REGISTERED NUMBER: NI069854 (Northern Ireland)

AGRITECH SOLUTIONS N.I. LTD

Strategic Report, Directors' Report and

Financial Statements for the Year Ended 31 December 2024

Page

Company Information

1

Strategic Report

2

Directors' Report

4

Independent Auditors' Report

6

Income Statement

9

Statement of Financial Position

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

DIRECTORS:

James Irwin

Jennifer Anne Irwin

REGISTERED OFFICE:

52 Maydown Road

Benburb

Co. Tyrone

BT71 7LN

REGISTERED NUMBER:

NI069854 (Northern Ireland)

INDEPENDENT AUDITORS:

Cooper Parry Audit (Ireland) Limited

Statutory Auditor

36-38 Northland Row

Dungannon

Co. Tyrone

BT71 6AP

BANKERS:

Danske Bank

Donegall Square West

Belfast

BT1 6JS

SOLICITORS:

Davidson McDonnell

Longbridge House

24 Waring Street

Belfast

BT1 2DX

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

REVIEW OF BUSINESS

The principal activities of the company are the supply and servicing of automated feed and barn equipment for use within the agricultural sector.

The Directors are satisfied with the trading performance in respect of the year ended 31 December 2024 and the business remains in a sound financial position at the year end. The company returned a profit for the financial year of £830,249 (2023: £1,601,427) on a turnover base of £10,026,100 (2023: £13,643,522). The company has net assets of £5,005,391 (2023: £4,675,142).

FINANCIAL KEY PERFORMANCE INDICATORS

The directors consider the key performance indicators are those that communicate the financial performance and strengths as a whole, being revenue, gross profit margin and operating profit.

The directors have provided an analysis of the key performance indicators of the business below. The directors continue to monitor revenue and costs to ensure the company remains profitable. The company continues to maintain a strong net asset position.

2024

2023

Revenue

£10,026,100

£13,643,522

Gross profit margin

23.6%

27.0%

Operating profit

£969,147

£2,089,208

PRINCIPAL RISKS AND UNCERTAINTIES

The company operations expose it to a variety of risks that include economic risk, competition risk and financial risk. The company has in place a risk management programme that seeks to limit and adverse effects on the financial performance of the company.

Economic Risk:

The economic risks facing the company include wages inflation and fall in demand for products. The directors work closely with employees, customers, suppliers and the company's financial institutions to carefully manage such risks.

Competition Risk:

Competition risk is managed through close attention to product quality, customer service and sustainable markets.

Financial Risk:

The company has exposure to financial risks through interest rates applied to its bank borrowings. These risks are managed by budgetary control and maintaining a close working relationship with its bankers.

STRATEGY & DEVELOPMENT

The company's success is dependent on understanding and meeting the developing needs of customers and developing innovative solutions for their needs. The company will continue to improve upon its position and concentrate on achieving maximum growth in its market sector while at the same time continuing to improve efficiency in all areas of its operations. With its proven track record the company believes it will be well placed to retain existing customers and generate new business.

FUTURE DEVELOPMENTS

The company is committed to long term creation of shareholder value by increasing the company's market share. The company aims to increase revenue and operating profits. The company will continue to meet the needs of the customers and develop innovative solutions for their needs while remaining highly competitive.

ON BEHALF OF THE BOARD:

James Irwin - Director

30 September 2025

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

DIVIDENDS

Interim dividend paid during the year of £500,000 (2023: £500,000). The Directors do not recommend payment of a final dividend.

RESEARCH AND DEVELOPMENT

The company continues to recognise the importance of its research and development programme, which it believes is essential to ensure that the business continues to develop new products and remain competitive in the market.

POST BALANCE SHEET EVENTS

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

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

James Irwin

Jennifer Anne Irwin

POLITICAL DONATIONS AND EXPENDITURE

No donations for political purposes were made during the year (2023: £Nil).

DISCLOSURE IN THE STRATEGIC REPORT

Under Schedule 7.1A of "Large and Medium-Sized Companies and Groups (Accounts and Reports) Regulations 2008" the company has elected to disclose the following directors report information in the strategic report:

- Financial performance indicators;

- Principal risks and uncertainties;

- Principal activity and business review; and

- Future developments.

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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), 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 and then apply them consistently;

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

AUDITORS

The audit business of CavanaghKelly was acquired by Cooper Parry Audit (Ireland) Limited on 24th July 2025. CavanaghKelly has resigned as auditor and Cooper Parry Audit (Ireland) Limited has been appointed in its place.

The auditors, Cooper Parry Audit (Ireland) Limited, have indicated their willingness to continue in office in accordance with the provision of Section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:

James Irwin - Director

30 September 2025

Opinion

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

In our opinion the financial statements:

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

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

-	the information given in the Strategic Report and the 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 where the Companies Act 2006 requires us to report to you if, in our opinion:

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

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

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

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

Responsibilities of directors

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

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

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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.

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

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. The objectives of our audit in respect of fraud are to assess the risk of material misstatement due to fraud, design and implement appropriate responses to those assessed risks and to respond appropriately to instances of fraud or suspected fraud identified during the course of our audit. However, the primary responsibility for the prevention and detection of fraud rests with management and those charged with governance of the company.

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

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

-

We obtained understanding of the legal and regulatory requirements applicable to the company’s financial statements and considered the most significant are the Companies Act 2006, Financial Reporting Standards (FRS102) and UK taxation legislation;

-

We have assessed the risk of material misstatement of the financial statements, including risk of material misstatement due to fraud and how it might occur by holding discussions with management and those charged with governance;

-

We enquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations;

-

Understanding the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations; and

-

Discussions amongst the audit engagement team regarding how fraud might occur in the financial statements and any potential indicators of fraud. As part of this discussion we identified the following potential areas where fraud may occur: timing of revenue recognition and management override.

The audit response to risks identified included:

-

Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the relevant laws and regulations above;

-

Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risk of material misstatement due to fraud;

-

In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments, assessing whether the judgements made in making accounting estimates are reasonable and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

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.

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.

Mr. Desmond Kelly (F.C.A) (Senior Statutory Auditor)

for and on behalf of Cooper Parry Audit (Ireland) Limited

Statutory Auditor

36-38 Northland Row

Dungannon

Co. Tyrone

BT71 6AP

30 September 2025

REVENUE

4

10,026,100

13,643,522

Cost of sales

(7,656,791

)

(9,956,909

)

GROSS PROFIT

2,369,309

3,686,613

Administrative expenses

(1,478,714

)

(1,600,196

)

890,595

2,086,417

Other operating income

5

78,552

2,791

OPERATING PROFIT

7

969,147

2,089,208

Finance income

10,583

8,224

979,730

2,097,432

Finance costs

8

(33,314

)

(1,061

)

PROFIT BEFORE TAXATION

946,416

2,096,371

Tax on profit

9

(116,167

)

(494,944

)

PROFIT FOR THE FINANCIAL YEAR

830,249

1,601,427

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

830,249

1,601,427

NON-CURRENT ASSETS

Tangible assets

11

396,857

478,474

CURRENT ASSETS

Inventories

12

3,556,762

4,284,411

Receivables

13

2,465,793

4,011,095

Cash at bank

1,360,725

640,352

7,383,280

8,935,858

PAYABLES

Amounts falling due within one year

14

(2,609,048

)

(4,541,482

)

NET CURRENT ASSETS

4,774,232

4,394,376

TOTAL ASSETS LESS CURRENT LIABILITIES

5,171,089

4,872,850

PAYABLES

Amounts falling due after more than one year

15

(14,853

)

(27,745

)

PROVISIONS FOR LIABILITIES

17

(150,845

)

(169,963

)

NET ASSETS

5,005,391

4,675,142

CAPITAL AND RESERVES

Called up share capital

18

2

2

Retained earnings

19

5,005,389

4,675,140

SHAREHOLDERS' FUNDS

5,005,391

4,675,142

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

James Irwin - Director

Jennifer Anne Irwin - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

2

3,573,713

3,573,715

Changes in equity

Dividends

-

(500,000

)

(500,000

)

Total comprehensive income

-

1,601,427

1,601,427

Balance at 31 December 2023

2

4,675,140

4,675,142

Changes in equity

Dividends

-

(500,000

)

(500,000

)

Total comprehensive income

-

830,249

830,249

Balance at 31 December 2024

2

5,005,389

5,005,391

1.	STATUTORY INFORMATION

Agritech Solutions N.I. Ltd is a private company limited by shares, registered in Northern Ireland. The company's registered number is NI069854 and the registered office address is 52 Maydown Road, Benburb, County Tyrone.

The principal activities of the company are the supply and servicing of automated feed and barn equipment for use within the agricultural sector.

2.	STATEMENT OF COMPLIANCE

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

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared on a going concern basis and in accordance with the historical cost convention. Historical cost is generally based on the fair value of the consideration given in exchange for assets. The financial reporting framework that has been applied in their preparation is the Companies Act 2006 (the "Act") and FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" issued by the Financial Reporting Council.

The financial statements are prepared in sterling, which is the functional currency of the entity.

The following accounting policies have been applied consistently unless otherwise stated.

Financial Reporting Standard 102 - reduced disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of J & J NI Holdings Limited which can be obtained from Companies House.

As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102:

- the requirements of Section 7 Statement of Cash Flows;

- the requirements of section 11 Basic Financial Instruments paragraph 11.41; and

- the requirements of Related Party Disclosures section 33.6 and 33.7.

Significant judgements and estimates

The preparation of the financial statements in accordance with generally accepted accounting principles requires management to make estimates, judgements and assumptions that affect the reported amounts of assets and liabilities, income and expenditure in the reporting period. Actual results could differ from those estimates. Therefore, management believe the critical accounting policies where estimates, judgements and assumptions are necessarily applied are summarised below:

Warranty Provision

The company offers a warranty for any breakdowns within warranty terms. Provision is made for potential claims under warranty for goods which have malfunctioned. Management review the level of sales and the number of warranty claims made on a regular basis in order to calculate the provision for future claims for goods sold.

Revenue

Turnover represents sales to external customers at invoiced amounts exclusive of value added tax. Turnover is recognised when the risks and rewards of owning the goods has passed to the customer.

Property, plant and equipment

Property, plant and equipment are stated at cost less accumulated depreciation. Cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The charge to depreciation is calculated to write off the original cost or valuation of property, plant and equipment, less their estimated residual value, over their expected useful lives as follows:

Leasehold improvements

- 5% Straight Line

Plant and machinery

- 25% Reducing Balance

Fixtures, fittings and equipment

- 25% Reducing Balance

Motor vehicles

- 25% Reducing Balance

The carrying values of property, plant and equipment are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable.

Inventories

Inventories are valued at the lower of cost and net realisable value. Cost comprises expenditure incurred in the normal course of business in bringing inventories to their present location and condition. Full provision is made for obsolete and slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all further costs to completion or to be incurred in marketing and selling.

Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

(i) Financial assets

Basic financial assets, including trade and other receivables, cash and bank balances and amounts owed by group and related parties and are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method.

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

If there is decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

(ii) Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans and overdrafts and amounts owed to group and related parties are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity services and amortised over the period of the facility to which it relates.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

(iii) Offsetting

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

Taxation

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

Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Statement of Financial Position date.

Deferred tax

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

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

Foreign currencies

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

Hire purchase and leasing commitments

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

Pension costs and other post-retirement benefits

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

Cash and cash equivalents

Cash and cash equivalents includes cash in hand and deposits held at call with banks and bank overdrafts. Bank overdrafts are shown within current liabilities.

Provision for liabilities

Provisions are made where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. Provisions are charged as an expense to in the income statement in the year that the company becomes aware of the obligation, and are measured at the best estimate at the Statement of Financial Position date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. When payments are eventually made, they are charged to the provision carried in the Statement of Financial Position.

Impairment of non-financial assets

The company assesses at each reporting date whether an asset may be impaired. If any such indication exists the company estimates recoverable amount of the asset. If it is not possible to estimate the recoverable amount of the individual asset, the company estimates, the recoverable amount of the cash-generating unit to which the asset belongs. The recoverable amount of an asset or cash-generating unit is the higher of its fair value less costs to sell and its value in use. If the recoverable amount is less than its carrying amount, the carrying amount of the asset is impaired and it is reduced to its recoverable amount through an impairment in profit and loss unless the asset is carried at a revalued amount where the impairment loss of a revalued asset is a revaluation decrease.

An impairment loss recognised for all assets, including goodwill, is reversed in a subsequent period if and only if the reasons for the impairment loss have ceased to apply.

Share capital

Ordinary Shares are classified as equity. Incremental costs directly attributable to the issue of the new ordinary shares are shown in equity as a deduction, net of tax, from the proceeds.

Distributions to equity holders

Dividends and other distributions to the Company's shareholders are recognised as a liability in the financial statements in the period in which the dividends and other distributions are approved by the Company's shareholders. These amounts are recognised in the statement of changes in equity.

4.

REVENUE

All turnover is derived from the company's principal activities. No analysis of turnover is presented as the directors consider disclosure to be seriously prejudical to the interests of the company.

5.	OTHER OPERATING INCOME

2024

2023

£

£

Sundry receipts

3,552

2,791

Insurance Claims

75,000

-

78,552

2,791

6.	EMPLOYEES AND DIRECTORS

Staff costs, including directors' remuneration, were as follows:

2024

2023

£

£

Wages and salaries

1,328,935

1,225,065

Social security costs

129,386

122,934

Other pension costs

164,895

178,389

1,623,216

1,526,388

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

2024

2023

Directors

2

2

Production

26

24

Administration

16

16

44

42

The directors are considered to be the key management of the company. Retirement benefits are accruing to the directors at the year end.

2024

2023

£

£

Directors' remuneration

23,017

20,500

Directors' pensions paid

114,280

84,280

137,297

104,780

7.	OPERATING PROFIT

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

2024

2023

£

£

Hire of plant and machinery

2,515

1,635

Operating lease

13,750

9,600

Depreciation - owned assets

72,998

86,853

Depreciation - hire purchase assets

12,742

6,276

Loss/(profit) on disposal of fixed assets

789

(1,048

)

Foreign exchange differences

2,737

15,249

Fees payable to the auditors:

- audit fee

7,350

7,000

8.	FINANCE COSTS

2024

2023

£

£

Intercompany loan interest

30,908

-

Hire purchase interest

2,406

1,061

33,314

1,061

9.

TAXATION

Analysis of the tax charge

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

2024

2023

£

£

Current tax:

UK corporation tax

135,285

486,775

Deferred tax:

Deferred tax

(16,724

)

-

Adjustments in respect of

prior period

(2,394

)

-

Origination and reversal of timing differences

-

7,686

Impact of rate change

-

483

Total deferred tax

(19,118

)

8,169

Tax on profit

116,167

494,944

Reconciliation of total tax charge included in profit and loss

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

2024

2023

£

£

Profit before tax

946,416

2,096,371

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 - 23.520%)

236,604

493,066

Effects of:

Expenses not deductible for tax purposes

939

25

Depreciation in excess of capital allowances

2,429

1,370

Adjustments to tax charge in respect of previous periods

(2,394

)

-

Impact of rate change

-

483

SME Research & Development relief

(121,411

)

-

Total tax charge

116,167

494,944

10.

DIVIDENDS

2024

2023

£

£

Ordinary shares of £1.00 each

Interim Dividend

500,000

500,000

11.	PROPERTY, PLANT AND EQUIPMENT

Fixtures

Leasehold

Plant and

and

Motor

improvements

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 January 2024

192,649

22,681

129,372

676,469

1,021,171

Additions

-

-

7,412

-

7,412

Disposals

-

-

-

(30,814

)

(30,814

)

At 31 December 2024

192,649

22,681

136,784

645,655

997,769

DEPRECIATION

At 1 January 2024

19,264

19,776

110,213

393,444

542,697

Charge for year

9,633

726

5,447

69,934

85,740

Eliminated on disposal

-

-

-

(27,525

)

(27,525

)

At 31 December 2024

28,897

20,502

115,660

435,853

600,912

NET BOOK VALUE

At 31 December 2024

163,752

2,179

21,124

209,802

396,857

At 31 December 2023

173,385

2,905

19,159

283,025

478,474

The net book value of assets held under hire purchase at the balance sheet date was £38,225 (2023: £50,967).

Included above are assets held under finance leases or hire purchase contracts as follows:

2024

2024

2023

2023

Carrying amount

Depreciation charge

Carrying amount

Depreciation charge

£

£

£

£

Motor vehicles

38,225

12,742

50,967

6,276

12.	INVENTORIES

2024

2023

£

£

Inventories

3,556,762

4,284,411

13.	RECEIVABLES

2024

2023

£

£

Trade receivables

1,900,228

3,403,660

Other receivables

194,165

131,490

Amounts owed by related parties

288,215

402,911

Prepayments and accrued income

83,185

73,034

2,465,793

4,011,095

The amounts owed by related parties are unsecured, interest free and receivable on demand.