IRIS Accounts Production v26.1.10.61 00434050 Board of Directors 1.1.25 31.12.25 31.12.25 Medium entities false true true false false true false These accounts have been prepared in accordance with the provisions applicable to companies subject to the medium-sized companies regime. Ordinary 1.00000 iso4217:GBP iso4217:USD iso4217:EUR xbrli:shares xbrli:pure utr:tonnes utr:kWh 00434050 2024-12-31 00434050 2025-12-31 00434050 2025-01-01 2025-12-31 00434050 2023-12-31 00434050 2024-01-01 2024-12-31 00434050 2024-12-31 00434050 ns15:EnglandWales 2025-01-01 2025-12-31 00434050 ns14:PoundSterling 2025-01-01 2025-12-31 00434050 ns10:Director1 2025-01-01 2025-12-31 00434050 ns10:PrivateLimitedCompanyLtd 2025-01-01 2025-12-31 00434050 ns10:MediumEntities 2025-01-01 2025-12-31 00434050 ns10:Audited 2025-01-01 2025-12-31 00434050 ns10:Medium-sizedCompaniesRegimeForDirectorsReport 2025-01-01 2025-12-31 00434050 ns10:Medium-sizedCompaniesRegimeForAccounts 2025-01-01 2025-12-31 00434050 ns10:FullAccounts 2025-01-01 2025-12-31 00434050 ns10:OrdinaryShareClass1 2025-01-01 2025-12-31 00434050 ns10:Director2 2025-01-01 2025-12-31 00434050 ns10:Director3 2025-01-01 2025-12-31 00434050 ns10:RegisteredOffice 2025-01-01 2025-12-31 00434050 ns5:CurrentFinancialInstruments 2025-12-31 00434050 ns5:CurrentFinancialInstruments 2024-12-31 00434050 ns5:ShareCapital 2025-12-31 00434050 ns5:ShareCapital 2024-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2025-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2024-12-31 00434050 ns5:ShareCapital 2023-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2023-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2024-01-01 2024-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2025-01-01 2025-12-31 00434050 ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount 2025-01-01 2025-12-31 00434050 ns5:TotalGeographicSegmentsIncludingAnyUnallocatedAmount 2024-01-01 2024-12-31 00434050 ns5:PlantEquipmentOtherAssetsUnderOperatingLeases 2025-01-01 2025-12-31 00434050 ns5:PlantEquipmentOtherAssetsUnderOperatingLeases 2024-01-01 2024-12-31 00434050 ns5:OwnedAssets 2025-01-01 2025-12-31 00434050 ns5:OwnedAssets 2024-01-01 2024-12-31 00434050 11 2025-01-01 2025-12-31 00434050 11 2024-01-01 2024-12-31 00434050 12 2025-01-01 2025-12-31 00434050 12 2024-01-01 2024-12-31 00434050 13 2025-01-01 2025-12-31 00434050 13 2024-01-01 2024-12-31 00434050 14 2025-01-01 2025-12-31 00434050 14 2024-01-01 2024-12-31 00434050 ns10:OrdinaryShareClass1 2024-01-01 2024-12-31 00434050 ns5:PlantMachinery 2024-12-31 00434050 ns5:FurnitureFittings 2024-12-31 00434050 ns5:PlantMachinery 2025-01-01 2025-12-31 00434050 ns5:FurnitureFittings 2025-01-01 2025-12-31 00434050 ns5:PlantMachinery 2025-12-31 00434050 ns5:FurnitureFittings 2025-12-31 00434050 ns5:PlantMachinery 2024-12-31 00434050 ns5:FurnitureFittings 2024-12-31 00434050 ns5:CostValuation 2024-12-31 00434050 ns5:CostValuation 2025-12-31 00434050 ns5:AdditionsToInvestments 2025-12-31 00434050 ns5:WithinOneYear ns5:CurrentFinancialInstruments 2025-12-31 00434050 ns5:WithinOneYear ns5:CurrentFinancialInstruments 2024-12-31 00434050 ns5:WithinOneYear 2025-12-31 00434050 ns5:WithinOneYear 2024-12-31 00434050 ns5:BetweenOneFiveYears 2025-12-31 00434050 ns5:BetweenOneFiveYears 2024-12-31 00434050 ns5:MoreThanFiveYears 2025-12-31 00434050 ns5:MoreThanFiveYears 2024-12-31 00434050 ns5:AllPeriods 2025-12-31 00434050 ns5:AllPeriods 2024-12-31 00434050 ns5:DeferredTaxation 2024-12-31 00434050 ns5:DeferredTaxation 2025-01-01 2025-12-31 00434050 ns5:DeferredTaxation 2025-12-31 00434050 ns10:OrdinaryShareClass1 2025-12-31 00434050 ns5:RetainedEarningsAccumulatedLosses 2024-12-31

REGISTERED NUMBER: 00434050 (England and Wales)

| Nilorn UK Limited |

| Report of the Directors and |

| Financial Statements |

| for the Year Ended 31 December 2025 |

Nilorn UK Limited (Registered number: 00434050)

Contents of the Financial Statements

for the year ended 31 December 2025

Page |

Company Information | 1 |

Report of the Directors | 2 |

Report of the Independent Auditors | 4 |

Income Statement | 8 |

Other Comprehensive Income | 9 |

Balance Sheet | 10 |

Statement of Changes in Equity | 11 |

Cash Flow Statement | 12 |

Notes to the Cash Flow Statement | 13 |

Notes to the Financial Statements | 15 |

Nilorn UK Limited

Company Information

for the year ended 31 December 2025

| DIRECTORS: | Mr K Magnusson

| Mr D A Hinchliffe

| Mr F R Clason

| REGISTERED OFFICE: | Station Works

| Greens Mill Court

| Cononley

| Skipton

| North Yorkshire

| BD20 8FE

| REGISTERED NUMBER: | 00434050 (England and Wales)

| AUDITORS: | SMH Jolliffe Cork Audit Ltd

| Accountants & Statutory Auditors

| 33 George Street

| Wakefield

| West Yorkshire

| WF1 1LX

Nilorn UK Limited (Registered number: 00434050)

Report of the Directors

for the year ended 31 December 2025

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 the sale of woven and printed labels, swing tickets and packaging and garment trims.

DIVIDENDS

The total distribution of dividends for the year ended 31 December 2025 will be £ 790,000 .

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 K Magnusson

Mr D A Hinchliffe

Mr F R Clason

REPORT EXEMPTIONS

The directors have taken advantage of the small company exemptions available in relation to the directors report and the strategic report as permitted by Sections 415A and 414B of Companies Act 2006 on the grounds that the company would have been entitled to the small company exemptions had it not been a member of an ineligible group.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing 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 each person who was a director at the date of approving this report is aware, there is no relevant audit information, being information needed by the auditors in connection with preparing their report, of which the auditors are unaware. Having made enquiries of fellow directors and the company's auditors, each director has taken all the steps that he/she is obliged to take as a director in order to make himself/herself aware of any relevant audit information and to establish that the auditors are aware of that information.

Nilorn UK Limited (Registered number: 00434050)

Report of the Directors

for the year ended 31 December 2025

AUDITORS

The auditors, SMH Jolliffe Cork Audit Ltd, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr D A Hinchliffe - Director

30 July 2026

Report of the Independent Auditors to the Members of

Nilorn UK Limited

Opinion

We have audited the financial statements of Nilorn UK Limited (the 'company') for the year ended 31 December 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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 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 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- | the Report of the Directors has been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of

Nilorn UK Limited

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 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 two, 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.

Report of the Independent Auditors to the Members of

Nilorn UK Limited

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:

The extent to which the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatements 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 company through discussions with the Directors and other informed management which we considered may have a direct material effect on the financial statements or the operations of the company and thereafter, the audit team remained alert to instances of non-compliance throughout the audit. |

We assessed the susceptibility of the company'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; |

- |  | in assessing the effectiveness of the control environment, we also reviewed significant correspondence between the company and UK regulatory bodies, reviewed minutes of meetings and gained an understanding of the company's approach to governance. |

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; |

- |  | enquiring of management as to actual and potential litigation and claims and reviewing correspondence with HMRC 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.

Report of the Independent Auditors to the Members of

Nilorn UK Limited

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.

Jane Crossley FCA CTA (Senior Statutory Auditor)

for and on behalf of SMH Jolliffe Cork Audit Ltd

Accountants & Statutory Auditors

33 George Street

Wakefield

West Yorkshire

WF1 1LX

5 August 2026

Nilorn UK Limited (Registered number: 00434050)

Income Statement

for the year ended 31 December 2025

| 2025 | 2024 |

| Notes | £ | £ | £ | £ |

TURNOVER | 3 | 4,429,310 |  | 4,262,328 |  |

Cost of sales | 1,558,838 |  | 1,565,378 |  |

GROSS PROFIT | 2,870,472 |  | 2,696,950 |  |

Distribution costs | 800,640 |  | 545,676 |  |

Administrative expenses | 1,629,342 |  | 1,494,783 |  |

|  | 2,429,982 |  |  |  | 2,040,459 |  |

OPERATING PROFIT | 5 | 440,490 |  | 656,491 |  |

Income from shares in group undertakings | 7,628 |  | 339,791 |  |

448,118 |  | 996,282 |  |

Interest payable and similar expenses | 6 | 54,391 |  | 56,254 |  |

PROFIT BEFORE TAXATION | 393,727 |  | 940,028 |  |

Tax on profit | 7 | 96,752 |  | 147,535 |  |

PROFIT FOR THE FINANCIAL YEAR | 296,975 |  | 792,493 |  |

Nilorn UK Limited (Registered number: 00434050)

Other Comprehensive Income

for the year ended 31 December 2025

| 2025 |  | 2024

| Notes | £ | £ |

PROFIT FOR THE YEAR | 296,975 |  | 792,493 |  |

OTHER COMPREHENSIVE INCOME | - |  | - |  |

TOTAL COMPREHENSIVE INCOME FOR THE YEAR | 296,975 |  | 792,493 |  |

Nilorn UK Limited (Registered number: 00434050)

Balance Sheet

31 December 2025

| 2025 | 2024 |

| Notes | £ | £ | £ | £ |

FIXED ASSETS

Tangible assets | 9 | 158,529 |  | 165,140 |  |

Investments | 10 | 38,982 |  | 24,104 |  |

197,511 |  | 189,244 |  |

CURRENT ASSETS

Stocks | 11 | 208,979 |  | 163,364 |  |

Debtors | 12 | 552,758 |  | 980,313 |  |

Cash at bank and in hand | 399,639 |  | 44,069 |  |

1,161,376 |  | 1,187,746 |  |

CREDITORS

Amounts falling due within one year | 13 | 918,412 |  | 441,923 |  |

NET CURRENT ASSETS | 242,964 |  | 745,823 |  |

TOTAL ASSETS LESS CURRENT LIABILITIES | 440,475 |  | 935,067 |  |

PROVISIONS FOR LIABILITIES | 16 | 34,433 |  | 36,000 |  |

NET ASSETS | 406,042 |  | 899,067 |  |

CAPITAL AND RESERVES

Called up share capital | 17 | 100,000 |  | 100,000 |  |

Retained earnings | 18 | 306,042 |  | 799,067 |  |

SHAREHOLDERS' FUNDS | 406,042 |  | 899,067 |  |

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 A Hinchliffe - Director

Nilorn UK Limited (Registered number: 00434050)

Statement of Changes in Equity

for the year ended 31 December 2025

| Called up |

| share |  | Retained |  | Total

| capital |  | earnings |  | equity

£ | £ | £ |

Balance at 1 January 2024 | 100,000 |  | 246,574 |  | 346,574 |  |

Changes in equity

Dividends | - |  | (240,000 | ) | (240,000 | ) |

Total comprehensive income | - |  | 792,493 |  | 792,493 |  |

Balance at 31 December 2024 | 100,000 |  | 799,067 |  | 899,067 |  |

Changes in equity

Dividends | - |  | (790,000 | ) | (790,000 | ) |

Total comprehensive income | - |  | 296,975 |  | 296,975 |  |

Balance at 31 December 2025 | 100,000 |  | 306,042 |  | 406,042 |  |

Nilorn UK Limited (Registered number: 00434050)

Cash Flow Statement

for the year ended 31 December 2025

| 2025 |  | 2024

| Notes | £ | £ |

Cash flows from operating activities

Cash generated from operations | 1 | 1,360,889 |  | 26,498 |  |

Interest paid | (54,391 | ) | (56,254 | ) |

Tax paid | (130,186 | ) | (123,625 | ) |

Net cash from operating activities | 1,176,312 |  | (153,381 | ) |

Cash flows from investing activities

Purchase of tangible fixed assets | (22,793 | ) | (23,682 | ) |

Purchase of fixed asset investments | (14,878 | ) | - |  |

Dividends received | 7,628 |  | 339,791 |  |

Net cash from investing activities | (30,043 | ) | 316,109 |  |

Cash flows from financing activities

Equity dividends paid | (790,000 | ) | (240,000 | ) |

Net cash from financing activities | (790,000 | ) | (240,000 | ) |

Increase/(decrease) in cash and cash equivalents | 356,269 |  | (77,272 | ) |

Cash and cash equivalents at beginning of year | 2 | 43,370 |  | 120,642 |  |

Cash and cash equivalents at end of year | 2 | 399,639 |  | 43,370 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Cash Flow Statement

for the year ended 31 December 2025

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

| 2025 |  | 2024

£ | £ |

| Profit before taxation | 393,727 |  | 940,028 |  |

| Depreciation charges | 29,404 |  | 29,636 |  |

| Loss on disposal of fixed assets | - |  | 214 |  |

| Finance costs | 54,391 |  | 56,254 |  |

| Finance income | (7,628 | ) | (339,791 | ) |

469,894 |  | 686,341 |  |

| (Increase)/decrease in stocks | (45,615 | ) | 19,219 |  |

| Decrease/(increase) in trade and other debtors | 459,422 |  | (644,099 | ) |

| Increase/(decrease) in trade and other creditors | 477,188 |  | (34,963 | ) |

| Cash generated from operations | 1,360,889 |  | 26,498 |  |

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 December 2025

| 31.12.25 |  | 1.1.25

£ | £ |

| Cash and cash equivalents | 399,639 |  | 44,069 |  |

| Bank overdrafts | - |  | (699 | ) |

399,639 |  | 43,370 |  |

| Year ended 31 December 2024

| 31.12.24 |  | 1.1.24

£ | £ |

| Cash and cash equivalents | 44,069 |  | 120,642 |  |

| Bank overdrafts | (699 | ) | - |  |

43,370 |  | 120,642 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Cash Flow Statement

for the year ended 31 December 2025

3. | ANALYSIS OF CHANGES IN NET FUNDS

| At 1.1.25 | Cash flow | At 31.12.25

£ | £ | £ |

| Net cash |

| Cash at bank and in hand | 44,069 |  | 355,570 |  | 399,639 |  |

| Bank overdrafts | (699 | ) | 699 |  | - |  |

43,370 |  | 356,269 |  | 399,639 |  |

| Total | 43,370 |  | 356,269 |  | 399,639 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements

for the year ended 31 December 2025

1. | STATUTORY INFORMATION

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

| The functional and presentation currency for the company is the pound sterling (£). All financial information presented has been rounded to the nearest (£), unless otherwise stated.

2. | ACCOUNTING POLICIES

| Basis of preparing the financial statements

| These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

| Going concern

| In July 2026, Nilorngruppen AB, the ultimate parent company, have accepted an offer for a public takeover. The Offeror's plans for the future business and general strategy do not include any material changes with regard to the Nilorngruppen's operational sites or its management and employees.

| The Directors are of the opinion that the company continues to be a going concern and have therefore adopted that basis in the preparation of the financial statements.

| Preparation of consolidated financial statements

| The financial statements contain information about Nilorn UK Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertakings are included in the consolidated financial statements of its parent, Nilongruppen AB, a company registered in Sweden. These consolidated financial statements can be found at:

| https://www.nilorn.com/investors/reports-and-presentations/

| Significant judgements and estimates

| Preparation of the financial statements requires management to make significant judgements and estimates. Estimates and Judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The items in the financial statements where these judgements and estimates have been made include:

| (i) Useful economic lives of tangible assets

| The annual amortisation and depreciation charges for intangible and tangible fixed assets is sensitive to changes in the estimated useful lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

| (ii) Stock provisions

| When calculating the stock provisions, management considers the nature and condition of the stock, as well as applying assumptions around anticipated saleability.

| (iii) Impairment of debtors

| The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience.

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

2. | ACCOUNTING POLICIES - continued

| Revenue recognition

| Revenue is recognised to the extent that the company obtains the right to consideration in exchange for its performance. Revenue is measured at the fair value of the consideration received, after discounts, rebates, exclusive of VAT and other sales taxes or duty.

| Tangible fixed assets

| All fixed assets are recorded initially at cost.

| Depreciation is provided at the following annual rates in oder to write off each asset over its estimated useful life:

| Plant and machinery - over 5 to 25 years straight line

| Fixtures, fittings and equipment - over 2 to 10 years straight line

| Investments in subsidiaries and associates

| Investments in subsidiary and associate undertakings are recognised at cost less any provision for impairment.

| 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 chosen to adopt the Sections 11 and 12 of FRS 102 in respect of financial instruments.

| Financial assets

| Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

| The company has no 'Other financial assets'.

| Financial assets are derecognised when (a) the contractual rights to the cashflow from the asset expire or are settled or (b) substantially all the risks and rewards of ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

| Financial liabilities

| Basic financial liabilities, including trade and other creditors and hire purchase contracts, 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 receipts discounted at a market rate of interest.

| The company has no 'Other financial liabilities'.

| Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

| Taxation

| Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

2. | ACCOUNTING POLICIES - continued

| Deferred tax

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

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

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

| Foreign currencies

| Transactions denominated in foreign currency are translated into sterling at the rates ruling at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Exchange differences are dealt with through the profit and loss account and are separately disclosed if material.

| 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 scheme

| The company operates a work place pension scheme for its employees with contributions payable to the schemes being charged to the profit and loss account in the period to which they relate.

3. | TURNOVER

| The turnover and profit before taxation are attributable to the one principal activity of the company.

| An analysis of turnover by geographical market is given below:

| 2025 |  | 2024

£ | £ |

| United Kingdom | 845,111 |  | 869,099 |  |

| Rest of Europe | 907,448 |  | 814,073 |  |

| Rest of World | 2,676,751 |  | 2,579,156 |  |

4,429,310 |  | 4,262,328 |  |

| Turnover is attributable to the continuing activity of sale of printed labels, swing tickets and other woven jacquard products.

4. | EMPLOYEES AND DIRECTORS

| 2025 |  | 2024

£ | £ |

| Wages and salaries | 1,056,269 |  | 1,021,758 |  |

| Social security costs | 120,292 |  | 97,737 |  |

| Other pension costs | 59,034 |  | 59,861 |  |

1,235,595 |  | 1,179,356 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

4. | EMPLOYEES AND DIRECTORS - continued

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

| 2025 |  | 2024

| Administration and Management | 8 |  | 7 |  |

| Sales | 13 |  | 13 |  |

| Production | 8 |  | 7 |  |

29 |  | 27 |  |

| 2025 |  | 2024

£ | £ |

| Directors' remuneration | 143,676 |  | 130,000 |  |

| Directors' pension contributions to money purchase schemes | 13,304 |  | 12,527 |  |

5. | OPERATING PROFIT

| The operating profit is stated after charging:

| 2025 |  | 2024

£ | £ |

| Hire of plant and machinery | 19,050 |  | 26,220 |  |

| Depreciation - owned assets | 29,404 |  | 29,636 |  |

| Loss on disposal of fixed assets | - |  | 214 |  |

| Auditors' remuneration | 13,000 |  | 12,000 |  |

| Foreign exchange differences | 55,427 |  | 107 |  |

| Operating lease payments - property | 90,967 |  | 90,967 |  |

| Operating lease payments - plant and machinery | 12,554 |  | - |  |

| Operating lease payments - motor | 14,527 |  | 14,901 |  |

| Operating lease payments - other | 15,888 |  | 20,245 |  |

| In addition to remuneration for the audit, the auditors have also levied the following fees:

|  | 2025 |  |  | 2024 |  |

| £ |  |  | £ |  |

| Tax advisory services |  |  | 1,275 |  |  | 1,225 |  |

6. | INTEREST PAYABLE AND SIMILAR EXPENSES |

| 2025 |  | 2024

£ | £ |

| Bank interest | 54,391 |  | 56,254 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

7. | 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 | 77,965 |  | 147,535 |  |

| under/over provision in prior year | 20,354 |  | - |  |

| Total current tax | 98,319 |  | 147,535 |  |

| Deferred tax | (1,567 | ) | - |  |

| Tax on profit | 96,752 |  | 147,535 |  |

| UK corporation tax has been charged at 25% .

| 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 | 393,727 |  | 940,028 |  |

| Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%) | 98,432 |  | 235,007 |  |

| Effects of:

| Expenses not deductible for tax purposes | 565 |  | 123 |  |

| Income not taxable for tax purposes | (1,907 | ) | (84,948 | ) |

| Depreciation in excess of capital allowances | 649 |  | 319 |  |

| Other timing differences | (21,341 | ) | (391 | ) |

| Over / (under) provision of corporation tax | 20,354 |  | (2,575 | ) |

| Total tax charge | 96,752 |  | 147,535 |  |

8. | DIVIDENDS

| 2025 |  | 2024

£ | £ |

| Ordinary shares of £1 each |

| Interim dividend ordinary | 790,000 |  | 240,000 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

9. | TANGIBLE FIXED ASSETS

| Fixtures, |

| Plant and |  | fittings |

| machinery |  | & equipment |  | Totals

£ | £ | £ |

| COST

| At 1 January 2025 | 392,454 |  | 217,987 |  | 610,441 |  |

| Additions | 12,208 |  | 10,585 |  | 22,793 |  |

| Disposals | - |  | (6,112 | ) | (6,112 | ) |

| At 31 December 2025 | 404,662 |  | 222,460 |  | 627,122 |  |

| DEPRECIATION

| At 1 January 2025 | 296,194 |  | 149,107 |  | 445,301 |  |

| Charge for year | 11,654 |  | 17,750 |  | 29,404 |  |

| Eliminated on disposal | - |  | (6,112 | ) | (6,112 | ) |

| At 31 December 2025 | 307,848 |  | 160,745 |  | 468,593 |  |

| NET BOOK VALUE

| At 31 December 2025 | 96,814 |  | 61,715 |  | 158,529 |  |

| At 31 December 2024 | 96,260 |  | 68,880 |  | 165,140 |  |

10. | FIXED ASSET INVESTMENTS

| Share in |  | Share in |

| group |  | associated |

| undertakings |  | undertakings |  | Totals

£ | £ | £ |

| COST

| At 1 January 2025 | 25,531 |  | 227,463 |  | 252,994 |  |

| Additions | 14,878 |  | - |  | 14,878 |  |

| At 31 December 2025 | 40,409 |  | 227,463 |  | 267,872 |  |

| PROVISIONS

| At 1 January 2025

| and 31 December 2025 | 1,427 |  | 227,463 |  | 228,890 |  |

| NET BOOK VALUE

| At 31 December 2025 | 38,982 |  | - |  | 38,982 |  |

| At 31 December 2024 | 24,104 |  | - |  | 24,104 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

10. | FIXED ASSET INVESTMENTS - continued

| At 31 December 2025, the company held shareholdings in the following undertakings:

| Name |  | Country of |  | Class of |  | Percentage |  | Nature of |  |

|  | incorporation |  | shares |  | held |  | business |  |

| Nilorn Portugal LDA * |  | Portugal |  | Ordinary |  | 100% |  | Label Manufacturer |  |

| Lee and Ferreria LDA ** |  | Portugal |  | Ordinary |  | 100% |  | Property Investment |  |

| Calmon Portugal Limited |  | UK |  | Ordinary |  | 100% |  | Holding company |  |

| Calmon Abacus Textiles Private Limited |  | India |  | Ordinary |  | 49% |  | Label Manufacture |  |

| Calmon Far East Limited |  | Hong Kong |  | Ordinary |  | 50% |  | Label Manufacture |  |

| Nilorn Lanka (Private) Limited |  | Sri Lanka |  | Ordinary |  | 100% |  | Label Manufacture |  |

| * Held 99.8% via Calmon Portugal Limited ** Held 100% via Calmon Portugal Limited.

11. | STOCKS

2025 | 2024 |

£ | £ |

| Raw materials | 35,552 |  | 35,104 |  |

| Finished goods | 173,427 |  | 128,260 |  |

208,979 |  | 163,364 |  |

12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |

2025 | 2024 |

£ | £ |

| Trade debtors | 181,866 |  | 184,649 |  |

| Amounts owed by group undertakings | - |  | 691,175 |  |

| Tax | 62,986 |  | 31,119 |  |

| Prepayments and accrued income | 307,906 |  | 73,370 |  |

552,758 |  | 980,313 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |

2025 | 2024 |

£ | £ |

| Bank loans and overdrafts (see note 14) | - |  | 699 |  |

| Trade creditors | 86,919 |  | 65,720 |  |

| Amounts owed to group undertakings | 545,739 |  | - |  |

| Social security and other taxes | 27,725 |  | 18,666 |  |

| VAT | 213 |  | 6,453 |  |

| Accruals and deferred income | 257,816 |  | 350,385 |  |

918,412 |  | 441,923 |  |

14. | LOANS

| An analysis of the maturity of loans is given below:

2025 | 2024 |

£ | £ |

| Amounts falling due within one year or on demand:

| Bank overdrafts | - |  | 699 |  |

15. | LEASING AGREEMENTS

| Minimum lease payments under non-cancellable operating leases fall due as follows:

2025 | 2024 |

£ | £ |

| Within one year | 118,219 |  | 115,787 |  |

| Between one and five years | 419,038 |  | 405,257 |  |

| In more than five years | 1,228,060 |  | 1,319,028 |  |

1,765,317 |  | 1,840,072 |  |

16. | PROVISIONS FOR LIABILITIES

2025 | 2024 |

£ | £ |

| Deferred tax | 34,433 |  | 36,000 |  |

| Deferred |

| tax |

£ |

| Balance at 1 January 2025 | 36,000 |  |

| Credit to Income Statement during year | (1,567 | ) |

| Accelerated capital allowances |

| Balance at 31 December 2025 | 34,433 |  |

Nilorn UK Limited (Registered number: 00434050)

Notes to the Financial Statements - continued

for the year ended 31 December 2025

17. | CALLED UP SHARE CAPITAL

| Allotted, issued and fully paid:

| Number: | Class: | Nominal | 2025 | 2024 |

| value: | £ | £ |

| 100,000 | Ordinary | £1 | 100,000 |  | 100,000 |  |

18. | RESERVES

| Retained

| earnings

£ |

| At 1 January 2025 | 799,067 |  |

| Profit for the year | 296,975 |  |

| Dividends | (790,000 | ) |

| At 31 December 2025 | 306,042 |  |

19. | RELATED PARTY DISCLOSURES

| 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 group undertakings.

| The ultimate parent company and controlling party is Nilörngruppen AB, a public company incorporated in Sweden.

| The largest group in which the results of the company are consolidated is that headed by Nilörngruppen AB, whose headquarters are:

| Wieslanders väg 3

| 504 31 Borås

| Sweden.

| In the opinion of the directors there is no individual ultimate controlling party.