ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging:

Registered number: 04449605

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

COMPANY INFORMATION

Directors	Sukhdev Mehta
	Santosh Mehta
	Sanjay Mehta
	Aneil Mehta


Company secretary	Santosh Mehta


Registered number	04449605


Registered office	Unit 7 Phoenix Industrial Estate
	Loxdale Street
	Wolverhampton
	West Midlands
	WV14 0PR


Independent auditors	Lancaster Clements Limited
	Chartered Certified Accountants
	Stanley House
	27 Wellington Road
	Bilston
	West Midlands
	WV14 6AH


Bankers	Barclays Bank Plc
	Queen Square
	Wolverhampton
	West Midlands
	WV1 1XJ

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

CONTENTS

	Page
Strategic report	1
Directors' report	2 - 3
Independent auditors' report	4 - 7
Statement of comprehensive income	8
Statement of financial position	9
Statement of changes in equity	10
Notes to the financial statements	11 - 24

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 MAY 2025

Introduction

The principal activity of Monmore Confectionery (Midlands) Limited, is that of confectionery wholesalers.

Business review

The company continues to strive to attain an increased turnover. This has been achieved in the year with an increase of 6.2% taking the turnover for the year to £22,085,901. The company has seen a decreased gross profit margin. Cash flow has been identified as the principal risk affecting the Company, however, there are sufficient funds currently available within the business.
Current trading results along with the level of working capital available, gives the directors confidence in the company's long term future. The overall trading outlook for the financial year ended 31 May 2026 is positive.

Principal risks and uncertainties

The company has financial risks and seeks to minimise these by incorporating and rigorously implementing controls into key functions as part of the normal business operations.
Management review sale prices on a continuous basis to account for fluctuations in costs in order to minimise the risk of gross margin erosion, whilst also managing procurement to take advantage of fluctuating comodity prices at the lowest levels.
This policy is supported by having the liquid reserves to invest in stock whilst commodity prices are at their lowest. It is therefore recognised that Cash reserves and cash flows are the principle risks facing the business.

Financial key performance indicators

The key performance indicators continue to be turnover, gross profit, operating profit and cash, which have all met the desired performance levels - albeit reduced in year due to a strategic shift to further online sales although reduced margins available for this sector. There has been an increase in turnover and the gross profit margin has decreased.

Other key performance indicators

There are no other key performance indicators.

This report was approved by the board on 9 October 2025 and signed on its behalf.

Sukhdev Mehta

Director

Page 1

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MAY 2025

The directors present their report and the financial statements for the year ended 31 May 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;

∙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 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.

Results and dividends

The profit for the year, after taxation, amounted to £409,056 (2024 - £794,868).

The directors do not propose to recommend payment of a dividend.

Directors

The directors who served during the year were:

Sukhdev Mehta

Santosh Mehta

Sanjay Mehta

Aneil Mehta

Future developments

The directors consider that there are no future developments of the company required to be disclosed.

Page 2

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MAY 2025

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

The auditors, Lancaster Clements Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 9 October 2025 and signed on its behalf.

Santosh Mehta

Director

Page 3

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MONMORE CONFECTIONERY (MIDLANDS) LIMITED

Opinion

We have audited the financial statements of Monmore Confectionery (Midlands) Limited (the 'Company') for the year ended 31 May 2025, which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of changes in equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 May 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 4

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MONMORE CONFECTIONERY (MIDLANDS) LIMITED (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 Report. 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. 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 2, 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 5

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MONMORE CONFECTIONERY (MIDLANDS) LIMITED (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:

Identifying and assessing potential risks related to irregularities
We obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, tax legislation and regulations relating to the employed workforce.
In assessing risks of material misstatements in respect of irregularities, including fraud and non-compliance with
laws and regulations, we considered the following:
- The clients evaluation of compliance with laws and regulations and whether they were aware of any instances of none compliance, along with the measures in place to mitigate any such instances.
- Methods in place to detect and respond to the risk of fraud and whether there was any actual, suspected or alleged fraud, along with controls established to mitigate such risks.
- Where fraud might occur in the financial statements and any potential indicators of fraud.
As a result of those procedures we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential being in relation to, stock pilferage or misappropriation, management override of controls and transactions outside the normal course of business, particularly with related parties.
Audit response to risks identified
Our procedures to respond to the risks identified included the following:
- Testing of material journal entries, paying particular attention to the period immediately prior to and following the reporting date.
- Evaluation of the business rationale behind transactions made between related parties that are unusual or outside the normal course of business.
- An assessment of whether the judgements made in making accounting estimates are indicative of a potential bias.
- Making enquiries of management concerning actual or potential litigation and claims.
We have designed our procedures to best identify the likelihood or occurrence of irregularities, whether or not
arising due to fraud. However, it is accepted that there is an inherent difficulty in detecting irregularities and our
findings are subject to the timing and extent of the audit procedures performed

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.

Page 6

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MONMORE CONFECTIONERY (MIDLANDS) LIMITED (CONTINUED)

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.

Mark Anthony Cupitt (Senior statutory auditor)

for and on behalf of

Lancaster Clements Limited

Chartered Certified Accountants

Stanley House

27 Wellington Road

Bilston

West Midlands

WV14 6AH

9 October 2025

Page 7

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MAY 2025

	2025	2024
Note	£	£


Turnover	4	22,085,901	20,800,159
Cost of sales		(18,201,630)	(16,598,082)
Gross profit		3,884,271	4,202,077
Administrative expenses		(3,373,366)	(3,218,600)
Other operating income	5	4,000	1,500
Operating profit	6	514,905	984,977
Interest receivable and similar income	10	24,667	29,527
Profit before tax		539,572	1,014,504
Tax on profit	11	(130,516)	(219,636)
Profit for the financial year		409,056	794,868

Other comprehensive income for the year
Total comprehensive income for the year		409,056	794,868

The notes on pages 11 to 24 form part of these financial statements.

Page 8

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

REGISTERED NUMBER: 04449605

STATEMENT OF FINANCIAL POSITION

AS AT 31 MAY 2025

		2025		2024
Note		£		£

Fixed assets
Intangible assets	13		-		500
Tangible assets	14		538,121		580,571
Investments	15		301,500		301,500
			839,621		882,571
Current assets
Stocks	16	2,795,073		2,083,029
Debtors: amounts falling due within one year	17	2,015,864		2,171,347
Cash at bank and in hand		1,399,084		791,621
		6,210,021		5,045,997
Creditors: amounts falling due within one year	18	(4,009,701)		(3,282,661)
Net current assets			2,200,320		1,763,336
Total assets less current liabilities			3,039,941		2,645,907
Provisions for liabilities
Deferred tax	19	(108,573)		(123,595)
			(108,573)		(123,595)
Net assets			2,931,368		2,522,312

Capital and reserves
Called up share capital	20	1	1
Profit and loss account		2,931,367	2,522,311
		2,931,368	2,522,312

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 9 October 2025.

Sukhdev Mehta

Director

The notes on pages 11 to 24 form part of these financial statements.

Page 9

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MAY 2025

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 June 2023	1	1,977,443	1,977,444
Comprehensive income for the year
Profit for the year	-	794,868	794,868
Other comprehensive income for the year	-	-	-
Total comprehensive income for the year	-	794,868	794,868
Contributions by and distributions to owners
Dividends: Equity capital	-	(250,000)	(250,000)
Total transactions with owners	-	(250,000)	(250,000)

At 1 June 2024	1	2,522,311	2,522,312
Comprehensive income for the year
Profit for the year	-	409,056	409,056
Other comprehensive income for the year	-	-	-
Total comprehensive income for the year	-	409,056	409,056
Total transactions with owners	-	-	-
At 31 May 2025	1	2,931,367	2,931,368

The notes on pages 11 to 24 form part of these financial statements.

Page 10

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

1.	General information

The company is registered in England and Wales. The company's registered office is Unit 7 Phoenix Industrial Estate, Loxdale Street, Bilston, West Midlands, WV14 0PR. The principal activity of the company continues to be that of confectionery wholesalers.

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

Exemption from preparing consolidated financial statements

The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.

The company has taken advantage of the exemption under FRS 102, Section 1.12(b), which allows qualifying entities not to prepare a cash flow statement. This exemption is applicable as the company is a subsidiary and its parent company, The Monmore Group Limited], prepares publicly available consolidated financial statements that include the company and are intended to give a true and fair view of the group's financial position.

Page 11

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

2.Accounting policies (continued)

2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

2.4

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.

2.5

Interest income

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

Page 12

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

2.Accounting policies (continued)

2.6

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 Statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

2.7

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 reporting 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 reporting 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 reporting date.

Page 13

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

2.Accounting policies (continued)

2.8

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Statement of comprehensive income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

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 a reducing balance basis.

Depreciation is provided on the following basis:

Short-term leasehold property	-	Straight line over the life of the lease
Plant and machinery	-	25% reducing balance
Motor vehicles	-	25% reducing balance
Fixtures and fittings	-	25% reducing balance

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.

2.10

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 14

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

2.Accounting policies (continued)

2.11

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 first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting 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.

2.12

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.

2.13

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.

2.14

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.

2.15

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.

2.16

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.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Company's Statement of financial position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to

Page 15

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

2.Accounting policies (continued)

2.16

Financial instruments (continued)

settle on a net basis or to realise the asset and settle the liability simultaneously.

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.

2.17

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.

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

To be able to prepare financial statements in accordance with FRS102, Monmore Confectionery (Midlands) Limited must make certain estimates and judgments that have an impact on the policies and the amounts reported in the annual accounts. The estimates and judgments are based on historical experiences and other factors including expectations of future events that are believed to be reasonable at the time such estimates and judgments are made. Actual experience may vary from these estimates. The estimates and assumptions which have the most significant risk of causing a material adjustment to the carrying amounts of assets and liabilities are discussed below:
Depreciation and amortisation:
Monmore Confectionery (Midlands) Limited accounts for depreciation and amortisation in accordance with FRS102. The depreciation and amortisation expense is the recognition of the decline in the value of the assets and allocation of the cost of the asset over the periods in which the asset will be used. Judgments are made on the estimated useful life of the assets which are regularly reviewed to reflect the changing environment.
Impairment of stocks
Certain factors could affect the realisable value of the company's stocks, including customer demand and market conditions. The company considers historic usage, expected demand, anticipated sales price, effect of new product introductions, product obsolscence and other factors when evaluating the value of stock.

Page 16

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

Turnover

The whole of the turnover is attributable to the company's principal business activity.

Analysis of turnover by country of destination:

					2025	2024
					£	£

United Kingdom	21,795,145	20,788,701
Rest of the world	290,756	11,458
	22,085,901	20,800,159

5.	Other operating income
		2025	2024
		£	£

Sundry income	4,000	1,500
	4,000	1,500

Exchange differences

616

Fees payable to the Company's auditors for the audit of the Company's financial statements

10,000

8,000

Page 17

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

Wages and salaries	1,580,587	1,365,314
Social security costs	110,976	82,852
Cost of defined contribution scheme	219,718	266,358
	1,911,281	1,714,524

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

	2025	2024
	No.	No.

Directors	4	4
Warehouse/Office staff	41	33

	45	37

9.	Directors' remuneration
		2025	2024
		£	£

Directors' emoluments	54,828	53,495
Company contributions to defined contribution pension schemes	200,000	250,000
	254,828	303,495

During the year retirement benefits were accruing to 2 directors (2024 - 4) in respect of defined contribution pension schemes.

10.	Interest receivable
		2025	2024
		£	£

	Bank interest receivable	24,667	29,527
		24,667	29,527

Page 18

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

Corporation tax
Current tax on profits for the year	148,233	155,115
Adjustments in respect of previous periods	(2,695)	-
	145,538	155,115

Total current tax	145,538	155,115

Deferred tax
Origination and reversal of timing differences	(15,022)	64,521
Total deferred tax	(15,022)	64,521


		130,516	219,636

Profit on ordinary activities before tax

539,572

1,014,504

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	134,893	253,626
Effects of:
Other differences leading to an increase (decrease) in the tax charge	(4,377)	(33,990)
Total tax charge for the year	130,516	219,636

Page 19

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

12.	Dividends
		2025	2024
		£	£

	Ordinary shares	-	250,000
		-	250,000

13.	Intangible assets

		Goodwill
		£
	Cost
	At 1 June 2024	5,000
	At 31 May 2025	5,000
	Amortisation
	At 1 June 2024	4,500
	Charge for the year on owned assets	500
	At 31 May 2025	5,000
	Net book value
	At 31 May 2025	-
	At 31 May 2024	500

Page 20

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

14.	Tangible fixed assets

	Short-term leasehold property	Plant and machinery	Motor vehicles	Fixtures and fittings	Total
	£	£	£	£	£
Cost or valuation
At 1 June 2024	21,457	623,794	349,098	3,387	997,736
Additions	-	61,959	40,250	-	102,209
At 31 May 2025	21,457	685,753	389,348	3,387	1,099,945
Depreciation
At 1 June 2024	21,457	334,114	58,771	2,823	417,165
Charge for the year on owned assets	-	65,620	78,475	564	144,659
At 31 May 2025	21,457	399,734	137,246	3,387	561,824
Net book value
At 31 May 2025	-	286,019	252,102	-	538,121
At 31 May 2024	-	289,680	290,327	564	580,571

15.	Fixed asset investments

		Investments in subsidiary companies
		£
	Cost or valuation
	At 1 June 2024	301,500
	At 31 May 2025	301,500

Page 21

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

Subsidiary undertaking
The following was a subsidiary undertaking of the Company:
Name	Class of shares	Holding

Superbsweets Limited

Ordinary

100%

16.	Stocks
		2025	2024
		£	£

Finished goods and goods for resale	2,795,073	2,083,029
	2,795,073	2,083,029

17.

Debtors

					2025	2024
					£	£


Trade debtors	1,259,454	1,122,364
Amounts owed by group undertakings	616,560	968,559
Other debtors	53,604	2,771
Prepayments and accrued income	86,246	77,653
	2,015,864	2,171,347

18.	Creditors: Amounts falling due within one year
		2025	2024
		£	£

Trade creditors	2,617,739	2,218,654
Amounts owed to group undertakings	996,903	484,427
Other taxation and social security	307,193	382,850
Other creditors	12,280	124,312
Accruals and deferred income	75,586	72,418
	4,009,701	3,282,661

19.	Deferred taxation

Page 22

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

19.Deferred taxation (continued)

	2025	2024
	£	£

At beginning of year	123,595	59,074
Charged to profit or loss	(15,022)	64,521
At end of year	108,573	123,595

The provision for deferred taxation is made up as follows:
	2025	2024
	£	£

	Accelerated capital allowances	108,573	123,595
		108,573	123,595

20.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

1 (2024 - 1) Ordinary share of £1.00	1	1

21.	Contingent liabilities

The company has given a guarantee to it's subsidiary company Superbsweets Limited in relation to the rental lease agreement. The maximum liability is £223,125 as at the balance sheet date.

22.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £219,718 (2024 - £266,338). Contributions totalling £5,378 (2024 - £4,322) were payable to the fund at the reporting date and are included in creditors.

23.	Related party transactions
	The company is exempt from disclosing any realted party transactions as they are with other companies that are wholly owned within the Group.

Page 23

MONMORE CONFECTIONERY (MIDLANDS) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MAY 2025

24.	Parent company and ultimate controlling interest

The parent company is The Monmore Group Limited, registered in England and Wales. Copies of the financial statements can be obtained from Unit 7 Phoenix Industrial Estate, Loxdale Street, Wolverhampton, West Midlands, WV14 0PR. The ultimate controlling parties are Sukhdev and Santosh Mehta.

25.	Limitation of Auditors' liability

The company has entered into a liability limitation agreement, the principal terms being as follows:-
Any liability is limited, pursuant to Section 537 of the Companies Act 2006, to no less than such amount as is considered fair and reasonable in each individual circumstance and to a maximum of ten times the level of the fee for the audit service being carried out.
The resolution approving this agreement is dated 1 May 2025.

Page 24