REGISTERED NUMBER: SC691407 (Scotland)

ENVICO ALBA LIMITED

FINANCIAL STATEMENTS

FOR THE YEAR ENDED

30 SEPTEMBER 2025

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

M W Ingram-Jones

A Jenkins

REGISTERED OFFICE:

22-28 Napier Pl

Wardpark North

Cumbernauld

Glasgow

G68 0LL

REGISTERED NUMBER:

SC691407 (Scotland)

AUDITORS:

Bevan Buckland Audit Ltd (Statutory Auditors)

Ground Floor Cardigan House

Castle Court

Swansea Enterprise Park

Swansea

SA7 9LA

FIXED ASSETS

Tangible assets

4

111,308

2,249,474

CURRENT ASSETS

Stocks

283,176

216,659

Debtors

5

113,842

35,008

Cash at bank

3,669

168,220

400,687

419,887

CREDITORS

Amounts falling due within one year

6

909,215

3,544,881

NET CURRENT LIABILITIES

(508,528

)

(3,124,994

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(397,220

)

(875,520

)

PROVISIONS FOR LIABILITIES

19,248

19,248

NET LIABILITIES

(416,468

)

(894,768

)

CAPITAL AND RESERVES

Called up share capital

89,000

89,000

Retained earnings

(505,468

)

(983,768

)

(416,468

)

(894,768

)

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

In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 13 March 2026 and were signed on its behalf by:

M W Ingram-Jones - Director

1.	STATUTORY INFORMATION

Envico Alba Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company 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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going Concern

The directors are required to assess the going concern basis of the company at the period end date. The company started trading towards the end of FY 2023. As such, the company is currently reliant on the funds provided by the parent and fellow group company. The directors have confirmed that the support of the parent company and group is ongoing for the foreseeable future.

The directors have reasonable expectation that the company will have adequate resources to continue in operational existence for the foreseeable future.They continue to adopt the going concern basis of accounting within the financial statements.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements:

Work in Progress / Finished Goods Stock

WIP and Finished Goods is measured on the percentage of completion basis. This results in the value of WIP and Finished Goods being estimated based on the proportion of the expected costs for each item of stock.

Stock Provision

Obsolete and damaged stock is reviewed on a monthly basis during stocktakes and is adjusted accordingly at that time. Any provision required for slow moving stock is assessed at year end and a specific provision is raised on any goods with no movement in the last 12 months for which they have no specific use identified in the foreseeable future.

Turnover

The turnover shown in the profit and loss account represents amounts invoiced during the period for manufacturing GRP structures,exclusive of Value Added Tax.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Tangible fixed assets

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

Land and buildings

-

2% on cost

Plant and machinery etc

-

33% on cost, 10% on cost and Straight line over 10 years

Impairment of financial assets

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

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

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

Stocks and work in progress

Stock and Work in Progress is valued at the lower of cost and net realisable value. Cost is that expenditure which has been incurred in the normal course of business in bringing each project to its present location and condition. This includes finance costs where specific project funding is in place. Net realisable value is based on estimated selling, price less future costs to completion and selling costs. Cost is determined on a first in first out basis.

Financial instruments

Basic financial assets

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.

Derecognition of financial assets

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

Classification of 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 deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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.

Derecognition of financial liabilities

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

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash at bank and in hand

Cash at bank and in hand 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 arc shown within borrowings in current liabilities.

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.

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.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 32 (2024 - 23 ) .

4.	TANGIBLE FIXED ASSETS

Improvements

Freehold

to

Plant and

property

property

Machinery

£

£

£

COST

At 1 October 2024

1,411,918

413,083

450,805

Disposals

(1,411,918

)

(413,083

)

(322,630

)

At 30 September 2025

-

-

128,175

DEPRECIATION

At 1 October 2024

-

-

66,019

Charge for year

-

-

15,535

Eliminated on disposal

-

-

(48,662

)

At 30 September 2025

-

-

32,892

NET BOOK VALUE

At 30 September 2025

-

-

95,283

At 30 September 2024

1,411,918

413,083

384,786

Fixtures

and

Motor

fittings

vehicles

Totals

£

£

£

COST

At 1 October 2024

42,889

28,138

2,346,833

Disposals

-

-

(2,147,631

)

At 30 September 2025

42,889

28,138

199,202

DEPRECIATION

At 1 October 2024

13,363

17,977

97,359

Charge for year

14,283

9,379

39,197

Eliminated on disposal

-

-

(48,662

)

At 30 September 2025

27,646

27,356

87,894

NET BOOK VALUE

At 30 September 2025

15,243

782

111,308

At 30 September 2024

29,526

10,161

2,249,474

In 2025, the company completed the sale of a property to its parent company, Morgan GRP Limited, for a consideration of £1.825 million. The sale price was supported by an independent third-party valuation. In anticipation of this transaction, an impairment loss of £1.219 million was recognised in the 2024 financial statements, reflecting the difference between the property's carrying value and its recoverable amount. This impairment was disclosed as an exceptional item in 2024 due to its size and nature.

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

7,950

9,074

Amounts owed by group undertakings

25,647

-

Other debtors

80,245

25,934

113,842

35,008

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade creditors

333,130

355,639

Amounts owed to group undertakings

395,769

2,965,888

Taxation and social security

92,421

79,684

Other creditors

87,895

143,670

909,215

3,544,881

7.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Henry Lloyd-Davies (Senior Statutory Auditor)

for and on behalf of Bevan Buckland Audit Ltd (Statutory Auditors)

8.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 30 September 2025 and 30 September 2024:

2025

2024

£

£

A Jenkins

Balance outstanding at start of year

-

-

Amounts advanced

10,000

-

Amounts repaid

-

-

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

10,000

-

Amounts owed by directors are repayable on demand and interest free. The balance at 30.09.2025 was repaid within 9 months of the year end.

9.	RELATED PARTY DISCLOSURES

Morgan GRP Limited is the parent company of Envico Alba Limited. On 4 February 2025, Morgan GRP Limited increased its ownership in Envico Alba Limited from 57% to 85%.

Sales and purchases of goods to/(from) Group companies

2025

2024

£

£

Sales of goods to Group companies

3,002,631

1,762,135

Purchases of goods from Group companies

134,525

8,404

Recharges from Group Companies

-

234

Recharges to Group Companies

60,000

300,000

Rent charged by Group Companies

177,587

3.000

Proceeds from sale of assets to Group Companies

2,098,968

285,000

Sales and purchases are made at cost

Year end balances

2025

2024

£

£

Morgan GRP Limited (Debtor/ (creditor)

25,646

(2,073,602

)

Envico Engineering Limited (Debtor/ (creditor)

(359,769

)

(892,566

)

These balances are interest free and repayable on demand.

10.	ULTIMATE CONTROLLING PARTY

The company’s immediate and ultimate parent undertaking is Morgan GRP Limited, which owns 85% of the issued share capital of Envico Alba Limited. Morgan GRP is incorporated in England and Wales and prepares consolidated financial statements. Copies of those financial statements are available from its registered office.

11.	GOING CONCERN

The reported profit for the year ended 30 September 2025 is £254,636. As of 30 September 2025, the company has accumulated negative retained earnings of £640,131..The accumulated losses at 30 September 2025 are primarily due to a one-off impairment loss recognised in the prior year and the fact that the company only completed its first full year of trading last year.

The directors have a reasonable expectation that the company will return to profitability in future periods. At present, the company’s ability to continue as a going concern is dependent on financial support from its parent and fellow group company. The directors have confirmed that the support of the parent company and group is ongoing for the foreseeable future.

Accordingly, the financial statements have been prepared on a going concern basis and do not include any adjustments that might be necessary should the company be unable to continue operating under this assumption.