REGISTERED NUMBER: 10053319 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 March 2026

for

Eastgate Engineering Services Ltd

Page

Company Information

1

Strategic Report

2

Report of the Directors

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

DIRECTORS:

D S Brennan

A Fiske

C Maith

REGISTERED OFFICE:

1st Floor Mercury House

1 Massey Road

Teesdale Business Park

Stockton on Tees

TS17 6DY

REGISTERED NUMBER:

10053319 (England and Wales)

AUDITORS:

Anderson Barrowcliff Limited

Statutory Auditors

Chartered Accountants

3 Kingfisher Court

Bowesfield Park

Stockton on Tees

TS18 3EX

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

REVIEW OF BUSINESS

The company continues to be a leading provider of specialist construction and engineering services.

Our highly qualified team of specialists have decades of experience backed by a trusted reputation for delivering complex projects in critical industries, as a reliable global partner. We remain focused on our commitment to sustainability, leading the industry by supporting carbon reduction and renewable energy projects.

Eastgate provides comprehensive services including engineering and construction, commissioning, integrated project delivery, and operations and maintenance. We deliver across a diverse range of sectors: offshore wind and renewables, oil and gas, industrial and manufacturing, pharmaceuticals and healthcare, mining, and defence. Wherever the challenge, Eastgate brings the expertise to deliver.

During the financial year ended 31 March 2026 our business continued to grow as demonstrated in our key performance indicators as follows:

2026

2025

£

£

Turnover

50,088,172

24,672,536

Gross profit

15,105,744

8,931,048

Gross profit margin

30.2%

36.2%

Operating profit

9,914,984

5,494,181

Profit after tax

7,611,981

4,096,638

Shareholders' funds

16,511,058

8,899,077

Current assets as % of current liabilities

228%

269%

In 2026, the Company has delivered significant growth with turnover increasing from £24.7m to £50.1m, representing £25.4m growth and an increase of 103% in comparison to 2025. In addition to this, our gross profit has increased from £8.9m to £15.1m, resulting in our operating profit increasing from £5.5m to £9.9m and shareholders' funds almost doubling to £16.5m. This growth has been achieved organically, with no acquisitions, no external investment and no third-party debt.

Eastgate is trusted with the execution of landmark projects throughout the UK and beyond by our key strategic partners and clients. Key successes in the 2026 financial year were generated from our business focus on critical infrastructure and renewable energy projects. The business has expanded geographically across the UK, with projects now being executed in Scotland, the North West and the North East of England. Our focus on the whole critical energy sector has seen us further expanding our business opportunities in Offshore Wind, Battery Energy Storage, Energy from Waste. We now have nearly 500 people working on our projects, a highly experienced leadership team and a growing head office team with investment in Operational delivery, Marketing, Business Development, HR, Commercial and Finance.

This year we were extremely proud to have been named Tees Business of the Year 2026, and to have been selected as a finalist for the Tees Business Net Zero Award. At Eastgate we are one team. We pride ourselves on a culture of collaboration, rolling our sleeves up, mucking in and helping and supporting one another. We are a people first business. This award wasn't won by one person, our culture and determination to be the best shone through.

At the heart of Eastgate are our values and our ESG strategy. We are committed to sustainability, exceeding client expectations, and ensuring safety at every stage. As an ISO accredited business, we maintain stringent internal controls, and during the year we delivered over 8,000 hours of training across technical, leadership, safety and specialist accreditations. We also take responsibility for giving back as we work hard to strengthen the communities where we work.

Looking to the future, on 10 April 2026 the company became a subsidiary of Eastgate Engineering (Ireland) Limited as the first phase of a group reorganisation between entities under common control, which does not change the underlying trade or operations of the company.

Over the course of the next three-year period, the Board has bold ambitions to grow the business to a turnover in excess of £150m and has strengthened its leadership team and systems to facilitate that growth journey. The company has a strong forward order book, with committed work extending over the medium term, and continues to see substantial opportunity across Power & Renewables, Offshore Wind, Energy from Waste, Battery Storage, Data Centres, Nuclear and Defence markets.

The short-term liquidity position remains strong, with cash balances of £13.1m at the balance sheet date and no third-party debt, and the directors do not envisage any detrimental change in this respect for the foreseeable future.

PRINCIPAL RISKS AND UNCERTAINTIES

The company has very little exposure to financial risk other than that which is inherent to the works undertaken.

The company is debt free and cash generative, and holds surplus funds across instant access, notice and short-term deposit accounts with major banking institutions to balance liquidity and return.

The company delivers complex, high value projects, frequently on a basis that provides cost certainty to the client, and revenue and margin recognised on longer term contracts requires judgement, including in respect of amounts recoverable on contracts, retentions and estimates of costs to complete. This is managed through pre-tender review and pricing discipline, and monthly commercial and cost value reconciliation review of every project.

Performance is monitored and reviewed monthly, scrutinised against internal budgets set by management and any significant variances are fully investigated. Cash flow is closely monitored by senior management to foresee any potential shortages with contingency plans in place to minimise any potential effects on continued trade. Employee performance is also monitored closely, particularly at engineer level, to ensure job specific targets are achieved. As approximately 85% of project cost relates to people, and the sectors in which we operate face recognised skills shortages, the company continues to invest in training, transferable skills and competitive reward to attract and retain the team it needs.

The company is obliged to adhere to numerous industry specific standards and procedures that are regularly scrutinised both internally and externally. As an ISO accredited business, the company maintains stringent internal controls to ensure that all quality targets are not only met but surpassed. Management are satisfied with the company's risk management procedures.

ON BEHALF OF THE BOARD:

D S Brennan - Director

14 October 2026

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

DIVIDENDS

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

DIRECTORS

D S Brennan has held office during the whole of the period from 1 April 2025 to the date of this report.

Other changes in directors holding office are as follows:

A Fiske - appointed 30 March 2026

C Maith - appointed 30 March 2026

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Anderson Barrowcliff Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

D S Brennan - Director

14 October 2026

Opinion

We have audited the financial statements of Eastgate Engineering Services 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 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 page four, 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:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.

Based on our understanding of the industry, we have considered applicable laws and regulations which may be fundamental to the company's ability to operate or to avoid a material penalty, and we considered the extent to which non-compliance might have a material effect on the financial statements. We considered management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to the posting of inappropriate manual journal entries to manipulate financial performance, management bias in significant accounting estimates and any significant one-off or unusual transactions.

We discussed among the audit engagement team the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

Auditors' responsibilities for the audit of the financial statements (continued)

Audit procedures performed by the engagement team included:

-

Enquiry of management, those charged with governance and the entity's solicitors around actual and potential litigation and claims.

-

Enquiry of entity staff to identify any instances of non-compliance with laws and regulations.

-

Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

-

Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business.

-

Challenging estimates and judgements made by management in their significant accounting estimates.

-

Revenue recognition; agreeing a sample of revenue transactions to gain assurance over the occurrence and accuracy of revenue and also to ensure revenue has been recognised in the correct period.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. The risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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.

Andrew Dewing FCCA, ACA (Senior Statutory Auditor)

for and on behalf of Anderson Barrowcliff Limited

Statutory Auditors

Chartered Accountants

3 Kingfisher Court

Bowesfield Park

Stockton on Tees

TS18 3EX

14 October 2026

TURNOVER

3

50,088,172

24,672,536

Cost of sales

34,982,428

15,741,488

GROSS PROFIT

15,105,744

8,931,048

Administrative expenses

5,190,760

3,438,367

9,914,984

5,492,681

Other operating income

4

-

1,500

OPERATING PROFIT

6

9,914,984

5,494,181

Interest receivable and similar income

271,541

7,210

10,186,525

5,501,391

Interest payable and similar expenses

7

35,651

-

PROFIT BEFORE TAXATION

10,150,874

5,501,391

Tax on profit

8

2,538,893

1,404,753

PROFIT FOR THE FINANCIAL YEAR

7,611,981

4,096,638

PROFIT FOR THE YEAR

7,611,981

4,096,638

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

7,611,981

4,096,638

FIXED ASSETS

Intangible assets

9

8,195

-

Tangible assets

10

557,355

257,319

565,550

257,319

CURRENT ASSETS

Debtors

11

15,519,794

7,493,437

Cash at bank and in hand

13,085,014

6,333,681

28,604,808

13,827,118

CREDITORS

Amounts falling due within one year

12

12,542,300

5,148,360

NET CURRENT ASSETS

16,062,508

8,678,758

TOTAL ASSETS LESS CURRENT LIABILITIES

16,628,058

8,936,077

PROVISIONS FOR LIABILITIES

14

117,000

37,000

NET ASSETS

16,511,058

8,899,077

CAPITAL AND RESERVES

Called up share capital

15

100

100

Retained earnings

16

16,510,958

8,898,977

SHAREHOLDERS' FUNDS

16,511,058

8,899,077

The financial statements were approved by the Board of Directors and authorised for issue on 14 October 2026 and were signed on its behalf by:

D S Brennan - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 April 2024

100

4,802,339

4,802,439

Changes in equity

Total comprehensive income

-

4,096,638

4,096,638

Balance at 31 March 2025

100

8,898,977

8,899,077

Changes in equity

Total comprehensive income

-

7,611,981

7,611,981

Balance at 31 March 2026

100

16,510,958

16,511,058

Cash flows from operating activities

Cash generated from operations

1

9,495,079

769,425

Interest paid

(35,651

)

-

Tax paid

(2,515,517

)

(669,364

)

Net cash from operating activities

6,943,911

100,061

Cash flows from investing activities

Purchase of intangible fixed assets

(8,195

)

-

Purchase of tangible fixed assets

(499,924

)

(214,105

)

Sale of tangible fixed assets

44,000

-

Interest received

271,541

7,210

Net cash from investing activities

(192,578

)

(206,895

)

Cash flows from financing activities

Amount withdrawn by directors

-

(45,687

)

Net cash from financing activities

-

(45,687

)

Increase/(decrease) in cash and cash equivalents

6,751,333

(152,521

)

Cash and cash equivalents at beginning of year

2

6,333,681

6,486,202

Cash and cash equivalents at end of year

2

13,085,014

6,333,681

1.	RECONCILIATION OF PROFIT FOR THE FINANCIAL YEAR TO CASH GENERATED FROM OPERATIONS

2026

2025

£

£

Profit for the financial year

7,611,981

4,096,638

Depreciation charges

148,843

85,773

Loss on disposal of fixed assets

7,045

-

Finance costs

35,651

-

Finance income

(271,541

)

(7,210

)

Taxation

2,538,893

1,404,753

10,070,872

5,579,954

(Increase)/decrease in trade and other debtors

(8,026,357

)

377,695

Increase/(decrease) in trade and other creditors

7,450,564

(5,188,224

)

Cash generated from operations

9,495,079

769,425

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

13,085,014

6,333,681

Year ended 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

6,333,681

6,486,202

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.25

Cash flow

At 31.3.26

£

£

£

Net cash

Cash at bank and in hand

6,333,681

6,751,333

13,085,014

6,333,681

6,751,333

13,085,014

Total

6,333,681

6,751,333

13,085,014

1.	STATUTORY INFORMATION

Eastgate Engineering Services Ltd is a private company, limited by shares, registered in England. The company's registered office address can be found on the company information page.

2.	ACCOUNTING POLICIES

General information and basis of preparing the financial statements

The address of the registered office is given in the company information on page 1 of these financial statements. The nature of the company's operations and its principal activities are set out in the Strategic Report on page 2.

The financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and the Republic of Ireland" (FRS 102) and the Companies Act 2006 The financial statements have been prepared on the going concern basis under the historical cost convention. The financial statements are prepared in sterling which is the functional currency of the company, rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Turnover

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

Construction Contracts

Where the outcome of a contract can be estimated reliably, contract costs and turnover are recognised by reference to the stage of completion at the balance sheet date. This is normally measured by the proportion that contract costs incurred for work performed to date bear to the estimated total contract costs, except where this would not be representative of the stages of completion.

Where the outcome cannot be estimated reliably, contract costs are recognised as an expense in the period in which they are incurred and contract turnover is recognised to the extent of costs incurred that it is probable will be recoverable.

When it is probable that contract costs will exceed the total contract turnover, the expected loss is recognised as an expense immediately, with a corresponding provision.

Intangible fixed assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost

less any accumulated amortisation and any accumulated impairment losses.

Computer software is not yet available for use and, accordingly, no amortisation has been charged in the year.

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 cost

Fixtures and fittings

- 20% on cost

Office equipment

- 33% on cost

Motor vehicles

- 25% on reducing balance

Fixtures and fittings and office equipment are presented together within fixtures and fittings in the financial statements.

Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

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.

Operating leases

Operating lease payments are charged to profit and loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The Company makes contributions to defined contribution pension arrangements for staff, including contributions to individual personal pension plans. Contributions are recognised as an expense in the period in which the related services are rendered. Any contributions unpaid at the reporting date are recognised as a liability.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

Amounts recoverable on contracts and amounts due under contracts

Amounts recoverable on contracts represent the gross amount due from customers for contract work and comprise contract revenue recognised by reference to the stage of completion of each contract, less amounts invoiced or otherwise recognised as progress billings at the reporting date. These amounts include revenue recognised in respect of work performed at the reporting date that has not yet been invoiced, together with contractual retentions not yet invoiced, where recovery is considered probable.

Amounts due under contracts received in advance represent the gross amount due to customers where progress billings exceed the cumulative contract revenue recognised by reference to the stage of completion of the contract at the reporting date. Cumulative contract revenue reflects the proportion of the contract’s expected lifetime margin attributable to the work performed up to that date.

Amounts recoverable and amounts due are calculated separately for each contract and are presented on a gross basis. Provision is made in full for any losses that are expected to arise on individual contracts.

Judgements and key sources of estimation uncertainty

In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period of the revision, if the revision affects only that period, or in the period of revision and future periods if the revision affects both current and future periods.

3.

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

£

£

Construction contracts

50,088,172

24,672,536

50,088,172

24,672,536

4.	OTHER OPERATING INCOME

2026

2025

£

£

Government grants

-

1,500

5.	EMPLOYEES AND DIRECTORS

2026

2025

£

£

Wages and salaries

1,938,515

1,215,511

Social security costs

245,272

133,761

Other pension costs

75,328

20,195

2,259,115

1,369,467

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

2026

2025

Project staff

14

17

Administrative staff

13

8

27

25

2026

2025

£

£

Directors' remuneration

-

-

6.	OPERATING PROFIT

The operating profit is stated after charging:

2026

2025

£

£

Hire of equipment

379,615

88,943

Other operating leases

-

6,575

Depreciation - owned assets

148,843

85,773

Loss on disposal of fixed assets

7,045

-

Auditors remuneration

18,750

18,800

7.

INTEREST PAYABLE AND SIMILAR EXPENSES

2026

2025

£

£

HMRC interest

35,651

-

8.

TAXATION

Analysis of the tax charge

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

2026

2025

£

£

Current tax:

UK corporation tax

2,490,000

1,400,000

Overprovision prior year

(31,107

)

-

Total current tax

2,458,893

1,400,000

Deferred taxation

80,000

4,753

Tax on profit

2,538,893

1,404,753

Reconciliation of total tax charge included in profit and loss

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

2026

2025

£

£

Profit before tax

10,150,874

5,501,391

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

2,537,719

1,375,348

Effects of:

Expenses not deductible for tax purposes

11,356

3,133

Overprovision in prior year

(31,107

)

-

Overprovision in current year

16,235

26,343

Deferred tax rounding difference

4,690

(71

)

Total tax charge

2,538,893

1,404,753

9.	INTANGIBLE FIXED ASSETS

Computer

software

£

COST

Additions

8,195

At 31 March 2026

8,195

NET BOOK VALUE

At 31 March 2026

8,195