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

The Company was incorporated in 2020 as part of the Rönesans Holding A.Ş. group to procure and export construction materials for the group’s projects. Since incorporation, the Company has sourced materials in the UK for a high-speed railway project and exported them to the project site in Türkiye. Going forward, the Company expects to continue providing this service for other projects that require UK-sourced materials. The Company’s key suppliers are UK-based third parties and its principal customer is the contractor delivering the project in Türkiye. Operations are primarily funded through customer advances and profits generated from sales.

The Company also operates a branch in the Republic of Türkiye, which holds a contract under the same project, covering the defined scope of construction and installation of the exported materials.

Including the branch, turnover increased to £169.8 million (2024: £78.4 million), while the gross profit margin remained stable, as expected. Operating profit rose to £13.6 million (2024: £5.3 million). The profit for the year, including the branch, increased to £9.7 million (2024: £4.9 million).

In 2025, the project experienced an increase in construction volume, supporting the Company’s growth, as reflected in higher balance sheet figures, turnover, costs, and overall financial performance.

The directors review and monitor all aspects of the business and consider turnover, gross margin, and operating profit to be the key performance indicators. These are addressed in the Review of the Business above.

The directors also focus on the timely procurement and delivery of materials for the project. Throughout the year, all delivery milestones were achieved.

Supply Chain Risk

There is a risk that ordered construction materials may not be available on time, which could cause delays to the main project. The directors consider this risk to be mitigated, as the majority of planned procurement is secured through signed agreements with suppliers.

Price Risk

Unexpected or significant increases in input prices may place pressure on profit margins and overall financial results. The directors manage this risk by incorporating appropriate commercial protections within procurement contracts where feasible. At branch level, a fixed-margin arrangement on construction costs supports the mitigation of profitability risk.

Foreign Currency Risk

Most purchases and sales are denominated in euros, reflecting the economic structure of the principal customer, while certain branch-level costs are incurred in Turkish lira. In the UK, this risk is managed, where practicable, by balancing receivables and advances.

The main project is expected to be completed in 2028, and the Company’s procurement activities are planned accordingly. In parallel, a number of new projects are progressing through the development pipeline, and the Company expects to commence additional assignments in due course. There are no current plans to make material changes to the Company’s financing arrangements, core operations, or office locations. The Company will continue to invest in its workforce and may undertake further projects requiring UK-based procurement support.

Statement by the directors in performance of their statutory duties in accordance with s172(1) Companies Act 2006

The Directors of the company confirm that, during the year, they have acted in a way that they consider, in good faith, to be most likely to promote the success of the company for the benefit of its members as a whole, and in doing so have had regard to the matters set out in s172(1) (a) to (f) of the Companies Act 2006. Specifically, they have had regard to:

• the likely consequences of any decision in the long term,

• the interests of the company's employees,

• the need to foster the company's business relationships with suppliers, customers and others,

• the impact of the company's operations on the community and the environment,

• the desirability of the company maintaining a reputation for high standards of business conduct, and

• the need to act fairly as between members of the company.

Long term decisions

The Directors consider the long-term implications of decisions, including supplier relationships, contractual commitments, and financial management. This includes balancing cost efficiency with quality and reliability, as well as managing foreign exchange, logistics, and geopolitical risks associated with operating internationally.

Employees

The Company recognises that its employees are central to delivering effective procurement services. The Directors promote a supportive working environment, encourage professional development, and maintain open lines of communication to ensure employees are informed and engaged. Health and wellbeing, particularly in relation to project demands and deadlines, are also prioritised.

Business relationships

The Company relies on a network of UK-based suppliers. The Directors aim to build strong, collaborative relationships, ensuring fair payment practices, clear contractual terms, and consistent communication. Supplier selection also considers reliability, quality, ethical standards, and the ability to meet project timelines.

Community and the environment

While the Company’s direct environmental footprint is limited, the Directors consider environmental and social factors in procurement decisions, including supplier practices and the sourcing of materials.

Business conduct

Maintaining a strong reputation for integrity, reliability, and professionalism is critical to the Company’s success. The Directors promote high standards of ethical conduct in all business dealings, particularly given the international nature of operations and associated risks.

Shareholders

The Company remains a wholly owned subsidiary of Rönesans Holding A.Ş, a privately owned Turkish registered company. The Company’s Directors report to the Board of Rönesans Holding A.Ş on the performance of the Company and projects it is involved in.

On behalf of the board

The directors present their annual report and financial statements for the year ended 31 December 2025.

The principal activity of the company continued to be construction of civil engineering projects. As part of the registered activities, the company has been mainly involved in procurement and export of construction materials.

Included in these financial statements are the trading results of a foreign branch of the company operating in Turkey called RC Infra Ankara.

The results for the year are set out on page 10.

Ordinary dividends were paid amounting to £3,000,000. The directors do not recommend payment of a further dividend.

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

Details on how the Company has fostered relationships with suppliers, customers and others can be found within the Company’s Section 172 statement in the Strategic Report.

The auditor, Lawrence Grant LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

The company is exempt from these disclosures as it did not consume more than 40,000 kWh in the UK during the reporting period.

The directors are responsible 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 company and of the profit or loss of the company for that period.

In preparing these financial statements, the directors are required to:

• select suitable accounting policies and then apply them consistently;

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

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

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

We have audited the financial statements of RC Infra Construction Ltd (the 'company') for the year ended 31 December 2025 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its 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's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.

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

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

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

• the financial statements are not in agreement with the accounting records and returns; or

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

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

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the 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.

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.

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 specific procedures for this engagement and the extent to which these 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 law 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 discussion with directors and other management, and from our commercial knowledge and experience of the relevant sector;

• The specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, are as follows;

• Companies Act 2006

• FRS 102

• Tax Legislation

• Employment Legislation

• Health and Safety at Work

• UK export control and sanctions legislation

• Customs and international trade regulations

• Product safety and construction materials regulations

• Environmental legislation

• Anti-bribery and corruption legislation

• We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and reviewing board minutes;

• Laws and regulations were communicated within the audit team at the planning meeting, and during the audit as any further laws and regulation were identified. The audit team remained alert to instances of non-compliance throughout the audit.

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

• Making enquires of management as to where they consider there was susceptibility to fraud and their knowledge of actual suspected and alleged fraud;

• Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;

• Reviewing the financial statements and testing the disclosures against supporting documentation;

• Performing analytical procedures to identify any unusual or unexpected trends or anomalies;

• Inspecting and testing journal entries to identify unusual or unexpected transactions;

• Assessing whether judgement and assumptions made in determining significant accounting estimates were indicative of management bias; and

• Investigating the rationale behind significant transactions, or transactions that are unusual or outside the company’s usual course of business.

The areas that we identified as being susceptible to misstatement through fraud were:

• Management bias in the estimates and judgements made;

• Management override of controls; and

• Posting of unusual journals or transactions.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

Use of our report

This report is made solely to the company's member 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 member those matters we are required to state to the member 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 member, for our audit work, for this report, or for the opinions we have formed.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

RC Infra Construction Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 2nd Floor, Somerset House, 47-49 London Road, Redhill, Surrey, England, RH1 1LU.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

Reporting and measurement currency

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

Hyperinflationary Economies

The Company’s branch in Turkey has the Turkish Lira (TRY) as its functional currency.  As a result of high inflation in Turkey, the Turkish economy is considered to be hyperinflationary in accordance with FRS 102 Section 31 and IAS 29 Financial Reporting in Hyperinflationary Economies. 

Consequently, the financial statements of the Turkish operations are adjusted for the effects of hyperinflation prior to being translated into the Company’s presentation currency (sterling). The adjustments are based on the general price index published by the Turkish Statistical Institute (TUIK). 

Key Accounting Adjustments:

Non-monetary items

Non-monetary assets and liabilities (e.g., plant and equipment) and equity items, not already carried at current prices, are restated to reflect the general purchasing power at the reporting date. This is done by applying the change in the general price index from the date of acquisition/transaction to the reporting date.

Monetary items

Monetary items (e.g., cash, receivables, payables) are not restated because they are already expressed in terms of the monetary unit current at the reporting date.

Statement of Comprehensive Income

All income and expense items are restated by applying the change in the general price index from the dates when the items were originally recorded.

Net Monetary Position

The gain or loss on the net monetary position is recognised in the consolidated statement of comprehensive income.

Translation

The restated financial statements are then translated into sterling using the closing exchange rate at the reporting date.

Comparative Information

As the Company's presentation currency is not that of a hyperinflationary economy, comparative amounts are not restated in the consolidated financial statements.

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

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Revenue is recognised at the fair value of the consideration received or receivable for the sale of construction equipment and materials, net of value added tax. Revenue is recognised when control of the goods has transferred to the end customer in accordance with International Chamber of Commerce's International Commercial Terms.

Revenue from contracts for the provision of services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.

Revenue related to contracts with customers is recognised over time as work is completed because of the continuous transfer of control to the customer (typically using an input measure such as costs incurred to date relative to total estimated costs at completion to measure progress). Costs that do not depict progress toward satisfaction of the performance obligation are included in contract costs with revenue recognised to the extent of such costs without any profit and include items such as uninstalled materials and re-work.

Revenue on contracts with customers is measured based on consideration specified in a contract with a customer and excludes any amounts collected on behalf of third parties. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the branch from a customer are excluded from revenue.

Contract revenues are primarily derived from fixed-price construction contracts. The branch has determined that generally these fixed-price construction projects provide a distinct service and therefore qualify as one performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts and therefore not distinct. Revenue is recognised over time because of the continuous transfer of control to the customer as work is performed at the customer's site and therefore the customer controls the asset as it is being constructed. The percentage of completion measure of progress best depicts the transfer of control of assets to the customer, which occurs as costs are incurred.

Revenues from time-and-material contracts are billed to customers as work is performed. The branch determined that generally time-and-material contracts contain a single performance obligation as the services and maintenance provided by the contracts are considered a series that are substantially the same and have the same pattern of transfer to the customer. The performance obligation is considered to be satisfied over time since the customer simultaneously receives and consumes the benefits of the time-and-material contracts.

Costs of revenues earned include all direct material and labour costs and those indirect costs related to contract performance such as indirect labour, supplies, tools, repairs and depreciation costs. The cost of significant uninstalled materials, re-work or scrap is generally excluded from the cost-to-cost measure of progress as it is not proportionate to the entity's progress in satisfying the performance obligation. Costs to fulfil a contract, including mobilisation costs, prior to substantive work beginning are capitalised as incurred and amortised over the expected duration of the contract.

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

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

The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.

The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as an expense in measuring profit or loss in the period in which they arise.

The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in profit or loss as other finance revenue or cost.

Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other comprehensive income in the period in which they occur and are not reclassified to profit and loss in subsequent periods.

The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

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. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

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

Their aggregate remuneration comprised:

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

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

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

The branch provides end-of-service benefits to its employees in accordance with Turkish Labour Law, which requires the payment of termination benefits. These benefits are a defined non-funded benefit plan.

The benefits provided by these retirement programs are based mainly on years of service and compensation of employees. Program funding applies with local requirements. Obligations are subject to demographic, legal and economic risks. Economic risks are primarily attributable to unexpected developments in commodities and capital markets and changes in the discount rate used to calculate defined benefit obligations.

Key assumptions used for determining the present value of defined benefit obligations during the year ended 31 December and related disclosures are made as following:

The amounts included in the balance sheet arising from the company's obligations in respect of defined benefit plans are as follows:

The defined benefit obligations arise from plans which are wholly unfunded.

The trading results of a foreign branch of the company operating in Turkey have been adjusted for the effects of hyperinflation.

The Company has used the adjustment coefficients from the Consumer Price Indexes published by the Turkish Statistical Institute. The adjustment coefficients for the current and previous periods since 1 January 2005 (when the Turkish lira previously ceased to be considered the currency of a hyperinflationary economy) are as follows:

The financial statements in question and the amounts comparing to previous periods have been adjusted according to the changes in the general purchasing power of the Turkish Lira and are reflected in terms of the purchasing power of the Turkish Lira as at 31 December 2025.

The loss on the monetary items included in the profit and loss account is £970,206 (2024: £365,211).

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

During the year the company entered into the following transactions with related parties:

Included in other creditors due within one year is a payable of £253 (2024: £555) due to fellow group and related undertakings.

There were expense transactions of £1,141 (2024: £941) with fellow group and related undertakings.

The company has taken advantage of the exemption available in FRS 102 (s33 "Related Party Disclosure"), whereby it has not disclosed transactions with any wholly owned companies of the group.

The immediate parent company is Renaissance Construction Investments B.V, a company incorporated in the Netherlands.

The ultimate parent company is Ronesans Holding A.S., a company incorporated in Turkey.

The ultimate controlling party and the major shareholder of the group is Erman Ilıcak.

The smallest group of which the company is a member and for which group financial statements are prepared is Renaissance Construction B.V. Copies of these financial statements can be obtained from its registered address at Euclideslaan 201, 3584BS Utrecht, Netherlands.

The largest group of which the company is a member and for which group financial statements are prepared is Ronesans Holding A.S. Copies of these financial statements can be obtained from its registered address, Çankaya Mahallesi, Atatürk Bulvarı No: 144-146 Çankaya, Ankara, Türkiye.