REGisfERED CHARrrY NUMBEIL. 1153323 REPORT OF THE TRUSTEES AND FINANCIAL STATEME1￿s FOR THE YEAR ENDED 31 AUGusf 2025 FOR ROYAL MERCHAiif NAVY EDUCAIION FOUNDATION Lews BIDWn￿ (Chichester) L[M￿ed ststutory Audfcors Appledram Bams Birdham Road Chichest West Sussex P020 7EQ ROYAL MERCHAKf NAVY EDUCATION FOUNDATION CONTENTS OF THE FINANCIAL sfATEMEpirs FOR THE YEAR ENDED 31 AUGUST 2025 Page Report of the Trustees I to 7 Report of Thdependent Audttors 8 to 9 Statement of Yinanaal Artivities io BalaTr￿ Sheet li Cash Flow Ststement 12 Notes to the Cash Flow Statement 13 Notes to the Flnandal Syatsments 14 to 22 Detslled Ststement of Finanaal A¢*ivltles 23 to 24 ROYAL MERCHAKf NAVY EDUCATION FOUNDATION REPORT OF ThE TRusfEES FOR THE YEAR ENDED 31 AUGUST 2025 The Trustees present their repK)rt WTth the fin￿￿la1 51atements of tke chaiity for the year e￿Ied 31 August 2025. The Trustees have adopted the provisions of Accounting and Reportiro by Charrties: Ststement of Recommended Practice appli(zble to chariknes preparing thar accounts in accordance with the finarrial Reporting Slandard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2019). OBJECrnIES AND ACTIVITIES Aints and objectives The object of the Foundation is to afford tharitsble benefit and relief to ts teneficiaries ty providing for or towards their maintenance arbj education in XCOrdan￿ with the prinoples of thristsan religion and moralty and by assisting them in training for and taking up employmenL Provided that: 'FouTrJatiorErs' means the children and young people who are in need and are the Th3tural or adopted children or other legal dependents of a per5cffl who has *rved or ts wvirHJ at sea in the Merchant Navy or ￿shir¥j Heet or the Royal National Lifetxxt Institution (RNU) provided that priortty may be to Foundatiows vtho a￿ British or have at knst one British parent. A person "serving at sea in the Merthant Navf means any seafarer in any capaaty at*)ard a merchant ve%el which i￿ludeS but is not limited to passenger liners, ferries, contsiner ships, tsnkers, bulk carriers, b￿ak bulk and refrigerated cargo ships, Royal Fleet Auxilrdries (or theÈr eqwalent), coastws, specialist ships (e.g. RNU lifeb)ats, deep sea rigs, safvage vessels, oil SUp￿rt vessels, lightFwJuse tenders etc.), luxury Pri￿￿te charteJ yachts. A person "serving at sea in the ffshlng Fleet" means any se*rer worfong in any capaaty onb)ard inS￿re or deepsea fishing vessels. A person "serving at sea in the R￿al National Lifeboat Iitstitution" means any Lyew mwnbtr of a lifeb)at operated by this Institution., Objectives, stratsgies and activities The Foundation's propety assets comprise ttE unencumbered freetM)Id of ￿me 262 acres of the Grade II* Bearwood Estate of which. c. 202 acres Is leasoj untll 2121 to Bearwood Lakes &3￿ aub; and c. 60 acres of woodland calkd knnk W¢)od is leased to Rethjam House (Berkshire) until 27th March 2031. In addition, the Foundation retalns a FQrtfolio of quote£l investrnents. Public benefit The following actlvtttes are undertsken to fvrther public benefit: Providing support and funding to existing Foundation¥s to enable th￿n to maximise and achieve their ￿￿tial. IdentifyirKJ new Foundationers qualtfy for suppjrt and ￿)Uld benefrt from access to the Fou￿la1]0n,S funding during their for￿￿tiVe years. Developing marketing activities to iderty new Foundationers. The Trustees confirni that they have complied with the requirerrents of section 17 of the Charities Act 2011 to have due regard to the public benefit guidarKe published by the ￿arity Commission for England and Wales. Page I ROYAL MERCIIApif NAVY EDIJCATION FOUNDATION REPORT OF THE TRUSfEES FOR THE YEAR ENDED 31 AUGusf 2025 OBJEcfIvES AND AcrIvrYiES Equality, Diversity arml Inclusivity l. ￿Vernan￿ Approach Blind to Indiwdualities: The Foundation tskes a neutral and unbiased approach toward its beneficiari&, treating each as an individual with unique needs and orcumstsrKes. Diver* Board Comwgbon: The Board demonstrates diversity in professional b￿kgrOund$ and ￿tiSe, induding legal, financial, educabonal, marfcime, h621thcare, and judickal fields. This variety ensures a well￿our￿led pwspective in deLision-making. 2. SupF()rt for Benefiaaries Focus on N￿d. The Foundatior) wioiitises beneficiaries identified as in need, emphastzing thetr unique challenges and aspirations. Education and Career Training., It under￿re$ &Jucation and training as tools for empowermen¢ enabling disadvantsged youro indivlduals tri access opwrtunities that can l&id to fijlfilling and productive lives. 3. Commtiment to Indugvity The Foundation's pracL]￿ a￿gn with inclusive prirKiples, er6urirKJ that b)th govemance and beneficiary support reflect broad perspecknve5 and equitsble treatma*. This approath supports the Foundation's rnlssion of b#ering opporbjnity and addressing inequality effectively. Page 2 ROYAL MERCHANf NAVY EI)UCATION FOUNDATION REPORT OF THE TRusfEES FOR ThE YEAR ENDED 31 AUGUST 2025 ACHIEVEMENTS AND PERFORMANCE Charitable activitie5 Having agreed the widening of the benefKiary liabilibes to the tenants. Insurance where approprkits. Serlous Inctdents No serious incidents occurred in the year undu rep)rL REFERENCE AND ADMINIsfRAfivE DEfAILS Registered Charty number 1153323 Prinapal address lè Chamham Lane Berkshire RG17 OEY Page 5 ROYAL MERCHAKf NAVY EDUCATION FOUNDATION REPORT OF THE TRusfEES FOR THE YEAR ENDED 31 AUGUST 2025 Trustees Ms Lesley Robinson (Chair) Cdre William Walworth CBE Mrs Emma McKendrick Judge Simon Cooper DL Cdre Michael Cochrane OBE Dr Rodney ￿en-jOneS Ms ￿nda Cotton (apwinted 23.1.25) Chief Executive Offi￿r (CEO} Ms Linda Cotton (resigned 31.12.2024) Mrs Diana Pearson {appointed 01.01.2025) other Officers Miss Rose Osbom (Part-time) Miss Louise Dochety (Part-time) Honordry Iri￿Preside￿S Lieutenant-commander Jeremy D Dewtt RN (Ret'd) Mr John Adey MA (Oxon) Patron H M ￿n9 tharles lll Auditors Lewis Brownlee (Chichester) Limtted ststutory Auditors Appledram Bams Birdham Road Chichester West Sussex P020 7EQ Bankers Handelsbanken Newbury St Anthony's House Oxford Square 9-21 Oxford Street Newbury Berkshire Sollcltors Bates Wells Br31th￿lte LLP 10 Queen Street Place London EC4R IBE Blake Morgan LLP 6 New Street Square London EC4A 3DJ Page 6 ROYAL MERCHAKf NAVY EDUCATION FOUNDATION REPORT OF THE TRusfEES FOR THE YEAR ENDED 31 AUGusf 2025 REFERENCE AND ADMINIsfRATIVE DEfAILS Investment Advisors The firm, previously known as Veritas Investsnent Patners (UK) Limite(I, Chal￿ its name to Meridiem Investment Management Ltmibj on 26 March 2024, and then again to N3verz Investment Managonent Ltmited on 10 June 2025. Navera Investment Management LLP Riverside Hou 2a s0uth￿drk Bridge Road Lon&)n SEI 9HA Insurers NFU Mutual Dunn House Charnham Lare Hungerford RG17 OEY TRusfEES' RESPONSIBILrrY srATEME The Trustees are resF¢*nsible for preparing the Repcrt of ￿ Tnstees and the financial statwnents in accordance with applioble law and Untted ￿ngdoM Accounting Stsndards (United Kingdcrfn Generalty Acceptej Accounting pract￿). Charity law requires the Trustees to prepare fina￿la1 statements for each financial year. Under that law, the Trustees have elecbj to prepare the firn3naal ststpJnents in accordance with Untted ￿ngdoM Gen￿al￿ Accepted Accounting Practice (United Kirydom Accounts'ng Standards and applicable baw). Under charity law the TrLSt*s mu%t ￿t approve the finarfial staternents unless they are ￿tisfIed that they gtve a true and fair view of the state of affairs of the charty and of the incoming resour￿ and application of rexsurces, including the income and expenditu￿, of the charity for that period. In preparing those finarKial ststements, the Trustees are required to selpxt suftable accounting policies and then apply them conslstentty; observe the methods and principles in the Charities SORP; make judgonents and estimates that are reasonable and wudent. stste whether applicable accounting standards have been f?Ilowed, subj￿¢ to ary material departures discloseJ and explained in the fina￿la1 staterrents; prepare the finanoal statements on the gl)IrwJ corKem basis unless it 6 inapwopriate to presume that the charity wll continue in business. The Trustees are resFonslble ft)r keeping proper accounting retords which digjose with reasornable accuracy at any tlme the financial Fo5ition of the charity and to enable to ersure that the finanaal statements comply with the Charities Att 2011 and The Charity (Ac£ounts and Reports) Regubtions 2tKI8. They are also resp)ngble for safeguarding the assets of the charty and herKe for tsknrKJ reasonable steps for the prevention arKd detection of fraud and other irregularities. Approved by order of the Board of Trusiees on . and signed on its behalf by., Ms Lesley Robinso - Trustee Page 7 REPORT OF THE INDEPENDENT AUDrroRS TO THE TRUSTEES OF ROYAL MERCHAKf NAWff EDUCATION FOUNDAIION Opinion We have audited the finanoal ststenEnts of Royal Wchant Navy Educalion FouThJation (the 'charity) for the year ended 31 AUg￿t 2025 which compri* the Statement of ￿￿0a1 Acbvities, the Balance Sh* the Cash Flow Ststement and notes to the fironcial statements, including a summary of significart accounting poliaes. The financial reporting framework that has LEen appli&J in their preparation is applicable law and unit￿ ￿ngdoM Accounting Strndards (United ￿ngdorn Generally Accept&1 Accountyng Practice). In our opinion the financial siatements: give a tnJe and fair view of the stste of the charty's affair5 as at 31 August 2025 and of its incoming resourw and application of resources, for the year then end￿. have been proper￿ prepared in accordantr th Urited kQngJom Generally Accepted Accountin9 Practice; and have been prepared in accordan￿ wth the r4ul￿rr￿nts of the Charrbes Att 2011. Basis for opinion We conductsj our auifit in accordarKe with International Stsndards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under tlw *andards are fvther de5crib&i in the Auditors, re5ronsibilities for the audit of the financial ststements settion of our report. We are independent of the charTty in acCOrdar￿ with the ethi￿1 requirements that are rdevant to our audit of the financial statements in the UK I￿[UdIng the FRCS Ethical Standard and we have fulfilled our other ethical responsibilities in acCOrda￿e with these requiremerts. We believe that the audit evidence we have obtsin8J is sufficiert aTrJ approprk3te to wovFde a basis for our opinion. Conclusions relating to golng conorn In auditing the financial Stat￿ents, we have concluded that the Tr￿ee$. use of the going con￿rn basis of accounting in the prepara￿On of the finarKial 5tstemerts is appropriate. Based on the ￿Ik we have perforniad, we have rK)t identifi&J any matwial uncertainties rdating to wents ￿ conditiors that, individually or c0llerb.ve￿, may cast signtficant doubt on the charty's alilty to continue as a going concem for period of at least twelve months from ￿en the financial statements a￿ auth)rised frir issue. Our reswnsibilrties and the responsibilknes of the trust&s with respect to going concem are described in the relevant sections of thts rep)rt. Other infOrn￿tiOn The Trustees are responsbEe for the other infomiation. The other infomation comprises the infcrntion induded in the Annual ReporL other than the financial Stat￿)ents and wr Report of the IndeperKlert Auditors therwn. Our opinion on the financial statements does not cover the other infomation aThl, except to the extent Oth￿Se explicitly ststed in our rep)rt we do not express any forTn of assurar£e cC￿U510n thereon. In connection with our audit of the financial &atsrn￿ts, our resFonsibilty is to read the other inf0m￿tion and, in doing so, consider whe￿r the other infom)ats"on is mat￿larty inconsistent ￿th the finar￿la1 staternents or our knowledge obtsined in the audit or otherwtse appears to te materialty misstated. If we identify such material inconsistencie5 or apparent material mi55tatements, we are required to determine Wheth￿ this gives rise to a material misstatement in the financial ststements themsefves. If, based on the work we have perfonn&J. we conclude that there is a material misststement of this 0￿r information, we a￿ required to reFQrt that fact We have nothiNJ to reFort in this ward. Matters on which we are required to report by exception We have Th)thing to report in of following mattpJs where the Charittes (Accounts and Re￿rts} Regulations 2008 requi￿ us to report to you if, in our opinion.. the infomiation given in the ReFort of the Trustees is inc￿S15tent in any mat¥ial res￿ with the flnancial ststements; or sufficient accounting records have been kept. or the financial ststements are Th)t in agreement with the accounb.ng records and returns; or we have not rec8ved all the info￿atiOn and expLanations we require for our audiL Page 8 REPORT OF THE INDEPENDE￿ AUDrroRS TO THE TRusfEES OF ROYAL MERCHAKf NAVY EDUCATION FOUNDATION Responsibil.￿"£$ of Trustees As explained more fij1￿ in the Trustees, Resp)rGitxfrties %at￿￿ftt, the Tnjstees we respo[￿ible for the preparation of the financial statements which give a true and fair view, and for such intemal control as the Trustees detemine is necessary to enable the preparation of firkincial statements that are f￿ from matersal M￿State[YEn[ whether due to fraud or error. In preparing the financial statanents, the Trtsstees are respon￿ble for assessing the charity's at4lity to continue as a goirrfJ concem, disclosing, as applicable, Matt￿ relat8J to going concern and using the going con￿rn basis of accounting unless the Trustees either intend to fiquidats the charity or to ttase operations, or have no realistic altemative but to do YJ. Our responsibilitits for the audit of the finanaal 51atements We have b&n apwinted as audthrs under secb.on 1+1 of the Charities Art 2011 report in accordan￿ with the Act and relevant regulations made or having effect thereunder. Our objectiveq are to obtsin reasonable abwt Wheth￿ the finanaal ststements as a whole are free from material misstatemenL whether due to fraud or error, and to ISSLE a Rewjrt of the ITh￿ep￿dent Auditors that indudes our opinion. Reasonable assurance is a high level of assLranc< but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always deteLt a material misstatement when tt exists. Misstatements can arise from fraud or erTor and are considered material if, indivklualty or in the aggregat4 could reasonably be expetted to influence the econ¢)mic decisons of u*rs taken on the bags of the* financial ststernents. The e*(ert to whlch our procedures are capable of detecting irr¢>3ularfcies, i￿luding fraud is detsiled below: enquiry of managemen¢ tIMJse charg&J with govemarKe and the ￿lICItOrS around actual and potential litigation and claims. enquiry of entsty's staff to identify ary instan￿$ of non-compllance wfch laws and regulations; rewewirvj minutes of meetings of those charged with govemance; reviewiro finarKial statement disdosures testing to supp)tting d0am￿lion to assess compliance wtth applicable laws and regulation5' and auditing the risk of management override of controls including through testing iournal entries and rther adjustments for appropriateness, and evaluating the busness rattonale of signrfKant transartions outside the normal course of business. A further description of our responsibilities for the audit of the financial ststements is bxated on the Financial Reporting CouKil'5 website at W￿.frC.org.uklaUdlt0rsresporE1bi1ltie5. This description fomts part of our ReFQrt of the Independent Auditors. Use of our report This report is made ￿)le￿ to the chartivs Trustees, as a in aCCordar￿e wth Part 4 of the Charittes (h£counts and Reports) Regulations 2008. Our a￿lt work has been undertsken ￿ that we might state to the charity's Trust*s those matters we are required to stste to th￿n in an audltors. report and for no other purp)se. To the fvllest extent pemitied by law, we do not accept or assume reSI￿rL￿bIIIty to aryone other than the charity and the thariW5 Tru5tee5 a5 a body, for our audit worK for this repor¢ or for opinicffis ￿￿ have form&J. CJL4cltdkt) ljd Lewis Browniee (Chichester) UmTted Statutory Auditors Appledram Barr 8irdham Road Chichester West Sussex P020 7EQ LK..NlcMcK aolb Page 9 ROYAL MERCHAKf NAVY EDUCATION FOUNDATION FOR THE YEAR ENDED 31 AUGU￿ 2025 2025 Totsl funds 2024 Totsl fvnds Unrestrittoj fijnd R&riLted funds Notes INCOME AND ENDOWMEKfs FROM DO￿tiorS and I￿Jac￿e5 26.230 26,230 23,294 Investment income Total 551.375 551,375 563.395 EXPENDrnIRE ON Raising funds 171rt96 183 171,679 181,682 Charitable activities Grants to Foundatw)ners 228 476 ￿88 571,770 Total 399 972 753 452 Net gains1(losses) on investments 119 711 119 711 1581,188 NET INCOME/(EXPENDrnIRE) Transfern between funds 31,692 (8,071) 23,621 17 lJ91,131 Net movement In fvnds 45,869 (22,248) 23,621 1,391,131 RECONUUATION OF FIJNDS Total funds brought forffird 21,534,036 25,349 21,559,385 20,168,254 TOTAL FUNDS CARRIED FORWARD 21 579 905 3 101 21 583 006 21559 385 The notes ft)mi part of financial Stat￿nents Page 10 ROYAL MERCHAMf NAVY EDUCATION FOUNDATION BALANCE SH 31 AUGusf 2025 2025 Total funds 2024 Totsl fijnds Unrestricted fund Restritted funds Notes FIXED ASSErs Tangible assets Investments Invesiments Invesknent property io 2,381 2,381 1,964 11 17,669,670 12 4 200,000 17,669,670 4 200,000 17,954,633 4 200,000 21,871051 21,872 051 22,156,597 CURRENT ASSErs Debtors Cash at bank and in hand 13 601 601 850 93,872 3,101 96,973 96,250 CREDrroRS Amounts falling due within one year 14 (227,304) (227,304) (377,947) NEf CURRENT ASSErs 133 432) 281697 TOTAL ASSEfs LESS CURRENT UABILrriES 21,738,619 3,101 21,741,720 21,874,900 CREDrroRS Amounts falling due ats more than one year 15 (158 714) (158,714) (315,515) NEf ASSErs 21579 905 3 101 21583 006 21559 385 FUNDS Unrestrirtej funds Restricted funds 17 21,579,905 21,534,036 TOTAL FUNDS 21 583 006 21559 385 e financial ststanents were approved by the E(*ard of Trustees and authorised for issue on a£a(J)d were signed OD its behalf by: Ms Lesley RobIn￿rt - ru The rN)tes form part of these financial statements Page 11 ROYAL MERCHANT NAVY EDUCAIION FOUNDATION CASH FLOW sfATEMEKr FOR THE YEAR ENDED 31 AUGusf 2025 2025 2024 Cash flows from (4Jerating activities Cash generated from operations 62 767 795) Net cash used in opetBting acbwtres 687 862) 767 795 Cash flows from investing activities Purchase of tsngible fixed aS￿ts Purchase of ft%ed asset investhents Sale of fixed asset investsnents Dividends r￿eNed Rertal i￿ome recoved (1,562) (9,586,235) 9,751,487 331513 192 631 (1,653) (8,376,953) 8,689,620 357,802 Net cash promdgj by investing acbvibes 851115 Change in cash and cash equiwdlents in the ￿pOrting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period 972 83,320 95 The notes f￿ part of th￿e financial statwnents Page 12 ROYAL MERCHAMf NAVY EDUCATION FOUNDATION NOTES TO ThE CASH FLQW sfATEMEMr FOR THE YEAR ENDED 31 AUGusf 2025 RECONCILIATION OF NEf INCOME TO CASH FLOW FROM OPERATING ACTIvrriES 2025 2024 Net income for the reporting period (as per the Statement of Financial Activities) Adjustments for: Depreciation charges Losses1(gain) on investments Loss on disposal of fixed assets Dividends received Rentsl income received Decreasel(increase) in debtors Decrease In credttors 23,621 1,391,131 1,145 119,711 7,532 (1,581,188) 3,768 (357,802) {182,299) (134) 48,803 (331513) (192,631) 249 307A44 Net cash used in operdtions 687 ANALYSIS OF CHANGES IN NEf FUNDS At 1.9.24 Cash flow At 31.8.Z5 Net cash Cash at bank and in hand 95 972 972 96,372 Trtal 95 972 The notes fcrn part of thtse financial ststements Page 13 ROYAL MERCHAMf NAVY EDUCATION FOUNDATION NOTES TO ThE FINANCIAL sfATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025 AccouKfiNG pouaES Basis of preparing the finanaal statements The financial statements of the charty, which is a public beneft entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by a)arities: Ststement of RecomMend￿j Ptactice applicable to Char￿eS preparing their accounts in accordan￿ with the ￿na￿lar Reporting StaThJard applicable in the UK and Republic of Ireland (FRS 102) (effettFve l January 2019),, Financial Reporting Stsndard 102 Tre Financial Repcrting Standard applicable in the UK and Republic of Ireland, aThJ the Charities Act 2011. The financial ststements have b￿n wepar8J under the historical cost convention, wth the exceptron of investM￿ts which are included at market as modified by the rewdluation of certain assets. The finanaal statements are prepared in sterling, whtch is the fijnciional cuffew of the charity. Monetary amounts in these finanoal ststements are roLmded to the wrest wund. Income All Ir￿Me is rExognlsed in the SL*ement of FinarKial A(knties ￿ce the charity has entitlement to the funds, rt is probable that the income will be r￿8ved the amount can be ffleasur8J refiably. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committiNJ the charity to that expenditsJre, ft 15 probable that a transfer of eC0￿MiC benefits will be reqUI￿d in settlement and the amount of the obligation can te measured r￿lab￿. ExFenditure is account& for on an accruals basis and has been classified undpJ headirKJs that aggregate all cost related to the category, costs cannot be direttly attributed to parkncular headings they have b*n allocated to attivities on a basis consstent the use of resources. Grants offered subJ&l to cor#llthons vthich have Thjt been met at the year end date are not&1 as a commitment but not ac¢Jued as expenditure. Tangible fixed assets Dep￿latIOn is provided at the folh)wir¥J annual rates in order to Iinite off each asset over its estlmat&J usefijl Computer equiprnent 33% on cost Indlmdual fred assets costing rn0￿ than £250 are capitslised and IrKluded at cost Investment property Investrnent p￿pety is shown at most recent valuation. Ary aggregate Surp1￿ or ￿fi¢f( arising from changes in fair value is r￿c*J￿1sed in the Statement of Finanoal Activtbes. Fixed asset investments Investrnents are a ft)rm of basic fina￿la1 instrument arxl ¥e initially rwi*J at their transaction value and subsequently measured at thar fair value as at trE balance sheet date using the closing quoted market pri￿. The statement of financial activibes includes the nct gains and losses arisng on revaluation and diswsals througF#)ut the year. Financial instruments The Charity only has finarKial assets and finanaal liabifities of a kiThJ that quafify a5 basc financial Instruments. Basic financial instruments are recognised at amortised cist using the effective int￿l method unless the effert of discounting would be immatsrial, in Ca￿ ttrw a￿ ststed at cost. The Charity has no advantrd financial instruments. Taxation The tharity is &xempt from tsx on its charÈtable attwities. Operating leases RentaL8 paid ur#Jer opth[r￿ tea￿ are chargejj to the profit loss account on a straight line basis over the period of the lease. Page 14 continued... ROYAL MERCHAKf NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL ￿ATEmE￿r5 - continued FOR ThE YEAR ENDED 31 AUGusf 2025 ACCOUKllNG POLICIES - continued Fund accounting Unrestricted fijnds can be used in accordan￿ Yath chari13ble objectives at the th.￿retion of the trustees. Restricted funds can only be used for particular re￿ricted purposps wthin the objects of trie charity. Restrictions arise when specified by the dornr or when fvnds are raised for particular restricted pur￿￿. Further explanation of the nature and pwpose of each fund is included in the notes to ￿ finanaal siatements. Pension costs arKI other P￿t.￿etirement beneffts The charity coerates a defined contribution pension scheme. Contributions payable to the chatity's pension scheme are charged to the Ststement of Financial Acti%￿e5 in the period to which relate. DONATIONS AND LEGACIES 2025 2024 Donations Legacies 4,101 23,294 23,294 INVEsfMEMf INCOME 2025 2024 Rents ￿efved Interest and divider￿ inccthe 191631 332 514 182,299 357.802 525,145 RAISING FUNDS Investment management costs 2025 2024 Portfolio management Maintenance charges Rates Legal & prOf￿0n01 Irfjuran Custodian Trustee fees 161h60 3,584 1,635 862 154,322 7,068 1,457 14,491 3,798 546 593 171,679 181682 CHARrrABLE ACTI￿E$ cosrs Grant fundirvJ of actmties (see note Support costs (see note 7) Totsls Grants to Foundationers 54.731 181,633 GRANTS PAYABLE 2025 2024 Grants to Foundationers 321867 Page IS contirjued... ROYAL MERCHANT NAVY EDUCATION FOUNDATION NOTES TO THE FINANaAL sfATEMENTS . contin￿1 FOR THE YEAR ENDED 31 AUGusf 2025 SUPPORT cosrs Govemance Managemert nar Totsls Grants to Foundationers 173.559 574 181,633 Support costs, induded in the atove, are as follows: 2025 Grants tr* FouTrJationers 2024 Totsl Wages STh?al securty Penslons Light, heat ard VRter Telephone Postage and stationery Sundries Hep4J Office Rent Travel & Sub￿nCe Staff training Subscriptior Computer costs Website design Depreriation of tsngibte and htrrtage a Bank charges Loss on sale of tangible fixed assds Auditors, remunwation 123,974 7,916 4,932 2,629 1,274 173,119 14,228 3,630 1075 2,531 656 3,506 16,800 3,960 4,393 16,800 4,207 187 624 3,784 846 1,145 574 547 4,599 3,300 7,532 628 3,768 181633 TRusfEES' REMUNERATION AND BENEFrrs There were no Trustees, remunwaknon or other knefits for the year ended 31 ALfvJust 2025 nor for the year ended 31 August 2024. During the year, three (2024: tw) Trustees wwe romtrAJrsed for tsBvel expenses totslling £593 (2024: £546). srAFF cosrs 2025 2024 Wages and salaries Soa31 5￿UrIty costs Other pension costs 123,974 7,916 173,119 14,228 136,822 190,977 The averdge monthly number of enpbyees dunng year was as follows: Management administration Fundraising and welfare 2025 2024 Page 16 continued... ROYAL MERCHANT NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL sfATEMEpifs - continued FOR THE YEAR ENDED 31 AUGusf 2025 srAFF cosrs- continued No employee5 received emolumwbts in excess of £60,000. The totsl employee benefits of the key management p&sonnel of the charity were £84,222 (2024: £96,968). 10. TANGIBLE FIXED ASSErs Computer equipment COST At I Sept8nber 2024 Additions 11422 1,562 At 31 August 2025 DEPRECIAIION At I September 2024 Charge for year 10,458 At 31 August 2025 NEf BOOK VALUE At 31 August 2025 381 At 31 August 2024 11. FIXED ASSEf lNVEsfMENTS Cash and settlements pendiThJ Listed investments TotsLs MARKEf VALUE At I Septemtrer 2024 Additions Disposals Revaluations 17,468,822 485,811 17,954,633 4,574,135 5,011100 9,586,235 {4,884,649) (5,075,131) (9,959,780) 88,582 At 31 August 2025 17,246 890 422 780 17 669 670 NEf BOOK VALUE At 31 August 2025 17 246 890 422 780 17 669 670 At 31 August 2024 17 468 822 17 954 633 Investrnerts totalling £10,429,665 are bas&J outswje the UK (2024: £11,662,747). Cost or valuation at 31 August 2025 is represerted by: Cash and Listed investments pending T•)tsls Valuation in 2025 422 780 17 669 670 Page IJ continued... ROYAL MERCHAKf NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL sfATEMEKfs . continued FOR THE YEAR ENDED 31 AUGusf 2025 12. INVEsfMEKf PROPERTY FAIR VALUE At I September 2024 and 31 August 2025 4 200,000 NEf BOOKVALUE At 31 Augug(2025 4,200 000 At 31 August 2024 4 200,000 Bearwood Estate was ￿dIUed in the year erthd 31 August 2021 by Strutt and Parker, the fair value was estimated at £4,2CNJ,000. Fair value at 31 August 2025 is rq)resented ty: Valuation in 2021 4 200 000 13. DEBTORS: AMOUNTS FALUNG DUE wrrHIN ONE YEAR 2025 2024 PrepayTnents and accrued irKome 601 850 14. CREDrroRS: Amoumfs FALUNG DUE WrnIIN ONE YEAR 2025 2024 Trade creditors Social securty and ￿r taxes Grants payable DeFQSits received Accrua& and deferred I￿orne 38 1,917 170,709 900 17 4,388 323,341 900 15. CREDThORS: AMOUNTS FALUNG DUE AFfER MORE THAN ONE YEAR 2025 2024 Grants payable 158 714 315 515 Page 18 continued... ROYAL MERCHAKf NAVY EDUCATION FOUNDATION NOTES TO THE F114ANaAL sfATEMENTS - continued FOR THE YEAR ENDED 31 AUGusf 2025 15. CREDrroRS: AMouKfs FALUNG DUE AFfER MORE THAN ONE YEAR - continued 2025 2024 Brought forward Net new grant commitments in the year Paid in the year 638,856 44,749 354 182 687,164 305,709 354 017) Carried fomard 638,856 Due.. Year ended 31 August 2025 Year ended 31 August 2026 Year ended 31 August 2027 Year ended 31 August 2028 Year ended 31 August 2029 Year ended 31 August 2030 323,341 167,876 75,856 59,056 12,727 170,709 94,515 51,899 12,300 16. LEASING AGREEMENTS Minimum lease payments under non-caKellable operatirwJ leases frdll due as follows: 2025 2024 Wlthln one year Between one and fve years In more than five years 17,325 69,600 1175 16,800 2,100 17. MOVEME￿ IN FUNDS Net movement n funds Transfe beiw&n fijnds At 31.8.25 At 1.9.24 Unrestricted funds General fvnd 21,534.036 31.692 14,177 21,579,905 Restricted funds Undethill Watson Capital Hats Tr& Fund The Mission to Seafarers 311 904 11962 (311) (904) (11962) (183) (7W8) 3,101 7,888 14 177) TOTAL FUNDS 21559 385 21583 006 Page 19 continued... ROYAL MERCHAKf NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL sfATEMEKfs - continued FOR THE YEAR ENDED 31 AUGusf 2025 17. MOVEMENT IN FUNDS - Continued Net movement in funds induded in the atrxlve are as follo￿￿. Incoming resources Gains and losses Movement in fund5 experxled Unrestricted funds General fund 551,375 (399,972) (119,711) 31,692 Restricted funds Tree Fund The Msson to Seafarers (183) (183) 7.888) TOTAL FUNDS 551375 119 711) Comparatives for movement in funds Net movement in funds At 31.8.24 At 1.9.23 Unrestricted funds General fund 20,150,793 1283,243 21,534,036 Restricted funds Underhill Watson Caprtal Hats Tree Fund The Mission to Seafarers 311 311 904 12,962 3,284 12,962 3,284 17,461 TOTAL FUNDS 20 168 254 1,391131 21,559 385 Comparative net rnvem￿t in fU￿s, i￿luded in the aLJ)ve are as folkJNN5: Incoming rex)urces Re9)ur￿5 expended Galns and losses Movement in funds Unrestricted funds General fvnd S43￿95 (741,340) 1,581,188 1,383,243 Restricted funds The Mission to Seafarers 20,0 (12,112) 7,888 TOTAL FUNDS 563 395 753 452 1581188 1391131 Page 20 continued.,- ROYAL MERCHAKf NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL sfATEMEpifs . continued FOR THE YEAR ENDED 31 AUGusf 2025 17. MOVEMEKf IN FUNDS - continued A cu￿ent year 12 months aTrJ prnr year 12 months c(rtJinoJ posityon 15 as folhjws: Net movement in funds Trar￿ferS belmeen funds At 31.8.25 At 1.9.23 Unrestrirted fund$ General fund 20,150,793 1,414,935 14,177 21,579,905 Restricted funds Underhill Watson Capitsl Flats Tree Fund 311 904 12,962 (311) (904) (12,962) 183 17.461 183 TOTAL FUNDS 20,168,254 1,414,752 21.583,006 A current year 12 montris and prior year 12 rynnths comt1n￿l net rTh)vement in fijnds, includ&1 in the above are as follows: IncGmir¥J Rtsour resources ￿pernIed Gains and Movement in funds Unrestricted funds General fund 1,094,rn) (1,141,312) 1,461,477 1,414,935 Restri(tsl funds Tree Fund The Mission to seafa￿r$ (183) {183) 183 TOTAL FUNDS 1114 770 1414 752 The Underhill, Watson and ca￿ts1 Flats fiJn(ts represent funds whtch have been cknnated in memoriam for the Maintenan￿ of the Estate. The balances on these funJs have been tr￿￿rred to unrestricteil fvnds as they have K*W all b*n spent The Tree Fund ￿PreSents funds which have been speafically donated for trees to plant&Y in the Estate in memoriam. The Mission to Seafarers fvnd retyesents a grant to be useJ for the education of1￿0 foundationer's the Vass boys. Page 21 ontinued... ROYAL MERCHApif NAVY EDUCATION FOUNDATION NOTES TO THE FINANCIAL sfATEMEKfs - continued FOR THE YEAR E14DUJ 31 AUGusf 2025 18. RELATED PARTY DISCLOSURES There We￿ no related paty tra￿tiOr￿ ft)r the year eFMled 31 August 2025. e22 ROYAL MERCHAMf NAVY EDUCATION FOUNDATION DEfAILED sfATEMENT OF FINAN(IAL ACllVITtES FOR ThE YEAR ENDED 31 AUGUST 2025 2025 2024 INCOME AND ENDOWMEKrs Donations and legaoes Donatior Legacies 4,101 23,294 26,230 23,294 Invostn*nt income Rents received Interest and dwidend income 191631 332 514 182,299 357 802 525 145 540 101 Totsl incoming resources 551375 563,395 EXPENDMIRE Investment management costs Portfolio management Maintenance charges Rates Legal & professiorol Insurance Custodian Trustee fees 161h60 3,584 1,635 862 3,545 593 154,322 7,068 1,457 14,491 3,798 546 171,679 181,682 Charitable activities Grants to indwiduals 54,731 321,867 Support costs Management Wages Social securty Pension5 Light, heat and water Telephone Postage and stationery Sundries Head Office Rent Travel & subsisten Staff trnining Subscriptior Computer costs Website de%gn Dep￿latIOn of computer equiFrnent 123,974 7,916 4,932 2,629 1,274 IrJ,119 14,228 3,630 2,075 2,531 656 3,506 16,800 3,960 4,393 16,800 4,207 187 624 3,784 547 4,599 3,300 173,559 236,483 Finance Bank charges CarTied forward 574 574 628 628 This page (loes not form part of the strtttry fin￿CIal 5tstements Page 23 ROYAL MERCHAPtr NAVY EDUCATION FOUNDATION DEfAILED sfATEMErir OF FINANCLAL AciivrrIES FOR THE YEAR ENDED 31 AUGusf 2025 2025 2024 Finance Brought forward Loss on sale of tsrvjible fixej assets 574 628 574 4￿96 Governan￿ costs Auditors, remuneration 7,500 9,024 Totsl resour￿ wended 753 452 Net incomel{expendlture} before gains and 143,332 (190,057) Realised recognised gain5 and losses Realised gains/(hJsses) on fixal asset investments (208 293 Net expenditure 269,093) This Ffige does nct fonn part of the strtutory fin￿￿al statern￿ts Page 24