204,967		36,766,968
Creditors: amounts falling due after more than one year	21		(8,988,527)		(9,978,831)
Provisions for liabilities
Deferred taxation	24	(1,352,025)		(1,170,980)
			(1,352,025)		(1,170,980)
Net assets			28,864,415		25,617,157

Page 12


Modern Tyres Limited Registered number:NI031242

Consolidated balance sheet (continued)

As at 31 December 2024

		2024		2023
Note		£		£

Capital and reserves
Called up share capital	25	200,100	200,100
Share premium account	26	980,000	980,000
Capital redemption reserve	26	20,101	20,101
Foreign exchange reserve	26	(246,760)	388,622
Merger reserve	26	1,051,247	1,051,247
Profit and loss account	26	26,859,727	22,977,087
Shareholders' funds		28,864,415	25,617,157

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 September 2025.

R Byrne

Director

The notes on pages 22 to 45 form part of these financial statements.

Page 13


Modern Tyres Limited Registered number:NI031242

Company balance sheet

As at 31 December 2024

		2024		2023
Note		£		£

Fixed assets
Intangible fixed assets	13		2,400,000		3,200,000
Tangible fixed assets	14		20,091,378		20,010,835
Investments	15		1,005,481		1,005,481
			23,496,859		24,216,316
Current assets
Stocks	17	14,200,611		11,254,477
Debtors: amounts falling due within one year	18	8,030,988		8,235,311
Cash at bank and in hand	19	-		686,728
		22,231,599		20,176,516
Current liabilities
Creditors: amounts falling due within one year	20	(25,621,527)		(23,997,036)
Net current liabilities			(3,389,928)		(3,820,520)
Total assets less current liabilities			20,106,931		20,395,796

Creditors: amounts falling due after more than one year	21		(8,455,896)		(9,288,072)
Provisions for liabilities
Deferred taxation	24	(1,352,025)		(1,170,980)
			(1,352,025)		(1,170,980)
Net assets			10,299,010		9,936,744

Capital and reserves
Called up share capital	25	200,100	200,100
Share premium account	26	980,000	980,000
Capital redemption reserve	26	20,101	20,101
Profit and loss account	26	9,098,809	8,736,543
Shareholders' funds		10,299,010	9,936,744

Page 14


Modern Tyres Limited Registered number:NI031242

Company balance sheet (continued)

As at 31 December 2024

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 September 2025.

R Byrne

Director

The notes on pages 22 to 45 form part of these financial statements.

Page 15

		Modern Tyres Limited

Consolidated statement of changes in equity

For the year ended 31 December 2024

	Called up share capital	Share premium account	Capital redemption reserve	Foreign exchange reserve	Merger reserve	Profit and loss account	Equity attributable to owners of parent Company	Total equity
	£	£	£	£	£	£	£	£
At 1 January 2024	200,100	980,000	20,101	388,622	1,051,247	22,977,087	25,617,157	25,617,157

Profit for the year	-	-	-	-	-	4,282,640	4,282,640	4,282,640
Foreign exchange movement	-	-	-	(635,382)	-	-	(635,382)	(635,382)
Dividends paid	-	-	-	-	-	(400,000)	(400,000)	(400,000)
At 31 December 2024	200,100	980,000	20,101	(246,760)	1,051,247	26,859,727	28,864,415	28,864,415

The notes on pages 22 to 45 form part of these financial statements.

Page 16

		Modern Tyres Limited

Consolidated statement of changes in equity

For the year ended 31 December 2023

	Called up share capital	Share premium account	Capital redemption reserve	Foreign exchange reserve	Merger reserve	Profit and loss account	Equity attributable to owners of parent Company	Total equity
	£	£	£	£	£	£	£	£
At 1 January 2023	200,201	980,000	20,000	687,111	1,051,247	21,854,431	24,792,990	24,792,990

Profit for the year	-	-	-	-	-	3,129,287	3,129,287	3,129,287
Foreign exchange movement	-	-	-	(298,489)	-	-	(298,489)	(298,489)
Dividends paid	-	-	-	-	-	(400,000)	(400,000)	(400,000)
Purchase of own shares	(101)	-	101	-	-	(1,606,631)	(1,606,631)	(1,606,631)
At 31 December 2023	200,100	980,000	20,101	388,622	1,051,247	22,977,087	25,617,157	25,617,157

The notes on pages 22 to 45 form part of these financial statements.

Page 17


Modern Tyres Limited

Company statement of changes in equity

For the year ended 31 December 2024

	Called up share capital	Share premium account	Capital redemption reserve	Profit and loss account	Total equity
	£	£	£	£	£
At 1 January 2024	200,100	980,000	20,101	8,736,543	9,936,744

Profit for the year	-	-	-	762,266	762,266
Dividends paid	-	-	-	(400,000)	(400,000)
At 31 December 2024	200,100	980,000	20,101	9,098,809	10,299,010

Company statement of changes in equity

For the year ended 31 December 2023

	Called up share capital	Share premium account	Capital redemption reserve	Profit and loss account	Total equity
	£	£	£	£	£
At 1 January 2023	200,201	980,000	20,000	10,432,551	11,632,752

Profit for the year	-	-	-	310,623	310,623
Dividends paid	-	-	-	(400,000)	(400,000)
Purchase of own shares	(101)	-	101	(1,606,631)	(1,606,631)
At 31 December 2023	200,100	980,000	20,101	8,736,543	9,936,744

The notes on pages 22 to 45 form part of these financial statements.

Page 18


Modern Tyres Limited

Consolidated statement of cash flows

For the year ended 31 December 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	4,282,640	3,129,287
Adjustments for:
Amortisation of intangible assets	800,000	800,000
Depreciation of tangible assets	1,073,799	1,023,013
(Loss)/gain on disposal of tangible assets	(112,486)	(15,188)
Interest expense	927,105	1,013,004
Taxation charge	1,211,389	961,825
(Increase)/decrease in stocks	(2,927,697)	946,801
(Increase)/decrease in debtors	(526,670)	1,060,454
Increase in amounts owed by associated undertakings	(168,561)	(409,524)
(Decrease)/increase in creditors	(332,578)	680,741
Corporation tax (paid)	(1,159,383)	(468,536)
Foreign exchange	(535,900)	(248,717)
Net cash generated from operating activities	2,531,658	8,473,160

Cash flows from investing activities
Purchase of intangible fixed assets	(8,261)	-
Purchase of tangible fixed assets	(1,223,413)	(784,775)
Sale of tangible fixed assets	28,896	52,826
Purchase of investment properties	(14,809)	-
Sale of investment properties	258,738	-
HP interest paid	(46,027)	(55,448)
Net cash from investing activities	(1,004,876)	(787,397)
Cash flows from financing activities
New secured loans	1,030,000	1,189,019
Repayment of loans	(1,474,483)	(1,931,153)
New finance leases	386,531	133,000
New HP	(295,138)	(482,609)
Share buy back	-	(1,606,631)
Dividends paid	(400,000)	(400,000)
Interest paid	(927,105)	(951,604)
Net cash (used in)/from financing activities	(1,680,195)	(4,049,978)
Net (decrease)/increase in cash and cash equivalents	(153,413)	3,635,785

Page 19


Modern Tyres Limited

Consolidated statement of cash flows (continued)

For the year ended 31 December 2024

		2024	2023
		£	£


Cash and cash equivalents at beginning of year	828,823	(2,806,962)
Cash and cash equivalents at the end of year	675,410	828,823

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	752,898	828,823
Bank overdrafts	(77,488)	-
	675,410	828,823

The notes on pages 22 to 45 form part of these financial statements.

Page 20


Modern Tyres Limited

Consolidated Analysis of Net Debt

For the year ended 31 December 2024


At 1 January 2024	Cash flows	At 31 December 2024
£	£	£

Cash at bank and in hand	828,823	(75,925)	752,898
Bank overdrafts	-	(77,488)	(77,488)
Debt due after 1 year	(9,314,855)	1,020,851	(8,294,004)
Debt due within 1 year	(907,294)	(235,117)	(1,142,411)
Finance leases	(1,023,830)	(45,366)	(1,069,196)
	(10,417,156)	586,955	(9,830,201)

The notes on pages 22 to 45 form part of these financial statements.

Page 21


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

1.	General information

Modern Tyres Limited is a company limited by shares incorporated in Northern Ireland. Its register number is NI031242. The registered office is 56 Tempo Road, Enniskillen, County Fermanagh BT74 6HR.
The Group's principal activity is the sale of tyres and related accessories.

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 United Kingdom and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.
The financial statements have been prepared on the historical cost basis except for the modification to a fair value basis for certain instruments as specified in the accounting policies below.
FRS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions, which have been complied with, including notifications of, and no objections to, the use of exemptions by the Company’s shareholders. The Company has taken advantage of the following exemptions in its individual financial statements:

∙from preparing a statement of cashflows, on the basis that it is a qualifying entity and the consolidated statement of cashflows, included in these financial statements, includes the Company's cashflow;

∙from the financial instrument disclosures, required under FRS 102 paragraphs 11.39 to 11.48A and paragraphs 12.26 to 12.29, as the information is provided in the consolidated financial statement disclosures;

∙from disclosing share based payment arrangements, required under FRS 102 paragraphs 26.18(c), 26.19, 26.21 and 26.23, concerning its own equity instruments. The Company financial statements are presented with the consolidated financial statements and the relevant disclosures are included therein; and

∙from disclosing the Company key management personnel compensation, as required by FRS 102 paragraph 33.7.

The following principal accounting policies have been applied:

Page 22


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as they formed a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102.

2.3

Going concern

After reviewing the Group's forecasts and projections, the directors have a reasonable expectation that the Group and Company have adequate resources to continue in operational existence for the foreseeable future. The Company and Group therefore continues to adopt the going concern basis in preparing its financial statements.

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 Consolidated 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'.

Page 23


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group 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 Group has transferred the significant risks and rewards of ownership to the buyer;

∙the Group 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 Group 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.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.6

Operating leases: the Group as lessor

Rental income from operating leases is credited to profit or loss on a straight line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

2.7

Operating leases: the Group 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 24


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.8

Leased assets: the Group as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.9

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Consolidated statement of comprehensive income in the same period as the related expenditure.

2.10

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.

2.11

Borrowing costs

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

2.12

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group 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 Group in independently administered funds.

Page 25


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.13

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 and the Group operate and generate 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.

2.14

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated statement of comprehensive income over its useful economic life.

Other 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 asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

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

The estimated useful lives range as follows:

Goodwill

7 - 10 years

Page 26


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.15

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.

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

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

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property	-	over 50 years
Plant & machinery	-	20%
Motor vehicles	-	25%
Fixtures & 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.

2.16

Investment property

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

2.17

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 27


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.18

Impairment of assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss.
If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.

2.19

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 first in, first out 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.

2.20

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.

2.21

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.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.22

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.

2.23

Holiday pay accrual

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.

Page 28


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.24

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.

2.25

Financial instruments

The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.
Investments in non-derivative instruments that are equity to the issuer are measured:

∙at fair value with changes recognised in the Consolidated statement of comprehensive income if the shares are publicly traded or their fair value can otherwise be measured reliably;

∙at cost less impairment for all other investments.

Financial assets that 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 Consolidated 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 best estimate of the recoverable amount, which is an approximation of the amount that the Group 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.

Page 29


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

2.Accounting policies (continued)

2.26

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

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

In applying the Group's accounting policies the directors are required to make significant judgements, estimates and assumptions in determining the carrying amounts of assets and liabilities. The directors' judgements, estimates and assumptions are based on the best and most reliable evidence available at the time when the decisions are made, and are based on historical experience and other factors that are considered to be applicable. Due to the inherent subjectivity involved in making such judgements, estimates and assumptions, the actual results and outcomes may differ. The items in the financial statements where these judgements and estimates have been made include:
Estimating useful lives of tangible and intangible assets
The annual depreciation and amortisation charge depends primarily on the estimated lives of each type of asset and, in certain circumstances, estimates of fair values and residual values. The directors annually review these asset lives and adjust them as necessary to reflect current thinking on remaining lives in light of technological change, prospective economic utilisation and physical condition of the assets concerned. Changes in asset lives can have significant impact on depreciation and amortisation charges for the period. It is not practical to quantify the impact of changes in asset lives on an overall basis, as asset lives are individually determined, and there are a significant number of asset lives in use. The impact of any change would vary significantly depending on the individual changes in assets and the classes of assets impacted.
Estimating allowance for impairment of debtors
The Group maintains provisions for impaired accounts at a level considered adequate to provide for probable uncollectable debtors. The level of this provision is regularly evaluated and normally consists of past due accounts that are neither subject of ongoing negotiations with management to revise payment schedules nor secured with any collateral. The Group considers account balances aged over ninety (90) days as past due.
Estimating allowance for impairment of stocks
Management estimates the net realisable values of stocks, taking into account the most reliable evidence available at each reporting date. The future realisation of these inventories may be affected by future technology or other market-driven changes that may reduce future selling prices.
Provision for impairment of financial assets
Determining whether the carrying value of financial assets has been impaired requires an estimation of the value in use of the investment in subsidiaries. The value in use calculation requires the directors to estimate the future cash flows expected and a suitable discount rate in order to calculate present value. After reviewing these calculations, the directors are satisfied that no impairment loss has arisen.

Page 30


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

	Sale of Goods	59,938,428	56,850,550

Analysis of turnover by country of destination:

					2024	2023
					£	£

United Kingdom	37,536,139	36,044,316
Rest of Europe	22,402,289	20,806,234
	59,938,428	56,850,550

5.	Other operating income
		2024	2023
		£	£

Other operating income	5,610	13,950
Net rents receivable	108,277	253,519
Government grants receivable	132,120	-
Profit on disposal of investment property	126,402	-
	372,409	267,469

Depreciation of owned tangible fixed assets	875,997	880,569
Depreciation of tangible fixed assets under hire purchase agreements	135,686	142,444
Amortisation of intangible assets, including goodwill	800,000	800,000
Fees payable to the Group's auditors for the audit of the financial statements	43,848	35,464
Fees payable to the Group's auditor in respect of non-audit services	-	4,000
Defined contribution pension cost	202,154	171,362
Loss/(profit) on disposal of fixed asset	(112,486)	(15,188)

Page 31


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

7.	Employees
	Staff costs, including Directors' remuneration, were as follows:

		Group	Group
		2024	2023
		£	£


Wages and salaries	9,494,436	8,451,429
Social security costs	835,635	742,677
Cost of defined contribution scheme	202,154	171,362
	10,532,225	9,365,468

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

	2024	2023
	No.	No.

Number of distribution staff	210	205
Number of administrative staff	31	31
Number of management staff	67	62

	308	298

8.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	328,587	350,983
	328,587	350,983

	The highest paid Director received remuneration of £80,000 (2023 - £80,000).
	The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £36,321 (2023 - £36,321).

9.	Interest payable and similar expenses
		2024	2023
		£	£

Bank interest payable	881,078	944,758
Finance leases and hire purchase contracts	46,027	58,966
Other interest payable	-	9,280
	927,105	1,013,004

Page 32


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

Corporation tax
Current tax on profits for the year	1,029,605	865,820
Adjustments in respect of previous periods	(20,630)	(21,674)
	1,008,975	844,146
Foreign tax
Foreign tax in respect of prior periods	21,369	-
	21,369	-
Total current tax	1,030,344	844,146

Deferred tax
Origination and reversal of timing differences	181,045	87,420
Adjustments in respect of previous periods	-	30,259
Total deferred tax	181,045	117,679


	Tax on profit	1,211,389	961,825

Page 33


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

10.Taxation (continued)

Profit on ordinary activities before tax

5,494,029

4,091,112

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.52%)	1,373,507	962,230
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	6,051	4,688
Capital allowances for year in excess of depreciation	273,788	336,626
Higher rate taxes on overseas earnings	11,035	-
Adjustments to tax charge in respect of prior periods	(13,910)	(21,674)
Adjustments to deferred tax rate	-	30,259
Other differences leading to an increase in the tax charge	-	5,998
Foreign tax	(495,651)	(356,302)
Chargeable gains	30,849	-
Other	25,720	-
Total tax charge for the year	1,211,389	961,825

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

11.	Dividends
		2024	2023
		£	£

Dividends paid

400,000

12.	Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements. The profit after tax of the parent Company for the year was £762,266 (2023 - £310,623).

Page 34


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

13.	Intangible assets
	Group

		Goodwill
		£
	Cost
	At 1 January 2024	10,480,852
	Additions	8,261
	At 31 December 2024	10,489,113
	Amortisation
	At 1 January 2024	7,289,112
	Charge for the year	800,000
	At 31 December 2024	8,089,112
	Net book value
	At 31 December 2024	2,400,001
	At 31 December 2023	3,191,740

Page 35


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

13.Intangible assets (continued)

	Company

		Goodwill
		£
	Cost
	At 1 January 2024	10,358,164
	At 31 December 2024	10,358,164
	Amortisation
	At 1 January 2024	7,158,164
	Charge for the year	800,000
	At 31 December 2024	7,958,164
	Net book value
	At 31 December 2024	2,400,000
	At 31 December 2023	3,200,000

Page 36


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

14.	Tangible fixed assets
	Group

	Freehold property	Plant & machinery	Motor vehicles	Fixtures & fittings	Total
	£	£	£	£	£
Cost or valuation
At 1 January 2024	21,201,040	3,705,596	2,277,400	1,266,261	28,450,297
Additions	3,978	323,952	714,489	180,994	1,223,413
Disposals	-	(13,250)	(118,070)	(19,199)	(150,519)
Exchange adjustments	(102,145)	(20,312)	(20,979)	(10,367)	(153,803)
At 31 December 2024	21,102,873	3,995,986	2,852,840	1,417,689	29,369,388
Depreciation
At 1 January 2024	2,072,228	1,896,728	1,276,218	864,445	6,109,619
Charge for the year	313,156	315,107	317,496	128,040	1,073,799
Disposals	-	(11,679)	(86,058)	(9,971)	(107,708)
Exchange adjustments	(15,851)	(15,820)	(12,718)	(9,932)	(54,321)
At 31 December 2024	2,369,533	2,184,336	1,494,938	972,582	7,021,389
Net book value
At 31 December 2024	18,733,340	1,811,650	1,357,902	445,107	22,347,999
At 31 December 2023	19,128,812	1,808,868	1,001,182	401,816	22,340,678

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2024	2023
	£	£


Plant and machinery	921,671	961,894
Motor vehicles	646,372	410,996

Page 37


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

14.Tangible fixed assets (continued)

	Company

	Freehold property	Plant & machinery	Motor vehicles	Fixtures & fittings	Total
	£	£	£	£	£
Cost or valuation
At 1 January 2024	18,826,716	3,243,230	1,798,104	1,053,560	24,921,610
Additions	1,754	259,840	645,647	150,539	1,057,780
Disposals	-	(9,562)	(66,531)	(29,170)	(105,263)
At 31 December 2024	18,828,470	3,493,508	2,377,220	1,174,929	25,874,127
Depreciation
At 1 January 2024	1,710,256	1,524,910	1,012,025	663,584	4,910,775
Charge for the year	266,754	275,325	270,546	122,840	935,465
Disposals	-	(7,991)	(45,529)	(9,971)	(63,491)
At 31 December 2024	1,977,010	1,792,244	1,237,042	776,453	5,782,749
Net book value
At 31 December 2024	16,851,460	1,701,264	1,140,178	398,476	20,091,378
At 31 December 2023	17,116,460	1,718,320	786,079	389,976	20,010,835

Page 38


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

15.	Fixed asset investments

	Company

		Investments in subsidiary companies
		£
	Cost or valuation
	At 1 January 2024	1,005,481
	At 31 December 2024	1,005,481

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

D26 Tire Company Limited	Ireland	Sale of tyres and related accessories	Ordinary	100%
Moynehall Property Co. Limited	Ireland	Property management	Ordinary	100%
Mountainhill Limited	Northern Ireland	Property management	Ordinary	100%

16.	Investment property
	Group

		Freehold investment property
		£
	Valuation
	At 1 January 2024	2,118,312
	Additions at cost	14,809
	Disposals	(132,336)
	At 31 December 2024	2,000,785

The 2024 valuations were made by the directors, on an open market value for existing use basis.

Page 39


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

17.	Stocks
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Finished goods and goods for resale	15,617,782	12,690,085	14,200,611	11,254,477
	15,617,782	12,690,085	14,200,611	11,254,477

	The difference between purchase price or production cost of stocks and their replacement cost is not material.
	An impairment loss of £857,186 (2023: £748,375) was recognised against stock due to slow-moving and obsolete stock.

18.

Debtors

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Trade debtors	5,194,056	5,033,677	2,774,692	2,965,643
Amounts owed by group undertakings	-	-	153,226	557,917
Amounts owed by associated undertakings	4,043,989	3,875,428	4,043,989	3,875,428
Other debtors	1,126,755	784,875	816,182	609,237
Prepayments and accrued income	281,748	257,337	242,899	227,086
	10,646,548	9,951,317	8,030,988	8,235,311

An impairment loss of £421,448 (2023: £414,513) was recognised against trade debtors.
Amounts owed by group undertakings are interest free, unsecured and repayable on demand

19.	Cash and cash equivalents
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Cash at bank and in hand	752,898	828,823	-	686,728
Less: bank overdrafts	(77,488)	-	(77,488)	-
	675,410	828,823	(77,488)	686,728

Page 40


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

20.	Creditors: Amounts falling due within one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank overdrafts	77,488	-	77,488	-
Bank loans	916,575	907,293	787,077	778,655
Trade creditors	10,001,855	9,548,920	8,876,521	8,516,978
Amounts owed to group undertakings	-	-	13,137,236	11,616,402
Corporation tax	386,844	334,838	311,172	201,847
Other taxation and social security	1,209,717	1,192,696	900,132	874,691
Obligations under finance lease and hire purchase contracts	426,376	359,854	398,845	338,356
Directors current account	166,898	467,023	161,991	462,116
Other creditors	836,453	1,069,577	835,573	1,053,508
Accruals and deferred income	538,840	473,786	135,492	154,483
	14,561,046	14,353,987	25,621,527	23,997,036

Amounts owed by group undertakings are interest free, unsecured and repayable on demand.
Details of security held over the bank loans and overdrafts and other creditors are disclosed at note 21.

21.	Creditors: Amounts falling due after more than one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans	8,347,956	9,314,855	7,868,045	8,675,480
Net obligations under finance leases and hire purchase contracts	640,571	663,976	587,851	612,592
	8,988,527	9,978,831	8,455,896	9,288,072

The bank loans and overdrafts are secured by way of fixed and floating charges over the properties of the group and an intercompany guarantee across group companies.

Page 41


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

22.	Loans
	Analysis of the maturity of loans is given below:
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Amounts falling due within one year
Bank loans	916,575	907,293	787,077	778,655
Amounts falling due 1-2 years
Bank loans	1,325,453	952,731	845,542	838,819
Amounts falling due 2-5 years
Bank loans	1,954,913	3,187,927	1,954,913	2,846,190
Amounts falling due after more than 5 years
Bank loans	5,067,590	5,174,197	5,067,590	4,990,471
	9,264,531	10,222,148	8,655,122	9,454,135

23.	Hire purchase and finance leases

		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Within one year	426,376	359,854	398,845	338,356
Between 1-5 years	642,820	663,976	587,851	612,592
	1,069,196	1,023,830	986,696	950,948

The net obligations under finance leases and hire purchase contracts included in creditors are secured by the company against the asset to which the agreement relates.

Page 42


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

24.	Deferred taxation
	Group

		2024
		£

	At beginning of year	(1,170,980)
	Charged to profit or loss	(181,045)
	At end of year	(1,352,025)

Company

		2024
		£

	At beginning of year	(1,170,980)
	Charged to profit or loss	(181,045)
	At end of year	(1,352,025)

The provision for deferred taxation is made up as follows:
	Group	Group	Company	Company
	2024	2023	2024	2023
	£	£	£	£

	Accelerated capital allowances	(1,352,025)	(1,170,980)	(1,352,025)	(1,170,980)
		(1,352,025)	(1,170,980)	(1,352,025)	(1,170,980)

25.	Share capital
		2024	2023
		£	£

Authorised, allotted, called up and fully paid

200,100 (2023 - 200,100) Ordinary shares of £1.00 each	200,100	200,100

Page 43


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

26.

Reserves

Share premium account

This reserve includes any premiums received on issue of share capital. Any transaction costs associated with the issuing of shares are deducted from share premium.

Capital redemption reserve

This reserve consists of amounts transferred following the purchase of the Company's own shares.

Foreign exchange reserve

This reserve comprises translation differences arising from retranslation of subsidiary undertakings.

Merger Reserve

This reserve includes net assets on acquisition following restructure of group companies.

Profit & loss account

This reserve includes all current and prior period retained profits and losses.

27.	Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £207,848 (2023 - £171,362). At the year end, there is £Nil accrued or prepaid outstanding in respect of pension contributions (2023 - £Nil).

28.

Related party transactions

The Group and Company have taken advantage of the exemption given in FRS 102, section 33. This exemption permits non-disclosure of related party transactions between entities that are controlled within the Modern Tyres Limited group.
Key management personnel is considered to be the directors of the Group. During the year, a dividend of £400,000 was declared by the Company (2023 - £400,000).
During the year under review, the Company used the services of Harolds Cross Estates Limited, a related party by virtue of common directors. The total cost of this service at 31 December 2024 was £280,000 (2023 - £40,000). No amounts are outstanding at the year end.
During the year under review, the Company used the services of Byeways Developments Limited, a related party by virtue of common directors. The total cost of this service at 31 December 2024 was £50,000 (2023 - £50,000). No amounts are outstanding at the year end.

29.	Post balance sheet events

Post year end the group acquired BestDrive Ireland Limited from Continental Global Holding Netherlands BV.

Page 44


Modern Tyres Limited

Notes to the financial statements

For the year ended 31 December 2024

30.	Controlling party

The Company is under the control of N Byrne, R Byrne, S Byrne and C Byrne acting in unison by virtue of their shareholdings.

Page 45