JJ Loughran Holdings Ltd - Period Ending 2025-05-31

JJ Loughran Holdings Ltd

Annual Report and Consolidated Financial Statements

for the Year Ended 31 May 2025

JJ Loughran Holdings Ltd

Contents

Company Information	1
Strategic Report	2
Directors' Report	3
Statement of Directors' Responsibilities	4
Independent Auditor's Report	5 to 8
Consolidated Profit and Loss Account	9
Consolidated Balance Sheet	10
Balance Sheet	11
Consolidated Statement of Changes in Equity	12
Statement of Changes in Equity	13
Consolidated Statement of Cash Flows	14
Statement of Cash Flows	15
Notes to the Financial Statements	16 to 31

JJ Loughran Holdings Ltd

Company Information

Directors

Kevin Loughran

John Patrick Loughran

John Joseph Loughran

Mary Loughran

Registered office

155 Drum Road
Cookstown
Co. Tyrone
BT80 9DW

Bankers

Ulster Bank
20 William St
Cookstown
BT80 8ND

Auditors

McKeague Morgan & Company
Chartered Accountants & Statutory Auditors27 College Gardens
Belfast
Northern Ireland
BT9 6BS

JJ Loughran Holdings Ltd

Strategic Report for the Year Ended 31 May 2025

The directors present their strategic report for the year ended 31 May 2025.

Principal activity

The principal activity of the company and its subsidiary undertakings is the supply of electrical and mechanical engineering services.

Fair review of the business

The financial results for the financial year 2025 were considered satisfactory, set against a background of increased competition in the market, rising energy costs, increasing inflation and reduced margins. The company has increased its turnover and has a strong focus on innovation and product development. The company continues to focus on expanding its presence in current markets and looking for opportunities to enter new markets. The outlook for the 2026 financial year is encouraging and company directors expect performance to be in line with 2025.

The group's key financial and other performance indicators during the year were as follows:

Financial KPIs	Unit	2025	2024
Turnover	£'000	16,670	15,608
Gross profit	£'000	3,990	4,397
Gross margin	%	24	28
Profit before tax	£'000	1,669	2,248

Principal risks and uncertainties

The key business risks and uncertainties affecting the company are considered to relate to competition from national and local competitors, product liability, contracts pricing and performance, health and safety, as well as unprecedented raw material and energy price increases. The company continually reviews its financial position to ensure there are sufficient resources and access to working capital facilities in order to meet current and potential future financial demands.

Approved by the Board on 27 February 2026 and signed on its behalf by:

.........................................
Kevin Loughran
Director

JJ Loughran Holdings Ltd

Directors' Report for the Year Ended 31 May 2025

The directors present their report and the for the year ended 31 May 2025.

Directors of the group

The directors who held office during the year were as follows:

Kevin Loughran

John Patrick Loughran

John Joseph Loughran

Mary Loughran

Financial instruments

Objectives and policies

The group's operations expose it to a variety of financial risks that include credit, liquidity and foreign exchange risk. The group has in place a risk management programme that seeks to limit adverse effects on its financial performance.

Price risk, credit risk, liquidity risk and cash flow risk

Credit risk
The group has implemented policies that require appropriate credit checks on potential customers before sales are made.

Liquidity and cash flow risk
The group's policy is to ensure that sufficient resources are available either from cash balances, cash flows and near cash liquid investments to ensure all obligations can be met when they fall due.

Foreign exchange risk
The operations of the group are mainly in the United Kingdom and the Euro Zone, and as a result it is primarily exposed to foreign exchange risk with respect to the Euro. The group manages its borrowings, where practical and cost effective, to partially hedge the foreign currency assets.

Disclosure of information to the auditor

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.

Approved by the Board on 27 February 2026 and signed on its behalf by:

.........................................
Kevin Loughran
Director

JJ Loughran Holdings Ltd

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual Report 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 group and the 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 apply them consistently;

•	make judgements and accounting estimates that are reasonable and prudent;

•	state whether applicable UK 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 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 the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the 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 the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

JJ Loughran Holdings Ltd

Independent Auditor's Report to the Members of JJ Loughran Holdings Ltd

Opinion

We have audited the financial statements of JJ Loughran Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2025, which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, Statement of Cash Flows, and 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 the parent company's affairs as at 31 May 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 auditor 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 director's 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 ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

JJ Loughran Holdings Ltd

Independent Auditor's Report to the Members of JJ Loughran Holdings Ltd

Opinion on other matter 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 Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

•	the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.

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 4], 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 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 company or to cease operations, or have no realistic alternative but to do so.

JJ Loughran Holdings Ltd

Independent Auditor's Report to the Members of JJ Loughran Holdings Ltd

Auditor’s 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 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:

On the basis of our understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, we considered the risk of non-compliance and to what extent it might have a material effect on the financial statements. The principal laws and regulations that we determined as being the most significant are the Companies Act 2006, FRS 102 - "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the relevant UK tax compliance regulations.

- We made enquiries of management to understand how the company is complying with its legal and regulatory obligations.
- We read the board minutes to determine whether any fraud or non-compliance had been identified by the company.
- We evaluated the susceptibility of the financial statements to material misstatement and discussed with management the areas where we believed risk of fraud may be higher and what procedures are in place to prevent or detect fraud or non- compliance.
- We reviewed manual journal entries for any unusual postings.
- We performed tests in areas where significant accounting estimates and judgements are made to assess their reasonableness.

There are inherent limitations in the audit procedures described above. The further removed any non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Furthermore, the risk of material misstatement due to fraud is higher than the risk of material misstatement due to error, as fraud may involve deliberate concealment.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

JJ Loughran Holdings Ltd

Independent Auditor's Report to the Members of JJ Loughran Holdings Ltd

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 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 company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

......................................
Mr Terence Hollywood (Senior Statutory Auditor)
For and on behalf of McKeague Morgan & Company, Statutory Auditor
27 College Gardens
Belfast
Northern Ireland
BT9 6BS

27 February 2026

JJ Loughran Holdings Ltd

Consolidated Profit and Loss Account for the Year Ended 31 May 2025

	Note	2025 £	2024 £
Turnover	4	16,669,675	15,607,878
Cost of sales		(12,679,862)	(11,210,391)
Gross profit		3,989,813	4,397,487
Administrative expenses		(2,277,972)	(2,109,643)
Other operating income	5	7,374	4,200
Operating profit	7	1,719,215	2,292,044
Interest payable and similar expenses	8	(49,728)	(43,636)
Profit before tax		1,669,487	2,248,408
Tax on profit	11	(375,230)	(432,992)
Profit for the financial year		1,294,257	1,815,416
Profit/(loss) attributable to:
Owners of the company		1,279,798	1,790,339
Minority interests		14,459	25,077
		1,294,257	1,815,416

The above results were derived from continuing operations.

The group has no recognised gains or losses for the year other than the results above.

JJ Loughran Holdings Ltd

(Registration number: NI618738)
Consolidated Balance Sheet as at 31 May 2025

	Note	2025 £	2024 £
Fixed assets
Tangible assets	13	5,122,080	5,176,215
Current assets
Stocks	15	2,660,452	3,151,341
Debtors	16	5,419,084	3,765,685
Cash at bank and in hand		888,802	665,529
		8,968,338	7,582,555
Creditors: Amounts falling due within one year	18	(4,114,261)	(3,722,555)
Net current assets		4,854,077	3,860,000
Total assets less current liabilities		9,976,157	9,036,215
Creditors: Amounts falling due after more than one year	18	(403,531)	(447,816)
Provisions for liabilities	19	(1,093,145)	(1,153,175)
Net assets		8,479,481	7,435,224
Capital and reserves
Called up share capital	21	100	100
Retained earnings		8,364,412	7,334,614
Equity attributable to owners of the company		8,364,512	7,334,714
Minority interests		114,969	100,510
Shareholders' funds		8,479,481	7,435,224

Approved and authorised by the Board on 27 February 2026 and signed on its behalf by:

.........................................
Kevin Loughran
Director

JJ Loughran Holdings Ltd

(Registration number: NI618738)
Balance Sheet as at 31 May 2025

	Note	2025 £	2024 £
Fixed assets
Investments	14	100	100
Current assets
Cash at bank and in hand		90	90
Creditors: Amounts falling due within one year	18	(90)	(90)
Net current assets/(liabilities)		-	-
Net assets		100	100
Capital and reserves
Called up share capital	21	100	100
Total equity		100	100

The company made a profit after tax for the financial year of £250,000 (2024 - profit of £509,000).

Approved and authorised by the Board on 27 February 2026 and signed on its behalf by:

.........................................
Kevin Loughran
Director

JJ Loughran Holdings Ltd

Consolidated Statement of Cash Flows for the Year Ended 31 May 2025

	Note	2025 £	2024 £
Cash flows from operating activities
Profit for the year		1,294,257	1,815,416
Adjustments to cash flows from non-cash items
Depreciation and amortisation	7	700,174	618,833
Profit on disposal of tangible assets	6	(19,583)	(33,836)
Finance costs	8	40,153	43,038
Income tax expense	11	375,230	432,992
		2,390,231	2,876,443
Working capital adjustments
Decrease/(increase) in stocks	15	490,889	(221,358)
Increase in trade debtors	16	(2,007,318)	(2,869)
Decrease in other debtors	16	353,919	49,243
Increase/(decrease) in trade creditors	18	1,351,481	(1,099,364)
(Decrease)/increase in other creditors	18	(963,623)	218,903
Cash generated from operations		1,615,579	1,820,998
Income taxes paid	11	(347,208)	-
Net cash flow from operating activities		1,268,371	1,820,998
Cash flows from investing activities
Acquisitions of tangible assets		(646,039)	(1,178,292)
Proceeds from sale of tangible assets		19,583	68,155
Net cash flows from investing activities		(626,456)	(1,110,137)
Cash flows from financing activities
Interest paid	8	(40,153)	(43,038)
Repayment of bank borrowing		(71,974)	(71,293)
Proceeds from other borrowing draw downs		21,580	-
Repayment of other borrowing		35,747	(41,799)
Proceeds from finance lease draw downs		89,240	179,719
Payments to finance lease creditors		(152,274)	(136,271)
Dividends paid		(250,000)	(509,000)
Net cash flows from financing activities		(367,834)	(621,682)
Net increase in cash and cash equivalents		274,081	89,179
Cash and cash equivalents at 1 June		255,503	166,324
Cash and cash equivalents at 31 May		529,584	255,503

JJ Loughran Holdings Ltd

Statement of Cash Flows for the Year Ended 31 May 2025

	Note	2025 £	2024 £
Cash flows from operating activities
Profit for the year		250,000	509,000
Adjustments to cash flows from non-cash items
Finance income		(250,000)	(509,000)
Net cash flow from operating activities		-	-
Cash flows from investing activities
Interest received		250,000	509,000
Cash flows from financing activities
Dividends paid		(250,000)	(509,000)
Net increase/(decrease) in cash and cash equivalents		-	-
Cash and cash equivalents at 1 June		90	90
Cash and cash equivalents at 31 May		90	90

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

1	General information

The company is a private company limited by share capital, incorporated in the United Kingdom.

The address of its registered office is:
155 Drum Road
Cookstown
Co. Tyrone
BT80 9DW

These financial statements were authorised for issue by the Board on 27 February 2026.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Basis of consolidation

The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 May 2025.

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

2	Accounting policies (continued)

A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.

The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.

The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.

Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.

Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.

Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.

Going concern

The financial statements have been prepared on a going concern basis.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the group’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts and after eliminating sales within the group.

The group recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the group's activities.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

2	Accounting policies (continued)

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.

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

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Plant & Machinery	20% Straight Line
Motor Vehicles	25% Straight Line
Office Equipment	25% Straight Line

Business combinations

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

2	Accounting policies (continued)

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class	Amortisation method and rate
Goodwill	20% Straight Line

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are 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.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

2	Accounting policies (continued)

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Provisions

Provisions are recognised when the group has an obligation at the reporting date as a result of a past event, it is probable that the group will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Dividends

Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

3	Judgements and key sources of estimation uncertainty

In the application of the company'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. These 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 revision and future periods where the revision affects both current and future periods.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements:

Useful economic life of tangible fixed assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

Inventory provision

The company considers the recoverability of the cost of inventory and the associated provisioning required. When calculating the inventory provision, management considers the nature and condition of the inventory, as well as applying assumptions around anticipated saleability of finished goods and future usage of raw materials.

Impairment of debtors

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience.

4

Turnover

The analysis of the group's Turnover for the year from continuing operations is as follows:

	2025 £	2024 £
Sale of goods	16,669,675	15,607,878

5	Other operating income

The analysis of the group's other operating income for the year is as follows:

	2025 £	2024 £
Government grants	7,374	4,200

6	Other gains and losses

The analysis of the group's other gains and losses for the year is as follows:

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

6	Other gains and losses (continued)

	2025 £	2024 £
Gain on disposal of Tangible assets	19,583	33,836

7	Operating profit

Arrived at after charging/(crediting)

	2025 £	2024 £
Depreciation expense	700,174	618,833
Profit on disposal of property, plant and equipment	(19,583)	(33,836)

8	Interest payable and similar expenses

	2025 £	2024 £
Interest on bank overdrafts and borrowings	26,563	31,644
Interest on obligations under finance leases and hire purchase contracts	13,590	11,394
Foreign exchange gains	9,575	598
	49,728	43,636

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

9	Directors' remuneration

The directors' remuneration for the year was as follows:

	2025 £	2024 £
Remuneration	315,364	192,878

10	Auditors' remuneration

	2025 £	2024 £
Audit of these financial statements	36,534	33,413

11

Taxation

Tax charged/(credited) in the consolidated profit and loss account

	2025 £	2024 £
Current taxation
UK corporation tax	435,260	347,208
Deferred taxation
Arising from origination and reversal of timing differences	(60,030)	85,784
Tax expense in the income statement	375,230	432,992

Deferred tax

Group

Deferred tax assets and liabilities

2024	Asset £	Liability £
Accelerated tax depreciation	-	1,153,175
	-	1,153,175

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

12	Intangible assets

Group

Goodwill
£

Total
£

Cost or valuation

At 1 June 2024

250,000

250,000

At 31 May 2025

250,000

250,000

Amortisation

At 1 June 2024

250,000

250,000

At 31 May 2025

250,000

250,000

Carrying amount

At 31 May 2025

-

-

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

14	Investments

Group

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking	Registered office	Holding	Proportion of voting rights and shares held
			2025	2024
Subsidiary undertakings
JJ Loughran Ltd*	155 Drum Road, Cookstown, BT80 9DW	Ordinary	100%	100%
	Northern Ireland
Core Aggregates Ltd*	155 Drum Road, Cookstown, Co. Tyrone	Ordinary	80%	80%
	Northern Ireland
Bally Renewables Limited*	155 Drum Road, Cookstown, Co. Tyrone	Ordinary	100%	100%
	Northern Ireland
Manor Switchgear & Controls Ltd*	155 Drum Road, Cookstown, Co. Tyrone	Ordinary	90%	90%
	Northern Ireland

* indicates direct investment of the company

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

14	Investments (continued)

Subsidiary undertakings

JJ Loughran Ltd

The principal activity of JJ Loughran Ltd is supply of electrical and mechanical engineering services.

Core Aggregates Ltd

The principal activity of Core Aggregates Ltd is mining and sale of aggregates.

Bally Renewables Limited

The principal activity of Bally Renewables Limited is Electricity generation.

Manor Switchgear & Controls Ltd

The principal activity of Manor Switchgear & Controls Ltd is installation of industrial machinery and equipment.

15

Stocks

	Group		Company
	2025 £	2024 £	2025 £	2024 £
Work in progress	399,030	284,216	-	-
Other inventories	2,261,422	2,867,125	-	-
	2,660,452	3,151,341	-	-

16

Debtors

		Group		Company
	Note	2025 £	2024 £	2025 £	2024 £
Trade debtors		4,556,456	2,549,138	-	-
Amounts owed by related parties	24	704,086	1,068,737	-	-
Other debtors		79,608	41,495	-	-
Prepayments		78,934	106,315	-	-
		5,419,084	3,765,685	-	-

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

17	Cash and cash equivalents

	Group		Company
	2025 £	2024 £	2025 £	2024 £
Cash on hand	90	90	90	90
Cash at bank	888,712	665,439	-	-
	888,802	665,529	90	90
Bank overdrafts	(359,218)	(410,026)	-	-
Cash and cash equivalents in statement of cash flows	529,584	255,503	90	90

18

Creditors

		Group		Company
	Note	2025 £	2024 £	2025 £	2024 £
Due within one year
Loans and borrowings	22	560,520	644,724	-	-
Trade creditors		2,727,148	1,375,667	-	-
Amounts due to related parties	24	-	860,218	90	90
Social security and other taxes		244,462	372,611	-	-
Outstanding defined contribution pension costs		615	16	-	-
Other payables		10,637	7,382	-	-
Accruals		135,619	114,729	-	-
Corporation tax liability	11	435,260	347,208	-	-
		4,114,261	3,722,555	90	90
Due after one year
Loans and borrowings	22	381,951	447,816	-	-

19	Provisions for liabilities

Group

	Deferred tax £	Total £
At 1 June 2024	1,153,175	1,153,175
Increase (decrease) in existing provisions	(60,030)	(60,030)
At 31 May 2025	1,093,145	1,093,145

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

20	Pension and other schemes

Defined contribution pension scheme

The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £67,489 (2024 - £59,987).

Contributions totalling £615 (2024 - £16) were payable to the scheme at the end of the year and are included in creditors.

21	Share capital

Allotted, called up and fully paid shares

	2025		2024
	No.	£	No.	£
Ordinary shares of £1 each	100	100	100	100

22	Loans and borrowings

Non-current loans and borrowings

	Group		Company
	2025 £	2024 £	2025 £	2024 £

Bank borrowings	209,087	284,240	-	-
Hire purchase contracts	56,736	83,195	-	-
Other borrowings	116,128	80,381	-	-
	381,951	447,816	-	-

Current loans and borrowings

	Group		Company
	2025 £	2024 £	2025 £	2024 £

Bank borrowings	93,069	89,890	-	-
Bank overdrafts	359,218	410,026	-	-
Hire purchase contracts	108,233	144,808	-	-
	560,520	644,724	-	-

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

22	Loans and borrowings (continued)

Group

Bank borrowings

The primary bank loan is denominated in sterling with a nominal interest rate of 2.25% over Bank of England Base Rate, and the final instalment is due on 30 March 2030. The carrying amount at year end is £217,543 (2024 - £248,154).

JJ Loughran Ltd's bankers hold a debenture over the assets and undertakings of the company and a Letter of Guarantee signed by the directors.
The company is due to make monthly repayments of £4,475 comprising both capital and interest.

An additional bank loan is denominated in sterling with a nominal interest rate of 3.75% over Bank of England Base Rate, and the final instalment is due on 28 August 2026. The carrying amount at year end is £84,614 (2024 - £125,976).

The Directors have provided the company's bankers with a Letter of Guarantee.
The company is due to make monthly repayments of £4,219 comprising both capital and interest.

JJ Loughran Ltd has an invoice discounting facility, denominated in sterling, in place. The invoice discounting facility is subject to a nominal interest rate of 3.25% above the Bank of England Base Rate on its variable outstanding balance.

Amounts advanced under the invoice discounting arrangements are secured by a fixed charge over its freehold, land, plant and machinery and goodwill and a floating charge over all assets and undertakings.

23

Dividends

	2025	2024
	£	£
Interim dividend of £62,500.00 (2024 - £127,250.00) per ordinary share	250,000	509,000

JJ Loughran Holdings Ltd

Notes to the Financial Statements for the Year Ended 31 May 2025

24	Related party transactions

Group

Directors' advances, credits and guarantees

During the year the group made payments totalling £386,229 (2024: £624,610) to the directors and received payments totalling £425,921 (2024: £580,702) from the directors.

At the year end there is an amount owing to the directors of £116,128 (2024: £76,436) which represents the outstanding balance in respect of the aforementioned transactions in the current and previous period.

Summary of transactions with all entities with joint control or significant interest

At the start of the financial year the group was owed a loan of £120,316 from a related party undertaking. There was no movement on the loan during the year. The loan outstanding at the year end was £120,316. The loan is repayable on demand. The aforementioned related party undertaking is related by virtue of ultimate common shareholders.

At the start of the financial year the group owed a loan of £102,117 to a related party undertaking. During the year the group made payments of £500,000 to the related party. The loan owed to the group at the year end was £397,883. The loan is repayable on demand. The aforementioned related party undertaking is related by virtue of ultimate common shareholders.

At the start of the financial year the group was owed a loan of £190,308 from a related party undertaking. During the year the related party repaid £14,433 to the group. The loan owed to the group at the year end was £175,875. The loan is repayable on demand. The aforementioned related party undertaking is related by virtue of ultimate common shareholders.

At the start of the financial year the group was owed a loan of £12 from a related party undertaking. During the year the group issued a further loan of £10,000. The loan owed to the group at the year end was £10,012. The loan is repayable on demand. The aforementioned related party undertaking is related by virtue of ultimate common shareholders.

No other transactions with related parties were undertaken such as are required to be disclosed under FRS 102 Section 33.

25	Parent and ultimate parent undertaking

The ultimate controlling parties are Kevin Loughran and John Loughran.

	Land and buildings £	Furniture, fittings and equipment £	Motor vehicles £	Other tangible assets £	Total £
Cost or valuation
At 1 June 2024	422,933	125,647	956,367	6,353,901	7,858,848
Additions	-	17,297	272,740	356,002	646,039
Disposals	-	-	(86,680)	-	(86,680)
At 31 May 2025	422,933	142,944	1,142,427	6,709,903	8,418,207
Depreciation
At 1 June 2024	59,592	84,370	515,583	2,023,088	2,682,633
Charge for the year	21,147	20,707	205,287	453,033	700,174
Eliminated on disposal	-	-	(86,680)	-	(86,680)
At 31 May 2025	80,739	105,077	634,190	2,476,121	3,296,127
Carrying amount
At 31 May 2025	342,194	37,867	508,237	4,233,782	5,122,080
At 31 May 2024	363,341	41,277	440,784	4,330,813	5,176,215

	Share capital £	Retained earnings £	Total £	Non-controlling interests - Equity £	Total equity £
At 1 June 2024	100	7,334,614	7,334,714	100,510	7,435,224
Profit for the year	-	1,279,798	1,279,798	14,459	1,294,257
Dividends	-	(250,000)	(250,000)	-	(250,000)
At 31 May 2025	100	8,364,412	8,364,512	114,969	8,479,481

	Goodwill £	Total £
Cost or valuation
At 1 June 2024	250,000	250,000
At 31 May 2025	250,000	250,000
Amortisation
At 1 June 2024	250,000	250,000
At 31 May 2025	250,000	250,000
Carrying amount
At 31 May 2025	-	-