The directors present the strategic report together with the audited financial statements for the year ended 31 December 2024.

2024 saw an increase in turnover, the overall increase in revenue being 10.2% compared to prior year. We successfully maintained and improved our service generated sales compared to prior year as predicted and continue to maintain the expected recovery following the impacts of COVID.

The gross profit margin result is moved from 21.80% to 17.56% being a decrease of 4.24%, this is inline with expectation due to a significant increase in intercompany sales, despite this there has been a significant control over costs during a period of high inflation, mitigating the decrease to the margin. The company has increased administrative expenses during the period, which includes the now annualised payroll increase which was made part way through the prior financial year, relative to the growth in revenue compared to 2023. The other notable increase within administrative expenses are the required company insurance premiums. Operating profit margin delivered has decreased from 8.31% prior year to 5.75% for 2023, a reduction of 2.56%. The driver for this being the increase in intercompany revenue in 2024 as previously noted.

Market Conditions: Risk – demand for services continue to decline due to ongoing low oil prices.

Mitigation – introduction of new services in 2024 to offset any reductions in existing services and continuous monitoring of customer requirements.

Project Delivery: Risk - projects are delivered utilising highly engineered solutions in what can be uncertain environmental conditions & often in remote locations. Poor project delivery can result in a negative financial impact and potential loss of customers.

Mitigation - employment of industry leading engineering resources together with extensive equipment testing facilities minimise the risk of onsite issues.

The company measures and monitors the following on an ongoing, regular basis:

Profit & Loss Accounts - all operating & support functions are reported on an individual basis and actual performance is measured against agreed budget expectations & prior year performance.

Working Capital – all unbilled revenues, trade receivables and inventory holdings are measured against agreed expectations & prior year.

Project Delivery - detailed costs are collated for every job to ensure that actual performance is in line with the expected contribution margins.

Business Plans - longer term business plans are prepared by geographical area and by service line and reviewed on a regular basis to ensure expectations are being met.

Other key performance indicators

The company measures and monitors the following on an ongoing, regular basis:

Safety – monthly tracking against targets of TRIR score, driver safety average score, site and workshop safe visits, reported safety observations

Employee engagement – monthly tracking against targets of staff turnover rate, absenteeism and staff retention rate

Commercial – weekly tracking of conversion rates for enquiries against targets by quantity and value

Future developments

Throughout 2025, the company has focused on the quality output of its service delivery with all areas of the business contributing to initiatives improving operational efficiencies and effectiveness. The company has also invested in new machinery, adopting professional and dynamic marketing channels; and recruiting more workshop and field service technicians to optimise the opportunities available for revenue growth and to maximise utilisation and minimise the indirect cost base.   

On behalf of the board

The directors present their annual report and financial statements for the year ended 31 December 2024.

The principal activity of the Company is engineering maintenance, both on customer sites and at its workshop

premises (Teeside, Grimsby and Grangemouth). The Company services the petro-chemical, power chemical

and steel industries.

The profit for the year, after taxation, amounted to £416,486 (2023 - £671,272).

The Directors do not recommend the payment of a dividend (2023 - £Nil).

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

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

The auditor, MHA, previously traded through the legal entity MacIntyre Hudson LLP. In response to regulatory changes, MacIntyre Hudson LLP ceased to hold an audit registration with the engagement transitioning to MHA Audit Services LLP.

MHA will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of principal risks and uncertainties and future developments.

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

The directors are responsible for preparing the annual 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). 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 then apply them consistently;

• make judgements and accounting estimates that are reasonable and prudent; and

• 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.

We have audited the financial statements of Team Valve and Rotating Services Limited (the 'company') for the year ended 31 December 2024 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its profit 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 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 ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.

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

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

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of directors' remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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

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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud, is detailed below:

• Enquiries with management about any known or suspect instances of non-compliance with laws and regulations and fraud;

• Challenging assumptions and judgements made by management in their significant accounting estimates, in particular in relation to future performance of the company;

• An evaluation of the risk of management override of controls and subsequent testing, including through testing journal entries and other adjustments for appropriateness;

• Auditing the risk of fraud in revenue by way of cut off testing as well as sales transaction testing, to obtain evidence that revenue is complete and recognised in the correct accounting period;

• An evaluation of the company's internal control environment; and

• A review of board minutes.

Because of the field in which the client operates we identified that employment law, health and safety legislation, environmental law and compliance with the UK Companies Act are the areas most likely to have a material impact on the financial statements.

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.

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

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

Team Valve and Rotating Services Limited is a private company, limited by shares, incorporated in England and Wales under the Companies Act 2006. The address of the registered office is given on the Company Information page and the nature of the Company’s operations and its principal activities are set out in the Directors' Report.

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

• Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;

• Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

• Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;

• Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.

The financial statements of the company are consolidated in the financial statements of Team Inc. These consolidated financial statements are available from its registered office.

2024 revenue has increased by 10.2% compared to 2023. Now fully recovered to pre-COVID level. The board continue to take actions to manage cash flows closely and to seek other revenue sources to ensure that the business can manage through any impacts that it may face during the ongoing period of regrowth. The Directors are required to prepare these financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. This assessment has been carried out on the cash flows of Team Inc. group of UK companies, which the company is a member of, as cash is managed by a centralised treasury function who ensure all parts of the UK Group have sufficient cash to meet their immediate needs. As part of the arrangement, the Group has issued a letter of support for all UK Group companies, for a period of twelve months from the date of approval of these financial statements which includes both making funds available if required and not to seek repayment of amounts due at the balance sheet date if this would be detrimental to the company. As part of the review, it was determined that the company is not reliant on the support of the Group.true

Further, the board are managing cash flows and implementing other mitigating actions to ensure that the business can manage through any impacts that it may face. In the worst-case scenario, the forecast requires the use of existing borrowing facilities. For planning purposes, the company frequently updates its view on likely trading patterns, incorporating latest intelligence on demand, cost reduction actions and reduced capital expenditure. Importantly these realistic scenarios provide good headroom against the worst-case scenario. At the time of writing this report the company is trading ahead of the most severe forecasts at both the sales and profit level. If there is a more significant downturn, there are further mitigating actions that could be enacted, these could include but are not limited to reductions in capital expenditure, business expenditure and overheads.

The company believes that with the current business activity levels, support provided by Team Inc., the cost savings enacted and the potential for further savings, the company has sufficient headroom to continue to operate within available facilities. The board is satisfied it has sufficient cash resources to meet its obligations as they fall due throughout this duration and the board has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For these reasons, they continue to adopt the going concern basis in preparing the annual report and financial statements.

Turnover is recognised at the fair value of the consideration received or receivable for sales of goods and services in the ordinary nature of the business. Turnover is shown net of Value Added Tax, of goods and services provided to customers and, in case of contracts, credit is taken appropriate to the stage of completion when the outcome of the contract can be ascertained with reasonable certainty.

The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably revenue is recognised only to the extent of the expenses recognised that are recoverable.

Tangible fixed assets under the cost model are stated at historical cost less accumulated

depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of

such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to the Statement of Comprehensive Income during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss

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

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

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

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Stocks are stated at the lower of cost and net realisable value, after making due allowance for

obsolete and slow moving items.

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.

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

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

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

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

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

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

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

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

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

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

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

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

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

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

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but notreversed by the Statement of Financial Position date, except that:

• The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

• Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations. The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

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

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Nonmonetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are

measured initially at fair value, net of transaction costs, and are measured subsequently at amortised

cost using the effective interest method, less any impairment.

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

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

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

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

Revenue is recognised when the significant risks and rewards have transferred to the customer. The company recognises revenue in respect of the rendering of services over time. A stage of completion approach is used to measure progress towards completion of the performance obligation based on an estimate of the costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total anticipated costs. Where a service has only been partially provided at the year end date, revenue represents the value of the services rendered to date based on stage of completion at the balance sheet date.

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

Their aggregate remuneration comprised:

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

Included within amounts owed by group undertakings is an amount of £1,500,000 (2023 - £1,500,000) which is repayable on 13 December 2025 with interest accrued at 3.29% per annum payable annually in arrears.

Other amounts owed to group undertakings are interest free and repayable on demand.

Amounts owed to group undertakings are interest free and repayable on demand.

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

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

The parent entity (that is, Team Inc.) of the company is, as per 31 December 2023, a borrower under two financings:

• a credit agreement, with, among others, Eclipse Business Capital LLC (Eclipse) (as agent) comprising an asset based revolving credit facility in the amount of USD 130,000,000, and a delayed draw term loan facility in the amount of USD 35,000,000, (the ABL Refinancing Agreement). In 2023 an amendment and restatement agreement was entered between, amongst others, Team Inc. as borrower and guarantor, the company as guarantor, the lenders listed therein as lenders and Eclipse as agent (the ABL Refinancing ARA and together with the ABL Refinancing Agreement, the ABL Financing Agreements) pursuant to which the ABL Refinancing Agreement was amended to (a) raise additional term loans of approximately USD 27,400,000; (b) increase the availability under the ABL Refinancing Agreement by USD 2,500,000, and (iii) extend the maturity of the ABL Refinancing Agreement to August 2025. At 31 December 2023, there was USD 78,414,640.61 outstanding under the asset based revolving credit facility, USD 35,000,000 outstanding under the delayed draw term loan facility, USD 8,918,924 outstanding under the M&E term loan facility, and USD 16,904,268.74 outstanding under the RE-1 term loan facility, under the ABL Financing Agreements; and

• an amended and restated agreement to the existing 2021 term loan agreement between, amongst others, Team Inc. as borrower and guarantor, the Company as guarantor and Cantor Fitzgerald Securities (Cantor) as agent (the 2023 Term Loan Agreement), pursuant to which (i) the term loan tranche was increased by USD 37,500,000 and (ii) the delayed draw term loan was increased by USD 20,000,000. At 31 December 2023, there was USD 130,087,527.40 outstanding under the (amended and restated) term loan facility, USD 37,786,613.01 outstanding under the incremental term loan facility and USD 10,265,360.28 outstanding under the incremental delayed draw term loan facility, under the 2023 Term Loan Agreement.

The company has granted security for the secured obligations under the ABL Financing Agreements in in favour of Eclipse, in the form of a first-ranking right of pledge on inventory, title documents and receivables (including those related to insurance policies and to its bank accounts, but excluding so-called term loan priority bank accounts). The company has also granted a second-ranking right of pledge in favour of Eclipse on its IP rights and its moveables (excluding inventory). Furthermore, in this regard, the shares of the company have been pledged to Eclipse, ranking second to the share pledge in favour of Cantor (as further described below).

In connection with the payoff of the remaining outstanding balance as per 31 December 2022 of USD 35,509,703 owed by Team Inc. under the term loan credit agreement, with, among others, Atlantic Park Strategic Capital Fund L.P. (AP) (as agent), in the amount of USD 250,000,000 at inception on 18 December 2020 (the 2020 Term Loan Agreement) during the course of 2023, the security granted to AP, in connection thereto, was released in 2023. The security that was released was a:

• first-ranking right of pledge on its IP rights, its moveables (excluding inventory), and its bank account receivables classified as term loan priority bank accounts;

• second-ranking right of pledge on the company’s inventory, its title documents (such as bearer documents), and its receivables; and

• a first-ranking right of pledge over the shares of the company.

The company has granted new security for the secured obligations under the 2023 Term Loan Agreement in in favour of Cantor in the course of 2023, and validly existing as per 31 December 2023, in the form of a:

1. first-ranking right of pledge on its IP rights, its moveables (excluding inventory), and its bank account receivables classified as term loan priority bank accounts;

2. second-ranking right of pledge on the company’s inventory, its title documents (such as bearer documents), and its receivables; and

3. a first-ranking right of pledge over the shares of the company, ranking first to the share pledge in favour of Eclipse.

In connection with the financings, the company has agreed to be severally and jointly liable for the parent entity’s obligations thereunder and it has subordinated its claims against other group entities to any claims that Eclipse or Cantor may have against these other group entities pursuant to the financings.

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

The Company has taken advantage of the exemption conferred by FRS 102 Section 33.1A from the requirement to disclose details of transactions with other wholly owned group companies.

The Company is a wholly owned subsidiary of Team Industrial Services (UK) Holding Limited, a Company registered in England and Wales at Furman House, Shap Road, Kendal, Cumbria, England, LA9 6RU. Team, Inc, a Company incorporated in the USA, is the ultimate parent Company.

The Company's results are consolidated in the accounts of Team, Inc, and is the smallest and largest group for which consolidated accounts are prepared and publicly available. Copies of the Team, Inc accounts are available from the registered office at Team, Inc, 13131 Dairy Ashford, Suite 600, Sugar Land, TX 77478, United States of America or on their website at http://investor.teaminc.com.