REGISTERED NUMBER: 08283116 (England and Wales)

DRAINFORCE UK LTD

STRATEGIC REPORT, REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2026

Page

Company Information

1

Strategic Report

2

Report of the Director

4

Report of the Independent Auditors

5

Income Statement

8

Other Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

14

DIRECTOR:

Mr D M Evans

REGISTERED OFFICE:

Unit 2 Heol Ffaldau

Brackla Industrial Estate

Bridgend

Mid Glamorgan

CF31 2AJ

REGISTERED NUMBER:

08283116 (England and Wales)

The director presents his strategic report for the year ended 31 March 2026.

REVIEW OF BUSINESS

The principal activity of the company during the year was the leasing of equipment.

Turnover for the year increased to £475,893 (2025: £394,100). The company reported a profit after tax of £99 (2025: £22,153). The decrease in profitability compared with the prior year was mainly attributable to increased depreciation and administrative costs arising from continued investment in tangible fixed assets.

At the year end, the company reported net assets of £279,912 (2025: £279,813). Tangible fixed assets increased to £1,112,050 (2025: £889,840), reflecting capital expenditure during the year. The company remains supported by group undertakings and bank facilities.egic investment in revenue-generating assets.

PRINCIPAL RISKS AND UNCERTAINTIES

The director considers the following to be the principal risks facing the company:

- Liquidity risk, due to low cash balances and reliance on continued operational cash flows

- Asset utilisation risk, should demand for leased equipment decline

- Interest rate risk, associated with bank borrowings

- Customer concentration risk, inherent in specialist leasing markets

These risks are managed through close cash flow monitoring, maintaining strong relationships with group companies, and ongoing investment in high-demand equipment.

KEY PERFORMANCE INDICATORS

At 31 March 2026, the company reported net assets of £279,912 (2025: £279,813). Tangible fixed assets increased significantly to £1,112,050 (2025: £889,840), reflecting capital expenditure of over £525,000 during the year.

The company continues to operate with low cash balances, holding £114 at the year end (2025: £155), which reflects the capital-intensive nature of the business and reinvestment strategy. Long-term creditors increased to £827,189 (2025: £591,450), largely due to amounts owed to group undertakings, supporting asset acquisition and growth.

The director monitors performance using the following key indicators:

- Turnover growth

- Asset utilisation and return on assets

- Operating profit margins

- Cash generation from operations

Cash generated from operations remained strong at £536,206, demonstrating the underlying cash-generating capability of the leasing model despite lower reported profits.

GOING CONCERN

The director has considered the company’s financial position and forecasts and is satisfied that the company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the financial statements have been prepared on a going concern basis.

ON BEHALF OF THE BOARD:

Mr D M Evans - Director

13 August 2026

The director presents his report with the financial statements of the company for the year ended 31 March 2026.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of leasing of equipment.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2026.

DIRECTOR

Mr D M Evans held office during the whole of the period from 1 April 2025 to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES

The director is responsible for preparing the 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 of the profit or loss of the company 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 transactions and disclose with reasonable accuracy at any time the financial position of the company 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 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 company'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 company's auditors are aware of that information.

AUDITORS

The auditors, Baker Knoyle Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr D M Evans - Director

13 August 2026

Opinion

We have audited the financial statements of Drainforce Uk Ltd (the 'company') for the year ended 31 March 2026 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 March 2026 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the 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 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 information

The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon.

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Strategic Report and the Report of the Director 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 Director have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Director.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of director's remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of director

As explained more fully in the Statement of Director's Responsibilities set out on page four, 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 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 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 identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience through discussion with the Officers and other management (as required by auditing standards).

- We had regard to laws and regulations in areas that directly affect the financial statements including financial reporting (including related trade union legislation) and taxation legislation. We considered that extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.

- With the exception of any known or possible non-compliance, and as required by auditing standards, our work in respect of these was limited to enquiry of the Officers.

- We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.

- We addressed the risk of fraud through management override of controls, by testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that 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, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

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.

Richard Phillips FCCA (Senior Statutory Auditor)

for and on behalf of Baker Knoyle Audit Limited

Chartered Certified Accountants

Orbit Business Centre

Rhydycar Business Park

Merthyr Tydfil

CF48 1DL

13 August 2026

TURNOVER

475,893

394,100

Cost of sales

(173,418

)

(140,000

)

GROSS PROFIT

302,475

254,100

Administrative expenses

(308,346

)

(226,306

)

OPERATING (LOSS)/PROFIT

4

(5,871

)

27,794

Interest payable and similar expenses

5

(187

)

(445

)

(LOSS)/PROFIT BEFORE TAXATION

(6,058

)

27,349

Tax on (loss)/profit

6

6,157

(5,196

)

PROFIT FOR THE FINANCIAL YEAR

99

22,153

PROFIT FOR THE YEAR

99

22,153

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

99

22,153

FIXED ASSETS

Tangible assets

7

1,112,050

889,840

CURRENT ASSETS

Debtors

8

22,000

22,036

Cash at bank

114

155

22,114

22,191

CREDITORS

Amounts falling due within one year

9

5,064

12,612

NET CURRENT ASSETS

17,050

9,579

TOTAL ASSETS LESS CURRENT LIABILITIES

1,129,100

899,419

CREDITORS

Amounts falling due after more than one year

10

(827,189

)

(591,450

)

PROVISIONS FOR LIABILITIES

12

(21,999

)

(28,156

)

NET ASSETS

279,912

279,813

CAPITAL AND RESERVES

Called up share capital

13

1

1

Retained earnings

14

279,911

279,812

SHAREHOLDERS' FUNDS

279,912

279,813

The financial statements were approved by the director and authorised for issue on 13 August 2026 and were signed by:

Mr D M Evans - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2024

1

257,659

257,660

Changes in equity

Total comprehensive income

-

22,153

22,153

Balance at 31 March 2025

1

279,812

279,813

Changes in equity

Total comprehensive income

-

99

99

Balance at 31 March 2026

1

279,911

279,912

Cash flows from operating activities

Cash generated from operations

1

536,392

478,431

Interest paid

(187

)

(445

)

Net cash from operating activities

536,205

477,986

Cash flows from investing activities

Purchase of tangible fixed assets

(527,036

)

(710,298

)

Sale of tangible fixed assets

1,250

242,200

Net cash from investing activities

(525,786

)

(468,098

)

Cash flows from financing activities

Loan repayments in year

(10,460

)

(10,202

)

Net cash from financing activities

(10,460

)

(10,202

)

Decrease in cash and cash equivalents

(41

)

(314

)

Cash and cash equivalents at beginning of year

2

155

469

Cash and cash equivalents at end of year

2

114

155

1.	RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2026

2025

£

£

(Loss)/profit before taxation

(6,058

)

27,349

Depreciation charges

266,250

222,184

Loss on disposal of fixed assets

37,325

238

Movement of balance to Group Undertaking

237,812

228,392

Finance costs

187

445

535,516

478,608

Decrease/(increase) in trade and other debtors

36

(36

)

Increase/(decrease) in trade and other creditors

840

(141

)

Cash generated from operations

536,392

478,431

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 March 2026

31/3/26

1/4/25

£

£

Cash and cash equivalents

114

155

Year ended 31 March 2025

31/3/25

1/4/24

£

£

Cash and cash equivalents

155

469

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1/4/25

Cash flow

At 31/3/26

£

£

£

Net cash

Cash at bank

155

(41

)

114

155

(41

)

114

Debt

Debts falling due within 1 year

(10,203

)

8,388

(1,815

)

Debts falling due after 1 year

(2,073

)

2,073

-

(12,276

)

10,461

(1,815

)

Total

(12,121

)

10,420

(1,701

)

1.	STATUTORY INFORMATION

Drainforce Uk Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

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

Tangible fixed assets

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

Plant and machinery

-

20% on cost

Fixtures and fittings

-

20% on cost

Motor vehicles

-

25% on cost

Computer equipment

-

20% on cost

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

3.	EMPLOYEES AND DIRECTORS

There were no staff costs for the year ended 31 March 2026 nor for the year ended 31 March 2025.

The average number of employees during the year was NIL (2025 - NIL).

2026

2025

£

£

Director's remuneration

-

-

4.	OPERATING (LOSS)/PROFIT

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

2026

2025

£

£

Depreciation - owned assets

266,251

222,185

Loss on disposal of fixed assets

37,325

238

Auditors' remuneration

2,000

1,500

Other non- audit services

2,180

1,200

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

2026

2025

£

£

Bank loan interest

187

445

6.

TAXATION

Analysis of the tax (credit)/charge

The tax (credit)/charge on the loss for the year was as follows:

2026

2025

£

£

Deferred tax

(6,157

)

5,196

Tax on (loss)/profit

(6,157

)

5,196

7.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

Motor

Computer

machinery

fittings

vehicles

equipment

Totals

£

£

£

£

£

COST

At 1 April 2025

1,689,285

15,778

34,940

43,554

1,783,557

Additions

518,507

5,643

-

2,886

527,036

Disposals

(380,692

)

(8,351

)

(17,440

)

(26,485

)

(432,968

)

At 31 March 2026

1,827,100

13,070

17,500

19,955

1,877,625

DEPRECIATION

At 1 April 2025

814,641

15,385

26,132

37,559

893,717

Charge for year

255,625

875

5,733

4,018

266,251

Eliminated on disposal

(345,192

)

(8,351

)

(14,365

)

(26,485

)

(394,393

)

At 31 March 2026

725,074

7,909

17,500

15,092

765,575

NET BOOK VALUE

At 31 March 2026

1,102,026

5,161

-

4,863

1,112,050

At 31 March 2025

874,644

393

8,808

5,995

889,840

8.

DEBTORS

2026

2025

£

£

Amounts falling due within one year:

VAT

-

36

Amounts falling due after more than one year:

Amounts owed by group undertakings

22,000

22,000

Aggregate amounts

22,000

22,036

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

£

Bank loans and overdrafts (see note 11)

1,815

10,203

Accrued expenses

3,249

2,409

5,064

12,612

10.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2026

2025

£

£

Bank loans (see note 11)

-

2,073

Amounts owed to group undertakings

827,189

589,377

827,189

591,450

11.

LOANS

An analysis of the maturity of loans is given below:

2026

2025

£

£

Amounts falling due within one year or on demand:

Bank loans

1,815

10,203

Amounts falling due between two and five years:

Bank loans - 2-5 years

-

2,073

12.	PROVISIONS FOR LIABILITIES

2026

2025

£

£

Deferred tax

21,999

28,156

Deferred

tax

£

Balance at 1 April 2025

28,156

Credit to Income Statement during year

(6,157

)

Balance at 31 March 2026

21,999

13.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2026

2025

value:

£

£

1

Ordinary Shares

1

1

1

14.

RESERVES

Retained

earnings

£

At 1 April 2025

279,812

Profit for the year

99

At 31 March 2026

279,911

15.	ULTIMATE CONTROLLING PARTY

The controlling party is Drainforce Holdings Ltd.

The ultimate controlling party is David Evans & Mrs Alyson Evans..