REGISTERED NUMBER: SC246234 (Scotland)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2026

FOR

BLACKWOOD PLANT HIRE LTD

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

5

Income Statement

9

Other Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Cash Flow Statement

13

Notes to the Cash Flow Statement

14

Notes to the Financial Statements

15

DIRECTORS:

S P McCormack

A Wilson

REGISTERED OFFICE:

Cockelbie Farm

Dunlop Road

Stewarton

Ayrshire

KA3 3DX

REGISTERED NUMBER:

SC246234 (Scotland)

AUDITORS:

Gilmour Hamilton LLP

Statutory Auditor

37 Portland Road

KILMARNOCK

Ayrshire

KA1 2DJ

The directors present their strategic report for the year ended 31 March 2026.

REVIEW OF BUSINESS

In the current year, the company operated for the first full year with new depots in Nairn and Inverurie. The directors are pleased with the initial performance of the new depots and increased turnover flowing from them.

Turnover has increased 36% from £22,942,448 to £31,213,715.

The gross profit percentage in the current year has reduced slightly to 37.1%, compared with the prior year at 39.8%.

Profit before tax has increased from £1,511,175 to £1,756,583. The net profit percentage has dropped to 5.6%, compared to the prior year at 6.6%.

The company invested £13,218,914 in fixed assets during the year, primarily in plant to expand and update the existing plant hire fleet. Whilst these additions have significantly increased hire-purchase commitments and (therefore) net current liabilities, the directors are confident that the accelerating volume of business at acceptable margins will be more than sufficient to service the additional liabilities incurred.

The directors anticipate the business environment will remain competitive, but believe that the company is in a good financial position because of continued investment in new equipment, logistics administration and manpower, providing small to blue-chip customers with a very high standard of service at competitive rates.

PRINCIPAL RISKS AND UNCERTAINTIES

The principal risks and uncertainties affecting the business include the following:

The general economic environment - particularly in the construction sector

Continuing to remain competitive

Retaining existing customers and acquiring new ones

Maintaining a skilled and efficient workforce which works safely.

To mitigate these risks the directors and senior management ensure that the customer experience is first rate and that machinery and staff training is maintained to the highest possible standard.

GOING CONCERN

The company funds plant and vehicles purchased for hire using finance lease and hire purchase contracts from a number of providers. The plant and vehicles are accounted for as fixed assets and a corresponding liability is recognised, an element of which is classified as a current liability. This gives rise to a substantial net current liability position at the year end.

The directors have produced forecast that have been extended out 12 months from the signing date of these financial statements. These forecasts show that, on the assumption that trading continues near expected levels, the company will have sufficient resources to continue to operate as a going concern. Accordingly, the accounts have been prepared on a going concern basis.

ON BEHALF OF THE BOARD:

S P McCormack - Director

8 September 2026

The directors present their report with the financial statements of the company for the year ended 31 March 2026.

DIVIDENDS

Dividends of £375,500 have been paid in respect of Ordinary Shares during the year (2025: £127,900).

FUTURE DEVELOPMENTS

The company continues to invest in the newest machinery. This enables the customer to receive a first-class service and the machines to work as efficiently as possible avoiding down time. This along with building on the current success of the company will mean that it is able to stay competitive in the plant hire industry.

DIRECTORS

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

S P McCormack

A Wilson

Other changes in directors holding office are as follows:

T Blackwood ceased to be a director after 31 March 2026 but prior to the date of this report.

FINANCIAL INSTRUMENTS

The company's activities expose it to a number of financial risks - primarily credit and liquidity and cash flow risk.

Credit Risk

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors' balances are monitored closely on an ongoing basis.

Liquidity and Cash Flow

The company manages cash flows to mitigate liquidity risk. It has access to an invoice factoring facility which helps with cash flow management.

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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Gilmour Hamilton LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

S P McCormack - Director

8 September 2026

Opinion

We have audited the financial statements of Blackwood Plant Hire Ltd (the 'company') for the year ended 31 March 2026 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 31 March 2026 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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. A summary of the procedures we designed and executed to detect irregularities, including fraud is set out below:

- performing analytical procedures to identify unusual or unexpected relationships that may indicate

risks of material misstatement due to fraud and tested accordingly;

- enquiries of management re the policies and procedures in place regarding compliance with laws and

regulations and to mitigate risks related to fraud, including consideration of known or suspected instances

of non-compliance and whether they have knowledge of any actual, suspected or alleged fraud;

- discussion amongst the engagement team in relation to identified laws and regulations and regarding

the risk of fraud, and remaining alert to any indications of non-compliance or fraud throughout the audit;

- reviewing correspondence with regulatory bodies, such as HMRC, and reviewing documentation

for indications of non-compliance with laws and regulations;

- determining whether the accounting policies, treatments and presentation adopted in the financial

statements is in accordance with 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);

- identifying whether there are instances of potential bias in areas with significant degrees of

judgement such as useful lives of assets subject to depreciation or amortisation;

- in addressing the risk of fraud through management override of controls, testing the appropriateness

of journal entries and other adjustments; assessing whether the judgements made in making

accounting estimates are indicative of a potential bias; and evaluating the business rationale of any

significant transactions that are unusual or outside the normal course of business;

- in addressing the risk of fraud in revenue recognition obtaining an understanding of the controls

in place and where possible testing the operating effectiveness of those controls. Substantive tests

were executed to supplement testing of controls;

- vouching balances and reconciling items in management's key control account reconciliations to

supporting documentation as at 31 March 2026; and

- carrying out detailed testing, on a sample basis, of material transactions, financial statement

categories and balances to appropriate documentary evidence to verify the completeness,

occurrence and accuracy of the reported financial statements.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that 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, misrepresentation or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, or the greater the concealment of irregularities, including fraud, the less likely we are to become aware of it.

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.

Neil McConnell BAcc CA (Senior Statutory Auditor)

for and on behalf of Gilmour Hamilton LLP

Statutory Auditor

37 Portland Road

KILMARNOCK

Ayrshire

KA1 2DJ

8 September 2026

TURNOVER

2

31,213,715

22,942,448

Cost of sales

19,637,598

13,810,794

GROSS PROFIT

11,576,117

9,131,654

Administrative expenses

8,356,796

6,511,131

3,219,321

2,620,523

Other operating income

532,023

316,384

OPERATING PROFIT

4

3,751,344

2,936,907

Interest receivable and similar income

5

3,458

3,295

3,754,802

2,940,202

Interest payable and similar expenses

6

1,998,219

1,429,027

PROFIT BEFORE TAXATION

1,756,583

1,511,175

Tax on profit

7

475,248

405,866

PROFIT FOR THE FINANCIAL YEAR

1,281,335

1,105,309

PROFIT FOR THE YEAR

1,281,335

1,105,309

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,281,335

1,105,309

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

34,700,064

30,129,813

34,700,064

30,129,813

CURRENT ASSETS

Debtors

11

6,185,473

5,090,932

Cash at bank

659,241

488,576

6,844,714

5,579,508

CREDITORS

Amounts falling due within one year

12

15,099,017

13,846,829

NET CURRENT LIABILITIES

(8,254,303

)

(8,267,321

)

TOTAL ASSETS LESS CURRENT LIABILITIES

26,445,761

21,862,492

CREDITORS

Amounts falling due after more than one year

13

(18,888,324

)

(15,686,138

)

PROVISIONS FOR LIABILITIES

18

(2,766,056

)

(2,290,808

)

NET ASSETS

4,791,381

3,885,546

CAPITAL AND RESERVES

Called up share capital

19

20

20

Capital redemption reserve

20

6

6

Retained earnings

20

4,791,355

3,885,520

SHAREHOLDERS' FUNDS

4,791,381

3,885,546

The financial statements were approved by the Board of Directors and authorised for issue on 8 September 2026 and were signed on its behalf by:

S P McCormack - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2024

20

2,908,111

6

2,908,137

Changes in equity

Dividends

-

(127,900

)

-

(127,900

)

Total comprehensive income

-

1,105,309

-

1,105,309

Balance at 31 March 2025

20

3,885,520

6

3,885,546

Changes in equity

Dividends

-

(375,500

)

-

(375,500

)

Total comprehensive income

-

1,281,335

-

1,281,335

Balance at 31 March 2026

20

4,791,355

6

4,791,381

Cash flows from operating activities

Cash generated from operations

1

8,876,995

5,973,162

Interest paid

(1,998,219

)

(1,429,027

)

Net cash from operating activities

6,878,776

4,544,135

Cash flows from investing activities

Purchase of tangible fixed assets

(13,218,914

)

(12,869,133

)

Sale of tangible fixed assets

2,889,289

1,103,075

Interest received

3,458

3,295

Net cash from investing activities

(10,326,167

)

(11,762,763

)

Cash flows from financing activities

Loan repayments in year

(79,167

)

(5,357

)

Movement in factor advance

656,482

1,202,584

New HP/finance leases taken in year

13,052,037

12,805,822

New loan advance

159,688

315,881

HP/finance lease repayments in year

(9,821,592

)

(7,011,783

)

Advanced to group undertakings

-

20,000

Reversal liability discounting

26,108

3,696

Equity dividends paid

(375,500

)

(127,900

)

Net cash from financing activities

3,618,056

7,202,943

Increase/(decrease) in cash and cash equivalents

170,665

(15,685

)

Cash and cash equivalents at beginning of year

2

488,576

504,261

Cash and cash equivalents at end of year

2

659,241

488,576

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

2026

2025

£

£

Profit before taxation

1,756,583

1,511,175

Depreciation charges

5,625,680

4,329,203

Loss/(profit) on disposal of fixed assets

133,695

(280,321

)

Finance costs

1,998,219

1,429,027

Finance income

(3,458

)

(3,295

)

9,510,719

6,985,789

Increase in trade and other debtors

(1,094,541

)

(1,654,854

)

Increase in trade and other creditors

460,817

642,227

Cash generated from operations

8,876,995

5,973,162

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 March 2026

31.3.26

1.4.25

£

£

Cash and cash equivalents

659,241

488,576

Year ended 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

488,576

504,261

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.25

Cash flow

At 31.3.26

£

£

£

Net cash

Cash at bank

488,576

170,665

659,241

488,576

170,665

659,241

Debt

Hire purchase and finance leases

(24,022,506

)

(3,230,446

)

(27,252,952

)

Debts falling due within 1 year

(43,674

)

(29,173

)

(72,847

)

Debts falling due after 1 year

(270,546

)

(77,456

)

(348,002

)

(24,336,726

)

(3,337,075

)

(27,673,801

)

Total

(23,848,150

)

(3,166,410

)

(27,014,560

)

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

Critical accounting judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported as assets, liabilities, revenues and expenses for the year. The key sources of estimation uncertainty are as follows:

Depreciation and amortisation of tangible and intangible fixed assets:

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The expected lives of assets and their residual values are assessed regularly and may vary depending on a number of factors including technological innovation, product life cycles, future market conditions and maintenance programmes.

Intangible assets, including goodwill, are amortised over their expected useful lives. These estimates are based on a variety of factors such as, customer retention rates, and levels of cash generation.

Impairment of assets:

Tangible fixed assets, intangible fixed assets, fixed asset investments, stock and debtors are all reviewed for evidence of impairment.

In connection with fixed assets (tangible, intangible and investments) factors taken into consideration include the economic viability, the expected future financial performance of the asset and, where appropriate, the viability and expected future performance of related cash generating units.

Trade debtors are reviewed for evidence of impairment. Factors considered include ageing, past recovery rates, customer creditworthiness, and the stage and expected outcome of any recovery proceedings.

Turnover

Goodwill

The company has elected not to restate any business combinations which took place prior to the transition to FRS 102.

Purchased goodwill is measured at cost less amortisation and any accumulated impairment losses. It is being amortised evenly over its estimated remaining useful life of 5 years from 1 April 2015.

Tangible fixed assets

Tangible fixed assets are stated at 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 on all tangible fixed asset, at rates calculated to write off cost, less estimated residual value of each asset on a systematic basis over its expected useful life as follows:

Freehold property

4% and 10% on cost

Long leasehold property

4%, 10% and 20% on cost

Computer equipment

33.33% on cost

Plant and machinery

12%, 15% and 33% on cost

Motor vehicles

25% on cost

Finance lease assets

At varying rates over the lease term

Land

Not depreciated

Government grants

Government grants relating to revenue expenditure are recognised in the statement of income on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate.

Taxation

Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences, with certain exceptions. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of the deferred tax liabilities or other future profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of timing differences.

Hire purchase and leasing commitments

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 the income statement in the period to which they relate.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the income statement in administrative expenses.

Impairment

Assets are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the income statement.

Related party exemption

The company has taken advantage of exemption, under the terms of the Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned companies within the group.

Employee benefits

When employees have rendered service to the company, short term benefits (including holiday pay) to which employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

2.

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:

2026

2025

£

£

Rendering of services

30,041,715

22,942,448

Sales of goods

1,172,000

-

31,213,715

22,942,448

An analysis of turnover by geographical market is given below:

2026

2025

£

£

United Kingdom

31,213,715

22,942,448

31,213,715

22,942,448

3.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

6,227,629

5,666,025

Social security costs

836,882

618,359

Other pension costs

185,765

130,710

7,250,276

6,415,094

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

2026

2025

Management

3

3

Administration

23

20

Operators

114

111

140

134

2026

2025

£

£

Directors' remuneration

36,538

261,422

Directors' pension contributions to money purchase schemes

55,000

27,642

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

Money purchase schemes

2

2

4.	OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2026

2025

£

£

Operating lease rentals

3,983,871

3,164,896

Depreciation - tangible fixed assets

5,625,680

4,329,203

Auditors remuneration

20,000

22,450

Impairment of trade and other debtors

21,346

21,957

Government grants

(22,348

)

(35,531

)

5.

INTEREST RECEIVABLE AND SIMILAR INCOME

2026

2025

£

£

Deposit account interest

3,458

3,295