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Registered number: 15981568









MAGIE Investments Limited









Annual Report and Financial Statements

For the period ended 31 December 2025

 
MAGIE Investments Limited
 
 
Company Information


Directors
A Edwards (appointed 26 September 2024)
G W Edwards (appointed 26 September 2024)
M J Edwards (appointed 26 September 2024)




Registered number
15981568



Registered office
1 Drake Mews
Gadbrook Park

Rudheath

Northwich

CW9 7XF




Independent auditors
Hurst Accountants Limited
Chartered Accountants & Statutory Auditors

3 Stockport Exchange

Stockport

SK1 3GG





 
MAGIE Investments Limited
 

Contents



Page
Group strategic report
 
1 - 2
Directors' report
 
3 - 4
Independent auditors' report
 
5 - 8
Consolidated statement of comprehensive income
 
9
Consolidated balance sheet
 
10
Company balance sheet
 
11
Consolidated statement of changes in equity
 
12
Company statement of changes in equity
 
13
Consolidated statement of cash flows
 
14 - 15
Consolidated analysis of net debt
 
16
Notes to the financial statements
 
17 - 38


 
MAGIE Investments Limited
 
 
Group Strategic Report
For the period ended 31 December 2025

Introduction
 
The directors present their strategic report for the period ended 31 December 2025.

Business review
 
MAGIE Investments Limited was incorporated on 26 September 2024. On 24 October 2024, the Company acquired 100% of the issued share capital in Timberwise Holdings Limited and its subsidiaries. The results for Timberwise Holdings Limited and its subsidiaries have been consolidated into MAGIE Investments Limited for the extended 15-month period ended 31 December 2025.

The directors are pleased to report that in 2025 the Group has enjoyed a successful period of trading despite the challenging economic environment and uncertainty within the industry.

During the period, the Group continued to focus on delivering high-quality products and services to its customers whilst maintaining strong operational and financial performance.

The Group continued to invest in its workforce and operational systems throughout the period to support future growth and improve efficiency across the business.

Management remains focused on customer service, efficiency and health & safety whilst continuing to identify opportunities for sustainable growth.

The directors remain pleased with the financial position of the Group and believe the business is well positioned for continued success in the coming year and look forward to posting record growth in 2026.

Principal risks and uncertainties
 
The management of the business and the execution of the Group's strategy are subject to several risks.

Financial Risks
The Group's operations expose it to a limited number of financial risks, primarily credit risk and liquidity risk.

Credit Risk
The Group has taken appropriate measures to evaluate and mitigate credit risk. Credit checks are undertaken for new customers, and all customers are continually monitored through strict credit control processes.

Liquidity Risk
Cash flow is monitored to ensure sufficient funds are always available for operational requirements.

Non-Financial Risks
Non-financial risks are monitored on a regular basis by the Board.

Market and Competition Risks
The Group operates in a competitive market and faces the risk of reduced demand arising from increased competition, changing customer preferences and broader economic conditions. The Group continually seeks to increase its customer base and to identify more key customers.

The directors believe that the quality of the product and customer services will help mitigate these risks and hope to see continued growth and record trading results in the coming year.

Page 1

 
MAGIE Investments Limited
 

Group Strategic Report (continued)
For the period ended 31 December 2025

Staff training and development

The directors believe that it is important to continue to develop the level of knowledge, skill and expertise of all staff across the company and this is a core tenet of the business.

Health and safety policy

The health and welfare of all staff remains a key priority, and the directors are committed to continually improving health and safety. 

Financial key performance indicators
 
The key financial indicators of the business are Turnover, Gross Profit, Profit Before Tax and Profit for the Financial Period.

Performance against these KPIs in the period is summarised below:


15 month period ended 31 December 2025

£
Turnover
17,130,740
Gross Profit
9,690,917
Profit Before Tax
206,219
Loss for the Financial Period
(21,633)



This report was approved by the board and signed on its behalf.



G W Edwards
Director

Date: 25 June 2026

Page 2

 
MAGIE Investments Limited
 
 
 
Directors' Report
For the period ended 31 December 2025

The directors present their report and the financial statements for the period ended 31 December 2025.

Directors' responsibilities statement

The directors are responsible for preparing the group strategic report, the directors' report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Group's financial statements and then apply them consistently;

make judgments 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 Group will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The loss for the period, after taxation, amounted to £21,633.

The parent company declared dividends of £192,941 during the period.

Directors

The directors who served during the period were:

A Edwards (appointed 26 September 2024)
G W Edwards (appointed 26 September 2024)
M J Edwards (appointed 26 September 2024)

Disclosure of information to auditors

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Page 3

 
MAGIE Investments Limited
 
 
 
Directors' Report (continued)
For the period ended 31 December 2025

Auditors

The auditors, Hurst Accountants Limited, were appointed in the period and will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 



G W Edwards
Director

Date: 25 June 2026

Page 4

 
MAGIE Investments Limited
 
 
 
Independent Auditors' Report to the Members of MAGIE Investments Limited
 

Opinion


We have audited the financial statements of MAGIE Investments Limited (the 'parent Company') and its subsidiaries (the 'Group') for the period ended 31 December 2025, which comprise the consolidated statement of comprehensive income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 December 2025 and of the Group's profit for the period then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


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


Conclusions relating to going concern


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


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


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


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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. 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 course of 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.


Page 5

 
MAGIE Investments Limited
 
 
 
Independent Auditors' Report to the Members of MAGIE Investments Limited (continued)


Opinion 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 directors' report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the group strategic report and the directors' report 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 directors' report.


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


adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


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


Page 6

 
MAGIE Investments Limited
 
 
 
Independent Auditors' Report to the Members of MAGIE Investments Limited (continued)


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 an auditors' report 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 Group financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Identifying and assessing potential risks related to irregularities

In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

The nature of the industry and sector in which the company operates; the control environment and business performance including the key drivers for directors' remuneration, bonus levels and performance targets.
The outcome of enquiries of local management and parent company management, including whether management was aware of any instances of non-compliance with laws and regulations, and whether management had knowledge of any actual, suspected, or alleged fraud.
Supporting documentation relating to the Group's policies and procedures for:
        - Identifying, evaluating, and complying with laws and regulations
        - Detecting and responding to the risks of fraud
The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.
The outcome of discussions amongst the engagement team regarding how and where fraud might occur in the financial statement and any potential indicators of fraud.
The legal and regulatory framework in which the Group operates, particularly those laws and regulations which have a direct effect on the financial statements, such as the Companies Act 2006, pensions and tax legislation, or which had a fundamental effect on the operations of the Group, including General Data Protection requirements and Anti-bribery and Corruption.

Audit response to risks identified

Our procedures to respond to the risks identified included the following:

Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the provisions of those relevant laws and regulations which have a direct effect on the financial statements.
Discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud.
Evaluation of the operating effectiveness of management's controls designed to prevent and detect irregularities.
Enquiring of management about any actual and potential litigation and claims.
Performing analytical procedures to identify any unusual or unexpected relationships which may indicate risks of material misstatement due to fraud.
Page 7

 
MAGIE Investments Limited
 
 
 
Independent Auditors' Report to the Members of MAGIE Investments Limited (continued)


We have also considered the risk of fraud through management override of controls by:

Testing the appropriateness of journal entries and other adjustments. We have used data analytics software to identify accounting transactions which pose a heightened risk of material misstatement, whether due to fraud or error.
Challenging assumptions made by management in their significant accounting estimates, and assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and
Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of them. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.


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 auditors' report.


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 2006Our 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 an auditors' report 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.



Ryan Tattler (senior statutory auditor)
for and on behalf of
Hurst Accountants Limited
Chartered Accountants
Statutory Auditors
3 Stockport Exchange
Stockport
SK1 3GG

26 June 2026
Page 8

 
MAGIE Investments Limited
 
 
Consolidated Statement of Comprehensive Income
For the period ended 31 December 2025

31 December
2025
Note
£

Turnover
 4 
17,130,740

Cost of sales
  
(7,439,823)

Gross profit
  
9,690,917

Distribution costs
  
(4,497,570)

Administrative expenses
  
(4,798,988)

Other operating income
 5 
27,248

Operating profit
 6 
421,607

Interest receivable and similar income
 10 
429

Interest payable and similar expenses
 11 
(215,817)

Profit before taxation
  
206,219

Tax on profit
 12 
(227,852)

(Loss)/profit for the financial period
  
(21,633)

(Loss) for the period attributable to:
  

Owners of the parent Company
  
(21,633)

There was no other comprehensive income for 2025.

The notes on pages 17 to 38 form part of these financial statements.

Page 9

 
MAGIE Investments Limited
Registered number: 15981568

Consolidated Balance Sheet
As at 31 December 2025

2025
Note
£

Fixed assets
  

Intangible assets
 14 
5,262,347

Tangible assets
 15 
537,054

Investments
 16 
52,021

  
5,851,422

Current assets
  

Stocks
 17 
76,236

Debtors: amounts falling due within one year
 18 
1,817,875

Cash at bank and in hand
 19 
420,168

  
2,314,279

Creditors: amounts falling due within one year
 20 
(3,700,945)

Net current liabilities
  
 
 
(1,386,666)

Total assets less current liabilities
  
4,464,756

Creditors: amounts falling due after more than one year
 21 
(2,354,681)

Provisions for liabilities
  

Deferred taxation
 24 
(125,039)

Other provisions
 25 
(50,000)

  
 
 
(175,039)

Net assets
  
1,935,036


Capital and reserves
  

Called up share capital 
 26 
1,000

Share premium account
 27 
2,148,610

Profit and loss account
 27 
(214,574)

Equity attributable to owners of the parent Company
  
1,935,036


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 


G W Edwards
Director

Date: 25 June 2026

The notes on pages 17 to 38 form part of these financial statements.

Page 10

 
MAGIE Investments Limited
Registered number: 15981568

Company Balance Sheet
As at 31 December 2025

2025
Note
£

Fixed assets
  

Investments
 16 
6,036,610

Current assets
  

Debtors: amounts falling due within one year
 18 
136,966

Creditors: amounts falling due within one year
 20 
(1,881,176)

Net current liabilities
  
 
 
(1,744,210)

Total assets less current liabilities
  
4,292,400

Creditors: amounts falling due after more than one year
 21 
(2,287,000)

Net assets
  
2,005,400


Capital and reserves
  

Called up share capital 
 26 
1,000

Share premium account
 27 
2,148,610

Profit for the period
  
48,731

Dividends paid

 13 

(192,941)

Profit and loss account carried forward
  
(144,210)

  
2,005,400


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 financial statements were approved and authorised for issue by the board and were signed on its behalf by: 


G W Edwards
Director

Date: 25 June 2026

The notes on pages 17 to 38 form part of these financial statements.

Page 11

 
MAGIE Investments Limited
 

Consolidated Statement of Changes in Equity
For the period ended 31 December 2025


Called up share capital
Share premium account
Profit and loss account
Equity attributable to owners of parent Company
Total equity

£
£
£
£
£


Comprehensive income for the period

Loss for the period
-
-
(21,633)
(21,633)
(21,633)
Total comprehensive income for the period
-
-
(21,633)
(21,633)
(21,633)


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(192,941)
(192,941)
(192,941)

Shares issued during the period
1,000
2,148,610
-
2,149,610
2,149,610


Total transactions with owners
1,000
2,148,610
(192,941)
1,956,669
1,956,669


At 31 December 2025
1,000
2,148,610
(214,574)
1,935,036
1,935,036

The notes on pages 17 to 38 form part of these financial statements.

Page 12

 
MAGIE Investments Limited
 

Company Statement of Changes in Equity
For the period ended 31 December 2025


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

£
£
£
£


Comprehensive income for the period

Profit for the period
-
-
48,731
48,731
Total comprehensive income for the period
-
-
48,731
48,731


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(192,941)
(192,941)

Shares issued during the period
1,000
2,148,610
-
2,149,610


Total transactions with owners
1,000
2,148,610
(192,941)
1,956,669


At 31 December 2025
1,000
2,148,610
(144,210)
2,005,400

The notes on pages 17 to 38 form part of these financial statements.

Page 13

 
MAGIE Investments Limited
 

Consolidated Statement of Cash Flows
For the period ended 31 December 2025

2025
£

Cash flows from operating activities

Profit for the financial period
(21,633)

Adjustments for:

Amortisation of intangible assets
749,351

Depreciation of tangible assets
234,602

Loss on disposal of tangible assets
1,232

Interest paid
215,817

Interest received
(429)

Taxation charge
227,852

Decrease in stocks
13,195

Decrease in debtors
266,567

(Decrease)/increase in creditors
(803,302)

Increase in provisions
50,000

Corporation tax (paid)/received
(227,062)

Net cash generated from operating activities

706,190


Cash flows from investing activities

Purchase of intangible fixed assets
(160,607)

Purchase of tangible fixed assets
(64,308)

Sale of tangible fixed assets
8,153

Acquisition of subsidiaries (net of cash acquired)
697,165

Bank Interest received
429

Hire purchase interest paid
(55,694)

Net cash from investing activities

425,138
Page 14

 
MAGIE Investments Limited
 

Consolidated Statement of Cash Flows (continued)
For the period ended 31 December 2025


2025

£



Cash flows from financing activities

Repayment of loans
(58,334)

Repayment of finance leases
(325,647)

Dividends paid
(192,941)

Bank Interest paid
(9,342)

Deferred consideration interest
(124,896)

Net cash used in financing activities
(711,160)

Net increase in cash and cash equivalents
420,168

Cash and cash equivalents at the end of period
420,168


Cash and cash equivalents at the end of period comprise:

Cash at bank and in hand
420,168


The notes on pages 17 to 38 form part of these financial statements.

Page 15

 
MAGIE Investments Limited
 

Consolidated Analysis of Net Debt
For the period ended 31 December 2025




Cash flows
Acquisition of subsidiaries
At 31 December 2025
£

£

£

Cash at bank and in hand

(276,997)

697,165

420,168

Debt due within 1 year

58,334

(79,167)

(20,833)

Finance leases

325,647

(638,183)

(312,536)


106,984
(20,185)
86,799

The notes on pages 17 to 38 form part of these financial statements.

Page 16

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

1.


General information

MAGIE Investments Limited is a private company, limited by shares, registered in England and Wales, registration number 15981568. The company was incorporated in the United Kingdom. The registered office is 1 Drake Mews Gadbrook Park, Rudheath, Northwich, CW9 7XF.

The Company was incorporated on 26 September 2024 and the financial statements have been prepared for a 15 month period to 31 December 2025. Therefore no comparative information has been disclosed.

The principal activity of the company is that of a holding company. 

The principal activity of the Group is that of building and preservation specialists for both domestic and commercial properties.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The 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 preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgment in applying the Group's accounting policies (see note 3).

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 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 balance sheet, 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

Financial Reporting Standard 102 - reduced disclosure exemptions

The Parent Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

Page 17

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)

 
2.4

Going concern

These financial statements have been prepared on a going concern basis. The Directors, having considered the financial position of the Group for a period of at least twelve months from the date of signing these financial statements, have no reason to believe that a material uncertainty exists that may cast doubt about the ability of the Group to continue as a going concern. The Group reported a profit before tax of £206,219 and net current liabilities of £1,386,666 in FY25. 

The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus, the directors continue to adopt the going concern basis of accounting in preparing the financial statements

 
2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits associated with the transaction will flow to the Group and the amount of revenue can be measured reliably. Revenue is measured at the fair value of the consideration received or receivable, net of discounts, rebates, value added tax and other sales taxes.

The Group generates revenue from the provision of property surveys and specialist property treatment and remedial works, including damp proofing, timber treatment and associated services.

Survey income

Revenue from surveys is recognised when the survey has been completed and the related findings have been delivered to the customer. At this point, the Group's performance obligation has been satisfied and the customer has obtained the benefit of the service provided. Amounts received in advance of surveys being performed are recognised as deferred income within creditors and are released to revenue only when the survey has been completed and the associated report or findings have been provided to the customer.

Property treatment and remedial works

Revenue from damp proofing, timber treatment and other remedial works is recognised as the services are provided to the customer. Where contracts relate to a single project, revenue is recognised when the relevant stage of work has been completed and the customer has obtained the benefit of the services performed.

Customer deposits received prior to the commencement of works are recognised as deferred income within creditors and are not recognised as revenue until the related services have been performed.

For larger projects, interim invoices may be raised throughout the contract period. Revenue is recognised only to the extent that the related work has been completed at the reporting date and the Group has satisfied its performance obligations in respect of that work. Any amounts invoiced or received in advance of the services being performed are recognised as deferred income until the corresponding work has been completed.

Revenue is recognised only when the outcome of the transaction can be measured reliably, it is probable that the Group will receive the economic benefits associated with the transaction, and the costs incurred and costs to complete the transaction can be measured reliably.

Page 18

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)

 
2.6

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss 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.

 
2.7

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.8

Finance costs

Finance costs are charged to profit or loss 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.

 
2.9

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 profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

Page 19

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)

 
2.10

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss 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 income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


Page 20

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)

 
2.11

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the consolidated statement of comprehensive income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Computer software
-
3 - 10 years
Goodwill
-
10 years

During the period, the directors reassessed the useful economic lives of intangible software assets and revised the range from a fixed period of 10 years to between 3 and 10 years. This reassessment reflects the directors’ updated expectation of the period over which the assets will generate economic benefits.
 
The change has been treated as a change in accounting estimate in accordance with FRS 102 and has therefore been applied prospectively. The impact of the revision in the current period is not material to the financial statements. 

 
2.12

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 equipment
-
25% Straight Line
Motor vehicles
-
20% - 33% Reducing Balance
Fixtures and fittings
-
10% - 25% 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 profit or loss.

Page 21

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)

 
2.13

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.14

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 balance sheet 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 profit or loss.

 
2.15

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.

 
2.16

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. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.17

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.

 
2.18

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 generally charged as an expense to profit or loss.

 
2.19

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.

Financial instruments are recognised in the Group's balance sheet when the Group becomes party to the contractual provisions of the instrument.
Page 22

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)


2.19
Financial instruments (continued)


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. 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. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) 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 asset(s) original effective interest rate.

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 profit or loss.

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.

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.

Page 23

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

2.Accounting policies (continued)


2.19
Financial instruments (continued)

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.

 
2.20

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In the application of the Group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Consolidated Goodwill

The Group establishes a reliable estimate of the useful life of goodwill arising from business combinations. This estimate is based on a variety of factors such as the expected use of the acquired businesses and the useful life of the cash generating units to which the goodwill is attributed. At each reporting date, the goodwill is assessed for any indicators of impairment. If there is any evidence of impairment, the carrying amount of the asset is reduced to its recoverable amount and the impairment loss is recognised immediately in the Statement of Comprehensive Income. No impairment charges were accounted for during the period, and the carrying amount of goodwill at 31 December 2025 was £4,146,430.

Useful life of intangible assets

The assessment of the useful economic life of the company's internally developed and acquired software and licences is judgemental and can change due to obsolescence due to unforeseen technological developments, and other factors. The useful life of licences represents management's view of the expected term over which the company will receive benefits from the software, and does not exceed the licence term. For internally developed and acquired software the life is based on historical experience with similar products as well as anticipation of future events which may impact their useful economic life. The carrying amount of intangible assets at 31 December 2025 was £1,115,917.

Page 24

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

4.


Turnover

The whole of the turnover is attributable to the Group's principal activity.

All turnover arose within the United Kingdom.


5.


Other operating income

31 December
2025
£

Other operating income
27,248



6.


Operating profit

The operating profit is stated after charging:

31 December
2025
£

Amortisation
749,351

Depreciation
234,602

Other operating lease rentals
769,079

Loss on disposal of fixed asset
1,232


7.


Auditors' remuneration

During the period, the Group obtained the following services from the Company's auditors:


31 December
2025
£

Fees payable to the Group's auditors for the audit of the consolidated and parent Company's financial statements
18,500

Fees payable to the Group's auditors for corporation tax compliance
2,950

Fees payable to the Group's auditors for all other services
6,275

Page 25

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

8.


Employees

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


Group
Company
2025
2025
£
£


Wages and salaries
7,375,914
-

Social security costs
928,002
-

Cost of defined contribution scheme
265,419
-

8,569,335
-


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



Group
Company
     31 December
     31 December
        2025
        2025
            No.
            No.







Directors
3
3



Direct
64
-



Sales & Distribution
46
-



Admin
41
-

154
3


9.


Directors' remuneration

31 December
2025
£

Directors' emoluments
57,518

Group contributions to defined contribution pension schemes
19,924

77,442


During the period retirement benefits were accruing to 1 director in respect of defined contribution pension schemes.

Page 26

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

10.


Interest receivable

31 December
2025
£


Other interest receivable
429


11.


Interest payable and similar expenses

31 December
2025
£


Bank interest payable
9,342

Finance leases and hire purchase contracts
55,694

Other interest payable
150,781

215,817


12.


Taxation


31 December
2025
£

Corporation tax


Current tax on profits for the period
284,359

Total current tax
284,359

Deferred tax


Origination and reversal of timing differences
(56,507)

Total deferred tax
(56,507)


Tax on profit
227,852
Page 27

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025
 
12.Taxation (continued)


Factors affecting tax charge for the period

The tax assessed for the period is higher than the standard rate of corporation tax in the UK of 25%. The differences are explained below:

31 December
2025
£


Profit on ordinary activities before tax
206,219


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25%
51,555

Effects of:


Non-tax deductible amortisation of goodwill and impairment
136,911

Expenses not deductible for tax purposes
13,434

Depreciation in excess of capital allowances
16,923

Movement in deferred tax not recognised
9,029

Total tax charge for the period
227,852


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


13.


Dividends

2025
£

Ordinary


Interim dividends paid
81,559

C Ordinary


Interim dividends paid
111,382

192,941

Page 28

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

14.


Intangible assets

Group




Computer software
Goodwill
Total

£
£
£



Cost


Additions
160,607
4,694,072
4,854,679


On acquisition of subsidiaries
1,217,121
-
1,217,121



At 31 December 2025

1,377,728
4,694,072
6,071,800



Amortisation


Charge for the period
201,709
547,642
749,351


On acquisition of subsidiaries
60,102
-
60,102



At 31 December 2025

261,811
547,642
809,453



Net book value



At 31 December 2025
1,115,917
4,146,430
5,262,347



Page 29

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

15.


Tangible fixed assets

Group






Plant and equipment
Motor vehicles
Fixtures and fittings
Total

£
£
£
£



Cost


Additions
25,589
12,735
25,984
64,308


On acquisition of subsidiaries
685,934
761,961
191,845
1,639,740


Disposals
(153)
(19,220)
-
(19,373)



At 31 December 2025

711,370
755,476
217,829
1,684,675



Depreciation


Charge for the period
72,487
124,079
38,036
234,602


Disposals
(3)
(9,985)
-
(9,988)


On acquisition of subsidiaries
511,735
280,468
130,804
923,007



At 31 December 2025

584,219
394,562
168,840
1,147,621



Net book value



At 31 December 2025
127,151
360,914
48,989
537,054

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2025
£


Plant and equipment
29,969

Motor vehicles
319,740

349,709

Page 30

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

16.


Fixed asset investments

Group





Other fixed asset investments

£



Cost


On acquisition of subsidiaries
52,021



At 31 December 2025
52,021




Company





Investments in subsidiary companies

£



Cost


Additions
6,036,610



At 31 December 2025
6,036,610





Direct subsidiary undertaking


The following was a direct subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

Timberwise Holdings Limited
(i)
Ordinary
100%


Indirect subsidiary undertakings


The following were indirect subsidiary undertakings of the Company:

Name

Registered office

Class of shares

Holding

Timberwise (UK) Limited
(i)
Ordinary
100%
Basement Systems Limited
(i)
Ordinary
100%
Wise Solutions Limited
(i)
Ordinary
100%
The Basement Sump & Pump Company Limited
(i)
Ordinary
100%

(i) the registered office of the subsidiaries is 1 Drake Mews, Gadbrook Park, Northwich, Cheshire, CW9 7XF

Page 31

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

17.


Stocks

Group
2025
£

Raw materials and consumables
76,236



18.


Debtors

Group
Company
2025
2025
£
£

Trade debtors
1,163,222
-

Amounts owed by group undertakings
-
136,966

Other debtors
74,777
-

Prepayments and accrued income
579,876
-

1,817,875
136,966


Amounts owed by group undertakings are unsecured, non-interest bearing and payable on demand.

Included within other debtors are amounts recoverable from invoice discounting facility. The facility is secured by an all assets debenture dated 22 July 2024. The debenture creates fixed and floating charges over the assets and undertaking of the subsidiary, Timberwise (UK) Limited.


19.


Cash and cash equivalents

Group
Company
2025
2025
£
£

Cash at bank and in hand
420,168
-


Page 32

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

20.


Creditors: Amounts falling due within one year

Group
Company
2025
2025
£
£

Bank loans
20,833
-

Trade creditors
753,273
-

Amounts owed to group undertakings
-
1,216,883

Corporation tax
210,836
-

Other taxation and social security
734,833
-

Obligations under finance lease and hire purchase contracts
244,855
-

Other creditors
1,566,728
644,979

Accruals and deferred income
169,587
19,314

3,700,945
1,881,176


Amounts owed to group undertakings are unsecured, non-interest bearing and payable on demand.

Obligations under finance lease and hire purchase contracts are secured against the assets which they relate. 

Included within other creditors is deferred consideration of £620,000 arising on the acquisition of Timberwise Holdings Limited. The balance was interest-free until 1 June 2025. Thereafter, interest is payable at the Bank of England base rate plus 4% until a specified repayment threshold is met, following which interest is payable at the Bank of England base rate until settlement.


21.


Creditors: Amounts falling due after more than one year

Group
Company
2025
2025
£
£

Net obligations under finance leases and hire purchase contracts
67,681
-

Other creditors
2,287,000
2,287,000

2,354,681
2,287,000


Obligations under finance lease and hire purchase contracts are secured against the assets which they relate.

Included within other creditors is deferred consideration of £2,287,000 arising on the acquisition of Timberwise Holdings Limited. For details regarding the interest payable, see note 20.  

Page 33

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

22.


Loans


Analysis of the maturity of loans is given below:


Group
Company
2025
2025
£
£

Amounts falling due within one year

Bank loans
20,833
-


Security has been provided in respect of the loan, comprising fixed and floating charges over all property and undertakings of the subsidiary, Timberwise (UK) Limited.


23.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

Group
2025
£

Within one year
245,636

Between 1-5 years
84,650

330,286

Interest of £17,750 is to be charged over the remaining term. 

Page 34

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

24.


Deferred taxation


Group



2025


£



Charged to profit or loss
56,507


Arising on business combinations
181,546



At end of year
125,039







The deferred taxation balance is made up as follows:

Group
Company
2025
2025
£
£

Accelerated capital allowances
134,264
-

Other timing differences
(9,225)
-

125,039
-


25.


Provisions


Group



Other provision

£


Charged to profit or loss
50,000



At 31 December 2025
50,000

Page 35

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

26.


Share capital

2025
£
Allotted, called up and fully paid


208 Ordinary shares of £1.00 each
208
590 C Ordinary shares of £1.00 each
590
101 D Ordinary shares of £1.00 each
101
101 E Ordinary shares of £1.00 each
101

1,000


On incorporation of the Company at 26 September 2024, the following shares were issued at par value:

4 Ordinary Shares of £1

On 24 October 2024, the Company updated its Articles of Association, resulting in a revision to its share capital structure. Following this update, the Company’s share capital was reorganised into the following classes:

1 Ordinary Shares of £1
1 C Ordinary Shares of £1
1 D Ordinary Shares of £1
1 E Ordinary Shares of £1

On 24 October 2024, the Company issued shares as consideration for the transfer of shares in Timberwise Holdings Limited. The consideration value attributed to each share issued was £2,149.61. The following shares were issued:

207 Ordinary Shares of £1
589 C Ordinary Shares of £1
100 D Ordinary Shares of £1
100 E Ordinary Shares of £1


27.


Reserves

Share premium account

The share premium account comprises consideration paid in excess of the par value of shares issued. 

Profit and loss account

The profit and loss account represents cumulative profits and losses less any dividends paid. 

Page 36

 
MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025

28.


Business combinations

On 24 October 2024, MAGIE Investments Limited acquired 100% of the ordinary share capital and voting rights of Timberwise Holdings Limited and its subsidiaries, and the transaction has been accounted for as a business combination using the acquisition method in accordance with FRS 102 Section 19. The acquisition date is the date on which control was obtained. 

In allocating the cost of the combination to the identifiable assets acquired and liabilities assumed, the directors have recognised the identifiable assets and liabilities of Timberwise Holdings Limited and its subsidiaries at fair value at the acquisition date; no fair value adjustments were identified in the amounts presented below, and therefore book values are equal to acquisition-date fair values. 

The recognised amounts were as follows: tangible fixed assets of £716,733, intangible fixed assets of £1,157,019 and investments of £52,021, giving total fixed assets of £1,925,773; stocks of £89,431, debtors of £2,111,310 and cash at bank and in hand of £1,097,165, giving current assets of £3,297,906 and total assets of £5,223,679; creditors due within one year of £3,699,595 and deferred taxation of £181,546, giving total liabilities assumed of £3,881,141 and total identifiable net assets acquired of £1,342,538. The total purchase consideration recognised for the combination was £6,036,610 and was satisfied by £400,000 in cash, £2,149,600 through the issue of shares and £3,487,000 as deferred consideration.

Goodwill of £4,694,072 arose on the acquisition, being the excess of the £6,036,610 purchase consideration over the £1,342,538 fair value of identifiable net assets acquired. This goodwill represents the future economic benefits expected to arise from assets that are not capable of being individually identified and separately recognised, including the assembled workforce, the expected profitability of the Timberwise group and anticipated operational benefits from bringing the acquired business into the MAGIE Investments Limited group. Goodwill will be amortised over its estimated useful economic life and reviewed for impairment where indicators of impairment exist, consistent with FRS 102 requirements. The acquired business has been consolidated from the acquisition date only. No contingent liabilities requiring separate recognition were identified at the acquisition date, and the deferred consideration noted above is included in the total purchase consideration.

The goodwill arising on acquisition represents the projected profitability of the acquired businesses.

The results of Timberwise Holdings Limited (& subsidiaries) since acquisition are as follows: 

Turnover £17,130,740, operating profit for the period £421,607.


Cash inflow/(outflow) on acquisition

On acquisition, the entity acquired cash and cash equivalents of £1,097,165. Cash consideration of £400,000 was paid in respect of the business combination. Accordingly, the net cash inflow arising from the acquisition was £697,165.





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MAGIE Investments Limited
 
 
 
Notes to the Financial Statements
For the period ended 31 December 2025


29.


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 £265,419. Contributions totalling £36,900 were payable to the fund at the balance sheet date and are included in other creditors.


30.


Commitments under operating leases

At 31 December 2025 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
2025
£

Land and buildings

Not later than 1 year
102,600

Later than 1 year and not later than 5 years
335,650

Later than 5 years
154,100

592,350


Group
2025
£

Other

Not later than 1 year
527,014

Later than 1 year and not later than 5 years
672,619

1,199,633


31.


Related party transactions

The Company has taken advantage of the exemption in Section 33 of Financial Reporting Standard 102 (Related Party Disclosures) from the requirement to disclose transactions with wholly owned group companies.

As part of the acquisition of Timberwise Holdings Limited, the Group agreed to pay deferred consideration to the former shareholders of the company. These individuals are directors of MAGIE Investments Limited and continue to hold key management positions within the Group. During the period, payments totalling £580,000 were made in respect of this deferred consideration. The balance outstanding at 31 December 2025 was £2,907,000.


32.


Controlling party

The ultimate controlling party is G Edwards by virtue of majority shareholding in the company. 

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