Company registration number 00493783 (England and Wales)
ARVILLE TEXTILES LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025
ARVILLE TEXTILES LIMITED
COMPANY INFORMATION
Directors
Mr J W F Wight
Mr A D Stewart
Company number
00493783
Registered office
Arville House
Sandbeck Way
Wetherby
LS22 7DQ
Auditor
Azets Audit Services Limited
Triune Court
Monks Cross Drive
York
YO32 9GZ
ARVILLE TEXTILES LIMITED
CONTENTS
Page
Strategic report
1 - 3
Directors' report
4
Directors' responsibilities statement
5
Independent auditor's report
6 - 8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Notes to the financial statements
12 - 29
ARVILLE TEXTILES LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2025
- 1 -

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

Fair review of the business

Arville Textiles is a specialist manufacturer of high-performance technical textiles, supplying into a wide range of demanding sectors including aerospace, automotive, defence, food manufacturing, and general industry. With integrated in-house capabilities spanning design, weaving, finishing, coating, fabrication, and testing, we provide bespoke textile solutions tailored to meet exacting customer specifications.

Our business model continues to focus on developing long-term, strategic partnerships with key customers. We aim to deliver consistent, profitable growth by leveraging our reputation for technical innovation, outstanding service, and an uncompromising approach to quality. In recent years, we have concentrated efforts on larger customer relationships and higher-value contracts, supported by a more streamlined and focused product range.

The trading environment in 2024/25 remained challenging, characterised by continued macroeconomic uncertainty, subdued industrial activity, and sector-specific pressures in areas such as automotive and aerospace. One of our largest customers experienced a significant downturn in their own markets, resulting in a reduction in volumes of approximately 25%. While other parts of our business remained stable, the rate of growth in new and existing accounts was insufficient to fully offset this decline. Overall turnover fell by 6.4% to £10.3m (2024: £11.0m).

In response, and with a focus on long-term resilience, we launched a comprehensive transformation programme in May 2024. This includes a full restructuring of our commercial division, the recruitment of highly experienced senior leaders from large-scale industrial businesses, and significant investment into modernising our systems and operational platforms. These senior appointments are already enhancing the strength and depth of our leadership team, bringing new capability, commercial insight, and strategic focus to the business.

We have also committed further capital to upgrading key areas of our plant and equipment to ensure we remain competitive in terms of capacity, quality, and efficiency. This investment ensures that we are well positioned to meet evolving customer demands and further enhance our market-leading technical standards.

Encouragingly, we are already seeing the benefits of this strategy. A number of major new key accounts have engaged with Arville during the year, reinforcing our belief that the changes underway are aligned with the needs of the market. We are continuing to build on Arville’s strong foundations of technical excellence and unrivalled customer service - qualities that have attracted a new cadre of customers and reaffirmed our position as a trusted and capable partner.

While the combination of transitional investment and the temporary dip in revenue led to a pre-tax loss of £1.1m (2024: £0.2m profit), we are confident that the actions taken will restore profitability and support long-term sustainable growth.

ARVILLE TEXTILES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 2 -
Principal risks and uncertainties

The Board monitors the key risks and uncertainties facing the business on an ongoing basis, taking appropriate steps to mitigate them where possible. Customer concentration remains a key risk, as a significant proportion of turnover is derived from a small number of major accounts. Our new business strategy is specifically designed to broaden our customer base and reduce reliance on any one sector or customer. Ongoing economic uncertainty, supply chain disruption, and global geopolitical instability continue to impact demand patterns and material availability. We maintain strong communication with our customers and suppliers to anticipate and mitigate potential challenges, and have diversified our supplier base to reduce exposure to risk. Attracting and retaining skilled labour remains a challenge in a tight employment market. We regularly review our employment package and invest in creating a supportive and engaging workplace to retain talent and build capability for the future. Foreign exchange volatility presents a further operational risk, particularly with over 50% of revenue generated from overseas customers. We manage this risk by aligning inflows and outflows in key currencies to minimise net exposure. We do not currently employ hedging instruments. Raw material availability, particularly in specialist yarns, remains a supply chain risk. Multiple sourcing strategies and close supplier partnerships help to minimise potential disruption.
Key performance indicators
The Company monitors a range of KPIs including turnover, gross margin, operating margin, contribution per machine hour, and capital efficiency. Turnover declined by 6.4% to £10.3m, with gross margin reducing from 26.0% in 2024 to 23.8% in 2025 due to product mix and the fact that there is an element of fixed cost within our direct overheads. These pressures, along with the investment into reinforcing our commercial team, resulted in a pre-tax loss of £1.1m. Capital management remains a focus, with finished stock levels reducing from £1.9m in 2024 to £1.7m in 2025 and trade debtors reducing from £2.1m to £1.7m. Raw material stocks increased at the year end (£0.8m in 2024 to £1.0m in 2025) – primarily as we ensured we had sufficient raw material on hand to meet major contract requirements. Our objective is to manage working capital effectively while ensuring supply continuity for key contracts. The appointment of a new Supply Chain Manager during the year has already delivered improvements in supplier relationships and inventory control.
People and the environment
We remain committed to maintaining a safe, inclusive, and rewarding environment for our employees. Internal promotion, training, and development are central to our approach, and we aim to build careers within Arville wherever possible. Health & Safety remains our highest operational priority. We work collaboratively with all employees to ensure a culture of safety and continuous improvement across our sites. Arville is certified to ISO 14001 and continues to invest in improving its environmental performance. We recognise our responsibility to reduce our environmental footprint and actively seek ways to operate more sustainably.
Future developments
Our transformation programme will continue into 2025/26, focused on delivering further commercial capability, improved productivity, and new business generation. The early wins already achieved through recent investments are highly encouraging and provide a strong platform for future growth. The combination of technical excellence, experienced new leadership, modernised systems, and targeted capital investment is positioning Arville for a return to strong, sustainable profitability. The commitment of our team and the trust of our customers remain the foundation for future success.

ARVILLE TEXTILES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 3 -
Conclusion

The loss recorded during the year reflects the impact of external market pressures and our conscious decision to invest in the future strength of the business. We are already seeing the early results of this investment in the form of new customer wins, improved capabilities, and increased commercial momentum.

The Board would like to thank all Arville employees for their continued dedication, resilience, and contribution during this important phase of the Company’s development.

On behalf of the board

Mr J W F Wight
Director
19 August 2025
ARVILLE TEXTILES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 APRIL 2025
- 4 -

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

Principal activities

The principal activity of the company continues to be the manufacture, finishing, coating and fabrication of technical textile fabrics and products.

Results and dividends

The results for the year are set out on page 9.

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

Directors

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

Mr J W F Wight
Mr A D Stewart
Auditor

The auditor, Azets Audit Services Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Statement of disclosure to auditor

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.

On behalf of the board
Mr J W F Wight
Director
19 August 2025
ARVILLE TEXTILES LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 30 APRIL 2025
- 5 -

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;

- state whether applicable UK 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.

ARVILLE TEXTILES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ARVILLE TEXTILES LIMITED
- 6 -
Opinion

We have audited the financial statements of Arville Textiles Limited (the 'company') for the year ended 30 April 2025 which comprise 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 30 April 2025 and of its loss for the year then ended;

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

- have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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' r eport 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.

ARVILLE TEXTILES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ARVILLE TEXTILES LIMITED
- 7 -
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 identifie d material misstatements in the strategic report or the directors' r eport. 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.

Responsibilities of directors

As explained more fully in the directors' r esponsibilities s tatement, 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.

Auditor's responsibilities for the audit of the financial statements

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

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.

ARVILLE TEXTILES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ARVILLE TEXTILES LIMITED
- 8 -

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

- Enquiry of management and those charged with governance around actual and potential litigation and claims as well as actual, suspected and alleged fraud;

- Reviewing minutes of meetings of those charged with governance;

- Assessing the extent of compliance with the laws and regulations considered to have a direct material effect on the financial statements or the operations of the company through enquiry and inspection;

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

- Performing audit work over the risk of management bias and override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for indicators of potential bias.

- Performing audit work over the timing and recognition of revenue and in particular whether it has been recorded in the correct accounting period.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

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.

Edward Cliff
Senior Statutory Auditor
For and on behalf of Azets Audit Services Limited
20 August 2025
Chartered Accountants
Statutory Auditor
Triune Court
Monks Cross Drive
York
YO32 9GZ
ARVILLE TEXTILES LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 APRIL 2025
- 9 -
2025
2024
Notes
£
£
Turnover
3
10,266,408
10,966,863
Cost of sales
(7,823,714)
(8,113,314)
Gross profit
2,442,694
2,853,549
Administrative expenses
(3,531,545)
(2,680,138)
Other operating income
5,149
24,694
Operating (loss)/profit
4
(1,083,702)
198,105
Interest receivable and similar income
6
49,767
77,663
Interest payable and similar expenses
7
(46,002)
(115,356)
(Loss)/profit before taxation
(1,079,937)
160,412
Tax on (loss)/profit
8
39,579
15,500
(Loss)/profit for the financial year
(1,040,358)
175,912
Other comprehensive income
Actuarial gain on defined benefit pension schemes
56,000
296,000
Tax relating to other comprehensive income
(7,000)
(67,000)
Total comprehensive income for the year
(991,358)
404,912

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

ARVILLE TEXTILES LIMITED
BALANCE SHEET
AS AT
30 APRIL 2025
30 April 2025
- 10 -
2025
2024
Notes
£
£
£
£
Fixed assets
Intangible assets
10
58,662
99,563
Tangible assets
11
1,686,158
1,754,307
1,744,820
1,853,870
Current assets
Stocks
12
2,822,446
2,787,560
Debtors
13
2,239,972
2,627,259
Cash at bank and in hand
375,248
477,565
5,437,666
5,892,384
Creditors: amounts falling due within one year
16
(2,505,383)
(2,042,620)
Net current assets
2,932,283
3,849,764
Total assets less current liabilities
4,677,103
5,703,634
Creditors: amounts falling due after more than one year
17
-
0
(13,173)
Provisions for liabilities
Deferred tax liability
18
210,000
210,000
(210,000)
(210,000)
Net assets excluding pension surplus
4,467,103
5,480,461
Defined benefit pension surplus
19
647,000
625,000
Net assets
5,114,103
6,105,461
Capital and reserves
Called up share capital
20
50,000
50,000
Other reserves
1,168,907
1,168,907
Profit and loss reserves
3,895,196
4,886,554
Total equity
5,114,103
6,105,461
The financial statements were approved by the board of directors and authorised for issue on 19 August 2025 and are signed on its behalf by:
Mr J W F Wight
Mr A D Stewart
Director
Director
Company Registration No. 00493783
ARVILLE TEXTILES LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 APRIL 2025
- 11 -
Share capital
Capital contribution reserve
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 May 2023
50,000
-
5,536,380
5,586,380
Year ended 30 April 2024:
Profit for the year
-
-
175,912
175,912
Other comprehensive income:
Actuarial gains on defined benefit plans
-
-
296,000
296,000
Tax relating to other comprehensive income
-
-
(67,000)
(67,000)
Total comprehensive income for the year
-
-
404,912
404,912
Dividends
9
-
-
(1,054,738)
(1,054,738)
Capital contribution reserve increase
-
1,168,907
-
0
1,168,907
Balance at 30 April 2024
50,000
1,168,907
4,886,554
6,105,461
Year ended 30 April 2025:
Loss for the year
-
-
(1,040,358)
(1,040,358)
Other comprehensive income:
Actuarial gains on defined benefit plans
-
-
56,000
56,000
Tax relating to other comprehensive income
-
-
(7,000)
(7,000)
Total comprehensive income for the year
-
-
(991,358)
(991,358)
Balance at 30 April 2025
50,000
1,168,907
3,895,196
5,114,103
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2025
- 12 -
1
Accounting policies
Company information

Arville Textiles Limited is a private company limited by shares incorporated in England and Wales. The registered office is Arville House, Sandbeck Way, Wetherby, LS22 7DQ.

1.1
Accounting convention

These financial statements have been prepared in accordance with The Financial Reporting Standard applicable in the UK and Republic of Ireland (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £1.

The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

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. T he company has therefore taken advantage of e xemptions from the following disclosure requirements:

- Section 7 ‘Statement of Cash Flows’ – Presentation of a statement of cash f low and related notes and disclosures;

- Section 33 ‘Related Party Disclosures’ – Compensation for key management personnel.

The immediate and ultimate parent company is Arville Holdings Limited. Arville Holdings Limited is the smallest and largest group into which these financial statements are consolidated, and these group accounts can be obtained from its registered office of Arville House, Sandbeck Way, Wetherby, LS22 7DQ.

1.2
Going concern

A true t the time of approving the financial statements, t he directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus t he directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover represents the invoice value of goods and services net of VAT and is recognised on dispatch of goods.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4
Research and development expenditure

Research expenditure is written off to the profit and loss account in the year in which it is incurred. Development expenditure is written off in the same way unless the directors are satisfied as to the technical, commercial and financial viability of individual projects. In this situation, the expenditure is deferred and amortised over the period during which the company is expected to benefit.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
1
Accounting policies
(Continued)
- 13 -
1.5
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

1.6
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Software
33% straight line
1.7
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings
5% straight line
Plant and machinery
15% / 33% straight line
Motor vehicles
25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.8
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible 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.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
1
Accounting policies
(Continued)
- 14 -

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 in at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.10
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11
Financial instruments

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

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.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
1
Accounting policies
(Continued)
- 15 -
Other financial assets

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.

Impairment of financial assets

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.

Derecognition of financial assets

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.

Classification of financial liabilities

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

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 paymen ts 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. A m ounts 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.

Other financial liabilities

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 s ubsequently 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.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
1
Accounting policies
(Continued)
- 16 -
Derecognition of financial liabilities

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

1.12
Equity instruments

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.

1.13
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.14
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
1
Accounting policies
(Continued)
- 17 -
1.15
Retirement benefits

The company operates defined contribution and defined benefit pension schemes. The assets of the schemes are held separately from those of the company. With effect from February 2006, pension rights under the defined benefit scheme were frozen so that no further increase in benefits will accrue.

The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.

The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as an expense in measuring profit or loss in the period in which they arise.

The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in profit or loss as other finance revenue or cost.

Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other comprehensive income in the period in which they occur and are not reclassified to profit and loss in subsequent periods.

The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.

1.16
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

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 lease s asset are consumed.

1.17
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 18 -
2
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 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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Depreciation and amortisation

The depreciation and amortisation policies have been set according to managements experience of the useful lives of a typical asset in each category, something which is reviewed annually. The depreciation and amortisation charged during the year was £490,268 (2024: £476,243) which the directors feel is a fair reflection of the benefits derived from the consumption of the intangible and tangible fixed assets in use during the period.

Stock provisions

The company converts raw materials to finished goods as part of its production operations. Stock values include any costs such as labour and overheads attributable to generating finished goods, as management believe this is the most suitable costing method to take into account the matching concept of accounting.

At each reporting date an assessment is made for provisions required to properly recognise wastage, damaged goods and over absorbed overheads. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss and provided for in the balance sheet. Reversals of impairment losses are also recognised in profit or loss where these arise.

3
Turnover and other revenue

An analysis of the company's turnover is as follows:

2025
2024
£
£
Turnover analysed by class of business
Sale of goods
10,266,408
10,966,863
2025
2024
£
£
Turnover analysed by geographical market
UK
5,637,475
5,192,912
Europe
3,737,644
4,452,767
Rest of the World
891,289
1,321,184
10,266,408
10,966,863
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
3
Turnover and other revenue
(Continued)
- 19 -
2025
2024
£
£
Other revenue
Interest income
49,767
77,663
4
Operating (loss)/profit
2025
2024
Operating (loss)/profit for the year is stated after charging/(crediting):
£
£
Exchange (gains)/losses
(10,308)
22,964
Research and development costs
18,279
27,143
Fees payable to the company's auditor for the audit of the company's financial statements
13,000
12,670
Depreciation of owned tangible fixed assets
349,609
304,752
Depreciation of tangible fixed assets held under finance leases
79,399
98,054
Amortisation of intangible assets
61,100
73,436
Operating lease charges
35,695
48,787
5
Employees

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

2025
2024
Number
Number
Directors
2
2
Production staff
38
38
Administration staff
20
18
Total
60
58

Their aggregate remuneration comprised:

2025
2024
£
£
Wages and salaries
2,779,898
2,521,869
Social security costs
286,201
260,187
Pension costs
161,145
155,875
3,227,244
2,937,931
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 20 -
6
Interest receivable and similar income
2025
2024
£
£
Interest income
Interest receivable from group companies
7,767
51,663
Other interest income
42,000
26,000
Total income
49,767
77,663
7
Interest payable and similar expenses
2025
2024
£
£
Interest on bank overdrafts and loans
35,357
36,524
Interest payable to group undertakings
6,350
69,604
Interest on finance leases and hire purchase contracts
4,295
9,228
46,002
115,356
8
Taxation
2025
2024
£
£
Current tax
Adjustments in respect of prior periods
-
0
(76,000)
Group tax relief
(39,579)
18,500
Total current tax
(39,579)
(57,500)
Deferred tax
Origination and reversal of timing differences
-
0
42,000
Total tax credit
(39,579)
(15,500)
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
8
Taxation
(Continued)
- 21 -

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

2025
2024
£
£
(Loss)/profit before taxation
(1,079,937)
160,412
Expected tax (credit)/charge based on the standard rate of corporation tax in the UK of 25.00% (2024: 25.00%)
(269,984)
40,103
Tax effect of expenses that are not deductible in determining taxable profit
292
560
Adjustments in respect of prior years
-
0
(76,000)
Depreciation on assets not qualifying for tax allowances
12,054
13,545
Pension scheme relief
-
0
7,000
Other tax adjustments
(220)
(708)
Movement in deferred tax not recognised
218,279
-
0
Taxation credit for the year
(39,579)
(15,500)

In addition to the amount credited to the profit and loss account, the following amounts relating to tax have been recognised directly in other comprehensive income:

2025
2024
£
£
Deferred tax arising on:
Actuarial differences recognised as other comprehensive income
7,000
67,000
9
Dividends
2025
2024
£
£
Interim paid
-
0
1,054,738
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 22 -
10
Intangible fixed assets
Goodwill
Software
Total
£
£
£
Cost
At 1 May 2024
134,119
503,396
637,515
Additions
-
0
18,274
18,274
Transfers
-
0
1,925
1,925
At 30 April 2025
134,119
523,595
657,714
Amortisation and impairment
At 1 May 2024
134,119
403,833
537,952
Amortisation charged for the year
-
0
61,100
61,100
At 30 April 2025
134,119
464,933
599,052
Carrying amount
At 30 April 2025
-
0
58,662
58,662
At 30 April 2024
-
0
99,563
99,563
11
Tangible fixed assets
Freehold land and buildings
Assets under construction
Plant and machinery
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 May 2024
2,789,347
51,173
6,529,533
118,534
9,488,587
Additions
5,853
104,923
219,017
32,990
362,783
Disposals
-
0
-
0
(97,763)
-
0
(97,763)
Transfers
12,002
(34,236)
20,310
-
0
(1,924)
At 30 April 2025
2,807,202
121,860
6,671,097
151,524
9,751,683
Depreciation and impairment
At 1 May 2024
2,091,792
-
0
5,611,009
31,479
7,734,280
Depreciation charged in the year
57,642
-
0
336,922
34,444
429,008
Eliminated in respect of disposals
-
0
-
0
(97,763)
-
0
(97,763)
At 30 April 2025
2,149,434
-
0
5,850,168
65,923
8,065,525
Carrying amount
At 30 April 2025
657,768
121,860
820,929
85,601
1,686,158
At 30 April 2024
697,555
51,173
918,524
87,055
1,754,307
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
11
Tangible fixed assets
(Continued)
- 23 -

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

2025
2024
£
£
Plant and machinery
46,316
207,720

Included within freehold land and buildings is land of £94,060 (2024: £94,060) which is not depreciated.

12
Stocks
2025
2024
£
£
Raw materials and consumables
1,028,066
784,638
Work in progress
129,124
102,375
Finished goods and goods for resale
1,665,256
1,900,547
2,822,446
2,787,560
13
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
1,741,150
2,135,137
Amounts owed by group undertakings
85,545
-
0
Other debtors
103,254
205,219
Prepayments and accrued income
310,023
286,903
2,239,972
2,627,259

Amounts owed by group undertakings are unsecured and repayable on demand.

14
Loans and overdrafts
2025
2024
£
£
Bank loans
441,406
532,317
Payable within one year
441,406
532,317

Bank loans are secured over the assets of the company.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 24 -
15
Finance lease obligations
2025
2024
Future minimum lease payments due under finance leases:
£
£
Within one year
13,327
43,111
In two to five years
-
0
13,543
13,327
56,654
Less: future finance charges
(370)
(3,647)
12,957
53,007

Finance lease payments represent rentals payable by the company for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 2 years from inception. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

Finance lease obligations are secured on the asset to which they relate.

16
Creditors: amounts falling due within one year
2025
2024
Notes
£
£
Bank loans
14
441,406
532,317
Obligations under finance leases
15
12,957
39,834
Trade creditors
1,322,464
878,430
Amounts owed to group undertakings
76,623
51,474
Taxation and social security
135,904
137,447
Accruals and deferred income
516,029
403,118
2,505,383
2,042,620

Bank loans and overdrafts are secured as detailed in note 14.

Obligations under finance leases are secured as detailed in note 15.

Amounts owed to group undertakings are unsecured and repayable on demand.

17
Creditors: amounts falling due after more than one year
2025
2024
Notes
£
£
Obligations under finance leases
15
-
0
13,173

Obligations under finance leases are secured as detailed in note 15.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 25 -
18
Deferred taxation

Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2025
2024
Balances:
£
£
Accelerated capital allowances
216,000
216,000
Other provisions
(6,000)
(6,000)
210,000
210,000
There were no deferred tax movements in the year.
19
Retirement benefit schemes
Defined contribution schemes

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 charge to profit or loss in respect of defined contribution schemes was £152,325 (2024: £150,549).

Defined benefit schemes

The company operates a defined benefit pension scheme; The Arville Textiles Limited Pension and Assurance Plan. The scheme was discontinued on 26 February 2006 and has been closed to future accruals of benefits since this date. A full actuarial valuation of the scheme was carried out as at 5 April 2022.

The following disclosures, required by FRS102, have been based on the most recent actuarial valuation as at 30 April 2025 carried out by First Actuarial using the following assumptions.

The scheme valuation as 30 April 2025 shows a surplus based on the assumptions set out below. The directors have determined that it is appropriate to recognise the surplus as, having reviewed the rules, they are of the opinion that the employer has an unconditional right to these surpluses.

2025
2024
Key assumptions
%
%
Discount rate
5.8
5.3
Expected rate of increase of pensions in payment
2.7
3.2
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
19
Retirement benefit schemes
(Continued)
- 26 -
Mortality assumptions
2025
2024

Assumed life expectations on retirement at age 65:

Years
Years
Retiring today
- Males
87
87
- Females
89
89
Retiring in 20 years
- Males
88
87
- Females
90
90
2025
2024

Amounts recognised in the profit and loss account

£
£
Net interest on net defined benefit liability/(asset)
(42,000)
(26,000)
Other costs and income
69,000
54,000
Total costs
27,000
28,000
2025
2024

Amounts taken to other comprehensive income

£
£
Actual return on scheme assets
(31,000)
21,000
Less: calculated interest element
178,000
170,000
Return on scheme assets excluding interest income
147,000
191,000
Actuarial changes related to obligations
(203,000)
(487,000)
Total income
(56,000)
(296,000)

The amounts included in the balance sheet arising from the company's obligations in respect of defined benefit plans are as follows:

2025
2024
£
£
Present value of defined benefit obligations
(2,401,000)
(2,619,000)
Fair value of plan assets
3,263,000
3,452,000
Surplus in scheme
862,000
833,000
Deferred taxation relating to pension schemes
(215,000)
(208,000)
Total asset recognised
647,000
625,000
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
19
Retirement benefit schemes
(Continued)
- 27 -
2025

Movements in the present value of defined benefit obligations

£
Liabilities at 1 May 2024
2,619,000
Benefits paid
(151,000)
Actuarial gains and losses
(203,000)
Interest cost
136,000
At 30 April 2025
2,401,000

The defined benefit obligations arise from plans which are wholly or partly funded.

2025

Movements in the fair value of plan assets

£
Fair value of assets at 1 May 2024
3,452,000
Interest income
178,000
Return on plan assets (excluding amounts included in net interest)
(147,000)
Benefits paid
(151,000)
Other
(69,000)
At 30 April 2025
3,263,000

The actual return on plan assets was £31,000 (20 24: surplus £21,000).

2025
2024

Fair value of plan assets at the reporting period end

£
£
Secure Income Assets Fund
887,000
833,000
Diversified Credit Funds
468,000
610,000
Liability Driven Investment (LDI)
677,000
762,000
Annuities
158,000
168,000
Cash
22,000
64,000
Gilts
1,051,000
1,015,000
3,263,000
3,452,000
ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
19
Retirement benefit schemes
(Continued)
- 28 -

In July 2024 the Court of Appeal upheld a June 2023 High Court ruling that may have consequences for defined benefit pension schemes. The case, brought by the trustees of the NTL Pension Scheme against Virgin Media Ltd, considered the implications of section 37 (s37) of the Pension Schemes Act 1993, which required an actuary to certify amendments to scheme benefits for contracted-out schemes. Under section 9(2B) of the Act, schemes that were contracted out of the additional state pension were required to provide benefits at least equivalent to a minimum level laid out in a hypothetical “reference scheme”. This was known as the reference scheme test. When amendments were subsequently made, s37 of the Act required scheme actuaries to certify that the scheme still met this standard.

According to the court’s decision, any amendments to scheme benefits that affect members’ section 9(2B) rights during the relevant period will be void unless confirmation from the scheme actuary was obtained, in writing, when the amendment was made. The ruling may affect schemes that were contracted out of the additional state pension at any point between April 1997 and April 2016, when contracting out was abolished.

The Scheme was contracted out between April 1997 and April 2016, and therefore the ruling may affect the Scheme. However, the position remains uncertain. For example, the DWP may consider retrospective action to remove the impact of the ruling, and another Court case is due in 2025 which may have implications on the impact of the Virgin Media ruling. Given this uncertainty, it is not yet possible to quantify the potential impact of this ruling on the Scheme or on the Defined Benefit Obligation.

20
Share capital
2025
2024
2025
2024
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of 25p each
200,000
200,000
50,000
50,000
21
Capital contribution reserve
2025
2024
£
£
At the beginning of the year
1,168,907
-
Additions
-
1,168,907
At the end of the year
1,168,907
1,168,907
22
Financial commitments, guarantees and contingent liabilities

The company is party to a cross company guarantee in respect of the bank facilities with Arville Holdings Limited, Arville Belting Limited and Arville Fabrication Limited. At the year end net bank indebtedness across these companies totalled £Nil (2024: £Nil).

As at the date of approval of the financial statements, no default has occurred which would trigger the above liabilities, nor is one anticipated. As such, the directors consider that the fair value of these obligations is £nil and there is no recognition of a liability on the balance sheet.

ARVILLE TEXTILES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2025
- 29 -
23
Operating lease commitments
Lessee

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:

2025
2024
£
£
Within one year
21,640
39,046
Between two and five years
28,928
29,164
50,568
68,210
24
Related party transactions
Transactions with related parties

The company has taken advantage of the exemption granted by paragraph 33.1A of FRS 102 not to disclose related party transactions with Arville Holdings Limited group companies.

25
Ultimate controlling party

The immediate and ultimate parent company is Arville Holdings Limited. Arville Holdings Limited is the smallest and largest group into which these financial statements are consolidated, and these group accounts can be obtained from its registered office of Arville House, Sandbeck Way, Wetherby, LS22 7DQ.

26
Directors' remuneration
2025
2024
£
£
Remuneration for qualifying services
261,785
259,297
Remuneration disclosed above include the following amounts paid to the highest paid director:
2025
2024
£
£
Remuneration for qualifying services
261,785
259,297
2025-04-30 2024-05-01 false false false CCH Software CCH Accounts Production 2025.300 Mr J W F Wight Mr A D Stewart 00493783 2024-05-01 2025-04-30 00493783 bus:Director1 2024-05-01 2025-04-30 00493783 bus:Director2 2024-05-01 2025-04-30 00493783 bus:RegisteredOffice 2024-05-01 2025-04-30 00493783 2025-04-30 00493783 2023-05-01 2024-04-30 00493783 core:RetainedEarningsAccumulatedLosses 2023-05-01 2024-04-30 00493783 core:RetainedEarningsAccumulatedLosses 2024-05-01 2025-04-30 00493783 core:RevenueReservesInvestmentFundsOnly 2023-05-01 2024-04-30 00493783 core:OtherResidualIntangibleAssets 2025-04-30 00493783 core:OtherResidualIntangibleAssets 2024-04-30 00493783 core:Goodwill 2025-04-30 00493783 core:ComputerSoftware 2025-04-30 00493783 core:Goodwill 2024-04-30 00493783 core:ComputerSoftware 2024-04-30 00493783 2024-04-30 00493783 core:LandBuildings core:OwnedOrFreeholdAssets 2025-04-30 00493783 core:ConstructionInProgressAssetsUnderConstruction 2025-04-30 00493783 core:PlantMachinery 2025-04-30 00493783 core:MotorVehicles 2025-04-30 00493783 core:LandBuildings core:OwnedOrFreeholdAssets 2024-04-30 00493783 core:ConstructionInProgressAssetsUnderConstruction 2024-04-30 00493783 core:PlantMachinery 2024-04-30 00493783 core:MotorVehicles 2024-04-30 00493783 core:CurrentFinancialInstruments core:WithinOneYear 2025-04-30 00493783 core:CurrentFinancialInstruments core:WithinOneYear 2024-04-30 00493783 core:Non-currentFinancialInstruments core:AfterOneYear 2025-04-30 00493783 core:Non-currentFinancialInstruments core:AfterOneYear 2024-04-30 00493783 core:CurrentFinancialInstruments 2025-04-30 00493783 core:CurrentFinancialInstruments 2024-04-30 00493783 core:ShareCapital 2025-04-30 00493783 core:ShareCapital 2024-04-30 00493783 core:OtherMiscellaneousReserve 2025-04-30 00493783 core:OtherMiscellaneousReserve 2024-04-30 00493783 core:RetainedEarningsAccumulatedLosses 2025-04-30 00493783 core:RetainedEarningsAccumulatedLosses 2024-04-30 00493783 core:ShareCapital 2023-04-30 00493783 core:RetainedEarningsAccumulatedLosses 2023-04-30 00493783 core:ShareCapitalOrdinaryShareClass1 2025-04-30 00493783 core:ShareCapitalOrdinaryShareClass1 2024-04-30 00493783 core:Goodwill 2024-05-01 2025-04-30 00493783 core:IntangibleAssetsOtherThanGoodwill 2024-05-01 2025-04-30 00493783 core:ComputerSoftware 2024-05-01 2025-04-30 00493783 core:LandBuildings core:OwnedOrFreeholdAssets 2024-05-01 2025-04-30 00493783 core:PlantMachinery 2024-05-01 2025-04-30 00493783 core:MotorVehicles 2024-05-01 2025-04-30 00493783 dpl:Item1 2024-05-01 2025-04-30 00493783 dpl:Item1 2023-05-01 2024-04-30 00493783 core:UKTax 2024-05-01 2025-04-30 00493783 core:UKTax 2023-05-01 2024-04-30 00493783 1 2024-05-01 2025-04-30 00493783 1 2023-05-01 2024-04-30 00493783 2 2024-05-01 2025-04-30 00493783 2 2023-05-01 2024-04-30 00493783 3 2024-05-01 2025-04-30 00493783 3 2023-05-01 2024-04-30 00493783 4 2024-05-01 2025-04-30 00493783 4 2023-05-01 2024-04-30 00493783 core:Goodwill 2024-04-30 00493783 core:ComputerSoftware 2024-04-30 00493783 2024-04-30 00493783 core:Goodwill core:ExternallyAcquiredIntangibleAssets 2024-05-01 2025-04-30 00493783 core:ComputerSoftware core:ExternallyAcquiredIntangibleAssets 2024-05-01 2025-04-30 00493783 core:ExternallyAcquiredIntangibleAssets 2024-05-01 2025-04-30 00493783 core:LandBuildings core:OwnedOrFreeholdAssets 2024-04-30 00493783 core:ConstructionInProgressAssetsUnderConstruction 2024-04-30 00493783 core:PlantMachinery 2024-04-30 00493783 core:MotorVehicles 2024-04-30 00493783 core:ConstructionInProgressAssetsUnderConstruction 2024-05-01 2025-04-30 00493783 core:WithinOneYear 2025-04-30 00493783 core:WithinOneYear 2024-04-30 00493783 core:BetweenTwoFiveYears 2025-04-30 00493783 core:BetweenTwoFiveYears 2024-04-30 00493783 core:Non-currentFinancialInstruments 2025-04-30 00493783 core:Non-currentFinancialInstruments 2024-04-30 00493783 bus:OrdinaryShareClass1 2024-05-01 2025-04-30 00493783 bus:OrdinaryShareClass1 2025-04-30 00493783 bus:OrdinaryShareClass1 2024-04-30 00493783 bus:PrivateLimitedCompanyLtd 2024-05-01 2025-04-30 00493783 bus:FRS102 2024-05-01 2025-04-30 00493783 bus:Audited 2024-05-01 2025-04-30 00493783 bus:FullAccounts 2024-05-01 2025-04-30 xbrli:pure xbrli:shares iso4217:GBP