Company No: SC452602 (Scotland)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	2026		2025
		£		£
Fixed assets
Tangible assets	3	1,040,317		1,140,622
		1,040,317		1,140,622
Current assets
Debtors	4	146,106		85,795
Cash at bank and in hand		48,305		103,000
		194,411		188,795
Creditors: amounts falling due within one year	5	( 171,644)		( 152,286)
Net current assets		22,767		36,509
Total assets less current liabilities		1,063,084		1,177,131
Creditors: amounts falling due after more than one year	6	( 658,532)		( 772,933)
Provision for liabilities	7	( 31,498)		( 43,123)
Net assets		373,054		361,075
Capital and reserves
Called-up share capital	8	138,001		138,001
Profit and loss account		235,053		223,074
Total shareholder's funds		373,054		361,075

For the financial year ending 31 March 2026 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Invermark Hydro Limited (registered number: SC452602) were approved and authorised for issue by the Board of Directors on 17 July 2026. They were signed on its behalf by:

Lord Ramsay Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Invermark Hydro Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in Scotland. The address of the Company's registered office is Dalhousie Estate Office, West Lodge, Brechin, DD9 6RL, Scotland, United Kingdom.

The financial statements have been prepared under the historical cost convention, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

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

Turnover

Turnover represents amounts receivable for renewable energy production net of VAT and trade discounts.

Turnover is recognised when the hydro schemes generate electricity.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws. Deferred tax assets and liabilities are not discounted.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Plant and machinery	20 years straight line
Vehicles	25 % reducing balance

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Impairment of assets

Assets, other than those measured at fair value, are assessed for indicators of impairment at each Balance Sheet date. If there is objective evidence of impairment, an impairment loss is recognised in the Profit and Loss Account as described below.

Non-financial assets
At each balance sheet date, the company reviews its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

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

Basic financial assets
Basic financial assets, which include debtors and bank balances, are measured at transaction price including transaction costs.

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

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

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less.

Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

2. Employees

	2026		2025
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	2		2

3. Tangible assets

	Plant and machinery		Vehicles		Total
	£		£		£
Cost
At 01 April 2025	1,895,462		30,132		1,925,594
At 31 March 2026	1,895,462		30,132		1,925,594
Accumulated depreciation
At 01 April 2025	776,968		8,004		784,972
Charge for the financial year	94,773		5,532		100,305
At 31 March 2026	871,741		13,536		885,277
Net book value
At 31 March 2026	1,023,721		16,596		1,040,317
At 31 March 2025	1,118,494		22,128		1,140,622

4. Debtors

	2026		2025
	£		£
Trade debtors	142,773		73,990
Other debtors	3,333		11,805
	146,106		85,795

5. Creditors: amounts falling due within one year

	2026		2025
	£		£
Bank loans	112,882		108,261
Trade creditors	6,369		360
Taxation and social security	24,790		17,530
Other creditors	27,603		26,135
	171,644		152,286

Bank loans are secured by a floating charge over the property and undertakings of the company.

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

	2026		2025
	£		£
Bank loans	658,532		772,933

Included in Bank loans is a loan totalling £148,532 (2025 - £262,933) which is secured by a floating charge over the property and undertakings of the company.

Also included in Bank loans is a loan totalling £510,000 (2025 - £510,000) which is secured on land owned by the Shareholder.

Amounts repayable after more than 5 years are included in creditors falling due over one year:

	2026		2025
	£		£
Bank loans (repayable by instalments)	510,000		510,000

7. Provision for liabilities

	2026		2025
	£		£
Deferred tax	31,498		43,123

8. Called-up share capital

	2026		2025
	£		£
Allotted, called-up and fully-paid
138,001 Ordinary shares of £ 1.00 each	138,001		138,001