D & M Packaging Limited Company accounts

COMPANY REGISTRATION NUMBER: 10985950

D & M Packaging Limited

Financial Statements

30 September 2025

D & M Packaging Limited

Financial Statements

Year ended 30th September 2025

Contents	Pages

Strategic Report	1

Directors' Report	2 to 3

Independent Auditor's Report to the Members	4 to 7

Statement of Comprehensive Income	8

Statement of Financial Position	9

Statement of Changes in Equity	10

Statement of Cash Flows	11

Notes to the Financial Statements	12 to 23

D & M Packaging Limited

Strategic Report

Year ended 30th September 2025

The directors present their strategic report for the year ended 30th September 2025. The principal activity of the company in the year of review is the supply of flexible packaging.

Business Review 2024/25 During the financial year under review, D&M Packaging Limited continued to grow and consolidate the positive financial performances of the last few years. Trading performance during the year has remained robust despite the ongoing market challenges, including labour shortages and cost inflation. Gross margin has been impacted slightly but due to the increased turnover the overall profit has increased. The Directors have reinvested into people, systems, and process improvements to support future growth, and this will continue over the coming years in order to focus on strengthening operational control in order to deliver sustained and scalable growth. Further investment in additional major capital equipment is also underway which will further enable the recent growth to continue. Looking ahead, the Directors anticipate a period of strong controlled growth. The Group is focused on expanding delivery capability through targeted recruitment, structured training, and leadership development, ensuring that team growth keeps pace with increasing workload while maintaining safety, quality, and commercial discipline. Mr M Peplinski Director.

Principal Risks and Uncertainties The principal risks facing the company relate to the availability and cost of skilled labour, ongoing cost inflation and regulatory change, cashflow timing associated with rapid growth, and project delivery risks linked to external programme dependencies. The Directors actively monitor these risks and believe that appropriate mitigation strategies and controls are in place. The Directors remain confident that the Company's strong client relationships, diversified pipeline, strengthened management structure, and continued investment in people and systems provide a solid foundation for sustainable growth.

Key Performance Indicators The directors consider the key measurement of effectiveness is profit before tax. For the year ended 30th September 2025 the profit before tax is £1,047,797 compared to £829,138 in the previous period. Turnover has increased in 2025 by 24.05% to £13,703,166 generating a gross profit of £3,497,177. The gross profit margin decreased slightly from 26.99% to 25.52%.

This report was approved by the board of directors on 30th June 2026 and signed on behalf of the board by:

Mr M Peplinski

Director

D & M Packaging Limited

Directors' Report

Year ended 30th September 2025

The directors present their report and the financial statements of the company for the year ended 30 September 2025 .

Directors

The directors who served the company during the year were as follows:

Mr D Moorcroft
Mr M Peplinski

Dividends

The directors do not recommend the payment of a dividend.

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, 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 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 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 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 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.

Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board of directors on 30 June 2026 and signed on behalf of the board by:

Mr M Peplinski

Director

D & M Packaging Limited

Independent Auditor's Report to the Members of D & M Packaging Limited

Year ended 30th September 2025

Qualified opinion

We have audited the financial statements of D & M Packaging Limited (the 'company') for the year ended 30th September 2025 which comprise the statement of comprehensive income, statement of financial position, statement of changes in equity, statement of cash flows 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, except for the effects of the matter described in the basis for qualified opinion section of our report, the financial statements: - give a true and fair view of the state of the company's affairs as at 30th September 2025 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for qualified opinion

The audit evidence available to us was limited because no audit had been undertaken in respect of the years ended 30th September 2023 or 30th September 2024 such that the physical stock with a carrying value of £1,861,148 as at 30th September 2023 and £1,510,934 as at 30th September 2024 were not verifiable. Owing to the nature of the company's records, we were unable to obtain sufficient audit evidence regarding stock quantities for any of the years by using other audit procedures.

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 auditor's 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 qualified 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 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, 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.

Auditor's 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 auditor’s 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: - Inquiry of management, those charged with governance and the company's solicitors around actual and potential litigation and claims; - Inquiry of company staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations; - Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations. - Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - 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 override of internal control. - 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 the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 auditor's 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.

Jonathon Dale BA(Hons) FCA

(Senior Statutory Auditor)

For and on behalf of

Independent Auditors LLP

Chartered Accountants & Statutory Auditor

Emstrey House North

Shrewsbury Business Park

Shrewsbury

Shropshire

SY2 6LG

30 June 2026

D & M Packaging Limited

Statement of Comprehensive Income

Year ended 30th September 2025

		2025	2024
			(restated)
Note		£	£
Turnover	4	13,703,166	11,046,623

Cost of sales	( 10,205,989)	( 8,064,565)
	--------------	--------------
Gross Profit	3,497,177	2,982,058

Administrative expenses		( 2,333,073)	( 2,099,318)
Other operating income	5	–	28,298
		-------------	-------------
Operating Profit	6	1,164,104	911,038

Other interest receivable and similar income	9	–	111
Interest payable and similar expenses	10	( 116,307)	( 82,011)
		-------------	-------------
Profit Before Taxation		1,047,797	829,138

Tax on profit	11	( 253,442)	( 137,915)
		-------------	----------
Profit for the Financial Year and Total Comprehensive Income		794,355	691,223
		-------------	----------

All the activities of the company are from continuing operations.

D & M Packaging Limited

Statement of Financial Position

30 September 2025

	2025		2024
			(restated)
Note	£	£	£

Fixed Assets

Tangible assets	13		2,560,423	2,365,703

Current Assets

Stocks	14	1,681,683	1,510,934
Debtors	15	3,977,212	2,820,429
Cash at bank and in hand		197,640	151,306
		-------------	-------------
		5,856,535	4,482,669

Creditors: amounts falling due within one year	16	( 4,436,546)		( 4,041,968)
		-------------		-------------
Net Current Assets			1,419,989	440,701
			-------------	-------------
Total Assets Less Current Liabilities			3,980,412	2,806,404

Creditors: amounts falling due after more than one year	17		( 460,169)	( 317,567)

Provisions

Taxation including deferred tax	19	( 601,355)	( 364,304)
		-------------	-------------
Net Assets		2,918,888	2,124,533
		-------------	-------------

Capital and Reserves

Called up share capital	24	2	2
Revaluation reserve	25	118,929	118,929
Profit and loss account	25	2,799,957	2,005,602
		-------------	-------------
Shareholders Funds		2,918,888	2,124,533
		-------------	-------------

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.

These financial statements were approved by the board of directors and authorised for issue on 30 June 2026 , and are signed on behalf of the board by:

Mr M Peplinski

Director

Company registration number: 10985950

D & M Packaging Limited

Statement of Changes in Equity

Year ended 30th September 2025

			Called up share capital	Revaluation reserve	Profit and loss account	Total
Note			£	£	£	£
At 1st October 2023			2	133,602	1,299,706	1,433,310

Profit for the year					691,223	691,223
Other comprehensive income for the year:
	Reclassification from revaluation reserve to profit and loss account		–	( 14,673)	14,673	–
			----	----------	-------------	-------------
Total Comprehensive Income for the Year			–	( 14,673)	705,896	691,223

At 30th September 2024 (as Previously Reported)			2	118,929	2,056,702	2,175,633
Prior period adjustments		23	–	–	(51,100)	(51,100)
			----	----------	-------------	-------------
At 30th September 2024 (Restated)			2	118,929	2,005,602	2,124,533
			----	----------	-------------	-------------

Profit for the year					794,355	794,355
			----	----------	-------------	-------------
Total Comprehensive Income for the Year			–	–	794,355	794,355

			----	----------	-------------	-------------
At 30th September 2025			2	118,929	2,799,957	2,918,888
			----	----------	-------------	-------------

D & M Packaging Limited

Statement of Cash Flows

Year ended 30th September 2025

	2025	2024
		(restated)
	£	£

Cash Flows from Operating Activities

Profit for the financial year	794,355	691,223

Adjustments for:
Depreciation of tangible assets	287,149	268,078
Government grant income	–	( 28,298)
Other interest receivable and similar income	–	( 111)
Interest payable and similar expenses	116,307	82,011
Loss on disposal of tangible assets	16,637	–
Tax on profit	253,442	137,915
Accrued expenses	75,598	20,164

Changes in:
Stocks	( 170,749)	350,214
Trade and other debtors	( 1,156,783)	( 978,762)
Trade and other creditors	323,704	401,988
	-------------	----------
Cash generated from operations	539,660	944,422

Interest paid	( 116,307)	( 82,011)
Interest received	–	111
	----------	----------
Net cash from operating activities	423,353	862,522
	----------	----------

Cash Flows from Investing Activities

Purchase of tangible assets	( 507,507)	( 509,281)
Proceeds from sale of tangible assets	9,000	–
	----------	----------
Net cash used in investing activities	( 498,507)	( 509,281)
	----------	----------

Cash Flows from Financing Activities

Proceeds from borrowings	642,201	–
Repayments of borrowings	( 186,807)	( 85,507)
Government grant income	–	28,298
Payments of finance lease liabilities	( 333,906)	( 258,445)
	----------	----------
Net cash from/(used in) financing activities	121,488	( 315,654)
	----------	----------

Net Increase in Cash and Cash Equivalents	46,334	37,587
Cash and Cash Equivalents at Beginning of Year	151,306	113,719
	----------	----------
Cash and Cash Equivalents at End of Year	197,640	151,306
	----------	----------

D & M Packaging Limited

Notes to the Financial Statements

Year ended 30th September 2025

1. General Information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is 15 Birchwood Grove, Twemlows Avenue, Higher Heath, Whitchurch, Shropshire, SY13 2EX.

2. Statement of Compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting Policies

Basis of preparation

The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £ .

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances .

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax. Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account.

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

	Goodwill	-	20% straight line

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Long leasehold property	-	20% straight line
Plant and machinery	-	15% & 20% Straight Line
Fixtures and fittings	-	15% straight line
Office equipment	-	33% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Government grants

Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the company will comply with the conditions attaching to them and the grants will be received. Government grants are recognised using the accrual model and the performance model. Under the accrual model, government grants relating to revenue are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support to the entity with no future related costs are recognised in income in the period in which it becomes receivable. Grants relating to assets are recognised in income on a systematic basis over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income and not deducted from the carrying amount of the asset. Under the performance model, where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS102 to all of its financial instruments. Financial instruments are recognised in the company's balance sheet when the company becomes a 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 intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 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, which the transaction is measured at the present value of the future receipts discounted at market rate of interest. Financial assets classified as receivable within one year are not amortised. Financial liabilities and equity instruments are classified according to the substance of the contractual arrangement 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, 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 payment 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. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

4. Turnover

Turnover arises from:

	2025	2024
		(restated)
	£	£
Sale of goods	13,703,166	11,046,623
	--------------	--------------

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Other Operating Income

	2025	2024
		(restated)
	£	£
Government grant income	–	28,298
	----	--------

6. Operating Profit

Operating profit or loss is stated after charging/crediting:

	2025	2024
		(restated)
	£	£
Depreciation of tangible assets	287,149	268,078
Loss on disposal of tangible assets	16,637	–
Impairment of trade debtors	(4,123)	71,010
Operating lease rentals	246,596	251,011
Foreign exchange differences	3,243	50,274
Fees payable for the audit of the financial statements	9,000	–
	----------	----------

7. Staff Costs

The average number of persons employed by the company during the year, including the directors, amounted to:

	2025	2024
	No.	No.
Production staff	27	24
Administrative staff	18	16
Number of directors	2	2
	----	----
	47	42
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2025	2024
		(restated)
	£	£
Wages and salaries	2,301,789	1,843,815
Social security costs	490	65
Other pension costs	45,430	37,346
	-------------	-------------
	2,347,709	1,881,226
	-------------	-------------

8. Directors' Remuneration

The directors' aggregate remuneration in respect of qualifying services was:

	2025	2024
		(restated)
	£	£
Remuneration	11,002	9,885
	--------	-------

9. Other Interest Receivable and Similar Income

	2025	2024
		(restated)
	£	£
Interest on cash and cash equivalents	–	111
	----	----

10. Interest Payable and Similar Expenses

	2025	2024
		(restated)
	£	£
Interest on banks loans and overdrafts	6,855	11,533
Interest on obligations under finance leases and hire purchase contracts	104,325	70,478
Other interest payable and similar charges	5,127	–
	----------	--------
	116,307	82,011
	----------	--------

11. Tax on Profit

Major components of tax expense

	2025	2024
		(restated)
	£	£

Current tax:

UK current tax expense	16,390	–

Deferred tax:

Origination and reversal of timing differences	237,052	137,915
	----------	----------
Tax on profit	253,442	137,915
	----------	----------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is lower than (2024: lower than) the standard rate of corporation tax in the UK of 24.79 % (2024: 25 %).

	2025	2024
		(restated)
	£	£
Profit on ordinary activities before taxation	1,047,797	829,138
	-------------	----------
Profit on ordinary activities by rate of tax	259,709	207,284
Effect of expenses not deductible for tax purposes	( 11,505)	1,103
Effect of capital allowances and depreciation	( 62,896)	( 59,094)
Utilisation of tax losses	( 34,784)	( 66,046)
Research and Development claim	( 138,149)	( 83,144)
General provisions adjustment	( 109)	( 103)
Deferred tax	237,052	137,915
Loss on disposal of fixed assets	4,124	–
	-------------	----------
Tax on profit	253,442	137,915
	-------------	----------

12. Intangible Assets

	Goodwill
	£
Cost
At 1st October 2024 (as restated) and 30th September 2025	6,221
	-------
Amortisation
At 1st October 2024 and 30th September 2025	6,221
	-------
Carrying amount
At 30th September 2025	–
	-------
At 30th September 2024	–
	-------

13. Tangible Assets

	Land and buildings	Plant and machinery	Fixtures and fittings	Equipment	Total
	£	£	£	£	£
Cost
At 1st October 2024 (as restated)	–	3,378,793	8,699	66,013	3,453,505
Additions	2,926	496,429	2,695	5,456	507,506
Disposals	–	( 50,000)	–	–	( 50,000)
	-------	-------------	--------	--------	-------------
At 30th September 2025	2,926	3,825,222	11,394	71,469	3,911,011
	-------	-------------	--------	--------	-------------
Depreciation
At 1st October 2024	–	1,039,487	3,924	44,391	1,087,802
Charge for the year	272	275,249	1,193	10,435	287,149
Disposals	–	( 24,363)	–	–	( 24,363)
	-------	-------------	--------	--------	-------------
At 30th September 2025	272	1,290,373	5,117	54,826	1,350,588
	-------	-------------	--------	--------	-------------
Carrying amount
At 30th September 2025	2,654	2,534,849	6,277	16,643	2,560,423
	-------	-------------	--------	--------	-------------
At 30th September 2024	–	2,339,306	4,775	21,622	2,365,703
	-------	-------------	--------	--------	-------------

14. Stocks

	2025	2024
		(restated)
	£	£
Raw materials and consumables	1,681,683	1,510,934
	-------------	-------------

15. Debtors

	2025	2024
		(restated)
	£	£
Trade debtors	2,234,216	2,091,804
Amounts owed by group undertakings	1,121,200	–
Prepayments and accrued income	532,287	581,721
Other debtors	89,509	146,904
	-------------	-------------
	3,977,212	2,820,429
	-------------	-------------

16. Creditors: amounts falling due within one year

	2025	2024
		(restated)
	£	£
Bank loans and overdrafts	57,898	82,495
Trade creditors	2,083,418	1,540,980
Accruals and deferred income	219,949	321,904
Corporation tax	16,390	–
Social security and other taxes	196,212	274,923
Obligations under finance leases and hire purchase contracts	292,141	188,658
Director loan accounts	272,641	372,641
Amounts owed to invoice discounters	1,212,580	1,174,108
Other creditors	85,317	86,259
	-------------	-------------
	4,436,546	4,041,968
	-------------	-------------

The amount due to invoice discounters is secured against the trade debtors to which it has financed.

The hire purchase creditor is secured against the fixed assets to which they relate.

The bank loan is secured by a fixed and floating charge over the assets and undertaking of the company in favour of Lloyds Bank plc

17. Creditors: amounts falling due after more than one year

	2025	2024
		(restated)
	£	£
Bank loans and overdrafts	–	62,210
Obligations under finance leases and hire purchase contracts	460,169	255,357
	----------	----------
	460,169	317,567
	----------	----------

The hire purchase creditor is secured against the fixed assets to which they relate.

18. Finance Leases and Hire Purchase Contracts

The total future minimum lease payments under finance leases and hire purchase contracts are as follows:

	2025	2024
		(restated)
	£	£
Not later than 1 year	292,141	188,658
Later than 1 year and not later than 5 years	460,169	255,357
	----------	----------
	752,310	444,015
	----------	----------

19. Provisions

	Deferred tax (note 20)
	£
At 1st October 2024 (as restated)	364,304
Additions	237,051
	----------
At 30th September 2025	601,355
	----------

20. Deferred Tax

The deferred tax included in the statement of financial position is as follows:

	2025	2024
		(restated)
	£	£
Included in provisions (note 19)	601,355	364,304
	----------	----------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2025	2024
		(restated)
	£	£
Accelerated capital allowances	601,355	538,729
Unused tax losses	–	( 174,425)
	----------	----------
	601,355	364,304
	----------	----------

21. Employee Benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 45,430 (2024: £ 37,346 ).

22. Government Grants

The amounts recognised in the financial statements for government grants are as follows:

	2025	2024
		(restated)
	£	£

Recognised in other operating income:

Government grants recognised directly in income	–	28,298
	----	--------

23. Prior Period Errors

During the year it was discovered that the financial statements in respect of the year ended 30th September 2024 included an overstatement of turnover and an understatement of deferred income of £177,553 relating to sales that had been raised but not delivered as at 30th September 2024. The financial statements also included an overstatement of purchases and an understatement of closing stocks of £126,453 relating to these sales. The net impact of the above was an overstatement of profit and loss reserves at 30th September 2024 of £51,100 being the gross margin achieved on the sales. It was also discovered that the financial statements in respect of the year ended 30th September 2024 included an understatement of trade creditors and an understatement of prepayments of £278,453 which related to supplier invoices dated prior to 30th September 2024 in respect of goods and services received related to the year ended 30th September 2025. The above had no impact on the profit and loss reserves at 30th September 2024

24. Called Up Share Capital

Issued, called up and fully paid

	2025		2024
			(restated)
	No.	£	No.	£
Ordinary shares of £ 1 each	2	2	2	2
	----	----	----	----

25. Reserves

Revaluation reserve - This reserve records the value of asset revaluations and fair value movements on assets recognised in other comprehensive income. Profit and loss account - This reserve records retained earnings and accumulated losses.

26. Operating Leases

The total future minimum lease payments under non-cancellable operating leases are as follows:

	2025	2024
		(restated)
	£	£
Not later than 1 year	85,250	10,429
Later than 1 year and not later than 5 years	682,000	–
Later than 5 years	937,750	–
	-------------	--------
	1,705,000	10,429
	-------------	--------

27. Directors' Advances, Credits and Guarantees

During the year the directors entered into the following advances and credits with the company:

	2025
	Balance brought forward	Amounts repaid	Balance outstanding
	£	£	£
Mr D Moorcroft	( 202,651)	50,000	( 152,651)
Mr M Peplinski	( 169,990)	50,000	( 119,990)
	----------	----------	----------
	( 372,641)	100,000	( 272,641)
	----------	----------	----------

	2024
	Balance brought forward	Amounts repaid	Balance outstanding
	£	£	£
Mr D Moorcroft	( 202,651)	–	( 202,651)
Mr M Peplinski	( 169,990)	–	( 169,990)
	----------	----	----------
	( 372,641)	–	( 372,641)
	----------	----	----------

The non-interest bearing loans are repayable on demand.

28. Related Party Transactions

Included within other creditors is £80,477 (2024 - £80,477) owed to Mark Peplinski Technical Services Limited, a company controlled by one of the directors. Consultancy fees of £122,600 (2024 - £98,600) were charged by Mark Peplinski Technical Services Limited during the year. Amounts owed by group undertakings relates to £1,120,000 owed by the parent company D & M Packaging Holdco Limited, which is also controlled by one of the directors.

29. Controlling Party

The company's immediate parent undertaking is D & M Packaging Holdco Limited. The ultimate parent undertaking is also D & M Packaging Holdco Limited (incorporated in England & Wales). Its registered office is 21 Hall Enterprise Park, Weston Road, Haslington, Crewe, Cheshire,CW1 6UA. Copies of the group accounts may be obtained from the company's registered office.