REGISTERED NUMBER: 07566611 (England and Wales)

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTOR AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2025

FOR

AYM GROUP LTD

Page

Company Information

1

Group Strategic Report

2

Report of the Director

4

Report of the Independent Auditor

5

Consolidated Income Statement

8

Consolidated Other Comprehensive Income

9

Consolidated Statement of Financial Position

10

Company Statement of Financial Position

11

Consolidated Statement of Changes in Equity

12

Company Statement of Changes in Equity

13

Consolidated Statement of Cash Flows

14

Notes to the Consolidated Statement of Cash Flows

15

Notes to the Consolidated Financial Statements

17

DIRECTOR:

Mr M Loizias

SECRETARY:

Mrs D M Siddorn

REGISTERED OFFICE:

Lakeside Park

Medway City Estate

Kent

ME2 4LT

REGISTERED NUMBER:

07566611 (England and Wales)

AUDITOR:

M Georghiades

( Senior Statutory Auditor )

M Georghiades and Associates

130A Drakes Lane Potters Bar

Hertfordshire

EN6 1AF

The director presents his strategic report of the company and the group for the year ended 30 September 2025.

REVIEW OF BUSINESS

The group delivered a strong trading performance in the year, reporting a consolidated profit before tax of £649,208 (2024: £139,538) on consolidated turnover of £25,440,323 (2024: £24,064,578).

The most significant strategic development of the year was the disposal of the group's scaffolding and brickwork operations. These disposals streamline the group and allow resources and management focus to be concentrated on AYM (Services) Limited, the group's principal trading subsidiary, and its core building completion and finishing activities. The results for the year include the results of the disposed operations up to the date of disposal, together with the profit arising on their sale, as set out in the financial statements.

Within AYM (Services), turnover increased by 36% to £23,993,596 (2024: £17,657,352). Growth was driven both by the group's established client base and by new work secured in the Midlands, Wales and the South West, meaning the group now operates across a large proportion of the United Kingdom. The group benefits from a strong client base with a high level of repeat business, reflecting AYM's record of consistent operational delivery. While the group continues to work for its traditional client base of large residential developers, it has also successfully diversified into other sectors including education, health and data centres, broadening its revenue base and reducing reliance on any single market.

The year was not without its challenges. In common with the wider construction industry, the group faced higher employment costs, increased material prices (the group's products being predominantly oil-based), and elevated finance costs. Delays to project start dates arising from the Building Safety Act "Gateway" approval process also affected the timing of workload. The director considers that the group has navigated these challenges successfully and has still returned a strong set of financial results.

The group also continued to reduce its indebtedness during the year. Bank loans within AYM (Services) reduced from £648,087 to £619,791, and net repayments of £1,469,502 were made against the invoice discounting facility. The director expects the group's loans to be fully repaid by the end of 2027, further strengthening the balance sheet and reducing finance costs.

PRINCIPAL RISKS AND UNCERTAINTIES

The market in which the group operates is highly competitive. The director actively manages risk across all areas of the business. The principal risks are considered to be competition risk, reputational risk and credit risk.

The group is also exposed to input cost risk, in particular labour costs and material prices linked to oil-based products, and to interest rate risk on its borrowings. The planned reduction in borrowings over the period to the end of 2027 will progressively reduce the group's exposure to interest rates. Regulatory risk, including the impact of the Building Safety Act approval process on project programmes, is managed through early engagement with clients and careful contract and programme planning.

The director has made strategic decisions in the best interests of the group and is of the opinion that the group has sufficient reserves to continue in operational existence for the foreseeable future.

KEY PERFORMANCE INDICATORS

The director considers the following to be the key performance indicators of the group:

2025

2024

£

£

Turnover

25,440,323

24,064,578

Gross Profit

5,971,259

5,499,133

Gross Margin

23.47%

22.85%

Profit before tax

649,208

139,538

Net Assets

3,545,396

3,201,197

KEY STRATEGY AND FUTURE DEVELOPMENTS

The group has built a strong brand and reputation by providing a first-class service on construction projects, achieved by aligning itself closely with its clients and ensuring a full understanding of their requirements. Following the disposal of the scaffolding and brickwork operations, the group's strategy is focused on the continued growth of AYM (Services) as its sole trading subsidiary.

During the year, the group increased the size of its in-house technical and design team. With this capability, AYM is now involved with clients at an early, pre-construction stage, assisting them in selecting the best and most economic products and specifications for their future projects - projects which AYM is then well placed to deliver. The director considers this early engagement to be a key differentiator and a driver of future workload.

The group's strategy is to continue to specialise in its principal activities, build on its expanded geographic coverage and sector diversification, maintain its brand and reputation for operational delivery, and manage the risk areas across the business.

FINANCIAL POSITION

The group is in good financial health and is able to fund the expansion of the business from its own resources. Cash at bank in the trading subsidiary increased to £1,411,516 at the year end (2024: £510,343). The results for the year and the financial position at the year end were considered satisfactory by the director, who expects controlled growth and profitability to continue for the foreseeable future.

The director is confident that the group will further strengthen its financial position by building on its current portfolio of contracts and growing the business with both existing and new clients.

EMPLOYEES

The group's people remain central to its success, and during the year the group continued to invest in its staff, with a number of employees attaining Chartered status. It is the policy of the group to encourage and develop all members of staff to realise their maximum potential. Wherever possible, vacancies are filled from within the group and adequate opportunities for internal promotion are created. The Board is committed to a systematic training and development policy so that staff can make their best possible contribution to the organisation's success.

The group supports the principle of equal opportunities in employment and opposes all forms of unlawful or unfair discrimination on the grounds of race, age, nationality, religion, ethnic or national origin, sexual orientation, gender or gender reassignment, marital status or disability. It is also the policy of the group, where possible, to give sympathetic consideration to disabled persons in their applications for employment and to protect the interests of existing members of staff who are disabled.

The group has made the necessary provision for employees to work remotely and remain connected to the group intranet.

ENVIRONMENTAL POLICY

The Board acknowledges that environmental protection is one of the group's business responsibilities. It aims for continuous improvement in the group's environmental performance and compliance with all relevant regulations. The Board does not consider that this line of business has a large adverse impact upon the environment and, as a result, the group does not manage its business by reference to any environmental key performance indicators. The group seeks to maintain a high proportion of its records electronically and, of the paper it does use, over 80% is recycled.

ON BEHALF OF THE BOARD:

Mr M Loizias - Director

7 August 2026

The director presents his report with the financial statements of the company and the group for the year ended 30 September 2025.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of scaffold erection, roofing activities and building and construction.

DIVIDENDS

No dividends will be distributed for the year ended 30 September 2025.

DIRECTOR

Mr M Loizias held office during the whole of the period from 1 October 2024 to the date of this report.

POLITICAL DONATIONS AND EXPENDITURE

Company paid £9,525 for donations (2024: £1,526) which is made up of small donations to various causes. It did not make any political donations during the year.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is 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 director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group 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 director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditor is unaware, and he 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 auditor is aware of that information.

AUDITOR

The auditors, M Georghiades, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr M Loizias - Director

7 August 2026

Opinion

We have audited the financial statements of AYM Group Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2025 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, 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 30 September 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 Auditor 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 director's 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 director with respect to going concern are described in the relevant sections of this report.

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditor 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 Director 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 Director 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 Director.

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 director's remuneration specified by law are not made; or

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

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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 Auditor 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 recognize non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the group through discussions with directors and other management, and from our commercial knowledge and experience of the industry;

- 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, and the group'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 Auditor.

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 Auditor 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.

M Georghiades

( Senior Statutory Auditor )

M Georghiades and Associates

130A Drakes Lane Potters Bar

Hertfordshire

EN6 1AF

7 August 2026

REVENUE

3

25,440,323

24,064,578

Cost of sales

19,469,064

18,565,445

GROSS PROFIT

5,971,259

5,499,133

Administrative expenses

5,161,829

4,876,131

809,430

623,002

Other operating income

19,621

4,249

OPERATING PROFIT

5

829,051

627,251

Profit on sale of operations

6

114,617

-

943,668

627,251

Interest payable and similar expenses

7

294,460

487,713

PROFIT BEFORE TAXATION

649,208

139,538

Tax on profit

8

304,909

62,001

PROFIT FOR THE FINANCIAL YEAR

344,299

77,537

Profit attributable to:

Owners of the parent

344,299

77,537

PROFIT FOR THE YEAR

344,299

77,537

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

344,299

77,537

Total comprehensive income attributable to:

Owners of the parent

344,299

77,537

FIXED ASSETS

Property, plant and equipment

11

1,955,266

3,747,005

Investments

12

-

-

1,955,266

3,747,005

CURRENT ASSETS

Inventories

13

235,765

956,753

Debtors

14

7,320,049

7,281,029

Cash at bank and in hand

1,914,261

738,089

9,470,075

8,975,871

CREDITORS

Amounts falling due within one year

15

7,067,885

7,721,137

NET CURRENT ASSETS

2,402,190

1,254,734

TOTAL ASSETS LESS CURRENT LIABILITIES

4,357,456

5,001,739

CREDITORS

Amounts falling due after more than one year

16

(453,029

)

(971,107

)

PROVISIONS FOR LIABILITIES

20

(359,031

)

(829,435

)

NET ASSETS

3,545,396

3,201,197

CAPITAL AND RESERVES

Called up share capital

21

201

301

Retained earnings

22

3,545,195

3,200,896

SHAREHOLDERS' FUNDS

3,545,396

3,201,197

The financial statements were approved by the director and authorised for issue on 7 August 2026 and were signed by:

Mr M Loizias - Director

FIXED ASSETS

Property, plant and equipment

11

1,651,691

362,171

Investments

12

100

1,101

1,651,791

363,272

CURRENT ASSETS

Debtors

14

546,101

2,598,748

Cash at bank and in hand

502,644

25,878

1,048,745

2,624,626

CREDITORS

Amounts falling due within one year

15

2,043,976

2,243,007

NET CURRENT (LIABILITIES)/ASSETS

(995,231

)

381,619

TOTAL ASSETS LESS CURRENT LIABILITIES

656,560

744,891

CREDITORS

Amounts falling due after more than one year

16

(83,657

)

(387,240

)

PROVISIONS FOR LIABILITIES

20

(351,110

)

(82,725

)

NET ASSETS

221,793

274,926

CAPITAL AND RESERVES

Called up share capital

21

201

201

Retained earnings

22

221,592

274,725

SHAREHOLDERS' FUNDS

221,793

274,926

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

(53,133

)

14,042

The financial statements were approved by the director and authorised for issue on 7 August 2026 and were signed by:

Mr M Loizias - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 October 2023

201

3,195,359

3,195,560

Changes in equity

Issue of share capital

100

-

100

Dividends

-

(72,000

)

(72,000

)

Total comprehensive income

-

77,537

77,537

Balance at 30 September 2024

301

3,200,896

3,201,197

Changes in equity

Issue of share capital

(100

)

-

(100

)

Total comprehensive income

-

344,299

344,299

Balance at 30 September 2025

201

3,545,195

3,545,396

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 October 2023

201

332,683

332,884

Changes in equity

Dividends

-

(72,000

)

(72,000

)

Total comprehensive income

-

14,042

14,042

Balance at 30 September 2024

201

274,725

274,926

Changes in equity

Total comprehensive income

-

(53,133

)

(53,133

)

Balance at 30 September 2025

201

221,592

221,793

Cash flows from operating activities

Cash generated from operations

1

806,731

2,109,959

Interest paid

(244,170

)

(346,677

)

Interest element of hire purchase payments paid

(50,290

)

(141,036

)

Tax paid

-

(8,885

)

Net cash from operating activities

512,271

1,613,361

Cash flows from investing activities

Purchase of tangible fixed assets

(14,540

)

(487,920

)

Sale of tangible fixed assets

-

48,612

Disposal of subsidiary

564,146

-

Net cash from investing activities

549,606

(439,308

)

Cash flows from financing activities

Bank Loans during the year

500,000

-

Loan repayments in year

(932,454

)

(492,166

)

Capital repayments - hire purchase

(316,695

)

(254,576

)

Amount introduced by directors

863,444

62,914

Amount withdrawn by directors

-

(342,385

)

Share issue

-

100

Equity dividends paid

-

(72,000

)

Net cash from financing activities

114,295

(1,098,113

)

Increase in cash and cash equivalents

1,176,172

75,940

Cash and cash equivalents at beginning of year

2

738,089

662,149

Cash and cash equivalents at end of year

2

1,914,261

738,089

1.	RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

Profit for the financial year

344,299

77,537

Depreciation charges

145,681

381,253

Loss/(profit) on disposal of fixed assets

2,873

(7,930

)

Other non-cash items

19,806

-

Loss on disposal

(114,617

)

-

Impairment of assets

242,328

-

Finance costs

294,460

487,713

Taxation

304,909

62,001

1,239,739

1,000,574

Decrease in inventories

694,693

1,004,729

Increase in trade and other debtors

(1,164,227

)

(1,936,007

)

Increase in trade and other creditors

36,526

2,040,663

Cash generated from operations

806,731

2,109,959

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 30 September 2025

30.9.25

1.10.24

£

£

Cash and cash equivalents

1,914,261

738,089

Year ended 30 September 2024

30.9.24

1.10.23

£

£

Cash and cash equivalents

738,089

662,149

3.	ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS

Other

Disposal of

non-cash

At 1.10.24

Cash flow

subsidiary

changes

At 30.9.25

£

£

£

£

£

Net cash

Cash at bank

and in hand

738,089

1,176,172

-

1,914,261

738,089

1,176,172

-

1,914,261

Debt

Finance leases

(1,026,855

)

316,695

557,609

(266,853

)

(419,404

)

Debts falling due

within 1 year

(648,445

)

134,336

81,818

-

(432,291

)

Debts falling due

after 1 year

(485,618

)

298,118

-

-

(187,500

)

(2,160,918

)

749,149

639,427

(266,853

)

(1,039,195

)

Total

(1,422,829

)

1,925,321

639,427

(266,853

)

875,066

4.	MAJOR NON-CASH TRANSACTIONS

During the year the group acquired motor vehicles and plant with a capital value of £348,549 under hire purchase and finance lease agreements. On the sale of LTC Scaffolding Limited, hire purchase obligations of £81,696 were novated to the purchaser and obligations of £557,609 left the group with that company. In December 2024 the company capitalised £1,775,253 of amounts owed to it by LTC Scaffolding Limited by way of an issue of shares in that company. None of these transactions gave rise to a cash flow.

1.	STATUTORY INFORMATION

AYM Group Ltd 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.

Going concern

At the time of approving the financial statements, the Director has a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the Director continues to adopt the going concern basis of accounting in preparing the financial statements.

The director regards the foreseeable future as no less than twelve months following the publication of these annual financial statements. The director has considered the group's balance sheet position as at the year end, its working capital forecasts, taking account of possible changes in trading performance and the current state of its operating market, and is satisfied that for the foreseeable future, the group's financial position is improving and will enable the group to remain in operational existence. In addition, the director and the shareholders have agreed to provide continuing financial support as and when required to enable the group to continue in operational existence. Consequently, the director considers it to be appropriate to prepare the financial statements on the going concern basis.

The parent company had net current liabilities of £995,231 at the year end, principally because of £1,224,947 owed to AYM (Services) Limited. AYM (Services) Limited has confirmed that it will not seek repayment of this balance for at least twelve months from the date these financial statements are approved, and the director has therefore prepared the parent company's financial statements on the going concern basis.

Basis of consolidation

The group financial statements consolidate the financial statements of AYM Group Limited and all its subsidiary undertakings drawn up to 30 September each year. No profit and loss account is presented for AYM Group Limited as permitted by section 408 of the Companies Act 2006.

Subsidiaries are consolidated from the date of their acquisition, being the date on which the Group obtains control and continue to be consolidated until the date that such control ceases. Control comprises the power to govern the financial and operating policies of the investee so as to obtain benefit from its activities.

Investment in Subsidiaries

In the parent company financial statements investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

Significant judgements and estimates

In the application of the group's accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are relevant. Actual results may differ from these 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.

In preparing these financial statements the director has made the following judgements:

Provisions

Provisions have been made for trade debtors and inventory obsolescence and returns, where appropriate. These provisions are an estimate of the actual costs and the timing of future cash flows is dependent on future events. The difference between expectations and the actual future liability will be accounted for in the period when such determination is made.