REGISTERED NUMBER: 09655330 (England and Wales)

Group Strategic Report, Report of the Directors and

Consolidated Financial Statements for the Year Ended 31 January 2026

for

GLOWMADE LTD

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Consolidated Income Statement

10

Consolidated Other Comprehensive Income

11

Consolidated Balance Sheet

12

Company Balance Sheet

13

Consolidated Statement of Changes in Equity

14

Company Statement of Changes in Equity

15

Consolidated Cash Flow Statement

16

Notes to the Consolidated Cash Flow Statement

17

Notes to the Consolidated Financial Statements

18

DIRECTORS:

M J Green

J W Hopper

C R Kingsley

A C Sibbick

E Sullivan Thierrin

REGISTERED OFFICE:

2nd Floor, Crossweys

28-30 High Street

Guildford

GU1 3EL

REGISTERED NUMBER:

09655330 (England and Wales)

AUDITORS:

Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

The directors present their strategic report of the company and the group for the year ended 31 January 2026.

Overview of the business and its principal activities

Glowmade Ltd is a video games development studio based in Guildford, Surrey. It is part of the Glowmade Group alongside its subsidiaries Binocular Bonanza Limited, Monocle Mayhem Limited and Spectacular Skulduggery Ltd. The group employed an average of 77 people during the year (2025: 71).

REVIEW OF BUSINESS

The main event of the year was the release of the game "King of Meat" in October 2025, which had been in development for 5 years, published by Amazon Game Studios. The game did not commercially perform as projected for but the directors' learnings from this project are informing the group's approach to its new projects.

Group turnover fell 1.0% to £10.65m (2025: £10.75m), reflecting publisher development revenue during the build and launch period. During the year, headcount increased to meet the demands of the development and total staff costs, including directors, rose 35.3% to £5.93m (2025: £4.34m), reducing operating profit to £15k (2025: £732k). Profit for the financial year was £2.34m (2025: £2.44m) once the Video Games Tax Relief Credit and interest receivable is taken into account.

Following the launch and the disappointing market response to King of Meat, the directors took the difficult decision to make redundancies, and the group has turned its focus to multiple new smaller projects which are at various stages of development.

PRINCIPAL RISKS AND UNCERTAINTIES

Game development carries the risk that a released title does not meet commercial expectations, as happened with King of Meat. Whilst the group relies on its healthy cash reserves to sustain its team, delays or cancellations would materially affect revenue and cost recovery.

Wage inflation and competition for talent drove a sharp rise in costs this year, given that skilled developers are central to the success of business. The directors monitor cost by project, plan resourcing carefully and retain their talent through a pension provision, training and culture initiatives, and leadership development.

The video games industry as a whole is experiencing rising development costs, tighter funding and a more cautious approach by publishers and investors which has in turn resulted in redundancies and in extreme cases, studio closures across the sector. Consequently, the directors take a disciplined and diligent approach to project selection, cost control and funding, and consider that the group's cash position and experienced team provide resilience in a turbulent market.

FINANCIAL PERFORMANCE AND POSITION

Gross profit increased to £7.72m (2025: £7.15m), with gross margin increasing to 72.6% (2025: 66.5%), mainly reflecting lower subcontractor costs in relation to the development of the game. Administrative expenses rose 20.2% to £7.71m (2025: £6.42m), mostly from staff related costs as the team grew and pay increased. Foreign exchange losses fell to £243k (2025: £562k). Whilst this is an improvement, it is still a significant cost. Interest receivable more than doubled to £173k (2025: £74k) on higher cash balances.

At the year end the group held cash of £6.46m (2025: £2.18m) and net assets of £8.89m (2025: £6.61m). Net current assets at the balance sheet are £8.48m (2025: £6.16m). Most of the increase in cash is due to publisher funding and tax credits, combined with stringent cost management where possible.

OUTLOOK

The directors are focused on multiple new projects that build on what the studio has learned from King of Meat. The group enters the next year with cash of £6.5m and are focused on delivering the exciting games whilst controlling costs and retaining talent. Challenges undoubtedly include the commercial reception of future releases and talent costs. The directors consider that the group has adequate resources to continue in existence for the foreseeable future.

ON BEHALF OF THE BOARD:

J W Hopper - Director

22 October 2026

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

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of video games development.

DIVIDENDS

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

DIRECTORS

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

M J Green

J W Hopper

C R Kingsley

A C Sibbick

E Sullivan Thierrin

GOING CONCERN

The directors have considered the group's financial position, including its future pipeline and forecast cash flows. The directors are satisfied that the group has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.

DIRECTORS INDEMNITIES

The group has not made qualifying third party indemnity payments for the benefit of the directors during the year.

DISCLOSURE IN THE STRATEGIC REPORT

Certain matters required by regulation to be dealt with in the annual report have been dealt with in the Strategic Report rather than in the Directors' Report. These include principal risks and uncertainties and future developments.

FINANCIAL INSTRUMENTS

The group has a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are substantially in Sterling. The group does not enter into any formally designated hedging instruments.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

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

ON BEHALF OF THE BOARD:

J W Hopper - Director

22 October 2026

Opinion

We have audited the financial statements of Glowmade Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 January 2026 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 31 January 2026 and of the group's 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 group 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 group's and the parent 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 matters

The comparative financial information for the year ended 31 January 2025, included in these financial statements, has not been audited. Our opinion is not modified in respect of this matter.

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 Group 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 Group 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company 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 group's and the parent 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 group or the parent 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:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

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

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

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

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

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

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

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

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

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

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

- tested journal entries to identify unusual transactions;

- investigated the rationale behind significant or unusual transactions.

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

- agreeing financial statement disclosures to underlying supporting documentation;

- reading the minutes of meetings of those charged with governance;

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

- reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors, where applicable.

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

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Chris Morey (Senior Statutory Auditor)

for and on behalf of Feist Hedgethorne Limited

Statutory Auditors

Chartered Accountants

Preston Park House

South Road

Brighton

East Sussex

BN1 6SB

23 October 2026

TURNOVER

10,646,348

10,750,441

Cost of sales

(2,922,513

)

(3,603,342

)

GROSS PROFIT

7,723,835

7,147,099

Administrative expenses

(7,708,766

)

(6,415,052

)

OPERATING PROFIT

4

15,069

732,047

Interest receivable and similar income

177,524

74,261

PROFIT BEFORE TAXATION

192,593

806,308

Tax on profit

5

2,143,151

1,633,570

PROFIT FOR THE FINANCIAL YEAR

2,335,744

2,439,878

Profit attributable to:

Owners of the parent

2,335,744

2,439,878

PROFIT FOR THE YEAR

2,335,744

2,439,878

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

2,335,744

2,439,878

Total comprehensive income attributable to:

Owners of the parent

2,335,744

2,439,878

FIXED ASSETS

Intangible assets

8

2,839

4,089

Tangible assets

9

539,069

594,473

Investments

10

-

-

541,908

598,562

CURRENT ASSETS

Debtors

11

2,512,501

4,775,030

Cash at bank and in hand

6,460,570

2,180,222

8,973,071

6,955,252

CREDITORS

Amounts falling due within one year

12

(490,190

)

(790,618

)

NET CURRENT ASSETS

8,482,881

6,164,634

TOTAL ASSETS LESS CURRENT LIABILITIES

9,024,789

6,763,196

PROVISIONS FOR LIABILITIES

14

(134,767

)

(148,618

)

NET ASSETS

8,890,022

6,614,578

CAPITAL AND RESERVES

Called up share capital

15

17

17

Share premium

16

714,902

714,902

Capital redemption reserve

16

3

3

Share buy back reserve

16

(738,675

)

(678,375

)

Retained earnings

16

8,913,775

6,578,031

SHAREHOLDERS' FUNDS

8,890,022

6,614,578

The financial statements were approved by the Board of Directors and authorised for issue on 22 October 2026 and were signed on its behalf by:

J W Hopper - Director

FIXED ASSETS

Intangible assets

8

2,839

4,089

Tangible assets

9

539,069

594,473

Investments

10

3

3

541,911

598,565

CURRENT ASSETS

Debtors

11

589,221

1,604,117

Cash at bank and in hand

6,460,568

2,180,186

7,049,789

3,784,303

CREDITORS

Amounts falling due within one year

12

(5,710,916

)

(2,579,877

)

NET CURRENT ASSETS

1,338,873

1,204,426

TOTAL ASSETS LESS CURRENT LIABILITIES

1,880,784

1,802,991

PROVISIONS FOR LIABILITIES

14

(134,767

)

(148,618

)

NET ASSETS

1,746,017

1,654,373

CAPITAL AND RESERVES

Called up share capital

15

17

17

Share premium

16

714,902

714,902

Capital redemption reserve

16

3

3

Share buy back reserve

16

(738,675

)

(678,375

)

Retained earnings

16

1,769,770

1,617,826

SHAREHOLDERS' FUNDS

1,746,017

1,654,373

Company's profit for the financial year

151,944

467,345

The financial statements were approved by the Board of Directors and authorised for issue on 22 October 2026 and were signed on its behalf by:

J W Hopper - Director

Called up

share

Retained

Share

capital

earnings

premium

£

£

£

Balance at 1 February 2024

23

4,266,154

714,902

Changes in equity

Issue of share capital

(6

)

-

-

Dividends

-

(128,001

)

-

Total comprehensive income

-

2,439,878

-

Balance at 31 January 2025

17

6,578,031

714,902

Changes in equity

Total comprehensive income

-

2,335,744

-

Balance at 31 January 2026

17

8,913,775

714,902

Capital

Share buy

redemption

back

Total

reserve

reserve

equity

£

£

£

Balance at 1 February 2024

-

-

4,981,079

Changes in equity

Issue of share capital

-

-

(6

)

Dividends

-

-

(128,001

)

Total comprehensive income

-

-

2,439,878

Movement

3

(678,375

)

(678,372

)

Balance at 31 January 2025

3

(678,375

)

6,614,578

Changes in equity

Total comprehensive income

-

-

2,335,744

Movement

-

(60,300

)

(60,300

)

Balance at 31 January 2026

3

(738,675

)

8,890,022

Called up

share

Retained

Share

capital

earnings

premium

£

£

£

Balance at 1 February 2024

20

1,278,482

714,902

Changes in equity

Issue of share capital

(3

)

-

-

Dividends

-

(128,001

)

-

Total comprehensive income

-

467,345

-

Balance at 31 January 2025

17

1,617,826

714,902

Changes in equity

Total comprehensive income

-

151,944

-

Balance at 31 January 2026

17

1,769,770

714,902

Capital

Share buy

redemption

back

Total

reserve

reserve

equity

£

£

£

Balance at 1 February 2024

-

-

1,993,404

Changes in equity

Issue of share capital

-

-

(3

)

Dividends

-

-

(128,001

)

Total comprehensive income

-

-

467,345

Movement

3

(678,375

)

(678,372

)

Balance at 31 January 2025

3

(678,375

)

1,654,373

Changes in equity

Total comprehensive income

-

-

151,944

Movement

-

(60,300

)

(60,300

)

Balance at 31 January 2026

3

(738,675

)

1,746,017

Cash flows from operating activities

Cash generated from operations

1

832,613

337,699

Tax paid

-

(3,878

)

Net tax refund

3,376,719

92,746

Net cash from operating activities

4,209,332

426,567

Cash flows from investing activities

Purchase of intangible fixed assets

-

(3,360

)

Purchase of tangible fixed assets

(50,488

)

(186,497

)

Sale of tangible fixed assets

812

450

Interest received

177,524

74,261

Net cash from investing activities

127,848

(115,146

)

Cash flows from financing activities

Amount introduced by directors

3,468

1,600

Amount withdrawn by directors

-

(3,468

)

Share issue

-

(6

)

Share buyback

(60,300

)

(678,372

)

Equity dividends paid

-

(128,001

)

Net cash from financing activities

(56,832

)

(808,247

)

Increase/(decrease) in cash and cash equivalents

4,280,348

(496,826

)

Cash and cash equivalents at beginning of year

2

2,180,222

2,677,048

Cash and cash equivalents at end of year

2

6,460,570

2,180,222

1.	RECONCILIATION OF OPERATING PROFIT TO CASH GENERATED FROM OPERATIONS

2026

2025

(Unaudited)

£

£

Operating profit

15,069

732,047

Depreciation charges

105,121

118,825

Loss on disposal of fixed assets

1,209

2,454

121,399

853,326

Decrease/(increase) in trade and other debtors

1,011,642

(207,305

)

Decrease in trade and other creditors

(300,428

)

(308,322

)

Cash generated from operations

832,613

337,699

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 January 2026

31.1.26

1.2.25

£

£

Cash and cash equivalents

6,460,570

2,180,222

Year ended 31 January 2025

31.1.25

1.2.24

(Unaudited)

£

£

Cash and cash equivalents

2,180,222

2,677,048

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.2.25

Cash flow

At 31.1.26

£

£

£

Net cash

Cash at bank and in hand

2,180,222

4,280,348

6,460,570

2,180,222

4,280,348

6,460,570

Total

2,180,222

4,280,348

6,460,570

1.	STATUTORY INFORMATION

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

The presentation currency of the financial statements is the Pound Sterling (£).

Monetary amounts in these financial statements are rounded to the nearest pound.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Basis of consolidation

The consolidated financial statements incorporate the financial statements of Glowmade Ltd and its subsidiary undertakings for the year ended 31 January 2026.

Subsidiaries are entities controlled by the group. Control exists where the group has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.

All intra-group transactions, balances, income and expenses are eliminated on consolidation.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.