REGISTERED NUMBER: 00260993 (England and Wales)

MARTON MILLS COMPANY LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST DECEMBER 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

to

4

Report of the Independent Auditors

5

to

7

Income Statement

8

Balance Sheet

9

Statement of Changes in Equity

10

Cash Flow Statement

11

Notes to the Cash Flow Statement

12

Notes to the Financial Statements

13

to

21

DIRECTORS:

F I Dodson

B J Fearnley

L C Fletcher

R L Watts

D R Watts

C M Watts

SECRETARY:

B J Fearnley

REGISTERED OFFICE:

Pool Mills

Pool-In-Wharfedale

Otley

West Yorkshire

LS21 1TA

REGISTERED NUMBER:

00260993 (England and Wales)

AUDITORS:

Thomas Coombs Limited

Statutory Auditor

Chartered Accountants

3365 The Pentagon

Century Way

Thorpe Park

Leeds

West Yorkshire

LS15 8ZB

BANKERS:

HSBC Bank Plc

1 Well Croft

Shipley

West Yorkshire

BD18 3QH

The directors present their strategic report for the year ended 31st December 2025.

The Company's principal activity during the year continued to be that of fabric manufacture.

There have not been any significant changes in the Company's activities in the year under review.

REVIEW OF BUSINESS

Trading conditions in 2025 were mixed, a slower demand in the first half of the year due to wider economic pressures followed by a stronger second half driven by improved orders from uniform, corporatewear and export customers.

Turnover decreased slightly from £7.9 million in 2024 to £7.5 million this year. The Gross Profit increased to £1.7 million representing a margin of 22.4% (In 2024 it was £1.6 million, 19.7%). Net profit before tax for 2025 was £0.3 million which is almost identical to the previous year.

The Directors of the company are satisfied with the performance of the company during the year and the position at the balance sheet date.

PRINCIPAL RISKS AND UNCERTAINTIES

The key business risks and uncertainties affecting the Company are considered to relate to:

- The threat of competition, especially from imports

- Raw material prices

- Uncertain customer demand for British made textiles

- Difficulty recruiting skilled employees

- Increasing UK manufacturing costs (energy, labour and tax)

FINANCIAL KEY PERFORMANCE INDICATORS

Financial performance is measured by turnover and operating profit. Turnover was £7,522,228 in 2025 compared to £7,909,387 in 2024 which is a decrease of £387,159. Operating profit was £311,250 in 2025 compared to £265,838 in 2024 which is an increase of £45,412.

There was a decrease in stock value of £242,816 during the year, at 31st December the stock value was £2,859,015 in 2025 compared to £3,101,831 in 2024.

At 31st December, the bank accounts were in credit by £1,478,375 in 2025 compared to £1,090,854 in 2024 showing an increase in cash at the year-end of £387,521.

FUTURE DEVELOPMENTS

The Directors intentions are to continue the strong performance of the company producing high-quality British fabric using a highly efficient production process. To continue investing in both machinery and employees to maintain a flexible, highly skilled and engaged workforce and to consistently meet and exceed customer requirements and expectations.

ON BEHALF OF THE BOARD:

B J Fearnley - Director

23rd June 2026

The directors present their report with the financial statements of the company for the year ended 31st December 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of fabric manufacture

DIVIDENDS

The total distribution of dividends for the year ended 31 December 2025 will be £39,986.

DIRECTORS

The directors shown below have held office during the whole of the period from 1st January 2025 to the date of this report.

F I Dodson

B J Fearnley

L C Fletcher

R L Watts

D R Watts

C M Watts

RESULTS

The profit for the year, after taxation, amounted to £242,500 (2024: £179,569).

MATTERS COVERED IN THE STRATEGIC REPORT

Disclosures with regard to review of the business, principal risks and uncertainties, key performance indicators and future plans are included in the strategic report.

RISK MANAGEMENT

The company has exposure to two main areas of risk - liquidity risk and customer credit exposure.

Liquidity risk

The objective of the company in managing liquidity risk is to ensure that it can meet its financial obligations as and when they fall due. The company expects to meet its financial obligations through operating cash flows.

Customer credit exposure

The company offers credit terms to its customers which allow payment of the debt after delivery of the goods or services. The company is at risk to the extent that a customer may be unable to pay the debt on the specified due date. The risk is mitigated by strong on-going customer relationships and financial advice from a credit reference agency.

DIRECTORS' LIABILITIES

In accordance with normal commercial practice, the company has purchased insurance to protect directors and officers from claims arising from negligent acts, errors or omissions occurring whilst on company business. The insurance provides cover up to £1,000,000 on any claim and the cost for the year ended 31 December 2025 was £990.

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;

-	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 auditors, Thomas Coombs Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

B J Fearnley - Director

23rd June 2026

Opinion

We have audited the financial statements of Marton Mills Company Limited (the 'company') for the year ended 31st December 2025 which comprise the Income Statement, Other 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 31st 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 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 pages three and four, 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:

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

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our knowledge of the business and sector, enquiries of directors and management, and review of regulatory information and correspondence. We communicated identified laws and regulations throughout the audit team and remained alert to any indication of non-compliance through the audit.

We discussed with directors and management the policies and procedures in place to ensure compliance with laws and regulations and otherwise prevent, deter and detect fraud.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations identified as potentially having a material effect on the financial statements. Our procedures included review of financial statement information and testing of that information, enquiries of management and examination of documents, analytical procedures to identify unusual or unexpected relationships that may indicate fraud, and procedures to address the risk of fraud through director or management override of controls.

At the completion stage of the audit, the engagement partner's review included ensuring the audit team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

The primary responsibility for the prevention and detection of fraud rests with those charged with governance and management, and we cannot be expected to detect non-compliance with all laws and regulations. There are inherent limitations in the audit procedures described above and the further removed non-compliance of laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. In addition, the risk of not detecting a material misstatement relating to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment.

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.

Christopher Darwin FCA (Senior Statutory Auditor)

for and on behalf of Thomas Coombs Limited

Statutory Auditor

Chartered Accountants

3365 The Pentagon

Century Way

Thorpe Park

Leeds

West Yorkshire

LS15 8ZB

23rd June 2026

TURNOVER

3

7,522,228

7,909,387

Cost of sales

5,837,888

6,353,513

GROSS PROFIT

1,684,340

1,555,874

Distribution costs

460,792

376,383

Administrative expenses

929,848

925,353

1,390,640

1,301,736

293,700

254,138

Other operating income

4

17,550

11,700

OPERATING PROFIT

6

311,250

265,838

Interest receivable and similar income

12,590

21,956

323,840

287,794

Interest payable and similar expenses

7

2,927

5,775

PROFIT BEFORE TAXATION

320,913

282,019

Tax on profit

8

78,413

102,450

PROFIT FOR THE FINANCIAL YEAR

242,500

179,569

FIXED ASSETS

Intangible assets

10

-

-

Tangible assets

11

2,918,407

2,918,452

Investment property

12

286,053

286,053

3,204,460

3,204,505

CURRENT ASSETS

Stocks

13

2,859,015

3,101,831

Debtors

14

1,563,171

1,410,116

Investments

15

1,000,000

-

Cash at bank and in hand

478,593

1,088,686

5,900,779

5,600,633

CREDITORS

Amounts falling due within one year

16

875,107

755,344

NET CURRENT ASSETS

5,025,672

4,845,289

TOTAL ASSETS LESS CURRENT LIABILITIES

8,230,132

8,049,794

CREDITORS

Amounts falling due after more than one year

17

(66,649

)

(66,649

)

PROVISIONS FOR LIABILITIES

19

(409,272

)

(406,023

)

NET ASSETS

7,754,211

7,577,122

CAPITAL AND RESERVES

Called up share capital

20

859,443

868,643

Share premium

21

32,114

32,114

Capital redemption reserve

21

45,946

36,746

Retained earnings

21

6,816,708

6,639,619

SHAREHOLDERS' FUNDS

7,754,211

7,577,122

The financial statements were approved by the Board of Directors and authorised for issue on 23rd June 2026 and were signed on its behalf by:

B J Fearnley - Director

Called up

Capital

share

Retained

Share

redemption

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1st January 2024

868,643

6,502,189

32,114

36,746

7,439,692

Profit for the year

-

179,569

-

-

179,569

Total comprehensive income

-

179,569

-

-

179,569

Dividends

-

(42,139

)

-

-

(42,139

)

Total transactions with owners, recognised directly in equity

-

(42,139

)

-

-

(42,139

)

Balance at 31st December 2024

868,643

6,639,619

32,114

36,746

7,577,122

Profit for the year

-

242,500

-

-

242,500

Other comprehensive income

-

(25,425

)

-

-

(25,425

)

Total comprehensive income

-

217,075

-

-

217,075

Dividends

-

(39,986

)

-

-

(39,986

)

Reduction in share capital

(9,200

)

-

-

9,200

-

Total transactions with owners, recognised directly in equity

(9,200

)

(39,986

)

-

9,200

(39,986

)

Balance at 31st December 2025

859,443

6,816,708

32,114

45,946

7,754,211

Cash flows from operating activities

Cash generated from operations

1

670,836

1,195,655

Interest paid

(2,927

)

(5,775

)

Tax paid

(45,762

)

(260,542

)

Net cash from operating activities

622,147

929,338

Cash flows from investing activities

Purchase of tangible fixed assets

(250,340

)

(1,097,251

)

Time deposit accounts

(1,000,000

)

-

Interest received

12,590

21,956

Net cash from investing activities

(1,237,750

)

(1,075,295

)

Cash flows from financing activities

Amount introduced by directors

70,921

-

Amount withdrawn by directors

-

(79,758

)

Share buyback

(25,425

)

-

Equity dividends paid

(39,986

)

(42,139

)

Net cash from financing activities

5,510

(121,897

)

Decrease in cash and cash equivalents

(610,093

)

(267,854

)

Cash and cash equivalents at beginning of year

2

1,088,686

1,356,540

Cash and cash equivalents at end of year

2

478,593

1,088,686

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

2025

2024

£

£

Profit before taxation

320,913

282,019

Depreciation charges

250,385

233,626

Loss on disposal of fixed assets

-

7,681

Finance costs

2,927

5,775

Finance income

(12,590

)

(21,956

)

561,635

507,145

Decrease in stocks

242,816

121,105

(Increase)/decrease in trade and other debtors

(221,892

)

563,759

Increase in trade and other creditors

88,277

3,646

Cash generated from operations

670,836

1,195,655

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 31st December 2025

31/12/25

1/1/25

£

£

Cash and cash equivalents

478,593

1,088,686

Year ended 31st December 2024

31/12/24

1/1/24

£

£

Cash and cash equivalents

1,088,686

1,356,540

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1/1/25

Cash flow

At 31/12/25

£

£

£

Net cash

Cash at bank and in hand

1,088,686

(610,093

)

478,593

1,088,686

(610,093

)

478,593

Liquid resources

Current asset investments

-

1,000,000

1,000,000

-

1,000,000

1,000,000

Total

1,088,686

389,907

1,478,593

1.	STATUTORY INFORMATION

Marton Mills Company 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.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the applicable accounting standards including 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 on a going concern basis under the historical cost convention modified to include certain items at fair value.

The financial statements are presented in Pounds Sterling which is the functional currency of the company and rounded to the nearest pound.

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

Going Concern

At the time of signing these accounts, having considered the economic climate, the directors expectations and intentions for the next 12 months, and the availability of working capital, the directors are of the opinion that the company will remain viable for the foreseeable future and accordingly these financial statements have been prepared on the going concern basis.

Significant judgements and estimates

Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include provisions for stock obsolescence and the investment property valuation.

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Turnover is revenue earned from the sale of goods.

Turnover from the sale of goods is recognised when the Company has transferred the significant risks and rewards of ownership to the buyer. This is usually at the point that the customer has signed for the delivery of goods.

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer's interest in the fair value of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight line basis to the statement of comprehensive income over its useful economic life.

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

The estimated useful lives range as follows:

Goodwill - 5 years

Tangible fixed assets

Tangible fixed assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

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

Freehold property - Straight line over 30 and 50 years

Plant and machinery - Straight line over 5 - 15 years

Motor Vehicles - Straight line over 5 years

Office equipment - Straight line over 5 and 7 years

Investment property

Investment property is carried at fair value determined annually and derived from the current market rents and investment property yields for comparable property adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the profit and loss account.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, 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.

Foreign currencies

Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items are measured at fair value are measured using the exchange when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the profit and loss account.

Hire purchase and leasing commitments

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

Short-term employee benefits and contributions to defined contribution plans are recognised as an expense in the period in which they are incurred.

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Financial instruments

The company only enters into transactions in 'basic' financial instruments which result in the recognition of assets and liabilities; these include trade and other debtors and creditors, bank balances, loans from banks and other third parties, and loans to related parties. These are recognised in the company's balance sheet when it becomes party to the contractual provisions of the instrument.

Basic financial assets (other than those classified as payable within one year) are initially measured at cost and are subsequently carried at cost or amortised cost using the effective interest method, less any impairment losses. Basic financial assets classed as receivable within one year are not amortised.

Basic financial liabilities (other than those classified as payable within one year) are initially measured at present value of future cash flows and subsequently at amortised cost using the effective interest method. Basic financial liabilities classed as payable within one year are not amortised.

Financial assets and liabilities are offset, with the net amount reported 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.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposit held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts are shown within borrowing in current liabilities.

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.

3.

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

7,522,228

7,909,387

7,522,228

7,909,387

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

5,785,061

6,244,687

Europe

1,165,262

1,108,627

Rest of World

571,905

556,073

7,522,228

7,909,387

4.	OTHER OPERATING INCOME

2025

2024

£

£

Rents received

17,550

11,700

5.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

1,864,109

2,000,509

Social security costs

222,376

201,056

Other pension costs

204,087

195,008

2,290,572

2,396,573

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

2025

2024

Monthly

16

15

Weekly

32

37

48

52

2025

2024

£

£

Directors' remuneration

267,067

224,199

Directors' pension contributions to money purchase schemes

24,847

33,462

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

Money purchase schemes

4

4

Information regarding the highest paid director is as follows:

2025

2024

£

£

Emoluments etc

95,957

83,985