The directors present the strategic report for the year ended 31 December 2025.

The principal activity continued to be that of a specialist manufacturer of prebuilt Glass Reinforced Plastic (GRP) composite buildings, serving all major utility sectors. Our products are engineered to meet rigorous industry standards and are used in a variety of infrastructure projects across the UK, providing turnkey enclosure solutions for gas, water, electricity, nuclear, rail and the renewables sector.

The Company continues to benefit from an established position within the GRP market, supported by its specialist technical knowledge, product range and ability to provide both standard and bespoke solutions. Quinshield's products are used across a broad range of applications, including water, electricity, gas, renewable energy and other infrastructure projects.

Trading during 2025 was more subdued than the exceptionally strong performance achieved in the previous year. Turnover reduced to £12.0 million (2024: £17.6 million), reflecting the timing and mix of customer projects and a lower level of work in progress carried forward at the year end. Gross profit amounted to £6.26 million (2024: £10.76 million), representing a gross margin of 52.1% compared with 61.1% in the prior year. Operating profit reduced expectedly as the lower level of activity and reduced gross margin were only partly offset by lower direct labour and production costs.

Notwithstanding the reduction in profitability, the Directors consider the Company's financial position to remain strong. Net assets increased at the year end, providing a substantial financial base from which to support future operations and investment.

The wider market outlook remains supportive. Significant programmes of investment are continuing across the UK water, electricity and wider infrastructure sectors, creating ongoing demand for secure, durable and specialist enclosure solutions. The Directors therefore remain focused on maintaining strong customer and supplier relationships, preserving operational flexibility and continuing to develop the Company's product offering in response to changing customer and regulatory requirements.

The Directors believe that the Company's established reputation, technical expertise, broad product range and exposure to essential infrastructure markets provide a strong platform for future trading.

The Company operates within specialist manufacturing and infrastructure markets and is therefore exposed to fluctuations in customer investment programmes and the timing of major projects, particularly within the utilities sector. The Directors seek to mitigate this through maintaining strong customer relationships and a diversified order base. The Company faces a range of risks, which are considered below and actively monitored through its risk management framework:

Supply chain volatility

Raw material availability and pricing, particularly in relation to resins, glass fibre and structural components, remain key operational risks. The Company continues to work closely with suppliers and monitors material costs and availability to protect production continuity and margins.

Utility sector budgeting cycles

Variability in public and private utility investment programmes could impact the order pipeline.

Regulatory risk

The Company is also exposed to changes in technical standards, product certification requirements and customer specifications. The Directors continue to invest in technical expertise, product development and quality control to ensure that the Company's products remain compliant and competitive.

Liquidity risk

The Company produces detailed management accounts and forecasts, which enables the directors to monitor the cash position and to ensure that there is sufficient liquidity and cash flow to minimise the risk of the Company being unable to pay its debts as they fall due.

People

Our workforce is the backbone of the business. Headcount increased in both the production and design teams to meet rising demand. The company maintains a strong focus on health and safety, training, and well-being. Apprenticeship and upskilling initiatives have been successful, and employee retention remains high, driven by a positive work culture and progression opportunities.

Credit risk

The Company operates a number of policies and controls to minimise credit risk. All customers are subject to a detailed review prior to any terms being agreed, the Company will only conduct business with customers deemed to be credit worthy.

On behalf of the board

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

The principal activity continued to be that of a specialist manufacturer of prebuilt Glass Reinforced Plastic (GRP) composite buildings, serving all major utility sectors. Our products are engineered to meet rigorous industry standards and are used in a variety of infrastructure projects across the UK, providing turnkey enclosure solutions for gas, water, electricity, nuclear, rail and the renewables sector.

The results for the year are set out on page 8.

Dividends payable in the year ended 31 December 2024 totalled £Nil (2024: £Nil).

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

The financial statements have been prepared on a going concern basis which assumes the Company will continue in operational existence for the foreseeable future. In making their assessment the directors have reviewed the balance sheet, the likely future cash flows of the business and have considered the facilities that are in place at the date of signing the report.

The Company meets its day to day working capital requirements from its cash reserves. At the date of approval of the financial statements, sales to all key markets have continued to meet budgeted levels. With no indication that the current time this position will change, the Company's forecasts and projections show that the Company will be able to operate within available reserves.

At the time of approving the financial statements, the directors have a reasonable expectation that the has Company adequate resources to continue in operational existence foe the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

In the reporting period, the Company’s total UK energy consumption was approximately 482,226kWh (2024: 658,615 kWh), which includes electricity, gas and fuel for company vehicles.

Although not required to disclose under the Streamlined Energy and Carbon Reporting (SECR) framework due to our medium-sized status, the Company recognises the importance of transparency around environmental impact and is committed to minimising its carbon footprint.

We continue to monitor energy usage and are exploring initiatives aimed at improving energy efficiency across our operations, including:

-Upgraded lighting controls; Installation of Motion Sensor LED Systems.

-Improved Insulation: Rest and break areas retrofitted with high efficiency insulation.

-Earlier equipment shut down: Daily Power Off time from 15.30 to 15.05.

-Grey Water Harvesting: Over 300m3 recycled annually, lowering demand on water supply.

-Reduced travel: Transition to E-Marketing and video conferencing for sales and training.

-Fleet efficiency: Maintenance of vans and review of replacement policies to include lower emission models.

-Employee Engagement: Internal campaigns on reducing energy waste and promoting sustainable habits.

-Compressor, L.E.V. and HVAC optimisation. Service LEV and HVAC regularly.

-Telematics in fleet vehicles.

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

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, Redwood Wales Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

We have audited the financial statements of Quinshield Limited (the 'company') for the year ended 31 December 2025 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including 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 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 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 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 our 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.

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.

As explained more fully in the directors' responsibilities statement, 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.

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 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 and on the Financial Reporting Council's website, to detect material misstatements in respect of irregularities, including fraud.

We obtain an understanding of the legal and regulatory frameworks that the company operates in, focusing on those laws and regulations that had a direct effect on the Financial Statements or that had a fundamental effect on operations of the company. The key laws and regulations we consider in this context include UK Companies Act and relevant tax legislation.

Audit procedures performed by the engagement team to respond to the risk of irregularities and non-compliance with laws and regulations, including fraud, include the following:

• discussions with management to enquire of any known instances of non-compliance with laws and regulations, including fraud;

• discussions with management in respect of any actual or potential litigation claims;

• performing analytical procedure to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

• testing the appropriateness of journal entries and other adjustments to address the risk of fraud through management override of controls;

• review of the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations; and

• evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

There are inherent limitations in the audit procedures which means 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. The risk of not detecting material misstatement due to fraud is higher than the risk of non detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forger or intentional misrepresentations, or through 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/auditors responsibilities. 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 ndertaken 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.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

Quinshield Limited is a private company limited by shares incorporated in England and Wales. The registered office is Capel Hendre Industrial Estate, Ammanford, UK, SA18 3SJ.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

• Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;

• Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

• Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;

• Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.

The financial statements of the company are consolidated in the financial statements of Cronfa Cyf. These consolidated financial statements are available from its registered office.

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

The turnover shown in the profit and loss account represents amounts invoiced during the year for manufacturing and the maintenance of GRP structures, exclusive of Value Added Tax.

Revenue from sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be in respect of the transaction can be measured reliably

In respect of long-term contracts, turnover represents the value of work done in the year, including estimates of amounts not invoiced. Turnover in respect of long-term contracts is recognised by reference to stage of completion.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items

The 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 net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes 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 reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate

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 of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating profit.

Product development

Product development expenditure is written off in the year in which it is incurred.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The annual depreciation charges for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, conomic utilisation and the physical condition of the assets. See above for useful economic lives for each class of assets.

During the year at the balance sheet date the group tasked in house experienced personnel with quantifying the amounts recoverable on each contact in progress. Cost of work done to date including materials, subcontractors and staff is taking into consideration before arriving at a valuation by reference to the stage of completion. The company include provisions in their valuation for unforeseen costs based on the risk of likelihood of them occuring.

The average monthly number of persons (including directors) employed by the company during the year was:

Their aggregate remuneration comprised:

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

During the year the company paid rent of £800,000 (2024: £800,000) for use of its manufacturing premises to an entity controlled by Mr D W Jenkins and Mr A D Jenkins, directors.

During the year the company paid £25,816 (2024: £43,257) for consultancy services from a related business.

The parent company of Quinshield Limited is Cronfa Cyf and it's registered office is Capel Hendre Industrial Estate, Ammanford, SA18 3SJ.

The ultimate controlling party during the current and previous year was director Dr D J Jenkins.