Merlin Real Estate Limited

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—6

Registered number: 03064844

		2025		2024
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	4		67,821		71,393
Investment Properties	5		15,231,704		14,468,286

			15,299,525		14,539,679
CURRENT ASSETS
Stocks	6	5,834,831		5,518,987
Debtors	7	8,781,896		7,173,427
Cash at bank and in hand		935,385		460,644

		15,552,112		13,153,058
Creditors: Amounts Falling Due Within One Year	8	(6,235,677 )		(3,648,251 )

NET CURRENT ASSETS (LIABILITIES)			9,316,435		9,504,807

TOTAL ASSETS LESS CURRENT LIABILITIES			24,615,960		24,044,486

Creditors: Amounts Falling Due After More Than One Year	9		(624,810 )		(900,000 )

PROVISIONS FOR LIABILITIES
Deferred Taxation			(1,393,588 )		(1,412,454 )

NET ASSETS			22,597,562		21,732,032

CAPITAL AND RESERVES
Called up share capital	10		100		100
Other reserves			25,500		25,500
Fair value reserve	11		4,207,747		4,207,747
Profit and Loss Account			18,364,215		17,498,685

SHAREHOLDERS' FUNDS			22,597,562		21,732,032

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Merlin Real Estate Limited

Balance Sheet (continued)

As At 31 March 2025

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

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The company has taken advantage of section 444(1) of the Companies Act 2006 and opted not to deliver to the registrar a copy of the company's Profit and Loss Account.

On behalf of the board

R A Sparkes

Director

23rd December 2025

The notes on pages 3 to 6 form part of these financial statements.

1. General Information

Merlin Real Estate Limited is a private company, limited by shares, incorporated in England & Wales, registered number 03064844 . The registered office is Champions Place, Kent Hatch Road, Limpsfield Chart, RH8 0TA.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover is reduced for estimated customer returns, rebates and other similar allowances.

Sale of goods

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.

Rendering of services

Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.

2.3. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold	2% on cost
Plant & Machinery	25% on cost
Motor Vehicles	20% WDV
Computer Equipment	25% on cost

2.4. Investment Properties

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

2.5. Stocks and Work in Progress

Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. Work-in-progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.

2.6. Taxation

Income 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 profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and 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 end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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.

...CONTINUED

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Merlin Real Estate Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

2.6. Taxation - continued

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax are recognised in profit or loss for the year, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 1 (2024: 1)

4. Tangible Assets

	Plant & Machinery	Motor Vehicles	Computer Equipment	Total
	£	£	£	£
Cost
As at 1 April 2024	596,175	26,779	6,290	629,244
Additions	38,120	-	1,719	39,839
Disposals	(429,955 )	-	(5,207 )	(435,162 )

As at 31 March 2025	204,340	26,779	2,802	233,921

Depreciation
As at 1 April 2024	546,129	5,713	6,009	557,851
Provided during the period	38,628	4,213	570	43,411
Disposals	(429,955 )	-	(5,207 )	(435,162 )

As at 31 March 2025	154,802	9,926	1,372	166,100

Net Book Value
As at 31 March 2025	49,538	16,853	1,430	67,821

As at 1 April 2024	50,046	21,066	281	71,393

5. Investment Property

	2025
	£
Fair Value
As at 1 April 2024	14,468,286
Additions	763,418

As at 31 March 2025	15,231,704

6. Stocks

	2025	2024
	£	£
Work in progress	5,834,831	5,518,987

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Merlin Real Estate Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

7. Debtors

	2025	2024
	£	£
Due within one year
Trade debtors	258,677	134,850
Other debtors	8,523,219	7,038,577

	8,781,896	7,173,427

8. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Trade creditors	238,726	106,525
Bank loans and overdrafts	1,000,000	-
Peter Sparkes loan (< 1 year)	660,000	660,000
R & G Sparkes - pension loan	183,740	-
Other creditors	3,285,500	2,468,434
Taxation and social security	867,711	413,292

	6,235,677	3,648,251

9. Creditors: Amounts Falling Due After More Than One Year

	2025	2024
	£	£
Hampdens bank loan < 1 year	-	900,000
R & G Sparkes Ltd Pension Loan	624,810	-

	624,810	900,000

10. Share Capital

	2025	2024
	£	£
Allotted, Called up and fully paid	100	100

11. Reserves

	Other reserves	Fair value reserve	Profit and Loss Account
	£	£	£
As at 1 April 2024	25,500	4,207,747	17,498,685
Profit for the year and total comprehensive income	-	-	865,530

As at 31 March 2025	25,500	4,207,747	18,364,215

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Merlin Real Estate Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

12. Related Party Transactions

R & G Sparkes Limited

R & G Sparkes is a company in which R A Sparkes is a director.

During the year the company paid R & G Sparkes Limited £4,000 (2024 - £4,000) for shared bookkeeping services and £3,632 (2024 - £75) for expenses paid by R & G Sparkes on behalf of Merlin Real Estate Limited. Merlin Real Estates Limited also received £550 (2024 - £500) from R & G Sparkes in respect of shared telephone expenses and £7,532 (2024 - £2,429) for expenses paid on behalf of R & G Sparkes Limited. Merlin Real Estates Limited also received loans from R & G Spakres Limited of £227,000 (2024 - £77,500) and repaid £Nil (2024 - £60,000). The balance due to R & G Sparkes at the balance sheet date was £518,091 (2024 - £518,091).

P Sparkes

There is a loan in the amount of £660,000 received last year from Mr P Sparkes, the brother of Mr R Sparkes, a director. Interest is payable on the loan at 6% per annum and the balance is due to be repaid within one year. The balance of £660,000 is included within creditors due within one year.

13. Ultimate Controlling Party

The company's ultimate controlling party is R A Sparkes .

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