Melia Trading Co Ltd

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—7

1. General Information

Melia Trading Co Ltd is a private company, limited by shares, incorporated in England & Wales, registered number 04731870 . The registered office is 23a Railway Road, Darwen, Lancashire, BB3 2RG.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention (as modified to include investments in associates and investment properties at fair value) and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Turnover

Turnover represents rental income from the company's investment properties and consultancy income, recognised on an accruals basis in the period to which the services are provided or the income is earned.

2.3. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Fixtures & Fittings	20% reducing balance
Computer Equipment	33% straight line

2.4. Investment Properties

All investment properties are carried at fair value determined annually and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided for. Changes in fair value are recognised in the profit and loss account.

2.5. Leasing and Hire Purchase Contracts

Assets obtained under finance leases are capitalised as tangible fixed assets. Assets acquired under finance leases are depreciated over the shorter of the lease term and their useful lives. Assets acquired under hire purchase contracts are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in the creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred.

Rental income from operating leases is recognised on a straight-line basis over the term of the relevant lease. Initial direct costs in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight-line basis over the lease term.

2.6. Financial Instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

...CONTINUED

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Melia Trading Co Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

2.6. Financial Instruments - continued

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future 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.

2.7. Taxation

Income 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 profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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 assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax are recognised in profit or loss for the year, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case current and deferred tax are recognised in other comprehensive income or directly in equity respectively.

2.8. Fixed asset investments

Investments in subsidiaries, associates and jointly controlled entities are initially recognised at cost and subsequently measured at fair value. Changes in fair value are recognised in the profit and loss account.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 4 (2025: 4)

4. Prior Period Adjustment

A prior period adjustment has been included to reflect the cost of the investment in it's subsidiary and to account for the deferred tax on the fair value uplift of investments held at market value.

Reconciliation of Equity

	2025 £	2024 £
Brought forward equity as previously stated	1,321,191	1,268,442
Investment in subsidiary	1	1
Adjustment for deferred tax	(55,293)	(42,904)
Brought forward equity as restated	1,265,899	1,225,539

...CONTINUED

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Melia Trading Co Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

4. Prior Period Adjustment - continued

Reconciliation of profit for the financial period

	2025 £
Profit as previously stated	52,748
Adjustment for deferred tax	(12,389)
Profit as restated	40,359

5. Tangible Assets

	Fixtures & Fittings	Computer Equipment	Total
	£	£	£
Cost or Valuation
As at 1 April 2025	160	4,851	5,011

As at 31 March 2026	160	4,851	5,011

Depreciation
As at 1 April 2025	108	3,619	3,727
Provided during the period	10	616	626

As at 31 March 2026	118	4,235	4,353

Net Book Value
As at 31 March 2026	42	616	658

As at 1 April 2025	52	1,232	1,284

6. Investment Property

	2026
	£
Fair Value
As at 1 April 2025	797,000
Additions	38,128
Fair value adjustments	24,500

As at 31 March 2026	859,628

If investment property had been accounted for under historical cost accounting rules, the amounts would be:

	2026	2025 as restated
	£	£
Cost	414,452	376,324

The fair value of the investment properties has been arrived at on the basis of a valuation determined by the director. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

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Melia Trading Co Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

7. Investments

	Subsidiaries	Associates	Total
	£	£	£
Cost or Valuation
As at 1 April 2025	1	357,600	357,601
Fair value adjustments	-	(7,600 )	(7,600 )

As at 31 March 2026	1	350,000	350,001

Provision
As at 1 April 2025	-	-	-

As at 31 March 2026	-	-	-

Net Book Value
As at 31 March 2026	1	350,000	350,001

As at 1 April 2025	1	357,600	357,601

The carrying value of the investment in associates is based on the entity’s share of the associate’s net assets. Included within these net assets are investment properties, the fair value of which has been determined by the directors on an open market value basis, by reference to market evidence of transaction prices for similar properties.

If the investmennt in associates had been accounted for under historical cost accounting rules, the amounts would be:

	2026	2025
		as restated
	£	£
Cost	136,429	136,429

8. Debtors

	2026	2025 as restated
	£	£
Due within one year
Trade debtors	-	461
Other debtors	127,910	132,875

	127,910	133,336

9. Creditors: Amounts Falling Due Within One Year

	2026	2025 as restated
	£	£
Trade creditors	-	2,104
Other creditors	5,180	7,112
Taxation and social security	6,116	6,117

	11,296	15,333

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Melia Trading Co Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

10. Share Capital

	2026	2025 as restated
	£	£
Allotted, Called up and fully paid	2,004	2,004

11. Other Commitments

The total of future minimum lease payments under non-cancellable operating leases are as following:

	2026	2025 as restated
	£	£
Not later than one year	6,045	6,045
Later than one year and not later than five years	-	3,022

	6,045	9,067

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		2026		2025 as restated
	Notes	£	£	£	£
FIXED ASSETS
Tangible Assets	5		658		1,284
Investment Properties	6		859,628		797,000
Investments	7		350,001		357,601

			1,210,287		1,155,885
CURRENT ASSETS
Debtors	8	127,910		133,336
Cash at bank and in hand		122,519		134,678

		250,429		268,014
Creditors: Amounts Falling Due Within One Year	9	(11,296 )		(15,333 )

NET CURRENT ASSETS (LIABILITIES)			239,133		252,681

TOTAL ASSETS LESS CURRENT LIABILITIES			1,449,420		1,408,566

PROVISIONS FOR LIABILITIES
Deferred Taxation			(146,892 )		(142,667 )

NET ASSETS			1,302,528		1,265,899

CAPITAL AND RESERVES
Called up share capital	10		2,004		2,004
Non-distributable reserves			511,855		499,180
Profit and Loss Account			788,669		764,715

SHAREHOLDERS' FUNDS			1,302,528		1,265,899