These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Haltech UK Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 1, Lower Keys Business Park, Keys Park Road, Hednesford, Staffordshire, WS12 2FS. The company registration number is 12070536.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

These financial statements for the year ended 31 December 2024 are the first financial statements of Haltech UK Limited prepared in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland. The date of transition to FRS 102 was 1 January 2023. The transition to FRS 102 has not affected the reported financial position nor financial performance.

The Company's net current liabilities at 31 December 2024 amounted to £37,799. The directors have received a commitment in writing from its immediate parent company to provide financial support to the Company, if required, for a period of at least 12 months from the approval of the financial statements to enable it to meet its liabilities as and when they fall due throughout this period.

Based on the confirmation of support received from its immediate parent company, at the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Revenue comprises sales of goods provided to customers net of value added tax and other sales taxes, less deduction for returns and discounts. Revenue is recognised when performance obligations are satisfied and the control of goods or services is transferred to the buyer. Where the performance obligation is satisfied over time, revenue is recognised in accordance with its progress towards complete satisfaction of that performance obligation.

Revenue from the sale of car parts are recognised when goods are dispatched to a customer or the customer collects the goods on the basis that the Company no longer has control over the goods sold, the amount can be measured reliably, it is probable the Company will receive consideration and costs incurred in respect of the transaction can be measured reliably.

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any 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

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Cost is based on the cost of purchase on a first in first out basis.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to sell. The impairment loss is immediately recognised in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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.

Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest method. Loans and borrowings that are receivable within one year are not discounted. If an arrangement constitutes a finance transaction it is measured at present value of future payments discounted at a market rate of interest for a similar loan.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. Amounts not paid at the balance sheet date are shown in other creditors as a liability in the balance sheet

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

The average monthly number of persons (including directors) employed by the company during the year was:

Profit and loss account

This reserve records all the current and prior period retained profits and losses.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.

The auditor's report is unqualified and includes the following:

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its loss 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.

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £2,236 (2023 - £2,457). Contributions totaling £421 (2023 - £413) were payable to the fund at the balance sheet date and included in other creditors.

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

The Company has taken advantage of the exemption, as permitted by paragraph 1AC.35 of Financial Reporting Standard 102, to not disclose transactions with wholly owned subsidiaries of the group headed by Race Winning Brands Inc.

The immediate parent company is Lockin Pty Ltd a company incorporated in Australia whose registered office address is 17 Durian Place, Wetherill Park, New South Wales 2164, Australia.

The Company's ultimate parent company is MiddleGround GP II LP, incorporated in the United States of America whose registered office address is 1500 Aristides Blvd, Lexington, KY 40511, United States of America.

Lockin Pty Ltd heads the smallest group within which Haltech UK Limited belongs and for which group consolidated financial statements are prepared. Copies of the group consolidated financial statements can be obtained from the Australian Securities Investments Commission website. The parent company of the largest group for which group consolidated financial statements are prepared is Race Winning Brands Inc whose registered address is 7201 Industrial Park Blvd, Mentor, Ohio 44060-5396, United States of America. Copies of the group financial statements are not publicly available.

The remuneration receivable by the Company's auditor for non-audit services is disclosed in the consolidated financial statements.

The directors consider there to be no ultimate controlling party.

During the year, management reviewed the employers national insurance liability and concluded the amount outstanding was previously overstated by £21,233. As a result of the overstatement, for the year ended 31 December 2023, admin expenses is decreased by £21,233, profit before tax and profit after tax increased by £21,233, creditors; amounts due within 1 year is decreased by £21,233 and net assets was increased by £21,233. There was no impact on the balance sheet as at 1 January 2023.

During the year, management reviewed the corporation tax liability and concluded the amount outstanding was understated by £6,482. As a result of the understatement, for the year ended 31 December 2023, tax charge was increased by £1,621, profit after tax was decreased by £1,621, creditors; amounts due within 1 year was increased by £6,482 and net assets were decreased by £6,482. The net assets as at 1 January 2023 were increased by £4,861.

During the year, management reviewed the stock provision and concluded the stock provision was understated by £9,196. As a result of the understatement, for the year ended 31 December 2023, cost of sales was increased by £9,196, gross profit, profit before tax and profit after tax decreased by £9,196. Stocks were decreased by £9,196. There was no impact on the balance sheet as at 1 January 2023.

During the year, management reviewed the royalty charges and concluded they were presented in the incorrect period. As a result of this adjustment, for the year ended 31 December 2023, cost of sales were increased by £28,898. Gross profit, profit before tax and profit after tax were decreased by £28,898. Creditors; amounts due within 1 year was increased by £28,898. There was no impact on the balance sheet as at 1 January 2023.

During the year, management reviewed the bonuses paid and concluded they were presented in the incorrect period. As a result of this adjustment, for the year ended 31 December 2023, admin expenses were increased by £5,690. Profit before tax and profit after tax were decreased by £5,690. Creditors; amounts due within 1 year were increased by £5,690. There was no impact on the balance sheet as at 1 January 2023.