REGISTERED NUMBER: 12113472 (England and Wales)

Group Strategic Report, Report of the Director and

Audited Consolidated Financial Statements

for the Year Ended 30 November 2024

for

WS Transportation Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

5

Consolidated Income Statement

8

Consolidated Other 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 Cash Flow Statement

14

Notes to the Consolidated Cash Flow Statement

15

Notes to the Consolidated Financial Statements

16

DIRECTOR:

Mr W Stobart

REGISTERED OFFICE:

Griffin House, Lyncastle Way

Barley Castle Trading Estate

Appleton

Warrington

Cheshire

WA4 4ST

REGISTERED NUMBER:

12113472 (England and Wales)

AUDITORS:

Harts Limited

Chartered Accountants and Statutory Auditors

Westminster House

10 Westminster Road

Macclesfield

Cheshire

SK10 1BX

The director presents his strategic report of the company and the group for the year ended 30 November 2024.

PRINCIPLE ACTIVITY

The company and the group acts as a support function associated with the finance, administration, commercial and marketing activities of a wider group of transport companies.The parent company also derives rental income from the letting of the investment property.

REVIEW OF BUSINESS

WS Transportation the company and the group operates as the central services function within the wider Transport Group, providing consolidated back-office capabilities that enable the business to achieve economies of scale, improve operational consistency, and redirect frontline resources toward core transport activities. WS Transportation plays a pivotal role in enabling the transport group to operate efficiently, compliantly, and competitively. By centralising essential support services, the Group benefits from economies of scale, enhanced governance, and reduced operational complexity. The business generally performed as expected for the year. The business' strategy moving forward is to streamline operations which includes de-centralising various WS Transportation "Group" costs, this will result in a reduction of trade going through WS Transportation. Revenue fell by approximately £1.43m as a direct result of this and is expected to fall further into 2025.

PRINCIPAL RISKS AND UNCERTAINTIES

The Board of the Group are involved in the day to day running of WS Transportation as the central service function. They continually monitor and control risks that may impact the Company and Wider Group. The principal risks of the Company arise from the markets the internal customers of WS Transportation operate in, they include competition within the Transport Sector and cost pressures due to both internal market forces and Marco Economic Forces.

KPI'S

WS Transportation operates at a loss, therefore there is emphasis on liquidity and working capital.

All ratios show strong improvement year on year which can be attributed to our prioritisation of cash collection to improve operational efficiency.

30.11.24

30.11.23

Trade debtor days

57 days

76 days

Trade creditor days

60 days

81 days

30.11.24

30.11.23

Operating cashflow coverage ratio

17%

(8%

)

ON BEHALF OF THE BOARD:

Mr W Stobart - Director

12 June 2026

The director presents his report with the financial statements of the company and the group for the year ended 30 November 2024.

DIVIDENDS

No dividends will be distributed for the year ended 30 November 2024.

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

DIRECTORS

Mr W Stobart has held office during the whole of the period from 1 December 2023 to the date of this report.

Other changes in directors holding office are as follows:

Mr E J Stobart - resigned 23 February 2024

MATTERS COVERED IN THE STRATEGIC REPORT

As permitted by S414c(11) of Companies Act 2006, the director has elected to disclose information, required to be in the director's report by schedule 7 of the 'Large and Medium-sized Companies, and Groups (Accounts and Reports) Regulation 2008, in the Strategic report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

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

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:

-	select suitable accounting policies and then apply them consistently;

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

Mr W Stobart - Director

12 June 2026

Opinion

We have audited the financial statements of WS Transportation Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 November 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The 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 affairs as at 30 November 2024 and of the group's loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director.

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

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of director's remuneration specified by law are not made; or

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

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the director is responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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 objectives of our audit, in respect to fraud, are: to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

Our approach was as follows:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant is the Companies Act 2006. In addition, the Company has to comply with laws and regulations relating to its operations, health and safety, money laundering and data protection.

We understood how WS Transportation Limited and the group are complying with those frameworks by making inquiries of the management accountant and the manager who is responsible for company legislation and certification procedures.

We corroborated our enquiries through discussion with management to identify any non-compliance with laws and regulations.

We assessed the susceptibility of the Group's financial statements to material misstatement, including how fraud might occur by discussion with directors to understand where it's considered there was a susceptibility to fraud. We considered the controls that the Group has established to address risks identified, or that otherwise prevent, deter and detect fraud.

To address the risk of fraud through management bias and override of controls, we performed analytical procedures to identify and unusual or unexpected relationships; investigated the rationale behind significant or unusual transactions; and tested journal entries to identify unusual transactions.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations enquiry of the directors and other management and inspection of regulatory and legal correspondence, if any. Material misstatement that arises due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations that could materially impact the financial statements. Taking into accounts our understanding of the Company, our procedures involved enquires of management and focussed testing as appropriate with consideration to risk assessment.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Melissa Bowers FCCA (Senior Statutory Auditor)

for and on behalf of Harts Limited

Chartered Accountants and Statutory Auditors

Westminster House

10 Westminster Road

Macclesfield

Cheshire

SK10 1BX

12 June 2026

TURNOVER

5

6,769,527

8,200,411

Cost of sales

2,290

(23,682

)

GROSS PROFIT

6,771,817

8,176,729

Distribution costs

(605

)

(39,258

)

Administrative expenses

(6,837,639

)

(8,193,687

)

(66,427

)

(56,216

)

Other operating income

3,489

-

Gain/loss on revaluation of investment property

(1,596,000

)

-

OPERATING LOSS

7

(1,658,938

)

(56,216

)

Interest receivable and similar income

(129,301

)

736,758

(1,788,239

)

680,542

Impairment of goodwill

9

-

(685,713

)

(1,788,239

)

(5,171

)

Interest payable and similar expenses

10

(188,153

)

(510,605

)

LOSS BEFORE TAXATION

(1,976,392

)

(515,776

)

Tax on loss

11

(21,025

)

(55,531

)

LOSS FOR THE FINANCIAL YEAR

(1,997,417

)

(571,307

)

Loss attributable to:

Owners of the parent

(1,997,417

)

(571,307

)

LOSS FOR THE YEAR

(1,997,417

)

(571,307

)

OTHER COMPREHENSIVE INCOME

Movement in subsidiaries reserves

-

(39

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

(39

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(1,997,417

)

(571,346

)

Total comprehensive income attributable to:

Owners of the parent

(1,997,417

)

(571,346

)

FIXED ASSETS

Intangible assets

13

-

-

Tangible assets

14

131,633

55,203

Investments

15

-

-

Investment property

16

5,230,871

6,377,811

5,362,504

6,433,014

CURRENT ASSETS

Stocks

17

13,585

13,585

Debtors

18

4,850,081

8,132,926

Cash at bank and in hand

101,306

30,661

4,964,972

8,177,172

CREDITORS

Amounts falling due within one year

19

(12,961,888

)

(13,351,068

)

NET CURRENT LIABILITIES

(7,996,916

)

(5,173,896

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(2,634,412

)

1,259,118

CREDITORS

Amounts falling due after more than one year

20

(5,285

)

(1,921,660

)

PROVISIONS FOR LIABILITIES

24

(32,909

)

(12,647

)

NET LIABILITIES

(2,672,606

)

(675,189

)

CAPITAL AND RESERVES

Called up share capital

25

1

1

Fair value reserve

26

(1,596,000

)

-

Retained earnings

26

(1,076,607

)

(675,190

)

SHAREHOLDERS' FUNDS

(2,672,606

)

(675,189

)

The financial statements were approved by the director and authorised for issue on 12 June 2026 and were signed by:

Mr W Stobart - Director

FIXED ASSETS

Intangible assets

13

-

-

Tangible assets

14

131,633

55,203

Investments

15

200

200

Investment property

16

5,230,871

6,377,811

5,362,704

6,433,214

CURRENT ASSETS

Stocks

17

13,585

13,585

Debtors

18

4,871,652

8,151,803

Cash at bank and in hand

96,797

25,656

4,982,034

8,191,044

CREDITORS

Amounts falling due within one year

19

(12,942,576

)

(13,322,133

)

NET CURRENT LIABILITIES

(7,960,542

)

(5,131,089

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(2,597,838

)

1,302,125

CREDITORS

Amounts falling due after more than one year

20

(5,285

)

(1,921,660

)

PROVISIONS FOR LIABILITIES

24

(32,909

)

(12,647

)

NET LIABILITIES

(2,636,032

)

(632,182

)

CAPITAL AND RESERVES

Called up share capital

25

1

1

Fair value reserve

26

(1,596,000

)

-

Retained earnings

26

(1,040,033

)

(632,183

)

SHAREHOLDERS' FUNDS

(2,636,032

)

(632,182

)

Company's loss for the financial year

(2,003,850

)

(571,078

)

The financial statements were approved by the director and authorised for issue on 12 June 2026 and were signed by:

Mr W Stobart - Director

Called up

Fair

share

Retained

value

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 December 2022

1

(103,844

)

-

(103,843

)

Changes in equity

Total comprehensive income

-

(571,346

)

-

(571,346

)

Balance at 30 November 2023

1

(675,190

)

-

(675,189

)

Changes in equity

Total comprehensive income

-

(401,417

)

(1,596,000

)

(1,997,417

)

Balance at 30 November 2024

1

(1,076,607

)

(1,596,000

)

(2,672,606

)

Called up

Fair

share

Retained

value

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 December 2022

1

(61,105

)

-

(61,104

)

Changes in equity

Total comprehensive income

-

(571,078

)

-

(571,078

)

Balance at 30 November 2023

1

(632,183

)

-

(632,182

)

Changes in equity

Total comprehensive income

-

(407,850

)

(1,596,000

)

(2,003,850

)

Balance at 30 November 2024

1

(1,040,033

)

(1,596,000

)

(2,636,032

)

Cash flows from operating activities

Cash generated from operations

1

2,152,102

(540,969

)

Interest paid

(188,153

)

(510,605

)

Tax paid

(61,138

)

(15,445

)

Net cash from operating activities

1,902,811

(1,067,019

)

Cash flows from investing activities

Purchase of tangible fixed assets

(125,367

)

(17,125

)

Purchase of investment property

(449,060

)

(57,811

)

Interest received

(129,301

)

736,758

Net cash from investing activities

(703,728

)

661,822

Cash flows from financing activities

New loans in year

1,989,880

413,439

Loan repayments in year

(3,118,318

)

(9,871

)

Net cash from financing activities

(1,128,438

)

403,568

Increase/(decrease) in cash and cash equivalents

70,645

(1,629

)

Cash and cash equivalents at beginning of year

2

30,661

32,290

Cash and cash equivalents at end of year

2

101,306

30,661

1.	RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.11.24

30.11.23

£

£

Loss before taxation

(1,976,392

)

(515,776

)

Depreciation charges

48,938

50,154

Loss on revaluation of fixed assets

1,596,000

-

Impairment loss

-

685,713

Other comprehensive income

-

(39

)

Finance costs

188,153

510,605

Finance income

129,301

(736,758

)

(14,000

)

(6,101

)

Decrease/(increase) in trade and other debtors

3,282,866

(2,586,674

)

(Decrease)/increase in trade and other creditors

(1,116,764

)

2,051,806

Cash generated from operations

2,152,102

(540,969

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30 November 2024

30.11.24

1.12.23

£

£

Cash and cash equivalents

101,306

30,661

Year ended 30 November 2023

30.11.23

1.12.22

£

£

Cash and cash equivalents

30,661

32,290

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.12.23

Cash flow

At 30.11.24

£

£

£

Net cash

Cash at bank and in hand

30,661

70,645

101,306

30,661

70,645

101,306

Debt

Debts falling due within 1 year

(10,382,243

)

(787,938

)

(11,170,181

)

Debts falling due after 1 year

(1,921,660

)

1,916,375

(5,285

)

(12,303,903

)

1,128,437

(11,175,466

)

Total

(12,273,242

)

1,199,082

(11,074,160

)

1.	STATUTORY INFORMATION

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

The presentation currency of the financial statements is the Pound Sterling (£).

2.	STATEMENT OF COMPLIANCE

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

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Basis of consolidation

The Group’s financial statements consolidate those of the parent company and all of its subsidiaries as of 30 November 2024. All subsidiaries have different reporting dates, so amounts have been pro-rated to meet year end date of parent company 30 November.

All transactions and balances between Group companies are eliminated on consolidation, including unrealised gains and losses on transactions between Group companies. Where unrealised losses on intra-group asset sales are reversed on consolidation, the underlying asset is also tested for impairment from a Group perspective. Amounts reported in the financial statements of subsidiaries have been adjusted where necessary to ensure consistency with the accounting policies adopted by the Group.

The Group attributes total comprehensive income or loss of subsidiaries between the owners of the parent and the non-controlling interests, if any, based on their respective ownership interests.

Turnover

Revenue from the services, provided in the normal course of business, is recognised when the outcome of a transaction can be estimated reliably and turnover from services is recognised by reference to the stage of completion at the balance sheet date. Stage of completion is measured by reference to finalisation of work completed.

Where the outcome cannot be measured reliably, turnover is recognised only to the extent of the expenses recognised that are recoverable.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2022, has already been fully impaired in the year of its acquisition.

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

Negative Goodwill

Negative goodwill, being the amount paid in connection with the acquisition of a business in 2021, has already been fully amortised in prior years.

Negative goodwill represents the excess of the fair value of the net assets acquired in a business combination over the consideration paid. Negative goodwill is initially recognised in the balance sheet and is subsequently amortised through the profit and loss account in the same periods in which non-monetary assets acquired are amortised or otherwise recognised in the profit and loss account.

Intangible assets

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

Negative goodwill is being amortised evenly over its estimated useful life of one years.

Tangible fixed assets

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

Plant and machinery

-

20% on cost

Fixtures and fittings

-

20% on cost

Computer equipment

-

33% on cost

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

Impairment of fixed assets

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

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

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

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Stocks

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

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