Company registration number- 1816889 (England and Wales} Charity registrdtion nujnber. 1094652 REPORT OF THE TRUSTEES AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 FOR PROMO£YMRU LTD Robert Hugh Llmited Registered Auditors and Chartered Accountants 15 Dan y Bryn Avenue Ra(tyr Cardiff CF158DD PROMO-CYMRU LTD CONTENTS RTHEYE F THE CONSOLIDATED FINANCIAL STATEMENTS EMDED 31 MARCH 2025 RefereTr￿ and Administration Detsi15 Report of Ihe Tru51ees 21011 Slalement of Trustees. Responsibilities 12 Report of the Independent AuditOTS 13to15 Statement of ConsolKlated Financial Activitses 16 Stalemènl of Compary FinancialAciwities 17 Balance Sheets 18 Slalemenl of Consolidaled and Company Cash Flows 19 Notes to the Consolidated Financial Ststernents 20to36 PROMO-CYMRU LTD REFERENCE AND ADMINISTRATIVE D￿AlLs Charlty name Prorn(pCymru Ltd Charity registratlon number 1094652 Company rggistratlon number 1816889 Principal office 17 West Btste Stteet Cardiff CF10 SEP Registered office 17 Wesl Bute Stre8t Cardtff CF10 SEP The tharrty is incorporated in England and Wales. Trustees M Morgan. Chair D M Martin MD Williams AS Ozalp E Hails RA Harford E Parker AR SUMMe￿ell F Walker Sècretary M Gikcervanles Auditors Robert Hugh Limited Registef8d Au(fitors and Chart8red Accountan15 15 Dan y Bryn Avenue Radyr Cardiff CF158DD Page 1 -CYMRU LTD TEE 'REP The Iruslees, who are direBtor5 for the purposes of Company law. present the annual report together with the financial slalements and audilots report Df the chatilable company for the year ended 31 March 2025. strUC￿re. Governance and Management Govemlng Document The charity is CAintrollerJ by ils goveming (kncument. Is Memorandum and Artic]p5 of A550CBtion. and is limited by guarantee and not having a share capital, as defned by the Companies Act 2006. Every Member of ihe company undertakes to contribule such amount as may be ieqLpred Inol exceeding £1) lo the company's assels rf it should be wound up while helshe is a member orwilhin one year after helshe ceased lo be a member, for repaymenl of th8 compan*s debts and liabilities conlracled before hetshe ceased to be a member, and of the Costs and expenses of winding up, and for the adjuslmenl of the rights of the LX)ntribtrtors amongst themselve5. Recruitment and Appointment of New Trustees The Company is d1￿cted by a board of trustees. the membets of which are all committed to the seclofs prinCip￿S and ideals. The directors of the company are aL80 charity Iwslees forth- Purposes of charity law and undei the company's Articles are known as mefflbe￿ of the Council of Management. Under the requirements of the Memorandurn and Article5 of Association, the mernbets of Ihe Council of Management are elected lo serve f(w a year after which they musl be Ye-¢le¢tod al the next Annual General Meeling. The members of the board Tecewe no material benefrts or ￿MUneTaf10n fTom Ihe coryany for Ihelr lime and seNices. Induction and Tralning of New Trustees Most trustee5 are alre* familiar with the practical work of the charity- Information is made available covering Ihe following. The obligation5 of Management Committee members. The main documents which sel out the q)erational framewrrfk for the charity including IhB Memorandum and Artides of Association. Resouicing and the current financial ￿sItIon as sel out in the la*st published accounts. Future plans and objectives. Organlsatlonal Structure rhe board of trustees, who meet bFmonlhty. administer Ihe charty. A chief executive is appointed by Ihe trustees to manage the day-tTrday operation of the charity. The Irusleas at the year end were a5 $h¢y4vn on page 1. E Parker was appointed on 4 March 2025, AR Summert)el, RA Harford and F Walker were appoinled on 14 Moy 2025. M Bowden resigngd on 14 May 2025. D Finnegan re$KJned on 28 January 2025. JH Lee res*3r￿d on 29 October 2024. Page 2 ROMO.CYMRU LTO TR STEES. REPORT Widgr Ne￿ork Promo£ymru has continued lo work with a number of partners, funders and denls. These in¢lude'.- Partners.. Council for Wale5 Volunlary Youth se￿ICe- CWVYS Wales Council for Voluntary Action - WCVA Cwmpa5 Volurklary Councils acTOSS Wales European Youth Infomalion and Counselling Agency- ERYICA Calalysl Nalional Academy for Educational Leadership Wales Local Aulhorrties W8lsh Goveinmenl Funders: The National Lotlery UK Levelling Up Fund Welsh Government Clients.. Cardiff ThKd Sector Covncil Development Trust Association Chlldren in Wales Cyfannol Wc)Men's Aid B8iod Gwenl N-Gage Subsidiary Undertaklngs Prorn¢>Cymru Ltd is th6 holding company of a Iradlng subsidiary corrparry called PrLwmtrCymru Trading Limrted. The principal actNities of Ihe company in Ihe year under reviewwere.. 1. Activities cenlred around providing infomialion, advice and advocaw for young people and adulls in Wale5. This was Garried out under the projècl name MEIC ￿ he Nattonal Information and Advice and Advocacy SeNice- direct contact, telephone, instant messaging and text based). Plus. adult advocacy lines for Caftliff and the Vale, Br-KJgend and Ihe counties of Gwent. 2. The development of the Ebbw Vale Institule as a youlh, Cc￿munity arKI cuKural centre for the comMun￿eS of 8laen8U Gwenl and beyond. 3. In the area of dvJrtal, multimedia and communications, PromLkCymnF Trading conlinue(I lo defver gO￿lS atNJ gervices such is consullalion. seNice design, video production, social media training aThl website devdopmenl and adminislTalion. 4. Service Design.. Promo-cyrnru has developed sector leading experlise to impknnenl1his user led, human focused. elhodology and promote a¢ross the voluntary and pvbb"c 5ervice5 in Wales and Ihe European Youth Seryices via ERYICA. Rlsk Managernent The Iruslees have a duty lo identty and review the risks to which the charity 15 exposèd and lo ensure appropriate contro15 are in place lo provide reasonable assurance against Ifaud and error. Major risks are reported lo Ihe boafd via the Chief Execulive and Deputy Chief Ex8culive via the project and finan reports produced for and preseThled al the Promo-cymru Managernent Board. The examination will cover the major slrategies. business and operational risks which the charty fa￿$. The reporting system so es13blished is to enable regular reports to be produced so that any necessary steps can te taken lo mligale exposu￿ lo these risks. Page 3 ROMO-CYMRU LTD TRUSTEES. REPORT These procedures a￿ lo be periodically reviewed lo ensure that th￿ sbll meet the needs of the tharily. The risk managemenl strategy will compiis8:_ An annual review of the risks the charity may face. The eslablishmenl of syslems and procedures to mitigale Ih05e risks identified in the plan. The impknnentalion of pro¢edures designed lo mit)imise any potential impad on the charity should Ih05e ri5k5 materialise. Truste8S'. Risk managementstslement- reviewed each year. Conflict of intetest register- urxlakd each year. Trustee welcome pack inctusive of signed statements of ability to serve as a Iruslee. Staff- Proof of ID required. DBS checks Ivthere applicabtel. References. Probalion pertod. Regular appiaisal5. ComprehensNe personnel files. Trained lo ensu￿ ¢apabi&ty lo undertake role. HR: Ongoing wdales and training lo keep up wrfh change5 in legislation. Robust ptsfry and proceLlures- updates where required. Back up legal assistance in place. Health & safety. Office risk assessments. Updates and training when necessary. Infonnalioll leGhnology.' All laptops are password protected. All laptops are sel for scheduled security upJate5 and are prolected by AVG anlwlrus. Users a18 forced to change their Offi￿365 pas5WOTd every 90 days for security. puryx)s8s. All websites are secured wilh SSL Certificate5. They are also protected by industry leading securty plugin Wordfence. l￿jependerrt web security tesling lakes place annualy. All websites ate updated monthty for relevant Ihemes. plugins and OS. The risk register of the organisation is mainlained and regularty reviewed al trustee meelings. The trn$tees' comTnents and response lo the risk register are recorded in the minutes including follow up acliwts. The Iruslees are satisfied that Promo-cymru is undertaking all act*)ns required Its mrtigate risk a￿osS the organisalion. Objectives and Activrtte5 Objectives and Aims The objective of Prom¢>Cymru is to support Ihe developmenl of young people. families arKI Ihe communitBs they I￿le in. Vlslon Crealive Change for Social Good. Mission To communicale, deslgn, build wrth young people arbj communities to make thange happen. Page 4 PROMO£YMRU LTD TRUSTEES, REPORT How we work PromD-Cymru partners wrth third and public sect(As lo imagine, test ar￿ create rnore equitable selvices that are de5tgned and delniered with people. We work across". Digiial Curture Youth and Communty Advocacy Comrnunicalions Helplines Infornalion and advice Design Media Our work is informed by decades of delNering dsgital youth information and communty servi￿. We share this knowledge through training, consuttancy, delivery aNJ foming knrvJ4erm partnerships for mulual tse1￿[rt. Prom￿Cym￿U is a regi51eied charity and sooal enterprise" we invest s)urprDfits into making a difference. Publlc Benefit Statement In sètting our objectives and planning our activitles. the trusfres of Pr(JnoQmru have given careful consideration lo The Charity COrnm(ssic￿'s general guidan￿ publi¢ benefit. Promo-cymru is commrtted lo Ihe development of young people and familEs in Wales through Iheir parlicipalion in aclwitles thal enabje young people lo voice their owons and contribute to an inclusive Waks in line wrth the United Nallons Charter on the Rights ot the Child end lo wotk with partners to develop and defNer anli-povety strategie5. Promtrcymru is also committed lo de￿Ver11g a community and crealNe hub. faciKaled al EVI as part of Ihe r￿neratiOn of Ebbw Valp town and the 5urrouoding area. Thi5 propcl will provide the local Communty with a much n8edeil focus for cuKural, social and economic development in Ebbw Vale and the Heads ofthe val￿ areas. Slgn5ficant Activities Young peoplg's mental health drfficullies have been highlighted in variou5 Welsh Govemmeni (Jocumenls. We are a150 very aware from the contacts we receive lo the Meic Helpline from young peopk. This has led u5 to forward Iwo key proj8ds supporting lh8 development of services 5UPPOrting young people ￿th mental heakh drfficullies. The Mind our Future Gwenl projad, https=I1￿￿,pr0rno.GyMrU1pIo]eC￿rnlnd-0llr-f￿1Ul￿gWenV is a significant project supporting this area of our worfo. This project supports the co-de5ign ond co-woduclion of seNice5. 11 directly inv¢)Ives and hires young p80ple to work a5 Peer researchers. to learn skilb and engage direclty with other your#J people. NHS Wales PerfoTmancÈ and Improvement, together with the Lottery. have developed gfeal interest in Ihis groundbreaking work. They ara supporting Promwmru lo lead wilh Platfomi and Barnaidos as partI￿r$ lo develop a youth con5ullalion group lo be part of the developrnenl of ￿ntaI Health Service5 ￿ Wales and ensure youth voices can shape future services. EVI- Ebbw Vale Instltute Project- vrforkrLg lo develop the Ebbw Vale Inslittsle as a culturdl centre in Ebbw Val&. Following funding from LJK Government Communty Regeneration Fund. EVI received £250,918 from Shared Prosperity Fund. This fund has ensured employment of key staff in EVI and delwery of community based activities such as The Food Pantry. Developments have surpassed expectation and been led by Ihe involveTr.ent of the conimuniEie5 suirounding EVI. Key evaluation reports from this project. logelher with the great work, community involvement and inleresl from UK, Wales and 81aenau Gwent l(Kal and national Governments has led to further successful bid5 to the UK Shared Piosperity Funds in Blaenau Gwenl. Page 5 PROM -CYMRU LTD TRUST ' REPORT The financial illput is consoltdaling the Ebbw va￿ Instiiule a5 a Flagship Cornmunity Anthor developing key projects such a5 the Community Food Panty, Repair Shop, Communty Arts Projects, a wealth 0fvo1ur)t￿1l￿g Opportunit￿5. We have also been able lo develop and maintain the malerial fabrK of the building including on mnuni5ing ils environmental impact. The Shared Prosperity Fund is part of UK Govemmenl's Le¥elling Up agenda which is seen as the replacement lo European Funds. Meic Helpline- thè Wales wKle advocacy based helpline for young pwple in Wares. Promo•Cymru has been instrumental in this developmenl from it5 in￿PIlOn. Meic operale5 every day of year, seven days a week from 8aM lo 12 miL5night. Meic algo has an extenS￿e online and soci¥l media presence which is increasingly used by We15h Govemment £5 an infom?alion oullel for young people and professionaLs in Wales. Meic has developed a strong presell￿ in the Social and educalional support landscape to support young people in Waks. In August 2022, Prom¢iCymru was awarded a new 3 year nlraci to deliver Ihe MeiG Service going foThvatd. ERYICA- European Youth Infom)alion arKI Counselling Ag8ncy. Promo•Cymru continues a produclwe relationship with ERYICA. Promo produces ERYICA'S rK)(kas1, is part of its training programme and has supported the development of the ERYICA Infomiation Qualty ma￿ for National and locally based infomialion provide￿ and tskes part in a nurnber of training ev8nl8. ralth- we are keeping abrea51 of this Welsh govemmenl grant inilialwe lo support Youth and Educaiion est2blishmenls to have rneaningful interchanges and collaborations wrth other5 in EuroF¢ and beyond aThJ have bBen successful wilh applicaLion5 which will allow Promo-cyinru lo be ￿¥0￿ed with ERYICA training programmes and crèate a youth exchange between the Iwin crties of Cardiff and Nanle5. PrOm￿CYmrU is also prov#ling infomlalion as part of a UK Gov con5ullat￿n pro￿ lo reong*Je with the European Erasmus programme. SeThlce Deslgn Consultancy - PromoCymru has developed within the spirit of a di8tribuled ￿aderShiP approach, a Senior Mana9em&nt Team to guide and conlrol thè opèrational management of the organi5alion and, wilh the Direclors of Promo-cymru. be part of the organisalion's slrateglc direclion. This work will also aclivety seek input from all staff. volunleets and Cl￿nts of Promocymru. The development of PTomo-Cymru's new headquarter5 1)uilding in Cardrff Bay has ￿Sured that the building is ellergy efficient by Inslalllng new high grade insulaliDn. PromTrCymTu has also taken some space within th& Cardrff Unniersty Sbarclspark Building which is a hub for univetstty research. incubator spaces. pUb￿.C sector and voluntary sector partners. Promo£ymru has continued to embrace effective ￿MMUnication tools with young people wi Wares and have endeavDured lo b@ the leading prOv￿er. We have embTaced a Whde reaching digital approach lo our developnEnts and are woviding advice and support lo the third and public sector5 act05s Wales and beyond. Promowcymnj has ernbraced Service Design meth￿JoI0gIeS as a natural progTession lo our woth and are gaining reoognf(ion for this innovat￿8 work *ros5 Wales. UK and Ihe European Youth Sector. Prom&Cymru periodicaltry has stsff obsetver5 an¢J young cl￿ntS atlendlng board rneetings, where appropriate, lo allow for their direct input into discus5ion5. Clients are fulty involved In Promtrcymru propct5 via our core co-producllon and engayement melhodology. Thelr involvement and feedback is channelled into pfojecl delivery and into the Management Board_ As a valve driven organisalitsn, we have made step5 to make ourvalues ¢leacÈr and publish them on our website and make them part of our recnJrtm8nl process lo ensure we let the publ￿. Clients and our stsff know what is important lo us. This woik ts onvgoing and has a gf¢up Tnade up of board and Staff members to revièw. External The woth environment has changed in the post parbjemic wc*W. We have embraced hybrid wcffking. fhis has licluded the developmenl of well-being and social events. We are working to embrace agile developments brought fotward by the nècessilies of facing Itr￿ pandemic and ensure we do not sly back lo vnnecessary pre-pandemtc practices. Page 7 PROMO-CYMRU LTD TRUSTEES, REPORT Al thè same lime, we are experienGirvJ a wng back to the need for face to face connections and i)eing in the office,. Promtscymtu aL80 realised that il had a skilLs base able to help many oryanisalions adapt lo the post pandemic worfd. W8 sel up a free set of workshops accessed by the voluntary seclor across Wales which sped vp the 'digilali5alion' of many organisaltons. Prom(¥Cymru also developed ts youth fo(￿Sed communications knowledge. especiaty on social media. to largel young people no longer in schools. youth servi￿5 and the soc￿1 serwces they were previousty able to ac￿55 face-lo-face. The Meic Inslagram account giew exponenlialty- This largeled young petf*le lo make sure Ihey had someone lo contact in need for the 16 hour5 a day Ihe he*line was open. PromTrCymru continues to develop expertise in the use of Al, ts potential together with interenl risk factors and its impact and use in the third sectors and are constdered seclor leade￿. The exlernal environment ¢onlinues to be a challenge. We continue to mLMlor poky developmenls in Walgs and the UK and make changes accordingly. PromTrCyrnru has led the field in digital transfomiation for a nuntrr of year¥. Clearer branding. kgenlty. communications and seff-belief have increased our profile and ConfK1e￿e Jeading lo new markets and clients. Flnanclal Review The Injstees receive managernenl financial rep￿lS aftd revtew the financial positron of Promo.Cymru on a regular basi5 as a key standing agenda item. The Iiuslees have considered budgets and foTecasls forthe period Its March 2025 and support the managernenl tearn in the on4oing fv*ncial dev¢k>pmenl of the organisa￿n as a goiryJ concern. The management team work closety with the Chair of the In￿leeS on a fegular basis outside of board meetings. Austerity has cerlainty impacted not onty on Promo-cymru. bul 3150 acros$ It* third sector. Promo-cymnj continues to innovate and forward think. Key corpoiale strategies of heightening the profile of Promtrcyrnru. which have led lo the wnning of a number of key awards and the development of inroads in new markets, are beginnin9 10 work. Unreslricted reserves after transfers increased by £31.424 Igroup £31,203) during the year. compared with an increase in the p￿VIouS ye3r of £79.992 (group £85.5201. Depreciation charges on assets owned by Piomo£ymru Ltd, including Ihe land and buildings of Ebbw Vale Insliltsle and 17 Wesl 8ute Street, abo impact on the financial aGtNrtie5 feported. Prom¢>Cymru continues to invest in its staff and prof￿0. Al th8 year end Promo-cymru Ltd remains vi a strmg financial p05ilion, with unreslricted reserves of £5d5,439 (group £619,954) and total combined unrestTKie(l and restricted net assets of £1.518.719 (gr￿P £1.593,234). The organt5alion also continues to maintain adequ31eworkiThJ capital to facalilale its acliviiies. Page 8 PROMO-CYMRU LTD TRUSTEES. REPORT Reserves Policy Purpose The purpose of the Reseryes Policy ol FrOm￿mrU 15 lo ensure the stsbilty of the prr4ects, employment and ongoing oper81ions of the organi5alion. The Operating ReseNe {ie. unrestricted ￿serVes} 1$ intended lo provrde an internal source of fullds for srtualions such as a sudden increase in expenses. one time unbudgeted expenses, unanllcipaled105s in funding, or uninsured losses. The Reserves may atso be used for one4ime. non-recurring expenses Ihal wll buikl long-lerni capacity, such as staff development, research and development, or inveslmenl in infraslwcture. Operaling Reserves are nol intended to replace a permanent Ios5 of funds oreliminate an ongoing budyel gap. 11 is the inlenlion of Prom￿cYM￿l for Operating Reserves to be used and ￿pIe￿ishe(j within a reasonab￿ shorf Feriod of time. The Operating Reserves Policy will be implemented in concertwilh the other govemance and financial policies ¢f Promo-cymru artd is intended lo Support the goals and strategies contained in these felaled poli¢i¢s and in strat8yIC and operational plans. Dgflnltions and Goals rha Operatlng Reserve Fund is defi[￿d as a designated fund sel aside by action of the ItV51e&s. The minimum amount lo be desFgnaled a5 Operating Reserve wll be established in an amounl sufficient lo maintain ongoing operations and programmes for a sel period of lime. The OpeFatiro ReseEve serves a dynamic role and will be reviewed and adjusted in response to internal and external change5. The laigel minimum Operating Resetve Fund is equal lo 6 months of aveiage operating costs. The calculation of average monthfy ope￿lIng e05ts includes all recurring, predictable expenses such a5 salaries and benefts, loarts, office. travel. project. and ongoing professional seNices. Depreciation. in-kind. and other non-cash expenses a￿ nol included in the calculation. The calculation OF average monthly expenses also exclltdes some expenses, eg, one4ime or unusual and cap*al purchases. The amount of the Operating ReseNe Fund largel minimum will be calculated each year afier approval ol the annual budget. ￿ported to the trustees and Finance Sub Committee. and included in the regular financial reports_ Accounting for Reserves Th& Operating ReseNe Fund wll be recorded in the fiftwKial record5 as unreslrtcted reseNes. The Fund will ￿ funded and available in cash ar cash equivalent fvnds. Fundlng ol R￿erVeS The Operating Reserve Fund will be funded wryth surFlus unrestricted operating funds. Thg Iruslees may from lime lo lime direct that a specffic source of ￿VenUe be set aside for OEeraling Reserves. Use of Reserves Use of the Opernling ReseJNes require5 Ihree steps: 1. Identification of appropriate use of ieserve funds The Iruslees and staff wlll identrfy the need for aeees$ lo reseNe fur•Js and confimi th81 the use is consi51ent with tha purpose of the resetve5 as described in this Policy. This step requires anatysis OF the reason forthe shortfall, the availability of any Dlher sources of funds before using resetves. and evaluation of the time pertod that the funds Nwll be required and replenished. Page 9 PROMO-CYMRU LTD TRUSTEES. REPORT 2. Authority to use operating ie5erves Authority for use of Opeialing Reserves is delegated lo Ihe CEO in consuttalion V*ith the Chaff of the tTUStees. The use of Operating Reserves will be reported lo the Iruslees al their nexl scheduled rneeling, accompan￿￿ by a description of the anatysis and detemiinalion of Ihe use of furKts and plans for reF4enishment to reslore the Opeialing ReseNe Fund lo the tsrgel minimum amounl. The CEO rnust re¢eNe prKY approval fr￿n the trustees rf Ihe Operating Reserves wll lake longer than 12 months to repl2rki5h. 3. Reporling and monitoring The CEO is responsible for ensuring that the Operating Reserve Fund i8 maintair*d and used onty as describèd in thi5 Policy. Upon appraval for the use of Operating Reserve fiJrKls, the CEO will mainlain records olthe use of anil plan for replenishment. The CEO ¥wll provide regular reptrrts to the Finance Sub Commrttee and board of Iruslees of progiess lo restore the Fund to the target rninwnum amovnl. Policy Review This poliw will be reviewed every other year. al min￿￿M. by the Finance Sub Committee, or sooner rf Wdrranled by inlernal QT exleinal events or changes. Changes lo Ihe Poliw will be recommended by the Finance Sub Committee lo the board of Iruslees. Fundlng Sources Promothcymru has a diverse porttolio of funding. prom￿cYM{￿ is funded from the r￿1p1 of grant income from numerous sources including Ihe Welsh Government, Cardiff County Council. UK Commurtty Rerwl Fund. Welsh Government's Comrnvnty Dnii5ion, Welsh Government Social SeNices Division and Pavl Hamlyn. Plans for Future Periods Promo-cymru Seeks lo further deveknp ils chartiablp activities. Promo-cymru will continue lo use Ils experience lo develop rts expertise across a number of area5. These are: Helpline expertise. online and office infomiation lo include the promotion of cilv£en Vol￿S. We have developed an inlegraled communicalions model to betterdewibe our offer. The developmenl of fijrther support to cornmunities. families and people of all ages lo support bcrth physical arnl social tjevebpments. The development of support arKI mentoring seryices to olh8r third seclor organisations such as leadarship and management developnml. ￿an￿ management and other Co￿0[ale issue5. The support ol organisat￿$ to belter ut￿lse servi￿ Deslgn Methodologi25. IT and cornmunicalions technology, such as social mpdia practice and poliw. Further developmenis have begun to ulilise and support the use of Al in the third sector. The d9vekpmenl of our central admintstralNe building to allow dispaiale areas of Promo•Cymru lo be hous8d together and the wider involvement of clients and olher organisalion5 in the woth of the organisalttin is working wel. We will continue to ￿leW better and rnore èfficient use of the building and conslder renting further spaces to11(e m#ided organisations. Pi0m*>C￿nrU conllnues lo explore wothing with young people on development of Social and Environrnental Economy proiecls and ofgant5alions. Page 10 PROMO-CYMRU LTD TRUSTEES, REpoirr On8 of the m05t exciting area5 of development for ProM￿CY￿rU is Artifi￿1 Inlelltr3ence IAI). Over Ihe past 2 years, we have positioned ourselves a5 leaders in Al fcrf thè third sector in Wales, delivering tslk5. training and creating digkal resources for charrttes and non-profts. As Al continues to develop al pa￿. Iheie wll be increased demand lor support, which prov2des the opporiunity for increased revenue and growth. This Could In¢lude the developrnenl of a largertraining offer. specialised one-to-one supporL and scopg to delNer new proje¢ts for funding partners_ In a posl pandemic workl, Promo£ymru ha5 laken a conscious decision lo ulilise Is Mde ranging dtgital expertise lo support the third sector during these drfficult lime5. We have mobilised our 5t3ff and extensive knowledge. We have been working to sustain this I￿rk arKI are now part of the Newid partnership made up of WCVA, Cwmpas and Promocymru to develop Ihis support. We have also been in discussion with The National Lottery for a number of years and were awarded in September 2022 a £500,000 grant to further enhan￿ this Wofk ovw three years- prq'eci 3rd Sector Digital. In 2022 Promfrcymru vras svccessful The Naiional Lottery Mind Our FU1u￿ bid to help deslgn bètter rnenlal heaKh seNios for young peopb in Blaenau Gwenl. We (Jeliver this projectwilh MIND in Gwenl. NHS Wales Perfoman¢e and Improvement. logelher %Mth the Lottery have developed great interest in this ground- breaking work. They are supporting Promo-cymru to lead wrfh Platform and Bamardos as partners lo develop a youth con5uKation group lo be part of the developmenl ot Mental Heallh Services in Wales and ensure youth vol￿$ can shape flrture seNices. The annual repart was approved by the trustees of the charly on 25 November 2025 and stgne(I C￿ rts behalf by.. M Morgan Trustee Page11 PROMO-CYMRU LTD ST USTEES, ESPO IB TIES The trustees (who are also the directors of Promo-cymru Lld for Ihe PUTposes of company law) are reponsible for preparing the tTUStees' report and the financial statements in accordance wrfh Ihe United Kingdom Accounting Standards (United Kingdom Generalty A￿pIe# Accounling Practi￿1, including FRS 102 Yhe Financial Reporting Standard applicable in Ihe UK and Republic of Ireland" Company law requiies the Iruslees to prepare finanual statemenls for eath ffiancial year. Under company law the Iruslees must not approve the financial slalemenls unless they are 5atsfied that they gwe a true ond fair view of the 51ale of affalrs of the charitable ¢ompary and of ils incoming ￿$Our￿5 arKI application of resources, including Is income and expenditure, for that pertod. In preparing these fwwn¢ial slatemenis. the trustee5 are required to select suilabte ?ccounling pol￿teS and fhen apply them consislenlty", observe the method5 and principte5 in ChatitEs SORP,. make judgements and estimales that are reasonable and prutlenl.. state whelher applicable accounting standards, comprising FRS 102, have been followed. Subje￿ lo any material departures disclosed and explained in the financial slalemenls- and prepare the financial slatemfrnts on the gcing concem basis vnless il is inappropriate to presume that the Gharitable company will continue in tmjsiness. Thè trustees arè respons￿1 le for keepirvJ proper accounting records that can disclose %Mth reasonable accuracy at any time the financi31 position of the Charitab￿ company aNJ enable them lo ensure Ihat the financial ststernents comp￿ with Ihe Companies Act 2006. They are also rèsponsible for safeguarding Ihe assels of the charitabla company and hence for taking reasonable steps for the prevention and deleclu)n of fraud al￿ other wregularittes. The Irusfres are fesponsKble for the maryllenance and integrity of the wrporaie ond financial infomiation induded gn the harrtable companys website. Le9islation govemiryj ItE prepar*ion and dis$emit)ati¢J) of financial Slalemenls may drfferfrom legisl81ion in olherjurisdi¢lions. Approved by the ITuslees of the charity on 25 November 2025 arbj signed on ils behalf ty-. M Morgan Trustee Page 12 PROMO.GYMRU LTD INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PROMO-CYMRU LTD Opinion We have audiled the financial slalernents of Promo-cymru Lid, Ihe'charilable parent company, and ils subsidiary Ithe'group'l foi the year ended 31 March 2025, which compll5e the Consolidated Statement of Finanoal Aclivilles. Company Statement of Financial Aclivilies, Con501idaled Balance Sheet, Cornpany Balance Sheet. Con501idaled Stalgmenl of Cash Flows. Company Statement of Cash Flows and Notes lo the Financial Stalemenls. including a 5urnmary of significant accounting policBs. The finanaal reporting framework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charities SORP- FRS102 'The Financial Rèporting Slandard applicable in the UK and Republic of Ireland. and applicablelgw Iunited lfjngdo¥n Generally Accepted Accounting Precli¢el- In our opinion th• financial statements: give a true and fair view of the state of the group's and parent d)ariV5 affaws as at 31 March 2025 and of thé group's incoming resouices and application of resources, including its income and expenditure, for the year then ended.. have been propedy prepared in accordance with United Kingdom Generally Accepted A¢rounling Practice- and have been prepared in accordan￿ with the requirements of the Companie5 Act 2006. Basis for opinion We conducted our audit in accordan￿ with Inlematsnal Standards on Auditing IUKI (1&4s (UK)) and applicable kw. Our responsibilllies undei th95e standards are further described in the Auditorfs responsibilities for the audit of ihe finanaal statements section of our report. We are independent of the group in accordan￿ wqlh the ethical requiramenls that are rel8vanl to our audit of the f5nancia5 slalements in the UK. including the FRC'5 Ethi¢al Slartdard, and we have fulfilled our other ethieal responsibilittes in accordancg Wbth these requirements. We believe that thè audit evidence we have obtained is Sufficient and appropriate to ppJvide a basis for our opinion. Gonclusion5 relating to golng concern In auditing the financial slalernen15, we have concluded that the trustees. use of the going concem basis of accounting in the preparation of Ihg financial stalemènis is appropriate. Based on the work we have perfomed, we have not identified any malertal uncertainties relating lo events or conditions that, individually or colleclively, may cast significant doubt on the charity's ability to continue as a goin9 concem for a peiiod of al least trNelve months from when the Original financial statements were authorised for issue. Our rèsponsibilities and Ihe Tesponsibilili6s of the trustees with ￿sPect lo going Con￿rn are described in the relevant seGlions of thi5 report. Other Inforrnation The trustees are responsible for the other infomialion. The other infomalion cornpri5es the infomialion included in the annual report. other than the financial slalemenls and our audilorfs report thereon. Our opinion on the financial statements does not cover the other infomiation and, except lo Ihe extent otherwise explicitly ststed in our report, we do rnot express any form of a55uronce wnclusion Ihereon. In connection wth our audit of the financial slatsments. our responsibilty is to ￿ad the other information and, in doing so. consider whether the other infomialion materially inconsistent with the financtal statements or our knowledge ob18ined in the audit or olherw5e appear5 to be materially misstated. If we identify such material Inconsisten￿eS or apparent material misslalemenls, we are required lo delemine whether there is a rnaterial misslatemenl in Ihe financial statements or a material misslalement of the other information. If. based on the WO￿ we have performed. we conclude that there is a material rnisstatemenl ol this other information. wè are required to report that facL We have nothing tr) report in this regard. Page 13 PROMO-CYMRU L INDEPENDENT AUDITOR. REPOR TO HE MEMBERS OF PROMO-CYMRU LTD Opinion on other matters prescribed by the Companies Act 2006 In our opinion. based on the work undertaken in Ihe course of the audit: the infomialion gwen in the Truslees, Rep(ffi for financial year for whi¢h the finan¢ial $latements are Prepared is consistent 7Mth Ihe financial sl*ements- and Ihe Truslees, Report has been prepared in accordan￿ with applicable ￿381 requirements. Matters on whlch we are required to report by exception In the IwJht of our knowledge and understanding of the group and the parent charitable company and it5 environmenl oblalned in the course of the audit, we have not idenlif*d maleiial misslalements in the Tru51ee5' Report. We have nothing lo repori in resped of the follohving matters where the Companies Act 2¢X6 tequires us lo repwt lo you if. in our opinion.. adequate accounting records have not been kept by the parent charitable Q￿pany, or Telums adequate for our 3L¥Jit have nol been receNed from bTanches not visited by us: c the parent charktable company's financial statements are not in •3reement wth the accounting records and relums.. or certain disclosures of trustees fanuneration speuf*d by Iww *e not made". or we have not ￿¢ewed all Ihe infomiation and explanations we rewire for our audit. Responsibilities of trustees As explaineil more fully in Ihe Statement of TFUStees' Responsibilrties (sel out on page 121. the trustees a responsible foi Ihe preparation of the financial stalements and for being satisf￿d that they gwe a true and fair view, and for such intemal control as the Iruslees determine 15 necessary to enable the weparalh)n of financial 51alemenls that are free from material Misslaten￿n( whether dua lo fraLKI or error. In preparing the financial slalemenls. the trus188s are responsibl2 for assessing Ihe chariiws abaity lo conlinue a5 a going concern, disclosing. as applicab￿. matters relating lo going concem and using the going concem ba515 of accounting unless the Iruslees eilhei intend to IKiuidate the chatity or lo cease operations, or have no reali51tc 8llernalive but lo do so. Auditorfs responsibilities for tho audlt of the financial statements Our objective5 are lo obtain reasonable assurance about whether Ihe financial slateTnents as a whole are free from materi81 mi551alement, whether due to fraud or error, and to i85ue an audilorfs report that includes oui opinion. Reasonable assurance is a hwJh level of assurance. bul is not a guaranlee that an audil ￿ndUCted in accoidan th ISAS {UKI will a￿ayS delect a material misstatement when it exists. Mi5Stalements arise frorn ffaud or error and are considered material if, indwKIu311y oi in the aggregate, they could rea50nabty be expected to influence the economic decisions ol users taken on the basis of these financial slatemenls. The extent lo which OUT procedures are ¢apable of detecting irregularities. including fraud. is detailed below. As part of designing our audit. we delemlned materialty and assessed Ihe risks of material misststemenl in the rinancial slalernents, including how Iraud rnay occur by enquirng of management of fts own consideration of fraud. In particular, we looked al where managernenl made sublectniejudger￿nts. for example. in re5ped of signtficanl accounting eslirnales that invofved making a55urnptions and considering future events Ihal are inherenlty Un￿rIal￿. We also considered potential financial or olhei PTessuies, opportunity and motivations for fraud. As part of this discusslon we idenlrfied the internal Controls estsbli5hed lo milig8le risks related to fraud or non-compliance with law8 gnd regulalions and how management monilor Ihese pfocesses. Appfopriale wjcedures included the review and testing of manval journals and key estimates and judgements made by rnartagemeni_ Page 14 PROMO4YMRU LTD INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF PROMO CYMRU LTD We gained an undefslandlng of the legal and regulatory framework applicable to the charly and the industry in which il operates, drawing on our broad sector experpThx, anrl eonSKlered the of acts by the charity that were contrary lo Ihese laws and wulalion& includuig fraud. We focused on laws and regulations that could give rise to a n*teiial misstatement in the financial $tslements, inciudlng. bul not limileJJ lo the Charittes Ac( Conwnres Ads, UK tax legislation arwj equNalenl hxal laws and regulalitsn5. Vve made enquiries of managernent with regards to Complian￿ ￿th above laws and Tegulatitins and corrobor*8d any necessary evlden¢e to relevanl infomialion, for example, minutes of the Trustees. meetings and any other relevant correspondence. We completed samples of liansaclion testing with 2 focus on the incorne and expendilure throughout the year lo ensure that aclDiitEs were supported and in lin8 wlh the charivs rules aThJ praciices. Any unusual findings were raised with management foi further inveslwJalion. Our lesls included agreeing the finan¢ial statements disclosures lo undertyiThJ supporting doC￿lentation and enqui1￿8 with management. We did not idenlfy any key audit matters ielaliny lo Ir￿guIarrties, 1￿C￿dir￿j liaud. As in all of ouraudrts. we also addressed the risk of management override of inlemal controls induding lesling joumaL% and evaluation whether there was eviden￿ of bias by Management that fepresenled a risk of material misstaknent due to fraud. Our 8udil procedures were designed lo respond lo risks of material misslalemEnt in the financial statements. rocognising that the risk of not detecting a material misstatement dl￿ to fraud 15 hijherthan the risk of not detecting one r&sulling from error, as fraud may involve deliberate concealment by, for examrAe, forgery. mi5repre5enlalion$ or Ihiough collusion. There are inherent limitations in the audit procedures perfom)ed and the further removed nOn￿MPli8nGe ￿th laws and regLtlalions is from the events and Iiansactions reflecled in the financial slalements, the less likely we are lo become aware of it. Use of our report This report 15 made solety lo Ihe eharitable parent ¢ompart*s trustee5. as a b￿. N) acct￿dance with Chapler 3 of Part 16 of Ihe Companies Acl 2006. Our autht work has been undertaken so that we m￿t slate to the group's charty Injstees Ihose matters we are required lo slate to them in an auditorfs report and for no other p￿￿ose. To1he *ullesl extent peimitted by law, we do not accept or assume respon5ibilrfy lo anyore other Ihan the charrtable parent Company and ils Iruslees as a trcdy.. for our audit worfrf, for thi5 ieport, or for the opinions we have formecl. Robert Hugh (Senior Sl8tvlory A itorl For and oft behaFt of Robert Hugh ￿MIted, Slatulory ALKlitcrf 15 Dan y Bryn Avenue Radyr Card CF15 8DD Signed on 30 November 2025 Page 15 PROMO.CY ULTD STATEMENT OF CONSOLIDATED FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2025 INCLUD Imc ME AND EXPENDITURE ACCOUNT AND STATEME LREC GNISED GAINS AND LOSSES Q)ntInuI￿ Dls¢ortinued operatlons operatlons iotal lotsl 2025 2025 Unrestrided Restrfcted lunds funds Total 2025 Consolidatgd Notes INCOME AND ENDOWMENTS FROM: Activities for generating funds Voluntary ineome Investment income Ch3ritAble aclivriies Total Incom8 EXPENDITURE ON.. Charitable activities Total expendiiuro NET INCOMEIIEXPENDITUREI Gross transfers be￿een funds NET MOVEMENT IN FUNDS Reconclllatlon of funds: Total fvnds broughl forward TOTAL FUNDS CARRIED FORWARD 8(hl.153 798 126,623 804,153 5,798 126,623 943,638 1.880.212 804,153 5,798 126,623 943,638 1,880,212 943.638 948.638 931.574 900.371 900.371 31,203 975.476 975,476 -26038 L875.847 1,875.847 4,365 1,875,847 1,875,847 4,365 31,203 -26￿38 4,365 4,365 588.751 619,9S4 1,000,118 973,280 1,588.869 L593.234 1,588,869 1,593,234 Continuing operations totsl 2024 Discontinued operatlOn5 total 2024 Unrestricted Restricted funds funds Total 2024 Consolldated Notes INCOME AND ENDOWMENTS FROM: Activities for generating fund5 Voluntary income Investment income Charitable actwitÈs Total incorne EXPENDITURE ON: Charitable activities Total expgndltu INCOMEIIEXPENDITUREI Gross transfers beiween fund5 MOVEMENT IN FUNDS Reconciliation of fvnds- Total fvnds broughl forward TOTAL FUNDS CARRIED FORWARD 768.031 10,304 120,896 7.5 906.731 768,031 15,414 120,896 717,719 1,622.060 768,031 15,414 120.896 717.719 L622.060 5.110 710,219 715.329 821.211 821,211 85.520 791.742 791,742 -76.413 1.612,953 1,612.953 9,107 1,612.9S3 1,612.953 9,107 85,520 -76.413 9,107 9,107 503,231 S88,751 1.070.531 I,OCO,118 1.579.762 1,588.869 1,579,762 1,588,869 All of the charity's a¢tivitEs derive from ¢￿tinuing operations duriNJ the above Iwo period5. The funds breakdown for 2025 and 2024 Ès shown in nole 19. Page 16 PROMO-CYMRU LTD STATEMENT OF COMPANY FINANCNL ACTIVITIE FOR THE YEAR ENDED 31 MARCH 2025 INCLLIDING INCOME AND EXPENDITURE ACCOUNT ND STATEMENT OF TOTAL RECOGNI GAINS AND LOSSES ContinuiE Dlscontlnued operations total operatlU115 total 2025 Unre5tri¢ted Restricted funds funds Total 2025 Company Notes 2025 INCOME AND ENt)OWMENTS FROM: Voluntary income Charrtable a￿1vilieS Investment income Total incorne EXPENDITURE ON: Charitable activities Totsl expenditure NET INCOMEIIEXPENDITURE) Gr05s transfers beknn funds NET MOVEMENT IN FUNDS Reconciliation of fund5: Total funds brought forwdid TOTAL FUNDS CARRIED FORWARD 70,798 63.801 10,966 145,565 75,798 l.CQ7,439 10,966 1.094.203 75,798 I,(K)7,439 10,966 1.094,203 943.638 948,638 114,141 114.141 31.424 975.476 975,476 -26,838 1.089.617 L089,617 4,586 1,089,617 1,089,617 4,586 31.424 -26.838 4.586 4.S86 514.015 545.439 L￿0.118 973.280 1.514,133 1,518.719 1.514.133 I,S18.719 20 Contlnulng operation5 Dls¢oThtinued operations Unrestdcted Restricted funds lunds Totsl 2024 Company Notes 2024 2024 INCOME AND ENDOWMENTS FROM: Voluntary income Charitable aclivili8s Investment Income Total Income EXPENDITURE ON". Chari18ble activities Total expendilur NET INCOMEIIEXPENDITUREI Gros$ Iransf8rs between funds NET MOVEMENT IN FUNDS Reconcillatlon of funds.. Total funds brought fornyard TOTAL FUNDS CqRRIED FORWARD 95,304 57.144 5.110 710.219 ICXJA14 767.363 9,406 877,183 100.414 767.363 9,406 877.183 161.854 715.329 81,862 81,862 79.992 791.742 791.742 -76,413 873.604 873.604 3.579 873,604 873.604 3,579 79.992 -76.413 3,579 3.579 434P23 514.015 1.076.531 LCQO.118 1,510,554 1.514,133 1,510,554 1,514,133 All of the charitys activrties derive from continuing operations during the above two perhxts. The funds breakdown for 2025 and 2024 15 shown in note 19. Page 17 PR Q.CYMR LTD BAL CE SHEET AT31M RCH 2025 Con501idated 2025 2024 Total Total funds funds Company 202S Total funds 2024 Totsl funds Notes FIXED ASSETS Tangible assets Inveslmènls 14 15 1.264.847 1.288,S12 1.257,351 loo 1.257,451 1,278.709 loo 1,278.809 1,264.847 1,2B8.512 CURRENT ASSErs Stocks Debtors Cash at bank and in hand 2.28G 244.799 498.945 746,030 2,849 170,930 514,751 688,530 16 43.795 474,126 517.921 60.208 421,695 481,903 CREDITORS Amounts falling due within one year NET CURRENT ASSETS 17 -246,229 499,801 -203,265 485.265 -86,489 431,432 -63,321 418,582 TOTAL ASSETS LESS CURRENT LIABILITIES 1.764,648 1.773.777 1.688.883 1.697,391 CREDITORS AND PROVISIONS Amounts falliny due after one year Provisions for liabilities 18 18 -170.164 -183.258 -1.250 -1,650 1.593.234 1.588.869 -170,164 -183.2S8 1,518,719 1,514,133 FUNDS Unreslricled funds Restricted funds NET ASSETS 619,954 588.751 973.280 1,000,118 1.593.234 1.588.869 545.439 973,280 1,518.719 514.015 1,000,118 1.514,133 19 The financial slatements on pages 16 10 36 were approved by Ihe trustees. arKI authtiTised issue on 25 November 2025 and signed on their behaK by M Morgan (Trusteel Page 18 PROMO-CYMRU LTD STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 Consolidated 2025 2024 Totsl Totsl funds Cormpany 2025 Totsl funds 2024 Totsl funds Notes Cash flows from operating activltles Net cash Income 4,365 9.107 4,586 3,579 AdJustments to cash flows trom nun-ca5h items DepreclatSon Income tsx expense Investment income 48.664 1.565 -11.147 43.447 50,331 62 -10.459 49.041 45,284 47,372 -10,966 38,904 -9,406 41,545 Worklng capitsl adjustments Ilncreasel/decrease in stocks llncreaselld￿reaSe In debtor5 (Decreasellincrease in creditors IDecieasel/increase in deferred income IDecrea5ellincrease in provisions Nei cash flows from operatlnk actlvlties 563 -73,869 22,222 18.123 -1.274 -106,571 -5,779 -7.163 16 17 17 18 16,413 17,926 4588 -51,153 -13,783 10,486 -71,746 77,831 -23,391 ash flows from investing a¢Elvitie5 Interest receivable and similar income Purchase of tangible fixed assets Net cash tlows from investing activities 11.147 -24.999 -13,852 10,459 -19,208 -8.749 10,966 -23,926 -12.960 9,406 -16,414 -7.008 14 Cash flows from linancing attivities Repayments of loans and borrowings Net eash Ilows fiom financlnB activlzies -12,440 -12.440 -ii,ooi -ii,ooi -12.440 -12,440 -ii.ooi -ii,ooi Nèt Idecrease)lincrease In cash and cash equivalents -15.806 -91,496 52.431 41,400 Cash and cash equivalent5 at l April Cash and cash equivalents at 31 March 514,751 498.945 606,247 514,751 421,695 474,126 463,095 421,695 Page 19 PRONO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 CHARITY STATUS The charity is limited by guarantee. incorporated iri England and Wales. and consequently does not have share Capltal. Each of the trustees is liable to c(w)tribute an amount not exceeding £1 towards the assets of the charity In the event of liquidation. The address of its registered office and principal place of business is.. 17 West Bute Street, Cardiff Bay CFIO SEP These financial statements were authorised for FSSue by the tnjstees on 25 November 2025. ACCOUNTING POLICIES Summory of significant a¢￿￿￿ting policies and key accounting estimates The principal accounting policies applred in the preparation of Ihese financial stalemenls are set out below. These policies have been cOns￿tentIY applied to all the years Presented. unless otheprtise slated. ststement of compliance The financial statements have been prepared in accoidancemfjih AcWufil￿9 aiKJ Reporting by Charitie5: Slalemenl of Recommended Practi￿ {applicabte lo charities preparing Iheir accounts in accoTdance with the Financial Reporting Slandard applicable in the UK and Republic of Ireland IFRS 102}1 {issued OdobEr 20191- Icharilies SORP {FRS 10211. the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. Basis ol preparation From￿cymrU Ltd rneets the definilion of a public benefjl enlty under FRS 101 Assets and liabilitEs are inillal recognised al historical cost or Iransaction value unless othe￿ise staled in the relevant accovnling policy note5. Going concem The financial slalemerrts have been prepared on t1￿ gowig concern basis. The Iru5tees asses5 whether the use of going Con￿rn is approprlale. ie, whether there are any rnaterral ncertainties related to events or condilwjns Ihal may cast significant doubt Dn the ability of the charity lo continue as a going concem. The trustees make this assessment in respect of a petiod of one year from the dale of approval of the ffftancial statemenls_ Group accounts and Investment in subsidTary The accounls have been consolidated lo include the results of the charity's subsidiary. No income and exFendilure account of the charity ha5 been presented as pemiitled by the Compantes Act 2006 and paragraph 423 of the SORP. The investment in the subsKliary 15 Stated at C051 ￿55 PTovision for any impairment. A subsÈdiary is an enlty controlled by the chanty. Control is achieved where the chaTty has the povRr lo govern the financial arKI operating P0￿cleS of an entity so as lo obtsin benefrts from ts activjlies. Inlercompany transactions. balances and mali5ed gains on transactions betwten the charity and its subsidlary, which ate related parties, are eliminated in full. Income and endowments All inGorne is re¢ognised once Ihe charity has enliltemenl lo the income. probable that Ihe income will be received and the arnounl of the income le￿Ivable can be measured reliabty. Page 20 PROMO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL STATEIIIENTS FOR THE YEAR ENDED 31 MARCH 2025 Donatlons and legacies Donations are recogni5ed then the tharity has been not￿ in ￿ttIng of both the amount and Sett￿Ment dale. In the evenl that a donalion 15 subject lo conditions Ihat iequire a level of performance by the charity b&fore the charity is enlilled lo the funds. the income is deferred arKI recognised until erther those ¢onditions are lulty m81. or the fitifilmenl of those Gondilions is KI)01￿ within the control of the charty and it is probable that these conditions will be fulfilled In the reporting pertod. Deferred Income Defgrred income repiesenls amounts received for fulure peri(MJs and is released to itKoming resoufces in Ihe wriod for which it has been rec8ived. Such income 15 only deferred when" The donor specifies that the granl or donation musl onty be used in future accounting p8riods' or The donor has Im￿ed corKlrtions which musl be rnel before the char* has uncofft1itional entrtfèmenl. Expenditu All expenditure is recognL8ed once there 15 a ￿gaI or constructNe c<galion lo Ihal expendlture. il is probable settlement is required and the amount can bé measured reliabty. All costs a￿ allocated lo the applicable expendilure heading that aggregale similar costs lo Ihat category. Where costs cannot be diredly attributed lo particular headings they have been allocated on a basis consistent with the use of resource5, wlh cenlral staff costs allocaleif on Ihe basis of lime spenL and deprec4alion charges allocated on the N)rtion Df the &5sel's use. Other support costs ale allocated based on the spread of staff costs. Charitable activitip5 Charitable expendrture comprtses Ihose costs incur￿d by Ihe charity in the delNery of it5 aclivrfies and service5 for ils beneficiaries. 11 includes both ¢osl$ Ihal can be alocated d¥2clly to such aclivilie5 and Ihose cos15 of an indirect nalure ne¢e$$ary to support them. Support costs Support costs include ￿￿traI functions and have been allocated to activity cost categories on a basis consistent with the use of ￿sOurCes. for example. allocaling prop8ty costs by floor areas. of per capila, slaff costs by the tirne spent other costs by Iheir usage. Governance costs These include the ￿sts attributable to the ¢hariWs Cfjnplrance ￿lh conslitulional and slatulory requirements, including audit, slralegic managemenl and Iiuslees. meetings and reinbursed expenses. Taxation The charity is ￿nsidered to pass the lests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it rTteets Ihe defintlion of a charitable company lor UK corporalron tsx pUrp￿eS. Accordingly, the harity is polenlially exempl from laxat*)n in respect of income or caprfal gains recewed within categories covered by Chapter 3 Part 11 of the co￿ratIOn Tax Act 2010 or Section 256 of the Taxalion of Chargeable Gains Act 1992. lo the extent that such income or gains ar& applied aKclusively lo charitable purp05e5. Tangible fixed assets Individual fixed assets cosling £150.00 or more are inftiaty recorded at C05L Dèpreclatton and arnortlsatlon Depreciation is provided on tangible fvl assets so as lo write off the cost or valuation, less any estimated resKlual value, overtheir expected useful economi¢ lrfe as folcvws.. Fieehold propety Fixlures. fittings and equipment Cornpuler equipment 2% on cost 10°A 10 25% on reducing balance 33 113% on reduclig balance Page 21 PROMO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL FOR THEYEAR ENDED 31 MARCH 2025 TEMENT Flx&d asset investments Investments in associates are actounted for using the equity Met￿￿. Irwestrnents in associates are initial recognised at the tran$action price (Ind￿￿ng transaction costs) and are sub5equentty adjusted lo refiect th8 charities Sha￿ of the profrt OT loss and other cornprehensive incorne of the associate. Gocdwill arising on the acquisition of associates is accounted for in accOrdar￿With the policy sel out above. Any urÉamortised balance of 99gdwill 15 included in the Ca￿ying value of the investment ni associates. Trade debtor5 Trade debtors are amounts due from customers for merehandise sold or services pgrfoThed in the ordinary ourse of busines5. Trade debtors are reCt￿nIsed initialty at the transaction priee. They are subsequanlty measured al amortiged 5t using the effective interest melhixl. ￿$S provision for impaiment A provision for the impairment of trade debtors is established when Ihere is obpdive eviden￿ that the chaiity wi51 not be able lo colleel all amc)unts due 0￿rdIng lo the original temis of the receivable5. stocks Stocks are valued at the lower of cost a￿£ net realisable value, after making the allowance for obsolete and slow moving items. Cash and cash equlvalents Cash and cash equivalents comprise cash on hand and call deposits. and olher short-temi highty liquid investmenls Ihal are readty convertible lo a known amount of cash and ale subjecl to an insignÈficanl iisk of ch8nge in value. Trade credltors Trade Credito￿ are obligations to pay forgoods or services thal have been acquired in the ordinary course of business from suppliers. Accoun15 payable are classif*d as CUTrenl liabi5ilies if the charity does not have an unconditional right. al Ihe end of the reporting period. lo defer settlement of the credrfor for al least twelve monlhs after the reporting dale_ If there ts an unconditional right to defer settlement for al least twelve months afterlhe reporting date. they are presented as norpcurrent liabililies. Trade creclitors are recognis8d ini1131ty al the Iran5actiDn price and subsequenlty rneaSu￿ al amortised cost using the effective inleresl Meth￿￿. where applicable. Borrowings Inleresl-bearing borrowings are Initial￿ recorded al fair value, nel of transaction costs. Inleresl-bearing borrowings are subsequently carried al amortised eosl, wilh the difference between Ihe proceeds. nel of transaction cosls, and the 3mounl due on redemption being ￿COgnised as a charge to the Slalemerbl of Financial Activities over the period of the relevant b)rrowng. Interest eyns& is recognised on the basis of the effective Inte￿$t melheLI and is included in interest payable and similar chafges. Boirowings are dassified as current liabifilies unless the Charity has an unconditional right lo defer selllemenl of Ihe liabilty for al least iwelve months after the reporting ¢Jate. Fund structurg Unrestricted income lunds are general funds that are available for use al the truslees. discretion in hjrtherance of the objectives of the chaFity. Restricted income funds ate Ihose donated for vse in a particulaf area orfor specific puwoses. the use of which is reslricted to that area or purpose. Page 22 PROMO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Flnanclal instruments Classlfication Financial a$$ets and finan¢tal labilities are recognised when the charity beconw a party ID the ￿ntraCtual provisions ol Ihe instrument. Financial liabilitie5 and e4uty inslwmenls are classified accoTding lo the 5ub51ance of the Gonlractual arrar)gemen15 entered into. An equity inslrumenl is any contracl Ihal eviden￿5 a re5rdual interest in the assets of the charity after deduding all of tt5 liabilities. Recognition and measurement All financial assets and liabilitie5 are initially measured atlr8nsaclion price {induding transaction ¢05151, eX￿p1 for those financial assets classrfied a5 at fair value Ihrough profrt or loss, which are inilialty measured al fair value (which is normally the Iran5actton price excluding transaction costs). unks$ the arrangemenl consliiutes rinancing Iransaclion. If an arrarwent conslilutes a financing Iransaction, financial asset or financial liabilrty is measured al the PTesenl value of the future payments discounied al a market rale of intere51 for a similar debt instrument. Finanoal assets and liabilit￿5 are onty offset in the slalemenl of finaneial position when. and onty when there exists a legalty enforceable right lo sel off the recognised amounts and the charity intends eithèr lo settle on nel basis. or lo realise the a55et and settle the liabilty S￿vI￿neouS￿- Finaneial assets arè d8rece*JnLged whan and only when a} thè contraclu31 rights lo the cash flows from the financial assel expire or are settled. b) the charty transfers lo anolher paty subslanli21ty all of the rtsks and Tewards ol ownership of the financial asset. or cl the charrty. despite having retained sorne. bul not all, significant risks and rewards of ownership, has transferred control of the asset to another party. Financial liabilities are derecognlsed OTh￿ when the obfigation specified in the conlrdct ts discharged. canc811gd or expires. Oebt instruments Debt instruments which meet the following conditions are subsequently measured at amortised cost using Ihe effeclNe interest method. al The contractual relum to the hokler is li) a fued amtyJnl- lil) a positwe fixed rate or a positive variable rale.. or (iiil a combinalion of a posilivo or a negative fLxed rale and a positive variable rala. b} The Contract May provtde for iepaymenls of th8 principal or the return lo Ihp holder Ibul nol both) lo bg linkgd lo a single relevant obsewable index of general price inlèlion of the currency in which the d2bl instrument is denominated, provided such links are not leveraged. c} The contract may provide for a thtemiinable variation of the retum to the hobjerduring Ihe life of the instrument. provided that (il th8 new rate salssfies condition la) and the varialion 15 not contingent on future evenls other than 11} a ch3ng9 of a contractual variable rale-12) to protect the holder against credrt delerioralion of the issuer. 13} changes in18vies applied by a cenltal bank or arising from changes in rekvant laxalion or law: or lil) th¢ new rale is a market rate of interest and satisfies condition lal. dl There is no conlraclual provision that could. by temis. resull in the holder losing the principal amount or any interest attributable to the current period or PTior periods. el. Contractual provision5 that permrt Ihe i55uer to prepay a debl instr￿nent 01 permit the hokler to pul il back lo the issuer before malurily are not conlingenl on future events. olherlhan lo piole¢t the holder againsl th8 credit deleiioralion of the issuer or a thange in control of the issuei. or lo protect the holder or issuer against changes in levies applred by a central bank or arising from changes in relevant lax81ion or law. Page 23 PROMO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 fj Conlraclual provisions rnay permli Ihe extensK)n of Ihe term of the debt inslwment, provided Ihat the relum to the hokler and any other contractual provisions appI￿ab￿ during the extended temi satisfy the conditions of paragraphs la) lo 1¢). Debt inslruments that are classrfied a5 payable or re￿1vable within one year on inlial recognition and which meet the above conditions are measured at Ihe undiscounted amounl of the cash OT Other consitjeralion expected lo be paid or recerved, net of impaimient. With the exception of some hedging instntmenls, other debt instruments not meeting these conditlDns ale measured at fair Val￿ through pfofrt and loss. Commitments to make and receive loans meeting the conditions mentioned above are measuied al cost (which may be nif) les5 impairment. ACTIVITIES FOR GENERAnNG FUNDS Consolidated 2024 2025 Projects. consultanryi workshops. events and helpline fees 804.153 768.031 VOLUNTARY INCOME Consolidated 2024 2025 Donations 5,798 15,414 INVESTMENT INCOME Consolidated 2024 2025 Rents received InleRsl re¢eNed 115,476 11,147 126,623 110.437 10,459 120.896 INCOME FROM CHARITABLE ACTIVITIES Unrestricted Restricted funds funds Consolidated 2024 2025 Fee5 arKJ related income NEWID grant Blaenau Gwenl CBC Food Distr￿￿tiOn grant Wale5 Council for Voluntary Action National Academy for Edvcalional Leadershi>- Associale grant Innovation grant Tailh giant National Lollery- Mind our Fulur& Gwenl grant National Lottery- Third Sedor Db3ital Fund Youth Access grant SlralegiG Voluntary Youth WO￿ Organisations Share Prosperity Fund- People and Skills Share Prospenty Fund - Cornmunty and Pla Share Prospeiity Furnl- Multiply Tai Calon grant GAVO grant National Grid - Community Fund Matters Sl Giles, Trust grant BG CBC Quickstart grant 7.500 5,613 6,000 150.443 150.443 2.500 10,000 5,000 11,936 192.385 162.365 15,542 35,000 209,527 41,391 3.244 200,730 177.365 17.372 35.000 142.763 78,554 59.898 3,244 200,730 177,365 17,372 35,000 142.763 78.554 59,898 s,000 1,000 9,460 1500 1,500 37.999 36.270 943,638 37,999 36.270 943,638 717,719 Page 24 PROMO-CYMRU LTD NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 INCOME FROP41 CHARITABLE ACTIVITIES (contlnuedj Unrestricted Restricted Consolldated funds funds 2024 2023 Fees and related income NEWID grant VK Community Renewal FurKI Blaenau Gwenl CBC Food Di51ribulion grant Vvales Gouncil for Volunl8ry Action Natsonal Academy for Edvcalional Leadershp- Associate grant 1nnovat.on grant Tailh Learning grant National Lottery- Mind our Future Gwenl grant National Lottery- Third Sector Digital Fund Youth AC￿55 grant Social Busines5 Growth Fund 2 Slr3tegic Voluntary Youth Work Organisations Share Pr05perTrty Fund - People and Skills Share Prosperity Fund - Community and Pl Tai Caron granl GAVO grant National Grid- Communty Fund MatteF5 Olher project granis 7500 7,500 5,613 7.200 loo,000 216,675 7.950 18,704 5,613 6,000 6,000 10,000 5.000 11.936 192,385 162.365 15.542 10.000 s.000 11.936 192.385 162.365 15,542 10.000 7,605 95,728 72,182 18.932 6,674 3S,000 209,527 41,391 5,000 1.000 9.460 35,000 209,527 41,391 5,000 1,000 9,460 525 562.175 7,500 710.219 717,719 EXPENDrruRE ON CHARITABLE ACTivrriES Unrestrlcted Restrlcted fund5 funds Consolldated 2024 2025 Subsidiary company Stalf cosls Projecl costs Office costs Repairs and ￿new81$ Insuranc Premises costs Loan interest Deprecialion 781,230 29787 12.047 9,028 9.363 1,034 27,￿8 12,483 7,941 889.921 781.230 628.973 282,250 12.637 21.927 18.336 67.599 12,483 39.962 1.865,397 734,109 533,271 158,335 12,106 29,719 17,517 57,313 13.171 47.372 1,602,913 599,186 270.203 3,609 12.564 17,302 40.591 32.021 975,476 Page 25 -CYMRU LTD ES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 EXPENDITURE ON CHAR￿ABLE ACTMTIES Icontinuedj Activity undertaken threGtIy Activity support costs Consolidated 20Z4 2025 SubsKliary o)mpany Staff costs Project Costs Office costs Repairs and renewals Insurance Premises costs Loan inleresl Depreciation 781,230 553,718 282.250 781.230 628.973 282.250 12,637 21.927 18,336 67,599 12,483 39,962 1.865,397 734,109 533.271 158,335 12,106 29,719 17,517 57,313 13,171 47,372 1,602.913 75.255 12.637 21.927 18.336 67,599 12.483 39,962 1.679,087 186,310 Unrestrirted Restricted funlts funds Consolidated 2023 2024 SubsKliary company Slaff Costs Piojecl cos15 Office ￿15 Repair5 and renewals Insurance PRmise5 C951s Loan interest Deprecialion 734.109 734,109 533,271 158,335 12,106 29,719 17,517 57,313 13.171 47,372 1,602.913 765,143 360,501 98,691 14,438 33,958 15,556 24,200 13,700 SO,150 1,376,337 533,271 141.742 2,938 27.870 16583 35.649 16,593 9.168 1.849 934 21,664 13.171 13,683 811,171 33,689 791,742 Activity undertaken direcuy Activity support Consolidated 2023 2024 Sub5tdiary company Staff costs Project costs Office cos15 Repaiis and renewals Insurance Premises G05ts Loan interest Depreciation 734.109 478,669 158.335 734,109 533,271 158.335 12.106 29.719 17,517 57.313 13.171 47.372 1,602.913 765,988 359,656 98,691 14.438 33.958 15,556 24,200 13,700 50,150 1,376,337 54,602 12.106 29.n9 17.517 57,313 13.171 47.372 1.448.204 154.709 In addition lo the expenditure analysed above, the￿ a￿ also governance costs of £10,450 {2024 - £10,040) which relate direclly to charitable aclivrties. See nole 8 for further delails. Page 26 PR -CYMRU LTD TES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 ANALYSIS OF GOVERNANCE AND SUPPORT COSTS SUPPORT COSTS Totals 2025 Totsls 2024 Finan Admin Premi5e5 Insurance Staff costs Subsidiary 12,483 12.637 67,599 18.336 75,255 186.310 13.171 12.1C 57,313 17,517 54,602 154,709 The support costs cover the promotion ofyoulh. adult atxj famity devehjwent GOVERNANCE COSTS Consolidated 2024 2025 Auditorf5 rernuneration 10.450 10.040 GOVERNMENT AND OTHER RJNDED GRANTS The followng govemment and olherfunded grants were during the year. YOUTH ACCESS £17.372 PromTrCyTnru i8 working with Youth Access as part of a national project funded by the National Lotlery UK. We are viorking with young pEoplg and partners lo help gnsure that ywlh voice t5 heard in thè design process of mental heatth and wellbeing services. WCVA £2,500 Promrrcymru rer2ived the Watter Dickie Leadership Bursary. The award granled £2,500 to support an indNKtual in Wales to become a better leader. GAVO £1.500 ProM￿CYmrU received £1.500 on behalf of the Ebbw Vale Inslitule lowards energy costs. St. Glles. Trust £3Y,999 PrOm￿CymrU re￿Wed £37.999 to pr￿￿ce an onlne loolkit that embeds LN8d EX￿rI&n¢e Mode15 Into volunteering. Strategic Voluntaryyouth Work Organisations15VYWOI £35.NNJ PloM￿cyMrV recelved £35.000 as a core ￿nIributIon lo provide a strategic inpul toward5 Ihe development of youlh infonnalion 5eTviGes acros5 Wales. BGCBC £36,270 Prom￿cymrU rec£nied £36.270 under the Quickslarl Scherne. The grant was used lo provKle 6 M(￿th job placements for young people al Ihe Ebbw Vale Institute lo help enhance Iheir future employment PTospects. Page 27 PROMO£ LTD THE CONSOLIDATED FINANCIAL STATEMEMTS R THE YEAR ENDED 31 MARCH 2025 Shared Prosperity Fund £281,215 Prom¢>Cymru receNed £281,215 from UK Go¥eTnment via BGC under the Shared Prosperity Fund to 5UPPOrt core costs and deliver 3 community based prngrammes. Newld £150.443 Promo-cymru received £150.443 from WCVA lo promote good digrfal praclice across the third sector in Waks through provKling training, SLPPOrt and info￿al￿)n. Talth £3,244 Promo£ymru rece￿ed É3.244 lowartEs organtsing a multicultural arts youih exchange wrth Nanles. Mind our Future Gwent {MoFGI É200,730 Prom￿CyMn1 was awarded £999,888 from The National Lottery Community Funded project to design new ways lo pwenl mental health chaI￿nge$ from developing or worsening 8cioss Gwenl and ensure that young people gel the iighl support al the right lime, wherever Ihey turn for help. We will be delNerng this piojecl ¢)ver 5 years in partnership with NeW￿t MiThJ. C￿r Other projecl parlners also include local Minds and youth seNices in Gwenl. Thlrd Sertor Dlgltal Fund £177,365 prom￿cYmrU has been awarded £500.000 ffom The National Lottery Communty Fund lo support Ihe WeL8h third sector with digital. We will be 5UPPOrting third seGtOT organisa1￿)n$ to tackle challenges relating lo a digrtal way of working. develgp knowledge and cpnfidence in Iheir digital ski115 and share good pracfice. This 3 year project wll be delivered in partnership wrth WCVA. The amurrt of grants recognised in the financial statementwas £943.638 {2024' £710,219). io NET INCOMING (OUTGOING) RESOURCES Nel resour¢es are slale