REGISTERED NUMBER: 02022671 (England and Wales)

SAAB SEAEYE LIMITED

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Page

Company Information

1

Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Statement of Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Notes to the Financial Statements

14

DIRECTORS:

M D Bates

T Broom

J M Robertson

SECRETARY:

F Daly

REGISTERED OFFICE:

Trilogy 1

Concorde Way

Segensworth North

Fareham

Hampshire

PO15 5RL

REGISTERED NUMBER:

02022671 (England and Wales)

AUDITORS:

Hopper Williams & Bell Limited

Statutory Auditor

Highland House

Mayflower Close

Chandler's Ford

Eastleigh

Hampshire

SO53 4AR

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

REVIEW OF BUSINESS

Saab Seaeye Limited is the world's leading electric underwater robotics company, with the most advanced range of tethered, autonomous and hybrid electric robotic systems, engineered to address the diverse range of tasks found across commercial, defence and scientific markets. Our principal activity in the year under review and the purpose of our company was the design, manufacture, maintenance, and sale of underwater robotic equipment.

The results for the company for the year ended 31 December 2025 show sales of £33m (2024: £29.7m) and a pre-tax loss of £6.8m (2024: £6.6m).

The company has continued to make significant strategic investments strengthening our portfolio and technology leadership whilst enhancing our production, manufacturing, and project execution capability. The most significant investment is a multiyear development program to create the company's next generation technology platform, contracts for which are already secured with deliveries expected to start in 2026.

The company has invested in a new 83,000 square foot development and manufacturing facility in order to realise our significant growth opportunities. Co-location and cooperation with our sister division on the new site is expected to deliver significant efficiencies over the coming years. The directors also plan to integrate more closely with its Saab UK Limited immediate parent.

Our chief market, the offshore energy sector, has stabilised and remains keenly focused on new technology to deliver essential cost reductions, improvements to health & safety and reduce environmental impact, being key benefits of the company's products and services.

Alongside the offshore energy sector, we are active in other global markets that have a growing demand for advanced underwater robotic systems, and the company intends to focus on capturing a bigger market share in the defence sector.

The company continues to have the full support of its ultimate parent Saab AB and despite global challenges, its financial position remains healthy, and the directors look forward to capitalising on the strong interest in our products from a wide range of markets over the coming years.

PRINCIPAL RISKS AND UNCERTAINTIES

The management team continually monitor and treat risks that may impact the company's performance and strategy. The key business risks are timing of customer contracts and supply chain performance. The business remains sensitive to global economic instability, geo-political tensions, and their effects on global supply chains.

DIRECTORS' STATEMENT OF COMPLIANCE

WITH DUTY TO PROMOTE THE SUCCESS OF THE COMPANY

The directors are cognisant of and compliant with their collective duty to deliver shareholder value to its parent, Saab UK Ltd, while optimising Saab Seaeye Limited's beneficial impact for all stakeholders.

Saab Seaeye Limited personnel are fundamental to its ongoing success, and it is the company's policy to provide attractive compensation, benefits, and working conditions.

The company's sustainability agenda includes our commitment to Net Zero CO2 emissions by 2050 and is delivered through a wide range of initiatives.

The directors are committed to delivering social value through its operations, including employee wellbeing, equal opportunity, climate change, and targeted economic benefits through its supply chain.

Innovation is key to the ongoing success of the company, and the directors are committed to working with academia and other bodies in research and development.

The directors are active in all the relevant industry bodies, and the company is present at many trade shows and exhibitions.

KEY PERFORMANCE INDICATORS

The company measures many Key Performance Indicators (KPIs) and the main ones used by the company are turnover and gross margin percentage. These KPIs were as follows:

Turnover: £33m (2024: £29.7m)

Gross margin percentage: 18.5% (2024: 1%)

The low gross margin percentage in the prior year was due to the recognition of a provision of £11.9m in respect of the estimated loss on a long-term contract. The gross margin percentage excluding this provision was 10.1%.

FUTURE OUTLOOK

The offshore energy industry's focus on driving down the cost of offshore operations, improving health and safety, and reducing carbon footprint is expected to drive sales for the company in the short term. In the medium and long term these factors will combine with the traditional drivers of supply and demand, and an ageing installed global fleet to further increase new build and through life support sales.

Growth is forecast across all our market sectors where we see a growing interest in our products and technology. Notably, the company is very well positioned to provide solutions to the growing threat to critical underwater infrastructure.

To meet the significant opportunities ahead we will continue to spend on R&D, leverage developments from within the wider Saab Group, and harness the rapid advances in digitalisation. We will continue investments developing and expanding key competences, building more strategic partnerships, and improving our operations.

ON BEHALF OF THE BOARD:

J M Robertson - Director

23 September 2026

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

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2025.

DIRECTORS

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

M D Bates

T Broom

J M Robertson

Other changes in directors holding office are as follows:

N C Kolmodin and A K Wilkinson ceased to be directors after 31 December 2025 but prior to the date of this report.

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). 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.

ON BEHALF OF THE BOARD:

J M Robertson - Director

23 September 2026

Opinion

We have audited the financial statements of Saab Seaeye Limited (the 'company') for the year ended 31 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 31 December 2025 and of its loss 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.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities even though the audit has been properly planned and performed in accordance with the ISAs (UK). The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- We obtained an understanding of the legal and regulatory frameworks that are applicable to the company, and the industry in which it operates. These include but are not limited to compliance with the Companies Act 2006, UK Generally Accepted Accounting Practice, and the relevant tax compliance regulations for the company.

- We obtained an understanding of how the company is complying with these frameworks through discussions with management.

- We enquired with management whether there were any instances of non-compliance with laws and regulations or whether they had knowledge of actual or suspected fraud. These enquiries are corroborated through follow-up audit procedures including but not limited to a review of legal and professional costs and correspondence.

- We assessed the susceptibility of the company's financial statements to material misstatement, including the risk of fraud and management override of controls. We designed our audit procedures to respond to this assessment, including the identification and testing of any related party transactions and the testing of journal transactions that arise from management estimates, that are determined to be of significant value or unusual in their nature.

- We assessed the appropriateness of the collective competence and capabilities of the engagement team, including consideration of the engagement team's knowledge and understanding of the industry in which the company operates in, and their practical experience through training and participation with audit engagements of a similar nature.

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.

Gary Brown FCCA (Senior Statutory Auditor)

for and on behalf of Hopper Williams & Bell Limited

Statutory Auditor

Highland House

Mayflower Close

Chandler's Ford

Eastleigh

Hampshire

SO53 4AR

23 September 2026

TURNOVER

4

32,964,656

29,701,078

Cost of sales

(26,877,918

)

(29,403,021

)

GROSS PROFIT

6,086,738

298,057

Administrative expenses

(12,296,384

)

(6,650,247

)

OPERATING LOSS

6

(6,209,646

)

(6,352,190

)

Interest receivable and similar income

-

24,306

(6,209,646

)

(6,327,884

)

Interest payable and similar expenses

7

(549,478

)

(310,622

)

LOSS BEFORE TAXATION

(6,759,124

)

(6,638,506

)

Tax on loss

8

664,969

624,086

LOSS FOR THE FINANCIAL YEAR

(6,094,155

)

(6,014,420

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(6,094,155

)

(6,014,420

)

FIXED ASSETS

Intangible assets

9

-

-

Tangible assets

10

6,608,264

7,145,981

Investments

11

1

2

6,608,265

7,145,983

CURRENT ASSETS

Stocks

12

17,192,979

15,833,952

Debtors

13

8,668,518

10,554,523

Cash at bank and in hand

4,940,862

3,649

30,802,359

26,392,124

CREDITORS

Amounts falling due within one year

14

(21,216,539

)

(30,122,761

)

NET CURRENT ASSETS/(LIABILITIES)

9,585,820

(3,730,637

)

TOTAL ASSETS LESS CURRENT LIABILITIES

16,194,085

3,415,346

PROVISIONS FOR LIABILITIES

18

(1,138,229

)

(1,265,335

)

NET ASSETS

15,055,856

2,150,011

CAPITAL AND RESERVES

Called up share capital

19

10,414

10,412

Share premium

20

27,499,994

8,499,996

Retained earnings

20

(12,454,552

)

(6,360,397

)

SHAREHOLDERS' FUNDS

15,055,856

2,150,011

The financial statements were approved by the Board of Directors and authorised for issue on 23 September 2026 and were signed on its behalf by:

J M Robertson - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 January 2024

10,410

(345,977

)

4,999,998

4,664,431

Changes in equity

Issue of share capital

2

-

3,499,998

3,500,000

Total comprehensive income

-

(6,014,420

)

-

(6,014,420

)

Balance at 31 December 2024

10,412

(6,360,397

)

8,499,996

2,150,011

Changes in equity

Issue of share capital

2

-

18,999,998

19,000,000

Total comprehensive income

-

(6,094,155

)

-

(6,094,155

)

Balance at 31 December 2025

10,414

(12,454,552

)

27,499,994

15,055,856

1.	STATUTORY INFORMATION

Saab Seaeye 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 FRS 102 "The Financial Reporting Standards 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 £1.

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

Going concern

The ultimate parent company (Saab AB) has confirmed that it will, if required, provide financial support to the company for at least twelve months following the date of approval of the financial statements. The going concern basis has therefore been applied in preparing the financial statements.

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 requirement of paragraph 33.7.

Preparation of consolidated financial statements

The financial statements contain information about Saab Seaeye Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Saab AB, which has its registered office at SE-581 88 Linköping, Sweden.

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 entities within the group.

Turnover

Revenue from Remotely Operated Vehicles (ROVs) is recognised at the point when the customer signs off the ROV as complete, usually through a formal factory acceptance test. Revenue from long term contracts is recognised in line with the contract stage of completion and provision for loss-making contracts is recognised immediately. Revenue from spares and servicing is recognised when the company has fulfilled its contractual obligations.

Goodwill and investment in subsidiary

In September 2013 the company acquired 100% of the issued share capital of Hydro-Lek Limited and initially recognised its investment in the subsidiary at the cost of acquisition. In January 2016 the underlying trade and assets were hived up to the company. Goodwill arising at the date of acquisition was therefore recognised as part of the hive-up. The goodwill was amortised from the date of acquisition over its expected useful life of ten years. Goodwill was fully amortised in the prior year. Hydro-Lek Limited was dissolved on 4 March 2025.

Tangible fixed assets

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

Short leasehold

-

Over the length of the lease

Plant and machinery

-

3-6 years straight line

Fixtures and fittings

-

2-4 years straight line

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 recognised in the income statement.

Stocks

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

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Stocks and work in progress include costs of conversion, specifically the costs of direct labour and a systematic allocation of fixed and variable production overheads that are incurred in converting materials into finished goods.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the 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.

Research and development

Expenditure for research undertaken in an effort to gain new scientific or technological knowledge is expensed when incurred. Expenditure for development, where the research results or other knowledge is applied to new or improved products or processes, is recognised as an asset in the balance sheet from the time when the company can demonstrate the following:

(a) The technical feasibility of completing the intangible asset so that it will be available for use or sale.

(b) Its intention to complete the intangible asset and use or sell it.

(c) Its ability to use or sell the intangible asset.

(d) How the intangible asset will generate probable future economic benefits.

(e) The availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset.

(f) Its ability to measure reliably the expenditure attributable to the intangible asset during its development.

The carrying amount includes expenditure for material, direct expenditure for salaries and, if applicable, other expenditure that is considered directly attributable to the asset. Other expenditures for development are written off as an expense when they arise. Development expenditure is recognised in the balance sheet at cost less accumulated amortisation and any impairment losses. Expenditure is amortised over its useful economic life of seven years. The expense is classified under administrative expenses.

No further research and development costs are to be capitalised following a change in policy to come in line with the policies of the parent company. The existing capitalised research and development costs was amortised on the same basis and is now fully written down.

Foreign currencies

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 result.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.

Pension costs and other post-retirement 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.

Financial assets

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial assets are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

Basic financial assets, which include trade and other receivables and cash and bank balances are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method, unless the arrangement constitutes a financial transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Financial liabilities

Basic financial liabilities, which include trade and other payables, are initially measured at transaction price and subsequently measured at amortised cost, unless the arrangement constitutes a financing transaction where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Equity instruments

Equity instruments issued by the company are recorded at the fair value of the proceeds received net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Estimates and judgements are continually evaluated and are based on historical experience 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 and assumptions 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 addressed below:

a) Long-term contract accounting:

A provision of £11.9m (2024: £11.9m) has been made as at 31 December 2025 for the estimated future loss on a long-term contract.

b) Deferred tax asset:

The company has accumulated trading losses of £32.1m (2024: £25.5m). The recognition of a deferred tax asset in respect of the trading losses is dependent on the company making sufficient taxable profits against which the losses can be relieved. Management have decided that while the likelihood of this is strong the time frame over which the asset will be realised is unclear. The unrecognised deferred tax asset as at 31 December 2025 is £7.2m (2024: £5.5m)..

c) The company has estimated the future costs of repairs needed to restore leasehold property to its original condition at the end of the lease term. Management have determined this estimate by reviewing the lease to determine what work will be required at the end of the lease and obtaining fee quotes for work required. A provision of £1,138,229 (2024: £940,481) has been included as lease dilapidations.

4.

TURNOVER

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

An analysis of turnover by geographical market is given below:

2025

2024

£

£

United Kingdom

11,029,346

10,534,605

Europe

6,226,383

5,180,995

United States of America

2,569,763

1,820,219

South America

506,148

4,114,540

Rest of the world

12,633,016

8,050,719

32,964,656

29,701,078

5.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

4,653,652

5,632,717

Social security costs

691,855

615,298

Other pension costs

1,175,778

1,065,646

6,521,285

7,313,661

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

2025

2024

Engineering

60

62

Production

99

103

Administration

15

15

Sales

20

11

194

191

2025

2024

£

£

Directors' remuneration

420,417

414,667

Directors' pension contributions to money purchase schemes

80,452

67,402

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

3

3

Information regarding the highest paid director is as follows:

2025

2024

£

£

Emoluments etc

160,671

161,960

Pension contributions to money purchase schemes

20,177

19,640

6.	OPERATING LOSS

The operating loss is stated after charging:

2025

2024

£

£

Hire of plant and machinery

225,456

179,253

Other operating leases

1,094,069

1,024,805

Depreciation - owned assets

1,180,039

609,150

Auditors' remuneration

41,000

39,113

Auditors' remuneration for non audit work

13,892

12,478

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

£

Bank overdraft interest

549,478

310,622

8.

TAXATION

Analysis of the tax credit

The tax credit on the loss for the year was as follows:

2025

2024

£

£

Current tax:

UK corporation tax

(664,969

)

(628,585

)

Prior year over/under provision

-

4,499

Tax on loss

(664,969

)

(624,086

)

Reconciliation of total tax credit included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

£

£

Loss before tax

(6,759,124

)

(6,638,506

)

Loss multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%)

(1,689,781

)

(1,659,627

)

Effects of:

Expenses not deductible for tax purposes

27,802

13,201

Adjustments to tax charge in respect of previous periods

-

4,499

R&D expenditure credit

(664,969

)

(419,057

)

Deferred tax not recognised on current year timing differences

1,661,979

1,436,898

Total tax credit

(664,969

)

(624,086

)

9.	INTANGIBLE FIXED ASSETS

Development

Goodwill

costs

Totals

£

£

£

COST

At 1 January 2025

1,593,886

1,700,896

3,294,782

Disposals

(1,593,886

)

(430,881

)

(2,024,767

)

At 31 December 2025

-

1,270,015

1,270,015

AMORTISATION

At 1 January 2025

1,593,886

1,700,896

3,294,782

Eliminated on disposal

(1,593,886

)

(430,881

)

(2,024,767

)

At 31 December 2025

-

1,270,015

1,270,015

NET BOOK VALUE

At 31 December 2025

-

-

-

At 31 December 2024

-

-

-