For the year ended 31 December 2025
Note | 2025 | 2024 | |
|---|---|---|---|
Cash flows from operating activities |
|
|
|
Profit before tax |
| 11,649 | 6,489 |
Adjustments for: |
|
| |
Depreciation and amortisation | 11,12,13 | 4,666 | 4,300 |
Finance costs |
| 1,123 | 1,660 |
Net exchange differences | (750) | 459 | |
Equity-settled share-based payments | 25 | 1,674 | 1,077 |
Non-cash write-off of intercompany loans with closed business | 888 | 10,634 | |
Operating profit before changes in working capital and provisions |
| 19,250 | 24,619 |
Increase in trade and other receivables |
| (5,081) | (8,848) |
Decrease/(increase) in inventories |
| 4,829 | (699) |
Increase in trade and other payables |
| 5,579 | 3,112 |
Employee defined benefit contributions | 24 | (859) | (859) |
Cash generated from operations |
| 23,718 | 17,325 |
Interest paid |
| (1,477) | (2,437) |
Income taxes paid, net of refunds |
| (2,471) | (2,273) |
Net cash flows generated from operating activities |
| 19,770 | 12,615 |
Cash flows from investing activities |
|
|
|
Interest received |
| 1,152 | 1,471 |
Loans repaid by subsidiaries* | 26 | 5,206 | 1,796 |
Loans granted to subsidiaries* | 26 | (25,014) | (3,885) |
Purchase of intangibles | 13 | (268) | (88) |
Purchase of property, plant and equipment | 11 | (5,402) | (2,489) |
Net cash used in investing activities |
| (24,326) | (3,195) |
Cash flows from financing activities |
|
|
|
Proceeds of exercise of share options |
| 25 | 72 |
Repayment of borrowings | 19 | (14,584) | (8,357) |
Proceeds from borrowings | 19 | 25,931 | 6,750 |
Principal elements of lease payments | 12 | (2,153) | (1,769) |
Dividends paid to equity holders of the Company | 9 | (3,713) | (3,542) |
Net cash generated from/(used in) financing activities |
| 5,506 | (6,846) |
Net increase in cash and cash equivalents |
| 950 | 2,574 |
Cash and cash equivalents at 1 January |
| 5,449 | 2,875 |
Cash and cash equivalents at 31 December | 17 | 6,399 | 5,449 |
* Prior year restated to gross up amounts granted to and repaid by subsidiaries which had previously been net off.
Cash and cash equivalents comprise cash at bank and short-term highly liquid investments with a maturity date of less than three months, per the breakdown in note 22.
The net exchange differences of £750k within operating activities relate to the foreign exchange movement on borrowings and open forward contracts in the income statement (2024: £459k).
Refer to note 19 for a reconciliation of liabilities arising from financing activities.
The notes to the accounts form an integral part of these financial statements.