REGISTERED NUMBER: 10630001 (England and Wales)

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

FOR

INTEGRATED MODULAR SOLUTIONS LIMITED

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

W Zhu

Y Chen

REGISTERED OFFICE:

5 Jardine House

Harrovian Business Village

Bessborough Road

Harrow

Middlesex

HA1 3EX

REGISTERED NUMBER:

10630001 (England and Wales)

AUDITORS:

BLS Burnells LLP

Harrington House

Milton Road

Ickenham

Uxbridge

Middlesex

UB10 8NQ

CURRENT ASSETS

Stocks

4

91,929

34,970

Debtors

5

1,091,591

186,063

Cash at bank

921,418

124,381

2,104,938

345,414

CREDITORS

Amounts falling due within one year

6

(2,333,046

)

(345,944

)

NET CURRENT LIABILITIES

(228,108

)

(530

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(228,108

)

(530

)

CAPITAL AND RESERVES

Called up share capital

7

4,356,531

4,356,531

Retained earnings

8

(4,584,639

)

(4,357,061

)

SHAREHOLDERS' FUNDS

(228,108

)

(530

)

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 17 April 2026 and were signed on its behalf by:

W Zhu - Director

1.	STATUTORY INFORMATION

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

2.	ACCOUNTING POLICIES

BASIS OF PREPARING THE FINANCIAL STATEMENTS

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

GOING CONCERN

The company made a loss of £227,578 (2024 - £2,781,705) for the year and at the balance sheet date the company's shareholder funds were in deficit by £228,108 (2024 - £530).

Creditors include £2,047,152 (2024 - £95,921) due to fellow group companies.

The directors have received confirmation of financial support from its immediate holding company, CIMC MBS Hong Kong Ltd, sufficient to enable the company to continue in operational existence for the foreseeable future being a period of at least 12 months from approval of these financial statements.

Based on the above, the directors believe it remains appropriate to prepare the financial statements on a going concern basis.

SIGNIFICANT JUDGEMENTS AND ESTIMATES

The preparation of the company's financial statements requires management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities, at the financial year end. However, the nature of estimation means that actual outcomes could differ from those estimates.

In applying the company's accounting policies, management has made the following judgements and estimates which have the most significant effect on the amounts recognised in the financial statements.

Recognition of profit on construction contracts

The company applies its policy on contract accounting when recognising revenue and profit or (loss) on partially completed contracts. The application of this policy requires judgements to be made in respect of the total expected costs to complete for each contract. The company has in place established internal control processes to ensure that the evaluation of costs and revenues is based upon appropriate estimates.

In establishing the cost to complete for each contract, where defects within the modules are identified, management exclude these costs for the related contract as they are expected to be recovered from the manufacturer.

Deferred taxation assets

The directors' judgement is required to determine the amount of deferred taxation assets that can be recognised, based on the likely timing and level of future taxable profits.

Impairment of other assets

The company reviews the carrying value of all other assets for indications of impairment at the financial year end. If indicators of impairment exist, the carrying value of the asset under review is subject to further testing to determine whether its carrying value exceeds its recoverable amount.

TURNOVER

Turnover comprises the value, excluding value added tax, of goods and services supplied during the year.

Where customers agree to fund preliminary project work under early works agreements ("EWA"), the related billings and costs incurred are carried forward as payments received on account and work in progress respectively. The revenue and costs are recognised in the profit and loss account when the work leads to an agreed construction contract or payments made under the EWA are non-refundable . In all other cases, the costs are agreed with the customer and subsequently released to the profit and loss account with matching revenue when the preliminary project work ceases.

Revenue from supply and installation of the company's modular building units is recognised in accordance with the company's accounting policy on construction contracts.

CONSTRUCTION CONTRACTS

When the outcome of a construction contract can be estimated reliably, contract revenue and costs are recognised by reference to the stage of completion of each contract, as measured by the proportion of total costs at the financial year end to the estimated total cost of the contract.

When the outcome of a construction contract cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable those costs will be recoverable.

The principal estimation technique used by the company in attributing profit on contracts to a particular period is the preparation of forecasts on a contract by contract basis. This focuses on revenues and costs to complete and enable an assessment to be made of the final out-turn of each contract. Consistent contract review procedures are in place in respect of contract forecasting.

When it is probable that total contract costs will exceed total contract revenue, the expected loss is recognised immediately. Contract costs are recognised as expenses in the period in which they are incurred.

For each contract, where costs incurred plus recognised profits less recognised losses exceed progress billings, the balance is shown as amounts recoverable on contracts within debtors. Where progress billings exceed costs incurred plus recognised profit less recognised losses, the balance is shown as payments on account within creditors.

Retentions payable and receivable are included in other debtors and other creditors respectively. In most cases half the retention monies are receivable/payable on achieving practical completion with the balance within 12 months following practical completion.Retentions receivable and payable more than one year after the balance sheet date are recorded at transaction cost and not fair value unless the difference is material.

STOCKS AND WORK IN PROGRESS

Work in progress is valued at the lower of cost and net realisable value.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

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 statement of financial position 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 inter-group loans and other 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.

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, including trade and other 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 receipts discounted at a market rate of interest.

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

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

Derecognition of financial liabilities

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

TAXATION

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

Current or deferred taxation assets and liabilities are not discounted.

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

DEFERRED TAX

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

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

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

A deferred tax asset of £648,223 (2024: £593,715) has not been recognised in respect of gross tax losses of £2,592,892 (2024: £2,374,858). This asset has not been recognised as there is insufficient evidence that the asset will be recovered. These losses are available to be carried forward indefinitely and used against future taxable profits of the same trade.

PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS

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

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 4 (2024 - 2 ) .

4.

STOCKS

2025

2024

£

£

Work-in-progress

91,929

34,970

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

63,300

88,852

Amounts recoverable on contract

981,120

-

Other debtors

47,171

97,211

1,091,591

186,063

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Payments on account

240,855

88,071

Trade creditors

12,088

140,644

Amounts owed to group undertakings

2,047,152

95,921

Taxation and social security

11,174

10,267

Other creditors

21,777

11,041

2,333,046

345,944

7.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

£

£

4,356,531

Ordinary shares

£1

4,356,531

4,356,531

In 2024, the company reorganised its inter-company loans whereby £4,356,431 of the loan were capitalised by issuance of 4,356,431 Ordinary shares of £1 each at par.

8.

RESERVES

Retained

earnings

£

At 1 January 2025

(4,357,061

)

Deficit for the year

(227,578

)

At 31 December 2025

(4,584,639

)

9.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Mr Vishal Bhatt (Senior Statutory Auditor)

for and on behalf of BLS Burnells LLP

10.	RELATED PARTY DISCLOSURES

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.

Other debtors include £45,749 owed by a fellow group associated company following assignment of the debt to the company by Verbus International Limited.

11.	POST BALANCE SHEET EVENTS

There have been no significant events affecting the company since the balance sheet date.

12.	ULTIMATE CONTROLLING PARTY

Following an internal reorganisation, the company's immediate holding company changed from Verbus International Limited to CIMC MBS Hong Kong Limited with effect from 1 December 2024.

The company is a member of a group. Consolidated accounts, for the smallest group, are prepared for it's immediate holding company, CIMC MBS Hong Kong Limited. The registered address of CIMC MBS Hong Kong Limited is Unit 41, 15/F, Pacific Trade Centre, 2 Kai Hing Road, Kowloon, Hong Kong. The consolidated accounts are not available to the public.

The company's ultimate parent undertaking is China International Marine Containers (Group) Co. Limited, a company incorporated in China.

During the period, there was no single person controlling the company.