ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging:

Registered number: 07233961

SHURTAPE UK LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

SHURTAPE UK LIMITED

COMPANY INFORMATION

Directors	M Raymer
	J B Shuford
	S P Shuford


Registered number	07233961


Registered office	Suite 4
	7th Floor 50 Broadway
	London
	SW1H 0DB


Independent auditors	Nortons Assurance Limited
	Statutory Auditor
	Second Floor
	NOW Building
	Thames Valley Park
	Reading
	Berkshire
	RG6 1RB

SHURTAPE UK LIMITED

CONTENTS

	Page
Strategic Report	1 - 2
Directors' Report	3 - 4
Independent Auditors' Report	5 - 8
Profit and Loss Account	9
Balance Sheet	10
Statement of Changes in Equity	11
Statement of Cash Flows	12
Notes to the Financial Statements	13 - 24

SHURTAPE UK LIMITED

STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

Introduction

The Directors present their strategic report for the year ended 31 December 2025.

Business review

The results of the Company for the year show a profit on ordinary activities before tax of £1,848,235. The shareholders' funds for the Company total £6,583,650.

Principal risks and uncertainties

The principal risks and uncertainties of the Company relate to a wide variety of risks that are linked to its corporate activities. Risks associated with production, brand management, financing are managed by the parent company. Price and availability risks in the procurement are reduced by centralizing procurement within the Shurtape group.

From a sales perspective, Shurtape UK Ltd. is exposed to economic risks in the construction, DIY and home improvement sectors. The company is exposed to the risk of losing individual customers due to a default risk on account receivables. A broad sales base and lack of customer concentration reduces the overall risk which could threaten the company’s existence.

The Company's success is furthermore dependent on the Parent Company, maintaining, developing and executing on its competitive advantage in the self-adhesive tape market.

Credit risk

Credit risk refers to the risk that a customer will default on its contractual obligations, which will result in financial loss to the Company. Credit worthiness is checked on a regular base.

Liquidity risk

The Company does not have any external debt.
Prudent liquidity risk management implies maintaining sufficient cash and the availability of funding through an adequate amount of committed credit funded by the parent company. Due to the nature of the business the Company has minimal liquidity risk and cash flows are managed on a daily basis. Because of the fact that loans are funded within the group, both interest rate and liquidity risk are of minor importance.

Foreign exchange risk

The foreign exchange risk related to sourcing activities is monitored regularly. As a result of group treasury agreements, Shurtape UK Ltd. does not hedge currency fluctuations and exchange risk is fully born by the parent company.

Results and dividends

No dividends will be distributed for the year ended 31 December 2025.

Key performance indicators

Management use a range of performance measures to monitor and manage the business. Ther performance measures are financial key performance indicators as well as other relevant business service metrics.

Page 1

SHURTAPE UK LIMITED

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Future plans & developments

Shurtape UK Ltd. plans to expand its product offering and looks for opportunities in new channels to promote growth with an emphasis on sustainable solutions for our valued customers.

Going concern

The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. This expectation is based on the arrangement with Shurtape Technologies, LLC, the company’s parent, to provide financial support to the Company to enable it to settle its debts as they fall due for a period of not less than a year from the date of the approval of the financial statements.

This report was approved by the board and signed on its behalf.

................................................

M Raymer

Director

Date: 14 October 2026

Page 2

SHURTAPE UK LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2025

The directors present their report and the financial statements for the year ended 31 December 2025.

Directors' responsibilities statement

The directors are responsible for preparing the Directors' Report 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

∙make judgments 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 to 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.

Directors

The directors who served during the year were:

M Raymer

J B Shuford

S P Shuford

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 3

SHURTAPE UK LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2025

Auditors

The auditors, Nortons Assurance Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.

................................................

M Raymer

Director

Date: 14 October 2026

Page 4

SHURTAPE UK LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHURTAPE UK LIMITED

Opinion

We have audited the financial statements of Shurtape UK Limited (the 'Company') for the year ended 31 December 2025, which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, 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 December 2025 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 United Kingdom, including the Financial Reporting Council'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.

Page 5

SHURTAPE UK LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHURTAPE UK LIMITED (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual Report. 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. 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 course of 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.

Opinion 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic Report and the Directors' Report 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 Directors' Report.

We have nothing to report in respect of the following matters in relation to which 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 Directors' Responsibilities Statement set out on page 3, 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 is 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.

Page 6

SHURTAPE UK LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHURTAPE UK LIMITED (CONTINUED)

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 an Auditors' Report 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.

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. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

The objectives of our audit, in respect to fraud, are to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

Our approach was as follows:

∙We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework including the Companies Act 2006 and the relevant tax compliance regulations in the UK.

∙We understood how the Company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures.

∙We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur by meeting with management from various parts of the business to understand where it considered there was a susceptibility to fraud. We considered the controls that the Company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included testing manual journals and were designed to provide reasonable assurance that the financial statements were free from fraud and error.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations identified in the paragraphs above. Our procedures involved journal entry testing, with a focus on journals indicating large or unusual transactions based on our understanding of the business, enquiries of Company management and focused testing. In addition, we completed procedures to conclude on the compliance of the disclosures in the Annual Report and Accounts with the requirements of the relevant accounting standards and UK legislation.

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 Auditors' Report.

Page 7

SHURTAPE UK LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHURTAPE UK LIMITED (CONTINUED)

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 an Auditors' Report 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.

Anthony Campbell (Senior Statutory Auditor)

for and on behalf of

Nortons Assurance Limited

Statutory Auditor

Second Floor

NOW Building

Thames Valley Park

Reading

Berkshire

RG6 1RB

14 October 2026

Page 8

SHURTAPE UK LIMITED

PROFIT AND LOSS ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2025

	2025	2024
Note	£	£


Turnover	3	14,412,186	13,857,154
Cost of sales		(8,833,389)	(8,957,249)
Gross profit		5,578,797	4,899,905
Administrative expenses		(3,926,388)	(3,561,297)
Other operating income	4	195,831	131,753
Operating profit	5	1,848,240	1,470,361
Interest payable and similar expenses		(5)	-
Profit before tax		1,848,235	1,470,361
Tax on profit	9	(475,231)	(392,623)
Profit for the financial year		1,373,004	1,077,738

There are no items of other comprehensive income for 2025 or 2024 other than the profit for the year. As a result, no separate Statement of Comprehensive Income has been presented.

The notes on pages 13 to 24 form part of these financial statements.

Page 9

SHURTAPE UK LIMITED

REGISTERED NUMBER: 07233961

BALANCE SHEET

AS AT 31 DECEMBER 2025

		2025		2024
Note		£		£

Fixed assets
Tangible assets	10		-		13,831
			-		13,831
Current assets
Stocks	11	3,221,042		2,723,481
Debtors: amounts falling due after more than one year	12	-		55,000
Debtors: amounts falling due within one year	12	5,571,380		4,532,955
Cash at bank and in hand	13	1,513,441		1,242,684
		10,305,863		8,554,120
Creditors: amounts falling due within one year	14	(2,276,138)		(1,911,230)
Net current assets			8,029,725		6,642,890
Total assets less current liabilities			8,029,725		6,656,721

Net assets			8,029,725		6,656,721

Capital and reserves
Called up share capital		100,000	100,000
Other reserves	16	6,583,650	6,583,650
Profit and loss account	16	1,346,075	(26,929)
		8,029,725	6,656,721

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

................................................

M Raymer

Director

Date: 14 October 2026

The notes on pages 13 to 24 form part of these financial statements.

Page 10

SHURTAPE UK LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2025

	Called up share capital	Other reserves	Profit and loss account	Total equity
	£	£	£	£
At 1 January 2024	100,000	6,583,650	(1,104,667)	5,578,983
Comprehensive income for the year
Profit for the year	-	-	1,077,738	1,077,738
Total comprehensive income for the year	-	-	1,077,738	1,077,738

At 1 January 2025	100,000	6,583,650	(26,929)	6,656,721
Comprehensive income for the year
Profit for the year	-	-	1,373,004	1,373,004
Total comprehensive income for the year	-	-	1,373,004	1,373,004
At 31 December 2025	100,000	6,583,650	1,346,075	8,029,725

The notes on pages 13 to 24 form part of these financial statements.

Page 11

SHURTAPE UK LIMITED

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2025

			2025	2024
			£	£

Cash flows from operating activities
Profit for the financial year	1,373,004	1,077,738
Adjustments for:
Depreciation of tangible assets	13,831	14,447
Taxation charge	475,231	392,623
(Increase) in stocks	(456,781)	(429,848)
(Increase)/decrease in debtors	(284,674)	308,162
(Increase)/decrease in amounts owed by groups	(707,550)	7,083
Increase/(decrease) in creditors	225,967	(170,309)
Increase/(decrease)) in amounts owed to groups	63,710	(251,180)
(Decrease)/increase in provisions	(31,981)	58,701
Corporation tax (paid)	(400,000)	(482,500)
Net cash generated from operating activities	270,757	524,917



Net increase in cash and cash equivalents	270,757	524,917
Cash and cash equivalents at beginning of year	1,242,684	717,767
Cash and cash equivalents at the end of year	1,513,441	1,242,684

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	1,513,441	1,242,684
	1,513,441	1,242,684

The notes on pages 13 to 24 form part of these financial statements.

Page 12

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

1.	General information

Shurtape UK Limited is a company incorporated in the United Kingdom under the Companies Act. The Company is a private company limited by shares and is registered in England and Wales. The registered office is Suite 4, 7th floor 50 Broadway, London, United Kingdom, SW1H 0DB.

The principal activity of the company in the year under review was that of providing marketing and sales support in the UK and selling products for the Shurtape brand.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies.

The following principal accounting policies have been applied:

2.2

Going concern

Page 13

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

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 Profit and Loss Account within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

2.4

Revenue

Revenue 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:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙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.

2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Page 14

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.6

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.7

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.

2.8

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.

2.9

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

				Motor vehicles	-	3 years
				Computer equipment	-	3 - 10 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Page 15

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.10

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 each 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.

2.11

Debtors

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.

2.12

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

2.13

Creditors

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

2.14

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Balance Sheet when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Page 16

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.14

Financial instruments (continued)

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Basic financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the

Page 17

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

2.Accounting policies (continued)

2.14

Financial instruments (continued)

risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Turnover

An analysis of turnover by class of business is as follows:
	2025	2024
	£	£

	Turnover	14,412,186	13,857,154

Analysis of turnover by country of destination:

					2025	2024
					£	£

	United Kingdom	14,412,186	13,857,154

4.	Other operating income
		2025	2024
		£	£

	Other operating income	195,831	131,753

	Exchange differences	232,340	124,462
	Other operating lease rentals	42,000	40,183

Page 18

SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Fees payable to the Company's auditors for the audit of the Company's financial statements

14,800

14,000

7.	Employees
		2025	2024
		£	£

Wages	1,002,267	999,143
Social security costs	112,535	91,504
Cost of defined contribution scheme	61,881	70,360
	1,176,683	1,161,007

The average monthly number of employees, including the directors, during the year was as follows:

	2025	2024
	No.	No.

Employees	10	10

8.	Interest payable and similar expenses
		2025	2024
		£	£

Other interest payable

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SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

Corporation tax
Current tax on profits for the year	475,231	392,623
	475,231	392,623

Total current tax	475,231	392,623

Tax on profit

475,231

392,623

Profit on ordinary activities before tax

1,848,235

1,470,361

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)	462,059	367,590
Effects of:
Other differences leading to an increase (decrease) in the tax charge	13,172	25,033
Total tax charge for the year	475,231	392,623

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SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

9.Taxation (continued)

Factors that may affect future tax charges

No factors that may affect future charges.

10.	Tangible fixed assets

	Motor vehicles	Computer equipment	Total
	£	£	£
Cost or valuation
At 1 January 2025	72,898	146,000	218,898
At 31 December 2025	72,898	146,000	218,898
Depreciation
At 1 January 2025	59,150	145,917	205,067
Charge for the year on owned assets	13,748	83	13,831
At 31 December 2025	72,898	146,000	218,898
Net book value
At 31 December 2025	-	-	-
At 31 December 2024	13,748	83	13,831

11.	Stocks
		2025	2024
		£	£

	Finished goods and goods for resale	3,221,042	2,723,481

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SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

12.	Debtors
		2025	2024
		£	£

Due after more than one year
Other debtors	-	55,000

					2025	2024
					£	£

Due within one year
Trade debtors	2,103,600	2,135,356
Amounts owed by group undertakings	2,984,623	2,277,073
Other debtors	483,157	120,526
	5,571,380	4,532,955

13.	Cash and cash equivalents
		2025	2024
		£	£

	Cash at bank and in hand	1,513,441	1,242,684

14.	Creditors: Amounts falling due within one year
		2025	2024
		£	£

Trade creditors	49,016	126,921
Amounts owed to group undertakings	252,332	188,622
Corporation tax	131,229	69,168
Other taxation and social security	573,158	327,887
Other creditors	491,265	307,471
Accruals and deferred income	779,138	891,161
	2,276,138	1,911,230

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SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

15.	Financial instruments
		2025	2024
		£	£

	Financial assets
	Financial assets measured at fair value through profit or loss	1,513,441	1,242,684

Financial assets measured at fair value through profit or loss comprise.

16.

Reserves

Other reserves

Other reserves represents non-repayable capital contributed from the parent company.

Profit and loss account

The profit and loss reserves represents cumulative profits and losses.

17.	Pension commitments

The Company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £61,881 (2024: £70,360). Contributions totalling £7,704 (2024: £7,283) were payable to the fund at the balance sheet date and are included within creditors.

Not later than 1 year	26,622	42,000
Later than 1 year and not later than 5 years	2,750	21,978
	29,372	63,978

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SHURTAPE UK LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2025

19.	Controlling party

STM Industries Inc., a company incorporated in the United States of America, is regarded by the directors as being the company's ultimate parent company. The immediate parent company is deemed to be Shurtape Cyprus Holdings, Ltd.

The largest and smallest group of undertakings for which group accounts are drawn up and which includes the company is STM Industries, Inc., whose address is 1712 8th Street Drive SE, Hickory, NC 28602, USA.

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