REGISTERED NUMBER: 10561676 (England and Wales)

STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

FOR

SKYBORNE AVIATION TRAINING LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Statement of Comprehensive Income

7

Balance Sheet

8

Statement of Changes in Equity

9

Notes to the Financial Statements

10

DIRECTORS:

Mr L J Woodward

Mr M Bettelli

REGISTERED OFFICE:

Skypark Flight Centre

Gloucestershire Airport

Staverton

Cheltenham

GL51 6SR

REGISTERED NUMBER:

10561676 (England and Wales)

SENIOR STATUTORY AUDITOR:

Mr Mark Nicholas Winks FCCA

AUDITORS:

Bronsens Accountants Limited

Chartered Certified Accountants

Statutory Auditors

Eden House

Two Rivers Business Park

Witney

Oxfordshire

OX28 4BL

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

REVIEW OF BUSINESS

Skyborne Aviation Training Limited uses its unique and innovative approach to train airline pilots in its world class facilities in Gloucestershire and Bournemouth Airports, UK and Vero Beach Airport, Florida, USA.

The Bournemouth site in the UK was opened in Q3 2025 and is fully operational with students in both the Ground School and ME/IR phases of training utilising this base.

In the US, there has been some over-indexing with regards to manpower in the post Covid consumer demand for travel, which has settled to a more normal position. In addition, there continues to be challenges with regards to supply of B737 MAX and A320 NEO/CEO aircraft in the US, which is curtailing airline growth in the short-term. That said, airline yields are at record levels in certain businesses as consumer demand for air travel remains very strong.

We continue to see month-on-month growth in student enrolments and revenues. Skyborne has secured long-term contracts with British Airways, Jet 2, Ryanair, FlyDubai, EasyJet and IndiGo. Over the past year, there has been an increase in the British Airways funded pilot numbers and Skyborne is the preferred supplier to British Airways for this programme. The scale, robustness, and diverse nature of these contracts alone, offer a high degree of safeguarding of our business.

In the Directors' opinion the company's key performance indicators are as follows:

31.12.25

31.12.24

Turnover

28,671,153

12,400,821

Net profit / (Loss) before taxation

3,467,948

(1,234,066

)

The Company's long term strategy continues to be to grow the business through both organic growth of its existing sites and the acquisition and development of further sites as opportunities present themselves. In 2026, Skyborne will commence ATPCTP training for those pilots leaving the light aircraft environment to transition to airline operations. The company is also planning to launch a Part 147 Aircraft Maintenance Training academy at the Vero Beach facility.

ON BEHALF OF THE BOARD:

Mr L J Woodward - Director

22 July 2026

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

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2025.

DIRECTORS

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

Mr L J Woodward

Mr M Bettelli

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:

Mr L J Woodward - Director

22 July 2026

Opinion

We have audited the financial statements of Skyborne Aviation Training Limited (the 'company') for the year ended 31 December 2025 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page 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 gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

We focussed on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation, enquiries with management and enquiries of legal counsel. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

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.

Mr Mark Nicholas Winks FCCA (Senior Statutory Auditor)

for and on behalf of Bronsens Accountants Limited

Chartered Certified Accountants

Statutory Auditors

Eden House

Two Rivers Business Park

Witney

Oxfordshire

OX28 4BL

23 July 2026

TURNOVER

3

28,671,153

12,400,821

Cost of sales

18,854,688

9,197,714

GROSS PROFIT

9,816,465

3,203,107

Sales and marketing costs

330,841

360,148

Administrative expenses

5,540,802

3,715,019

5,871,643

4,075,167

OPERATING PROFIT/(LOSS)

5

3,944,822

(872,060

)

Interest receivable and similar income

44,878

-

3,989,700

(872,060

)

Interest payable and similar expenses

6

521,752

362,006

PROFIT/(LOSS) BEFORE TAXATION

3,467,948

(1,234,066

)

Tax on profit/(loss)

7

985,430

(370,115

)

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

2,482,518

(863,951

)

OTHER COMPREHENSIVE INCOME

-

(29,336

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

-

(29,336

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

2,482,518

(893,287

)

FIXED ASSETS

Owned

Intangible assets

8

483,540

328,217

Tangible assets

9

4,334,231

2,147,344

Right-of-use

Tangible assets

9, 15

2,478,631

-

7,296,402

2,475,561

CURRENT ASSETS

Stocks

10

302,201

110,259

Debtors

11

14,929,115

7,334,806

Cash at bank and in hand

5,160,834

1,775,137

20,392,150

9,220,202

CREDITORS

Amounts falling due within one year

12

26,142,730

15,103,965

NET CURRENT LIABILITIES

(5,750,580

)

(5,883,763

)

TOTAL ASSETS LESS CURRENT LIABILITIES

1,545,822

(3,408,202

)

CREDITORS

Amounts falling due after more than one year

13

5,050,771

2,579,265

NET LIABILITIES

(3,504,949

)

(5,987,467

)

CAPITAL AND RESERVES

Called up share capital

18

200

200

Share premium

1,599,900

1,599,900

Fair value reserve

289,601

289,601

Retained earnings

(5,394,650

)

(7,877,168

)

SHAREHOLDERS' FUNDS

(3,504,949

)

(5,987,467

)

The financial statements were approved by the Board of Directors and authorised for issue on 22 July 2026 and were signed on its behalf by:

Mr L J Woodward - Director

Called up

Fair

share

Retained

Share

value

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1 January 2024

200

(7,013,217

)

1,599,900

318,937

(5,094,180

)

Changes in equity

Total comprehensive income

-

(863,951

)

-

(29,336

)

(893,287

)

Balance at 31 December 2024

200

(7,877,168

)

1,599,900

289,601

(5,987,467

)

Changes in equity

Total comprehensive income

-

2,482,518

-

-

2,482,518

Balance at 31 December 2025

200

(5,394,650

)

1,599,900

289,601

(3,504,949

)

1.	STATUTORY INFORMATION

Skyborne Aviation Training Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The principal activity of the Company throughout the period was that of aviation training. The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

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 as modified by the revaluation of certain assets.

Adoption of new accounting standards, amendments and interpretations and impact on disclosures

During the financial year the Company early adopted the following new or amended standards:

Amendments to FRS102 Periodic Review 2024, (effective for periods commencing on or after 1 January 2026).

- Leases (section 20)

- Revenue Recognition (Section 23).

These amendments have not had a material impact on the reported financial position or performance of the Company.

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 requirements of Section 7 Statement of Cash Flows.

Turnover

Revenue arises from the provision of aviation training. Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

-

the amount of revenue can be measured reliably;

-

it is probable that the company will receive the consideration due under the contract;

-

the stage of completion of the contract at the end of the reporting period can be measured reliably; and

-

the costs incurred and the costs to complete the contract can be measured reliably.

For each contract with a client, the Company:

-

Identifies the contract with a client.

-

Identifies the performance obligations in the contract.

-

Determines the transaction price which takes into account estimates of variable consideration and the time value of money.

-

Allocates the transaction price to the separate performance obligations on the basis of the relative stand-alone selling price of each distinct good or service to be delivered.

-

Recognises revenue when or as each performance obligation is satisfied in a manner that depicts the transfer to the client of the goods or services promised.

For the purposes of internal reporting and monitoring, the Company's revenue is segregated by class of business (service line) and as a result, the directors consider that disaggregating revenue by classes of business is most relevant to depict the nature, amount, timing and uncertainty of revenue and cash flows as impacted by business activities and the economic environment in which the Company operates.

The Company's revenue is derived from its operations in the United Kingdom.

Revenue is recognised over time when, under the terms of engagement between Skyborne Aviation Training Ltd and the client, the company has an enforceable right to payment for performance completed to date. Fees for this revenue are fixed, based on the contract price and spread evenly over the period of the contract.

Payment terms are set out in the contract and required at set intervals before and during the contract period. In all contracts payment is received in advance of the stage of training been provided. Payments received in advance of training are deferred and revenue released once the contract has started.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Development costs are being amortised evenly over their estimated useful life of four years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

ROU - Properties

-

Over the term of the lease

Leasehold Improvements

-

20% on cost

Aircrafts and engines

-

at varying rates on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

33% on cost

Office equipment

-

20% on cost

Following a revaluation of the airframes in 2022, airframes are depreciated over 20 years less any residual value. Engines are depreciated in accordance with their flight hours and simulators are depreciated over 10 - 12 years on cost.

Stocks

Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Leases

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

Right-of-use assets

A right-of-use asset is recognised at the commencement date of a lease. The right-of-use asset is measured at cost, which comprises the initial amount of the lease liability, adjusted for, as applicable:

-

Any lease payments made at or before the commencement date net of any lease incentives received.

-

Any initial direct costs incurred.

-

An estimate of costs expected to be incurred for dismantling and removing the underlying asset, and restoring the site or asset as required by the terms and conditions of the lease.

Right-of-use assets are depreciated on a straight-line basis over the unexpired period of the lease or the estimated useful life of the asset, whichever is the shorter (typically between 1 and 5 years).

Right-of-use assets are subject to impairment or adjusted for any remeasurement of lease liabilities.

Lease modifications constitute a remeasurement of the lease liability. A lease modification is recognised as a separate lease if the modification increases the scope of the lease or the consideration for the lease increases by an amount commensurate with the stand-alone price.

For a lease modification that is not accounted for as a separate lease, where the scope of the lease increases, the lease liability is remeasured using the discount rate applicable at the modification date, with the right of use asset adjusted by the same amount. Where the scope of the lease decreases, the right or use asset and lease liability are reduced by the same proportion. The lease liability is further adjusted to ensure its carrying amount reflects the amount of the renegotiated payments with (if required) recognition in the profit or loss on any gain or loss arising.

The Company's leasing activities relate primarily to leases of hanger and office space and student accommodation. In addition, the company also leases aircraft which are classed as 'short-term' as they have a lease term of less than or equal to 12 months. For leases assessed as 'low-value' or 'short-term' the Company has elected to apply the exemption under paragraph 20.5 of FRS102 to not recognise right-of-use assets and lease liabilities in respect of these leases and instead, recognise the rental payments in the profit or loss on a straight-line basis over the lease term. The directors consider the threshold for low value assets to be £5,000.

Lease liabilities

A lease liability is recognised at the commencement date of a lease. The lease liability is initially recognised at the present value of the lease payments to be made over the term of the lease, discounted using the Company's incremental borrowing rate. Lease payments comprise of:

-

Fixed payments less any lease incentives receivable.

-

Amounts expected to be paid under residual value guarantees.

-

Any anticipated termination penalties if the lease term reflects the exercise of an option to terminate the lease.

Lease liabilities are measured at amortised cost using the effective interest method. The carrying amounts are remeasured if there is a change in the following:

-

Future lease payments arising from a change in an index or a rate used.

-

Residual guarantee.

-

Lease term.

-

Certainty of a purchase option and termination penalties.

When a lease liability is remeasured, an adjustment is made to the corresponding right-of use asset, or to profit or loss if the carrying amount of the right-of-use asset is fully written down. The total cash outflows for lease liabilities are disclosed in note 15. The maturity analysis of contractual lease obligations is shown in notes 12 and 13.

The Company does not have any leasing activities acting as a lessor.

Pension costs and other post-retirement benefits

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

Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities, but for the purpose of the Statement of Cash Flows bank overdrafts are considered part of cash equivalents as they are payable on demand and form an integral part of the company's cash management.

Going concern

The ultimate shareholders of Skyborne Aviation Group Ltd, the parent company, have confirmed that they will provide support to the group and will continue to do so for the foreseeable future.

The directors, having considered the above and made due enquiries, continue to adopt the going concern basis in preparing the financial statements which assumes that the company will continue in operation for the foreseeable future.

3.

TURNOVER

The turnover and profit (2024 - loss) before taxation are attributable to the one principal activity of the company.

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

31.12.25

31.12.24

£

£

Integrated course

25,201,529

9,219,221

Accommodation

2,689,460

1,385,280

Management charges

697,913

818,535

Maintenance

75,455

976,903

Miscellaneous sales

6,796

882

28,671,153

12,400,821

4.	EMPLOYEES AND DIRECTORS

31.12.25

31.12.24

£

£

Wages and salaries

4,313,715

3,541,366

Social security costs

532,127

393,079

Other pension costs

264,757

210,068

5,110,599

4,144,513

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

31.12.25

31.12.24

Instructors

35

24

Management

14

12

Admin and support

35

27

84

63

31.12.25

31.12.24

£

£

Directors' remuneration

336,860

367,930

Compensation to director for loss of office

-

89,074

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

Money purchase schemes

1

1

Information regarding the highest paid director is as follows:

31.12.25

31.12.24

£

£

Emoluments etc

336,860

351,193

5.	OPERATING PROFIT/(LOSS)

The operating profit (2024 - operating loss) is stated after charging/(crediting):

31.12.25

31.12.24

£

£

Depreciation - owned assets

537,303

353,011

Depreciation - assets on hire purchase contracts or finance leases

773,765

-

Profit on disposal of fixed assets

-

(16,218

)

Development costs amortisation

33,892

41,549

Auditors' remuneration

25,700

22,000

Foreign exchange differences

61,801

44,540

Rent

49,221

227,196

Auditors' remuneration - non audit services

27,662

19,742

6.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.12.25

31.12.24

£

£

Other loan interest

274,169

362,006

Lease liability interest

247,583

-

521,752

362,006

7.

TAXATION

Analysis of the tax charge/(credit)

The tax charge/(credit) on the profit for the year was as follows:

31.12.25

31.12.24

£

£

Deferred tax

985,430

(370,115

)

Tax on profit/(loss)

985,430

(370,115

)

Reconciliation of total tax charge/(credit) included in profit and loss

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

31.12.25

31.12.24

£

£

Profit/(loss) before tax

3,467,948

(1,234,066

)

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

866,987

(308,517

)

Effects of:

Expenses not deductible for tax purposes

(72,956

)

(68,991

)

Capital allowances in excess of depreciation

(177,869

)

(18,276

)

Utilisation of tax losses

(616,162

)

-

Deferred taxation - movement on Accelerated Capital Allowances

369,268

25,669

Deferred taxation - movement on losses

616,162

-

Total tax charge/(credit)

985,430

(370,115

)

Tax effects relating to effects of other comprehensive income

31.12.24

Gross

Tax

Net

£

£

£

Release of revaluation on disposal

(29,336

)

-

(29,336

)