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Company registration number: 09078650
Top Blue Limited
Annual Report and Financial Statements
For the Year Ended 31 December 2025
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Company Information
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C Xia (appointed 31 July 2025)
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G Tong (resigned 31 July 2025)
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Contents
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Independent Auditor's Report
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Statement of Comprehensive Income
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Statement of Financial Position
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Statement of Changes in Equity
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Notes to the Financial Statements
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Strategic Report
For the Year Ended 31 December 2025
The directors present their strategic report for the year ended 31 December 2025 for Top Blue Ltd ("the
Company").
Principal activity
The Company imports Automotive Prilled Urea into the UK for two purposes:
1.Onward sale to UK customers; and
2.Primarily for use in the production of its own AdBlue for sale and distribution within the UK.
In 2025, the Company experienced an increase in turnover to £14,978,074, driven primarily by the increased trading activity of its parent company’s urea volumes. Urea is typically traded at a low margin, and its inclusion in the trading mix during the year contributed to an overall reduction in the Company’s gross margin.
Principal risks and uncertainties
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The key commercial risk for 2026 remains the sustained elevation of urea prices, which continue to be highly sensitive to global gas markets and wider geopolitical instability. A further risk is the potential limited ability for the Company to pass urea cost increases through to customers in an increasingly competitive market.
The geopolitical situation in the Middle East is creating additional uncertainty in global urea markets, including the possibility of short term pricing volatility and supply disruption. These factors may contribute to unpredictable cost movements throughout the year.
AdBlue demand forecasts for 2026 indicate a modest single digit increase in volume. Looking further ahead, the overall AdBlue market is expected to expand steadily through 2027–2028, at which point it is projected to peak before entering a gradual decline phase. This anticipated trajectory continues to underscore the importance of disciplined margin management, operational efficiency, and strategic positioning over the next 12–24 months.
Financial key performance indicators
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The Directors consider turnover, adjusted EBITDA* and gross profit margin to be the key performance indicators. These indicators are monitored at least monthly and were as follows in the financial year:
*Adjusted EBITDA is calculated by adding back depreciation, foreign exchange differences, gains/losses on disposal of tangible fixed assets and interest back to profit before tax.
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Strategic Report (continued)
For the Year Ended 31 December 2025
Other key performance indicators
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The directors do not consider there to be any other key performance indicators.
This report was approved by the board on 1 April 2026 and signed on its behalf.
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Directors' Report
For the Year Ended 31 December 2025
The directors present their report and the financial statements for the year ended 31 December 2025.
Directors' responsibilities statement
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The directors are responsible for preparing the Strategic Report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;
∙make judgments 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;
∙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 to 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.
The profit for the year, after taxation, amounted to £581,200 (2024 - £1,042,773).
A dividend of £nil (2024 - £239,499) was paid during the year.
The directors who served during the year were:
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C Xia (appointed 31 July 2025)
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G Tong (resigned 31 July 2025)
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The directors are optimistic about the future of the business as it continues to build on strong foundations of quality, reliability and customer satisfaction. The business commitment to sustainability and operational excellence is expected to drive long-term value for shareholders, and the board remain confident in the ability of the Company to deliver strong financial performance in the coming years.
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Directors' Report (continued)
For the Year Ended 31 December 2025
Financial instruments risks
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The Company's operations expose it to a variety of financial risks that include the effects of credit risk, liquidity
risk, price risk and foreign exchange risk. The Company does not use derivative financial instruments to manage
foreign exchange risk and as such, no hedge accounting is applied.
Credit risk
The Company has implemented policies that require appropriate credit checks on potential customers before
sales are made. Where debt finance is utilised, this is subject to a pre-approval by the board of directors. The
amount of exposure to any individual counterparty is subject to a limit, set by the Company.
Liquidity risk
The Company actively retains cash reserves at a level that is designed to ensure the Company has sufficient
available funds for operations and planned expansions.
Foreign exchange risk
The Company's raw material sales and purchases are mainly in USD and EUR, whereas all other costs and sales are generally in GBP. The directors believe this risk is naturally hedged through the purchase and sale
transactions in USD and EUR and as such no formal hedging policy is in place.
Qualifying third party indemnity provisions
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As permitted by the Companies Act 2006, the Company has indemnified management, including the directors, in respect of proceedings brought by third parties and qualifying third party indemnity insurance was in place throughout the year and up to the date of approval of the financial statements.
Disclosure of information to auditor
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Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
∙so far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware, and
∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.
Post balance sheet events
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There have been no significant events affecting the Company since the year end.
The auditor, MHA, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
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Directors' Report (continued)
For the Year Ended 31 December 2025
This report was approved by the board on 1 April 2026 and signed on its behalf.
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Independent Auditor's Report to the Members of Top Blue Limited
We have audited the financial statements of Top Blue Limited (the 'Company') for the year ended 31 December 2025 which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and notes to the financial statements, including material accounting policies. The financial reporting framework that has been applied in the preparation of the Company's financial statements 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 the Company'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.
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 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 those 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
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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.
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Independent Auditor's Report to the Members of Top Blue Limited (continued)
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
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In our opinion, based on the work undertaken in the course of the 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 and Directors’ Report.
Matters on which we are required to report by exception
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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.
Responsibilities of directors
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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.
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Independent Auditor's Report to the Members of Top Blue Limited (continued)
Auditor responsibilities for the audit of the financial statements
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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 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:
∙Enquiry of management around actual and potential litigation and claims;
∙Enquiry of entity staff to identify any instances of non-compliance with laws and regulations;
∙Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias;
∙Reviewing minutes of meetings of those charged with governance; and
∙Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.
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 for the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities . This description forms part of our auditor’s 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.
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Independent Auditor's Report to the Members of Top Blue Limited (continued)
Duncan Cochrane-Dyet BSc BFP FCA (Senior Statutory Auditor)
for and on behalf of
MHA
Statutory Auditor
Maidstone
United Kingdom
Date: 01 April 2026
MHA is the trading name of MHA Audit Services LLP, a limited liability partnership in England and Wales (registered number OC455542)
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Statement of Comprehensive Income
For the Year Ended 31 December 2025
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Profit on disposal of tangible fixed assets
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Interest receivable and similar income
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Interest payable and similar expenses
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Profit for the financial year
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The notes on pages 13 to 26 form part of these financial statements.
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There was no other comprehensive income for 2025 (2024:£nil).
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TOP BLUE LIMITED
Registered number:09078650
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Statement of Financial Position
As at 31 December 2025
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Debtors: amounts falling due within one year
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Creditors: amounts falling due within one year
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Total assets less current liabilities
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Provisions for liabilities
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The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 April 2026.
The notes on pages 13 to 26 form part of these financial statements.
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Statement of Changes in Equity
For the Year Ended 31 December 2025
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Comprehensive income for the year
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Total comprehensive income for the year
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Contributions by and distributions to owners
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Dividends: Equity capital
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Comprehensive income for the year
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Total comprehensive income for the year
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The notes on pages 13 to 26 form part of these financial statements.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
The company is a private company limited by shares, registered in England and Wales. The address of
the registered office is The Old Wheel House, 31-37 Church Street, Reigate, Surrey, RH2 0AD, UK.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
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Financial Reporting Standard 102 - reduced disclosure exemptions
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The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of Sichuan Meifeng Chemical Industry Co. Ltd as at 31 December 2025 and these financial statements may be obtained from No. 10 Section One, Yinghua South Road, Deyang, Sichuan 618000, China.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
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Foreign currency translation
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Functional and presentation currency
The Company's functional and presentational currency is GBP.
Transactions and balances
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.
Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before turnover is recognised:
Sale of goods
Turnover from the sale of goods is recognised when all of the following conditions are satisfied:
∙the Company has transferred the significant risks and rewards of ownership to the buyer;
∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
∙the amount of turnover can be measured reliably;
∙it is probable that the Company will receive the consideration due under the transaction; and
∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Turnover from the sale of AdBlue and Urea is recognised when the significant risks and rewards of
ownership of the goods have transferred to the buyer, usually on delivery of the goods.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
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Operating leases: the Company as lessee
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Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.
Interest income is recognised in profit or loss using the effective interest method.
Defined contribution pension plan
The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.
The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.
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Current and deferred taxation
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The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
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 Company operates and generates income.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.
Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.
At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
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Short-term leasehold property upgrades
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2 to 10 years straight line
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2 to 10 years straight line
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3 to 5 years straight line
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The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.
At each reporting date, stocks are assessed for impairment. If stock is 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.
Raw material stocks include the cost of purchasing urea, import duty and all inbound haulage costs.
Stocks of AdBlue include the cost the urea and the cost of converting urea into ad blue at an
appropriate rate per litre.
Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
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Cash and cash equivalents
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Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.
Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
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Provisions for liabilities
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Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
Deferred tax liabilities are also presented within provisions but are measured in accordance with the accounting policy on taxation.
Increases in provisions are generally charged as an expense to profit or loss.
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Impairment of financial assets
At the end of each reporting period financial assets measured at amortised cost are assessed for
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
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Financial instruments (continued)
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objective evidence of impairment. 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.
Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.
Financial liabilities
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 the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
Other financial instruments
Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.
Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.
Derecognition of financial instruments
Derecognition of financial assets
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Notes to the Financial Statements
For the Year Ended 31 December 2025
2.Accounting policies (continued)
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Financial instruments (continued)
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Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.
Derecognition of financial liabilities
Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.
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Judgments in applying accounting policies and key sources of estimation uncertainty
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The preparation of the financial statements requires management to make judgements, estimates and
assumptions that affect the amounts reported. These estimates and judgements are continually reviewed
and are based on experience and other factors, including expectations of future events that are believed
to be reasonable under the circumstances.
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely
equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that
have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities
within the next financial year are as follows:
1. 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
re-assessed 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. See note 12 for the carrying amount of the property plant and equipment.
2. 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.
3. The company recognises income from container deposits where containers are not expected to be returned by customers. This involves judgement in estimating the proportion of containers unlikely to be returned, based on historical return rates and customer behaviour. Changes in these assumptions may affect the amount and timing of income recognised. During the year, £103,740 has been recognised within profit on disposal of tangible fixed assets based on management’s estimate.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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An analysis of turnover by class of business is as follows:
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The operating profit is stated after charging:
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Depreciation of tangible fixed assets
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Other operating lease rentals
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The figures in the prior year comparatives for other operating lease rentals have been restated from the values previously filed.
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During the year, the Company obtained the following services from the Company's auditor:
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Fees payable to the Company's auditor for the audit of the Company's financial statements
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Staff costs, including directors' remuneration, were as follows:
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Cost of defined contribution scheme
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The average monthly number of employees, including the directors, during the year was as follows:
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Company contributions to defined contribution pension schemes
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During the year retirement benefits were accruing to 1 director (2024 - 1) in respect of defined contribution pension schemes.
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Other interest receivable
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Current tax on profits for the year
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Adjustments in respect of previous periods
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Origination and reversal of timing differences
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Factors affecting tax charge for the year
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The tax assessed for the year is higher than (2024 - higher than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:
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Profit on ordinary activities before tax
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Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)
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Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
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Capital allowances for year in arrears of depreciation
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Adjustments to tax charge in respect of prior periods
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Other timing differences leading to a decrease in taxation
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Total tax charge for the year
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Factors that may affect future tax charges
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In 2021 an increase in the corporation tax rate to 25% with effect from 1 April 2023 was substantively
enacted. The 25% rate also has been used to measure UK deferred taxes in 2025 (and in 2024), to match the expected reversal of the timing differences, as at date of signature no further standard corporation tax rate changes have been announced by the government.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Short-term leasehold property upgrades
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Charge for the year on owned assets
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Raw materials and consumables
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Finished goods and goods for resale
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Prepayments and accrued income
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Creditors: Amounts falling due within one year
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Amounts owed to group undertakings
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Other taxation and social security
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Accruals and deferred income
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Amounts owed to group undertakings are repayable on demand, unsecured and interest-free.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Charged to profit or loss
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The provision for deferred taxation is made up as follows:
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Accelerated capital allowances
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The reversal of the deferred tax liability in the period following the reporting period is not expected to be
material.
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Allotted, called up and fully paid
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1,800,000 (2024 - 1,800,000) Ordinary shares of £1.00 each
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Profit and loss account
This reserve records retained earnings and accumulated losses.
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Notes to the Financial Statements
For the Year Ended 31 December 2025
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Commitments under operating leases
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At 31 December 2025 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
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Later than 1 year and not later than 5 years
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The figures in the prior year comparatives for operating leases commitments have been restated from the values previously filed.
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Related party transactions
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The company has taken advantage of the exemption offered by FRS 102 from disclosing related party
transactions and balances with its ultimate parent and other wholly owned members of the group headed
by Sichuan Meifeng Chemical Industry Co. Ltd.
Sichuan Meifeng Chemical Industry Co. Ltd is a publicly listed company whose securities are traded on a
registered stock exchange. Therefore it is not under the control of any one individual.
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The ultimate parent company is Sichuan Meifeng Chemical Industry Co. Ltd (incorporated in China), the
parent company of Sichuan Meifeng Bluetech Co. Ltd. Sichuan Meifeng Bluetech Co. Ltd (incorporated in
China), is the immediate parent company.
Sichuan Meifeng Chemical Industry Co. Ltd is a public company listed on the Shenzhen Securities
Exchange under company code 000731 (SHE). The consolidated accounts of Sichuan Meifeng Chemical
Industry Co. Ltd are the largest and smallest group accounts in which the results of Top Blue Limited are
included. These are publicly available from No. 10 Section One, Yinghua South Road, Deyang, Sichuan
618000, China.
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