REGISTERED NUMBER: 01588420 (England and Wales)

BLYTH METALS LIMITED

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 MARCH 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Cash Flow Statement

14

Notes to the Cash Flow Statement

15

Notes to the Financial Statements

16

DIRECTORS:

Dr N Blyth

Ms P A Shepherd

SECRETARY:

Ms P A Shepherd

REGISTERED OFFICE:

Todwick Road

Dinnington

Sheffield

South Yorkshire

S25 3SE

REGISTERED NUMBER:

01588420 (England and Wales)

AUDITORS:

Xeinadin

Sidings House

Sidings Court

Lakeside

Doncaster

South Yorkshire

DN4 5NU

BANKERS:

Barclays

The directors present their strategic report for the year ended 31 March 2025.

PRINCIPLE ACTIVITY

The company's principle activity is the wholesale of metals and metal ores.

REVIEW OF BUSINESS

As reported in the profit and loss account the company revenue has shown a decrease this year from £9,500,461 in 2024 to £8,659,395 in the current year, a decrease of 8.85%. The gross profit margin was 14.10% this year against 6.59% in 2024. The gross profit contribution was £1,220,501 this year against £626,006 in 2024. Profit after tax has increased from £745,946 to £1,445,209 in the current period. The balance sheet shows that the company's net assets at the year end has increased from £10,568,671 to £11,688,880 at 31 March 2025.

FINANCIAL KEY PERFORMANCE INDICATORS

2025

2024

Turnover

£8,659,395

£9,500,461

Gross Profit

£1,220,501

£626,006

Gross Profit Margin

14.10%

6.59%

Profit After Tax

£1,445,209

£745,946

Net Current Assets

£10,504,676

£9,685,967

Net Assets

£11,688,880

£10,568,671

Going concern

Whilst the Report of the directors and Financial Statements are focused on the financial results from 2025, the company's directors are mindful of the impacts of the macroeconomic conditions on the short to medium term resilience of the company. Due to the uncertainty caused by the macroeconomic landscape, the directors have looked at the resilience of the company to stay in business over the next 12 months. Three key measures have been looked at to determine if that position is reasonable, namely, income, expenditure, and cash flow. Based on a forecast of the likely activity in each of these areas the directors are satisfied that this position remains appropriate.

Cash flow

Based on the forecasted income and expenditure cash flow remains at a level above which is required to meet the debts of the company as they fall due.

The company's activities expose it to a number of financial risks including cash flow risk, credit risk, liquidity risk and price risk. The use of financial derivatives is governed by the Group's policies approved by the board of directors, which provide principles on the use of financial derivatives to manage these risks. The company does not use derivative financial instruments for speculative purposes.

PRINCIPAL RISKS AND UNCERTAINTIES

Management continually monitor the key risks facing the company together with assessing the controls used for monitoring these risks. The company has always had a stable financial background so the directors continue to hold the opinion that the company will still be able to meet its commitment to the future.

The principal risks and uncertainties facing the company are therefore as follows:

Credit risk - the company has a policy that requires appropriate credit checks to be made on its customers. Stringent and regular reviews of customer accounts are made to ensure that payments are received within prearranged credit periods.

Economic risk - the company provides materials for the iron and steel manufacturing industries. It maintains close

relationships with its key customers in order to be able to identify the early signs of potential financial difficulties and

declines in local business. Sales trends in its major markets are constantly reviewed to enable early action to be taken in the event of sales declining in any sector. The company has a close working relationship with its customers and therefore knows their needs. The company sources appropriate materials for its customers. The directors are aware of the uncertainty of trade in the stock industry and consider that their substantive experience using the world wide steel market will carry them through the short term future.

Competitor risk - the market in which the company operates is considered to be competitive and therefore competitor pressure can result in losing sales. The company manages this risk by providing quality products and maintaining strong relations with its key customers because of its supplier contacts throughout the world.

Reliance on key suppliers - the company purchases products from all over the world but is currently reliant on certain suppliers giving rise to potential inflationary pricing pressure. The company manages this risk by monitoring its existing suppliers against other material suppliers and by seeking alternative suppliers that may be used. The company realises its risk in currency fluctuations and manages its transactions to take advantage of any substantive movements by holding funds in certain currencies where substantial volumes of business are coordinated.

Loss of key personnel - the directors acknowledge that loss of key personnel would present some operational

difficulties for the company. Management seeks to ensure that key personnel are encouraged to ensure that good

performance is recognised and also to encourage its existing employees to gain senior positions.

Key performance indicators - management regularly monitor the performance of the company. The key performance indicators used by management are turnover, profitability and cash flow. Management also review stock holding levels to assess both profitability and liquidity.

MARKET STRATEGIES AND OPPORTUNITIES

The company's market strategy is focused on strengthening its competitive position and expanding market share through a combination of new product development, customer retention, and geographic expansion. A key element of this strategy is improving customer satisfaction and building long-term relationships, which helps maintain a loyal customer base and drive repeat business. This is supported by enhanced service offerings, personalized experiences, and ongoing investments in customer support.

Additionally, the company is identifying and capitalizing on emerging opportunities to further its growth. By leveraging these strategies and opportunities, the company aims to achieve sustainable growth, boost profitability, and position itself for continued success in a competitive marketplace.

SUBSEQUENT EVENTS

There are no events to note subsequent to the year-end.

ON BEHALF OF THE BOARD:

Ms P A Shepherd - Director

23 December 2025

The directors present their report with the financial statements of the company for the year ended 31 March 2025.

DIVIDENDS

No interim dividend was paid during the year. The directors recommend a final dividend of 29.55 per share.

The total distribution of dividends for the year ended 31 March 2025 will be £ 325,000 .

FUTURE DEVELOPMENTS

The directors will continue to search for new products and markets within its industry to sustain/increase its level of business.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 April 2024 to the date of this report.

Dr N Blyth

Ms P A Shepherd

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). 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;

-	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 she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Xeinadin, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Ms P A Shepherd - Director

23 December 2025

Opinion

We have audited the financial statements of Blyth Metals Limited (the 'company') for the year ended 31 March 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 31 March 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 four, 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:

Based on our understanding of the company, we identified that the principal risks of non-compliance with the laws and regulations specific to the industry and corporation tax legislation and we considered the extent to which non-compliance might have a material effect on the financial statements. As part of this assessment we considered both quantitative and qualitative factors. We also considered those laws and regulations that have a direct impact on the preparation on the financial statements, such as the Companies Act 2006 and FRS 102.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements which included the risk of management override of controls. We determined that the principal risks were related to posting inappropriate journal entries, omitting, advancing or delaying recognition of events and transactions that have occurred during or after the reporting period, and potential management bias in the determination of accounting estimates or judgements to manipulate results.

Audit procures performed by the engagement team include:

- Enquiring of and obtaining written representation from management in relation to known or suspected instances of non-compliance with laws and regulations and fraud;

- Enquiring of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations;

- Evaluation of management's controls designed to prevent and detect irregularities;

- Identifying and, where relevant, testing journal entries posted by senior management or with unusual combinations;

- Assessing and evaluating the business rationale of significant transactions outside the normal course of business;

- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

- Incorporating elements of unpredictability into the nature, timing and/or extent of audit procedures performed.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

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.

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 a Report of the Auditors 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.

Andrew Cribb FCA (Senior Statutory Auditor)

for and on behalf of Xeinadin

Sidings House

Sidings Court

Lakeside

Doncaster

South Yorkshire

DN4 5NU

28 December 2025

TURNOVER

3

8,659,395

9,500,461

Cost of sales

7,438,894

8,874,455

GROSS PROFIT

1,220,501

626,006

Administrative expenses

389,922

444,450

830,579

181,556

Other operating income

15,000

13,833

OPERATING PROFIT

6

845,579

195,389

Income from shares in group undertakings

8

95,826

78,264

Income from participating interests

9

377,739

383,126

Interest receivable and similar income

10

346,878

213,325

820,443

674,715

PROFIT BEFORE TAXATION

1,666,022

870,104

Tax on profit

11

220,813

124,158

PROFIT FOR THE FINANCIAL YEAR

1,445,209

745,946

PROFIT FOR THE YEAR

1,445,209

745,946

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,445,209

745,946

FIXED ASSETS

Intangible assets

13

-

-

Tangible assets

14

34,787

48,747

Investments

15

1,157,585

845,499

1,192,372

894,246

CURRENT ASSETS

Stocks

16

4,170,029

2,469,368

Debtors

17

2,153,681

2,091,981

Cash at bank and in hand

8,479,911

8,759,664

14,803,621

13,321,013

CREDITORS

Amounts falling due within one year

18

4,298,945

3,635,046

NET CURRENT ASSETS

10,504,676

9,685,967

TOTAL ASSETS LESS CURRENT LIABILITIES

11,697,048

10,580,213

PROVISIONS FOR LIABILITIES

19

8,168

11,542

NET ASSETS

11,688,880

10,568,671

CAPITAL AND RESERVES

Called up share capital

20

11,000

11,000

Retained earnings

21

11,677,880

10,557,671

SHAREHOLDERS' FUNDS

11,688,880

10,568,671

The financial statements were approved by the Board of Directors and authorised for issue on 23 December 2025 and were signed on its behalf by:

Ms P A Shepherd - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2023

11,000

10,061,725

10,072,725

Changes in equity

Dividends

-

(250,000

)

(250,000

)

Total comprehensive income

-

745,946

745,946

Balance at 31 March 2024

11,000

10,557,671

10,568,671

Changes in equity

Dividends

-

(325,000

)

(325,000

)

Total comprehensive income

-

1,445,209

1,445,209

Balance at 31 March 2025

11,000

11,677,880

11,688,880

Cash flows from operating activities

Cash generated from operations

1

(759,079

)

3,317,337

Tax paid

(303,893

)

(316,149

)

Net cash from operating activities

(1,062,972

)

3,001,188

Cash flows from investing activities

Purchase of tangible fixed assets

(7,658

)

-

Increase in investment

(312,084

)

(106,046

)

Interest received

346,878

213,325

Dividends received

473,565

461,390

Net cash from investing activities

500,701

568,669

Cash flows from financing activities

Intercompany loan

607,518

850,561

Equity dividends paid

(325,000

)

(250,000

)

Net cash from financing activities

282,518

600,561

(Decrease)/increase in cash and cash equivalents

(279,753

)

4,170,418

Cash and cash equivalents at beginning of year

2

8,759,664

4,589,246

Cash and cash equivalents at end of year

2

8,479,911

8,759,664

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

2025

2024

£

£

Profit before taxation

1,666,022

870,104

Depreciation charges

21,617

21,239

Finance income

(820,443

)

(674,715

)

867,196

216,628

(Increase)/decrease in stocks

(1,700,661

)

3,068,823

Decrease in trade and other debtors

18,006

326,275

Increase/(decrease) in trade and other creditors

56,380

(294,389

)

Cash generated from operations

(759,079

)

3,317,337

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

8,479,911

8,759,664

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

8,759,664

4,589,246

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

8,759,664

(279,753

)

8,479,911

8,759,664

(279,753

)

8,479,911

Total

8,759,664

(279,753

)

8,479,911

1.	STATUTORY INFORMATION

Blyth Metals Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	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

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the customer, the amount of revenue can be measured reliably and it is probable that the economic benefits associated with the transaction will flow to the company.

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

Interest income is recognised as interest accrues.

Dividend income is recognised when the right to receive the income has been established.

Grant income relating to revenue is recognised on an accruals basis. Income is recognised on a systematic basis over the periods in which the entity recognises the related costs for which the grant is intended to compensate. A grant becomes receivable as compensation for expenses or losses already incurred or for the purposes of giving immediate financial support with no future related costs is recognised in income in the period in which it becomes receivable.

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.

Computer software is being amortised evenly over its estimated useful life of nil years.

Tangible fixed assets

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

Plant and machinery

-

25% on cost

Investments in subsidiaries and associates

Investments in subsidiary and associate undertakings are recognised at cost.

Stocks

Stocks are valued at the lower of cost and net realisable value, with cost determined using a weighted average basis, after making due allowance for obsolete and slow-moving items.

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 balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet 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 balance sheet 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.

Leases

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Judgements and key sources of estimation uncertainty

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

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimated are cognised 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.

Financial instruments

Financial assets and liabilities are recognised when the company becomes party to the contractual provisions of the financial instrument. The company holds both basic and non-basic financial instruments, which comprise cash and cash equivalents, trade and other debtors, trade and other creditors, derivative financial instruments and equity investments.

The company has chosen to apply the measurement and recognition provisions of Section 11 Basic Financial Instruments and Section 12 Other Financial Instruments in full.

Financial assets - classified as basic financial instruments

Cash and cash equivalents - comprise cash in hand, deposits held with banks and other short-term highly liquid investments with original maturities of three months or less.

Trade and other debtors - are recognised at the transaction price. Amounts that are receivable within one year are measured at the undiscovered amount expected to be receivable, net of any impairment.

At the end of each reporting year, the company assesses whether there is objective evidence that any financial asset amount may be impaired. A provision for impairment is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the financial assets. The amount of the provision is the difference between the asset's carrying amount and the present value of the estimated future cash flows. The amount of the provision is recognised immediately in profit or loss.

Equity investments are recognised at the transaction price.

Financial liabilities - classified as basic financial instruments

Trade and other creditors - are measured at the transaction price. Amounts that are payable within one year are measured at the undiscovered amount expected to be payable.

Derivative financial instrument - classified as non-basic financial instruments

Derivative financial instruments are initially recognised at fair value at the date the derivative contract is entered into.

Impairment of assets

At each reporting end date, the company reviews the carrying value of its assets and liabilities to determine whether there is any indication that those assets or liabilities have suffered an impairment loss. If any such indication exist, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss.

The recoverable amount of an asset is the higher fair value less costs to sell and value in use. Value in use is the present value of the future cash flows expected to be derived from the asset, or cash generating unit. The present value calculations involves estimating the future cash inflows and outflows to be derived from continuing use of the asset, and from its ultimate disposal, applying an appropriate discount rate to those future cash flows.

Where the recoverable amount of an asset is less than the carrying amount, an impairment loss is recognised immediately in profit and loss. An impairment loss recognised for all assets is reversed in a subsequent period if, and only if, the reasons for the impairment loss have ceased to apply. Impairment losses are charged to profit or loss in administration expenses.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2025

2024

£

£

Sales of metal alloys

8,401,318

9,375,616

Admin services provided

258,077

124,845

8,659,395

9,500,461

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

5,619,469

5,262,856

Europe

1,386,037

2,516,018

Other global sales

1,395,812

1,596,742

Management charges received

258,077

124,845

8,659,395

9,500,461

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

466,400

491,286

Social security costs

46,165

46,605

Other pension costs

7,274

6,696

519,839

544,587

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

2025

2024

Material processing

10

11

Administration

4

4

Directors

1

2

15

17

5.	DIRECTORS' EMOLUMENTS

2025

2024

£

£

Directors' remuneration

54,449

78,252

Directors' pension contributions to money purchase schemes

1,074

1,012

6.	OPERATING PROFIT

The operating profit is stated after charging:

2025

2024

£

£

Rent of processing yard

15,000

15,000

Depreciation - owned assets

21,618

21,239

7.	AUDITORS' REMUNERATION

2025

2024

£

£

Fees payable to the company's auditors for the audit of the company's financial statements

5,600

5,200

8.

INCOME FROM SHARES IN GROUP UNDERTAKINGS

2025

2024

£

£

Shares in group undertakings

95,826

78,264

9.	INCOME FROM PARTICIPATING INTERESTS

2025

2024

£

£

Interest in associate undertakings

377,739

383,126

10.

INTEREST RECEIVABLE AND SIMILAR INCOME

2025

2024

£

£

Deposit account interest

338,731

213,022

HMRC interest

8,147

303

346,878

213,325