REGISTERED NUMBER: 02102387 (England and Wales)

Strategic Report,

Report of the Directors and

Audited Financial Statements

for the Year Ended 31 January 2026

for

P.J. Martinelli Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

3

Report of the Independent Auditors

4

Profit and Loss Account

6

Balance Sheet

7

Statement of Changes in Equity

8

Cash Flow Statement

9

Notes to the Cash Flow Statement

10

Notes to the Financial Statements

11

DIRECTORS:

Mr P N Martinelli

Mrs A M Martinelli

SECRETARY:

Mrs A M Martinelli

REGISTERED OFFICE:

25 Central Markets

Smithfield

London

EC1A 9PS

REGISTERED NUMBER:

02102387 (England and Wales)

AUDITORS:

S&W Audit

Statutory Auditor

Brockbourne House

77 Mount Ephraim

Tunbridge Wells

TN4 8BS

Introduction

The directors present their strategic report for the year ended 31 January 2026.

The principal activity of the Company continued to be wholesale distribution and processing of meat and poultry products and related ancillary foodstuffs. The Company operates two licensed cutting plants at London's iconic Smithfield Market.

Business review

The business continued to increase annual turnover and profit in line with forecast. The company benefited from a fixed price on premises costs and a below inflation increase in some fixed costs. Individual staff wage levels have increased in line with inflation but encouragingly an increase in staff numbers has allowed the business to achieve higher margins on sales.

Regulatory changes

The post Brexit import controls continue to create delays and additional costs in the supply chain. The outcome of positive discussions with Europe on reduced regulatory burdens at the ports will be welcome.

Environmental reporting

The company is a member of the City of London's "Heart of the City" project. We are accredited Level 3. Our carbon reporting has created a Base Year which will be used to report our journey to Net Zero with a target date of 2040.

Principal risks

Supply risks continue in a volatile market, and the macro risks remain world shipping costs, energy prices and instability caused by the continuing war in Ukraine and the conflict in Iran.

The potential for outbreaks of Avian influenza remains a concern across the European poultry industry.

However, the Company has an extremely wide supply base throughout the UK, Europe and into South America, Australia and New Zealand. We have benefited from a strong supply of Australian and New Zealand beef under the 2024 Trade deal.

Tax rises in the hospitality sector are a brake on the profitability of some sections of our customer base. The new Government's approach to NIC and business rate reductions is a potential positive.

We use Credit Insurance to cover our customer base, the rates have remained stable.

Forward guidance

The year ahead has seen an increase in the percentage of goods delivered directly to clients and this helps to drive retention and margin.

The Company is developing plans to move to a new co-located Market site at Albert Island, London in 2029 and there will be an opportunity to benefit from new purpose-built facilities. Also, the addition of the Fish Market will be an opportunity to drive retail sales and additional volumes.

ON BEHALF OF THE BOARD:

Mr P N Martinelli - Director

2 October 2026

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

DIVIDENDS

No interim dividend was paid during the year. The directors recommend a final dividend of £24 per share.

The total distribution of dividends for the year ended 31 January 2026 will be £ 720,000 .

RESULTS FOR THE YEAR

The Profit Before Tax for the financial year was £1,089,006

DIRECTORS

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

Mr P N Martinelli

Mrs A M Martinelli

GOING CONCERN

Company law requires the Directors to consider the appropriateness of the going concern basis when preparing the financial statements. The Directors have assessed the Company's ability to continue as a going concern and confirm that the going concern basis remains appropriate.

The Company continues to have sufficient headroom in their liquidity position, and the Directors forecast the Company to trade profitably and generate positive cash flows. Accordingly, the Directors believe it is appropriate to prepare the financial statements on a going concern basis.

DISCLOSURE IN THE STRATEGIC REPORT

The company has chosen in accordance with S.414C(11) Companies Act 2006 to set out in the company's strategic report information required by Schedule 7 of the Large and Medium-sized Companies and Groups ( Accounts and Reports) Regulations 2008 to be contained in the directors' report. It has done so in respect of financial instruments 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, S&W Audit, are deemed to be reappointed under section 487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:

Mr P N Martinelli - Director

2 October 2026

Opinion

We have audited the financial statements of P. J. Martinelli Limited (the 'company') for the year ended 31 January 2026 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity and the notes to the financial statements, including 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 state of the company's affairs as at 31 January 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 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 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 other information comprises the information included in the Strategic Report, Report of the Directors and Audited Financial Statements, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the Strategic Report, Report of the Directors and Audited Financial Statements. 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. 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 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 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 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 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.

Responsibilities of directors

As explained more fully in the directors' responsibilities statement set out on page 3, 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.

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 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.

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.

We obtained a general understanding of the Company's legal and regulatory framework through enquiry of management concerning: their understanding of relevant laws and regulations; the entity's policies and procedures regarding compliance; and how they identify, evaluate and account for litigation claims. We also drew on our existing understanding of the Company's industry and regulation. In the context of the audit, we considered those laws and regulations which determine the form and content of the financial statements, which are central to the Company's ability to conduct its business, and where failure to comply could result in material penalties. We identified the following laws and regulations as being of significance to the Company: FRS 102 (UK GAAP), the Companies Act 2006 and relevant UK taxation laws.

The senior statutory auditor led a discussion with senior members of the engagement team regarding the susceptibility of the Company's financial statements to material misstatements, including how fraud might occur.The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:

The areas identified in this discussion were:

- Revenue recognition, in particular cut-off, which is an inherent risk common to owner managed businesses.

- Manipulation of the financial statements, especially transactions with directors and management override, via fraudulent journal entries, particularly as the size of the Company means that there is little opportunity for segregation of duties.

The procedures we carried out to gain evidence in the above areas included:

- Challenging management regarding the nature and appropriateness of unexpected or unusual accounting adjustments;

- Substantive testing on material areas affecting timing of and completeness of revenue postings;

- Testing journal entries, focusing particularly on postings to unexpected or unusual accounts.

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.

Edward Newton (Senior Statutory Auditor)

for and on behalf of S&W Audit

Statutory Auditor

Brockbourne House

77 Mount Ephraim

Tunbridge Wells

TN4 8BS

2 October 2026

TURNOVER

4

39,678,094

38,559,361

Cost of sales

(35,752,034

)

(34,731,833

)

GROSS PROFIT

3,926,060

3,827,528

Distribution costs

(554,286

)

(534,542

)

Administrative expenses

(3,523,847

)

(2,859,734

)

(152,073

)

433,252

Other operating income

1,116,684

-

OPERATING PROFIT

6

964,611

433,252

Interest receivable and similar income

251,977

189,968

1,216,588

623,220

Interest payable and similar expenses

8

(127,582

)

(40,360

)

PROFIT BEFORE TAXATION

1,089,006

582,860

Tax on profit

9

(317,390

)

(157,125

)

PROFIT FOR THE FINANCIAL YEAR

771,616

425,735

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

771,616

425,735

FIXED ASSETS

Intangible assets

11

1,880,000

2,350,000

Tangible assets

12

432,319

377,107

Investments

13

10

30

2,312,329

2,727,137

CURRENT ASSETS

Stocks

14

466,276

435,009

Debtors

15

4,550,357

5,327,143

Cash at bank

5,380,037

4,083,277

10,396,670

9,845,429

CREDITORS

Amounts falling due within one year

16

(4,603,415

)

(4,414,896

)

NET CURRENT ASSETS

5,793,255

5,430,533

TOTAL ASSETS LESS CURRENT LIABILITIES

8,105,584

8,157,670

PROVISIONS FOR LIABILITIES

18

(578,082

)

(681,784

)

NET ASSETS

7,527,502

7,475,886

CAPITAL AND RESERVES

Called up share capital

19

30,000

30,000

Revaluation reserve

20

1,410,000

1,762,500

Capital redemption reserve

20

15,000

15,000

Profit and loss account

20

6,072,502

5,668,386

SHAREHOLDERS' FUNDS

7,527,502

7,475,886

The financial statements were approved by the Board of Directors and authorised for issue on 2 October 2026 and were signed on its behalf by:

Mr P N Martinelli - Director

Called up

Profit

Capital

share

and loss

Revaluation

redemption

Total

capital

account

reserve

reserve

equity

£

£

£

£

£

Balance at 1 February 2024

30,000

6,342,651

1,762,500

15,000

8,150,151

Changes in equity

Dividends

-

(1,100,000

)

-

-

(1,100,000

)

Total comprehensive income

-

425,735

-

-

425,735

Balance at 31 January 2025

30,000

5,668,386

1,762,500

15,000

7,475,886

Changes in equity

Dividends

-

(720,000

)

-

-

(720,000

)

Total comprehensive income

-

771,616

-

-

771,616

Transfer between profit and

loss account and revaluation

reserve

-

352,500

(352,500

)

-

-

Balance at 31 January 2026

30,000

6,072,502

1,410,000

15,000

7,527,502

Cash flows from operating activities

Cash generated from operations

1

2,597,641

843,535

Interest paid

(127,582

)

(40,360

)

Tax paid

(177,421

)

(69,673

)

Net cash from operating activities

2,292,638

733,502

Cash flows from investing activities

Purchase of tangible fixed assets

(193,378

)

(57,196

)

Sale of tangible fixed assets

(3,420

)

19,062

Interest received

251,977

189,968

Net cash from investing activities

55,179

151,834

Cash flows from financing activities

Amount withdrawn by directors

(331,057

)

-

Equity dividends paid

(720,000

)

(1,100,000

)

Net cash from financing activities

(1,051,057

)

(1,100,000

)

Increase/(decrease) in cash and cash equivalents

1,296,760

(214,664

)

Cash and cash equivalents at beginning of year

2

4,083,277

4,297,941

Cash and cash equivalents at end of year

2

5,380,037

4,083,277

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

2026

2025

£

£

Profit before taxation

1,089,006

582,860

Loss on disposal of fixed assets

3,420

114

Impairment of listed investments

20

-

Depreciation and amortisation charges

608,166

109,783

Finance costs

127,582

40,360

Finance income

(251,977

)

(189,968

)

1,576,217

543,149

(Increase)/decrease in stocks

(31,267

)

8,332

Decrease/(increase) in trade and other debtors

1,107,843

(518,215

)

(Decrease)/increase in trade and other creditors

(55,152

)

810,269

Cash generated from operations

2,597,641

843,535

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 January 2026

31.1.26

1.2.25

£

£

Cash and cash equivalents

5,380,037

4,083,277

Year ended 31 January 2025

31.1.25

1.2.24

£

£

Cash and cash equivalents

4,083,277

4,297,941

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.2.25

Cash flow

At 31.1.26

£

£

£

Net cash

Cash at bank

4,083,277

1,296,760

5,380,037

4,083,277

1,296,760

5,380,037

Total

4,083,277

1,296,760

5,380,037

1.	STATUTORY INFORMATION

P.J. Martinelli 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.

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

The presentational and functional currency of the financial statements is the Pound Sterling (£).

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

2.	STATEMENT OF COMPLIANCE

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.

3.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared under the historical cost convention.

Going concern

Company law requires the Directors to consider the appropriateness of the going concern basis when preparing the financial statements. The Directors have assessed the Company's ability to continue as a going concern and confirm that the going concern basis remains appropriate.

The Company continues to have sufficient headroom in their liquidity position, and the Directors forecast the Company to trade profitably and generate positive cash flows. Accordingly, the Directors believe it is appropriate to prepare the financial statements on a going concern basis.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the company's accounting policies, which are described above, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not 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 if the revision affects both current and future periods.

The key sources of estimation uncertainty that have an effect on the amounts recognised in the financial statements are as follows:

- provision for credit notes and bad debts;

- the timing of the release of deferred income to the profit and loss account; and

- estimated useful life of intangible assets.

The estimates are not classified as a critical accounting estimate in the current year.

Turnover

Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable from the sale of wholesale meat, stated net of discounts and of value added tax.

The company recognises revenue when the amount of revenue can be measured reliably, when it is probable that future economic benefits will flow to the company.

Intangible assets

Intangible assets related to preferential rights to operate within the Smithfield Market. The assets are amortised on a straight line basis over their estimated useful life of five 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

-

10% on cost

Motor vehicles

-

20% on cost

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses.

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.

Depreciation methods, useful lives and residual values are reviewed if there is an indication of a significant change since last annual reporting date in the pattern by which the company expects to consume an asset's future economic benefits.

Impairment of assets

At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in profit or loss.

If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.

Stocks

Stocks are stated at the lower of cost and estimated selling price. Cost includes transport and storage. When stocks are sold, the carrying amount of these stocks is recognised as an expense in the period in which the related revenue is recognised.

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments on non-puttable ordinary shares.

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

Cash at bank

Cash at bank includes cash and cash equivalent deposits held with banks which are readily convertable, within a maximum maturity of up to 4 months, to known amounts of cash and are subject to an insignificant risk of changes in value.

Taxation

A current tax liability is recognised for the tax payable on the taxable profit of the current and past periods. A current tax asset is recognised in respect of a tax loss that can be carried back to recover tax paid in a previous period.

Deferred tax is recognised in respect of all timing differences between the recognition of income and expenses in the financial statements and their inclusion in tax assessments.

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 and other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Current and deferred tax assets and liabilities are not discounted.

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.

Leasing

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

Employee benefits

Short term employee benefits, including contributions to defined contribution plans are recognised as an expense in the period in which they are incurred.

4.

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

£

£

Wholesale meat

39,678,094

38,559,361

39,678,094

38,559,361

An analysis of turnover by geographical market is given below:

2026

2025

£

£

United Kingdom

39,678,094

38,559,361

39,678,094

38,559,361

5.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

1,721,642

1,664,522

Social security costs

251,772

184,323

Other pension costs

200,000

31,947

2,173,414

1,880,792

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

2026

2025

Sales and marketing

32

28

Administrative

9

9

41

37

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.

2026

2025

£

£

Directors' remuneration

89,980

135,193

Directors' pension contributions to money purchase schemes

200,000

-

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

Money purchase schemes

1

-

6.	OPERATING PROFIT

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

2026

2025

£

£

Hire of plant and machinery

18,043

29,286

Other operating leases

231,548

201,602

Depreciation - owned assets

138,166

109,783

Loss on disposal of fixed assets

3,420

114

Preferential rights amortisation

470,000

-

Other operating income

(1,116,684

)

-

Other Operating Income has been recognised due to cash received in relation to the planned closure of Smithfield Market.

7.	AUDITORS' REMUNERATION

2026

2025

£

£

Fees payable to the company's auditors for the audit of the company's financial statements

35,675

10,000

Non-audit services

4,800

-

8.

INTEREST PAYABLE AND SIMILAR EXPENSES

2026

2025

£

£

Bank interest

24,334

305

Other interest

103,248

40,055

127,582

40,360

9.

TAXATION

Analysis of the tax charge

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

2026

2025

£

£

Current tax:

UK corporation tax

421,092

173,313

Deferred tax

(103,702

)

(16,188

)

Tax on profit

317,390

157,125

Reconciliation of total tax charge included in profit and loss

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

2026

2025

£

£

Profit before tax

1,089,006

582,860

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

272,252

145,715

Effects of:

Expenses not deductible for tax purposes

45,207

9,657

Other timing differences

(69

)

1,753

Total tax charge

317,390

157,125

10.

DIVIDENDS

2026

2025

£

£

Ordinary shares of £1 each

Final

720,000

1,100,000