Glens of Antrim Potatoes Limited iXBRL

Company Registration Number: NI030390

Glens of Antrim Potatoes Limited

Reports and Financial Statements

for the financial year ended 31 July 2025

Glens of Antrim Potatoes Limited

DIRECTORS AND OTHER INFORMATION


Directors	Charles McKillop Jnr
	Kathleen McKillop
	Michael McKillop


Company Secretary	Charles McKillop Jnr


Company Registration Number	NI030390


Registered Office and Business Address	118 Middlepark Road
	Cushendall
	Ballymena
	Antrim
	BT44 0SH
	Northern Ireland


Independent Auditors	PGR Accountants Limited
	Chartered Accountants and Statutory Auditor
	21 Old Channel Road
	Belfast
	Co Antrim
	BT3 9DE


Bankers	Danske Bank
	Northern Business Centre
	1-2 Broadway
	Ballymena
	Antrim
	BT43 7AA
	Northern Ireland

Glens of Antrim Potatoes Limited

STRATEGIC REPORT

for the financial year ended 31 July 2025

The directors present their strategic report on the company for the financial year ended 31 July 2025.

Review of the Company's Business

The principal activity of the company during the year was wholesaling potatoes and the manufacturing of potato crisps. The profit after tax for the year amounted to £595,846 (2024: Loss of £437,212). The return to profit has been the result of positive commercial pricing discussions with key customers following a period of cost inflation in potatoes, other raw materials and business running costs.

Principal Risks and Uncertainties

The company’s strategy is to apply appropriate risk policies, which effectively manage exposures related to the achievement of business objectives. The key risks which management face are detailed as follows:

Business Continuity Risk

Business performance risk is the risk that the company may not perform as expected either due to internal factors or due to competitive pressures in the markets in which it operates. This risk is managed through a number of measures: authorisation of forward purchases of stocks; ensuring the appropriate management team is in place; budget and business planning; monthly reporting and variance analysis; financial controls; key performance indicators and regular forecasting.

The company has split it potato packing and potato crisp manufacturing over 2 separate sites which has reduced the business continuity risk. In addition to this the company takes all other relevant steps which help it to minimize this risk. The company ensures that there is sufficient IT Support available should an unforeseen event occur. Management are continually implementing and reviewing business continuity and IT disaster recovery plans to ensure any increase in risk arising from future activities is managed.

Financial Key Performance Indicators

The business operates a comprehensive KPI monitoring and monthly reporting regime to assess the ongoing performance of the business, covering sales, gross margin, profitability, stock levels and cash generation.

Raw material prices

Raw material price is managed by senior management through an active purchasing strategy and regular monitoring of the supply chain.

Financial risk management policy

The company’s principal financial instruments comprise cash, trade debtors and trade creditors and certain other debtors and accruals. The main risks associated with these financial assets and liabilities are set out below:

Foreign currency risk

The company’s exposure to foreign currency risk comprises both revenues received from customers and expenditure to suppliers; both revenues and expenditures are denominated in Euro. The company has a policy of matching Euro amounts and in the event of any material unmatched Euro exposure, the company may manage the risk by considering entering into a foreign currency contract.

Credit Risk

Credit risk arises principally on 3rd party derived revenues. Company policy is aimed at minimizing such risk through the application of satisfactory creditworthiness procedures and monitoring the levels of credit to individual customers within their approved credit limits, so as to ensure the company’s exposure to bad debts is minimized.

Liquidity Risk

The company’s liquidity risk is managed by senior management through daily assessment of required cash levels and resultant utilisation of various available bank facilities and funding streams. The directors acknowledge the company’s reliance on these and has in place facilities adequate to meet the needs of the company and that the company is well placed to manage its business risks successfully.

Brexit Risk

At present Brexit represents a low risk for the business and whilst the relationship between UK and EU may change and therefore have a greater impact on the business, Management remains confident of the ability of the business to adapt to any changes that may come in the future.

Market Risk

The situation in Ukraine has had at times an impact on sunflower oil prices, a principal raw material used in our Crisp business. This has largely stabilised but should there be any problems with supply in future, with Customer agreement the Company is able to utilise alternative oils such as Rapeseed to assist in stabilising supply and cost.

The price for ware potatoes in the UK and Ireland in the past 2 financial years had been significantly higher that previous. Current potato prices are not expected to reach these recent peaks. The market in future years is subject to climate conditions as usual but there is no reason to presume that the price will remain stable.

On behalf of the board



___________________________
Charles McKillop Jnr
Director

16 December 2025

Glens of Antrim Potatoes Limited

DIRECTORS' REPORT

for the financial year ended 31 July 2025

The directors present their report and the audited financial statements for the financial year ended 31 July 2025.

Principal Activity

The principal activity of the business is the wholesaling of potatoes and potato crisps.

Results and Dividends

The profit/(loss) for the financial year after providing for depreciation and taxation amounted to £595,846 (2024 - £(437,212)).

The directors have paid a final dividend amounting to £272,075.

Directors

The directors who served during the financial year are as follows:

Charles McKillop Jnr

Kathleen McKillop

Michael McKillop

Future Developments

The company plans to continue its present activities and current trading levels. Employees are kept as fully informed as practicable about developments within the business.

Post-Balance Sheet Events

There have been no significant events affecting the company since the financial year-end.

Political Contributions

The company did not make any political donations in the current financial year.

Statement of Directors' Responsibilities

The directors are responsible for preparing the Strategic Report, 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law) including FRS 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 and apply them consistently;

■make judgements 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 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.

Disclosure of Information to Auditor

Each persons who are directors at the date of approval of this report confirms that:

In so far as the directors are aware:

■there is no relevant audit information (information needed by the company's auditor in connection with preparing the auditor's report) of which the company's auditor is unaware, and

■the directors have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

Auditors

The auditors, PGR Accountants Limited, (Chartered Accountants) have indicated their willingness to continue in office in accordance with the provisions of Section 485 of the Companies Act 2006.

Engagement with suppliers, customers and others

The Company recognises that the engagement with key stakeholders, including employees, customers, suppliers, lenders and communities is vital to achieving the long-term success of the business. The company engages with all of its stakeholders throughout the year across a verity of mediums.

Employees

The company seeks to ensure that employees are kept informed as is practical about the company‘s progress through regular team meetings and monthly briefings. The company engages with all its employment by including disabled persons.

Research and Development

The company is committed to research and development activities in order to secure and enhance its position in the market. As such, the company plans to continue investing in research and development going forward.

Going Concern

The Directors have assessed the ability of the company to continue as a going concern. The company reported a profit before tax of £799,239 for the year ended 31 July 2025 (2024: loss before tax of £547,259). The company had net current liabilities of £1,138,870 (2024: net current liabilities of £1,581,492) and net assets of £2,476,014 (2024: net assets of £2,152,243) as of 31 July 2025. Following a period of potato and other raw material price inflation, the market stabilised, resulting in a return to profitability for the Company. The outlook for FY2027 remains positive and the directors expect current trading levels to continue.

The Company’s current financial performance, and its forecasts to FY2027 after applying sensitivities show that the Company will be able to continue to operate within its bank facilities and meet its liabilities as they fall due. The demand for the Company‘s products and its position in the market remains strong, and the directors continue to closely manage its cost base, the supply chain and raw material price as set out within the Strategic Report. The Directors do acknowledge that the Company continues to place significant reliance on its bankers, banking arrangements and available credit facilities.

The directors are continually reviewing the trading outlook and have a reasonable expectation that the Company will have sufficient resources available to meet its ongoing obligations for a period of at least 12 months from the date of approval and therefore continue to adopt the going concern basis in preparing the financial statements. Accordingly, the financial statements do not include any adjustments to the carrying amount or classification of assets and liabilities that would result if the Company were unable to continue as a going concern.

On behalf of the board

___________________________

Charles McKillop Jnr

Director

16 December 2025

INDEPENDENT AUDITOR'S REPORT

to the Shareholders of Glens of Antrim Potatoes Limited

Report on the audit of the financial statements

Opinion

We have audited the financial statements of Glens of Antrim Potatoes Limited ('the company') for the financial year ended 31 July 2025 which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Changes in Equity, the Statement of Cash Flows and the related notes to the financial statements, including significant accounting policies set out in note . The financial reporting framework that has been applied in their preparation is applicable Law and United Kingdom Accounting Standards, including FRS 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 July 2025 and of its profit for the financial 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 the date 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.

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 our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified any material misstatements in the Strategic Report and the Directors' Report.

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

■

adequate accounting records have not been kept; or

■

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 for the financial statements

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 they 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 has no realistic alternative but to do so.

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

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

• We obtained an understanding of legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework (FRS 102, the Companies Act 2006) and the relevant direct and indirect tax compliance regulations in the UK. In addition, the Company has to comply with laws and regulation‘s relating to its operations, including health and safety, and GDPR.

• We understood how Glens of Antrim Potatoes Limited is complying with those frameworks by making enquires of directors and senior management to understand how the company maintains and communicates its policies and procedures in these areas. We corroborated our inquiries through reading correspondence with relevant authorities.

• We assessed the susceptibility of the company’s financial statements to material misstatement, including how fraud might occur by considering the risk of management override and by assuming revenue recognition to be a fraud risk. Our testing of revenue included agreeing specific transactions to supporting invoice documentation and receipt of payment to bank statements. Further we performed journal entry testing with a focus on manual revenue journals.

• Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved testing journals identified by specific risk criteria. We also made inquiries with management of the company regarding compliance with laws and regulations.

A further description of our responsibilities for the audit of the financial statements is contained in the appendix to this report, located at page , which is to be read as an integral part of our 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.

__________________________________

Jonathan McNeill (Senior Statutory Auditor)

for and on behalf of

PGR ACCOUNTANTS LIMITED

Chartered Accountants and Statutory Auditor

21 Old Channel Road

Belfast

Co Antrim

BT3 9DE

16 December 2025

Glens of Antrim Potatoes Limited

APPENDIX TO THE INDEPENDENT AUDITOR'S REPORT

Further information regarding the scope of our responsibilities as auditor

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

■

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

■

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

■

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

■

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

■

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

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

Glens of Antrim Potatoes Limited

PROFIT AND LOSS ACCOUNT

for the financial year ended 31 July 2025

	2025	2024
Notes	£	£

Turnover	3	13,832,334	14,421,352

Cost of sales		(9,907,861)	(11,914,036)
		─────────	─────────
Gross profit		3,924,473	2,507,316

Administrative expenses		(2,952,134)	(2,973,000)
Other operating income		13,067	112,550
		─────────	─────────
Operating profit/(loss)	4	985,406	(353,134)

Interest payable and similar expenses	5	(186,167)	(194,125)
		─────────	─────────
Profit/(loss) before taxation		799,239	(547,259)

Tax on profit/(loss)	8	(203,393)	110,047
		─────────	─────────
Profit/(loss) for the financial year		595,846	(437,212)
		─────────	─────────
Total comprehensive income		595,846	(437,212)
		═════════	═════════

Glens of Antrim Potatoes Limited

Company Registration Number: NI030390

BALANCE SHEET

as at 31 July 2025

		2025	2024
	Notes	£	£

Fixed Assets

Intangible assets

28,802

27,570

Tangible assets

4,972,381

4,192,977

─────────

Fixed Assets

5,001,183

4,220,547

─────────

Current Assets

Stocks

1,066,070

841,417

Debtors

2,268,790

2,763,052

─────────

3,334,860

3,604,469

─────────

Creditors: amounts falling due within one year

(4,473,730)

(5,185,961)

─────────

Net Current Liabilities

(1,138,870)

(1,581,492)

─────────

Total Assets less Current Liabilities

3,862,313

2,639,055

Creditors:

amounts falling due after more than one year

(1,031,193)

(335,099)

Provisions for liabilities

(355,106)

(151,713)

─────────

Net Assets

2,476,014

2,152,243

═════════

Capital and Reserves

Called up share capital

50,000

50,000

Revaluation reserve

690,425

690,425

Retained earnings

1,735,589

1,411,818

─────────

Equity attributable to owners of the company

2,476,014

2,152,243

═════════

Approved by the Board and authorised for issue on 16 December 2025 and signed on its behalf by



________________________________
Charles McKillop Jnr
Director

Glens of Antrim Potatoes Limited

STATEMENT OF CHANGES IN EQUITY

as at 31 July 2025

	Called up	Revaluation	Retained	Total
	share	reserve	earnings
	capital
	£	£	£	£

At 1 August 2023	50,000	690,425	2,016,285	2,756,710
	─────────	─────────	─────────	─────────
Loss for the financial year	-	-	(437,212)	(437,212)
	─────────	─────────	─────────	─────────
Payment of dividends	-	-	(167,255)	(167,255)
	─────────	─────────	─────────	─────────
At 31 July 2024	50,000	690,425	1,411,818	2,152,243
	─────────	─────────	─────────	─────────
Profit for the financial year	-	-	595,846	595,846
	─────────	─────────	─────────	─────────
Payment of dividends	-	-	(272,075)	(272,075)
	─────────	─────────	─────────	─────────
At 31 July 2025	50,000	690,425	1,735,589	2,476,014
	═════════	═════════	═════════	═════════

Glens of Antrim Potatoes Limited

STATEMENT OF CASH FLOWS

for the financial year ended 31 July 2025

	2025	2024
Notes	£	£

Cash flows from operating activities

Profit/(loss) for the financial year

595,846

(437,212)

Adjustments for:

Interest payable and similar expenses

186,167

194,125

Tax on profit/(loss) on ordinary activities

203,393

(110,047)

Depreciation

297,896

346,908

Profit/loss on disposal of tangible assets

10,261

─────────

1,283,302

4,035

Movements in working capital:

Movement in stocks

(224,653)

62,969

Movement in debtors

446,279

(644,126)

Movement in creditors

(30,775)

387,229

─────────

Cash generated from/(used in) operations

1,474,153

(189,893)

Interest paid

(186,167)

(194,125)

Tax paid

47,985

(43,500)

─────────

Net cash generated from/(used in) operating activities

1,335,971

(427,518)

─────────

Cash flows from investing activities

Payments to acquire intangible assets

(7,470)

(7,458)

Payments to acquire tangible assets

(871,926)

(232,043)

Receipts from sales of tangible assets

25,200

75,320

─────────

Net cash used in investment activities

(854,196)

(164,181)

─────────

Cash flows from financing activities

Movement in long term loan		471,757	(166,473)
Movement in short term loan		30,755	(117,043)
Capital element of hire purchase contracts		68,700	(29,312)
Dividends paid		(272,075)	(167,255)
		─────────	─────────
Net cash generated from/(used in) financing activities		299,137	(480,083)
		─────────	─────────

Net increase/(decrease) in cash and cash equivalents		780,912	(1,071,782)
Cash and cash equivalents at beginning of financial year		(2,477,765)	(1,405,983)
		─────────	─────────
Cash and cash equivalents at end of financial year	14	(1,696,853)	(2,477,765)
		═════════	═════════

Glens of Antrim Potatoes Limited

NOTES TO THE FINANCIAL STATEMENTS

for the financial year ended 31 July 2025

General Information

Glens of Antrim Potatoes Limited is a company limited by shares incorporated and registered in Northern Ireland. The registered number of the company is NI030390. The registered office of the company is 118 Middlepark Road, Cushendall, Ballymena, Antrim, BT44 0SH, Northern Ireland which is also the principal place of business of the company. The nature of the company's operations and its principal activities are set out in the Directors' Report. The financial statements have been presented in Pound (£) which is also the functional currency of the company.

Summary of Significant Accounting Policies

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements.

Statement of compliance

The financial statements of the company for the financial year ended 31 July 2025 have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102) issued by the Financial Reporting Council and in accordance with the Companies Act 2006.

Basis of preparation

The financial statements have been prepared on the going concern basis and in accordance with the historical cost convention except for certain properties and financial instruments that are measured at revalued amounts or fair values, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for assets.

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be measured reliably. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added taxes and other sales taxes. The following criteria must also be met before turnover is recognised:

Sale of goods

Turnover from the sale of potatoes and crisps is recognised when all of the following criteria are satisfied:

- the Company has transferred the significant risks and rewards of ownership to the buyer;

- the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the potatoes and crisps sold;

- the amount of turnover can be measured reliably;

- it is probable that the Company will receive the consideration due under the transaction; and

- the costs incurred in respect of the transaction can be measured reliably.

Going Concern

Judgements and key sources of estimation uncertainty

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.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Debtors recoverability

Estimates are made in respect of the recoverable value of trade and other debtors. When assessing the level of provisions required, factors including current trading experience, historical experience, and the aging profile of debtors have been considered. See note 13 for the net carrying amount of debtors.

Stock provision

Stock represents raw materials, work in progress and finished goods and is measured at the lower of cost and net realisable value. Net realisable value is estimated as selling prices in ordinary course of business less the estimated costs necessary to make the sale. Provision is made for obsolete and slow moving stock based on current trading experience. See note 12 for the net carrying amount of stock.

Research and Development

Estimates are made in respect of research and development in arriving at the corporation tax liability. In assessing the level of research and development, the directors consider the ongoing R&D projects within the company, the time spent by specific individuals working on those R&D projects, and the attributable salary costs involved. See note 8 for the tax note.

Deferred Income

Capital grants received and receivable are treated as deferred income and amortised to the Profit and Loss Account annually over the useful economic life of the asset to which it relates. Revenue grants are credited to the Profit and Loss Account when received.

Research and Development

Research expenditure is written off to the Statement of comprehensive income in the year in which it is incurred. Development expenditure is written off in the same way unless the directors are satisfied as to technical, commercial and financial viability of individual projects. In this situation, the expenditure is deferred and amortised over the period during which the company is expected to benefit.

Intangible assets

Amortisation is calculated to write off the cost in equal annual instalments over their estimated useful life of 10 years.

Tangible assets and depreciation

Tangible assets are stated at cost or at valuation, less accumulated depreciation. The charge to depreciation is calculated to write off the original cost or valuation of tangible assets, less their estimated residual value, over their expected useful lives as follows:

Land and buildings freehold

Revaluation Method

Plant and machinery

10-33% Straight line

Fixtures, fittings and equipment

10-33% Straight line

Motor vehicles

20% Straight line

The carrying values of tangible fixed assets are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable.

Stocks

Stocks are valued at the lower of cost and net realisable value. Stocks are determined on a first-in first-out basis. Cost comprises expenditure incurred in the normal course of business in bringing stocks to their present location and condition. Full provision is made for obsolete and slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all further costs to completion or to be incurred in marketing and selling.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Provisions

Provisions are recognised when the company has a present legal or constructive obligation arising as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the same value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expense.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Employee benefits

The company operates a defined contribution pension scheme for its employees and small self-administered defined contribution pension scheme for its directors. The assets of both schemes are held separately from those of the company in independently administered funds.

Taxation and deferred taxation

Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the financial year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Balance Sheet date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the company's taxable profits and its results as stated in the financial statements.

Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date.

Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated at the rates of exchange ruling at the Balance Sheet date. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated at the rates of exchange ruling at the date of the transaction. Non-monetary items that are measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value was determined. The resulting exchange differences are dealt with in the Profit and Loss Account.

Ordinary share capital

The ordinary share capital of the company is presented as equity.

Turnover

The whole of the turnover is attributable to the principal activities of the business.


4.	Operating profit/(loss)	2025	2024
		£	£
	Operating profit/(loss) is stated after charging:
	Depreciation of tangible assets	297,896	346,908
	(Profit)/loss on disposal of tangible assets	-	10,261
	Loss on foreign currencies	927	2,782
		═════════	═════════


5.	Interest payable and similar expenses	2025	2024
		£	£

	On bank loans and overdrafts	186,167	194,125
		═════════	═════════

Employees and remuneration

Number of employees

The average number of persons employed (including executive directors) during the financial year was as follows:

2025

2024

Number

Number

Administration

Production

Sales

─────────

═════════

The staff costs comprise:

2025

2024

Wages and salaries

1,139,708

1,065,825

Social security costs

127,496

102,286

Pension costs

57,194

52,298

─────────

1,324,398

1,220,409

═════════


7.	Director Remuneration

	The director‘s aggregate remuneration in respect of qualifying services was:

		2025	2024
		£	£

	Remuneration	56,996	56,996
		═════════	═════════

Tax on profit/(loss)

2025

2024

(a) Analysis of charge in the financial year

Current tax:

Under/over provision in prior financial year

27,616

─────────

Deferred tax:

Origination and reversal of timing differences

203,393

(137,663)

─────────

Total deferred tax

203,393

(137,663)

═════════

Tax on profit (Note 8 (b))

203,393

(110,047)

═════════

(b) Factors affecting tax charge for the financial year

The tax assessed for the financial year differs from the standard rate of corporation tax in the United Kingdom 25.00% (2024 - 25.00%). The differences are explained below:

2025

2024

Profit/(loss) taxable at 25.00%

799,239

(547,259)

═════════

Profit/(loss) before tax

multiplied by the standard rate of corporation tax

in the United Kingdom at 25.00% (2024 - 25.00%)

199,810

(136,815)

Effects of:

Expenses not deductible for tax purposes

(419)

4,847

Capital allowances for period in excess of depreciation

(172,073)

55,390

Utilisation of tax losses

(27,318)

76,579

Deferred tax

203,393

(137,663)

Adjustment to tax charge in respect of previous periods

27,615

─────────

Total tax charge for the financial year (Note 8 (a))

203,393

(110,047)

═════════


9.	Dividends	2025	2024
		£	£
	Dividends on equity shares:

	Ordinary B - Final paid	272,075	167,255
		═════════	═════════


10.	Intangible assets


		£
	Cost
	At 1 August 2024	70,550
	Additions	7,470
		─────────
	At 31 July 2025	78,020
		─────────
	Amortisation
	At 1 August 2024	42,980
	Charge for financial year	6,238
		─────────
	At 31 July 2025	49,218
		─────────
	Net book value
	At 31 July 2025	28,802
		═════════
	At 31 July 2024	27,570
		═════════


11.	Tangible assets
		Land and	Plant and	Fixtures,	Motor	Total
		buildings	machinery	fittings and	vehicles
		freehold		equipment
		£	£	£	£	£
	Cost
	At 1 August 2024	3,155,499	5,275,622	474,438	308,166	9,213,725
	Additions	37,920	967,915	7,202	83,226	1,096,263
	Disposals	-	-	-	(25,200)	(25,200)
		─────────	─────────	─────────	─────────	─────────
	At 31 July 2025	3,193,419	6,243,537	481,640	366,192	10,284,788
		─────────	─────────	─────────	─────────	─────────
	Depreciation
	At 1 August 2024	-	4,324,846	455,165	240,737	5,020,748
	Charge for the financial year	-	266,135	6,337	19,187	291,659
		─────────	─────────	─────────	─────────	─────────
	At 31 July 2025	-	4,590,981	461,502	259,924	5,312,407
		─────────	─────────	─────────	─────────	─────────
	Net book value
	At 31 July 2025	3,193,419	1,652,556	20,138	106,268	4,972,381
		═════════	═════════	═════════	═════════	═════════
	At 31 July 2024	3,155,499	950,776	19,273	67,429	4,192,977
		═════════	═════════	═════════	═════════	═════════

11.1.

Tangible assets continued

Included above are assets held under finance leases or hire purchase contracts as follows:

2025

2024

Net

Depreciation

Net

Depreciation

book value

charge

book value

charge

Plant and machinery

437,054

23,194

113,217

66,434

═════════

12.

Stocks

2025

2024

Finished goods and goods for resale

1,066,070

841,417

═════════

The replacement cost of stock did not differ significantly from the figures shown.


13.	Debtors	2025	2024
		£	£

	Trade debtors	1,232,339	1,627,209
	Other debtors	856,489	870,754
	Taxation	135,382	188,582
	Prepayments and accrued income	44,580	76,507
		─────────	─────────
		2,268,790	2,763,052
		═════════	═════════


14.	Cash and cash equivalents	2025	2024
		£	£

	Bank overdrafts	(1,696,853)	(2,477,765)
		═════════	═════════

15.

Creditors

2025

2024

Amounts falling due within one year

Bank overdrafts

1,696,853

2,477,765

Bank loan

199,445

168,690

Net obligations under finance leases

and hire purchase contracts

95,444

26,744

Trade creditors

2,308,799

2,418,557

Taxation

34,958

22,238

Other creditors

98,323

18,606

Accruals

39,908

53,361

─────────

4,473,730

5,185,961

═════════

Security on banks loans and overdrafts is provided by way of a fixed and floating charge over the assets of the company.

16.

Creditors

2025

2024

Amounts falling due after more than one year

Bank loan

726,382

245,500

Finance leases and hire purchase contracts

240,936

16,599

Deferred capital grant

63,875

73,000

─────────

1,031,193

335,099

═════════

Loans

Repayable in one year or less, or on demand (Note 15)

1,896,298

2,646,455

Repayable between one and two years

131,183

107,426

Repayable between two and five years

554,365

76,066

Repayable in five years or more

40,834

62,008

─────────

2,622,680

2,891,955

═════════

Net obligations under finance leases

and hire purchase contracts

Repayable within one year

95,444

26,744

Repayable between one and five years

240,936

16,599

─────────

336,380

43,343

═════════

Interest & Security

Bank borrowings repayable in five years or more carry an interest rate of LIBOR plus 3% with a term ending in 2031. The bank borrowings and overdrafts are secured by way of fixed and floating charge over the property and assets of the Company.


17.	Provisions for liabilities

		Capital	Losses	Total	Total
		allowances

				2025	2024
		£	£	£	£

	At financial year start	226,042	(74,329)	151,713	289,376
	Charged to profit and loss	178,228	25,165	203,393	(137,663)
		─────────	─────────	─────────	─────────
	At financial year end	404,270	(49,164)	355,106	151,713
		═════════	═════════	═════════	═════════


18.	Share capital			2025	2024
				£	£
	Description	Number of shares	Value of units

	Allotted, called up and fully paid
	Ordinary A	15,700	£1.00 each	15,700	15,700
	Ordinary B	34,300	£1.00 each	34,300	34,300

				─────────	─────────
				50,000	50,000
				═════════	═════════


19.	Capital commitments	2025	2024
		£	£

	Details of capital commitments at the accounting date are as follows:

	Contracted for but not provided in the financial statements	-	298,739
		═════════	═════════

20.

Contingent liabilities

The company has submitted research and development claims in previous years which have been challenged by HM Revenue & Customs. The company is actively defending challenges from HM Revenue & Customs. The information usually required by FRS 102 is not disclosed on the basis that disclosures could seriously prejudice the outcome of the dispute.

21.

Operating Lease Commitments

The total future minimum lease payments under non-cancellable leases are payable as follows:

2025

2024

Payable within one year

95,444

80,378

Payable after one year but within five years

240,936

34,437

─────────

336,380

114,815

═════════

22.

Post-Balance Sheet Events

There have been no significant events affecting the company since the financial year-end.


23	Reconciliation of Net Cash Flow to Movement in Net Debt
		Opening	Cash	Other	Closing
		balance	flows	changes	balance

		£	£	£	£

	Long-term borrowings	(318,500)	(471,757)	-	(790,257)
	Short-term borrowings	(168,690)	(30,755)	-	(199,445)
	Finance lease and hire purchase	(43,343)	(68,700)	(224,337)	(336,380)
		─────────	─────────	─────────	─────────
	Total liabilities from financing activities	(530,533)	(571,212)	(224,337)	(1,326,082)
		═════════	═════════	═════════	─────────
	Total Cash and cash equivalents (Note 14)				(1,696,853)
					─────────
	Total net debt				(3,022,935)
					═════════

24.

Auditors Remuneration

Fees payable to the Company‘s auditor amounted to £15,250 (2024: £15,000).

25.

Related Parties

During the year the company paid £1,816,487 to a related party entity in respect of agency staff services. The balance due to the related party at the year end is £28,170. The entity is related by way of common ownership.

The company made payments of £20,284 to another related party entity. The entity is related by way of common ownership. Amounts due from the related party as at 31st July 2025 amounted to £823,057 (2024: £802,773).

All amounts due to / (from) related party entities are unsecured, interest-free and repayable on demand.

The directors consider key management to be the directors of the company. Director‘s remuneration is disclosed at note 7.

The ultimate controlling party is the McKillop family.