REGISTERED NUMBER: NI017910 (Northern Ireland)

Strategic Report, Report of the Directors and

Audited Financial Statements for the Year Ended 31 January 2025

for

Bawnbua Foods NI Ltd

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Notes to the Financial Statements

14

DIRECTORS:

Mr M P White

Mr G White

Mr D White

Mr M White

REGISTERED OFFICE:

67 Crowhill Road

Bleary

Lurgan

Co. Armagh

BT66 7AT

REGISTERED NUMBER:

NI017910 (Northern Ireland)

AUDITORS:

BMK Accounting Limited

43 Lockview Road

Belfast

Antrim

BT9 5FJ

The directors present their strategic report for the year ended 31 January 2025.

REVIEW OF BUSINESS

The principal activity of the company is the processing and packaging of frozen meat for the retail, foodservice and catering trade in the UK, Republic of Ireland and Europe. Further information is as set out in Note 1 of the financial statements. The financial statements and balance sheet are expressed in £ sterling.

The directors are satisfied with the results for a challenging year in a market which remains competitive. In the post-pandemic environment, Brexit and the war in Ukraine have brought inflation to all input costs, particularly energy. The business has sought to defray these costs through efficiency and pass on the minimum to customers. The directors are confident that the business is well placed and capable of meeting these challenges and maintaining profitability for the future.

The results for the year as set out in page 10 of the financial statements were in line with the expectations of the directors. The company reported an operating profit in the period of £958,061 (2024 - £950,470) with a turnover of £44,940,999 (2024 - £44,270,517). At the end of the year the company had net assets of £6,405,452 (2024 - £6,435,214).

Bank borrowings are secured, and details of this security is disclosed in Note 17 to the financial statements.

PRINCIPAL RISKS AND UNCERTAINTIES

Performance in this sector is affected by general economic conditions and the level of competition in the market. The relationships that the company has with its suppliers and customers are such that the company is able to adjust to changing market conditions as they occur.

The principal non-financial performance indicator used by the directors to monitor the performance of the company is the level of customer satisfaction, which is monitored on a customer by customer basis.

During the year the company made a loss after tax of £29,762 (2024 - loss after tax of £38,433). The company is reliant on the continued support of its lenders. The directors are in active dialogue with the company's lenders in relation to the continuation of the company's financing facilities and future financing needs. Based on these discussions and indications received from the lenders the directors are confident that the facilities will be continued. The directors do not consider the above to to create a material uncertainty as they have no reason to believe facilities will not be continued. They have considered the future trading of the company and are confident the company can continue as a going concern for the foreseeable future.

FUTURE DEVELOPMENTS

The directors are confident that with its innovative product development, and with continued investment in new and improved plant, technology, and processes that it will place the company in a strong position to capitalise on its position in the meat processing sector and to develop new market opportunities. They aim to continue to serve some of the leading household names in the retail food service throughout the UK. To achieve this, their business is focused on reviewing and assessing the products that they sell, ensuring all goods are sourced from only first class local, UK, European and Worldwide companies. A key factor in the success of their business is that they work closely with their customers to develop new products, improve their existing ranges and to ensure that they continue to meet the highest standards.

While the incoming year continues to be challenging, results to date are satisfactory and the directors expect the results of the business to progress.

FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

The company's policy is to ensure that sufficient resources are available either from cash balances, cash flows and near cash liquid investments to ensure that all obligations can be met when they fall due. To achieve this the company continually monitors its cash position.

The company has no significant concentrations of credit risk. Customers who wish to trade on credit terms are subject to strict verification procedures in advance of credit being awarded and are continually being monitored.

Additionally within Bawnbua Foods NI Ltd, the company has in place financial reporting procedures to manage credit, liquidity and other financial risk. The board sets Key Performance Indicators (KPIs) at various levels throughout the company to monitor all the critical aspects of the company's performance. Additionally, to this end the company mitigates risk by employing qualified and experienced personnel.

ON BEHALF OF THE BOARD:

Mr D White - Director

31 October 2025

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

DIVIDENDS

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

FUTURE DEVELOPMENTS

Future developments in the business of the company are discussed in the strategic report.

DIRECTORS

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

Mr M P White

Mr G White

Mr D White

Mr M White

DONATIONS

There were no political donations made during the year.

FIXED ASSETS

Details of movements in fixed assets are as disclosed in Note 8 of the financial statements.

EMPLOYEE INVOLVEMENT

The company policy in regard to employee involvement and employment of disabled persons is contained in its parent company financial statements, Bawnbua Foods Ltd, which are publicly available.

DISCLOSURE OF INFORMATION IN THE STRATEGIC REPORT

The strategic report has replaced a number of disclosures that had previously been included in the directors' report. This includes information that would have been included in the business review and the principal risks and uncertainties.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

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

-	select suitable accounting policies and then apply them consistently;

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

-	state whether applicable 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 enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

AUDITORS

The auditors, BMK Accounting Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr D White - Director

31 October 2025

Opinion

We have audited the financial statements of Bawnbua Foods NI Ltd (the 'company') for the year ended 31 January 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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 January 2025 and of its 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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

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

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

Auditors' responsibilities for the audit of the financial statements

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

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

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the company and industry, we identified the principal risks of non-compliance with laws and regulations related to data protection rules, health and safety legislation and environmental law. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and Financial Reporting Standards.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements and determined that the principal risks related to fraudulent financial reporting and management bias in accounting estimates. We communicated the identified laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. Audit procedures performed by the auditors included, but were not limited to:

- Discussions with management including consideration of known or suspected instances of

non-compliance with laws and regulation and fraud;

- Reviewing key correspondence with external legal advisors;

- Challenging assumptions and judgements made by management in their significant accounting

estimates; and

- Identifying and testing of unusual journal entries.

Owing to 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.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.

- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

- Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the company to cease to continue as a going concern.

- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

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.

Brian McKee (Senior Statutory Auditor)

for and on behalf of BMK Accounting Limited

43 Lockview Road

Belfast

Antrim

BT9 5FJ

31 October 2025

TURNOVER

3

44,940,999

44,270,517

Cost of sales

39,767,364

38,995,216

GROSS PROFIT

5,173,635

5,275,301

Distribution costs

1,372,890

1,443,584

Administrative expenses

2,862,234

2,926,090

4,235,124

4,369,674

938,511

905,627

Other operating income

4

19,550

44,843

OPERATING PROFIT

6

958,061

950,470

Interest payable and similar expenses

7

902,201

819,030

PROFIT BEFORE TAXATION

55,860

131,440

Tax on profit

8

85,622

169,873

LOSS FOR THE FINANCIAL YEAR

(29,762

)

(38,433

)

LOSS FOR THE YEAR

(29,762

)

(38,433

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(29,762

)

(38,433

)

FIXED ASSETS

Tangible assets

10

4,330,824

4,650,874

CURRENT ASSETS

Stocks

11

8,988,733

10,631,333

Debtors

12

8,347,739

8,901,519

Cash at bank and in hand

80,655

548,539

17,417,127

20,081,391

CREDITORS

Amounts falling due within one year

13

13,217,750

16,325,585

NET CURRENT ASSETS

4,199,377

3,755,806

TOTAL ASSETS LESS CURRENT LIABILITIES

8,530,201

8,406,680

CREDITORS

Amounts falling due after more than one year

14

(1,750,793

)

(1,615,337

)

PROVISIONS FOR LIABILITIES

18

(373,956

)

(356,129

)

NET ASSETS

6,405,452

6,435,214

CAPITAL AND RESERVES

Called up share capital

19

76,000

76,000

Retained earnings

20

6,329,452

6,359,214

SHAREHOLDERS' FUNDS

6,405,452

6,435,214

The financial statements were approved by the Board of Directors and authorised for issue on 31 October 2025 and were signed on its behalf by:

Mr D White - Director

Mr G White - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 February 2023

76,000

6,634,142

6,710,142

Changes in equity

Dividends

-

(236,495

)

(236,495

)

Total comprehensive income

-

(38,433

)

(38,433

)

Balance at 31 January 2024

76,000

6,359,214

6,435,214

Changes in equity

Total comprehensive income

-

(29,762

)

(29,762

)

Balance at 31 January 2025

76,000

6,329,452

6,405,452

1.	STATUTORY INFORMATION

Bawnbua Foods NI Ltd is a private company, limited by shares , registered in Northern Ireland. The company's registered number and registered office address can be found on the Company Information page.

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

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows.

Preparation of consolidated financial statements

The financial statements contain information about Bawnbua Foods NI Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Bawnbua Foods Ltd, 67 Crowhill Road, Lurgan, Craigavon, BT66 7AT.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Revenue recognition

The turnover shown in the profit and loss account represents amounts invoiced during the period, exclusive of Value Added Tax.

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

Tangible fixed assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

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

Land & Buildings

- 5% straight line

Plant & Machinery

- 10% straight line

Fixtures & Fittings

- 25% straight line

Motor Vehicles

- 25% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Government grants

Deferred government grants in respect of capital expenditure are treated as deferred income and are credited to the profit and loss account over the estimated useful life of the assets to which they relate.

Government grants in respect of revenue expenditure are credited to the profit and loss account on a cash receipts basis.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Debt instruments are subsequently measured at amortised cost.

Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship (see hedge accounting policy).

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

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 entity after deducting all of its financial liabilities.

Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.

Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Defined contribution plans

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Loans and borrowings

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense.

Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

3.

TURNOVER

Turnover

Turnover arises from:

2025

2024

£

£

Sale of goods

44,940,999

44,270,517

Segment and market information has been omitted. The directors believe that to disclose such information would be seriously prejudical to the interest of the company.

4.	OTHER OPERATING INCOME

31.1.25

31.1.24

£

£

Government grant income

19,550

44,843

5.	EMPLOYEES AND DIRECTORS

31.1.25

31.1.24

£

£

Wages and salaries

4,607,098

4,276,958

Social security costs

95,487

86,017

Other pension costs

36,000

39,683

4,738,585

4,402,658

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

31.1.25

31.1.24

Production staff

128

131

Management staff

4

4

132

135

31.1.25

31.1.24

£

£

Directors' remuneration

686,240

659,699

Directors' pension contributions to money purchase schemes

36,000

39,683

Information regarding the highest paid director is as follows:

31.1.25

31.1.24

£

£

Emoluments etc

204,600

208,905

6.	OPERATING PROFIT

The operating profit is stated after charging:

31.1.25

31.1.24

£

£

Depreciation - owned assets

690,809

697,747

Auditors' remuneration

33,515

40,384

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.1.25

31.1.24

£

£

Bank charges and interest

283,591

275,388

Other interest payable

561,133

457,506

Hire purchase

57,477

86,136

902,201

819,030

8.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

31.1.25

31.1.24

£

£

Current tax:

UK corporation tax

67,795

42,588

Deferred tax

17,827

127,285

Tax on profit

85,622

169,873

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

31.1.25

31.1.24

£

£

Profit before tax

55,860

131,440

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 24.030%)

13,965

31,585

Effects of:

Expenses not deductible for tax purposes

53,830

13,933

Utilisation of tax losses

-

(2,930

)

Deferred tax

17,827

127,285

Total tax charge

85,622

169,873

9.

DIVIDENDS

31.1.25

31.1.24

£

£

Ordinary shares of 1 each

Interim

-

236,495

10.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

COST

At 1 February 2024

5,815,643

5,894,865

179,906

84,203

11,974,617

Additions

-

283,508

-

87,251

370,759

At 31 January 2025

5,815,643

6,178,373

179,906

171,454

12,345,376

DEPRECIATION

At 1 February 2024

3,280,994

3,805,912

155,700

81,137

7,323,743

Charge for year

278,057

395,149

9,264

8,339

690,809

At 31 January 2025

3,559,051

4,201,061

164,964

89,476

8,014,552

NET BOOK VALUE

At 31 January 2025

2,256,592

1,977,312

14,942

81,978

4,330,824

At 31 January 2024

2,534,649

2,088,953

24,206

3,066

4,650,874

Impairment review

The directors have reviewed the value of the land and buildings and believe that, in this financial year, no impairment write-down is necessary as outlines in the accounting policies of Note 2 to the accounts.