REGISTERED NUMBER: 08474525 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 30 April 2026

for

BIRD & BLEND TEA LTD.

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Income Statement

10

Balance Sheet

11

Statement of Changes in Equity

12

Cash Flow Statement

13

Notes to the Cash Flow Statement

14

Notes to the Financial Statements

16

DIRECTORS:

K Smith

M Turner

REGISTERED OFFICE:

Unit 3 Woods Way

Goring Business Park

Worthing

West Sussex

BN12 4QY

REGISTERED NUMBER:

08474525 (England and Wales)

AUDITORS:

Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

The directors present their strategic report for the year ended 30 April 2026.

Bird & Blend Tea Ltd is an independent, award-winning tea company on a mission to spread happiness and reimagine tea. Our stated purpose is:

To be known and loved as a great place to work that empowers our people to:

-

Deliver awesome experiences that make our customers smile;

-

Build a community of ambassadors to tell the story and spread the word; and

-

Develop trailblazing products and experiences in our magical world of tea.

Bird & Blend does this through retailing our unique and exciting range of teas through our 25 stores (2024: 17 stores) and website (www.birdandblendtea.com). We are a BCorp, Real Living Wage certified employer and recognised by The Sunday Times Best Places to Work.

REVIEW OF BUSINESS

Bird & Blend had 6 major goals during the year to 30th April 2026:

Deliver at least £20m of turnover

We finished the year at £18.5m, a 30% increase on YE25. This was a miss to our overall goal, driven by the delayed opening of a high turnover store and challenging start to calendar year 2026 as consumer confidence and footfall on the high street dropped.

Deliver >5.5% EBITDA

We hit 5%, an improvement on previous years but a miss to our goal caused by the reduced revenue in Q4.

Optimise operations to support YE26 goals

We had great success here leading to an extremely smooth operations function, even during the busiest parts of the year and setting us up for the years ahead.

Continue increasing our impact

This was a major highlight. We recertified as B-Corp with 99.7 points, up from 90.1, alongside increasing internal team satisfaction and engagement scores. We also started to increase our international impact through the beginnings of on the ground projects in communities we source from.

This included funding building work at Karega Primary School in Kenya, enabling children in a local community close to the tea garden to attend school & learn in an environment with essential facilities such as refurbished toilets, guttering, and a new kitchen & classroom.

Starting this kind of impact work is a proud moment for us all at Bird & Blend & marks the start of a focus on impact in origin communities, while continuing to support local causes here in the UK. In FY26, we raised a fantastic £116k for ChariTEA, taking our total amount raised to £365k.

Gain 20m eyeballs on the brand

We introduced the magical world of Bird & Blend to millions of people over the last 12 months, getting our brand out there through fantastic press coverage, events & partnerships.

Highlights included our giant Tea Advent installation at Kings Cross Station, attracting top-tier press coverage for the launch of our world-first Matcha Latte Magic Whisk, & the opportunity to test billboard advertising on the Tube for our Easter campaign - a brand first!

Testing and developing medium term plan

In amongst all the focus on delivering a great year, we did manage to look ahead at what’s next for Bird & Blend. As well as testing some new growth avenues, such as our B2B partnership with John Lewis, new sales platforms & product innovation, we have built out our goals for the coming year & our medium term vision for the business.

PRINCIPAL RISKS AND UNCERTAINTIES

There are several risks and uncertainties that impact the performance of the company, some of which are beyond the control of the company and its board of directors. The key risks to the company and mitigating measures in place are:

General

As with all consumer facing business, Bird & Blend is exposed to various risks which could impact consumer confidence or the costs of running the business. That said, Bird & Blend is a resilient business that has successfully continued to grow through several periods of turmoil. We are confident that we have a dynamic and strong underlying business to adapt to these risks as required.

Reputational

The strength of our brand and reputation is fundamental to our business and there are various risks, both internally and externally to this. All team and suppliers sign the Bird & Blend Code setting out our expectations. This is reinforced through continual training, communication and pro-active auditing based on risk.

Liquidity

Bird & Blend experiences seasonal variation in sales which, alongside our continued investment in growth, could cause liquidity risk. This is managed through both proactive cashflow forecasting and management.

Supply chain and operations

Bird & Blend is reliant on a small number of key suppliers and maintains a significant amount of in-house operations creating a number of potential critical points. These are proactively managed with alternative options and backup plans in place as required.

FINANCIAL INSTRUMENTS

The company does not have excessive exposure to risks in respect of price, credit liquidity and cash flow risk. The company’s financial instruments are largely traded in the functional currency, being Sterling and the company does not use hedge accounting in respect of financial instruments.

GOING CONCERN

The financial statements have been prepared on the going concern basis.

In assessing the company’s ability to continue as a going concern, the directors have reviewed and challenged the company’s budgets and cash flow forecasts. The assessment takes account of all information available to the directors at the date of approval of the financial statements, including current trading performance, the company’s, forecast revenues and margins, operating costs, working-capital requirements, capital expenditure, taxation and the timing of other liabilities.

The directors have also considered sensitivity analysis, including the potential effects of a reduction in sales. The directors have considered the mitigating actions available to the company in such circumstances, including reductions in discretionary expenditure, deferral of capital expenditure, working-capital measures and financing options available.

On the basis of this assessment, the directors have not identified any material uncertainties relating to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. The directors therefore have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and consider it appropriate to prepare the financial statements on the going concern basis.

FUTURE DEVELOPMENTS

We will continue to invest in product development as well as expanding our reach through continued investment in advertising and the opening of more stores in the UK.

ON BEHALF OF THE BOARD:

M Turner - Director

24 September 2026

The directors present their report with the financial statements of the company for the year ended 30 April 2026.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of the production and sale of teas.

DIVIDENDS

No dividends will be distributed for the year ended 30 April 2026.

DIRECTORS

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

K Smith

M Turner

POLITICAL DONATIONS AND EXPENDITURE

Charitable donations during the year amounted to £115,772 (2025: £101,436). No political donations were made in the year (2025: £Nil).

DIRECTORS' INDEMNITIES

The company has not made qualifying third party indemnity payments for the benefit of the directors during the year.

ENGAGEMENT WITH EMPLOYEES

The company communicates regularly with employees, adopting the following to ensure that employees are informed, consulted and given the opportunity to participate:

-

Regular communications are held with employees via weekly and monthly newsletters, quarterly business updates and team briefings.

-

Employees are consulted on matters impacting them, through departmental listening groups and surveys including eNPS.

-

Seasonal incentives and occasional performance related bonuses encourages employees to remain engaged.

As a Disability Confident Level 2 employer, the company provides disabled candidates with support from the recruitment stage onwards. Candidates can flag if they require any reasonable adjustments, including at interview stage and the company reasonably adjusts to accommodate, for example, by providing interview questions in advance.

In the event of employees becoming disabled whilst in service of the company, every effort is made to continue their employment and provide them with any additional support they may need. The company maintains a Reasonable Adjustments Policy, a Flexibility Framework and an Absence Policy, ensuring that supporting employees is a key focus.

DISCLOSURE IN THE STRATEGIC REPORT

Certain matters required by regulation to be dealt with in the annual report have been dealt with in the Strategic Report rather than in the Directors' Report. These include principal risks and uncertainties and future developments.

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 or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Feist Hedgethorne Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

M Turner - Director

24 September 2026

Qualified Opinion

We have audited the financial statements of Bird & Blend Tea Ltd. (the 'company') for the year ended 30 April 2026

which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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, except for the possible effects on the corresponding figures of the matter described in the basis for qualified opinion section of our report, the financial statement:

-

give a true and fair view of the state of the company's affairs as at 30 April 2026 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 qualified 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. We were not appointed as auditor of the company until after 30 April 2024 and thus did not observe the counting of physical inventories at the end of that year. We were unable to satisfy ourselves by alternative means concerning the inventory quantities of £951,836 held at 30 April 2024 by using other audit procedures. Consequently, we were unable to determine whether there was any consequential effect on cost of sales for the year ended 30 April 2025. Our audit opinion on the financial statements for the period ended 30 April 2025 was modified accordingly. Our opinion on the current periods financial statements is also modified because of the possible effect of this matter on the comparability of the current period figures and the corresponding figures.

The financial statements, except for the effects of this limitation, are otherwise presented fairly in accordance with

United Kingdom Generally Accepted Accounting Practice.

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical

requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis of our qualified 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:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The extent to which the audit was considered capable of detecting irregularities, including fraud

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 as follows:

-

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

-

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the tea industry;

-

we 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;

-

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

-

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

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

-

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

-

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

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

-

performed analytical procedures to identify any unusual or unexpected relationships;

-

tested journal entries to identify unusual transactions;

-

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

-

investigated the rationale behind significant or unusual transactions.

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

-

agreeing financial statement disclosures to underlying supporting documentation;

-

enquiring of management as to actual and potential litigation and claims.

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

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our 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.

Chris Morey (Senior Statutory Auditor)

for and on behalf of Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

25 September 2026

TURNOVER

3

18,541,326

14,324,888

Cost of sales

(5,385,078

)

(4,266,442

)

GROSS PROFIT

13,156,248

10,058,446

Administrative expenses

(12,663,431

)

(9,738,594

)

492,817

319,852

Other operating income

9,217

4,333

OPERATING PROFIT

6

502,034

324,185

Interest receivable and similar income

363

3,262

502,397

327,447

Interest payable and similar expenses

7

(76,464

)

(51,409

)

PROFIT BEFORE TAXATION

425,933

276,038

Tax on profit

8

(111,874

)

-

PROFIT FOR THE FINANCIAL YEAR

314,059

276,038

FIXED ASSETS

Tangible assets

9

1,505,525

1,070,792

CURRENT ASSETS

Stocks

10

2,319,925

1,882,081

Debtors

11

529,888

422,623

Cash at bank

349,272

278,339

3,199,085

2,583,043

CREDITORS

Amounts falling due within one year

12

(3,117,203

)

(2,531,896

)

NET CURRENT ASSETS

81,882

51,147

TOTAL ASSETS LESS CURRENT LIABILITIES

1,587,407

1,121,939

CREDITORS

Amounts falling due after more than one year

13

(39,535

)

-

PROVISIONS FOR LIABILITIES

16

(111,874

)

-

NET ASSETS

1,435,998

1,121,939

CAPITAL AND RESERVES

Called up share capital

17

2

2

Share premium

18

1,334,211

1,334,211

Retained earnings

18

101,785

(212,274

)

SHAREHOLDERS' FUNDS

1,435,998

1,121,939

The financial statements were approved by the Board of Directors and authorised for issue on 24 September 2026 and were signed on its behalf by:

M Turner - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 May 2024

2

(488,312

)

1,334,211

845,901

Changes in equity

Total comprehensive income

-

276,038

-

276,038

Balance at 30 April 2025

2

(212,274

)

1,334,211

1,121,939

Changes in equity

Total comprehensive income

-

314,059

-

314,059

Balance at 30 April 2026

2

101,785

1,334,211

1,435,998

Cash flows from operating activities

Cash generated from operations

1

654,774

485,459

Interest paid

(71,576

)

(47,310

)

Interest element of hire purchase payments paid

(2,793

)

-

Net cash from operating activities

580,405

438,149

Cash flows from investing activities

Purchase of tangible fixed assets

(838,008

)

(790,264

)

Sale of tangible fixed assets

38,257

-

Interest received

363

3,262

Net cash from investing activities

(799,388

)

(787,002

)

Cash flows from financing activities

New loans in year

3,088,872

2,202,028

Loan repayments in year

(2,856,062

)

(1,793,863

)

Capital repayments in year

(4,855

)

-

Amount introduced by directors

74,197

255,430

Amount withdrawn by directors

(12,236

)

(323,252

)

Net cash from financing activities

289,916

340,343

Increase/(decrease) in cash and cash equivalents

70,933

(8,510

)

Cash and cash equivalents at beginning of year

2

278,339

286,849

Cash and cash equivalents at end of year

2

349,272

278,339

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

2026

2025

£

£

Profit before taxation

425,933

276,038

Depreciation charges

388,946

263,804

Loss on disposal of fixed assets

8,792

3,513

Finance costs

76,464

51,409

Finance income

(363

)

(3,262

)

899,772

591,502

Increase in stocks

(437,844

)

(930,245

)

Increase in trade and other debtors

(166,675

)

(8,232

)

Increase in trade and other creditors

359,521

832,434

Cash generated from operations

654,774

485,459

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 30 April 2026

30.4.26

1.5.25

£

£

Cash and cash equivalents

349,272

278,339

Year ended 30 April 2025

30.4.25

1.5.24

£

£

Cash and cash equivalents

278,339

286,849

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1.5.25

Cash flow

changes

At 30.4.26

£

£

£

£

Net cash

Cash at bank

278,339

70,933

349,272

278,339

70,933

349,272

Debt

Finance leases

-

4,855

(32,720

)

(27,865

)

Debts falling due

within 1 year

(754,515

)

(215,051

)

-

(969,566

)

Debts falling due

after 1 year

-

(17,760

)

-

(17,760

)

(754,515

)

(227,956

)

(32,720

)

(1,015,191

)

Total

(476,176

)

(157,023

)

(32,720

)

(665,919

)

1.	STATUTORY INFORMATION

Bird & Blend Tea Ltd. 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.

The presentation currency of the financial statements is the Pound Sterling (£).

Monetary amounts in these financial statements are rounded to the nearest pound.

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.

Significant judgements and estimates

Preparation of the financial statements requires management to make significant judgements and estimates and these estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The items in the financial statements where these judgements and estimates have been made include the useful economic life of tangible fixed assets, the depreciation and amortisation of these assets, stock obsolescence, provisions, and the recoverability of debtors.

Key sources of estimation uncertainty:

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are depreciated over the approved depreciation rates. The carrying amount of tangible fixed assets is £1,505,525 (2025: £1,070,792) as noted in note 9.

The company's current tax provision of £Nil relates to management's assessment of the amount of tax payable on the company's profit for the year where the liabilities remain to be agreed with HM Revenue and Customs. Due to the uncertainty associated with such taxation items, there is a possibility that the final outcome may differ significantly on conclusion of open tax matters at a future date.

A stock provision is made where the realisable value from sale of the stock is estimated to the lower than the stock carrying value. The provision is estimated taking into account various factors, including prevailing sales prices of stock items and losses associated with slow moving items.The company reviews stock regularly and interrogates data relating to stock lines that are slow-moving. The process has not identified any stock that is slow-moving or at higher value than net realisable value and therefore the provision totalled £Nil (2025: £Nil).

No significant judgements have been made by management in preparing these financial statements.

Employee benefits

The company provides a range of benefits to employees, including paid holiday arrangements and defined contribution pension plans and the costs of short-term employee benefits are recognised as a liability and an expense.

In accordance with FRS 102, the cost of any unused holiday entitlement should be recognised in the period in which the employee's services are received.

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

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:

Revenue from the sale of goods such as tea and associated products is recognised when all of the following conditions are satisfied:

-

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

-

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

-

the amount of revenue can be measured reliably;

-

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

-

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

Revenue from the sale of services, such as for workshops is recognised when the service has been provided. Where customers have been billed in advance, revenue is recognised in creditors in the Balance Sheet.

Tangible fixed assets

Tangible fixed assets are stated at cost, or deemed cost, less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended by management.

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

Fixtures, fittings and equipment

-

20% on cost

Computer equipment

-

25% on cost

Motor vehicles

-

20% on cost

Stocks

Stocks, which consist of consumable beverage products, are valued at the lower of cost and estimated selling price less costs to complete and sell, after making due allowance for obsolete and slow moving items.

When stocks are sold, the carrying amount of those stocks is recognised as an expense in the period in

which the related revenue is recognised. At the end of each reporting period, stocks are assessed for impairment and the identified inventory is written down to its estimated selling price less costs to complete and sell, and all losses of stocks are recognised as an expense in the period in which the write-down or loss occur. The amount of any reversal of any write-down of stock is recognised as a reduction in the amount of stocks recognised as an expense in the period in which the reversal occurs.

Stock is valued using the perpetual average cost method.

Financial instruments

At each balance sheet date, the company reviews the carrying amount of its assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any.

The company's financial instruments comprise cash, debtors (trade and other debtors) and creditors (trade, other creditors, accruals and deferred income). A financial asset or a financial liability is recognised when the company becomes party to the contractual provisions of the instrument. The de-recognition of a financial instrument takes place when the company no longer controls substantially all the risks and rewards.

At each balance sheet date, the company reviews the carrying amount of its assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any. Where it is not possible to estimate the recoverable amount of an asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Taxation

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

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

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 the 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.

Where the lease includes a rent free period, the company spreads the incentive over the lease term as a reduction to the lease expense.

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 Income Statement when they fall due. Amounts not paid are shown in accruals as a liability on the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

Impairment policy

At each balance sheet date, the company reviews the carrying amount of its assets to determine whether there is any indication that any items have suffered an impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any. Where it is not possible to estimate the recoverable amount of an asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

Going concern

After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in existence for the foreseeable future. The company, therefore, continues to adopt the going concern basis in preparing its financial statements.

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:

2026

2025

£

£

Tea and associated products

18,541,326

14,324,888

18,541,326

14,324,888

An analysis of turnover by geographical market is given below:

2026

2025

£

£

United Kingdom

17,835,161

13,704,668

Europe

352,871

256,499

Rest of World

353,294

363,721

18,541,326

14,324,888