Puppet Labs Limited Company accounts

COMPANY REGISTRATION NUMBER: 07511528

Puppet Labs Limited

Financial Statements

31 December 2025

Puppet Labs Limited

Financial Statements

Year ended 31 December 2025

Contents	Page

Officers and professional advisers	1

Strategic report	2

Director's report	4

Independent auditor's report to the members	6

Statement of income and retained earnings	11

Statement of financial position	12

Statement of cash flows	13

Notes to the financial statements	14

Puppet Labs Limited

Officers and Professional Advisers

Director	S M Kilian

Registered office	The Capitol Building
	Second Floor
	Suite 3
	Oldbury
	Bracknell
	England
	RG12 8FZ

Auditor	Moore Kingston Smith LLP
	Chartered accountants & statutory auditor
	5 Godalming Business Centre
	Woolsack Way
	Godalming
	Surrey
	United Kingdom
	GU7 1XW

Puppet Labs Limited

Strategic Report

Year ended 31 December 2025

Introduction

The Directors present the Strategic Report and financial statements for the year ended 31 December 2025.

Principal activity and business review, including key performance indicators

The principal activity of the Company is the provision of non-exclusive marketing and other services as required from time to time to the parent entity.

The Puppet group develops and distributes an IT automation platform that enables users from all organizations to automate their IT infrastructure affording them the ability to automatically deliver, update, monitor and secure software across physical and virtual machines, on premise or in the cloud.

Our principal offices in the United Kingdom are located in London and Belfast. The Company is a subsidiary of Puppet, Inc., based in the United States. The ultimate parent company is Perforce Software Holdings, Inc., a company registered in the United States of America.

Puppet Labs Limited is responsible for distribution in the UK, and provides sales support to its parent company operating a cost plus arrangement. The Company considers turnover and profit before tax as its key performance indicators. Turnover in the year was £7,430k (year ended 31 December 2024 - £7,762k), and profit before tax was £556k (year ended 31 December 2024 - £464k). Net assets of the Company as at 31 December 2025 increased to £5,908k (2024 - £5,489k). The Company has ongoing financial support from the wider group.

Future developments

The Company continues to be focused on R&D and sales support services for its American parent entity.

Principal risks and uncertainties

UK businesses are facing uncertainties and challenges caused by political, economic, social, technological, legal and environmental factors. These uncertainties have contributed to a corporate environment in which there exists a range of issues and risks, including inflation, rising interest rates, labour shortages, disrupted supply chains and new ways of working.

The Directors have carried out an assessment of the potential impact of these uncertainties on the business, including the impact of mitigation measures, and have concluded that these are non-adjusting events with the greatest impact on the business expected to be from an economic ripple effect on the global economy. The Directors have taken account on these potential impacts in their going concern assessment.

The Company continues to work with its partners to minimise any impacts of these events and maximise the realisation of any opportunities they may provide to the business.

In addition to the above, the management of the business and the execution of the Company's strategy are subject to a number of risks - the main one being commercial risk.

A substantial portion of our group revenue is generated from the development and rapid market release of computer software products. In the extremely competitive industry in which we operate, product generation, development, and marketing processes are uncertain and complex, requiring accurate prediction of market trends and demands as well as successful management of various risks.

Financial risk management objectives and policies

Since the Company operates as a cost-plus subsidiary of the parent company's intellectual property, financial risk such as credit, liquidity, foreign exchange and interest rate risks are managed at the parent company level.

This report was approved by the board of directors on 31 August 2026 and signed on behalf of the board by:

S M Kilian
Director

Puppet Labs Limited

Director's Report

Year ended 31 December 2025

The director presents her report and the financial statements of the company for the year ended 31 December 2025 .

Directors

The directors who served the company during the year were as follows:

S M Kilian
M C Goergen

Dividends

The director does not recommend the payment of a dividend.

Matters covered in the strategic report

As permitted by paragraph of Schedule 7 to the Large and Medium-sized Companies and Group (Accounts and reports) Regulation 2008, certain matters which are required to be disclosed in Directors' Report have been omitted as they are included in the Strategic Report on page 1. These matters relate to the business review, future developments, principal risks and financial risk management objectives and policies.

Going concern

The directors have considered the applicability of the going concern basis in the preparation of these financial statements. This included consideration of the transfer pricing arrangement in place, a review of financial results and cabrioles which show, taking into account reasonably probable changes in financial performance, that the company will continue in operational existence for the foreseeable future for a period of at least 12 months from the date the financial statements are approved and signed. On the basis of the above, the directors consider it appropriate to prepare the financial statements on a going concern basis.

Events after the end of the reporting period

There have been no significant events affecting the Company since the year end.

Director's responsibilities statement

The director is responsible for preparing the strategic report, director's report and the financial statements in accordance with applicable law and regulations. Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless she is satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period. In preparing these financial statements, the director is required to: - select suitable accounting policies and then apply them consistently; - make judgments and accounting estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. She is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Auditor

Each of the persons who is a director at the date of approval of this report confirms that:

- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.

This report was approved by the board of directors on 31 August 2026 and signed on behalf of the board by:

S M Kilian
Director

Puppet Labs Limited

Independent Auditor's Report to the Members of Puppet Labs Limited

Year ended 31 December 2025

Opinion

We have audited the financial statements of Puppet Labs Limited (the 'company') for the year ended 31 December 2025 which comprise the statement of income and retained earnings, statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 auditor's 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The other information comprises the information included in the Annual Report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

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 director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

- the strategic report and the director's report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of director's remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit.

Responsibilities of the director

As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the company to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud 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. The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company. Our approach was as follows: We obtained an understanding of the legal and regulatory requirements applicable to the company and considered that the most significant are the Companies Act 2006, UK financial reporting standards as issued by the Financial Reporting Council, and UK taxation legislation. We obtained an understanding of how the company complies with these requirements by discussions with management and those charged with governance. We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance. We inquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations. Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of of of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

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

Peter Conneely

(Senior Statutory Auditor)

For and on behalf of

Moore Kingston Smith LLP

Chartered accountants & statutory auditor

5 Godalming Business Centre

Woolsack Way

Godalming

Surrey

United Kingdom

GU7 1XW

4 September 2026

Puppet Labs Limited

Statement of Income and Retained Earnings

Year ended 31 December 2025

		2025	2024
Note		£	£
Turnover	4	7,430,016	7,762,243

	------------	------------
Gross profit	7,430,016	7,762,243

Administrative expenses		( 7,498,993)	( 7,815,728)
Other operating income	5	625,287	517,611
		------------	------------
Operating profit	6	556,310	464,126

Other interest receivable and similar income	8	294	–
		------------	------------
Profit before taxation		556,604	464,126

Tax on profit	9	( 138,084)	( 128,622)
		---------	---------
Profit for the financial year and total comprehensive income		418,520	335,504
		---------	---------

Retained earnings at the start of the year	5,489,410	5,153,906
	------------	------------
Retained earnings at the end of the year	5,907,930	5,489,410
	------------	------------

All the activities of the company are from continuing operations.

Puppet Labs Limited

Statement of Financial Position

31 December 2025

	2025		2024
Note	£	£	£

Fixed assets

Tangible assets	10		91,607	88,524

Current assets

Debtors	11	6,385,455	6,132,467
Cash at bank and in hand		323,808	160,124
		------------	------------
		6,709,263	6,292,591

Creditors: amounts falling due within one year	12	( 882,678)		( 810,034)
		------------		------------
Net current assets			5,826,585	5,482,557
			------------	------------
Total assets less current liabilities			5,918,192	5,571,081

Creditors: amounts falling due after more than one year	13		–	( 72,804)

Provisions	14	( 10,261)	( 8,866)
		------------	------------
Net assets		5,907,931	5,489,411
		------------	------------

Capital and reserves

Called up share capital	19	1	1
Profit and loss account	20	5,907,930	5,489,410
		------------	------------
Shareholders funds		5,907,931	5,489,411
		------------	------------

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.

These financial statements were approved by the board of directors and authorised for issue on 31 August 2026 , and are signed on behalf of the board by:

S M Kilian
Director

Company registration number: 07511528

Puppet Labs Limited

Statement of Cash Flows

Year ended 31 December 2025

	2025	2024
	£	£

Cash flows from operating activities

Profit for the financial year	418,520	335,504

Adjustments for:
Depreciation of tangible assets	49,246	37,345
Other interest receivable and similar income	( 294)	–
Tax on profit	138,084	128,622
R & D expenditure credit	(189,173)	(84,942)

Changes in:
Trade and other debtors	( 171,364)	( 323,389)
Trade and other creditors	994	( 47,710)
	---------	---------
Cash generated from operations	246,013	45,430

Interest received	294	–
Tax paid	( 30,294)	( 50,434)
	---------	--------
Net cash from/(used in) operating activities	216,013	( 5,004)
	---------	--------

Cash flows from investing activities

Purchase of tangible assets	( 52,329)	( 68,964)
	---------	--------
Net cash used in investing activities	( 52,329)	( 68,964)
	---------	--------

Net increase/(decrease) in cash and cash equivalents	163,684	( 73,968)
Cash and cash equivalents at beginning of year	160,124	234,092
	---------	---------
Cash and cash equivalents at end of year	323,808	160,124
	---------	---------

Puppet Labs Limited

Notes to the Financial Statements

Year ended 31 December 2025

1. General information

The Company is a private company limited by shares, registered in England and Wales. The address of the registered office is The Capitol Building, Second Floor, Suite 3, Oldbury, Bracknell, RG12 8FZ, England. The principal activity of the Company is the provision of non-exclusive marketing and other services as required from time to time to the parent entity.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities measured at fair value through profit or loss. The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

The directors have considered the applicability of the going concern basis in the preparation of these financial statements. This included consideration of the transfer pricing arrangement in place, a review of financial results and cashflows which show, taking into account reasonably probable changes in financial performance, that the company will continue in operational existence for the foreseeable future for a period of at least 12 months from the date the financial statements are approved and signed. In addition to this, Perforce Software Inc., an immediate parent company undertaking, has provided a letter to support to the company confirming that they will continue to provide support as required, for the next 12 months from the date of signing the financial statements, to ensure that the company has sufficient cash to meet its liabilities as they fall due. On the basis of the above, the directors consider it appropriate to prepare the financial statements on a going concern basis.

Disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the IFRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". (a) the requirements of Section 11 'Basic Financial Instruments' paragraphs 11.39, 11.41 to 11.48A and the requirements of Section 12 'Other Financial Instruments Issues' paragraphs 12.26 to 12.29; and (b) the requirements of Section 33 'Related Party Disclosures', paragraph 33.7. These information is included in the consolidated financial statements of Perforce Intermediate Holdings LLC as at 31 December 2025 and these financial statements may be obtained from Perforce Software Headquarters, 400 North 1st Avenues, Suite 400 Minneapolis, MN 55401.

Judgements and key sources of estimation uncertainty

T he preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: Impairment of assets Non-current assets are reviewed for impairment if events or changes in circumstances indicate that the carrying amount may not be recoverable. Where such an event or change of circumstances takes place, then additional impairment may be required. Allowance for doubtful debts The company maintains allowances for doubtful accounts for estimated losses resulting from the subsequent inability of customers to make required payments. If the financial conditions of customers were to deteriorate, resulting in an impairment of their ability to make payments, then additional allowances may be required.

Revenue recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Intercompany revenue Revenue from the parent company represents amounts receivable for providing sales and marketing support services, net of VAT and trade discounts. Revenue is recognised on a cost plus 5.2% basis. Rental income Rental income under operating leases are recognised on a straight-line basis over the lease term.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Foreign currencies

Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to profit and loss account.

Operating leases

Rentals paid under operating leases are charged to the profit and loss on a straight-line basis over the lease term. Benefits received and receivable as an incentive to sign an operating lease are recognised on straight line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased assets.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Short leasehold property	-	5-10 years
Fixtures and fittings	-	5 years
Equipment	-	2-5 years

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

Debtors

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

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Creditors

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

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

The Company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues of FRS 102 to all of its financial instruments. Financial instruments are recognised when the Company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basic financial assets, which include trade and other debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the financial asset is measured at the present value of the future receipts discounted at a market rate of interest. Impairment of financial assets Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. Derecognition of financial assets Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the Company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. Classification of financial liabilities Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Basic financial liabilities Basic financial liabilities, including trade and other creditors, bank loans, loans from fellow Company companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost. using the effective interest rate method. Financial liabilities held at fair value Debt instruments where the contractual returns, repayment of the principal, or other terms (such as prepayment provisions or term extensions) do not meet the conditions to be measured at amortised cost, are subsequently measured at fair value through profit or loss, unless fair value measurement is not permitted by law, or the debt instrument gives rise to cash flows on specified dates that constitute repayment of the principal advanced, together with reasonable compensation for the time value of money, credit risk and other basic lending risks and costs and does not have contractual terms which introduce exposure to unrelated risks or volatility. Derecognition of financial liabilities Financial liabilities are derecognised when, and only when, the Company's contractual obligations are discharged, cancelled, or they expire. Equity instruments Equity instruments issued by the Company are recorded at the fair value of proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the Company.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

4. Turnover

Turnover arises from:

	2025	2024
	£	£
Transfer pricing income from parent company	7,430,017	7,762,243
	------------	------------

The whole of the turnover is attributable to the principal activity of the company wholly undertaken in the United Kingdom.

5. Other operating income

	2025	2024
	£	£
Rental income	436,114	432,669
Research & development tax credits	189,173	84,942
	---------	---------
	625,287	517,611
	---------	---------

6. Operating profit

Operating profit or loss is stated after charging:

	2025	2024
	£	£
Depreciation of tangible assets	49,246	36,346
Foreign exchange differences	109	621
Fees payable for the audit of the financial statements	17,580	17,000
Fees payable to the auditor for non-audit services	6,250	6,250
Operating lease rentals	440,856	538,281
	---------	---------

7. Staff costs

The average number of persons employed by the company during the year, including the director, amounted to:

	2025	2024
	No.	No.
Administrative staff	63	62
	----	----

The aggregate payroll costs incurred during the year, relating to the above, were:

	2025	2024
	£	£
Wages and salaries	5,197,439	5,456,032
Social security costs	708,501	648,067
Other pension costs	276,652	308,990
	------------	------------
	6,182,592	6,413,089
	------------	------------

The directors did not receive any remuneration from the Company (2024: £nil). The directors are considered to be the key management personnel.

8. Other interest receivable and similar income

	2025	2024
	£	£
Interest on cash and cash equivalents	294	–
	----	----

9. Tax on profit

Major components of tax expense

	2025	2024
	£	£

Current tax:

UK current tax expense	136,689	106,096
Foreign current tax expense	–	2,216
	---------	---------
Total current tax	136,689	108,312
	---------	---------

Deferred tax:

Origination and reversal of timing differences	1,395	20,310
	---------	---------
Tax on profit	138,084	128,622
	---------	---------

Reconciliation of tax expense

The tax assessed on the profit on ordinary activities for the year is lower than (2024: higher than) the standard rate of corporation tax in the UK of 25 % (2024: 25 %).

	2025	2024
	£	£
Profit on ordinary activities before taxation	556,604	464,126
	---------	---------
Profit on ordinary activities by rate of tax	139,151	116,031
Effect of expenses not deductible for tax purposes	( 186)	55
Effect of capital allowances and depreciation	( 2,276)	( 9,990)
Effect of different UK tax rates on some earnings	–	2,216
Deferred tax	1,395	20,310
	---------	---------
Tax on profit	138,084	128,622
	---------	---------

10. Tangible assets

	Leasehold improvements	Fixtures and fittings	Equipment	Total
	£	£	£	£
Cost
At 1 January 2025	1,019,835	136,095	461,147	1,617,077
Additions	–	–	52,329	52,329
Disposals	–	–	( 82,600)	( 82,600)
	------------	---------	---------	------------
At 31 December 2025	1,019,835	136,095	430,876	1,586,806
	------------	---------	---------	------------
Depreciation
At 1 January 2025	1,013,621	136,095	378,837	1,528,553
Charge for the year	2,043	–	47,203	49,246
Disposals	–	–	( 82,600)	( 82,600)
	------------	---------	---------	------------
At 31 December 2025	1,015,664	136,095	343,440	1,495,199
	------------	---------	---------	------------
Carrying amount
At 31 December 2025	4,171	–	87,436	91,607
	------------	---------	---------	------------
At 31 December 2024	6,214	–	82,310	88,524
	------------	---------	---------	------------

11. Debtors

	2025	2024
	£	£
Trade debtors	306,248	114,214
Amounts owed by group undertakings	5,815,365	5,839,483
Prepayments and accrued income	174,743	178,702
Corporation tax repayable	81,624	–
Other debtors	7,475	68
	------------	------------
	6,385,455	6,132,467
	------------	------------

Amounts owed by group undertakings are unsecured, interest free and repayable on demand.

12. Creditors: amounts falling due within one year

	2025	2024
	£	£
Trade creditors	191,387	28,076
Accruals and deferred income	613,399	655,450
Corporation tax	–	1,154
Social security and other taxes	–	7,180
Other creditors	77,892	118,174
	---------	---------
	882,678	810,034
	---------	---------

13. Creditors: amounts falling due after more than one year

	2025	2024
	£	£
Other creditors	–	72,804
	----	--------

14. Provisions

	Deferred tax (note 15)
	£
At 1 January 2025	8,866
Charge against provision	1,395
	--------
At 31 December 2025	10,261
	--------

15. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2025	2024
	£	£
Included in provisions (note 14)	10,261	8,866
	--------	-------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2025	2024
	£	£
Accelerated capital allowances	( 15,002)	( 14,019)
Revaluation of tangible assets	4,741	5,153
	--------	--------
	(10,261)	(8,866)
	--------	--------

Movement on deferred tax during the year was as follows :

	2025	2024
	£	£
At 1 January	8,866	(11,444)
Movement in the year	1,395	20,310
	--------	--------
At 31 December	10,261	8,866
	--------	--------

16. Employee benefits

Defined contribution plans

The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 276,652 (2024: £ 308,990 ).

17. Financial instruments

The carrying amount for each category of financial instrument is as follows:

	2025	2024
	£	£

Financial assets that are debt instruments measured at amortised cost

Financial assets that are debt instruments measured at amortised cost	6,129,088	6,197,572
	------------	------------

Financial liabilities measured at amortised cost

Financial liabilities measured at amortised cost	850,952	874,504
	---------	---------

18. Reclassification

Rental income in the prior year amounting to £432,669 has been reclassified from administrative expenses to other operating income.

19. Called up share capital

Issued, called up and fully paid

	2025		2024
	No.	£	No.	£
Ordinary shares of £ 1 each	1	1	1	1
	----	----	----	----

The share has a voting right but no right to fixed income.

20. Reserves

Profit and loss account - This reserve records retained earnings and accumulated losses .

21. Analysis of changes in net debt

	At 1 Jan 2025	Cash flows	At 31 Dec 2025
	£	£	£
Cash at bank and in hand	160,124	163,684	323,808
	---------	---------	---------

22. Operating leases

As lessee

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

	2025	2024
	£	£
Not later than 1 year	245,000	466,000
Later than 1 year and not later than 5 years	–	245,000
	---------	---------
	245,000	711,000
	---------	---------

Puppet Labs Limited

Notes to the Financial Statements (continued)

Year ended 31 December 2025

22. Operating leases (continued)

As lessor

The total future minimum lease payments receivable under non-cancellable operating leases are as follows:

	2025	2024
	£	£
Not later than 1 year	178,047	430,379
Later than 1 year and not later than 5 years	–	178,047
	---------	---------
	178,047	608,426
	---------	---------

23. Related party transactions

The Company has taken advantage of the exemption available according with Section 33 'Related party disclosures' not to disclose transactions entered into between two or more members of a group that are wholly owned.

24. Controlling party

The Company's ultimate undertaking is Perforce Software Holdings, Inc., a company registered in 400 North 1st Avenues, Suite 400 Minneapolis, MN 55401, United States of America. There is not deemed to be a single controlling party by virtue of share capital.