REGISTERED NUMBER: 00439454 (England and Wales)

Group Strategic Report, Report of the Directors and

Audited Consolidated Financial Statements for the Year Ended 31 December 2025

for

Cecil Macdonald & Co Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

10

Report of the Independent Auditors

12

Consolidated Statement of Comprehensive Income

16

Consolidated Balance Sheet

17

Company Balance Sheet

18

Consolidated Statement of Changes in Equity

19

Company Statement of Changes in Equity

20

Consolidated Cash Flow Statement

21

Notes to the Consolidated Cash Flow Statement

22

Notes to the Consolidated Financial Statements

24

DIRECTORS:

S R Wescott

G I Sankey

J Dickinson Green

M Westcott

N Wadia

M Hawkins

SECRETARY:

D Gould

REGISTERED OFFICE:

Macdonald House

21-31 Kelvin Way

Crawley

West Sussex

RH10 9SP

REGISTERED NUMBER:

00439454 (England and Wales)

AUDITORS:

Brewers Chartered Accountants

Unit 3

Birtley Courtyard

Bramley

Surrey

GU5 0LA

OVERVIEW

The Group is one of the largest independent specialist distributors of beers, wines, spirits, consumables, fragrance and cosmetics in the United Kingdom operating within the travel retail sector.

During the financial year, the Group generated turnover in excess of £80 million and profit before tax of £4.5 million. Strong performance particularly in Airline and Cruise ships helped achieve a very positive result.

The Directors consider the financial performance for the year to be satisfactory, reflecting the continued strength of the Group's customer relationships, specialist knowledge of the travel retail supply chain and ability to provide reliable warehousing and distribution services in a competitive and operationally demanding market.

The Group continues to focus on sustainable and profitable growth, maintaining high levels of customer service while controlling costs, improving operational productivity and investing appropriately in its people, infrastructure, systems and distribution capabilities.

PRINCIPAL ACTIVITIES AND BUSINESS MODEL

The principal activity of the Group is the provision of warehousing, distribution and related logistics services.

The Group's business model is based on developing long-term relationships with customers by providing a carefully curated range of products to meet the diverse taste of today's travellers coupled with reliable, flexible and cost-effective logistics solutions.

Travel retail logistics requires specialist operational knowledge due to the nature of airport environments, delivery restrictions, security requirements, service-level expectations and fluctuations in demand.

The Group's experience in this sector, together with its operational infrastructure and established customer relationships, represents an important competitive advantage.

BUSINESS REVIEW

The Group achieved turnover of approximately £80 million during the year and generated profit before tax of £4.5 million.

Management continues to balance revenue growth with the need to maintain appropriate commercial returns. This is particularly important within the logistics sector, where labour, property, energy, transport and technology costs represent significant components of the Group's cost base.

The Group's performance is dependent not only on overall revenue but also on customer mix, warehouse utilisation, labour productivity, transport efficiency and the effective management of overhead expenditure.

During the year, management continued to focus on operational efficiency, service quality and customer retention while identifying opportunities to develop existing customer relationships and secure additional business.

Travel Retail Market

The Group operates predominantly within the travel retail supply chain and is therefore influenced by levels of international travel, passenger volumes, airport retail activity and the performance of its customers.

The Directors remain positive regarding the long-term fundamentals of the travel retail market.

However, the sector remains competitive and can be affected by economic conditions, geopolitical events, changes in consumer expenditure, disruption to international travel and changes in airport passenger volumes.

The Group seeks to mitigate these risks through close customer relationships, operational flexibility and diversification across customers, product categories and distribution activities.

STRATEGY

The Group's strategy is to deliver sustainable long-term growth while maintaining appropriate levels of profitability, liquidity and financial discipline.

The principal strategic priorities are as follows.

Customer Retention

Maintaining strong relationships with existing customers remains fundamental to the Group's strategy.

The Group aims to achieve high levels of service performance and to work collaboratively with customers to respond to changes in their operational and supply-chain requirements.

New Business Development

The Group continues to pursue opportunities to secure new customers within the travel retail sector.

New business opportunities are assessed not only by reference to potential turnover but also expected profitability, operational requirements, capital requirements, contract duration and strategic fit.

Development of Existing Accounts

The Group seeks opportunities to expand the services provided to existing customers through additional warehousing, distribution, value-added and supply-chain activities.

The Directors believe that the Group's established customer relationships provide opportunities for further organic growth.

Operational Efficiency

Improving productivity remains an important strategic objective.

Management continually reviews warehouse processes, labour utilisation, storage capacity, transport operations and administrative processes to identify opportunities to improve efficiency.

Technology and Data

Technology investment is assessed according to its ability to improve customer service, productivity, operational control and financial returns. Investment priorities include warehouse and stock management, transport management, operational data and management information.

People

The Group's employees are central to its ability to deliver consistently high levels of customer service.

The Group therefore seeks to recruit, develop and retain appropriately skilled employees and management while maintaining a safe and productive working environment.

FINANCIAL STRATEGY

The Group's financial strategy is focused on profitable growth, cash generation, disciplined working-capital management and appropriate control of capital expenditure.

The Group seeks to maintain an appropriate balance between investing for future growth and maintaining financial resilience.

KEY PERFORMANCE INDICATORS

The Directors use a combination of financial and non-financial measures to assess the performance of the Group.

Key financial indicators include:

2025

2024

Turnover

£80m

£81m

Gross margin

11.1%

11.2%

Liquidity

1.90

1.79

Debtor days

35 days

31 days

The Directors consider these measures collectively when assessing the financial and operational health of the Group.

PRINCIPAL RISKS AND UNCERTAINTIES

The Directors regularly review the following principal risks facing the Group and the measures in place to manage those risks.

Customer Concentration

The loss or significant reduction in activity of a major customer could adversely affect revenue and profitability.

The Group seeks to mitigate this risk by maintaining close relationships with key customers, providing high levels of service and developing a diversified customer portfolio.

Competitive Pressure

The warehousing and distribution market remains highly competitive.

Competition can create downward pressure on pricing and margins, particularly during contract tenders and renewals.

The Group seeks to differentiate itself through its specialist travel retail knowledge, operational capability, service quality, flexibility and established customer relationships.

Margin and Cost Inflation

The Group is exposed to changes in labour, fuel, energy, property and other operating costs.

Where possible, contracts are structured to allow appropriate pricing reviews or recovery of material cost increases.

Management also focuses on productivity and procurement initiatives to mitigate inflationary pressure.

Labour Availability and Costs

The Group relies on its workforce to provide warehousing and distribution services.

Labour shortages, employee turnover and wage inflation could affect both operational performance and profitability.

The Group seeks to mitigate these risks through workforce planning, employee development, appropriate remuneration and investment in operational efficiency.

Customer Demand and Travel Activity

The Group's exposure to travel retail means that changes in passenger volumes and international travel can affect customer demand.

Major economic, geopolitical, health or aviation-related events could therefore affect activity levels.

The Group maintains flexible operating arrangements where practicable and continues to seek diversification across its customer portfolio.

Operational Disruption

Warehouse or distribution disruption could affect the Group's ability to meet customer requirements.

The Group maintains appropriate operational procedures, business continuity arrangements and insurance coverage.

Information Technology and Cybersecurity

The Group is increasingly dependent on technology for warehouse management, stock control, customer communications and financial administration.

System failures or cyber incidents could result in operational disruption, financial loss or reputational damage.

The Group continues to maintain and develop appropriate IT controls, cybersecurity measures, backup arrangements and disaster recovery processes.

Health and Safety

Warehousing and transport operations carry inherent health and safety risks.

The Group is committed to maintaining appropriate policies, training, risk assessments and operational controls to protect employees and other stakeholders.

Regulatory and Compliance Risk

The Group operates within a regulated logistics environment and may be subject to customs, bonded warehousing, security, employment, environmental, transport and other regulatory requirements.

Management seeks to ensure that appropriate systems and controls are maintained to support compliance with applicable requirements.

Credit and Liquidity Risk

The Group is exposed to the risk of customers failing to meet their financial obligations. Credit exposure and debtor balances are monitored, and management maintains appropriate working-capital and cash-flow controls.

EMPLOYEES

The Directors recognise that the Group's continued success depends upon the commitment, skills and experience of its employees.

The Group aims to provide a working environment that supports employee development, operational excellence, equality of opportunity and appropriate communication between management and employees.

Training and development are provided according to operational and individual requirements, with particular emphasis on health and safety, regulatory compliance and operational competence.

ENVIRONMENTAL AND SUSTAINABILITY CONSIDERATIONS

The Group recognises the increasing importance of environmental sustainability to customers, employees and other stakeholders.

The Group therefore seeks opportunities to improve environmental performance through measures including:

- Improved vehicle utilisation;

- Delivery consolidation;

- Reduction and recycling of waste;

- More efficient packaging; and

- Improved operational planning.

The Group expects environmental performance to become an increasingly important factor in customer procurement decisions within the travel retail sector.

SECTION 172 CONSIDERATIONS

In making decisions for the long-term success of the Group, the Directors have regard to the interests of the Group's stakeholders and the likely long-term consequences of their decisions.

The Group's principal stakeholders include its shareholders, employees, customers, suppliers, financial partners and the communities within which it operates.

The Directors recognise that maintaining successful long-term relationships with these stakeholders is important to the sustainability of the business.

Particular consideration is given to maintaining strong customer relationships, providing a safe and supportive environment for employees, treating suppliers appropriately, maintaining financial discipline and considering the environmental consequences of the Group's operations.

Where significant strategic or investment decisions are considered, the Board seeks to balance the interests of relevant stakeholders with the long-term interests and financial sustainability of the Group.

FUTURE DEVELOPMENTS AND OUTLOOK

The Directors remain positive regarding the Group's long-term prospects.

The principal focus for the coming financial periods will be to achieve sustainable organic growth through a combination of retaining existing customers, developing additional services for established customers and securing new customers within the travel retail market.

Competition is expected to remain strong, and management will therefore continue to maintain commercial discipline when assessing new and existing business.

The Directors believe that the Group's established market position, specialist travel retail experience, customer relationships and operational capabilities provide a strong foundation from which to pursue this strategy.

GOING CONCERN AND FINANCIAL RESILIENCE

The Directors regularly review the Group's financial position, expected trading performance, cash requirements and available financial resources.

In assessing the Group's financial resilience, consideration is given to forecast trading performance, working-capital requirements, customer exposures, capital expenditure commitments and reasonably foreseeable changes in trading conditions.

The Group's strategy remains focused on maintaining sufficient financial flexibility to support normal operations and planned investment while remaining capable of responding to changes in market conditions.

BY ORDER OF THE BOARD:

D Gould - Secretary

27 August 2026

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

PRINCIPAL ACTIVITIES

The principal activities of the group in the year under review were those of warehousing and distribution of beers, wines, spirits, consumables, fragrance and cosmetics to the travel retail sector including aircraft ground handling companies, airlines, train and ferry operators. By the year end the assets and trading activities of D.F. Warehouse Limited, a wholly owned subsidiary, were transferred to Cecil Macdonald & Co Limited, the parent, in order to simplify the group structure and centralise operations.

DIVIDENDS

Interim dividends of £38.77 per share were paid during the year. The total distribution of dividends for the year ended 31 December 2025 will be £2,888,416.

DIRECTORS

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

S R Wescott

G I Sankey

Other changes in directors holding office are as follows:

J Dickinson Green, M Westcott, N Wadia and M Hawkins were appointed as directors on 1 July 2026.

DISCLOSURE IN THE STRATEGIC REPORT

For details about future plans and principle risks, please refer Strategic Report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Brewers Chartered Accountants, are deemed to be re-appointed under section 487(2) of the Companies Act 2006.

BY ORDER OF THE BOARD:

D Gould - Secretary

27 August 2026

Opinion

We have audited the financial statements of Cecil Macdonald & Co Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 December 2025 and of the group's 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 group 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 group's and the parent 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 Group 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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

- the parent company's financial statements are not in agreement with the accounting records or 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 ten, 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 group's and the parent 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 group or the parent 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:

Discussions were held with, and enquiries made of, management and those charged with governance with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of those discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the group.

The following laws and regulations were identified as being of significance to the group:

- those laws and regulations considered to have a direct effect on the financial statements include UK financial reporting standards, Company law, tax and pensions legislation and distributable profits legislation.

- it is considered that there are no laws or regulations for which non-compliance may be fundamental to the operating aspects of the group.

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance as to whether the group complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of entries in the nominal ledger, including journal entries,; review of transactions around the end of the reporting period; and the performance of analytical procedures to identify unexpected movements in account balances which may be indicative of fraudulent activity.

No instances of material non-compliance were identified; however, the likelihood of detecting irregularities, including fraud, is limited by an inherent difficulty in detecting irregularities, the effectiveness of the group's controls, and the nature, timing and extent of audit procedures undertaken. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from errors. As noted above, there is an unavoidable risk that material misstatements may not be detected even though the audit has been planned and performed in accordance with ISAs (UK).

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

Use of our report

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

Andrew Skilton (Senior Statutory Auditor)

for and on behalf of Brewers Chartered Accountants

Unit 3

Birtley Courtyard

Bramley

Surrey

GU5 0LA

27 August 2026

TURNOVER

4

80,156,135

81,330,785

Cost of sales

71,419,914

72,241,671

GROSS PROFIT

8,736,221

9,089,114

Distribution costs

539,156

512,424

Administrative expenses

4,016,653

4,929,208

4,555,809

5,441,632

4,180,412

3,647,482

Other operating income

4,805

22,777

OPERATING PROFIT

7

4,185,217

3,670,259

Interest receivable and similar income

271,109

274,243

4,456,326

3,944,502

Interest payable and similar expenses

9

-

1,982

PROFIT BEFORE TAXATION

4,456,326

3,942,520

Tax on profit

10

1,118,494

905,270

PROFIT FOR THE FINANCIAL YEAR

3,337,832

3,037,250

FIXED ASSETS

Tangible assets

13

946,285

938,375

Investments

14

-

-

946,285

938,375

CURRENT ASSETS

Stocks

15

3,742,719

4,072,501

Debtors

16

8,623,842

8,173,820

Cash at bank and in hand

6,509,184

6,910,132

18,875,745

19,156,453

CREDITORS

Amounts falling due within one year

17

9,956,337

10,686,748

NET CURRENT ASSETS

8,919,408

8,469,705

TOTAL ASSETS LESS CURRENT LIABILITIES

9,865,693

9,408,080

PROVISIONS FOR LIABILITIES

21

172,603

164,406

NET ASSETS

9,693,090

9,243,674

CAPITAL AND RESERVES

Called up share capital

22

74,500

74,500

Capital redemption reserve

23

25,500

25,500

Retained earnings

23

9,593,090

9,143,674

SHAREHOLDERS' FUNDS

9,693,090

9,243,674

The financial statements were approved by the Board of Directors and authorised for issue on 27 August 2026 and were signed on its behalf by:

J Dickinson Green - Director

FIXED ASSETS

Tangible assets

13

946,286

882,161

Investments

14

5,102

16,776

951,388

898,937

CURRENT ASSETS

Stocks

15

3,258,199

3,419,702

Debtors

16

7,531,534

7,432,070

Cash at bank and in hand

5,219,007

5,377,990

16,008,740

16,229,762

CREDITORS

Amounts falling due within one year

17

7,854,513

8,230,967

NET CURRENT ASSETS

8,154,227

7,998,795

TOTAL ASSETS LESS CURRENT LIABILITIES

9,105,615

8,897,732

PROVISIONS FOR LIABILITIES

21

172,603

153,507

NET ASSETS

8,933,012

8,744,225

CAPITAL AND RESERVES

Called up share capital

22

74,500

74,500

Capital redemption reserve

23

25,500

25,500

Retained earnings

23

8,833,012

8,644,225

SHAREHOLDERS' FUNDS

8,933,012

8,744,225

Company's profit for the financial year

2,665,807

2,443,470

The financial statements were approved by the Board of Directors and authorised for issue on 27 August 2026 and were signed on its behalf by:

J Dickinson Green - Director

Called up

Capital

share

Retained

Revaluation

redemption

Total

capital

earnings

reserve

reserve

equity

£

£

£

£

£

Balance at 1 January 2024

74,500

7,327,692

564,989

25,500

7,992,681

Changes in equity

Dividends

-

(1,786,257

)

-

-

(1,786,257

)

Total comprehensive income

-

3,602,239

(564,989

)

-

3,037,250

Balance at 31 December 2024

74,500

9,143,674

-

25,500

9,243,674

Changes in equity

Dividends

-

(2,888,416

)

-

-

(2,888,416

)

Total comprehensive income

-

3,337,832

-

-

3,337,832

Balance at 31 December 2025

74,500

9,593,090

-

25,500

9,693,090

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 January 2024

74,500

6,811,472

25,500

6,911,472

Changes in equity

Dividends

-

(1,786,257

)

-

(1,786,257

)

Total comprehensive income

-

3,619,010

-

3,619,010

Balance at 31 December 2024

74,500

8,644,225

25,500

8,744,225

Changes in equity

Dividends

-

(2,888,416

)

-

(2,888,416

)

Total comprehensive income

-

3,077,203

-

3,077,203

Balance at 31 December 2025

74,500

8,833,012

25,500

8,933,012

Cash flows from operating activities

Cash generated from operations

1

3,517,497

6,315,518

Interest element of hire purchase or finance lease rental payments paid

-

(1,982

)

Tax paid

(1,034,519

)

(921,977

)

Net cash from operating activities

2,482,978

5,391,559

Cash flows from investing activities

Purchase of tangible fixed assets

(389,486

)

(558,675

)

Sale of intangible fixed assets

-

25,000

Sale of tangible fixed assets

156,302

1,051,138

Interest received

271,109

274,243

Net cash from investing activities

37,925

791,706

Cash flows from financing activities

Capital repayments in year

-

(15,300

)

Equity dividends paid

(2,888,416

)

(1,786,257

)

Net cash from financing activities

(2,888,416

)

(1,801,557

)

(Decrease)/increase in cash and cash equivalents

(367,513

)

4,381,708

Cash and cash equivalents at beginning of year

2

6,760,766

2,379,058

Cash and cash equivalents at end of year

2

6,393,253

6,760,766

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

2025

2024

£

£

Profit before taxation

4,456,326

3,942,520

Depreciation charges

260,358

257,404

Profit on disposal of fixed assets

(35,084

)

(59,137

)

Dilapidation provision

(15,500

)

(157,000

)

Finance costs

-

1,982

Finance income

(271,109

)

(274,243

)

4,394,991

3,711,526

Decrease/(increase) in stocks

329,782

(475,307

)

(Increase)/decrease in trade and other debtors

(450,022

)

836,734

(Decrease)/increase in trade and other creditors

(757,254

)

2,242,565

Cash generated from operations

3,517,497

6,315,518

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 31 December 2025

31.12.25

1.1.25

£

£

Cash and cash equivalents

6,509,184

6,910,132

Bank overdrafts

(115,931

)

(149,366

)

6,393,253

6,760,766

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

6,910,132

2,596,790

Bank overdrafts

(149,366

)

(217,732

)

6,760,766

2,379,058