REGISTERED NUMBER: 10343378 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 30 November 2025

for

Flawless UK Vape Distribution Ltd

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

7

Statement of Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Cash Flow Statement

14

Notes to the Cash Flow Statement

15

Notes to the Financial Statements

16

DIRECTORS:

T S Maini

M S Kohli

I S Maini

S S Kohli

P K Maini

REGISTERED OFFICE:

7 Sheene Road

Leicester

Leicestershire

LE4 1BF

REGISTERED NUMBER:

10343378 (England and Wales)

AUDITORS:

Duncan & Toplis Audit Limited

Statutory Auditor

Park House

37 Clarence Street

Leicester

Leicestershire

LE1 3RW

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

REVIEW OF BUSINESS

Turnover has increased from £105.7m to £120.3m in the year and pre tax profits have decreased from £11.8m to £10.7m. The directors are pleased with these results and much credit is due to the management and staff throughout the company.

During the year the company became a subsidiary of Flawless Vape Holdings Limited.

PRINCIPAL RISKS AND UNCERTAINTIES

The company's operations expose it to a variety of financial risks, outlined in detail below. The company has several risk management strategies in place that aim to reduce the adverse effects on the financial performance of the company by monitoring levels of a number of financial costs.

Currency risk

The Company is exposed to currency risk through the purchase of goods and sales to overseas markets. Fluctuations in exchange rates may impact the cost of goods and overall profitability. The Company monitors currency exposure as part of its financial management processes and seeks to mitigate risk through pricing strategies and operational planning.

Supplier risk

The Company sources products from a network of overseas suppliers, and its ability to maintain consistent product availability is dependent on timely and reliable supply. Disruption in global logistics, regulatory changes, or supplier failure could adversely affect operations. To mitigate this risk, the Company maintains strong, long-term supplier relationships, performs regular due diligence, and ensures sourcing is diversified across multiple trusted partners.

Compliance Risk

Compliance risk arises from the Company’s obligation to adhere to a wide range of regulations governing the sale, labelling, marketing, and distribution of vaping products. Given the evolving legislative environment—particularly the confirmed ban on disposable e-cigarettes from June 2025 - the Company recognises the increased complexity and potential exposure to regulatory breaches. To mitigate this risk, the Company maintains robust compliance procedures, monitors regulatory developments closely, and engages with legal advisors and relevant authorities to ensure all products and operations remain fully compliant.

SECTION 172(1) STATEMENT

Section 172 of The Companies Act 2006 states that a director of a company must act in the way it considers, in good faith, would be most likely to promote the success of the company for the benefit of its members as a whole, and in doing so have regards to:

-

The interests of the Company's employees;

-

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

-

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

-

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

-

The need to act fairly as between members of the company

The following outlines how the directors have fulfilled their responsibilities under Section 172 during the financial year:

Employees

Our people are fundamental to the successful operation of the business. See section on 'Engaging with employees' within the Directors report.

Business relationships

Our approach on engagement and management of business relationships with suppliers and customers is discussed within the Directors Report.

Maintaining High Standards of Business Conduct

Maintaining high standards of business conduct is crucial. We adhere to a comprehensive Code of Conduct that emphasizes integrity, fairness, and respect. Compliance with legal and regulatory requirements is monitored through regular audits and training programs to ensure all employees understand and uphold these standards.

KEY PERFORMANCE INDICATORS

The key performance indicators that the directors monitor the business by are the levels of turnover achieved, margins achieved and the net current assets position.

FUTURE DEVELOPMENTS

The directors consider that the company's market place will remain competitive in the near future. However, the directors believe that the company is well placed to take advantage of every opportunity in the coming year.

ON BEHALF OF THE BOARD:

T S Maini - Director

25 August 2026

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

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the distribution of vape products.

DIVIDENDS

The total distribution of dividends for the year ended 30 November 2025 was £1,648,500 (2024 - £1,218,267).

DIRECTORS

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

T S Maini

M S Kohli

I S Maini

S S Kohli

P K Maini

ENGAGEMENT WITH EMPLOYEES

We operate an equal opportunities employment policy and take all precautions to ensure the health safety and welfare of our staff.

As a family-run business we know that our fantastic team is crucial to every success, We devote a lot of care in selecting the best people for each job and training them to ensure that they have the right skills to do that job. We aim to build trusting relationships where employees feel motivated and engaged and are encouraged to develop to realise their own potential through support and training.

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

Customers

Our aim is to provide the best quality product to our customers. Efforts have been made to enhance our customer service through focusing on customer satisfaction. We engage with our customers through a variety of channels including social media and our website. We believe that engaging with our customers is the best way we can understand what they value most and ensure that we are tailoring our services to match their expectations.

Suppliers

We work to develop long term relationships with our suppliers and are committed to supporting local businesses whenever practical. As with customers, suppliers are treated with respect and dealt with in a fair, honest and equitable manner. We find this strengthens supply chain resilience.

STREAMLINED ENERGY AND CARBON REPORTING

The company is required to report under the Streamlined Energy and Carbon Reporting (SECR) framework under the Companies and Limited Liabilities Partnerships Regulations 2018. We have followed the governments guidance on how to measure and report greenhouse gas emissions and have used the 2025 UK Government's Conversion Factors for Company Reporting.

Greenhouse gas emissions and energy use data for the year 1 December 2024 to 30

November 2025

2025

2024

kWh

kWh

Energy consumption

Aggregate of energy consumption in the year

490,327

531,274

2025

2024

tCO2e

tCO2e

Scope 1 - direct emissions

Gas

29

40

Transportation

58

57

Scope 2 - indirect emissions

Electricity

13

18

Total gross emissions

100

115

Intensity ratio

Tonnes CO2e per £    of revenue

0.00083

0.00109

Intensity measurement

The chosen intensity measurement ratio is the gross emissions in metric tonne per £    of revenue in the year.

Measures taken to improve energy efficiency

The company recognises that its operations have a potential direct and indirect impact on the environment. The company promotes the reduction of energy consumption, minimising waste disposed to landfill by reducing, reusing and recycling, and reducing CO2 emissions. The company also promotes the adoption of new energy efficient technology as part or our ongoing plant and equipment and vehicle replacement programme.

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.

ON BEHALF OF THE BOARD:

T S Maini - Director

25 August 2026

Opinion

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

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 November 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 six, 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.

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

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

The capability to detect irregularities is based on the auditor identifying and assessing the risks of material misstatement of the financial statements, whether due to fraud or error, and then designing and performing audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

a) Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, the following approach was taken:

-

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

-

Consideration of the results of our enquiries of management and those charged with governance about their own identification and assessment of the risks of irregularities;

-

Understanding the company's policies and procedures on compliance with laws and regulations and management of fraud risk, including documentation of instances of non-compliance of laws and regulations and instances of actual, suspected or alleged fraud;

-

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

-

Understanding the legal and regulatory frameworks that the company operates in through enquiry of management and those charged with governance and understanding the company's industry and sector. The key laws and regulations that were considered to have an effect on material amounts and disclosures in the financial statements included the Companies Act and tax legislation.

b) Audit response to risks identified

Based on this understanding, the following audit procedures were designed and performed to respond to the risks identified:

-

Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations described as having a direct effect on the financial statement;

-

Enquiring of management, those charged with governance and, where applicable, the company's solicitors concerning actual and potential litigation and claims;

-

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

-

Reviewing minutes of meetings of those charged with governance and, where applicable, correspondence with regulators;

-

Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness and evaluating the business rationale of significant transactions outside the normal course of business;

-

Communication of potential fraud risks to all engagement team members and remaining alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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 Report of the Auditors.

Use of our report

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

Peter Morris FCA (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Audit Limited

Statutory Auditor

Park House

37 Clarence Street

Leicester

Leicestershire

LE1 3RW

25 August 2026

TURNOVER

3

120,272,489

105,686,478

Cost of sales

(102,406,600

)

(88,492,169

)

GROSS PROFIT

17,865,889

17,194,309

Administrative expenses

(7,327,718

)

(5,699,351

)

10,538,171

11,494,958

Other operating income

152,389

157,829

OPERATING PROFIT

5

10,690,560

11,652,787

Interest receivable and similar income

134,941

184,241

10,825,501

11,837,028

Interest payable and similar expenses

6

(100,441

)

(39,460

)

PROFIT BEFORE TAXATION

10,725,060

11,797,568

Tax on profit

7

(2,697,463

)

(2,990,347

)

PROFIT FOR THE FINANCIAL YEAR

8,027,597

8,807,221

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

8,027,597

8,807,221

FIXED ASSETS

Tangible assets

9

964,011

1,365,359

CURRENT ASSETS

Stocks

10

10,504,306

8,512,906

Debtors

11

27,883,023

13,371,724

Cash at bank and in hand

558,175

9,441,427

38,945,504

31,326,057

CREDITORS

Amounts falling due within one year

12

(10,379,637

)

(9,261,014

)

NET CURRENT ASSETS

28,565,867

22,065,043

TOTAL ASSETS LESS CURRENT LIABILITIES

29,529,878

23,430,402

CREDITORS

Amounts falling due after more than one year

13

(459,127

)

(638,508

)

PROVISIONS FOR LIABILITIES

16

(210,044

)

(310,284

)

NET ASSETS

28,860,707

22,481,610

CAPITAL AND RESERVES

Called up share capital

17

66

66

Capital redemption reserve

18

33

33

Retained earnings

18

28,860,608

22,481,511

SHAREHOLDERS' FUNDS

28,860,707

22,481,610

The financial statements were approved by the Board of Directors and authorised for issue on 25 August 2026 and were signed on its behalf by:

T S Maini - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 December 2023

66

14,892,557

33

14,892,656

Changes in equity

Dividends

-

(1,218,267

)

-

(1,218,267

)

Total comprehensive income

-

8,807,221

-

8,807,221

Balance at 30 November 2024

66

22,481,511

33

22,481,610

Changes in equity

Dividends

-

(1,648,500

)

-

(1,648,500

)

Total comprehensive income

-

8,027,597

-

8,027,597

Balance at 30 November 2025

66

28,860,608

33

28,860,707

Cash flows from operating activities

Cash generated from operations

1

9,873,534

10,271,739

Interest element of hire purchase payments paid

(50,421

)

(39,460

)

Corporation tax interest paid

(50,020

)

-

Tax paid

(4,098,397

)

(2,886,451

)

Tax received

40,406

-

Net cash from operating activities

5,715,102

7,345,828

Cash flows from investing activities

Purchase of tangible fixed assets

(77,697

)

(34,793

)

Sale of tangible fixed assets

36,250

35,500

Interest received

134,941

184,241

Loans to related parties

(12,782,544

)

(195,000

)

Net cash from investing activities

(12,689,050

)

(10,052

)

Cash flows from financing activities

Capital repayments in year

(260,804

)

(491,914

)

Equity dividends paid

(1,648,500

)

(1,218,267

)

Net cash from financing activities

(1,909,304

)

(1,710,181

)

(Decrease)/increase in cash and cash equivalents

(8,883,252

)

5,625,595

Cash and cash equivalents at beginning of year

2

9,441,427

3,815,832

Cash and cash equivalents at end of year

2

558,175

9,441,427

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.11.25

30.11.24

£

£

Profit before taxation

10,725,060

11,797,568

Depreciation charges

428,678

354,791

Loss on disposal of fixed assets

14,116

33,181

Finance costs

100,441

39,460

Finance income

(134,941

)

(184,241

)

11,133,354

12,040,759

Increase in stocks

(1,991,400

)

(603,546

)

Increase in trade and other debtors

(1,728,756

)

(3,097,815

)

Increase in trade and other creditors

2,460,336

1,932,341

Cash generated from operations

9,873,534

10,271,739

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30 November 2025

30.11.25

1.12.24

£

£

Cash and cash equivalents

558,175

9,441,427

Year ended 30 November 2024

30.11.24

1.12.23

£

£

Cash and cash equivalents

9,441,427

3,815,832

3.	ANALYSIS OF CHANGES IN NET FUNDS/(DEBT)

At 1.12.24

Cash flow

At 30.11.25

£

£

£

Net cash

Cash at bank and in hand

9,441,427

(8,883,252

)

558,175

9,441,427

(8,883,252

)

558,175

Debt

Finance leases

(849,511

)

260,804

(588,707

)

(849,511

)

260,804

(588,707

)

Total

8,591,916

(8,622,448

)

(30,532

)

1.	STATUTORY INFORMATION

Flawless UK Vape Distribution Ltd 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 presentation currency of the financial statements is the Pound Sterling (£).

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.

Critical accounting judgements and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below:

i) Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of assets. The useful economic lives and residual values are reviewed annually. They are amended when necessary to reflect current accounting estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

ii) Stock

In determining stock provisions, future demand and selling price is evaluated and appropriate provisions are made to reflect the risk of obsolescence and impairment in carrying value. The provisioning policy is in place to ensure that the carrying value of stock recognised in the financial statements is the lower of cost and estimated selling price, in accordance with the stated accounting policy.

Turnover

Turnover is measured at fair value of the consideration received or receivable and represents the amount receivable for goods supplied or services rendered, net of returns, discounts and rebates allowed by the company and Valued Added Tax.

The company recognises turnover when the following criteria have been met:

i) Sale of goods

Revenue from the sale of goods is recognised when :

(a) the significant risks and rewards of ownership have been transferred to the buyer;

(b) the company retains no ongoing involvement or control over the goods;

(c) the revenue can be reliably measured;

(d) it is probable that the Company will receive the consideration due under the transaction; and

(e) the costs incurred in respect of the transaction can be reliably measured.

Tangible fixed assets

Tangible assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price and costs directly attributable to bringing the asset to the location and condition necessary for its intended use.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

20% on cost

Fixtures and fittings

20% on cost

Motor vehicles

25% on cost

Computer equipment

25% on cost

The expected useful lives of assets are reviewed and adjusted, if appropriate, at the end of each reporting period. The effect of any change is accounted for prospectively.

Stocks

Stocks are valued at the lower of cost and estimated selling price less costs to complete and sell, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport and handling costs in bringing stocks to their present location and condition.

At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the identified stock is reduced to its selling price less costs to sell and an impairment charge is recognised in the Statement of Comprehensive Income.

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable and other third parties.

Financial assets that are measured at cost and amortised cost are assessed at the end to each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the statement of comprehensive income.

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 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.

3.

TURNOVER

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

An analysis of turnover by geographical market is given below:

30.11.25

30.11.24

£

£

United Kingdom

113,422,086

95,866,148

Europe

6,818,886

9,712,882

Rest of the World

31,517

107,448

120,272,489

105,686,478

4.	EMPLOYEES AND DIRECTORS

30.11.25

30.11.24

£

£

Wages and salaries

3,928,931

3,123,534

Social security costs

452,066

292,409

Other pension costs

37,405

40,165

4,418,402

3,456,108

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

30.11.25

30.11.24

Directors

5

5

Employees

149

112

154

117