Company No: 01699180 (England and Wales)

Contents

• Balance Sheet
• Notes to the Financial Statements

	Note	2025		2024
		£		£
Fixed assets
Tangible assets	3	174,770		121,212
		174,770		121,212
Current assets
Stocks	4	1,969,535		1,916,859
Debtors	5	1,069,469		1,518,375
Investments	6	821,919		750,729
Cash at bank and in hand		1,452,550		1,281,108
		5,313,473		5,467,071
Creditors: amounts falling due within one year	7	( 835,046)		( 1,045,144)
Net current assets		4,478,427		4,421,927
Total assets less current liabilities		4,653,197		4,543,139
Provision for liabilities	8	( 45,370)		( 19,059)
Net assets		4,607,827		4,524,080
Capital and reserves
Called-up share capital		80,000		80,000
Fair value reserve		91,405		52,797
Profit and loss account		4,436,422		4,391,283
Total shareholder's funds		4,607,827		4,524,080

For the financial year ending 31 December 2025 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Profit and Loss Account has not been delivered.

The financial statements of Cygnus Instruments Limited (registered number: 01699180) were approved and authorised for issue by the Board of Directors on 19 August 2026. They were signed on its behalf by:

L N Crosthwaite-Eyre Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Cygnus Instruments Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is 30 Prince Of Wales Road, Dorchester, Dorset, DT1 1PW, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

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

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Balance Sheet date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Profit and Loss Account in the period in which they arise.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Employee benefits

Defined contribution schemes
The Company operates a defined contribution scheme. The amount charged to the Profit and Loss Account in respect of pension costs and other post-retirement benefits is the contributions payable in the financial year. Differences between contributions payable in the financial year and contributions actually paid are included as either accruals or prepayments in the Balance Sheet.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date. Tax is recognised in the profit and loss account, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

Deferred tax
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the Company's financial statements. Deferred tax is provided in full on timing differences which result in an obligation to pay more or less tax at a future date, at the tax rates and laws that have been enacted or substantively enacted by the Balance Sheet date that are expected to apply when the timing differences reverse. Deferred tax assets and liabilities are not discounted.

Deferred tax liabilities are presented within provisions for liabilities on the balance sheet.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Leasehold improvements	20 years straight line
Plant and machinery	20 % reducing balance
Vehicles	25 % reducing balance
Fixtures and fittings	3 years straight line
	20 % reducing balance

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

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.

Leases

The Company as lessee
Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Fixed asset investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value through profit or loss if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts, except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

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 deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Equity instruments
Equity instruments issued by the Company are recorded at the fair value of cash or other resources received or receivable, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

Ordinary share capital

The ordinary share capital of the Company is presented as equity.

2. Employees

	2025		2024
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	35		32

3. Tangible assets

	Leasehold improve- ments		Plant and machinery		Vehicles		Fixtures and fittings		Total
	£		£		£		£		£
Cost
At 01 January 2025	30,997		77,650		68,026		97,931		274,604
Additions	60,863		5,899		0		23,079		89,841
At 31 December 2025	91,860		83,549		68,026		121,010		364,445
Accumulated depreciation
At 01 January 2025	0		61,206		17,105		75,081		153,392
Charge for the financial year	2,816		5,977		17,007		10,483		36,283
At 31 December 2025	2,816		67,183		34,112		85,564		189,675
Net book value
At 31 December 2025	89,044		16,366		33,914		35,446		174,770
At 31 December 2024	30,997		16,444		50,921		22,850		121,212

During the year, one of the leasehold properties became operational and depreciation has been charged from the date it was brought into use. Following this, both leasehold properties are now operational and being depreciated over their useful lives.

4. Stocks

	2025		2024
	£		£
Stocks	1,879,285		1,844,954
Work in progress	90,250		71,905
	1,969,535		1,916,859

5. Debtors

	2025		2024
	£		£
Trade debtors	737,666		680,524
Amounts owed by Group undertakings	156,542		650,667
Prepayments	68,000		114,818
VAT recoverable	102,143		58,701
Other debtors	5,118		13,665
	1,069,469		1,518,375

Amounts owed by Group undertakings are repayable on demand and do not bear interest.

6. Current asset investments

	2025		2024
	£		£
Listed investments – at fair value	821,919		750,729
	0		0
	821,919		750,729

The fair value of listed investments, which are all traded in active markets, was determined with reference to the quoted market price at the reporting date.

The deferred tax attributable to the investments has been considered and £30,468 (2024 - £10,962) has been provided for in the financial statements

7. Creditors: amounts falling due within one year

	2025		2024
	£		£
Trade creditors	323,216		135,749
Accruals and deferred income	339,635		534,029
Corporation tax	89,897		303,798
Other taxation and social security	43,624		30,295
Other creditors	38,674		41,273
	835,046		1,045,144

There are no amounts included above in respect of which any security has been given by the small entity.

8. Provision for liabilities

	2025		2024
	£		£
Deferred tax	45,370		19,059

9. Financial commitments

Commitments

Total future minimum lease payments under non-cancellable operating leases are as follows:

	2025		2024
	£		£
Within one year	0		2,063

The non-cancellable operating leases above relate to the rental of an item of plant and machinery.

10. Related party transactions

Transactions with owners holding a participating interest in the entity

The company has taken advantage of the exemptions provided from disclosing transactions with its parent on the grounds that it is a wholly owned subsidiary.

11. Ultimate controlling party

Parent Company:

Cygnus NDT Solutions Limited

30 Prince of Wales Road, Dorchester, Dorset, DT1 1PW

These financial statements are available upon request from Companies House, Cardiff.