Solomon Commercials Limited

	Page
Strategic Report	1—5
Directors' Report	6—7
Independent Auditor's Report	8—11
Profit and Loss Account	12
Statement of Comprehensive Income	13
Balance Sheet	14—15
Statement of Changes in Equity	16
Notes to the Financial Statements	17—26

The directors present their strategic report for the year ended 30 April 2025.

Review of the Business

Solomon Commercials was founded in 1978 and is a family-owned firm specialising in the design and manufacture of commercial vehicle refrigerated bodies as well as sales of parts and repairs. The company supplies a wide range of customers from the food and hospitality sectors and can list some of the largest companies in these sectors as its customers.

The directors present their strategic report for the year ended 30th April 2025.

The company is pleased to report a growth in sales of £7,918,705 (£76,84,676 v £68,92,971) leading to an increase in operating profit for the year of £325,670 from previous year £2,09,960k to this year £2,422,530. EBITDA ended at £2,866,632 compared to £2,492,692 the previous year.

The results were particularly commendable following the fire on June 23rd 2023 in our panel van conversions and base preparation section. Whilst it is disappointing that what should have been a record financial year was affected by capacity issues and cancellations as a result of the fire, we are grateful for the help of our insurers. Whilst the year wasn’t as successful as it should have been we were able to minimise any negative effect on turnover and margin and still report growth.

The difficulties of supply chain, Ukraine and Brexit have eased and other than the uncertainty of government policy, trading conditions improved further in the year and the hospitality, food and retail sectors continued to remain busy. Labour availability, wage and supply inflation remains a challenge. Our strong relationships with suppliers and customers remain key to our continued success. Looking at the year ahead the food sector appears strong and the company is confident of growth next year.

We are grateful for the effort our employees have put in during the year. Their effort and patience is appreciated and has meant an improved year. Some key restructuring took place in the previous year at both director and management levels which strengthened the company for both the short and long term and this appears to be paying dividends

Key Performance Indicators

	2025	2024
	£	£
Turnover	76,841,676	68,922,971
Gross profit	6,225,469	5,034,748
Operating proft	2,422,530	2,095,960
Profit before tax	2,334,981	1,539,770
Net profit	1,686,311	1,149,089
Gross profit %	8	7
Net profit %	3	2
Debtor days	53	56
Creditor days	62	94

Other Key Performance Indicators

...CONTINUED

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Solomon Commercials Limited

Strategic Report (continued)

For The Year Ended 30 April 2025

Review of the Business - continued

The directors consider customer satisfaction and given we can design and manufacture in house we can ensure strict quality control procedures are met and enhance our already established reputation.

Customer satisfaction is continually monitored with KPI’s such as repeat orders, complaints, warranty work and on time deliveries. A continuous improvement plan is in place to ensure customer retention.

Non financial KPI’s are an important measure for our owners and board to assess the impact the business is having on our key stakeholders such as customers, suppliers and employees. The directors are happy that the indicators show a positive trend in performance.

Principal Risks and Uncertainties

Liquidity risk

Short and medium term cash projections identify funding for ongoing operations and future development for the company with surplus cash funds held at the bank. The company has sufficient financial resources and is well placed to maintain liquidity for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the annual report and financial statements.

Financial risk

The company's principal financial assets are cash balances held at the bank and trade debtors. The company's credit risk is primarily attributed to trade debtors. The amounts presented in the balance sheet are net of allowances for doubtful debtors. The credit risk on liquid funds held at banks is considered to be limited. The management team monitor concentration of credit risk carefully, and as a result the company has no significant levels of concentration.

Future Developments

The directors are aware of some volatility in supplier pricing and are prepared for the upcoming increases in wages. We engage with all suppliers regularly and take out longer term contracts to mitigate future increases.

Labour availability still remains an issue despite recent increases in unemployment. Employee retention is key to our aims and objectives. It is the policy of the company to encourage and develop all staff to reach their maximum potential.

Wherever possible vacancies are filled from within the company and adequate opportunities for internal promotion are created.

Whilst Brexit still means added bureaucracy and increased costs when importing and exporting it is operating well. The Ukraine situation is still seen as a risk to the supply chain and other supplies have been sourced. There appears to be hope that this will come to an end and some of our former supplies can be reinstated.

The company monitors exchange rates and where necessary enters into forward contracts in order to mitigate risk. Euro customer payments are also used to hedge against euro supplier payments.

Energy costs remain a concern both for our company and for all our suppliers and customers. The directors are constantly monitoring energy, materials prices and inflation and where possible fixing prices to keep within budget.

Despite the challenges and given there are no post balance sheet events to report, the order book and balance sheet remains strong, the directors are confident that the company will continue to operate as a going concern for at least the next twelve months. At the time of reporting we are already in a position to improve again on the previous year and grow both turnover and margin

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Solomon Commercials Limited

Strategic Report (continued)

For The Year Ended 30 April 2025

Employees

It is the policy of the company to encourage and develop all members of staff to realise their maximum potential.

Wherever possible, vacancies are filled from within the company and adequate opportunities for internal

promotion are created.

The company is committed to a systematic training policy and the company has a comprehensive training and development program creating the opportunity for employees to maintain and improve their performance and to develop their potential to a maximum level of attainment.

In this way, staff will make their best possible contribution to the company's success. The company supports the principle of equal opportunities in employment and opppose all forms of unlawful or unfair discrimination on the grounds of race, age nationality, religion, ethnic or national origin, sexual orientation, gender or gender reassignment, marital status or disability.

The company's policy is to recruit disabled workers for those vacancies that they are able to fill. All necessary assistance with initial training is given. Once employed, a career plan is developed so as to ensure suitable opportunities for each disabled person. Arrangements are made, whereever possible, for training employees who become disabled to enable them to perform work indentified as appropriate to their attitudes and abilities.

Employee Engagement Statement

It is the policy of the company to encourage and develop all members of staff to realise their maximum potential.

Wherever possible, vacancies are filled from within the company and adequate opportunities for internal

promotion are created.

Statement of Engagement with Suppliers, Customers and Others in a Business Relationship with the Company

In conducting its corporate activities Solomon Commercials Limited engages with individuals of a variety of interest. The major stakeholders of Solomon Commercials Ltd are customers, to whom we provide products and services, the employees with whom we work, our business partners, including suppliers, clients and the communities in which we do business. We also focus on the environment, on which our business activities can have both positive and negative impacts. We pursue a customer- oriented and quality - conscious management, transparent and sound managements and the policies of "valuing people" and "harmony with society".

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Solomon Commercials Limited

Strategic Report (continued)

For The Year Ended 30 April 2025

Greenhouse Gas emissions, energy consumption and energy efficiency action.

The Company's greenhouse gas emissions and energy consumption for the year are 1,264 tonnes, being 402

tonnes gas and electricity being at 226 tonnes CO2, white diesel amounts to 636 tonnes CO2. This equates to

3.1 tonnes per employee and 0.01 tonnes CO2 per £1,000 turnover.

The comparatives for 2024 gas and energy consumption was 981 tonnes being 403 tonnes for gas 310 tonnes

CO2 for electricity white diesel 280 tonnes CO2. This equates to 2.30 tonnes per

employee and 0.01 tonnes CO2 per £1,000 turnover

Reproting Methodology

Energy data has been collected from meter readings by Solomon Commercials staff, invoiced consumption given by the energy suppliers. Fuel card invoices provide the information for Unleaded and standard bio-grade Diesel consumption. Red Diesel deliveries have been provided by the supplier.

Conversion factors for kWh of energy to kgCO2e and transport consumption volumes to kWh and kgCO2e have been taken from the government published data for ‘Greenhouse gas reporting: conversion factors 2024’ at the Internet web address

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Solomon Commercials Limited

Strategic Report (continued)

For The Year Ended 30 April 2025

Section 172(1) Statement

Section 172 of The Companies Act 2006 states that a director of a company must act in the way it considers, in good faith, would be most likely to promote the success of the company for the benefit of its members as a whole.

In doing so a director of a company must have regard (amongst other matters) to:-

a. The likely consequences of any decision in the long term;

b. The interests of the company’s employees;

c. The need to foster the company’s business relationships with suppliers, customers and others;

d. The impact of the company’s operations on the community and the environment;

e. The desirability of the company maintaining a reputation for high standards of business conduct;

f. The need to act fairly as between members of the company

The directors of Solomon Commercials are well aware of their duties and in formulating long term business strategies and engaging all stakeholders, they are protecting the long-term future of the company.

The company maintains constant dialogue with employees through direct communication, work committees, tool box talks and newsletters. Suggestion boxes and employee awards and incentives are also in place such as staff discount schemes at retailers, gyms, travel agents theme parks etc.

Interaction takes place constantly with suppliers and customers and a culture of partnership is strived for to maintain long term relationships and mutual success.

As one of/ if not the largest employer in the area we are aware of our place in the local community and sponsor various sporting clubs, charities and community projects. We are introducing a Solomon community funding project in the coming year.

The company maintains high levels of business conduct and takes a zero tolerance approach to anyone acting in a dishonest and unethical manner. We are guided by the bribery and corruption act as well as our own standards and ethos.

On behalf of the board

Mr M.C. Solomon

Director

22 December 2025

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Solomon Commercials Limited

Company No. 01555887

Directors' Report For The Year Ended 30 April 2025

Directors' Report

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

Principal Activity

The company's principal activity continues to be that of commercial vehicle body builders.

Dividends

The value of dividends paid amounted to £700,000 .

The directors recommended a final dividend of £NIL .

Directors

The directors who held office during the year were as follows:

Mrs S.E. Solomon

Mr R. Solomon

Mr M.J. Solomon

Mr M.C. Solomon

Mr M Hanson

Mr A Clegg

Mr J S Kenny

Matters covered in the Strategic Report

Disclosures required under s416(4) of the Companies Act 2006 are commented upon in the Strategic Report as the directors consider them to be of strategic importance to the business.

Statement of Directors' Responsibilities

The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', and applicable law). 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 the financial statements the directors are required to:

select suitable accounting policies and then apply them consistently;
make judgments and accounting estimates that are reasonable and prudent;
state whether applicable United Kingdom Accounting Standards, comprising FRS102, have been followed subject to any material departures disclosed and explained in the financial statements;
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.

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Solomon Commercials Limited

Directors' Report (continued)

For The Year Ended 30 April 2025

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Statement of Disclosure of Information to Auditors

In the case of each director in office at the date the Directors' Report is approved:

so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware; and
they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Independent Auditors

The auditors, Marsden & Co, have indicated their willingness to continue in office and a resolution concerning their re-appointment will be proposed at the Annual General Meeting.

On behalf of the board

Mr M.C. Solomon

Director

22 December 2025

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Independent Auditor's Report

to the Members of

Solomon Commercials Limited

Independent Auditor's Report

Opinion

We have audited the financial statements of Solomon Commercials Limited for the year ended 30 April 2025 which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes of Equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

In our opinion the financial statements:

give a true and fair view of the state of the company's affairs as at 30 April 2025 and of its profit/(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 entity's ability to continue as a going concern for a period of at least 12 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. In connection with our audit of the financial statements, 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 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.

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Independent Auditor's Report (continued)

to the Members of

Solomon Commercials Limited

Opinions 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on Which We Are Required to Report by Exception

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

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

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records or returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.

Responsibilities of Directors

As explained more fully in the Directors' Responsibilities Statement set out on page 6—7, 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.

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Independent Auditor's Report (continued)

to the Members of

Solomon Commercials Limited

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.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

•We identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge;

•We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

•Making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

•Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

•Performed analytical procedures to identify any unusual or unexpected relationships;

•Tested journal entries to identify unusual transactions;

•Assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

•Investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

•Agreeing financial statement disclosures to underlying supporting documentation;

•Reading the minutes of meetings of those charged with governance;

•Enquiring of management as to actual and potential litigation and claims; and

•Reviewing correspondence with HMRC.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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Independent Auditor's Report (continued)

to the Members of

Solomon Commercials Limited

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 that 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.

Philip Mendelson BA FCA (Senior Statutory Auditor)

for and on behalf of Marsden & Co , Statutory Auditor

22 December 2025

Marsden & Co

Chartered Accountants & Statutory Auditors

41 Knowsley Street

Bury

Lancashire

BL9 0ST

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Solomon Commercials Limited

Profit and Loss Account

For The Year Ended 30 April 2025

Profit and Loss Account

		2025	2024
	Notes	£	£
TURNOVER	3	76,841,676	68,922,571
Cost of sales		(70,616,207 )	(63,887,823 )

GROSS PROFIT		6,225,469	5,034,748

Administrative expenses		(5,981,591 )	(5,384,288 )
Other operating income		2,178,652	2,445,500

OPERATING PROFIT	5	2,422,530	2,095,960
Other interest receivable and similar income	10	2,281	724
Interest payable and similar charges	11	(189,830 )	(556,914 )

PROFIT BEFORE TAXATION		2,234,981	1,539,770
Tax on Profit	12	(548,670 )	(390,701 )

PROFIT AFTER TAXATION BEING PROFIT FOR THE FINANCIAL YEAR		1,686,311	1,149,069

The notes on pages 17 to 26 form part of these financial statements.

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Solomon Commercials Limited

Statement of Comprehensive Income

For The Year Ended 30 April 2025

Statement of Comprehensive Income

	2025	2024
	£	£
PROFIT FOR THE FINANCIAL YEAR	1,686,311	1,149,069
OTHER COMPREHENSIVE INCOME FOR THE YEAR	-	-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR	1,686,311	1,149,069

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Solomon Commercials Limited

Balance Sheet

As At 30 April 2025

Balance Sheet

Registered number: 01555887

		2025		2024
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	13		2,661,599		2,438,482

			2,661,599		2,438,482
CURRENT ASSETS
Stocks	14	6,654,196		12,300,072
Debtors	15	10,147,166		12,087,633
Cash at bank and in hand		1,794,702		38,880

		18,596,064		24,426,585
Creditors: Amounts Falling Due Within One Year	16	(12,848,881 )		(20,428,147 )

NET CURRENT ASSETS (LIABILITIES)			5,747,183		3,998,438

TOTAL ASSETS LESS CURRENT LIABILITIES			8,408,782		6,436,920

PROVISIONS FOR LIABILITIES
Provisions For Charges	18		(925,678 )		-
Deferred Taxation	17		(352,538 )		(292,665 )

NET ASSETS			7,130,566		6,144,255

CAPITAL AND RESERVES
Called up share capital	19		25,500		25,500
Profit and Loss Account			7,105,066		6,118,755

SHAREHOLDERS' FUNDS			7,130,566		6,144,255

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Solomon Commercials Limited

Balance Sheet (continued)

As At 30 April 2025

On behalf of the board

Mr M.C. Solomon

Director

22 December 2025

The notes on pages 17 to 26 form part of these financial statements.

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Solomon Commercials Limited

Statement of Changes in Equity

For The Year Ended 30 April 2025

Statement of Changes in Equity

	Share Capital	Profit and Loss Account	Total
	£	£	£
As at 1 May 2023	25,500	5,069,686	5,095,186
Profit for the year and total comprehensive income	-	1,149,069	1,149,069

Dividends paid	-	(100,000)	(100,000)

As at 30 April 2024 and 1 May 2024	25,500	6,118,755	6,144,255


Profit for the year and total comprehensive income	-	1,686,311	1,686,311

Dividends paid	-	(700,000)	(700,000)

As at 30 April 2025	25,500	7,105,066	7,130,566

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Solomon Commercials Limited

Notes to the Financial Statements

For The Year Ended 30 April 2025

Notes to the Financial Statements

1. General Information

Solomon Commercials Limited is a private company, limited by shares, incorporated in England & Wales, registered number 01555887 . The registered office is Knowsley Road Industrial Estate, Haslingden, Rossendale, Lancashire, BB4 4RX.

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 "The Financial Reporting Standard applicable in the UK and Republic of Ireland'' and the Companies Act 2006.

2.2. Financial Reporting Standard 102 - Reduced Disclosure Exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows and Section 3 Financial Statement Presentation paragraph 3.17 (d).

2.3. Going Concern Disclosure

The company meets its day to day working capital requirements through its banking facilities. After reviewing the company forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore adopts the going concern basis in preparing its financial statements.

2.4. Significant judgements and estimations

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts 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

Accounting estimates and assumptions are made concerning the future and, by their nature will rarely equal the related actual outcome. The key assumption and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year as follow:

The choice of depreciation of tangible fixed assets and residual values, the assessment of future profits to measure deferred tax assets recognised in financial statements, an assessment of accrual estimates and the provision for doubtful debts.

The company provides a provision for warranty for repairs to vehicles. The directors have based this on previous experience.

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

2.5. 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

Revenue from the sale of goods is recognised when all of the following conditions 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 goods sold;

the amount of revenue can be measured reliably;

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

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

Rendering of services

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

the amount of revenue can be measured reliably;

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

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

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

2.6. 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:

Improvements	2% on a straight line basis
Plant & Machinery	20% on a reducing balance basis
Motor Vehicles	25& on a reducing balance basis
Fixtures & Fittings	20% on a reducing balance basis

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

2.7. Leasing and Hire Purchase Contracts

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

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred.

2.8. 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 is determined using the first-in, first-out method. Cost includes all direct costs.

Work in progress is reflected in the accounts on a contract by contract basis by recording related costs as contract activity progresses.

At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the identified stock is reduced to its selling price less costs to complete and sell and an impairment charge is recognised in the profit and loss account. Where a reversal of the impairment is required the impairment charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss account.

During the current financial year, the Company changed its accounting method wip. Previously, production overheads were allocated to inventory and cost of sales using a full (absorption) costing approach, whereby both fixed and variable production overheads were included in the cost of inventory. Effective 1 May 2024, the Company adopted a variable costing approach, whereby only variable production overheads are included in inventory costs, and fixed production overheads are expensed in the period in which they are incurred.

Reason for the Change

Management believes that the variable costing method provides more reliable and relevant information about the Company’s cost structure and performance, particularly in relation to internal decision-making and reporting consistency across group entities. This change brings the Company’s accounting policy in line with group policy and management reporting practices.

2.9. Cash and Cash Equivalents

Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.

2.10. Foreign Currencies

Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

2.11. 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.

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

2.12. Pensions

The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.

3. Turnover

Analysis of turnover by geographical market is as follows:

	2025	2024
	£	£
United Kingdom	71,143,307	65,631,065
Europe	5,260,098	3,291,506
Rest of the world	438,271	-

	76,841,676	68,922,571

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

4. Other Operating Income

	2025	2024
	£	£
Other operating income	2,178,652	2,445,500

	2,178,652	2,445,500

These monies relate to fire insurance monies received less associated costs and impairement losses.

5. Operating Profit

The operating profit is stated after charging:

	2025	2024
	£	£
Bad debts	114,507	130,831
Depreciation of tangible fixed assets	444,102	396,732
Reversal of impairment losses - tangible fixed assets	-	(28,629 )

6. Auditor's Remuneration

Remuneration received by the company's auditors and their associates during the year was as follows:

	2025	2024
	£	£
Audit Services
Audit of the company's financial statements	21,634	29,525


Other Services
Other non-audit services	12,880	12,460

7. Staff Costs

Staff costs, including directors' remuneration, were as follows:

	2025	2024
	£	£
Wages and salaries	15,106,603	14,827,849
Social security costs	1,272,368	1,245,430
Other pension costs	458,105	408,472

	16,837,076	16,481,751

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

8. Average Number of Employees

Average number of employees, including directors, during the year was as follows:

	2025	2024
Office and administration	408	403

	408	403

9. Directors' remuneration

	2025	2024
	£	£
Emoluments	429,857	397,708

Information regarding the highest paid director was as follows:

	2025	2024
	£	£
Emoluments	216,632	397,708

10. Interest Receivable and Similar Income

	2025	2024
	£	£
Bank interest received	2,281	724

11. Interest Payable and Similar Charges

	2025	2024
	£	£
Bank loans and overdrafts	170,546	549,053
Late payment tax charges	19,284	7,861

	189,830	556,914

12. Tax on Profit

	Tax Rate		2025	2024
The tax charge on the profit for the year was as follows:
	2025	2024	£	£
Current tax
UK Corporation Tax	25.0%	25.0%	491,326	383,158
Prior period adjustment			(2,529 )	-

			488,797	383,158

...CONTINUED

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

	2025	2024
Deferred Tax
Deferred taxation	59,873	7,543


Total tax charge for the period	548,670	390,701


The actual charge for the year can be reconciled to the expected charge for the year based on the profit and the standard rate of corporation tax as follows:
	£	£
Profit before tax	2,234,981	1,539,770

Tax on profit at 25% (UK standard rate)	558,746	383,601
Expenses not deductible for tax purposes	111,909	101,841
Capital allowances	(179,329 )	(103,974 )
Short term timing differences	59,873	9,233
Prior period adjustment	(2,529 )	-

Total tax charge for the period	548,670	390,701

13. Tangible Assets

	Land & Property
	Improvements	Plant & Machinery	Motor Vehicles	Fixtures & Fittings	Total
	£	£	£	£	£
Cost
As at 1 May 2024	1,153,881	5,423,995	252,339	1,350,919	8,181,134
Additions	57,955	446,201	600	162,463	667,219

As at 30 April 2025	1,211,836	5,870,196	252,939	1,513,382	8,848,353

Depreciation
As at 1 May 2024	196,104	4,227,485	212,499	1,106,564	5,742,652
Provided during the period	24,236	328,542	9,960	81,364	444,102

As at 30 April 2025	220,340	4,556,027	222,459	1,187,928	6,186,754

Net Book Value
As at 30 April 2025	991,496	1,314,169	30,480	325,454	2,661,599

As at 1 May 2024	957,777	1,196,510	39,840	244,355	2,438,482

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

14. Stocks

	2025	2024
	£	£
Raw Materials and Consumables	5,977,592	9,124,962
Work in progress	676,604	3,175,110

	6,654,196	12,300,072

15. Debtors

	2025	2024
	£	£
Due within one year
Trade debtors	9,291,593	10,484,355
Other debtors	855,573	1,603,278

	10,147,166	12,087,633

16. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Trade creditors	9,988,488	12,775,380
Other creditors	52,483	4,950,515
Corporation tax	490,639	382,809
Taxation and social security	1,193,690	1,275,333
Accruals and deferred income	1,123,581	1,044,110

	12,848,881	20,428,147

Of the creditors the following amounts are secured.

	2025		2024
	£		£
Other Creditors	-		4,247,709

17. Deferred Taxation

The provision for deferred tax is made up as follows:

	2025	2024
	£	£
Other timing differences	352,538	292,665

Other timing differences relates to fixed asset timing differences.

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

18. Provisions for Liabilities


	Warranty provision	Deferred Tax	Total
	£	£	£
As at 1 May 2024	-	292,665	292,665
Additions	925,678	59,873	985,551

Balance at 30 April 2025	925,678	352,538	1,278,216

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking

into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss

19. Share Capital

	2025	2024
Allotted, called up and fully paid	£	£
25,500 Ordinary Shares of £ 1.00 each	25,500	25,500

20. Other Commitments

The total of future minimum lease payments under non-cancellable operating leases are as following:

	2025	2024
	£	£
Not later than one year	50,000	41,500
Later than one year and not later than five years	200,000	166,000

	250,000	207,500

21. Pension Commitments

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

During the year the charge to the profit and loss account in respect of defined contribution schemes was £458,105 (2024: £408,472).

At the balance sheet date contributions of £NIL were due to the fund and are included in creditors.

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Solomon Commercials Limited

Notes to the Financial Statements (continued)

For The Year Ended 30 April 2025

22. Dividends

	2025	2024
	£	£
On equity shares:
Final dividend paid	700,000	100,000

23. Related Party Disclosures

During the year the company paid rent of £264,383 (2024 - £264,383) to Alden Green Limited, its ultimate parent company.

During the year the company paid rent of £853,771 (2024 - £851,272) to Solomon Holdings Limited, a related company. The balance due at the the balance sheet date was £45,000 (2024 - £45,000).

During the year the company paid a management charge of £9,000 (2024- £9,000) and dividends of £700,000 (2024- £100,000) to Solcomm Limited. The balance due at the balance sheet date was £767,727 (2024 - £777,512).

During the year the company paid rent of £50,000 (2024 - £41,500) to the company pension fund.

24. Controlling Parties

The company's immediate parent undertaking is Solcomm Limited .

The ultimate parent undertaking and that of the smallest and largest group for which group accounts are drawn up of which the company is a member is Alden Green Limited (incorporated in England & Wales). Its registered office is Knowsley Road Industial Estate, Haslingden BB4 4RX .

Copies of the group accounts may be obtained from the company's registered office.

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