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Registered number: 02690345









A1 PHARMACEUTICALS PLC









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2025

 
A1 PHARMACEUTICALS PLC
 
 
COMPANY INFORMATION


Directors
G S Lewis BSc (Hons) MRPharmS 
C Lewis 
H T J Lewis 
T W Lewis 
C Dancer 




Company secretary
Mrs C Lewis



Registered number
02690345



Registered office
Unit 20 & 21 Easter Industrial Park
Ferry Lane South

Rainham

Essex

RM13 9BP




Independent auditors
Barnes Roffe Audit Limited
Chartered Accountants & Statutory Auditor

Charles Lake House

Claire Causeway

Crossways Business Park

Dartford

Kent

DA2 6QA





 
A1 PHARMACEUTICALS PLC
 

CONTENTS



Page
Strategic Report
 
1 - 2
Directors' Report
 
3 - 4
Independent Auditors' Report
 
5 - 8
Statement of Comprehensive Income
 
9
Balance Sheet
 
10
Statement of Changes in Equity
 
11
Notes to the Financial Statements
 
12 - 25


 
A1 PHARMACEUTICALS PLC
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2025

Introduction
 
The directors present their strategic report in conjunction with the financial statements for the year ended 30 April
2025.

Business review
 
The financial results, as detailed on page 9, reflect another commendable year of trading performance despite the ongoing challenges from Brexit and wider interruptions across global markets. Turnover increased from £56 million to £60.1 million, marking the first time the company has exceeded £60 million in revenues. Gross margins also improved compared to the previous year.
The directors are pleased that the team successfully navigated these challenges and maintained robust margins, ensuring that the company remained well-positioned to deliver strong results. The company’s financial position continues to strengthen annually, with ongoing reinvestment in personnel, operational processes, and advanced technology.
During the year, the firm placed particular focus on developing new product groups and targeting new customer segments in order to win market share and enhance profitability. This strategic direction has been a key driver behind the company’s strong performance

Principal risks and uncertainties
 
The company’s principal risks include ongoing uncertainties in global markets and the continuing adjustments following Brexit. In addition, volatility in foreign exchange rates and elevated inflation have created challenges, with potential impacts on profitability and procurement costs. The directors remain focused on driving operational efficiencies to mitigate rising overheads and safeguard operating margins

Financial key performance indicators
 
The directors consider key performance indicators to be those that reflect the company’s financial performance and resilience, including turnover, gross profit, and operating profit. They also monitor inventory turnover to ensure stock levels remain efficient while minimising obsolescence, as well as order fulfilment and service levels to maintain high standards of customer satisfaction. In addition, customer growth and regulatory compliance are tracked as important measures of performance.

Page 1

 
A1 PHARMACEUTICALS PLC
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025

Directors' statement of compliance with duty to promote the success of the company
 
The directors are required under section 172 of the Companies Act 2006 to act in good faith to promote the success of the company for the benefit of its members, taking into account: long-term consequences, employee interests, relationships with suppliers and customers, community and environmental impact, high standards of business conduct, and fairness between members.
Directors are aware of these obligations and may seek independent advice as needed. Day-to-day operational decisions are delegated to employees, while the board focuses on strategic decisions aligned with both short- and long-term objectives, particularly regarding supply chain management and stakeholder relationships.
The board regularly reviews key stakeholders:
• 
Customers - engaged through regular communication to meet their needs, providing excellent service
 and acting as an extension of their procurement teams
• 
Employees - supported with training and development, guided by a strong management team, and
 offered competitive remuneration
• 
Suppliers - collaborated with to identify opportunities, add value and strengthen long-term partnerships.
The company maintains a zero-tolerance policy on modern slavery and human trafficking, committed to ethical and responsible conduct throughout its operations and supply chains.


This report was approved by the board on 31 October 2025 and signed on its behalf.



C Lewis
Director

Page 2

 
A1 PHARMACEUTICALS PLC
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 APRIL 2025

The directors present their report and the financial statements for the year ended 30 April 2025.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic report, the Directors' report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and 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 for the company's financial statements 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;

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £2,654,887 (2024 - £1,592,889).

Dividends of £2,661,807 (2024: £1,620,140) were voted in the year.

Directors

The directors who served during the year were:

G S Lewis BSc (Hons) MRPharmS 
C Lewis 
H T J Lewis 
T W Lewis 
C Dancer 

Future developments

There are no future developments that the directors consider noteworthy.

Page 3

 
A1 PHARMACEUTICALS PLC
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025

Engagement with suppliers, customers and others

A1 Pharmaceuticals plc recognises that its commercial activities have the potential to impact on its customers, suppliers and the environment and this is taken very seriously. The company is committed to acting ethically and with integrity in all of our business relations. We work closely with our business partners, suppliers and supply chains to ensure there is no place for modern slavery and human trafficking.

Greenhouse gas emissions, energy consumption and energy efficiency action

During the year, the group emitted 105 tonnes (2024: 97 tonnes) of CO2 from activities involving the purpose of transport, 25 tonnes (2024: 26 tonnes) of CO2 from the consumption of electricity for its own use and 8 tonnes (2024: 12 tonnes) of CO2 from the consumption of gas for its own use. Total aggregate energy consumption expressed in kWH was 524,648 (2024: 573,312).

Greenhouse gas emissions were calculated using the UK Government GHG Conversion Factors for Company Reporting 2025. Energy usage data was gathered from a variety of sources including fuel cards and fuel receipts for transport and utility bills for gas and electricity.

The group consider the most relevant factor in calculating the intensity ratio to be turnover which derives an intensity ratio of 2.29 tonnes (2024: 2.41 tonnes) of CO2 per total £1m of turnover.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the company since the year end.

Auditors

After the year end, Barnes Roffe LLP resigned as auditors due to the transfer of its audit business, and its successor, Barnes Roffe Audit Limited was appointed by the directors under s489 of the Companies Act 2006. Barnes Roffe Audit Limited will be proposed for reappointment in accordance with section 489 of the Companies Act 2006.

This report was approved by the board on 31 October 2025 and signed on its behalf.
 





C Lewis
Director

Page 4

 
A1 PHARMACEUTICALS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC
 

Opinion


We have audited the financial statements of A1 Pharmaceuticals PLC (the 'company') for the year ended 30 April 2025, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe 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 United Kingdom, including the Financial Reporting Council'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.


Page 5

 
A1 PHARMACEUTICALS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Opinion on other matters prescribed by the Companies Act 2006
 

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


the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

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


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


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' responsibilities statement set out on page 3, 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.


Page 6

 
A1 PHARMACEUTICALS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)


Auditors' responsibilities for the audit of the financial statements
 

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


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:
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with law and regulations, was as follows: 
• The engagement partner 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 discussion with directors and
          other management, and from our commercial knowledge and experience of the software and technology
          sector in which the company operates;
• The specific laws and regulations which we considered may have a direct material effect on the financial
          statements or the operations of the company, are as follows;
       o       Companies Act 2006
       o FRS102
       o      Health and Safety legislation
       o     Employment legislation
       o      Tax legislation 
       o      Medicines and Healthcare Products Regulatory Authority (MHRA) licence
       o      Various other licences to deal with the provision of pharmaceutical products and potential  
                             hazardous waste disposal. 
• We assessed the extent of compliance with the laws and regulations identified above through making
        enquiries of management, reviewing board minutes and inspecting relevant legal and other 
 correspondence; and
• Laws and regulations were communicated within the audit team at the planning meeting, and during the
         audit as any further laws and regulation were identified. The audit 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 might occur by: 
• Making enquires of management as to where they consider there was susceptibility to fraud and their
          knowledge of actual suspected and alleged fraud; 
• Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and
          regulations;
• Reviewing the financial statements and testing the disclosures against supporting documentation;
• Performing analytical procedures to identify any unusual or unexpected trends or anomalies;-
• Inspecting and testing journal entries to identify unusual or unexpected transactions;
• Assessing whether judgement and assumptions made in determining significant accounting estimates,
         including certain year end accruals, were indicative of management bias; and
• Investigating the rationale behind significant transactions, or transactions that are unusual or outside the
          company’s usual course of business. 
 
Page 7

 
A1 PHARMACEUTICALS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)


The areas that we identified as being susceptible to misstatement through fraud were:
• Management bias in the estimates and judgements made;
• Management override of controls; and 
• Posting of unusual journals or transactions.
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 Auditors' Report.


Use of our report
 

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our 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.





Mario Cientanni (Senior Statutory Auditor)
for and on behalf of
Barnes Roffe Audit Limited
Chartered Accountants
Statutory Auditor
Charles Lake House
Claire Causeway
Crossways Business Park
Dartford
Kent
DA2 6QA

 
Date: 
31 October 2025
Page 8

 
A1 PHARMACEUTICALS PLC
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2025

2025
2024
Note
£
£

  

Turnover
 4 
60,102,403
55,982,183

Cost of sales
  
(52,934,421)
(49,624,679)

Gross profit
  
7,167,982
6,357,504

Administrative expenses
  
(3,970,005)
(4,347,820)

Operating profit
 5 
3,197,977
2,009,684

Interest receivable and similar income
 9 
234,271
244,215

Interest payable and similar expenses
 10 
(1,893)
(1,423)

Profit before tax
  
3,430,355
2,252,476

Tax on profit
 11 
(775,468)
(659,587)

Profit for the financial year
  
2,654,887
1,592,889

There were no recognised gains and losses for 2025 or 2024 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2025 (2024:£NIL).

The notes on pages 12 to 25 form part of these financial statements.

Page 9

 
A1 PHARMACEUTICALS PLC
REGISTERED NUMBER: 02690345

BALANCE SHEET
AS AT 30 APRIL 2025

2025
2024
Note
£
£

Fixed assets
  

Tangible assets
 13 
475,973
469,406

  
475,973
469,406

Current assets
  

Stocks
 14 
5,420,380
4,262,110

Debtors: amounts falling due within one year
 15 
11,200,873
12,473,622

Cash at bank and in hand
 16 
7,799,024
3,828,006

  
24,420,277
20,563,738

Creditors: amounts falling due within one year
 17 
(8,391,061)
(4,527,114)

Net current assets
  
 
 
16,029,216
 
 
16,036,624

Total assets less current liabilities
  
16,505,189
16,506,030

Creditors: amounts falling due after more than one year
 18 
(28,709)
(24,566)

Provisions for liabilities
  

Deferred tax
  
(114,378)
(112,442)

Net assets
  
16,362,102
16,369,022


Capital and reserves
  

Called up share capital 
 21 
51,080
51,080

Profit and loss account
  
16,311,022
16,317,942

  
16,362,102
16,369,022


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




C Lewis
Director

Date: 31 October 2025

The notes on pages 12 to 25 form part of these financial statements.

Page 10

 
A1 PHARMACEUTICALS PLC
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2025


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 May 2024
51,080
16,317,942
16,369,022



Profit for the year
-
2,654,887
2,654,887

Dividends: Equity capital
-
(2,661,807)
(2,661,807)


At 30 April 2025
51,080
16,311,022
16,362,102



STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2024


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 May 2023
51,080
16,345,193
16,396,273



Profit for the year
-
1,592,889
1,592,889

Dividends: Equity capital
-
(1,620,140)
(1,620,140)


At 30 April 2024
51,080
16,317,942
16,369,022


The notes on pages 12 to 25 form part of these financial statements.

Page 11

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

1.


General information

The company is incorporated in England and Wales and has its registered office at Unit 20 & 21 Easter Industrial Park, Ferry Lane South, Rainham, Essex, RM13 9BP.
The principal activity of the company continued to be that of the manufacture, wholesale marketing and distribution of pharmaceutical products and medical devices.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of A1 Pharmaceuticals Holdings Limited as at 30 April 2025 and these financial statements may be obtained from Unit 20 & 21 Easter Industrial Park, Ferry Lane South, Rainham, Essex, RM13 9BP.

Page 12

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

2.Accounting policies (continued)

 
2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the company has transferred the significant risks and rewards of ownership to the buyer;
the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 
2.4

Operating leases: the company as lessee

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

 
2.5

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.6

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.7

Pensions

Defined contribution pension plan

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Page 13

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

2.Accounting policies (continued)

 
2.8

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


 
2.9

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following bases:


Leasehold improvements
-
15 years straight line
Plant and machinery
-
10% - 33% straight line
Motor vehicles
-
20% straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Page 14

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

2.Accounting policies (continued)

 
2.10

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.11

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.12

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.13

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.14

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.15

Financial instruments

The company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's Balance sheet when the company becomes party to the contractual provisions of the instrument.
 
Page 15

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

2.Accounting policies (continued)


2.15
Financial instruments (continued)


Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

 
2.16

Dividends

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

Page 16

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

a) Critical judgements in applying the company's accounting policies
No significant judgments have been made by management in the preparation of the financial statements.
b) Key accounting estimates and assumptions
The company has made key assuptions regarding the useful economic life of tangible fixed assets and this is further described in note 2.9 of the accounting policies.
The company holds a significant amount of product stock and is subject to changing consumer demands and industry trends. As a result it is necessary to consider the recoverability of the cost of stock and the associated provisioning required. When calculating the stock provision, management considers the nature and condition of the stock, as well as applying assumptions around the saleability of stock at the year end and the company has fully provided against £42,819 
(2023: £42,196) of stock value.


4.


Turnover

2025
2024
£
£

Sales
60,102,403
55,982,183

60,102,403
55,982,183


Analysis of turnover by country of destination:

2025
2024
£
£

United Kingdom
59,133,672
54,406,541

Rest of Europe
968,731
1,575,642

60,102,403
55,982,183



5.


Operating profit

The operating profit is stated after charging:

2025
2024
£
£

Other operating lease rentals
363,645
364,912

Page 17

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

6.


Auditors' remuneration

2025
2024
£
£

Fees payable to the company's auditors and their associates for the audit of the company's financial statements
16,600
15,800

The company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent company.


7.


Employees

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


2025
2024
£
£

Wages and salaries
2,002,638
1,816,217

Social security costs
260,089
237,288

Cost of defined contribution scheme
40,903
726,659

2,303,630
2,780,164


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


        2025
        2024
            No.
            No.







Office and management
13
13



Production and sales
39
37

52
50

Page 18

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

8.


Directors' remuneration

2025
2024
£
£

Directors' emoluments
392,928
426,917

Company contributions to defined contribution pension schemes
6,000
689,162

398,928
1,116,079


During the year retirement benefits were accruing to 1 director (2024 - 1) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £372,527 (2024 - £406,517).

The value of the company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £6,000 (2024 - £6,262).


9.


Interest receivable

2025
2024
£
£


Interest receivable from group companies
234,271
238,338

Other interest receivable
-
5,877

234,271
244,215


10.


Interest payable and similar expenses

2025
2024
£
£


Bank interest payable
1,893
1,423

1,893
1,423

Page 19

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

11.


Taxation


2025
2024
£
£

Corporation tax


Current tax on profits for the year
773,532
649,546

Adjustments in respect of previous periods
-
5,877


Total current tax
773,532
655,423

Deferred tax


Origination and reversal of timing differences
1,936
4,164


775,468
659,587

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2024 - higher than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:

2025
2024
£
£


Profit on ordinary activities before tax
3,430,355
2,252,476


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)
857,589
563,119

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
2,023
1,482

Capital allowances for year in excess of depreciation
(1,936)
(9,819)

Adjustments to tax charge in respect of prior periods
-
5,877

Loss on sale of fixed assets
-
10,620

Movement in deferred tax
1,936
4,164

Pension relief spreading
(84,144)
84,144

Total tax charge for the year
775,468
659,587


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 20

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

12.


Dividends

2025
2024
£
£


Dividends paid
2,661,807
1,620,140

2,661,807
1,620,140


13.


Tangible fixed assets





Short-term leasehold property
Plant and machinery
Motor vehicles
Total

£
£
£
£



Cost or valuation


At 1 May 2024
440,567
834,161
537,873
1,812,601


Additions
57,831
15,790
47,088
120,709



At 30 April 2025

498,398
849,951
584,961
1,933,310



Depreciation


At 1 May 2024
363,570
640,075
339,550
1,343,195


Charge for the year on owned assets
8,565
41,974
48,705
99,244


Charge for the year on financed assets
-
8,890
6,008
14,898



At 30 April 2025

372,135
690,939
394,263
1,457,337



Net book value



At 30 April 2025
126,263
159,012
190,698
475,973



At 30 April 2024
76,997
194,086
198,323
469,406

Page 21

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

           13.Tangible fixed assets (continued)

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


2025
2024
£
£



Plant and machinery
17,780
26,670

Motor vehicles
36,070
-

53,850
26,670


14.


Stocks

2025
2024
£
£

Finished goods and goods for resale
5,420,380
4,262,110

5,420,380
4,262,110



15.


Debtors

2025
2024
£
£


Trade debtors
10,344,867
10,281,940

Amounts owed by group undertakings
-
1,561,210

Other debtors and prepayments
818,506
592,972

Called up share capital not paid
37,500
37,500

11,200,873
12,473,622



16.


Cash and cash equivalents

2025
2024
£
£

Cash at bank and in hand
7,799,024
3,828,006

7,799,024
3,828,006


Page 22

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

17.


Creditors: Amounts falling due within one year

2025
2024
£
£

Trade creditors
3,400,431
2,438,010

Amounts owed to group undertakings
3,169,131
-

Corporation tax
167,946
440,645

Other taxation and social security
526,170
515,088

Obligations under finance lease and hire purchase contracts
12,992
6,668

Other creditors and accruals
1,114,391
1,126,703

8,391,061
4,527,114



18.


Creditors: Amounts falling due after more than one year

2025
2024
£
£

Net obligations under finance leases and hire purchase contracts
28,709
24,566

28,709
24,566



19.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

2025
2024
£
£


Within one year
6,668
6,668

Between 1-5 years
17,343
24,566

24,011
31,234

The above amounts are secured against the assets to which they relate.

Page 23

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

20.


Deferred taxation




2025


£






At beginning of year
(112,442)


Charged to profit or loss
(1,936)



At end of year
(114,378)

The provision for deferred taxation is made up as follows:

2025
2024
£
£


Accelerated capital allowances
(114,378)
(112,442)

(114,378)
(112,442)


21.


Share capital

2025
2024
£
£
Allotted, called up and fully paid



51,000 (2024 - 51,000) Ordinary shares of £1.00 each
51,000
51,000
10 (2024 - 10) Ordinary B shares of £1.00 each
10
10
10 (2024 - 10) Ordinary C shares of £1.00 each
10
10
10 (2024 - 10) Ordinary D shares of £1.00 each
10
10
10 (2024 - 10) Ordinary E shares of £1.00 each
10
10
10 (2024 - 10) Ordinary F shares of £1.00 each
10
10
10 (2024 - 10) Ordinary G shares of £1.00 each
10
10
10 (2024 - 10) Ordinary H shares of £1.00 each
10
10
10 (2024 - 10) Ordinary I shares of £1.00 each
10
10

51,080

51,080



22.


Pension commitments

The company operates defined contribution pension schemes. The assets of the schemes are held separately from those of the company in independently administered funds. The pension cost charge represents contributions payable by the company to these funds and amounted to £40,903 (2024: £37,497). Contributions totalling £11,774 (2024: £8,464) were payable to these funds at the balance sheet date and are included in other creditors.

Page 24

 
A1 PHARMACEUTICALS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025

23.


Related party transactions

Included within other creditors due within one year are amounts due to the A1 Pharmaceuticals PLC Employee Benefit Trust of £18,317 (2024: £18,317).
During the year the company paid rent of £358,645 
(2024: £359,438) to G S and Mrs C Lewis in respect of commercial property owned by them and leased to the company.
At the year end, amounts were due of £538,969 
(2024: £459,764) from a company under common control.
At the year end, amounts were owed of £744,902 
(2024: £805,692) to a company under common control.
During the year, some director's of the company took out a personal loan for which A1 Pharmaceuticals PLC is a guarantor.


24.


Controlling party

The company is controlled by G S and Mrs C Lewis. The ultimate parent company is A1 Pharmaceuticals Holdings Limited, a company incorporated in England and Wales.

 
Page 25