The directors present the strategic report for the period ended 31 October 2025.

Established in 1990, PP O’Connor Group Limited remains a leading force in the construction industry, specialising in civil engineering, bulk earthworks, remediation, complex deconstruction and demolition.

Building on the positive momentum generated in prior years, the group continued to apply disciplined contract selectivity throughout the 6 month financial period ended 31 October 2025. The strategic focus on delivering a larger proportion of projects as principal contractor, combined with an emphasis on core technical expertise, remained central to the group’s operating model. These activities were further supported by contract work that enabled the group to demonstrate and expand its specialist capabilities, strengthening diversification opportunities and creating a platform for sustainable long term growth.

During the period, like for like revenue increased by over 5% compared with the preceding 18 month period. However, due to the shortened 6 month reporting cycle, direct comparisons to the prior period’s performance are not directly comparable. As a result, movements in gross margin and the reported profit for the period are influenced in part by timing differences associated with project lifecycles, contract phasing and overhead absorption that do not map evenly between the two periods.

Underlying operational activity remained robust, with strong client demand, continued delivery of technically complex projects and ongoing progress in expanding the group’s presence across its key markets. The group remains confident that its strategic positioning, operational capabilities and disciplined approach to contract selection continue to support long term value creation.

Business Model

The group continues to maintain strong working relationships with both customers and suppliers. It remains the intention of the directors to maintain, consolidate and further strengthen this position by focusing on securing new profitable contracts and consistently delivering high quality services to customers, ensuring that the group retains a significant presence within the construction and demolition industry.

The current order book provides a solid foundation for the forthcoming reporting period, with a substantial proportion of the revenue target for the year ending 31 October 2026 already secured. In addition, the group continues to benefit from a strong sales pipeline, giving the directors confidence that revenue expectations for the next financial period will be achieved or exceeded.

The group’s key differentiators remain its project delivery capability, operational excellence, and its sustained investment in its people, technology and equipment. These strengths ensure the group continues to operate at the forefront of the industry and is well positioned to meet future demand and capitalise on emerging opportunities.

People

The group continues to invest in its people through a combination of on the job development and structured external training programmes, ensuring that employees have the skills and expertise required to deliver the high standards of operational excellence expected by the group and its customers. The group remains committed to providing the right experience, tools and support to enable staff to perform at an elevated level across all areas of the business.

Objectives

The group’s key objective for the forthcoming financial period is to continue leveraging its investment in people, technology and operational capabilities to drive sustainable improvements in contract profitability.

A fundamental priority of the directors remains the provision of a safe working environment for all employees and subcontractors. Further investment in Health, Safety, Environment and Quality ("HSEQ") continues to strengthen the group’s governance and oversight of safety and wellbeing. This focus on HSEQ is regarded as a contributing factor in the group’s operational growth and remains a central strategic objective for the directors, who continue to prioritise improvements in safety performance and wider HSEQ metrics.

Through effective management of integrated value chains, the group seeks to combine the capability to meet increasing market demands with a disciplined approach to efficient project delivery. This enables the group to deliver projects successfully in line with client requirements while supporting the directors’ overarching objective of delivering continued growth for the business.

The group remains acutely aware of the principal risks and uncertainties inherent within the construction industry. Financial and operational risks associated with contract delivery continue to be managed through disciplined contract selectivity and robust due diligence processes during tendering, ensuring that projects undertaken are appropriate to the group’s capabilities and risk appetite.

The group is exposed to several external factors that may adversely affect operational performance, financial results and cash flows. These include fluctuations in fuel costs, aggregate and material prices and wider supply chain pressures. The group actively monitors these variables and seeks to mitigate their impact through careful procurement practices and operational efficiencies, while ensuring such measures do not erode its competitive position.

Credit risk remains an area of ongoing focus. The group undertakes creditworthiness assessments of all new customers prior to contract award and manages customer relationships to ensure timely payment in accordance with agreed terms. In exceptional cases, and where appropriate, the group may consider insuring customer exposure, although this remains the exception rather than standard practice.

Working capital and cash flow management are fundamental to the industry in which the group operates. The group maintains rigorous short term cash flow monitoring and medium to long term forecasting to ensure sufficient liquidity for operational and strategic requirements. The group continues to utilise an invoice discounting facility as its primary funding mechanism.

Construction activities also carry inherent health, safety and environmental risks. Any breach of legal or regulatory obligations could result in financial penalties, operational disruption and reputational damage. The group mitigates these risks through engagement of qualified professionals, strong internal oversight processes and appropriate insurance arrangements.

Other key risks faced by the group include competitive pressures, regulatory developments, customer acquisition constraints and working capital related challenges. The directors actively monitor trading conditions and industry trends and, together with management, take proactive decisions to preserve the group’s long term stability and performance.

The group assesses its financial performance by reference to its ability to generate sustainable cash flows and to deliver consistent operating results through the economic cycle. Performance is evaluated both in terms of accounting profit and underlying operational efficiency.

As outlined in the Business Overview, the group delivered strong levels of activity during the 6 month period ended 31 October 2025. The group recorded a profit in the period, representing a significant improvement compared with the loss reported for the previous period.

The improvement in performance reflects enhanced operational discipline, improved contract execution and a continued focus on margin management. Inflationary pressures that adversely impacted the prior period began to stabilise, and the Group benefited from strengthened project controls and a more selective approach to risk within design and build activities. In addition, a number of legacy project issues that affected the prior period were substantially resolved during the current period.

Reported results for the period continued to be impacted by higher borrowing costs, reflecting the wider economic environment. However, the effects of these costs were partially mitigated by improved operating performance and tighter control of overhead expenditure.

The Group has remained focused on improving operational efficiency, controlling costs and enhancing returns on capital employed. These initiatives supported improved financial performance during the period and remain central to the Group’s strategy to strengthen cash flow and liquidity over the medium term.

Operational capability has continued to be strengthened through ongoing investment in systems and processes. Further deployment of value‑adding and efficiency‑enhancing systems has improved project management, financial reporting and operational oversight, supporting more timely and informed decision‑making.

The Group continues to refine its project management practices, recognising the delivery of projects to cost and schedule as a key performance indicator. Despite the shortened reporting period, the improvements implemented, together with the commitment and experience of the workforce, provide a strong platform for sustainable profitability and improved liquidity in future periods.

Section 172(1) Statement

In accordance with section 172 of the Companies Act 2006, each of the directors acts in the way they believe, in good faith, would most likely promote the success of the group for the benefit of its members as a whole. In doing so, the directors consider, among other matters:

•    the long term consequences of decisions

•    the interests of employees

•    relationships with suppliers, customers and other stakeholders

•    the impact of operations on communities and the environment

•    the importance of maintaining a reputation for high standards of business conduct

The directors take into account a wide range of stakeholder perspectives when making decisions and are guided by the group’s purpose, values and strategic priorities.

Employees remain central to the success of the business. Health, safety and wellbeing continue to be the foremost consideration of the leadership team. Under the group’s ‘Committed to Excellence’ and ‘Committed to Safety’ philosophies, dedicated HSEQ business partners—led by a specialist HSEQ Director—ensure that safe working practices and continuous improvement remain embedded throughout the organisation. Employee training and development programmes reinforce these expectations, including the annual company wide health and safety stand down day.

Customers remain at the heart of the group’s activities. The group values its longstanding relationships and continues to develop new partnerships through consistent delivery of high quality, safety focused project outcomes across all phases from tender to post completion.

The group also recognises its responsibilities to local communities and actively engages with schools, colleges, universities and prisons to support skills development, employment opportunities and community impact. Further information on environmental performance is provided in the Streamlined Energy and Carbon Reporting (SECR) section of the annual report.

The directors maintain a long term outlook in their decision making and believe the group’s commitment to excellence is fundamental to sustaining its strong reputation and long term success.

As a privately owned group, the directors do not consider section 172(1)(f)—the need to act fairly between members—to be relevant to their duties.

Streamlined Energy and Carbon Reporting Statement

Provided below is the energy consumption and emissions for PP O'Connor Group Limited. The electricity energy consumption figures have been calculated using energy bills for our project sites and head office operations. Fuel consumption has been calculated using Government-published conversion rates.

The comparatives above have been restated to include information relating to fuel useage in the period ended 30 April 2025, to ensure comparability with the current period information.

The group is continually striving to reduce its energy usage and CO2 emissions and relevant actions taken in that regard during the period are summarised below:

• The corporate headquarters building and associated yard incorporates a number of energy-saving, environmentally friendly and sustainability-promoting features which limit the company's CO2 emissions and overall impact on the environment, such as:

• Installation of solar panels on the roof of the building

• Motion sensor lighting and highly efficient air conditioning is used throughout all office buildings

• Rain harvest

• Electric car charging points are in place in the office car park to promote green travel

• The building has bespoke insulation to reduce heat loss, and is equipped with a range of other features that promote energy saving such as tinted glass to reduce the intensity of the air conditioning usage

• Our procurement team sources the most energy efficient products and services possible

The group will continue to focus on energy reduction and efficiency projects in 2026 with formalised short-, medium- and long-term targets in place to drive continued improvements in the areas of sustainability and environmental performance.

On behalf of the board

The directors present their annual report and financial statements for the period ended 31 October 2025.

The principal activity of the company and group continued to be that of civil engineering, bulk earthworks, excavation and demolition.

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

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

DJH Audit Limited has indicated its willingness to be reappointed for another term and appropriate arrangements are being made for it to be deemed reappointed as auditor in the absence of an Annual General Meeting.

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

United Kingdom company law requires the directors to prepare financial statements for each financial year. Under that law, the directors have elected to prepare the group and parent company 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 group and parent company, 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;

• state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and parent company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and parent company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and parent 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 group and parent company, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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 auditor of the company 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 auditor of the company is aware of that information.

We have audited the financial statements of PP O'Connor Group Limited (the 'parent company') and its subsidiaries (the 'group') for the period ended 31 October 2025 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows 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 group's and the parent company's affairs as at 31 October 2025 and of the group's profit for the period 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 group and parent 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 group's and 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 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' report for the financial period 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.

In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

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 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.

As explained more fully in the directors' responsibilities statement, 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 group's and 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 parent company or to cease operations, or have no realistic alternative but to do so.

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.

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

As part of our planning process:

• We enquired of management the systems and controls the group has in place, the areas of the financial statements that are mostly susceptible to the risk of irregularities and fraud, and whether there was any known, suspected or alleged fraud.

• We obtained an understanding of the legal and regulatory frameworks applicable to the group. We determined that the following were most relevant: FRS 102, Companies Act 2006, Health and Safety At Work 1974, Employment Act 2008,

• Environmental Protection Act 1990 and General Data Protection Regulations (GDPR). We considered the incentives and opportunities that exist in the group, including the extent of management bias, which present a potential for irregularities and fraud to be perpetuated, and tailored our risk assessment accordingly.

• Using our knowledge of the group, together with the discussions held with the group at the planning stage, we formed a conclusion on the risk of misstatement due to irregularities including fraud and tailored our procedures according to this risk assessment.

The key procedures we undertook to detect irregularities including fraud during the course of the audit included:

• Identifying and testing journal entries, in particular those that were significant and unusual.

• Reviewing the financial statement disclosures and determining whether accounting policies have been appropriately applied.

• Reviewing and challenging the assumptions and judgements used by management in their significant accounting estimates, in particular in relation to determining the useful life and residual values of tangible fixed assets, determining the expected outcome of long term contracts, categorising leases as finance or operating leases, and assessing the recoverability of related party debt.

• Assessing the extent of compliance, or lack of, with the relevant laws and regulations in particular those that are central to the entity's ability to continue in operation.

• Testing key turnover lines, in particular cut-off, for evidence of management bias.

• Documenting and verifying all significant related party balances and transactions, and consolidated transactions.

• Reviewing correspondence for discussions of irregularities including fraud.

• Testing all material consolidation adjustments.

Owing to the inherent limitations of an audit there is an unavoidable risk that we may not have detected some material misstatements in the financial statements even though we have properly planned and performed our audit in accordance with auditing standards. The primary responsibility for the prevention and detection of irregularities and fraud rests with the directors.

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.

Use of our report

This report is made solely to the parent 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 parent 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 parent company and the parent company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

As permitted by section 408 of the Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the period, before exceptional costs, was £536,449 (April 2025: £1,261,486 loss). The company also incurred one-off exceptional costs of £1,699,743 (April 2025: £nil) in respect of a provision against the loan balance owed by its subsidiary.

PP O'Connor Group Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The company's registered number is 02545561 and the registered office is The Exchange, 5 Bank Street, Bury, BL9 0DN.

The group consists of PP O'Connor Group Limited and all of its subsidiaries.

These financial statements have been prepared in accordance with FRS 102 “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 amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

The consolidated group financial statements consist of the financial statements of the parent company PP O'Connor Group Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

All financial statements are made up to 31 October 2025. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

As detailed in the strategic report, the group has reported a profit before tax of £648,607 (April 2025 - £1,981,380 loss) and has net assets of £7,612,064 (April 2025 - £7,078,161) at the statement of financial position date.

Forecasts have been prepared which indicate that, for the next 12 months, the group is expected to be profitable and cash generative. Cashflow forecasts demonstrate that the group is more than capable of operating within the boundaries of its funding facilities. The group has a strong pipeline of work which will contribute to turnover in 2026 and beyond.

External funding facilities are in place to provide working capital support as required and the group continues to have the support of these facilities post period end. The directors anticipate that these facilities will remain in place for the foreseeable future and certainly for the next 12 months.

In addition, funding support has been provided by the directors and shareholders, who have indicated that this support will be maintained whilst it is required by the group.

After making enquires the directors have reasonable expectations that the group has adequate resources to continue in operational existence for the foreseeable future. The directors therefore continue to adopt the going concern basis in preparing the group's financial statements.

Turnover represents the value of the sale of services provided, net of value added tax and after taking into account retentions on contracts and expected remedial works.

Turnover is recognised when a right to consideration has been obtained through performance under each contract. Consideration accrues as contract activity progresses by reference to the value of work performed.

Turnover is not recognised where the right to receive payment is contingent on events outside the control of the group.

Unbilled turnover is included in debtors as 'Trade debtors and Amounts recoverable on contracts'.

Turnover includes income from the management of related companies, net of value added tax, during the year. Income is recognised as services are provided to those companies.

Turnover also includes income from the sale of aggregates, net of value added tax, during the year. Income is recognised at the point goods are collected by or despatched to customers.

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:

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 recognised in the profit and loss account.

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

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.

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.

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset and 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, 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.

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 group after deducting all of its 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 payments 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. 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.

Equity instruments issued by the group 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 group.

The tax expense represents the sum of the tax currently payable and deferred 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 group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

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 if, and only if, there is 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.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

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.

In the application of the group’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.

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

1) Determining the useful life of leasehold property

2) Determining the residual value of leasehold property.

3) Determining the expected outcome of long-term contracts prior to their conclusion and calculating the attributable profit that should be recognised in a manner appropriate to the stage of completion.

4) In categorising leases as finance or operating leases, the directors make judgements as to whether significant risks and rewards of ownership have transferred to the company as leasee.

5) Assessing the recoverability of related party debt.

Contract turnover is ascertained by reference to the valuation of the work carried out to date based on submitted payment applications and previously certified work.

The contract stage of completion is assessed with reference to the value of completed works in comparison to the total contract price, as amended for known variations.

Substantially all turnover is generated in the United Kingdom.

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

Their aggregate remuneration comprised:

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

During the period ended 30 April 2025, the company ceased its quarrying operations at Fletcher Bank quarry. As a result, the quarrying activities represent a discontinued operation for the purposes of these financial statements.

The discontinued operation constituted a separate major line of business of the company. The results of the discontinued operation have been presented separately from continuing operations in the statement of profit and loss, in accordance with FRS 102.

Included within tangible fixed assets are assets held under finance leases or hire purchase contracts, as follows:

Details of the company's subsidiaries at 31 October 2025 are as follows:

The other funding facility is secured by way of a fixed and floating charge on all property or undertaking of the group. Obligations under hire purchases contracts and finance leases are secured on the assets to which they relate. The asset based loan is secured via a fixed charge on the property of the group. The CBILS loan and overdraft facility are secured by way of a fixed and floating charge on all assets of the group.

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

The company is party to a multilateral corporate guarantee in respect of a funding facility provided to the company and other related entities under common control. As at the period end date, the total outstanding debt owed by all respective companies amounted to £5,117,903 (April 2025: £2,507,124).

Entities subject to common control

During the period, the group:-

i) Charged management fees totalling £287,500 (April 2025: £2,760,684) to related parties in respect of central overheads and management services provided.

ii) Purchased goods and services totalling £8,830,019 (April 2025: £14,761,248) from related parties.

Included within debtors falling due within one year are amounts due from related parties totalling £13,870,534 (April 2025: £9,335,855). These advances are unsecured, interest free and repayable upon demand.

Included within creditors falling due within one year are amounts due to related parties totalling £6,800,267 (April 2025: £2,671,900). These advances are unsecured, interest free and repayable upon demand.

Key management personnel

During the year, a total of key management personnel compensation of £634,153 (April 2025: £857,976) was paid.

Participator loans

Included within creditors falling due within one year is a loan due to a shareholder of £1,497,842 (April 2025: £1,497,842).

The advances are unsecured, interest free and repayable upon demand,

The group is jointly controlled by the O'Connor family, comprising PP O'Connor, CM O'Connor, JP O'Connor and CH O'Connor.