Eagle Foods Ltd 31/12/2024 iXBRL

Company registration number: 04994847

Eagle Foods Ltd

Financial statements

31 December 2024

Eagle Foods Ltd

Contents

Directors and other information

Strategic report

Directors report

Independent auditor's report to the members

Statement of comprehensive income

Statement of financial position

Statement of changes in equity

Statement of cash flows

Notes to the financial statements

Eagle Foods Ltd

Directors and other information


	Directors	Mr Makthar Ali
		Mr Ibrar Ayoub
		Mr Liaqat Ali


	Secretary	Bashart Ali


	Company number	04994847


	Registered office	Anteon House
		Newark Road
		Peterborough
		PE1 5FL


	Auditor	Hamilton Coopers
		66 Earl Street
		Maidstone
		ME14 1PS

Eagle Foods Ltd

Strategic report

Year ended 31 December 2024

Business Review

The business specializes in the distribution of premium meats and poultry products. It holds a strong position in the market, under pinned by a commitment to quality and exceptional customer service. Through the promotion of its own branded products and the strategic use of bulk purchasing, the company is actively working to increase market share and drive profitability.

The growing success of its in-house brands, combined with a positive outlook from the board, reflects strong potential for continued growth.

Additionally, the company recently completed an ownership restructure, supporting its long-term strategic objectives and enhancing shareholder value.

The main financial indicators during the year were as follows:

- Turnover - £14,520,540 (£13,30,932 : 2023)

- Gross Profit Margin 21.5% (17.9% : 2023)

Principal Risk And Uncertainties

The company possesses the required management expertise to monitor and manage risk. The principal risks and uncertainties facing the company are as follows:

Price Risk

Price risk arises as a result of fluctuations in prices of meat and other food items. Management monitor this to ensure exposure is limited.

Credit Risk

Credit risk is addressed by setting credit limits to customers according to their credit rating.

Liquidity Risk

Liquidity Risk is controlled by the appropriate arrangement with its finance providers.

Financial Risk

Financial risk is due to fluctuation in foreign exchange. This is minimised by having most transactions in Sterling and monitoring closely exchange rate fluctuations as well as adjusting sale prices accordingly.

Economic Risk

Economic risk is due to the economic slowdown leading to a decline in consumer spending which will have an effect on cash flow. Management continue to promote their own brand products and build brand loyalty.

This report was approved by the board of directors on 2 October 2025 and signed on behalf of the board by:

Mr Makthar Ali

Director

Eagle Foods Ltd

Directors report

Year ended 31 December 2024

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

Directors

The directors who served the company during the year were as follows:

Mr Makthar Ali

Mr Ibrar Ayoub

Mr Liaqat Ali

Dividends

Particulars of recommended dividends are detailed in note 11 to the financial statements.

Future developments

The company continues to actively promote its own branded product lines, which have gained strong market traction. With growing brand recognition and a clear strategic focus, the outlook for future performance remains highly promising.

Disclosure of information in the strategic report.

The information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 has been disclosed in th Strategic Report.

Directors responsibilities statement

The directors are responsible for preparing the strategic report, 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). 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 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 judgments and accounting estimates that are reasonable and prudent;

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

- 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.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.

This report was approved by the board of directors on 02 October 2025 and signed on behalf of the board by:

Mr Makthar Ali

Director

Eagle Foods Ltd

Independent auditor's report to the members of

Eagle Foods Ltd

Year ended 31 December 2024

Opinion

We have audited the financial statements of Eagle Foods Ltd (the 'company') for the year ended 31 December 2024 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, statement of cash flows 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 FRS 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 auditor’s 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 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 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 has 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 the 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, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: Capability of the audit in detecting irregularities, including fraud.The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud or error; and to respond appropriately to those risks.Based on our understanding of the company and industry, and through discussion with the management (as required by auditing standards), we identified that the principal risks of non-compliance with laws and regulations related to their FCA permissions and requirements. 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 the Companies Act 2006 and taxation. We communicated identified laws and regulations throughout our team and remainedalert to any indications of non-compliance throughout the audit. 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 increase revenue or reduce expenditure and management bias in accounting estimates and judgmental areas of the financial statements such as accrued income.Audit procedures performed by the engagement team included:- Discussions with management and assessment of known or suspected instances of non-compliance with laws and regulations and fraud; and- Assessment of identified fraud risk factors; and- Challenging assumptions and judgements made by management in its significant accounting estimates; and- Performing analytical procedures to identify any unusual or unexpected relationships, including related party transactions, that may indicate risks of material misstatement due to fraud; and- Confirmation of related parties with management, and review of transactions throughout the period to identify any previously undisclosed transactions with related parties outside the normal course of business; and- Reading minutes of meetings of those charged with governance; and- Review of significant and unusual transactions and evaluation of the underlying financial rationalesupporting the transactions; and- Identifying and testing journal entries, in particular any manual entries made at the year end for financial statement preparation.There are inherent limitations in the audit procedures described above and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. we also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

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.

Asim Malik FCA DCha (Senior Statutory Auditor)

For and on behalf of

Hamilton Coopers

Chartered Accountant and & Statutory Auditors

66 Earl Street

Maidstone

ME14 1PS

02 October 2025

Eagle Foods Ltd

Statement of comprehensive income

Year ended 31 December 2024

		2024	2023
	Note	£	£


Turnover	4	14,520,540	13,308,932
Cost of sales		( 11,402,099)	( 10,921,956)
		_______	_______
Gross profit		3,118,441	2,386,976

Distribution costs		( 203,745)	( 177,050)
Administrative expenses		( 2,228,195)	( 2,301,432)
Other operating income	5	18,590	18,149
		_______	_______
Operating profit/(loss)	6	705,091	( 73,357)

Interest payable and similar expenses	9	( 190,113)	( 142,259)
Profit/(loss) before taxation		514,978	( 215,616)

Tax on profit/(loss)	10	( 94,835)	( 138,882)
		_______	_______
Profit/(loss) for the financial year and total comprehensive income		420,143	( 354,498)
		_______	_______

All the activities of the company are from continuing operations.

Eagle Foods Ltd

Statement of financial position

31 December 2024

		2024		2023
	Note	£	£	£	£

Fixed assets
Tangible assets	12	4,406,134		4,051,152
		_______		_______
			4,406,134		4,051,152

Current assets
Stocks	13	3,379,357		2,699,335
Debtors	14	2,772,225		2,963,241
Cash at bank and in hand		55,153		45,962
		_______		_______
		6,206,735		5,708,538
Creditors: amounts falling due
within one year	16	( 4,589,941)		( 4,242,901)
		_______		_______
Net current assets			1,616,794		1,465,637
			_______		_______
Total assets less current liabilities			6,022,928		5,516,789

Creditors: amounts falling due
after more than one year	17		( 1,783,598)		( 562,182)

Provisions for liabilities	18		( 668,438)		( 577,953)

			_______		_______
Net assets			3,570,892		4,376,654
			_______		_______

Capital and reserves
Called up share capital	22		70,000		140,000
Revaluation reserve			1,669,818		1,669,818
Profit and loss account			1,831,074		2,566,836
			_______		_______
Shareholders funds			3,570,892		4,376,654
			_______		_______

These financial statements were approved by the board of directors and authorised for issue on 02 October 2025 , and are signed on behalf of the board by:

Mr Makthar Ali

Director

Company registration number: 04994847

Eagle Foods Ltd

Statement of changes in equity

Year ended 31 December 2024

	Called up share capital	Revaluation reserve	Profit and loss account	Total
	£	£	£	£


At 1 January 2023	140,000	1,792,451	2,918,701	4,851,152

Profit/(loss) for the year			( 354,498)	( 354,498)
Other comprehensive income for the year:
Tax relating to components of other comprehensive income		( 122,633)	122,633	-
	_______	_______	_______	_______
Total comprehensive income for the year	-	( 122,633)	( 231,865)	( 354,498)

Dividends paid and payable			( 120,000)	( 120,000)
	_______	_______	_______	_______
Total investments by and distributions to owners	-	-	( 120,000)	( 120,000)

	_______	_______	_______	_______
At 31 December 2023 and 1 January 2024	140,000	1,669,818	2,566,836	4,376,654

Profit/(loss) for the year			420,143	420,143
	_______	_______	_______	_______
Total comprehensive income for the year	-	-	420,143	420,143

Redemption of shares	( 70,000)		( 1,155,905)	( 1,225,905)
	_______	_______	_______	_______
Total investments by and distributions to owners	( 70,000)	-	( 1,155,905)	( 1,225,905)

	_______	_______	_______	_______
At 31 December 2024	70,000	1,669,818	1,831,074	3,570,892
	_______	_______	_______	_______

Eagle Foods Ltd

Statement of cash flows

Year ended 31 December 2024

		2024	2023
	Note	£	£

Cash flows from operating activities
Profit/(loss) for the financial year		420,143	( 354,498)

Adjustments for:
Depreciation of tangible assets		213,219	98,532
Interest payable and similar expenses		190,113	142,259
Gain/(loss) on disposal of tangible assets		2,456	( 2,713)
Tax on profit/loss		94,835	138,882
Accrued expenses/(income)		10,036	4,281

Changes in:
Stocks		( 680,022)	799,546
Trade and other debtors		191,016	363,246
Trade and other creditors		400,873	96,725
		_______	_______
Cash generated from operations		842,669	1,286,260

Interest paid		( 190,113)	( 142,259)
Tax paid		( 28,297)	( 62,716)
		_______	_______
Net cash from operating activities		624,259	1,081,285
		_______	_______

Cash flows from investing activities
Purchase of tangible assets		( 570,657)	( 191,728)
Proceeds from sale of tangible assets		-	28,577
		_______	_______
Net cash used in investing activities		( 570,657)	( 163,151)
		_______	_______

Cash flows from financing activities
Purchases to acquire or redeem own shares		( 1,225,905)	-
Proceeds from borrowings		2,030,000	-
Repayments of borrowings		( 784,981)	( 181,168)
Equity dividends paid		-	( 120,000)
		_______	_______
Net cash from/(used in) financing activities		19,114	( 301,168)
		_______	_______

Net increase/(decrease) in cash and cash equivalents		72,716	616,966
Cash and cash equivalents at beginning of year	15	(176,031)	(792,997)
		_______	_______
Cash and cash equivalents at end of year	15	( 103,315)	( 176,031)
		_______	_______

Eagle Foods Ltd

Notes to the financial statements

Year ended 31 December 2024

1. General information

The company is a private company limited by shares, registered in England & Wales. The address of the registered office is Anteon House, Newark Road, Peterborough, PE1 5FL.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.

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

Turnover

Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Taxation

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised in other comprehensive income or directly in capital and reserves. In this case, tax is recognised in other comprehensive income or directly in capital and reserves, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to profit or loss.

Tangible assets

tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in capital and reserves, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:


Freehold property	-	1 %	straight line
25% and 33.3% reducing balance	-	25% and 33.3% Reducing balance
Motor vehicles	-	25 %	reducing balance

If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets, the depreciation is revised prospectively to reflect the new estimates.

Investment property

Investment property is measured initially at cost, which includes purchase price and any directly attributable expenditure. Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in profit or loss.

Impairment

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stocks to their present location and condition.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event; it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised in finance costs in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised in finance costs in profit or loss in the period in which it arises.

4. Turnover

Turnover arises from:

	2024	2023
	£	£
Sale of goods	14,520,540	13,308,932
	_______	_______

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Other operating income

	2024	2023
	£	£
Rental income	14,300	15,188
Other operating income	4,290	2,961
	_______	_______
	18,590	18,149
	_______	_______

6. Operating profit/loss

Operating profit/loss is stated after charging/(crediting):

	2024	2023
	£	£
Depreciation of tangible assets	213,219	98,532
(Gain)/loss on disposal of tangible assets	2,456	( 2,713)
Impairment of trade debtors	96,271	791,113
Foreign exchange differences	50	-
Fees payable for the audit of the financial statements	10,500	10,250
	_______	_______

7. Staff costs

The average number of persons employed by the company during the year, including the directors, amounted to:

	2024	2023
Management	4	3
Administrative	10	10
Warehouse	20	20
	_______	_______
	34	33
	_______	_______

The aggregate payroll costs incurred during the year were:

	2024	2023
	£	£
Wages and salaries	757,059	611,699
Social security costs	62,151	39,698
Other pension costs	6,375	4,829
	_______	_______
	825,585	656,226
	_______	_______

8. Directors remuneration

The directors aggregate remuneration in respect of qualifying services was:

	2024	2023
	£	£
Remuneration	49,169	26,295
	_______	_______

9. Interest payable and similar expenses

		2024	2023
		£	£
Bank loans and overdrafts		106,027	84,382
Other loans made to the company:
	Factoring loans	84,086	45,638
	Other interest	-	7,154
Other interest payable and similar expenses		-	5,085
		_______	_______
		190,113	142,259
		_______	_______

10. Tax on profit/loss

Major components of tax expense

	2024	2023
	£	£
Current tax:
UK current tax expense/income	4,350	( 27,111)
	_______	_______

Deferred tax:
Origination and reversal of timing differences	90,485	165,993
	_______	_______
Tax on profit/loss	94,835	138,882
	_______	_______

Reconciliation of tax expense

The tax assessed on the profit/loss for the year is lower than (2023: higher than) the standard rate of corporation tax in the UK of 25.00 % (2023: 19.00%).

	2024	2023
	£	£
Profit/(loss) before taxation	514,978	( 215,616)
	_______	_______

Profit/(loss) multiplied by rate of tax	128,745	( 40,967)
Effect of expenses not deductible for tax purposes	1,960	1,021
Effect of capital allowances and depreciation	( 81,559)	( 20,501)
Effect of different UK tax rates on some earnings	(934)	-
Utilisation of tax losses	( 43,862)	33,336
Origination and reversal of timing differences	90,485	165,993
	_______	_______
Tax on profit/loss	94,835	138,882
	_______	_______

11. Dividends

Equity dividends

	2024	2023
	£	£
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year)	-	120,000
	_______	_______

12. Tangible assets

	Freehold property	Plant and machinery	Motor vehicles	Total
	£	£	£	£
Cost
At 1 January 2024	3,800,000	1,492,830	261,186	5,554,016
Additions	-	460,751	109,906	570,657
Disposals	-	-	( 61,206)	( 61,206)
	_______	_______	_______	_______
At 31 December 2024	3,800,000	1,953,581	309,886	6,063,467
	_______	_______	_______	_______
Depreciation
At 1 January 2024	71,400	1,277,034	154,430	1,502,864
Charge for the year	35,700	148,996	28,523	213,219
Disposals	-	-	( 58,750)	( 58,750)
	_______	_______	_______	_______
At 31 December 2024	107,100	1,426,030	124,203	1,657,333
	_______	_______	_______	_______
Carrying amount
At 31 December 2024	3,692,900	527,551	185,683	4,406,134
	_______	_______	_______	_______
At 31 December 2023	3,728,600	215,796	106,756	4,051,152
	_______	_______	_______	_______

HSBC has a legal charge on the freehold property in order to secure company borrowing's.

Investment property

Included within the above is investment property measured at fair value as follows:

		£
	At 1 January 2024 and 31 December 2024	230,000
		_______

The cost of the investment property before fair value revaluation is £309,064.

13. Stocks

	2024	2023
	£	£
Finished goods and goods for resale	3,379,357	2,699,335
	_______	_______

14. Debtors

	2024	2023
	£	£
Trade debtors	1,340,786	1,381,507
Amounts owed by undertakings in which the company has a participating interest	1,323,440	1,171,710
Prepayments and accrued income	23,209	17,724
Other debtors	84,790	392,300
	_______	_______
	2,772,225	2,963,241
	_______	_______

15. Cash and cash equivalents

	2024	2023
	£	£
Cash at bank and in hand	55,153	45,962
Bank overdrafts	( 158,468)	( 221,993)
	_______	_______
	( 103,315)	( 176,031)
	_______	_______

16. Creditors: amounts falling due within one year

	2024	2023
	£	£
Bank loans and overdrafts	378,908	461,993
Trade creditors	2,820,603	2,618,462
Accruals and deferred income	41,988	31,952
Corporation tax	-	1,186
Social security and other taxes	54,872	10,833
Director loan accounts	20,402	-
Other creditors	1,273,168	1,118,475
	_______	_______
	4,589,941	4,242,901
	_______	_______

Included in bank loans and overdrafts are amounts in the sum of £158,468 ( Dec 2023 : £221,993 in respect of bank overdraft.The balance of £220,440 (Dec 2023 :£240,000) is in respect of secured bank loans due within one year.

17. Creditors: amounts falling due after more than one year

	2024	2023
	£	£
Bank loans and overdrafts	1,783,598	562,182
	_______	_______

HSBC has a legal charge on the freehold property in order to secure company borrowing's.

18. Provisions

	Deferred tax (note 19)	Total
	£	£
At 1 January 2024	577,953	577,953
Charges against provisions	90,485	90,485
	_______	_______
At 31 December 2024	668,438	668,438
	_______	_______

19. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2024	2023
	£	£
Included in provisions (note 18)	668,438	577,953
	_______	_______

The deferred tax account consists of the tax effect of timing differences in respect of:

	2024	2023
	£	£
Revaluation of tangible assets	510,969	510,969
Provisions	157,469	66,984
	_______	_______
	668,438	577,953
	_______	_______

20. Employee benefits

The amount recognised in profit or loss in relation to defined contribution plans was £ 6,375 (2023: £ 4,829 ).

21. Financial instruments

The carrying amount for each category of financial instrument is as follows:

	2024	2023
	£	£
Financial assets that are debt instruments measured at amortised cost
Trade debtors	1,340,786	1,381,507
Other debtors	84,790	392,300
Cash at bank and in hand	55,153	45,962
	_______	_______
	1,480,729	1,819,769
	_______	_______

Financial liabilities measured at amortised cost
Bank and other loans	2,162,506	1,024,175
Trade creditors	2,820,603	2,618,462
Other creditors	1,273,168	1,118,475
	_______	_______
	6,256,277	4,761,112
	_______	_______

22. Called up share capital

Issued, called up and fully paid

	2024		2023
	No	£	No	£
Ordinary shares shares of £ 1.00 each	70,000	70,000	140,000	140,000
	_______	_______	_______	_______

On 11 October 2024, the company redeemed 70,000 ordinary shares as part of a strategic ownership restructure.

23. Analysis of changes in net debt

	At 1 January 2024	Cash flows	At 31 December 2024
	£	£	£
Cash and cash equivalents	45,962	9,191	55,153
Bank overdrafts	(221,993)	63,525	(158,468)
Debt due within one year	(240,000)	(842)	(240,842)
Debt due after one year	(562,182)	(1,221,416)	(1,783,598)
	_______	_______	_______
	( 978,213)	( 1,149,542)	( 2,127,755)
	_______	_______	_______