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Registered number: 04338219 TRAVEL NATION LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
TRAVEL NATION LIMITED COMPANY INFORMATION
Directors | H Wrath
| J M Goodall
Registered number | 04338219
Registered office | 2nd Floor Nucleus House
| 2 Lower Mortlake Road
| Richmond
| TW9 2JA
Independent auditors | White Hart Associates (London) Limited
| Chartered Accountants and Statutory Auditors
| 2nd Floor Nucleus House
| 2 Lower Mortlake Road
| Richmond
| TW9 2JA
TRAVEL NATION LIMITED CONTENTS
| Page
Strategic Report | 1 - 3
Directors' Report | 4 - 5
Independent Auditors' Report | 6 - 9
Statement of Comprehensive Income | 10
Balance Sheet | 11
Statement of Changes in Equity | 12 - 13
Statement of Cash Flows | 14
Analysis of Net Debt | 15
Notes to the Financial Statements | 16 - 32
TRAVEL NATION LIMITED STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2025
Introduction
The principal activity of the Company continued to be as a specialist tour operator creating round the world and long haul tailor-made travel itineraries, group booking specialist and multi-stop flight only specialist.
Business review
In 2025 our upward trend for advance bookings continued. Our turnover remained fairly static in 2025, but our profits have grown courtesy of 11.5% growth in sales commissions departing this year. We had our first full year of trading following a major upgrade of our systems, we also launched our own app and oversaw growth in our levels of repeat business. The underlying health of the business remains good, and the Company directors consider this a good result against a backdrop of investment. We continue to provide excellent service to our customers, with our independently verified customer reviews rated as 5* on Trustpilot. We place huge importance on our staff well-being, our annual staff survey scores improved again year-on-year, and we won two awards at Best Workplaces in Travel 2025. We remain optimistic about future trading conditions, despite curent geopolitical developments in the Middle East, with our 2026 turnover and profit forecast in a healthy position. Page 1
TRAVEL NATION LIMITED STRATEGIC REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025
Principal risks and uncertainties
The management of the business and the execution of the Company's strategy are subject to a number of risks. The key business risks and uncertainties affecting the Company are considered below: - The Company is exposed to various regulators, including the Civil Aviation Authority ("CAA") which issues an Air Travel Organisers Licence ("ATOL") which is required in order for the Company to operate. This license is renewed in September each year and is subject to assessments of fitness and financial criteria, the framework of which is available on the CAA's webiste (www.caa.co.uk). - Competition - The Company operates in a competitive market particularly around price and product availability. This results in downward pressure on ticket prices and margins. This risk is mitigated by seeking out opportunities to differentiate its product offerings with other holiday elements. - Supplier failure - The Company is reliant on its suppliers to ensure all elements of the holidays it sells are provided to its customers where the Company has acted as a tour organiser. In the event that a supplier is unable to fill its contractual obligations the Company is liable to provide a suitable alternative or a full refund to the customer. The Company mitigates against this risk by spreading its business over a number of selected suppliers. The nature of the business exposes the Company to various commercial risks which may affect the trading performance of the Company. These include: - acts of terrorism, particularly in key tourist destinations - epidemics in key tourist destinations which threaten the health of tourists - wars or other international uncertainty which affects air travel - rising fuel costs leading to increased airfares and reduced airline capacity - natural disasters in key tourist destinations - weather conditions, both in the UK and key tourist destinations - changes in customer behaviour and preferences - wider costs of living pressures affecting discretionary consumer spending - increase in government taxes or regulation Recent geopolitical developments, including conflict in the Middle East since March 2026, have demonstrated the potential for disruption to airline networks and customer demand. To date, the financial impact has been limited due to the Company’s ability to rebook customers and redirect demand to alternative destinations. However, a prolonged period of instability could affect short-term demand. These factors may affect the Company by causing potential customers to cancel or postpone travel plans, reducing the earnings potential of the Company. The Company seeks to minimise such risks by operating a flexible limited commitment business model with the ability to shift capacity amongst a variety of destinations where necessary. Page 2
TRAVEL NATION LIMITED STRATEGIC REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025
Financial instrument risk
The Company's operations expose it to limited financial risks that include liquidity risk, price risk and foreign exchange rate risk. Given the size of the Company, the responsibility of monitoring financial risk management is managed by the board of directors. - Liquidity risk - The nature of the Company's tour operator business is that expenditure on sales and marketing activities to generate bookings takes place several months prior to the date of departure of the holiday, at which point the Company earns its revenue, and also that the pattern of bookings and departures varies throughout the year. The Company does not borrow externally, and maintains a mixture of cash deposits, intra-company trading balances and is adequately capitalised to ensure that it has sufficient funds available for operations. - Price risk - The Company is exposed to price risk through competitor activities in which the Company operates. Competitor prices are monitored frequently and appropriate remedial action is taken. Where possible the Company seeks to differentiate its product offering in order to avoid direct price competition. - Foreign exchange risk - The Company is exposed to foreign exchange rate risk when it purchases overseas holiday services in currencies other than British Pounds. Monetary assets and liabilities are translated at the exchange rate prevailing at the statement of the financial position date. All exchange gains and losses so arising are taken to the income statement. The Company operates a policy of hedge accounting and, accordingly, bears little risk associated with such foreign exchange movements.
Financial key performance indicators
|  | 2025 | 2024
|  | £ | £
| Turnover | 12,658,617 | 12,924,217
| Gross Profit | 2,616,629 | 2,318,730
| Gross Profit as a percentage of Turnover | 20.7% | 17.9%
| Profit on ordinary activities before Taxation | 219,352 | 70,627
| Profit on ordinary activities as a percentage of Turnover | 1.7% | 0.5%
This report was approved by the board on 24 April 2026 and signed on its behalf.
H Wrath Director
Page 3
TRAVEL NATION LIMITED DIRECTORS' REPORT FOR THE YEAR ENDED 31 DECEMBER 2025 The directors present their report and the financial statements for the year ended 31 December 2025.
Directors' responsibilities statement
The directors are responsible for preparing the Strategic Report, the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and 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 for the Company's financial statements and then apply them consistently; ∙make judgments and accounting estimates that are reasonable and prudent; ∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the 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 to 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. The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements and other information included in Directors' Reports may differ from legislation in other jurisdictions.
Results and dividends
The profit for the year, after taxation, amounted to £163,389 (2024 - £58,730). No dividends were paid during the year (2024: Nil).
Directors
The directors who served during the year were:
H Wrath
J M Goodall
Page 4
TRAVEL NATION LIMITED DIRECTORS' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025
Disclosure of information to auditors
Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that: ∙so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and ∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.
Auditors
The auditors, White Hart Associates (London) Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006. This report was approved by the board on 24 April 2026 and signed on its behalf.
................................................ H Wrath Director
Page 5
TRAVEL NATION LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TRAVEL NATION LIMITED
Opinion
We have audited the financial statements of Travel Nation Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of Comprehensive Income, the Analysis of Net Debt, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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. Page 6
TRAVEL NATION LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TRAVEL NATION LIMITED (CONTINUED)
Other information
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual Report. 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit: ∙the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and ∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: ∙adequate accounting records have not been kept, 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 Directors' Responsibilities Statement set out on page 4, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the 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. Page 7
TRAVEL NATION LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TRAVEL NATION LIMITED (CONTINUED)
Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these 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: - We exercise professional judgment and maintain professional scepticism throughout the audit; - We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the deliberate override of internal control; - We obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of internal control; - We evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made; - We assess the risk of management override of controls, including testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business; - We review the scope of the Company's compliance with its regulator, the Civil Aviation Authority ("CAA"), and its membership of The Association of Bonded Travel Organisers Trust Limited ("ABTOT") and sample test relevant documentation to assess this and the effectiveness of its control environment; - We request and review the minutes of management meetings, and assess any matters identified not already provided for or disclosed that may materially impact the financial statements; A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report. Page 8
TRAVEL NATION LIMITED INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF TRAVEL NATION LIMITED (CONTINUED)
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 an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed. Ms N A Spoor FCA FCCA (Senior Statutory Auditor) for and on behalf of White Hart Associates (London) Limited Chartered Accountants and Statutory Auditors 2nd Floor Nucleus House 2 Lower Mortlake Road Richmond TW9 2JA 24 April 2026 Page 9
TRAVEL NATION LIMITED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2025
| 2025 | 2024
Note | £ | £
Turnover | 4 | 12,658,617 | 12,924,217
Cost of sales |  | (10,041,988) | (10,605,487)
Gross profit |  | 2,616,629 | 2,318,730
Administrative expenses |  | (2,474,796) | (2,388,815)
Other operating income | 5 | 7,488 | 19,683
Operating profit/(loss) | 6 | 149,321 | (50,402)
Interest receivable and similar income | 10 | 70,031 | 124,861
Interest payable and similar expenses | 11 | - | (3,832)
Profit before tax |  | 219,352 | 70,627
Tax on profit | 12 | (55,963) | (11,897)
Profit for the financial year |  | 163,389 | 58,730
Other comprehensive income for the year |  |  |
Other comprehensive income |  | (9,575) | (10,806)
Other comprehensive income for the year |  | (9,575) | (10,806)
Total comprehensive income for the year |  | 153,814 | 47,924
The notes on pages 16 to 32 form part of these financial statements.
Page 10
TRAVEL NATION LIMITED REGISTERED NUMBER: 04338219 BALANCE SHEET AS AT 31 DECEMBER 2025
|  | 2025 |  | 2024
Note |  | £ |  | £
Fixed assets |  |  |  |  |
Intangible assets | 13 |  | 122,309 |  | 121,367
Tangible assets | 14 |  | 30,363 |  | 29,546
|  |  | 152,672 |  | 150,913
Current assets |  |  |  |  |
Debtors: amounts falling due within one year | 15 | 2,615,364 |  | 2,529,467 |
Cash at bank and in hand | 16 | 3,488,390 |  | 3,146,996 |
|  | 6,103,754 |  | 5,676,463 |
Creditors: amounts falling due within one year | 17 | (5,258,480) |  | (4,983,448) |
Net current assets |  |  | 845,274 |  | 693,015
Total assets less current liabilities |  |  | 997,946 |  | 843,928
Provisions for liabilities |  |  |  |  |
Deferred tax | 18 | (7,591) |  | (7,387) |
|  |  | (7,591) |  | (7,387)
Net assets |  |  | 990,355 |  | 836,541
Capital and reserves |  |  |  |  |
Called up share capital | 19 |  | 30,000 |  | 30,000
Capital redemption reserve | 20 |  | 20,000 |  | 20,000
Cash flow hedging reserve | 20 |  | (17,796) |  | (8,221)
Profit and loss account | 20 |  | 958,151 |  | 794,762
|  |  | 990,355 |  | 836,541
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 April 2026.
H Wrath
Director
The notes on pages 16 to 32 form part of these financial statements. Page 11
TRAVEL NATION LIMITED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2025
| Called up share capital | Capital redemption reserve | Cash flow hedging reserve | Profit and loss account | Total equity
| £ | £ | £ | £ | £
At 1 January 2025 | 30,000 | 20,000 | (8,221) | 794,762 | 836,541
Comprehensive income for the year |  |  |  |  |
Profit for the year | - | - | - | 163,389 | 163,389
Changes in fair value of foreign exchange hedging instrument | - | - | (9,575) | - | (9,575)
Other comprehensive income for the year | - | - | (9,575) | - | (9,575)
Total comprehensive income for the year | - | - | (9,575) | 163,389 | 153,814
At 31 December 2025 | 30,000 | 20,000 | (17,796) | 958,151 | 990,355
| The notes on pages 16 to 32 form part of these financial statements.
Page 12
TRAVEL NATION LIMITED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2024
| Called up share capital | Capital redemption reserve | Cash flow hedging reserve | Profit and loss account | Total equity
| £ | £ | £ | £ | £
At 1 January 2024 | 30,000 | 20,000 | 2,585 | 736,032 | 788,617
Comprehensive income for the year |  |  |  |  |
Profit for the year | - | - | - | 58,730 | 58,730
Changes in fair value of foreign exchange hedging instrument | - | - | (10,806) | - | (10,806)
Other comprehensive income for the year | - | - | (10,806) | - | (10,806)
Total comprehensive income for the year | - | - | (10,806) | 58,730 | 47,924
At 31 December 2024 | 30,000 | 20,000 | (8,221) | 794,762 | 836,541
| The notes on pages 16 to 32 form part of these financial statements.
Page 13
TRAVEL NATION LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2025
|  |  | 2025 | 2024
|  |  | £ | £
Cash flows from operating activities |  |
Profit for the financial year | 163,389 | 58,730
Adjustments for: |  |
Amortisation of intangible assets | 13,168 | 11,590
Depreciation of tangible assets | 9,587 | 6,833
Interest paid | - | 3,832
Interest received | (70,031) | (124,861)
Taxation charge | 55,963 | 11,897
(Increase)/decrease in debtors | (85,897) | 285,859
Increase in creditors | 221,593 | 383,826
Corporation tax (paid) | (11,895) | (62,471)
Net cash generated from operating activities | 295,877 | 575,235
Cash flows from investing activities |  |
Purchase of intangible fixed assets | (14,110) | (29,316)
Purchase of tangible fixed assets | (10,404) | (6,841)
Interest received | 70,031 | 124,861
Net cash from investing activities | 45,517 | 88,704
Cash flows from financing activities |  |
Repayment of loans | - | (125,274)
Interest paid | - | (3,832)
Net cash used in financing activities | - | (129,106)
Net increase in cash and cash equivalents | 341,394 | 534,833
Cash and cash equivalents at beginning of year | 3,146,996 | 2,612,163
Cash and cash equivalents at the end of year | 3,488,390 | 3,146,996
Cash and cash equivalents at the end of year comprise: |  |
Cash at bank and in hand | 3,488,390 | 3,146,996
| 3,488,390 | 3,146,996
The notes on pages 16 to 32 form part of these financial statements.
Page 14
TRAVEL NATION LIMITED ANALYSIS OF NET DEBT FOR THE YEAR ENDED 31 DECEMBER 2025
| At 1 January 2025 | Cash flows | At 31 December 2025
| £ | £ | £
Cash at bank and in hand | 3,146,996 | 341,394 | 3,488,390
| 3,146,996 | 341,394 | 3,488,390
The notes on pages 16 to 32 form part of these financial statements.
Page 15
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
1. | General information
Travel Nation Limited is a private company limited by shares incorporated in England, United Kingdom. The address of the registered office is 2nd Floor Nucleus House, 2 Lower Mortlake Road, Richmond, England, TW9 2JA. The nature of the Company's operations and principle activities are that of a tour operator. 2.Accounting policies
| 2.1 | Basis of preparation of financial statements
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view. The following principal accounting policies have been applied:
| 2.2 | Going concern
The Directors have undertaken a thorough assessment of the Company’s ability to continue as a going concern, including consideration of current financial performance, cash flow forecasts, and strategic plans. This assessment has taken into account recent geopolitical developments affecting global travel, including disruption to airline capacity and changes in customer booking patterns. Whilst these factors have led to a modest reduction in short-term forecasts for 2026, the Company has demonstrated resilience through its ability to rebook customers and redirect demand to alternative destinations, with confirmed sales for 2026 remaining ahead of the prior year. The Directors have prepared detailed forecasts and cash flow projections, including stress-tested scenarios reflecting potential prolonged disruption, increased airfares, and reduced demand. These forecasts indicate that the Company maintains adequate liquidity and financial resources. On the basis of this assessment, the Directors have a reasonable expectation that the Company has sufficient resources to continue in operational existence for at least the next twelve months from the date of approval of the financial statements. Accordingly, the financial statements have been prepared on a going concern basis. Page 16
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.3 | Foreign currency translation
Functional and presentation currency The Company's functional and presentational currency is GBP. Transactions and balances Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined. Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges. Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.
| 2.4 | Revenue
Turnover represents amounts receivable from the sale of tours and other services supplied to customers net of VAT and arises primarily in the United Kingdom. Revenue and expenses relating to tours are recognised in the profit and loss account on departure and the related costs of distribution and of providing the holidays and flights are charged to the profit and loss account on the same basis.
| 2.5 | Operating leases: the Company as lessee
Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term. Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.
| 2.6 | Interest income
Interest income is recognised in profit or loss using the effective interest method.
| 2.7 | Finance costs
Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument. Page 17
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.8 | Pensions
Defined contribution pension plan The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations. The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.
| 2.9 | Current and deferred taxation
The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively. The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income. Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that: ∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and ∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met. Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
| 2.10 | Intangible assets
Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years. Page 18
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.11 | Tangible fixed assets
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis. Depreciation is provided on the following basis:
|  |  |  | Plant and machinery | - | 25% | reducing balance
|  |  |  | Fixtures and fittings | - | 25% | reducing balance
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
| 2.12 | Debtors
Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
| 2.13 | Cash and cash equivalents
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.
| 2.14 | Creditors
Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.
| 2.15 | Holiday pay accrual
A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date. Page 19
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.16 | Provisions for liabilities
Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made. Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties. Increases in provisions are generally charged as an expense to profit or loss.
| 2.17 | Financial instruments
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments. The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102. Financial instruments are recognised in the 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 trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments. Other financial assets Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment. Impairment of financial assets At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the Page 20
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.17 | Financial instruments (continued)
asset’s original effective interest rate. The impairment loss is recognised in profit or loss. Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate. If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss. Basic financial liabilities Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities. Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial. Debt instruments are subsequently carried at their amortised cost using the effective interest rate method. Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial. Other financial instruments Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss. Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy. Derecognition of financial instruments Derecognition of financial assets Financial assets are derecognised when their contractual right to future cash flow expire, or are Page 21
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 2.Accounting policies (continued)
| 2.17 | Financial instruments (continued)
settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained. Derecognition of financial liabilities Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
| 2.18 | Hedge accounting
The Company uses foreign currency forward contracts to manage its exposure to cash flow risk on its future creditors payable in foreign currencies. These derivatives are measured at fair value at each balance sheet date. To the extent the cash flow hedge is effective, movements in fair value are recognised in other comprehensive income and presented in a separate cash flow hedge reserve. Any ineffective portions of those movements are recognised in profit or loss for the year. Gains and losses on the hedging instruments and the hedged items are recognised in profit or loss for the year. When a hedged item is an unrecognised firm commitment, the cumulative hedging gain or loss on the hedged item is recognised as an asset or liability with a corresponding gain or loss recognised in profit or loss.
3. | Judgments in applying accounting policies and key sources of estimation uncertainty
In the application of the company's accounting policies, the directors are required to make judgments, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are recognised to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current future periods. The directors are of the view that there are no estimates or assumptions that have significant risk of causing a material adjustment to the carrying amount of assets and liabilities. Page 22
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
4. | Turnover
| An analysis of turnover by class of business is as follows:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Tour operator | 12,658,617 | 12,924,217
|  | 12,658,617 | 12,924,217
Analysis of turnover by country of destination:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| United Kingdom | 12,658,617 | 12,924,217
|  | 12,658,617 | 12,924,217
5. | Other operating income
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Sundry income | 7,488 | 19,683
|  | 7,488 | 19,683
6. | Operating profit/(loss)
| The operating profit/(loss) is stated after charging:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Exchange differences | (84,318) | (53,695)
| Other operating lease rentals | 97,359 | 91,357
Page 23
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
7. | Auditors' remuneration
| During the year, the Company obtained the following services from the Company's auditors:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Fees payable to the Company's auditors for the audit of the Company's financial statements | 12,115 | 12,308
8. | Employees
| Staff costs, including directors' remuneration, were as follows:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Wages and salaries | 1,289,280 | 1,242,095
| Social security costs | 152,196 | 124,849
| Cost of defined contribution scheme | 47,665 | 45,186
|  | 1,489,141 | 1,412,130
| The average monthly number of employees, including directors, during the year was 29 (2024 - 28).
9. | Directors' remuneration
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Directors' emoluments | 163,823 | 190,936
| Company contributions to defined contribution pension schemes | 5,401 | 5,213
|  | 169,224 | 196,149
| During the year retirement benefits were accruing to no directors (2024 - NIL) in respect of defined contribution pension schemes.
10. | Interest receivable
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Bank interest receivable | 70,031 | 124,861
|  | 70,031 | 124,861
Page 24
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
11. | Interest payable and similar expenses
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Bank interest payable | - | 3,832
|  | - | 3,832
12. | Taxation
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Corporation tax |  |
| Current tax on profits for the year | 55,759 | 11,895
|  | 55,759 | 11,895
| Total current tax | 55,759 | 11,895
| Deferred tax |  |
| Origination and reversal of timing differences | 204 | 2
| Total deferred tax | 204 | 2
| Taxation on profit on ordinary activities | 55,963 | 11,897
Page 25
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 12.Taxation (continued)
| Factors affecting tax charge for the year
| The tax assessed for the year is different to the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Profit on ordinary activities before tax | 219,352 | 70,627
| Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - %) | 54,838 | 17,657
| Effects of: |  |
| Expenses not deductible for tax purposes, other than goodwill amortisation and impairment | 5,035 | 4,434
| Capital allowances for year in excess of depreciation | (3,732) | (7,331)
| Marginal relief | (382) | (2,865)
| Adjustment to deferred tax | 204 | 2
| Total tax charge for the year | 55,963 | 11,897
| Factors that may affect future tax charges
There were no factors that may affect future tax charges. Page 26
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
13. | Intangible assets
|  | Computer software
|  | £
| Cost |
| At 1 January 2025 | 138,909
| Additions | 14,110
| At 31 December 2025 | 153,019
| Amortisation |
| At 1 January 2025 | 17,542
| Charge for the year on owned assets | 13,168
| At 31 December 2025 | 30,710
| Net book value |
| At 31 December 2025 | 122,309
| At 31 December 2024 | 121,367
Page 27
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
14. | Tangible fixed assets
|  | Plant and machinery | Fixtures and fittings | Total
|  | £ | £ | £
| Cost or valuation |  |  |
| At 1 January 2025 | 89,031 | 1,144 | 90,175
| Additions | 10,404 | - | 10,404
| At 31 December 2025 | 99,435 | 1,144 | 100,579
| Depreciation |  |  |
| At 1 January 2025 | 60,190 | 439 | 60,629
| Charge for the year on owned assets | 9,411 | 176 | 9,587
| At 31 December 2025 | 69,601 | 615 | 70,216
| Net book value |  |  |
| At 31 December 2025 | 29,834 | 529 | 30,363
| At 31 December 2024 | 28,841 | 705 | 29,546
15. | Debtors
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Trade debtors | 2,492 | 2,134
| Other debtors | 174,813 | 82,157
| Prepayments and accrued income | 2,438,059 | 2,445,176
|  | 2,615,364 | 2,529,467
16. | Cash and cash equivalents
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Cash at bank and in hand | 3,488,390 | 3,146,996
|  | 3,488,390 | 3,146,996
Page 28
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
17. | Creditors: Amounts falling due within one year
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Trade creditors | 82,485 | 62,371
| Corporation tax | 55,759 | 11,895
| Other taxation and social security | 31,635 | 25,578
| Other creditors | 25,074 | 26,003
| Accruals and deferred income | 5,045,731 | 4,849,380
| Financial instruments | 17,796 | 8,221
|  | 5,258,480 | 4,983,448
18. | Deferred taxation
|  | 2025 | 2024
|  | £ | £
| At beginning of year | (7,387) | (7,385)
| Charged to profit or loss | (204) | (2)
| At end of year | (7,591) | (7,387)
| The provision for deferred taxation is made up as follows:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Accelerated capital allowances | (7,591) | (7,387)
|  | (7,591) | (7,387)
19. | Share capital
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
|  | Allotted, called up and fully paid |  |
|  | 30,000 (2024 - 30,000) Ordinary shares of £1.00 each | 30,000 | 30,000
Page 29
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
20. | Reserves
Capital redemption reserve On 16 April 2019, the company repurchased 20,000 Ordinary shares of £1 each out of the profits of the company at a par value of £20,000. Cash flow hedging reserve The Cash flow hedging reserve in accordance with the Company's accounting policies, the effective portion of changes in the fair value of foreign exchange forward contract derivatives are recognised. Profit and loss account The profit and loss account represents all current and prior period retained profits and losses, less anydividends paid to shareholders.
21. | Contingent liabilities
The Company currently holds an Air Travel Organisers' License ("ATOL") issued by the Civil Aviation Association Authority ("CAA"), is a member of the Association of Bonded Travel Organisers Trust Limited ("ABTOT") and is an accredited agent of the International Air Transport Association ("IATA"). As at 31 December 2025, there were contingent liabilities given by the Company in the normal course of business in respect of ABTOT bonds amounting to £234,000 (2024: £90,000 ABTA Bonds).
22. | Pension commitments
The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £47,665 (2024: £45,186). Contributions totalling to £8,355 (2024: £7,113) were payable to the fund at balance sheet date and are included in other creditors.
23. | Commitments under operating leases
| At 31 December 2025 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
|  |  |  |  | 2025 | 2024
|  |  |  |  | £ | £
| Not later than 1 year | 74,065 | 96,000
| Later than 1 year and not later than 5 years | - | 74,065
|  | 74,065 | 170,065
Page 30
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
24. | Cash flow hedging
| The Company enters into forward currency contracts to mitigate the exchange rate risk for certain foreign currency payables. At 31 December 2025, the outstanding contracts all mature within 12 months (2024: 12 months) of the year end. The Company is committed to buy and pay a fixed sterling amount of £1,234,887. At 31 December 2024, the Company had sterling equivalent of £1,234,887 Forward Exchange Contracts that it designated as cash flow hedges or probable foreign currency payments to suppliers for firm commitments in future periods. These contracts are entered into to minimise the Company's exposure to foreign exchange risk, between the prices agreed when a customer booking is made and when the supplier is paid. The following table summarises the foreign currency cash flow hedging instruments in place as at 31 December 2025:
|  | 2025 Gain/(Loss) GBP | 2025 Amount GBP | 2024 Gain/(Loss) GBP | 2024 Amount GBP
|  | £ | £ | £ | £
| Foreign currency cash flow hedging instruments |  |  |  |
| Total USD | (7,551) | 604,216 | 13,851 | 447,190
| Total NZD | (11,134) | 384,421 | (14,706) | 344,349
| Total AUD | 2,103 | 172,377 | (6,823) | 177,906
| Total CAD | (1,214) | 73,873 | - | -
| Total ZAR | - | - | (540) | 17,837
| Total THB | - | - | (3) | 1,438
|  | (17,796) | 1,234,887 | (8,221) | 988,720
| The following table summarises the expected timing and amounts of the forecast future cash flows, which will be recognised in the income statement in the same period in which the cash flows occur.
|  | 2025 | 2024
|  | £ | £
| Determination period |  |
| January - March | (5,694) | -
| April - June | (8,145) | -
| July - September | (3,957) | 970
| October - December | - | (9,191)
|  | (17,796) | (8,221)
Page 31
TRAVEL NATION LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
25. | Related party transactions
| The Company has a trading relationship with H and K Consultancy Limited, a company registered in New Zealand in which H Wrath is a director. During the year Travel Nation Limited purchased consultancy services amounting to £225,866 (2024: £154,997) from H and K Consultancy Limited.
26. | Controlling party
The Company is controlled by director H Wrath, by virtue of his shareholding.
27. | IATA
As at 31 December 2025 the Company had no IATA BSP outstanding. As at that date the Company also did not have any undrawn bank credit facilities.
Page 32