REGISTERED NUMBER: 12813442 (England and Wales)

Group Strategic Report, Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 July 2025

for

The Bear and The Bird Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Income Statement

9

Consolidated Other Comprehensive Income

10

Consolidated Balance Sheet

11

Company Balance Sheet

12

Consolidated Statement of Changes in Equity

13

Company Statement of Changes in Equity

14

Consolidated Cash Flow Statement

15

Notes to the Consolidated Cash Flow Statement

16

Notes to the Consolidated Financial Statements

17

DIRECTORS:

A Graham

J C Graham

L Graham

D L Murphy

REGISTERED OFFICE:

92 Walcot Street

Bath

Somerset

BA1 5BG

REGISTERED NUMBER:

12813442 (England and Wales)

The directors present their strategic report of the company and the group for the year ended 31 July 2025.

Principal activity

The Group's principal activities are that of retailing of furniture and home furnishings through its website and five stores, three in London, one in Bath and an Outlet attached to our new warehouse in Trowbridge, Wiltshire.

BUSINESS REVIEW AND KEY PERFORMANCE INDICATORS

Our marketplace still appears to be a difficult place to be. We still await to see a proper upturn in fortunes however the last couple of months of the financial year showed some signs of recovery and much needed 'light at the end of the tunnel' signs.

The company's sales fell by 14% however gross margin has improved this year from 45.5% to 47% due to continued improvement on delivery and supply chain costs.

Big ticket items continue to be slow as consumers make more considered purchases waiting for promotions and discounts to gain the best value for money in these difficult times.

PRINCIPAL RISKS AND UNCERTAINTIES

It's still a tough world in Retail.

Interest rates are slowly falling which hopefully will start to be mirrored in consumers mortgage payments allowing more surplus income for those desired home furnishings. We are still waiting for these to drop further however which will improve the marketplace still further.

Inflation appears to be finally under reasonable control too so costs should remain reasonably constant. One cannot take their eye off the ball however as things can change at any moment especially in this topsy-turvy geo-political world we live in at the moment.

FINANCIAL RISK MANAGEMENT

Cash flows are very closely managed and the directors flex where required. Foreign exchange contracts are often used to control and mitigate financial risk when prudent to do so. We do not give credit to our Trade Customers so our credit risk is nil. We use cash deposits to earn the highest interest possible but with a reasonable timely access if that ever proved necessary.

FUTURE DEVELOPMENTS

Our Operations are reviewed on a regular basis to make sure we are as efficient and cost effective as possible but never allowing our mission of given an exemplary service to our customers to be affected.

Overheads are closely controlled and monitored as a KPI to our sales and these remain constant. Our ranges are always added to making sure we stay inviting to out customer. We are into the discovery phase of updating our IT system to be completed by early 2027.

ON BEHALF OF THE BOARD:

D L Murphy - Director

16 April 2026

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

PRINCIPAL ACTIVITY

The Group's principal activities are that of retailing of furniture and home furnishings through its website and five stores, three in London, one in Bath and an Outlet attached to our new warehouse in Trowbridge, Wiltshire. The company also have a trade department that sells to hotels and other businesses such as interior design.

DIVIDENDS

The consolidated profit for the period, after taxation amounted to £150,055. The total distribution of dividends for the period ended 31 July 2025 was £63,052.

DIRECTORS

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

A Graham

J C Graham

L Graham

D L Murphy

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

AUDITORS

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

ON BEHALF OF THE BOARD:

D L Murphy - Director

16 April 2026

Opinion

We have audited the financial statements of The Bear and The Bird Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2025 which comprise the Consolidated Income Statement, Consolidated Other 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 31 July 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 three, 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.

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

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company.

Our approach was as follows:

We obtained an understanding of the legal and regulatory requirements applicable to the company and considered that the most significant are the Companies Act 2006, UK Financial Reporting Standards and UK taxation legislation.

We obtained an understanding of how the company complies with these requirements by discussions with management and those charged with governance.

We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.

We inquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations.

Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.

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.

Simon Cunningham (Senior Statutory Auditor)

for and on behalf of Sumer Auditco Limited

Statutory Auditor

Chartered Accountants

Lennox House

3 Pierrepont Street

Bath

Somerset

BA1 1LB

20 April 2026

TURNOVER

12,680,785

14,772,730

Cost of sales

6,715,149

8,202,093

GROSS PROFIT

5,965,636

6,570,637

Administrative expenses

5,691,599

6,848,156

274,037

(277,519

)

Other operating income

3

120,803

-

OPERATING PROFIT/(LOSS)

5

394,840

(277,519

)

Interest receivable and similar income

43,168

30,658

438,008

(246,861

)

Interest payable and similar expenses

8

287,953

291,141

PROFIT/(LOSS) BEFORE TAXATION

150,055

(538,002

)

Tax on profit/(loss)

9

-

-

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

150,055

(538,002

)

Profit/(loss) attributable to:

Owners of the parent

150,055

(538,002

)

PROFIT/(LOSS) FOR THE YEAR

150,055

(538,002

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

150,055

(538,002

)

Note

Prior year adjustment

12

(158,157

)

TOTAL COMPREHENSIVE INCOME SINCE LAST ANNUAL REPORT

(8,102

)

Total comprehensive income attributable to:

Owners of the parent

(8,102

)

(538,002

)

FIXED ASSETS

Intangible assets

13

103,970

148,038

Tangible assets

14

1,003,259

1,164,373

Investments

15

-

-

Investment property

16

7,227,247

7,135,997

8,334,476

8,448,408

CURRENT ASSETS

Stocks

17

2,897,768

3,253,241

Debtors

18

1,664,383

1,291,052

Cash at bank and in hand

1,476,107

1,244,102

6,038,258

5,788,395

CREDITORS

Amounts falling due within one year

19

2,542,301

2,517,876

NET CURRENT ASSETS

3,495,957

3,270,519

TOTAL ASSETS LESS CURRENT LIABILITIES

11,830,433

11,718,927

CREDITORS

Amounts falling due after more than one year

20

4,304,715

4,280,212

NET ASSETS

7,525,718

7,438,715

CAPITAL AND RESERVES

Called up share capital

23

3,484

3,484

Share premium

24

311,348

311,348

Retained earnings

24

7,210,886

7,123,883

SHAREHOLDERS' FUNDS

7,525,718

7,438,715

The financial statements were approved by the Board of Directors and authorised for issue on 16 April 2026 and were signed on its behalf by:

D L Murphy - Director

FIXED ASSETS

Intangible assets

13

-

-

Tangible assets

14

829,653

886,218

Investments

15

3,484

3,484

Investment property

16

7,227,247

7,135,997

8,060,384

8,025,699

CURRENT ASSETS

Debtors

18

107,387

103,018

Cash at bank

36,441

20,100

143,828

123,118

CREDITORS

Amounts falling due within one year

19

369,048

338,527

NET CURRENT LIABILITIES

(225,220

)

(215,409

)

TOTAL ASSETS LESS CURRENT LIABILITIES

7,835,164

7,810,290

CREDITORS

Amounts falling due after more than one year

20

4,092,941

4,280,212

NET ASSETS

3,742,223

3,530,078

CAPITAL AND RESERVES

Called up share capital

23

3,484

3,484

Retained earnings

24

3,738,739

3,526,594

SHAREHOLDERS' FUNDS

3,742,223

3,530,078

Company's profit for the financial year

275,197

363,227

The financial statements were approved by the Board of Directors and authorised for issue on 16 April 2026 and were signed on its behalf by:

D L Murphy - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 August 2023

3,484

7,806,454

311,348

8,121,286

Changes in equity

Dividends

-

(144,569

)

-

(144,569

)

Total comprehensive income

-

(379,845

)

-

(379,845

)

Balance at 31 July 2024

3,484

7,282,040

311,348

7,596,872

Prior year adjustment

-

(158,157

)

-

(158,157

)

As restated

3,484

7,123,883

311,348

7,438,715

Changes in equity

Dividends

-

(63,052

)

-

(63,052

)

Total comprehensive income

-

150,055

-

150,055

Balance at 31 July 2025

3,484

7,210,886

311,348

7,525,718

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 August 2023

3,484

3,307,936

3,311,420

Changes in equity

Dividends

-

(144,569

)

(144,569

)

Total comprehensive income

-

363,227

363,227

Balance at 31 July 2024

3,484

3,526,594

3,530,078

Changes in equity

Dividends

-

(63,052

)

(63,052

)

Total comprehensive income

-

275,197

275,197

Balance at 31 July 2025

3,484

3,738,739

3,742,223

Cash flows from operating activities

Cash generated from operations

1

839,331

445,705

Interest paid

(287,953

)

(291,141

)

Tax paid

-

(563

)

Net cash from operating activities

551,378

154,001

Cash flows from investing activities

Purchase of intangible fixed assets

-

(22,800

)

Purchase of tangible fixed assets

(35,328

)

(278,087

)

Purchase of investment property

(91,250

)

-

Sale of tangible fixed assets

1,906

-

Interest received

43,168

30,658

Net cash from investing activities

(81,504

)

(270,229

)

Cash flows from financing activities

Capital repayments in year

(174,817

)

(216,980

)

Equity dividends paid

(63,052

)

(144,569

)

Net cash from financing activities

(237,869

)

(361,549

)

Increase/(decrease) in cash and cash equivalents

232,005

(477,777

)

Cash and cash equivalents at beginning of year

2

1,244,102

1,721,879

Cash and cash equivalents at end of year

2

1,476,107

1,244,102

1.	RECONCILIATION OF PROFIT/(LOSS) FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS

2025

2024

as

restated

£

£

Profit/(loss) for the financial year

150,055

(538,002

)

Depreciation charges

238,604

246,604

Loss on disposal of fixed assets

-

24,292

Exceptional item - settlement monies

-

(300,000

)

Finance costs

287,953

291,141

Finance income

(43,168

)

(30,658

)

633,444

(306,623

)

Decrease in stocks

355,473

528,625

Increase in trade and other debtors

(373,331

)

(39,464

)

Increase in trade and other creditors

223,745

263,167

Cash generated from operations

839,331

445,705

2.	CASH AND CASH EQUIVALENTS

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

Year ended 31 July 2025

31.7.25

1.8.24

£

£

Cash and cash equivalents

1,476,107

1,244,102

Year ended 31 July 2024

31.7.24

1.8.23

as restated

£

£

Cash and cash equivalents

1,244,102

1,721,879

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.8.24

Cash flow

At 31.7.25

£

£

£

Net cash

Cash at bank and in hand

1,244,102

232,005

1,476,107

1,244,102

232,005

1,476,107

Debt

Finance leases

(45,818

)

(226,910

)

(272,728

)

Debts falling due within 1 year

(277,917

)

(12,454

)

(290,371

)

Debts falling due after 1 year

(4,280,212

)

187,271

(4,092,941

)

(4,603,947

)

(52,093

)

(4,656,040

)

Total

(3,359,845

)

179,912

(3,179,933

)

1.	STATUTORY INFORMATION

The Bear and The Bird 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 General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Going concern

At the balance sheet date, the group made a profit after tax for the year of £150,055 (2024: loss £538,002), had net current assets at that date of £3,495,957 (2024: £3,270,519) and net assets of £7,525,718 (2024: £7,438,715).

The Directors believe the group has sufficient cash reserves which will enable it to continue to meet its liabilities as they fall due for at least the next twelve months from the date of approving these financial statements.

Basis of consolidation

These financial statements consolidate the results of The Bear and the Bird Limited and its wholly owned subsidiary company, Graham and Green Limited, on a line-by-line basis. No adjustments have been made to achieve uniformity of accounting policies.

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.

Significant judgements and estimates

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:

Stock provision

This is based on review of year end stock for old, damaged and slow moving stock. A provision is made when the realisable value of items is considered to be lower than the carrying value.

Provisions

Provisions are liabilities of uncertain timing or amount and therefore in making a reliable estimate of the value and timing of liabilities judgement is applied and re-evaluated at each reporting date.

A provision is recognised in the balance sheet when the Company has a present legal or constructive obligation as a result of a past event, that can be reliably measured and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cashflows at a pre-tax rate that reflects risk specific to the liability. Provisions that relate to onerous contracts are not discounted.

Turnover

Turnover represents the amounts (excluding Value Added Tax) derived from the provision of goods to customers during the year. Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Group and the turnover can be reliably measured.

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.

Trademarks are being amortised evenly over their estimated useful life of ten years.

Website development costs is being amortised evenly over its estimated useful life of five years.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the costs of assets less their residual value over their estimated useful lives, using the straight-line method.

The estimated useful lives range as follows:

Improvements to property

- 3 - 14 years straight line over the remaining term of the lease

Fixtures and fittings

- 3 - 5 years straight line

Motor vehicles

- 4 years straight line

Computer equipment

- 4 years straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Income and Retained Earnings.

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 stated at the lower of cost and net realisable value, being the estimates selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.