REGISTERED NUMBER: 07569225 (England and Wales)

Kadai Ltd

Unaudited Financial Statements

for the Year Ended 31 January 2026

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

C H McKinnon-Wood

SECRETARY:

Miss C L S Homersham

REGISTERED OFFICE:

Home Farm

Leebotwood

Church Stretton

SHROPSHIRE

SY6 6LX

REGISTERED NUMBER:

07569225 (England and Wales)

ACCOUNTANTS:

Streets Dyke Ruscoe Ltd

110 Corve Street

Ludlow

SHROPSHIRE

SY8 1DJ

FIXED ASSETS

Intangible assets

4

-

-

Property, plant and equipment

5

86,385

49,782

86,385

49,782

CURRENT ASSETS

Inventories

6

369,514

455,459

Debtors

7

498,685

1,286,492

Cash at bank and in hand

2,453,434

2,478,836

3,321,633

4,220,787

CREDITORS

Amounts falling due within one year

8

314,928

225,268

NET CURRENT ASSETS

3,006,705

3,995,519

TOTAL ASSETS LESS CURRENT LIABILITIES

3,093,090

4,045,301

PROVISIONS FOR LIABILITIES

18,509

10,261

NET ASSETS

3,074,581

4,035,040

CAPITAL AND RESERVES

Called up share capital

51

51

Capital redemption reserve

49

49

Retained earnings

3,074,481

4,034,940

SHAREHOLDERS' FUNDS

3,074,581

4,035,040

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 January 2026.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 January 2026 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 28 October 2026 and were signed by:

C H McKinnon-Wood - Director

1.	STATUTORY INFORMATION

Kadai 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 Company Information page.

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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Turnover

Revenue is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2011, is being amortised evenly over its estimated useful life of ten years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Patents and licences are being amortised evenly over their estimated useful life of ten years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Short leasehold

-

10% on reducing balance

Improvements to property

-

10% on reducing balance

Plant and machinery

-

20% on reducing balance

Fixtures and fittings

-

20% on reducing balance

Motor vehicles

-

20% on reducing balance

Office equipment

-

33% on cost

Stocks

Inventories are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

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

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 24 (2025 - 17 ) .

4.	INTANGIBLE FIXED ASSETS

Patents

and

Goodwill

licences

Totals

£

£

£

COST

At 1 February 2025

and 31 January 2026

50,000

6,414

56,414

AMORTISATION

At 1 February 2025

and 31 January 2026

50,000

6,414

56,414

NET BOOK VALUE

At 31 January 2026

-

-

-

At 31 January 2025

-

-

-

5.	PROPERTY, PLANT AND EQUIPMENT

Improvements

Short

to

Plant and

leasehold

property

machinery

£

£

£

COST

At 1 February 2025

1,095

16,051

40,366

Additions

-

4,500

-

Disposals

-

-

-

At 31 January 2026

1,095

20,551

40,366

DEPRECIATION

At 1 February 2025

727

6,794

31,216

Charge for year

37

939

1,830

Eliminated on disposal

-

-

-

At 31 January 2026

764

7,733

33,046

NET BOOK VALUE

At 31 January 2026

331

12,818

7,320

At 31 January 2025

368

9,257

9,150

Fixtures

and

Motor

Office

fittings

vehicles

equipment

Totals

£

£

£

£

COST

At 1 February 2025

21,115

53,456

56,684

188,767

Additions

-

-

63,156

67,656

Disposals

(8,425

)

-

(211

)

(8,636

)

At 31 January 2026

12,690

53,456

119,629

247,787

DEPRECIATION

At 1 February 2025

9,486

38,654

52,108

138,985

Charge for year

774

2,961

16,657

23,198

Eliminated on disposal

(671

)

-

(110

)

(781

)

At 31 January 2026

9,589

41,615

68,655

161,402

NET BOOK VALUE

At 31 January 2026

3,101

11,841

50,974

86,385

At 31 January 2025

11,629

14,802

4,576

49,782

6.	INVENTORIES

2026

2025

£

£

Stocks

369,514

455,459

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

£

Trade debtors

233,399

571,448

Amounts owing from a related party

85,198

599,653

Prepayments

180,088

115,391

498,685

1,286,492

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

£

Trade creditors

51,692

13,318

Tax

51,895

83,754

Social security and other taxes

16,572

9,334

VAT

15,817

23,157

Other creditors

4,766

4,273

Directors' current accounts

147,780

84,555

Accruals and deferred income

26,406

6,877

314,928

225,268

9.	DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 January 2026 and 31 January 2025:

2026

2025

£

£

C H McKinnon-Wood

Balance outstanding at start of year

(84,555

)

(13,990

)

Amounts advanced

28,552

55,179

Amounts repaid

(91,776

)

(125,744

)

Amounts written off

-

-

Amounts waived

-

-

Balance outstanding at end of year

(147,779

)

(84,555

)

Interest has been charged on the loan at a rate of interest of 2.25%.

10.	RELATED PARTY DISCLOSURES

During the year the company engaged in transactions with Wilstone House and Gardens Limited a connected company. Over a historical period of approximately five years, intercompany trading and financing balances have accumulated in the ordinary course of business, comprising:

Working capital and joint overhead funding: Intercompany cash advances and net recharges for shared operational, administrative, and facility costs built up over time, amounting to £683,509

Unsettled inventory and stock movements: Commercial transfers of trading stock supplied by the company that remain unpaid within reciprocal trading ledger balances, amounting to £366,491

Prior to the year end review, the total gross balance due to the company was £1,050,000 (2025: £1,044,418).

The amounts advanced and trading balances were unsecured, interest free and had no fixed terms of repayment.

During the financial year, the director conducted a formal recoverability review of the amounts owed by the connected company, taking into account the connected company's balance sheet position, net liabilities and future cash generation capacity. Following this assessment, the director concluded that there is no realistic prospect of recovering the debt.

Consequently, the outstanding balance of £1,050,000 was formally written off in full via a formal Deed of Waiver during the year and recognised as an exceptional item in the profit and loss