REGISTERED NUMBER: 00414805 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 30 April 2025

for

Dean & Smedley,Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Cash Flow Statement

14

Notes to the Cash Flow Statement

15

Notes to the Financial Statements

16

DIRECTORS:

Ms L K Dean

R J Dean

Mrs B I Dean

C W Dean

Mrs H R McGrath

Mrs S E Tyson

SECRETARY:

Mrs B I Dean

REGISTERED OFFICE:

65 Horninglow Road

Burton-on-Trent

Staffordshire

DE14 2PP

REGISTERED NUMBER:

00414805 (England and Wales)

SENIOR STATUTORY AUDITOR:

Callum Edwards BFP ACA

AUDITORS:

Bourne & Co

Statutory Auditors

6 Lichfield Street

Burton-on-Trent

Staffordshire

DE14 3RD

The directors present their strategic report of the company for the year ended 30 April 2025.

REVIEW OF BUSINESS

All but one month of our financial year was spent under the cloud of Community Pharmacy being out of contract with the government. This caused financial uncertainty and made it impossible to plan for the year. Despite this our pharmacies continue to deliver a first-rate service.

Another unfunded increase to national minimum wage did not help our profit this year. If it had not been for the Post Office compensation we would have made a loss of over £168,000. We are continuing our efforts to reduce our costs and improve our efficiencies. The levels of staffing in our branches is key to our exemplary service levels and at times it feels like some branches only just have enough so we don’t feel able to reduce this cost any further.

KPIs

New medicines service (NMS)

The NMS delivered across the company, on average, were down this year compared to last. A drop of 2.48% from 86.27% in 2023/24 to 83.79% in 2024/25. Unfortunately, we expect this trend to continue because of the changes to the NMS service from April 1st 2025.

Pharmacy First

All of our pharmacies have been actively engaged with Pharmacy First since its launch in January 2024. Hitting the increasing minimum service threshold to give us access to the additional monthly funding has been difficult at some of our pharmacies despite active local engagement to encourage GP referrals into the service to help meet the threshold. The poor national public marketing by the government has not helped recruitment into the scheme either.

Pharmacy quality service

As we were out of contract with the government there was no Pharmacy Quality service this year.

Flu vaccination service and COVID-19 vaccination service

We still continue to offer flu and covid vaccines across our estate utilising either our own online booking system or the national booking service.

We believe that there is still an element of vaccine hesitancy and there is a notable drop in demand for covid vaccines after the first few weeks of each vaccine programme.

Pharmacies and GPs had a delayed but equal start to the flu vaccination service this year. A huge demand in October significantly dropped from mid-November onwards.

Oral contraception service

Numbers for this relatively new service have grown steadily over the year. The pharmacies where GP surgeries see the advantages of community pharmacy providing the service have higher numbers of service provisions. From Autumn 2025 emergency hormonal contraception will be added to this service. We hope this will improve access for patients particularly where the criteria for local services have become so restricted due to funding cuts at local councils.

Hypertension case finding service

Despite staff training for this service, we have been disappointed with the low uptake at some of our pharmacies. This is an area we will strive to improve on over the next 12 months.

Premises standards

We continue to focus on the excellent presentation of our pharmacies. Compliance with standards is checked during yearly visits by our Pharmacy Services manager. This year we have invested in our pharmacy in Measham with a very overdue refit. The pharmacy now has two consultation rooms giving space for further expansion of services from the pharmacy.

PRINCIPAL RISKS AND UNCERTANTIES

A new pharmacy contract was announced on 31st March 2025. This was marketed as an increase in our funding by the government but the overall increase in funding still does’t cover the increase in costs imposed on us by increases to national living wage rates, changes to national insurance and business rates. The new contract is also being marketed by our negotiators as a step in the right direction with a promise from the government that negotiations for April 2026 will start in the autumn. It remains to be seen if this actually happens.

We continue to support our pharmacists that want to train to be an independent prescriber (IP). From 2026 graduates joining the pharmacist register will already be trained as independent prescriber so we are keen that the existing workforce don’t feel left behind. We already have 7 IPs working for us with another in training and one applying to train. We utilise their additional skills in our private services alongside a national pilot. We are going to continue to look at possible services where our IPs can use their training.

Medicine supply issues still cause a large amount of extra work for our staff and anxiety for our patients. Despite mechanisms to help supply issues there are still several drugs that are tricky to source on a constant basis.

A key area for us over the next 12 months is going to be reviewing our Patient Medication Record (PMR) system as we strive to find ways to ease capacity for our pharmacists so that they can continue to be able to deliver the quantity of services that the community pharmacy contract is geared towards.

ON BEHALF OF THE BOARD:

Ms L K Dean - Director

26 September 2025

The directors present their report with the financial statements of the company for the year ended 30 April 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of pharmaceutical chemists.

DIVIDENDS

An interim dividend of £8 per share was paid on 11 October 2024. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 30 April 2025 will be £ 34,424 .

DIRECTORS

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

Ms L K Dean

R J Dean

Mrs B I Dean

C W Dean

Mrs H R McGrath

Mrs S E Tyson

SUBSIDIARY COMPANIES

The company held two wholly owned subsidiary companies during the year, J Owen Jones & Sons Limited and Urban Healthcare Limited. These two subsidiary companies remain dormant and there are no plans at present for this position to change.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

AUDITORS

The auditors, Bourne & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Ms L K Dean - Director

26 September 2025

Opinion

We have audited the financial statements of Dean & Smedley,Limited (the 'company') for the year ended 30 April 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 30 April 2025 and of its profit for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

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

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

Auditors' responsibilities for the audit of the financial statements

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations was as follows:

-

the senior statutory auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

-

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;

-

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the financial reporting legislation, Companies Act 2006, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation;

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud my occur, by:

-

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of suspected and alleged fraud; and

-

considering the internal controls in place to mitigate the risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-

investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

reading the minutes of meetings of those charged with governance;

-

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

-

reviewing correspondence with HMRC, relevant regulators and the company's legal advisors.

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

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

Use of our report

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

Callum Edwards BFP ACA (Senior Statutory Auditor)

for and on behalf of Bourne & Co

Statutory Auditors

6 Lichfield Street

Burton-on-Trent

Staffordshire

DE14 3RD

26 September 2025

TURNOVER

3

14,945,456

14,532,982

Cost of sales

10,626,239

10,275,876

GROSS PROFIT

4,319,217

4,257,106

Administrative expenses

4,553,523

4,190,697

(234,306

)

66,409

Other operating income

4

651,027

28,057

OPERATING PROFIT

6

416,721

94,466

Interest receivable and similar income

39,199

37,053

455,920

131,519

Interest payable and similar expenses

7

9,491

9,477

PROFIT BEFORE TAXATION

446,429

122,042

Tax on profit

8

(5,321

)

40,120

PROFIT FOR THE FINANCIAL YEAR

451,750

81,922

PROFIT FOR THE YEAR

451,750

81,922

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

451,750

81,922

FIXED ASSETS

Intangible assets

10

418,563

471,133

Tangible assets

11

1,451,737

1,578,822

Investments

12

2

2

1,870,302

2,049,957

CURRENT ASSETS

Stocks

13

666,734

664,441

Debtors

14

1,602,971

1,479,146

Cash at bank and in hand

3,322,562

2,647,752

5,592,267

4,791,339

CREDITORS

Amounts falling due within one year

15

2,616,012

2,416,720

NET CURRENT ASSETS

2,976,255

2,374,619

TOTAL ASSETS LESS CURRENT LIABILITIES

4,846,557

4,424,576

PROVISIONS FOR LIABILITIES

17

116,939

112,284

NET ASSETS

4,729,618

4,312,292

CAPITAL AND RESERVES

Called up share capital

18

4,303

4,303

Revaluation reserve

19

529,193

566,750

Retained earnings

19

4,196,122

3,741,239

SHAREHOLDERS' FUNDS

4,729,618

4,312,292

The financial statements were approved by the Board of Directors and authorised for issue on 26 September 2025 and were signed on its behalf by:

Ms L K Dean - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 May 2023

4,303

3,693,741

566,750

4,264,794

Changes in equity

Dividends

-

(34,424

)

-

(34,424

)

Total comprehensive income

-

81,922

-

81,922

Balance at 30 April 2024

4,303

3,741,239

566,750

4,312,292

Changes in equity

Dividends

-

(34,424

)

-

(34,424

)

Total comprehensive income

-

489,307

(37,557

)

451,750

Balance at 30 April 2025

4,303

4,196,122

529,193

4,729,618

Cash flows from operating activities

Cash generated from operations

1

688,179

53,730

Interest paid

(9,491

)

(9,477

)

Tax paid

(21,181

)

(38,051

)

Net cash from operating activities

657,507

6,202

Cash flows from investing activities

Purchase of tangible fixed assets

(129,133

)

(150,785

)

Sale of tangible fixed assets

141,268

(462

)

Interest received

39,199

37,053

Net cash from investing activities

51,334

(114,194

)

Cash flows from financing activities

Amount introduced by directors

393

382

Equity dividends paid

(34,424

)

(34,424

)

Net cash from financing activities

(34,031

)

(34,042

)

Increase/(decrease) in cash and cash equivalents

674,810

(142,034

)

Cash and cash equivalents at beginning of year

2

2,647,752

2,789,786

Cash and cash equivalents at end of year

2

3,322,562

2,647,752

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.4.25

30.4.24

£

£

Profit before taxation

446,429

122,042

Depreciation charges

154,113

134,212

Loss on disposal of fixed assets

13,407

945

Finance costs

9,491

9,477

Finance income

(39,199

)

(37,053

)

584,241

229,623

(Increase)/decrease in stocks

(2,293

)

42,925

Increase in trade and other debtors

(113,718

)

(149,492

)

Increase/(decrease) in trade and other creditors

219,949

(69,326

)

Cash generated from operations

688,179

53,730

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30 April 2025

30.4.25

1.5.24

£

£

Cash and cash equivalents

3,322,562

2,647,752

Year ended 30 April 2024

30.4.24

1.5.23

£

£

Cash and cash equivalents

2,647,752

2,789,786

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.5.24

Cash flow

At 30.4.25

£

£

£

Net cash

Cash at bank and in hand

2,647,752

674,810

3,322,562

2,647,752

674,810

3,322,562

Total

2,647,752

674,810

3,322,562

1.	STATUTORY INFORMATION

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

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

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Preparation of consolidated financial statements

The financial statements contain information about Dean and Smedley Limited as an individual company and do not contain consolidated financial information as the parent of a group. The reasons for non consolidation are that the two subsidiaries are both dormant and the consolidation of them would not add any value to the accounts of Dean and Smedley Limited. The inclusion of consolidated financial information would not add to the true and fair view of these accounts.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions regarding the carrying amount of the company's assets and liabilities. These are based on historical experience and other factors that are considered relevant. They are reviewed on a regular basis and changes recognised in the period in which the estimate is revised. Actual results may differ from these estimates.

The following are the critical accounting judgements and key sources of estimation uncertainty:

Tangible fixed assets are depreciated over their useful economic lives taking into account their residual values where appropriate. The acute lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the asset lives, factors such as technical innovation, product life cycles and maintainable programmes are taken into account. Residual values consider such things as future market condition, the remaining life of the asset and projected disposal values.

The value of stock is assessed for impairment. In assessing the stock value, factors such as slow movement and obsolescence are taken into account.

Turnover

Turnover comprises sales of goods and services and is stated at invoice or reimbursement value less discounts excluding value added tax.

Turnover is recognised when control of the goods is transferred to the customer, provided that the amount of revenue can be reliably measured, and it is likely that economic benefits will flow to the Company. Turnover arising from services are recognised when services are provided to the customer. Any deductions from sales such as returned goods, rebates, discounts allowed and bonuses are deducted from gross revenue.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of various businesses, is being written off evenly over its estimated useful life of 15 years. The directors believe that this reflects the life of the goodwill acquired in each branch more realistically than the 10 years maximum permitted by Financial Reporting Standard 102.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Patents and licences are being amortised evenly over their estimated useful life of either twenty or twenty five years.

Tangible fixed assets

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

Freehold property

-

2% on cost

Short leasehold

-

in accordance with the property lease.

Long leasehold

-

in accordance with the property lease.

Plant and machinery

-

33% on cost

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

Tangible fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost less any accumulated impairment losses.

Stocks

Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items, as valued by independent stocktakers. The cost price is calculated using the average purchase price of each product during the final three months of the year.

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 or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

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

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

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership of the leased asset to the company. All other leases are classified as operating leases.

Assets held under finance leases are recognised initially at the fair value of the leased asset (or if lower the present value of minimum lease payments) at the inception of the lease. The corresponding liability to the lessor is included in the statement of financial position as a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease obligation using the effective interst method so a to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are deducted in measuring profit or loss. Assets held under finance leases are included in tangible fixed assets and depreciated and assessed for impairment losses in the same way as owned assets.

Rentals paid under operating leases are charged to profit and loss on a straight line basis over the lease term unless the rental payments are structured to increase in line with expected general inflation, in which case the company recognises annual rent expense equal to amounts owed to the lessor.

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.

Holiday pay

The company recognises a provision for annual leave accrued by employees as a result of services rendered and which they are entitled to carry forward and use. The provision is measured at the salary cost payable for the period of absence.

Financial assets and liabilities

Short term debtors are measured at transaction price, less any impairment.

Short term creditors are measured at transaction price, less any impairment. Other financial liabilities, including loans from group companies are measured initially at fair value net of transaction costs and are subsequently measured at amortised cost using the effective interest method, less any impairment.

Going concern

After reviewing the company's forecasts and projections, plus the latest management accounts, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern policy in preparing its financial statements.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company and arose wholly within the United Kingdom.

4.	OTHER OPERATING INCOME

30.4.25

30.4.24

£

£

Rents receivable from sub lets

22,044

23,976

Sundry receipts

628,983

4,081

651,027

28,057

5.	EMPLOYEES AND DIRECTORS

30.4.25

30.4.24

£

£

Wages and salaries

3,054,509

2,824,638

Social security costs

278,327

239,745

Other pension costs

197,915

201,957

3,530,751

3,266,340

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

30.4.25

30.4.24

Management and Support

14

14

Branch Managers and Sales

121

119

135

133

30.4.25

30.4.24

£

£

Directors' remuneration

284,554

239,363

Directors' pension contributions to money purchase schemes

30,000

30,000

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

Money purchase schemes

1

1

Information regarding the highest paid director is as follows:

30.4.25

30.4.24

£

£

Emoluments etc

181,318

136,318

Pension contributions to money purchase schemes

30,000

30,000

6.	OPERATING PROFIT

The operating profit is stated after charging:

30.4.25

30.4.24

£

£

Hire of plant and machinery

59,602

71,822

Depreciation - owned assets

101,543

81,642

Loss on disposal of fixed assets

13,407

945

Goodwill amortisation

30,000

30,000

Patents and licences amortisation

22,570

22,570

Auditors' remuneration

17,877

15,498

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

30.4.25

30.4.24

£

£

Other interest payable

9,491

9,477