Fluoretiq Limited

	Page
Balance Sheet	1—2
Notes to the Financial Statements	3—7

1. General Information

Fluoretiq Limited is a private company, limited by shares, incorporated in England & Wales, registered number 10647632 . The registered office is Future Space, Filton Road, Bristol, BS34 8RB.

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 section 1A Small Entities "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

2.2. Going Concern Disclosure

The company continues to invest in research and development resulting in a loss for the year. The company has raised investment both during the year and post year end from issues of shares and will continue to raise investment to fund future activities. The company is also supported by grant funding and has secured further grant funding to enable activities to continue through the next year. Accordingly the directors consider the company has sufficient working capital to meet its foreseeable commitments.

2.3. Research and Development

Expenditure on research is expensed to profit and loss in the year it is incurred.

Expenditure on development is capitalised as an intangible asset when the company can demonstrate the technical

feasibility of completing the intangible asset, its intention to complete, its ability to use or sell the asset, how the asset will generate future economic benefits, the availability of resources to complete the asset and the ability to measure reliably the expenditure during development. Where these conditions are not met, the expenditure is expensed to profit and loss when it is incurred.

Following initial recognition of development expenditure as an intangible asset, it is measured at cost less any

accumulated amortisation and accumulated impairment losses.

Amortisation commences once the asset is available for sale or use. Amortisation is provided on capitalised

development costs so as to write off the cost, less any estimated residual value, over 10 years on a straight line basis.

2.4. Intangible Fixed Assets and Amortisation - Intellectual Property

Intellectual property assets are capitalised and amortised to the profit and loss account over their estimated economic life of 10 years.

2.5. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & Machinery	10% - 20% straight line
Fixtures & Fittings	20% straight line
Computer Equipment	33% straight line

2.6. Foreign Currencies

Monetary assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

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Fluoretiq Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

2.7. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax assets and liabilities are offset to the extent that the resulting tax effect would arise under the same jurisdiction, and the net deferred tax asset or liability is presented within debtors or provisions for liabilities as appropriate. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

2.8. Pensions

The company operates a defined pension contribution scheme. Contributions are charged to the profit and loss account as they become payable in accordance with the rules of the scheme.

2.9. Share based payments

The company operates an equity-settled, share-based compensation plan, under which the entity receives services from employees and external advisors as consideration for equity instruments (options) of the company. The fair value of the services received is measured by reference to the estimated fair value at the grant date of equity instruments granted and is recognised as an expense over the vesting period. The estimated fair value of the option granted is calculated by reference to observable market data, namely recent transactions in the entity's shares or recent independent fair valuation of the entity. The total amount expensed is recognised to profit and loss, with a corresponding increase in share option reserve, over the vesting period, which is the period over which all of the specified vesting conditions are to be satisfied.

The proceeds received net of any directly attributable transaction costs are credited to share capital and share premium when the options are exercised.

3. Average Number of Employees

Average number of employees, including directors, during the year was: 6 (2025: 8)

4. Intangible Assets

	Development Costs	Intellectual Property	Total
	£	£	£
Cost
As at 1 April 2025	1,385,756	76,192	1,461,948
Additions	142,455	-	142,455

As at 31 March 2026	1,528,211	76,192	1,604,403

Amortisation
As at 1 April 2025	45,222	31,112	76,334
Provided during the period	-	7,619	7,619

As at 31 March 2026	45,222	38,731	83,953

...CONTINUED

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Fluoretiq Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

Net Book Value
As at 31 March 2026	1,482,989	37,461	1,520,450

As at 1 April 2025	1,340,534	45,080	1,385,614

5. Tangible Assets

	Plant & Machinery	Fixtures & Fittings	Computer Equipment	Total
	£	£	£	£
Cost
As at 1 April 2025	94,532	1,964	4,960	101,456
Disposals	(34,277 )	(250 )	(3,388 )	(37,915 )

As at 31 March 2026	60,255	1,714	1,572	63,541

Depreciation
As at 1 April 2025	37,174	785	4,936	42,895
Provided during the period	9,942	343	1	10,286
Disposals	(18,038 )	(250 )	(3,365 )	(21,653 )

As at 31 March 2026	29,078	878	1,572	31,528

Net Book Value
As at 31 March 2026	31,177	836	-	32,013

As at 1 April 2025	57,358	1,179	24	58,561

6. Debtors

	2026	2025
	£	£
Due within one year
Trade debtors	-	18,813
Prepayments and accrued income	36,979	13,279
Other debtors	10,288	9,790
Corporation tax recoverable assets	38,302	46,699
VAT	15,415	14,646

	100,984	103,227

7. Creditors: Amounts Falling Due Within One Year

	2026	2025
	£	£
Trade creditors	112,632	102,125
Bank loans and overdrafts	60,290	-
Other taxes and social security	4,602	9,403
Other creditors	8,657	10,126
Accruals and deferred income	46,200	34,083
Directors' loan accounts	17,700	20,600

	250,081	176,337

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Fluoretiq Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

8. Share Capital

	2026	2025
Allotted, called up and fully paid	£	£
26,741,583 Ordinary Shares of £ 0.00001 each	267	259

886,557 shares, with an aggregate nominal value of £8, were issued during the year for a total consideration of £310,294.

9. Other Commitments

The company has a non-cancellable operating lease for land and buildings on a rolling 3 month notice period, and an equipment lease expiring in September 2026.

The company also has a financial commitment for royalty payments relating to future revenue streams.

The minimum amounts due under these contracts are as follows:

	2026	2025
	£	£
Not later than one year	59,387	48,184
Later than one year and not later than five years	120,000	122,480
Later than five years	97,500	127,500

	276,887	298,164

10. Post Balance Sheet Events

Since the year end 705,719 shares have been issued by the company for a total consideration of £247,002.

11. Share based payments

Approved share scheme

Certain employees have been granted options over unissued share capital of the company. The options expire ten years after the grant date.

The movements in the number of share options during the year were as follows:

Outstanding at beginning of year: 219,922 (2025: 295,980)

Granted during the year: 14,571 (2025: nil)

Lapsed during the year: nil (2025: 76,058)

Outstanding at end of year: 234,493 (2025: 219,922)

The weighted average exercise price of share options issued during the year was £0.35 (2025: £nil), and lapsed £nil (2025: £0.26). The weighted average exercise price of all share options at the year end was £0.24 (2025: £0.23).

Unapproved share scheme

Certain advisors to the company have been granted options over unissued share capital of the company. The options expire ten years after the grant date.

The movements in the number of share options during the year were as follows:

Outstanding at beginning of year: 1,119,766 (2025: 220,640)

Granted during the year: 89,143 (2025: 899,126)

Lapsed during the year: 100,000 (2025: nil)

Outstanding at end of year: 1,108,909 (2025: 1,119,766)

The weighted average exercise price of share options issued during the year was £0.35 (2025: £0.32), and lapsed £0.18 (2025: £nil). The weighted average exercise price of all share options at the year end was £0.35 (2025: £0.32).

Warrants

Certain shareholders have warrants conferring the right to subscribe for additional ordinary shares in the company.

The movement in the number of warrants during the year was as follows:

...CONTINUED

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Fluoretiq Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

Outstanding at beginning of year: 1,633,321 (2025: 1,603,093)

Issued during the year: nil (2025: 30,228)

Lapsed during the year: 1,233,321 (2025: nil)

Outstanding and exercisable at end of year: 400,000 (2025: 1,633,321)

The weighted average exercise price of share warrants issued during the year was £nil (2025: £0.18), and lapsed £0.18 (2025: nil). The weighted average exercise price of all share warrants at the year end was £0.21 (2025: £0.19).

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		2026		2025
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	4		1,520,450		1,385,614
Tangible Assets	5		32,013		58,561

			1,552,463		1,444,175
CURRENT ASSETS
Debtors	6	100,984		103,227
Cash at bank and in hand		75,432		4,343

		176,416		107,570
Creditors: Amounts Falling Due Within One Year	7	(250,081 )		(176,337 )

NET CURRENT ASSETS (LIABILITIES)			(73,665 )		(68,767 )

TOTAL ASSETS LESS CURRENT LIABILITIES			1,478,798		1,375,408

NET ASSETS			1,478,798		1,375,408

CAPITAL AND RESERVES
Called up share capital	8		267		259
Share premium account			3,669,836		3,359,550
Share application money			110,000		41,661
Share option reserve			25,246		25,042
Profit and Loss Account			(2,326,551 )		(2,051,104 )

SHAREHOLDERS' FUNDS			1,478,798		1,375,408