ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging/(crediting):

Registered number: 01316437

SAS SOFTWARE LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025


SAS SOFTWARE LIMITED

COMPANY INFORMATION

Director	David B. Keim


Company secretary	Gary J Burridge


Registered number	01316437


Registered office	Wittington House
	Henley Road
	Medmenham
	Marlow
	Buckinghamshire
	SL7 2EB


Independent auditor	BDO LLP
	Level 2, R+
	Reading
	Berkshire
	RG1 1AZ


Bankers	HSBC
	1 Corn Market
	High Wycombe
	Buckinghamshire
	HP11 2AY


SAS SOFTWARE LIMITED

CONTENTS

	Page
Strategic Report	1 - 7
Director's Report	8 - 12
Independent Auditor's Report	13 - 17
Statement of Comprehensive Income	18
Statement of Financial Position	19
Statement of Changes in Equity	20
Statement of Cash Flows	21
Notes to the Financial Statements	22 - 39


SAS SOFTWARE LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

The Director presents this Strategic Report together with the audited financial statements for the year ended 31 December 2025.

Principal activity and review of the business

The principal activity of the Company is to license software to business customers, typically on an annual basis, and to provide professional services, most notably consultancy, training, hosting and remote managed services, to support the installation, adoption and use of the software licensed.

The Company's key financial and other performance indicators during the year were as follows:

	2025	2024	Growth

Software licence revenue invoiced in year (£'000)	175,374	156,015	12%
Software licence revenue movement on deferrals (£'000)	(39,968)	(28,525)	40%

Net software licence revenue (£'000)	135,405	127,490	6%
Services and other operating revenue (£'000)	51,022	41,833	22%

Revenue (£'000)	186,427	169,323	10%
Renewal revenue retention %	96%	94%
Total expenses (£'000)	182,150	164,913	10.45%
Average number of employees	756	721	5%
Current assets as a % of current liabilities	530%	441%
Net pre-tax statutory profit (£'000)	6,555	6,424	2%

Business performance and key developments

The Company delivered solid revenue growth during 2025, with total revenue increasing to £186.4m (2024: £169.3m), representing 10% growth year-on-year. This performance was driven by a combination of continued demand for the Company's software solutions and strong growth in hosting and cloud-based services.

Net software license revenue increased to £135.4m (2024: £127.5m), representing 6% growth year-on-year. The increase was driven by continued demand for the Company's software solutions, including higher revenues from the public sector following major customer activity in the year, together with strong renewal performance, with renewal revenue retention improving to 96% (2024: 94%). The improvement in retention demonstrates the resilience of the Company's recurring revenue base and continued customer commitment to SAS software solutions.

Growth in services and other operating revenue (up 22% to £51.0m) was primarily driven by increased adoption of cloud and hosting solutions, which grew by 21% in line with the Company's strategic focus on cloud-based delivery models. While consultancy activity remained significant, performance reflects a shift in project mix and timing compared with the prior year.

During the year, invoiced software licence revenue increased significantly to £175.4m (2024: £156.0m); however, a substantial proportion of this relates to revenue deferred for recognition in future periods due to contract timing. As a result, deferred income increased materially at the end of the year, with the software licence revenue movement on deferrals increasing to £40.0m (2024: £28.5m).

Page 1


SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Principal activity and review of the business (continued)

Profitability and cost base

Total expenses increased to £182.1m (2024: £164.9m), broadly in line with revenue growth. This increase was primarily driven by:

∙higher headcount to support business growth (average employees increased by 5% to 756 (2024: 721) with the closing headcount recorded at 780 (2024: 733),

∙increased investment in sales, business development and customer support activities, and

∙higher travel and operational costs as business activity increased.

During the year, the Company entered into a material multi-year commercial sponsorship agreement with Liverpool Football Club, for a total committed cost of £34m over 5 years, which is outside the ordinary course of its day-to-day software licensing and services activities. The agreement provides the Company with marketing, branding and customer engagement rights and is intended to support the Company's broader sales and business development strategy. The associated costs are reflected within operating expenses and form part of the increase in the Company's cost base during the year.

Despite the cost increases, the Company maintained profitability, with profit before tax increasing to £6.6m (2024: £6.4m).

Liquidity and financial position

The Company continues to maintain a strong balance sheet, with net assets increasing to £25.6m (2024: £21.2m).

The "quick ratio" of the Company (current assets as a percentage of current liabilities) has increased to 530% (2024: 441%), reflecting the Company's strong liquidity position. This is primarily driven by the level of current assets, including trade receivables and cash balances, relative to current liabilities in the current presentation.

Cash balances reduced to £17.5m (2024: £31.6m), reflecting working capital movements during the year, including timing of collections and intra-group balances. The Company remains well funded and continues to operate without external debt.

Key business developments

During the year, the Company continued to execute its strategy aligned with the wider SAS group, including:

∙further expansion of cloud and SaaS offerings (including Viya 4 platform adoption),

∙continued partnership with Microsoft to support cloud-based deployment,

∙investment in core growth areas such as artificial intelligence, fraud, risk management and analytics, and

∙strengthening go-to-market capabilities through partnerships and channel expansion.

The Directors and management have been focused on the above goals and the business has continued to experience incremental gains across all areas through 2025. The actions in these areas have enhanced the foundations of the business and they are anticipated to support continued growth in future years.

Principal risks and uncertainties

The principal risks and uncertainties facing the Company are broadly grouped as economic pressures and uncertainty, competitive, legislative and financial instrument risk.

Page 2


SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Principal risks and uncertainties (continued)

Economic pressures and uncertainty

The industry in which the Company operates is susceptible to significant changes in the strength of the global and local economy and the financial health of companies that make capital commitments for new technologies. The Company mitigates this risk through diversification of its customer base, recurring revenue streams, and continued investment in high-value solutions aligned to market demand (e.g. AI and cloud).

Competitive risks

The Company operates in the advanced and predictive analytics software marketplace. Software solutions and offerings are developed by the Company’s ultimate parent, SAS Institute Inc., and are marketed, sold, implemented and supported by SAS Software Limited predominantly within the UK.

The continued expansion of data increases opportunities for value to be delivered to organisations of all sizes in both public and private sectors via business analytics, particularly by predictive analytics tools and solutions. Demand has and will continue to increase for artificial intelligence, fraud, risk management and cloud solutions. Data protection regulations such as GDPR and increasingly complex data landscapes will mean data governance and data quality capabilities will become of increasing importance. Customer choice for how to harness the value from data will continue to grow, as will their choice of commercial options to achieve this.

The growth in opportunities continues to attract new entrants into the business analytics space alongside consolidation within the sector and the Company’s established competitors. Whilst use of open-source technologies continues to grow and demand for ‘good enough’ analytics continues to strengthen, SAS Software Limited remains well placed to compete and succeed with these developments.

As part of the SAS Institute Inc. Group, recognised as the leader in predictive and advanced analytics, the Company has extensive experience, proven solutions and a deep, diverse and loyal customer portfolio. It is committed to continue to invest to grow the Company’s product and solution offerings in critical, established and emerging areas and the commercial options available to access those offerings. The Group continues its innovation by accelerating solutions to Viya 4, modernising our customer base, and improving the performance and scalability of our software. Our partnership with Microsoft, as well as our SAS Cloud and Software-as-a-Service offerings, will continue to play key roles in the Company’s cloud and GTM strategy. Targeted investments will continue to be made to accelerate growth in its other core areas of machine learning, analytics, fraud, risk management, data management and customer intelligence in addition to cloud, Internet of Things and expansions into the mid-market. The Company will continue to expand its reach to the market by extending its relationships with systems integrators, resellers, OEMs and managed analytic service providers. Analysts continue to endorse SAS’ position as a leader in its chosen markets, which increases the Company’s ability to attract and retain a high-quality workforce, supported by the Company’s on-going commitment to strengthen employee engagement.

The Company believes these factors mean they are well placed to continue to compete successfully against its competitors and to profitably grow their market share in its chosen markets.

Legislative risks

The Company operates within a complex and evolving regulatory environment, including data protection, tax and other legal frameworks. The risk arises where changes in legislation or regulatory interpretation are not identified or implemented in a timely and effective manner, which could result in non-compliance, financial penalties, increased tax liabilities, regulatory scrutiny, or reputational damage. The Company mitigates this risk through ongoing monitoring of legislative developments, maintaining robust compliance policies and controls, and leveraging specialist expertise where required, alongside continuing to develop software and consulting solutions that enable both the Company and its customers to respond effectively to regulatory change.

Page 3


SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Principal risks and uncertainties (continued)

Financial risks

The Company is exposed to a number of financial risks through its operations, including credit risk, liquidity risk and cash flow risk. These risks are managed through an established financial management framework, which is designed to ensure that the Company maintains sufficient financial resources to meet its obligations and to mitigate exposure to adverse financial events.

Credit risk

Credit risk arises from the potential that customers may fail to meet their contractual obligations. The Company's exposure to credit risk is primarily in relation to trade receivables.

The Company mitigates this risk through a robust credit control framework, which includes creditworthiness assessments prior to entering into contractual arrangements, the ongoing monitoring of customer payment performance, and defined escalation procedures for overdue balances. The Company maintains a diversified customer base across different industries and sectors, which limits concentration risk. Historically, bad debt experience has been limited and consistent with expectations.

Liquidity risk

Liquidity risk is the risk that the Company may not be able to meet its financial obligations as they fall due. The Company manages liquidity risk by maintaining adequate cash balances and ensuring the availability of sufficient working capital. As at 31 December 2025, the Company held cash balances of £17.5m and operates without material external debt.

A significant proportion of the Company's liabilities relates to deferred software and hosting revenues, which represents revenue invoiced but not yet recognised. These balances do not represent immediate cash outflows and are supported by contracted customer agreements, providing strong visibility of future revenue streams.

Cash flow risk

Cash flow risk arises from the variability in the timing of cash inflows and outflows. The Company manages this risk through detailed cash flow forecasting and regular monitoring of actual performance against budget. The Company benefits from a high level of recurring revenue, supported by strong customer retention rates and contractually committed income, which provides stability and predictability of future cash flows.

In addition, the Company operates under a limited distribution model and is supported by its ultimate parent Company, SAS Institute Inc., which further reduces exposure to volatility in profitability and cash generation. Overall, the Director considers that the Company's exposure to financial risks is appropriately managed and does not give rise to material uncertainty in relation to the Company's financial position or future performance.

Operational risks

This risk relates to the risk of financial loss resulting from internal processes, people and systems. The Company manages this risk through appropriate internal controls, continuous process improvement and management review.

Environmental matters (including energy and carbon reporting)

The SAS global green initiative represents the continuous effort by SAS employees around the world to grow and maintain a successful business without sacrificing our planet's natural resources. Sustainable environmental issues, such as preservation of natural resources, energy efficiency, reuse and recycling are concerns worthy of exploration, careful attention and diligent action. The below is our annual efficiency energy statement supported by our Intensity ratio performance (tCO2e/£m).

Page 4


SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Energy performance

Energy consumed (kWh)
Year	Electricity	Diesel	Petrol	LPG (Propane)	Transport (Grey fleet)	Total kWh
2025	1,629,516	11,376	5,190	740,292	161,050	2,547,424
2024	1,737,902	9,005	5,109	803,544	196,293	2,751,853

Carbon perfomance

Emissions by Scope (tCO2e)
Year	Scope 1	Scope 2 (Location-Based)	Scope 2 (Market-Based)	Scope 3 Category 6 (Grey fleet)	Scope 3 Category 8 (Upstream leased)	Scope 1 + 2 + 3
2025	168	265	-	37	63	533
2024	178	289	-	45	60	572

Intensity Ratio Performance

Year	Total tCO2e	Intensity Metric (£m)	Intensity Ratio (tCO2e/£m)
2025	533	186.4	2.86
2024	572	169.3	3.38

SAS Software Limited’s total emissions across scope 1, 2, and the provided scope 3 categories for the period of Jan 2025 to Dec 2025 amounted to 533 tCO2e which is 7% lower than the emissions for the period of Jan 2024 to Dec 2024. Electricity consumption went from 1,737,902 in 2024 to 1,629,516 in 2025, a 6% decrease. Scope 1 emissions went from 178 in 2024 to 168 in 2025, a 6% decrease. This scope 1 decrease is due to an 8% decrease in LPG consumption. The total emissions reduction can be attributed to SAS’ emission reduction efforts.

SAS’ intensity ratio in 2025 has reduced by 15% compared to 2024. This shows that SAS is producing less carbon emissions per £1,000,000 of turnover compared to 2024.

Measures that we have implemented are:

∙Purchase 100% of our energy for our HQ in Marlow from ‘Green’ energy sources (biomass & wind).

∙Leased office space occupied is on Green energy tariffs.

∙During 2025 we have continued to replace the dated internal lights across the Marlow campus with LED Lamps, removing switches and replacing with PIR/sensors where possible.

∙During 2025 we have continued to replace dated external lighting across the Marlow campus with LED bulbs or solar lighting.

∙Communal recycling facilities throughout all UKI office spaces

∙Eliminated disposable coffee cups and lids at Marlow HQ with porcelain mugs, to further reduce waste.

∙Provide staff with EV charging facilities for electric vehicles at our Marlow HQ to encourage the uptake of electric vehicles amongst employees who commute to work.

∙Introduction of new robot mowers to help reduce diesel usage from landscaping operations

∙Photo voltaic panels are installed onto main building at Marlow HQ and we continue to monitor the energy being generated.

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SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Section 172 statement

Section 172(1) of the 2006 Companies Act requires that a Director of a Company must act in a way he/she considers, in good faith, would be the most likely to promote the success of the Company for the benefit of its members as a whole and in so doing have regard to the following factors:

∙The likely consequences of any decision in the long term;

∙The interests of Company's employees;

∙The need to foster the Company's business relationships with suppliers, customers and others;

∙The impact of the Company's operations on the community and the environment;

∙The desirability of the Company maintaining a reputation for high standards of business conduct; and

∙The need to act fairly as between members of the Company.

The strategic and operational plans of the business are developed by the Director with input from the shareholders. The Director obtains both financial and operational input from the wider management team in order to inform the decisions which are made. The Director takes a prudent and long term approach to decision making, ensuring risks are minimised and value is created over the long term.

The following summarises the actions taken by the Board during the year:

1. Interests of employees

The Company has an on-going commitment to strengthen employee engagement by regularly seeking employee engagement and manager feedback to drive continuous improvements.

The Company is committed to providing its employees with equal opportunities in a workplace free from discrimination. Recruitment, selection and career development are based on competence and job requirements, irrespective of race, sex, sexual orientation, religion or disability. SAS has demonstrated its strong commitment to diversity and inclusion by participating in the CEO Action for Diversity and Inclusion, which is the largest CEO driven business commitment to advance diversity and inclusion in the workplace. The Group publishes gender pay gap and diversity information on its website.

The Company gives full consideration to applications for employment from disabled persons where a handicapped or disabled person can adequately fulfil the requirements of the job. Where existing employees become disabled it is the Company's policy wherever practicable to provide continuing employment under normal terms and conditions and to provide training and career development and promotion to disabled persons wherever appropriate.

Details of the Company’s approach to employee engagement can be found in the Director’s Report on page 9.

2. Business relationships

SAS values its’ supply network, therefore it is imperative that strong and reliable relationships are maintained. The Company endeavours to meet all of its payment obligations as they fall due. Supplier payment practices reporting for the period July – December 2025 shows an average time to pay of 33 days (2024: 18 days), with the increase monitored as part of ongoing working capital management. Annual supplier reviews are carried out to ensure that we continue to work with the best suppliers, that align to SAS’ values and meet our strict due diligence criteria.

The Company maintains strong relationships with customers through regular engagement, events and ongoing support. Supplier relationships are actively managed through structured reviews, direct engagement and performance feedback processes to ensure alignment with Company standards and expectations.

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SAS SOFTWARE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Section 172 statement (continued)

3. Impact on community and environment

The Company seeks to minimise the environmental impact of its operations and to operate in a sustainable and responsible manner. Further details on environmental performance, including energy consumption and emissions, are set out in the Environmental matters section of the Strategic Report.

We host a number of activities where we give back to the community, including:

∙Hosting local events on the grounds of our Marlow HQ estate.

∙Providing use of our cricket grounds to our local cricket team.

∙Involvement in STEM education (science, technology, engineering and mathematics), supporting skills development in local communities.

∙Continuation of the SAS STEP programme which offers free data analytics training to support the re-skilling of workers in the UK impacted by the Covid-19 pandemic.

∙Charitable giving.

∙Employee volunteering in the local community.

∙

4. Maintain reputation for high standards

The Company strives to maintain its reputation for high standards and all employees are encouraged and expected to represent the Company in this way. The Company maintains an ISO 270001 certification for its Information Security Management. All employees are required to undertake mandatory training on areas such as Anti Money Laundering, Antibribery and Corruption, and Information Security to ensure that they are aligned to the Company's procedures.

5. Act fairly between members of the Company

The Company is owned by its Parent company, SAS Institute Inc., who is responsible for ensuring that the group act fairly between members. The Group Board meets regularly to ratify strategic decisions relating to the wider SAS Group, with due consideration given to the impact on the UK entity and the ultimate members of the Group.

6. Likely consequence of any decisions in the long term

The Company operates under a limited distribution model and therefore is not responsible for strategic decision making. Local operational decisions are made at the Company level however strategic long-term decisions are made for the Group by the parent company.

This report was approved by the board on 3 August 2026 and signed on its behalf by.

David B. Keim

Director
Wittington House
Henley Road
Medmenham
Marlow
Buckinghamshire
SL7 2EB

Page 7


SAS SOFTWARE LIMITED

DIRECTOR'S REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

The Director presents his report and the financial statements for the year ended 31 December 2025.

Results and dividends

The profit for the year, after taxation, amounted to £4,375,240 (2024: £5,010,077). Revenue for the year amounted to £186,426,919 (2024: £169,323,302).

The Director does not recommend payment of a final dividend for the year 31 December 2025 (2024: £Nil).

Going concern

The Company's business activities, together with the factors likely to affect its future development, its financial position and its exposure to competitive and legislative risks are described in the review of the Strategic Report on pages 1 to 7.

In assessing the going concern position of the Company, the Director has reviewed the financial performance of the business, its financial strength at the year end and future expected activities. Details of this assessment are set out below:

The Company has considerable financial resources together with long-term contracts with a number of customers across different geographical areas and industries. It is free of material long-term debt and owns the freehold of its headquarters set in 110 acres in Medmenham, Bucks. As at 31 December 2025, the Company held cash balances of £17.5m (2024: £31.6m) and continues to generate positive operating profits, with revenue of £186.4m (2024: £169.3m) and profit before tax of £6.6m (2024: £6.4m) in the year.

The "quick ratio" of the Company (current assets as a percentage of current liabilities) has increased to 530% (2024: 441%), primarily reflecting the increase in trade receivables balances at the year end and the continued strength of the Company’s current asset position relative to its current liabilities. These balances do not represent immediate cash obligations and are supported by contracted revenues which will be recognised in future periods. The Directors have therefore considered this reduction and concluded that it does not indicate a deterioration in the Company’s underlying liquidity position.

The statement of financial position includes significant deferred income balances, which are underpinned by committed customer contracts, providing strong revenue visibility. In addition, the Company’s freehold property is held at historic cost and is expected to have a market value in excess of its carrying value, providing a further source of financial flexibility if required.

The Company operates under a limited distribution model and is supported by its ultimate parent company, SAS Institute Inc., which guarantees a fixed margin. In assessing going concern, the Director has considered the financial position of the wider SAS Group, including discussions with Group finance and a review of the Group’s financial performance and cash resources, and have no reason to believe that this support will not continue.

The Director has prepared detailed budgets and cash flow forecasts covering a period of at least 12 months from the date of approval of these financial statements. These forecasts have been reviewed alongside reasonable downside sensitivities, including the impact of potential reductions in revenue growth and increases in operating costs.

Having considered the Company’s strong customer base and revenue retention, contracted future revenues, absence of external debt, available cash resources, and continued support from the wider SAS Group, the Director is satisfied that the Company has adequate resources to meet its liabilities as they fall due.

After making enquiries, the Director has a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, he continues to adopt the going concern basis in preparing the report and financial statements.

Page 8

SAS SOFTWARE LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Director

The Directors who served during the year were:

David B. Keim (appointed 30 June 2025)

William D. Davis (resigned 30 June 2025)

Director's indemnity insurance

The Company's parent has granted an indemnity to the Company's Director against liability in respect of proceedings brought by third parties, subject to the conditions set out in the Companies Act 2006. Such qualifying third-party indemnity provision remains in force as at the date of approving the Director's Report.

Political and charitable contributions

During the year the Company made contributions totalling £Nil (2024: £78,791) to registered charities. No political contributions were made during the year (2024: £Nil).

Employee involvement

During the year the policy of providing employees with information about the Company has continued through the 'Inside SAS' Intranet site in which employees have been encouraged to present their suggestions and views on the Company's performance. A weekly communication ‘The weekly wrap’ is issued to all staff providing corporate updates from each area of the business.

Regular ‘All Hands’ meetings between local senior management and employees are held provide information and updates and are supported by regular written, audio and audio visual communications to update staff on Company news and progress.

Employee forums are open to all staff to participate in and are held regularly to review and make recommendations in regard to the Company's policies and practices whilst all managers in the business are encouraged to hold regular meetings with their staff on a one to one and whole team basis. In addition, the Company’s People Charter outlines expected behaviours and approaches all employees in relation to supporting the Company to meet its goals.

Monthly management meetings are held by all functional heads to facilitate a formal review of activities and exchange of ideas across the business. These are informed and supported by strategic quarterly business reviews.

Employees participate directly in the success of the business through the Company's annual bonus scheme.

Disabled employees

Applications for employment by disabled persons are always fully considered, bearing in mind the abilities of the applicant concerned. In the event of members of staff becoming disabled every effort is made to ensure that their employment with the Company continues and that appropriate training is arranged. It is the policy of the Company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Diversity

The Company operates in increasingly diverse communities and draws colleagues from different ethnic backgrounds, faiths and orientations. We seek to improve the diversity at all levels in the Company and consider it important that we reflect the diversity of the community and people we serve.

Page 9

SAS SOFTWARE LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Environmental matters

The Company is committed to minimising the environmental impact of its operations and to supporting the sustainability objectives of the wider SAS Group.

The Company continues to implement initiatives to improve energy efficiency and reduce emissions across its operations. These include the use of renewable energy sources at its UK headquarters, investment in energy-efficient infrastructure such as LED lighting and sensor-based systems, and the installation of electric vehicle charging points to support lower-emission commuting.

The Company also promotes responsible resource usage through recycling initiatives and sustainable workplace practices.

Further details on the Company’s environmental performance, including energy consumption and emissions metrics, are set out in the Strategic Report.

Future developments

The rapid growth in data and advancement of technology to broaden the ways in which it is accessed and utilised will only increase the use of business and predictive analytics tools and solutions across all sectors. To succeed, organisations must find innovative ways to put analytics into action and unlock the value from their data. This plays to the core strengths of SAS Software Limited whose broad breadth and depth of advanced and predictive analytics solutions, data management and data visualisation offerings provides a complete analytics environment to do this. With continuing committed investment from SAS Software Limited’s parent company, SAS Institute Inc., from enhanced cloud and analytics as a service options to new industry solutions, throughout 2026 the Company will be unveiling more ways to help customers and prospects in its chosen markets.

Alongside consolidating offerings to market the Company will continue to invest strongly in broadening its ecosystem to offer more options for implementing SAS software, continue to increase the options available for how analytics is delivered, to further strengthen its expertise across domains and to work closely with its customer base to ensure its innovation continues towards solving significant business needs.

The business continues to review its continuity of business plans to ensure that all critical operations remain current, and the business can effectively meet the requirements of its stakeholders.

Research and development activities

The Company has undertaken significant investment in research and development, with £17.9m spent in the year ended 31 December 2025 (2024: £14.1m). The research and development function have continued to innovate and develop new products and solutions that are appropriate to the marketplace and to broaden its product footprint.

Subsequent events

There have been no significant events affecting the Company since the reporting date.

Page 10

SAS SOFTWARE LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Director's Responsibilities Statement

The Director is responsible for preparing the Strategic Report, the Director's Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 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 Director is required to:

∙select suitable accounting policies and then apply them consistently;

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

∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

∙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 transactions and disclose with reasonable accuracy at any time the financial position of the Company 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditor

The Director at the time when this Director's Report is approved has confirmed that:

∙so far as he is aware, there is no relevant audit information of which the Company's auditor is unaware; and

∙he has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.

Strategic Report

The Company has chosen in accordance with the Companies Act 2006, section 414C(11) to set out in the Company's Strategic Report information in respect of Financial Risk and Streamlined Energy and Carbon Reporting required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Schedule 7 to be contained in the Director's Report.

Auditor

The auditor, BDO LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 11

SAS SOFTWARE LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

This report was approved by the board on 3 August 2026 and signed on its behalf by.

David B. Keim

Director
Wittington House
Henley Road
Medmenham
Marlow
Buckinghamshire
SL7 2EB

Page 12


SAS SOFTWARE LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SAS SOFTWARE LIMITED

Opinion

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.

We have audited the financial statements of SAS Software Limited (“the Company”) for the year ended 31 December 2025 which comprise of the following:

∙Statement of Comprehensive Income

∙Statement of Financial Position

∙Statement of Changes in Equity

∙Statement of Cash Flows

∙Notes (1 to 24) to the financial statements

∙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).

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’s responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

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.

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 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. However, because not all future events or conditions can be predicted, this statement is not a guarantee as to the Company's ability to continue as a going concern.

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

Page 13

SAS SOFTWARE LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SAS SOFTWARE LIMITED (CONTINUED)

Other information

The Director is responsible for the other information. The other information comprises the information included in the Annual Report and Financial Statements, other than the financial statements and our auditor’s report 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.

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 course of 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.

Other Companies Act 2006 reporting

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

∙the information given in the Strategic Report and the Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Director's Report.

We have nothing to report in respect of the following matters in relation to which 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 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 Director's Report, 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 is 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 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 Company or to cease operations, or have no realistic alternative but to do so.

Page 14

SAS SOFTWARE LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SAS SOFTWARE LIMITED (CONTINUED)

Auditor's 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 an auditor’s report 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. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the Company and management.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Non-compliance with laws and regulations

Based on:

∙Our understanding of the Company and the industry in which it operates;

∙Discussion with management and those charged with governance; and

∙Obtaining an understanding of the Company’s policies and procedures regarding compliance with laws and regulations.

We considered the significant laws and regulations to be Companies Act 2006, 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) and relevant tax legislation.

The Company is also subject to laws and regulations where the consequence of non-compliance could have a material effect on the amount or disclosures in the financial statements, for example through the imposition of fines or litigations. We identified such laws and regulations to be employment laws, health and safety legislation and pension regulations.

Our procedures in respect of the above included:

∙Enquires of management whether there were any litigations and claims;

∙Review of correspondence with regulatory and tax authorities for any instances of non-compliance with laws and regulations;

∙Review of financial statement disclosures and agreeing to supporting documentation; and

∙Review of legal expenditure accounts to understand the nature of expenditure incurred.

Page 15

SAS SOFTWARE LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SAS SOFTWARE LIMITED (CONTINUED)

Auditor's responsibilities for the audit of the financial statements (continued)

Fraud

We assessed the susceptibility of the financial statements to material misstatement, including fraud.

Our risk assessment procedures included:

∙Enquiry with management and those charged with governance regarding any known or suspected instances of fraud;

∙Obtaining an understanding of the Company’s policies and procedures relating to:
o Detecting and responding to the risks of fraud; and
o Internal controls established to mitigate risks related to fraud.

∙Discussion amongst the engagement team as to how and where fraud might occur in the financial statements;

∙Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; and

∙Considering remuneration incentive schemes and performance targets and the related financial statement areas impacted by these.

Based on our risk assessment, we considered the areas most susceptible to fraud to be the following:

∙Management override of controls: Management are in a unique position to influence the results of the Company through direct intervention utilising journal entries, or through the manipulation of key judgements and estimates used to develop certain financial account balances. Therefore, in common with all audits under ISAs (UK) we are required to perform specific procedures to respond to the risk of management override

∙Revenue recognition: The Company operates under multi-year long-term contractual arrangements with customers, where the recognition of revenue can vary depending on the services provided and the status of individual projects. Management are required to make certain estimates and judgements concern the recognition and deferral of revenues which increases the risk of fraud and error.

Our procedures in respect of the above included:

∙Testing the appropriateness of journal entries recorded throughout the year which met defined risk criteria, and agreeing the selected sample to supporting documentation while evaluating the associated business rationale;

∙Assessing significant estimates and judgements made by management for bias including those related to deferred revenue. Our procedures included an assessment of the key judgements and estimates developed by management to ensure these are supported by appropriate business rationale, underlying documentation and calculations, historical practices and market conditions;

∙Testing a sample of revenue transactions and agreeing the amounts recorded in the period to underlying contractual terms and delivery milestones. Where revenue is recognised over a service period or on a percentage complete basis, we have ensured the revenue recognised aligns with the service delivered or the status of an individual contract when compared to its budget or delivery milestones.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members who were all deemed to have appropriate competence and capabilities and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

Page 16

SAS SOFTWARE LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF SAS SOFTWARE LIMITED (CONTINUED)

Auditor's responsibilities for the audit of the financial statements (continued)

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities is available on the Financial Reporting Council's website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's Report.

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 an Auditor's Report 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.

Steven Ringham (Senior Statutory Auditor)

For and on behalf of BDO LLP, Statutory Auditor
Reading, UK

3 August 2026

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

Page 17


SAS SOFTWARE LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2025

	2025	2024
Note	£	£


Revenue	4	186,426,919	169,323,302
Cost of sales		(92,866,622)	(77,168,411)
Gross profit		93,560,297	92,154,891
Administrative expenses		(89,283,086)	(87,744,675)
Other operating income	5	2,277,991	1,864,492
Operating profit	6	6,555,202	6,274,708
Interest receivable and similar income	10	-	148,855
Profit before tax		6,555,202	6,423,563
Tax on profit	11	(2,179,962)	(1,413,486)
Profit after tax and total comprehensive income for the year		4,375,240	5,010,077

There were no items of other comprehensive income for 2025 (2024: £Nil).

All amounts related to continuing activities.

The notes on pages 22 to 39 form part of these financial statements.

Page 18


SAS SOFTWARE LIMITED REGISTERED NUMBER:01316437

STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2025

		2025		2024
Note		£		£

Fixed assets
Tangible fixed assets	12		18,870,740		19,497,579
Current assets
Debtors: amounts falling due within one year	13	196,161,070		149,509,152
Cash at bank and in hand		17,549,737		31,619,018
		213,710,807		181,128,170
Creditors: amounts falling due within one year	14	(40,338,549)		(41,113,359)
Net current assets			173,372,258		140,014,811
Total assets less current liabilities			192,242,998		159,512,390
Provisions for liabilities
Deferred tax	16		(1,472,552)		(1,270,577)

Accruals and deferred income	17		(165,192,905)		(137,039,512)
Net assets			25,577,541		21,202,301

Capital and reserves
Called up share capital	18	1,000	1,000
Profit and loss account		25,576,541	21,201,301
Total capital and reserves		25,577,541	21,202,301

The financial statements were approved and authorised for issue by the board and were signed on its behalf by.

David B. Keim

Director

Date: 3 August 2026

The notes on pages 22 to 39 form part of these financial statements.

Page 19


SAS SOFTWARE LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2025

	Called up share capital	Profit and loss account	Total capital and reserves
	£	£	£
At 1 January 2024	1,000	16,191,224	16,192,224
Comprehensive income for the year
Profit for the year	-	5,010,077	5,010,077
Total comprehensive income for the year	-	5,010,077	5,010,077

At 1 January 2025	1,000	21,201,301	21,202,301
Comprehensive income for the year
Profit for the year	-	4,375,240	4,375,240
Total comprehensive income for the year	-	4,375,240	4,375,240
At 31 December 2025	1,000	25,576,541	25,577,541

Page 20


SAS SOFTWARE LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	4,375,240	5,010,077
Adjustments for:
Depreciation of fixed tangible assets	1,422,400	2,150,929
Loss on disposal of fixed tangible assets	10,902	291
Research and development credit	(1,384,290)	(1,159,844)
Interest received	-	(148,855)
Taxation charge	2,179,962	1,413,486
Increase in debtors	(46,065,617)	(35,723,908)
(Decrease)/increase in creditors	(774,810)	23,094,732
Corporation tax paid	(1,180,000)	-
Increase in accruals and deferred income	28,153,395	7,765,830
Net cash generated from operating activities	(13,262,818)	2,402,738


Cash flows from investing activities
Purchase of tangible fixed assets	(806,463)	(484,984)
Interest received	-	148,855
Net cash used in investing activities	(806,463)	(336,129)

Net (decrease)/increase in cash and cash equivalents	(14,069,281)	2,066,609
Cash and cash equivalents at beginning of year	31,619,018	29,552,409
Cash and cash equivalents at the end of year	17,549,737	31,619,018

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	17,549,737	31,619,018

The notes on pages 22 to 39 form part of these financial statements.

Page 21


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

1.	General information

The Company is a private company, limited by shares incorporated and domiciled in England and Wales. Its registered office is Wittington House, Henley Road, Medmenham, Marlow, Buckinghamshire, SL7 2EB.

The principal activity of the Company during the year was to licence software to business customers, typically on an annual basis and to provide professional services, most notably consultancy and training to support the installation, adoption and use of the software licensed.

2.Accounting policies

The principal accounting policies applied are described below:

2.1

Basis of preparation of financial statements

These individual entity financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 (FRS 102), the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland and the Companies Act 2006.

The presentation currency is pounds sterling and monetary amounts in these financial statements are rounded to the nearest £1.

This preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

Going concern

The Company's business activities, together with the factors likely to affect its future development, its financial position and its exposure to competitive and legislative risks are described in the review of the Strategic Report on pages 1 to 7

In assessing the going concern position of the Company, the Director has reviewed the financial performance of the business, its financial strength at the year end and future expected activities. Details of this assessment are set out below:

The "quick ratio" of the Company (current assets as a percentage of current liabilities) has increased to 530% (2024: 441%), primarily reflecting the increase in trade receivables balances at the year end and the continued strength of the Company’s current asset position relative to its current liabilities. These balances do not represent immediate cash obligations and are supported by contracted revenues which will be recognised in future periods. The Directors have therefore considered this reduction and concluded that it does not indicate a deterioration in the Company’s underlying liquidity position.

Page 22


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.1

Basis of preparation of financial statements (continued)

Going concern (continued)

The Company operates under a limited distribution model and is supported by its ultimate parent company, SAS Institute Inc., which guarantees a fixed margin. In assessing going concern, the Director has considered the financial position of the wider SAS Group, including discussions with Group finance and a review of the Group’s financial performance and cash resources, and have no reason to believe that this support will not continue.

2.2

Foreign currency translation

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

2.3

Revenue

The Company generates revenue from the licensing of software, together with the provision of associated services, including consultancy, training and hosting services.

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

Page 23


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.3

Revenue (continued)

Software licence and hosting revenue

Revenue from software licences and hosting arrangements is recognised over the contractual term of the agreement on a straight-line basis, reflecting the continuous transfer of services to the customer. Amounts invoiced in advance of the service delivery period are deferred and recognised as revenue over the period to which they relate.

Consulting and training revenue

Revenue from fixed price consulting services is recognised based on the stage of completion of the contract, determined by reference to costs incurred as a proportion of total expected costs or by achievement of contractual milestones. Time and materials contracts are recognised as services are delivered.

Revenue from premium customer support subscriptions is recognised over the subscription period on a straight-line basis, as the customer receives and consumes the support services throughout the term of the arrangement. Amounts invoiced in advance are deferred and recognised as revenue over the period to which the support services relate.

Revenue from training subscriptions is recognised over the subscription period where the customer has ongoing access to training services or materials during that period. Where revenue relates to a specific training course or session, it is recognised on completion of that course or session.

2.4

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

2.5

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payments obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

Page 24


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.6

Operating leases: lessee

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

The buildings leases entail rent free incentives and the lease expense has been reduced on a straight-line basis over the entire term of the lease.

2.7

Other operating income

Other operating income is recognised in profit or loss and includes staff costs recharged to other group companies on a cost plus mark-up basis.

Other operating income also includes tax credits receivable as the result of carrying out qualifying research and development activity.

2.8

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The entity is within the scope of the OECD Pillar Two model rules. Pillar Two legislation was enacted in the United Kingdom the jurisdiction in which the entity is incorporated and came into effect from 1 January 2024.

Under the legislation, the Group is liable to pay a top-up tax in the UK for the difference between the GloBE effective tax rate for each jurisdiction and the 15% minimum rate. In addition, top-up taxes are payable locally where qualifying domestic minimum top-up taxes have been legislated and are in effect.

Page 25


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.9

Current and deferred taxation (continued)

The management of the ultimate parent company, SAS Institute Inc, has assessed the potential impact of the OECD Pillar Two Global Anti-Base Erosion (GloBE) Model Rules on the wider SAS Group. SAS Institute Inc has qualified for the safe harbour provisions as outlined in OECD guidance for the relevant reporting periods in all material jurisdictions. This assessment is supported by quantitative modelling previously performed by Deloitte using 2022 data, which remains relevant based on the Group’s current operating profile. The Director of the company and the management of SAS Institute Inc have considered whether there have been any significant changes to the Group’s structure, geographic footprint or applicable tax rates since that modelling was performed, and have concluded that no material changes have arisen that would impact the assessment for the year ended 31 December 2025.

The company, along with the Management of SAS Institute Inc will continue to monitor developments in legislation and reassess this conclusion if changes in the Group’s operations or tax environment occur.

There were no other factors that may affect future tax charges.

2.10

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following bases:

Freehold property	-	10-40 years straight line
Plant and machinery	-	10% straight line
Motor vehicles	-	25% straight line
Fixtures and fittings	-	10% straight line
Equipment and furniture	-	10% straight line
Technical equipment	-	33% straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised within 'administrative expenses' in profit or loss.

Page 26


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.11

Impairment of fixed assets

Assets that are subject to depreciation or amortisation are assessed at each reporting date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows. Non-financial assets that have been previously impaired are reviewed at each reporting date to assess whether there is an indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

2.12

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.13

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the reporting date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the reporting date.

2.14

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument.

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

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due within the operating cycle fall into this category of financial instruments.

Page 27


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.14

Financial instruments (continued)

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

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

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

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

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Page 28


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

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.

In preparing these financial statements, the Director has made the following judgements:

∙Determine whether there are indicators of impairment of the Company's tangible assets. Factors considered in making this assessment include the economic viability of the assets, expected future financial performance, changes in market conditions and, where relevant, comparison of the carrying value of assets to their estimated open market value. No indicators of impairment were identified during the year and therefore no impairment charges have been recognised in the financial statements.

Other key sources of estimation uncertainty:

∙Tangible fixed assets (see note 12)

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.

∙Trade debtors (see note 13)

Trade debtors are reviewed for impairment loss on an annual basis and provision made for any balances where there is uncertainty against the recoverability of the balance. This methodology is applied on a customer by customer basis.

Revenue

Revenue is stated net of Value Added Tax, and represents revenues that can be recognised. These include software licence fees for elapsed terms, hosting, consulting and training revenues for the value of services provided.

The Company's revenue was derived from its principal continuing activities.

Analysis of revenue by country of destination:

					2025	2024
					£	£

United Kingdom	184,211,199	166,420,427
Rest of Europe	1,756,661	2,875,007
USA	430,594	-
Rest of World	28,465	27,868
	186,426,919	169,323,302

Page 29


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

5.	Other operating income
		2025	2024
		£	£

Amounts recharged to other group companies	18,767,718	14,797,620
Less staff costs (note 8)	(17,874,017)	(14,092,971)
Research and development tax credit	1,384,290	1,159,843
	2,277,991	1,864,492

Research and development expense	17,874,017	14,092,971
Depreciation of tangible fixed assets owned by company	1,422,400	2,150,929
Operating lease rentals	1,287,039	1,412,772
Loss on sale of tangible fixed assets	10,902	291
Exchange differences	846,389	366,811
Other gain	-	(637)

7.	Auditor's remuneration
		2025	2024
		£	£

	Fees payable to the Company's auditor and its associates in respect of:
	Audit of Company's annual accounts	145,000	147,500

Page 30


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Wages and salaries	81,940,206	76,053,389
Social security costs	11,097,215	9,127,854
Cost of defined contribution pension scheme	5,357,441	4,995,562
	98,394,862	90,176,805

The average monthly number of employees, including the Director, during the year was as follows:

	2025	2024
	No.	No.

Management	33	54
Administration	138	126
Sales, education and support	585	541

	756	721

During 2025, £17,874,017 (2024: £14,092,971) of research and development staff costs (included above), were recharged on a cost plus basis to the ultimate parent company SAS Institute Inc. (note 5).

9.	Director's remuneration
	The Director of the Company is also a Director or officer of other subsidiaries within the SAS Institute Inc. Group. The Director's service to the Company did not occupy a significant amount of his time. As such the Director did not receive any remuneration for his incidental services to the Company during the current or preceding year.

10.	Interest receivable and similar income
		2025	2024
		£	£

Bank interest receivable

148,855

Page 31


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Corporation tax
Current tax on profits for the year	1,747,967	1,680,843
Adjustments in respect of previous periods	230,020	(79,950)

Total current tax	1,977,987	1,600,893

Deferred tax
Origination and reversal of timing differences	201,975	(187,407)
Total deferred tax	201,975	(187,407)


	Tax on profit	2,179,962	1,413,486

Factors affecting tax charge for the year The tax assessed for the year is higher than (2024: lower than) the standard rate of corporation tax in the UK of25% (2024: 25%). The differences are explained below:
	2025	2024
	£	£

Profit on ordinary activities before tax

6,555,202

6,423,563

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024: 25%)	1,638,801	1,605,890
Effects of:
Expenses not deductible for tax purposes	177,214	37,012
Differences between capital allowances and depreciation	129,720	181,743
Adjustments to tax charge in respect of prior periods	230,020	(79,950)
Other short term timing differences	4,207	(331,209)
Total tax charge for the year	2,179,962	1,413,486

Page 32


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

11.Tax on profit (continued)

Factors that may affect future tax charges

Deferred tax balances have been measured at 25%, being the enacted UK corporation tax rate applicable to future periods at the Statement of Financial Position date.

Pillar 2

The management of the ultimate parent company, SAS Institute Inc, has assessed the potential impact of the OECD Pillar Two Global Anti-Base Erosion (GloBE) Model Rules on the wider SAS Group. SAS Institute Inc has qualified for the safe harbour provisions as outlined in OECD guidance for the relevant reporting periods in all material jurisdictions. This assessment is supported by quantitative modelling previously performed by Deloitte using 2022 data, which remains relevant based on the Group’s current operating profile. The Director of the company and the management of SAS Institute Inc have considered whether there have been any significant changes to the Group’s structure, geographic footprint or applicable tax rates since that modelling was performed, and have concluded that no material changes have arisen that would impact the assessment for the year ended 31 December 2025.

The company, along with the Management of SAS Institute Inc will continue to monitor developments in legislation and reassess this conclusion if changes in the Group’s operations or tax environment occur.

There were no other factors that may affect future tax charges.

Page 33


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

12.	Tangible fixed assets

	Freehold property	Plant and machinery	Motor vehicles	Fixtures and fittings	Equipment and furniture	Technical Equipment	Total
	£	£	£	£	£	£	£
Cost
At 1 January 2025	30,918,822	2,624,044	70,315	6,466,061	2,453,772	4,348,732	46,881,746
Additions	27,659	-	-	-	7,195	771,609	806,463
Disposals	-	-	-	-	(2,178)	(733,930)	(736,108)
At 31 December 2025	30,946,481	2,624,044	70,315	6,466,061	2,458,789	4,386,411	46,952,101
Depreciation
At 1 January 2025	13,179,484	2,447,377	70,315	5,829,115	2,259,285	3,598,591	27,384,167
Charge for the year	727,410	49,654	-	107,418	61,352	476,566	1,422,400
Disposals	-	-	-	-	(2,178)	(723,028)	(725,206)
At 31 December 2025	13,906,894	2,497,031	70,315	5,936,533	2,318,459	3,352,129	28,081,361
Net book value
At 31 December 2025	17,039,587	127,013	-	529,528	140,330	1,034,282	18,870,740
At 31 December 2024	17,739,338	176,667	-	636,946	194,487	750,141	19,497,579

Page 34


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.	Debtors: amounts falling due within one year

					2025	2024
					£	£


Trade debtors	131,091,155	77,320,785
Amounts owed by group undertakings	53,286	11,137,979
Corporation tax	2,225,527	1,639,226
Prepayments and accrued income	62,791,102	59,411,162
	196,161,070	149,509,152

Trade debtors are stated after provisions for impairment of £495,469 (2024: £854,204).

Amounts owed by group undertakings are non-interest bearing, unsecured and repayable on demand.

14.	Creditors: amounts falling due within one year
		2025	2024
		£	£

Trade creditors	8,474,703	1,459,361
Amounts owed to group undertakings	12,806,272	20,834,320
Other taxation and social security	19,057,574	18,819,678
	40,338,549	41,113,359

Included within amounts owed to group undertakings is a loan note of £Nil (2024: £3,319,898). This bears interest at a rate of 3.3% (2024: 3.3%) is unsecured and repayable on demand.

All remaining amounts owed by group undertakings are interest free, unsecured and repayable on demand.

Page 35


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

15.	Financial instruments
		2025	2024
		£	£

Financial assets
Financial assets that are cash and cash equivalents	17,549,737	31,619,018
Financial assets that are debt instruments measured at amortised cost	131,144,441	88,458,764
	148,694,178	120,077,782

	Financial liabilities
	Financial liabilities measured at amortised cost	(21,280,975)	(38,237,875)

	Financial assets measured at amortised cost comprise trade debtors and amounts owed by group undertakings.
	Financial liabilities measured at amortised cost comprise trade creditors, amounts owed to group undertakings and accruals.

16.	Deferred taxation

	2025	2024
	£	£

At 1 January	(1,270,577)	(1,457,984)
(Charged)/credited to profit or loss	(201,975)	187,407
At 31 December	(1,472,552)	(1,270,577)

The deferred tax assessed for the year is at the standard rate of deferred tax in the UK of 25% (2024: 25%).

The provision for deferred taxation is made up as follows:
	2025	2024
	£	£

Accelerated capital allowances

(1,472,552)

(1,270,577)

Page 36


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

17.	Accruals and deferred income
		2025	2024
		£	£


Accruals	19,828,057	15,944,195
Deferred income	145,364,848	121,095,317
	165,192,905	137,039,512

Included within the amounts disclosed above is £220,623 of deferred income which will be recognised as revenue in greater than one year (2024: £274,786). All remaining deferred income and accruals amounts are recognisable within the next 12 months.

18.	Called up share capital
		2025	2024
		£	£

Allotted, called up and fully paid

1,000 (2024: 1,000) Ordinary shares of £1 each	1,000	1,000

There is a single class of ordinary shares. There are no restrictions on dividends and the repayment of capital.

19.	Pension commitments

The Company operates a defined contribution pension scheme. The assets of the scheme are held separately from the Company in an independently administered fund. The pension costs charged to profit or loss of £5,357,441 (2024: £4,995,562) represent contributions payable by the Company to the fund during the year. Contributions totalling £Nil (2024: £861,187) were payable to the fund at the reporting date and are included in accruals and deferred income.

Page 37


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Not later than 1 year	998,335	1,000,157
Later than 1 year and not later than 5 years	1,663,321	2,661,656
	2,661,656	3,661,813

The committed operating leases above relate entirely to leased office spaces.

Other commitments

During the year, the Company entered into a material multi-year commercial sponsorship agreement with Liverpool Football Club, for a total committed cost of £34m over 5 years. At 31 December 2025, the remaining contractual commitment under this agreement is approximately £27.6m, payable over the remaining term of the contract.

21.	Related party transactions
	The Company has taken advantage of the exemption conferred by FRS 102 Section 33 ''Related Party Disclosures'' not to disclose transactions with members of the SAS Institute Inc. Group on the grounds that 100% of the voting rights in the Company are controlled within that Group and the Company is included in the consolidated financial statements.

22.	Subsequent events

There have been no significant events affecting the Company since the reporting date.

23.	Analysis of net funds

		At 1 January 2025	Cash flows	At 31 December 2025
		£	£	£

	Cash at bank and in hand	31,619,018	(14,069,281)	17,549,737
		31,619,018	(14,069,281)	17,549,737

Page 38


SAS SOFTWARE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

24.	Ultimate parent undertaking and controlling party

The Director regards SAS Institute A/S, incorporated in Denmark, as the immediate parent undertaking and the smallest Group which prepares consolidated financial statements that include the Company. The registered office address of SAS Institute A/S is Havneholmen 8, 2450 København SV, Denmark.

The Director regards SAS Institute Inc., incorporated in North Carolina, United States of America, as the ultimate parent undertaking and the largest Group which prepares consolidated financial statements that include the Company. Copies of consolidated financial statements of SAS Institute Inc. are kept at: SAS Institute Inc., 100 SAS Campus Drive, Cary, North Carolina 27513, United States of America.

In the Director's opinion, the Company's controlling party is J H Goodnight, who owns or controls, directly or indirectly, 61.5% of shares in SAS Institute Inc.

Page 39