These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small Companies regime.

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

Deep Manufacturing Limited is a private Company limited by shares incorporated in England and Wales. The registered office is Unit 4, Portside Park Kings Weston Lane, Avonmouth, Bristol, United Kingdom, BS11 8AR.

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 as applicable to Companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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

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

At the time of approving the financial statements, the Company has the support of the shareholders should financial assistance be required to meet liabilities as they fall due. Therefore, the directortrues have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

The current figures relate to the year ended 31 December 2025. The comparative figures are for the eight-month period 2 May 2024 to 31 December 2024. Therefore, the comparative amounts presented in the financial statements (including the related notes) are not entirely comparable.

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

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

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:

Assets in the course of construction are not depreciated.

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.

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss.

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 balance sheet 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. Financial assets classified as receivable within one year are not amortised.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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, and loans from fellow group Companies, are initially recognised at transaction price. 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 research and development income repayable to the company.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account 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.

The costs of short-term employee benefits are recognised as a liability and an expense.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

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

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

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.

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.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

The company holds specialised assets integral to the company's operations. To comply with FRS 102 Section 27 the directors have assessed if there is any indication that the assets may be impaired at 31 December 2025.

They have relied on the income approach, and specifically applied the discounted cash flow (“DCF”) method to estimate the 'value in use' attributable to the assets. The DCF was derived from the most recent budget and business plan approved by the directors. They have made a number of significant assumptions in the DCF model when arriving at the 'value in use'.

Significant assumptions

Cash Generating Unit

The assets of this company have been considered to form a single cash generating unit.

Earnings Projection

A 25 year earnings projection was used in the DCF model. This model assumes growth of 2.5% once the business reaches maturity.

Attributable overheads

Within the DCF the directors have applied judgement in determining only cash outflows that are necessarily incurred to generate the cash inflows.

Discount Rate

A 12.42% discount rate, determined using the Weighted Average Cost of Capital, was used to calculate the Net Present Value of future earnings.

The directors believe that the assumptions used are reasonable and are in line with industry standards and that the net book value of the assets is materially in line with the 'value in use' at the year-end date.

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

At 31 December 2025, the directors have recognised an accrual of £150,000 for an estimated Research and Development (R&D) tax credit receivable for qualifying expenditure during the period.

The calculation of the R&D tax credit involves significant estimation uncertainty due to the technical nature of identifying qualifying R&D projects and eligible expenditure under UK tax legislation. The estimate is determined using historical claim data and expenditure run-rates, adjusted downwards to reflect changes in R&D relief schemes.

The final claim is subject to formal submission and approval by HMRC. Due to inherent uncertainties in the agreement of qualifying expenditure, the actual amount received may differ from the estimated accrual, which represents a key source of estimation uncertainty that could result in an adjustment to the carrying amount within the next financial year.

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

Transfers relate to assets moved between 100% group companies at Net Book Value.

Included within amounts owed to group undertakings is a loan principal of £1,800,000 (2024: £1,800,000) plus accrued interest of £105,060 (2024: £19,560) payable to the parent company. The loan is repayable on demand and interest of 4.75% is charged on the loan.

The immediate and ultimate parent company is Chaotic Good Holdings Inc (formerly DEEP Ventures Inc), a company registered in Liechtenstein whose registered office is c/o Schreiber & Zindel Treuhand-Anstalt, Kirchstrasse 39, 9490 Vaduz, Liechtenstein.

The parent company does not prepare consolidated accounts.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.

The auditor's report is unqualified and includes the following:

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 December 2025 and of its loss for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.