REGISTERED NUMBER: 00665313 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2025

FOR

F.A.W. BAKER'S KINGSTON FARMS LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

4

Statement of Income and Retained Earnings

7

Balance Sheet

8

Cash Flow Statement

10

Notes to the Cash Flow Statement

11

Notes to the Financial Statements

13

DIRECTOR:

N C Baker

REGISTERED OFFICE:

Stonehayes (Bakers Farms Office)

Rushywood Farm

Haselbury Plucknett

Crewkerne

Somerset

TA18 7PH

REGISTERED NUMBER:

00665313 (England and Wales)

AUDITORS:

Mitchells

Chartered Accountants and Statutory Auditors

St. John's House,

Castle Street,

Taunton

Somerset

TA1 4AY

SOLICITORS:

HK Law

40 High West Street

Dorchester

Dorset

DT1 1UR

The director presents his strategic report for the year ended 30 September 2025.

REVIEW OF BUSINESS

The company has been successfully operating within the UK dairy industry for many decades. It also provides some agricultural contracting services to other local businesses and in the previous year it acquired an anaerobic digestion plant which it operates using waste from the farm to also provide supplemental power back to the farm. The decision was also taken to expand the company's farming operations and during the period under review more farmland was purchased along with new office premises.

Year ended

30 September 2025

30 September 2024

Turnover (£)

15,882,041

10,955,214

Gross profit margin (%)

54.72

57.63

Profit/(loss) before tax (£)

1,934,390

642,519

At the end of the year, the net assets totalled £8,868,011 (2024 £7,309,067)

Given the straight forward nature of the business, the company's director is of the opinion that any further analysis using key performance indicators [KPI's] is not necessary for an understanding of the development, performance or position of the business.

PRINCIPAL RISKS AND UNCERTAINTIES

The company's management have a wealth of knowledge and experience in the dairy industry. The company's dairy herd supplies milk to the UK's largest milk supplier, the subsidiary of a leading farmer-owned European company. Milk and it's processed products are a dietary staple and is unlikely to see a loss of demand. The price paid for the milk is determined by the supply contract between the companies, the content of these contracts is regulated. No risk factors have increased in likelihood. There are no other risks of sufficient importance to mention in this report. The company's director is confident that the business will continue to adapt to any changing business circumstances.

ON BEHALF OF THE BOARD:

N C Baker - Director

8 July 2026

The director presents his report with the financial statements of the company for the year ended 30 September 2025.

DIVIDENDS

The total distribution of dividends for the year ended 30 September 2025 will be £ 103,350 .

RESEARCH AND DEVELOPMENT

The company continued to pursue new technical developments in its field and made appropriate claims for Research and Development tax relief.

FUTURE DEVELOPMENTS

After the year-end the company repurchased shares from some of its shareholders. H M Revenue and Customs approval for capital treatment was sought and approved for these transactions.

DIRECTORS

N C Baker has held office during the whole of the period from 1 October 2024 to the date of this report.

Other changes in directors holding office are as follows:

Mrs C M Baker ceased to be a director after 30 September 2025 but prior to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the 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). 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company 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 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 company'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 company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

N C Baker - Director

8 July 2026

Opinion

We have audited the financial statements of F.A.W. Baker's Kingston Farms Limited (the 'company') for the year ended 30 September 2025 which comprise the Statement of Income and Retained Earnings, Balance Sheet, Cash Flow Statement and Notes to the 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 company's affairs as at 30 September 2025 and of its profit 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 company 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 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 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 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 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in the 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, or returns adequate for our audit have not been received from branches not visited by us; or

-	the 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 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 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:

- Enquiry of management and those charged with governance around actual and potential litigation and claims.

- Enquiry of entity staff to identify any instances of non-compliance with laws and regulations.

- Reviewing minutes of meetings of those charged with governance.

- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with

applicable laws and regulations.

- Auditing the risk of management override of controls, including through testing journal entries and other adjustments

for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of

business.

Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities. It is the primary responsibility of management and those charged with governance to ensure that the entity's operations are conducted in accordance with the provisions of the laws and regulations and for the prevention and detection of fraud.

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.

Other matters which we are required to address

The company was not of a size that required an audit in the previous accounting period. As a result we are required to highlight the fact that the comparative figures for the year ended 30 September 2024 were not audited.

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.

David Mitchell FCA (Senior Statutory Auditor)

for and on behalf of Mitchells

Chartered Accountants and Statutory Auditors

St. John's House,

Castle Street,

Taunton

Somerset

TA1 4AY

8 July 2026

TURNOVER

15,882,041

10,955,214

Cost of sales

7,190,980

4,641,765

GROSS PROFIT

8,691,061

6,313,449

Administrative expenses

7,072,905

5,949,498

1,618,156

363,951

Other operating income

1,003,937

939,900

OPERATING PROFIT

4

2,622,093

1,303,851

Income from fixed asset investments

798

798

Interest receivable and similar income

2,753

1,706

3,551

2,504

2,625,644

1,306,355

Gain/loss on revaluation of assets

8,850

(23,840

)

2,634,494

1,282,515

Interest payable and similar expenses

5

700,104

639,996

PROFIT BEFORE TAXATION

1,934,390

642,519

Tax on profit

6

272,096

59,119

PROFIT FOR THE FINANCIAL YEAR

1,662,294

583,400

Retained earnings at beginning of year

6,583,944

6,055,767

Dividends

7

(103,350

)

(72,000

)

RETAINED EARNINGS AT END OF YEAR

8,142,888

6,567,167

FIXED ASSETS

Intangible assets

8

117,500

65,000

Tangible assets

9

17,353,274

12,087,364

Investments

10

528,707

519,857

Investment property

11

400,000

400,000

18,399,481

13,072,221

CURRENT ASSETS

Stocks

12

5,096,684

5,859,814

Debtors

13

1,741,783

1,430,531

Cash in hand

1,293

1,061

6,839,760

7,291,406

CREDITORS

Amounts falling due within one year

14

5,410,105

5,652,134

NET CURRENT ASSETS

1,429,655

1,639,272

TOTAL ASSETS LESS CURRENT LIABILITIES

19,829,136

14,711,493

CREDITORS

Amounts falling due after more than one year

15

(9,688,792

)

(6,399,753

)

PROVISIONS FOR LIABILITIES

19

(1,112,260

)

(839,933

)

ACCRUALS AND DEFERRED INCOME

20

(160,073

)

(162,740

)

NET ASSETS

8,868,011

7,309,067

CAPITAL AND RESERVES

Called up share capital

21

11,653

11,653

Share premium

22

730,247

730,247

Fair value reserve

22

(16,777

)

(16,777

)

Retained earnings

22

8,142,888

6,583,944

SHAREHOLDERS' FUNDS

8,868,011

7,309,067

The financial statements were approved by the director and authorised for issue on 8 July 2026 and were signed by:

N C Baker - Director

Cash flows from operating activities

Cash generated from operations

1

4,760,813

1,452,244

Interest paid

(617,295

)

(571,541

)

Interest element of hire purchase payments paid

(86,657

)

(65,062

)

Finance costs paid

(395

)

(8

)

Tax paid

(9,016

)

(8,031

)

Taxation refund

-

73,145

Net cash from operating activities

4,047,450

880,747

Cash flows from investing activities

Purchase of intangible fixed assets

(75,000

)

(75,000

)

Purchase of tangible fixed assets

(5,610,950

)

(1,056,200

)

Purchase of investment property

-

(422,369

)

Sale of tangible fixed assets

183,020

86,349

Government grants received

24,377

-

Interest received

2,753

1,706

Dividends received

798

798

Net cash from investing activities

(5,475,002

)

(1,464,716

)

Cash flows from financing activities

New loans in year

3,592,544

1,220,681

Loan repayments in year

(520,167

)

(493,475

)

Capital repayments in year

(505,415

)

(379,686

)

Amount introduced by directors

112,059

125,620

Amount withdrawn by directors

(122,623

)

(107,582

)

Equity dividends paid

(103,350

)

(72,000

)

Net cash from financing activities

2,453,048

293,558

Increase/(decrease) in cash and cash equivalents

1,025,496

(290,411

)

Cash and cash equivalents at beginning of year

2

(2,579,612

)

(2,289,201

)

Cash and cash equivalents at end of year

2

(1,554,116

)

(2,579,612

)

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

30.9.25

30.9.24

£

£

Profit before taxation

1,934,390

642,519

Depreciation charges

956,703

739,192

Profit on disposal of fixed assets

(13,880

)

(52,067

)

(Gain)/loss on revaluation of fixed assets

(8,850

)

23,840

Government grants

(27,044

)

(23,902

)

Finance costs

700,104

639,996

Finance income

(3,551

)

(2,504

)

3,537,872

1,967,074

Decrease/(increase) in stocks

763,130

(539,565

)

Increase in trade and other debtors

(299,856

)

(657,305

)

Increase in trade and other creditors

759,667

682,040

Cash generated from operations

4,760,813

1,452,244

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 September 2025

30.9.25

1.10.24

£

£

Cash and cash equivalents

1,293

1,061

Bank overdrafts

(1,555,409

)

(2,580,673

)

(1,554,116

)

(2,579,612

)

Year ended 30 September 2024

30.9.24

1.10.23

£

£

Cash and cash equivalents

1,061

564

Bank overdrafts

(2,580,673

)

(2,289,765

)

(2,579,612

)

(2,289,201

)

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1.10.24

Cash flow

changes

At 30.9.25

£

£

£

£

Net cash

Cash at bank

and in hand

1,061

232

1,293

Bank overdrafts

(2,580,673

)

1,025,264

(1,555,409

)

(2,579,612

)

1,025,496

(1,554,116

)

Debt

Finance leases

(910,332

)

505,416

(698,303

)

(1,103,219

)

Debts falling due

within 1 year

(471,538

)

67,916

-

(403,622

)

Debts falling due

after 1 year

(5,905,371

)

(3,140,294

)

-

(9,045,665

)

(7,287,241

)

(2,566,962

)

(698,303

)

(10,552,506

)

Total

(9,866,853

)

(1,541,466

)

(698,303

)

(12,106,622

)

1.	STATUTORY INFORMATION

F.A.W. Baker's Kingston Farms 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 Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Due to the change in size of the company these accounts have been prepared in accordance with FRS 102. The previous year's accounts were prepared in accordance with FRS 102 1A. This transition has not resulted in any change in reported performance or financial position. Accounting policies have been consistently applied.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

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.

Feed-in Tariff Rights are being amortised evenly over their estimated useful life of five years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Leasehold improvements

-

10% or 20% on straight line basis

Implements

-

15% on reducing balance basis

Silage pit

-

15 years on straight line basis

Fixtures and fittings

-

15% on reducing balance basis

Motor vehicles

-

25% on reducing balance basis

Slurry tank and equipment

-

15% on reducing balance basis

Fork lift truck

-

25% on reducing balance basis

Tractors

-

25% on reducing balance basis

Cheese-making equipment

-

20% on reducing balance basis

Office equipment

-

20% on straight line basis

Rushywood dairy unit

-

15 years on straight line basis

The directors consider that freehold properties other than the Rushywood dairy unit are maintained in such a state of repair that their residual value is at least equal to their net book value. As a result, the corresponding depreciation would not be material and therefore is not charged in the profit and loss account.

The directors perform annual impairment reviews to ensure that the carrying value is not lower than the recoverable amount.

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 and work in progress are carried at fair value in the accounts.

These are held almost exclusively for internal consumption.

Adjustments are made for tax purposes to ensure that they are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport and handling costs in bringing stocks to their present location and condition.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible assets and depreciated over the shorter of the lease term and their useful lives. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce constant periodic rates of charge on the net obligations outstanding in each period.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme in respect of the directors. The scheme and its assets are held by independent managers. Contributions payable to this pension scheme are charged to profit or loss in the period to which they relate.

The company operates a defined contribution pension scheme [NEST] for its eligible and participating auto-enrolled staff. The scheme and its assets are held by independent managers. Contributions payable to this pension scheme are charged to profit or loss in the period to which they relate.

Herd account

This is a fungible asset, any transfers out being determined by the method of weighted average price and transfers into the herd account are dealt with in accordance with the legislation which, for tax purposes, allows livestock forming a production herd to be dealt with as a capital asset. The carrying value in the accounts is considered to be fair value. In order to arrive at the appropriate herd value for tax purposes under the herd basis rules an adjustment to the carrying value is applied in the tax computation.

Investments

Unlisted fixed asset investments are stated at cost less provision for permanent diminution in value.

Listed fixed asset investments are stated at open market value with annual gains and losses reflected in the income statement.

Government grants

The government grants relate to expenditure on fixed assets. The company's policy is to treat capital grants as deferred income and they are then credited to the profit and loss account over the expected useful life of the asset. The basis of calculating the amounts to be credited to the profit and loss account is consistent with the depreciation policy applied to the asset.

3.	EMPLOYEES AND DIRECTORS

30.9.25

30.9.24

£

£

Wages and salaries

2,746,049

2,257,385

Social security costs

185,652

150,193

Other pension costs

71,889

97,708

3,003,590

2,505,286

The average number of employees during the year was as follows:

30.9.25

30.9.24

Directors

2

2

Administration

6

6

Farm Workers

40

36

AD Plant Workers

3

2

51

46

30.9.25

30.9.24

£

£

Directors' remuneration

10,256

9,096

Directors' pension contributions to money purchase schemes

40,000

47,153

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

1

1