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

The directors present aim to present a balanced and comprehensive review of the development and performance of our business during the year and its position at the year end. Our review is consistent with the size and non-complex nature of the business and is written in the context of the risks and uncertainties faced by it.

During the year ended 31 January 2026 the directors consider the results of the company to have been positive.

The key performance indicators for the year are as follows:

The company achieved growth in 2026, driven by increased turnover compared to the previous accounting period. Growth was achieved through expanding their commercial operations, combined with price increases in line with UK inflationary pressures, representing increased cost of operating and running the company. Despite the increase in turnover and gross profit, net profit before tax decreased compared to the previous year, reflecting the impact of increased operating costs. The company continued to benefit from effective overhead cost control.

Going Concern

Whilst the Report of the directors and Financial Statements are focused on the financial results from 2026, the company's directors are mindful of the impacts of the macroeconomic conditions on the short to medium term resilience of the company. Due to the uncertainty caused by the macroeconomic landscape, the directors have looked at the resilience of the company to stay in business over the next 12 months. Three key measures have been looked at to determine if that position is reasonable, namely, income, expenditure, and cash flow. Based on a forecast of the likely activity in each of these areas the directors are satisfied that this position remains appropriate.

Cash flow

Based on the forecasted income and expenditure cash flow remains at a level above which is required to meet the debts of the company as they fall due.

The Directors regularly review the principal risks facing the Company and the measures required to manage them. The business operates in a competitive market characterised by tight margins, and the principal risk remains the impact of economic conditions in the United Kingdom on the new-build housing market.

Other risks include supply chain disruption, the loss of key management or senior employees, and the risk that the Company’s strategy and business model may not deliver the expected results. The Directors monitor these risks as part of their regular Board discussions and take appropriate action where necessary.

The Company’s financial instruments comprise cash balances, borrowings and lease obligations, together with trade receivables and trade payables arising in the normal course of business. The Directors monitor the associated financial risks as part of the Company’s ongoing financial management.

Market Strategies And Opportunities

The company's market strategy is focused on strengthening its competitive position and expanding market share through a combination of customer retention, new customer targets and geographic expansion. A key element of this strategy is improving customer satisfaction and building long-term relationships, which helps maintain a loyal customer base and drive repeat business. This is supported by enhanced service offerings, personalised experiences, and ongoing investments in customer support.

Additionally, the company is identifying and capitalizing on emerging opportunities to further its growth. By leveraging these strategies and opportunities, the company aims to achieve sustainable growth, boost profitability, and position itself for continued success in a competitive marketplace.

Events Subsequent To Year-End

There were no other significant events worthy of mention after the end of the financial year 2026.

Employee Matters

The company continues to supplement staff competencies on key technical areas through internal skills development and external training courses. The company remains an equal opportunities employer and implements rigorous health and safety policies.

Environmental Matters

The company is committed to minimising the impact of its activities on the environment and to continually improve its environmental performance.

Future Developments

The directors continue to implement a long term strategy that will enable the company to continue to grow.

The Board of Bridgebank Limited ("The Company") consider that the requirement of Section 172 of the Companies Act 2006 ("The Act") has been complied with and the directors of the company have acted in good faith in performing their duty in promoting the success of the company. During the year the Directors have had regard to (amongst others):

- Any potential long term consequences as a result of decisions taken during the year

- The interests of the company's employees, including any training requirements

- The need to meet customer's needs as well as their expectations

- The impact on the environment as a result of the company carrying on its trade

One example of how the Company has had regard to the matters set out in Section 172 when discharging the duties of the Act and the effect of that on decisions taken, is by the payment of the dividend. The Board regularly reviews the performance of the company throughout the year including the strength of its Balance Sheet, as well as the expected future performance taking into consideration uncertainties in the wider economy. During the financial year ended 31 January 2026, interim dividends of £340,000 were paid. In making this decision the Board considered the impact on the company's cash flow position and ability to meet future liabilities as they fall due.

On behalf of the board

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

The principal activity of the company continued to be that of groundworks and civil engineering.

The results for the year are set out on page 9.

Ordinary dividends were paid amounting to £340,000. The directors do not recommend payment of a final dividend.

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

The directors are considered to be the key management personnel of the company.

During the year the company made charitable donations of £17,231 (2025: £6,657), none of which were political in nature.

The auditor, Xeinadin Audit Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

During the year ended 31 January 2026, the Company consumed approximately 19,943,388 kWh of energy, comprising fuel used by its transport vehicles and site machinery and purchased electricity. This included 67,039 kWh of electricity.

The Company’s total greenhouse gas emissions from fuel consumption and electricity amounted to approximately 5,010 tonnes of CO₂ equivalent (2025: 4,245 tonnes). This equates to approximately 81 tonnes of CO₂ equivalent per £1 million of turnover (2025: 77 tonnes).

Principal energy efficiency measures

During the year, the company continued to implement measures designed to improve energy efficiency and reduce greenhouse gas emissions. These measures included the planned replacement and upgrading of plant and machinery with newer, lower-emission and more fuel-efficient equipment, ongoing monitoring of fuel consumption across construction sites and fleet operations, and the maintenance and optimisation of existing assets to improve operational efficiency. The company continues to consider opportunities to reduce energy consumption and improve the environmental performance of its operations.

Engagement with Suppliers, Customers and Others

The Directors recognise the importance of maintaining effective relationships with the Company’s suppliers, customers and other business partners. In making decisions during the year, the Directors have had regard to the need to foster these relationships, recognising their importance to the long-term success of the Company.

The Company seeks to maintain strong relationships through regular communication, reliable service, meeting customer requirements and the fair and timely settlement of supplier obligations. The Directors consider that maintaining positive business relationships supports the Company’s continued operations and future development.

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.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

We have audited the financial statements of Bridgebank Limited (the 'company') for the year ended 31 January 2026 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 January 2026 and of its profit for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The 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.

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

Based on our understanding of the company, we identified that the principal risks of non-compliance with laws and regulations related to the preparation of statutory accounts and corporation tax legislation including corporation tax, PAYE, National Insurance Contributions and VAT, together with regulations relevant to the construction industry, including the Construction Industry Scheme ("CIS"). We considered the extent to which non-compliance might have a material effect on the financial statements. As part of this assessment we considered both quantitative and qualitative factors. We also considered those laws and regulations that have a direct impact on the preparation on the financial statements, such as the Companies Act 2006 and FRS 102.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the nature of the Group's operations, management's control environment and the extent to which transactions are subject to judgement. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements which included the risk of management override of controls.

We determined that the principal risks were related to posting inappropriate journal entries, omitting, advancing or delaying recognition of events and transactions that have occurred during or after the reporting period, and potential management bias in the determination of accounting estimates Particular consideration was given to revenue recognition arising from contract valuations, measured works and customer self-billing arrangements, management override of controls, journal entry manipulation, and management bias in accounting estimates, including contract valuations, work in progress and remedial cost provisions or judgements to manipulate results.

Audit procedures performed by the engagement team include:

• Enquiries of management and those charged with governance regarding actual and potential litigation, claims, regulatory matters and instances of fraud or non-compliance with laws and regulations;

• Testing of journal entries, including those posted by senior management and those exhibiting unusual characteristics;

• Evaluation of management's controls designed to prevent and detect irregularities;

• Review of board minutes and correspondence with regulatory authorities where applicable;

• Review and testing of significant estimates and judgements, including contract valuations, accrued income, work in progress and remedial provisions;

• Assessing and evaluating the business rationale of significant transactions outside the normal course of business;

• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; matters, including corporation tax, VAT and CIS obligations; and

• Incorporation of elements of unpredictability into the nature, timing and extent of audit procedures performed.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

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.

Bridgebank Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 3, Sherwood Oaks Close, Sherwood Oaks Business Park, Mansfield, Nottinghamshire, England, NG18 4TB.

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 £.

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

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

The Company’s turnover comprises revenue from groundworks and civil engineering contracting activities, predominantly undertaken as a subcontractor on new-build residential housing developments.

Revenue from contracts is recognised by reference to the value of work performed during the period, based on monthly surveyor valuations, measured work completed and related applications for payment, with reference to agreed contract rates and tendered prices. Revenue is recognised in the period in which the work is performed and is not dependent solely on the timing of applications for payment or cash receipts.

Where contracts include retentions, these are accounted for in accordance with the terms of the relevant contracts and the Company’s entitlement to the amounts retained, taking account of any conditions that must be satisfied before payment becomes due and the recoverability of the amounts.

Materials purchased for use on contracts and held on site but not yet incorporated into the work performed are excluded from the measurement of work completed for revenue recognition purposes, where appropriate. The related costs are carried as stock or work in progress, as applicable, until used in performing the contract. Materials incorporated into work completed are reflected in the measurement of contract progress where appropriate.

The Company recognises the expected profit on contracts over the period in which the work is performed, where the outcome of the contract can be estimated reliably. Where a contract is expected to make an overall loss, the anticipated loss is recognised immediately.

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

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, 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.

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future 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.

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.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

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.

Bad Debt Provision

When evaluating debtors for recoverability risk, the Directors use their knowledge and experience to determine the provision required. The Company provides against debtor when the directors are aware of specific issues but also base on the ageing of the debts. All post year end information, including credit notes, are considered in the directors calculation and any amounts considered irrecoverable are provided against in full.

Work in progress on contract

Due to the nature of the work completed by the company, stocks and work in progress are valued on a monthly basis and invoiced in full.

The valuation of WIP is based on management's estimates and judgment, taking into account:

- The measured work completed of the project or production process.

- The estimated total costs to complete.

- The expected selling price or contract value.

- Any anticipated losses or impairments.

- Historical performance data, current progress reports, and post-balance sheet information where relevant.

Where reliable measurement is not possible, WIP is carried at cost until a reasonable estimate of completion and recoverable value can be made.

Dividends

Dividends to the Company’s shareholders are recognised as a distribution of equity when they become legally payable. Interim dividends are recognised when paid, and final dividends are recognised when approved by the shareholders. Dividends declared after the reporting date are not recognised as a liability at the reporting date.

In the application of the group’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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements

Retention

Judgement is required in assessing the recoverability and timing of receipt of retention monies withheld by customers under construction contracts. The Directors consider the contractual terms, the status of the relevant contracts, the completion of remedial obligations and the payment history of customers when determining the amounts to recognise and whether any provision for impairment is required.

Remedial provisions

The Company may be required to undertake remedial work in respect of completed contracts. Where a present obligation exists at the reporting date and the amount can be estimated reliably, a provision is recognised based on the Directors’ best estimate of the expenditure required to settle the obligation. The estimate takes account of the nature and extent of remedial work expected, historical experience and information available at the reporting date. The actual cost of remedial work may differ from the amount provided.

Valuation of work in progress

The Group's contract work in progress and accrued income balances are determined through the valuation of work performed on contracts up to the reporting date. Contract valuations are based on measured works completed against the relevant Bill of Quantities and other contractual entitlement.

The valuation process requires management to apply judgement and estimation in assessing the value of work performed, including the measurement of completed works, recoverability of uncertified amounts, variations, claims, and forecast contract outturn positions. Changes in these estimates and assumptions may result in material adjustments to the carrying value of work in progress, accrued income and contract profitability in future reporting periods.

The valuation of WIP is based on management's estimates and judgement, taking into account:

- measured works completed against the Bill of Quantities;

- contractually agreed rates and pricing schedules;

- variations and claims submitted or under negotiation;

- anticipated costs to complete contracts;

- expected recoverability of uncertified revenue; and

- historical contract performance and current project information.

The carrying value of contract work in progress and accrued income included within debtors at 31 January 2026 was £5,228,335 (2025: £6,205,107).

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

Their aggregate remuneration comprised:

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2025 - 2).

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:

In addition to the above an asset loan agreement is secured on further fixed assets with a net book value of £1,079,080 (2025: £1,131,283), depreciation charged in respect of those assets was £435,460 (2025: £472,307).

The asset loan liability is disclosed within hire purchase contracts.

The debtor due after more than 1 year relates to a retention provision. Contract balances include a 50% retention provision.

Included within other creditors is a provision of £309,540 (2025: £Nil) in respect of anticipated remedial costs arising from completed contracts. The provision represents management's best estimate of future expenditure required to fulfil obligations under completed works contracts

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:

Included in creditors are £888,044 (2025: £1,039,009) of secured debts in relation to hire purchase contracts. Hire purchase liabilities are secured on the assets to which they relate.

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

Deferred tax has been provided at 25% (2025: 25%) in respect of accelerated capital allowances.

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 Company has granted HSBC UK Bank plc a debenture incorporating fixed and floating charges over its assets and undertaking as security for banking and asset finance facilities. The charge was granted on 17 August 2023 and remained outstanding at 31 January 2026.

Amounts contracted for but not provided in the financial statements:

The company's key management personnel comprise solely the members of the Board of Directors.

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.

Bridgebank Group Limited is regarded by the directors as being the company's ultimate parent company.

During the year, a balance of £210,000 was due from a director. The loan was unsecured and interest-free. The balance was settled in full in the year and no amount remained outstanding at the date the financial statements were approved.

The ultimate parent undertaking is Bridgebank Group Limited, a company incorporated in England and Wales, whose ultimate controlling parties is Mr T P Ryan by virtue of 100% share ownership.The registered office is Unit 3 Sherwood Oaks Close, Sherwood Oaks Business Park, Mansfield, Nottinghamshire, NG18 4TB.

The 2026 consolidated accounts of Bridgebank Group Limited, in which the Company is included, are available to the public and may be obtained from Companies House.