REGISTERED NUMBER: 07875670 (England and Wales)

Group Strategic Report,

Report of the Director and

Consolidated Financial Statements

for the Year Ended 31 December 2025

for

Fez Investments Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

4

Consolidated Statement of Comprehensive Income

7

Consolidated Balance Sheet

8

Company Balance Sheet

9

Consolidated Statement of Changes in Equity

10

Company Statement of Changes in Equity

11

Consolidated Cash Flow Statement

12

Notes to the Consolidated Cash Flow Statement

13

Notes to the Consolidated Financial Statements

14

DIRECTOR:

D Fairbrother

REGISTERED OFFICE:

Unit 8

Chichester Street

Rochdale

Lancashire

OL16 2AU

REGISTERED NUMBER:

07875670 (England and Wales)

SENIOR STATUTORY AUDITOR:

David Adams FCA

AUDITORS:

Lindley Adams Limited Chartered Accountants

Statutory Auditor

28 Prescott Street

Halifax

West Yorkshire

HX1 2LG

The director presents his strategic report of the company and the group for the year ended 31 December 2025.

Fez Investments Limited is an investment holding company. The principal activities of the trading subsidiaries of the

group continue to be pallet distribution and pallet storage

REVIEW OF BUSINESS

The directors consider that the key financial performance indicators are those that monitor the performance in respect of each of these activities. The revenue of the group is analysed as follows:

2025

2024

Distribution

15,430,557

14,424,835

Storage

649,230

516 319

16,079,787

14,941,154

The group has continued to trade strongly in challenging times. Sales orders are strong and the directors continue to foresee a healthy growth due to the lack of competition from haulage companies. Distribution sales showed growth of 7% and storage revenue increased 26% in line with the directors' expectations.

Due to a rise in cost of sales, distribution costs and administrative expenses the operating profit of the company has decreased from £809,725 to £774,706.

The directors monitor gross profit margins as another key performance indicator, and note a decrease in the current year from 28.62%.to 25.73%.

This reflects an ability to maintain and expand the customer base despite proportion increases in cost.

PRINCIPAL RISKS AND UNCERTAINTIES

The group faces a number of business risks and uncertainties. The directors are looking carefully at both existing and potential new markets. In particular, the key risks that have been identified are:

Volatility in markets

The markets continue to be volatile with volume fluctuating constantly within Pallex and our own customers. The company has a loyal but diverse customer base, both in terms of revenue and concentration, reducing its exposure when there is a temporary downturn in certain markets. New markets are being constantly explored and a very strong pipeline is in place.

Inflation

Inflation is always a concern and is being constantly monitored. The company always shops around for the best deals specifically in the asset finance market.

ON BEHALF OF THE BOARD:

D Fairbrother - Director

28 August 2026

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

DIVIDENDS

The total distribution of dividends for the year ended 31 December 2025 will be £ 186,347 .

DIRECTORS

D Fairbrother has held office during the whole of the period from 1 January 2025 to the date of this report.

Other changes in directors holding office are as follows:

Mrs V J Fairbrother - resigned 17 December 2025

POLITICAL DONATIONS AND EXPENDITURE

There were no political donations and expenditure

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is 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 director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group 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 director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he 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 group's auditors are aware of that information.

AUDITORS

The auditors, Lindley Adams Limited Chartered Accountants, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

D Fairbrother - Director

28 August 2026

Opinion

We have audited the financial statements of Fez Investments Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 December 2025 and of the group's 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 group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Director 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director.

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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

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

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

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

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the director is responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or the parent company or to cease operations, or has 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:

We identified the laws and regulations which we considered to have a direct effect on the financial statements and considered that the most significant are the Companies Act 2006, Financial Reporting Standards and UK tax legislation.

The engagement partner assessed that the engagement team had the appropriate competence and capabilities to identify or recognise non-compliance with the laws and regulations. We enquired with management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations including fraud. We also designed specific appropriate audit procedures including:

- Agreeing financial statement disclosures to supporting documentation;

- Analytical procedures to identify any unusual or unexpected relationships;

- Testing appropriateness of journal entries;

- Review of accounting estimates for potential bias;

- Review of minutes of meetings;

- Enquiring as to actual and potential litigation and claims, and;

- Testing transactions for validity.

We are not aware of any actual or suspected non-compliance with laws and regulations, and we are not responsible for preventing or detecting non-compliance with all laws and regulations. The primary responsibility for the prevention and detection of fraud rests with management and those charged with governance.

There are inherent limitations in audit procedures and there is an unavoidable risk that we may not have detected

material misstatements within the financial statements, even though the audit is properly planned performed in accordance with ISA's UK. The further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. The risk of not detecting a material misstatement due to fraud is higher than the risk due to error as fraud may involve a 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 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.

David Adams FCA (Senior Statutory Auditor)

for and on behalf of Lindley Adams Limited Chartered Accountants

Statutory Auditor

28 Prescott Street

Halifax

West Yorkshire

HX1 2LG

28 August 2026

TURNOVER

16,079,787

14,941,154

Cost of sales

(11,943,130

)

(10,665,221

)

GROSS PROFIT

4,136,657

4,275,933

Distribution costs

(651,655

)

(610,756

)

Administrative expenses

(2,719,432

)

(2,855,452

)

765,570

809,725

Other operating income

9,136

264

OPERATING PROFIT

4

774,706

809,989

Interest receivable and similar income

13,893

7,531

788,599

817,520

Interest payable and similar expenses

5

(242,331

)

(89,597

)

PROFIT BEFORE TAXATION

546,268

727,923

Tax on profit

6

(199,616

)

(291,874

)

PROFIT FOR THE FINANCIAL YEAR

346,652

436,049

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

346,652

436,049

Profit attributable to:

Owners of the parent

269,113

342,566

Non-controlling interests

77,539

93,483

346,652

436,049

Total comprehensive income attributable to:

Owners of the parent

269,113

342,566

Non-controlling interests

77,539

93,483

346,652

436,049

FIXED ASSETS

Intangible assets

9

952,472

880,269

Tangible assets

10

8,535,144

3,073,181

Investments

11

275,000

255,000

9,762,616

4,208,450

CURRENT ASSETS

Stocks

12

35,522

29,493

Debtors

13

3,854,428

5,650,745

Cash at bank and in hand

256,790

82,115

4,146,740

5,762,353

CREDITORS

Amounts falling due within one year

14

5,295,092

4,719,174

NET CURRENT (LIABILITIES)/ASSETS

(1,148,352

)

1,043,179

TOTAL ASSETS LESS CURRENT LIABILITIES

8,614,264

5,251,629

CREDITORS

Amounts falling due after more than one year

15

(3,816,592

)

(965,573

)

PROVISIONS FOR LIABILITIES

19

(1,006,164

)

(654,853

)

NET ASSETS

3,791,508

3,631,203

CAPITAL AND RESERVES

Called up share capital

20

200

200

Revaluation reserve

21

1,088,340

-

Capital redemption reserve

21

11

11

Retained earnings

21

1,529,569

2,535,142

SHAREHOLDERS' FUNDS

2,618,120

2,535,353

NON-CONTROLLING INTERESTS

22

1,173,388

1,095,850

TOTAL EQUITY

3,791,508

3,631,203

The financial statements were approved by the director and authorised for issue on 28 August 2026 and were signed by:

D Fairbrother - Director

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

-

-

Investments

11

2,414,126

1,000,091

2,414,126

1,000,091

CURRENT ASSETS

Debtors

13

584,747

569,134

Cash at bank

-

60

584,747

569,194

CREDITORS

Amounts falling due within one year

14

2,878,377

1,440,754

NET CURRENT LIABILITIES

(2,293,630

)

(871,560

)

TOTAL ASSETS LESS CURRENT LIABILITIES

120,496

128,531

CAPITAL AND RESERVES

Called up share capital

20

200

200

Retained earnings

21

120,296

128,331

SHAREHOLDERS' FUNDS

120,496

128,531

Company's loss for the financial year

(8,035

)

(10,918

)

The financial statements were approved by the director and authorised for issue on 3 August 2026 and were signed by:

D Fairbrother - Director

Called up

share

Retained

Revaluation

capital

earnings

reserve

£

£

£

Balance at 1 January 2024

200

2,354,845

-

Changes in equity

Dividends

-

(162,269

)

-

Total comprehensive income

-

342,566

-

Balance at 31 December 2024

200

2,535,142

-

Changes in equity

Dividends

-

(186,347

)

-

Total comprehensive income

-

(819,226

)

1,088,340

Balance at 31 December 2025

200

1,529,569

1,088,340

Capital

redemption

Non-controlling

Total

reserve

Total

interests

equity

£

£

£

£

Balance at 1 January 2024

11

2,355,056

1,002,367

3,357,423

Changes in equity

Dividends

-

(162,269

)

-

(162,269

)

Total comprehensive income

-

342,566

93,483

436,049

Balance at 31 December 2024

11

2,535,353

1,095,850

3,631,203

Changes in equity

Dividends

-

(186,347

)

-

(186,347

)

Total comprehensive income

-

269,114

77,539

346,653

Balance at 31 December 2025

11

2,618,120

1,173,389

3,791,509

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2024

200

139,249

139,449

Changes in equity

Deficit for the year

-

(10,918

)

(10,918

)

Total comprehensive income

-

(10,918

)

(10,918

)

Total transactions with owners, recognised directly in equity

-

-

-

Balance at 31 December 2024

200

128,331

128,531

Changes in equity

Deficit for the year

-

(8,035

)

(8,035

)

Total comprehensive income

-

(8,035

)

(8,035

)

Total transactions with owners, recognised directly in equity

-

-

-

Balance at 31 December 2025

200

120,296

120,496

Cash flows from operating activities

Cash generated from operations

1

3,125,438

2,030,768

Interest paid

(143,482

)

(10,867

)

Interest element of hire purchase payments paid

(98,849

)

(78,730

)

Tax paid

(81,003

)

(331,042

)

Net cash from operating activities

2,802,104

1,610,129

Cash flows from investing activities

Purchase of intangible fixed assets

(142,542

)

-

Purchase of tangible fixed assets

(6,497,628

)

(1,379,834

)

Purchase of fixed asset investments

(20,000

)

(130,000

)

Sale of tangible fixed assets

65,000

344,757

Interest received

13,893

7,531

Net cash from investing activities

(6,581,277

)

(1,157,546

)

Cash flows from financing activities

Loan repayments in year

3,436,153

(16,671

)

Capital repayments in year

(242,699

)

63,066

Amount introduced by directors

3,780,458

310,207

Amount withdrawn by directors

(2,833,717

)

(677,387

)

Equity dividends paid

(186,347

)

(162,269

)

Net cash from financing activities

3,953,848

(483,054

)

Increase/(decrease) in cash and cash equivalents

174,675

(30,471

)

Cash and cash equivalents at beginning of year

2

82,115

112,586

Cash and cash equivalents at end of year

2

256,790

82,115

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

31.12.25

31.12.24

£

£

Profit before taxation

546,268

727,923

Depreciation charges

967,288

852,975

Loss on disposal of fixed assets

11,466

21,891

Provisions

-

(10,000

)

Finance costs

242,331

89,597

Finance income

(13,893

)

(7,531

)

1,753,460

1,674,855

(Increase)/decrease in stocks

(6,029

)

9,421

Decrease in trade and other debtors

1,114,291

14,038

Increase in trade and other creditors

263,716

332,454

Cash generated from operations

3,125,438

2,030,768

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 December 2025

31.12.25

1.1.25

£

£

Cash and cash equivalents

256,790

82,115

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

82,115

112,586

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.1.25

Cash flow

At 31.12.25

£

£

£

Net cash

Cash at bank and in hand

82,115

174,675

256,790

82,115

174,675

256,790

Debt

Finance leases

(1,763,681

)

242,699

(1,520,982

)

Debts falling due within 1 year

(1,143,422

)

(339,310

)

(1,482,732

)

Debts falling due after 1 year

-

(3,096,843

)

(3,096,843

)

(2,907,103

)

(3,193,454

)

(6,100,557

)

Total

(2,824,988

)

(3,018,779

)

(5,843,767

)

1.	STATUTORY INFORMATION

Fez Investments Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2022, is being amortised evenly over its estimated useful life of twenty years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold property

-

2% Straight line

Short leasehold

-

Straight line over 3 years

Improvements to property

-

10% on cost

Plant and machinery

-

25% on reducing balance

Fixtures and equipment

-

10% on cost

Motor vehicles

-

25% on reducing balance

Computer equipment

-

25% on cost

Stocks

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

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

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 deferred tax liabilities or other future taxable profits.