REGISTERED NUMBER: 13128850 (England and Wales)

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

FOR

BIG LITTLE TECHNOLOGY LTD

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Consolidated Statement of Comprehensive Income

9

Consolidated Balance Sheet

10

Company Balance Sheet

11

Consolidated Statement of Changes in Equity

12

Company Statement of Changes in Equity

13

Consolidated Cash Flow Statement

14

Notes to the Consolidated Cash Flow Statement

15

Notes to the Consolidated Financial Statements

16

DIRECTORS:

M S Holben

A A D Hope

G F S Jack

E E Walder

Freelands Directors Limited

SECRETARY:

S Mills

REGISTERED OFFICE:

3rd Floor 1 Ashley Road

Altrincham

Cheshire

WA14 2DT

REGISTERED NUMBER:

13128850 (England and Wales)

AUDITORS:

TC Group

1 Rushmills

Bedford Road

Northampton

Northamptonshire

NN4 7YB

The directors present their strategic report of the company and the group for the year ended 31 March 2025.

REVIEW OF BUSINESS

The impact of the 2023 Writers' Guild of America and SAG-AFTRA strikes in North America continued across the global screen sectors well into 2024. Whilst production had restarted by early 2024, the studios' supply of new content ready for post-production work has still not returned to pre-strike levels. However, the Group has signed a range of new agreements which will deliver a range of exciting and technology-led work in the coming months. The Directors are looking forward to steady growth in vfx sales during 2026 as trading conditions improve and interest grows in the company's innovative approach to digital content creation, including the use of games engines and generative AI workflows.

The Group has continued to manage its cost base carefully. The Directors have continued to reassess the industry outlook at frequent intervals and balance the need to mitigate the financial impact of the strikes with retaining talent to take advantage of the post-strike recovery.

PRINCIPAL RISKS AND UNCERTAINTIES

The principal risks and uncertainties facing the Group, as discussed by the Directors, are outlined below. This also includes a brief description of the strategies developed to mitigate any adverse impact if the risks were to materialise, and of how these risks or uncertainties have affected business performance in the year to 31 March 2025 and to date.

1. Commercial: Production activity does not return to its previous pre-strike levels, and demand from studios and streamers does not generate sufficient revenue to cover committed costs. This risk continued to affect performance during the first half of the financial year, but has been mitigated by scenario modelling, proactive cost management and a loan facility to support working capital requirements. The Group has retained positive cash balances.

2. Commercial: As with all creative work there is a risk of projects not being profitable e.g. due to incorrect pricing or changes to project scope or delivery date. These risks are mitigated by using a consistent and comprehensive bidding model, and building strong communication with clients to anticipate changes in advance of these occurring. This risk reduces as we return to higher volumes of work.

3. Commercial: Adverse publicity which would impact on reputation or brand. A perception of lower quality output could dissuade a studio from subsequent projects. However, the Group’s founders are well known in the sector with strong global relationships. The Group has also continued to invest during the period in outstanding creative and leadership talent.

4. Technology: There are other vfx companies working to automate vfx workflows and implement generative AI tools. If the Group does not establish itself early on with key clients as a thought leader and successful partner in this space, it could lose its distinct competitive advantage. The company is committed to development of these technologies. The successful deployment of them on recently commissioned work reflects the effectiveness of the company’s technology proposition.

5. Operational: Loss of key members of staff or the failure to recruit staff needed to deliver shows. Salary offers are made on a case by case basis taking into account the competitive environment at the time of hiring. The company was also set up as a remote first operation. Whilst staff often work from the companies’ offices, this flexibility is attractive to talent.

KEY PERFORMANCE INDICATORS

The principal indicators of performance across the Group are Gross Margin % and EBITDA %. These are measured monthly in management reports to the Board on a single month, three month and six month trailing basis, as individual monthly performance can be affected by volatility in individual projects.

After a profitable year to July 2023, Gross margin and EBITDA were significantly impacted in the subsequent period by the Writers’ Guild of America and SAG-AFTRA strikes in 2023. The results for the year to 31 March 2025 reflect continuing difficult conditions in the first few months, but a return to better margins in the second half of the year.

Year ended 31 March 2025

Period ended 31 March 2024

Year ended 31 July 2023

Gross Margin %

40%

28%

46%

EBITDA %

(8%

)

(39%

)

7%

ON BEHALF OF THE BOARD:

A A D Hope - Director

15 October 2025

The directors present their report with the financial statements of the company and the group for the year ended 31 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of motion picture, video and television programme post-production activities.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2025.

RESEARCH AND DEVELOPMENT

New technology is an essential element of the Group’s offering to clients. The Group has a technology and engineering function which is focused on improving the VFX pipeline to enhance workflows and deliver files to clients with minimal friction.

FUTURE DEVELOPMENTS

The outlook for 2026 is positive, with a number of new contracts agreed and hiring at pace to resource the new slate of shows. The Directors are also confident that the company's core technology proposition of a real-time workflow and the implementation of generative AI workflows where appropriate, provide it with a significant opportunity in the rapidly evolving screen sector. With this and committed financial support including the loan note issued on 15 May 2024, the Directors conclude that it is appropriate to prepare the financial statements on the going concern basis.

DIRECTORS

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

M S Holben

A A D Hope

G F S Jack

E E Walder

Other changes in directors holding office are as follows:

M J Devereux - resigned 1 July 2024

Freelands Directors Limited - appointed 1 July 2024

FINANCIAL INSTRUMENTS

The group utilises various financial instruments including loans, cash and various items such as trade debtors and trade creditors that arise directly from its operations. The main purpose of these is to raise finance for the group's operations. The existence of these financial instruments exposes the group to a number of financial risks in addition to the commercial, operation and financial risks which are described in more detail in the Strategic Report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group'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 group's auditors are aware of that information.

AUDITORS

The auditors, TC Group, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

A A D Hope - Director

15 October 2025

Opinion

We have audited the financial statements of Big Little Technology Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 March 2025 and of the group's loss 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 group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

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

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

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

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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 group's and the parent 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 group or the parent 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.

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:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the company

and determined that the most significant frameworks which are directly relevant so specific assertions in the financial statements are those that relate to the reporting framework (UK GAAP and the Companies Act 2006) and the relevant tax compliance regulations in the UK.

We understood how the company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through review of board minutes and discussions with those charged with governance.

We assess the susceptibility of the company's financial statements to material misstatement, including how fraud might occur, by discussion with management from various parts of the business to understand where they considered there was a susceptibility to fraud. We considered the procedures and controls that the company has established to prevent and detect fraud, and how these are monitored by management, and also any enhanced risk factors such as performance targets.

Based on our understanding, we designed our audit procedures to identify any non-compliance with laws and regulations identified in the paragraphs above.

We also performed audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

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.

Emma Jones FCCA (Senior Statutory Auditor)

for and on behalf of TC Group

1 Rushmills

Bedford Road

Northampton

Northamptonshire

NN4 7YB

15 October 2025

TURNOVER

3

14,868,097

7,599,082

Cost of sales

8,968,192

5,504,832

GROSS PROFIT

5,899,905

2,094,250

Administrative expenses

7,513,707

5,256,196

OPERATING LOSS

5

(1,613,802

)

(3,161,946

)

Interest receivable and similar income

5,952

1,055

Interest payable and similar expenses

6

(164,118

)

(188,126

)

LOSS BEFORE TAXATION

(1,771,968

)

(3,349,017

)

Tax on loss

7

(90,866

)

123,041

LOSS FOR THE FINANCIAL YEAR

(1,681,102

)

(3,472,058

)

OTHER COMPREHENSIVE INCOME

Translation of foreign operations

89,271

(50,310

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

89,271

(50,310

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(1,591,831

)

(3,522,368

)

Loss attributable to:

Owners of the parent

(1,681,102

)

(3,472,058

)

Total comprehensive income attributable to:

Owners of the parent

(1,591,831

)

(3,522,368

)

FIXED ASSETS

Intangible assets

9

1,011,155

988,878

Tangible assets

10

134,074

135,634

Investments

11

100,235

100,235

1,245,464

1,224,747

CURRENT ASSETS

Debtors

12

2,617,230

2,778,508

Cash at bank

3,208,478

1,649,955

5,825,708

4,428,463

CREDITORS

Amounts falling due within one year

13

2,041,548

2,531,755

NET CURRENT ASSETS

3,784,160

1,896,708

TOTAL ASSETS LESS CURRENT LIABILITIES

5,029,624

3,121,455

CREDITORS

Amounts falling due after more than one year

14

3,500,000

4,000,000

NET ASSETS/(LIABILITIES)

1,529,624

(878,545

)

CAPITAL AND RESERVES

Called up share capital

17

1,019

744

Share premium

18

7,999,501

3,999,776

Foreign exchange reserve

18

(133,410

)

(222,681

)

Retained earnings

18

(6,337,486

)

(4,656,384

)

SHAREHOLDERS' FUNDS

1,529,624

(878,545

)

The financial statements were approved by the Board of Directors and authorised for issue on 15 October 2025 and were signed on its behalf by:

A A D Hope - Director

FIXED ASSETS

Intangible assets

9

974,405

940,401

Tangible assets

10

110,084

93,507

Investments

11

101,446

101,446

1,185,935

1,135,354

CURRENT ASSETS

Debtors

12

3,828,432

2,986,041

Cash at bank

731,178

165,613

4,559,610

3,151,654

CREDITORS

Amounts falling due within one year

13

799,535

1,830,248

NET CURRENT ASSETS

3,760,075

1,321,406

TOTAL ASSETS LESS CURRENT LIABILITIES

4,946,010

2,456,760

CREDITORS

Amounts falling due after more than one year

14

3,500,000

4,000,000

NET ASSETS/(LIABILITIES)

1,446,010

(1,543,240

)

CAPITAL AND RESERVES

Called up share capital

17

1,019

744

Share premium

18

7,999,501

3,999,776

Retained earnings

18

(6,554,510

)

(5,543,760

)

SHAREHOLDERS' FUNDS

1,446,010

(1,543,240

)

Company's loss for the financial year

(1,010,750

)

(3,451,555

)

The financial statements were approved by the Board of Directors and authorised for issue on 15 October 2025 and were signed on its behalf by:

A A D Hope - Director

Called up

Foreign

share

Retained

Share

exchange

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1 August 2023

744

(1,184,326

)

3,999,776

(172,371

)

2,643,823

Changes in equity

Total comprehensive income

-

(3,472,058

)

-

(50,310

)

(3,522,368

)

Balance at 31 March 2024

744

(4,656,384

)

3,999,776

(222,681

)

(878,545

)

Changes in equity

Issue of share capital

275

-

3,999,725

-

4,000,000

Total comprehensive income

-

(1,681,102

)

-

89,271

(1,591,831

)

Balance at 31 March 2025

1,019

(6,337,486

)

7,999,501

(133,410

)

1,529,624

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 August 2023

744

(2,092,205

)

3,999,776

1,908,315

Changes in equity

Total comprehensive income

-

(3,451,555

)

-

(3,451,555

)

Balance at 31 March 2024

744

(5,543,760

)

3,999,776

(1,543,240

)

Changes in equity

Issue of share capital

275

-

3,999,725

4,000,000

Total comprehensive income

-

(1,010,750

)

-

(1,010,750

)

Balance at 31 March 2025

1,019

(6,554,510

)

7,999,501

1,446,010

Cash flows from operating activities

Cash generated from operations

1

(1,541,225

)

(165,861

)

Interest paid

(164,118

)

(188,126

)

Tax paid

105,110

(126,276

)

Net cash from operating activities

(1,600,233

)

(480,263

)

Cash flows from investing activities

Purchase of intangible fixed assets

(298,051

)

(311,437

)

Purchase of tangible fixed assets

(49,145

)

(83,350

)

Purchase of fixed asset investments

-

(100,235

)

Sale of tangible fixed assets

-

224

Interest received

5,952

1,055

Net cash from investing activities

(341,244

)

(493,743

)

Cash flows from financing activities

New loans in year

3,500,000

-

Loan repayments in year

(4,000,000

)

-

Share issue

4,000,000

-

Net cash from financing activities

3,500,000

-

Increase/(decrease) in cash and cash equivalents

1,558,523

(974,006

)

Cash and cash equivalents at beginning of year

2

1,649,955

2,623,961

Cash and cash equivalents at end of year

2

3,208,478

1,649,955

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

Period

1.8.23

Year ended

to

31.3.25

31.3.24

£

£

Loss before taxation

(1,771,968

)

(3,349,017

)

Depreciation charges

315,429

188,710

Exchange loss / (gain)

100,320

(52,232

)

Finance costs

164,118

188,126

Finance income

(5,952

)

(1,055

)

(1,198,053

)

(3,025,468

)

Decrease in trade and other debtors

152,494

2,517,506

(Decrease)/increase in trade and other creditors

(495,666

)

342,101

Cash generated from operations

(1,541,225

)

(165,861

)

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 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

3,208,478

1,649,955

Period ended 31 March 2024

31.3.24

1.8.23

£

£

Cash and cash equivalents

1,649,955

2,623,961

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank

1,649,955

1,558,523

3,208,478

1,649,955

1,558,523

3,208,478

Debt

Debts falling due after 1 year

(4,000,000

)

500,000

(3,500,000

)

(4,000,000

)

500,000

(3,500,000

)

Total

(2,350,045

)

2,058,523

(291,522

)

1.	STATUTORY INFORMATION

Big Little Technology Ltd 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 General Information page.

The main trading address for the Company is 2nd Floor, 30 Gresse Street, London, W1T 1QR.

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.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the company's accounting policies.

The Group's functional and presentational currency is GBP rounded to the nearest pound.

Going concern

The outlook for 2026 is positive, with a number of new contracts agreed and hiring at pace to resource the new slate of shows. The Directors are also confident that the company's core technology proposition of a real-time workflow and the implementation of generative AI workflows where appropriate, provide it with a significant opportunity in the rapidly evolving screen sector. With this and committed financial support including the loan note issued on 15 May 2024, the Directors conclude that it is appropriate to prepare the financial statements on the going concern basis.