The Directors present the strategic report and financial statements for the year ended 30 June 2025.

Strategy and Business Model

Dundee United Football Club (the “company” and the “club”) is committed to being a sustainable and leading competitor within the upper echelons of the Scottish Professional Football League.

The club aims to achieve success in league and cup competitions. Its philosophy, both on and off the field, is continuous personal growth and team development supported by first-class facilities, staff, coaching, youth development, and club infrastructure.

It aims to be the club of choice for highly talented players and aspiring youngsters, and through a thriving senior football and Academy set-up it will ensure our players are developed to their highest level possible.

We are a club that continues to work alongside Dundee United Community Trust (DUCT) within our local community to improve the lives of people within Dundee and the surrounding areas.

Review of the business

Financial Overview

Dundee United Football Club recorded its strongest financial result in recent years for the year-ended June 2025 marked by profitable earnings before interest, tax, depreciation and amortisation (EBITDA) of £204,501 and record breaking turnover exceeding £10.5m following a highly successful year on and off the park.

The club reported a positive EBITDA for the first time since 2018, marking a significant improvement compared to the previous year's loss of £1.6 million. The operating loss (before gains on player trading) was £0.1 million, a remarkable recovery from a loss of over £4.3 million in the 2022–23 financial year—highlighting a £4 million plus improvement in just two years.

This improved performance was driven by several factors:

• Turnover increased by 64%, rising from £6.3 million in 2023–24 to £10.5 million in 2024–25.

• The fantastic loyal support of our fanbase throughout the season. Season ticket sales exceeded 7,000, combined with consistently strong home gate receipts throughout the campaign.

• On-field success with the men’s first team exceeding expectations by finishing fourth in the Scottish Premiership generating high prize money.

• Commercial revenue reached close to £3 million, buoyed by long-standing partnerships and an expanded sponsorship portfolio.

• The wage-to-turnover ratio fell significantly to 60% (from 81% in the prior year), demonstrating prudent cost management, record breaking turnover generation and improved operational efficiencies. The club are now well under UEFA’s recommended limit of 70%.

The net present value loan liability to OPG-4 UK stands at £7.2m down from £10.1m in June 2023 when the club were previously competing in the Scottish Premiership.

Interest payable of £0.3m relates entirely to a notional interest charge on Mark Ogren’s loan account and the Scottish Government Covid-19 loan, as both these loans are provided interest-free and financial reporting standards require notional interest to be charged on them through the Profit & Loss Account. This charge is added back through Other Reserves to the P&L Reserve. The club do not pay out this interest.

Looking ahead to the 2025–26 financial year, the club aims to build upon this momentum, targeting a high profitable EBITDA position. Continued revenue growth, strong budgetary discipline, a proactive player trading model, consistent on-field performance, and strategic operational improvements are expected to drive further progress towards long-term financial sustainability.

Review of Football Operations

Following promotion to the Scottish Premiership as Champions of the 2023–24 Scottish Championship—achieved with a record points total last surpassed in the 2015–16 season—Dundee United embarked on a comprehensive restructuring of the first-team squad. The strategic objective was clear: to re-establish the club as a competitive force in the Premiership and to target a place in the top six.

A significant overhaul of the playing squad was undertaken. Fifteen players departed the club, eleven of whom had registered first-team minutes during the Championship-winning campaign. In preparation for the return to top-flight football, the club implemented a recruitment strategy focused on sourcing talent across the UK and Europe. This strategy emphasised tapping into emerging markets to identify players who could both enhance the squad's quality and align with the club’s financial framework.

The permanent registrations of Will Ferry, Ryan Strain, Dave Richards, Vicko Sevelj, Kristijan Trapanovski, David Babunski, Jort Van Der Sande, Richard Odada and Meshack Ubochioma, coupled with excellent use of the loan market which saw Sam Dalby, Jack Walton, Luca Stephenson, Emmanuel Adegboyega join the club – along with the players who had been retained from the previous season by the club meant that a competitive and strong squad had been assembled for the above challenge.

The 2024–25 campaign also highlighted the club’s ongoing commitment to youth development. Several promising young players were integrated into the first-team environment and made meaningful contributions throughout the season. Notably, Owen Stirton scored on his Scottish Premiership debut at the age of 17. Sam Harding emerged as a key player in the latter part of the campaign, scoring his first senior goal at Ibrox against Rangers. In addition, Kai Fotheringham and Miller Thomson featured prominently, each playing valuable roles in the club’s successful return to the top tier.

The 2024- 25 season has been a landmark year for Dundee United, marked by overachievement, vibrant performances and qualification for European football through finishing in fourth place in the Scottish Premiership. The squad, under the management team, showed defensive discipline, attacking invention, and, crucially, the mental strength to secure positive outcomes in tight games. Home form was excellent, and away victories in pivotal matches demonstrated that the squad had developed both character and depth. The culmination of this was a final league position well above pre-season predictions, earning European qualification — a target which many considered ambitious at the start of the season.

In domestic cup competitions, the club reached the quarter-finals of the League Cup before narrowly losing to Motherwell FC. The Scottish Cup campaign ended in the fourth round. While cup runs were limited, the club maintained a strategic focus on league performance, remaining in the Premiership’s top six from September onwards. This consistency highlights the squad's ability to produce strong and sustained results over the course of the season.

Looking ahead, the club remains focused on building from the successes of 2024-25. Key priorities will include enhancing the momentum of attacking play, consolidating defensive solidity, and ensuring that recruitment continues to deliver value and quality in line with the club’s objectives.

The achievements of the 2024–25 season have set a new benchmark for Dundee United. With strong leadership, a competitive squad, and the backing of our supporters and stakeholders, the club is well-positioned to continue its progression in domestic league and cup competitions.

Review of Our Academy

The Chairman’s significant financial investment to the Academy continued in the 2024-25 season with our Elite CAS status again being maintained, and the overall investment in the Academy Facilities and Football Operations since Mr Ogren acquired the club in December 2018 now nears £5million.

The board continue to view the academy as the ‘cornerstone’ of the club’s future success with a pathway for player progression now firmly established within the structure.

A new academy director was appointed in the 2024-25 season, with Scott Allison joining from English premier league side Nottingham Forest. A full review of the academy structure followed, to ensure the academy retains its rich traditions in player development while also maintaining a modern structure that the club can be proud of.

Review of Our Academy (continued)

Developing youth players for the first team is the main objective for our academy. In 2024-25 several academy graduates had a positive impact at first team level including Ross Graham, Miller Thomson, Kai Fotheringham, Brandon Forbes and Sam Cleall-Harding.

Emerging talent is also evident within the younger age groups with U18 players Owen Sirton and Scott Constable making appearances at first team level, while also enjoying successful loan spells at SPFL league clubs.

In total, there were over sixty appearances from academy trained players in our first team during season 2024-25. Several academy graduates received international recognition, with Dundee United academy represented in all youth national team squads and camps from u15 to u21 levels.

Player trading continues to be a consideration for all youth academies in Scotland. In season 2024-25 the club completed cross-border transfers of academy players Brandon Forbes and Alan Domeracki, bringing in a significant financial return to the club from academy trained players. The boards investment in the academy continues to bring success and benefits for the club with further developments planned for the 2025-26 season.

The club would also like to highlight that the Dundee United Supporters’ Foundation remain committed to funding key projects within the Academy including further enhancements at Foundation Park. On the 30th June 2025, 97% of DUSF members (77% turnout) overwhelmingly voted to approve funding of £167,617.28 towards key development projects at Foundation Park including a new gym, new kiosk and additional modular buildings. These improvements will not only further strengthen the club’s player development pathway but will also allow Dundee United to reallocate resources into the budget ahead of the 2025-26 season. The Chairman and senior leadership express our thanks to all the members who voted, and to all for their continued financial support towards the club.

The boards investment in the academy continues to bring success and benefits for the club with further developments planned for the 2025-26 season.

Dundee United Women’s Team

The Dundee United FC Women’s team faced a challenging 2024-25 campaign, culminating in relegation from SWPL 1 to SWPL 2. Despite ambitions to build upon the previous season’s progress, the team encountered significant obstacles, including limited centralised revenue streams and competing against clubs with substantially greater financial resources.

The Board remains fully committed to supporting a successful and sustainable women’s team. Accordingly, budgets for the forthcoming season have been maintained at a robust level to provide the team with the strongest possible platform to pursue immediate promotion back to SWPL 1.

Commercial

The 2024–25 season was a record-breaking year for Dundee United’s commercial operations. Total commercial income approached £3 million, representing a 26% increase over the previous year and the highest level in the Club’s history.

Key highlights include:

• The successful implementation of a localisation partnership strategy, leading to 13 new partnerships and 16 renewals, underlining the strength of the Dundee United brand.

• Major multi-year agreements were secured with Calforth Construction, Norman Jamieson, Paint Tec, and Fairmont St Andrews, providing long-term commercial stability.

• Strategic partnerships were formed with international organisations including the Johan Cruyff Institute and Bundeling, reflecting the Club’s expanding global reach.

• Matchday hospitality saw record sales, supported by significant investment in infrastructure at the Calforth Construction Arena at Tannadice Park, including stadium naming rights, a new technical area, a refurbished entrance, and a dedicated fan beer garden.

• The introduction of The Fancave – Sponsored by Carling, a new premium matchday hospitality product, sold out within one week of launch, demonstrating strong demand for unique supporter experiences.

Commercial (continued)

• The retail department achieved record performance, with standout success for the third kit inspired by Dundee’s gaming history, which sold out within a single day. Retail profits have doubled compared to two years ago, reflecting popular merchandise, strong working relations with our kit provider Errea and strong operational controls.

These achievements collectively underscore the Club’s strategic approach to long-term, sustainable commercial growth and its commitment to delivering value to partners, supporters, and the wider community.

Dundee United Community Trust (DUCT)

Through its Community Trust (DUCT), Dundee United Football Club continues to play a vital role in supporting local people through an extensive programme of community-focused initiatives.

A key strand of this work is the ongoing partnership with the Scottish FA and Scottish Government to deliver the Extra Time project at Clepington Primary School. Providing after-school activities for children throughout the school year and during holidays, the programme not only delivers fun and engaging sessions but also offers families meaningful respite and the flexibility to extend working hours or seek employment.

Alongside this, DUCT piloted a new initiative with Stobswell Forum and Dundee City Council, employing a Community Development Worker based at Stobswell Connect on Albert Street. This project has already made a measurable impact, assisting an average of 125 residents per month on critical issues such as money, housing, and energy, by linking directly with local partner agencies. DUCT also invested in youth leadership by employing nine young people to deliver peer-led diversionary activities, resulting in 200 hours of free football, 400 hours of volunteering, and weekly support for around 200 young people.

With the help of a generous anonymous donor, over 600 match tickets, 72 hospitality passes, and 54 mascot packages are distributed to those most in need of support each season.

Disability inclusion remained central to the charity’s work, highlighted by a round table with Michael Marra MSP on wraparound care for disabled children, and the continued success of the Para-Sports Club, which now engages 90 participants with a range of disabilities.

Festive Friends again proved a cornerstone of the year, supporting 330 community members and, with Islamic Relief UK, delivering an additional 500 food parcels.

Since its relaunch in 2017, our community trust has invested over £2.7 million in community activities, reinforcing its role as a trusted and impactful force in the city. Dundee United FC remain fiercely proud and supportive of the work and hard work done by DUCT.

Wage Costs

Total wage costs across the full club increased to £6.3 million (up from £5.2 million in 2023–24 in the Scottish Championship). This planned increase reflects the Club’s investment in the first-team playing squad to ensure competitiveness upon return to the Scottish Premiership and to meet the season’s strategic objectives.

Net Assets

The net assets deficit of £5.3m, as reported in the Balance Sheet as at 30 June 2025, is distorted by the £7.5m (£8.3m undiscounted value) of funding provided by Mark Ogren to the above date being disclosed within Creditors. This funding has been provided to the club on an interest-free loan basis, with no intention in the short to medium term to seek any repayment of this debt.

Principal risks and uncertainties

Given the nature of the company's principal activity, the business’s revenue streams are intrinsically linked to the on-field performance and success of the football team. The most significant risk to the business remains the potential relegation from the Scottish Premiership to the Championship. However, the owners and the Board of Directors remain fully committed to providing the necessary funding and infrastructure to support a competitive team capable of maintaining Premiership status and operating as a going concern.

Principal risks and uncertainties (continued)

The Board is also focused on supporting the club’s long-term ambition of consistently finishing in the top six and qualifying for European Competition. In addition to performance-related risks, the Directors have identified macroeconomic factors as a principal risk, particularly those that could adversely affect matchday attendance. In response, the club continues to offer flexible and cost-effective ticketing options, both on a seasonal and match-by-match basis. Notably, season ticket prices remain one of the lowest in the Scottish Premiership despite a significant increase in matchday operational and utility costs.

The 2024–25 season was a hugely successful season which included:

• A 4th place league finish

• Qualification for European competition

• Record turnover at £10.5m

• Strong cost management

• Enhanced relationships with supporters and commercial stakeholders

• Wages to Turnover ratio has reduced to 60% from 81%

The Club remains focused on continued improvement and has taken strategic steps during the summer of 2025 to strengthen the first-team squad and ensure further progression both on and off the field.

The Board would like to express its sincere gratitude to all Club employees, players, supporters, sponsors, and partners for their continued loyalty and dedication. The 2024–25 season has laid a strong foundation for future growth, both competitively and financially, and the Club is well positioned to continue building on this success in the 2025–26 season and beyond.

Key Performance Indicators

                2025        2024        2023

SPFL Premiership        4th        n/a        12th

SPFL Championship        n/a        1st        n/a    

Scottish Cup            4rd Round    3rd Round    5th Round

Scottish League Cup        Quarter Final    Group Stage    Quarter Final

Turnover                £10.5m        £6.4m        £8.1m    

Operating Loss            £0.1m        £2.3m        £4.3m    

Wages to Turnover Ratio        60%        81%        86%

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

The principal activity of the company is the operation of a professional football club within Scottish Professional Football League ("SPFL").

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

The results for the year are set out on page 10.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

In accordance with the company's articles, a resolution proposing that Thomson Cooper be reappointed as auditor of the company will be put at a General Meeting.

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

We have audited the financial statements of The Dundee United Football Company Limited (the 'company') for the year ended 30 June 2025 which comprise the statement of comprehensive income, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including 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 30 June 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 Auditor's 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 other information comprises the information included in the annual report other than the financial statements and our auditor's 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.

Opinions on other matters prescribed by the Companies Act 2006

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

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.

As explained more fully in the directors' responsibilities statement, 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.

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.

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

We considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of income, posting of unusual journals along with complex transactions and manipulating the company’s key performance indicators to meet targets. We discussed these risks with management, designed audit procedures to test the timing and existence of revenue, tested a sample of journals to confirm they were appropriate and reviewed areas of judgement for indicators of management bias to address these risks.

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience and through discussion with the officers and other management (as required by the auditing standards).

We reviewed the laws and regulations in areas that directly affect the financial statements including financial and taxation legislation and considered the extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.

With the exception of any known or possible non-compliance with relevant and significant laws and regulations, and as required by the auditing standards, our work in respect of these was limited to enquiry of the officers and management of the company.

We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's 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 auditor's 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.

The income statement has been prepared on the basis that all operations are continuing operations.

The Dundee United Football Company Limited is a private company limited by shares incorporated in Scotland. The registered office is Tannadice Park, Dundee, DD3 7JW.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

The company incurred pre-tax losses of £636,088 (2024: £2,803,872) during the year, and at the reporting date had net current liabilities of £600,625 (2024: £764,456) and a balance sheet deficit of £5,326,356 (2024: £4,552,193).  Excluding the loan from the majority shareholder, the company had net assets of £1,927,387 (2024: £2,104,634).true

The Board has reviewed the company’s current and projected cash position, including a detailed assessment of financial forecasts and cash flow requirements covering a period extending beyond 12 months from the date of approval of the financial statements. These projections are based on key assumptions, including:

• Maintaining their Premiership status;

• Season ticket revenues and match day income being consistent with operating in the SPFL Premiership;

• Sponsorship and commercial income being consistent, subject to inflationary rises;

• Overheads and payroll costs being consistent, subject to inflationary rises;

• Income from net player transfer activities; and

• No repayment of the majority shareholder’s loan being made for a period of at least 12 months from the date of approval of the financial statements.

In assessing going concern, the directors have considered the potential impact of downside scenarios, including the non-realisation of key assumptions, and have received assurances of continued financial support from the majority shareholder.

The company’s liquidity position is projected to continue to improve over the next 12 months, supported by ongoing improvements in trading performance and cost control. While reliance on financial support from the majority shareholder has reduced and is expected to continue to decrease, this support remains in place.

Based on this assessment, the directors are satisfied that the company has adequate resources to continue in operational existence for at least 12 months from the date of approval of the financial statements. Accordingly, the financial statements have been prepared on a going concern basis.

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes. All turnover originates in the United Kingdom.

Season ticket sales are deferred and, together with gate and other matchday revenues, recognised through the football season as games are played. Sponsorship and similar commercial income is recognised over the duration of the respective contracts. The fixed element of broadcasting revenues is recognised over the duration of the football season where facility fees for live coverage or highlights are recognised when earned. Income from commissions is recognised when known with reasonable accuracy. Merit awards are recognised once they are certain.

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Amounts paid to third parties for football registrations, football league levies and agent commissions are capitalised as intangible assets and amortised on a straight line basis over the periods of the individual contracts. Gains or losses on fees receivable from other football clubs on the transfer of players' or manager's registrations are recorded in the profit and loss account in the accounting

period in which the transfer takes place.

Where contingencies are contained within those contracts for further payments, these costs are not recognised until it is probable that the events crystallising such payments shall take place. Payments or receipts which are contingent on the performance of the team or players are not recognised until the events crystallising such payments or receipts have taken place. Signing on fees are capitalised as intangible assets and loyalty bonuses are charged to the profit and loss account as incurred. However, future instalments that are contingent on continued service are not recognised until it is probable that the events crystallising such payments shall take place.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

In considering the risk of impairment the directors take into account the expected future cash flows to be generated by the company's activities. Given the company's long-term track record in generating significant transfer fees from the identification and developments of its player pool, the directors take into account potential future transfer income in their assessment of impairment.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Stocks are stated at the lower of cost and net realisable value. Cost comprises purchase price and those overheads that have been incurred in bringing the stocks to their present location and condition.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

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

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Trade debtors, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as 'loans and receivables'. Loans and receivables are measured at amortised cost using the effective interest method, less any impairment.

Interest is recognised by applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial. The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the debt instrument to the net carrying amount on initial recognition.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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 derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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.

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

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

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the statement of financial position as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

Grants from the Football Grounds Improvement Trust, in respect of capital expenditure, are credited to deferred income in the balance sheet, and are released to the profit and loss account over the expected useful life of the relevant asset in equal annual amounts.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Where there are indicators of impairment of individual assets, the company performs impairment tests based on fair value less costs to sell. The fair value less costs to sell calculation is based on available data from binding sales transactions in an arm's length transaction on similar assets or observable market prices less incremental costs for disposing of the asset.

The average monthly number of persons (including directors) employed by the company during the year was:

Their aggregate remuneration comprised:

The actual charge for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:

Amortisation of the players registration is included within cost of sales.

Tangible fixed assets includes assets held under finance leases or hire purchase contracts, as follows:

The company has not designated any financial assets that are not classified as financial assets at fair value through profit or loss.

The company holds 1 ordinary share of £1 in the Scottish Professional Football League Limited for which a consideration of £1 was paid. This represents a 2.38% interest in the company.

Other creditors due after more than one year represent a loan from Mr M Ogren via his company OPG-4 UK Limited of £7,253,743 (2024: £6,656,827). As the loan is interest free and due after more than one year the loan has been discounted to reflect the net present value of the loan. The undiscounted value of the loan is £8,393,943 (2024: £7,908,168).

Other loans due represent a loan from the Scottish Government of £1,417,559 (2024: £1,346,852). As the loan is interest free and due after more than one year the loan has been discounted to reflect the net present value of the loan. The undiscounted value of the loan is £2,665,358 (2024: £2,665,358).

Football grounds improvement grants of £1,227,059 (2024: £1,275,646) are included in deferred income and released to the Profit and Loss Account at a rate equal to the depreciation rate of the asset to which the grant relates. Amounts falling due within one year are £53,004 (2024: £53,004).

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

During the year, HMRC opened an enquiry into the club’s corporation tax returns for the years ended  30 June 2021 and 30 June 2022, specifically in relation to Research & Development (R&D) tax credit claims. As part of the enquiry, HMRC have requested repayment of tax which was initially paid out in relation to the R&D claim from 2021. As per Note 10, the financial statements include a provision in respect of part of the original 2021 claim to the extent that the directors consider it is probable that a liability will arise.

The club is currently engaged in ongoing discussions with HMRC regarding the eligibility and value of its Research and Development (R&D) tax credit claims submitted for 2021 and 2022. Further disclosure of the nature of the discussions, the amounts and timing of any potential outflows has not been made as it could seriously prejudice the club’s position. The directors consider that the club has adequate resources to meet any obligations that may arise.

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

During the year the company entered into the following transactions with related parties:

The loan from Mr M Ogren is interest free and repayable after more than year. The net present value of the loan at the year end was £7,253,743 (2024: £6,656,827). The undiscounted value of the loan is £8,393,943 (2024: £7,908,168).

Mr M Ogren, director, is considered to be the company's ultimate controlling party.