REGISTERED NUMBER: 14711612 (England and Wales)

HINDMARCH HOLDINGS LIMITED

GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTOR AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 28 FEBRUARY 2026

Page

Company Information

1

Group Strategic Report

2

Report of the Director

3

Report of the Independent Auditors

4

to

7

Consolidated Income Statement

8

Consolidated Other Comprehensive Income

9

Consolidated Statement of Financial Position

10

Company Statement of Financial Position

11

Consolidated Statement of Changes in Equity

12

Company Statement of Changes in Equity

13

Consolidated Statement of Cash Flows

14

Notes to the Consolidated Statement of Cash Flows

15

Notes to the Consolidated Financial Statements

16

to

25

DIRECTOR:

A J R Hindmarch

SECRETARY:

Mrs D Hindmarch

REGISTERED OFFICE:

14 All Saints Street

Stamford

Lincolnshire

PE9 2PA

REGISTERED NUMBER:

14711612 (England and Wales)

AUDITORS:

Duncan & Toplis Limited

3 Castlegate

Grantham

Lincolnshire

NG31 6SF

The director presents his strategic report of the company and the group for the year ended 28 February 2026.

REVIEW OF BUSINESS

The director aims to present a balanced and comprehensive review of the development and performance of the business during the year and its position at the year end. The review is consistent with the size and nature of the business.

As a main Peugeot dealer, the group continues to deal in used motors, provide vehicle servicing and repairs and sell spare parts for Peugeot vehicles. This is complemented by our Gulf fuels retail outlet and forecourt shop sales.

We consider that our key financial performance indicators are those that communicate the financial performance and strength of the group as a whole, as shown below.

2026

2025

Revenue

£10,178,952

£11,503,601

Profit/(Loss) before tax

£160,761

£299,888

Return on capital employed

6.9%

12.8%

Net assets

£4,865,984

£4,747,988

Revenue has decreased by 11.5% (2025: 9.5% decrease), however gross margin has remained consistent. The used car market remains strong, with car prices remaining stable. Fuel pump revenue has reduced due a decrease in average fuel prices compared to the previous year. Income has fallen all around due to roadworks taking place directly outside the Stamford garage which saw footfall drop from 700 people per day down to 500 per day.

Return on capital employed has decreased due to the fall in revenue. Return on capital employed is calculated as profit before interest, tax and revaluations divided by capital employed, which constitutes total assets less current liabilities, less fixed asset investment property, less cash, less short term loans and other short term borrowings.

As for many businesses of our size, the business environment in which we operate continues to be challenging however the group maintains a strong net asset position. Under normal circumstances, the car market in the UK is highly competitive and margins are tight, particularly when car supermarkets are present, as in nearby Peterborough. We are of course also subject to consumer spending patterns and consumers' overall level of disposable income within our economy.

PRINCIPAL RISKS AND UNCERTAINTIES

The main risks arising from the group's activities are liquidity risk and credit risk.

The board reviews and agrees policies for managing each of these risks and they are summarised below.

Liquidity risk

The group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to invest cash assets safely and profitably. Short term flexibility can be achieved by overdraft facilities.

Credit risk

The group seeks to manage its credit risk by dealing with established customers or otherwise checking the credit-worthiness of new customers, establishing clear contractual relationships with those customers and by identifying and addressing any credit issues arising in a timely manner.

ON BEHALF OF THE BOARD:

A J R Hindmarch - Director

8 October 2026

The director presents his report with the financial statements of the company and the group for the year ended 28 February 2026.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of the sale and servicing of motor vehicles and operation of an associated fuel forecourt.

DIVIDENDS

No dividends will be distributed for the year ended 28 February 2026.

DIRECTOR

A J R Hindmarch held office during the whole of the period from 1 March 2025 to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is 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 director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group 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 director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he 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 group's auditors are aware of that information.

ON BEHALF OF THE BOARD:

A J R Hindmarch - Director

8 October 2026

Qualified opinion

We have audited the financial statements of Hindmarch Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 28 February 2026 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Statement of Cash Flows and Notes to the Consolidated Statement of Cash Flows, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion, except for the possible effects on the corresponding figures of the matter described in the basis for qualified opinion section of our report, the financial statements:

-

give a true and fair view of the state of the of the group's and of the parent company affairs as at 28 February 2026 and of the group's profit for the year then ended;

-

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

-

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

Basis for qualified opinion

We were not appointed as auditor of the subsidiary Hindmarch & Co (Stamford) Limited until after 29 February 2024 and thus did not observe the counting of the physical inventories at the end of that year. We were unable to satisfy ourselves by alternative means concerning the inventory quantities of £1,310,256 held at 29 February 2024 by using other audit procedures. Consequently, we were unable to determine whether there was any consequential effect on the cost of sales for the year ended 28 February 2025. Our audit opinion on the financial statements of Hindmarch & Co (Stamford) Limited for the period ended 28 February 2025 was modified accordingly. Our opinion on the current period's group financial statements is also modified because of the possible effect of this matter on the comparability of the current period's figures and the corresponding figures.

In addition, were any adjustments to the corresponding value of cost of sales required for the year ended 28 February 2025, other information contained within the Notes and Strategic Report would also need to be amended.

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 qualified opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the director's 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 group's and the parent 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 director with respect to going concern are described in the relevant sections of this report.

Other matter

The consolidated financial statements of the group and the financial statements of the parent company for the year ended 28 February 2025 were not audited.

Other information

The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

As described in the basis for qualified opinion section of our report, we were unable to satisfy ourselves concerning the inventory quantities of £1,310,256 recognised at the year ended 29 February 2024. Consequently, we were unable to determine whether there was any consequential effect on the cost of sales for the year ended 28 February 2025. We have therefore concluded that where the other information refers to the corresponding cost of sales or related balances, it may be materially misstated for the same reason.

Opinions on other matters prescribed by the Companies Act 2006

Except for the possible effects of the matter described in the basis for qualified opinion section of our report, 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

Except for the matter described in the basis for qualified opinion section of our report, in the light of the knowledge and understanding of the group 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.

Arising solely from the limitation on the scope of our work relating to the inventory balances at 29 February 2024 referred to above in the basis for qualified opinion section of our report and the possible consequential effect on cost of sales for the year ended 28 February 2025:

- we have not obtained all the information and explanations that we considered necessary for the purpose of our audit; and

- we were unable to determine whether adequate accounting records have been kept.

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:

- 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.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is responsible for assessing the group's and the parent 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 director either intends to liquidate the group or the parent company or to cease operations, or has 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:

We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with directors and other management obtained as part of the work required by auditing standards. We have also discussed with the directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit. The potential impact of different laws and regulations varies considerably.

Firstly, the group is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates as well as the risk of inappropriate journal entries to increase reported profitability. Audit procedures performed by the engagement team included the identification and testing of unusual material journal entries and challenging management on key estimates, assumptions and judgements made in the preparation of the financial statements. We carried out substantive tests on accounting estimates, including reviewing the methods and data used by management to make those estimates, reperforming the calculation and reviewing the outcome of current year estimates since the financial reporting date.

Secondly, the group is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: FCA regulations, health and safety regulations and employment law.

Our work included a review of relevant correspondence within the year for any evidence of non-compliance and reading minutes of meetings of those charged with governance. In addition, an assessment of the company's legal expenses and possible contingencies was performed. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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.

Sally-Anne Hurn FCA (Senior Statutory Auditor)

for and on behalf of Duncan & Toplis Limited

3 Castlegate

Grantham

Lincolnshire

NG31 6SF

8 October 2026

REVENUE

3

10,178,952

11,503,601

Cost of sales

9,274,506

10,480,157

GROSS PROFIT

904,446

1,023,444

Administrative expenses

847,113

825,354

57,333

198,090

Other operating income

82,860

79,774

OPERATING PROFIT

5

140,193

277,864

Interest receivable and similar income

20,568

22,024

PROFIT BEFORE TAXATION

160,761

299,888

Tax on profit

6

42,774

77,351

PROFIT FOR THE FINANCIAL YEAR

117,987

222,537

Profit attributable to:

Owners of the parent

117,987

222,537

PROFIT FOR THE YEAR

117,987

222,537

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

117,987

222,537

Total comprehensive income attributable to:

Owners of the parent

117,987

222,537

FIXED ASSETS

Property, plant and equipment

8

1,032,875

1,051,297

Investments

9

-

-

Investment property

10

1,790,000

1,790,000

2,822,875

2,841,297

CURRENT ASSETS

Inventories

11

1,506,534

1,525,517

Debtors

12

296,131

367,457

Cash at bank and in hand

1,004,201

883,610

2,806,866

2,776,584

CREDITORS

Amounts falling due within one year

13

501,697

603,630

NET CURRENT ASSETS

2,305,169

2,172,954

TOTAL ASSETS LESS CURRENT LIABILITIES

5,128,044

5,014,251

PROVISIONS FOR LIABILITIES

17

262,060

266,253

NET ASSETS

4,865,984

4,747,998

CAPITAL AND RESERVES

Called up share capital

18

18,333

1

Fair value reserve

19

1,046,111

1,046,111

Merger reserve

19

(237,023

)

(218,690

)

Retained earnings

19

4,038,563

3,920,576

SHAREHOLDERS' FUNDS

4,865,984

4,747,998

The financial statements were approved by the director and authorised for issue on 8 October 2026 and were signed by:

A J R Hindmarch - Director

FIXED ASSETS

Property, plant and equipment

8

-

-

Investments

9

257,023

238,690

Investment property

10

-

-

257,023

238,690

CURRENT ASSETS

Cash in hand

-

1

CREDITORS

Amounts falling due within one year

13

250,033

239,181

NET CURRENT LIABILITIES

(250,033

)

(239,180

)

TOTAL ASSETS LESS CURRENT LIABILITIES

6,990

(490

)

CAPITAL AND RESERVES

Called up share capital

18

18,333

1

Retained earnings

19

(11,343

)

(491

)

SHAREHOLDERS' FUNDS

6,990

(490

)

Company's loss for the financial year

(10,852

)

(1,798

)

The financial statements were approved by the director and authorised for issue on 8 October 2026 and were signed by:

A J R Hindmarch - Director

Called up

Fair

share

Retained

value

Merger

Total

capital

earnings

reserve

reserve

equity

£

£

£

£

£

Balance at 1 March 2024

1

3,698,039

1,046,111

(218,690

)

4,525,461

Changes in equity

Total comprehensive income

-

222,537

-

-

222,537

Balance at 28 February 2025

1

3,920,576

1,046,111

(218,690

)

4,747,998

Changes in equity

Issue of share capital

18,332

-

-

-

18,332

Acquisition of subsidiary shares

-

-

-

(18,333

)

(18,333

)

Total comprehensive income

-

117,987

-

-

117,987

Balance at 28 February 2026

18,333

4,038,563

1,046,111

(237,023

)

4,865,984

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 March 2024

1

1,307

1,308

Changes in equity

Total comprehensive income

-

(1,798

)

(1,798

)

Balance at 28 February 2025

1

(491

)

(490

)

Changes in equity

Issue of share capital

18,332

-

18,332

Total comprehensive income

-

(10,852

)

(10,852

)

Balance at 28 February 2026

18,333

(11,343

)

6,990

Cash flows from operating activities

Cash generated from operations

1

217,410

184,054

Tax paid

(76,165

)

(86,805

)

Net cash from operating activities

141,245

97,249

Cash flows from investing activities

Purchase of tangible fixed assets

(42,114

)

(59,302

)

Sale of tangible fixed assets

37,500

-

Interest received

20,568

22,024

Net cash from investing activities

15,954

(37,278

)

Cash flows from financing activities

Amount withdrawn by directors

(36,608

)

(44,907

)

Net cash from financing activities

(36,608

)

(44,907

)

Increase in cash and cash equivalents

120,591

15,064

Cash and cash equivalents at beginning of year

2

883,610

868,546

Cash and cash equivalents at end of year

2

1,004,201

883,610

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

2026

2025

£

£

Profit before taxation

160,761

299,888

Depreciation charges

28,429

36,089

Profit on disposal of fixed assets

(5,393

)

-

Finance income

(20,568

)

(22,024

)

163,229

313,953

Decrease/(increase) in inventories

18,983

(215,261

)

Decrease in trade and other debtors

71,326

25,605

(Decrease)/increase in trade and other creditors

(36,128

)

59,757

Cash generated from operations

217,410

184,054

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts:

Year ended 28 February 2026

28.2.26

1.3.25

£

£

Cash and cash equivalents

1,004,201

883,610

Year ended 28 February 2025

28.2.25

1.3.24

£

£

Cash and cash equivalents

883,610

868,546

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.3.25

Cash flow

At 28.2.26

£

£

£

Net cash

Cash at bank and in hand

883,610

120,591

1,004,201

883,610

120,591

1,004,201

Total

883,610

120,591

1,004,201

1.	STATUTORY INFORMATION

Hindmarch Holdings 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 General Information page.

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

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 on a going concern basis under the historical cost convention, modified to include certain items at fair value.

Financial Reporting Standard 102 - reduced disclosure exemptions

The parent company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

-

the requirements of Section 7 Statement of Cash Flows

-

the requirements of Section 11 Financial Instruments paragraphs 11.41(b), 11.41(c), 11.41(e), 11.41(f), 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c)

-

the requirements of Section 12 Other Financial Instruments paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A

These disclosures are incorporated within these consolidated financial statements.

Basis of consolidation

These financial statements comprise those of Hindmarch Holdings Limited and its subsidiary Hindmarch & Co (Stamford) Limited for the period using the merger accounting method of consolidation.

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.

Significant judgements and estimates

In the application of the group's accounting policies, management are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below:

(i) Property valuations

The investment properties are stated at fair value based on the valuations performed by the directors of the relevant subsidiary undertakings, utilising externally qualified experts. The valuers used observable market prices adjusted as necessary for any differences in the future, location or condition of the specific asset. The directors are of the opinion that, based on available market evidence, the valuations are materially appropriate.

(ii) Inventory provisions

The group sells vehicles and is subject to changing consumer demand as well as wider market and economic trends. As a result it is necessary to consider the recoverability of the cost of inventories and the associated provisioning required. When calculating the inventory provision, management consider the age, nature and condition of the inventory as well as applying assumptions around anticipated saleability.

Revenue

Revenue is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue represents net invoiced sales of goods and services, excluding value added tax and trade discounts.

Vehicle sales and parts sales are recognised upon delivery to the customer, or upon collection by the customer. Servicing and workshop sales are recognised in the period in which the services are rendered. Forecourt fuel and shop sales are recognised at the point of sale.

Tangible fixed assets

Tangible fixed assets are held at cost less accumulated depreciation and impairment losses. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful economic life:

Freehold property

- not provided

Short leasehold improvements

- 11% on cost (over the lease term)

Plant and fixtures

- 33% on cost and 15% on reducing balance

Motor Vehicles

- 25% on reducing balance

Land is not depreciated. Freehold buildings are also not depreciated as the directors consider that they are maintained to such a high standard that their residual value is at least equal to their carrying value in the financial statements. As a result, the corresponding depreciation would not be material and therefore is not charged in the income statement.

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Inventories

Inventories are valued at the lower of cost and fair value less costs to complete and sell, after making due allowance for obsolete and slow moving inventories. Inventories are accounted for on a first-in-first-out basis.

Financial instruments

The group has chosen to adopt the Sections 11 and 12 of FRS 102 in respect of financial instruments.

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, 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.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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.

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price.

Such assets are subsequently carried at fair value and the changes in fair value are recognised in the profit and loss account, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Basic financial liabilities, including trade and other 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 receipts discounted at a market rate of interest.

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. Accounts 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.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated 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 statement of financial position date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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 defined contribution pension schemes. The assets of the company stakeholder scheme are held separately from those of the company in a independently administered fund. The company also operates a small self-administered pension scheme for the benefit of directors. Contributions payable for the year are charged in the income statement.

3.

REVENUE

The revenue and profit before taxation are attributable to the one principal activity of the group.

An analysis of revenue by class of business is given below:

2026

2025

£

£

Motor sales and servicing

5,335,899

5,942,787

Fuel and forecourt shop

4,842,613

5,560,294

Sundry revenue

440

520

10,178,952

11,503,601

The company's principal activity was carried out within the United Kingdom.

4.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

999,760

950,291

Social security costs

118,570

93,802

Other pension costs

18,971

20,140

1,137,301

1,064,233