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

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Emmex Freight Services Ltd. is a private company limited by shares incorporated in England and Wales. The registered office is Emmex Freight Services Limited, Lynefield Park, Ashington, Northumberland, United Kingdom, NE63 9YH.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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

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

Emmex Freight Services Ltd exhibited a loss after tax of £(102,800) during the year ended 31 May 2025 with net current liabilities at that date being £(150,976) albeit with net assets being £46,973.true

It is noted that Emmex Freight Services Ltd (the Company) is a member of the M.J. Hickey Plant Hire & Contracts Limited group of companies (the Group) and - in the context of the net current liability position detailed above - the Company receives financial support from other members of the Group when required. The Directors of the Company hence consider that the going concern position of the Company should be assessed in the context of the going concern position of the wider Group.

At the Group level consolidated EBITDA is noted to have improved from circa £645,000 in the year ended 31 May 2024 to circa £2,020,000 for the year ended 31 May 2025.

The status of any outstanding tax liabilities has also improved, with our HMRC debt either repaid in full (for M.J. Hickey Plant Hire & Contracts Limited) or time to pay arrangements secured and up to date (for R. Thornton & Co. Ltd and Emmex Freight Services Ltd). In addition, ongoing amounts due to HMRC are up to date.

The Group anticipates EBITDA for the year ended 31 May 2026 improving against 2025 outcomes allowing for certain non-recurring income streams.

The Company and Group have prepared budgets and associated cashflow forecasts for the year ending 31 May 2027 that allow for a continued uplift in performance levels and operational cash generation (approximated by EBITDA). The cashflow forecasts also allow for inflows from a Group property related transaction that is expected to complete in the near future.

The Directors of the Company and the Group are confident that the budgets and cashflow forecasts should be achievable allowing for expected activity levels and operational plans, which include continuing to review group operations to further raise business efficiency in various areas including cost savings, job costing and margin management.

If outcomes differ from those expected in the budgets and cashflow forecasts then the Company and Group may require some additional funding during the year ending 31 May 2027 over and above the headroom that is anticipated on existing finance facilities (which it is expected will continue for the foreseeable future on unchanged terms).

Should additional funding be required the Company and Group are considering a number of options – including working capital management, raising of debt finance and the refinancing of equity on plant and machinery assets – and are confident that additional funding will be accessible as required. However the Directors acknowledge that a material uncertainty that may cast doubt on the Company’s ability to continue as a going concern remains.

As noted above the Directors of the Company and the Group are confident that the budgets and cashflow forecasts should be achievable allowing for expected activity levels and operational plans and they are also considering a number of options to raise additional funding should this be required.

Subject to the uncertainties noted above the Directors of the Company hence have a reasonable expectation that the Company has adequate resources – to include financial support from other members of the Group when required – to continue in operational existence for the foreseeable future (this being a period of at least twelve months from the date of approval of these financial statements). As such the Company therefore continues to adopt the going concern basis in preparing these financial statements.

Revenue comprises sales of goods or services provided to customers net of value added tax and other sales taxes, less an appropriate deduction for actual and expected returns and discounts. Revenue is recognised when performance obligations are satisfied and the control of goods or services is transferred to the buyer. Where the performance obligation is satisfied over time, revenue is recognised in accordance with its progress towards complete satisfaction of that performance obligation.

When cash inflows are deferred and represent a financing arrangement, the promised consideration is adjusted for the effects of the time value of money, which is recognised as interest income.

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

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

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

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

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

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

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

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

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

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

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

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

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

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

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

The company has an invoice financing facility in place for certain trade debtors. The gross amount of financed debts is included in trade debtors, with the proceeds received from the finance company being included in creditors: amounts falling due within one year.

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

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

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

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

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

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

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

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

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. Those held under hire purchase agreements are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

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

Included within trade debtors are balances totalling £232,650 (2024: £305,234) that are subject to invoice finance arrangements. The balances do not qualify for derecognition on the basis that the risks re late or non-payment are retained by the company. The associated liability recognised in creditors re funds drawndown from the finance company amounts to £186,352 (2024: £193,931).

At 31 May 2025 other creditors totalling £186,352 are secured by a charge dated 28 June 2024 that contains fixed and floating charges over the undertaking and all property and assets present and future.

In the comparative period other creditors totalling £193,931 were secured by a charge dated 28 August 2007 that contained fixed and floating charges over the undertaking and all property and assets present and future. This charge was released on 15 November 2024.

In addition at 31 May 2025 £311,946 (2024: £224,251) of obligations under hire purchase agreements (as included in other creditors) were secured on the relevant assets.

At 31 May 2025 £727,728 (2024: £752,919) of obligations under hire purchase agreements were secured on the relevant assets.

A Ordinary shares are entitled to one vote in any circumstances. Each share is entitled pari passu to dividend payments or any other distribution but carries no right to fixed income. Each share is entitled pari passu to participate in a distribution arising from a winding up of the company.

B Ordinary shares are entitled to one vote in any circumstances. Each share is entitled pari passu to dividend payments or any other distribution but carries no right to fixed income. Each share is entitled pari passu to participate in a distribution arising from a winding up of the company.

Other reserves reflect a capital contribution recognised during the year ended 31 May 2025 by Emmex Freight Services Ltd from its immediate parent company, R Thornton & Co Limited.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.

The auditor's report is unqualified and includes the following:

Material uncertainty related to going concern

We draw attention to note 1.2 in the financial statements, which indicates that the company exhibited a loss after tax of £(102,800) during the year ended 31 May 2025 with net current liabilities at that date being £(150,976) albeit with net assets being £46,973.

It is also noted in note 1.2 that Emmex Freight Services Ltd (the Company) is a member of the M.J. Hickey Plant Hire & Contracts Limited group of companies (the Group) and that the Company receives financial support from other members of the Group when required. The directors of the Company hence consider that the going concern position of the Company should be assessed in the context of the going concern position of the wider Group.

The narrative in the note refers to a number of matters that the directors consider are relevant regarding the future of the Company (in the context of the Group) including:

• post year end performance, activity levels and operational plans;

• the positions showing in the Company and Group budgets and cashflow forecasts and - if outcomes differ from those in the budgets and cashflow forecasts - the fact that the Company and Group may require some additional funding during the year ending 31 May 2027 over and above the headroom on existing finance facilities (which the directors expect will continue for the foreseeable future on unchanged terms); and

• the fact that the Company and Group are confident that additional funding will be accessible as required from a number of options that are under consideration.

As stated in note 1.2, these events or conditions, along with other matters set forth in note 1.2, indicate that a material uncertainty exists that may cast doubt on the Company’s ability to continue as a going concern.

Our opinion is not modified in respect of this matter.

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.

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

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 May 2025 and of its loss 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.

Emmex Freight Services is a guarantor of a hire purchase obligation of its immediate parent company R Thornton & Co Limited. The relevant obligation outstanding from R Thornton & Co to the lender at the balance sheet date was circa £750,000 (2024: circa £900,000).

In addition, during the year, Emmex Freight Services became a guarantor of invoice finance and certain other debt obligations outstanding in R Thornton & Co and MJ Hickey Plant Hire and Contracts Limited (the ultimate parent company of Emmex Freight Services). The relevant obligations outstanding from R Thornton & Co and MJ Hickey Plant Hire and Contracts at the balance sheet date were circa £2,125,000.

Of this figure circa £2,000,000 is secured by the charge dated 28 June 2024 that contains fixed and floating charges over the undertaking and all property and assets present and future.

At the balance sheet date the immediate parent company was R. Thornton & Co. Ltd and the ultimate parent company was M.J. Hickey Plant Hire & Contracts Limited. The parent of the smallest group of which Emmex Freight Services Ltd is a member and for which consolidated financial statements are drawn up is M.J. Hickey Plant Hire & Contracts Limited, a company incorporated in England and Wales with a registered office at Linton Industrial Estate, Linton, Morpeth, Northumberland, NE61 5SD.