ACCOUNTS - Final Accounts preparation

Operating profit

The operating profit is stated after charging:

Registered number: 04199893

PAGETS BUILDERS MERCHANTS LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

PAGETS BUILDERS MERCHANTS LIMITED

COMPANY INFORMATION

Directors	B J Anglin
	J P Hespe
	M Potter
	R J Poole (appointed 6 February 2025)


Company secretary	S Scutt


Registered number	04199893


Registered office	94 Broadfield Road
	Sheffield
	South Yorkshire
	S8 0XL


Independent auditors	Shorts
	Chartered Accountant & Statutory Auditor
	Cedar House
	63 Napier Street
	Sheffield
	South Yorkshire
	S11 8HA


Bankers	Lloyds Bank Plc

PAGETS BUILDERS MERCHANTS LIMITED

CONTENTS

	Page
Strategic Report	1 - 2
Directors' Report	3 - 4
Independent Auditors' Report	5 - 8
Statement of Income and Retained Earnings	9
Balance Sheet	10
Statement of Cash Flows	11 - 12
Analysis of Net Debt	13
Notes to the Financial Statements	14 - 28

PAGETS BUILDERS MERCHANTS LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

Introduction

As a leading independent builders merchant the Company continues to supply building materials to the construction industry and the general public.

Business review

Turnover fell slightly compared to the previous year. However profitability continued to increase and the operating profit margin in 2025 was 6.5%.

The directors remain committed to continual investment in the business, developing it's premises and updating it's fleet of vehicles. The Company remains committed to the Real Living Wage and to ensuring that it's offering to staff continues to be both competitive and attractive.

The directors will continue to keep a tight control on costs and monitor the performance of the Company against forecasts and industry benchmarks.

Principal risks and uncertainties

Operational risk

The Company has good reporting systems and produces timely and accurate management information which is regularly reviewed by the directors and stakeholders.

Price risk

The Company is exposed to downward pressure on margins as a result of operating in a competitive market, however it continues to seek improvements and efficiencies.

Credit risk

The Company’s primary credit risk is its trade debtors. This risk is managed by maintaining a strict credit control policy. Prior to granting credit the Company carries out appropriate checks with credit agencies.

The amounts presented in the Balance Sheet are net of provisions for doubtful debts estimated by the Company’s management based on prior experience and their assessment of the current economic environment. The Company has no significant concentration of credit risk with exposure spread over a large number of customers.

Trade creditors liquidity risk is managed by ensuring sufficient funds are available to meet amounts due.

Liquidity risk

The Company’s policy has been to ensure continuity of funding through acquiring major fixed assets via financing where appropriate. In addition the Company has sufficient banking facilities in place to meet current and future working capital requirements.

Page 1

PAGETS BUILDERS MERCHANTS LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Financial key performance indicators

The directors consider the financial KPIs of the business to be:

Turnover

Turnover in 2025 was £11.6m, a reduction of 2.5% on prior year.

Profit Before Taxation

Profit before taxation was 6.1% of revenue in 2025, compared to 5.6% in the prior year.

Stock Levels

Stock holding at the end of 2025 was £917k, a reduction of of 1.43% (ie £13k) on prior year.

Cash

Cash balances at the end of 2025 were £277k lower than prior year.

Other key performance indicators

The directors consider the non-financial KPIs of the business to be:

∙High standard of customer service

∙Health and safety compliance

∙Company employees/staff engagement

This report was approved by the board on 1 June 2026 and signed on its behalf.

B J Anglin

Director

Page 2

PAGETS BUILDERS MERCHANTS LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

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

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements 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 to 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.

Results and dividends

The profit for the year, after taxation, amounted to £509,503 (2024 - £485,362).

The total distribution of dividend for the year ended 31 December 2025 was £266,000 (2024: £218,500).

Directors

The directors who served during the year were:

B J Anglin

E L Anglin (resigned 20 May 2025)

J P Hespe

M Potter

R J Poole (appointed 6 February 2025)

Qualifying third party indemnity provisions

The directors have been granted a qualifiying third party indemnity provision under Section 234 of the Companies Act 2006. This indemnity does not provide cover in the event of a director acting fraudulently or dishonestly.

Page 3

PAGETS BUILDERS MERCHANTS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Auditors

The auditors, Shorts, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 1 June 2026 and signed on its behalf.

B J Anglin

Director

Page 4

PAGETS BUILDERS MERCHANTS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PAGETS BUILDERS MERCHANTS LIMITED

Opinion

We have audited the financial statements of Pagets Builders Merchants Limited (the 'Company') for the year ended 31 December 2025, which comprise the Statement of Income and Retained Earnings, the Analysis of Net Debt, the Balance Sheet, the 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 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 December 2025 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.

Page 5

PAGETS BUILDERS MERCHANTS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PAGETS BUILDERS MERCHANTS LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.

Opinion 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic Report and the Directors' 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 Directors' 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 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 Directors' Responsibilities Statement set out on page 3, 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 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 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.

Page 6

PAGETS BUILDERS MERCHANTS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PAGETS BUILDERS MERCHANTS LIMITED (CONTINUED)

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 an Auditors' 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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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 engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

∙through discussions with the directors and other management and from our commercial knowledge and experience of the sectors that the Company operates in, we identified the laws and regulations applicable to the Company; and

∙focusing on the specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Company, we assessed the extent of compliance with those laws and regulations identified above through making enquiries of management and inspecting relevant correspondence.

We assessed the susceptibility of the Company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

∙making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;

∙and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

∙performed analytical procedures to identify any unusual or unexpected relationships;

∙considered journal entries to identify unusual transactions;

∙assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

∙investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

∙agreeing financial statement disclosures to underlying supporting documentation;

∙reading the minutes of meetings of those charged with governance;

∙enquiring of management as to actual and potential litigation and claims; and

∙reviewing and correspondence with HMRC, relevant regulators and the Company’s legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations

Page 7

PAGETS BUILDERS MERCHANTS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PAGETS BUILDERS MERCHANTS LIMITED (CONTINUED)

to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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 Auditors' Report.

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 Auditors' 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.

Andy Irvine (Senior Statutory Auditor)

for and on behalf of

Shorts

Chartered Accountant

Statutory Auditor

Cedar House

63 Napier Street

Sheffield

South Yorkshire

S11 8HA

1 June 2026

Page 8

PAGETS BUILDERS MERCHANTS LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

FOR THE YEAR ENDED 31 DECEMBER 2025

	2025	2024
Note	£	£


Turnover	4	11,581,168	11,875,377
Cost of sales		(7,954,078)	(8,461,268)
Gross profit		3,627,090	3,414,109
Administrative expenses		(2,886,640)	(2,682,522)
Other operating income	5	6,507	5,047
Operating profit	6	746,957	736,634
Interest receivable and similar income		-	15
Interest payable and similar expenses	10	(44,539)	(67,940)
Profit before tax		702,418	668,709
Tax on profit	11	(192,915)	(183,347)
Profit after tax		509,503	485,362



Retained earnings at the beginning of the year	2,493,799	2,226,937
Profit for the year	509,503	485,362
Dividends declared and paid	(266,000)	(218,500)
Retained earnings at the end of the year	2,737,302	2,493,799

The notes on pages 14 to 28 form part of these financial statements.

Page 9

PAGETS BUILDERS MERCHANTS LIMITED

REGISTERED NUMBER: 04199893

BALANCE SHEET

AS AT 31 DECEMBER 2025

		2025		2024
Note		£		£

Fixed assets
Intangible assets	12		2,063		876
Tangible assets	13		4,053,909		4,030,085
Investments	14		11,400		11,400
			4,067,372		4,042,361
Current assets
Stocks	15	917,145		930,248
Debtors: amounts falling due within one year	16	1,150,429		1,115,293
Cash at bank and in hand		164,815		442,412
		2,232,389		2,487,953
Creditors: amounts falling due within one year	17	(1,885,228)		(2,284,946)
Net current assets			347,161		203,007
Total assets less current liabilities			4,414,533		4,245,368
Creditors: amounts falling due after more than one year	18		(648,644)		(698,394)
Provisions for liabilities
Deferred tax	20		(124,288)		(148,876)
Net assets			3,641,601		3,398,098

Capital and reserves
Called up share capital	21	100,000	100,000
Share premium account	22	750,816	750,816
Revaluation reserve	22	53,483	53,483
Profit and loss account	22	2,737,302	2,493,799
		3,641,601	3,398,098

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 June 2026.

B J Anglin

Director

The notes on pages 14 to 28 form part of these financial statements.

Page 10

PAGETS BUILDERS MERCHANTS LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	509,503	485,362
Adjustments for:
Amortisation of intangible assets	1,063	807
Depreciation of tangible assets	244,994	250,945
Loss on disposal of tangible assets	(12,319)	(1,135)
Government grants	(3,000)	(3,000)
Interest paid	44,539	67,940
Interest received	-	(15)
Taxation charge	192,915	183,347
Decrease/(increase) in stocks	13,103	(30,305)
(Increase) in debtors	(35,135)	(103,633)
(Decrease) in creditors	(324,759)	(41,045)
Corporation tax (paid)	(140,783)	(145,323)
Net cash generated from operating activities	490,121	663,945

Cash flows from investing activities
Purchase of intangible fixed assets	(2,250)	-
Purchase of tangible fixed assets	(276,552)	(358,200)
Sale of tangible fixed assets	20,053	41,895
Government grants received	3,000	3,000
Interest received	-	15
HP interest paid	(27,809)	(11,981)
Net cash from investing activities	(283,558)	(325,271)

Page 11

PAGETS BUILDERS MERCHANTS LIMITED

STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

		2025	2024
		£	£


Cash flows from financing activities
Repayment of loans	(239,223)	(348,252)
Repayment of/new finance leases	37,793	222,820
Dividends paid	(266,000)	(218,500)
Interest paid	(16,730)	(55,959)
Net cash used in financing activities	(484,160)	(399,891)
Net (decrease) in cash and cash equivalents	(277,597)	(61,217)
Cash and cash equivalents at beginning of year	442,412	503,629
Cash and cash equivalents at the end of year	164,815	442,412

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	164,815	442,412
	164,815	442,412

The notes on pages 14 to 28 form part of these financial statements.

Page 12

PAGETS BUILDERS MERCHANTS LIMITED

ANALYSIS OF NET DEBT

FOR THE YEAR ENDED 31 DECEMBER 2025


At 1 January 2025	Cash flows	New finance leases	At 31 December 2025
£	£	£	£

Cash at bank and in hand	442,412	(277,597)	-	164,815
Debt due after 1 year	(186,578)	32,682	-	(153,896)
Debt due within 1 year	(239,315)	206,541	-	(32,774)
Finance leases	(524,820)	176,335	(214,128)	(562,613)
	(508,301)	137,961	(214,128)	(584,468)

The notes on pages 14 to 28 form part of these financial statements.

Page 13

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

1.	General information

Pagets Builders Merchants Limited is a private limited Company limited by shares, incorporated in England and Wales (registered number: 04199893). Its registered office is 94 Broadfield Road, Sheffield, South Yorkshire, S8 0XL. The principal activity of the Company throughout the year continued to be that of sale of building supplies.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).

The Company's functional and presentational currency is pounds sterling.

The following principal accounting policies have been applied:

2.2

Revenue

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. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

2.3

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Page 14

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.4

Leased assets: the Company as lessee

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

2.5

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.

Grants of a revenue nature are recognised in the Statement of Income and Retained Earnings in the same period as the related expenditure.

2.6

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

2.7

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

2.8

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Page 15

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.9

Intangible assets

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

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

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

Amortisation is provided on the following bases:

				Website development	-	33%	Straight line
				Goodwill	-	5%	Straight line

2.10

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, as follows.

The depreciation rates used are:

Freehold property	-	2% straight line
Plant and machinery	-	10% - 50% straight line
Motor vehicles	-	25% straight line
Motor lorries	-	16% straight line & 25% reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Page 16

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.11

Revaluation of tangible fixed assets

Individual freehold properties are carried at fair value at the date of the revaluation, plus any subsequent additions stated at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date.

The company has taken advantage of the transitional provision in paragraph 35.10 (d) of FRS 102 to use the previous GAAP revaluation of freehold property as its deemed cost at the revaluation date. Hence freehold property is no longer stated under the revaluation model, but is deemed to be measured under the cost model as described in section 17 of FRS 102.

2.12

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments in unlisted Company shares, whose market value can be reliably determined, are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in the Statement of Income and Retained Earnings for the period. Where market value cannot be reliably determined, such investments are stated at historic cost less impairment.

2.13

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.14

Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities such as bank and cash balances, trade and other accounts receivable and payable, loans from banks and other third parties and loans to and from related parties.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at the transaction price and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets and liabilities are offset and the net amount reported in the Balance sheet when there is an 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.

Page 17

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

No significant judgements have had to be made by management in preparing these financial statements.

The company makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have had the greatest level of uncertainty are addressed below:

(i) Impairment of debtors
The company makes an estimate of the recoverable value of trade debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. There were no such provisions in the current year.

Turnover

All turnover arose within the United Kingdom.

5.	Other operating income
		2025	2024
		£	£

Other operating income	3,507	2,047
Government grants receivable	3,000	3,000
	6,507	5,047

Depreciation	244,994	250,945
Amortisation	1,063	807
Profit on disposal of tangible fixed assets	(12,319)	(1,135)

Fees payable to the Company's auditors for the audit of the Company's financial statements

17,000

16,170

Page 18

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Wages and salaries	2,073,969	1,973,298
Social security costs	290,878	193,551
Cost of defined contribution scheme	133,822	123,732
	2,498,669	2,290,581

The average monthly number of employees, including the directors, during the year was as follows:

	2025	2024
	No.	No.

Employees	47	48

9.	Directors' remuneration
		2025	2024
		£	£

Directors' emoluments	350,388	170,236
Company contributions to defined contribution pension schemes	75,056	62,964
	425,444	233,200

	During the year retirement benefits were accruing to 4 directors (2024 - 3) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £124,362 (2024 - £90,185).
	The value of the Company's contributions paid to a defined benefit pension scheme in respect of the highest paid director amounted to £68,690 (2024 - £3,060).

Page 19

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

10.	Interest payable and similar expenses
		2025	2024
		£	£

Bank interest payable	16,730	55,959
Finance leases and hire purchase contracts	27,809	11,981
	44,539	67,940

Corporation tax
Current tax on profits for the year	217,503	140,784

Total current tax	217,503	140,784

Deferred tax
Origination and reversal of timing differences	(24,630)	42,732
Movement in provisions	42	(169)
Total deferred tax	(24,588)	42,563


	Tax on profit	192,915	183,347

Page 20

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

11.Taxation (continued)

Profit on ordinary activities before tax

702,417

668,709

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	175,604	167,177
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	3,284	1,924
Capital allowances for year in excess of depreciation	14,027	14,246
Total tax charge for the year	192,915	183,347

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 21

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

12.	Intangible assets

	Computer software	Goodwill	Total
	£	£	£
Cost
At 1 January 2025	3,230	255,340	258,570
Additions	2,250	-	2,250
Disposals	(3,230)	-	(3,230)
At 31 December 2025	2,250	255,340	257,590
Amortisation
At 1 January 2025	2,354	255,340	257,694
Charge for the year on owned assets	1,063	-	1,063
On disposals	(3,230)	-	(3,230)
At 31 December 2025	187	255,340	255,527
Net book value
At 31 December 2025	2,063	-	2,063
At 31 December 2024	876	-	876

Page 22

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.	Tangible fixed assets

	Freehold property	Plant and machinery	Motor vehicles	Total
	£	£	£	£
Cost or valuation
At 1 January 2025	3,555,092	922,981	1,061,342	5,539,415
Additions	13,009	64,548	198,995	276,552
Disposals	-	-	(260,920)	(260,920)
At 31 December 2025	3,568,101	987,529	999,417	5,555,047
Depreciation
At 1 January 2025	307,499	529,046	672,785	1,509,330
Charge for the year on owned assets	51,493	60,865	4,014	116,372
Charge for the year on financed assets	-	25,781	102,841	128,622
Disposals	-	-	(253,186)	(253,186)
At 31 December 2025	358,992	615,692	526,454	1,501,138
Net book value
At 31 December 2025	3,209,109	371,837	472,963	4,053,909
At 31 December 2024	3,247,593	393,935	388,557	4,030,085

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2025	2024
	£	£


Plant and machinery	170,484	157,396
Motor vehicles	466,603	370,449
	637,087	527,845

As permitted by FRS 102, freehold land and buildings were measured at fair value on the date of transition to FRS 102 and this fair value has been used as deemed cost of this asset as at that date. As the asset is depreciated, an appropriate transfer is made from the revaluation reserve to retained earnings.

Page 23

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

13.Tangible fixed assets (continued)

If the land and buildings had not been included at valuation they would have been included under the historical cost convention as follows:
	2025	2024
	£	£


Cost	3,704,140	3,691,131
Accumulated depreciation	(548,513)	(497,020)
Net book value	3,155,627	3,194,111

14.	Fixed asset investments

	Investments in subsidiary companies	Other fixed asset investments	Total
	£	£	£
Cost or valuation
At 1 January 2025	10,100	1,300	11,400
At 31 December 2025	10,100	1,300	11,400

15.	Stocks
		2025	2024
		£	£

	Raw materials and consumables	917,145	930,248

Page 24

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

16.

Debtors

					2025	2024
					£	£


Trade debtors	751,431	706,291
Other debtors	398,998	409,002
	1,150,429	1,115,293

17.	Creditors: Amounts falling due within one year
		2025	2024
		£	£

Bank loans	32,774	239,315
Trade creditors	873,803	1,431,572
Corporation tax	217,504	140,784
Other taxation and social security	181,003	178,110
Obligations under finance lease and hire purchase contracts	196,965	145,104
Other creditors	26,051	28,627
Accruals and deferred income	357,128	121,434
	1,885,228	2,284,946

Page 25

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

18.	Creditors: Amounts falling due after more than one year
		2025	2024
		£	£

Bank loans	153,896	186,578
Net obligations under finance leases and hire purchase contracts	365,648	379,716
Amounts owed to group undertakings	10,100	10,100
Accruals and deferred income	119,000	122,000
	648,644	698,394

The aggregate amount of liabilities repayable wholly or in part more than five years after the balance sheet date is:
	2025	2024
	£	£

Repayable by instalments

36,305

The amounts held within bank loans are secured against certain owned assets.

The amounts held within obligations under finance leases and hire purchase contracts are secured against the assets to which they relate.

Within one year	196,965	229,078
Between 1-5 years	365,648	393,060
	562,613	622,138

Page 26

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

20.	Deferred taxation

		2025
		£

	At beginning of year	148,876
	Charged to profit or loss	(24,588)
	At end of year	124,288

The provision for deferred taxation is made up as follows:
	2025	2024
	£	£

Accelerated capital allowances	125,756	150,386
Pension surplus	(1,468)	(1,510)
	124,288	148,876

21.	Share capital
		2025	2024
		£	£

Allotted, called up and fully paid

100,000 (2024 - 100,000) Ordinary Shares shares of £1.00 each	100,000	100,000

22.

Reserves

Share premium account

The share premium reserve represents the amount above the nominal value received for shares sold, less transaction costs.

Revaluation reserve

The revaluation reserve represents the cumulative effect of revaluations of freehold land and buildings which are revalued to fair value at each reporting date.

Profit and loss account

Profit and loss account represents all current and prior period retained profits and losses and is all considered to be distributable.

Page 27

PAGETS BUILDERS MERCHANTS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

23.	Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held seperately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amount to £133,822 (2024: £123,732). Contributions totalling £79,582 (2024: £12,129) were payable to the fund at the balance sheet date and are included in creditors.

Not later than 1 year	32,301	23,852
Later than 1 year and not later than 5 years	61,056	27,014
	93,357	50,866

Page 28