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

The principal activity of the Company throughout the year continued to be that of residential property sales and lettings. The Company trades as United Kingdom Sotheby’s International Realty Limited and operates within the Sotheby’s International Realty network, focusing on the sale and letting of prime and luxury residential property in the United Kingdom.

Turnover is generated from three principal sources: residential sales commissions, group referral income, residential lettings commissions and residential property management. Residential sales commission remains by far the largest source of revenue, representing 90% of turnover in the year (2024: 91%).

Turnover increased by 69.7% to £31,458,058 (2024: £18,541,708), reflecting growth across all three revenue streams: residential sales commission income of £28,347,181 (2024: £16,800,753), residential lettings income of £2,620,448 (2024: £1,453,326) and residential management income of £490,429 (2024: £287,629). The directors consider this growth to reflect increased transaction volumes and average deal values in the prime London and the wider UK residential market served by the Company, together with the continued build-out of the Company’s fee-earning teams.

Gross profit increased to £20,259,269 (2024: £10,244,982), representing a gross margin of 64.4% (2024: 55.3%), an improvement of approximately 9.0 percentage points. The improvement in margin reflects operating leverage, as turnover grew faster than the direct cost of sales, which includes third-party and staff sales commissions payable and royalties payable to the Sotheby’s International Realty network.

Administrative expenses increased by 38.5% to £24,946,628 (2024: £18,011,546), a slower rate of growth than turnover, consistent with the improvement in operating leverage referred to above. The principal drivers were an increase in staff costs to £16,460,274 in aggregate (2024: £12,433,621) as the average number of employees (including directors) increased to 60 (2024: 52), increased advertising and marketing spend of £2,273,478 (2024: £1,309,309), and higher occupancy costs, including rent payments of £1,283,880 (2024: £637,679), and further capital investment in the fit-out of the Company’s premises. Capital expenditure on leasehold improvements, fixtures and computer equipment of £354,216 was incurred in the year (2024: £47,429).

The operating loss for the year narrowed significantly to £4,624,849 (2024: £7,799,507).

Net finance income of £52,134 (2024: £66,452) was recognised in the year, resulting in a loss before taxation of £4,572,715 (2024: £7,733,055). No tax charge arose in either year (see note 10 to the financial statements).

Financial position, cash flow and going concern

Net assets at 31 December 2025 were £1,490,132 (2024: £3,687,607), a reduction of £2,197,475. The net movement includes the loss for the year as well as the capital contribution. During the prior year the Company’s parent undertaking made a capital contribution of £9,181,611. A further £2,375,240 was contributed during 2025.

Net current assets were £809,986 at the year end (2024: £3,625,777), after an increase in creditors falling due within one year to £9,348,101 (2024: £5,752,388), reflecting the growth in trading activity and the timing of supplier, payroll tax and social security payments.

Cash at bank and in hand reduced to £915,052 at 31 December 2025 (2024: £2,531,720), after net cash absorbed by operating activities of £3,679,033 (2024: £8,202,310) and cash used in investing activities of £301,721 (2024: net cash generated of £19,892), which in the prior year had been substantially funded by the capital contribution referred to above.

The financial statements have been prepared on a going concern basis. In reaching this conclusion the directors have had regard to the Company’s trading performance, cash flow position and financing arrangements described above, together with the continued financial support available from the Company’s parent and ultimate parent undertakings, through to the period ended 31 December 2027 (the "Going concern period").

The directors consider the principal risks and uncertainties facing the Company to be as follows:

• Market and economic risk: the Company’s revenue is generated from the prime and luxury segment of the UK residential property market, which is sensitive to UK and international macroeconomic conditions, interest rates, taxation (including stamp duty land tax) and buyer and seller sentiment, particularly among the high-net-worth and international clientele the Company serves. A reduction in transaction volumes or values would directly affect commission income.

• Brand and network dependency: the Company operates under licence within the Sotheby’s International Realty network and incurs royalty and portal fees in connection with that relationship. Any adverse change to, or termination of, that arrangement, or reputational issues affecting the wider Sotheby’s brand, could adversely affect the Company’s trading.

• Liquidity risk and reliance on group support: the Company incurred an operating loss and a net cash outflow from operating activities during the year. The directors manage this risk through regular cash flow forecasting and, where necessary, may rely on continued financial support from the Company’s parent and ultimate parent undertakings.

• People risk: as a service business, the Company’s performance depends on its ability to recruit, retain, develop and incentivise experienced, fee-earning staff and management, in a competitive market for talent.

• Credit risk: trade debtors increased during the year to £2,798,296 (2024: £2,265,228). The Company manages this risk through credit verification procedures and ongoing monitoring of trade debtors, with provision made for doubtful debts where necessary.

• Regulatory and compliance risk: the Company’s activities are subject to UK property, anti-money laundering (Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017) and consumer protection legislation applicable to estate agency businesses. Non-compliance could result in financial, regulatory or reputational harm.

• Information security and data protection risk: the Company holds confidential client, transactional and financial information and is exposed to cyber security and data protection risk, including under UK data protection legislation

As a medium-sized company, the Company is required to report financial key performance indicators only. The directors consider the following to be the key financial performance indicators used to monitor the development, performance and position of the business:

Section 172(1) statement (voluntary disclosure)

As a medium-sized company, the Company is not required by section 414CZA of the Companies Act 2006 to include a section 172(1) statement in this strategic report. The directors nonetheless consider it good practice to record that, in performing their duty under section 172 to promote the success of the Company for the benefit of its members as a whole, they have had regard, amongst other matters, to: the likely long-term consequences of decisions; the interests of the Company’s employees; the need to foster the Company’s business relationships with clients, suppliers, the Sotheby’s International Realty network and other stakeholders; the impact of the Company’s operations on the community and the environment; the desirability of maintaining a reputation for high standards of business conduct; and the need to act fairly as between members of the Company.

In addition, the Directors of the Company operate the Company in line with the objectives of the ultimate parent, including with regard to stakeholder engagement. The Board of Directors confirm, both individually and in aggregate that they have acted in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole (having regard to the stakeholders and matters set out in points (a) to (f) of section 172(1) of the Companies Act 2006).

Outlook

The directors remain focused on continuing the Company’s revenue growth, on cost discipline as the business scales, and on continued investment in its people, premises and systems. The directors will continue to monitor closely conditions in the prime UK residential property market and the Company’s cash flow and liquidity position, together with the level of support required from, and available from, the Company’s parent and ultimate parent undertakings.

On behalf of the board

The directors present their annual report and financial statements for the year ended 31 December 2025.

The results for the year are set out on page 12.

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Going concern

The Company has net current assets of £809,986 (2024: £3,625,777) and net assets of £1,490,132 (2024: £3,687,607).

The Company meets its day to day working capital requirements through the cash retained in the Company.

When performing the going concern assessment from the date of approval of the Company's financial statements through to 31 December 2027 (the ‘Going Concern period’), the directors have assessed whether the Company will be able to meet its liabilities as and when they fall due.

The directors assessed the continuing impact of economic factors affecting the UK economy through stress testing of the Company's budgets and forecasts. The outcome of the stress testing indicated that the Company is expected to maintain postive cash flows throughout the Going Concern period with the letter of support that has been issued by the Company's parent entity for the period to 31 December 2027.

The company has made no qualifying third party indemnity provisions for the benefit of its directors during the year as none exist.

The company made the following political donations in the current year:

• Reform UK party - £100,000

The company manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business.

The company is exposed to fair value interest rate risk on its fixed rate borrowings and cash flow interest rate risk on floating rate deposits, bank overdrafts and loans. Where necessary the Company uses interest rate derivatives to manage the mix of fixed and variable rate debt so as to reduce its exposure to changes in interest rates.

Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are monitored on an ongoing basis and provision is made for doubtful debts where necessary.

Pursuant to the Company's articles of association, the Company will propose the reappointment of Ernst & Young LLP as the Company's auditors at its Annual General Meeting in accordance with s.485 of the Companies Act 2006.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

The directors are responsible for preparing the annual report 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; and

• 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.

We have audited the financial statements of United Kingdom Sotheby’s International Realty Limited for the year ended 31 December 2025 which comprise the Income Statement, the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity, Statement of Cash Flows, and the related notes 1 to 28, 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 FRS 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 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 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 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 to 31 December 2027.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. However, because not all future events or conditions can be predicted, this statement is not a guarantee as to the Company’s ability to continue as a going concern.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report.

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

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 course of 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 the 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 directors’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the strategic report and the directors’ report has been prepared in accordance with applicable legal requirements.

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 directors’ report.

We have nothing to report in respect of the following matters in relation to which 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.

As explained more fully in the directors’ responsibilities statement set out on page 7, 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 is 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.

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 an auditor’s report 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.

Explanation as to what extent the audit was considered 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 irregularities, including fraud. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

• We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant are directly relevant to the financial statements and the reporting framework FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice), the Companies Act 2006 and the relevant direct and indirect tax regulation in the United Kingdom.

• We understood how United Kingdom Sotheby’s International Realty Limited is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures to understand how the Company maintains and communicates its policies and procedures in these areas. We corroborated the results of our enquiries through reading relevant correspondence with relevant authorities, as well as verifying legal and professional service expenses to supporting documentation and making enquiries of management to identify if there are matters where there is a risk of breach of such frameworks that could have a material impact on the Company. We understood controls put in place by management to reduce the opportunities for fraudulent transactions.

• We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur by holding internal discussions, discussions with management from various parts of the business to understand where they considered there was susceptibility to fraud and what entity level controls are in place. We also identified the existence of performance targets and their potential influence on management to manage earnings by manipulating revenue. We considered the controls that the Company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how management monitors those controls. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk.

• Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures included: journal entry testing, with a focus on manual journals and journals indicating large or unusual transactions; enquiries of Company management; and challenging the assumptions and judgements made by management by agreeing to supporting third party evidence wherever possible. We also leveraged our data analytics platform to review the entire population of journals to assist in identifying specific transactions to test being those that did not meet certain criteria. The results of our procedures did not identify any instances of irregularities, including fraud.

A further description of our responsibilities for the audit of the financial statements is located on the

Financial Reporting Council’s website at https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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 an auditor’s report 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.

The notes on pages 17 to 30 form part of these financial statements.

The notes on pages 17 to 30 form part of these financial statements.

The notes on pages 17 to 30 form part of these financial statements.

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The notes on pages 17 to 30 form part of these financial statements.

The notes on pages 17 to 30 form part of these financial statements.

United Kingdom Sotheby's International Realty Limited is a private company limited by shares incorporated in England and Wales. The registered office is 48 Conduit Street, London, United Kingdom, W1S 2YR.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in pound sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

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

The financial statements contain information about United Kingdom Sotheby's International Realty Limited as an individual company.

The Company has net current assets of £809,986 (2024: £3,625,777) and net assets of £1,490,132 (2024: £3,687,607).

The Company meets its day to day working capital requirements through the cash retained in the Company.

When performing the going concern assessment from the date of approval of the Company's financial statements through to 31 December 2027 (the ‘Going Concern period’), the directors have assessed whether the Company will be able to meet its liabilities as and when they fall due.

The directors assessed the continuing impact of economic factors affecting the UK economy through stress testing of the Company's budgets and forecasts. The outcome of the stress testing indicated that the Company is expected to maintain postive cash flows throughout the Going Concern period with the letter of support that has been issued by the Company's parent entity for the period to 31 December 2027.

Turnover is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Turnover on sales commission is recognised when property contracts between the parties are exchanged.

Revenue from Lettings is recognised on completion of the service being provided. and therefore at a point in time. Management services relating to Lettings are recognised over time using the time basis approach

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

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 credited or charged to profit or loss.

Fixed asset investments

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

Cash and cash equivalents are basic financial assets and 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.

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

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors 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 financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

Provisions are recognised when the company has a legal or constructive present obligation as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation. Where the effect of the time value of money is material, the amount expected to be required to settle the obligation is recognised at present value. When a provision is measured at present value, the unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.

When valuing dilapidation provisions, the Company estimates the future liability based on an average dilapidations rate per square foot or a cost estimate provided for each properly which has satisfied the Company's recognition criteria. The future liability is then discounted to present value based on the estimated timing of the outflow.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

For cash-settled share-based payments, a liability is recognised for the goods and services acquired, measured initially at the fair value of the liability. At each succeeding financial reporting period end and at the date of settlement, the fair value of the liability is remeasured, with any changes in fair value recognised in profit or loss for the period.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

Events after the reporting date

If the Company receives information after the reporting period, but prior to the date of authorisation for issue, about conditions that existed at the end of the reporting period, it will assess whether the information affects the amounts that it recognises in its financial statements. The Company will adjust the amounts recognised in its financial statements to reflect any adjusting events after the reporting period and update the disclosures that relate to those conditions in light of the new information. For non-adjusting events after the reporting period, the Company will not change the amounts recognised in its financial statements but will disclose the nature of the non-adjusting event and an estimate of its financial effect, or a statement that such an estimate cannot be made, if applicable.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Depreciation policies are based on the expected useful lives of the different categories of assets. The directors consider these policies to be appropriate.

A provision is included to cover the estimated cost of dilapidations at the end of the reporting period related to the various sites of the company.

In applying the company's accounting policies set out in the note below, the directors are required to make judgements and estimates on the useful lives of the assets used within the trade of the business.

As the company has undergone significant capital investment in its premises, the items contained within leasehold improvements are aligned to the lease term and as such are depreciated according to remaining term on the lease.

There were no exceptional transactions in the 2025 year.

During the prior year, there existed an intercompany loan between the company and its immediate parent company, Wonderland (UK) Holdings Limited, of £39,614. Management made the decision to write off this loan in the respective company’s accounts.

All the above items are deemed to be exceptional by management and are therefore disclosed as such.

The average monthly number of persons (including directors) employed by the company during the year was:

Their aggregate remuneration comprised:

Pension costs consist of costs in respect of contributions to a defined contribution scheme.

More information on pension costs is given in note 20.

The actual charge for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:

The taxable losses carried forward of £24,067,822 (2024: £21,126,109) by the company are not recognised as a deferred tax asset.

Classification of prepayments

Prepayments are presented as current assets on the face of the balance sheet in accordance with the Companies Act 2006 prescribed formats. Under the Companies Act, prepayments do not meet the definition of fixed assets and are therefore required to be included within current assets, irrespective of the period over which the economic benefits are expected to be consumed.

In applying FRS 102, management has considered the period over which the prepayments are expected to be utilised. Where the benefit of a prepayment extends beyond 12 months from the reporting date, this does not affect its classification on the face of the balance sheet; instead, additional information is provided in the notes to the financial statements. Accordingly, the notes include an analysis of prepayments recoverable within one year and those recoverable after more than one year to provide relevant and transparent information to users of the financial statements.

This presentation is consistent with established UK market practice and illustrative financial statements prepared under FRS 102, which retain prepayments within current assets while providing supplementary disclosure of the timing of recovery where material.

The amount recognised by the Company at 31 December 2025 in relation to incentive schemes is £1, however, any liability recognised in relation to incentive schemes are subject to assumptions and uncertainty and the ultimate exposure to the Company will be dependent on various factors, resulting in a wide range of outcomes. Any changes in these assumptions would impact the quantum of the payable.

The company operates a share-based payment scheme for certain employees. The payments are measured at the fair value of the equity instruments at the grant date and recognised as an expense.

The total expense recognised in the profit and loss account in respect of share-based payment transactions during the year was £21,404 (2024: £nil). The corresponding credit has been recognised within creditors.

The bank loan is a bounceback loan that is repayable in monthly installments, with the interest rate on the loan being 2.5% per year until full repayment.

The loan is repaid in full in September 2026 (the maturity date).

The provisions within the accounts relate to potential dilapidation expenditure required to restore the leased offices back to their original condition, should the company vacate the premises.

The deferred income relates to cash received in advance, which is subject to recognition as revenue post completion of the break clauses in their agreements.

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

During the year, the company made a donation of £50,000 (2024: £50,000) to the charity Shadow to Shine, which one the key management personal is a Trustee of.

During the year ended 31 December 2025, the company made sales totaling £10,142,941 (2024: £59,812) between itself and other entities within the group.

During the year ended 31 December, the company had expenses totaling £3,404,356 (2024: £2,908,842) between itself and other entities within the group.

At the 31 December 2025, the company was owed £2,465,305 (2024: £nil) by related parties and other group companies.

At 31 December 2025, the company owed £170,383 (2024: £3,214,808) to related parties and other group companies.

All related party transactions were made on an arms length basis.

For details on directors remunerations paid, please refer to note 7 of the financial statements.

The immediate parent company of United Kingdom Sotheby's International Realty Limited at the year end is Wonderland (UK) Holdings Limited. The registered office address for the parent company is 48 Conduit Street, London, W1S 2YR.

The ultimate parent company of United Kingdom Sotheby's International Realty Limited at the year end is Alpha Holding Limited. The registered office address for the ultimate parent company is Part of 26th floor, 26, Al Sila Tower, Abu Dhabi Global Market Square, Abu Dhabi, Al Maryah Island, United Arab Emirates

In the opinion of the directors, the controlling party is G Azar (director).

Client monies as at 31 December 2025 which are held on behalf of tenants in separate bank accounts amounted to £3,626,399 (2024: £2.318,091). These amounts, nor the matching liabilities are included in the company statement of financial position, since these funds belong to clients.

Client funds are protected by the Financial Services Compensation Scheme (FSCS) under which the government guarantees amounts up to £120,000. This guarantee applies to each individual client, not the total of deposits held by the company.

There have been no events subsequent to the period end which require adjustment of or disclosure in the financial statements or notes thereto.