REGISTERED NUMBER: 00792934 (England and Wales)

JOICE AND HILL POULTRY LTD

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

to

6

Income Statement

7

Other Comprehensive Income

8

Statement of Financial Position

9

Statement of Changes in Equity

10

Statement of Cash Flows

11

Notes to the Statement of Cash Flows

12

Notes to the Financial Statements

13

to

25

DIRECTORS:

N J K Bailey

Institut De Selection Animale BV

P Casanovas Infiesta

W L Duijmelinck

REGISTERED OFFICE:

Green Road

Eye

Peterborough

PE6 7YP

REGISTERED NUMBER:

00792934 (England and Wales)

SENIOR STATUTORY AUDITOR:

Tara Bellamy FCA

AUDITORS:

Duncan & Toplis Audit Limited, Statutory Auditor

Oxley House

Lincoln Way

Louth

Lincolnshire

LN11 0LS

BANKERS:

Rabobank

Cooperative Centrale

Raiffeisen-Boerenleenbank B.A

P.O. Box 17100

3500 HG

UTRECHT

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

STRATEGIC REPORT 2025

The company is involved in the production and sale of day-old chicks, supplying the egg industry across the UK & Eire. This is a competitive environment that depends on the quality of the genetics, our day-old chicks and inter-company relationships. As part of multi-species animal breeding group Hendrix Genetics and with close relationships within the UK egg value chain, we are well placed to serve the industry with the right breeds of laying hen. There is an increasing interest in our Dekalb White breed which has demonstrated excellent performance in free range and barn egg production.

REVIEW OF BUSINESS

2025 was another good year for egg producers with sustained demand, stable feed prices and a continuation of good egg prices. Egg demand seems to grow as health-conscious consumers recognise the high protein, highly nutritious benefits of eggs whilst pricing in relation to other proteins kept them affordable. To meet this demand egg producers are building more free-range units, but this is impeded by the ridiculously slow and bureaucratic planning process, high costs and availability from equipment manufacturers. Overall, the available market grew again by 2.5m chicks in the UK compared with 2024 (+6.5%).

With both the egg laying and broiler sectors desperate for poultry housing space, placing more parent stock to meet this rising demand is very difficult. Traditionally we have expanded by finding contract production, but this is now all but impossible and so we have started a programme to invest in new units on our own sites. The first of these house birds in 2026. We had record chick sales of 14.6m with sales turnover up by 9.8%. Profitability was affected by increased labour costs and higher parent stock prices as the genetics company puts further investment into R&D. Investments continued into automation, biosecurity and the general infrastructure of our production facilities.

RESEARCH AND DEVELOPMENT

Work continues with the development of our specialty egg laying lines and in areas of data collection. The field data we collect verifies the genetic improvements in our breeding lines, particularly the extension of viable production cycles.

POST YEAR END EVENTS

Demand for our products continues to grow and we are still turning away business. It takes at least nine months to increase chick production if you can find suitable parent stock premises. Planning is in progress for two new large parent stock units on two of our existing sites. Avian Influenza continues to pose a high risk to our industry, and we have had three large clients affected in the last twelve months. Large flocks being taken out by this disease continues to place stress on an already challenged supply chain.

PRINCIPAL RISKS AND UNCERTAINTIES

Our principal risks are avian disease, fire, production cost volatility and utilisation of our production. The directors take the management of these risks very seriously, but it is due to the diligence of all employees that we continue to thrive. As our products are constantly improving in the output of first quality eggs and production cycles lengthen, it is logical that our available market may shrink. In this respect it is vital for business continuation that we are paid for this contribution to egg production efficiency.

DIRECTORS RESPONSIBILTIES

The directors of the company take our responsibilities seriously and consider the place of the business in an important food supply chain. We are in a long-term business and take decisions on investment and management of the company in the context of this.

The assets of the company are not purely physical or financial; our staff are vital and have been instrumental to the success of the company. Looking after them as well as the relationships with clients and suppliers is of high importance to the directors. Part of this is maintaining standards of conduct between our employees, between us and our suppliers and clients and with the communities we work in.

We also recognise the importance of our impact on the environment and have several initiatives in this area including renewable energy, EV company vehicles, waste recycling, use of plastics and responsible antibiotic use.

ON BEHALF OF THE BOARD:

N J K Bailey - Director

25 June 2026

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

DIVIDENDS

No interim dividend was paid within the financial year and the directors recommend that no final dividend be paid.

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

EVENTS SINCE THE END OF THE YEAR

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

DIRECTORS

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

N J K Bailey

Institut De Selection Animale BV

P Casanovas Infiesta

W L Duijmelinck

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.

ON BEHALF OF THE BOARD:

N J K Bailey - Director

25 June 2026

Opinion

We have audited the financial statements of Joice and Hill Poultry Ltd (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 three, 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.

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

We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with Directors and other management obtained as part of the work required by auditing standards. We have also discussed with the Directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit.

The potential impact of different laws and regulations varies considerably. Firstly, the company is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. This included the identification and testing of unusual material journal entries and challenging management on key estimates, assumptions and judgements made in the preparation of the financial statements. These key areas of uncertainty are disclosed in the accounting policies.

Secondly, the company is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Health and Safety regulations, Employment laws, Code of Good Practice, Label Rouge and RSPCA.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and other management. We have performed audit work through enquiries with management regarding any non-compliance and reviewed all available information to assess whether any breaches have been found. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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.

Tara Bellamy FCA (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor

Oxley House

Lincoln Way

Louth

Lincolnshire

LN11 0LS

25 June 2026

TURNOVER

3

16,129,629

14,688,256

Cost of sales

13,073,621

11,845,916

GROSS PROFIT

3,056,008

2,842,340

Distribution costs

689,429

719,658

Administrative expenses

1,639,650

1,311,339

2,329,079

2,030,997

OPERATING PROFIT

5

726,929

811,343

Income from shares in group undertakings

-

2,000,000

Interest receivable and similar income

6

25,962

44,308

25,962

2,044,308

752,891

2,855,651

Amounts written back on investments

7

-

80,007

752,891

2,775,644

Interest payable and similar expenses

8

(73,776

)

(45,217

)

PROFIT BEFORE TAXATION

826,667

2,820,861

Tax on profit

9

200,887

52,652

PROFIT FOR THE FINANCIAL YEAR

625,780

2,768,209

PROFIT FOR THE YEAR

625,780

2,768,209

OTHER COMPREHENSIVE INCOME

Actuarial gain/(loss) on pension scheme

(20,000

)

564,000

Asset ceiling adjustment

(243,000

)

(928,000

)

Income tax relating to components of other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

(263,000

)

(364,000

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

362,780

2,404,209

FIXED ASSETS

Tangible assets

11

3,914,282

2,514,062

Investments

12

2,657,629

2,657,629

6,571,911

5,171,691

CURRENT ASSETS

Stocks

13

1,844,687

1,859,907

Debtors

14

2,973,273

2,489,180

Cash at bank and in hand

412,886

1,732,588

5,230,846

6,081,675

CREDITORS

Amounts falling due within one year

15

2,441,977

2,372,405

NET CURRENT ASSETS

2,788,869

3,709,270

TOTAL ASSETS LESS CURRENT LIABILITIES

9,360,780

8,880,961

PROVISIONS FOR LIABILITIES

17

312,707

195,668

NET ASSETS

9,048,073

8,685,293

CAPITAL AND RESERVES

Called up share capital

18

2,634,581

2,634,581

Retained earnings

19

6,413,492

6,050,712

SHAREHOLDERS' FUNDS

9,048,073

8,685,293

The financial statements were approved and authorised for issue by the Board of Directors and authorised for issue on 25 June 2026 and were signed on its behalf by:

N J K Bailey - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

2,634,581

5,646,503

8,281,084

Changes in equity

Total comprehensive income

-

2,404,209

2,404,209

Dividends

-

(2,000,000

)

(2,000,000

)

Balance at 31 December 2024

2,634,581

6,050,712

8,685,293

Changes in equity

Total comprehensive income

-

362,780

362,780

Balance at 31 December 2025

2,634,581

6,413,492

9,048,073

Cash flows from operating activities

Cash generated from operations

1

842,651

1,131,543

Interest paid

73,776

45,217

Tax paid

(428,776

)

(96,086

)

Net cash from operating activities

487,651

1,080,674

Cash flows from investing activities

Purchase of tangible fixed assets

(1,833,315

)

(481,224

)

Interest received

25,962

44,308

Dividends received

-

2,000,000

Net cash from investing activities

(1,807,353

)

1,563,084

Cash flows from financing activities

Equity dividends paid

-

(2,000,000

)

Net cash from financing activities

-

(2,000,000

)

(Decrease)/increase in cash and cash equivalents

(1,319,702

)

643,758

Cash and cash equivalents at beginning of year

2

1,732,588

1,088,830

Cash and cash equivalents at end of year

2

412,886

1,732,588

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

2025

2024

£

£

Profit before taxation

826,667

2,820,861

Depreciation charges

433,095

404,147

Pension contributions paid off provision

(152,000

)

(296,000

)

Non cash actuarial pension costs

(111,000

)

(68,000

)

Non cash impairment of investment

-

80,007

Finance costs

(73,776

)

(45,217

)

Finance income

(25,962

)

(2,044,308

)

897,024

851,490

Decrease in stocks

15,220

50,797

Increase in trade and other debtors

(261,974

)

(401,477

)

Increase in trade and other creditors

192,381

630,733

Cash generated from operations

842,651

1,131,543

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 31 December 2025

31.12.25

1.1.25

£

£

Cash and cash equivalents

412,886

1,732,588

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

1,732,588

1,088,830

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.25

Cash flow

At 31.12.25

£

£

£

Net cash

Cash at bank and in hand

1,732,588

(1,319,702

)

412,886

1,732,588

(1,319,702

)

412,886

Total

1,732,588

(1,319,702

)

412,886

1.	STATUTORY INFORMATION

Joice and Hill Poultry Ltd 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.

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

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.

Financial Reporting Standard 102 - reduced disclosure exemptions

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

•

the requirement of paragraph 33.7.

Preparation of consolidated financial statements

The financial statements contain information about Joice and Hill Poultry Ltd as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Hendrix Genetics B.V., Villa 'De Korver', Spoorstraatt 69 - PO BOX, 5830 Ac Boxmeer, Netherlands.

Critical accounting judgements and key sources of estimation uncertainty

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

The estimates and underlying assumptions are reviewed on an ongoing basis and are covered within the accounting policies:

i) Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual value of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

(ii) When calculating the inventory provision, management considers the nature and condition of the inventory, as well as applying assumptions around anticipated saleability of finished goods and future usage of raw materials.

(iii) The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, ageing profile of debtors and historical experience.

Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Turnover

Turnover is measure at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales tax. Sales are recognised upon delivery to the customer, or upon collection by the customer.

Sale of goods

Turnover from the sale of chicks and eggs is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on the date of order where the system calculates the price and number of chick boxes needed for the order.

Interest and dividends receivable

Interest income is recognised using the effective interest method and dividend income is recognised as the company’s right to receive payment is established.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, excluding assets under construction, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Freehold land and buildings

- 5% on cost, 2% on cost and Nil

Plant and machinery

- at varying rates on cost and at variable rates on reducing balance

Motor vehicles

- at varying rates on cost

Computer equipment

- at varying rates on cost

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost less any provision for impairment.

Stocks

Livestock are valued at direct costs of production, including attributable production overheads, amortised over their estimated production lives.

Eggs are valued at direct costs of production, including attributable production overheads.

Raw materials including vaccines and feed, are valued at the lower of cost and net realisable value, after making due allowance for slow moving items.

Financial instruments

The company has chosen to adopt the FRS102 1A in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitute a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in the income statement.

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. Accounts 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.

Foreign currency translation

The statement of financial position foreign currency balances are translated using the foreign exchange rate at the statement of financial position date, which has been provided by the group.

The income statement items have been translated at the date of the transaction using the foreign exchange rate provided by the group.

Pension costs and other post-retirement benefits

The company operates a defined benefit pension scheme. The regular pension cost is charged to the income statement and is based on the expected pension costs over the service life of the employees.

The amounts charged to operating profit in respect of the defined benefit scheme are the current service cost and gains and losses on settlements and curtailments. They are included as part of staff costs. Past service costs are recognised immediately in the income statement if the benefits have vested. If the benefits have not vested immediately, the costs are recognised over the period until vesting occurs. The interest cost and the expected return on assets are shown as a net amount of other finance costs or credits adjacent to interest.

Actuarial gains and losses are recognised immediately in the statement of total recognised gains and losses. Defined benefit schemes are funded, with the assets of the scheme held separately from those of the company, in separate trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high quality corporate bond of equivalent currency and term to the scheme liabilities. The actuarial valuations are obtained at least triennially and are updated at each statement of financial position date. The resulting defined benefit asset or liability, net of the related deferred tax, is presented separately after other net assets on the face the statement of financial position.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.

Lease commitments

Rentals paid under operating leases are charged to the income statement on a straight line basis over the period of the lease.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each statement of financial position reporting date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the income statement unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

3.

TURNOVER

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

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

15,581,091

14,528,494

Europe

548,538

159,762

16,129,629

14,688,256

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Staff costs comprise:

Wages and salaries

2,974,083

2,719,709

Social security costs

345,012

238,071

Employer pension contributions

140,414

98,902

3,459,509

3,056,682

2025

2024

The average monthly number of persons employed by the company during the year was:

Production

89

85

Sales

7

7

Management and administration

6

5

102

97

2025

2024

£

£

Directors' remuneration

176,255

134,141

Directors' pension contributions to money purchase schemes

18,749

17,503

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

Money purchase schemes

1

1

5.	OPERATING PROFIT

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

2025

2024

£

£

Depreciation - owned assets

433,095

404,147

Auditors' remuneration

21,999

23,030

(Gain) / loss on foreign exchange movements

14,815

22,783

Operating lease payments - land and buildings

492,865

458,236

Operating lease payments - plant, equipment and vehicles

168,418

145,801

Impairment of subsidiary investment and write off of intercompany balance

-

(16,993

)