REGISTERED NUMBER: 13551769 (England and Wales)

BARFIELD HOLDINGS LTD

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Page

Company Information

1

Group Strategic Report

2

to

5

Report of the Directors

6

to

7

Report of the Independent Auditors

8

to

10

Consolidated Income Statement

11

Consolidated Other Comprehensive Income

12

Consolidated Balance Sheet

13

Company Balance Sheet

14

Consolidated Statement of Changes in Equity

15

Company Statement of Changes in Equity

16

Consolidated Cash Flow Statement

17

Notes to the Consolidated Cash Flow Statement

18

Notes to the Consolidated Financial Statements

19

to

34

DIRECTORS:

D Aucott

D Aucott

Mrs M R Aucott

Mrs E Slocombe

Miss H Aucott

D Aucott

REGISTERED OFFICE:

4 Bank Court

Weldon Road

Loughborough

Leicestershire

LE11 5RF

REGISTERED NUMBER:

13551769 (England and Wales)

AUDITORS:

Essex Abel Ltd (Statutory Auditors)

4 Bank Court

Weldon Road

Loughborough

Leicestershire

LE11 5RF

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

REVIEW OF BUSINESS

The group's principal activity continues to be the manufacture and supply of components to the double glazing industry in the United Kingdom and in Ireland. The subsidiary undertakings principally affecting the profits and net assets of the group in the period are listed in the notes to the accounts.

We aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year-end.

Our review is consistent with the size and non-complex nature of our business and is written in the context of the risks and uncertainties we face.

Results and performance

2025 was a challenging year for the construction industry given the current economic conditions the group's performance should be considered in relation to this background. As part of the directors' strategic review of the business, they took the decision to restructure the company, which included the consolidation of the smaller branches into the larger regional hubs to improve the operational efficiencies and customer service. This resulted in the closure of the branch in Exeter in February 2025 and the closure of three further branches in the first quarter of 2026.

The results of the group for the year, as set out on pages 11 to 34, show a profit on ordinary activities before tax of £312,656 (2024: £408,653). The shareholders' funds of the group total £21,293,727 (2024: £21,045,375).

The group's performance in 2025 has seen a decrease from the previous years, with revenues down 5.4% however, the revenues for the year are still higher than the pre-pandemic period and the reduction was expected following the boom which occurred in the immediate post pandemic period. Our gross margin shows a moderate decrease of 0.6% compared to 2024, due to inflationary increases in wages (including the increased National Insurance costs) and goods costs that were not reflected in our prices during the year.

Business environment

The group has continued with its activities as a provider of components to the double glazing industry within the UK and Ireland. The group's activities are organised into two areas; the provision of components and the manufacture of friction stays.

As for many businesses of our size, the business environment in which we operate continues to be challenging, but we believe the group is well placed to deliver its performance objectives. The double glazing component market in the UK and Ireland is highly competitive and there is continuing downward pressure on margins, with many companies offering similar products which gives rise to pressure on the sales prices to maintain existing business as customers become more price sensitive.

We are of course also subject to consumer spending patterns and consumers overall level of disposable income within the economy.

Strategy

The group's success is dependent on the selection, pricing, and ongoing management of the risks it has identified.

In the double glazing component supply industry, we believe it is important to retain a diversified product range of high quality goods to service the demands of our customers and to achieve the maximum profitability in this competitive marketplace.

We continue to endeavour to take advantage of new opportunities for growth as they arise in the future to enable us to grow and develop the business and the range of products that we offer, including our own brand of components.

The group continues to aim to improve efficiency in all areas of our operations through the continued focus of sourcing the best quality materials and services at the best price for our customers and to continue to improve our customer service levels.

PRINCIPAL RISKS AND UNCERTAINTIES

The process of risk management is applied through a combination of policies, procedures and internal controls. All policies are subject to Board approval and ongoing review by management. Compliance with regulation, legal and ethical standards is a high priority for the group. The finance team is responsible for ensuring that effective internal controls exist to manage the financial risks and that these controls operate effectively.

We the directors endeavour to identify the risks that the group as a whole face. This is to ensure we have the financial strength and operational capacity to support the growth of the business.

The principal risks from our business arise from the recoverability of debts from the customers and the competitive nature of the marketplace in which it operates. In addition, along with all businesses in the UK, the group is exposed to external market factors. The directors are confident of continuing to be at the forefront of offering innovative, quality products to meet the demands of its customers for the foreseeable future.

The groups strong cash position removes some elements of the financial risks any business faces. With business risks and uncertainties in mind, we are aware that any plans for the future development of the business may be subject to unforeseen future events outside of our control.

SECTION 172(1) STATEMENT

This S172 statement, explains how the directors have:

- Engaged with employees, customers, and others; and

- had regard to employees' interests, the need to foster the group's relationship with suppliers, customers and others, and the effect of that regards, including on the principal decisions taken by the company during the financial period.

The S172 statement focuses on matters of strategic importance to the group and the level of information disclosed is consistent with the size and complexity of the business.

When making decisions, each director ensures that they act in a way they consider, in good faith, would most likely promote the group's success for the benefit of its members, and in doing so have regards (among other matters) to the section 172 matters.

The likely consequence of any decision in the long term

Key decisions and matters that are of strategic importance are always discussed openly between the board members and its key advisors.

As part of making these decisions the board considers the potential impact they will have in the short and long term on all parties that have an interest in the group. Whether it be employees, customers, suppliers or the community and environment.

The directors recognise their social responsibility as part of the community in which it operates and respects the political, social, legal and cultural diversity of all its stakeholders.

The long term aims of the company, in addition to increasing the shareholder value, is to provide secure employment opportunities within the local areas in which it operates. During these challenging economic times, ensuring that people have secure and stable employment is more important than ever.

Engagement with employees:

The directors recognise that the employees are fundamental to the success of the group. They have worked hard to establish a culture that puts people first and recognise that recruiting and retaining motivated staff is key to the company's long-term development. The directors help all employees reach their full potential through training and development opportunities.

The directors are always committed to providing a safe, secure, and inclusive working environment. The directors want all their staff to feel safe, and employees are encouraged to provide feedback and speak their minds so that the group can continually develop and improve.

Engagement with our customers:

Having traded for over 45 years, the need to build and maintain strong, long-standing relationships with customers has always been important to the directors, with customer service and satisfaction being paramount to the group's success. Our network of branches delivers daily throughout the UK ensuring that we really are a national company with a local service.

Engagement with suppliers:

We seek to ensure that we engage with all our suppliers and value the long-term relationships that have been built over the years.

The directors understand that many businesses have encountered financial difficulties during this period of economic uncertainty, so the directors ensure that suppliers are paid in a timely manner.

We use a range of national and international suppliers to ensure the highest quality products are available to our customers.

The impact on the community and its environment:

We believe that the way we conduct ourselves and the business influences our customers, suppliers, employees and the planet. Therefore, to have a positive impact on each of these we regularly consider our policies to ensure we have a positive impact on each.

We have branches throughout the UK ensuring that deliveries are as local as possible, reducing the environmental impact from our operations.

Reputation for high standards:

We are proud of our high standards and our success is based on having the right product ranges available. Through our dedication and continual improvement, we can consistently demonstrate best practice, and as a result have gained a range of industry accreditations.

The need to act fairly between members:

The shareholders in the company are also the main directors and so the decisions made by the directors are always fair between the members of the company.

KEY PERFORMANCE INDICATORS

We consider that our key financial performance indicators are those that communicate the financial performance and strength of the group, these being turnover, gross margin and operating profit.

We continually aim to develop our business, whilst maintaining the margin on our products. Turnover for the year decreased approximately 5.4% due mainly to the higher level of trade that was being experienced since the pandemic and 2025 being more in line with our pre pandemic trading patterns. Our focus continues to be on maintaining a stable margin on the product ranges available, whilst offering the best possible products and service to our customer base.

The gross margin for the group has decreased for the year to 20.0% (2024: 20.6%), which mostly due to a change in the product mix of the sales and not increasing our prices fully in line with our increased costs (predominantly in relation to wages). We continue to review the business processes to improve efficiencies and reduce costs wherever possible.

Overall, operating profit has decreased to £134,737 (2024: £278,765) and profit before tax has also decreased to £312,656 (2024: £408,653). Profit after taxation was £240,505 (2024: £344,717) and has been retained by the group to be added to group reserves.

FINANCIAL INSTRUMENTS

Exposure to price, credit, liquidity, and cash flow risk

The group has a normal level of exposure to price, liquidity and cash flow risks arising from trading activities and do not consider these to be significant risks to its operations.

The group has a financial management framework which its objective is to protect the group from events that hinder the achievement of the group's performance objectives.

The objectives aim to limit undue exposure to business and financial risks and ensure sufficient working capital exists.

Credit risk is the risk that one party to a financial instrument will cause a financial loss for that other party by failing to discharge an obligation. group policies are aimed at minimising such losses and require that deferred terms are only granted to customers who demonstrate an appropriate payment history and satisfy credit worthiness procedures. Details of the group's debtors are shown in Note 13 to the financial statements.

Use of derivatives

The group uses forward foreign currency contracts to reduce exposure to the variability of foreign exchange rates by fixing the rate of any material payments in a foreign currency.

RESEARCH AND DEVELOPMENT

The group is continuing to review the development of new products for the double glazing industry to enhance its market share.

FUTURE DEVELOPMENTS

The directors anticipate that the business environment will remain challenging in the short term and as part of their strategic review and restructuring of the business, they took the decision to close the Brentwood (January 2026), Newcastle and Swansea branches of the company in March 2026 with the customers now being serviced from the company's regional branches. Despite these challenges, the directors believe that the company is in a good financial position, with new product lines being introduced throughout the year.

BRANCHES OUTSIDE THE UK

The group has a subsidiary located in Dublin, Ireland.

ON BEHALF OF THE BOARD:

D Aucott - Director

2 June 2026

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

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2025.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

D Aucott

D Aucott

Mrs M R Aucott

Mrs E Slocombe

Miss H Aucott

D Aucott

DISCLOSURE IN THE STRATEGIC REPORT

The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company's strategic report information required by Schedule 7 of the Large and Medium-sized Companies and groups (Accounts and Reports) Regulations 2008 to be contained in the directors' report. It has done so in respect of future developments and financial instruments.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

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

-	select suitable accounting policies and then apply them consistently;

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

-	state whether applicable 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

ON BEHALF OF THE BOARD:

D Aucott - Director

2 June 2026

Opinion

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

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2025 and of the group's profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

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

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

Auditors' responsibilities for the audit of the financial statements

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

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.

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 noncompliance with regulation. The 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 noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

We obtained an understanding of the internal controls which are used by the entity in order to prevent such fraud or errors from occurring and design audit test and procedures in order to test the appropriateness and effectiveness of such internal controls.

We have performed substantive testing in order to assess the appropriateness of the internal controls and whether the controls are being followed and as such to what extent the risk of fraud or error is being mitigated through these controls.

We obtained an understanding on the subjective judgements made by management, such as accounting estimates where there is a potential for personal bias to affect the judgements which have been made. We have also obtained an understanding of the accounting policies which have been used by management.

We held discussions with management to find the rationale behind any judgemental area such as accounting estimates and assessed the appropriateness of accounting policies used, using our professional judgement.

We identified the laws and regulations applicable to the group through discussions with the directors and other management. These were communicated throughout the audit team and the team remained alert to instances of non-compliance throughout the audit.

We assessed the extent of compliance with laws and regulations identified through making enquiries of management and those charged with governance.

We correspond with those charged with governance, regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies or inadequacies in internal controls that we identify during our audit.

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

Use of our report

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

Mr Jason Oram FCCA (Senior Statutory Auditor)

for and on behalf of Essex Abel Ltd (Statutory Auditors)

4 Bank Court

Weldon Road

Loughborough

Leicestershire

LE11 5RF

2 June 2026

TURNOVER

3

28,803,843

30,461,053

Cost of sales

23,056,517

24,187,888

GROSS PROFIT

5,747,326

6,273,165

Distribution costs

401,077

446,335

Administrative expenses

5,226,594

5,555,565

5,627,671

6,001,900

119,655

271,265

Other operating income

15,081

7,500

OPERATING PROFIT

5

134,736

278,765

Interest receivable and similar income

178,330

130,317

313,066

409,082

Interest payable and similar expenses

7

410

429

PROFIT BEFORE TAXATION

312,656

408,653

Tax on profit

8

72,751

63,936

PROFIT FOR THE FINANCIAL YEAR

239,905

344,717

Profit attributable to:

Owners of the parent

239,905

344,717

PROFIT FOR THE YEAR

239,905

344,717

OTHER COMPREHENSIVE INCOME

Exchange differences on retranslation of

subsidiary undertakings

8,447

(14,990

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

8,447

(14,990

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

248,352

329,727

Total comprehensive income attributable to:

Owners of the parent

248,352

329,727

FIXED ASSETS

Tangible assets

10

3,216,931

3,198,112

Investments

11

-

-

3,216,931

3,198,112

CURRENT ASSETS

Stocks

12

6,306,408

6,873,396

Debtors

13

3,199,658

3,572,401

Cash at bank and in hand

10,334,388

9,250,565

19,840,454

19,696,362

CREDITORS

Amounts falling due within one year

14

1,628,597

1,708,264

NET CURRENT ASSETS

18,211,857

17,988,098

TOTAL ASSETS LESS CURRENT LIABILITIES

21,428,788

21,186,210

CREDITORS

Amounts falling due after more than one year

15

(4,784

)

(6,458

)

PROVISIONS FOR LIABILITIES

18

(130,277

)

(134,377

)

NET ASSETS

21,293,727

21,045,375

CAPITAL AND RESERVES

Called up share capital

19

50,000

50,000

Retained earnings

20

21,243,727

20,995,375

SHAREHOLDERS' FUNDS

21,293,727

21,045,375

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 2 June 2026 and were signed on its behalf by:

D Aucott - Director

FIXED ASSETS

Tangible assets

10

2,283,719

2,283,719

Investments

11

144,015

144,015

2,427,734

2,427,734

CURRENT ASSETS

Debtors

13

126,911

326,911

Cash at bank

7,220,489

6,588,174

7,347,400

6,915,085

CREDITORS

Amounts falling due within one year

14

123,454

81,574

NET CURRENT ASSETS

7,223,946

6,833,511

TOTAL ASSETS LESS CURRENT LIABILITIES

9,651,680

9,261,245

PROVISIONS FOR LIABILITIES

18

26,569

20,444

NET ASSETS

9,625,111

9,240,801

CAPITAL AND RESERVES

Called up share capital

19

50,000

50,000

Retained earnings

20

9,575,111

9,190,801

SHAREHOLDERS' FUNDS

9,625,111

9,240,801

Company's profit for the financial year

384,310

245,618

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 2 June 2026 and were signed on its behalf by:

D Aucott - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

50,000

20,665,648

20,715,648

Changes in equity

Total comprehensive income

-

329,727

329,727

Balance at 31 December 2024

50,000

20,995,375

21,045,375

Changes in equity

Total comprehensive income

-

248,352

248,352

Balance at 31 December 2025

50,000

21,243,727

21,293,727

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

50,000

8,945,183

8,995,183

Changes in equity

Total comprehensive income

-

245,618

245,618

Balance at 31 December 2024

50,000

9,190,801

9,240,801

Changes in equity

Total comprehensive income

-

384,310

384,310

Balance at 31 December 2025

50,000

9,575,111

9,625,111

Cash flows from operating activities

Cash generated from operations

1

1,224,207

850,444

Interest paid

(410

)

(429

)

Tax paid

(55,678

)

(168,334

)

Net cash from operating activities

1,168,119

681,681

Cash flows from investing activities

Purchase of tangible fixed assets

(394,798

)

(239,872

)

Sale of tangible fixed assets

125,820

19,399

Interest received

178,330

130,317

Net cash from investing activities

(90,648

)

(90,156

)

Cash flows from financing activities

New loans in year

-

10,200

Capital repayments in year

(2,095

)

(1,647

)

Net cash from financing activities

(2,095

)

8,553

Increase in cash and cash equivalents

1,075,376

600,078

Cash and cash equivalents at beginning of year

2

9,250,565

8,665,477

Effect of foreign exchange rate changes

8,447

(14,990

)

Cash and cash equivalents at end of year

2

10,334,388

9,250,565

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

2025

2024

£

£

Profit before taxation

312,656

408,653

Depreciation charges

291,301

276,246

Profit on disposal of fixed assets

(41,143

)

(7,565

)

Finance costs

410

429

Finance income

(178,330

)

(130,317

)

384,894

547,446

Decrease in stocks

566,988

732,615

Decrease in trade and other debtors

354,811

547,282

Decrease in trade and other creditors

(82,486

)

(976,899

)

Cash generated from operations

1,224,207

850,444

2.	CASH AND CASH EQUIVALENTS

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

Year ended 31 December 2025

31/12/25

1/1/25

£

£

Cash and cash equivalents

10,334,388

9,250,565

Year ended 31 December 2024

31/12/24

1/1/24

£

£

Cash and cash equivalents

9,250,565

8,665,477

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1/1/25

Cash flow

At 31/12/25

£

£

£

Net cash

Cash at bank and in hand

9,250,565

1,083,823

10,334,388

9,250,565

1,083,823

10,334,388

Debt

Finance leases

(8,553

)

2,095

(6,458

)

(8,553

)

2,095

(6,458

)

Total

9,242,012

1,085,918

10,327,930