ACCOUNTS - Final Accounts

Operating profit

The operating profit is stated after charging:

Registered number: 02690345

A1 PHARMACEUTICALS PLC

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

A1 PHARMACEUTICALS PLC

COMPANY INFORMATION

Directors	G S Lewis BSc (Hons) MRPharmS
	C Lewis
	H T J Lewis
	T W Lewis


Company secretary	Mrs C Lewis


Registered number	02690345


Registered office	Unit 20 & 21 Easter Industrial Park
	Ferry Lane South
	Rainham
	Essex
	RM13 9BP


Independent auditors	Barnes Roffe Audit Limited
	Chartered Accountants & Statutory Auditor
	Charles Lake House
	Claire Causeway
	Crossways Business Park
	Dartford
	Kent
	DA2 6QA

A1 PHARMACEUTICALS PLC

CONTENTS

	Page
Strategic Report	1 - 2
Directors' Report	3 - 4
Independent Auditors' Report	5 - 8
Statement of Comprehensive Income	9
Balance Sheet	10
Statement of Changes in Equity	11
Notes to the Financial Statements	12 - 25

A1 PHARMACEUTICALS PLC

STRATEGIC REPORT

FOR THE YEAR ENDED 30 APRIL 2026

Introduction

The directors present their strategic report in conjunction with the financial statements for the year ended 30 April 2026.

Business review

The financial results, as detailed on page 9, reflect a resilient trading performance in what proved to be a challenging year, with the enduring consequences of Brexit, ongoing disruption across global markets and sustained volatility in foreign exchange rates all weighing on trading conditions. Turnover decreased from £60.1 million to £50.1 million, reflecting softer demand across key customer segments and the impact of adverse currency movements on procurement and competitiveness. Gross margins were also modestly lower than the previous year, though remained robust given the pressures faced.

The directors are pleased that the team responded decisively to these conditions, maintaining tight control over costs and protecting profitability, ensuring the company continued to trade profitably and generate cash. The company’s financial position remains strong, with net assets maintained at £16.5 million and cash balances remaining strong, supported by ongoing reinvestment in personnel, operational processes, and advanced technology.

During the year, the firm placed particular focus on developing new product groups and targeting new customer segments in order to rebuild market share and enhance profitability. This strategic direction positions the company well for a return to growth as market conditions stabilise.

Principal risks and uncertainties

The company’s principal risks include ongoing uncertainties in global markets and the continuing adjustments and trading frictions arising from Brexit, which remain a structural challenge for the business. In addition, volatility in foreign exchange rates and elevated inflation have created challenges during the year, with impacts on procurement costs, pricing competitiveness and profitability. The directors remain focused on driving operational efficiencies to mitigate rising overheads and safeguard operating margins.

Financial key performance indicators

The directors consider key performance indicators to be those that reflect the company’s financial performance and resilience, including turnover, gross profit, and operating profit. They also monitor inventory turnover to ensure stock levels remain efficient while minimising obsolescence, as well as order fulfilment and service levels to maintain high standards of customer satisfaction. In addition, customer growth and regulatory compliance are tracked as important measures of performance.

Page 1

A1 PHARMACEUTICALS PLC

STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 30 APRIL 2026

Directors' statement of compliance with duty to promote the success of the company

The directors are required under section 172 of the Companies Act 2006 to act in good faith to promote the success of the company for the benefit of its members, taking into account: long-term consequences, employee interests, relationships with suppliers and customers, community and environmental impact, high standards of business conduct, and fairness between members.

Directors are aware of these obligations and may seek independent advice as needed. Day-to-day operational decisions are delegated to employees, while the board focuses on strategic decisions aligned with both short- and long-term objectives, particularly regarding supply chain management and stakeholder relationships.

The board regularly reviews key stakeholders:

∙Customers – engaged through regular communication to meet their needs, providing excellent service and acting as an extension of their procurement teams

∙Employees – supported with training and development, guided by a strong management team, and offered competitive remuneration

∙Suppliers – collaborated with to identify opportunities, add value and strengthen long-term partnerships.

The company maintains a zero-tolerance policy on modern slavery and human trafficking, committed to ethical and responsible conduct throughout its operations and supply chains.

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

C Lewis

Director

Date: 29 October 2026

Page 2

A1 PHARMACEUTICALS PLC

DIRECTORS' REPORT

FOR THE YEAR ENDED 30 APRIL 2026

The directors present their report and the financial statements for the year ended 30 April 2026.

Directors' responsibilities statement

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the company's financial statements and then apply them consistently;

∙make judgments and accounting estimates that are reasonable and prudent;

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

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

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

Results and dividends

The profit for the year, after taxation, amounted to £892,337 (2025 - £2,654,887).

Dividends of £764,850 (2025: £2,661,807) were voted in the year.

Directors

The directors who served during the year were:

G S Lewis BSc (Hons) MRPharmS

C Lewis

H T J Lewis

T W Lewis

C Dancer (resigned 23 June 2026)

Page 3

A1 PHARMACEUTICALS PLC

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 APRIL 2026

Greenhouse gas emissions, energy consumption and energy efficiency action

During the year, the company emitted 119 tonnes (2025: 105 tonnes) of CO2 from activities involving transport, 19 tonnes (2025: 25 tonnes) of CO2 from the consumption of electricity for its own use and 7 tonnes (2025: 8 tonnes) of CO2 from the consumption of gas for its own use. Total aggregate energy consumption expressed in kWH was 569,395 (2025: 524,648).

Greenhouse gas emissions were calculated using the UK Government GHG Conversion Factors for Company Reporting 2025. Energy usage data was gathered from a variety of sources including fuel cards and fuel receipts for transport and utility bills for gas and electricity.

The group consider the most relevant factor in calculating the intensity ratio to be turnover which derives an intensity ratio of 2.90 tonnes (2025: 2.29 tonnes) of CO2 per total £1m of turnover.

Disclosure of information to auditors

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

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

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

Auditors

The auditors, Barnes Roffe Audit Limited, will be proposed for reappointment in accordance with section 489 of the Companies Act 2006.

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

C Lewis

Director

Date: 29 October 2026

Page 4

A1 PHARMACEUTICALS PLC

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC

Opinion

We have audited the financial statements of A1 Pharmaceuticals PLC (the 'company') for the year ended 30 April 2026, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of changes in equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

∙give a true and fair view of the state of the company's affairs as at 30 April 2026 and of its profit for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Page 5

A1 PHARMACEUTICALS PLC

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

∙the information given in the Strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic report or the Directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

∙adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

∙the financial statements are not in agreement with the accounting records and returns; or

∙certain disclosures of directors' remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Page 6

A1 PHARMACEUTICALS PLC

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with law 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 discussion with directors and other management, and from our commercial knowledge and experience of the Pharmaceuticals sector in which the company operates;

∙The specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, are as follows;

°Companies Act 2006

°FRS102

°Health and Safety legislation

°Employment legislation

°Tax legislation

°Medicines and Healthcare Products Regulatory Authority (MHRA) licence

°Various other licences to deal with the provision of pharmaceutical products and potential hazardous waste disposal.

∙We assessed the extent of compliance with the laws and regulations identified above through making enquiries of management, reviewing board minutes and inspecting relevant legal and other correspondence; and

∙Laws and regulations were communicated within the audit team at the planning meeting, and during the audit as any further laws and regulation were identified. The audit 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 enquires of management as to where they consider there was susceptibility to fraud and their knowledge of actual suspected and alleged fraud;

∙Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations;

∙Reviewing the financial statements and testing the disclosures against supporting documentation;

∙Performing analytical procedures to identify any unusual or unexpected trends or anomalies;

∙Inspecting and testing journal entries to identify unusual or unexpected transactions;

∙Assessing whether judgement and assumptions made in determining significant accounting estimates, including certain year end accruals, were indicative of management bias; and

∙Investigating the rationale behind significant transactions, or transactions that are unusual or outside the company’s usual course of business.

Page 7

A1 PHARMACEUTICALS PLC

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF A1 PHARMACEUTICALS PLC (CONTINUED)

The areas that we identified as being susceptible to misstatement through fraud were:

∙Management bias in the estimates and judgements made;

∙Management override of controls; and

∙Posting of unusual journals or transactions.

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

Use of our report

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

Nick Bartlett (Senior Statutory Auditor)

for and on behalf of

Barnes Roffe Audit Limited

Chartered Accountants

Statutory Auditor

Charles Lake House

Claire Causeway

Crossways Business Park

Dartford

Kent

DA2 6QA

Date: 29 October 2026

Page 8

A1 PHARMACEUTICALS PLC

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30 APRIL 2026

	2026	2025
Note	£	£


Turnover	4	50,109,070	60,102,403
Cost of sales		(44,750,638)	(52,934,421)
Gross profit		5,358,432	7,167,982
Administrative expenses		(4,432,779)	(3,970,005)
Operating profit	5	925,653	3,197,977
Interest receivable and similar income	9	263,352	234,271
Interest payable and similar expenses	10	(2,546)	(1,893)
Profit before tax		1,186,459	3,430,355
Tax on profit	11	(294,122)	(775,468)
Profit for the financial year		892,337	2,654,887

There were no recognised gains and losses for 2026 or 2025 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2026 (2025:£NIL).

The notes on pages 12 to 25 form part of these financial statements.

Page 9

A1 PHARMACEUTICALS PLC

REGISTERED NUMBER: 02690345

BALANCE SHEET

AS AT 30 APRIL 2026

		2026		2025
Note		£		£

Fixed assets
Tangible assets	13		320,570		475,973
Current assets
Stocks	14	4,830,388		5,420,380
Debtors: amounts falling due within one year	15	8,250,236		11,200,873
Cash at bank and in hand	16	7,397,172		7,799,024
		20,477,796		24,420,277
Creditors: amounts falling due within one year	17	(4,218,384)		(8,391,061)
Net current assets			16,259,412		16,029,216
Total assets less current liabilities			16,579,982		16,505,189
Creditors: amounts falling due after more than one year	18		(14,588)		(28,709)
Provisions for liabilities
Deferred tax	20		(75,805)		(114,378)
Net assets			16,489,589		16,362,102

Capital and reserves
Called up share capital	21	51,080	51,080
Profit and loss account		16,438,509	16,311,022
		16,489,589	16,362,102

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

C Lewis

Director

Date: 29 October 2026

The notes on pages 12 to 25 form part of these financial statements.

Page 10

A1 PHARMACEUTICALS PLC

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 30 APRIL 2026

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 May 2024	51,080	16,317,942	16,369,022

Profit for the year	-	2,654,887	2,654,887
Dividends: Equity capital	-	(2,661,807)	(2,661,807)

At 1 May 2025	51,080	16,311,022	16,362,102

Profit for the year	-	892,337	892,337
Dividends: Equity capital	-	(764,850)	(764,850)
At 30 April 2026	51,080	16,438,509	16,489,589

Page 11

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

1.	General information

The company is incorporated in England and Wales and has its registered office at Unit 20 & 21 Easter Industrial Park, Ferry Lane South, Rainham, Essex, RM13 9BP.

The principal activity of the company continued to be that of the manufacture, wholesale marketing and distribution of pharmaceutical products and medical devices.

2.Accounting policies

2.1

Basis of preparation of financial statements

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

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

∙the requirements of Section 7 Statement of Cash Flows;

∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);

∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of A1 Pharmaceuticals Holdings Limited as at 30 April 2026 and these financial statements may be obtained from Unit 20 & 21 Easter Industrial Park, Ferry Lane South, Rainham, Essex, RM13 9BP.

Page 12

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

2.Accounting policies (continued)

2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

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

∙the company has transferred the significant risks and rewards of ownership to the buyer;

∙the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

2.4

Operating leases: the company as lessee

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

2.5

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.6

Finance costs

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

2.7

Pensions

Defined contribution pension plan

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

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

Page 13

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

2.Accounting policies (continued)

2.8

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

2.9

Tangible fixed assets

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

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following bases:

Leasehold improvements	-	15 years straight line
Plant and machinery	-	10% - 33% straight line
Motor vehicles	-	20% straight line

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

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

Page 14

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

2.Accounting policies (continued)

2.10

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.11

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.12

Cash and cash equivalents

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

2.13

Creditors

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

2.14

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

2.15

Financial instruments

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

Basic financial assets

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit or loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Page 15

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

2.Accounting policies (continued)

2.15

Financial instruments (continued)

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

Financial liabilities

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

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

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

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

2.16

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

3.	Judgments in applying accounting policies and key sources of estimation uncertainty

a) Critical judgements in applying the company's accounting policies

No significant judgments have been made by management in the preparation of the financial statements.

b) Key accounting estimates and assumptions

The company holds a significant amount of product stock and is subject to changing consumer demands and industry trends. As a result it is necessary to consider the recoverability of the cost of stock and the associated provisioning required. When calculating the stock provision, management considers the nature and condition of the stock, as well as applying assumptions around the saleability of stock at the year end and the company has provided against £254,333 (2025: £42,819) of the total stock value of £4,830,388 (2025: £5,420,380).

Page 16

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

Turnover

					2026	2025
					£	£

	Sales	50,109,070	60,102,403

Analysis of turnover by country of destination:

					2026	2025
					£	£

United Kingdom	49,256,155	59,133,672
Rest of Europe	852,915	968,731
	50,109,070	60,102,403

Other operating lease rentals

373,484

363,645

6.	Auditors' remuneration
		2026	2025
		£	£

Fees payable to the company's auditors and their associates for the audit of the company's financial statements

17,400

16,600

The company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent company.

Page 17

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

Wages and salaries	1,697,922	2,002,638
Social security costs	239,789	260,089
Cost of defined contribution scheme	532,095	40,903
	2,469,806	2,303,630

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

	2026	2025
	No.	No.

Office and management	13	13
Production and sales	40	39

	53	52

8.	Directors' remuneration
		2026	2025
		£	£

Directors' emoluments	365,707	392,928
Company contributions to defined contribution pension schemes	484,955	6,000
	850,662	398,928

	During the year retirement benefits were accruing to 5 directors (2025 - 1) in respect of defined contribution pension schemes.
	The highest paid director received remuneration of £345,307 (2025 - £372,527).
	The value of the company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £4,955 (2025 - £6,000).

Page 18

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

9.	Interest receivable
		2026	2025
		£	£

Interest receivable from group companies

263,352

234,271

10.	Interest payable and similar expenses
		2026	2025
		£	£

Bank interest payable

2,546

1,893

Corporation tax
Current tax on profits for the year	332,695	773,532

	Deferred tax
	Origination and reversal of timing differences	(38,573)	1,936


	Tax on profit	294,122	775,468

Page 19

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

11.Taxation (continued)

Profit on ordinary activities before tax

1,039,344

3,430,355

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2025 - 25%)	296,615	857,589
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	2,044	2,023
Depreciation for the year in excess of capital allowances	37,892	(1,936)
Movement in deferred tax	(38,573)	1,936
Pension relief spreading	-	(84,144)
Group relief	(3,856)	-
Total tax charge for the year	294,122	775,468

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

12.	Dividends
		2026	2025
		£	£

Dividends paid

764,850

2,661,807

Page 20

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

13.	Tangible fixed assets

	Short-term leasehold property	Plant and machinery	Motor vehicles	Total
	£	£	£	£
Cost or valuation
At 1 May 2025	498,398	849,951	584,961	1,933,310
Additions	650	12,666	5,392	18,708
Disposals	-	(73,769)	-	(73,769)
At 30 April 2026	499,048	788,848	590,353	1,878,249
Depreciation
At 1 May 2025	372,135	690,939	394,263	1,457,337
Charge for the year on owned assets	10,263	33,145	49,828	93,236
Charge for the year on financed assets	-	8,890	14,026	22,916
Disposals	-	(15,810)	-	(15,810)
At 30 April 2026	382,398	717,164	458,117	1,557,679
Net book value
At 30 April 2026	116,650	71,684	132,236	320,570
At 30 April 2025	126,263	159,012	190,698	475,973

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2026	2025
	£	£


Plant and machinery	8,890	17,780
Motor vehicles	22,044	36,070
	30,934	53,850

Page 21

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

14.	Stocks
		2026	2025
		£	£

	Finished goods and goods for resale	4,830,388	5,420,380

15.

Debtors

					2026	2025
					£	£


Trade debtors	7,254,838	10,344,867
Other debtors and prepayments	957,898	818,506
Called up share capital not paid	37,500	37,500
	8,250,236	11,200,873

16.	Cash and cash equivalents
		2026	2025
		£	£

	Cash at bank and in hand	7,397,172	7,799,024

17.	Creditors: Amounts falling due within one year
		2026	2025
		£	£

Trade creditors	1,526,426	3,400,431
Amounts owed to group undertakings	1,150,956	3,169,131
Corporation tax	313,777	167,946
Other taxation and social security	307,741	526,170
Obligations under finance lease and hire purchase contracts	13,815	12,992
Other creditors	905,669	1,114,391
	4,218,384	8,391,061

Page 22

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

18.	Creditors: Amounts falling due after more than one year
		2026	2025
		£	£

	Net obligations under finance leases and hire purchase contracts	14,588	28,709

Within one year	6,668	6,668
Between 1-5 years	11,231	17,343
	17,899	24,011

The above amounts are secured against the assets to which they relate.

20.	Deferred taxation

	2026	2025
	£	£

At beginning of year	(114,378)	(112,442)
Charged to profit or loss	38,573	(1,936)
At end of year	(75,805)	(114,378)

The provision for deferred taxation is made up as follows:
	2026	2025
	£	£

Accelerated capital allowances

(75,805)

(114,378)

Page 23

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

21.	Share capital
		2026	2025
		£	£

Allotted, called up and fully paid

51,000 (2025 - 51,000) Ordinary shares of £1.00 each	51,000	51,000
10 (2025 - 10) Ordinary B shares of £1.00 each	10	10
10 (2025 - 10) Ordinary C shares of £1.00 each	10	10
10 (2025 - 10) Ordinary D shares of £1.00 each	10	10
10 (2025 - 10) Ordinary E shares of £1.00 each	10	10
10 (2025 - 10) Ordinary F shares of £1.00 each	10	10
10 (2025 - 10) Ordinary G shares of £1.00 each	10	10
10 (2025 - 10) Ordinary H shares of £1.00 each	10	10
10 (2025 - 10) Ordinary I shares of £1.00 each	10	10

	51,080	51,080

22.	Pension commitments

The company operates defined contribution pension schemes. The assets of the schemes are held separately from those of the company in independently administered funds. The pension cost charge represents contributions payable by the company to these funds and amounted to £532,095 (2025: £40,903). Contributions totalling £13,733 (2025: £17,204) were payable to these funds at the balance sheet date and are included in other creditors due within one year.

23.	Transactions with directors

During the prior year, the company provided a guarantee in respect of a loan facility obtained by the directors, which amounted to £2,850,000. The guarantee is secured over the assets of the group and as at the 30 April 2026 no amounts have been called under the guarantee.

Page 24

A1 PHARMACEUTICALS PLC

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2026

24.

Related party transactions

Included within other creditors due within one year are amounts due to the A1 Pharmaceuticals PLC Employee Benefit Trust of £18,317 (2025: £18,317).

During the year the company paid rent of £368,484 (2025: £358,645) to G S and Mrs C Lewis in respect of commercial property owned by them and leased to the company.

At the year end, amounts were due of £617,665 (2025: £538,969) from a company under common control.

At the year end, amounts were owed of £647,833 (2025: £744,902) to a company under common control.

25.	Controlling party

The company is controlled by G S and Mrs C Lewis. The ultimate parent company is A1 Pharmaceuticals Holdings Limited, a company incorporated in England and Wales.

Page 25