Company No: 07621889 (England and Wales)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	2025		2024
		£		£
Fixed assets
Intangible assets	3	1,532		19,243
Tangible assets	4	296,566		197,852
		298,098		217,095
Current assets
Stocks	5	1,179,880		2,034,733
Debtors	6	2,687,862		1,449,501
Cash at bank and in hand		2,062,406		1,324,758
		5,930,148		4,808,992
Creditors: amounts falling due within one year	7	( 3,221,726)		( 1,873,605)
Net current assets		2,708,422		2,935,387
Total assets less current liabilities		3,006,520		3,152,482
Creditors: amounts falling due after more than one year	8	( 5,257,798)		( 1,856,125)
Net (liabilities)/assets		( 2,251,278)		1,296,357
Capital and reserves
Called-up share capital	9	701		701
Share premium account		11,564,050		11,564,050
Profit and loss account		( 13,816,029 )		( 10,268,394 )
Total shareholders' (deficit)/funds		( 2,251,278)		1,296,357

For the financial year ending 31 May 2025 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Degould Limited (registered number: 07621889) were approved and authorised for issue by the Board of Directors on 28 November 2025. They were signed on its behalf by:

Mr B J Boycott Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Degould Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office and the principal place of business is 17 Apple Lane, Sowton Industrial Estate, Exeter, EX2 5GL, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. There are no material departures from FRS 102.

The financial statements are presented in pounds sterling which is the functional currency of the company and rounded to the nearest £.

Going concern

The Company remains in an investment and development phase and despite receiving investment from existing shareholders post year end, is expected to require additional finance to enable it to continue operating as a going concern for the foreseeable future.

The company is progressing fundraising conversations with a view to raising additional capital which is expected, based on cash flow forecasts which management consider to be reasonable and prudent, to be sufficient to enable the company to continue operating as a going concern for a period of greater than twelve months from the date of approval of these financial statements.

The Board are confident that the company will be successful in raising the capital outlined above but recognise that this is inherently uncertain and risk remains. Absent to a significant capital injection the company would not be able to continue operating as a going concern for a period of twelve months.

Accordingly, the directors consider it appropriate to prepare the financial statements on a going concern basis but recognise that the need to raise finance represents a material uncertainty that may cast significant doubt on the ability of the company to continue as a going concern.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Balance Sheet date are reported at the rates of exchange prevailing at that date.

Turnover

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company's activities. Turnover is shown net of value added tax, returns, rebates and discounts and after eliminating sales within the company.

Turnover on the sale of image capture booths is recognised on receipt of the booth by the customer.

Employee benefits

Defined contribution schemes
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on tax rates and laws substantively enacted at the balance sheet date. Deferred tax assets and liabilities are not discounted.

Intangible assets

Separately acquired patents and licences (including software) are shown at historical costs.

Patents and licenses have a finite useful life and are carried at cost less accumulated amortisation and any accumulated impairment losses.

Amortisation:
Amortisation is provided on intangible assets so as to write off the cost of assets other than those under development, less any estimated residual value, over their useful life as follows:

Computer software

3 years straight line

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line basis over its expected useful life, as follows:

Leasehold improvements	3 - 10 years straight line
Plant and machinery	3 - 10 years straight line
Vehicles	3 years straight line
Fixtures and fittings	3 years straight line
Tools and equipment	3 years straight line
Computer equipment	3 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Profit and Loss Account over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

The cost of finished foods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. At each reporting date, stocks are assessed for impairment, If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Assets sold on contract are retained in stock and recognised over the period of the contract.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

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 deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets receivable within one year, such as trade debtors and bank balances, are measured at transaction price less any impairment.

Basic financial assets receivable within more than one year are measured at amortised cost less any impairment.

Financial assets are derecognised when and only when the contractual rights to the cash flows from the financial asset expire or are settled, or the Company transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or the Company, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

Basic financial liabilities
Basic financial liabilities that have no stated interest rate and are payable within one year, such as trade creditors, are measured at transaction price.

Other basic financial liabilities are measured at amortised cost.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

During the year the company received grants of £Nil (2024: £588) from Innovate UK in relation to innovative product development.

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the Balance Sheet date, taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

2. Employees

	2025		2024
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	46		47

3. Intangible assets

	Computer software		Total
	£		£
Cost
At 01 June 2024	188,106		188,106
Additions	719		719
At 31 May 2025	188,825		188,825
Accumulated amortisation
At 01 June 2024	168,863		168,863
Charge for the financial year	18,430		18,430
At 31 May 2025	187,293		187,293
Net book value
At 31 May 2025	1,532		1,532
At 31 May 2024	19,243		19,243

4. Tangible assets

	Leasehold improve- ments		Plant and machinery		Vehicles		Fixtures and fittings		Tools and equipment		Computer equipment		Total
	£		£		£		£		£		£		£
Cost
At 01 June 2024	277,824		19,480		55,963		19,879		0		134,130		507,276
Additions	0		0		0		6,169		46,784		104,769		157,722
Disposals	0		( 10,635)		0		0		0		0		( 10,635)
At 31 May 2025	277,824		8,845		55,963		26,048		46,784		238,899		654,363
Accumulated depreciation
At 01 June 2024	109,442		18,440		55,963		17,054		0		108,525		309,424
Charge for the financial year	25,577		657		0		2,317		1,559		28,898		59,008
Disposals	0		( 10,635)		0		0		0		0		( 10,635)
At 31 May 2025	135,019		8,462		55,963		19,371		1,559		137,423		357,797
Net book value
At 31 May 2025	142,805		383		0		6,677		45,225		101,476		296,566
At 31 May 2024	168,382		1,040		0		2,825		0		25,605		197,852

5. Stocks

	2025		2024
	£		£
Stocks	735,540		903,379
Work in progress	119,492		587,904
Finished goods	324,848		543,450
	1,179,880		2,034,733

6. Debtors

	2025		2024
	£		£
Trade debtors	1,335,125		333,979
Prepayments and accrued income	272,479		143,858
VAT recoverable	114,676		34,305
Corporation tax	965,582		935,295
Other debtors	0		2,064
	2,687,862		1,449,501

7. Creditors: amounts falling due within one year

	2025		2024
	£		£
Trade creditors	207,286		231,817
Accruals and deferred income	2,705,817		1,136,640
Other taxation and social security	143,007		333,826
Other creditors	165,616		171,322
	3,221,726		1,873,605

8. Creditors: amounts falling due after more than one year

	2025		2024
	£		£
Other loans (secured)	4,975,173		1,496,180
Deferred income	282,625		359,945
	5,257,798		1,856,125

Loans are secured by charges over the company assets.

9. Called-up share capital

	2025		2024
	£		£
Allotted, called-up and fully-paid
2,129,266 Ordinary shares of £ 0.0001 each	212.93		212.93
645,555 Preference A non-cumulative shares of £ 0.0001 each	64.56		64.56
1,646,036 Preference B non-cumulative shares of £ 0.0001 each	164.60		164.60
236,584 Preference C non-cumulative shares of £ 0.0001 each	23.66		23.66
2,356,240 Preference D non-cumulative shares of £ 0.0001 each	235.62		235.62
	488.44		488.44
	701.37		701.37

Ordinary shares:
The Ordinary and Ordinary A shares carry voting rights, rights to dividends and rank equally. In the event of an exit on or prior to 10 July 2025, the holders of the Ordinary A shares shall receive the higher of i) twice the amount paid up on their shares or ii) their proportion of the sale proceeds. In the event of an exit post 10 July 2025, the holders of the Ordinary A shares shall receive the higher of i) the amount paid up on their shares or ii) their proportion of the sale proceeds.

Preference B and Preference C Shares:
Preference B shares and Preference C shares carry voting rights, right to dividend payments or any other distribution and right to participate in a distribution arising from a winding up of the company. The shares are non-redeemable.

The company has a share option scheme in which four employees participate: The Degould Limited Enterprise Management Incentive Share Options Plan set up in October 2017. Under the EMI scheme, the company has granted an EMI option over 'Ordinary' shares in the company. Exercise is only possible should certain performance conditions be achieved. During the year the directors granted additional options to the employees. Options are granted over 249,325 shares with an exercise price of £0.0001 per share at the date of the grant and an expiry date of October 2027.

10. Financial commitments

Other financial commitments

	2025		2024
	£		£
Operating leases entered into	191,750		90,000

The above financial commitments are not included in the balance sheet is £191,750 (2024 - £90,000)