REGISTERED NUMBER: 15421406 (England and Wales)

Group Strategic Report,

Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 October 2025

for

Matrix Healthcare Group Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Consolidated Profit and Loss Account

9

Consolidated Other Comprehensive Income

10

Consolidated Balance Sheet

11

Company Balance Sheet

12

Consolidated Statement of Changes in Equity

13

Company Statement of Changes in Equity

14

Consolidated Cash Flow Statement

15

Notes to the Consolidated Cash Flow Statement

16

Notes to the Consolidated Financial Statements

17

DIRECTORS:

Mr J W S Curtis

Mr D J Low

Mr C E Toomey

REGISTERED OFFICE:

23s46 Mereside

Alderley Park

Alderley Edge

Cheshire

SK10 4TG

REGISTERED NUMBER:

15421406 (England and Wales)

AUDITORS:

Thompson Wright (Audit) Limited

Ebenezer House

Ryecroft

Newcastle under Lyme

Staffordshire

ST5 2BE

The directors present their strategic report of the company and the group for the year ended 31 October 2025.

REVIEW OF BUSINESS

The director considers the overall financial performance of the group to be in line with expectations given the tough trading environment, and is confident that the group will grow over the coming years.

The director considers the group's key performance indicators ("KPIs") to be like for like sales, gross margins, earnings before interest, tax, depreciation and amortisation (EBITDA) and net worth. The director is satisfied with the EBITDA of £2,617,143 (2024 £1,657,494) for the year.

During the period, the group underwent a restructuring whereby ownership of Matrix Healthcare Solutions (Ireland) Limited was transferred from Matrix Healthcare Solutions Limited to Matrix Healthcare Group Limited.

PRINCIPAL RISKS AND UNCERTAINTIES

The director has identified the key risks faced by the group to be market risk and financial risk.

MARKET RISK

The directors are constantly monitoring market prices and competitors to minimise the market risk.

LIQUIDITY RISK

The group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. Short term flexibility is achieved by overdraft facilities but currently the group is not using any such facilities.

FINANCIAL RISK

The group finances its operations through a mixture of retained profits, cash at bank and bank loans. The group financial asset is cash. Since the nature of the groups operations are such that trade debtors are minimal, the director considers that the group has limited exposure to credit risk.

FUTURE DEVELOPMENTS

Looking to the future, the directors want to maintain appropriate investment levels in the group to maintain and secure the groups position in the market.

ON BEHALF OF THE BOARD:

Mr D J Low - Director

30 July 2026

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

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of wholesale of pharmaceutical goods.

DIVIDENDS

The total distribution of dividends for the year ended 31 October 2025 will be £ 272,930 .

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 November 2024 to the date of this report.

Mr J W S Curtis

Mr D J Low

Mr C E Toomey

The following directors were appointed after the year end:

Mr Z M Gilles (appointed 6 January 2026)

Mr W G Plumb (appointed 6 January 2026)

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulation.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have prepared the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland", 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 Group and of the profit or loss of the Group for that period. In preparing the financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;

- state whether applicable United Kingdom Accounting Standards, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements;

- make judgements and accounting estimates that are reasonable and prudent; and

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group and the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group and 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.

The directors are also responsible for safeguarding the assets of the group and 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 group'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 group's auditors are aware of that information.

AUDITORS

The auditors, Thompson Wright (Audit) Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr D J Low - Director

30 July 2026

Opinion

We have audited the financial statements of Matrix Healthcare Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 October 2025 which comprise the Consolidated Profit and Loss Account, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 group's and of the parent company affairs as at 31 October 2025 and of the group's 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 group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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 group's and the parent 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 group or the parent 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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the group through discussions with directors and other management, namely the 2012 Human Medicines Directive, the Rules and Guidance for Pharmaceutical Distributors and the Directive 2001/83/EC.

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the group, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, and health and safety legislation as well as regulations relating to the trading operation of the business.

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the group's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected relationships;

- tested journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- reading the minutes of meetings of those charged with governance;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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.

J P Bostock BA (Hons) BFP FCA (Senior Statutory Auditor)

for and on behalf of Thompson Wright (Audit) Limited

Ebenezer House

Ryecroft

Newcastle under Lyme

Staffordshire

ST5 2BE

30 July 2026

TURNOVER

3

56,007,269

36,692,831

Cost of sales

50,931,207

33,564,723

GROSS PROFIT

5,076,062

3,128,108

Administrative expenses

2,468,636

2,753,858

2,607,426

374,250

Other operating income

216

-

OPERATING PROFIT

5

2,607,642

374,250

Exceptional item

6

421,526

-

2,186,116

374,250

Interest receivable and similar income

25,536

17,431

2,211,652

391,681

Interest payable and similar expenses

7

969

8,653

PROFIT BEFORE TAXATION

2,210,683

383,028

Tax on profit

8

394,052

(61,183

)

PROFIT FOR THE FINANCIAL YEAR

1,816,631

444,211

Profit attributable to:

Owners of the parent

1,816,631

444,211

PROFIT FOR THE YEAR

1,816,631

444,211

OTHER COMPREHENSIVE INCOME

Currency translation differences

193,282

(6,197

)

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

193,282

(6,197

)

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

2,009,913

438,014

Total comprehensive income attributable to:

Owners of the parent

2,009,913

437,974

Non-controlling interests

-

40

2,009,913

438,014

FIXED ASSETS

Intangible assets

11

171,087

-

Tangible assets

12

25,892

25,027

Investments

13

-

-

196,979

25,027

CURRENT ASSETS

Stocks

14

246,856

2,518,099

Debtors

15

1,176,474

1,392,579

Cash at bank

6,963,198

840,868

8,386,528

4,751,546

CREDITORS

Amounts falling due within one year

16

4,365,000

2,296,767

NET CURRENT ASSETS

4,021,528

2,454,779

TOTAL ASSETS LESS CURRENT LIABILITIES

4,218,507

2,479,806

PROVISIONS FOR LIABILITIES

19

6,473

4,755

NET ASSETS

4,212,034

2,475,051

CAPITAL AND RESERVES

Called up share capital

20

100

100

Retained earnings

21

4,211,894

2,474,911

SHAREHOLDERS' FUNDS

4,211,994

2,475,011

NON-CONTROLLING INTERESTS

40

40

TOTAL EQUITY

4,212,034

2,475,051

The financial statements were approved by the Board of Directors and authorised for issue on 30 July 2026 and were signed on its behalf by:

Mr D J Low - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

-

-

Investments

13

9,402

100

9,402

100

CURRENT ASSETS

Debtors

15

100

100

CREDITORS

Amounts falling due within one year

16

2,967

1,120

NET CURRENT LIABILITIES

(2,867

)

(1,020

)

TOTAL ASSETS LESS CURRENT LIABILITIES

6,535

(920

)

CAPITAL AND RESERVES

Called up share capital

20

100

100

Retained earnings

21

6,435

(1,020

)

SHAREHOLDERS' FUNDS

6,535

(920

)

Company's profit/(loss) for the financial year

280,385

(1,020

)

The financial statements were approved by the Board of Directors and authorised for issue on 30 July 2026 and were signed on its behalf by:

Mr D J Low - Director

Called up

share

Retained

Share

capital

earnings

premium

£

£

£

Balance at 1 November 2023

100

2,137,244

89,950

Changes in equity

Repayment of share premium

-

-

(89,950

)

Dividends

-

(100,347

)

-

Total comprehensive income

-

438,014

-

Balance at 31 October 2024

100

2,474,911

-

Changes in equity

Dividends

-

(272,930

)

-

Total comprehensive income

-

2,009,913

-

Balance at 31 October 2025

100

4,211,894

-

Non-controlling

Total

Total

interests

equity

£

£

£

Balance at 1 November 2023

2,227,294

-

2,227,294

Changes in equity

Repayment of share premium

(89,950

)

-

(89,950

)

Dividends

(100,347

)

-

(100,347

)

Total comprehensive income

438,014

40

438,054

Balance at 31 October 2024

2,475,011

40

2,475,051

Changes in equity

Dividends

(272,930

)

-

(272,930

)

Total comprehensive income

2,009,913

-

2,009,913

Balance at 31 October 2025

4,211,994

40

4,212,034

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Changes in equity

Issue of share capital

100

-

100

Total comprehensive income

-

(1,020

)

(1,020

)

Balance at 31 October 2024

100

(1,020

)

(920

)

Changes in equity

Dividends

-

(272,930

)

(272,930

)

Total comprehensive income

-

280,385

280,385

Balance at 31 October 2025

100

6,435

6,535

Cash flows from operating activities

Cash generated from operations

1

6,337,741

(3,312,528

)

Interest paid

(969

)

(8,653

)

Tax paid

(402,140

)

(128,315

)

Net cash from operating activities

5,934,632

(3,449,496

)

Cash flows from investing activities

Purchase of intangible fixed assets

(171,087

)

-

Purchase of tangible fixed assets

(10,366

)

(14,313

)

Interest received

25,536

17,431

Net cash from investing activities

(155,917

)

3,118

Cash flows from financing activities

Loan repayments in year

(41,667

)

(83,333

)

Amount introduced by directors

-

1,201

Amount withdrawn by directors

(33,160

)

(10,847

)

Reduction in share premium

-

(89,950

)

Retranslation movement

193,282

(6,197

)

Loans from/to associates

498,090

-

Equity dividends paid

(272,930

)

(100,347

)

Net cash from financing activities

343,615

(289,473

)

Increase/(decrease) in cash and cash equivalents

6,122,330

(3,735,851

)

Cash and cash equivalents at beginning of year

2

840,868

4,576,719

Cash and cash equivalents at end of year

2

6,963,198

840,868

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

2025

2024

£

£

Profit before taxation

2,210,683

383,028

Depreciation charges

9,501

7,923

Loss on disposal of fixed assets

-

1,275,321

Finance costs

969

8,653

Finance income

(25,536

)

(17,431

)

2,195,617

1,657,494

Decrease/(increase) in stocks

2,271,243

(1,163,734

)

Decrease/(increase) in trade and other debtors

211,189

(145,208

)

Increase/(decrease) in trade and other creditors

1,659,692

(3,661,080

)

Cash generated from operations

6,337,741

(3,312,528

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 October 2025

31.10.25

1.11.24

£

£

Cash and cash equivalents

6,963,198

840,868

Year ended 31 October 2024

31.10.24

1.11.23

£

£

Cash and cash equivalents

840,868

4,576,719

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.11.24

Cash flow

At 31.10.25

£

£

£

Net cash

Cash at bank

840,868

6,122,330

6,963,198

840,868

6,122,330

6,963,198

Debt

Debts falling due within 1 year

(41,667

)

41,667

-

(41,667

)

41,667

-

Total

799,201

6,163,997

6,963,198

1.	STATUTORY INFORMATION

Matrix Healthcare Group 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 General 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.

Basis of consolidation

The consolidated financial statements incorporate the financial statements of the company and all subsidiary undertakings, together with the group's shares of the net assets and results of associated undertakings and joint ventures. The financial statements of all group companies are adjusted, where necessary, to ensure the use of consistent accounting policies.

Group reconstructions are included in the consolidated financial statements using the merger basis.

Acquisitions are accounted for under the merger basis. The results of companies acquired or disposed of are included in the group profit and loss account from or up to the date that control passes respectively.

Significant judgements and estimates

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,rebates value added tax and other sales taxes.

Revenue is recognised as the company becomes entitled to consideration for the goods supplied.

Impairment of debtors

Management perform ongoing reviews of the recoverability of debtor balances, An allowance for doubtful debts is maintained for potential credit losses based on management's assessment of the expected collectability of amounts receivable. The allowance for bad debts is reviewed periodically to assess the adequacy of the allowance

Intangible assets

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

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

20% on cost

Computer equipment

-

20% on cost

Stocks

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

Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

(i) Basic financial assets

Basic financial assets, which include trade and other debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost being the transaction price less any amounts settled and any impairment losses.

(ii) Impairment of financial assets

A provision for impairment of trade debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in profit or loss for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised immediately in profit or loss.

(iii) Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

(iv) Classification of financial liabilities

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

(v) Basic financial liabilities

Basic financial liabilities, including trade and other creditors, 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 payments discounted at a market rate of interest.

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

(vi) Derecognition of financial liabilities

Financial liabilities are derecognised when, and only when, the company’s contractual obligations are discharged, cancelled, or they expire.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, 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.