REGISTERED NUMBER: 14369867 (England and Wales)

MIMI & MARBLE HOLDINGS LIMITED

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTOR AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

Page

Company Information

1

Group Strategic Report

2

Report of the Director

5

Report of the Independent Auditors

6

Consolidated Income Statement

10

Consolidated Other Comprehensive Income

11

Consolidated Balance Sheet

12

Company Balance Sheet

13

Consolidated Statement of Changes in Equity

14

Company Statement of Changes in Equity

15

Consolidated Cash Flow Statement

16

Notes to the Consolidated Cash Flow Statement

17

Notes to the Consolidated Financial Statements

19

DIRECTOR:

N M I Gillanders

REGISTERED OFFICE:

Lake House

2 Port Way

Port Solent

Portsmouth

Hampshire

PO6 4TY

REGISTERED NUMBER:

14369867 (England and Wales)

AUDITORS:

MC Audit Limited

Statutory Auditors

Lake House

2 Port Way

Port Solent

Portsmouth

Hampshire

PO6 4TY

The director presents his strategic report of the company and the group for the year ended 31 March 2025.

PRINCIPLE ACTIVITY

Mimi and Marble Holdings Limited is the parent company of a group operating within the energy efficiency, insulation and renewable energy sectors.

During the year, the group comprised Mimi and Marble Investments Limited, SCIS Holdings Limited and its subsidiaries, including South Coast Insulation Services Limited ("SCIS"), Cotswold Energy Group Limited and Energy Won Limited. Mimi and Marble Tech Limited remained dormant throughout the year.

REVIEW OF BUSINESS

The group's principal activities during the year were the provision of insulation, energy efficiency and renewable energy services through its operating subsidiaries.

Following the year end, SCIS experienced the loss of a significant customer, resulting in a deterioration in trading performance and cash flows. As a consequence, South Coast Insulation Services Limited and its parent undertaking, SCIS Holdings Limited, subsequently entered administration.

Following the year end, Cotswold Energy Group Limited was sold as part of efforts to generate funds and restructure the group's operations. The group also acquired Energy Won Limited in October 2025. Energy Won Limited subsequently entered liquidation in April 2026.

The directors have carefully considered the impact of these post year-end events on the group's financial position and future prospects.

PRINCIPAL RISKS AND UNCERTAINTIES

The group faces a number of risks and uncertainties, including:

Trading and Customer Concentration Risk

The loss of key customers can have a significant impact on revenue generation, profitability and cash flows. The administration of SCIS following the loss of a major customer highlights the importance of maintaining a diversified customer base.

Going Concern Risk

The financial difficulties experienced within the SCIS subgroup, together with the subsequent administration and liquidation events, indicate the existence of material uncertainty which may cast significant doubt on the group's ability to continue as a going concern. The directors continue to monitor cash flows and funding requirements closely.

Market and Regulatory Risk

The group operates in sectors that are influenced by government policy, environmental regulations and funding initiatives. Changes in these areas may affect future demand for the group's services.

Supply Chain Risk

The group remains dependent on the availability of labour, materials and specialist equipment. Disruption within the supply chain could adversely affect project delivery and profitability.

Future Developments

Following the post year-end restructuring events, the directors are focused on preserving value within the remaining operations of the group and assessing future opportunities within the energy efficiency and renewable energy sectors.

The directors continue to evaluate the group's strategic options and funding requirements. Whilst the future trading outlook remains uncertain, the directors believe that the actions taken following the year end will assist in stabilising the group's operations and supporting its future development.

Going Concern

The financial statements have been prepared on the going concern basis. However, as described in Note 22 to the financial statements, the post year-end administration of SCIS Holdings Limited and South Coast Insulation Services Limited, together with the liquidation of Energy Won Limited and disposal of Cotswold Energy Group Limited, indicate the existence of a material uncertainty which may cast significant doubt on the group's ability to continue as a going concern.

The directors have prepared forecasts and considered the availability of future funding and support. On this basis they continue to adopt the going concern basis of accounting in preparing the financial statements.

Future Developments

The group plans to continue investing in both SCIS Limited and Cotswold Energy to drive organic growth. Future strategic priorities include capitalizing on the synergies from the acquisition of Cotswold Energy and exploring further opportunities in renewable energy markets.

Mimi and Marble Holdings Limited has strengthened its market position in the renewable energy and energy efficiency sectors through its acquisition and expansion efforts. With a strong trading performance from SCIS Limited and the successful integration of Cotswold Energy, the group is well-positioned to capitalize on emerging opportunities. The directors remain confident in the group's ability to sustain growth and deliver value to stakeholders.

ON BEHALF OF THE BOARD:

N M I Gillanders - Director

3 June 2026

The director presents his report with the financial statements of the company and the group for the year ended 31 March 2025.

DIVIDENDS

The total distribution of dividends for the year ended 31 March 2025 will be £618,325.

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.

DIRECTOR

N M I Gillanders held office during the whole of the period from 1 April 2024 to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is required to:

-	select suitable accounting policies and then apply them consistently;

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

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

The director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

N M I Gillanders - Director

3 June 2026

Qualified opinion

Basis for qualified 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 qualified opinion.

We were unable to obtain sufficient appropriate audit evidence in relation to the valuation of work in progress recognised by South Coast Insulation Services Limited and included within consolidated inventories at 31 March 2025 at £6,516,398. The effects are material but not pervasive. Due to limitations in the accounting records and supporting documentation made available to us, we were unable to satisfy ourselves by alternative audit procedures concerning the existence and valuation of this balance. Consequently, we were unable to determine whether any adjustments were necessary to work in progress, inventories, cost of sales, retained earnings, or profit for the year in the consolidated financial statements.

Conclusions relating to going concern

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

Material uncertainty related to going concern

We draw attention to Note 22 in the financial statements, which indicates that South Coast Insulation Services Limited and SCIS Holdings Limited, subsidiaries within the group, entered administration following financial difficulties arising from the loss of a significant customer and a deterioration in trading performance. As stated in Note 22, these events or conditions, along with the other matters set out in Note 22, indicate that a material uncertainty exists which may cast significant doubt on the group’s and/or the parent company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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.

As described in the basis for qualified opinion section of our report, we were unable to obtain sufficient appropriate audit evidence concerning the valuation of work in progress amounting to £6,516,398 included within consolidated inventories at 31 March 2025. We have concluded that, where the other information refers to the work in progress balance or related balances, including inventories, cost of sales, profit for the year, and retained earnings, such information may be materially misstated for the same reason.

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 Director 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 Director 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 Director.

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 director's remuneration specified by law are not made; or

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

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page five, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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:

From discussions with management and those charged with governance, we documented information about the entity to assess the activities within the organization. We also discussed management's assessment of risks related to irregularities, fraud, and going concern.

Based on these discussions and our own assessments, we determined that the key risk areas included income recognition with respect to cut-off issues and management override, given the size and structure of the organization, which includes a holding company with two subsidiaries

We set the financial statement materiality level based on revenue. As revenue is a key focus for users of the financial statements and a relevant indicator of the scale of the entity's operations, we considered it the most appropriate benchmark for determining materiality. Our overall risk assessment was then used to set performance materiality at an appropriate level.

Substantive audit procedures were designed following the assessment of audit risks and the performance of walkthrough testing. Walkthrough procedures confirmed that the documented systems and internal controls, designed to prevent and detect fraud and error, appeared to be implemented and operating as intended.

Substantive testing was then performed on a representative sample of transactions to identify potential misstatements. This testing identified a material misstatement, as described in the Basis for Qualified Opinion paragraph.

Overall, substantive audit procedures concluded that no further material misstatements were identified in the key risk areas of income recognition and management override of controls.

The audit also considered whether the entity was exposed to material misstatement arising from non-compliance with laws and regulations relevant to its operations, including consideration of known fraud allegations and related matters.

Management assessed the appropriateness of the going concern basis of accounting and disclosed the material uncertainty related to going concern described in Note 22. In evaluating management’s assessment, we reviewed budgets, management accounts and board minutes, and considered whether the disclosures in the financial statements appropriately describe the events and conditions giving rise to the material uncertainty.

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.

Paul Underwood (Senior Statutory Auditor)

for and on behalf of MC Audit Limited

Statutory Auditors

Lake House

2 Port Way

Port Solent

Portsmouth

Hampshire

PO6 4TY

3 June 2026

TURNOVER

51,535,318

45,282,867

Cost of sales

43,431,174

31,238,344

GROSS PROFIT

8,104,144

14,044,523

Distribution costs

560,960

381,358

Administrative expenses

8,002,876

9,975,794

8,563,836

10,357,152

OPERATING (LOSS)/PROFIT

4

(459,692

)

3,687,371

Interest receivable and similar income

4,073

11,650

(455,619

)

3,699,021

Interest payable and similar expenses

6

767,395

423,899

(LOSS)/PROFIT BEFORE TAXATION

(1,223,014

)

3,275,122

Tax on (loss)/profit

7

(355,326

)

830,412

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(867,688

)

2,444,710

(Loss)/profit attributable to:

Owners of the parent

(867,688

)

2,444,710

(LOSS)/PROFIT FOR THE YEAR

(867,688

)

2,444,710

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(867,688

)

2,444,710

Total comprehensive income attributable to:

Owners of the parent

(867,688

)

2,444,710

FIXED ASSETS

Intangible assets

10

140,666

(5,581,702

)

Tangible assets

11

3,913,018

4,152,309

Investments

12

1,256,544

1,302,783

5,310,228

(126,610

)

CURRENT ASSETS

Stocks

13

7,020,624

8,957,181

Debtors

14

11,073,413

7,248,077

Cash at bank and in hand

981,903

1,499,270

19,075,940

17,704,528

CREDITORS

Amounts falling due within one year

15

20,476,053

12,081,252

NET CURRENT (LIABILITIES)/ASSETS

(1,400,113

)

5,623,276

TOTAL ASSETS LESS CURRENT LIABILITIES

3,910,115

5,496,666

CREDITORS

Amounts falling due after more than one year

16

(2,006,372

)

(2,038,513

)

PROVISIONS FOR LIABILITIES

19

(735,872

)

(804,269

)

NET ASSETS

1,167,871

2,653,884

CAPITAL AND RESERVES

Called up share capital

20

2

2

Retained earnings

21

1,167,869

2,653,882

SHAREHOLDERS' FUNDS

1,167,871

2,653,884

The financial statements were approved by the director and authorised for issue on 3 June 2026 and were signed by:

N M I Gillanders - Director

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

-

-

Investments

12

3

3

3

3

CURRENT ASSETS

Debtors

14

197,499

393,396

CREDITORS

Amounts falling due within one year

15

197,500

393,397

NET CURRENT LIABILITIES

(1

)

(1

)

TOTAL ASSETS LESS CURRENT LIABILITIES

2

2

CAPITAL AND RESERVES

Called up share capital

20

2

2

SHAREHOLDERS' FUNDS

2

2

Company's profit for the financial year

618,325

-

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

The financial statements were approved by the director and authorised for issue on 3 June 2026 and were signed by:

N M I Gillanders - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2023

2

1,315,583

1,315,585

Changes in equity

Dividends

-

(1,106,411

)

(1,106,411

)

Total comprehensive income

-

2,444,710

2,444,710

Balance at 31 March 2024

2

2,653,882

2,653,884

Changes in equity

Dividends

-

(618,325

)

(618,325

)

Total comprehensive income

-

(867,688

)

(867,688

)

Balance at 31 March 2025

2

1,167,869

1,167,871

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2023

2

-

2

Changes in equity

Balance at 31 March 2024

2

-

2

Changes in equity

Dividends

-

(618,325

)

(618,325

)

Total comprehensive income

-

618,325

618,325

Balance at 31 March 2025

2

-

2

Cash flows from operating activities

Cash generated from operations

1

1,702,791

1,112,161

Interest paid

(637,957

)

(712,127

)

Interest element of hire purchase payments paid

(129,438

)

(128,523

)

Finance costs paid

509,707

416,751

Tax paid

(42,170

)

(43,868

)

Net cash from operating activities

1,402,933

644,394

Cash flows from investing activities

Purchase of intangible fixed assets

(633,613

)

(3,767,644

)

Purchase of tangible fixed assets

(1,334,658

)

(1,393,052

)

Purchase of fixed asset investments

(1,761

)

(165,299

)

Sale of intangible fixed assets

-

19,549

Sale of tangible fixed assets

-

30,322

Interest received

4,073

11,650

Net cash from investing activities

(1,965,959

)

(5,264,474

)

Cash flows from financing activities

New loans in year

665,105

5,850,000

Loan repayments in period

-

(696,221

)

Capital repayments in year

(198,621

)

(535,974

)

Equity dividends paid

(420,825

)

(1,106,411

)

Net cash from financing activities

45,659

3,511,394

Decrease in cash and cash equivalents

(517,367

)

(1,108,686

)

Cash and cash equivalents at beginning of year

2

1,499,270

2,607,956

Cash and cash equivalents at end of year

2

981,903

1,499,270

1.	RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

(Loss)/profit before taxation

(1,223,014

)

3,275,122

Depreciation charges

1,432,976

606,411

Loss/(profit) on disposal of fixed assets

53,210

(5,669

)

Amortisation charges

(584,055

)

(602,783

)

Exceptional item - Impairment loss

(4,504,700

)

-

Impairment loss

-

312,391

Bad debts - Non cash item

(66,242

)

339,158

Finance costs

767,395

423,899

Finance income

(4,073

)

(11,650

)

(4,128,503

)

4,336,879

Decrease/(increase) in stocks

1,936,557

(2,209,405

)

Increase in trade and other debtors

(3,816,682

)

(4,549,090

)

Increase in trade and other creditors

7,711,419

3,533,777

Cash generated from operations

1,702,791

1,112,161

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 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

981,903

1,499,270

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

1,499,270

2,607,956

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

1,499,270

(517,367

)

981,903

1,499,270

(517,367

)

981,903

Debt

Finance leases

(2,689,608

)

(311,086

)

(3,000,694

)

Debts falling due within 1 year

(5,834,895

)

(665,105

)

(6,500,000

)

(8,524,503

)

(976,191

)

(9,500,694

)

Total

(7,025,233

)

(1,493,558

)

(8,518,791

)

1.	STATUTORY INFORMATION

Mimi & Marble Holdings Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going concern

Subsequent to the year end, South Coast Insulation Services Limited and SCIS Holdings Limited, subsidiaries within the group, entered administration following the loss of a significant customer and a deterioration in trading performance and cash flows.

Following these events, Cotswold Energy Group Limited was sold in April 2026 in order to generate funds for the group and Energy Won Limited subsequently entered liquidation in April 2026.

The directors have prepared cash flow forecasts and considered the ongoing financial position of the group and company, including the impact of the above events, expected future trading performance, and the availability of continued financial support where required.

Whilst the directors believe that the group and company will continue to operate for the foreseeable future and therefore continue to adopt the going concern basis in preparing the financial statements, the events and conditions described above indicate the existence of a material uncertainty which may cast significant doubt on the group’s and company’s ability to continue as a going concern.

The financial statements do not include any adjustments that would result if the group or company were unable to continue as a going concern.

Critical accounting judgements and key sources of estimation uncertainty

The directors consider that there are no critical accounting judgements or key sources of estimation uncertainty, other than those already disclosed elsewhere in the financial statements.

The financial statements have been prepared using accounting policies and estimates which are considered appropriate and reasonable based on the information available at the reporting date.

Turnover

Turnover represents the fair value of consideration receivable for insulation installation and related services provided in the ordinary course of the company’s activities, net of trade discounts, rebates, value added tax and other sales taxes.

Revenue is recognised when the performance obligations relating to the installation or service contract have been satisfied and the customer obtains control of the goods or services provided. Where contracts span more than one accounting period, revenue is recognised by reference to the stage of completion of the contract activity at the reporting date when the outcome of the contract can be measured reliably

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2023, is being amortised evenly over its estimated useful life of twelve years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Computer software is being amortised evenly over its estimated useful life of five years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

-

33% on cost and 15% on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on cost

Computer equipment

-

33% on cost

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

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 recognised in the statement of financial activities.

Impairment of fixed assets

At each reporting end date, the company reviews the carrying amounts of its tangible 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.

Stocks

Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Financial instruments

The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties and loans to related parties and investments in non-puttable ordinary shares.

Trade and other debtors

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

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and on hand, deposits with banks and other short-term highly liquid investments and bank overdrafts. In the balance sheet, bank overdrafts are shown within borrowings or current liabilities.

Trade and other creditors

Short term trade 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

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

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

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

Fixed asset investments

Fixed asset investments are recognised at cost, inclusive of any directly attributable transaction costs. Cost represents the amount of cash or cash equivalents paid, or the fair value of other consideration given, to acquire the investment at the date of the transaction.

3.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

11,072,366

9,673,728

Social security costs

851,932

504,206

Other pension costs

245,786

84,481

12,170,084

10,262,415

The average number of employees during the year was as follows:

2025

2024

Employees

258

130

The average number of employees by undertakings that were proportionately consolidated during the year was 4 (2024 - 52 ) .