REGISTERED NUMBER: SC069753 (Scotland)

Group Strategic Report, Report of the Directors and

Audited Consolidated Financial Statements for the Year Ended 30 September 2025

for

Fife Creamery Limited

Page

Group Strategic Report

1

Report of the Directors

2

Report of the Independent Auditors

3

Consolidated Statement of Comprehensive Income

6

Consolidated Balance Sheet

7

Company Balance Sheet

8

Consolidated Statement of Changes in Equity

9

Company Statement of Changes in Equity

10

Consolidated Cash Flow Statement

11

Notes to the Consolidated Cash Flow Statement

12

Notes to the Consolidated Financial Statements

14

The directors present their strategic report of the company and the group for the year ended 30 September 2025.

REVIEW OF BUSINESS

The directors would like to report a successful year for the group. Turnover has increased by 2.1% to £46,498,429 (2024: £45,536,198), generating gross profits of £6,726,938 (2024: £5,765,454). Profits before tax in the year have increased to £2,004,913 (2024: £1,273,920).

At the year-end the group had shareholders' funds of £2,675,448 (2024: £2,486,735) including distributable profits of £2,665,363 (2024: £2,476,650). The group has a significantly improved net current liability position of £627,098 (2024: £1,308,074) and has cash in the bank of £168,380 (2024: £172,308). It should be noted that the net current liability position and lower levels of cash held at the current and prior year-end was a planned position by the Board due to the buyout of a shareholder for £1,500,000 in 2024.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors have assessed the main risk facing the company as the continuing economic uncertainty within the United Kingdom.

The directors believe that there are sufficient systems and controls in place which allow for the business to react appropriately to any changes in the economic environment, whether positive or negative, and the directors hope to see satisfactory trading results in the coming year.

ON BEHALF OF THE BOARD:

Mr G D Simpson - Director

14 January 2026

The directors present their report with the financial statements of the company and the group for the year ended 30 September 2025.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of wholesale distributors of food and food products.

DIVIDENDS

The total distribution of dividends for the year ended 30 September 2025 will be £ 1,270,000 .

DIRECTORS

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

Mr G D Simpson

Mr D B Simpson

Mr S Appolinari

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

Drummond Laurie CA are deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:

Mr G D Simpson - Director

14 January 2026

Opinion

We have audited the financial statements of Fife Creamery Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 30 September 2025 and of the group's 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 group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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 two, 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 group's and the parent 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 group or the parent 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities outlined above to detect material misstatements in respect of irregularities, including fraud.

Based on our understanding of the group, we identified that the principal risks of non-compliance with laws and regulations related to fraudulent manipulation of the financial statements, including the risk of override of controls, to reduce profits and tax liabilities. We determined that the most likely method of manipulation would be the posting of inappropriate journal entries. Audit procedures performed by the audit engagement team consisted of a review of large and unusual journal entries, challenging assumptions and judgements made by management in significant accounting estimates, discussions with management related to known or suspected instances of non-compliance with laws and regulations, review of Board minutes where available, and an evaluation of management controls designed to prevent and detect irregularities.

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 misrepresentations 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.

Greig Brown (Senior Statutory Auditor)

for and on behalf of Drummond Laurie CA

Statutory Auditor

Unit 5

Gateway Business Park

Beancross Road

Grangemouth

FK3 8WX

15 January 2026

TURNOVER

46,498,429

45,536,198

Cost of sales

(39,771,491

)

(39,770,744

)

GROSS PROFIT

6,726,938

5,765,454

Administrative expenses

(4,494,254

)

(4,280,010

)

2,232,684

1,485,444

Other operating income

1,623

24,270

OPERATING PROFIT

4

2,234,307

1,509,714

Interest receivable and similar income

2,577

7,868

2,236,884

1,517,582

Interest payable and similar expenses

5

(231,971

)

(243,662

)

PROFIT BEFORE TAXATION

2,004,913

1,273,920

Tax on profit

6

(546,200

)

(338,952

)

PROFIT FOR THE FINANCIAL YEAR

1,458,713

934,968

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,458,713

934,968

Profit attributable to:

Owners of the parent

1,458,713

934,968

Total comprehensive income attributable to:

Owners of the parent

1,458,713

934,968

FIXED ASSETS

Intangible assets

9

169,776

-

Tangible assets

10

5,887,069

6,147,644

Investments

11

-

-

Investment property

12

-

282,500

6,056,845

6,430,144

CURRENT ASSETS

Stocks

13

1,859,914

1,929,369

Debtors

14

3,295,006

3,378,754

Cash at bank

168,380

172,308

5,323,300

5,480,431

CREDITORS

Amounts falling due within one year

15

(5,950,398

)

(6,788,505

)

NET CURRENT LIABILITIES

(627,098

)

(1,308,074

)

TOTAL ASSETS LESS CURRENT LIABILITIES

5,429,747

5,122,070

CREDITORS

Amounts falling due after more than one year

16

(1,813,361

)

(1,626,534

)

PROVISIONS FOR LIABILITIES

20

(940,938

)

(1,008,801

)

NET ASSETS

2,675,448

2,486,735

CAPITAL AND RESERVES

Called up share capital

21

5,627

5,627

Capital redemption reserve

22

4,458

4,458

Retained earnings

22

2,665,363

2,476,650

SHAREHOLDERS' FUNDS

2,675,448

2,486,735

The financial statements were approved by the Board of Directors and authorised for issue on 14 January 2026 and were signed on its behalf by:

Mr G D Simpson - Director

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

5,864,555

6,147,644

Investments

11

166,235

-

Investment property

12

-

282,500

6,030,790

6,430,144

CURRENT ASSETS

Stocks

13

1,817,793

1,929,369

Debtors

14

3,433,064

3,378,754

Cash at bank

143,276

172,308

5,394,133

5,480,431

CREDITORS

Amounts falling due within one year

15

(5,908,125

)

(6,788,505

)

NET CURRENT LIABILITIES

(513,992

)

(1,308,074

)

TOTAL ASSETS LESS CURRENT LIABILITIES

5,516,798

5,122,070

CREDITORS

Amounts falling due after more than one year

16

(1,813,361

)

(1,626,534

)

PROVISIONS FOR LIABILITIES

20

(964,069

)

(1,008,801

)

NET ASSETS

2,739,368

2,486,735

CAPITAL AND RESERVES

Called up share capital

21

5,627

5,627

Capital redemption reserve

22

4,458

4,458

Retained earnings

22

2,729,283

2,476,650

SHAREHOLDERS' FUNDS

2,739,368

2,486,735

Company's profit for the financial year

1,522,633

934,968

The financial statements were approved by the Board of Directors and authorised for issue on 14 January 2026 and were signed on its behalf by:

Mr G D Simpson - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 October 2023

7,503

4,031,682

2,582

4,041,767

Changes in equity

Company share buy back

(1,876

)

(1,500,000

)

1,876

(1,500,000

)

Dividends

-

(990,000

)

-

(990,000

)

Total comprehensive income

-

934,968

-

934,968

Balance at 30 September 2024

5,627

2,476,650

4,458

2,486,735

Changes in equity

Dividends

-

(1,270,000

)

-

(1,270,000

)

Total comprehensive income

-

1,458,713

-

1,458,713

Balance at 30 September 2025

5,627

2,665,363

4,458

2,675,448

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 October 2023

7,503

4,031,682

2,582

4,041,767

Changes in equity

Company share buy back

(1,876

)

(1,500,000

)

1,876

(1,500,000

)

Dividends

-

(990,000

)

-

(990,000

)

Total comprehensive income

-

934,968

-

934,968

Balance at 30 September 2024

5,627

2,476,650

4,458

2,486,735

Changes in equity

Dividends

-

(1,270,000

)

-

(1,270,000

)

Total comprehensive income

-

1,522,633

-

1,522,633

Balance at 30 September 2025

5,627

2,729,283

4,458

2,739,368

Cash flows from operating activities

Cash generated from operations

1

3,005,454

2,475,558

Interest paid

(100,716

)

(106,142

)

Interest element of hire purchase payments paid

(131,255

)

(137,520

)

Tax paid

(214,514

)

(110,898

)

Net cash from operating activities

2,558,969

2,120,998

Cash flows from investing activities

Purchase of intangible fixed assets

(166,235

)

-

Purchase of tangible fixed assets

(193,397

)

(430,472

)

Sale of tangible fixed assets

39,764

103,544

Sale of investment property

220,000

-

Cash introduced on acquisition

7,080

-

Interest received

2,577

7,868

Net cash from investing activities

(90,211

)

(319,060

)

Cash flows from financing activities

New loans in year

647,500

779,323

Loan repayments in year

(1,094,377

)

(196,652

)

Capital repayments in year

(755,809

)

(980,388

)

Share buyback

-

(1,500,000

)

Equity dividends paid

(1,270,000

)

(990,000

)

Net cash from financing activities

(2,472,686

)

(2,887,717

)

Decrease in cash and cash equivalents

(3,928

)

(1,085,779

)

Cash and cash equivalents at beginning of year

2

172,308

1,258,087

Cash and cash equivalents at end of year

2

168,380

172,308

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

30.9.25

30.9.24

£

£

Profit before taxation

2,004,913

1,273,920

Depreciation charges

828,241

842,479

Loss/(profit) on disposal of fixed assets

73,960

(5,207

)

Finance costs

231,971

243,662

Finance income

(2,577

)

(7,868

)

3,136,508

2,346,986

Decrease/(increase) in stocks

106,638

(24,879

)

Decrease/(increase) in trade and other debtors

154,567

(209,784

)

(Decrease)/increase in trade and other creditors

(392,259

)

363,235

Cash generated from operations

3,005,454

2,475,558

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 30 September 2025

30.9.25

1.10.24

£

£

Cash and cash equivalents

168,380

172,308

Year ended 30 September 2024

30.9.24

1.10.23

£

£

Cash and cash equivalents

172,308

1,258,087

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1.10.24

Cash flow

changes

At 30.9.25

£

£

£

£

Net cash

Cash at bank

172,308

(3,928

)

168,380

172,308

(3,928

)

168,380

Debt

Finance leases

(2,305,116

)

755,809

(359,555

)

(1,908,862

)

Debts falling due

within 1 year

(1,465,761

)

979,177

-

(486,584

)

Debts falling due

after 1 year

(49,375

)

(565,548

)

-

(614,923

)

(3,820,252

)

1,169,438

(359,555

)

(3,010,369

)

Total

(3,647,944

)

1,165,510

(359,555

)

(2,841,989

)

1.	STATUTORY INFORMATION

Fife Creamery Limited is a private company, limited by shares, domiciled in Scotland, registration number SC069753. The registered office is Randolph Place, Randolph Industrial Estate, Kirkcaldy, KY1 2YX.

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.

Basis of consolidation

The consolidated accounts are prepared in accordance with the group’s accounting principles and include the accounts of the parent company and all subsidiaries. Subsidiaries are consolidated from the date the group exercises control or influence over the company. Divested companies are included in the consolidated accounts until the date the group ceases to control or exercise influence over them. In preparing the consolidated financial statements any intra-group transactions have been eliminated. Foreign subsidiaries are translated using the current rate for the assets and liabilities and the average rate for turnover and expenses.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Turnover

Turnover represents net invoiced sales of goods in respect of distribution of food and products, excluding value added tax. Sales are recognised at the point at which the company has delivered the goods to the customer.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2025, is being amortised evenly over its estimated useful life of five years.

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.

Tangible fixed assets and depreciation

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% on cost

Plant and machinery

-

50% on cost, 20% on reducing balance, 20% on cost and 2% on cost

Fixtures and fittings

-

20% on cost and 10% on cost

Motor vehicles

-

25% on reducing balance and 20% on reducing balance

Tangible fixed assets are stated at cost less depreciation. Cost represent purchase price together with any incidental costs of acquisition.

The directors have considered the residual value of all tangible fixed assets to be immaterial and therefore all tangible fixed assets are depreciated to nil value.

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. Cost is represented by purchase price.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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

Provisions

Provisions are recognised when the company has a legal or constructive obligation as a result of a past event, it is probable that an outflow of resources will be required to settle the obligation, and the amount has been reliably estimated. Provisions are not recognised for future operating losses. Provisions are discounted where the time value of money is material.

Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to any one item included in the same class of obligations may be small.

Cash and cash equivalents

Cash and cash equivalents include cash at bank and in hand and highly liquid interest-bearing securities with maturities of three months or less. In the cash-flow statement, cash and cash equivalents are shown net of bank overdrafts, which are included as current borrowings in liabilities on the balance sheet.

Going concern

The directors of the group have reviewed the group's financial position for 12 months from the balance sheet signing date and it is the directors belief that the group should prepare financial statements on a going concern basis.

3.	EMPLOYEES AND DIRECTORS

30.9.25

30.9.24

£

£

Wages and salaries

5,375,286

5,412,461

Social security costs

604,491

507,359

Other pension costs

239,650

233,049

6,219,427

6,152,869

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

30.9.25

30.9.24

Warehouse staff

70

79

Distribution staff

53

52

Administrative staff

20

21

Sales staff

22

23

Cleaning staff

3

3

168

178

The average number of employees by undertakings that were proportionately consolidated during the year was 2 (2024 - NIL ) .

30.9.25

30.9.24

£

£

Directors' remuneration

218,826

213,668

Directors' pension contributions to money purchase schemes

84,000

84,000

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

Money purchase schemes

3

3

Information regarding the highest paid director is as follows:

30.9.25

30.9.24

£

£

Emoluments etc

183,047

180,568

Pension contributions to money purchase schemes

60,000

60,000