REGISTERED NUMBER: 11357321 (England and Wales)

Riva Home Group Limited

Group Strategic Report, Report of the Directors and

Consolidated Financial Statements for the Year Ended 31st January 2026

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Consolidated Statement of Comprehensive Income

6

Consolidated Balance Sheet

7

Company Balance Sheet

8

Consolidated Statement of Changes in Equity

9

Company Statement of Changes in Equity

10

Consolidated Cash Flow Statement

11

Notes to the Consolidated Cash Flow Statement

12

Notes to the Consolidated Financial Statements

13

DIRECTORS:

J Green

L Evans

E Banfield

REGISTERED OFFICE:

Riva Home

Coal Road

Leeds

West Yorkshire

LS14 1PS

REGISTERED NUMBER:

11357321 (England and Wales)

AUDITORS:

Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

The directors present their strategic report of the company and the group for the year ended 31st January 2026.

REVIEW OF BUSINESS

Following last year's period of reorganisation and strategic change, this year has been one of consolidation and growth. The relocation of manufacturing from Lichfield and the office from Glasgow to our Leeds site is now fully embedded, and the benefits anticipated in last year's report are reflected in this year's growth and profitability.

We have continued to broaden our home furnishing offer, launching new furniture and lighting categories that complement our core ranges and position the group as a more rounded destination for home furnishings. Both our internal brands and our licensed brand partnerships have continued to strengthen, with improving performance across the portfolio reflecting growing customer recognition and trust.

PRINCIPAL RISKS AND UNCERTAINTIES

The key risks for the business are the ongoing cost-of-living crisis and cost inflation arising from the conflict in Iran, which has contributed to higher energy, raw material, and freight costs across the supply chain. Riva continue to offer a wide range of product offerings covering all demographics, and are managing input cost pressures through supplier diversification and pricing discipline, to mitigate these risks.

KEY PERFORMANCE INDICATORS

The groups ultimate shareholder is also the director of the company and is closely involved in the company's activities. The company directors therefore believe that the analysis of the company performance for the year using key performance indicators is not necessary as the ultimate shareholder already understands the development, performance, and position of the company.

FINANCIAL RISK MANAGEMENT

The main financial risks, to which the group is exposed are exchange rate and credit risk. The company manages these risks by entering into forward exchange contracts and having in place robust credit management processes and appropriate credit insurance.

ON BEHALF OF THE BOARD:

J Green - Director

12th August 2026

The directors present their report with the financial statements of the company and the group for the year ended 31st January 2026.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of the sale of homeware.

DIVIDENDS

During the year total dividends were paid amounting to £225,000 (2025 £375,430). The director does not recommend the payment of any further dividends.

DIRECTORS

J Green has held office during the whole of the period from 1st February 2025 to the date of this report.

Other changes in directors holding office are as follows:

L Evans - appointed 24th November 2025

E Banfield - appointed 24th November 2025

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 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 directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Smailes Goldie, will be proposed for re-appointment in accordance with Section 485 of the Companies Act 2006.

ON BEHALF OF THE BOARD:

J Green - Director

12th August 2026

Opinion

We have audited the financial statements of Riva Home Group Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31st January 2026 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31st January 2026 and of the group's profit for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory correspondence.

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 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;

-

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

-

reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive.

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.

Peter Dearing BSc FCCA (Senior Statutory Auditor)

for and on behalf of Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

12th August 2026

TURNOVER

3

30,272,638

22,508,392

Cost of sales

20,781,400

15,978,054

GROSS PROFIT

9,491,238

6,530,338

Administrative expenses

5,908,676

5,626,235

3,582,562

904,103

Other operating income

(4,143

)

15,211

OPERATING PROFIT

5

3,578,419

919,314

Exceptional item

6

-

(512,670

)

Goodwill ammortisation

6

(518,418

)

(518,418

)

3,060,001

(111,774

)

Interest receivable and similar income

5

396

3,060,006

(111,378

)

Interest payable and similar expenses

7

444,922

415,421

PROFIT/(LOSS) BEFORE TAXATION

2,615,084

(526,799

)

Tax on profit/(loss)

8

796,894

(239

)

PROFIT/(LOSS) FOR THE FINANCIAL YEAR

1,818,190

(526,560

)

FIXED ASSETS

Intangible assets

11

1,814,462

2,332,880

Tangible assets

12

1,696,514

1,993,607

Investments

13

-

-

3,510,976

4,326,487

CURRENT ASSETS

Stocks

14

7,897,551

8,531,586

Debtors

15

7,238,560

4,952,959

Cash at bank

78,425

126,517

15,214,536

13,611,062

CREDITORS

Amounts falling due within one year

16

10,519,284

10,865,172

NET CURRENT ASSETS

4,695,252

2,745,890

TOTAL ASSETS LESS CURRENT LIABILITIES

8,206,228

7,072,377

CREDITORS

Amounts falling due after more than one year

17

(3,144,000

)

(3,533,390

)

PROVISIONS FOR LIABILITIES

21

(360,262

)

(430,211

)

NET ASSETS

4,701,966

3,108,776

CAPITAL AND RESERVES

Called up share capital

22

1,200,100

1,200,100

Capital redemption reserve

23

2,511,000

2,139,000

Retained earnings

23

990,866

(230,324

)

SHAREHOLDERS' FUNDS

4,701,966

3,108,776

The financial statements were approved by the Board of Directors and authorised for issue on 12th August 2026 and were signed on its behalf by:

J Green - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

-

-

Investments

13

8,062,046

8,062,046

8,062,046

8,062,046

CURRENT ASSETS

Debtors

15

404,593

282,011

Cash at bank

140

67

404,733

282,078

CREDITORS

Amounts falling due within one year

16

614,817

495,371

NET CURRENT LIABILITIES

(210,084

)

(213,293

)

TOTAL ASSETS LESS CURRENT LIABILITIES

7,851,962

7,848,753

CREDITORS

Amounts falling due after more than one year

17

3,144,000

3,516,000

NET ASSETS

4,707,962

4,332,753

CAPITAL AND RESERVES

Called up share capital

22

1,200,100

1,200,100

Capital redemption reserve

23

2,511,000

2,139,000

Retained earnings

23

996,862

993,653

SHAREHOLDERS' FUNDS

4,707,962

4,332,753

Company's profit for the financial year

600,209

923,738

The financial statements were approved by the Board of Directors and authorised for issue on 12th August 2026 and were signed on its behalf by:

J Green - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1st February 2024

1,200,100

1,043,666

1,767,000

4,010,766

Changes in equity

Total comprehensive income

-

(526,560

)

-

(526,560

)

Dividends

-

(375,430

)

-

(375,430

)

Redemption of preference

shares

-

(372,000

)

372,000

-

Balance at 31st January 2025

1,200,100

(230,324

)

2,139,000

3,108,776

Changes in equity

Total comprehensive income

-

1,818,190

-

1,818,190

Dividends

-

(225,000

)

-

(225,000

)

Redemption of preference

shares

-

(372,000

)

372,000

-

Balance at 31st January 2026

1,200,100

990,866

2,511,000

4,701,966

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1st February 2024

1,200,100

817,345

1,767,000

3,784,445

Changes in equity

Total comprehensive income

-

923,738

-

923,738

Dividends

-

(375,430

)

-

(375,430

)

Redemption of preference

shares

-

(372,000

)

372,000

-

Balance at 31st January 2025

1,200,100

993,653

2,139,000

4,332,753

Changes in equity

Total comprehensive income

-

600,209

-

600,209

Dividends

-

(225,000

)

-

(225,000

)

Redemption of preference

shares

-

(372,000

)

372,000

-

Balance at 31st January 2026

1,200,100

996,862

2,511,000

4,707,962

Cash flows from operating activities

Cash generated from operations

1

2,179,597

565,039

Interest paid

(444,450

)

(414,912

)

Finance costs paid

(472

)

(509

)

Tax paid

(178,632

)

(271,028

)

Net cash from operating activities

1,556,043

(121,410

)

Cash flows from investing activities

Purchase of tangible fixed assets

(231,911

)

(177,457

)

Sale of tangible fixed assets

172,345

11,081

Interest received

5

396

Net cash from investing activities

(59,561

)

(165,980

)

Cash flows from financing activities

Net movement in stock loan

(930,184

)

848,771

Preference share redemption

(372,000

)

(372,000

)

Repayment of long term loans

(17,390

)

(19,690

)

Equity dividends paid

(225,000

)

(375,430

)

Net cash from financing activities

(1,544,574

)

81,651

Decrease in cash and cash equivalents

(48,092

)

(205,739

)

Cash and cash equivalents at beginning of year

2

126,517

332,256

Cash and cash equivalents at end of year

2

78,425

126,517

1.	RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2026

2025

£

£

Profit/(loss) before taxation

2,615,084

(526,799

)

Depreciation charges

408,730

415,951

Profit on disposal of fixed assets

(52,071

)

(315

)

Goodwill ammortisation

518,418

518,417

Finance costs

444,922

415,421

Finance income

(5

)

(396

)

3,935,078

822,279

Decrease/(increase) in stocks

634,035

(1,258,749

)

Increase in trade and other debtors

(2,290,013

)

(242,307

)

(Decrease)/increase in trade and other creditors

(99,503

)

1,243,816

Cash generated from operations

2,179,597

565,039

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 31st January 2026

31.1.26

1.2.25

£

£

Cash and cash equivalents

78,425

126,517

Year ended 31st January 2025

31.1.25

1.2.24

£

£

Cash and cash equivalents

126,517

332,256

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.2.25

Cash flow

At 31.1.26

£

£

£

Net cash

Cash at bank and in hand

126,517

(48,092

)

78,425

126,517

(48,092

)

78,425

Debt

Debts falling due within 1 year

(4,631,064

)

930,184

(3,700,880

)

Debts falling due after 1 year

(3,533,390

)

389,390

(3,144,000

)

(8,164,454

)

1,319,574

(6,844,880

)

Total

(8,037,937

)

1,271,482

(6,766,455

)

1.	STATUTORY INFORMATION

Riva Home Group Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statement 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, modified to include certain items at fair value.

The financial statements are presented in sterling, which is the functional currency of the company, and all values are rounded to the nearest pound (£).

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

Going Concern

In forming their going concern assessment, the directors have reviewed the anticipated trading performance over the next 12 months. Having considered this and other available factors, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for a period of 12 months from the date of approval of these financial statements and have therefore adopted the going concern basis in preparing these financial statements.

Basis of consolidation

The group financial statements consolidate the financial statements of Riva Home Group Limited and its subsidiaries for the year ended 31st January 2026. The subsidiary undertakings have been accounted for under the acquisition method of accounting. No company Statement of comprehensive Income is presented for Riva Home Group Limited as permitted by Section 408 of the Companies Act 2006.

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.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

Critical accounting judgements and key sources of estimation uncertainty

Stock Provisions

The carrying value of inventories requires management to make estimates regarding provisions for slow-moving, obsolete, and damaged stock. These provisions are based on management's assessment of the net realisable value of inventory items.

Key estimates and assumptions

In determining the level of stock provisions, management considers:

Seasonal and fashion trends

Age and condition of stock

Sales history and trends

Market condition

Net realisable value

Estimation uncertainty

The determination of stock provisions involves significant judgement and is inherently uncertain. Management reviews stock provisions on a regular basis, with the provision calculated on an item-by-item basis where material, or by applying provision percentages to categories of stock based on current and projected turnover rates.

At 31 January 2026, the gross value of inventories was £8,750,359, against which a provision of £852,808 has been made, resulting in a carrying value of £7,897,551.

Given the subjective nature of fashion trends and consumer preferences in the soft furnishings market, actual losses on inventory realisation could differ from the provisions recognised.

Turnover

Turnover is measured at the fair value of the consideration received or receivable net of value added tax and trade discounts. The policies adopted for the recognition of turnover are as follows:

Sales of goods

Turnover from the sale of goods is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on the date of dispatch of the goods.

Leases

Rentals payable and receivable under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2019, is being amortised evenly over its estimated useful life of ten years.

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Leasehold improvements

- over the lease term

Plant and machinery

- 10% - 33.33% on cost

Fixtures and Fittings

- 10% - 33.33% on cost

Motor Vehicles

- 20% on cost

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the average cost method. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Taxation

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

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Foreign currencies

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

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

When employees have rendered service to the group short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

The group operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

Loans and borrowings

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

Provisions

Provisions are recognised when the company has an obligation at the balance sheet date as a result of a past event, it is probable that an outflow of economic benefits will be required in settlement and the amount can be reliably estimated.

Debtors and creditors receivable / payable within one year

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

Share-based payments

The company operates an equity settled share option scheme for certain employees. The fair value of share options granted is measured at the grant date and recognised as an expense over the vesting period, based on the company's estimate of the number of options that are expected to vest. The fair value of the options is determined using an appropriate valuation model, taking into account the terms and conditions upon which the options are granted. Where the fair value of options at the grant date is assessed as immaterial, no charge is recognised. Amounts recognised are credited to equity within a share based payment reserve.

3.

TURNOVER

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

4.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

4,720,951

4,757,113

Social security costs

562,639

438,754

Other pension costs

85,502

110,354

5,369,092

5,306,221

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

2026

2025

Management and administration

38

37

Sales

83

109

121

146