REGISTERED NUMBER: 02758361 (England and Wales)

Advanced Plastics Limited

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31st December 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Notes to the Financial Statements

12

DIRECTORS:

R J Anderson

C J Pearson

J Heasty

L Arand

M Spence

P I Tyler

SECRETARY:

J Heasty

REGISTERED OFFICE:

Bergen Way

Sutton Fields

Hull

East Yorkshire

HU7 0YQ

REGISTERED NUMBER:

02758361 (England and Wales)

AUDITORS:

Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

BANKERS:

HSBC plc

3-4 Jameson Street

Hull

HU1 3JX

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

REVIEW OF BUSINESS

The principal activity of the company is the manufacture of technical injection moulded components and assemblies.

During the year ended 31 December 2025, the company delivered a resilient trading performance. Turnover increased modestly to £31.45 million (2024: £31.32 million). Gross profit was £9.81 million (2024: £10.05 million) and, on the basis of the statutory accounts, gross profit percentage was 31.2% (2024: 32.1%). Profit after taxation for the year was £1.85 million (2024: £2.47 million).

The company continued to pursue its strategy of growth and market diversity through the development of existing customer relationships, targeted penetration of complementary markets and continued focus on operational performance. The directors remain mindful of customer concentration risk and continue to support a diversified customer and market base.

The labour market continued to present challenges during the year, particularly in relation to the recruitment and retention of skilled employees. The company therefore continued to invest in pay, benefits, training and employee development to support operational stability and future growth.

The company continues to place significant importance on quality and environmental management. Advanced Plastics retained its IATF16949 accreditation and continues to operate Quality and Environmental Management Systems to ISO9001 and ISO14001 standards.

Overall, 2025 represented a year of steady trading performance, with modest revenue growth and continued profitability, albeit below the exceptionally strong outcome reported in 2024. The directors consider this to be a resilient performance in the context of continued competitive pressures within the UK manufacturing sector and ongoing inflationary cost challenges.

PRINCIPAL RISKS AND UNCERTAINTIES

The availability and pricing of raw materials continue to be influenced by global market conditions and supply chain dynamics. Whilst material availability has generally improved, inflationary pressures and volatility in certain input costs remain areas of focus. In addition, the recruitment and retention of skilled employees continues to present challenges within a competitive labour market.

The company has limited exposure to exchange rate risk and seeks to mitigate this through natural hedging arrangements. Payments received in Euro and US Dollar currencies are matched, where possible, against forecast expenditure in those currencies. Where a natural hedge is not achievable, the company forecasts future currency requirements and enters forward contracts where appropriate.

The company remains susceptible to changes in demand from its customer base. Continued growth is dependent upon securing and retaining a diverse range of customers across multiple sectors. Reliance on any one customer or group of customers could present a risk to future performance; however, continued progress in expanding market diversity helps to mitigate this exposure.

The company operates in a highly competitive marketplace and competitive actions by existing or new market entrants could adversely impact sales volumes or margins. To mitigate this risk, the company continues to focus on strengthening long-term customer relationships, delivering added-value services, maintaining high quality standards and promoting its differentiated technical capabilities.

ANALYSIS OF KEY PERFORMANCE INDICATORS

The company monitors a number of key performance indicators across the business. The main financial KPIs are as follows:

2025

2024

Turnover

£31,450,244

£31,317,288

Gross profit

£9,813,546

£10,050,805

Gross profit percentage

31.2%

32.1%

Profit before tax

£2,307,100

£2,767,238

Profit after tax

£1,850,868

£2,474,280

Turnover increased marginally during the year. Gross profit reduced by £0.24 million and gross profit percentage reduced from 32.1% to 31.2%. Profit after taxation reduced to £1.85 million from £2.47 million, reflecting lower profitability compared with the exceptionally strong performance achieved in the prior year.

ON BEHALF OF THE BOARD:

R J Anderson - Director

21st September 2026

The directors present their report with the financial statements of the company for the year ended 31st December 2025.

DIVIDENDS

The directors recommend that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2025 was £5,369,000 (2024 £2,721,171).

FUTURE DEVELOPMENTS

Advanced Plastics continues to maintain a positive net asset position, available liquidity, and the support of its parent company. The business benefits from long-standing strategic relationships with a number of established customers across a diverse range of sectors and continues to invest in infrastructure, manufacturing capability, technology and employee development.

Looking ahead to FY2026, trading activity is expected to remain resilient, although performance will continue to be influenced by market conditions and customer demand. The company expects new products and customer opportunities entering production to support future growth and partially offset expected reductions in demand from certain existing programmes. The directors remain confident in the long-term prospects of the business and its ability to continue delivering sustainable growth.

DIRECTORS

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

R J Anderson

C J Pearson

Other changes in directors holding office are as follows:

J Heasty - appointed 12th November 2025

M A Hadfield - appointed 12th November 2025

L Arand - appointed 12th November 2025

M Spence - appointed 12th November 2025

P I Tyler was appointed as a director after 31st December 2025 but prior to the date of this report.

M A Hadfield ceased to be a director after 31st December 2025 but prior to the date of this report.

GOING CONCERN

The directors have performed a robust assessment of the company's ability to continue as a going concern, considering the principal risks and uncertainties facing the business, including those specific to the plastic products manufacturing sector, such as fluctuations in raw material prices, supply chain disruptions, and demand volatility.

This assessment included but was not limited to:

Forecasts and business plans for the five year period to 31st December 2030.

Review of cash flow forecasts which demonstrate sufficient liquidity to meet the company's obligations as they fall due.

Analysis of current and projected financial performance, including sales order books and customer contracts.

Evaluation of the company's access to external financing if required, and testing against covenants to ensure that sufficient headroom exists without breach.

The directors have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern.

They reasonably expect the company to have adequate resources to continue in operational existence for 12 months from the date these financial statements were approved, and therefore, have prepared the financial statements on a going concern basis.

DISABLED EMPLOYEES

The company gives full consideration to applications for employment from disabled persons where the requirements of the job can be adequately fulfilled by a disabled person. Where existing employees become disabled, it is the company's policy wherever practicable to provide continuing employment under normal terms and conditions and to provide training and career development and promotion to disabled employees wherever appropriate.

EMPLOYEE INVOLVEMENT

During the year, the company continued its policy of keeping employees informed about matters affecting the business and its performance. Employees are encouraged to contribute ideas and suggestions for continuous improvement, and regular communication takes place between directors, management and employees to promote engagement, collaboration and the effective sharing of information.

The company also communicates key performance information and operational updates through digital communication boards located across the business. These displays provide employees with visibility of relevant performance indicators, business updates and other information intended to support awareness and engagement across the workforce.

ENGAGEMENT WITH EMPLOYEES

The directors are committed to maintaining open and effective communication with employees across the business. Employees are kept informed of matters relevant to the company, its performance and future direction through regular communication from directors and senior management.

The Group Managing Director delivers quarterly employee briefings, known internally as "Talks to the Nation", during which business performance, key developments and future priorities are communicated directly to employees. These sessions provide employees with first-hand updates on the business and support open communication throughout the organisation.

Employees are encouraged to contribute ideas and feedback and to take an active interest in the development, performance and future success of the company and the wider group.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), 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 and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Smailes Goldie, will be deemed re-appointed under Section 487 of the Companies Act 2006.

ON BEHALF OF THE BOARD:

R J Anderson - Director

21st September 2026

Opinion

We have audited the financial statements of Advanced Plastics Limited (the 'company') for the year ended 31st December 2025 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31st 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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

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

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

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

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

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

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

Responsibilities of directors

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

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation. An understanding of these laws and regulations and the extent of compliance was obtained through discussion with management and inspecting legal and regulatory 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 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;

-

tested journal entries to identify unusual transactions;

-

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

-

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 correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors.

Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission, or misrepresentation.

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.

Stephen Bramall BSc FCA (Senior Statutory Auditor)

for and on behalf of Smailes Goldie

Chartered Accountants

Statutory Auditor

Regent's Court

Princess Street

Hull

East Yorkshire

HU2 8BA

22nd September 2026

TURNOVER

3

31,450,244

31,317,288

Cost of sales

21,636,698

21,266,483

GROSS PROFIT

9,813,546

10,050,805

Administrative expenses

7,453,284

7,304,448

OPERATING PROFIT

5

2,360,262

2,746,357

Interest receivable and similar income

31,595

53,342

2,391,857

2,799,699

Interest payable and similar expenses

6

84,757

32,461

PROFIT BEFORE TAXATION

2,307,100

2,767,238

Tax on profit

7

456,232

292,958

PROFIT FOR THE FINANCIAL YEAR

1,850,868

2,474,280

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

1,850,868

2,474,280

FIXED ASSETS

Tangible assets

9

2,933,287

3,594,867

CURRENT ASSETS

Stocks

10

2,198,650

2,272,745

Debtors

11

6,988,624

5,055,387

Cash at bank and in hand

779,427

3,343,476

9,966,701

10,671,608

CREDITORS

Amounts falling due within one year

12

8,251,800

6,093,309

NET CURRENT ASSETS

1,714,901

4,578,299

TOTAL ASSETS LESS CURRENT LIABILITIES

4,648,188

8,173,166

CREDITORS

Amounts falling due after more than one year

13

(507,000

)

(412,413

)

PROVISIONS FOR LIABILITIES

17

(441,613

)

(543,046

)

NET ASSETS

3,699,575

7,217,707

CAPITAL AND RESERVES

Called up share capital

18

41,300

41,300

Capital redemption reserve

19

17,000

17,000

Retained earnings

19

3,641,275

7,159,407

SHAREHOLDERS' FUNDS

3,699,575

7,217,707

The financial statements were approved by the Board of Directors and authorised for issue on 21st September 2026 and were signed on its behalf by:

R J Anderson - Director

C J Pearson - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1st January 2024

41,300

7,406,298

17,000

7,464,598

Changes in equity

Dividends

-

(2,721,171

)

-

(2,721,171

)

Total comprehensive income

-

2,474,280

-

2,474,280

Balance at 31st December 2024

41,300

7,159,407

17,000

7,217,707

Changes in equity

Dividends

-

(5,369,000

)

-

(5,369,000

)

Total comprehensive income

-

1,850,868

-

1,850,868

Balance at 31st December 2025

41,300

3,641,275

17,000

3,699,575

1.	STATUTORY INFORMATION

Advanced Plastics 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 Company 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.

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 judgements in applying accounting policies noted below).

The following principal accounting policies have been applied:

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirements of paragraphs 26.18(b), 26.19 to 26.21 and 26.23;

•

the requirement of paragraph 33.7.

Going concern

The directors have performed a robust assessment of the company's ability to continue as a going concern, considering the principal risks and uncertainties facing the business, including those specific to the plastic products manufacturing sector, such as fluctuations in raw material prices, supply chain disruptions, and demand volatility.

This assessment included but was not limited to:

Forecasts and business plans for the five year period to 31st December 2030.

Review of cash flow forecasts which demonstrate sufficient liquidity to meet the company's obligations as they fall due.

Analysis of current and projected financial performance, including sales order books and customer contracts.

Evaluation of the company's access to external financing if required, and testing against covenants to ensure that sufficient headroom exists without breach.

The directors have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern.

They reasonably expect the company to have adequate resources to continue in operational existence for 12 months from the date these financial statements were approved, and therefore, have prepared the financial statements on a going concern basis.

Related party exemption

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

Significant judgements and estimates

The preparation of these financial statements requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses.

Judgements and estimates are continually evaluated and are based on historical experiences and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

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 a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below:

(a) Establishing useful economic lives for depreciation purposes of property, plant and equipment.

Long lived assets, consisting primarily of property, plant and equipment comprise a significant portion of the total assets. The annual depreciation charge depends primarily on the estimated useful economic lives of each type of asset and estimates of residual values. The directors regularly review these assets useful economic lives and change them as necessary to reflect current thinking on remaining lives in the light of prospective economic utilisation and physical condition of the assets concerned. Changes in asset useful lives can have a significant impact on depreciation and amortisation charges for the period.

(b) Stocks and work in progress

The Company considers the recoverability of the cost of stocks and work in progress and makes any required associated provisioning. When calculating the inventory provision, management considers the stage of completion, the estimated realisable value and the estimated costs to completion. The level of provision required is reviewed on an ongoing basis.

(c) Providing for doubtful debts

The Company makes an estimate of the recoverable value of trade and other debtors. The Company uses estimates based on historical experience in determining the level of debts which, the company believes, will not be collected. These estimates include such factors as the current credit rating of the debtor, the ageing profile of debtors and historical experience. The level of provision requires is reviewed on an on-going basis.

Turnover

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 risk 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.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

-

the amount of revenue can be measured reliably;

-

it is probable that the Company will receive the consideration due under the contract;

-

The stage of completion of the contract at the end of the reporting period can be measured reliably; and,

-

the costs incurred and the costs to complete the contract can be measured reliably.

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 allocated the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Short term leasehold

- over the period of the lease

Plant and machinery

- 10-33% straight line

Motor vehicles

- 25% straight line

Fixtures and fittings

- 25% straight line

Computer equipment

- 33% straight line

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

Gains and losses on disposal are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income.

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 the Statement of Comprehensive Income.

Taxation

The taxation expense for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive IncomeStatement of Comprehensive Income, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

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

Deferred tax

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed at 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.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Foreign currency transactions

Functional and presentation currency

The Company's functional currency and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting form the settlement of transactions and from the translation at period end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Statement of Comprehensive Income except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within finance income or costs. All other foreign exchange gains and losses are presented in the Statement of Comprehensive Income within other operating income.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The

capital element of the future payments is treated as a liability.

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

period of the lease.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the lease term, unless another systematic basis is representative of the time patter of the lessee's benefit from the use of the leased asset.

The Company has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard (01 January 2016) to continue to be charged over the period to the first market rent review, rather than the term of the lease.

Pension costs and other post-retirement benefits

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 the Statement of Comprehensive Income 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 an independently administered fund.

Financial instruments

The Company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the statement of comprehensive income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would received for the asset if it were to be sold at the balance sheet date.

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.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments which mature in no more than three months from the date of acquisition and which are readily convertible to known amounts of cash with insignificant risk of change in value.

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting. Dividends on shares recognised as liabilities are recognised as expenses and classified within interest payable.

Finance costs

Finance costs are charged to the Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

3.

TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2025

2024

£

£

Plastics, components & tooling

31,450,244

31,317,288

31,450,244

31,317,288

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

29,845,351

30,166,955

Europe

1,563,190

1,145,519

Rest of world

41,703

4,814

31,450,244

31,317,288

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

8,986,050

8,634,634

Social security costs

1,040,569

802,389

Other pension costs

305,038

283,830

10,331,657

9,720,853

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

2025

2024

Directors

3

2

Management and administration

37

34

Maintenance, technical and quality

32

31

Logistics

22

21

Setting

28

29

Production

171

164

293

281

2025

2024

£

£

Directors' remuneration

153,237

51,304

Directors' pension contributions to money purchase schemes

7,771

1,205

5.	OPERATING PROFIT

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

2025

2024

£

£

Hire of plant and machinery

10,529

18,693

Other operating leases

367,451

371,326

Depreciation - owned assets

688,987

805,743

Depreciation - assets on hire purchase contracts

256,057

229,440

Loss on disposal of fixed assets

101

1,070

Auditors' remuneration

26,509

28,610

Auditors' remuneration for non audit work

4,560

4,000

Foreign exchange differences

(48,881

)

25,954