REGISTERED NUMBER: SC146277 (Scotland)

Moulded Foams Limited

Strategic Report, Report of the Directors and

Audited Financial Statements for the Year Ended 31 December 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Statement of Comprehensive Income

6

Balance Sheet

7

Statement of Changes in Equity

8

Notes to the Financial Statements

9

Directors:

Mr J R Thornberry

Mrs T Balandis

Mr G Bevan

Mr C Gillespie

Ms S Davies

Registered office:

1 Wardpark Road

Wardpark South

Cumbernauld

Glasgow

G67 3EX

Registered number:

SC146277 (Scotland)

Auditors:

Menzies LLP, Statutory Auditors

5th Floor Hodge House

114-116 St Mary Street

Cardiff

CF10 1DY

Bankers:

National Westminister

Ely Valley Road

Talbot Green

Pontyclun

CF72 8GL

Solicitors:

ISW Legal

26 Netherpark Avenue

Glasgow

G44 3XW

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

Review of business

A generally positive result for 2025 given the full effects of the closure of the Stornoway plant mid-2024. It's expected that the prior volume of this plant to be reinstated on mainland Scotland mid 2026 when the transition of processing is complete. Solar arrays are now complete, and this should size ably reduce the energy consumption of the company in 2026.

The customer base remains diverse and steady across many markets, with product development activities during the last 12 months expected to create benefits in 2026.

The company's balance sheet remains robust, reflecting a strong cash position and prudent financial management throughout the year. The increase in assets is driven primarily by the investment in both new equipment and plant expansion projects to support new business and existing product growth.

The profit for the year, after taxation, amounted to £3,674,770 (2024: £4,459,240).

The company's key financial and other performance indicators during the year were as follow:

Unit

2025

2024

2023

Turnover

£

26,707,437

26,854,715

26,366,308

Gross Profit

£

11,867,692

12,310,503

11,545,375

EBITDAE

£

6,508,619

7,875,752

7,055,069

Profit/(Loss) before Taxation

£

4,680,548

5,911,463

6,202,467

EBITDAE relates to expenditure before; interest, tax, depreciation, amortisation, one-off costs and exceptional items. The exceptional items are applicable to the year end 31 December 2023 only.

Principal risks and uncertainties

The company carries out a regular review of the risks to which it is exposed through a process of internal control as well as evaluation of external factors. In particular, the provision of a safe working environment for all employees and the control of manufacture of any food related products is of paramount importance.

Future developments

The company continues to be outward looking for further opportunities. The company continues to invest in fixed

assets to grow capacity and the existing business, with further research and development activities maturing in 2025..

On behalf of the board:

Mr J R Thornberry - Director

27 July 2026

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

Principal activity

The principal activity of the company in the year under review was that of manufacture of engineered foam products for the food, pharmaceutical, construction and leisure sectors.

Dividends

Dividends totalling £1,123,068 (2024: £1,007,021) were voted by the company and paid.

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 J R Thornberry

Mrs T Balandis

Mr G Bevan

Mr C Gillespie

Other changes in directors holding office are as follows:

Ms S Davies - appointed 22 October 2025

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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 or she ought to have taken as a director in order to make himself or herself 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 J R Thornberry - Director

27 July 2026

Opinion

We have audited the financial statements of Moulded Foams 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:

Our planning procedures identify the legal and regulatory frameworks applicable to the operations and financial

statements of the company. These are reviewed internally with the audit team including relevant industry experience

and expectations as well as externally with the client management. The key laws and regulations we considered in this context were the UK Companies Act 2006, UK GAAP (FRS 102) and relevant tax legislation.

Once identified, we assess the risks of material misstatements in relation to the laws and regulations, irregularities,

including fraud and adjust our testing accordingly. Our audit procedures include:

- Discussing with Directors and management which areas of the business they believe to be more susceptible to

fraud, and whether they have any knowledge or suspicion of fraudulent activities.

- Discussing with Directors and management the legal and regulatory obligations of the business and whether they

have any knowledge or suspicion of non-compliance.

- Obtaining an understanding of the key controls put in place by the company to address risks identified,

assessing the effectiveness of those and discussing how these are maintained and monitored internally.

- Assessing the risk of management override and review and testing of journal entries made into the accounting

system.

- Challenging assumptions and judgements made by the company in relation to the significant accounting

estimates employed in the preparation of the financial statements.

Despite the audit being planned and conducted in accordance with ISAs (UK) there remains an unavoidable risk that material misstatements in the financial statements may not be detected owing to inherent limitations of the audit, and that by their very nature, any such instances of fraud or irregularities likely involve collusion, forgery, intentional

misrepresentation, or the override of internal controls.

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.

Clive Edwards (Senior Statutory Auditor)

for and on behalf of Menzies LLP, Statutory Auditors

5th Floor Hodge House

114-116 St Mary Street

Cardiff

CF10 1DY

30 July 2026

Turnover

26,707,437

26,854,715

Cost of sales

(14,839,745

)

(14,544,212

)

Gross profit

11,867,692

12,310,503

Distribution costs

(4,620,046

)

(4,124,252

)

Administrative expenses

(2,951,963

)

(2,620,412

)

Operating profit

4,295,683

5,565,839

Interest receivable and similar income

407,107

345,624

4,702,790

5,911,463

Interest payable and similar expenses

4

(22,242

)

-

Profit before taxation

5

4,680,548

5,911,463

Tax on profit

6

(1,005,778

)

(1,452,223

)

Profit for the financial year

3,674,770

4,459,240

Other comprehensive income

Revaluation uplift

-

3,606,404

Income tax relating to other comprehensive income

-

-

Other comprehensive income for the year, net of income tax

-

3,606,404

Total comprehensive income for the year

3,674,770

8,065,644

Fixed assets

Intangible assets

8

-

-

Tangible assets

9

13,658,322

13,321,852

13,658,322

13,321,852

Current assets

Stocks

10

2,131,171

2,194,759

Debtors: amounts falling due within one year

11

4,838,542

4,564,008

Debtors: amounts falling due after more than one year

11

738,096

861,413

Cash at bank

13,668,749

12,277,258

21,376,558

19,897,438

Creditors

Amounts falling due within one year

12

(1,720,025

)

(2,204,655

)

Net current assets

19,656,533

17,692,783

Total assets less current liabilities

33,314,855

31,014,635

Provisions for liabilities

14

(2,104,561

)

(1,366,607

)

Net assets

31,210,294

29,648,028

Capital and reserves

Called up share capital

15

800,000

800,000

Revaluation reserve

16

3,314,601

4,304,037

Retained earnings

16

27,095,693

24,543,991

Shareholders' funds

31,210,294

29,648,028

The financial statements were approved by the Board of Directors and authorised for issue on 27 July 2026 and were signed on its behalf by:

Mr J R Thornberry - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2024

800,000

21,091,772

697,633

22,589,405

Changes in equity

Dividends

-

(1,007,021

)

-

(1,007,021

)

Total comprehensive income

-

4,459,240

3,606,404

8,065,644

Balance at 31 December 2024

800,000

24,543,991

4,304,037

29,648,028

Changes in equity

Dividends

-

(1,123,068

)

-

(1,123,068

)

Total comprehensive income

-

3,674,770

(989,436

)

2,685,334

Balance at 31 December 2025

800,000

27,095,693

3,314,601

31,210,294

1.	Statutory information

Moulded Foams Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company Information page.

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.

The financial statements have been prepared on a going concern basis. The Directors have reviewed and considered relevant information, including the annual budget and future cash flows in making their assessment.

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.

Preparation of consolidated financial statements

The financial statements contain information about Moulded Foams Limited as an individual company and do not contain consolidated financial information. The company is except under Section 399(2A) of the Companies Act 2006 from the requirement to prepare consolidated financial statements.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of foam products to customers.

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.

Plant and machinery

-

2 to 10 years straight line

Fixtures and fittings

-

1 to 3 years straight line

Motor vehicles

-

Straight line over 3 years

Depreciation is not applied to Freehold Land and Buildings as all assets within the class are carried at valuation in line with the requirements of Financial Reporting Standards.

Stocks

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

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.

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Hire purchase and leasing commitments

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

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.

Research and development

Development expenditure incurred on an individual project is expensed when it occurs.

Foreign currency

Transactions in foreign currencies are recorded at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the closing rates at the balance sheet date. All exchange differences are included in the profit and loss account.

3.	Employees and directors

2025

2024

£

£

Wages and salaries

5,325,507

4,835,770

Social security costs

527,794

403,079

Other pension costs

303,932

247,457

6,157,233

5,486,306

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

2025

2024

Operational

141

135

Administration

11

11

Directors

5

6

157

152

During the year the company paid key management gross salaries and benefits totalling £491,944 (2024: £258,425). Key management are considered to be 4 (2024: 2) individuals who directly impact upon the strategic direction of the company.

2025

2024

£

£

Directors' remuneration

505,042

525,312

Directors' pension contributions to money purchase schemes

38,118

25,655

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

Money purchase schemes

5

3

Information regarding the highest paid director is as follows:

2025

2024

£

£

Emoluments etc

139,421

159,362

Pension contributions to money purchase schemes

13,093

8,295

4.

Interest payable and similar expenses

2025

2024

£

£

Interest payable

22,242

-

5.	Profit before taxation

The profit is stated after charging/(crediting):

2025

2024

£

£

Hire of plant and machinery

82,658

44,183

Depreciation - owned assets

1,595,408

1,219,064

Profit on disposal of fixed assets

(17,750

)

(6,800

)

Auditors' remuneration

8,286

10,919

Foreign exchange differences

41,163

(44,100

)

6.

Taxation

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

1,257,260

1,305,356

Deferred tax

(251,482

)

146,867

Tax on profit

1,005,778

1,452,223

Reconciliation of total tax charge included in profit and loss

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

2025

2024

£

£

Profit before tax

4,680,548

5,911,463

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

1,170,137

1,477,866

Effects of:

Expenses not deductible for tax purposes

570

(25,643

)

recognised

Deferred tax on revaluation

(989,436

)

-

Movement in deferred tax

824,507

-

Total tax charge

1,005,778

1,452,223

Tax effects relating to effects of other comprehensive income

There were no tax effects for the year ended 31 December 2025.

2024

Gross

Tax

Net

£

£

£

Revaluation uplift

3,606,404

-

3,606,404

7.

Dividends

2025

2024

£

£

Ordinary B Shares shares of £1 each

Interim

1,123,068

1,007,021

8.	Intangible fixed assets

Developmen

costs

£

Cost

At 1 January 2025

and 31 December 2025

97,990

Amortisation

At 1 January 2025

and 31 December 2025

97,990

Net book value

At 31 December 2025

-

At 31 December 2024

-

9.	Tangible fixed assets

Fixtures

Freehold

Plant and

and

Motor

property

machinery

fittings

vehicles

Totals

£

£

£

£

£

Cost

At 1 January 2025

6,890,001

15,340,004

377,176

71,517

22,678,698

Additions

-

2,058,162

9,581

34,995

2,102,738

Disposals

-

(259,917

)

-

(21,040

)

(280,957

)

At 31 December 2025

6,890,001

17,138,249

386,757

85,472

24,500,479

Depreciation

At 1 January 2025

-

9,157,289

157,147

42,410

9,356,846

Charge for year

-

1,471,855

106,727

16,826

1,595,408

Eliminated on disposal

-

(89,057

)

-

(21,040

)

(110,097

)

At 31 December 2025

-

10,540,087

263,874

38,196

10,842,157

Net book value

At 31 December 2025

6,890,001

6,598,162

122,883

47,276

13,658,322

At 31 December 2024

6,890,001

6,182,715

220,029

29,107

13,321,852

Revaluations

The Freehold Land and Buildings (Cumbernauld) was revalued on 17 August 2022 by Knight Frank who are external to the company. The basis of this valuation was open market value. This class of asset has a current value of £1,900,000 (2024 - £1,021,000) and a carrying amount at historical cost of £371,424 (2024- £371,424). The cumulative depreciation that would be charged on this historical cost is £111,427 (2024 - £101.998).

The Freehold Land and Buildings (Blackwood) was revalued on 12 August 2022 by Knight Frank who are external to the company. The basis of this valuation was open market value. This class of asset has a current value of £2,515,000 (2024 - £1,093,076) and a carrying amount at historical cost of £981,950 (2024- £981,950). The cumulative depreciation that would be charged on this historical cost is £255,307 (2024 - £235,128).

The Freehold Land and Buildings (Scunthorpe) was valued on 16 August 2022 by Knight Frank who are external to the company. The basis of this valuation was open market value. This class of asset has a current value of £2,200,000 (2024 - £894,520). The cumulative depreciation that would be charged on this historical cost is £161,014 (2024 - £143,124).

The Freehold Land and Buildings (Stornoway) was valued on 30 September 2020, the basis of this valuation was open market value. This class of asset has a current value of £275,000 and was transferred into Moulded foams during 2021. The cumulative depreciation that would be charged on this historical cost is £27,500 (2024: £22,000).

10.

Stocks

2025

2024

£

£

Stocks

2,131,171

2,194,759

11.

Debtors

2025

2024

£

£

Amounts falling due within one year:

Trade debtors

4,277,963

4,287,675

Other debtors

325,199

276,333

Tax

235,380

-

4,838,542

4,564,008

Amounts falling due after more than one year:

Amounts owed by group undertakings

738,096

861,413

Aggregate amounts

5,576,638

5,425,421

12.

Creditors: amounts falling due within one year

2025

2024

£

£

Trade creditors

1,394,925

1,511,035

Tax

-

305,356

Other taxes

58,684

94,939

VAT

172,702

185,841

Other creditors

13,746

14,810

Accrued expenses

79,968

92,674

1,720,025

2,204,655