ANNUAL REPORT To 30 September 2025 ROYAL BRITISH LEGION POPPY FACTORY TRADING AS THE POPPY FACTORY f'• it THE poppy FACTORY INTRODUCTION AND STATEMENT OF COMPLIANCE The Board ofTrustees (whose members are also trustees under charity law and directors under compony low) presents its report ond the oudited financial statements for the year ended 30 September 2025. The report of the trustees incorporates the strategic report and directors, report. Reference and administrative information, set out on the inside back cover. forms part of this report. The financial statements comply with current stotutory requirements, the Memorondum ond Articles and Accounting and Reporting by Chorities.. Statement of Recommended Prartice {SORPI applicable to charities preparing their accounts in occordonce with the Finonciol Reporiing Stondord5 applicoble in the United Kingdom ond Republic of Ireland {FRS1021. CONTENTS TRUSTEES, REPORT REFLECTIONS ON A RECORD YEAR PERSPECTIVES FROM OUR LEADERSHIP TEAM OUR STRATEGY HIGHLIGHTS OFTHE YEAR SIMON: THRIVING AND RESILIENT VETERAN AND FAMILY SERVICES 10 OUR IMPACT 12 ROOTED IN RICHMOND 16 ROB & JACK: LONG-TERM, POSITIVE CHANGE 20 PRODUCTION 2025 22 FI: FINDING FINANCIAL INDEPENDENCE 24 FUNDINGOUR WORK 26 FUNDRAISING CHAMPIONS 28 RAWNIE: FINDING A SENSE OF BELONGING 30 FINANCIAL REVIEW 32 STRUCTURE AND GOVERNANCE 36 INDEPENDENT AUDITOR'S REPORT 38 FINANCIAL STATEMENTS 42 CHARITY DETAILS 58 POPPYFACT ANMUALIEPIIR72025 REFLECTIONS ON A RECORD YEAR PERSPECTIVES FROM OUR LEADERSHIP TEAM AMANDA SHEPARD, CHIEF EXECUTIVE Amanda leads dayto day operations, making sure we deliver on our vision and strategy. As o specialist employment chority for veterans and their families, helping secure employment is at the heart of what we do. This year we helped 1,240 veterans and family members, a record number. In our Families Employment Service, we deepened and broadened our outreach and engagement to reach more families and more partners. It bore fruit with 91 families supported. regions too, building stronger networks and partnerships. We invested in our Navigator service, offering specialist 5UPPOrt to veterans experiencing isolotion and poor mentol or physicol health. We also created more Employment Consultant roles. consolidating our services across England ond Wales. Achieving all this in Just one year is something of which we can be proud. But the impact of our work will last much longer. With employment comes independence, resilience, connection and improved health. This brings long-term, positive change for veterans. and this is our core mission. Partnership was a core capability and strategic To build our capobility and maximise our priority for us this year. We worked with PTSD effectiveness, we began a strategic review and Resolution, ond hove begun work with DMWS to analysed the impact of our services. A5 we look support bereoved military families. In London, we forward to 2026, we remain fully committed to continued to lead the Thrive Together portfolio helping more veterans and their families lead ond we become an active member in other purposeful, healthy lives after service. REFiECTIIJNS ALISTAIR KETT, CHAIR SURGEON REAR ADMIRAL LIONEL JARVIS, PRESIDENT Alistair oversees our governance and Lionel is our charity's lead ambassador. board of trustees, so that our charity He will step down from his role early runs effectively and responsibly. in 2026. l am so proud that we have enjoyed another successful year, helping veterans and their fomilies not simply to find o job, but connection and fulfilment through employment. It has been a sincere pleasure to have been the leod ambossodor for The Poppy Factory since 2018. l am honoured to pass the baton of President to Vice Admiral Sir David Steel KBE DL, and I have no dovbt that he will be on inspiring leader. Underpinning everything we did this year was our updated charity strategy. It ensured we had the building blocks in place to put us on a firm foundation on which to grow. I feel extremely privileged to have been part of this wonderful chority and to champion its unique role in Remembrance in events here ond oround the world. Just recently, I was honoured to lead the opening ceremony of the Field of Remembrance for the last time. We put an emphasis on governance, with modern, fit-for-purpose articles, so we could hold ourselves to account. We met ever higher standards through a board effectiveness exercise. In my time at the charity, I have seen the special, and started to better leverage our assets. longstanding partnership with the Royal British Legion grow. I hope that it will continue to develop further to better meet the evolving needs of today's Armed Force5 community. Maximising our impact for the Armed Forces community remained our focus. As part of this we collaborated with others, creating stronger partnerships, to improve our funding ond service delivery. Though l am leaving The Poppy Factory in an official capacity, I shall always be a champion of the charity and the importance of Remembrance. I In 2026, we will mark the centenory of The Poppy wish my svccessor all the very best in his new role. Factory's arrival in Richmond. We plan to use this opportunity notjust to celebrate our poppy- making heritage, but to showcase our evolution into a national specialist employment charity for veteran5 and their families. We're delighted to have been chosen as one of two beneficiary chorities for the Richmond May Ball. It is just one wonderful event, in what promises to be an exciting year. Finally, on behalf of all trustees, staff and volunteers, I would like to offer our most sincere thanks to Surgeon Rear Admiral Lionel Jarvis, who retires after seven years, distinguished service as President and a further11 years as a vice patron and committed supporter. POPPYFACT ANMUALIEPIIR72025 OUR STRATEGY PLANNINGTO SUCCEED We aim to help veterans with health conditionsto live healthier, resilient, better connected and independent lives after Service. To do this, ourfocus is on supporting members of the Armed Forces communityfacing challenges to overcome any obstacles on their path to employment. This is an evolving strategy and we acknowledge there will be further ideas and refinements as we continue the planning and development process in 2026. OUR STRATEGIC GOAL HOWWILL WE MAKE IT HAPPEN? To be the trusted and leading specialist employmentcharityfor veterans and their families facing challenge5. Our people - the frontline services team are highly trained, client-led and go the extra mile. We will continue to refine our people strategy to make sure we have the right skills and experience for now and the future. WHAT ARE OUR STRATEGIC OBJECTIVES? Reliable data our objectives are underpinned by data, continually reviewed to ensure the work of our charity is delivered effectively based on identified need, and that we maximise impact and outcomes for our clients. l. To develop strategic collaborations ond partnerships. Strong finonces - we hove inherited assets that we now intend to leverage. We have developed strong grant funding and will now look to expand our fundraising. We will olso make sure our services are sustainable, so we con continue to support growing numbers of veterans and families who face challenges on the path to employment. 2. To understand and serve younger veterans better. 3. To make earlier interventions for clients who experience challenges with employment. OURSTRATEBY Brand development- to ensure that veterans who need our support can find us more easily, and get support as early as possible, we are looking to further raise awareness of our services. By developing our identity and key messages, we aim to connect with more veterans, increase referrals and differentiate our charity. Sense of pvrpose- making a positive difference to the work and lives of those that face challenges in the Armed Forces community. HOWDOWE MEASURE SUCCESS? WHAT ARE OUR VALUES AND APPROACH? Employment- delivery of high quality, enhanced employment support, for veterans and fomilies, much of it face to face in the community. Adaptability - modifying our services and ways Partnerships - working proactively with like- of working to be more effective and responsive to minded partr)ers, delivering real results and client need. lasting impoct and support for veterans and families, in a seamless way. Collaboration - working in alliance with partners and across our charity is core to achieving more together for veterans and families. Support- using our particular expert15e of removing obstacles for a cohort ofveterans with health conditions who are, on average,15 years Empowerment- seekir)g to enable veterans ond from service. familie5 to lead purposeful, healthier, better- connected lives. OurTheory of Change We continually analyse what we do as a charity to make change happen. Our model drills down into the activities, resources and skills we need.to deliverthe outcomes our service vsers need. Outcomes Impacts HEALTHIER wdlmThn￿Ed frO￿th SIISTILINED ONGOING EMPLOYMENT RESILIENT CONNECTED We look beyond the dirert. immediate or short-term results. Our focus is on the long-term, positive changes and impoct of our services forveterans andtheir families. INDEPENDENT SE1￿￿rth POPPYFACT ANMUALIEPIIR72025 HIGHLIGHTS OFTHEYEAR A RECORD YEAR FOR REACHING VETERANS EXCEEDING TARGETS OPENING UP With 1,240 veterans ar)d family members supported this year, our impoct reached a new high. Demand for our employment service continued to grow, with 613 new registrations, another oll-time high. These veterans storted 363 jobs, 0 14 per cent increose. We warmly welcomed a record number of visitors over 4,100 - to our historic Richmond site this year. They enjoyed free entry on two open days, complete with guided tours of the production floor. Our community connections widened os we took part in the Open House Festival for the first time. It's a London-wide celebration of the city's architecture, special places and neighbourhoods. Members of the public vislted our factory to learn about our fascinating work and history. The people we help typically face some of the most challenging situotions in the Armed Forces community. from acute social isolation, anxiety and depression to alcohol and substance use, housing issues and financial difficulties. Visitors in May sow bunting go up as we joined celebrations for the 80th anniversary of VE Day. MAKING CONNECTIONS Thrive Together aims to build sustainable and resilient networks for the Armed Forces Community, working in ten regions across the UK. It brings organisations together to give members access to a wide range of support and opportunities. For the second year running, The Poppy Factory was proud to lead the Thrive Together programme in London. Over the year our work grew and so did its impact. Our monthly email newsletter was packed full of courses, activities and information. Videos highlighting opportunities for veterans in the capital were watched by thousands online. Our work expanded and we were partners in other Thrive Together regions too. including the East of England. Thanks go to The Armed Forces Covenant Fund Trvst for funding this important work. HIGHLIOHTS OFTHEYEAR RESILIENT PARTNERSHIPS CELEBRATING DIVERSITY During the year we welcomed new partnerships and strengthened existing ties. Making sure our service5 are accessible and welcoming to all in our diverse Armed Forces community was a focus throughout the year. Our oldest partnership, with the Royal British Legion. goes back more than 100 years. It We worked with Fighting with Pride to recruit a remained os vital as ever, as we fulfilled our Veterans Commvnity Worker who will connect commitment to create Remembrance wreaths. We with LGBTQ+ veterans. explored new opportunities to collaborate too. We redoubled our efforts to create ties with other groups. These included veterans with Commonwealth heritage, young people, individuals who didn't have a positive experience in Service, and also neurodivergent veterans and family members. In a new partnership, we joined forces with specialist chority PTSD Resolution. Together we helped more veterans and family members with mental health conditions to enjoy greater wellbeing and stability. It was a pleasure to welcome new corporate partners alongside longstonding supporters. Everyone got behind our production effort and contributed important funding to deliver our Veteran and Fomily services. This targeted outreoch and engagement to embrace diversity will continue in 2026. Harnessing Humour n rn An Armed Forces comedy course helped participant forge newfriendships and findthe therapeutic power of laughter. Watch Deborah in action: bit.lyldel)orah-comedy ANMUALREPIIR72025 VETERANS EMPLOYMENT SERVICE SIMON, THRIVING AND RESILIENT Simon Garland Lo proudly served his country in the Royal Logistic Corps as a Movement Controller. When he left service in 2016, he was suffering from post-traumatic stress disorder. When everything came to a head, he came close to taking his own life FROM HIGH TO LOW In the Royal Logistics Corps, Simon was a professional logistician. He was part of a team that kept army operations running smoothly, svch os vehicles moving and helicopters flying. When he left the militory, he had post-travmotic stress disorder. He didn't know it at the time. but it soor) came to a head. One night, he ended up sitting on a railway bridge, planning to take his own life. But he hadn't realised that the trains stopped rvnning after midnight. '1 was angry with myself that I couldn't even get that right. I got off the bridge and walked home,. he sold. Fast-forward to today and Simon is flourishing in a newjob and finding success in a new hobby. Read how our specialist employment support helped him get back on track for career success and personal pride. FINDING SPECIALIST HELP The next day Simon colled his GP, to ask for help. As a first step, Simon focused on improving his psychological wellbeing and found support through a service called Veterans in Mind. VETERAfis EMPLDYMENTSER¥ICE Then they put Simon in touch with The Poppy Foctory. Our role was to help simon take the next step, back into work. He met one of our Employment Consultants. Andrew.°I went through different exercises with Andrew. We worked on my CV, looking at how changing a few words can make a big difference,. said Simon. Simon was applying for all kinds of roles because he wanted to be in work. But he appreciated Andrew's advice, to focus on what he really wonted to do, not to simply get a job. "He was very supportive. I found I could talk about everything, and I realised I still had some value to offer,. said Simon. "As a result, I had threejobs offered to me, all for good roles." ONGOING EMPLOYMENTSUPPORT Vetemn Simon, oged 46, isflovrishing wllh a newjob ondenjoylng his new-found hobbyof photogwaphy. Simon took o job at NAerseyrail, as a Station Assistant. 'As soon as I passed my probation I was recognised for having a strong work ethic. Later, I was given an award for helping someone who was in danger of taking their own life. Because of my own experience, I wa5 able to relate to what he was going through. I was in the right place at the right time,. Simon said. to get good feedback. Andrew svggested thot he should enter competitions and Simon ended up with some of his phot05 in a Royal Photographic Society exhibition. His hobby was noticed by his employers too. It was part of his duty to always look around for safety issues on the platforms and trains."Work has been asking me to take photos and some of those have been used on our social media chonnels,- he explained. Though Simon had a job, Andrew wa5 Still his support network. When Simon applied for a promotion. he felt really well-equipped, os Andrew had helped him to prepare for the interview. "I nailed it and got the job," said Simon. He is now working on a second promotion to work in Head Office. ENCOURAGING OTHERS LIFE OUTSIDE WORK Simon believes that, if it wasn't for Andrew, he wouldn't be doing what he is now. He describes the difference between before and after coming Because Simon finds confined spaces difficult, he to The Poppy Factory, as night and doy. His advice likes the great outdoors and loves walking. He to other veterans who are thinking about asking began to take photos along the way, and started for help, isjust to do it. 11 I found I could talk about everything, and I reaLised I stiLL had some value to offer. 99 POPPYFACT ANMUALIEPIIR72025 VETERAN AND FAMILY SERVICES UPDATE Having expanded our services into different regions, we focused on establishing ourselves firmly in those places. It meant we reached more people than ever before-1,240 people in 2024125. We analysed our activities by refreshing ourTheory of Change. This model helps us measure the long-term positive impact of employment: improving health, independence, resilience and connection. By strengthening existing links and forging new connections with partners, we ensured that veterans had access to a comprehensive and effective range of support. • VETERANS EMPLOYMENT • NAVIGATOR SERVICE SERVICE Our speciolist service for veterons furthest from employment - offering six months of intensive one-to-one support to help build confidence and achieve clear goals. We saw another record-breaking year for referrals, showing that demand for our specialist employment support is stronger than ever. We saw registrations double, with 83 veterans being referred for support. Navigator is now fully established in South Wales and in the North West (Cheshire and Merseyside). We further developed our services in Birmingham, the South Coast {Solent region) and in London. Many were referred to us through the NHS, the majority through their mental health specialist service for veterans. Op COURAGE. Compared to last year, we saw a 20.6 increase in referrals from other military chorities, due to our outreach and engagement work across the regions. We noted a trend of more veterans moving from Navigator to the Veterans Employment Service. Many would never have done so, if they hadn't been supported initially through Navigator. It demonstrates our long-term commitment to helping veterans secure employment through our services. We believe two factors have helped us grow our reputation. First, the consistently positive outcomes that we help veterans and family members ochieve. Second, our steody focus on partnerships. ¥ETERAII AND FAMILYSERVICESUPDAIE FAMILIES EMPLOYMENT SERVICE THRIVE TOGETHER Thrive Together works to build sustainable ond resilient support networks for the Armed Forces community in different regions. The Poppy Factory continued to lead Thrive Together in London and is a partner in the East of England region. More family members registered for support this year, 67 compared to 56 last year. The second half of the year was particularly strong. due to our outreach and engagement work. Referrals increasingly came from veterans and family members who have previously been supported themselves, a vote of confidence in our service. In our second year in London, we made excellent progress in all four areas of our strategic plan. The London Armed Force5 Network grew in scale and influence, with professional membership increasing. We saw engagement continue to grow at meetings and online, through our well-read monthly ema il newsletter. Videos highlighting veteran activities helped bring the network to life. Most of those supported were spouses or partners of veterans. But we saw an uptick in the proportion of adult children registering with the service, from19 per cent to 24 per cent. Overall, one third of the family member5 we supported had o health condition. Of those, physical health issues affected seven in 10 while half reported challenges around mental heolth. Thrive Together also funded Navigator roles at Stoll Ihousing-focused), Defence Medical Welfare Service (health-focusedl and The Poppy Factory {employment-focusedl. Colloboration across these three areas helps veterans to access a full range of support. The service continued to help family members enjoy new success. There were 27 job ovtcomes this year, and nine in10 felt they had improved in key areas including developing better Job search skills. We expect our new partnerships outside London to become established and to grow too, with collaboration driving our work. ind< ayf fter., 11 stgywl omployr In yovri ." I￿Port$ POPPYSACT ANMIJAIREPOR12025 OUR IMPACT THE BIG PICTURE 1,240 Veterans and Family Members supported in total npnnoo niiD QFDIIIPFS Number of individuals supported 1,049 100 91 Veterans Employment Service Navigator Service Families Employment Service 12 OURIMPACT VETERANS EMPLOYMENT SERVICE Who came to us for support? 34010 58010 33010 79010 59010 38010 .•.••o Mentaland physical condition Under 40 years Between 30-49 years Over50 years Mentol health condition Physical heolth condition High levels of anxiety Average life satisfaction (ONS index) Low 5.05 (7A5 Nationally) Demand for our service continues to grow New registrations: 445 498 531 552 838 Referrals 2020121 2021122 2022123 2023124 20% increase on 2023124 including from other charities, NHS services and Jobcentre Plus. 1613 2024125 Outcomes: Financial stability, community and purpose 613 363 91 22 26 24 Registrotions Jobs started- completed 14% increase highest number yet Troining courses started Supported into education Storted volunteering roles Undertook work placementsl triols Outcomes: Health, wellbeing and conf idence 53010 52010 50010 53% Improved in Improved job skills and stability experience Improved Improved aspiration and health and motivation wellbeing 13 POPPYFACTORY AMMUAL REPOR12025 NAVIGATOR SERVICE Growing service new services launched (Swansea, West Midlands, South Hampshire ond London) Who came to usfor support? 83,;,,,,,,, • • o • 50010 38010 55010 users 47 Average age at referral Physical heolth condition Mental and physical condition Mental health condition High levels of anxiety Average life satisfaction (ONS index) Low 4.59 (7A5 Nationally) 42010 Referred bythe NHS Including NHS Veterans Woles ond NHS Op COURAGE. Outcomes: Financial stability, community and purpose 50010 Veterans Transfeiied achieved their to our primory goals employment for using the service service Havefound work Improvement -of those who in housing tronsferred to situation our employment service Outcomes: Health, wellbeing and conf idence 82% 77010 71010 78% Improvement Improvement in trust i n identity and and hope self esteem Improvement in useof time Improvement in managing mental health 14 OURIMPACT FAMILIES EMPLOYMENT SERVICE Who came to us for support? 59010 240h •90h 46010 2011h Between 30-49 years Over 50 years Spouses Children Ex-Partners Under40 years 57% Average life satisfaction (ONS index) 36010 Unemployedwhen they register for support Average 6A IIReferred by The Ripple Pond Our established partner (7A5 Nationally) Outcomes: Financial stability, community and purpose 67 27 New service users registered Jobs started or reta ined Storted volunteering roles Outcomes: Health, wellbeing and conf idence 90% 89% 10010 4D/o Improved inl+of their goals Improved job search skills Cooched Completed to improve confidence interview skills coaching 15 POPPYFACT ANMUALIEPIIR72025 ROOTED IN RICHMOND GROWING NATIONWIDE As we prepare to celebrate100 years in Richmond in 2026, we look back on how we've grown from a local direct employer of veterans into a national employment charity helping veterans and families facing challenges into civilian jobs. BIRTH OF REMEMBRANCE The first Poppy Appeal in the UK wos held on 11 November1921. It was a great success, with poppies initially supplied from France. The Royal British Legion was committed to finding a British supplier, ensuring that funds raised would be used to help veterans. That supplier was Major George Howson, who saw the opportunity to employ wovnded and injured veterans and established The Poppy Factory. At the time. he said.. 'It is a large responsibility and will be very difficult. If the experiment is successful it will be the start of an industry to employ150 men. I do not think it can be a great success, but it is worth trying.. As we now know, it was. The first factory opened in June1922 near Old Kent Road, south London. Within weeks, over 40 men were employed. In the first year, they made 30 million poppies. an enormous achievement by this fledgling veteran workforce. MOVE TO RICHMOND The factory quickly outgrew its premises and moved to Richmond. The new location meant George Howson could create a bespoke factory, 16 ROOIEDIN RICHMOND POPPYFACTORY AMMUAL REPOR12025 and olso a special community, with housing and a social club for workers and their families. Todoy we're here for veterans and their families too. Our Veteran and Family Services are run from our Richmond headquarters, and we provide The factory as we know it today was built in 1932. specialist employment support right across The size of The Poppy Factory s workforce grew England and Wales. In 2024125, we supported year on year. Our mission continued through the 1,240 veterans and family members. second half of the 20th century, with veterans serving in later conflicts joining our team. LONG TERM, POSITIVE CHANGE ADAPTING TO TODAY'S NEEDS Looking back, George Howson saw the benefits to veterons in finding work. and also finding o sense of community. Today our charity has stayed true to its roots. We ore geared to help service users not simply to 'find a job, but to change their lives for the long-term. Overthe years, our foctory team continued its important work of creating the nation's poppy wreaths, crosseg and tributes. But, like monvfacturing in general, this work became more mechanised, and work opportunities changed. The people we support can face some of the most challenging situations in the Armed Forces community. But we're helping them feel independent, healthier, resilient ond connected. To reach out and help more veterans on their jovrney towards employment, we started to expand our services in 2010. Nationally, we aimed to support 500 veterans into meaningful work by 2016, and reached this gool in 2015. 18 OROWIIIOIIATIONWIDE T I￿￿￿T*￿TrU OAY IS *I)E5TY KING 6£0AI o. a, Egs OF ST Celebrating Together Throughout 2026, we are delighted that the people of Richmond willjoin us in celebrating our100 years in the borough. We planned a series of special autumn events in the lead upto ouranniversary. including an exclusive'in conversation. event with the author of a new novel, The Poppy Girls. The booktellsthe story of three teenagers who come of age during the Secondworld War while living on The Poppy Factory estate. where their veteran fathers are all employed making Remembrance wreaths. We're delighted to have been chosen as a beneficiary charityforthe Richmond May Ball. Overtheyears, the event has raised well over a million pounds for over 20 local charities and we are gratefulto beone of Its chosen beneficiaries. We're pleased to have the support of local partners including the Museum of Richmond, Visit Richmond and Be Richmond, who are using poppies made in the factoryfora promotional campaign in thetown centre. 19 PPYFACTORV, MNlllLREBDRTaO NAVIGATOI, SERVICE porty CREATING LONG-TERM POSITIVE CHANGE When you've served in the forces, landing back in the civilian world can feel unfamiliar and unwelcoming. And you can bring challenges with you, that are hard to overcome. Read how our Navigator Service helped two veterans find theirwayto healthier, more resilient futures. ,nRIR RTnp' Army veteran Rob McLaughlin served for four years in the Royal Engineers. When he left, he fovnd life tough. Alcohol can be a big part of Army life, but in civilian life there are no restrictions. .1 took it to the extreme for17 yeors and I was on a downward spiral,, said Rob. He went through rehabilitation but still felt in a bad way. Someone referred him to The Poppy Factory s Navigator Service. and he met his Navigator, Ben. "It was good to have someone who was a veteran himself and who wasn't a nurse or a doctor for a change. It was easier to talk to him,. said Rob. Rob has various personality disorders and mental health issves. including bipolar disorder and depression, and was very up and down. Rob admits thot it mode Ben's job harder. MAVIGAIORSER¥ICE But Ben kept in touch, ringing him and reassuring him that it was good to meet up and talk. 'It never felt like he was forcing anything, it was whatever I wanted to do,, said Rob. help from other people is not something I would normally do," said Jack. But when he met Tracie from our Navigator Service, he found her very easy to talk to. Over time, Ben became someone Rob could leon on. He helped Rob to go through cognitive behavioural therapy. Now Rob is much more able todo things on his own. Jack had done boxing in the army and Saw a job as coach at a local boxing gym. He had an interview to become a coach, but when he didn't hear back. he quickly put it behind him. Rob is thinking of starting a woodwork business, using skills he learned previously as a landscape gardener."Ben helped me with my business plan and got me on a one-day seminar for people starting new businesse5,° Rob explained. Tracie went back to them on his behalf and explained he had experience and had worked with children before."That helped me get a foot in the door as a volunteer, ond I'm hoping it con develop into a Job,, said Jack. ROB'S AMBITION JACK'S AMBITION °I'd like to work with other veterans and create a safe space where people can concentrate on their own projects, be in their own bubbles and take their mind off other things.. In the meantime Jack decided to walk and Jog 50 miles while carrying 501bs throughout September. It's to help his mental health ond importantly to raise funds for the boxing gym. ROB'S ADVICE 11 Anyone outthere who needs help should get in touch with The Poppy Factory, because theywiLI help you. 99 ICK'S STORY JACK'S ADVICE 11 I think it's important notto Limityour challenges, but to challenge your limits. 99 After serving nearly 20 years in the Army, Jack Jackson was discharged with post-travmotic stress disorder and struggled to adjust and find motivation in civilian life. '1 found it difficult to find a job where I feel I seNe a purpose. I'm quite old school. 50 asking for POPPYFACT ANMUALIEPIIR72025 PRODUCTION 2025 We started making poppies in the1920s and,100 years on, veterans continued to work hard allyear round to make Remembrance wreaths. Many ofthese are bespoke to regiments, units and organisations, and are laid in ceremonies here and all over the world. In response to an increase in the order by the Royal British Legion, our Production team redoubled their efforts to meet demand for Remembrance wreoths. creating 93.800 items. THANKS TO COLLEAGUES We said goodbye to several retiring Production team member5, including Forbe5 George after 46 years, service. We would like to thank each of them for their hard work and commitment. We were very sorry to lose our late colleague. production worker Kumud Patel, in October 2025. Once again, we proudly produced Royal and Special Wreaths for state visits and to lay at the Cenotaph in November and during the Cavalry Parode at Hyde Park in May. Before retiring. our Production Manager Mark Young joined Director of Operations Debbie Boughtflower at the unveiling of a new plaque in memory of our founder, Major George Howson. In addition, we created three millior) crepe poper petols for the Royol Albert Holl petal drop at the Festival of Remembrance. This is a poignant moment when, during two minutes, silence, petals fall from the roof in memory of the fallen. NEW MEMORIAL PLAQUE SOLEMN RESPECT The ploque, honouring the founder of The Poppy Factory, Major George Howson MC, was unveiled The grave of the Unknown Warrior in Westminster at St Mary The Virgin Church in Hambleden, Abbey is o permanent honour to those who Buckinghamshire. It is the place where he lived served in World War I, and whose bodies were and is buried. Appropriately, the plaque features never identified or recovered. While the tomb an intricate relief of red poppies to mark hi5 role itself is made of marble, the poppies surrounding in establishing The Poppy Factory. it are made of paper and are maintained by The Poppy Factory. During the year, we refurbished Production Manager Mark Young who unveiled this surround, refreshing it with new poppies from the plaque said.. °In just a few years, Major our factory. Howson pioneered employment support for veterans and built a unique factory community. In May, Hi5 Majesty King Charles111 laid a wreoth from our factory at the Tomb of the Unknown Warrior in Ottawa, Canada. He was accompanied by Her Majesty Queen Comilla, who is the Patron of The Poppy Factory. More than 100 years since our work began, we're very proud to still make Remembrance wreoths and poppies in Richmond, while helping hundreds of veterons and family members to chonge their lives." 22 PRODUCTION 2025 THE FIELD OF REMEMBRANCE Every November. The Poppy Factory organises the Field of Remembrance at Westminster Abbey to commemorote those who have lost their lives in the Armed Forces. He felt strongly that ordinary servicemen and women, and the public, should have a dedicated place to remember their loved ones. It was he who suggested using lar)d outside Westminster Abbey, which is now this place of collective memorial. On 6 November 2025,1,000 guests gathered for the opening of the Field of Remembrance, attended by Her Majesty The Queen. More than 40,000 tributes were laid out with care, attention and respect. Thanks go to our dedicated team of workers and volunteers for their hard work in ensuring this important tradition is upheld. We extend our gratitude to the many groups of volunteers from our corporate portners, who helped to prepare for the Field of Remembrance this year. Thousands of crosses and symbols, with individuol messages, combined in tribute to all those who gave their lives in the service of others. Thi5 tradition wa5 established in 1928 by Major George Howson, founder of The Poppy Factory. Production work in numbers 93,800 705,000 105,700 17 wreaths crosses and large decorative production workers tributes of all poppies faiths and none including special wreath makers 23 ANlllALREPIIR72025 FAMILIES EMPLOYMENT SERVICE HELPING FI FIND FINANCIAL INDEPENDENCE Fi's husband Adam served in the military and then worked in the oil industry all overthe world. When he developed a debilitating illness, Fi took on full responsibility of supporting their family. BEST LAID PLANS Fi studied at university and planned to continue working and studying. Then her first child came along and her husband Adom was working abroad. so she suddenly had a lot on her plate. But Adam become ill and could no longer work. On top of this, he wos suffering with post- traumatic stress disorder from his time serving in the forces. Learn how our partners at The Ripple Pond gave herthe support network she had been missing. And howThe Poppy Factory helped further boost her confidence, and find the flexibility and job satisfaction she needed. For Fi, supporting Adam and bringing up her children was a huge challenge. °The Ripple Pond and The Poppy Factory hove both been on amazing help and support for me,. Fi said. THE RIPPLE EFFECT The Ripple Pond have created a community for people like Fi where they are seen, heard and 24 FAIIILIES EMPLDYMENTSER¥ICE supported. Often it's hard for partners of veterans to find the right information and support. "At time51've been tearing my hair out,. said Fi. OVERCOMING CHALLENGES -1 don't think I could have got here withovt all Through The Ripple Pond, Fi connected with a the good advice I've been given by Sara,. said Fi. group of other women who were affected in the sara helped her pull out her skills, draw on her same way. "Before that, I'd felt really alone. It wos experience and guide her through applicotion5 great to know they were there whenever I really and interviews. needed them,, she said. "soro at The Poppy Factory has been fantastic. There have been times when I wasn't having o good day and she would always listen and check in with me. She helped me to look at my priorities to find a better work life balance., said Fi. BUILDING CONFIDENCE With finances getting difficult, Fi needed to get back to work. It was tough to find a decently- paid job with the flexibility to fit around school runs and other challenges. 'It wasn't easy. I felt completely overwhelmed,. Fi said. Meeting Sara at The Poppy Factory was a turning pointfor Fi. Sara is one of our Families Employment Specialists. They worked together to refresh Fi's CV and complete job applications. "Sara was so helpful and supportive. At that time, I didn't have much confidence in myself," said Fi. A NEW DIRECTION Because of the challenges her family had been through, Fi decided she wanted to work in mental health. With Saro's support that is exactly what happened. Fi is now working three days a week in mental health research and also as a case worker. She is based at home which gives her the flexibility she needs. She is using new skills, and her experience and knowledge to help other people who are struggling. Fi is nowsupporting herfamily,with a part4imejob inon area of worksheloves. 11 I don't think I could have got here without aLlthe good advice I've been given by Sara. 99 25 POPPYIACI ANNUAIREPIIR12025 FUNDING OUR WORK In this annual report, we share howThe Poppy Factory is reaching more veterans and family membersthan ever before, with our specialist employment services. To do this, we need to ensure our expanding services are well- resourced, sustainable and able to growfurther. That's whywe are incredibly grateful to our partners who have helped us meet our commitment through theirfundraising. The support of partner charities, companies, trusts and foundations- and donations from our supporters goes directly to fund our Veteran and Family Services. their families. This is possible because income generated by our Richmond Site, including the visitor centre, covers our support and administrative costs. Whether it's through grants, funding, gifts in kind and other contributions, our partners make a direct impact on the lives of veterans and We are grateful to all our partner5 and supporters for everything they've done this year. Army THE ARMED FORCES COVENANT FUND TRUST Fvnded by HM Government Fund NHS PA STATE STREET VUÉRANS FOVtr40ATION •• HODGE QMRT FOUNDATION 26 FUNDING OUtIWORK Apollo Management International LLP BNY The Lancoshire Foundation Medlock Charitable Trust The Childwick Trust The Tallowchandlers, Company Thales Goldman Sachs The Grace Trust MILITARY CHARITIES All of these contributions ore vital in funding ovr Veteran and Family Services. This year, we would like to thank PA Consulting and State Street who made major grants through their foundations. Their people also volunteered at our factory, the Field of Remembrance and pro bono support for specific projects. Teaming up with others who share our aims for veterans, makes our work even more impactful. We are proud tojoin forces. and grateful for the vital funding and expertise they provide. We continued to work closely with the Army Benevolent Fund who provided a major grant towards delivering our employment services. It helped pay individual grants to veterans too, for training and other costs to advance their job search. TRUSTS We were delighted to receive help from o wide range of supporters, towards our services as a whole or specific areas of work. A major new Veterans, Foundation grant helped us to expand the Navigator service into Southern Hampshire and Birmingham. The Armed Forces Covenant Fund Trust supported our work to lead the Thrive Together Programme in London. They also gove us crucial project funding towards our Veterans Employment Service, Navigotor Services and Families Employment Service. Overoll, trvsts and foundations provided vital contributions towards our veteran and families services. It helped people overcome barriers to work, thrive in civilian jobs and re-connect with their communities. CORPORATE PARTNERS Our partners continued to bring energy and enthusiasm into their fundraising activities. Our Richmond headquarters was a source of inspiration, with employees taking part in volunteering sessions, and employers hiring our visitor centre and boardroom for off-site meetings. We would also like to thank NHS England for fvnding our Veterans Employment Service, in our NHS pilot areas in Thewirral and the South Coast. It was wonderful to see colleagues fundraising together to help veterans into employment. And it reminded everyone thot there's more to work than 'having a job,. It's about teamwork, purpose and camaroderie too. 27 POPPYFACT ANMUALIEPIIR72025 FUNDRAISING CHAMPIONS We are hugely gratefulto all those supporters who chose to raise funds in groups or individually, and whose efforts helped veterans to change their lives through employment in 2024125. Here are some examples of their inspirational fundraising achievements. SPORTING TRIBUTE TO SOLDIER CRAIG green players from around the UK. This year its organisers, including Craig's dad Kelvin, donated the £1,500 raised to help The Poppy Factory support others in the Armed Forces community. Every year a bow15 competition is held in memory Kelvin said:"It was hard to come to terms with of Lance Corporal Craig Roberts. He was a losing Craig, and it's comforting to know that young soldier who served in the Royal Anglian the money we raise through this event will help Regiment. He sadly died at the age of 24, during to support veterans in moving forward.. speciol forces training. We were honoured to receive this donation in memory of Craig, which will help veterans into employment. The Craig Roberts Memorial Invitation has now been running for10 years and attracts top crown FUNDttAISINOCHAMPIIJNS INSPIRATIONAL FUNDRAISER In May a unique event took place at the University of London. It showcased the transformative effect of literature on health and wellbeing. while raising funds for The Poppy Factory and the charity Doctors in Distress. At the event, Poetry as Medicine- The Healing Power of Bibliotherapy, we heard readings by two renowned doctor-poets. Major General Tim -4a1 Hodgetts, CB, CBE, KHS, DL shared his personal experience in times of crisis and war over a 40 year career, while deployed on operations as an emergency and helicopter doctor and as a pioneering field hospital medical director. Dr Anonta Dove, Chief Medical Officer for Black Country Integrated Care Board and Presidential Lead for Workforce Retention and Wellbeing at the Royal College of Psychiotrists, read from her own work illuminating the resilience of the humon spirit. Our thanks go to klip Global for orgonising this inspirational event. And to guests who helped raise vital funds to support our national specialist employment services for veterans. A NEW HIGH FOR CARLY RESPONSIBLE FUNDRAISING When people fvndraise for The Poppy Factory, they can be assured that we comply with the regulatory standards for fundraising, including being registered with the Fundraising Regulator. We follow all the requirements set out in the Charities Act 2016. Carly had a successful career in the Army, rising to the rank of Corporal. After leaving the Forces, she was diagnosed with post-traumatic stress disorder. Our employment service helped her back into work, where she found connection, purpose and resilience. This come to the fore when Carly completed an epic challenge of trekking to Everest Base Camp. "To honour the support I've received, I raised funds for The Poppy Foctory, a chority helping veterans and others with mental health challenges find meaningful employment. Their mission resonates deeply with me, as I understand the importance of purpose and community in recovery," said Carly. 29 POPPYFACIORY IN￿AIREplJRT2O25 VETERANS EMPLOYMENT SERVICE RAWNIE: FINDING A SENSE OF BELONGING Rawnie Dewhirst was still a teenager TURBULENT TIMES when she served in Afghanistan at the height of the conflict. After leaving the Army, a demanding new career in veterinary care also took its toll on her mental health. Rawnie admits that she didn't have the best start in life. She is dyslexic and has ADHD, and she found school tough. Joining the Army helped her learn a lot but, serving in Afghanistan, she saw o lot of death ond destruction. It was hard in other ways too. As a woman, she experienced harassment and hostility. To make a fresh start, Rawnie moved to South Wales. Here she met Natasha from ourveterans Employment Service. We helped her connect with others and find the rewarding newjob she was looking for. When Rawnie left the Army, with post-traumatic stress disorder and physical injuries, she felt she had no help whatsoever. "I had no idea how to be on adult and do things like pay bills," she said. TRYING TO SETTLE But Rawnie dug in. She worked hard to get qualificotions as a Registered Veterinary Nurse. It wasn't everything she hoped for."People VETERAfis EMPLDYMENTSER¥ICE do horrible things to animals. It con be very stressful," she said., I wasn't in a good way and I had to take a step away from my career." VIEWPOINT: Natasha, EmpLoyment Consultant Rawnie decided to move to South Wales where she found support with her mental health through the Monmouthshire Veteran's Hub. They put in her touch with The Poppy Factory, and she met Natasha, one of our Employment Consultants. GROWING IN CONFIDENCE °Working with Rawnie has been such a rewarding experience. When wefirst met. she wa5 lacking in confidence and unsvre of her next steps. Through open and honest conversations. we explored her skills, her passions, and the best ways I could support her. The first thing Natosha learned about Rawnie wos that she loved to be outside in the gorden. "I don't think it's possible to feel upset when you're planting things and caring for things,. Rawnie told her. So Natasha helped Rawnie enrol on a horticulture course. Rawnie learned how to rewild o pond, put vp fences, look ofter horses and livestock. Through Natasha, Rawnie began to volunteer at Native Wales. a project for veterons, which offers landscaping, fencing, and planting services. Oneof theturning points was when she began volunteering with Nativewales. Seeing her confidence bloom and watch her believe in herself again, was amazing. Enrolling her on a horticulture course was another big step. Itwas inspiring to see her embrace it with growing confidence. 'It's hard work helping there as a volunteer but I've learned a lot and it's great fun,, said Rawnie. She built positive relationships and felt safe, working on a female veterans-only project, to grow fruit ond vegetobles. It's been o real pleasure supporting Rawnie, helping her see just how many opportunities are outthere for her, and giving herthat gentle nudge when she needed it. Our meetings were always a highlightfor me.. MOVING INTO EMPLOYMENT Now Rawnie has found her the ideoljob, thanks to Natasha. Rawnie has started work as a bathroom and kitchen designer at a national DIY company. She's working as part of a great team, and loves it. Rawnie says she wouldn't have had the confidence to do something different without Natasha's help. It felt like she had a network of support. "A lot of veterans don't like asking for help. But asking for help can moke things thot little bit eosier." said Rawnie. POPPYFACTORY AMMUAL REPOR12025 FINANCIAL REVIEW FINANCIAL PERFORMANCE In recent years, Trustees have authorised a level of planned deficits to carefully monage our reserves. This help5 to reossure supporters and grant funders, particularly that the Charity is investing its own resources to maximise the delivery of its charitable activities. Summary The Trustees determined to invest significantly in the Charity's national Veteran & Family Services this financial year. This was achieved through securing a higher level of largely fundro ised grant income (£995kl and through a commitment Nonetheless. the Charity is focused on improving from Trustees to draw on our own resources to the yields from its real estate investments and meet sustained need in the veteran community. on reducing central support costs to better fund As a result of this uplift, a record number of the the national service delivery. armed force5 community facing challenge5- over 1200- were reached and supported. This successful delivery of the Veteran and Family Services accounted for the highest proportion of expenditure on charitable activities at £2,252k (2024: £1,888kl. Cash and liquid investments The overall cash balance decreased by £316k to £1,103k. Including other investments, the total cash and liquid investments were £2.916k (2024= £3,040kl. The Poppy Factory is in the fortunate position to derive significant income of £1,758k12024.. £2,054kl from its residential and commercial real estates in Richmond,. our heritage from our founder, Major George Howson. Performance was reduced in the year due to on unexpectedly high level of flat refurbishments. We also enjoy a consistent level of earned income from our visitor centre of £92k {2024: £91k}. This rental and eorned income further support our front-line services as well as the fundraising and central support costs of the orgonisation. INVESTMENTS The objertive is to ensure sustainable, increasing income from the Charity's investments, to cover our central costs and to contribute more to our Veteran and Family Services. Investments Our investment property comprises 48 flats that are rented on the open market, with rents set on The Appeal Order income accounted for £1,518k of professional advice from the Charity's letting our charitable income12024.. £1,295kl. The Appeal agents. Order income is used exclusively to produce wreaths and symbols for The Royal British Legion. These properties are carried on the balance sheet The income from the Appeal Order matches the at their estimated market value, which at 30 costs of produrtion and continues to provide September 2025 is £24.Om12024: £23.2ml. In direct employment for a small number of estimating the value of the flats at the balance veterans. sheet date, the Trustees have assumed vacant possession. The Trustees applied a discount of up At year-end, the Charity's general funds available to 20.1 to each flat's estimated value to reflect for Trustees to invest in charitoble activities had what investors would likely pay at the balance reduced slightly to £2.35m12024= £2.42m). sheet date, taking existing tenancies into account. FIIIAMelAL REVIEW Fixed assets The free reserves at 30 September 2025 are £2.35m. The Board of Trustees has approved planned investments in front-line services, and the free reserves are expected to be brought into line with the target reserve level within 2 years. The fixed assets include the main fartory office buildings, where excess space is rented on a commercial basis, and residential flats on the Richmond estate that are let on a beneficiary basis, with an estimated historical c05t of £255,001. The Board of Trustees will regularly review the reserves policy to ensure it remain5 appropriate and aligned with our strategic objertives. This review will include an evaluation of our operational costs, funding sources. and external financial conditions, ensuring that our reserves remoin sufficient to support our mission and commitments. Other Investments Surplus funds are invested with TrinityBridge (formerly Close Brothers Asset Management). The total funds increased by £192k to £1,813k. The return-on-investment objective is CPI plus 3% over the medium term, which was exceeded in the year, with a 12/ gain1September 2025 CPI was 3.8%). The performance of our investment funds will continue to be monitored against industry benchmarks. The carrying value of investments is adjusted to market value at year-end. The Poppy Factory is dedicated to prudent financial management and the sustainability of our charitable activities. Our reserves policy reflects our commitment to being a responsible steward of donor funds and ensuring that we can respond effectively to the needs of those we serve. Based on the level of reserves held and future plans, the Trustees are sotisfied that the financial statements are prepared on a going concern basis. GENERAL FUNDS AND RESERVES The Poppy Fartory is committed to maintaining a sustainable financial position to ensure the ongoing delivery of its charitable services and the operational requirements of the factory. PRINCIPAL RISKS AND UNCERTAINTIES To safeguard our financial health and the wellbeing of our staff and clients, we implement a robust risk management fromework that identifies potential threats to our income and services, ensuring proactive measures are in place. The Charity will maintain a minimum resewe level sufficient to 5upporL all operational aclivities, including the delivery of charitable services, the fulfilment of Poppy Appeal orders for The Royal British Legion, and the maintenance of the estate. Specifically, we aim to hold reserves eqvivolent to three months of operoting costs, with on emphasis on financial resilience and sustainability. The changing risk landscape is monitored,. the Executive team reviews the risk register each month, and the relevant committees review related risks. The key risks are presented to the Board of Trustees at each meeting. Our target reserve level is set at £1 million. This has been determined based on a thorough assessment of our operational need5, the economic environment, ond potential risks to our Inancial stability. By maintaining this level of reserves. we aim to ensure that we can continue to deliver our charitable objectives effertively, even in times of financial uncertainty. The key risks identified for The Poppy Fortory relate to.. Safety and wellbeing of the veterans and family members we support, our staff and volunteers Sustainable net estate income Unexpected drop in fundraised income Cyber Security 33 POPPYFACTORY ANNUALREPORT2025 People's safety and wellbeing - Our clients may GUARANTEES foce complex personal circumstonces thot impoct their heolth ond wellbeing and, ot times, pose risks to themselves and others. We have a comprehensive suite of procedures to ensure clients ore supported safely and appropriately with referrals to specialist organisations where required. Our staff team have access to a wide voriety of support to help with any challenges they may face, either with clients or individually, to limit the risk and ensure we offer effeciive support. Members of the Chority guarantee to contribute an amovnt not exceeding £1 to the Charity's assets in the event of its winding up. The total number of members at 30 September 2025 was12 {2024..12). The number of members is limited to members of the Board of Trustees only. RESPONSIBLE FUNDRAISING Svstoinable net estate income- The Poppy Factory rents office space and residential units on a commercial basis. In the current office market, if tenants give notice, there moy be a gap in occupancy and a decline in income. A strategic review of the ofFice buildings has been commissioned, which is expected to be completed in 2026. We continue to review the office and residential options to ensure future, optimised, sustainable income. Our charity is registered with the Fundraising Regulator, and we are committed to the Fundraising Promise and adherence to the Code of Fundraising Practice120251. No complaints regarding fundraising were received during the year. Unexperted drop in fundraising income- increased pressure on grantmakers could lead to a decline in fundraising income. The Poppy Factory reviews and executes grant funder stewardship while researching new supporters and building our corporate partner income. Cyber security - there 15 a risk that hackers gain unauthorised access to The Poppy Factory's IT systems and install malware or ransomware, which could result in data acces5 being inhibited or our IT systems being compromised. We continue to invest in cybersecurity measures, including Cyber Essentials Plus accreditation, which is renewed annually. FIIIAMelAL REVIEW 35 POPPYFACTORY AIINUAL REPDRT2025 STRUCTURE AND GOVERNANCE Legal Constitution Royol British Legion Poppy Factory (The Poppy Fartoryl is a charitable company limited by guarantee, incorporated on11 March1925 and registered as a charity on11 May1964. No benefits are received by members ofthe Board of Trustee5. Public Benefit The compony wos estoblished undero The Board of Trustees confirms that it has due regard Memorandum ofAssociation. New Articles were to the provi5ion5 of section17 of the Charities Act adopted and registered at Companies House on 24 2011 and has referred to the guidonce contained in April 2012 and amended by a special re501ution, as the Charity Commission's general guidance on public registered ot Companies House on 5 April 2017, 4 benefit. both when reviewing The Poppy Factory s April 2024 and 4 August 2025. aims and objective5 and also in planning aciivities. Governance Objects and Activities The members ofthe Boord ofTrustees during the year are shown on the inside back cover. Members equate to directors in Companies Act terms and trustee5 in Charities ACL terms. Our Articles set out that the Objects of our Charity are "for the public benefit, the relief of per50n5 who have served in the ormed forces ond their fomily members, who are In need because of health conditions or other barriers to employment, in particular but not exclusively by the provision of training, support ond octivities to enoble them to goin meoningful employment." The Poppy Foctory does this by providing an employment service, and a Navigator service, to veterans with health conditions and their families, acr055 England and Wales. We also provide poid work ot our fortory in Richmond, where men ond women with heolth conditions who are connected to the Service have been making Remembrance products for over100 years. New members ore appointed os necessary, in order to give a wide breadth of experience to the organisation. They are recruited through a formal recruitment and selection proces5 which includes a review of their Curriculum Vitoe ond interviews with members ofthe Board ofTrustees. Indurtion of members is carried out by the CEO prior to the new member's first Board meeting. This encompa5se5'. governing documents; members, responsibilities,. mission stotement- health and safety policy. operational and committee structures; audited financial statements., monogement occounts., strategic plan- key projects., and additional training is provided as required. STRUCTUREANDMVERNANCE Remuneration of Key Management Personnel Underthat law, the Board ha5 elected to prepare the finonciol stotements in occordonce with the United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable lawl. The financial statements are required by law to give a true and fair view of the state of the affairs ofthe choritoble company ond of the surplus or deficit for that period. In preparing these financial statements we are required to.. selert suitable accounting policies and apply them con515tently- observe methods and principle5 in the Chorities SORP. makejudgments and estimates that ore reasonable and prudent., state whether applicable accounting stondords Fuve been followed, subject to ony material departures disclosed and explained in the financial statements., and prepare the financial statements on a going concern bo515 unles5 It 15 inappropriate to assume that the charitable compony will continue in operation. The Trustees consider that the members of the Board of Trustees and the Senior Management Team comprise the key management personnel of the Chority in chorge of direrting ond controlling, running and operating the Charity on a day-to-day basis. All members give their time freely and no director received remuneration in the year. Details of direciors, expenses are disclosed in note19 Ino director expenses were incurred in the year} ond related party transactions are disclosed in note 19 of the financial statements. The pay of the Senior Management Team and all staff is reviewed onnuolly ond normally increased in occordonce with average earnings to reflect a cost-of-living adjustment. In view of the nature of the Charity, the Trustees benchmark aga inst pay levels in other chorities. The remunerotion benchmork is the mid- ronge for similar roles in similor-sized chorities. Management The Boord of Trustees meet5 four time5 o yeor or when required. The following committee structure has been approved by the members.. We are also responsible for keeping proper The Finance and Risk Committee, Estate Committee accounting records that disclose with reasonable ond Income Generotion ond Communicotions accurocy at any time the financial position of the Committee, People, Pay and Culture Committee, choritable company and enoble it to ensure that the Veteran and Family Services Committee. financial statements comply with the Companies Act 2006. We are also responsible for safeguarding the ossets of the charitable company and hence for taking reasonable steps for the prevention ond detection of fraud and other irregulorities. The committees and various working groups oll reportto the Board meetings os part of the governonce structure. The Board of Trustees agrees the strategic aims of the Charity, authorises the budget and approve5 the expenditure. The day-to- day running of the Charity is delegated to the CEO, Ms Amando Shepard, who wos oppointed by the Board. So far as each of the members of the Board of Trustees is aware ot the time the report is opproved.. there is no relevant oudit information of which the Charity's auditors ore unaware., ond all steps have been taken by members to make themselves aware of any relevant audit information and to establish that the auditor5 ore owore of thot informotion. Statement of Trustees. Responsibilties The Boord of Trustees is responsible for preparing the Report and the Financial Statements in accordance with applicable laws and regulations. Company law require5 the Board ofTrustees to prepore financial statements for each financial year. The Trustees. Report, which includes the directors, report and strategic report, wos approved by the Board of Trustees on 30 January 2026 and is signed on its behalf by.. A. Kett Chair 25.￿￿114￿04￿r} 37 POPPYFACTORY ANNUALREPORT2025 INDEPENDENT AUDITOR'S REPORT OPINION ethical responsibilities in accordance with these requirements. We believe thot the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. We have audited the financiol stotements of Royal British Legion Poppy Factory for the year ended 30 September 2025, which comprise the Statement of Financial Artivities, Balance Sheet, Statement of Cash Flows ond notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financiol Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generolly Accepted Accounting Practice). CONCLUSIONS RELATINGTO GOING CONCERN In auditing the financial statements, we have concluded that the Trustees, use of going concern basis of occovnting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncerta inties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitoble company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. In our opinion the financial statements.. give a true and fair view of the charitable company's state of affoirs as at 30 September 2025 and of its incoming resources and application of resources. includir)g its income and expenditure, for the year then ended; Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice. and hove been prepared in accordance with the Companies Act 2006. OTHER INFORMATION The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statement5 and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. BASIS FOR OPINION We conducted our audit in accordance with International Standards on Auditing {UK} (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial stotements in the UK, including the FRC'S Ethical Standard, ond we have fulfilled our other Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained during the audit or otherwise appears AUDllOtI% REPORT to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to o material misstatement in the financial statement5 themselves. certain disclosures of trustees, remuneration specified by law are not made. or we have not received all the information and explanotions we require for our audit. If, based on the work we have performed, we conclude that there is a material misstatement of this other information we are required to report that fact. We have nothing to report in this regard. RESPONSIBILITIES OFTRUSTEES As explained more fully in the Statement of Responsibilities of the Council, set out on page 37, the Trustees Iwho are also directors of the charitable company for the purposes of company law} are responsible for the preparation of the financial statements and for being satisfied that they give a true and fa ir view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. OPINIONS ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Annual Report which includes the Directors, Report and the strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statements- and In preparing the financial statements, the Trustees ore responsible for ossessing the charitable company's ability to continue as a going concern, disclosing, os applicoble, matters to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operotions, or have no reolistic alternative to do so. the Trustees, Annual Report which includes the Directors, Report and the Strategic Report ha5 been prepared in accordance with applicable legal requirements. MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION AUDITOR'S RESPONSIBILITYFOR THE AUDIT OF THE FINANCIAL STATEMENTS In the light of the knowledge and understanding of the charitable company and its environment obtained in the course ofthe audit, we have not identified material misstatements in the Trustees, Annual Report and Strategic Report. We have nothing to report in respect of the following matters where the Companies 2006 requires us to report to you if, in our opinion: We have been appointed as auditors under the Companies Act 2006 and report in accordance with regulations made under that Act. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, adequate accounting records have not been and to issue an auditor's report thot includes kept, or returns adequate for our audit have our opinion. Reosonoble ossurance is o high not been received from branches not visited by level of assurance, but is not a guarantee that us., or an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. the financial statements are not in agreement with the accounting records and returns- or 39 POPPYFACTORY AMMUAL REPOR12025 Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. disclosures. We reviewed the company's record of any breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the choritable company's policies and procedures for compliance with laws and regulations with members of management responsible for compliance Irregularities, including fraud, are instances of non-compliance 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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below. During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non- compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the opproprioteness of journal entries and identifying any significant transactions that were unusual or outside the normal course of bvsiness. IDENTIFYING AND ASSESSING RISKS RELATED TO IRREGULARITIES We assessed the susceptibility of the charitable company's financial statements to material mi5Statement and how fraud might occur, including through discussions with the trustee5, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the charitable company by discussions with trustees and updating our understanding of the sector in which the charitable company operates. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the oudit, the engagement partner's review included ensuring that the team had opproached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations ond fraud. There are inherent limitations in the audit procedures described above and the further removed non-compliance with lows and regvlations is from the events ond transactions reflected in the finonciol stotements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. Law5 and regulations of direct significance in the context of the charitable company include The Companies Act 2006, and guidance issued by the Charity Commission for England and Woles. AUDIT RESPONSE TO RISKS IDENTIFIED A further description of our responsibilities is available on the Financial Reporting Council's website at.. www.frc.org.ukl auditors responsibilities. This description forms part of our auditor's report. We considered the extent of compliance with these laws and regvlotions as port of our audit procedures on the related financial statement items including a review of financial statement 40 AUDllOtI% REPORT USE OF OUR REPORT This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an ouditor's report ond for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company s members as a body, for our oudit work. for this report, or for the opinions we have formed. ILL. Id Helen Wilkie (Senior Statutory Auditor} for and on behalf of Saffery LLP 71 Queen Victoria Street London EC4V 4BE Statutory Auditors Soffery LLP is eligible to oct os on auditor in terms of section1212 of the Companies Act 2006 Date.. 2510212026 POPPYFJ)CTORY ANNUJ)IREPORT2O25 STATEMENTOF FINANCIAL ACTIVITIES FOR YEAR ENDED 30 SEPTEMBER 2025 Ilncorporating the income and expenditure accovntl Notes Unrestricted De$ignoted £ buildingfund£ Restrirttd 2025 2024 INCOME FROM.. Charitable activities 1,636,551 367,895 2,004,446 1,666,461 Donation5 and legacie5 283,170 1,871 995,047 891,678 Othertrading activities 91,787 91,787 90,637 Investments. including property 1,674,963 .676,078 1,951,184 Total income 3.686,471 1.080,887 4,767,358 4,599.960 EXPENDITURE ON- Chorituble orti¥itie$ Veteron ond Fomily Services 1.284.724 126.835 840.064 2,251,623 1.887,920 Other. including Appeal Order 1.659.026 147.488 268.￿8 1075,232 1.646.184 2,943,750 274,323 1,108,782 4,326.855 3.534,104 Raising fiJnds Donations and legocies 138.081 138.081 159.422 Other trading octivities 96,970 116.987 213,957 217,675 Investments. including property 764.758 764.758 1.032.795 999.809 116.987 1.116,796 1.409.892 Total expenditure 3,943559 391310 1.108,782 5,443,651 4,943,996 Net expenditure before gains and105ses on investmÈnts 1257.0881 1391.3101 127.8951 1676.2931 1344,0361 other recognised gainslllossesl Revalvotion of investment property 806,000 806.000 15,136,000) Gains on investments 18 191,842 191,842 173,832 Net incomellexpenditvrel 740,754 1391.3101 127,8951 321,549 15,306.2041 Totol fvnds brought forward 18 25,595,141 4,077,161 300,210 29,972,512 35.278.n6 Totalfunds carried forward 26,335.895 3,685,851 272,315 30,294,061 29.972,512 The notes on pages 45 to 56 form part of these financial statements. All the above results are derived from continuing octivities. There ore no other recognised gains or losses other thon those stated above. The details of Income and expenditure by fund for 2024 are given In note 21. 42 FINAllelALSTATEIIENTS BALANCE SHEET AT 30 SEPTEMBER 2025 Notes 2025 2025 2024 2024 FIXED A55ETS Tangible fixed a5set5 10 3,685,851 4,071,161 Investment piopeities 23,985.000 23,179,000 Othei investment5 12 1,812,546 1,620,704 TOTAL FIXED ASSETS 29,483,397 28,876,865 CURRENT ASSETS Stock 13 105,927 147,374 Debtors 14 307,527 143,859 Short-term deposits 183,160 664,670 Cash at bank and in hand 867,365 699,750 TOTAL CURRENT ASSETS 1.463.979 1,655,653 CURRENT LIABILITIES Creditors". omounts folling due within one year 15 {653,3751 1560,0061 N￿(URRENT AssErs 810,664 1,095,647 NET ASSETS 30,294,061 29,972,512 FUNDS OFTHE CHARITY 18 Restrirted funds 272.315 300,210 Unrestricted fund5 Revaluation reserve 23.985,000 23,179,000 Designated funds 3,685,851 4,077,161 General funds 2,350,895 2,416,141 Total unre5trirted funds 30,021,746 29,672,302 TOTAL FUNDS 30,294.061 29,972,512 These financiol stotements were opproved by the Board of Trustees of Royal British Legion Poppy Fortory, Compony number 00204405 IEn9land and Wale51 and signed on It5 behalf by.. A Kett Chairman Date.. 2510212026 POPPYFACTORY ANNUALREPORT2025 CASH FLOW STATEMENT FOR YEAR ENDED 30 SEPTEMBER 2025 2025 2024 Recones not report a disposal In respect of th15 as the historic cost of the flat wa5 fully depreciated and Is not separable from the main site. POPPYFACTORY AMMUAL REPOR12025 12. OTHER INVESTMENTS 2025 2024 Market value ot the stort of the year 1.565.445 1.420.129 Net additionslldisposalsl 2.289 128,5161 Unrealised gain on revaluation 191,842 173.832 1,759,576 1,565,445 Cash held as part of the portfolio 52,970 55,259 Market value as end of year 1.812,546 1.620.704 2025 2024 Investments comprlse: Equities 1,286,599 1,125,379 Fixed interest 279.384 248,883 Alternatives 193,593 191,183 Cash 52,970 55.259 Market value ot the end of the year 1,812,546 1,620,704 13. STOCK 2025 2024 Raw materi015 105.927 147,374 14. DEBTORS 2025 2024 Trode debtois 63.630 15,669 Other debtors 9,066 Prepoyments ond accrued income 243,897 119,124 Total 307,527 143,859 52 FINAllelALSTATEIIENTS 15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONEYEAR 2025 2024 Trade creditors 54,204 48,872 Accruals 64,417 67,677 Deferred income 237,078 186,030 Tax and social security creditor 165.107 46,905 Other 132,509 210,522 Total 653,315 560,006 The deferred income relates to open market rent paid monthly in advance, office rent paid quarterly in advance, and £53k relating to the Thrive Together progromme. Other creditors inclvde E23,780 of pensi¢>n liability tts perstsnol pension plons12024.. £23,255). The full amount of deferred income brought forward 15 released in the year. 16. OPERATING LEASES As of 30 September 2025. the total commitments under operating leases were £nil12024.. £nill. The Poppy Fartory acts as a lessor with its office tenants. 2025 2024 Totol income due to The Poppy Fociory os o lessor with its office tenants.. Income due in less than l year 504,095 492.178 Income due for I to 5 years 796,744 1,194,530 Total 1300,839 1,686,708 17. ANALYSIS OF NET ASSETS BETWEEN FUNDS Restricted funds Revaluation funds Designated funds General funds Total fvnd5 Tangible fixed assets 3,685,851 3.685,851 Investment property 23.985,000 23.985,000 Other investments 1,812,546 1,812,546 Net current assets 272,315 538,349 810,664 Net assets at the end of the year 272.315 23,985,000 3,685.851 2,350.895 30,294,061 53 POPPYFACTORY AMMUAL REPOR12025 COMPARATIVE NOTE FOR 2024 Restricted funds Revaluation funds De51gnated funds General funds Total funds Tangible fixed asset5 4,0Tr,161 4,077.161 Investment property 23,179,000 23,179,000 Other investments 1,620,704 1,620,704 Net current Q55et5 300.210 795,437 1,095,647 Net ossets at the end of the yeor 300.210 23,179,000 4,0Tr,161 2,416,141 29,972,512 18. MOVEMENTS IN FUNDS Gainsl Ilosses) ond 30 September tronsfers 2025 l October 2024 Income Expenditure RestrictÈdfvnds Amenities ond benevtslent fund 79,724 80.839 Veteran and Family Services restricted fund 220.486 1,079,772 11,108,782) 191,476 Tottsl restri