REGISTERED NUMBER: 14491911 (England and Wales)

Group Strategic Report, Report of the Directors and

Consolidated Financial Statements for the Year Ended 31 May 2025

for

HML VENTURES LTD

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Consolidated Income Statement

11

Consolidated Other Comprehensive Income

12

Consolidated Balance Sheet

13

Company Balance Sheet

14

Consolidated Statement of Changes in Equity

15

Company Statement of Changes in Equity

16

Consolidated Cash Flow Statement

17

Notes to the Consolidated Cash Flow Statement

18

Notes to the Consolidated Financial Statements

20

DIRECTORS:

C N Barnett

A E Massam

REGISTERED OFFICE:

Global House

60B Queen Street

Horsham

RH13 5AD

REGISTERED NUMBER:

14491911 (England and Wales)

AUDITORS:

Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

BANKERS:

Barclays Bank Plc

Barclays Business

PO Box 9359

Leicester

LE87 2BB

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

PRINCIPAL ACTIVITY

The principal activity of the group is the provision of IT managed services and business voice and data communications services. The group's product portfolio is wide ranging and includes: IT managed services, hosted telephony, data connectivity, mobile solutions, security solutions and energy solutions. These solutions are delivered to customer locations throughout the United Kingdom.

OUR PURPOSE

The purpose of the group is to meet the needs of our customers, delivering the experience, products and services that matter to them. The smallest companies through to multinational corporations use the group's services every day to conduct their business.

The success of the group as a business depends on delivering value to all our customers and stakeholders. We plan and anticipate what they want and work with carefully selected partners to develop products, services and an overall experience that meet their needs.

REVIEW OF BUSINESS

The group has been growing through organic and acquisitive strategy. In August 2024 the group acquired L2J Group Limited (and its subsidiaries Logic 1st Limited and STI Solutions Limited) and in February 2025 the group acquired Intelligent Performance Limited, both IT managed service providers.

Post-year end in March 2026 the group completed the acquisition of Solent Group Holdings Limited (and its subsidiaries), an IT managed service provider based in Southampton.

The group refinanced its senior debt facility in February 2025 to facilitate the acquisition of Intelligent Performance Limited. Post-year end the senior debt facility was extended in March 2026 to provide funding for the acquisition of Solent Group Holdings Limited. The group has a strong relationship with its senior debt partner, Thincats.

The group is actively looking for further earnings enhancing acquisition opportunities to grow the customer base which will complement the organic growth planned for the forthcoming financial year.

There has been further investment in the core systems and infrastructure throughout the year. The main projects included further enhancement of the CRM contract system and the sales opportunity management system. The group intends to undertake further systems development during the next financial year as it creates a scalable platform for growth.

The operating quality standards of ISO:9001 and the information security standards of ISO:27001 continue to be maintained across the group. The group continues to work on improving its quality management system and actively reviews potential accreditations to help support its customers.

PRINCIPAL RISKS AND UNCERTAINTIES

There are several risks and uncertainties that can impact the performance of the group, some of which are beyond the control of the group and its board. These trends and risks are the focus of monthly management meetings where each departments performance is assessed versus budget, forecast and prior year results. Key performance indicators are also used to benchmark operational performance for all departments. An annual assessment of trends and risks is an integral part of each department's annual review of its strategic plan and budget, which are submitted to the board for consideration and approval. A combination of all of this, in what is a bottom up and top down approach, enables the board to determine and assess the companies risk environment.

The principal risks and uncertainties facing the group are outlined below:

Key resources

The group is managed by certain key personnel, including executive directors and senior management who have significant experience within the group and who may be difficult to replace. Furthermore, the group depends on being able to recruit and retain employees of an appropriate calibre to win and service contracts. The group has sought to mitigate this resource risk by investing in staff training programmes, competitive reward and compensation packages, management incentive schemes and succession planning.

Market conditions

The group's products are targeted at many different sectors, which include high street retailers, estate agents, pharmacy, dental practices and petrol retailers. As a result, demand is dependent on activity levels in these respective sectors, which vary by location and are subject to the usual drivers of telecommunication activity (i.e. general economic conditions and volatility, interest rates, business/consumer confidence levels, unemployment, population growth, etc.). The exposure to the cyclicality of any one sector is partially mitigated by the group's diversification, both nationally and by product.

Input prices and availability

The group's operating performance is impacted by the pricing and availability of its key inputs, which include calls, mobiles, telecommunications systems and maintenance. The pricing of such inputs can be quite volatile at times due to demand and the input costs of the supply base. The group manages the effect of such movements through a strong central procurement process, long-term relationships with suppliers, economic purchasing, multiple suppliers and inventory management.

Competitive pressures

The group continually faces competition in each of the sector's in which it has a presence. The competitive environment in any one sector is a function of several factors including the number of competitors, pricing, the economic/demand characteristics of that sector. and the availability of substitute products. While such competitive forces can impact profitability in the short-term the group looks to offset such adverse effects by:

(i) a program of continuous process improvement;

(ii) a permanent emphasis on product enhancement which allows the group's businesses to be a leading-edge provider of innovative telecommunication systems and software and, therefore, helps to differentiate itself from competitors, and

(iii) providing a best in class service to customers by offering expert technical support, short delivery times and products that come with a guaranteed performance.

Liquidity risk

Liquidity risk is the risk that the group may be unable to meet its obligations as they fall due or fund its ongoing operations. In the current UK economic climate, with continued inflationary pressure, elevated borrowing costs and subdued growth expectations, the group manages this risk through regular cash flow forecasting, monitoring of working capital and customer receipts, and review of available funding, supplier commitments and recurring service obligations. The board considers current liquidity arrangements to be sufficient for the group’s foreseeable requirements, while continuing to monitor customer payment trends, cost pressures and wider economic conditions.

Customer credit risk

As part of the overall service package the group provides credit to customers and as a result there is an associated risk that the customer may not be able to pay outstanding balances. The group has established procedures and credit control policies around managing its trade debtors and acts where necessary. Trade debtors are primarily managed by a sanction process backed up by the board. All major outstanding and overdue balances, together with significant potential exposures, are regularly reviewed and concerns are discussed at monthly meetings at which the board are present. Control systems are in place to ensure that authorisation requests are supported with appropriate and sufficient documentation and are approved at appropriate levels in the organisation.

At the year end, the group was carrying a trade debtors balance of £3,488,347 (2024: £2,516,938) expressed net of provisions for default in payment.

Information technology and business continuity

The group uses a range of information technology and decision support systems across its business for efficient processing of orders, control procedures and financial management. These systems are constantly reviewed and updated to meet the needs of the group. Business continuity and disaster recovery planning is regularly assessed and tested to ensure the group is adequately resourced and maintains an appropriately robust environment including preventative processes on cybercrime. This is further mitigated through consequential loss insurance and business continuity plans which are updated regularly.

Data protection and back-up

The group holds a significant volume of confidential data. Failure to comply with data privacy regulations and standards (GDPR) or weakness in internet security may result in a major data privacy breach causing reputational damage to the group's brands and financial loss.

Breach of IT security may cause data to be lost, corrupted or accessed by unauthorised users, impacting the group's reputation. This could give rise to legal or regulatory penalties as well as commercial costs. The group has processes and procedures in place to monitor effectiveness of customer back-up and is continually upgrading security equipment and software and making improvements to physical security processes.

GOING CONCERN

The directors have considered the group's financial position, including its investment holdings and forecast cash flows. Although current liabilities exceeded current assets at the year end, the directors are satisfied that the group has adequate resources to continue in operational existence for the foreseeable future. The loan owed to the subsidiary Global 4 Communications Limited, will not be recalled within 12 months from the date of approval of the financial statements. The group has continued to acquire additional subsidiaries, which the directors feel will improve profitability and cash flows once synergies have been realised. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.

FINANCIAL INSTRUMENTS

The group has a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are substantially in Sterling. The group does not enter into any formally designated hedging instruments.

ON BEHALF OF THE BOARD:

C N Barnett - Director

26 May 2026

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

DIVIDENDS

Interim dividends were paid on the Ordinary A £1 shares throughout the year. The total distribution of dividends on the Ordinary A £1 shares for the year ended 31 May 2025 will be £55,000.

Interim dividends were paid on the Ordinary £1 shares in the year. The total distribution of dividends on the Ordinary £1 shares for the year ended 31 May 2025 will be £200,000.

The directors recommend that no final dividend be paid on the Ordinary A £1 shares or the Ordinary £1 shares.

RESEARCH AND DEVELOPMENT

The group continues to invest in the development of computer science and software in relation to the telecommunications market to ensure it is equipped to deal with continuing developments in this sector. This research and development will ensure that the group is able to evolve with the requirements of its customers.

FUTURE DEVELOPMENTS

The directors are confident that the group will continue to be profitable in the forthcoming year. The group has extended it borrowing facility and has continued to acquire additional subsidiaries to increase profitability and cash flows.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year are shown in note 26 to the financial statements.

DIRECTORS

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

C N Barnett

A E Massam

Other changes in directors holding office are as follows:

M G West - resigned 8 October 2024

DIRECTORS INDEMNITIES

The group has not made qualifying third party indemnity payments for the benefit of the directors during the year.

EMPLOYEE INVOLVEMENT

Information provided to staff is managed through regular email communications and sessions with senior management. These sessions encourage two-way communication between colleagues and senior management.

DISCLOSURE IN THE STRATEGIC REPORT

Certain matters required by regulation to be dealt with in the annual report have been dealt with in the Strategic Report rather than in the Directors' Report. These include principal risks and uncertainties and financial instruments.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

C N Barnett - Director

26 May 2026

Opinion

We have audited the financial statements of HML Ventures Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2025 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page six, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

-

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

-

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the telecommunications industry;

-

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation;

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the group's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

-

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

-

considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-

investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

-

agreeing financial statement disclosures to underlying supporting documentation;

-

enquiring of management as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Chris Morey (Senior Statutory Auditor)

for and on behalf of Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

26 May 2026

TURNOVER

3

29,124,437

27,482,323

Cost of sales

(18,351,469

)

(19,037,899

)

GROSS PROFIT

10,772,968

8,444,424

Administrative expenses

(9,851,466

)

(7,619,510

)

OPERATING PROFIT

5

921,502

824,914

Interest receivable and similar income

27,671

20,686

949,173

845,600

Interest payable and similar expenses

6

(417,989

)

(241,978

)

PROFIT BEFORE TAXATION

531,184

603,622

Tax on profit

7

(323,199

)

(222,228

)

PROFIT FOR THE FINANCIAL YEAR

207,985

381,394

Profit attributable to:

Owners of the parent

166,674

375,168

Non-controlling interests

41,311

6,226

207,985

381,394

PROFIT FOR THE YEAR

207,985

381,394

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

207,985

381,394

Total comprehensive income attributable to:

Owners of the parent

166,674

375,168

Non-controlling interests

41,311

6,226

207,985

381,394

FIXED ASSETS

Intangible assets

11

7,510,869

3,239,465

Tangible assets

12

148,250

109,519

Investments

13

-

-

7,659,119

3,348,984

CURRENT ASSETS

Stocks

14

32,046

18,919

Debtors

15

7,447,621

4,171,909

Cash at bank and in hand

648,404

1,617,711

8,128,071

5,808,539

CREDITORS

Amounts falling due within one year

16

(9,107,744

)

(6,522,912

)

NET CURRENT LIABILITIES

(979,673

)

(714,373

)

TOTAL ASSETS LESS CURRENT LIABILITIES

6,679,446

2,634,611

CREDITORS

Amounts falling due after more than one year

17

(6,507,152

)

(2,420,949

)

PROVISIONS FOR LIABILITIES

22

(23,049

)

(17,402

)

NET ASSETS

149,245

196,260

CAPITAL AND RESERVES

Called up share capital

23

110

110

Other reserves

24

148,488

148,488

Retained earnings

24

(63,399

)

24,927

SHAREHOLDERS' FUNDS

85,199

173,525

NON-CONTROLLING INTERESTS

64,046

22,735

TOTAL EQUITY

149,245

196,260

The financial statements were approved by the Board of Directors and authorised for issue on 26 May 2026 and were signed on its behalf by:

C N Barnett - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

-

-

Investments

13

3,392,396

3,392,396

3,392,396

3,392,396

CURRENT ASSETS

Cash at bank and in hand

276

330

CREDITORS

Amounts falling due within one year

16

(3,376,270

)

(2,529,018

)

NET CURRENT LIABILITIES

(3,375,994

)

(2,528,688

)

TOTAL ASSETS LESS CURRENT LIABILITIES

16,402

863,708

CREDITORS

Amounts falling due after more than one year

17

-

(862,809

)

NET ASSETS

16,402

899

CAPITAL AND RESERVES

Called up share capital

23

110

110

Retained earnings

16,292

789

SHAREHOLDERS' FUNDS

16,402

899

Company's profit for the financial year

270,503

424,689

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

The financial statements were approved by the Board of Directors and authorised for issue on 26 May 2026 and were signed on its behalf by:

C N Barnett - Director

Called up

share

Retained

Other

capital

earnings

reserves

£

£

£

Balance at 1 June 2023

110

49,759

-

Changes in equity

Dividends

-

(400,000

)

-

Total comprehensive income

-

375,168

148,488

110

24,927

148,488

Non-controlling interest arising on business combination

-

-

-

Balance at 31 May 2024

110

24,927

148,488

Changes in equity

Dividends

-

(255,000

)

-

Total comprehensive income

-

166,674

-

Balance at 31 May 2025

110

(63,399

)

148,488

Non-controlling

Total

Total

interests

equity

£

£

£

Balance at 1 June 2023

49,869

-

49,869

Changes in equity

Dividends

(400,000

)

-

(400,000

)

Total comprehensive income

523,656

6,226

529,882

173,525

6,226

179,751

Non-controlling interest arising on business combination

-

16,509

16,509

Balance at 31 May 2024

173,525

22,735

196,260

Changes in equity

Dividends

(255,000

)

-

(255,000

)

Total comprehensive income

166,674

41,311

207,985

Balance at 31 May 2025

85,199

64,046

149,245

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 June 2023

110

(23,900

)

(23,790

)

Changes in equity

Dividends

-

(400,000

)

(400,000

)

Total comprehensive income

-

424,689

424,689

Balance at 31 May 2024

110

789

899

Changes in equity

Dividends

-

(255,000

)

(255,000

)

Total comprehensive income

-

270,503

270,503

Balance at 31 May 2025

110

16,292

16,402

Cash flows from operating activities

Cash generated from operations

1

2,258,394

2,059,822

Interest paid

(695,892

)

(241,978

)

Interest element of hire purchase or finance lease rental payments paid

(16,443

)

-

Tax paid/refunded

(350,394

)

112,239

Net cash from operating activities

1,195,665

1,930,083

Cash flows from investing activities

Purchase of intangible fixed assets

(990,651

)

-

Purchase of tangible fixed assets

(50,251

)

(68,335

)

Acquisition of subsidiary (net cash)

(2,941,650

)

(1,192,505

)

Interest received

1,485

20,686

Loans to other companies

(613,000

)

-

Net cash from investing activities

(4,594,067

)

(1,240,154

)

Cash flows from financing activities

New loans in year

8,230,001

1,251,135

Loan repayments in year

(4,968,779

)

(594,967

)

Amount introduced by directors

304,909

418,735

Amount withdrawn by directors

(882,036

)

(571,094

)

Equity dividends paid

(255,000

)

(400,000

)

Net cash from financing activities

2,429,095

103,809

(Decrease)/increase in cash and cash equivalents

(969,307

)

793,738

Cash and cash equivalents at beginning of year

2

1,617,711

823,973

Cash and cash equivalents at end of year

2

648,404

1,617,711

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

as restated

£

£

Profit before taxation

531,184

603,622

Depreciation charges

672,467

322,629

Loss on disposal of fixed assets

60,200

-

Finance costs

417,989

241,978

Finance income

(27,671

)

(20,686

)

1,654,169

1,147,543

Decrease in stocks

250

24,000

(Increase)/decrease in trade and other debtors

(1,229,878

)

2,424,636

Increase/(decrease) in trade and other creditors

1,833,853

(1,536,357

)

Cash generated from operations

2,258,394

2,059,822

2.	CASH AND CASH EQUIVALENTS

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

Year ended 31 May 2025

31.5.25

1.6.24

£

£

Cash and cash equivalents

648,404

1,617,711

Year ended 31 May 2024

31.5.24

1.6.23

as restated

£

£

Cash and cash equivalents

1,617,711

823,973

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.6.24

Cash flow

At 31.5.25

£

£

£

Net cash

Cash at bank and in hand

1,617,711

(969,307

)

648,404

1,617,711

(969,307

)

648,404

Debt

Debts falling due within 1 year

(1,000,433

)

824,981

(175,452

)

Debts falling due after 1 year

(2,203,449

)

(4,086,203

)

(6,289,652

)

(3,203,882

)

(3,261,222

)

(6,465,104

)

Total

(1,586,171

)

(4,230,529

)

(5,816,700

)