ACCOUNTS - Final Accounts preparation

Operating profit

The operating profit is stated after charging:

Registered number: 07322450

A & D HOPE LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

A & D HOPE LIMITED

COMPANY INFORMATION

Director	J A Hope


Registered number	07322450


Registered office	100 Oxford Street
	London
	W1D 1LL


Independent auditors	Hillier Hopkins LLP
	Chartered Accountants & Statutory Auditor
	Radius House
	51 Clarendon Road
	Watford
	Herts
	WD17 1HP

A & D HOPE LIMITED

CONTENTS

	Page
Strategic report	1 - 2
Director's report	3 - 4
Independent auditors' report	5 - 8
Statement of comprehensive income	9
Balance sheet	10
Statement of changes in equity	11
Statement of cash flows	12
Analysis of net debt	13
Notes to the financial statements	14 - 28

A & D HOPE LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

Introduction

The principal activity of the company is the design, sourcing, marketing, and sale of clothing and fashion accessories through retail, wholesale, and e-commerce channels.

Business review

The company operates in the clothing and apparel sector, designing, sourcing, and selling fashion products to retail and online customers. During the financial year, management focused on strengthening brand positioning, improving operational efficiency, and expanding market reach.

The company achieved stable trading during the year despite ongoing challenges within the retail and fashion industry, including inflationary pressures, changing consumer preferences, and supply chain disruptions. Revenue performance was supported by strong customer demand for core product lines and a well-balanced global supply chain.

Gross margins were improved through effective inventory management, supplier negotiations, foreign exchange and pricing strategies. Operating expenses were carefully monitored to preserve profitability while supporting growth initiatives.

Key Performance Indicators

The Director considers the key financial performance indicators of the business to be turnover and operating expenses. These are recorded and can be referred to within the Statement of Comprehensive Income.

Market Environment

The clothing industry remains highly competitive, with increased consumer demand for sustainable products, faster delivery services, and enhanced online shopping experiences. The company continues to monitor market trends and adapt its product offerings accordingly.

Principal risks and uncertainties

The company faces several risks that may affect future performance, including:

∙Economic uncertainty and reduced consumer spending.

∙Increased competition within the fashion sector.

∙Supply chain disruptions and rising material costs.

∙Changes in consumer trends and purchasing behaviour.

∙Regulatory and environmental compliance requirements.

Management regularly reviews these risks and implements appropriate mitigation measures.

Page 1

A & D HOPE LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Strategic Priorities

The company's strategic priorities for the coming year include:

∙Improve service level to existing customer base.

∙Expanding online sales and digital marketing activities.

∙Enhancing customer experience across all sales channels.

∙Developing sustainable and ethically sourced product ranges.

∙Strengthening supplier relationships and supply chain resilience.

∙Improving inventory management and stock turnover.

∙Exploring new market opportunities and customer segments.

Future Outlook

Management remains optimistic about the company's long-term prospects. Continued investment in product development, digital capabilities, and customer engagement is expected to support sustainable growth and profitability in the coming years.

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

J A Hope

Director

Date: 10 July 2026

Page 2

A & D HOPE 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.

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 he is 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 for the Company's financial statements and then apply them consistently;

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

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

The 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 to 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.

Results and dividends

The profit for the year, after taxation, amounted to £1,004,144 (2024 - £625,127).

Page 3

A & D HOPE LIMITED

DIRECTOR'S REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Director

The director who served during the year was:

J A Hope

Post year end, C Bostock was appointed a Director of the company on 30 June 2026.

Disclosure of information to auditors

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

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

∙ 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 auditors are aware of that information.

Auditors

The auditors, Hillier Hopkins LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

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

J A Hope

Director

Date: 10 July 2026

Page 4

A & D HOPE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A & D HOPE LIMITED

Opinion

We have audited the financial statements of A & D Hope Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of cash flows, the Statement of changes in equity and the related notes, including a summary of significant accounting policies.The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the Company's affairs as at 31 December 2025 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 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.

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

Page 5

A & D HOPE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A & D HOPE LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The director is responsible for the other information contained within the Annual Report. 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.

Opinion 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 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 the Director's report 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 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 directors

As explained more fully in the Director's responsibilities statement set out on page 3, 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 has no realistic alternative but to do so.

Page 6

A & D HOPE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A & D HOPE LIMITED (CONTINUED)

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 an Auditors' 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.

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:

∙assess the nature of the industry and sector, control environment and business performance;

∙the primary responsibility for the prevention and detection of fraud rests with both those charged with
governance of the entity and management. We consider the results of our enquiries of management, about
their own identification and assessment of the risks of irregularities;

∙any matters we identified having obtained and reviewed the Company’s documentation of their policies and
procedures relating to:

°identifying, evaluating and complying with laws and regulations and whether they were aware of any
instances of non-compliance;

°detecting and responding to the risks of fraud and whether they have knowledge of any actual,
suspected or alleged fraud;

°the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;

∙the matters discussed among the audit engagement team, regarding how and where fraud might occur in
the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the
organisation for fraud and identified the greatest potential for fraud. In common with all audits under ISAs (UK),
we are also required to perform specific procedures to respond to the risk of management override, including
testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of
material misstatement due to fraud.

We also obtained an understanding of the legal and regulatory frameworks that the Company operates in,
focusing on provisions of those laws and regulations that had a direct effect on the determination of material
amounts and disclosures in the financial statements. We focused on laws and regulations that could give rise
to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006
and relevant tax legislation.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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 Auditors' report.

Page 7

A & D HOPE LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A & D HOPE LIMITED (CONTINUED)

Other matters

The comparative figures for the year ended 31 December 2024 are unaudited, as the Company was entitled to exemption from audit under the Companies Act 2006 for that period and did not voluntarily obtain an audit.

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 Auditors' 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.

Gary Wong BFP FCA (Senior statutory auditor)

for and on behalf of

Hillier Hopkins LLP

Chartered Accountants

Statutory Auditor

Radius House

51 Clarendon Road

Watford

Herts

WD17 1HP

10 July 2026

Page 8

A & D HOPE LIMITED

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2025

	2025	2024
Note	£	£


Turnover	4	17,974,521	15,898,263
Cost of sales		(12,456,433)	(11,475,461)
Gross profit		5,518,088	4,422,802
Distribution costs		(682,432)	(691,874)
Administrative expenses		(3,461,438)	(2,991,502)
Other operating income	5	5,831	145,700
Operating profit	6	1,380,049	885,126
Interest receivable and similar income	10	8,365	12,580
Interest payable and similar expenses	11	(47,791)	(58,493)
Profit before tax		1,340,623	839,213
Tax on profit	12	(336,479)	(214,086)
Profit for the financial year		1,004,144	625,127

Other comprehensive income for the year
Total comprehensive income for the year		1,004,144	625,127

The notes on pages 14 to 28 form part of these financial statements.

Page 9

A & D HOPE LIMITED

REGISTERED NUMBER: 07322450

BALANCE SHEET

AS AT 31 DECEMBER 2025

		2025		2024
Note		£		£

Fixed assets
Tangible assets	13		205,722		104,804
			205,722		104,804
Current assets
Stocks	14	2,891,556		1,764,047
Debtors: amounts falling due within one year	15	4,233,493		3,156,786
Cash at bank and in hand	16	481,627		779,155
		7,606,676		5,699,988
Creditors: amounts falling due within one year	17	(3,950,957)		(2,931,034)
Net current assets			3,655,719		2,768,954
Total assets less current liabilities			3,861,441		2,873,758
Creditors: amounts falling due after more than one year	18		-		(31,349)
Provisions for liabilities
Deferred tax	21	(25,407)		(10,519)
			(25,407)		(10,519)
Net assets			3,836,034		2,831,890

Capital and reserves
Called up share capital	22	975	975
Capital redemption reserve	23	25	25
Profit and loss account	23	3,835,034	2,830,890
		3,836,034	2,831,890

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 10 July 2026.

J A Hope

Director

The notes on pages 14 to 28 form part of these financial statements.

Page 10

A & D HOPE LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2025

	Called up share capital	Capital redemption reserve	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2024	975	25	2,205,763	2,206,763
Comprehensive income for the year
Profit for the year	-	-	625,127	625,127
Total comprehensive income for the year	-	-	625,127	625,127

At 1 January 2025	975	25	2,830,890	2,831,890
Comprehensive income for the year
Profit for the year	-	-	1,004,144	1,004,144
Total comprehensive income for the year	-	-	1,004,144	1,004,144
At 31 December 2025	975	25	3,835,034	3,836,034

The notes on pages 14 to 28 form part of these financial statements.

Page 11

A & D HOPE LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	1,004,144	625,127
Adjustments for:
Depreciation of tangible assets	55,760	56,323
Loss on disposal of tangible assets	(1,667)	18,452
Interest paid	47,791	58,493
Interest received	(8,365)	(12,580)
Taxation charge	336,479	214,086
(Increase) in stocks	(1,127,509)	(176,233)
(Increase) in debtors	(820,628)	(1,502,848)
Increase in creditors	882,013	1,003,757
Corporation tax (paid)	(310,105)	(3,782)
Net cash generated from operating activities	57,913	280,795

Cash flows from investing activities
Purchase of tangible fixed assets	(157,094)	-
Sale of tangible fixed assets	2,083	(18,452)
Interest received	8,365	12,580
Net cash from investing activities	(146,646)	(5,872)
Cash flows from financing activities
Repayment of loans	(104,314)	(179,890)
Repayment of other loans	(49,931)	(249,572)
Repayment of/new finance leases	(6,759)	14,877
Interest paid	(47,791)	(58,493)
Net cash used in financing activities	(208,795)	(473,078)
Net (decrease) in cash and cash equivalents	(297,528)	(198,155)
Cash and cash equivalents at beginning of year	779,155	977,310
Cash and cash equivalents at the end of year	481,627	779,155

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	481,627	779,155
	481,627	779,155

Page 12

A & D HOPE LIMITED

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2025


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

Cash at bank and in hand	779,155	(297,528)	481,627
Debt due after 1 year	(21,174)	21,174	-
Debt due within 1 year	(151,549)	133,333	(18,216)
Finance leases	(14,877)	6,759	(8,118)
	591,555	(136,262)	455,293

The notes on pages 14 to 28 form part of these financial statements.

Page 13

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

1.	General information

A & D Hope Limited is a private company limited by shares, registered in England and Wales. The address of the company's registered office is 100 Oxford Street, London, United Kingdom,W1D 1LL.

The financial statements are presented in sterling which is the functional currency of the company rounded to the nearest £.

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

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

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

The following principal accounting policies have been applied:

2.2

Going concern

The director has assessed the Company’s ability to continue as a going concern for a period of at least 12 months from the date of approval of the financial statements.

In making this assessment, the directors have prepared forecasts and cash flow projections which show that the Company will be able to operate within its existing facilities and meet its liabilities as they fall due.

Accordingly, the financial statements have been prepared on a going concern basis.

2.3

Revenue

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:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

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

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Page 14

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.4

Interest income

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

2.5

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.6

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

2.7

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 payment 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 Balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

2.8

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 balance sheet date in the countries where the Company operates and generates income.

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

Page 15

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.9

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.

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 basis:

Motor vehicles	-	20%	straight line
Fixtures and fittings	-	10%	straight line
Computer 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 in profit or loss.

2.10

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

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 complete and sell. The impairment loss is recognised immediately in profit or loss.

2.11

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

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.

In the Statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

Page 16

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.13

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.14

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

2.15

Financial instruments

Financial instruments are recognised in the Company's Balance sheet 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 with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

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.

Page 17

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.15

Financial instruments (continued)

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 instruments

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.

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

The preparation of the financial statements in conformity with generally accepted accounting principles require the directors to make estimations and assumptions that affect the reported amounts of assets and lliabilities at the date of financial statements and the reported amoutns of revenues and expenses during the reporting period. Actual results in the future could differ from those estimates.

In preparing these financial statements, the director has not identified any critical accounting judgements or key sources of estimation uncertainty.

Page 18

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Turnover

An analysis of turnover by class of business is as follows:
	2025	2024
	£	£

Sales	17,974,521	15,898,263
	17,974,521	15,898,263

Analysis of turnover by country of destination:

					2025	2024
					£	£

United Kingdom	15,893,111	14,205,586
Rest of Europe	388,110	452,319
Rest of the world	1,693,300	1,240,358
	17,974,521	15,898,263

5.	Other operating income
		2025	2024
		£	£

Other operating income	5,831	145,700
	5,831	145,700

Exchange differences

224,979

42,889

Page 19

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Fees payable to the Company's auditors for the audit of the Company's financial statements

23,000

Wages and salaries	1,848,265	1,621,407
Social security costs	238,032	193,416
Cost of defined contribution scheme	22,272	21,384
	2,108,569	1,836,207

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

	2025	2024
	No.	No.

Employees	27	28

9.	Director's remuneration
		2025	2024
		£	£

Director's emoluments	225,000	225,000
Company contributions to defined contribution pension schemes	1,321	1,321
	226,321	226,321

	During the year retirement benefits were accruing to 1 director (2024 - 1) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £225,000 (2024 - £225,000).
	The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £1,321 (2024 - £1,321).

Page 20

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

10.	Interest receivable
		2025	2024
		£	£

	Other interest receivable	8,365	12,580
		8,365	12,580

11.	Interest payable and similar expenses
		2025	2024
		£	£

	Bank interest payable	47,791	58,493
		47,791	58,493

Corporation tax
Current tax on profits for the year	321,591	214,086
	321,591	214,086

Total current tax	321,591	214,086

Deferred tax
Origination and reversal of timing differences	14,888	-
Total deferred tax	14,888	-


	Tax on profit	336,479	214,086

Page 21

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

12.Taxation (continued)

Profit on ordinary activities before tax

1,340,623

839,213

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	335,156	209,803
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	22,347	4,390
Capital allowances for year in excess of depreciation	(22,597)	(8,814)
Increase or decrease in pension fund prepayment leading to an increase (decrease) in tax	(952)	337
Short-term timing difference leading to an increase (decrease) in taxation	14,888	-
Other differences leading to an increase (decrease) in the tax charge	(12,363)	8,370
Total tax charge for the year	336,479	214,086

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 22

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.	Tangible fixed assets

	Motor vehicles	Fixtures and fittings	Computer equipment	Total
	£	£	£	£
Cost or valuation
At 1 January 2025	174,808	23,307	126,214	324,329
Additions	-	88,946	68,148	157,094
Disposals	(50,500)	-	(4,040)	(54,540)
At 31 December 2025	124,308	112,253	190,322	426,883
Depreciation
At 1 January 2025	128,191	820	90,514	219,525
Charge for the year on owned assets	15,163	9,295	31,302	55,760
Disposals	(50,083)	-	(4,041)	(54,124)
At 31 December 2025	93,271	10,115	117,775	221,161
Net book value
At 31 December 2025	31,037	102,138	72,547	205,722
At 31 December 2024	46,617	22,487	35,700	104,804

14.	Stocks
		2025	2024
		£	£

Finished goods and goods for resale	2,891,556	1,764,047
	2,891,556	1,764,047

15.

Debtors

					2025	2024
					£	£


Trade debtors	2,096,816	1,413,262
Other debtors	1,136,238	1,692,921
Prepayments and accrued income	744,360	50,603
Tax recoverable	256,079	-

Page 23

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

15.Debtors (continued)

		4,233,493	3,156,786

16.	Cash and cash equivalents
		2025	2024
		£	£

Cash at bank and in hand	481,627	779,155
	481,627	779,155

Page 24

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

17.	Creditors: Amounts falling due within one year
		2025	2024
		£	£

Bank loans	-	83,140
Other loans	12,569	62,500
Trade creditors	466,886	456,787
Corporation tax	477,869	210,304
Other taxation and social security	705,033	437,013
Obligations under finance lease and hire purchase contracts	8,118	4,702
Other creditors	124,800	40,443
Accruals and deferred income	2,155,682	1,636,145
	3,950,957	2,931,034

The following liabilities were secured:
	2025	2024
	£	£


Hire purchase	8,118	4,702
	8,118	4,702

Details of security provided:

Trade and other creditors include £Nil (2024: £Nil) relating to invoice finance arrangements which are subject of a fixed and floating charge over the present and future assets of the company.

Included within creditors are amounts payable under hire purchase agreements. These liabilities are secured on the related assets to which they relate.

18.	Creditors: Amounts falling due after more than one year
		2025	2024
		£	£

Bank loans	-	21,174
Net obligations under finance leases and hire purchase contracts	-	10,175
	-	31,349

Page 25

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Amounts falling due within one year
Bank loans	-	83,140
Other loans	12,569	62,500
	12,569	145,640
Amounts falling due 1-2 years
Bank loans	-	21,174
	-	21,174


	12,569	166,814

Within one year	8,118	4,702
Between 1-5 years	-	10,175
	8,118	14,877

21.	Deferred taxation

		2025
		£

	At beginning of year	(10,519)
	Charged to profit or loss	(14,888)
	At end of year	(25,407)

Page 26

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

21.Deferred taxation (continued)

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

	Accelerated capital allowances	(25,407)	(10,519)
		(25,407)	(10,519)

22.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

975 (2024 - 975) Ordinary shares of £1.00 each	975	975

23.

Reserves

Capital redemption reserve

The capital redemption reserve arose on the redemption of ordinary shares in a prior period. There were no movements on the reserve during the year.

Profit and loss account

Profit and loss account represents the cumulative net profits and losses of the Company after dividends paid and other adjustments.

24.	Pension commitments

The Company operates a defined contributions 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 £22,272 (2024 - £21,384) . Contributions totalling £5,647 (2024 - £5,909) were payable to the fund at the balance sheet date and are included in creditors.

Page 27

A & D HOPE LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Not later than 1 year	182,039	111,279
Later than 1 year and not later than 5 years	452,371	434,161
Later than 5 years	109,854	168,758
	744,264	714,198

26.

Related party transactions

Included in other debtors is the amount of £758,303 (2024: £384,830) due from a director of the company. Interest of £Nil (2024: £7,783) was charged in the year.

Included within other debtors is an amount of £23,970 (2024:£20,000) due to a company under common control. This balance is not interest bearing, is unsecured and is repayable on demand.

Close family members of a director were employed by the company during the year. Total remuneration paid to these individuals amounted to £53,605 (2024: £42,010). Management considers the remuneration to be at arm’s length and commensurate with the services provided.

Page 28