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

This report seeks to inform members of the company to help them to assess how the Directors have performed their duties to promote the success of the company during the financial period.

The current period of review to 31st January 2026 is a 52-week period (2025: 52-weeks).

The principal activity of the company in the period under review was that of the manufacture of extruded pet food products.

During the period the Company’s turnover has decreased marginally by 0.6% from £137,118,000 to £136,363,000 whilst greater efficiencies have seen trading profitability increase to £28,194,000. This has been achieved as the company has continued to work hard at small incremental Continuous Improvement changes that collectively have made a substantial difference, and allowed the company to reduce costs to a level that will sustain the business in the future.

Manufacturing Cost Decreases

During the period, the Company has continually worked to reduce and control its manufacturing costs. The Company has seen some reductions in wages and salaries costs, but these have been offset by an increase in energy prices in the year. The Company has sought to secure efficiencies within its manufacturing process and deliver costs savings whilst maintaining levels of quality and service. Despite this, the Company's gross profit margin has increased from 22.8% to 23.4%.

Raw Material Price Decreases

During the period raw material prices marginally decreased. Given the Company’s commitments to its partners to maximise fresh protein inputs and understand provenance in the supply chain, coupled with the commitment to not further increase selling prices in the period under review, the Company has looked to secure internal efficiencies to help maintain its Gross Margin as demonstrated above.

Fresh Ingredients

The Company has continued to invest in fresh ingredients sourcing and cooking technologies (Freshtrusion) which have produced cost saving efficiencies. The large upfront costs have been strategic from two angles in that they also offer improved marketing opportunities to the Company’s branded partners (i.e. higher levels of human-grade-quality fresh ingredients), and reduce the need for classical pet food grade quality ingredients.

Freshtrusion innovation continues its technological advancement and the Company’s partners are utilising Fresh 50, Fresh 50 HDP and Fresh 100 HDP in their market positioning and product development plan. With ongoing investments, the Company will continue to offer partners further opportunities for market leading innovations in fresh ingredient technologies for their pet foods.

Financial Position

As contained in this report, the Company has generated £22,482,000 net profit (2025: £1,693,000), and increased its net assets from £637,000 to £1,119,000 after making a dividend payment up to Group.

Legislative Risk

The Company continues to be fully aware of the continued risk of recalling of products due to salmonella, or contamination of some kind primarily caused by a change in testing, traceability and regulations, as opposed to changes in risks. However, the Company continues to undertake onsite testing of all raw materials and finished product in order to fully monitor the risk, and to be able to contain any contamination should it be detected.

As any creator of food knows, the quality of the raw ingredients are vital. The Company during the period has continued to collect ingredients, particularly protein, directly from their source, cooking and preparing these on site. This enables the Company to offer our customers known source ingredients in order to provide the trust and confidence in our premium quality pet food.

Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Company’s receivables from customers. The Company’s exposure to credit risk is influenced mainly by the individual customer characteristics. The Directors also consider the factors that may influence the credit risk of the Company’s customer base, including default risk of the country in which the customer operates. The majority of trade debt is covered by credit insurance. The credit status of each customer is reviewed before credit is advanced. This includes external credit referencing where possible. Outstanding balances are reviewed regularly by Management.

In the period ended 31st January 2026, the Company incurred no significant bad debts.

Sales and Service

Innovation continues to drive the business forward. Our customers have increasingly benefited from a move from premium to super premium pet food with ever increasing levels of fresh meat inclusion. Continued investment in new techniques and innovative ways of including freshly prepared protein into the pet food products continues, both to challenge and drive the business. The release of Peptide Plus for dogs with particular ailments has been well received by Partners.

The Company submitted a Planning Application, in conjunction with Bretherton Energy Co-op, under the joint name of the Bretherton Energy Partnership, in December 2025, to Chorley Council, to construct and operate the Asland Walks Renewable Energy Park, comprising Wind, Solar and Battery Storage. This will see 5% of the energy generated being provided to Bretherton Energy Co-op at no cost, for onward sale to residents. This will enable GA to consolidate its annual energy costs, while reducing its carbon discharges.

Stock

The ratio of stock held by GA Pet Food Partners Milling Limited, to sales, achieved by GA Pet Food Partners Limited, expressed as a number of days has decreased at an average of 76 days (2025: 81 days). The Company policy is to look to decrease stock holding, seeking to reduce stocks of finished products through working alongside partners to improve forecasted product requirements reduce against shortages, price variations and aged stock.

Efficiency

The tonnes produced, by GA Pet Food Partners Milling Limited; per direct man were 2.3 tonnes of dry extruded pet food (2025: 2.0). This efficiency measure is calculated by taking the annual tonnage produced by the Company and then dividing that tonnage by the number of direct employees utilised in that production amount. The increase has been as a result of continued emphasis on improving operational efficiency as the Company has reduced its stock holding in terms of tonnage and the use of stock to satisfy partner orders.

Non-Conformances

The Company measures its number of non-conformances within its internal assessments per 1,000 tonnes of dry extruded pet food, which amounted to a monthly average of 32 (2025: 23).

The Company operates under an Environmental Permit, which closely monitors the environmental performance of the site.

Future Developments

During the coming year the Company will further invest in its people, operations and infrastructure whilst continuing to refine and improve the excellent service and products provided to its Partners.

Corporate Social Responsibility

The Company continued to actively ensure that it meets its environmental responsibilities, with the constant pursuit of moving to a sustainable future. During the period the Company continues its commitment to ten environmental pledges, which will seek to ensure 100% of all waste is recycled, with zero going to landfill and a reduction in the carbon generated by 30% over the next ten years, with an intention of being carbon free by 2050.

The Company has sought, both in its short- and long-term decision making, to abide by its mission ‘to make and deliver the world’s finest pet food’. The Company’s Core Values of ‘Quality, Innovation and Integrity’ guide and instruct every colleague on every decision taken. Our mission and our core values are at the centre of all training, from induction to the development of our colleagues, so as to build a culture of constant improvement, constant change, and constant endeavour to do things ‘right’.

The Company’s policy is to look after its people, so that its people can look after its Partners (Customers), its Partners look after our profit, the profit looks after the investment, and the investment ensures we build a sustainable future.

The Company fully engages with its colleagues, and obtains feedback through a Best Company Survey gaining ‘One to Watch’ status for engagement, and with all feedback being acted on and improvements made.

Likewise, the Company seeks to work in partnership with its suppliers, and its Partners to build a lasting sustainable working relationship in the long term for the benefit of its members, its colleagues, its neighbours and society as a whole.

The Company believes in being a considerate neighbour within the wider local community in which it operates, consulting and being transparent on its plans for the business and how it is seeks to address their concerns. The Company does this by holding open days, inviting the community in to observe and better understand the positive impact the Company seeks to have for local employment and services.

The impact the Company has on the environment is a key non-financial concern for the business. The Company continues to fully monitor its environmental impact, constantly implementing new strategies to combat and reduce waste striving toward its clearly stated goal of being carbon free by 2050.

On behalf of the board

The directors present their annual report and financial statements for the year ended 31 January 2026.

Strategic Report

The Company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the company’s strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch 7 to be contained in the directors’ report. It has done so in respect of financial risk management and future developments.

Research and Development

The Company continues to work on product and service research & development. The research and development activities focus on new product innovation and new techniques to improve quality and output. In the current period the Company has incurred a total of £nil (2025: £164,502) in research and development costs.

Proposed Dividend

The directors declared interim dividends of £22,000,000 (2025: £2,000,000).

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

The company has made qualifying third party indemnity provisions for the benefit of its directors during the year. These provisions remain in force at the reporting date.

Going Concern

The accounts are prepared on the going concern basis of preparation, full consideration of going concern is outlined in Note 1.

Employees

The business is solely reliant on the people within the Company to produce the products to meet our customers' ever-increasing requirements of Quality and Service. We are fortunate at the Company that we have, and continue to develop, a team of like-minded personnel that are able to rise to the challenge and deliver the safe high standards demanded of them. The Company would not have been able to prosper without these people working together for the benefit of all, for which we are enormously grateful.

Applications for employment by disabled persons are given full and fair consideration for all vacancies in accordance with their particular aptitudes and abilities. In the event of employees becoming disabled, every effort is made to retain them in order that their employment with the Company may continue. It is the policy of the Company that training, career development and promotion opportunities should be available to all employees.

Climate-related Financial Disclosures

In line with the Companies Act 2006 s. 414AC(7) the Directors have claimed exemption from disclosing climate-related financial disclosures within these financial statements, as they will be contained within the relevant group disclosures, as reported in the financial statements of the parent company, GA Pet Food Partners Group Limited for the same financial year.

Political Contributions

Neither the Company nor any of its subsidiaries made any political contributions or incurred any political expenditure during the period (2025: £nil).

Disclosure of Information to Auditor

The directors who held office at the date of approval of this directors’ report confirm that, so far as they are each aware, there is no relevant audit information of which the company’s auditor is unaware; and each director has taken all the steps that he/she ought to have taken as a director to make himself/ herself aware of any relevant audit information and to establish that the company’s auditor is aware of that information.

Auditor

The auditor, MHA Audit Services LLP, has indicated its willingness to continue in office and a resolution to reappoint MHA Audit Services LLP as auditor will be proposed at the forthcoming Annual General Meeting in accordance with section 485 of the Companies Act 2006.

The directors are responsible for preparing the annual 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 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;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• 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.

We have audited the financial statements of GA Pet Food Partners Milling Limited (the 'company') for the year ended 31 January 2026 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including material 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 Auditor 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 ethical responsibilities in accordance with those 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 other information comprises the information included in the annual report other than the financial statements and our auditor's 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.

Opinions on other matters prescribed by the Companies Act 2006

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

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.

As explained more fully in the directors' responsibilities statement, 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.

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 auditor's 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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud, is detailed below:

• Enquiries with management, including directors, about any known or suspected instances of non-compliance with laws and regulations and fraud;

• Challenging assumptions and judgements made by management in their significant accounting estimates;

• Review the systems for recording revenue and test a sample of sales recorded on the accounting system backwards to sales orders including confirmation of receipts to banking records;

• Examination of journal entries and other adjustments to test for appropriateness and identify any instances of management override of controls;

• Review of legal and professional expenditure to identify any evidence of ongoing litigation or enquiries; and

• Review of minutes of board meetings; and

• Auditing the risk of fraud in revenue by testing a sample of revenue transactions to goods despatch and other records, to verify the occurrence of recorded revenue to ensure it is not materially overstated in the financial statements.

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. This 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 is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

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 auditor's 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.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

GA Pet Food Partners Milling Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Albert Suite, Unit 2, Revolution Park, Buckshaw Avenue, Buckshaw Village, Chorley, PR7 7DW.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £'000.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

• Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;

• Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.

The financial statements of the company are consolidated in the financial statements of GA Pet Food Partners Group Limited. These consolidated financial statements are available from its registered office, The Albert Suite, Unit 2 Revolution Park, Buckshaw Avenue, Buckshaw Village, Chorley, Lancashire, PR7 7DW.

The directors have prepared the financial statements on a going concern basis which they believe to be appropriate for the following reasons.true

As reported in the Strategic Report on page 1 of these financial statements, during the financial year ended 31 January 2026, turnover has decreased marginally to £136,363,000 (2025: £137,118,000) whilst profit has improved to £22,482,000 (2025: £1,693,000).

The company is able to rely on its parent entity GA Pet Food Partners Group Limited (the group) for financial support. The directors have prepared cash flow forecasts for the group up to 31 January 2032 which indicate that the group will operate within its facilities.

GA Pet Food Partners Group Limited, the company's ultimate parent undertaking, has confirmed that it will continue to provide financial and other support to the company, for at least the next twelve months from the date of approval of the financial statements, to the extent necessary to enable the company to continue to trade, and in particular will not seek repayment of the amounts currently made available if doing so would leave the company unable to pay its liabilities as they fall due. As with any company placing reliance on other group entities for financial support, the directors acknowledge that there can be no certainty that this support will continue although, at the date of approval of these financial statements, they have no reason to believe that it will not do so. For these reasons, after making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for at least the next 12 months and for the foreseeable future thereafter.

Revenue comprises the fair value of consideration received or receivable for the sale of goods in the ordinary course of the Company's activities, net of value added tax, rebates, discounts and other amounts payable to customers.

Revenue is recognised when control of the goods is transferred to the customer, representing the point at which the Company has satisfied its performance obligation under the contract. The amount of revenue recognised is the amount of consideration to which the Company expects to be entitled in exchange for the transfer of the goods.

For the majority of sales, control of the goods transfers to the customer when the goods are dispatched or collected by the customer's own transport, at which point revenue is recognised. Where the contractual terms or circumstances indicate that control has not transferred to the customer at the point of dispatch or collection, revenue is deferred until the performance obligation has been satisfied and control of the goods has transferred to the customer.

Revenue is recognised net of variable consideration, including rebates, discounts and other amounts payable to customers, to the extent that it is highly probable that a significant reversal of the amount of revenue recognised will not occur when the uncertainty associated with the variable consideration is subsequently resolved.

Rental income is recognised in the profit and loss account on a straight-line basis over the period to which it relates. Amounts received in advance are deferred and recognised in the appropriate accounting period.

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is based on the weighted average cost and includes expenditure incurred in acquiring the stocks, production or conversion costs and other costs in bringing them to their existing location and condition. In the case of manufactured stocks and work in progress, cost includes an appropriate share of overheads based on normal operating capacity.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ 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, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Other financial assets are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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 deducting all of its liabilities.

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

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

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount 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 in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

There are no areas identified as key sources of accounting estimate and judgement.

The average monthly number of persons (including directors) employed by the company during the year was:

Their aggregate remuneration comprised:

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

Amounts owed to group undertakings are payable on demand.

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

The deferred tax asset set out above is expected to reverse within 12 months.

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the company.

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

The company has taken advantage of the exemption permitted under Section 33.1A from disclosing transactions with the parent and fellow subsidiary companies.

The company is a subsidiary undertaking of GA Pet Food Partners Group Limited. The ultimate controlling party is GA Pet Food Partners Group Limited, the company's immediate parent.

The consolidated financial statements of GA Pet Food Partners Group Limited are available to the public and may be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.