REGISTERED NUMBER: 00568996 (England and Wales)

STAPLES BROTHERS LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 5 APRIL 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Income Statement

9

Other Comprehensive Income

10

Statement of Financial Position

11

Statement of Changes in Equity

12

Statement of Cash Flows

13

Notes to the Statement of Cash Flows

14

Notes to the Financial Statements

16

DIRECTORS:

V Read

G Read

SECRETARY:

G Read

REGISTERED OFFICE:

Station Farm

Station Road

Sibsey

Boston

Lincolnshire

PE22 0SE

REGISTERED NUMBER:

00568996 (England and Wales)

SENIOR STATUTORY AUDITOR:

Nicola Michelle Lenton FCCA

AUDITORS:

Dexter & Sharpe Audit Services Ltd

(Statutory Auditor)

Rollestone House

Bridge Street

Horncastle

Lincolnshire

LN9 5HZ

The directors present their strategic report for the year ended 5 April 2025.

The principal activity of the company was farming.

REVIEW OF BUSINESS

The results for the year ended 05 April 2025, and the financial position of the company at 05 April 2025, are as shown on the financial statements.

Given the non-complex nature of the company and its business, this review is considered to be balanced and comprehensive, having regard to the size of the company. The review also considers any risks or uncertainties faced by the company.

The directors are satisfied with the results for the year.

Turnover for the year totalled £77m compared to £60m for the previous year, an uplift of 28.5% (2024 uplift in turnover was 31%).

Net profit for the year, after tax, was £17m compared to a profit, after tax, of £11.3m for the year ended 05 April 2024.

Dividends voted in the year were £9.6m compared with £8.5m for the previous year.

The company continues to develop and invest in the latest equipment and cutting-edge technology to deliver optimal efficiency, productivity and to mitigate industry risks. Total capital spend in the year on plant, machinery and vehicles amounted to £16.6m.

KEY PERFORMANCE INDICATORS

The key financial performance indicators are as follows:

- Gross profit percentage 41.5% (2024 - 35.8%, 2023 - 17.7%).

- Net profit percentage 29.9% (2024 - 25.5%, 2023 - 5.8%).

- Net Return on equity 33.9% (2024 - 26.4%, 2023 - 5.2%).

OUTLOOK

The directors believe that the company's balance sheet provides a strong capital base for further sustainable growth alongside long-term security.

PRINCIPAL RISKS AND UNCERTAINTIES

Given the nature of the company's activities the unpredictability of the UK climate will always prove to be challenging. The company meets this risk by implementing procedures to minimise uncertainty and impact on the business through extensive research, crop planning and management, and relevant investment in all areas.

SECTION 172(1) STATEMENT

Section 172 of the Companies Act 2006 requires the directors of the company to act in a way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole and, in doing so, have regard to:

- the likely consequences of any decision long-term;

- the interest of the company's employees;

- the need to foster the company's business relationships with suppliers, customers and others;

- the impact of the company's operations on the community and the environment;

- the desirability of the company maintaining a reputation for high standards of business conduct, and

- the need to act fairly as between members of the company.

Promoting the company's success for its members and long term strategy

The company is managed by the directors, Vernon Read and George Read.

Strategic decisions are based on long-term objectives. The long term strategy is investment in the very latest technology and equipment. The company is proud to have created a unique integrated production system delivering the highest efficiency and lowest risk in the industry.

The company always looks to the future in pioneering product development, meeting customer needs through consumer and market insight.

The directors are minded to always act in good faith to promote the success of the company and to act fairly in respect of (and for the benefit of) the shareholders of the company.

Employees

The company does not directly employ anyone.

Our customers and suppliers

The directors and senior management of the associated company, Staples (Vegetables) Limited, oversee the relationships with key suppliers and customers.

The company's main customer is the associated company, Staples (Vegetables) Limited, who supply predominantly to the major UK supermarkets. Key to these relationships is quality of product, service and availability to meet demand throughout the year.

The company views the relationship with its suppliers as vital to the on-going success of the company. The company always seeks to be transparent and fair with suppliers and build loyal and stable working relationships. There are many businesses, both locally and nationally, that have had a mutually beneficial working relationship with the company for more than 30 years.

Our community and the environment

The company is based in Lincolnshire with additional farms on the Isle of Wight. The company has supported many local and community projects in recent years and it has a significant visible presence in the area.

The company, alongside the associated company, Staples (Vegetables) Limited, has a policy for sustainable food and farming as evidenced through its membership of many environmental and ethical assurance schemes. The policy links the environment and farming with a focus on soil management, crop health and protection, recycling, energy efficiency, water management, landscape and nature conservation and on community engagement.

The company provides the associated company, Staples (Vegetables) Limited, with site electricity via an anaerobic digester plant at both the Wrangle and Sibsey processing sites. The plant is run on out-of-specification vegetables and maize silage. The companies are self-sufficient in generating their own electricity.

High standards of business conduct

The directors operate the business in a responsible manner, with regard to maintaining high standards of business conduct, reputation and governance that is expected given the size of the company.

FINANCIAL INSTRUMENTS, RISKS AND THEIR MANAGEMENT

The company's principal financial instruments comprise trade debtors, bank account, trade creditors and finance agreements. The main purpose of these instruments is to finance the operations of the company.

Trade debtors are mainly with the associated company Staples (Vegetables) Limited. Trade debtors are managed for credit and cash flow risk by establishing credit limits and regular monitoring of amounts outstanding for age and limits. Trade debtors included in the balance sheet are net of allowances for bad or doubtful debts.

Bank liquidity risk is managed by real-time record keeping to ensure limits are not exceeded.

Trade creditors liquidity risk is managed through the use of the financial instruments to ensure there are sufficient funds available to meet amounts falling due.

The company uses finance agreements to fund large fixed asset acquisition. The liquidity risk in respect of these agreements is managed by ensuring that there are sufficient funds available to meet the repayments when due.

The directors consider that adequate finance is in place to take advantage of any business opportunities that may arise and consider that the company is in a strong position with regard to market share.

FUTURE DEVELOPMENTS

The company will continue with its successful on-going strategy of investment in the most innovative and leading-edge farming techniques and machinery.

KEY PERFORMANCE INDICATORS

The key performance indicators are summarised above within the review of the business. These are measured by gross profit, operating profit and the return on capital employed.

.

ON BEHALF OF THE BOARD:

V Read - Director

7 August 2025

The directors present their report with the financial statements of the company for the year ended 5 April 2025.

DIVIDENDS

Interim dividends totalling £160.84 per share were paid on the 'A' Ordinary £1 shares during the year. No dividends were paid on any other classes of shares.

The total distribution of dividends for the year ended 5 April 2025 will be £ 9,651,043 .

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

The directors set out in the table below have held office during the whole of the period from 6 April 2024 to the date of this report.

The directors shown below were in office at 5 April 2025 but did not hold any interest in the 'A' Ordinary shares of £1 each at 6 April 2024 or 5 April 2025.

V Read

G Read

STREAMLINED ENERGY AND CARBON REPORTING

The company is a subsidiary of S Farms Limited.

The company is consolidated into the group accounts of S Farms Limited to 05 April 2025 (company number 13179690) who provide an energy and carbon report for the whole group, including the associated company, Staples (Vegetables) Limited. Staples Brothers Limited is not required to report individually on its carbon emissions, energy consumption and its measures taken to improve energy efficiency in the accounting period.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

-	state whether applicable accounting standards 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Dexter & Sharpe Audit Services Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

V Read - Director

7 August 2025

Opinion

We have audited the financial statements of Staples Brothers Limited (the 'company') for the year ended 5 April 2025 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, Notes to the Financial Statements, 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, 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 5 April 2025 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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.

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 the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors 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 Report of the Directors.

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

-	adequate accounting records have not been kept, or 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.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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 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.

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

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

We have enquired of those charged with governance around actual and potential litigation and claims.

We have reviewed financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

We have enquired of staff engaged in the completion of VAT, tax and compliance work to identify any instances of non compliance with laws and regulations.

We have audited the risk of management override of controls including review of journal entries and large or unusual transactions, evaluating the business rationale of any significant transactions outside the course of business.

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

Nicola Michelle Lenton FCCA (Senior Statutory Auditor)

for and on behalf of Dexter & Sharpe Audit Services Ltd

(Statutory Auditor)

Rollestone House

Bridge Street

Horncastle

Lincolnshire

LN9 5HZ

7 August 2025

TURNOVER

77,561,942

60,033,435

Cost of sales

(45,394,179

)

(38,542,400

)

GROSS PROFIT

32,167,763

21,491,035

Administrative expenses

(8,921,307

)

(6,414,339

)

23,246,456

15,076,696

Other operating income

216,118

230,012

OPERATING PROFIT

3

23,462,574

15,306,708

Interest receivable and similar income

55,901

58,378

23,518,475

15,365,086

Interest payable and similar expenses

4

(356,380

)

(66,056

)

PROFIT BEFORE TAXATION

23,162,095

15,299,030

Tax on profit

5

(6,153,320

)

(4,011,808

)

PROFIT FOR THE FINANCIAL YEAR

17,008,775

11,287,222

PROFIT FOR THE YEAR

17,008,775

11,287,222

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

17,008,775

11,287,222

FIXED ASSETS

Intangible assets

7

600

800

Tangible assets

8

53,748,107

41,146,929

Investments

9

240

240

53,748,947

41,147,969

CURRENT ASSETS

Stocks

10

16,545,908

11,973,896

Debtors

11

17,563,243

8,712,215

Cash at bank

29,169

92,477

34,138,320

20,778,588

CREDITORS

Amounts falling due within one year

12

27,864,292

12,741,840

NET CURRENT ASSETS

6,274,028

8,036,748

TOTAL ASSETS LESS CURRENT LIABILITIES

60,022,975

49,184,717

CREDITORS

Amounts falling due after more than one year

13

(1,468,682

)

(910,737

)

PROVISIONS FOR LIABILITIES

17

(8,390,697

)

(5,468,116

)

NET ASSETS

50,163,596

42,805,864

CAPITAL AND RESERVES

Called up share capital

18

60,004

60,004

Retained earnings

19

50,103,592

42,745,860

SHAREHOLDERS' FUNDS

50,163,596

42,805,864

The financial statements were approved by the Board of Directors and authorised for issue on 7 August 2025 and were signed on its behalf by:

V Read - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 6 April 2023

60,004

39,961,205

40,021,209

Changes in equity

Dividends

-

(8,502,567

)

(8,502,567

)

Total comprehensive income

-

11,287,222

11,287,222

Balance at 5 April 2024

60,004

42,745,860

42,805,864

Changes in equity

Dividends

-

(9,651,043

)

(9,651,043

)

Total comprehensive income

-

17,008,775

17,008,775

Balance at 5 April 2025

60,004

50,103,592

50,163,596

Cash flows from operating activities

Cash generated from operations

1

17,876,659

17,977,639

Interest paid

(356,380

)

(66,056

)

Tax paid

(6,227,322

)

693,729

Net cash from operating activities

11,292,957

18,605,312

Cash flows from investing activities

Purchase of intangible fixed assets

-

(1,000

)

Purchase of tangible fixed assets

(14,186,767

)

(5,755,963

)

Sale of tangible fixed assets

332,000

176,000

Interest received

55,901

58,378

Net cash from investing activities

(13,798,866

)

(5,522,585

)

Cash flows from financing activities

Capital repayments in year

(3,130,390

)

(2,083,742

)

Amount withdrawn by directors

(45

)

-

Equity dividends paid

(9,651,043

)

(8,502,567

)

Net cash from financing activities

(12,781,478

)

(10,586,309

)

(Decrease)/increase in cash and cash equivalents

(15,287,387

)

2,496,418

Cash and cash equivalents at beginning of year

2

(2,270,641

)

(4,767,059

)

Cash and cash equivalents at end of year

2

(17,558,028

)

(2,270,641

)

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

Profit before taxation

23,162,095

15,299,030

Depreciation charges

4,806,088

3,417,731

Loss on disposal of fixed assets

57,179

54,962

Finance costs

356,380

66,056

Finance income

(55,901

)

(58,378

)

28,325,841

18,779,401

Increase in stocks

(4,572,012

)

(2,401,016

)

(Increase)/decrease in trade and other debtors

(8,058,796

)

639,744

Increase in trade and other creditors

2,181,626

959,510

Cash generated from operations

17,876,659

17,977,639

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 5 April 2025

5.4.25

6.4.24

£

£

Cash and cash equivalents

29,169

92,477

Bank overdrafts

(17,587,197

)

(2,363,118

)

(17,558,028

)

(2,270,641

)

Year ended 5 April 2024

5.4.24

6.4.23

£

£

Cash and cash equivalents

92,477

51,731

Bank overdrafts

(2,363,118

)

(4,818,790

)

(2,270,641

)

(4,767,059

)

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 6.4.24

Cash flow

changes

At 5.4.25

£

£

£

£

Net cash

Cash at bank

92,477

(63,308

)

29,169

Bank overdrafts

(2,363,118

)

(15,224,079

)

(17,587,197

)

(2,270,641

)

(15,287,387

)

(17,558,028

)

Debt

Finance leases

(2,223,931

)

3,130,390

(3,609,478

)

(2,703,019

)

(2,223,931

)

3,130,390

(3,609,478

)

(2,703,019

)

Total

(4,494,572

)

(12,156,997

)

(3,609,478

)

(20,261,047

)

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Entitlements are being amortised evenly over their estimated useful life of five years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property

-

12.5% on reducing balance, 5% on reducing balance and Nil

Farm fixtures

-

25% on reducing balance

Plant and machinery

-

35% on reducing balance, 25% on reducing balance, 20% on reducing balance, 12.5% on reducing balance, 5% on reducing balance and Straight line over 10 years

Motor vehicles and trailers

-

25% on reducing balance

Tractors and harvesters

-

25% on reducing balance, 20% on reducing balance and 12.5% on reducing balance

Valuation

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

The valuation of stock and tenantright was carried out by independent valuers Martin Wright Surveyors Limited, The Orchard Rooms, Frith Bank, Boston and is in accordance with FRS 102.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets and depreciated over the shorter of the lease term and their useful lives. Finance leases are those where substantially all the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in 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.

Grants and contributions

Grants receivable in respect of tangible fixed assets are treated as deferred income which is credited to the profit and loss account over the estimated economic lives of the related assets. Grants receivable in respect of profit and loss expenditure are credited to the expenditure heading concerned in the year of receipt.

2.	EMPLOYEES AND DIRECTORS

There were no staff costs for the year ended 5 April 2025 nor for the year ended 5 April 2024.

The average number of employees during the year was as follows:

2025

2024

Directors

2

2

Included in Contract work and plant hire are staff costs of £3,904,909 (2024 - £3,304,987) which have been recharged from the associated company Staples (Vegetables) Limited per note 21.

2025

2024

£

£

Directors' remuneration

-

-

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

3.	OPERATING PROFIT

The operating profit is stated after charging:

2025

2024

£

£

Depreciation of tangible fixed assets

- owned by the company

3,641,903

2,609,180

- held under finance leases & hire purchase contracts

1,164,185

808,551

Auditors remuneration

16,280

14,800

Auditors remuneration for non audit services

2,323

2,435

Grant release

(45,964

(51,591

)

Currency exchange (gain)/loss

(5,719

(19,348

)

4.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

£

Bank overdraft interest

326

171

Hire purchase interest

70,767

65,127

Corporation tax interest

664

607

PAYE and VAT interest

450

151

Interest paid to related parti

es

284,173

-

356,380

66,056

5.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

3,710,383

2,758,407

Under / (Overprovision) in

previous year

(27

)

-

R&D tax claim

(479,617

)

-

Total current tax

3,230,739

2,758,407

Deferred tax

2,922,581

1,253,401

Tax on profit

6,153,320

4,011,808