REGISTERED NUMBER: 09395933 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

FOR

GEMEC LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Statement of Comprehensive Income

7

Balance Sheet

8

Statement of Changes in Equity

9

Notes to the Financial Statements

10

DIRECTORS:

Mr V Thomas

Mr G Kafiris

REGISTERED OFFICE:

Unit 6 Devonshire Business Park

Chester Road

Borehamwood

WD6 1NA

REGISTERED NUMBER:

09395933 (England and Wales)

INDEPENDENT AUDITORS:

AC Partners LLP

Chartered Accountants & Statutory Auditors

869 High Road

London

N12 8QA

INTRODUCTION

The directors present the strategic report for the year ended 31 December 2025.

During the year, the Company continued to operate as an EPC Contractor within the renewable energy sector, maintaining its focus on the delivery of technically robust, commercially disciplined and reliable project solutions. The business remained aligned with its established strategy, with no material change in the nature of its operations.

The year represented a further period of progress for the Company. Growth was achieved through continued project delivery, the strengthening of existing client relationships and the pursuit of opportunities consistent with the Company's core areas of expertise.

REVIEW OF BUSINESS

During 2025, Gemec Limited continued to build on the position established in previous years as a reliable delivery partner in the UK renewable energy market. The Company's principal activities remained centred on Engineering, Procurement and Construction services, supported by ongoing Operations & Maintenance activities.

The Company continued to see demand for renewable energy infrastructure, including solar projects and Battery Energy Storage System opportunities. This supported the Company's project pipeline and provided a solid platform for continued growth. Management remained focused on disciplined contract selection, effective project execution and maintaining appropriate commercial controls across the business.

Operationally, the business continued along the same lines as in 2024. There were no significant changes to the Company's operating model, service offering or target market. The emphasis remained on delivering high-quality works, managing project risk and maintaining strong relationships with clients, suppliers and delivery partners.

The Company also continued to operate without reliance on external borrowing. This remains an important feature of the Company's financial profile and supports its ability to respond to market opportunities while retaining control over its financial commitments.

Overall, the directors consider the Company's performance during the year to be positive, with continued growth achieved in a controlled and sustainable manner.

FUTURE DEVELOPMENTS

The directors expect the Company to continue its current strategic direction in the next financial year. The focus will remain on renewable energy EPC projects, the development of BESS-related opportunities and the further strengthening of Operations & Maintenance activity where commercially appropriate.

The Company intends to continue pursuing growth in a measured way, prioritising projects that are aligned with its technical capability, financial discipline and risk appetite. Management will also continue to review opportunities in solar, storage and hybrid renewable energy solutions as the UK market develops.

The directors believe that the Company is well positioned to benefit from continued investment in renewable infrastructure. Its established delivery capability, debt-free position and growing market experience provide a strong base for future trading.

While the outlook remains positive, the Company will continue to monitor market conditions carefully and maintain a cautious approach to contract commitments, cost exposure and working capital management.

MARKET POSITION AND COMPETITIVE LANDSCAPE

The UK renewable energy market continued to evolve during 2025, with ongoing demand for solar generation, storage capacity and flexible energy infrastructure. Battery Energy Storage Systems remain an increasingly important part of the market, particularly as the energy system seeks to manage intermittency, grid stability and the wider transition to net zero.

The Company operates in a competitive environment where clients expect strong technical delivery, cost control, programme certainty and reliable post-completion support. Gemec Limited continues to compete by focusing on practical project execution, sector knowledge and its ability to provide dependable EPC and O&M services.

Opportunities remain available in grid-scale BESS projects, solar developments, hybrid solar-storage schemes and longer-term maintenance arrangements with asset owners and investors. These areas are expected to remain relevant to the Company's growth strategy.

However, the sector also continues to face challenges. These include grid connection delays, planning and permitting constraints, pressure on project timelines, inflation in equipment and subcontractor costs, and foreign exchange exposure where components or services are sourced internationally. In particular, movements between GBP and EUR remain relevant to the Company due to the currency mix within parts of its procurement and contractual activity.

The directors continue to monitor these factors closely and seek to manage them through commercial review, supplier engagement, project controls and active financial oversight.

PRINCIPAL RISKS AND UNCERTAINTIES

The Company is exposed to a number of risks in the normal course of business, including credit risk, liquidity risk and currency risk. The directors monitor these areas on an ongoing basis and maintain internal procedures designed to reduce the likelihood and impact of adverse outcomes.

Credit risk

Credit risk is the risk that a customer or counterparty may fail to meet its contractual payment obligations, resulting in financial loss to the Company. The Company manages this risk through customer assessment, payment monitoring and the use of appropriate commercial terms. Deferred payment arrangements are considered carefully and are generally granted only where the customer has demonstrated suitable creditworthiness and a reliable payment history. The Company's exposure to credit risk remains limited and is monitored by management as part of normal financial control procedures.

Liquidity risk

Liquidity risk is the risk that the Company may not have sufficient cash resources to meet its obligations as they fall due. The Company manages liquidity risk through regular monitoring of cash flow, project-level financial reviews and active management of debtor collection. Management continues to apply cash collection targets and monitors working capital requirements across contracts. The Company maintained sufficient cash resources during the year and continued to meet its liabilities as they became due. The absence of external borrowing further supports the Company's overall liquidity position.

Currency risk

Currency risk arises where the value of financial assets, liabilities or future cash flows fluctuates due to movements in foreign exchange rates. The Company is exposed to currency risk primarily through the purchase of goods and services from overseas suppliers, including suppliers based in the EU and China. The Euro remains the most significant currency exposure for the Company. Management monitors exchange rate movements on a regular basis and considers currency exposure when pricing contracts and agreeing procurement arrangements. Where appropriate, EPC pricing may include both GBP and EUR elements in order to help balance cash flows and reduce the impact of exchange rate volatility.

Other commercial and operational risks are managed through internal controls, regular management reporting, contract review procedures and ongoing oversight by the directors.

KEY PERFORMANCE INDICATORS

2025

2024

Turnover (£)

25,966,697

27,859,200

Gross Profit (£)

7,950,715

8,618,638

Gross Margin

30.62%

30.94%

Profit before tax (£)

6,093,507

6,418,882

Net Assets (£)

12,538,393

8,972,179

Quick Asset Ratio

4.1

3.1

EBITDA Margin

23.82%

23.23%

CONCLUSION

The directors consider the results for the year and the financial position at 31 December 2025 to be satisfactory.

The Company continued to grow in a controlled manner while maintaining its established operational focus and disciplined financial approach. The directors are satisfied that the business remains well placed to continue trading profitably and to pursue further opportunities in the renewable energy sector.

Looking ahead, the directors expect the Company to build on its current portfolio of contracts, maintain strong client relationships and continue to develop opportunities with both existing and new customers. The Company's debt-free position, sector experience and commitment to careful project selection provide a solid foundation for the foreseeable future.

ON BEHALF OF THE BOARD:

Mr V Thomas - Director

8 July 2026

The directors present their report with the financial statements of the company for the year ended 31 December 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of an engineering, procurement and construction contractor in the renewable energy industry.

DIVIDENDS

An interim dividend of £10,000 per share was paid on 9 October 2025. The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2025 will be £ 1,000,000 .

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

Mr V Thomas

Mr G Kafiris

POLITICAL DONATIONS AND EXPENDITURE

There were no political donations and expenditure made during the year.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 of the profit or loss of the company for that period. In preparing these financial statements, the directors are 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 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 enable them to ensure that the financial statements comply with the Companies Act 2006. They are 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 directors are 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 each director 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.

AUDITORS

The auditors, AC Partners LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr V Thomas - Director

8 July 2026

Opinion

We have audited the financial statements of Gemec Limited (the 'company') for the year ended 31 December 2025 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and 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 31 December 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 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 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, 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 Directors 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 Directors 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 Directors.

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 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 Statement of Directors' Responsibilities set out on page four, 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 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 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 company or to cease operations, or have 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.

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:

Our tests included agreeing the financial statement disclosures to underlying supporting documentation where relevant, review of board meeting minutes, enquiries with management as to the risks of non-compliance and any instances thereof, challenging assumptions and judgments made by management, and identifying and testing journal entries, in particular any journal entries posted with unusual account combinations. Our audit procedures also focused on laws and regulations that could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that 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, misinterpretations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statement, the less likely we are to become aware of it.

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.

Dimitris Christoforou (Senior Statutory Auditor)

for and on behalf of AC Partners LLP

Chartered Accountants & Statutory Auditors

869 High Road

London

N12 8QA

8 July 2026

TURNOVER

3

25,966,697

27,859,200

Cost of sales

18,015,982

19,240,562

GROSS PROFIT

7,950,715

8,618,638

Administrative expenses

1,810,529

2,192,349

OPERATING PROFIT

6

6,140,186

6,426,289

Interest receivable and similar income

7,964

10,473

6,148,150

6,436,762

Interest payable and similar expenses

7

54,643

17,880

PROFIT BEFORE TAXATION

6,093,507

6,418,882

Tax on profit

8

1,527,293

1,604,922

PROFIT FOR THE FINANCIAL YEAR

4,566,214

4,813,960

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

4,566,214

4,813,960

FIXED ASSETS

Tangible assets

10

306,143

259,435

CURRENT ASSETS

Debtors

11

7,578,623

8,042,392

Cash at bank

8,511,411

4,743,043

16,090,034

12,785,435

CREDITORS

Amounts falling due within one year

12

3,831,972

4,060,563

NET CURRENT ASSETS

12,258,062

8,724,872

TOTAL ASSETS LESS CURRENT LIABILITIES

12,564,205

8,984,307

PROVISIONS FOR LIABILITIES

14

25,812

12,128

NET ASSETS

12,538,393

8,972,179

CAPITAL AND RESERVES

Called up share capital

15

100

100

Retained earnings

16

12,538,293

8,972,079

SHAREHOLDERS' FUNDS

12,538,393

8,972,179

The financial statements were approved by the Board of Directors and authorised for issue on 8 July 2026 and were signed on its behalf by:

Mr V Thomas - Director

Mr G Kafiris - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

100

4,658,119

4,658,219

Changes in equity

Dividends

-

(500,000

)

(500,000

)

Total comprehensive income

-

4,813,960

4,813,960

Balance at 31 December 2024

100

8,972,079

8,972,179

Changes in equity

Dividends

-

(1,000,000

)

(1,000,000

)

Total comprehensive income

-

4,566,214

4,566,214

Balance at 31 December 2025

100

12,538,293

12,538,393

1.	STATUTORY INFORMATION

Gemec 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.

The financial statements have been prepared on a going concern basis as the directors are satisfied that the company will have adequate resources to meet its liabilities to third parties as they fall due.

The financial statements are presented in Pound Sterling (£), which is also the functional currency of the company.

FINANCIAL REPORTING STANDARD 102 - REDUCED DISCLOSURE EXEMPTIONS

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 33.7.

SIGNIFICANT JUDGEMENTS AND ESTIMATES

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factor that are 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 period where the revision affects both current and future periods.

The areas requiring a high degree of judgement or where assumptions and estimates are significant to the accounts are outlined below.

Construction contracts

Recognition of turnover and profit on construction contracts requires management judgement regarding the anticipated final outcome of individual contracts and of the proportion of works completed at the balance sheet date. Management undertakes internal reviews in order to exercise judgement over the outcome of each contract and the associated risks and opportunities.

The value of work completed at the balance sheet date is calculated by internal assessment and management review of the costs incurred compared with the total forecast costs of each contract.

The estimation of the final contract value includes assessment of the recovery of variations which have yet to be agreed with the customer, compensation events and claims that are probable to be agreed.

Procedures, internal finance standards and management tools are in place to ensure that estimates are applied and results determined on a consistent basis.

As at 31 December 2025 the company's contract assets and contract liabilities amounted to £4,994,234 (2024: £5,465,339) and £912,933 (2024: £nil) respectively.

TURNOVER

Turnover is the amount derived from the provision of goods and services and is stated after trade discounts, other sales taxes, and net of VAT. Turnover is reduced for customer rebates and other similar allowances.

Turnover from construction contracts is measured at the fair value of consideration receivable and ascertained in a manner appropriate to the stage of completion of the contract.

Turnover from operation and maintenance contracts is measured at the fair value of consideration receivable and recognised evenly over the period of the contract.

Turnover from the supply of operation and maintenance services represents the value of services provided under contracts to the extent that there is a right to consideration and is measured at the fair value of consideration received or receivable.

Construction contracts

Turnover on construction contracts is ascertained in a manner appropriate to the stage of completion of the contract. The company uses an input method to measure progress for construction contracts where turnover is recognised over time. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to estimated total contract costs.

Profit on contracts is only recognised when the company is satisfied that the risks on a contract have been mitigated to a suitable level so that the outcome of work under the contract can be assessed with reasonable certainty. When it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately and an associated liability recorded.

Variations and claims are recognised once there is sufficient certainty over the probability that they will be received, and the amount can be measured reliably.

Amounts recoverable on contracts represents the excess of the value of work completed over amounts invoiced or certified at the balance sheet date. Where amounts invoiced or certified at the balance sheet date exceed the amount of work completed, the excess is included within payments received on account.

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

-

15% on reducing balance

Fixtures and fittings

-

12% on reducing balance

Motor vehicles

-

15% on reducing balance

Computer equipment

-

25% on cost

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost of the asset less their residual values over their useful lives on the above bases. The gain or loss on the disposal of an asset is determines as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to the profit and loss.

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

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

FINANCIAL INSTRUMENTS

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

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

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

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2025

2024

£

£

EPC contracts

24,074,817

25,954,604

Operation and maintenance

1,891,880

1,904,596

25,966,697

27,859,200

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

25,959,605

27,859,200

Europe

7,092

-

25,966,697

27,859,200

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

1,635,155

1,449,031

Social security costs

208,718

179,216

Other pension costs

13,763

13,814

1,857,636

1,642,061

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

2025

2024

Directors

2

2

Administrative

7

6

Operations

29

24

38

32

5.	DIRECTORS' EMOLUMENTS

The aggregate emoluments of the directors, including salaries and benefits in kind, were as follows:

2025

2024

£

£

Aggregate remuneration

221,407

344,460

Total emoluments of all directors

221,407

344,460

The emoluments of the highest paid director were £221,107 (2024: £335,677)

6.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2025

2024

£

£

Hire of plant and machinery

274,673

354,125

Other operating leases

498,128

416,870

Depreciation - owned assets

45,305

45,023

Loss on disposal of fixed assets

20,905

4,278

Auditors' remuneration

14,700

14,000

Foreign exchange differences

(75,860

)

89,739

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

£

Interest on tax

54,643

17,880

8.

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

1,513,610

1,598,961

Deferred tax

13,683

5,961

Tax on profit

1,527,293

1,604,922

RECONCILIATION OF TOTAL TAX CHARGE INCLUDED IN PROFIT AND LOSS

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

£

£

Profit before tax

6,093,507

6,418,882

Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%)

1,523,377

1,604,721

Effects of:

Expenses not deductible for tax purposes

7,771

2,642

Capital allowances in excess of depreciation

(17,538

)

(8,402

)

Unrecognised deferred tax

13,683

5,961

Total tax charge

1,527,293

1,604,922

9.

DIVIDENDS

2025

2024

£

£

Ordinary shares of £1 each

Interim

1,000,000

500,000

10.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

Computer

machinery

fittings

vehicles

equipment

Totals

£

£

£

£

£

COST

At 1 January 2025

48,714

7,495

312,660

6,366

375,235

Additions

17,735

977

97,221

7,697

123,630

Disposals

-

-

(47,533

)

-

(47,533

)

At 31 December 2025

66,449

8,472

362,348

14,063

451,332

DEPRECIATION

At 1 January 2025

6,735

3,760

104,298

1,007

115,800

Charge for year

7,374

539

35,022

2,370

45,305

Eliminated on disposal

-

-

(15,916

)

-

(15,916

)

At 31 December 2025

14,109

4,299

123,404

3,377

145,189

NET BOOK VALUE

At 31 December 2025

52,340

4,173

238,944

10,686

306,143

At 31 December 2024

41,979

3,735

208,362

5,359

259,435

11.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Trade debtors

1,990,383

1,708,149

Amounts recoverable on contract

4,994,234

5,465,339

Other debtors

41,147

367,473

Payments on account

61,611

45,439

Directors' current accounts

600

14,629

Accrued income

218,413

189,362

Prepayments

272,235

252,001

7,578,623

8,042,392

12.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

£

Payments received on account

912,933

-

Trade creditors

1,175,129

1,566,664

Tax

1,188,373

1,357,335

Social security and other taxes

43,024

39,667

VAT

211,530

508,225

Other creditors

1,763

2,343

Directors' current accounts

1,585

1,572

Accrued expenses

297,635

584,757

3,831,972

4,060,563

13.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2025

2024

£

£

Within one year

177,546

274,736

Between one and five years

228,016

230,080

In more than five years

-

24,863

405,562

529,679

14.	PROVISIONS FOR LIABILITIES

2025

2024

£

£

Deferred tax

25,812

12,128

Deferred

tax

£

Balance at 1 January 2025

12,128

Provided during year

13,684

Balance at 31 December 2025

25,812

15.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

£

£

100

Ordinary

£1

100

100

16.

RESERVES

Retained

earnings

£

At 1 January 2025

8,972,079

Profit for the year

4,566,214

Dividends

(1,000,000

)

At 31 December 2025

12,538,293

17.	PENSION COMMITMENTS

The company operates a defined contribution pension scheme, The Collegia Personal Pension Scheme, for the employees of the company. The assets of the scheme are held separately from those of the company in an independently administered fund. At the balance sheet date, unpaid contributions of £1,763 (2024: £2,343) were due to the fund and are included within other creditors.