REGISTERED NUMBER: 02660956 (England and Wales)

Strategic Report, Report of the Directors and

Financial Statements

for the Period 1 January 2024 to 30 December 2024

for

Ghekko Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Profit and loss account

10

Other Comprehensive Income

11

Balance Sheet

12

Statement of Changes in Equity

13

Notes to the Financial Statements

14

DIRECTORS:

Mr H Boy

Mr N R Skinner

SECRETARY:

Mr M A Taylor

REGISTERED OFFICE:

Amtri House

Hulley Road

Macclesfield

Cheshire

SK10 2NE

REGISTERED NUMBER:

02660956 (England and Wales)

AUDITORS:

Thompson Wright (Audit) Limited

Ebenezer House

Ryecroft

Newcastle under Lyme

Staffordshire

ST5 2BE

The directors present their strategic report for the period 1 January 2024 to 30 December 2024.

REVIEW OF BUSINESS

Due to overstocking issues from the previous years, a strategic decision was made to focus on selling down aged stock. As a result, turnover has fallen by 4.4% and the gross profit margin has reduced to 20.27% compared with 22.4% in the prior year.

Following a loss in the previous year, the company has returned to profit. Staffing levels have been tightened leading to a reduction in wages costs. Tighter controls were put in place in regards to debtors, as shown by the reduction in bad debts this year. These have contributed to a reduction in administrative expenses of £515,896 compared with the prior year.

During the year the company continued to pursue its legal claim over the purchase of faulty medical grade PPE from an overseas supplier. There is no expectation of a successful claim, therefore these costs have been expensed as detailed in note 7.

There may be a small amount of further costs in 2025 up until the conclusion of the case, the amounts of which are currently not known.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors consider the key risks faced by the company to be market risk, financial and interest rate risk, exchange rate risk and credit risk.

The directors are also constantly monitoring competitors to help to minimise market risk after the overstocking issues of 2023.

The board have been reviewing and managing both staffing and operations to run a more effective and leaner business.

The company seeks to manage financial risk by ensuring much better efficiency of stock control and working on reducing both stock value on hand and also the improved stock turnover.

The company is looking to reduce the stock value which should result in decreasing the overdraft significantly, thus reducing finance costs.

Where the company has had to undertake short and longer term borrowings, the company's exposure to interest rate fluctuations on its borrowings are managed by the use of fixed and floating facilities. The company has paid 75% of the covid loan and it ends in March 2025.

The maturity of borrowings is set out in note 17 to the financial statements.

The company operates across several national jurisdictions which exposes the company to foreign currency risks.

The company did not enter into any foreign currency forward contracts this year. The company raises invoices in the customer's functional currency to offset some of this risk and holds foreign currency reserves to minimise this risk.

The principal credit risk arises from the trade debtors.

In order to manage credit risk, the directors set limits for its customers based on a combination of payment history and credit references. Credit limits are reviewed by the credit controller on a regular basis in conjunction with debt ageing and collection history.

During 2024 credit risk exposure was spread over a large number of customers.

FINANCIAL KEY PERFORMANCE INDICATORS

The director assesses the financial performance of the company by reviewing key financial benchmarks, namely, gross profit percentage, stock turnover, debtor days and creditor days.

Gross profit percentage is the measure of gross profit compared with turnover as a percentage and measures the company's ability to maintain a healthy price of goods supplied to customers against managing costs of goods purchased.

2024

2023

Gross profit percentage

20.27%

22.41%

The stock turnover ratio measures how many days, on average, stock is held before being sold and dispatched.

2024

2023

Stock turnover

180 days

219 days

The debtor days ratio measures how quickly cash is being collected from debtors. The longer it takes for a company to collect, the greater the number of debtors days.

2024

2023

Debtor days

26 days

33 days

The creditor days ratio measures the average number of days it takes to pay suppliers. The lower this value is, the quicker supplier are being paid.

2024

2023

Creditor days

12 days

9 days

FUTURE DEVELOPMENTS

Looking to the future, the directors intend to continue to improve stock control and it is hoped that better stock rotation will lead to a decrease in bank interest and charges and help improve profitability. The trading outlook for 2025 is positive with trading levels and operating margins being maintained.

ON BEHALF OF THE BOARD:

Mr N R Skinner - Director

20 November 2025

The directors present their report with the financial statements of the company for the period 1 January 2024 to 30 December 2024.

PRINCIPAL ACTIVITY

The principal activity of the company in the period under review was that of the wholesale distribution of telecommunications equipment.

DIVIDENDS

No dividends will be distributed for the period ended 30 December 2024.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

Mr H Boy

Mr N R Skinner

Other changes in directors holding office are as follows:

Mr M W Neillans - resigned 9 December 2024

DISCLOSURE IN THE STRATEGIC REPORT

Future developments and principal risks and uncertainties are disclosed in the Strategic Report.

The company has chosen in accordance with section 414(c) of the Companies Act 2006 (Strategic and Directors Report) Regulations 2013 to set out in the company's Strategic Report information required by schedule 7 of the Large and Medium Sized Companies and Groups (Accounts and Reports) Regulations 2008.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), 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 and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

AUDITORS

The auditors, Thompson Wright (Audit) Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

Mr N R Skinner - Director

20 November 2025

Opinion

We have audited the financial statements of Ghekko Limited (the 'company') for the period ended 30 December 2024 which comprise the Profit and loss account, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 December 2024 and of its profit for the period 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 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 directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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.

In connection with our audit of the financial statements, 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 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 the audit:

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

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

-	adequate accounting records have not been kept, 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 Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the 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.

Auditors' responsibilities for the audit of the financial statements

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

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

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

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

- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience;

- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery and corruption legislation, quality management system, anti-slavery and employment, environmental (including Waste Electrical and Electronic Equipment recycling (WEEE) Regulations 2013), other industry specific accreditations and health and safety legislation;

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

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

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

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

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

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

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

- tested journal entries to identify unusual transactions;

-assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

-investigated the rationale behind significant or unusual transactions.

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

-agreeing financial statement disclosures to underlying supporting documentation;

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

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

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

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

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

Use of our report

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

Richard Thompson FCA (Senior Statutory Auditor)

for and on behalf of Thompson Wright (Audit) Limited

Ebenezer House

Ryecroft

Newcastle under Lyme

Staffordshire

ST5 2BE

20 November 2025

TURNOVER

3

9,473,155

9,913,637

Cost of sales

7,553,000

7,692,480

GROSS PROFIT

1,920,155

2,221,157

Administrative expenses

1,862,796

2,418,694

57,359

(197,537

)

Other operating income

4

149,673

162,143

OPERATING PROFIT/(LOSS)

6

207,032

(35,394

)

Interest payable and similar expenses

8

160,568

162,119

PROFIT/(LOSS) BEFORE TAXATION

46,464

(197,513

)

Tax on profit/(loss)

9

15,629

(14,755

)

PROFIT/(LOSS) FOR THE FINANCIAL PERIOD

30,835

(182,758

)

PROFIT/(LOSS) FOR THE PERIOD

30,835

(182,758

)

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

30,835

(182,758

)

Note

Prior year adjustment

11

8,411

(21,003

)

TOTAL COMPREHENSIVE INCOME SINCE LAST ANNUAL REPORT

39,246

(203,761

)

FIXED ASSETS

Tangible assets

12

51,144

99,987

CURRENT ASSETS

Stocks

13

3,714,641

4,617,551

Debtors

14

1,846,156

1,943,553

Cash at bank

18,616

457,477

5,579,413

7,018,581

CREDITORS

Amounts falling due within one year

15

5,588,540

6,938,017

NET CURRENT (LIABILITIES)/ASSETS

(9,127

)

80,564

TOTAL ASSETS LESS CURRENT LIABILITIES

42,017

180,551

CREDITORS

Amounts falling due after more than one year

16

-

(160,375

)

PROVISIONS FOR LIABILITIES

20

(2,280

)

(11,274

)

NET ASSETS

39,737

8,902

CAPITAL AND RESERVES

Called up share capital

21

12

12

Retained earnings

22

39,725

8,890

SHAREHOLDERS' FUNDS

39,737

8,902

The financial statements were approved by the Board of Directors and authorised for issue on 20 November 2025 and were signed on its behalf by:

Mr N R Skinner - Director

Called up

share

Retained

Total

capital

earnings

equity

£

£

£

Balance at 1 January 2023

12

847,151

847,163

Prior year adjustment

-

(21,003

)

(21,003

)

As restated

12

826,148

826,160

Changes in equity

Total comprehensive income

-

(191,169

)

(191,169

)

Dividends

-

(634,500

)

(634,500

)

Balance at 31 December 2023

12

479

491

Prior year adjustment

-

8,411

8,411

As restated

12

8,890

8,902

Changes in equity

Total comprehensive income

-

30,835

30,835

Balance at 30 December 2024

12

39,725

39,737

1.	STATUTORY INFORMATION

Ghekko Limited is a private company, limited by shares, registered in England and Wales. The company's registered number and registered address can be found on the Company Information page.

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

The nature of the company's operation and its principle activity is that of importing and distributing telecommunication equipment.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The principal accounting policies applied in the financial statements are set out below. These policies have been consistently applied to all years presented, unless otherwise stated.

The preparation of financial statements in conformity with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the company's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed below.

After making enquiries, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future, being the 12 month period from the date of these accounts being approved and therefore the financial statements have been prepared on a going concern basis.

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 FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

•

the requirements of Section 7 Statement of Cash Flows;

•

the requirement of paragraph 3.17(d);

•

the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);

•

the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A;

•

the requirement of paragraph 33.7.

The company has taken advantage of the exemption under paragraph 1.12(b) from preparing a statement of cash flows, on the basis that it is a qualifying entity and its ultimate parent company, Seb World Limited, includes the company's cash flows in its consolidated financial statements.

Related party exemption

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

Critical accounting judgements and key sources of estimation uncertainty

The preparation of financial statements in conformity with generally accepted principles requires the directors to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Some of these estimates and judgements are inherently uncertain and subject to change. The impact of any change in accounting estimates is reflected in the period in which the estimate is revised, if the revision only affects the period, or in the period of the revision and future periods if the revision affects both current and future periods. In this respect the directors believe that the critical accounting policies where judgements or estimations are necessarily applied are as follows.

Critical accounting estimates and assumptions

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimates of useful economic lives and residual value of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, of economic utilisation of the assets.

Impairment of debtors

Management performs ongoing reviews of the recoverability of debtor balances, an allowance for doubtful debts is maintained for potential credit losses based on management's assessment of the expected collectability of amounts receivable. The allowance for bad debts is reviewed periodically to assess its adequacy.

The carrying value of trade debtors at the year end was £657,954 (2023 - £902,996).

Provision for obsolete and slow moving stocks

The company reviews its stocks to assess loss on account of obsolescence on a regular basis. In determining whether provision for obsolescence should be recorded in profit or loss, the company considers whether there are any observable data indicating that there is any future saleability of the product and the estimated net realisable value for such product. Accordingly, provision for impairment is made where the net realisable value is less than the cost based on estimates by the management. The provision for obsolescence of stock is based on the ageing and historical sales pattern. The carrying value of stocks at the year end was £3,714,641 (2023 - £4,617,551).

Turnover

Turnover 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:

Sales 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.

Revenue is recognised when goods are dispatched.

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any 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.

The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Depreciation is charged so as to allocate the cost of assets over their estimated useful lives using the following bases.

Long-term leasehold property

-

20% straight line

Plant and machinery

-

20% straight line

Motor vehicles

-

25% straight line

Fixtures, fittings & equipment

-

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.

Stocks

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

Financial instruments

The company enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, bank financing facilities and loans from related parties.

Debt instruments, including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account.

For financial assets measured at amortised cost, the impairment loss is measured at the difference between an asset's carrying amount and the present value of estimated cash flows.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expires or are settled, or (b) substantially all risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial liabilities are derecognised when the liability is extinguished, that is, when the contractual obligation is discharged, cancelled or expires.

Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an 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.

Derivatives, including forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or income as appropriate. The company does not apply hedge accounting for foreign exchange derivatives.

Taxation

Taxation for the period comprises current and deferred tax. Tax is recognised in the Profit and loss account, 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 period 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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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.

Valuation of investments

Investments in listed company shares are remeasured to market value at each balance sheet date. Gains and losses on remeasurement are recognised in profit or loss for the period.

3.

TURNOVER

The turnover and profit (2023 - loss) before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

United Kingdom

3,797,476

4,515,199

Europe

3,424,600

3,254,498

Rest of world

2,251,079

2,143,940

9,473,155

9,913,637

4.	OTHER OPERATING INCOME

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Management fee

116,224

121,341

Exchange gains

33,449

40,802

149,673

162,143

5.	EMPLOYEES AND DIRECTORS

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Wages and salaries

891,570

1,076,913

Social security costs

107,756

123,531

Other pension costs

12,540

14,181

1,011,866

1,214,625

The average number of employees during the period was as follows:

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

Sales

7

7

Administration

4

6

Warehouse

9

11

20

24

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Directors' remuneration

320,626

365,202

Information regarding the highest paid director is as follows:

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Emoluments etc

187,020

222,619

6.	OPERATING PROFIT/(LOSS)

The operating profit (2023 - operating loss) is stated after charging/(crediting):

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Other operating leases

109,802

116,152

Depreciation - owned assets

36,636

49,142

Depreciation - assets on hire purchase contracts

14,548

14,547

Loss on disposal of fixed assets

-

8,593

Auditors' remuneration

18,500

18,000

Other non- audit services

11,755

14,000

Foreign exchange differences

(33,449

)

(40,802

)

7.	EXTRAORDINARY ITEMS

During 2020, the company entered into a contract to purchase medical grade PPE from an overseas supplier for £3,605,974. The contract required the goods to be paid for in advance. The goods supplied were neither the correct grade nor the correct quality and so legal proceedings were entered into to recover the advance payments made by the company.

The company has continued its pursuit of the legal claim into 2024 incurring additional costs of £243,296 (2023 £245,977). It is anticipated that no damages will be received and all costs have been written off as incurred.

In 2023 the stock value of the masks was written off to £nil. The write off included in extraordinary items is £167,279.

The total charge included in extraordinary items is £243,296 (2023 £413,256).

8.

INTEREST PAYABLE AND SIMILAR EXPENSES

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Bank interest

121,724

109,420

Bank loan interest

27,000

48,730

HMRC interest

10,629

1,218

Hire purchase

1,215

2,751

160,568

162,119

9.

TAXATION

Analysis of the tax charge/(credit)

The tax charge/(credit) on the profit for the period was as follows:

Period

1.1.24

to

Year Ended

30.12.24

31.12.23

£

£

Current tax:

UK corporation tax

24,623

-

Deferred tax

(8,994

)

(14,755

)

Tax on profit/(loss)

15,629

(14,755

)