ACCOUNTS - Final Accounts preparation

An analysis of turnover by class of business is as follows:

As restated

Registered number: 00249950

EASTERN COUNTIES LAUNDRIES LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

EASTERN COUNTIES LAUNDRIES LIMITED

COMPANY INFORMATION

Directors	K J Bueggeln
	O T Moore
	T W Moore


Registered number	00249950


Registered office	28 Robjohns Road
	Widford Industrial Estate
	Chelmsford
	Essex
	CM1 3AF


Independent auditors	FLB Audit LLP
	Chartered Accountants and Statutory Auditors
	1010 Eskdale Road
	Winnersh Triangle
	Wokingham
	RG41 5TS

EASTERN COUNTIES LAUNDRIES LIMITED

CONTENTS

	Page
Strategic report	1 - 3
Directors' report	4 - 5
Independent auditors' report	6 - 9
Statement of comprehensive income	10
Balance sheet	11
Statement of changes in equity	12 - 13
Statement of cash flows	14 - 15
Analysis of net debt	16
Notes to the financial statements	17 - 41

EASTERN COUNTIES LAUNDRIES LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 MARCH 2025

Introduction

The principal activity of the company continues to be the provision of linen and workwear rental and laundry services into London and throughout the South-East of the UK. These services are delivered 24/7 to satisfy the customer needs.

The industrial laundry sector has experienced gradual stabilisation during the 12 months to March 2025, following a period of economic volatility. While inflation has moderated from previous peaks, businesses continued to face elevated operational costs and persistent supply chain pressures. The company has adapted to these conditions through targeted efficiency improvements and strategic customer relationship management, maintaining its competitive position in key market segments.

Business review

During this latest year ended 31 March 2025, it has been encouraging to see the level of sales recovery particularly whilst the company has remained affected by the slowing economy.

The company has managed to navigate these challenges and retain market position and provided a healthy platform for growth in the underlying medium to long term strategy.

The current financial reporting period is 1 April 2024 to 31 March 2025.

Turnover for the year stands at £18,012,471 and the company has worked hard to mitigate the effect of the National Living Wage (NLW) and a slow-moving economy on company costs. Gross Profit is now £5,210,239 providing a pre-tax profit of £739,208.

During this period of reporting, the effects of a cost-of-living crisis has been managed well considering the high levels of inflation. However, the underlying effects of the economic climate continue to be present.

The operating environment is still significantly more difficult than pre-COVID, with the sourcing of all key resources, including recruitment, engagement and retention of staff, proving challenging. Alongside these sourcing challenges, cost inflation has played its part in the profitability of the business in the year.

Page 1

EASTERN COUNTIES LAUNDRIES LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Principal risks and uncertainties

The principal trading risks facing the business are the sourcing of textiles, a suitable workforce, continuing cost pressures, and economic uncertainty impacting customer demand.

Throughout the 12 months preceding March 2025, supply chain volatility has persisted, with textile procurement remaining challenging due to global manufacturing constraints and shipping delays. Labour market tightness has been a consistent issue, with wage inflation and skills shortages affecting operational capacity and increasing recruitment costs. Energy prices, while moderating from their extreme peaks, have remained significantly higher than historical averages, continuing to pressure operational margins.

Due to the nature of the financial instruments used by the company, there is no real exposure to price risk fluctuations. The company’s approach to managing other risks applicable to the financial instruments concerned is as set out below.

The company’s principal financial instruments and working capital components comprise bank balances, bank overdrafts (when needed and appropriate), trade debtors, trade creditors, loans to the company and finance lease agreements. The main purpose of the instruments is to raise funds for the company’s operations and expansion and to provide ongoing working capital.

The company has in place the following measures in order to manage financial risks arising from these financial instruments:

•In respect of bank balances, the liquidity risk is managed by maintaining a balance between the continuity of funding and flexibility through the use of bank loans and overdrafts, again where needed and appropriate, and finance at floating rates of interest.

•In respect of loans, these comprise loans from financial institutions. The interest rate on the loans are variable and the company manages the liquidity risk by ensuring there are sufficient funds to meet the repayments as they fall due. The current volatility in terms of open market interest rates is monitored closely in the context of its impact on the company finance arrangements.

•The company uses finance leases to assist in the purchase of some fixed assets. The liquidity risk is managed in the same manner as for the loans above.

•Trade debtors are managed in terms of credit and cash flow risk, by regularly reviewing credit terms given to customers and strict controls over the collection procedure.

•Trade creditor liquidity risk is managed in the same way as the loans above and is constantly monitored.

Financial key performance indicators

The company uses real time KPI monitoring across both its sites as well as having an appropriate set of commercial, operational, compliance and financial related KPIs for monthly management review. Turnover and gross margin, being the main KPI's, are disclosed under Introduction above.

Other key performance indicators

There are no other key performance indicators other than those already disclosed above.

Page 2

EASTERN COUNTIES LAUNDRIES LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

This report was approved by the board on 24 October 2025 and signed on its behalf.

K J Bueggeln

Director

Page 3

EASTERN COUNTIES LAUNDRIES LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2025

The directors present their report and the financial statements for the year ended 31 March 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 £697,877 (2024 - £581,426).

Dividends of £nil (2024: £nil) were paid in the year. This dividend policy reflects the company's strategic decision to reinvest profits to strengthen the balance sheet and support future growth initiatives during a period of economic uncertainty. The retained earnings will enhance the company's financial resilience and provide capital for operational improvements and potential market opportunities as the industrial laundry sector continues to evolve.

Directors

The directors who served during the year were:

K J Bueggeln

O T Moore

T W Moore

Page 4

EASTERN COUNTIES LAUNDRIES LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

Future developments

The company is reliant upon hospitality within the region it serves and believes demand will remain resilient despite ongoing economic pressures. The industrial laundry sector is projected to see moderate growth in the coming year, supported by the hospitality sector's continued recovery and increasing outsourcing trends in healthcare facilities.

The board of directors remain confident about the future. The business has two modern and flexible facilities, which provide a strong platform to quickly adapt to market requirements. The company is well-positioned to navigate the evolving business landscape through planned investments in energy-efficient equipment and process automation to offset labour challenges and rising operational costs. There is reasonable optimism about returning to and exceeding pre-pandemic performance levels over the coming years as efficiency initiatives take effect and market conditions gradually improve.

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, FLB Audit LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 24 October 2025 and signed on its behalf.

K J Bueggeln

Director

Page 5

EASTERN COUNTIES LAUNDRIES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EASTERN COUNTIES LAUNDRIES LIMITED

Opinion

We have audited the financial statements of Eastern Counties Laundries Limited (the 'Company') for the year ended 31 March 2025, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of cash flows, 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 March 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 6

EASTERN COUNTIES LAUNDRIES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EASTERN COUNTIES LAUNDRIES 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 4, 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 7

EASTERN COUNTIES LAUNDRIES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EASTERN COUNTIES LAUNDRIES 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:

• enquiring of management concerning actual and potential litigation claims;
• reviewing legal expenses for any indication of breaches of laws and regulations;
• performing analytical procedures to identify any unusual results that may indicate risks of material
   misstatement due to fraud;
• reading minutes of meetings;
• assessing any management override of controls by testing journal entries and other adjustments and
   reviewing accounting estimates for indications of potential bias;
• performing detailed sample testing over sales transactions to ensure no material misstatements due to
   fraud;
• evaluating any transactions that are unusual or outside the normal course of business; and
• maintaining alert to any fraud risks throughout the audit.

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 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.

Page 8

EASTERN COUNTIES LAUNDRIES LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EASTERN COUNTIES LAUNDRIES LIMITED (CONTINUED)

Daniel Reid FCA (Senior statutory auditor)

for and on behalf of

FLB Audit LLP

Chartered Accountants and Statutory Auditors

1010 Eskdale Road

Winnersh Triangle

Wokingham

RG41 5TS

24 October 2025

Page 9

EASTERN COUNTIES LAUNDRIES LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 MARCH 2025

		As restated
	2025	2024
Note	£	£


Turnover	4	18,012,471	17,230,307
Cost of sales		(12,802,232)	(12,825,901)
Gross profit		5,210,239	4,404,406
Distribution costs		(312,914)	(286,680)
Administrative expenses		(3,644,428)	(3,085,916)
Other operating income	5	11,285	80,355
Fair value movements	15	-	(45,000)
Operating profit	6	1,264,182	1,067,165
Interest receivable and similar income	10	12,605	9,806
Interest payable and similar expenses	11	(537,579)	(421,582)
Profit before tax		739,208	655,389
Tax on profit	12	(41,331)	(73,963)
Profit for the financial year		697,877	581,426

Other comprehensive income for the year
Unrealised deficit on revaluation of tangible fixed assets	(47,482)	(180,743)
Deferred tax on revaluation of tangible fixed assets	41,331	73,963
Other comprehensive income for the year	(6,151)	(106,780)
Total comprehensive income for the year	691,726	474,646

The notes on pages 17 to 41 form part of these financial statements.

Page 10

EASTERN COUNTIES LAUNDRIES LIMITED

REGISTERED NUMBER: 00249950

BALANCE SHEET

AS AT 31 MARCH 2025

		2025		2024
Note		£		£

Fixed assets
Tangible assets	13		11,844,107		12,088,874
Investments	14		25		25
Investment property	15		-		400,000
			11,844,132		12,488,899
Current assets
Debtors: amounts falling due within one year	16	4,561,299		4,079,981
Cash at bank and in hand	17	1,515,414		270,469
		6,076,713		4,350,450
Creditors: amounts falling due within one year	18	(4,985,914)		(6,322,621)
Net current assets/(liabilities)			1,090,799		(1,972,171)
Total assets less current liabilities			12,934,931		10,516,728
Creditors: amounts falling due after more than one year	19		(4,383,054)		(2,656,577)

Net assets			8,551,877		7,860,151

Capital and reserves
Called up share capital	24	12,209	12,209
Revaluation reserve	25	2,457,258	2,504,347
Capital redemption reserve	25	34,811	34,811
Other reserves	25	-	210,000
Profit and loss account	25	6,047,599	5,098,784
		8,551,877	7,860,151

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 October 2025.

K J Bueggeln

Director

The notes on pages 17 to 41 form part of these financial statements.

Page 11


		EASTERN COUNTIES LAUNDRIES LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2025

	Called up share capital	Capital redemption reserve	Revaluation reserve	Other reserves	Profit and loss account	Total equity
	£	£	£	£	£	£
At 1 April 2024	12,209	34,811	2,504,347	210,000	5,098,784	7,860,151
Comprehensive income for the year
Profit for the year	-	-	-	-	697,877	697,877
Deficit on revaluation of freehold property	-	-	(47,482)	-	-	(47,482)
Revaluation realisation of tangible assets	-	-	(40,938)	-	40,938	-
Deferred tax movement on revaluation of tangible assets	-	-	41,331	-	-	41,331
Total comprehensive income for the year	-	-	(47,089)	-	738,815	691,726
Transfer to/from profit and loss account	-	-	-	(210,000)	210,000	-
At 31 March 2025	12,209	34,811	2,457,258	-	6,047,599	8,551,877

The notes on pages 17 to 41 form part of these financial statements.

Page 12


		EASTERN COUNTIES LAUNDRIES LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2024

	Called up share capital	Capital redemption reserve	Revaluation reserve	Other reserves	Profit and loss account	Total equity
	£	£	£	£	£	£
At 1 April 2023	12,209	34,811	2,652,785	210,000	4,475,700	7,385,505
Comprehensive income for the year
Profit for the year	-	-	-	-	581,426	581,426
Deficit on revaluation of freehold property	-	-	(180,743)	-	-	(180,743)
Revaluation realisation of tangible assets	-	-	(41,658)	-	41,658	-
Deferred tax movement on revaluation of tangible assets	-	-	73,963	-	-	73,963
Total comprehensive income for the year	-	-	(148,438)	-	623,084	474,646
At 31 March 2024	12,209	34,811	2,504,347	210,000	5,098,784	7,860,151

The notes on pages 17 to 41 form part of these financial statements.

Page 13

EASTERN COUNTIES LAUNDRIES LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	697,877	581,426
Adjustments for:
Depreciation of tangible assets	3,102,044	2,549,372
Profit on disposal of assets	(77,878)	(96,273)
Interest paid	537,579	421,582
Interest received	(12,605)	(9,806)
Taxation charge	41,331	73,963
Decrease/(increase) in debtors	45,907	(85,338)
Decrease/(increase) in amounts owed by groups	-	(394,908)
Increase/(decrease) in creditors	661,105	(1,090,149)
(Decrease)/increase in amounts owed to groups	(104,776)	377,176
Net fair value losses recognised in P&L	-	45,000
Net cash generated from operating activities	4,890,584	2,372,045

Cash flows from investing activities
Purchase of tangible fixed assets	(2,367,880)	(2,148,935)
Sale of tangible assets	143,640	27,000
Sale of investment properties	420,000	-
Sale of share in associates	-	48,708
Interest received	12,605	9,806
Net cash from investing activities	(1,791,635)	(2,063,421)
Cash flows from financing activities
New secured loans	2,350,000	1,500,000
Repayment of loans	(2,140,929)	(279,512)
Repayment of/new finance leases	(880,508)	(750,589)
Movements on invoice discounting	(644,988)	(748,804)
Interest paid	(255,138)	(344,177)
HP interest paid	(282,441)	(77,640)
Net cash used in financing activities	(1,854,004)	(700,722)

Page 14

EASTERN COUNTIES LAUNDRIES LIMITED

STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2025

		2025	2024
		£	£


Net increase/(decrease) in cash and cash equivalents	1,244,945	(392,098)
Cash and cash equivalents at beginning of year	270,469	662,567
Cash and cash equivalents at the end of year	1,515,414	270,469

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	1,515,414	270,469
	1,515,414	270,469

The notes on pages 17 to 41 form part of these financial statements.

Page 15

EASTERN COUNTIES LAUNDRIES LIMITED

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 MARCH 2025


At 1 April 2024	Cash flows	New finance leases	At 31 March 2025
£	£	£	£

Cash at bank and in hand	270,469	1,244,945	-	1,515,414
Debt due after 1 year	(266,667)	(1,893,696)	-	(2,160,363)
Debt due within 1 year	(1,793,036)	1,684,625	-	(108,411)
Finance leases	(3,058,494)	880,508	(623,305)	(2,801,291)
	(4,847,728)	1,916,382	(623,305)	(3,554,651)

The notes on pages 17 to 41 form part of these financial statements.

Page 16

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

1.	General information

The company is a private company limited by shares, incorporated in the United Kingdom and registered in England and Wales. The address of the registered office is 28 Robjohns Road, Widford Industrial Estate, Chelmsford, Essex, United Kingdom, CM1 3AF and the company number is 00249950.

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 exempt from the requirement to prepare consolidated financial statements as all of its subsidiaries are required to be excluded from consolidation by section 402 of the Companies Act 2006.

2.3

Going concern

Management have considered that the consequences of the past accounting periods and the post balance sheet period and have determined that following appropriate sales pricing and review of labour and other costs, that the going concern is the most appropriate basis for the preparation of the financial statements. This is further supported by the strong net asset position of £8.6mil.

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:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

The services predominantly include the rental of washed linen and garments.

Page 17

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.5

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.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

2.6

Leased assets: the Company as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.7

Interest income

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

2.8

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.

2.9

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

2.10

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 18

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.11

Taxation

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.

Page 19

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.12

Tangible fixed assets

Freehold property is the only class of tangible fixed assets held under the revaluation model.

These tangible fixed assets are initially recognized at cost, including directly attributable costs of bringing the asset into working condition for its intended use. Following initial recognition, these tangible fixed assets are carried at revalued amounts, which represent their fair value at the date of the revaluation less any subsequent accumulated depreciation and impairment losses.

Revaluations are performed regularly to ensure that the carrying amount of the asset does not differ materially from its fair value at the reporting date. This may involve annual or more frequent revaluations depending on the nature of the asset.

The fair value is determined based on the market value or, where market values are not readily available, by using appropriate valuation techniques. These may include discounted cash flow models, recent market transactions, or cost-based approaches.

Any increase in the carrying amount as a result of a revaluation is credited to a revaluation surplus in equity under the heading of "Revaluation Reserve", except where it reverses a revaluation deficit on the same asset previously recognized in profit or loss. Any decrease in the carrying amount as a result of a revaluation is charged to profit or loss, except where it reverses a revaluation surplus for the same asset previously recognized in equity, in which case it is debited to the revaluation surplus.

After revaluation, the asset is depreciated over its estimated useful life. The revalued amount is depreciated over the asset's remaining useful life. Depreciation is charged to profit or loss in a manner that reflects the pattern in which the asset's future economic benefits are expected to be consumed.

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.

Page 20

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.12

Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property	-	2%
Motor vehicles	-	20%
Plant and machinery	-	13%	to 25%
Commercial vehicles	-	25%
Fixtures and fittings	-	50%
Office equipment	-	13%
Computer equipment	-	33%
Linen	-	50%

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.

2.13

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date.

Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

2.14

Impairment of fixed assets and goodwill

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cashflows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

Page 21

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.15

Investment property

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

2.16

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Company shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Statement of comprehensive income for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

2.17

Associates and joint ventures

Associates and Joint Ventures are held at cost less impairment.

2.18

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.

2.19

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.

In the Statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

2.20

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.

2.21

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

2.22

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

Page 22

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.22

Financial instruments (continued)

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 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.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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.

Page 23

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

2.Accounting policies (continued)

2.22

Financial instruments (continued)

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.

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Page 24

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

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

Valuation of properties: we apply estimation and judgement in determining our fair values of properties held within Tangible Assets at revalued amounts and those held within Investment Property at fair value at year end. Management make use of experts in establishing a true market value.

Useful lives: for the different classes of Tangible Assets, management establish useful lives based on our estimates of the period that the assets will be able to be utilised for. Linen is expensed over its useful economic life, which has been determined to be two years. These estimates are based on past operational experience and considered in light of industry competitors. All Tangible Asset useful lives are reviewed periodically for appropriateness.

Rendering of services	18,012,471	17,230,307
	18,012,471	17,230,307

All turnover arose within the United Kingdom.

5.	Other operating income
		2025	2024
		£	£

Net rents receivable	11,285	80,355
	11,285	80,355

	Depreciation of tangible assets	3,102,044	2,549,372
	Other operating lease rentals	8,871	9,690

Page 25

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

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

16,000

Wages and salaries	7,300,035	7,180,872
Social security costs	727,002	660,584
Cost of defined contribution scheme	138,788	129,873
	8,165,825	7,971,329

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

	2025	2024
	No.	No.

Production staff	165	162
Distribution staff	50	49
Administrative staff	25	25
Management staff	3	3

	243	239

Page 26

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

9.	Directors' remuneration
		2025	2024
		£	£

Directors' emoluments	269,866	267,535
Company contributions to defined contribution pension schemes	11,860	10,108
	281,726	277,643

	During the year retirement benefits were accruing to 1 director (2024 - 2) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £101,856 (2024 - £103,093).
	The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £NIL (2024 - £NIL).

10.	Interest receivable
		2025	2024
		£	£

	Bank interest receivable	12,605	9,806
		12,605	9,806

Page 27

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

11.	Interest payable and similar expenses
		2025	2024
		£	£

Bank interest payable	154,545	251,766
Loans from group undertakings	100,593	92,176
Finance leases and hire purchase contracts	282,441	77,640
	537,579	421,582

Page 28

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025



Total current tax	-	-

Deferred tax
Origination and reversal of timing differences	41,331	73,963
Total deferred tax	41,331	73,963


		41,331	73,963

Profit on ordinary activities before tax

739,208

655,389

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25 %)	184,802	163,847
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	14,179	20,342
Utilisation of tax losses	(238,643)	(82,951)
Increase or decrease in pension fund prepayment leading to an increase (decrease) in tax	(1,085)	1,199
Book profit on chargeable assets	(19,470)	(24,068)
Capital gains	101,621	-
Changes in provisions leading to an increase (decrease) in the tax charge	(73)	(4,406)
Total tax charge for the year	41,331	73,963

At the end of the year the company has a total of £6,228,626 (2024: £7,569,936) taxable losses
carried forward.

Page 29


		EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

	13.	Tangible fixed assets

	Freehold property	Motor vehicles	Plant and machinery	Commercial vehicles	Fixtures and fittings	Office equipment	Computer equipment	Linen	Total
	£	£	£	£	£	£	£	£	£
Cost or valuation
At 1 April 2024	5,810,000	222,593	6,605,018	1,425,969	5,755	-	160,906	3,813,179	18,043,420
Additions	105,325	189,086	526,472	402,686	-	8,371	34,819	1,724,081	2,990,840
Disposals	-	-	(243,045)	(210,236)	(5,306)	-	(7,050)	(2,006,789)	(2,472,426)
Revaluations	(165,325)	-	-	-	-	-	-	-	(165,325)
At 31 March 2025	5,750,000	411,679	6,888,445	1,618,419	449	8,371	188,675	3,530,471	18,396,509
Depreciation
At 1 April 2024	-	67,048	3,310,950	661,722	5,606	-	78,851	1,830,369	5,954,546
Charge for the year on owned assets	117,843	16,741	326,277	16,444	81	169	39,776	1,999,491	2,516,822
Charge for the year on financed assets	-	42,894	293,833	232,497	-	-	15,998	-	585,222
Disposals	-	-	(208,100)	(159,168)	(5,238)	-	(7,050)	(2,006,789)	(2,386,345)
On revalued assets	(117,843)	-	-	-	-	-	-	-	(117,843)
At 31 March 2025	-	126,683	3,722,960	751,495	449	169	127,575	1,823,071	6,552,402
Net book value
At 31 March 2025	5,750,000	284,996	3,165,485	866,924	-	8,202	61,100	1,707,400	11,844,107
At 31 March 2024	5,810,000	155,545	3,294,068	764,247	149	-	82,055	1,982,810	12,088,874

Page 30


		EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

13.Tangible fixed assets (continued)

Page 31


		EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025

13.Tangible fixed assets (continued)

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2025	2024
	£	£


Land and buildings	-	52,971
Plant and machinery	2,100,705	2,635,948
Motor vehicles	244,654	155,545
Commercial vehicles	811,978	696,323
Computer equipment	6,119	-
	3,163,456	3,540,787

Tangible fixed assets (continued)

Freehold Property at 31 March 2025 has a carrying amount of £2,842,880 at cost with the revaluation portion being £2,907,120 based on the 31 March 2025 valuation. Thus a total of £5,750,000.

The 31 March 2025 valuations were made by an independent valuer, being Nicholas Percival RICS, on an open market value for existing use basis.

If the Freehold Property had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:

-31 March 2025: Historic cost of £3,950,553 and accumulated depreciation of £1,107,673
-31 March 2024: Historic cost of £3,845,228 and accumulated depreciation of £1,030,767

Page 32

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

14.	Fixed asset investments

		Investments in associates
		£
	Cost or valuation
	At 1 April 2024	25
	At 31 March 2025	25

Subsidiary undertakings

Eastern Counties Laundries Limited is a designated member of Moore Bros 1815 LLP, having 66% control. Moore Bros 1815 LLP is a limited liability partnership incorporated in the United Kingdom and registered in England and Wales. The registered address is Middleborough House, 16 Middleborough, Colchester, Essex, CO1 1QT and the registered number is OC355032. Moore Bros 1815 LLP had no profit or share capital and reserves at 31 March 2025 and is a dormant entity.

	Participating interests
	More Laundries Limited has a registered address of 28 Robjohns Road, Widford Industrial Estate, Chelmsford, Essex, United Kingdom, CM1 3AF. Eastern Counties Laundries Limited holds 25% of its Ordinary shares. It had £100 aggregate capital and reserves at 31 March 2025 and is a dormant entity.

Page 33

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

15.	Investment property

		Long term leasehold investment property
		£

	At 1 April 2024	400,000
	Disposals	(400,000)
	At 31 March 2025	-

The 2025 valuations were made by an independent valuer, being Nicholas Percival RICS, on an open market value for existing use basis.


	At 31 March 2025

If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:
	2025	2024
	£	£

	Historic cost	-	1
		-	1

Page 34

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

16.

Debtors

					2025	2024
					£	£


Trade debtors	2,937,505	2,983,081
Amounts owed by group undertakings	528,573	528,573
Other debtors	600,632	340,336
Prepayments and accrued income	494,589	227,991
	4,561,299	4,079,981

17.	Cash and cash equivalents
		2025	2024
		£	£

Cash at bank and in hand	1,515,414	270,469
	1,515,414	270,469

Page 35

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

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

Bank loans	108,411	1,793,036
Trade creditors	1,857,177	1,709,025
Amounts owed to group undertakings	1,047,455	1,152,231
Other taxation and social security	811,290	409,104
Obligations under finance lease and hire purchase contracts	578,600	668,584
Invoice discounting creditor	-	118,425
Other creditors	156,905	213,202
Accruals and deferred income	426,076	259,014
	4,985,914	6,322,621

Obligations under finance leases and hire purchase contracts are secured over the assets concerned. The carrying values of which are disclosed above in note 13.

At year end, HSBC Bank PLC held the following security:

A fixed charge over Book Debts and a floating charge over all other assets dated 30th October 1986.

A first legal charge dated 22nd June 2004 over Freehold property known as Land & Buildings on west side of Robjohns Road, Chelmsford.

A debenture including Fixed Charge over all present freehold property and leasehold property; First Fixed Charge over book and other debt, chattels, goodwill and uncalled capital, both present and future; and First Floating Charge over all assets and undertaking both present and future dated 15th June 2004.

During the year, HSBC Bank PLC registered a legal mortgage over the freehold property at 31 Robjohns Road, Chelmsford dated 31 May 2024.

19.	Creditors: Amounts falling due after more than one year
		2025	2024
		£	£

Bank loans	2,160,363	266,667
Net obligations under finance leases and hire purchase contracts	2,222,691	2,389,910
	4,383,054	2,656,577

Obligations under finance leases and hire purchase contracts are secured over the assets concerned. The carrying values of which are disclosed above in note 13.

Bank loans and overdrafts are secured by legal charges over freehold property. Refer to note 18 above.

Page 36

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Amounts falling due within one year
Bank loans	108,411	1,793,036
	108,411	1,793,036
Amounts falling due 1-2 years
Bank loans	115,406	200,000
	115,406	200,000
Amounts falling due 2-5 years
Bank loans	2,044,957	66,667
	2,044,957	66,667

	2,268,774	2,059,703

The 2025 loans include two HSBC term loans. £1,452,937 at 31 March 2025 incurs interest at 6.12% per annum. The other £815,837 incurs interest at 2% above the Bank of England Base Rate per annum. Repayments are made monthly on both loans.

The 2024 loans include two HSBC loans. £466,667 at 31 March 2024 relating to a Coronavirus Business Loan which has no interest charged for the first year, but is interest bearing thereafter at a rate of 3.99% per annum over the Bank of England Base Rate. The other £93,036 relates to a Flexible Business Loan which charges interest at 2.85% per annum. Repayments are made monthly on both loans.

The 2024 loans also include a balance of £1.5mil obtained in the 2024 year owing to Together bank with a monthly interest rate of 1.05%. Repayments of interest are made monthly on this loan and the loan term ended in December 2024.

Page 37

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Within one year	578,600	668,584
Between 1-5 years	1,891,245	1,755,765
Over 5 years	331,446	634,145
	2,801,291	3,058,494

22.	Financial instruments
		2025	2024
		£	£

	Financial assets
	Financial assets measured at amortised cost	5,627,316	4,142,744

	Financial liabilities
	Other financial liabilities measured at amortised cost	8,526,877	8,532,338

	Financial assets measured at amortised cost comprise of cash, trade debtors, amounts owed by group undertakings, accrued income and other debtors.
	Financial liabilities measured at amortised cost comprise of bank loans, trade creditors, leases, accruals, other creditors, invoice discounting creditor and amounts owed to group undertakings.

Page 38

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

23.	Deferred taxation
		2025	2024
		£	£

Accelerated capital allowances	(1,528,098)	(1,639,245)
Tax losses carried forward	1,525,709	1,635,771
Pension surplus	2,389	3,474
	-	-

Page 39

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

24.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

12,209 (2024 - 12,209) Ordinary A shares of £1.00 each	12,209	12,209

25.

Reserves

Revaluation reserve

This reserve records the value of asset revaluations recognised in other comprehensive income.

Capital redemption reserve

This reserve records the nominal value of shares repurchased by the company.

Other reserves

This reserve records the value of fair movements on assets recognised through the profit and loss account.

Profit and loss account

Includes all current and prior period retained earnings.

26.	Prior year adjustment

During the year the revenue contracts were reviewed and it was identified that the company was in fact agent on some of these contracts, but had been accounting for revenue as principal. As a result a prior year adjustment has been made to correct this. This impact reduces both revenue and cost of sales by the same amount of £5,218,545. This impacts the Statement of Comprehensive Income and the Turnover note. It has no impact on tax.

The directors have made these restatements as they believe that they enable the financial statements to
provide a true and fair view.

27.	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 £138,788 (2024 - £129,873) . Contributions totalling £32,537 (2024 - £31,656) were payable to the fund at the balance sheet date and are included in other creditors.

Page 40

EASTERN COUNTIES LAUNDRIES LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Not later than 1 year	7,364	-
Later than 1 year and not later than 5 years	15,341	-
	22,705	-

29.

Related party transactions

Related party transactions in the year relate to directors remuneration which has been disclosed in note 9 above as well as amounts due to and from directors and group companies. Loan amounts owed to directors are included in other creditors and amount to £10,286 (2024: £19,906). The movement in these balances relate to repayments of the loan.

These loans with directors bear no interest and are repayable on demand.

During the year, an investment property was sold for £420k by the company to a related party Pension fund.

The company takes the exemption provided under FRS102, Section 33 to not disclose transactions with group companies.

30.	Post balance sheet events

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

31.	Controlling party

Moore Bros Holdings Limited is the immediate and ultimate parent company, with Mr T W Moore remaining the ultimate controlling party due to him having 75% shareholding in Moore Bros Holdings Limited.

Copies of the consolidated financial statements of Moore Bros Holdings Limited can be obtained from 28 Robjohns Road, Chelmsford, England, CM1 3AF. This is the largest and smallest set of accounts for which consolidated accounts are prepared and to which the company is included in.

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