Pets Corner (UK) Limited - Limited company accounts 25.1

The directors present their strategic report for the year ended 30 September 2025.

REVIEW OF BUSINESS

Pets Corner (UK) Ltd ("Pets Corner") have been at the forefront of animal nutrition since 1968, championing natural, wholesome, and high-quality products that support the health and wellbeing of pets. The Company's mission remains to provide pets with everything they need to enjoy long, healthy, and happy lives.

The retail environment continued to present challenges throughout the year, with consumer spending remaining subdued and sales volumes under pressure across the sector. As a business with a significant physical retail footprint, Pets Corner has continued to operate in an increasingly competitive marketplace, driven by the growth of e-commerce and the presence of new market entrants. Ongoing pressures from labour cost inflation and elevated cost bases have also impacted the wider retail sector.

Revenue decreased by 2.3% during the year, reflecting continued pressure on consumer spending and the challenging trading environment experienced across the retail sector. Despite this decline, the business benefited from signs of improving macroeconomic conditions, with interest rates easing and energy costs becoming more competitive. Whilst labour cost inflation remained a pressure point, these positive developments helped to partially offset broader cost challenges.

Pets Corner continues to differentiate itself through its commitment to premium pet nutrition, exceptional customer service, and specialist expertise. During the year, the Company's focus remained on navigating ongoing macroeconomic cost pressures and maintaining operational resilience in a challenging trading environment. Investment decisions were carefully prioritised in response to prevailing market conditions, with an emphasis on protecting financial performance and ensuring disciplined capital allocation. Site selection remains highly disciplined and is supported by detailed demographic analysis and location-planning tools, ensuring that future investment continues to be targeted to maximise long-term returns. Looking ahead, the Company remains committed to the measured expansion of both retail and its Dogwood spa's, which are a complementary dog grooming business. Operating from our selected retail locations, Dogwood broadens the Company's service offering, strengthens customer engagement and supports increased utilisation of the store portfolio, while providing additional opportunities for sustainable long-term growth.

Investment in colleague development remains a key pillar of the Company's success. Pets Corner continues to deliver one of the most comprehensive training programmes within the pet care sector, with a focus on pet nutrition, customer service, and animal husbandry. Training is delivered through both operational locations and dedicated training centres. During the year, colleagues participated in a variety of training programmes, with a total of 3,399 sessions carried out, reinforcing the Company's commitment to maintaining consistently high standards of expertise and customer care.

Key Performance Indicators

The Directors aim to provide a balanced and comprehensive review of the Company's performance during the year and its position at the year end. The principal financial key performance indicators used to assess performance are turnover, gross profit, operating profit, profit before taxation, and gross margin.

2025

2024

Turnover

90,220,273

92,387,498

Gross profit

54,212,090

55,306,284

Operating profit

2,210,907

4,821,566

Profit before tax

2,010,899

4,625,548

Gross margin

60.09%

59.86%

The macroeconomic environment showed signs of improvement during the year, with interest rates easing and energy costs becoming more competitive. Whilst consumer spending remained cautious and labour costs continued to increase, these favourable developments helped to partially offset broader cost pressures.

Operating profit and profitability metrics were impacted by the softer trading environment and ongoing cost inflation. Despite this, the Directors believe that the strength of the Company's supply chain, together with its portfolio of exclusive and own-brand products, provides a solid platform for future growth and profitability. The business model remains differentiated within the sector and positions Pets Corner favourably to navigate challenging trading conditions while continuing to invest in long-term strategic opportunities

PRINCIPAL RISKS AND UNCERTAINTIES

Competition

The Company operates within a highly competitive market, competing with both specialist pet retailers and broader multi-channel retailers, including online operators. Pets Corner's strategy is centred on offering a carefully curated range of premium natural products supported by expert advice and exceptional customer service. This differentiated proposition continues to strengthen customer loyalty and reinforces the Company's position within the specialist pet retail sector. The Company's investment in colleague training further enhances this competitive advantage through the delivery of a structured, classroom-based learning programme led by in-house experts.

Liquidity, Credit & Financial Risk

The Company's financial position is closely monitored through both historical performance analysis and forward-looking forecasting to ensure growth plans remain appropriately funded. The Directors are satisfied that adequate banking facilities are in place and will be available both now and in the future.

The Company's borrowings are linked to SONIA-based interest rates and are therefore exposed to fluctuations in market interest rates. This exposure is monitored on an ongoing basis as part of the Company's treasury and financial risk management framework. Foreign exchange exposure remains limited and primarily arises from purchases within the international supply chain. The Company monitors movements in foreign exchange markets and may enter into forward foreign currency contracts where considered appropriate to mitigate the impact of significant adverse exchange rate movements. No such contracts were in place at the year end.

The Directors believe that the Company remains well positioned to manage current economic uncertainties and has incorporated appropriate assumptions regarding liquidity and funding requirements into its forward-looking business plans.

SECTION 172(1) STATEMENT

The Directors are mindful of their duty under Section 172(1) of the Companies Act 2006 to act in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole. In performing their duties, the Directors have regard, amongst other matters, to the likely long-term consequences of decisions, the interests of colleagues, the need to foster strong relationships with customers, suppliers and other stakeholders, the impact of the Company's operations on the community and environment, the importance of maintaining high standards of business conduct and the need to act fairly between members of the Company.

(a) The likely consequences of any decision in the long term

The pet care market continues to demonstrate structural growth, driven by increasing consumer demand for products and services that support pet health and wellbeing. The Company remains focused on delivering high-quality products supported by appropriately trained colleagues to ensure consistent standards of service and expertise.

The Company continues to prioritise supplier engagement and product innovation, supported by Director oversight. In making decisions, the Directors consider the long-term success of the Company and the sustainability of its operations, customer relationships and supply chain.

(b) The interests of the Company's employees

The Directors maintain a hands-on approach to the operation of the business and seek to foster a strong organisational culture by establishing the conditions for effective performance across all areas of the Company.

Importance is placed on ensuring that colleagues are able to identify change, contribute ideas, and communicate effectively, supporting a culture of continuous improvement. Regular branch visits and training seminars provide structured engagement between the Directors, senior management, and operational teams.

Gender pay considerations remain an area of focus for the Company. The Company is committed to monitoring pay equity and to ensuring that gender-based pay disparity does not arise within the organisation.

Supplier relationships are managed through centralised purchasing and finance functions. The Company continues to prioritise supplier engagement and product innovation, supported by Director oversight. The Company has maintained a policy for several years of offering accelerated payment terms of 14 days to smaller suppliers meeting defined turnover criteria, in support of supplier sustainability.

The Company remains focused on delivering high-quality products supported by appropriately trained colleagues to ensure consistent standards of service and expertise, recognising the importance of maintaining strong relationships with customers and other stakeholders.

(d) The impact of the Company's operations on the community and the environment

The Company operates within local communities across its branch network and seeks to make a positive contribution through the provision of products and services that support pet health and wellbeing, together with employment and development opportunities for colleagues.

The Directors also recognise the importance of responsible business practices and consider environmental matters relevant to the Company's operations as part of their wider decision-making responsibilities.

(e) The desirability of the Company maintaining a reputation for high standards of business conduct

The Company is committed to preventing modern slavery and human trafficking in its operations and supply chains. The Anti-Slavery Policy, which is published on the website, reflects its commitment to conducting business ethically and with integrity. The Company maintains systems and controls designed to mitigate the risk of modern slavery and human trafficking within its supply chain.

As part of its risk management framework, supply chain risks are reviewed at Board level. The Company has established processes to:

Identify and assess potential risk areas in supply chains.

Mitigate the risk of modern slavery and human trafficking occurring within supply chains.

Monitor identified risk areas; and

Provide protection for whistleblowers.

(f) The need to act fairly as between members of the Company

The Directors act in good faith to promote the success of the Company for the benefit of its members as a whole. In making decisions, the Board seeks to balance the interests of shareholders with those of colleagues, customers, suppliers and other stakeholders, while supporting the long-term success of the Company.

ON BEHALF OF THE BOARD:

Mr S Defaye - Director

21 August 2026

The directors present their report with the financial statements of the company for the year ended 30 September 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review continued to be the sale of pet accessories.

DIVIDENDS

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

DIRECTORS

The directors shown below have held office during the whole of the period from 1 October 2024 to the date of this report.

Mr D Richmond

Mr S Forrest

Mr S Defaye

Other changes in directors holding office are as follows:

Ms S Bourne and Mr D Pack were appointed as directors after 30 September 2025 but prior to the date of this report.

EMPLOYEES

The Company continues to invest significantly in the training and development of its colleagues to ensure they possess current and relevant expertise, particularly in pet nutrition, enabling them to provide informed advice and exceptional service to customers. In addition, ongoing development programmes are provided for colleagues within central support functions, with a focus on enhancing capability in key strategic areas including Information Technology and Finance.

The Company's remuneration policy is designed to provide competitive salary packages, supported by bonus and incentive arrangements that reward individual contribution, performance, and the achievement of shared business objectives.

Equality of opportunity is embedded within the Company's culture. Pets Corner takes pride in its strong track record of developing talent from within the organisation and promoting colleagues into positions of greater responsibility wherever possible.

It is the Company's policy to provide employment opportunities to disabled persons wherever practicable and to ensure that no unnecessary barriers exist within the working environment for suitably qualified individuals. Employees with disabilities are afforded the same access to training, development opportunities, and career progression as all other colleagues.

Where an employee becomes disabled during their employment, the Company is committed to providing appropriate support and reasonable adjustments to enable them to remain in, or return to, a role that is aligned with their skills, experience, and capabilities.

ENGAGEMENT WITH EMPLOYEES

Pets Corner is committed to supporting employment, skills development, and the ongoing enhancement of operational capability across the organisation.

Staff are provided with regular updates on company performance, new initiatives, new store openings and new product development to gain feedback in an effort to continue to improve each aspect of the business. The directors and by extension senior management, strive to keep staff updated on the financial and economic position that Pets Corner operates in.

FINANCIAL RISK MANAGEMENT

In accordance with S414C(11) Companies Act 2006, refer to the Strategic Report for matters relating to Liquidity, Credit and Financial Risk.

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

Refer to Section 172(1) statement within Strategic Report.

STREAMLINED ENERGY AND CARBON REPORTING

Approach

The UK Government's environmental reporting guidance on how to measure and report greenhouse gas emissions has been used, along with the provided greenhouse gas reporting figures for the relevant year. The financial control approach has been used to define the scope boundary.

Reporting Period

The reporting period is 1st October 2024 to 30th September 2025, aligning with the company's financial year.

Base Year & Changes in Emissions

A base year of 1st October 2023 to 30th September 2024 has been used, as this is the latest year for which reliable data was recorded and measured. The base year is used as the benchmark for emission data and consumption changes, and the changes between this reporting period and the base year have been recorded and detailed. The recalculation policy is to recalculate the base year emissions only for relevant significant changes which meet the threshold of affecting 5% of base year emissions.

Operational Scopes

Scope 1, 2 and 3 emissions have been included within this report. Pets Corner occupied 164 buildings during this period, where electricity is the primary and only utilities used. Pets Corner owned company vehicles and had staff mileage claims. All activities are based within the UK.

Scope 1 emissions consist of fuel from company owned vehicles.

Scope 2 consists of electricity usage within the building.

Scope 3 emissions consisting of grey fleet have been included.

Table 1 shows the breakdown of carbon emissions, in tonnes of carbon dioxide equivalent (tCO2e) by scope and specific area, with comparison to the base year

Table 1 - Breakdown of consumption and carbon emissions by scope, with comparison to the base year, for the current reporting period 1st October 2024 to 30th September 2025.

Base Year (FY2024)

Current Year FY 2025

tCO2e change

tCO2e

% of total

tCO2e

% of total

Scope 1

318.68

19%

348.14

23%

29.46

Company Lorries Diesel (L)

214.16

13%

318.54

21%

104.38

Company Vans Diesel (L)

104.52

29.60

(74.92)

Scope 2

1,201.04

73%

1,038.35

70%

(162.69)

Electricity

1,201.04

73%

1,038.35

70%

(162.69)

Scope 3

122.24

103.65

(18.59)

Grey fleet mileage

122.24

103.65

(18.59)

Gross emissions (location

based)

1,641.96

100%

1,490.14

100%

(151.82)

Less Renewable Electricity

768.91

47%

732.45

49%

(36.46)

Market-based Electricity

973.20

59%

631.37

42%

(341.83)

Gross Emissions (Market

Based)

1,414.12

53%

1,083.16

73%

(330.96)

Less Offsets

1,415.00

86%

1,084.00

73%

(331.00)

Net emissions

(0.88)

(0.84)

0.04

Carbon Offsets & Electricity

Electricity purchased for own use or consumption: 5,866,388.11Wh.

Renewable electricity generated from owned or controlled sources: 4,138,112.17 kWh.

Intensity Ratios & Targets

An overall intensity ratio of gross Scope 1, 2 and 3 emissions per £M turnover has been calculated. This will allow comparison and benchmarking with similar sites and organisations and still drives energy reduction goals.

The previous reduction target was to reduce gross Scope 1, 2 and 3 emissions by 5% from FY2024 to FY2025. The chosen emissions reduction target for this financial year is to reduce the overall business intensity ratio by 5% from FY2025 to FY2026. The target is based upon the intensity ratio to improve performance, rather than allow for spurious improvements due to changes in operations. If the turnover theoretically remains the same across the current and upcoming reporting periods, predicted gross emissions are 1,029.01 tCO2e. Table 2 shows the intensity ratio and target for the business, with comparison to the base year.

Table 2 - Overall intensity ratio, target, and predicted tCO2e, with comparison to the base year. Intensity ratios are presented as Gross and Net Scope 1, 2 and 3 tCO2e/£M turnover.

Previous Year (FY2024)

Current Year (FY 2025)

Predicted FY 2026

tCO2e

Intensity

ratio

tCO2e

Intensity

ratio

Predicted

tCO2e

Intensity

Target

Gross emissions

(Location based)

1,641.96

17.77

1,490.14

16.63

1,415.63

15.80

Gross emissions

(Market Based)

1,414.12

15.31

1,083.16

12.09

1,029.01

11.48

Net emissions

(0.88)

0.00

(0.84)

0.00

(0.88)

0.00

Carbon Reduction Initiatives

Pets Corner were required to comply with ESOS Phase 3, which details their carbon reduction and energy efficiency initiatives. Pets Corner also mitigate their environmental impact by purchasing renewable electricity and purchasing carbon credits to offset their remaining tonnes of carbon.

FUTURE DEVELOPMENTS

The company is constantly looking at ways to grow its portfolio of Pets Corner stores and grooming spas within the UK, whilst also focusing on the global supply of its high end, home branded food and accessories. The Pet Industry has seen its challenges over the last 12 months, particularly within retail units which has restricted the company's ability to plan in terms of identifying a large number of future sites. The company is focused instead on enhancing the existing estate with new concepts alongside opening fewer stores

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

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

-	state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The company's auditor, Mercer & Hole LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:

Mr S Defaye - Director

21 August 2026

Opinion

We have audited the financial statements of Pets Corner (UK) Limited (the 'company') for the year ended 30 September 2025 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 September 2025 and of its profit for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

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

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

Auditors' responsibilities for the audit of the financial statements

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

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.

Explanation as to the extent the audit was considered capable of detecting irregularities, including fraud

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. This included, but were not limited to, the Companies Act 2006, employment law and tax legislation.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements and the financial report (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate entries including journals to misstate revenue or expenditure, and management bias.

Audit procedures performed by the engagement team included:

- discussions with management, including considerations of known or suspected instances of non-compliance with

laws and regulations and fraud;

- gaining an understanding of management's controls designed to prevent and detect irregularities; and

- identifying and testing journal entries.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Andrew Dean LLB FCA (Senior Statutory Auditor)

for and on behalf of Mercer & Hole LLP

Chartered Accountants

3 Lombard Street

London

EC3V 9AA

21 August 2026

TURNOVER

90,220,273

92,387,498

Cost of sales

36,008,183

37,081,214

GROSS PROFIT

54,212,090

55,306,284

Distribution costs

1,089,367

939,227

Administrative expenses

52,421,464

51,382,181

53,510,831

52,321,408

701,259

2,984,876

Other operating income

1,509,648

1,836,690

OPERATING PROFIT

2,210,907

4,821,566

Interest payable and similar expenses

200,008

196,018

PROFIT BEFORE TAXATION

2,010,899

4,625,548

Tax on profit

538,307

553,835

PROFIT FOR THE FINANCIAL YEAR

1,472,592

4,071,713

OTHER COMPREHENSIVE INCOME

TOTAL COMPREHENSIVE INCOME FOR

THE YEAR

1,472,592

4,071,713

All activities relate to continuing operations.

The notes on pages 14 to 25 form part of these financial statements.

FIXED ASSETS

Intangible assets

2,506,285

3,401,209

Tangible assets

14,951,500

15,891,955

17,457,785

19,293,164

CURRENT ASSETS

Stocks

18,444,623

18,760,394

Debtors

29,807,621

20,653,430

Cash at bank and in hand

3,056,993

267,775

51,309,237

39,681,599

CREDITORS

Amounts falling due within one year

51,048,906

43,230,311

NET CURRENT ASSETS/(LIABILITIES)

260,331

(3,548,712

)

TOTAL ASSETS LESS CURRENT

LIABILITIES

17,718,116

15,744,452

CREDITORS

Amounts falling due after more than one

year

(1,133,926

)

(1,171,305

)

PROVISIONS FOR LIABILITIES

(325,543

)

(839,264

)

NET ASSETS

16,258,647

13,733,883

CAPITAL AND RESERVES

Called up share capital

1,509,950

Capital redemption reserve

705,050

Capital contribution reserve

1,052,172

Retained earnings

12,991,475

11,518,883

SHAREHOLDERS' FUNDS

16,258,647

13,733,883

The notes on pages 14 to 25 form part of these financial statements.

The financial statements were approved by the Board of Directors and authorised for issue on 21 August 2026 and were signed on its behalf by:

Mr S Defaye - Director

Called up

Capital

Retained

redemption

contribution

Total

Notes

capital

earnings

reserve

equity

Balance at 1 October 2023

1,509,950

12,907,854

705,050

15,122,854

Changes in equity

Dividends 10

(5,460,684

)

(5,460,684

)

Total comprehensive income

4,071,713

Balance at 30 September 2024

1,509,950

11,518,883

705,050

13,733,883

Changes in equity

Total comprehensive income

Capital contribution reserve movement

1,472,592

1,052,172

1,472,592

1,052,172

Balance at 30 September 2025

1,509,950

12,991,475

705,050

1,052,172

16,258,647

1.	COMPANY INFORMATION

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

The principal activity for the year under review continued to be that of the sale of pet products.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The financial statements are presented in Sterling (£), which is the functional currency of the company, and rounded to the nearest £1.

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

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

•

the requirement of paragraph 33.7.

The company is a qualifying subsidiary. The parent company is Pet Family Limited. The ultimate parent company is Pet Family Group Limited into which results of the company are consolidated. Consolidated accounts can be obtained from the company's registered office.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discounts, rebates, coupons, returns and excluding value added tax, sold in the ordinary course of business and arises from activities in the United Kingdom.

Income from the sale of goods represents food and accessories, sold in store and online, with revenue recognised at the point of sale, being the point at which risks and rewards of ownership have been transferred to the customer.

Income from services represents grooming revenue, with revenue recognised at the point of service to the customer.

Operating leases (recognised as income)

Revenue from operating leases is recognised on a straight-line basis over the lease term.

Intangible assets

Intangible assets are measured at cost less accumulated amortisation and any accumulated impairment losses.

Lease premiums are being amortised evenly over the terms of the leases, or their estimated useful life if lower.

Computer software includes both general software and bespoke software. Bespoke software is being amortised evenly over its estimated useful life of five years and general software is amortised over its estimated useful life of three years.

Web development is being amortised over its estimated useful life of 3 years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery

20 - 33% straight line

Fixtures and fittings

10 - 20% straight line

Motor vehicles

25% straight line

Tangible assets are measured at cost less accumulated depreciation and any accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

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

Stocks are valued at the lower of cost, using the first in first out method, and selling price less costs to complete and sell.

Taxation

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

Current or deferred taxation assets and liabilities are not discounted.

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

Deferred tax

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

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

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

Foreign currencies

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

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Employee benefits

Employee benefits are recognised as an expense in the period in which they are incurred.

Employee entitlements to annual leave are recognised when they accrue to employees. A provision is made for the estimated liability for annual leave as a result of services rendered by employees up to the balance sheet date.

Share based payments

Employees of the Company participate in a group cash settled share based payment arrangement operated by Pet Family Group Limited. The company recognises the cost of services received from participating employees over the vesting period, with a corresponding increase in equity representing a capital contribution from the parent undertaking.

Lease Incentives

The benefit of lease incentives are recognised in profit and loss account over the lease period.

Onerous lease provision

A provision for onerous lease contracts is recognised when the expected benefits to be derived by the company from a contract are lower than the unavoidable cost of meeting its obligations under the contract.

Financial instruments

Basic financial instruments are recognised at amortised cost, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value with changes recognised in profit or loss.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when, in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party and in the case of liabilities, when the company's obligations are discharged, expire or are cancelled.

Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless they are included in a hedging arrangement.

The company uses forward foreign currency contracts to reduce exposure to foreign exchange rates.

Going concern

The company generated a profit for the financial year of £1,472,592 (2024: £4,071,713). Net current assets for the year closed at £260,331 (2024: net current liabilities of £3,548,712), however, it should be noted that this number is impacted by a net c£2.4m liability owed to group undertakings which is eliminated at group level and has no risk of falling due.

At the balance sheet date, the business is in a strong net asset position of £16,258,647 (2024: 13,733,883) and the financial statements have been prepared on a going concern basis, which the directors consider to be appropriate for the following reasons.

The company has prepared cash flow forecasts covering at least a 12-month period from the date of approval of these financial statements.

In preparing the forecasts, the company has considered areas of uncertainty and a number of underlying assumptions including growth expectation. These forecasts show that the company continues to have sufficient levels of cash for the forecast period.

The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for a period of at least 12 months from the date of approval of these financial statements with all banking facilities renewed and rolled over into a new finance agreement with the company's lenders as of June 2026.

Accordingly, the Directors consider it appropriate to prepare the financial statements for the company on a going concern basis.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Preparation of the financial statements requires the Company to make certain judgements, assumptions and estimates about the carrying amounts of assets and liabilities. The Company believes that the estimates, assumptions and judgements upon which it relies are reasonable based on the information available to it at the time that those estimates, assumptions and judgements are made. The estimates and underlying assumptions are reviewed on an ongoing basis. Although these estimates are based on management's best knowledge of the amount, event or actions, actual results may ultimately differ from these estimates.

The key sources of estimation uncertainty and critical accounting judgements are as follows:

Impairment of assets

The carrying value of tangible assets is calculated on the basis of estimates of depreciation periods derived from the expected useful life of the asset concerned, and residual values. The expected useful life of the asset concerned and its estimated residual value may change under the influence of technological developments, market circumstances and changes in the use of the asset. These factors may also give rise to the need to recognise an impairment on assets.

Whenever there is an indication that these assets may be impaired, the recoverable amount is determined on an individual asset basis. If the recoverable amount of the asset is estimated to be less than its carrying amount, the carrying amount is reduced to its recoverable amount.

The difference between the carrying amount and the recoverable amount is recognised as an impairment loss in profit or loss.

Provisions for dilapidations

Provisions for dilapidations is the area involving estimates and judgements where there is the greatest risk of a material adjustment in future years. The current provision is based on management’s current best analysis of the future obligation. However, various factors and changes in circumstances such as building and materials costs could affect any amount payable in the future.

Stock provisions

At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment is recognised immediately in profit or loss.

Depreciation and amortisation

The Directors have reviewed the asset lives and associated residual values of all fixed asset classes and have concluded that asset lives and residual values are appropriate.

TURNOVER

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

An analysis of turnover by class of business is given below:

2025

2024

Sale of goods

85,390,483

87,903,801

Sale of services

4,829,790

4,483,697

90,220,273

92,387,498

All turnover arises in the UK.

5.	OTHER OPERATING INCOME

2025

2024

Rents received

312,365

276,781

Overhead recharges

1,104,392

1,559,909

Management charge received

35,644

Other income

57,247

1,509,648

1,836,690

Operating leases

The company has entered into sublet leases on a number of its sites.

Future aggregate minimum lease rentals receivable under non-cancellable leases as at 30 September 2025 are as follows:

2025

2024

Within 1 year

223,099

232,266

After 1 year but not more than 5 years

782,591

838,895

More than 5 years

414,535

581,329

1,420,225

1,652,490

6.	EMPLOYEES AND DIRECTORS

2025

2024

Wages and salaries

21,729,364

21,059,325

Social security costs

2,021,575

1,560,558

Other pension costs

Share based payment

645,321

1,025,172

625,915

25,448,432

23,245,798

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

2025

2024

Head Office

Retail

1,000

1,032

Warehouse

1,161

1,208

2025

2024

Directors' remuneration

533,937

382,514

Directors' pension contributions to money purchase schemes

7,301

7,044

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

Information regarding the highest paid director is as follows:

2025

2024

Emoluments etc

332,743

179,445

Pension contributions to money purchase schemes

3,779

3,522

7.	OPERATING PROFIT

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

2025

2024

Other operating leases

31,503

65,759

Depreciation - owned assets

3,900,148

3,800,878

Depreciation - assets on hire purchase contracts

1,063,970

1,053,791

Loss/(profit) on disposal of fixed assets

70,398

(3,531

)

Amortisation

1,170,867

1,042,736

Auditors' remuneration

44,210

42,105

Foreign exchange differences

(102,426

)

117,900

Operating lease - rent

9,034,085

9,047,218

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

Bank interest

Hire purchase

200,008

195,986

200,008

196,018

TAXATION

Analysis of the tax charge

The tax charge on the profit for the year was as follows:

2025

2024

Current tax:

UK corporation tax

1,065,262

232,869

Adjustment for prior periods

(13,234

)

(110,628

)

Total current tax

1,052,028

122,241

Deferred tax:

Origination and reversal of timing differences

(513,721

)

356,302

Adjustment for prior period

75,292

Total deferred tax

(513,721

)

431,594

Tax on profit

538,307

553,835

Reconciliation of total tax charge included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

Profit before tax

2,010,899

4,625,548

Profit multiplied by the standard rate of corporation tax in the UK of 25%

(2024 - 25%)

502,725

1,156,387

Effects of:

Expenses not deductible for tax purposes

35,343

36,334

Group relief

(88,391

)

(711,318

)

Adjustment to tax charge in respect of previous periods

(13,234

)

(110,628

)

Adjustment to tax charge in respect of previous periods - deferred tax

75,292

Fixed asset difference

101,864

107,768

Total tax charge

538,307

553,835

10.

DIVIDENDS

2025

2024

Ordinary shares of £1 each

Final

4,145,021

Interim

1,315,663

5,460,684

11.	INTANGIBLE FIXED ASSETS

Web

Lease

Computer

Goodwill

development

premium

software

Totals

COST

At 1 October 2024

1,385,237

489,730

586,175

4,896,913

7,358,055

Additions

16,525

265,688

282,213

Disposals

(12,901

)

(12,901

)

At 30 September 2025

1,385,237

506,255

586,175

5,149,700

7,627,367

AMORTISATION

At 1 October 2024

1,385,237

166,740

333,944

2,070,925

3,956,846

Amortisation for year

149,006

75,471

946,390

1,170,867

Charge for year

(6,631

)

(6,631

)

At 30 September 2025

1,385,237

315,746

409,415

3,010,684

5,121,082

NET BOOK VALUE

At 30 September 2025

190,509

176,760

2,139,016

2,506,285

At 30 September 2024

322,990

252,231

2,825,988

3,401,209

Amortisation of intangible fixed assets is included in administrative expenses.

12.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

machinery

fittings

vehicles

Totals

COST

At 1 October 2024

4,298,584

41,377,322

717,338

46,393,244

Additions

176,814

3,899,761

18,216

4,094,791

Disposals

(80,953

)

(551,706

)

(84,815

)

(717,474

)

At 30 September 2025

4,394,445

44,725,377

650,739

49,770,561

DEPRECIATION

At 1 October 2024

3,209,208

26,810,441

481,640

30,501,289

Charge for year

450,572

4,449,700

63,846

4,964,118

Eliminated on disposal

(68,856

)

(492,675

)

(84,815

)

(646,346

)

At 30 September 2025

3,590,924

30,767,466

460,671

34,819,061

NET BOOK VALUE

At 30 September 2025

803,521

13,957,911

190,068

14,951,500

At 30 September 2024

1,089,376

14,566,881

235,698

15,891,955

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Fixtures

Plant and

and

Motor

machinery

fittings

vehicles

Totals

COST

At 1 October 2024

1,313,494

4,184,823

420,380

5,918,697

Additions

35,690

990,600

1,026,290

Disposals

(441

)

(441

)

Transfer to ownership

(492,805

)

(2,155,080

)

(2,647,885

)

Reclassification/transfer

16,165

611,958

628,123

At 30 September 2025

872,544

3,631,860

420,380

4,924,784

DEPRECIATION

At 1 October 2024

532,996

1,457,909

195,204

2,186,109

Charge for year

147,262

856,677

60,031

1,063,970

Eliminated on disposal

(147

)

(147

)

Transfer to ownership

(492,805

)

(1,568,632

)

(2,061,437

)

Reclassification/transfer

836

13,740

14,576

At 30 September 2025

188,289

759,547

255,235

1,203,071

NET BOOK VALUE

At 30 September 2025

684,255

2,872,313

165,145

3,721,713

At 30 September 2024

780,498

2,726,914

225,176

3,732,588

The reclassification / transfer of assets relates to assets purchased in the prior year that were financed within the current financial year and have therefore been reclassified as assets held under hire purchase contracts.

13.

STOCKS

2025

2024

Stocks - finished goods

18,099,113

17,743,585

Goods in transit

345,510

1,016,809

18,444,623

18,760,394

14.

DEBTORS

2025

2024

Amounts falling due within one year:

Trade debtors

403,246

441,212

Other debtors

472,783

515,155

Prepayments and accrued income

3,538,464

2,835,224

Amounts owed by group undertakings

24,753,376

15,797,173

Amount owed by related parties

636,085

1,063,216

29,803,954

20,651,980

Amounts falling due after more than one year:

Other debtors

3,667

1,450

Aggregate amounts

29,807,621

20,653,430

15.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

Hire purchase contracts (see note 17)

1,392,842

1,381,441

Trade creditors

6,578,922

7,009,666

Amounts owed to group undertakings

27,156,235

25,559,225

Corporation tax payable

268,818

(36,612

)

Social security and other taxes

451,818

329,345

VAT

1,174,355

595,423

Other creditors

2,419,664

2,360,405

Amount owed to related parties

8,827,718

3,702,856

Accruals and deferred income

2,778,534

2,328,562

51,048,906

43,230,311

16.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2025

2024

Hire purchase contracts (see note 17)

1,133,926

1,171,305

17.	LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase

contracts

2025

2024

Gross obligations repayable:

Within one year

1,527,845

1,523,411

Between one and five years

1,188,415

1,238,189

2,716,260

2,761,600

Finance charges repayable:

Within one year

135,003

141,970

Between one and five years

54,489

66,884

189,492

208,854

Net obligations repayable:

Within one year

1,392,842

1,381,441

Between one and five years

1,133,926

1,171,305

2,526,768

2,552,746

Non-cancellable

operating leases

2025

2024

Within one year

7,383,952

7,417,257

Between one and five years

23,240,683

24,586,644

In more than five years

17,803,726

19,647,705

48,428,361

51,651,606

18.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2024

Hire purchase

2,526,768

2,552,746

The total obligations under hire purchase and finance leases are secured by the assets financed by those agreements, the net book value of these assets is £3,721,713 (2024: £3,732,588).

HSBC UK Bank plc hold a debenture dated 28 July 2023 secured on property Coombe Court, 137-139 Malling Street, Lewes, BN7 2RB and by way of a fixed and floating charge covering all property or undertaking of the company.

19.	PROVISIONS FOR LIABILITIES

2025

2024

Deferred Tax

75,543

589,264

Dilapidation provision

250,000

325,543

839,264

Deferred

tax

Balance at 1 October 2024

589,264

Accelerated capital allowances

(513,721

)

Balance at 30 September 2025

75,543

The balance brought forward, together with the movement for the year, relates to accelerated capital allowances.

The company recognises a provision in respect of anticipated costs to put, at the end of the lease, the properties it leases back into the same condition they were when the lease commenced (dilapidation provision).

20.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

1,509,500

Ordinary

£1

1,509,500

450

Non-Voting B Shares

£1

450

1,509,950

The ordinary shares have equal dividend, voting and distribution rights.

21.

RESERVES

Called up share capital - represents the nominal value of shares that have been issued.

Capital redemption reserve - represents the nominal value of shares repurchased by the company.

Retained earnings - includes all current and prior period retained profits and losses.

Capital contribution reserve - capital contribution reserve represents equity contributions recognised in respect of group share-based payment arrangements.

22.	PENSION COMMITMENTS

Pension contributions are made under defined contribution schemes.

The assets of the schemes are held separately from those of the company in independently administered funds. The pension costs charge represents contributions payable by the company and amounted to £645,321 (2024: £625,915). Contributions totalling £14,254 were payable at the year end and are included in creditors (2024: £88,243).

23.	OTHER FINANCIAL COMMITMENTS

The company has entered into additional finance agreements after the year end totalling £329,629.

24.	DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 30 September 2025 and 30 September 2024:

2025

2024

Mr D Richmond

Balance outstanding at start of year

Amounts advanced

21,064

2,066,786

Amounts repaid

(21,064

)

(2,066,786

)

Amounts written off

Amounts waived

Balance outstanding at end of year

25.	RELATED PARTY DISCLOSURES

During the year, the company entered into transactions, in the ordinary course of business, with other related parties. Transactions entered into, and trading balances outstanding at 30 September 2025, are as follows:

Summary of transactions with fellow subsidiaries

Included within creditors is an amount of £NIL owed to fellow subsidiaries not wholly owned by the parent (2024: £606,845) During the year the company made purchases totalling £NIL (2024: £2,625,377) from these companies and sales totalling £NIL to the companies.(2024: £190,744).

Included within debtors is an amount of £637,311 owed by fellow subsidiaries not wholly owned by the parent. (2024: £464,115). During the year, the company made purchases totalling £118,054 (2024: £470,690) from these subsidiaries and sales totalling £1,663,460 (2024: £1,473,206).

Summary of transactions with other related parties

Included within creditors is a total of £8,827,718 owed to companies incorporated in England & Wales under common control and that are associates of the parent (2024: £3,702,856). During the year the company paid market rents to one of these companies totalling £677,361 (2024: £618,608), made purchases totalling £13,230,613 (2024: £11,340,599) and sales totalling £382,226 (2024: £219,090).

Included within debtors is £636,085 owed by companies incorporated in England & Wales under common control and that are associates of the parent (2024: £1,063,216). During the year the company made sales to these companies totalling £111,649 (2024: £358,313) and purchases from them totalling £NIL (2024: £538,185).

Unlimited Multilateral Guarantee dated 26 July 2023 given by Pets Corner (UK) Limited, Pet Family Group Limited, Symply Pet Foods Ltd, Wooburn Green Property Ltd, Domus Property Ltd, Pet Family Ltd, Yora Pet Foods for the Planet Ltd, Pet Family 2021 Limited, Canagan 2021 Limited and Cangagn Group

Limited.

Exemption taken for disclosure of balances and transactions with other 100% group companies.

Key Management Personnel

All directors and certain senior employees who have authority and responsibility for planning, directing and controlling the activities of the company are considered to be key management personnel. Total remuneration in respect of key management personnel for the period was £1,550,799 (2024: £780,063).

Included within key management personnel remuneration is a charge in respect of cash-settled share based payment arrangements operated by the Company's parent undertaking. During the year, the basis of allocation of the share based payment charge witihin the Group was reviewed and an appropriate proportion of the charge has been recognised by the Company to reflect the benefit of services received from participating employees. As a result, key management personnel remuneration is not directly comparable with the prior year.

26.	ULTIMATE PARENT COMPANY

The ultimate parent company is Pet Family Group Limited, a company incorporated in England & Wales, in which the results of the company are consolidated. The registered office and principal place of business is Unit 1000, Spindle Way, Crawley, West Sussex, RH10 1TG.

27.	ULTIMATE CONTROLLING PARTY

By virtue of his shareholding in Pet Family Group Ltd, the ultimate parent company, Mr D Richmond is the ultimate controlling party.