REGISTERED NUMBER: 01337266 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2026

FOR

MILLER & MILLER (CHEMICALS) LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

6

Report of the Independent Auditors

8

Income Statement

12

Other Comprehensive Income

13

Balance Sheet

14

Statement of Changes in Equity

15

Cash Flow Statement

16

Notes to the Cash Flow Statement

17

Notes to the Financial Statements

18

DIRECTORS:

Ms N L Livingston

Mr J S Miller

Mr D Miller

SECRETARY:

Ms N L Livingston

REGISTERED OFFICE:

19-20 Bourne Court

Southend Road

Woodford Green

Essex

IG8 8HD

REGISTERED NUMBER:

01337266 (England and Wales)

AUDITORS:

Xeinadin Audit Limited, Statutory Auditor

Chartered Accountants

Maple House, Level 5A

149 Tottenham Court Road

London

W1T 7NF

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

REVIEW OF BUSINESS

The result for the year is shown on page 12.

During the year ended 31 January 2026, turnover decreased to £13.1 million (2025: £13.8 million), representing a 5% reduction. This was primarily due to softer domestic demand and the timing of key export contracts.

Despite this, the company delivered a gross profit of £30 million (2025: £3.0 million) and maintained a solid gross margin of 22.5% (2025: 21.7%).

Operating profit from continuing operations was £2.3 million (2025: £2.9 million), which despite the decrease, demonstrates effective cost control and prudent operational management.

The balance sheet remains robust, with net assets of £23.4 million (2025: £21.4 million) and a positive cash balance of £7.1 million (2025: £8.1 million). The company continues to operate from a position of strong financial stability.

BUSINESS OVERVIEW

Miller & Miller (Chemicals) Limited operates within the wholesale pharmaceutical and medical supply industry, distributing a comprehensive range of healthcare and chemical products to customers across the United Kingdom and international markets.

Miller & Miller (Chemicals) Limited operates alongside Nationwide Medical/Surgical Inc., a US-based related company under common ownership, which operates within the same industry. The companies undertake similar trading activities, supporting cross-border supply opportunities, product diversification and market expansion in North America.

Miller & Miller (Chemicals) Limited continues to focus on long-term customer partnerships, consistent quality assurance, and operational reliability. Many customers have maintained their relationship with the company for several years, reflecting mutual trust and satisfaction.

STRATEGIC OBJECTIVES AND OUTLOOK

The company's long-term strategy is centred on sustainable growth, innovation, and operational excellence. Key objectives include:

- Expanding global reach through targeted market development in Europe, the Middle East, and Africa;

- Broadening product lines to meet evolving healthcare demands and regulatory changes;

- Enhancing logistics and digital systems for improved supply chain efficiency;

- Fostering a skilled, motivated, and diverse workforce;

- Strengthening the company's environmental performance and sustainability agenda.

The directors remain confident in the company's future prospects, supported by a solid financial foundation, loyal customer base, and a committed team of employees.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors continually monitor key risks that could impact performance and take proactive steps to mitigate them.

Customer Retention:

Maintained through excellent service delivery, relationship management, and competitive pricing.

Market and Competitive Risk:

The company mitigates this through diversification, continuous product innovation, and efficiency in operations.

Regulatory Compliance:

Strict adherence to MHRA and international standards ensures product integrity and operational compliance.

Operational Risk:

Investments in technology, supplier diversification, and staff training strengthen resilience.

Financial Risk:

Prudent cash management, low debt levels, and effective foreign exchange monitoring reduce exposure to financial volatility.

KEY FINANCIAL PERFORMANCE INDICATORS

The key financial performance indicators for the company are as follows:

KPI

2026

2025

Commentary

Gross profit margin

22.5 %

21.7 %

In line with the prior year.

Debtors days

53

61

Debtor days have decreased in the current year due to a more proactive approach to debt collection.

Creditors days

42

39

Creditor days have increased slightly but overall in line with the prior year.

Management also monitors non-financial KPIs such as staff retention, customer satisfaction, and compliance performance.

EMPLOYEES AND DIVERSITY

The directors recognise that employees are central to the company's ongoing success. Their commitment, professionalism, and expertise are key drivers of growth, customer satisfaction, and operational excellence.

The company promotes a culture of inclusivity, fairness, and respect, where every employee is valued for their contribution. Regular training programmes ensure all staff remain knowledgeable on health and safety, quality standards, and regulatory compliance.

Diversity and equal opportunity are core principles of the company's culture. Miller & Miller (Chemicals) Limited is proud to employ individuals from a wide range of backgrounds, ethnicities, and experiences. This diversity enriches the workplace, fosters innovation, and reflects the company's international presence.

The directors express their sincere gratitude to all employees for their continued dedication, hard work, and loyalty throughout the year.

ENVIRONMENTAL AND SUSTAINABILITY POLICIES

Miller & Miller (Chemicals) Limited is committed to minimising its environmental impact and promoting sustainability throughout its operations.

Key initiatives include:

- Waste reduction and recycling: Implementing recycling schemes and reducing packaging waste.

- Energy efficiency: Upgrading facilities with energy-efficient equipment and monitoring energy usage.

- Sustainable procurement: Partnering with suppliers who meet ethical and environmental standards.

- Carbon footprint reduction: Streamlining logistics and distribution to improve efficiency and lower emissions.

- Compliance and improvement: Meeting or exceeding all applicable environmental regulations and continuously reviewing performance.

The company recognises that sustainability is integral to long-term success and strives to integrate responsible environmental practices across all business functions.

GOING CONCERN

In assessing the company’s ability to continue as a going concern, the directors have considered the company’s financial position, post year-end trading performance and available cash resources. The company remains in a strong net asset position and, based on the information available, the directors have a reasonable expectation 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 J S Miller - Director

7 October 2026

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

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of wholesale of pharmaceutical products, supplying the UK market and exporting all over the world.

DIVIDENDS

The total distribution of dividends for the year ended 31 January 2026 will be £167,498 (2025: £121,333).

FUTURE DEVELOPMENTS

Future plans include:

- Expanding international market presence;

- Launching new products to meet market needs;

- Continuing digital and operational improvements;

- Strengthening the company's sustainability framework;

- Supporting ongoing employee engagement and professional growth.

DIRECTORS

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

Ms N L Livingston

Mr J S Miller

Mr D Miller

FINANCIAL INSTRUMENTS

Basic financial assets, including trade and other receivables 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.

Such assets are subsequently carried at amortised cost using the effective interest method.

Basic financial liabilities, including trade and other payables, bank loans, 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.

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.

ON BEHALF OF THE BOARD:

Mr J S Miller - Director

7 October 2026

Opinion

We have audited the financial statements of Miller & Miller (Chemicals) Limited (the 'company') for the year ended 31 January 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 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 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 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 directors are responsible for the other information. The other information comprises the information in the 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. 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 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

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 Directors.

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 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 Statement of Directors' Responsibilities set out on pages six and seven, 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 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 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:

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, employment, and health and safety legislation and industry regulations;

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence where necessary.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

- performed analytical procedures to identify any unusual or unexpected transactions;

- tested the appropriateness of journal entries;

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

- investigated the rationale behind significant or unusual transactions.

To address the risk that revenue could be misstated due to fraud, we:

- we obtained an understanding of the company's revenue recognition policies and compared these to the accounting standard;

- performed a walkthrough to confirm our understanding of the processes and controls through which the business initiates, records, processes and reports revenue transactions;

- tested a sample of revenue transactions to supporting evidence; and

- tested, on a sample basis, revenue related balances in the balance sheet.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing correspondence with HMRC, relevant regulators, and the company's legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may

involve deliberate concealment or collusion.

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.

Nicola McGuffie FCCA (Senior Statutory Auditor)

for and on behalf Xeinadin Audit Limited, Statutory Auditor

Chartered Accountants

Maple House, Level 5A

149 Tottenham Court Road

London

W1T 7NF

7 October 2026

TURNOVER

4

13,139,976

13,837,078

Cost of sales

(10,177,395

)

(10,828,761

)

GROSS PROFIT

2,962,581

3,008,317

Administrative expenses

(1,356,918

)

(946,423

)

1,605,663

2,061,894

Other operating income

5

682,512

832,258

OPERATING PROFIT

7

2,288,175

2,894,152

Interest receivable and similar income

9

658,251

290,237

2,946,426

3,184,389

Interest payable and similar expenses

10

(2,601

)

(27,689

)

PROFIT BEFORE TAXATION

2,943,825

3,156,700

Tax on profit

11

(736,567

)

(806,525

)

PROFIT FOR THE FINANCIAL YEAR

2,207,258

2,350,175

PROFIT FOR THE YEAR

2,207,258

2,350,175

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

2,207,258

2,350,175

FIXED ASSETS

Tangible assets

13

22,591

25,422

Investment property

14

1,140,000

1,140,000

1,162,591

1,165,422

CURRENT ASSETS

Stocks

15

39,221

28,394

Debtors

16

3,540,876

3,561,315

Investments

17

13,230,385

10,432,631

Cash at bank and in hand

7,136,954

8,109,947

23,947,436

22,132,287

CREDITORS

Amounts falling due within one year

18

1,698,132

1,925,574

NET CURRENT ASSETS

22,249,304

20,206,713

TOTAL ASSETS LESS CURRENT LIABILITIES

23,411,895

21,372,135

CAPITAL AND RESERVES

Called up share capital

19

1,000

1,000

Retained earnings

20

23,410,895

21,371,135

SHAREHOLDERS' FUNDS

23,411,895

21,372,135

The financial statements were approved by the Board of Directors and authorised for issue on 7 October 2026 and were signed on its behalf by:

Mr J S Miller - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 February 2024

1,000

19,142,293

19,143,293

Changes in equity

Dividends

-

(121,333

)

(121,333

)

Total comprehensive income

-

2,350,175

2,350,175

Balance at 31 January 2025

1,000

21,371,135

21,372,135

Changes in equity

Dividends

-

(167,498

)

(167,498

)

Total comprehensive income

-

2,207,258

2,207,258

Balance at 31 January 2026

1,000

23,410,895

23,411,895

Cash flows from operating activities

Cash generated from operations

1

2,228,897

2,850,617

Interest paid

(2,601

)

(27,689

)

Tax paid

(912,832

)

(864,488

)

Net cash from operating activities

1,313,464

1,958,440

Cash flows from investing activities

Purchase of tangible fixed assets

(4,709

)

(15,510

)

Purchase of current asset investments

(2,797,754

)

(9,938,473

)

Interest received

658,251

290,237

Net cash from investing activities

(2,144,212

)

(9,663,746

)

Cash flows from financing activities

Amount introduced by directors

167,499

121,333

Amount withdrawn by directors

(142,246

)

(123,114

)

Equity dividends paid

(167,498

)

(121,333

)

Net cash from financing activities

(142,245

)

(123,114

)

Decrease in cash and cash equivalents

(972,993

)

(7,828,420

)

Cash and cash equivalents at beginning of year

2

8,109,947

15,938,367

Cash and cash equivalents at end of year

2

7,136,954

8,109,947

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

2026

2025

£

£

Profit before taxation

2,943,825

3,156,700

Depreciation charges

7,540

8,470

Finance costs

2,601

27,689

Finance income

(658,251

)

(290,237

)

2,295,715

2,902,622

(Increase)/decrease in stocks

(10,827

)

19,839

Decrease/(increase) in trade and other debtors

20,439

(222,026

)

(Decrease)/increase in trade and other creditors

(76,430

)

150,182

Cash generated from operations

2,228,897

2,850,617

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

7,136,954

8,109,947

Year ended 31 January 2025

31.1.25

1.2.24

£

£

Cash and cash equivalents

8,109,947

15,938,367

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.2.25

Cash flow

At 31.1.26

£

£

£

Net cash

Cash at bank and in hand

8,109,947

(972,993

)

7,136,954

8,109,947

(972,993

)

7,136,954

Liquid resources

Current asset investments

10,432,631

2,797,754

13,230,385

10,432,631

2,797,754

13,230,385

Total

18,542,578

1,824,761

20,367,339

1.	STATUTORY INFORMATION

Miller & Miller (Chemicals) 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 (£).

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.

Assessment of going concern

The directors have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The directors have made this assessment in respect to a period of one year from the date of approval of these accounts.

The directors have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The directors are of the opinion that the company will have sufficient resources to meet its liabilities as they fall due.

Turnover

Sales commissions are recognised as revenue under the accrual basis as soon as they are earned.

Rental income includes the gross amount received as rent on the investment property.

Revenue from wholesale of pharmaceutical products is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

- the company has transferred the significant risks and rewards of ownership to the buyer;

- the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

- the amount of revenue can be measured reliably;

- it is probable that the company will receive the consideration due under the transaction; and

- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

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

-

25% on reducing balance

Fixtures and fittings

-

25% on reducing balance

Motor vehicles

-

25% on reducing balance

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

Investment property

Investment property is carried at fair value determined annually by the directors considering from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. In addition, independent professionally qualified external valuers perform a full external valuation of the investment properties at least once every three years. No depreciation is provided. Changes in fair value are recognised in profit or loss.

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At the end of balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

Financial instruments

Basic financial assets, including trade and other receivables, cash and bank balances and fixed term bank deposits, 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.

Such assets are subsequently carried at amortised cost using the effective interest method.

Basic financial liabilities, including trade and other payables, bank loans, 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.

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

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.

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.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

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 a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Debtors and creditors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Short-term creditors are measured at transaction price. Other financial liabilities, including bank loans are initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Cash and cash equivalents

Cash and cash equivalents comprise cash in hand, deposits held at call with banks and other short-term highly liquid investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of changes in value. Investments normally qualify as cash equivalents only where they have an original maturity of three months or less from the date of acquisition.

Current asset investments

Fixed-term bank deposits which do not meet the definition of cash and cash equivalents, including deposits with an original maturity of more than three months from the date of acquisition, are classified as current asset investments where they are expected to mature within twelve months of the balance sheet date.

3.	CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The items in the financial statements where these judgements and estimates have been made include:

• Investment property valuation - The investment property is carried at fair value. In determining fair value, the directors consider available market evidence, including comparable property values, market rental levels and investment yields. The valuation therefore involves estimation and judgement in respect of market conditions and the characteristics of the property. The investment property had a carrying value of £1,140,000 at 31 January 2026 and was subject to a desktop valuation by an independent professionally qualified valuer at the year end and

• Recoverability of trade and other debtors - The directors assess the recoverability of trade and other debtors at each reporting date and make provision where there is evidence that amounts may not be recoverable. This assessment requires judgement regarding the financial position of customers and other counterparties, the age of outstanding balances, payment history and other relevant information.

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

£

£

Sale of goods

13,139,976

13,837,078

13,139,976

13,837,078

An analysis of turnover by geographical market is given below:

2026

2025

£

£

United Kingdom

407,371

201,037

Rest of Europe

380,694

1,282,063

Rest of the World

12,351,911

12,353,978

13,139,976

13,837,078

5.	OTHER OPERATING INCOME

2026

2025

£

£

Rents received

111,834

94,196

Insurance claims

-

85,887

Commission received

570,678

652,175

682,512

832,258

6.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

837,064

755,910

Social security costs

108,781

88,046

Other pension costs

9,117

37,432

954,962

881,388

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

2026

2025

Administrative staff and directors

14

14

2026

2025

£

£

Directors' remuneration

359,583

341,496

Information regarding the highest paid director is as follows:

2026

2025

£

£

Emoluments etc

166,089

157,708

During the year, retirement benefits were accruing to 2 directors of £29,041 (2025: 2 directors of £31,442) in respect of defined contribution pension schemes.

7.	OPERATING PROFIT

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

2026

2025

£

£

Other operating leases

33,589

29,055

Depreciation - owned assets

7,540

8,470

Auditors' remuneration

29,030

47,678

Foreign exchange differences

631,794

(133,330

)

8.	EXCEPTIONAL ITEMS

2026

2025

£

£

Loan write off

-

(55,700

)

The exceptional item recognised in the prior year relates to the write-off of a loan receivable from John S. Miller Ltd, an associated company.