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Registered number: 05617487









I2O WATER LTD
FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2025

 
I2O WATER LTD
 

CONTENTS



Page
Consolidated Statement of Financial Position
 
1 - 2
Company Statement of Financial Position
 
3 - 4
Consolidated Statement of Changes in Equity
 
5
Company Statement of Changes in Equity
 
6
Notes to the Financial Statements
 
7 - 21


 
I2O WATER LTD
REGISTERED NUMBER: 05617487

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2025

2025
2024
Note
£
£

Fixed assets
  

Tangible assets
 5 
45
419

Current assets
  

Stocks
 7 
898,968
1,154,653

Debtors: amounts falling due within one year
 8 
884,160
855,487

Cash at bank and in hand
  
777,150
1,083,734

  
2,560,278
3,093,874

Creditors: amounts falling due within one year
 9 
(2,021,146)
(1,726,811)

Net current assets
  
 
 
539,132
 
 
1,367,063

Total assets less current liabilities
  
539,177
1,367,482

Creditors: amounts falling due after more than one year
 10 
(607,099)
(756,867)

 
Provisions for liabilities
  

Other provisions
 11 
(208,048)
(165,163)

Net (liabilities)/assets
  
(275,970)
445,452


Capital and reserves
  

Called up share capital 
 12 
12,398,638
10,533,638

Share premium account
 13 
36,385,575
36,385,575

Other reserves
 13 
5,545,691
5,545,691

Profit and loss account
 13 
(54,605,874)
(52,019,452)

Total equity
  
(275,970)
445,452


Page 1

 
I2O WATER LTD
REGISTERED NUMBER: 05617487

CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 30 SEPTEMBER 2025

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the consolidated statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on
24 June 2026.




Mr A J Donnelly
Director

The notes on pages 7 to 21 form part of these financial statements.

Page 2

 
I2O WATER LTD
REGISTERED NUMBER: 05617487

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2025

2025
2024
Note
£
£

Fixed assets
  

Investments in subsidiaries
 6 
-
8,729

 
Current assets
  

Stocks
 7 
809,634
1,073,598

Debtors
 8 
1,145,144
788,162

Cash at bank and in hand
  
325,743
916,913

  
2,280,521
2,778,673

Creditors: amounts falling due within one year
 9 
(1,720,677)
(1,419,489)

Net current assets
  
 
 
559,844
 
 
1,359,184

Total assets less current liabilities
  
559,844
1,367,913

Creditors: amounts falling due after more than one year
 10 
(501,553)
(678,744)

 
Provisions for liabilities
  

Other provisions
 11 
(208,048)
(165,163)

Net (liabilities)/assets
  
(149,757)
524,006


Capital and reserves
  

Called up share capital 
 12 
12,398,638
10,533,638

Share premium account
 13 
36,385,575
36,385,575

Capital contribution reserve
 13 
5,545,691
5,545,691

Profit and loss account
 13 
(54,479,661)
(51,940,898)

Total equity
  
(149,757)
524,006


Page 3

 
I2O WATER LTD
REGISTERED NUMBER: 05617487

COMPANY STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 30 SEPTEMBER 2025

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements. The loss after tax of the Company for the year ended 30 September 2025 was £2,538,763 (2024: £1,984,471).

The Company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the consolidated statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on
24 June 2026.


Mr A J Donnelly
Director

The notes on pages 7 to 21 form part of these financial statements.

Page 4

 
I2O WATER LTD
 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2025


Called up share capital
Share premium account
Capital contribution reserve
Profit and loss account
Total equity

£
£
£
£
£


At 1 October 2023
10,533,638
36,385,575
5,545,691
(49,620,765)
2,844,139



Loss for the year
-
-
-
(2,187,775)
(2,187,775)

Currency translation differences
-
-
-
(210,912)
(210,912)
Total comprehensive loss for the year
-
-
-
(2,398,687)
(2,398,687)



At 30 September 2024 and 1 October 2024
10,533,638
36,385,575
5,545,691
(52,019,452)
445,452



Loss for the year
-
-
-
(2,573,191)
(2,573,191)

Currency translation differences
-
-
-
(13,231)
(13,231)
Total comprehensive loss for the year
-
-
-
(2,586,422)
(2,586,422)

Shares issued during the year
1,865,000
-
-
-
1,865,000


At 30 September 2025
12,398,638
36,385,575
5,545,691
(54,605,874)
(275,970)


The notes on pages 7 to 21 form part of these financial statements.

Page 5

 
I2O WATER LTD
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2025


Called up share capital
Share premium account
Capital contribution reserve
Profit and loss account
Total equity

£
£
£
£
£


At 1 October 2023
10,533,638
36,385,575
5,545,691
(49,956,427)
2,508,477



Loss for the year
-
-
-
(1,984,471)
(1,984,471)



At 30 September 2024 and 1 October 2024
10,533,638
36,385,575
5,545,691
(51,940,898)
524,006



Loss for the year
-
-
-
(2,538,763)
(2,538,763)

Shares issued during the year
1,865,000
-
-
-
1,865,000


At 30 September 2025
12,398,638
36,385,575
5,545,691
(54,479,661)
(149,757)


The notes on pages 7 to 21 form part of these financial statements.

Page 6

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

1.


General information

i2O Water Ltd (the "Company") (company number: 05617487), having its registered office and trading address at Unit 2, Vancouver Wharf, Hazel Road, Woolston, Southampton, SO19 7BN, is a private limited company incorporated in England and Wales. The nature of the Company's operations and its principal activities are set out in the Directors' Report.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The consolidated financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland, and the Companies Act 2006. The 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 following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

  
2.3

Statement of Cash Flows

The Company has taken advantage of the exemption in Section 1A.7 of Financial Reporting Standard 102 from the requirement to produce a Statement of Cash Flows on the grounds that it is a small company.

Page 7

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.4

Going concern

The financial statements have been prepared on a going concern basis. In adopting this basis, the directors have assessed the Company’s ability to continue in operational existence for a period of at least 12 months from the date of approval of the financial statements, in accordance with Financial Reporting Standard 102 and applicable company law.

The Group incurred a loss for the financial year of £2,573,191 
(2024: £2,187,775), and as at 30 September 2025 had net liabilities of £275,970 at Group level (2024: net assets of £445,452) and net liabilities of £149,757 at Company level (2024: net assets of £524,006).

In forming their conclusion, the directors have considered the ongoing financial support available from the Company’s ultimate parent undertaking, Mueller Water Products Inc., which is the ultimate controlling party of the Group.  The Company is part of a wider group structure and has historically relied on financial and operational support from its parent and fellow group undertakings in order to meet its obligations as they fall due.

The directors have received confirmation from the ultimate parent undertaking that it will provide financial support to the Company as required to enable it to continue to meet its liabilities as they fall due for a period of not less than 12 months from the date of approval of these financial statements. This support includes the provision of funding, where necessary, and continued operational backing.

Based on the continued availability of this group support, together with the directors’ review of the Company’s forecast cash flows and trading expectations, the directors have a reasonable expectation that the Company will have adequate resources to continue in operational existence for the foreseeable future. Accordingly, they have adopted the going concern basis in preparing these financial statements.

 
2.5

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is Sterling (GBP).

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Consolidated Statement of Comprehensive Income.

On consolidation, the results of overseas operations are translated into Sterling at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.

Page 8

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.6

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Group and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Turnover principally comprises turnover recognised by the Group in respect of the sale of water pressure management solutions. The solutions comprise the following elements:

Hardware Products
Sales of hardware products, comprising electronic and mechanical devices, are recognised when the goods have been shipped to a third party customer or reseller in response to receipt of a valid purchase order. Software supplied that is incidental to the hardware being supplied is also recognised using this methodology.

Software Services Fees
Turnover from cloud based software services is recognised on a straight-line basis over the contracted period (the definitive obligation period) provided that all of the following criteria have been met:
 
Persuasive evidence of an arrangement exists, such as a signed contract or purchase order;
Delivery has occurred and no future elements to be delivered are essential to the functionality of the delivered element;
The fee is fixed or determinable; and
Collectability is probable.

Unearned amounts are carried forward in the Consolidated Statement of Financial Position as deferred income.

Professional Services
Turnover and profits from the provision of professional services, such as installation, implementation, technical consultancy and training, are recognised on a percentage-of-completion basis, as costs incurred relate to total costs for the contract, when the outcome of a contract can be reliably estimated.

Determining whether a contract's outcome can be estimated reliably requires management to exercise judgment, whilst calculation of the contract's profit requires estimates of the total contract costs to completion. Cost estimates and judgments are continually reviewed and updated as determined by events or circumstances.

Where the outcome of the contract cannot be estimated reliably, the turnover and profits are recognised in full on completion, except where that value can be clearly divided into separate distinct deliverables, in which case the revenue and profits relating to each deliverable are recognised on completion.

Solutions
Contracts for the delivery of solutions comprising multiple of the above mentioned elements are unbundled where possible and turnover is recognised based on the accounting policy appliable to each constituent part. The consideration allocated to each element is measured by reference to their fair value as evidenced by vendor specific objective evidence.

Where objective unbundling of a solution is not possible, turnover is recognised rateably over the performance of the contract.

Page 9

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.7

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
       25-50% straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated Statement of Comprehensive Income.

 
2.8

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment. Where merger relief is applicable, the cost of the investment in a subsidiary undertaking is measured at the nominal value of the shares issued together with the fair value of any additional consideration paid.

 
2.9

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Consolidated Statement of Comprehensive Income.

 
2.10

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.

 
2.11

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.

 
2.12

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 10

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.13

Financial instruments

The Group has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Group has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Consolidated Statement of Financial Position when the Group becomes party to the contractual provisions of the instrument.

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

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial assets have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the assets' original effective interest rate. The impairment is recognised in the Consolidated Statement of Comprehensive Income.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Consolidated Statement of Comprehensive Income.

Basic 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 Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Page 11

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)


2.13
Financial instruments (continued)


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

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

Other financial instruments

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

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

 
2.14

Interest income

Interest income is recognised in the Consolidated Statement of Comprehensive Income using the effective interest method.

 
2.15

Finance costs

Finance costs are charged to the Consolidated Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 12

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.16

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to the Consolidated Statement of Comprehensive Income on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.17

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are charged as an expense to the Consolidated Statement of Comprehensive Income in the year that the Group becomes aware of the obligation. When payments are eventually made, they are charged to the provision carried in the Consolidated Statement of Financial Position.

Warranty provision

The Group's hardware products have customer warranties attached to them.

The warranty provision reflects the directors' best estimate of the future cost of warranty work in relation to products sold on or before the Consolidated Statement of Financial Position date.

 
2.18

Taxation

Tax is recognised in the Consolidated Statement of Comprehensive Income except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current corporation tax charge or credit is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company and the Group operate and generate income.


 
2.19

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in the Consolidated Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Consolidated Statement of Financial Position. The assets of the plan are held separately from the Group in independently administered funds.

Page 13

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

2.Accounting policies (continued)

 
2.20

Research and development

Research and development costs are expensed in the Consolidated Statement of Comprehensive Income as incurred.

 
2.21

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Group but are presented separately due to their size or incidence.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the process of applying its accounting policies, management is required to make certain estimates, judgments and assumptions that it believes are reasonable based on the information available. These estimates, judgments and assumptions affect the amounts of assets and liabilities at the date of the financial statements and the amounts of revenues and expenses recognised during the report periods presented.

The following paragraphs detail the estimates and judgments that management believes to have the most significant impact on the annual results under FRS 102.

Going concern
Management has determined that the financial statements should be prepared on the going concern basis. Please refer to the going concern accounting policy at 2.4 for details on how management have reached this conclusion.

Stock valuation
At each year-end, an impairment against stock is recognised on a line by line basis. This is based on management's review of the year-end stock listing and inspection of physical inventory, and takes into consideration any slow-moving or faulty stock items which may indicate obsolesence.

Bad debt provision
Management will review all outstanding debts and provide for those which they consider to be no longer recoverable. This is based on the length of time the debt has been outstanding for and the customer history.

Warranty provision
The warranty provision recognised at the reporting date is based on management's assessment of the expected future costs arising from warranty obligations relating to products sold on or before the year-end. In determining the provision, consideration is given to the likelihood of warranty claims and the anticipated costs of product replacements, returns and any associated loss of revenue.

Page 14

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

4.


Employees

Staff costs, including directors' remuneration, were as follows:


Group
Group
Company
Company
2025
2024
2025
2024
£
£
£
£


Wages and salaries
2,785,920
2,745,574
2,528,305
2,593,450

Social security costs
420,274
379,819
388,175
357,712

Cost of defined contribution scheme
224,732
217,483
208,592
209,219

3,430,926
3,342,876
3,125,072
3,160,381


The average monthly number of employees, including the directors, during the year was as follows:



Group
Group
Company
Company
        2025
        2024
        2025
        2024
            No.
            No.
            No.
            No.









Production and support
12
13
10
11



Sales and marketing
3
3
1
1



Product development
16
16
16
16



Administration
5
5
4
4

36
37
31
32


5.


Tangible fixed assets

Group



Plant and machinery

£



Cost


At 1 October 2024 and 30 September 2025
414,423



Depreciation


At 1 October 2024
414,004


Charge for the year
374



At 30 September 2025

414,378



Net book value



At 30 September 2025
45



At 30 September 2024
419

Page 15

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

Company






Plant and machinery

£

Cost


At 1 October 2024 and 30 September 2025
409,119



Depreciation


At 1 October 2024 and 30 September 2025
409,119



Net book value



At 30 September 2025
-



At 30 September 2024
-






Page 16

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

6.


Fixed asset investments

Company





Investments in subsidiary companies

£





At 1 October 2024
8,729


Additions
65,000


Amounts written off
(73,729)



At 30 September 2025
-


7.


Stocks

Group
Group
Company
Company
2025
2024
2025
2024
£
£
£
£

Raw materials and consumables
820,439
841,903
731,105
823,867

Finished goods and goods for resale
78,529
312,750
78,529
249,731

898,968
1,154,653
809,634
1,073,598



8.


Debtors

Group
Group
Company
Company
2025
2024
2025
2024
£
£
£
£

Amounts due within one year

Trade debtors
157,149
315,501
62,140
27,578

Amounts owed by group undertakings
458,350
276,262
881,076
615,766

Other debtors
179,196
210,117
120,649
95,166

Prepayments and accrued income
89,465
53,607
81,279
49,652

884,160
855,487
1,145,144
788,162


Group

Included in amounts owed by group undertakings is an amount of £458,350 (2024: £276,262) which is unsecured, interest-free and repayable on demand.

Company

Included in amounts owed by group undertakings is an amount of £881,076 (2024: £615,766) which is unsecured, interest-free and repayable on demand.
 

Page 17

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

9.


Creditors: amounts falling due within one year

Group
Group
Company
Company
2025
2024
2025
2024
£
£
£
£

Trade creditors
303,642
133,515
300,877
132,683

Amounts owed to group undertakings
10,240
-
5,183
-

Corporation tax
16,313
1,703
-
-

Other tax and social security
65,757
94,098
57,846
63,766

Other creditors
65,645
134,833
22,673
67,082

Accruals and deferred income
1,559,549
1,362,662
1,334,098
1,155,958

2,021,146
1,726,811
1,720,677
1,419,489


Group

Included in amounts owed to group undertakings is an amount of £10,240 (2024: £Nil) which is unsecured, interest-free and repayable on demand.

Company

Included in amounts owed to group undertakings is an amount of £5,183 (2024: £Nil) which is unsecured, interest-free and repayable on demand.
 


10.


Creditors: amounts falling due after more than one year

Group
Group
Company
Company
2025
2024
2025
2024
£
£
£
£

Accruals and deferred income
607,099
756,867
501,553
678,744



11.


Provisions


Group and Company






Warranty provision

£





At 1 October 2024
165,163


Charged to the Consolidated Statement of Comprehensive Income
42,885



At 30 September 2025
208,048

All of the Group's provisions are held in the Parent Company.

Page 18

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

12.


Share capital

2025
2024
£
£
Allotted, called up and fully paid



12,398,638 (2024 - 10,533,638) Ordinary shares shares of £1.00 each
12,398,638
10,533,638


An additional 1,865,000 ordinary shares of £1.00 each were issued at par during the year.


13.


Reserves

Share premium account

The share premium account includes the premium on issue of equity shares, net of any issue costs.

Capital contribution reserve

The reserve arose from historic group restructuring.

Profit and loss account

The profit and loss account represents cumulative profits or losses, net of dividends paid and other adjustments.

Page 19

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

14.


Prior year adjustment

During the year ended 30 September 2025, the Directors have identified that there were errors in the previous year's financial statements.

The Directors consider that a prior year adjustment is necessary in order to accurately reflect the true financial position of the Company and Group as at 30 September 2024.

Separate recognition of IP recharge income

Historically, IP recharge income in the prior year totalling £1,173,421 has been offset within cost of sales (£908,117) and administrative expenses (£265,304). A prior year adjustment has been made to remove the offsetting of IP recharge income and recognise it separately within turnover, for the year ended 30 September 2024.

The same accounting treatment has been applied for the year ended 30 September 2025 and will continue to be applied in future accounting periods, provided the Directors consider it appropriate to do so.

Impact on these financial statements

For the prior year ended 30 September 2024:
 
Group turnover has been restated to £3,793,934 from £2,620,513.
 
Group cost of sales has been restated to £1,798,912 from £890,795.
 
Group administrative expenses has been restated to £4,328,002 from £4,062,698.
 
Group gross profit has been restated to £1,995,022 from £1,729,718.
 
There was no impact on loss for the year or total equity of the Company or Group.


15.


Pension commitments

The Group operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £224,732 (2024: £217,483). Contributions totalling £Nil (2024: £17,580) were payable to the fund at the reporting date and are included in other creditors.


16.


Commitments under operating leases

At 30 September 2025 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group

Group
Company

Company
2025
2024
2025
2024
£
£
£
£

Not later than 1 year
12,525
20,500
12,525
20,500

Later than 1 year and not later than 5 years
-
12,525
-
12,525

12,525
33,025
12,525
33,025

Page 20

 
I2O WATER LTD
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2025

17.


Related party transactions

The Company is a wholly-owned subsidiary of Mueller International Holdings Limited, and has taken advantage of the exemption in Section 33.1A of FRS 102 not to disclose transactions with group entities which are wholly owned by a member of a group.


2025
2024
£
£

Key management remuneration
1,073,887
1,109,741

Key management personnel include all directors and a number of senior managers across the Group who together have the authority and responsibility for planning, directing and controlling the activities of the Group.


18.


Controlling party

The immediate parent undertaking is Mueller International Holdings Limited, a company incorporated in England and Wales, with its registered office being Suite 1, 7th Floor 50 Broadway, London, United Kingdom, SW1H 0BL

The ultimate parent undertaking and controlling party is Mueller Water Products Inc., a company incorporated in the United States of America, with its business address located at 1200 Abernathy Road, N.E., Suite 1200, Atlanta, GA 30328, 770-206-4200.

Mueller Water Products Inc., is the parent of the smallest and largest group to consolidate these financial statements. Copies of Mueller Water Products Inc.'s consolidated financial statements can be obtained from the company secretary at Mueller Water Products Inc., 1200 Abernathy Road, N.E., Suite 1200, Atlanta, GA 30328, 770-206-4200.


19.


Auditors' information

The company was subject to an audit for the year ended 30 September 2025. The audit report was issued with an unqualified opinion and signed on 25 June 2026 by Chris Gent BA FCA (Senior Statutory Auditor) on behalf of Wilder Coe Ltd.

Page 21