Registe￿ d company number 07657300 Regislered charity nurnbér.. 1142413 BADUR FOUNDATION THE BADUR FOUNDATION ANNUAL REPORT AND FINANCIAL STATEMENTS 30 JUNE 2025 ur THE BADUR FOUNDATION I CONTENTS Page Legal and adrninistrats've infomation Report of the Truslees 4-11 Independent auditors, report to the Trustees 12-15 Statement of financial activities 16 Balan￿ sheet 17 Cashflow statement 18 Notes to the financial statements 19-29 Page 1 of 29 THE BADUR FOUNDATION I LEGAL AND ADMINISTRATIVE INFORMATION Trustees Csaba Barta Judit Durst Zsombor Barta Tehseen Overy Registered Office Badur House 4044 Newman Street London W1T1QD Auditors MCA Audit Limited 7 St. John's Road Harrow Middlesex HA1 2EY Solicitors Charles Douglas Solicitor5 LLP 32 Old Burlington Street Mayfair. London W1S3AT Bankers C Hoare & Co. 37 Fleet street London EC4P 4DQ Page 2 of 29 THE BADUR FOUNDATION I LEGAL AND ADMINISTRATIVE INFORMATION (CONTINUED) Investment Managers UBS AG 5 Broadgate London EG2M 2AN Bank Lornbard Odier & Co Ltd 1 Chemin Messidor 1293 Bellevue Switzerland Page 3 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES The Trustees are pleased to Present thelr report togetherwith the charitys financial slatements for the year ended 30 June 2025. The report has also been prepared to meet the requirements for a directors, report and accA)unts for the purposes of the Companies Act.11 complies wrth the Charities Act 2011, the Companies Act 2006. the Memorandum and Articles of Association, and Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charltles preparing their account5 in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102). The directors of the chantable company (the"Foundalion'l are itslrustees forthe purpose of charity law and throughout this report are collectively referred to as the Trustees. Objectives and activities The Foundation has wde objectives and can support any charitable inslitution or charitable purpose. Its Primary aim is to tsckle poverty and inequalty, along with addressing environmental challenges for a fairer future. It supports grassroots organisations that help those who are marginalised or disadvantaged in society to improve their future prospects and those of their communities. The Foundation works with non-profil leams. charities and soaal enterprises trying to overcome social exclusion in some of Ihe most deprived areas of the UK, Hungary and Laos. It has recently extended its support to include grassroots organisations operaling in Malta. The Foundation has considered where its support can make the most drfference and it prioritises Initialives aimed at incre35ing edutstion and improving prospects. 11 believes high-quality educalion can have a transfonnative impact on lrfe chances and opportunities, as well as being a calalysl for betterjob opportunf(ies and higher w4es. The Foundation also places a high value on initiatives that ch811enge societal attitudes towards s￿181 exdusion, and those striving to improve Ihe inclusion of marginalised groups Of individuals. It actively looks for likeminded organisations as well as intemiediaries. delivery partners and co-funders with whom it can work closely and where possible, for the long lerm. Another core objective of the Foundation is to add￿$S some of the pervasive environmental challenges that are irreversibly changing our planet. It aims to drive positive local change by supporting organisations that are tackling environmental issues on a communty level. Wrthin its objectives, a ￿ntral fccus for the Foundation is organisational development. It aims to nurture organisations. giving them access to the support they need to reach the next stage of their development. This might include diversrfw'ng income slreams, through to increased social impact or adaptation in other geographical areas. Page 4 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED) struclure, Governance and Management govemance The charity is controlled by its goveming document, a deed of trusl, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. The Foundation is a company limiled by guarantee governed by ils Memorandum Artides of Association_ It is registered as 8 charity with the Charity Commission. There are curtenlly 3 members (2024-. 31, each of whom agrees to conlribute £1 in the event of the charity winding up. Appolntment of trustees The Trustees named on page 2 have all served throughoui the year. The p¢)Ner to appoint new trustee5 is vested in the Members of the Foundation. In considering the recruitment of a new trustee, the members would look to individuals with experience, empathy and kno￿edge of the Foundation's work. Trustee Inductlon and training New truslees undergo ￿ orientation to brief thern on.. their legal oblKJalion$ under charity and company law. the Charity Commission guidance on public benefit, and inform them of the content of the Memorandum and Articles of A$sc￿lation. the comrnitiee and decision-making processes, the aims of the Foundation and recenl financial performance of th8 Foundalion. During the induction period, they would meet key employees and other trustees. Continuing IrainirvJ for Trustees is undertaken through ￿gUlar meetings, attending relevant Seminars, spe¢rfic discussions with individuals and oryanisations and briefing papers in the areas supported by the Foundation. Oryanisation Trustees meet every three to four months lo consider grant application5, receive progress rew)rts on ongoing projects and lo review performance of the investrnent portfolio. They also consider strategic matters conekming their grant-making policy. Currently, the Foundation has seven members of staff. They manage the day-tt>day operations under delegated authority of the Trustee5 for matters concerning grant monitoring and impact evaluation. The Trustee5 confirm that they have had regard lo the Charity Commission's general guidan￿ on public beneftt when reviewing the Foundation's aims and objectives and in planning future tivities, setting grant-making policy and in maklng grants. Page 5 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED Subsidiary The Foundation has 8 wholty owned subsldlary company, Badur Sermces Limited. Badur seNi￿s Limited is a propety management company which has been incorporated Primarity for the management of the inveslmenl property held by the FoundatSon. Badur Servi￿5 Limited commenced trading on 10 April 2024. Relatedparties and c(weration with other oryanisations None of the Trustees receive remuneration or other benefit from their work with the Foundation. Any connection between a trustee and a beneficiary organisation is disclosed lo the full board of trustees in the same manner as any olher conlraclual relationship with a related party. In the current year those of a contractual nature are shown in Note 17 of the financial statements. Ovev4iew of actlvltles During the year, the Foundation rnad8 grants totalling £275,439. It also continued to monitor and evaluate its mulli-year, ongoing grants. Grants made during the year are lisled in Note 4 on Pages 22 and 23. The UK In the UK, the Foundation actively looks for initiatives that app￿h s￿181 and environmental problems in an inclusive way. It is particularly inleresled in organisations that address he needs of under-represented and disadvantaged communities or individuals. The Foundation works closely wth a small number of organisations and it aims to develop meaningful, long-tem partnerships. In 2024, the Foundation supported Cornerstone Benwell, a community charity in the heart of Newcastle's West End, in an area of severe economic deprivati￿ and child povety. The Foundation previously supported the organisation's 'Kindful Kitchen, project, which incorporates mindful cooking and eating to SUPPOrt the rnental health of identrfied groups. Wrth further support, Cornerstone wll pilot a new initiative, running construction projects for children and young people In disadvantaged areas of Newcastle. The projects will enable young people to take on roles and skills they have never had access lo before. With support and supervision throughout, they will be gwen the tools. resourcès and knowhow to design and build structures in their local communitie5 creating a feeling of 2ttomplishff￿nl, which improves their oJnfidence and sense of independence. The Foundation awarded multi-year support to Clean Slate Solutions (CSS), a tharily that aims to empower individuals with past convicts'ons by providing them wth the necessary resources, skills, and support 10 Secure meaningful employmènt. With Ihe grant, CSS G8n hire a new slaff p05t to build on its growing work in prisons and to enhance its 'through the gate, into the community offering. This new role will be instrumental in helping beneficiaries to leave custody vith hope and purpose, and to have conlinued support in Ihe transrtion phase of their resettlemenl. Page 6 of29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED) A grant was also awarded to the Moses Project, an organisation n Stockton that serves as a beacon of Iransforrnation for men aged 25 and above who are grappling with Substan￿ misuse issues, often coupled with experiences of homelessness. With support from the Foundation, the Project will increase its staff 'Floor Worke¢ capacity. The Floor Workers are fundamental roles,. they are the first port of call. beginning the process of rneeling basic needs whilst unpicking the men's Circumstances and starting lo pul an individualised plan in place. The Foundation will work with the team as the Project continues to grow and develop, recognising il takes a long-temi, consistent and multiwfaceted approach to put a life back together. Hungary The Foundation's granl making activilies in Hungary are welk8stablished with a team of three in place. Based on a needs assessment, the Foundation is channélling additional capacty into its organisalional devetopment programmes and bebw highlights some oflhe inikn'atives delivered and supported by the Foundation in Hungary. In 2025, the Foundat1￿,$ Incubalion PrcrfJramme entered its third year. It aims to provide diagnosis-based and indwidualised organisational development using group training workshops, individu81 analysis, expert consultation. peer learning and financial support for social enterprises and NGOS. Through these means, the Foundation aims lo support organisations to operate in a sustainable and professional way, even within the rapidfy changing external environment. The programme is now in the implementation phase. where organisations re￿1ve cu5tomised professional and finanaal hdp tailored lo their needs, and work towards the goals identified in their development plans. Seven organi5atrons are participating in the programme.. In 2024, all seven receivèd funding towards devebping their individual strategies and in 2025, four received further fijnding. The Foundation also supported From Streets to HDmes Association {FStHAI, an organisation thal providès independent housing for people affected by homelessness or h¢￿Sing insecurity, alongside intensive progrommes ol support to help beneficiaries maintain Iheir homes. A key aspect of these programmes is the active involvement of benefiuaries former homeless individuals and those experiencing housirvj poverty, including refugees. One such community support initiative is a peer mentoring programme, where long-tem) benefictaries are employed as paid mentors lo assist newer clients in various aspects of Iheir lives. Due to the withdrawal of a key supporter, the programme was not fully funded and in 2024, the Four¢dalion provided support toward5 the shortfall for one year. During this time, FStHA will focus on securing the remaining funds and developing a long-lerm sustainability plan. The Foundation will also provide on-going professlonal supwt as needed. Let's Help Each Other Assoriation has been a Gomerstone of community development and social assistance for disadvantaged familes Sin￿ 2013. Wrth support frun the FouThJation, the Asso¢iation will launch an ambitious pilot to expand its So￿al enterprise activities selling mint doughnuts and strudels. By purchasing a food Iruck, it will be able to participate at hig￿profIle events, improve operational efficiency, and elevale the Association's offer. Wrth a ftjlty equipped mobil8 kitchen, the Association aims to boost revenue and prowde ernptoyment opportunities for disadvantaged individuals. The Foundation will support the acquisition and 'kf( out, of the food Page 7 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES {CONTINUED) truck, through the combination of a grant and an interest-free loan. Any surplus income will be used to support capacity developmenl and strengthen its vital Community programmes. The Foundation also launched a call for proposals to support non-profrts in organising summer camps for vulnerable C¢)mmunilie$, after feedback showed a funding gap for this work. The call priorilised summer camps Ihat provide developmental and community-building experiences for children and families facing ¥aTiOUS forms of disadvantage- including children from low-income backgrounds, children with special educational needs (SENI. and families raising childfftn with disabilities. Over 100 organisations apFlied and 21 were selecled for support based on the prcgramme criteria. Laos The Foundation contlnued ils support for community, education and environment21 projects in the Luang Prabang Region of Laos. Here the Foundation works in partnership with the Buddhist Heritage Project, a trusted delivery partner thal is embedded in the local community. The Foundation also entered its second year of support for the Buddhist Archives of Luang Prabang, towards launching a Community Museum of Buddhist Art. The Buddhist Archives has a long history of delivering conservation and research projects in the field of Buddhist Heritage. Wrth support from the Foundation, the German Govemvnent and the local Buddhist Sangha, this new partnership project wll Study, preserve and present an important part of Ihe Buddhist heritage of Northern Laos. The museum will play a central role in informing local communities, helping them to maintain their connection to and knowledge about Ihis herilage. It aims lo ensure Ihe future preservation and safeguarding of carefully seleded art 04.ects and the widertraditionsthey signify. Malta The Foundation has extended rts support to include grassroots organisations operating in Malia. Ils initial focus is strengthening local conservalion initiatives due to the acute i5sue5 facing Malta's already fragile environment. The team are also speaking lo a number of voluntary Organisations and experts working to tackle poverty and inequality in Malta, particularly those working at the intersection of social and environmental issues. The Foundation will use Ihis feedbad( to better understand the needs being met, as well as to inform ils work and approa¢h. The Foundation continued rts support for ACT MaMa, an NGO founded in 2018 to rehabilitate Malta's unique landscapes through growing and protecting native planl and tree species. To bolster the organisation's slability and growth, the Foundation supported ACT with a grant towards staff costs, alongside support with busines5 planning. With this support, ACT aims to increase the number of trees grown, whilst improwng planning and income generation in order to ensure its work is sustained in future years. The Foundation also supported Zibel, an NGO commttted to reducing wasle. Since launching in 2017, Sbel has grown from ad-hoc beach ¢lean ups, to deliver regular and remote clean ups, ghost net removals, microplastic research and wider community initiatives. At an exciting lime of growth, the Foundation awarded a grant towards increasing paid staff capacty through three Page 8 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED) internal roles. Ultimately, the roles aim to be sustainable through increas&J income generation opportunities, which were previ¢JJsly limited due to intemal capacity. The Foundation continued to support the Malta Environment Foundation (MEF), with a founding place on its steering commtttee. MEF aims lo support local environmental initiative5 by channelling new source5 of funding, directing resources to existing environmenlal initialives, and fostering a supportwe community within Malla's environmental sector. promoling intersecliona15ty. collaboration, and cweation. Environmental Through its environmenlal initiatives in the UK, the Foundation seeks lo drive poSit￿e change at the gra$$roots. It wll continue to focus on the following themes: access to nature, suslainable food systems and rewilding (including education to improve environmental awareness and stewardship). In 2025, the Foundation supported Sunshine Cooperative wlh a grant towards the salary costs of the organisalion's CEO. Sunshine is a social enterprise using food as a tool to support people to improve their wellbelng and employability skills. Its grocery store in Sunderland is used to deliver thi5 work, also selling ethical and nutritious food to local communities. Alongside the grant, the Foundation will provide business planning and organisational development support. as needed. Under the theme of 'access to nature,, the Foundalion continued its partnérship with Tanga Club for a second year. Tanga Club is a chaTty based Northumberland that provides a network for families who have children with special educational needs and disabilities (SEND)- The grant will support Tanga to run its Forest School,. nestled deep within the wood it offers a secluded space for young people to make friends, play, and connect to nature, as well as a chance for parent51ca￿rs to come together. A portion of the grant will a150 go towards the organisation's sthedule of trips to museums, outdoor adventure parks and olher off-site venues. Tanga's Forest School and wder educational activities offer opportunities that unfortunately many children with disabilities miss out on, providing experiences for experiential learning and giving young people a Chan￿ to ful immerse in nature. The above demonstrates a selection of projects and organisations fvnded by the Foundation. Further information can be found on the Foundation's website rf undalion.o Futu￿ activities The Tru51ees intend to continue wilh their current strategy whère tackling poverty and inequality remain the key pillars of Iheir granl-making, along with grants supporting environmental initiatives. The Foundation seeks to be a pioactive, relationship-based funder, offering not only grants but support in the form of relevant skills, training and adwce., be il guidance on how to build organisational capacity or in financial management. Where appropriate. the Foundation's staff members provide a range of strategic support and assistsnce for the Foundation's grant holders. This approach has received positive feedback from grant holders and the Foundation is encouraged to conlinue offering this manner of support in the fulure. Page 9 of 29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED) Investments In May 2022, the Foundation purchased a building on Newman Street in London as a long-term investment. The overarching aim of the investment property IS to generale a long-term, stable income source for the Foundation which will benefit the grassroots charities and social enterprises it supports. The Foundation continues to hold smaller, low risk investment portfolios wrth UBS AG and Lombard Odier. The Inv8Stment Committee meets periodically lo review the perforrnan￿ of these portfolios. They continue to be managed against conservative benchmarks. The rnarket value of the Foundation's investsnenl portfolios which includes the Inveslmenl property as at 30 June 2025 is £34,308,606 as shown in Note 7 and 8 and on pages 24 and 25. Reserves The Trustees aim to establish a level of unrestricted funds. in real leTms. that ensures the Foundation can continue lo rneet its objectNes and ensure lon￿terni financial stability for the next 20-30 years. It is envisaged that the unrestricted reserves as at 30 June 2025 of £34,896,928 Y￿ul￿ be financialty adequate and flexible enough to provide for Ihe Foundation's fLrture objectives. The Capital Fund is held as an unrestrided fund representing langible fixed assets and investment property and portfolios managed under discrelionary mandates. It is intended that the net rental income from the investment property will be utilised to meet future grant commttments. Free reserves, defined as cash at bank and in hand less short lerm creditors, amount to £487,479 as at 30 June 2025. The Trustees review the reseNes requirement annually, to ensure th31 they accurately refiect the Foundation's overall reserve policy and lo meet tts objectives in the short, medium and long tem. Rlgk management The Trustees are rèsponsible for establishing and monitoring intemal control systems vAlhin the Foundation. The major risks which may impact the activities of the Foundation have been ￿vieWed during the year and the Trustees are satisfied that the system of internal controls currentty in place is adequate, whilst recognising that they are designed to manage rather than eliminate Tisk. Internal conlrols are reviewed on an ongoing basis as part of the daY-t￿daY risk management process Within the Foundation. The ri8k wrthin the charity lies V￿th its grant gNing and its associated reputational risk. The Trustees have.established a comprehensive monitoring process to manage this risk. Statement of Trustees, responslbililies The Trustees (who are also directors of the Badur Foundation Limited for the purpose5 of company lawl are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Slandards (United Kingdom Generalty Accepled Accounting Practice). Page 10 of29 THE BADUR FOUNDATION I REPORT OF THE TRUSTEES (CONTINUED) Company law requires the TTUStees lo prepare financial statements for each financial period which gNe a tnje and fair view of Ihe slate of affairs of the charitable company and of the incoming resources and applicalion of resources. Including the income and expenditu￿. of the charitable company for that period. In preparing these financial statements, the trustees are wuired to.- selecl suitable aCC￿nting policles and then apply them consistentty; observe the methods and principles in the Charf(ies SORP., make judgements and estimates that are reasonable and prudent-, state whelher applicable accounting standards have been followed. subject to any material departures disclosed and explained in the financial statements., and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The Trustees are responsible for keeping Proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Cornpanies Act 2006. The Trustees are responsible for the maintenance and integrity of the corporate and financial Informal￿n included on the companls website. The Trustees are also responsible f￿ safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the Trustees are aware.. Ihere is no relevant audtt Inf￿rnatIon of whith the charitable company's auditor is unaware., and the Trustees have taken all steps that they ought to have taken to make Ihernselves ware of any relevant audit information and lo establish that the audit￿ is aware of that infomiation. AuditoryJ MCA Audit Limited %Yas re-appointed as the Foundation's auditors and has expressed their willingness to C(￿tInUe in that capacty. Approved by the Board on 30 March 2026 and signed on ils beha￿ by.. Csaba Barta TNstee Page 11 of29 THE BADUR FOUNDATION I INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES Opinion We have audited the financial statements of The Badur Foundation (the 'company') for the year ended 30 June 2025 which comprise of Statement of Financial Aclivities, Balance Sheet. Cashflow slalement and notes lo 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 Kingdorn Accounting Stsndards, including Financial Reporting Stsndard 102 The Financial R8POrting Standard applicable in thg UK and Republic of lTrland (United Kingdom Generalty Accepted Accounting practi￿). In our opinion, the financial statements.. give a true and fair view of the state of the Company's affairs as at 30 June 2025 and of its incoming resources and applicats'on of resourGes (including ils income and expendrturel far Ihe year Ihen ended- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice. have been prepared in accordance wth the requirements of the Companles Act 2006. Basls for oplnlon We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities underthose standards are further described in the Auditorfs responsibillties for the audit of the financial slalements section of our report. We are independent of the ￿rnpanY in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Slandard and we have fulfilled ourolher ethical responsibilities in accordance with these requirements. We believe Ihal the audit evidence we have oblained 15 sufficient and appropriate to provide a basis for our opinion. Concluslons relating to golng concem In auditing the financial statements. we have conduded Ihal the trustees. use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have perfoTmetJ, we have not idenlified any malerial Un￿rtaIntieS relating lo events or condilions that. indiwdually ￿ collectively, may cast signif1cant doubl on the company's ability to continue as a golng concern for a period of at least Iwelve month5 from when the financial statements are authori5ed for issue. Our r8sponsibility.es and the responsibilities of the trustees wth respect to going concem are described in the relevant sections of this rewrL Other infomiatlon The trustees are responsible for the other inf0m￿tIon. The other inform81ion comprlses the information included in the annual report, other than the financial statements and our au(Jitorfs report Ihereon. Our opinion on the financial statements does not cover Ihe other information and. except lo the extent otherwise explicitty slated in our report, we do not express any fomi of assurance conclusion thereon. Page 12 of29 THE BADUR FOUNDATION I INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES (CONTINUED) In C￿nection with OUT audit of the financial statements, our responsil)ilty is to Tead the other information and, in doing so, consider whether the other infomiation is materialiy inconsistent with the financial statements or our kn¢)wledge obtained in the audit or otherwise appears to be materially misslaled. If we identtfy such material inconsistencies or apparent rnalerial misstatements. we are r8]uired to determine whether there is a material misstalement in the financial stalemenls or a material misslatemenl of the other infomation. If. based on the work we have perfomied, we conclude that there is a material misstatement of this other infonnation, we are required to report that fact. We have nothing lo report in this regard. Opinions on other matters prescribed by the Companles Act 2006 In our opinlon, based on the work undertaken in the coutse of the audit: the information gtven in the Trustees, report for the financial year for which the financial statements are prepared is consistent with the financial statements,. and the Trustees, report has been prepared in accordance with applicable legal requirements. Matters on whlch we ore required to report by excewion In the light of the knowledge and understanding of the company and tts ￿ronment obtainèd in Ihe course of the audit, we have not identrfied material misstatements in the Trustees, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to Teport to you rf, in our opinion: adequate accounting records have not been kept, or retums adaquate fc* our audit have not been received from branches not visited by us., or the financial statements are not in agreement with the accounting records 8nd returns,. or certain disclosures of Trustees, remuneration specified by law are not made,. or we have nol r￿1Ved all the information and explanations we require for our audit. Responsibilities of Trustees As explained more fully in the Trustees. responsibilities statement set out on page 10 the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such inlemal control as the Trustees, detemiine is nec£ssary to enable the preparation of financiai statsments that are free from malenal misstatement, whether due to fraud or error. In preparing the financial stat8menls. the Irustees are responsible for assessing the company's ability to continue as a going concem, disclosing. as applicable, matters related lo going concern and using the going concem basis of acc(Junting unless the trustees either intend to liquidate the company or to cease Operations, or have no realistic aliernalive but lo do so. Page 13 of29 THE BADUR FOUNDATION I INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES (CONTINUED) Auditors. responsibilities for the audlt of the financlal statements Our objectives are to obtain reasonable a55urance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors. Report that includes our opinion. Reasonable assurance is a high lev81 of assurance. bul is not a guarantee that an audit conducled in accordance vthh ISAS {UK) will a￿ayS detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material rf, individually or in the aggregate, they could reasonably be expected lo IrfflUen￿ the economic decisions of users taken on the basis of these finanaal statements. Irregularities, includlng fraud, are Instsnces of nonacompliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.. In identifying and assessing risks of materSal misslalemenl in respect of irregularities, inGluding fraud and non-compliance with laws and regulations. we considered the followlng.. the nature of the company and sector in thich it operates, control environment and financial performance including the design of the company'5 remuneration policies, key drivers for slaff Temuneration, bonus levels and performan￿ targets., the results of our enquiries of the trustees about their own identrfication and assessment of the risks of irregularities., the proces5 for idenlrfying, evaluating and complying with laws and regulations and whether the trustee5 We￿ aware of any instances of non-compliance., the process for detecting and reswnding to the risks of fraud and whether the trustees have knowledge of any actual, suspected or alleged fraud., the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations. These matters were dlscussed among Ihe audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud. In common with all audf(s under ISAS (UK), we are also reqLFired to perform specific procedures to respond to the risk of management override. We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this contexi induded United Kingdom company law and local tax legislation. A further descriplion of our responsibilities for the audit of the financial statements is localed on the Finanual Reporting Councifs website at www.frc.org.uklauditorsresponsibilities. This de￿rIPtIOn forms part of our Auditors, Report. Page 14 of29 THE BADUR FOUNDATION I INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES (CONTINUED) Use of our report This report is made 501ely to the company's members, as a body. in accordance with Chapter 3 of Part 16 of thè Companies Act 2006. Our audit work has been undertaken 50 that we might state to Ihe company's members those matters we are required lo stale to them in an Auditors, report and for no other purpose. To the fullest extent pe￿nItted by law, we do not accept or assume responsibility to anyone other than the company and the Company's memb8r5 as a body, for our audrt work, for this report, or for the opinions we have fomied. CA Adi Ltsj Sh8ilesh Patel (Senior Statutory Auditor) for and on behalf of MCA Audit Limrted Chartered Accountants and Statutory Auditors 7 St John's Road Harrow Middlesex HA12EY . 2026 Page15 of29 THE BADUR FOUNDATION I STATEMENT OF FINANCIAL ACTIVITIES (induding income and expenditure account) Not• Unr95tricted U￿re5t￿cted Ineome Fund Capital Fund 2025 2025 Total Funds Total Funds 2025 2024 Income from: Donations and legaries Income from investrnent8'. Investment income 1.336,S63 1.336,563 1,681.092 1.214 207 1,214.207 1.486,094 Totsl incorne 2,550,770 2,550.TIO 3.167,186 Expendlturè on: Costs of raising fvnds 9,662 9,662 16.300 Exp¢ndituft on ¢harltable Cli￿lIeS 891712 891,712 803,450 Total expendlture Net Income for the y?ar bolore gains and 10sse¥ Realised investment gainslllossesl: on foreign eurrenry on fixed asset lnveStw￿nts 891.712 9,662 901.374 819,7SO 1,659 058 1.649.396 2,347,436 IS7,6261 157,8261 115,984 ie5,1411 50,311 15,984 3.810 115,452 Unrealised i￿￿$tment gainslllossesl.. on foreign euirency on fLKed as$el Inve$tments on investment propety {B,0721 18.0721 40,775 518.627 8S6 205,753 ,482,699 40,775 518.627 8.072 485.924 ,276.0901_ Net gainslllos8es} on Vestrnents 493 836 659,734 2,391,542 Net income 1,593.1 SQ 1503.4981 1.089.662 144.11XSI Transfer be￿e￿n fvn¢Js 11,306,361) 1,305.361 Not mov•m•nt Sn funds 287.799 801,863 1.089.662 44,11 Reconclllatlon ol funds Balan￿ brought forward at 1 July 2024 Balance carried 10Th¥4rd at 30 Junè 2025 583 952 33 223 314 33 807 266 33 851 372 13 871761 34.025.177 34 896 928 33.807,286 The notes on pages 19 to 29 form part of thesè financial statements. The statement of financial activities includes all gains and losses recognised in the year. All activities are classed as continuing. Page 16 of29 THE BADUR FOUNDATION I BALANCE SHEET- 30 JUNE 2025 Not 2025 2024 Flxed asgets Investment portfolios Invesbnent property Investrnent in subsidiary Tangible assets 8.484.079 25,824.427 100 7.395,704 25.824,427 100 3,083 33,223,314 34,321,192 Current 0¥sel8 Cash at bank and in hand Debtors 1,105.546 616 692 1,722,238 996,980 536,715 1,533,695 10 Current liabilities Creditors". amounts falling due wlhin one year- unrestricted 11 (61B,0671 1423,938) Net current a8s•ts 1,104,171 1,109,757 Total assets current Ilabllttl•$ 35.425,363 34,333,071 Credltors: amounts falling duo after more than on Year- unrestrictsd 12 528 435I._ 525.805L Net as8ets 34.896,928 33.807,266 Funds Unrestricted capital fund Unrestricted income fund 34,025.177 871.7S1 33.223.314 583,952 Totsl unrnstrictod funds 13 34 896 928 33 807 266 The financial statements were approved by the Board of the Badur Foundation on and signed on their behalf by.. Csaba Barta Trustee The notes on pages 19 to 29 fom part of these fmancial statements. Company number 07657300. Page 17 of29 THE BADUR FOUNDATION ICASHFLOW STATEMENT 2D25 2025 2024 2024 Net cash infiowfrnm operating activitigs (Nots 151 539,445 692,451 R•tum$ on Invgstmgnt anil servicing finance Dividends received Interest received Rent received Other compensation income 38,804 183.269 1,036,521 227,500 159.787 1,037.420 17.01)0 1,214,207 1,486,094 Capital expenditure and flnancial Investment Proceeds from sale of investments Purchase of fixed a5setB Purchase of investment propety Purchase of investments 1.145,694 113,0211 {518,6271 12,424,2031 3.418,359 11.9801 (822,8981 15.490.262) 11.810.157) (2.896,7811 Effect of curroncy translation on and ¢a•h 8qulvalents Not dècr•as• in cash 149.7541 1106,2591 114,7071 1723.9431 Analysis of not fund¥ N•t balance at 1 July 2024 Cash Nat balance Increase al 30 June Ildecrèase) 2025 in th• y•ar Cash al bank Investment cash (see note below) 996,980 2,816,327 108,566 1214,8251 1.105,546 2.601.502 3,813,307 1106,2591 3.707.048 Note (Decreose}in cosh uwuiting inve5tmentlnote 71 1214,8251 The notes on pages 19 to 29 fom) part of these financial statements. Page 18 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS 1. Accountlng pollcles a) Basis of financlal staternents The financial statements have been p￿pared under the historical cost convention as modified by the policies on investment revaluations and in accordance with Accounting and Reporting by Charities- Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP IFRS 10211, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The Foundation meets the definition of a public benefit entity under FRS 102. The Foundation established a subsidiary company. Badur Services Limited on 10 April 2024. Badur ServicEs Limited wa5 established with the inlenlion of managing the Foundation's investment property- The financlal stslements contain infomation about the Foundation as an individual company and charity and do not contain consolidated financial information as the parenl of a group. The Foundation has not prepared consolidated financial slalemenls on the basis that the activities of Ihe subsidiary are not material to the group. b) Income Donations are recognised In the period in which the Foundation is entitled lo receipt and the amount can be measured with reasonable ￿rtainty. Income is only deferred ￿en the charity has to fulfil conditions before becoming entitled to rt or where the donor has specified that the income is to be expended in a future period. Gift aid is added to the value of the donaticn to which it relates. Investment income is accounted for on a receivable basis. Rental income is received quarterty in advance, bul recognised in the ststerrEnt of financial activity on a straight line basis over the tem) of the lease. Donated services are recognised on the basis of the value of Ihe grft to the charty as determined by the donorwhere such a cost is quantifiable and measurable,. a COTTesponding amount is then recognised in expenditure in the period of receipt. No income is recognised where there is no financial cosl incurred by the third party. c) Expendlture Expenditure 15 induded on an acc*ual's basis. Costs of generating fvnds comprise those costs diredy attribulable to managing the inveslment portfolio and raising investment income. Grants payable are charged in the year where the offer is conveyed lo the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled or at the point when the fulfilment of the conditions are no longer seen to be within the control of the Trustees. Page 19 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS Expendlture continued: Grants offered Subject lo conditions which have not been met at the year-end are noted as a commitment. but not accrued as expenditure. d} Servlce charges. property operatlng expenses In the case of setvice contracts with third parties, service charges are recovered from tenants. Serwce chaiges in resFect of vacant property are expensed. These mainty relate to gas, waler, eleclricty, cleaning and secuTIty. Propety operating expenses comprise those costs thal are directty attributable to the operation of properties. net of costs charged lo tenants. These mainly relate to lax, insurance. leasehold, maintenance and professional fees. These are expensed as incurred. Administrative expenses are expenses that are not directty altribulable to the operation of syoperties lin¢luding charged management costs not directty related to properties, office overheads. advice, valuation and audit fees, listing costs and marketing and promotion costs)- e) Support costs Support costs are allocated lo the charitable activity as incurred. n Govemance costs Govemance costs comprise of all costs involving the public accountability of the charity and costs related to statutory requirements. g} Investments Investments, listed and quoled, are included al market value. The valuation is provided by a Ihird-paty fund manager. Unquoted investments are carried al the Truslees, valuation. h) Taxation The Foundation is a registered charity and is not liable to United lfjngdom income tax or corporation tax on charitable activities. i) Fixed a55ets depreclatlon policy Tangible fixed assets are stated at cosl ￿$$ depreciats'on. Depreciation is provided al rates calculated to write off cost of fixed assets, less their estimated residual value, over their expected useful lives on the following basis= Fumilure, fittings and equipment Website development and design 3 years 3 years Page 20 of 29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS J) Foreign curren¢les Assets and liabilities denominated in foreign currencies are translated into sterling al the rate of exchange ruling al the dale of the balance sheet. All differen￿5 are taken to the Statement of Financial Activtties. k) Golng concem Where total liabilities exceed currerrt assets, the TNstees consider the abilty of the Foundation to continue to meet these obligations (as and when they fall due) from liquid assets. and also Ihe continuing support they receive from their donors and creditors. If Ihe Trustees are satisfied that the Foundation can meet ils obligat￿nS, then flnancial statements are prepared on a going concem basis. The Trustees are of the view Ihal the Foundation has sufficient cash balances to meet its granl commitments, reporting a net current asset balance at 30 June 2025 of £1.104.171 and on this basis it is a going concern. 11 Investment Property Investment propety is measured initialty at its cost, including related tr8ns8Ction costs such as a¢Jvisory costs, notary costs. transfer taxes and borrowing cosis. After initial recognition, investment property is slated al fair value. Fair value is based on active market prices, adjusted, if necessary, for any difference in the nature. location or cOnd￿'0n of the specific asset. The Truslees revalue the inveslmenl propety annually as at the financial position date and where necessary seek advice from professional valuation experts who hold recognised and relevant professional qualifications and have recent experience in the location and category of the investment property being valued. These valuations fomi the basis for the carrying amounts in the financial statements. The fair value of investment property Teflects. among other things, rental income from current leases and assumptions about rental income from future leases in the light of current market conditions, induding vacancy and rental In￿ntIVes. The fair value also reflects, on a similar basis, any cash oufflows Ihal could be expected in respect of the property. Subsequent expenditure is capitalised to the asset's carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Fund and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed vthen in(￿rred. When part of an investment propety is replaced, the carrying amount of the replaced part is derecognised. The fair value of investment propety does nol reflect future capital expendfture that wll improve or enhance the propety and does not reflect the Telated fvlure benefEls from this futUTe expendilure other than those a rational market participant would take inlo account when determining the value of the propety- Gains and losses arising from changes in fair values are included in the statement of financial activity in the year in which they arise. Page 21 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS 2. Income from donatlons and legacles 2025 2024 Donatron5- unrestiirted ValLfe of services received treated as a donabon- unTe$iricted 1,336.563 1,676,092 5,000 1.336,583 1,681,092 3. Investment income 2025 2024 Inleresl eamed Dividend income Rental income- Newman Street Other compensation inGome 159,787 183,269 38,804 1.036,521 227,500 1.037.420 17.000 1.214,207 1.486,094 4. Expendlture on ¢harftable activities 2025 2024 Gr¥nt•maknng (see below) Support B0515 Governance ￿$1S Propety expendilure- NevKnan Street 435,653 302,763 15,000 138,296 403,774 268,178 15,000 116,49B 891,712 803,450 The Foundation concenltates its efforts on its grant making aclmties and hence no allocation of support cosls by actimty has been undertaken. Govemance c05t5 comprise legal fees l£nil) and audit fees (£15,000). A porbon of support costs have been classified as grant-making to better reflect the allocation of the Foundations resources towards providing advisory services to the organisalions that they support. Support costs classified as grant-making Is £160,214 (2024- £122,035)- TrLJStees received no remuneration and were not reimbursed for out-of-pocket exFenses in both 2025 and 2024. Page 22 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS Expenditure on charitsble a¢tlvltie6 contlnued: The following granls were made during the year. 2025 2024 ACT M81ta Anonymous Way5 Foundation ART-ravalo programme Budapest Hydrotherapeutic Rehth"litation G￿nn99￿£S Foundatson IBHRGI Buddhist Archives of Luang Praban9 Clean Slate soluts.ons Con$ervth'on ColleL*ve Cornerstone 8eThv4tll Cre8tive spa￿ IEgye$ek Youth Association) Denton Youlh and Comrnunity Project Diversity FoundatiL ecoACTtVE Edible Landscapes Lontal C08t At 1 July 2024 Additions during the year Disp05al$ At 30 June 2025 27,014 13,021 13.700 5,956 32,970 13.021 13,700 Depreelatlon At 1 July 2024 Charge for the year Depreciation on disposal AI 30 June 2025 23.931 3,518 5.956 29.887 3.518 13,700 13.749 5.956 Net book valuè At 30 June 2005 At 30 June 2024 3.083 3,083 Items with a useful lrfe exceeding one year and an individual cost exceeding £500, depending on the nature of the assel, are capitalized and depreciated over their useful economic life, while items below this threshold are expensed in the year of purchase. 10. Debtors 2025 2024 Trade debtors Other debtors Intercompany loan VAT Prepayments and accnjed income 60,120 7,515 444.067 14.893 90.097 102, 164 408,345 2,832 25,374 616.692 536,715 11. Creditors-Amounts falling due within one year 2025 2024 Trade creditors Other creditors Grant commitments Accruals and deferred income 24126 12.716 91.005 260,220 5,073 3,107 136,244 279,514 618 067 423 938 Page 26 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS 12. Creditors - Arnounts falling due after more than one year 1025 2024 Rent deposits Grant commitments 462,969 495,347 30,458 $28 435 525.605 13. Analysls of net assets between funds Unrostricted In¢omg fund Unrestrl¢t8d capltal fund 2025 2024 Total Total Tangible fixed assets Investments (including property) Nèl current assets Creditors due after one year 12,586 12,586 34.308,608 1,104.171 1528,4351 3,083 34,308,606 33.220,231 1.104,171 1528.4351 1.109,757 1525,805) Not surplus 575,736 34.321,192 34,896.928 33,807,266 14. Movement in funds Unrèstrlctod Ineome fund Unrestricted ¢apl¢al fund 202S 2024 Total Total Balance at 1 July 2024 Incowning resources 583.952 2,SSO,770 1891,7121 {65,8981 {1,305.3611 33,223,314 33,807.266 2,550,770 1901.374) IS59.734) 33,8S1,372 3.167,186 {819.7501 Resour¢e$ expended Rèalisedllunrealisedl gains and losses Transfer beiwegn fund5 (9.662) 1493,836) 1,305.361 1391.$42 871.751 34,025,177 34.896.928 33,807.266 Page 27 of29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS 15. Reconciliation of net incoming resources to operating activities 202S 2024 Net Ideficitllincome for the year before1105se$)Igain Depreciation charges Dividends, inlere518nd rent receivable Increasellde¢reasel in deferred rental income Increase in debtors Increaselldecreasel in creditors Increase in gT8nl ¢omMitrnents 1,649,396 3.518 11,214,208) 4.420 (79,9771 186,527 110,2311 2.347,436 1,842 11,486,094> {15,204) (163,871) (43,4591 51,801 Net cagh Inflowfr<*n 0￿￿11Th9 actlvltl•s 539,445 692.4S1 16. Company status The Foundation is 8 ￿)MpanY limited by the guarantee of its members and incorporated in England & Wales. In the event of a winding up, each member guarantees to pay an amount not exceeding £1. At 30 June 2025, the total of such guarantees was £3. 17. Related party transactlons The Foundation received unrestricted donations from Trustees during the year lolalling £1.068.450 {2024-. £1,339,250) net of gift aid. During the year, the Foundation was invoiced for disbursements totalling £Nil (2024.. £46,290) by HGT Management LLP of whith a Trustee is a Partner. These Tlems were re-charged to the Fi)undation at cost plus VAT. The Foundalion also recewed bookkeeping, accountancy and administrative services from HGT Management LLP ￿rythout charge. These donated services have been valued at £Nil for the year 12024= £5,000). As at 30 June 2025, the amount owed by the Foundation to HGT Managemenl LLP was £Nil 12024-. £3,436). During the year, the Foundalion was invoiced by BXR Advisory Partners LLP, of which a fomer Trustee is 8 Partner, but BXR Advisory Partners LLP remains a related party on account of BXR Advisory Partners LLP and HGT Management LLP having a common partner, for a licence fee associated wth 4044 Newman Street of £60,000 (2024.. £60,000). As at 30 June 2025, the amount owed by the Foundation to BXR Advisory Partners LLP was £Nil (2024- £Nil). During the year, the Foundation was Charged rent of £Nil (2024- £23,747) by BXR Partners Kft. Hungary, an entty over which a former Trustee exercises joint control. Page 28 of 29 THE BADUR FOUNDATION I NOTES TO THE FINANCIAL STATEMENTS Related party Iransactions continued As at 30 June 2025. th8 amounl owed by the Foundation to BXR Partners Kft was £Nil12024: £Nil). The Foundation owns 1000/a of the shares in Badur Services Limited, a tradlng subsidiary of the Foundalion thal was incorporated on 10 April 2024. As at the 30 June 2025. the Foundation had made a loan to Badur Setmces for £37,72212024: £406.345). The total loan at the year end owed by Badur se￿ices was £444,067. This loan comprises capital works to Newman Street funded by the Fovndalion on behalf of the seNice charge accounl within Badur Services, nel operational costs incurred in r&lalion lo the seNi¢e charge account wthin Badur Services before the incorporation of the subsidiary, in addition to cash injection on inCor￿rat￿n of Badur SeThices. P4e 29 of29