REGISTERED NUMBER: 01111151 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 May 2026

for

Pruce Newman Pipework Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Statement of Directors' Responsibilities

6

Report of the Independent Auditors

7

Income Statement

11

Other Comprehensive Income

12

Balance Sheet

13

Statement of Changes in Equity

14

Cash Flow Statement

15

Notes to the Cash Flow Statement

16

Notes to the Financial Statements

18

DIRECTORS:

J M Key

J L Eggleton

REGISTERED OFFICE:

C/o Pruce Newman Pipework

Ayton Rd

Wymondham

Norfolk

NR18 0QJ

REGISTERED NUMBER:

01111151 (England and Wales)

AUDITORS:

Sygma Chartered Accountants

1 Sopwith Crescent

Wickford

Essex

SS11 8YU

The directors present the strategic report on the affairs of Pruce Newman Pipework Ltd a member of the group of companies comprising, Pruce Newman Group Limited, Pruce Newman (Holdings) Limited, Pruce Newman Pipework Limited and Pruce Newman Properties Limited, for the trading period ending 31st May 2026. Pruce Newman Pipework Limited is the sole trading business in the group, and all revenue is currently generated by it.

PRINCIPAL RISKS AND UNCERTAINTIES

Please refer to the detailed listing of Risks and Uncertainties and their mitigation detailed within the strategic report for the group as a whole.

FUTURE DEVELOPMENTS AND GOING CONCERN

The company is concentrating on providing a safe, high-quality service to its existing client base in its target markets of chemical, agrichemical, petrochemical (fuel storage and on- and offshore Oil & Gas industries), sugar, and power generation, and continues to build on its growing presence in the renewable energy sector, most recently through the Norfolk coast wind farm pipework project. It believes that a wider spread of clients within these industries would benefit the business, given its strong reputation for quality, safety and service - attributes it believes clients will value ahead of cost. The company will carefully consider any expansion of its client base to ensure it does not impact on its existing clients.

The company remains committed to investing in its people and continues to invest in the training and development of both site staff and management as part of its ongoing continuous improvement and staff engagement programme. The directors also intend to reinvest profits into office and site plant and equipment, supporting delivery of both existing and newly secured contracts.

Together with the company's sales strategy, this investment is expected to underpin the profitable and sustainable growth of the business.

The directors have prepared budgets for revenue and costs for the coming 12 months along with cashflow forecasts, which together indicate that the company will continue to trade profitably and within its current cash resources. Therefore, the directors have a reasonable expectation that the business will have adequate resources to meet its liabilities as they fall due for the foreseeable future and have consequently adopted the going concern basis in preparing these financial statements.

REVIEW OF BUSINESS

The 2025-26 trading year gross turnover has decreased since the previous trading year from £8.76 Million to £7.56 Million by 31st May 2026. The directors were able to deliver a gross profit margin from the turnover and maintain tight control of the company's costs which helped the business deliver trading profits for the year.

Our business plan set a target gross profit for 2025-26 of £1.85M on a target turnover of £8.00M (a GP margin of 23%). Against the actual turnover of £7.56 Million, gross profit in fact came in at £1.65 Million (a GP margin of 22%).

Overheads for the year decreased by 23% compared to the previous year, totalling some £1.51 Million and resulting in an operating profit of £341,275.

During the year the company secured two significant new contracts: a lucrative 12-month contract at a North London heat and power station, and a substantial pipework project on the Norfolk coast in support of the offshore wind farm sector. Together these represent a valuable addition to the order book and are expected to provide continuity of work through periods in which the business has traditionally experienced a seasonal downturn.

The company also continues to supply labour-only services to several blue-chip clients. This strand of the business complements the company's core fabrication and installation activities and helps to smooth workload across the year.

Looking ahead, the company is confident of a busier and more evenly spread pattern of work than in previous years. The North London and Norfolk coast contracts are expected to reduce the impact of the usual seasonal downturn in Q2 and the start of Q3, while the existing client base is expected to continue generating further opportunities into Q4 and beyond.

ON BEHALF OF THE BOARD:

J M Key - Director

1 October 2026

The directors present their report with the financial statements of the company for the year ended 31 May 2026.

PRINCIPAL ACTIVITY

With regard to the group's revenue-producing trading activity, the group will concentrate on its core skills in the fabrication and installation of bespoke piping systems for the chemical, agrichemical, petrochemical, sugar, and power generation industries. It has also continued to provide bespoke structural steelwork construction for these industries, and continues to expand its activities in the fuel storage and on- and offshore Oil & Gas industries, and in the renewable energy sector - most notably through the pipework project secured on the Norfolk coast in support of the wind farm sector.

The business has continued to expand its off-site fabrication activities and continues to pursue opportunities to deliver off-site fabricated pipe spools, skid structures, and bespoke vessels, tanks and general fabrications produced in its own workshops.

The company also continues to supply labour-only services to a number of blue-chip companies, a strand of activity that complements its core contracting work.

In addition, the company continues to pursue opportunities to sell its project management expertise, and is actively seeking to work with complementary contracting businesses offering services such as design, civil engineering, tank and vessel construction, and electrical, control and instrumentation, so that it can offer turnkey solutions to its clients.

Currently all these activities are expected to be confined to the UK.

DIVIDENDS

The total distribution of dividends for the year ended 31st May 2026 will be £254,469 (2025 - Nil).

DIRECTORS

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

J M Key

J L Eggleton

POLITICAL DONATIONS AND EXPENDITURE

The company made no political donations during the year.

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, Sygma Chartered Accountants, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

J M Key - Director

1 October 2026

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.

Opinion

We have audited the financial statements of Pruce Newman Pipework Limited (the 'company') for the year ended 31 May 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 the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 May 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 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, the Report of the Directors and the Statement of Directors' Responsibilities, 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 six, 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:

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material

misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit

evidence regarding the assessed risks of material misstatement due to fraud, through designing

and implementing appropriate responses to those assessed risks; and to respond appropriately to

instances of fraud or suspected fraud identified during the audit. However, the primary

responsibility for the prevention and detection of fraud rests with both management and those

charged with governance of the company.

Our approach was as follows:

- we obtained an understanding of the legal and regulatory requirements applicable to the

company and considered that the most significant are the Companies Act 2006, International

Financial Reporting Standards, and UK taxation legislation.

- we obtained an understanding of how the company complies with these requirements by

discussions with management and those charged with governance.

- we assessed the risk of material misstatement of the financial statements, including the risk of

material misstatement due to fraud and how it might occur, by holding discussions with

management and those charged with governance.

- we inquired of management and those charged with governance as to any known instances of

non-compliance or suspected non-compliance with laws and regulations.

- based on this understanding, we designed specific appropriate audit procedures to identify

instances of non-compliance with laws and regulations. This included making enquiries of

management and those charged with governance and obtaining additional corroborative evidence

as required.

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.

Alan Brading FCA (Senior Statutory Auditor)

for and on behalf of Sygma Chartered Accountants

1 Sopwith Crescent

Wickford

Essex

SS11 8YU

1 October 2026

TURNOVER

7,564,913

8,762,789

Cost of sales

5,917,219

6,987,861

GROSS PROFIT

1,647,694

1,774,928

Administrative expenses

1,507,619

1,963,082

140,075

(188,154

)

Other operating income

201,099

1,053

OPERATING PROFIT/(LOSS)

4

341,174

(187,101

)

Interest receivable and similar income

101

533

341,275

(186,568

)

Interest payable and similar expenses

5

21,916

28,119

PROFIT/(LOSS) BEFORE TAXATION

319,359

(214,687

)

Tax on profit/(loss)

6

(154,146

)

(343,030

)

PROFIT FOR THE FINANCIAL YEAR

473,505

128,343

PROFIT FOR THE YEAR

473,505

128,343

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

473,505

128,343

FIXED ASSETS

Intangible assets

8

675

4,042

Tangible assets

9

234,097

165,147

234,772

169,189

CURRENT ASSETS

Stocks

10

129,864

242,469

Debtors

11

3,821,642

3,705,595

Cash at bank and in hand

89,631

20,660

4,041,137

3,968,724

CREDITORS

Amounts falling due within one year

12

1,354,755

1,447,535

NET CURRENT ASSETS

2,686,382

2,521,189

TOTAL ASSETS LESS CURRENT LIABILITIES

2,921,154

2,690,378

CREDITORS

Amounts falling due after more than one year

13

(203,333

)

(244,154

)

PROVISIONS FOR LIABILITIES

17

(52,561

)

-

NET ASSETS

2,665,260

2,446,224

CAPITAL AND RESERVES

Called up share capital

18

110,000

110,000

Share premium

19

20,000

20,000

Retained earnings

19

2,535,260

2,316,224

SHAREHOLDERS' FUNDS

2,665,260

2,446,224

The financial statements were approved by the Board of Directors and authorised for issue on 1 October 2026 and were signed on its behalf by:

J M Key - Director

Called up

share

Retained

Share

Total

capital

earnings

premium

equity

£

£

£

£

Balance at 1 June 2024

110,000

2,187,881

20,000

2,317,881

Changes in equity

Total comprehensive income

-

128,343

-

128,343

Balance at 31 May 2025

110,000

2,316,224

20,000

2,446,224

Changes in equity

Dividends

-

(254,469

)

-

(254,469

)

Total comprehensive income

-

473,505

-

473,505

Balance at 31 May 2026

110,000

2,535,260

20,000

2,665,260

Cash flows from operating activities

Cash generated from operations

1

281,594

(117,777

)

Interest paid

(21,916

)

(28,119

)

Tax paid

161,922

125,148

Net cash from operating activities

421,600

(20,748

)

Cash flows from investing activities

Purchase of tangible fixed assets

(10,094

)

(18,402

)

Sale of tangible fixed assets

817

5,983

Interest received

101

533

Net cash from investing activities

(9,176

)

(11,886

)

Cash flows from financing activities

Loan repayments in year

(50,438

)

(50,190

)

Equity dividends paid

(254,469

)

-

Loan to group undertakings

(20,880

)

-

Net cash from financing activities

(325,787

)

(50,190

)

Increase/(decrease) in cash and cash equivalents

86,637

(82,824

)

Cash and cash equivalents at beginning of year

2

(562,319

)

(479,495

)

Cash and cash equivalents at end of year

2

(475,682

)

(562,319

)

1.	RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS

31.5.26

31.5.25

£

£

Profit for the financial year

473,505

128,343

Depreciation charges

41,254

56,765

Loss on disposal of fixed assets

30,700

904

Gain on revaluation of fixed assets

(128,261

)

-

Finance costs

21,916

28,119

Finance income

(101

)

(533

)

Taxation

(154,146

)

(343,030

)

284,867

(129,432

)

Decrease/(increase) in stocks

112,605

(15,287

)

(Increase)/decrease in trade and other debtors

(257,089

)

573,166

Increase/(decrease) in trade and other creditors

141,211

(546,224

)

Cash generated from operations

281,594

(117,777

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 May 2026

31.5.26

1.6.25

£

£

Cash and cash equivalents

89,631

20,660

Bank overdrafts

(565,313

)

(582,979

)

(475,682

)

(562,319

)

Year ended 31 May 2025

31.5.25

1.6.24

£

£

Cash and cash equivalents

20,660

233,361

Bank overdrafts

(582,979

)

(712,856

)

(562,319

)

(479,495

)

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.6.25

Cash flow

At 31.5.26

£

£

£

Net cash

Cash at bank and in hand

20,660

68,971

89,631

Bank overdrafts

(582,979

)

17,666

(565,313

)

(562,319

)

86,637

(475,682

)

Debt

Debts falling due within 1 year

(50,485

)

9,618

(40,867

)

Debts falling due after 1 year

(244,154

)

40,821

(203,333

)

(294,639

)

50,439

(244,200

)

Total

(856,958

)

137,076

(719,882

)

1.	STATUTORY INFORMATION

Pruce Newman Pipework 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 as modified by the revaluation of certain assets.

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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs.

Intangible assets

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

Intellectual property costs are being amortised evenly over their estimated useful life of four years.

Tangible fixed assets

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

Plant and machinery

-

25% on reducing balance

Office equipment

-

25% on cost

Motor vehicles

-

25% on reducing balance

Stocks and work in progress

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.

Work in progress recognises the amount of revenue accrued in accordance with the progress of contract activity by reference to the value of work performed. The amount of revenue recognised reflects any uncertainties surrounding the value of the contract activity.

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.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to profit or loss 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.

3.	EMPLOYEES AND DIRECTORS

31.5.26

31.5.25

£

£

Wages and salaries

4,290,363

5,018,045

Social security costs

473,506

422,445

Other pension costs

130,288

167,217

4,894,157

5,607,707

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

31.5.26

31.5.25

Administration

14

15

Manufacturing

53

63

67

78

31.5.26

31.5.25

£

£

Directors' remuneration

198,532

314,709

Directors' pension contributions to money purchase schemes

9,805

46,184

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

Money purchase schemes

2

4

4.	OPERATING PROFIT/(LOSS)

The operating profit (2025 - operating loss) is stated after charging:

31.5.26

31.5.25

£

£

Hire of plant and machinery

120,973

270,076

Depreciation - owned assets

37,888

50,399

Loss on disposal of fixed assets

30,700

904

Intellectual property costs amortisation

3,367

6,364

Auditors' remuneration

7,400

7,000

Auditors' remuneration for non audit work

8,988

9,942

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

31.5.26

31.5.25

£

£

Bank interest

209

464

Bank loan interest

21,707

27,655

21,916

28,119

6.

TAXATION

Analysis of the tax credit

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

31.5.26

31.5.25

£

£

Current tax:

UK corporation tax

(206,707

)

(312,100

)

Deferred tax

52,561

(30,930

)

Tax on profit/(loss)

(154,146

)

(343,030

)

Reconciliation of total tax credit included in profit and loss

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

31.5.26

31.5.25

£

£

Profit/(loss) before tax

319,359

(214,687

)

Profit/(loss) multiplied by the standard rate of corporation tax in the UK of 25% (2025 - 25%)

79,840

(53,672

)

Effects of:

Expenses not deductible for tax purposes

295

306

Depreciation in excess of capital allowances

14,253

8,302

Utilisation of tax losses

(56,465

)

-

R&D claim

(244,630

)

(267,036

)

Deferred tax adjustment

52,561

(30,930

)

Total tax credit

(154,146

)

(343,030

)

7.

DIVIDENDS

31.5.26

31.5.25

£

£

Ordinary shares of £1 each

Final

254,469

-