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← North West Mull Community Woodland Company Ltd

2025-07-31-accounts

Company Registration Number: SC287343 Charity Registration Number: SC037336

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company Limited by Guarantee)

CONSOLIDATED FINANCIAL STATEMENTS

For the year ended 31 July 2025

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

CONTENTS

For the year ended 31 July 2025

Pages
Legal and administrative information 3
Directors’ report 4 - 8
Auditor’s report to the directors 9 - 11
Consolidated statement of financial activities 12
Charity Statement of financial activities 13
Consolidated balance sheet 14
Charity Balance sheet 15
Consolidated and Charity Statements of cash flows 16
Notes to the financial statements 17 - 35

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

LEGAL and ADMINISTRATIVE INFORMATION

For the year ended 31 July 2025

Charity number SC037336
Company registration number SC287343
Business address Penmore Mill
Dervaig
Tobermory
Isle of Mull
PA75 6QS
Registered office Penmore Mill
Dervaig
Tobermory
Isle of Mull
PA75 6QS
Directors Colin James Morrison (Chair - resigned 21 July 2025)
Anne Cleave (Chair)
John Moxon Addy (resigned 7 January 2025)
Tracey Mayo (resigned 7 May 2025)
Ian Hepburn (appointed 28 February 2024, resigned 16 June 2025)
Alex Duncan (appointed 9 September 2024)
Jean-Louis Alexandre Lanteri Laura (appointed 9 September 2024)
Stephen Maker (appointed 9 September 2024, resigned 23 September 2024)
Simon Paul Proud (appointed 9 September 2024)
Arran Rhys Skinner (appointed 9 September 2024)
Secretary Johnathan Richard Miles Bell
Independent Auditors CT Audit Limited
Chartered Accountants & Statutory Auditor
61 Dublin Street
Edinburgh
EH3 6NL
Bankers Clydesdale Bank plc
20 Main Street
Tobermory
Isle of Mull
PA75 6NY
Triodos plc
Deanery Road
Bristol
BS1 5AS

3

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

REPORT of the DIRECTORS

For the year ended 31 July 2025

The directors present their report and the financial statements for the year ended 31 July 2025. The directors, who are also trustees of North West Mull Community Woodland Company Limited for the purposes of charity law and who served during the year and up to the date of this report are set out on page 3.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

Objectives and activities

Principal objects

The charity’s principal objectives are to manage community land and associated assets for the benefit of the Community and the public in general and as an important part of the protection and sustainable development of Scotland’s natural environment. ‘Sustainable development’ means development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

Strategic aims and objectives - the woodlands

The charity’s principal objectives are to manage community land and associated assets for the benefit of the Community and the public in general and as an important part of the protection and sustainable development of Scotland’s natural environment. ‘Sustainable development’ means development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

Forestry

The Forest Design Plan was approved in 2023 and harvesting and replanting was carried out throughout the year, managed by the appointed consultancy, Treestory. Work was undertaken on the existing haul route to replace the timbers on the four haul road bridges, to allow their use by the harvesting contractors – James Jones and Sons. Harvesting and replanting of the first phrase is complete, Initial discussions have been held to create more community benefit within the new replanted areas, such as re-establishing footpaths, renewal of/new signage, a new project to survey and create a baseline study of the built historic and archaeological environment that has been revealed by the harvesting.

Ardhu Power Limited

The micro hydro continues to provide a substantial ongoing financial input into the Charity.

Trading Company (woodfuels)

An updated pricing structure was implemented in 2023/24 which helped to mitigate the cost of transporting timber to domestic users in the north west Mull area. Product supply issues were experienced in the early part of 2023, which was an island-wide issue brought about by increase demand for construction timber and the discovery that larch was infected by phytophthora and could not be moved. The start of the harvesting programme within the charity’s woodland and the purchase of some Sitka spruce to service domestic customers, was expected to resolve that problem. The sale of the phytophthora infected timber will begin towards in August 2026 when restrictions are lifted.

Woodland Crofts – Nine crofts in the woodland at Dervaig are let with some tenants actually living and working their crofts.

Public Toilets, Dervaig – A steady trickle of income from users. Not substantial but the toilets are well used by both locals and visitors.

Strategic aims and objectives - Island of Ulva

Ulva

Work continues to market the new housing plots, that have outline planning permission, available from 2024. As of 31 July 2025 two plots of land are in the process of being sold – one likely to complete in September/October 2025 and the other, slightly stalled due to the purchaser having other concerns to resolve may complete by the end of 2025. updating the infrastructure, revitalising and expanding agricultural activity whilst enhancing biodiversity, conserving sensitive habitats and species and protecting the built historic environment and the archaeology.

4

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

REPORT of the DIRECTORS (continued)

For the year ended 31 July 2025

Sheila’s Cottage/museum was scheduled to be re-thatched in 2025, but we were let down by the thatcher and are now actively trying to find a thatcher to come to Ulva. Ulva Farm now has both Highland cattle and sheep. The farmer uses the local slaughterhouse at Aros on Mull to slaughter and process meat which is sold locally and also provides The Boathouse Restaurant on Ulva. The Boathouse has a new partnership who have made significant changes in the way the business is run and is already showing the benefits of the changes. Ulva House has new tenants working to restore the house and develop it into a small 6-bedroom boutique hotel. They have a repairing lease of 3 years but do cover the cost of council tax and services. The charity won a substantial grant from the Community Ownership Fund of £234,000 to undertake critical work on Ulva House such as removal of asbestos, repairs to flat rooves and an upgraded electricity supply. It is worth noting that problems with CalMac ferries is likely to impact on visitor numbers in the next financial year. This is likely to affect both Mull and Ulva.

Structure, governance and management

Membership

The company was formed in 2005 and obtained charitable status in May 2006. Membership is free and open to anyone resident in North West Mull aged 16 or over. Associate membership is open to all other individuals and organisations, and Junior Membership is open to those aged 12 to 17. Junior Members and Associate Members are not permitted to vote at Company meetings or stand for election to the Board. There are 143 members as at 31 July 2025 (2024: 156) which is approximately 36% of the full electoral register for the eligible areas. The reduction in membership can be attributed to both people moving away from Mull (and, indeed, other islands) and also to the death of some members.

The charity is constituted as a company limited by guarantee. It is registered as a Charity with the Office of the Scottish Charity Regulator (OSCR) governed by its memorandum and articles of association.

Election of Directors

The charity is managed by a board of directors elected by the members at the AGM. There can be between 5 and 16 directors including one director appointed by the Mull & Iona Community Council, and up to 3 co-opted directors. One third of the elected directors must resign at the AGM; a director can serve up to two consecutive terms of office and then must stand down for a minimum period of 12 months. There was no representative from Mull & Iona Community Council during the year.

Board Training

The company provides an information pack which is given to all new directors on appointment. This includes information on the roles and responsibilities of a company director and charity trustee, copies of recent board minutes, company policies and other information regarding the operations of the company. Copies of the Articles of Association and the Business Plan are available on the charity website.

Board Procedures

Monthly board meetings are attended by the Board and the staff, with finance report and development manager's report being circulated beforehand. Minutes of the meeting are posted on the charity website once ratified by the board at the following meeting.

Conflicts of interest

A policy is in operation to deal with conflicts of interest. This includes maintaining a register of interests for all board members/directors and senior managers, which details any contractual or financial relationship or position of authority with outside companies, firms, associations or organisations. Whenever a board member/director or senior manager has an interest in any item discussed by the board, he/she takes no part in the discussions or decision making process.

Any declarations of interest are recorded in the minutes of the appropriate board meetings. The Register of Interest is subject to inspection by auditors. The Register will be shared with the Financial Controller of NWMCWC for the purpose of detecting and reporting in the Annual Accounts any related party transactions.

5

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

REPORT of the DIRECTORS (continued)

For the year ended 31 July 2025

Risk Management

The Board of Directors is ultimately responsible for North West Mull Community Woodland Company Limited internal, financial and administrative controls and systems and for reviewing their effectiveness. However, such systems are designed to manage rather than eliminate risk of failure to achieve the Company's objectives, and can provide only reasonable but not absolute assurance against material misstatement or loss.

These systems of control include, a regular consideration by the Directors of financial results, variance from budgets and non-financial performance indicators; delegation of authority and segregation of duties, identification and management of financial and non-financial risks.

Key Risks and Uncertainties

Similar to last year, the key risks that will continue to affect the company over the coming years are: meeting the costs associated with charity, upkeep of charity assets; volunteer fatigue and management/director succession. The landscape has changed dramatically over the years since the charity was founded with evolving community requirements, reduced funding availability, a drop in support for renewables (both FIT and RHI) and whilst challenging, the company continues to evolve to meet these changes. The work of the charity on Ulva is much more diverse and to meet this challenge, all projects undertaken on the island will be fully costed in advance with clear financial models built showing expenditure and how it will be met.

Plans for future periods

Future plans for the charity are focused on the sustainable social and economic development of the Island of Ulva. This will involve the upgrading of the infrastructure such as water supply and sewage management (Increasing the housing stock can only be done when the infrastructure is of a suitable standard), continuing support of farming, re-purposing of Ulva House, renovation of the Ulva side pier infrastructure and improving the opportunities for tourism and other development. In our Mull based woodlands, plans now focus on fencing and replanting with an increased emphasis on expanding native broad leaf species while ensuring commercial viability into the future. Control of the deer population is critical to the future of managed woodlands.

Financial Review

In the year to 31 July 2025, income totalled £449,563 (2024: £333,605) and expenditure totaled £336,922 (2024: £599,083). Unrestricted reserves (excluding the designated reserves) decreased during the year by £139,546 to a balance of £984,514. This was a budgeted decrease. As detailed in Note 20, the Trustees have designated £82,073 of funds at the year-end towards activities that they expect to take place during the forthcoming and future years. Restricted reserves increased during the year by £268,576 to a balance of £7,213,809. Note 19 details what these reserves are held for.

Consolidated unrestricted income increased to £559,873 (2024: £411,122).

Overall, total fund balances at 31 July 2025 are £8,333,165 (2024: £8,186,451). This includes unrestricted funds of £1,053,672 (2024: £1,159,145).

Included within these results are the results of the wholly owned trading subsidiaries, Ardhu Power Limited which reported a trading net income for the year of £32,872 (2024: £37,866) and NWMCW Trading Company Limited which reported a trading net income (2024: loss) for the year of £12,794 (2024: (£1,956)).

Reserves policy

The aim of the Company's reserve policy will be to establish a level of reserves which the Company may need in times of unexpected fluctuations in income to ensure its ability to provide uninterrupted services for a period of 12 months.

General unrestricted funds are negative and a review of the allocation of the current and prior year allocations has been carried out. Negative funds are a result of historical general income being less than the general operating costs and expenditure on the projects of the company.

During the current period of global economic uncertainty, the Company will continue to work towards this objective but recognises that this may not be achievable in the short term to medium term.

6

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

REPORT of the DIRECTORS (continued)

For the year ended 31 July 2025

Investment policy

The cash reserves of the organisation are held in interest bearing accounts. The Directors keep this arrangement under regular review to ensure that sufficient liquidity is maintained to enable the organisation to manage its commitments.

Related Parties

NWMCW Trading Company Limited is a wholly owned subsidiary of North West Mull Community Woodland Company Limited and have a formal intercompany loan agreement in place.

Ardhu Power Limited is a wholly owned subsidiary of North West Mull Community Woodland Company Limited. Distributions are made out of this entity up to the parent charity.

Key Management Personnel

The key management personnel of the charity is made up of the Board of Directors. The directors do not receive any remuneration in their role as directors other than reimbursement of expenses incurred. The charity trustees, who are the directors of the company, were not paid and did not receive any remuneration or benefits in kind in their capacity as trustee during the year. No trustee received payment for professional or other services supplied to the charity.

Statement as to disclosure of information to auditors

In so far as the directors are aware:

Directors' responsibilities for the financial statements

The directors (who are also trustees of North West Mull Community Woodland Company Limited under charity law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice.

Company law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure of the charitable company for that period. In preparing these financial statements, the directors are required to:

Directors' responsibilities for the financial statements (continued)

The directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and which enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

7

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

REPORT of the DIRECTORS (continued)

For the year ended 31 July 2025

In so far as each of the directors is aware:

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Independent Auditors

CT Audit Limited were appointed auditors to the charitable company and are deemed to be reappointed in accordance with Section 487(2) of the Companies Act 2006.

This report was approved by the Board on 27 April 2026 and signed on its behalf by

........................................................................................

Anne Cleave Director

8

INDEPENDENT AUDITOR'S REPORT to the DIRECTORS and MEMBERS of

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

Opinion

We have audited the financial statements of North West Mull Community Woodland Company Limited (the ‘parent charitable company’) and its subsidiary (the ‘Group’) for the year ended 31 July 2025 which comprise the Group and Parent Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Group and Parent Statement of Cashflows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements:

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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the groups or parent charitable 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.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the Consolidated Financial Statements, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the Report of the Directors. 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. 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 in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

9

INDEPENDENT AUDITOR'S REPORT to the DIRECTORS and MEMBERS of

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (continued)

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the Directors’ Responsibilities Statement, the directors (who are also the trustees 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 fair 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.

In preparing the financial statements, the trustees are responsible for assessing the groups and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. 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.

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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the charitable company and the industry in which it operates and considered the risks of acts by the charitable company which were contrary to appliable laws and regulations, included fraud. These included but were not limited to the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that 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, misrepresentations or through collusion.

We focused on laws and regulations that could give rise to a material misstatement in the financial statements. Our tests included, but were not limited to:

10

INDEPENDENT AUDITOR'S REPORT to the DIRECTORS and MEMBERS of

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (continued)

There are inherent limitations in an audit of financial statements and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s 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 Part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters we are required to state to them in an auditor’s report and 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, the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

27 April 2026 ........................................................ ........................................................ Barry Truswell (Senior Statutory Auditor) Date For and on behalf of CT Audit Limited Chartered Accountants & Statutory Auditor 61 Dublin Street Edinburgh EH3 6NL

CT Audit Limited is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

11

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

CONSOLIDATED STATEMENT of FINANCIAL ACTIVITIES (incorporating income and expenditure account)

For the year ended 31 July 2025

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |Un-|Desig-|Un-|Re-|Desig-| |restricted Restricted|nated|2025 restricted|stricted|nated|2024| |Notes|Funds|Funds|Funds|Total|Funds|Funds|Funds|Total| |£|£|£|£|£|£|£|£| |Income from:| |Donations, legacies &| |grants|2|1,022|344,018|-|345,040|129,065|34,253|-|163,318| |Income from Charitable| |activities|4|58,975|-|-|58,975|68,654|-|-|68,654| |Fundraising activities|3|-|-|-|-|-|-|4,700|4,700| |Interest income|684|-|-|684|-|-|-|-| |Other income|5|155,174|-|-|155,174|174,450|-|-|174,450| |------------- ------------- ------------- ------------- ------------- ------------- ------------ -------------| |Total income|215,855|344,018|-|559,873|372,169|34,253|4,700|411,122| |Expenditure on:| |Charitable activities|6, 7|321,155|75,615|16,389|413,159|618,527|55,348|16,816|690,691| |------------- ------------- ------------- -------------|------------- ------------- ------------ -------------| |Total expenditure|321,155|75,615|16,389|413,159|618,527|55,348|16,816|690,691| |------------- ------------- ------------- ------------- ------------- ------------- ------------ -------------| |Net| |(expenditure)/income|8 (105,300)|268,403|(16,389)|146,714 (246,358) (21,095)|(12,116)|(279,569)| |Transfers between funds|(173)|173|-|-|15,729 (15,729)|-|-| |------------- ------------- ------------- -------------|------------- ------------- ------------ -------------| |Net movement in funds|(105,473)|268,576|(16,389)|146,714 (230,629) (36,824) (12,116) (279,569)| |Reconciliation of| |funds:| |Total funds brought| |forward|1,159,145 6,945,233|82,073 8,186,451 1,389,774 6,982,057|94,189 8,466,020| |-------------|-------------|-------------|-------------|-------------|-------------|------------|-------------| |Total funds carried| |forward|18-20 1,053,672 7,213,809|65,684 8,333,165 1,159,145 6,945,233|82,073 8,186,451| |======= ======== ======== ======= ======= ======= ======= =======|

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The Statement of Financial Activities includes all gains and losses recognised in the year.

All income and expenditure is derived from continuing activities.

The notes on pages 17 to 35 form part of these financial statements.

12

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

STATEMENT of FINANCIAL ACTIVITIES (incorporating income and expenditure account)

For the year ended 31 July 2025

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |Un-|Desig-|Un-|Re-|Desig-| |restricted Restricted|nated|2025 restricted|stricted|nated|2024| |Notes|Funds|Funds|Funds|Total|Funds|Funds|Funds|Total| |£|£|£|£|£|£|£|£| |Income from:| |Donations, legacies &| |grants|2|1,022|344,018|-|345,040|129,065|34,253|-|163,318| |Income from Charitable| |activities|4|68,884|-|68,884|79,794|-|-|79,794| |Fundraising activities|3|-|-|-|-|-|-|4,700|4,700| |Interest income|2,399|-|-|2,399|1,715|-|-|1,715| |Other income|5|33,240|-|-|33,240|84,078|-|-|84,078| |------------- ------------- ------------- ------------- ------------- ------------- ------------ -------------| |Total income|105,545|344,018|-|449,563|294,652|34,253|4,700|333,605| |Expenditure on:| |Charitable activities|6, 7|244,918|75,615|16,389|336,922|526,919|55,348|16,816|599,083| |------------- ------------- ------------- -------------|------------- ------------- ------------ -------------| |Total expenditure|244,918|75,615|16,389|336,922|526,919|55,348|16,816|599,083| |------------- ------------- ------------- ------------- ------------- ------------- ------------ -------------| |Net| |(expenditure)/income|8 (139,373)|268,403|(16,389)|112,641 (232,267) (21,095)|(12,116)|(265,478)| |Transfers between funds|(173)|173|-|-|15,729 (15,729)|-|-| |------------- ------------- ------------- -------------|------------- ------------- ------------ -------------| |Net movement in funds|(139,546)|268,576|(16,389)|112,641 (216,538) (36,824) (12,116) (265,478)| |Reconciliation of| |funds:| |Total funds brought| |forward|1,124,060 6,945,233|82,073 8,151,366 1,340,598 6,982,057|94,189 8,416,844| |-------------|-------------|-------------|-------------|-------------|-------------|------------|-------------| |Total funds carried| |forward|18-20|984,514 7,213,809|65,684 8,264,007 1,124,060 6,945,233|82,073 8,151,366| |======= ======== ======== ======= ======= ======= ======= =======|

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The Statement of Financial Activities includes all gains and losses recognised in the year.

All income and expenditure is derived from continuing activities.

The notes on pages 17 to 35 form part of these financial statements.

13

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

CONSOLIDATED BALANCE SHEET

As at 31 July 2025

2025 2024
Notes £ £ £ £
Fixed assets
Intangible assets 11 - -
Tangible assets 12 8,678,842 8,709,995
------------- -------------
8,678,842 8,709,995
Current assets
Debtors 14 86,051 46,291
Cash at bank and in hand 361,984 338,431
------------- -------------
448,035 384,722
Creditors: amounts falling due within
one year 15 (112,000) (191,433)
------------- -------------
Net current assets 336,035 193,289
------------- -------------
Total assets less current liabilities 9,014,877 8,903,284
Creditors: amounts falling due after
more than one year 16 (680,928) (716,049)
Provisions (784) (784)
------------- -------------
Net assets 17 8,333,165 8,186,451
======= =======
Funds
Designated funds 20 65,684 82,073
Restricted income funds 19 7,213,809 6,945,233
Unrestricted income funds 18 1,053,672 1,159,145
------------- -------------
Total funds 8,333,165 8,186,451
======= =======

The financial statements were approved by the board on 27 April 2026 and signed on its behalf by

................................................................ Anne Cleave Director

Company Registration Number: SC287343

The notes on pages 17 to 35 form part of these financial statements.

14

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

BALANCE SHEET

As at 31 July 2025

2025 2024
Notes £ £ £ £
Fixed assets
Intangible assets 11 - -
Tangible assets 12 8,527,388 8,545,920
Investments 13 26,659 26,897
------------- -------------
8,554,047 8,572,817
Current assets
Debtors 14 113,636 83,992
Cash at bank and in hand 279,239 260,217
------------- -------------
392,875 344,209
Creditors: amounts falling due within
one year 15 (73,638) (125,210)
------------- -------------
Net current assets 319,237 218,999
------------- -------------
Total assets less current liabilities 8,873,284 8,791,816
Creditors: amounts falling due after
more than one year 16 (609,277) (640,450)
------------- -------------
Net assets 17 8,264,007 8,151,366
======= =======
Funds
Designated funds 20 65,684 82,073
Restricted income funds 19 7,213,809 6,945,233
Unrestricted income funds 18 984,514 1,124,060
------------- -------------
Total funds 8,264,007 8,151,366
======= =======

The financial statements were approved by the board on 27 April 2026 and signed on its behalf by

................................................................ Anne Cleave Director

Company Registration Number: SC287343

The notes on pages 17 to 35 form part of these financial statements.

15

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

STATEMENT of CASH FLOWS

For the year ended 31 July 2025

Group Group
Company
Company
Notes 2025 2024
2025
2024
£ £
£		 £
Net (expenditure)/income for the year 146,714 (279,569)
112,641		 (265,478)
Interest payable 19,410 8,738
40,375
58,206
Interest receivable 684 -
(2,399)
(1,715)
Depreciation and impairment 64,070 57,934
51,449
45,413
Loss on sale of fixed assets - 23,796
-
23,796
Decrease in stocks - 1,205
-
-
Decrease/(increase) in debtors (39,760) 173,930
(29,644)
183,592
(Decrease)/increase in creditors (77,693) (72,254)
(45,884)		 (105,187)
(Decrease) in deferred grants - (1,464)
-
(1,464)
------------- ------------- ------------- -------------
Net cash (used in)/provided by operating activities 112,741 (87,684)
126,538
(62,839)
------------- ------------- ------------- -------------
Cash flows from financing activities:
Repayments/Borrowing 24 (36,861) (37,805)
(36,861)
(37,805)
Cash flows from investing activities
Returns on investments and servicing of finance 24 (41,201) (40,231)
(37,976)
(56,491)
Cash flows from investments - -
238
-
Capital expenditure 24 (32,917) (22,535)
(32,917)
(22,535)
------------- ------------- ------------- -------------
Increase/(Decrease) in cash in the year 23,553 (156,762)
19,021		 (179,668)
------------- ------------- ------------ ------------
Change in cash and cash equivalents in the year
(Decrease)/increase in cash in the year 23,553 (156,762)
19,022		 (179,668)
Cash and cash equivalents brought forward 338,431 495,193
260,217
439,885
------------- ------------- ------------- -------------
Cash and cash equivalents at the end of the year 361,984 338,431
279,239
260,217
======= ======= ======= =======

The notes on pages 17 to 35 form part of these financial statements.

16

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS

For the year ended 31 July 2025

Legal Status of the charity

The charity is constituted as a company limited by guarantee and is governed in accordance with its Memorandum & Articles of Association.

1. Accounting Policies

Company Information

North West Mull Community Woodland Company Limited is a company limited by guarantee incorporated and domiciled in Scotland with registered company number SC287343. The registered office Penmore Mill, Dervaig, Tobermory, Isle of Mull, PA75 6Q. The financial statements have been presented in Pounds Sterling as this is the functional and presentational currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition – effective 1 January 2019) - (Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The charity meets the definition of a public benefit entity as defined by FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Going concern

The company has generated net income for the year of £112,641.

The directors have prepared financial projections until 31 July 2026 and have considered the prospects for the 12-month period from the date of approval of the financial statements.

The forecast for the 12-month period to 31 July 2026 shows that the company will generate net income. The directors therefore consider it appropriate to prepare the financial statements on the going concern basis.

Basis of accounting

The accounts are prepared in accordance with the historical cost convention.

Basis of consolidation

The group financial statements consolidate those of the company and of its subsidiary undertakings, Ardhu Power Limited and NWMCW Trading Limited and have been prepared by using the principles of merger/acquisition accounting. Intra-group sales and profits are eliminated fully on consolidation.

Significant judgements and estimation uncertainty

In the application of the charity’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. As the estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant, actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below.

17

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

1. Accounting Policies (continued)

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 12 for carrying amounts of tangible assets.

Impairment of debtors

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience. See note 15 for carrying amount of debtors.

Valuation of property

The value of property is determined using a qualified chartered surveyor. The valuation involved making assumptions about the price per sq ft of similar property in a similar area, such estimates are subject to a degree of uncertainty as the true value can only be obtained in the open market.

Income

Income is recognised in the statement of financial activities when the charity is entitled to the income, any performance conditions attached have been met, it is probable that the income will be received and the amount can be quantified with reasonable accuracy. Such income is only deferred when the donor specifies performance conditions which must be met before the charity has unconditional entitlement. The following specific policies are applied to particular categories of income:

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.

Gifts donated for resale are included as income within activities for generating funds when they are sold.

Grants, including grants for the purchase of fixed assets, are recognised in full in the statement of financial activities in the year in which they are receivable.

Income from investments is included in the year in which it is receivable.

18

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

2. Accounting Policies (continued)

Expenditure

Expenditure is recognised when there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be reliably measured.

All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated on an appropriate basis to the various activities of the charity. Where costs cannot be allocated directly, they are apportioned to categories on the basis of a reasonable estimate of the costs.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities.

Governance costs include those costs necessary for the board to fulfil its constitutional and statutory obligations and are now included as support costs included in charitable activities.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.

The charity is registered for VAT.

Goodwill

Acquired goodwill is written off in equal annual instalments over its estimated useful economic life of 5 years.

Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:

Land and buildings - Not depreciated
Infrastructure - Not depreciated
Micro Hydro - 5% straight line
Plant and machinery - 20% straight line
Fixtures, fittings and equipment - 20% straight line
Tractors and trailers - 20% straight line
Other Assets - 25% straight line
Woodshed - 10% straight
Ulva housing development - Not depreciated
Ulva other assets - 20% and 10% straight line

The land and buildings cost in the accounts represents the purchase price, including legal costs of the Woodlands, Langamull and West Ardhu. Depreciation is not normally charged on land unless it is subject to depletion. However, the asset includes standing timber which is subject to extraction in the future and the directors have discussed the matter further. In view of a recent valuation of the land at £1,000,000 despite the extraction which has taken place they continue to be of the opinion that depreciation is not appropriate.

It is company policy to maintain the Island of Ulva in a condition which is at least equivalent to the condition in which it was purchased. The directors review the carrying value of the Island on an annual basis. As at 31 July 2025, the directors are of the opinion that no write down of the Island's value is required.

19

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

1. Accounting Policies (continued)

Investments

Investments held consist of shares in group undertakings and are held at cost.

Leasing

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible assets and depreciated over the shorter of the lease term and their useful lives. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the profit and loss account so as to produce constant periodic rates of charge on the net obligations outstanding in each period.

Stock

Stock is valued at the lower of cost and net realisable value.

Defined contribution pension schemes

Employees of the charity are entitled to join a defined contribution "money purchase" scheme. The charity contribution is restricted to the contributions disclosed. There were no outstanding contributions at the year end. The costs of the defined contribution scheme are included in the appropriate cost centres and charged to the relevant fund.

Financial Instruments

The charity has only financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and are subsequently measured at their settlement value with the exception of bank loans which are measured at amortised cost using the effective interest rate method.

Debtors

Debtors are measured at transaction price less any impairment for bad or doubtful debts.

Creditors

Creditors are measured at the transaction price.

20

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

2. Donations, legacies and grants
Unrestricted Restricted Designated 2025 2024
funds funds funds Total Total
£ £ £ £ £
Donations 1,022 - - 1,022 1,142
Farm payments (AECS/SIACS) - - - - -
Highlands & Islands Enterprise - 24,857 - 24,857 15,695
DTAS - 10,000 - 10,000 -
Scottish Government - 54,489 - 54,489 126,517
Flag EMFF Funding - - - - -
COF - 234,227 - 234,227 -
Rural Communities Grant Fund - - - - -
Waterfall Fund - 10,000 - 10,000 10,000
Island Community Fund - - - - -
HES - - - - 8,500
University of Edinburgh - 10,445 - 10,445 -
Other grant income - - - - 1,464
------------- ------------- ------------- ------------- -------------
1,022 344,018 - 345,040 163,318
======= ======= ======= ======= =======
3. Fundraising activities
Designated 2025 2024
Funds Total Total
£ £ £
Fundraising events - - 4,700
======= ======= =======
4. Income from charitable activities
Unrestricted Restricted 2025 2024
Group funds funds Total Total
£ £ £ £
Pier & slipway rentals 2,283 - 2,283 -
Sale of timber - - - 22,251
Service charges 1,887 - 1,887 3,041
Ulva rental income 54,805 - 54,805 43,362
------------- ------------- ------------- -------------
58,975 - 58,975 68,654
======= ======= ======= =======

21

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

4. Income from charitable activities (continued)

Unrestricted Restricted 2025 2024
Charitable company funds funds Total Total
£ £ £ £
Pier & slipway rentals 2,283 - 2,283 -
Sale of timber - - - 22,251
Service charges 1,887 - 1,887 3,041
Equipment hire 9,909 - 9,909 11,140
Ulva rental income 54,805 - 54,805 43,362
------------- ------------- ------------- -------------
68,884 - 68,884 79,794
======= ======= ======= =======
5.
Other income
Unrestricted Restricted 2025 2024
Group funds funds Total Total
£ £ £ £
Other income 1,003 - 1,003 16,389
Electricity generation income 93,440 - 93,440 110,623
Wood sale income 60,731 - 60,731 47,438
------------- ------------- ------------- -------------
155,174 - 155,174 174,450
======= ======= ======= =======
Unrestricted Restricted 2025 2024
Charitable company funds funds Total Total
£ £ £ £
Other income 15,551 - 15,551 66,389
Management fees 17,689 - 17,689 17,689
------------- ------------- ------------- -------------
33,240 - 33,240 84,078
======= ======= ======= =======

22

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

6. Cost of charitable activities by fund type

Unrestricted Restricted Designated 2025 2024
Group funds funds funds Total Total
£ £ £ £ £
General development 244,647 52,121 - 296,768 228,111
Ulva 7,836 20,173 16,389 44,398 77,902
Island green recovery - 3,321 - 3,321 10,904
Langamull Native Woodland Project - - - - 306,259
------------- ------------- ------------- ------------- -------------
252,483 75,615 16,389 344,487 623,176
======= ======= ======= ======= =======
Unrestricted Restricted Designated 2025 2024
Charitable company funds funds funds Total Total
£ £ £ £ £
General development 178,232 52,121 - 230,353 145,813
Ulva 7,836 20,173 16,389 44,398 77,902
Island green recovery - 3,321 - 3,321 10,904
Langamull Native Woodland Project - - - - 306,259
------------- ------------- ------------- ------------- -------------
186,068 75,615 16,389 278,072 540,878
======= ======= ======= ======= =======

7. Audit fees and finance charges

Unrestricted Restricted Designated 2025 2024
Group funds funds funds Total Total
£ £ £ £ £
Professional – auditor
remuneration 28,155 - - 28,155 27,284
Interest – bank loans and
overdraft 40,298 - - 40,298 38,504
Finance charges – finance lease
and HP - - - - 1,459
Bank charges 219 - - 219 268
------------- ------------- ------------- ------------- -------------
68,672 - - 68,672 67,515
======= ======= ======= ======= =======

23

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

7. Audit fees and finance charges (continued)

Unrestricted Restricted Designated 2025 2024
Charitable company funds funds funds Total Total
£ £ £ £ £
Professional – auditor
remuneration 18,475 - - 18,475 17,966
Interest – bank loans and
overdraft 40,273 - - 40,273 38,544
Finance charges – finance lease
and HP - - - - 1,459
Bank charges 102 - - 102 136
Impairment of subsidiary - - - - 100
------------- ------------- ------------- ------------- -------------
58,850 - - 58,850 58,205
======= ======= ======= ======= =======

8. Net movement in funds for the year

Group Group Charity Charity
2025 2024 2025 2024
£ £ £ £
Net movement in funds is stated after charging:
Depreciation and other amounts written off tangible fixed assets 64,070 57,934 51,449 45,413
Auditors’ remuneration 28,155 27,284 18,475 17,966
======= ======= ======= =======

9. Employees – group and charitable company

2025 2024
£ £
Employment costs:
Wages and salaries 77,809 64,817
Employers NI (176) 176
Pension costs 993 905
Recruitment and training - 500
------------- -------------
78,626 66,398
======= =======

No employee received emoluments of more than £60,000 (2024: £60,000).

The average monthly number of employees on a head count basis (excluding the directors) during the year was as follows:

2025 2024
No. No.
Number of employees 4 5
======= =======

24

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

9. Employees – group and charitable company (continued)

Key Management Personnel

The key management personnel of the charity is made up of the Board of Directors. The directors do not receive any remuneration in their role as directors other than reimbursement of expenses incurred.

Trustees’ remuneration

The charity trustees, who are the directors of the company, were not paid and did not receive any remuneration or benefits in kind in their capacity as trustee during the year. No trustee received payment for professional or other services supplied to the charity.

10. Taxation

The charity is a charitable company within the meaning of the Finance Act 2010. Accordingly the charity’s activities fall within the exemptions from taxation in respect of income or capital gains afforded by the provisions of the Corporation Taxes Act 2010 and the Taxation of Chargeable Gains Act 1992 to the extent that such income or gains are applied for charitable purposes.

Trading income from the non-charitable sources do not exceed the exemption level in 2024 resulting in no taxation charges.

11. Intangible fixed assets

Goodwill
£
Cost
At 1 August 2024 and 31 July 2025 20,000
=======
Provision for diminution in value
At 1 August 2024 and 31 July 2025 20,000
=======
Net book value
At 31 July 2025 -
=======
At 31 July 2024 -
=======

25

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

12. Tangible fixed assets

Fixtures,
Woodlands Plant Fittings Tractors Ulva
And Island and and And Other Ulva other
Group infrastructure of Ulva machinery equipment trailers Woodshed assets Housing assets Total
£ £ £ £ £ £ £ £ £ £
Cost
At 1 August 2024 1,230,102 4,650,000 283,445 20,980 117,113 245,691 47,584 1,825,710 694,853 9,115,478
Additions - - - - - - - - 32,917 32,917
Disposals - - - - - - - - - -
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
At 31 July 2025 1,230,102 4,650,000 283,445 20,980 117,113 245,691 47,584 1,825,710 727,770 9,148,395
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
Depreciation
At 1 August 2024 - - 114,626 20,980 95,178 151,066 14,967 - 8,666 405,483
Charge for the year - - 16,982 - 12,385 24,570 652 - 9,481 64,070
On disposals - - - - - - - - - -
-------------- ------------- -------------- -------------- ------------- -------------- ------------- ------------- ------------- -------------
At 31 July 2025 - - 131,608 20,980 107,563 175,636 15,619 - 18,147 469,553
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
Net book values
At 31 July 2025 1,230,102 4,650,000 151,837 - 9,550 70,055 31,965 1,825,710 709,623 8,678,842
======== ======== ======== ======== ======== ======== ======= ======== ======= =======
At 31 July 2024 1,230,102 4,650,000 168,819 - 21,935 94,625 32,617 1,825,710 686,187 8,709,995
======== ======== ======== ======== ======== ======== ======= ======== ======= =======

The valuation reflects the current state of the woodlands with the value of replanting ground being less than ¼ of the value of established woodland and does not reflect its future value.

Standing timber is included in Woodlands and infrastructure and is held at cost less depreciation.

26

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

12. Tangible fixed assets (continued)

Fixtures,
Woodlands Plant Fittings Tractors Ulva
And Island and and And Other Ulva other
Charitable company infrastructure of Ulva machinery equipment trailers Woodshed assets Housing assets Total
£ £ £ £ £ £ £ £ £ £
Cost
At 1 August 2024 1,230,102 4,650,000 56,265 20,980 117,113 245,691 47,584 1,825,710 694,853 8,888,298
Additions - - - - - - - - 32,917 32,917
Disposals - - - - - - - - - -
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
At 31 July 2025 1,230,102 4,650,000 56,265 20,980 117,113 245,691 47,584 1,825,710 727,770 8,921,215
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
Depreciation
At 1 August 2024 - - 51,521 20,980 95,178 151,066 14,967 - 8,666 342,378
Charge for the year - - 4,361 - 12,385 24,570 652 - 9,481 51,449
On disposals - - - - - - - - - -
-------------- ------------- -------------- -------------- ------------- -------------- ------------- ------------- ------------- -------------
At 31 July 2025 - - 55,882 20,980 107,563 175,636 15,619 - 18,147 393,827
-------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- -------------- --------------
Net book values
At 31 July 2025 1,230,102 4,650,000 383 - 9,550 70,055 31,965 1,825,710 709,623 8,527,388
======== ======== ======== ======== ======== ======== ======= ======== ======= =======
At 31 July 2024 1,230,102 4,650,000 4,744 - 21,935 94,625 32,617 1,825,710 686,187 8,545,920
======== ======== ======== ======== ======== ======== ======= ======== ======= =======

The valuation reflects the current state of the woodlands with the value of replanting ground being less than ¼ of the value of established woodland and does not reflect its future value.

Standing timber is included in Woodlands and infrastructure and is held at cost less depreciation.

27

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

13. Fixed asset investments

Subsidiary Subsidiary
undertakings undertakings
shares loans Total
£ £ £
Valuation
At 1 August 2024 102 26,795 26,897
Additions - - -
Disposals - (238) (238)
--------------- ---------------- -------------
At 31 July 2025 102 26,557 26,659
========= ========= =======
Historical cost as at 31 July 2025 102 - 102
========= ========= =======

All fixed asset investments are held within the United Kingdom.

The loan to subsidiary represents a working capital loan to NWMCW Trading Company Limited. The loan carries an interest rate of 6% and is repayable over a period of 10 years.

The charity controls the companies listed below by virtue of holding a controlling interest in the equity share capital:

% of equity share
Country of capital
Name of subsidiary incorporation Held
NWMCW Trading Company Limited (SC309112) Scotland 100
Ardhu Power Limited (SC434955) Scotland 100

NWMCW Trading Company Limited

The Trading company was incorporated on 25th September 2006 and commenced trading on 14 July 2009

Ardhu Power Limited

This company was set up in February 2014 in anticipation of the development of a micro hydro scheme. The company operated the hydro scheme from 1 August 2019.

14. Debtors

Group Group Charity Charity
2025 2024 2025 2024
£ £ £ £
Trade debtors 36,625 25,994 29,199 19,656
Amounts due from subsidiary and associated undertaking - - 71,308 50,902
Social security and taxation 4,355 6,295 1,899 1,448
Other debtors 45,071 14,002 11,230 11,986
------------- ------------- ------------- -------------
86,051 46,291 113,636 83,992
======== ======== ======== ========

28

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

15. Creditors: amounts falling due within one year

Group Group Charity Charity
2025 2024 2025 2024
£ £ £ £
Other loans 6,300 6,300 2,350 1,126
Trade creditors 9,336 14,800 8,254 9,379
Bank loans 27,046 78,878 27,048 33,959
Other creditors 2,140 43,140 2,142 41,779
Social security and taxation (56) 68 (53) -
Accrued expenses 67,234 48,247 33,897 38,967
------------- ------------- ------------- -------------
112,000 191,433 73,638 125,210
======== ======== ======== ========

16. Creditors: amounts falling due after more than one year

Group Group Charity Charity
2025 2024 2025 2024
£ £ £ £
Bank loans 515,783 540,398 515,783 542,749
Other loans 71,650 77,950 - -
Woodshed loan 92,031 96,237 92,030 96,237
Deferred grant income 1,464 1,464 1,464 1,464
------------- ------------- ------------- -------------
680,928 716,049 609,277 640,450
======== ======== ======== ========

Standard Securities

Triodos Bank has standard security over the assets in respect of all sums due and to become due in relation to the mortgage which commenced in August 2018.

Triodos Bank PLC hold securities over the following assets:

Ground at West Ardhu Isle of Mull ARG13037 Ground at Lagamull Isle of Mull ARG16643.

Big Lottery hold a standard security over the Isle of Ulva ARG25660

Argyll and Bute Council hold security over the former public Toilet Dervaig Isle of Mull ARG24611.

Argyll and Bute Council hold security over Ulva House and the Isle of Ulva ARG25660.

The Scottish Ministers hold security over various assets on Ulva and the Isle of Ulva ARG25660.

The Ecology Building Society hold security over various assets on Ulva and the Isle of Ulva ARG25660.

29

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

17. Analysis of net assets between funds

Group

Group
Unrestricted Restricted Designated Total
Fund balances at 31 July 2025 as represented by: Funds Funds Funds Funds
£ £ £ £
Tangible fixed assets 1,493,509 7,185,333 - 8,678,842
Current assets 62,994 319,357 65,684 448,035
Current liabilities (110,800) (1,200) - (112,000)
Long-term liabilities (392,031) (289,681) - (681,712)
-------------- -------------- --------------- ---------------
1,053,672 7,213,809 65,684 8,333,165
======== ======== ========= ========
Unrestricted Restricted Designated Total
Fund balances at 31 July 2024 as represented by: Funds Funds Funds Funds
£ £ £ £
Tangible fixed assets 1,490,189 7,219,806 - 8,709,995
Current assets 296,009 6,640 82,073 384,722
Current liabilities (191,433) - - (191,433)
Long-term liabilities (435,620) (281,213) - (716,833)
-------------- -------------- --------------- ---------------
1,159,145 6,945,233 82,073 8,186,451
======== ======== ======== ========

Charitable company

Charitable company
Unrestricted Restricted Designated Total
Fund balances at 31 July 2025 as represented by: Funds Funds Funds Funds
£ £ £ £
Tangible fixed assets 1,342,055 7,185,333 - 8,527,388
Investment assets 26,659 - - 26,659
Current assets 7,832 319,357 65,684 392,873
Current liabilities (45,387) (1,200) - (46,587)
Long-term liabilities (346,645) (289,681) - (636,326)
-------------- -------------- --------------- ---------------
984,514 7,213,809 65,684 8,264,007
======== ======== ========= ========
Unrestricted Restricted Designated Total
Fund balances at 31 July 2024 as represented by: Funds Funds Funds Funds
£ £ £ £
Tangible fixed assets 1,326,114 7,219,806 - 8,545,920
Investment assets 26,897 - - 26,897
Current assets 255,496 6,640 82,073 344,209
Current liabilities (125,210) - - (125,210)
Long-term liabilities (359,237) (281,213) - (640,450)
-------------- -------------- --------------- ---------------
1,124,060 6,945,233 82,073 8,151,366
======== ======== ========= ========

30

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

18. Unrestricted funds

At At
1 August 31 July
Group 2024 Income Expenditure Transfers 2025
£ £ £ £ £
General Funds 335,249 215,855 (321,155) (173) 229,776
Forestry Fund 1,279 - - - 1,279
Forestry Fund - Asset 822,617 - - - 822,617
------------ ------------ ------------ ------------ ------------
1,159,145 215,855 (321,155) (173) 1,053,672
======= ======= ======= ======= =======
At At
1 August 31 July
Group 2023 Income Expenditure Transfers 2024
£ £ £ £ £
General Funds 432,934 286,030 (381,444) 15,729 335,249
Forestry Fund 167,434 143,092 (309,247) - 1,279
Forestry Fund - Asset 822,617 - - - 822,617
------------ ------------ ------------ ------------ ------------
1,422,985 411,122 (690,691) 15,729 1,159,145
======= ======= ======= ======= =======
At At
1 August 31 July
Charitable company 2024 Income Expenditure Transfers 2025
£ £ £ £ £
General Funds 300,164 105,545 (244,918) (173) 160,618
Forestry Fund 1,279 - - - 1,279
Forestry Fund - Asset 822,617 - - - 822,617
------------ ------------ ------------ ------------ ------------
1,124,060 105,544 (244,919) (173) 984,514
======= ======= ======= ======= =======

The harvesting of the forests at Langamull and West Ardhu will eventually lead to reforesting and replanting in accordance with the Forest Plan. To meet the charity's obligations under this plan, funds realised from the harvesting will be set aside to achieve these objectives once the amounts incurred for the infrastructure costs have been cleared. The balances relating to the Forestry work have been transferred to a designated fund split between the capital/asset fund and a working capital fund.

and a working capital fund.
At At
1 August 31 July
Charitable company 2023 Income Expenditure Transfers 2024
£ £ £ £ £
General Funds 350,547 151,560 (217,672) 15,729 300,164
Forestry Fund 167,434 143,092 (309,247) - 1,279
Forestry Fund - Asset 822,617 - - - 822,617
------------ ------------ ------------ ------------ ------------
1,340,598 294,652 (526,919) 15,729 1,124,060
======= ======= ======= ======= =======

31

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

19. Restricted funds

==> picture [540 x 375] intentionally omitted <==

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |At|At| |1 August|31 July| |2024|Income|Expenditure|Transfers|2025| |£|£|£|£|£| |Capital Asset Funds| |Purchase of Woodlands|407,485|-|-|-|407,485| |Island of Ulva|4,650,000|-|-|-|4,650,000| |Paths and signs|1,816|-|-|-|1,816| |Island Green Recovery Fund|3,321|-|(3,321)|-|-| |Ulva House|78,687|-|(1,862)|-|76,825| |Ulva Housing|1,235,765|-|-|-|1,235,765| |Waterfall Housing|-|10,000|(10,173)|173|-| |Ulva Pier|448,304|-|-|-|448,304| |Dervaig toilet fund|22,552|-|(451)|-|22,101| |A&B Grant|90,663|-|-|-|90,663| |A&B Grant- Water treatment grant|-|54,489|(5,921)|-|48,568| |DTAS|-|10,000|-|-|10,000| |COF|-|234,227|-|-|234,227| |University of Edinburgh Funds|-|10,445|(19,030)|-|(8,584)| |At|At| |1 August|31 July| |2024|Income|Expenditure|Transfers|2025| |£|£|£|£|£| |Revenue Funds| |NHLF Shelias|1,668|-|-|-|1,668| |Highland & Island Enterprise|-|24,857|(24,857)|-|-| |Other restricted donations|4,972|-|-|-|4,972| |--------------|--------------|--------------|-------------- --------------| |6,945,233|344,018|(75,615)|173|7,213,809| |========|========|========|======== ========|

----- End of picture text -----

Purposes of restricted funds

Purchase of Woodlands

Funds used for the purchase of Langamull and Ardhu Woodland.

Island of Ulva

Funds used for the purchase of the Isle of Ulva.

Paths and Signs

Funding received for the purpose of doing substantial work on Pathing and Signs.

Island Green Recovery Fund

These funds have been used to purchase e-vehicles on the Island of Ulva.

Ulva House

These funds are being used to renovate Ulva House.

Ulva Housing

These funds have been used to renovate the housing stock on the Island of Ulva.

Waterfall Housing

Grant towards reconnecting the mains electricity supply to Ulva House. The transfer in the year relates to costs covered by unrestricted funds.

32

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

19. Restricted funds (continued)

Ulva Pier

These funds have been used to renovate and upgrade the Ulva Pier.

Greenhouse Fund

Funding received for the purchase of a new greenhouse. The transfer in the prior year related to costs spent in the previous year.

Dervaig Toilet Fund

These funds have been used to renovate and upgrade the toilet block in Dervaig.

A & B Grant

Grants towards Ulva Housing refurbishment.

DTAS – Development Trusts Association Scotland and Acorns to Trees

Funding for the electrical work in Ulva House

COF – Community Ownership Fund

Capital funding to reconnect electricity to the property, remove asbestos and repair flat roofs for Ulva house and also revenue funding to pay for professional fees, VAT advice and staff project costs

National Heritage Lottery Fund

Funding received for the rethatching of Sheila’s Cottage on Ulva.

Highland & Island Enterprise

Funding received for 50% of the Ulva Development Manager salary costs.

At At
1 August 31 July
2023 Income Expenditure Transfers 2024
£ £ £ £ £
Capital Asset Funds
Purchase of Woodlands 407,485 - - - 407,485
Island of Ulva 4,650,000 - - - 4,650,000
Paths and signs 1,816 - - - 1,816
Island Green Recovery Fund 14,225 - (10,904) - 3,321
Ulva House 80,549 - (1,862) - 78,687
Ulva Housing 1,235,765 - - - 1,235,765
Waterfall Housing - 10,000 (12,818) 2,818 -
Ulva Pier 448,304 - - - 448,304
Greenhouse 4,000 - - (4,000) -
Dervaig toilet fund 22,552 - - - 22,552
A&B Grant 90,663 - - - 90,663
Revenue Funds
NHLF Shelias 14,500 8,500 (13,832) (7,500) 1,668
Highland & Island Enterprise - 15,695 (15,695) - -
Other restricted donations 12,198 58 (237) (7,047) 4,972
-------------- -------------- -------------- -------------- --------------
6,982,057 34,253 (55,348) (15,729) 6,945,233
======== ======== ======== ======== ========

33

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED (A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

20. Designated funds

At 1 August At 31 July
2024 Income Expenditure Transfers 2025
£ £ £ £ £
Purchase of Ulva – Development Fund 82,073 - (16,389) - 65,684
------------- ------------- ------------- ------------- -------------
82,073 - (16,389) - 65,684
======= ======= ======= ======= =======

Purpose of designated funds

The balance of funds from the purchase of ULVA has been allocated to a designated fund for the future development of the island.

A separate fund shows the income generated by the island i.e. rents, and ongoing revenue costs.

At 1 August At 31 July
2023 Income Expenditure Transfers 2024
£ £ £ £ £
Purchase of Ulva – Development Fund 94,189 - (12,116) - 82,073
Ulva Revenue Fund - 4,700 (4,700) - -
------------- ------------- ------------- ------------- -------------
94,189 4,700 (16,816) - 82,073
======= ======= ======= ======= =======

21. Transactions with trustees

No director received any direct remuneration or other benefits in kind during the year.

22. Controlling interest

The charity is controlled by its board of directors.

23. Related party transactions

NWMCW Trading Company Limited is a wholly owned subsidiary of North West Mull Community Woodland Company (NWCWC) Limited.

NWMCWC is owed £45,396 (2024: £24,936) by way of intercompany balance and £26,557 (2024: £26,795) by way of a working capital loan as at 31 July 2025 by NWMCW Trading Company Limited.

NWMCWC charged NWMCW Trading Company Limited Management fees of £20,939 (2024: £19,439) and leasing hire fees of £9,908 (2024: £9,391) during the year.

In 2016, the charity made an additional investment in the form of a loan of £29,600 for working capital to the NWMCW Trading Company Limited. The loan carries an interest rate of 6% and is repayable over a period of 10 years from 1 April 2017. A repayment of the loan of £nil (2024: £Nil) was made during the year. Interest was charged during the year of £1,715

Ardhu Power Limited is a wholly owned subsidiary of North West Mull Community Woodland Company (NWMCWC) Limited.

NWMCWC is owed £25,912 (2024: £25,963) by way of intercompany balance as at 31 July 2025 by Ardhu Power Limited.

Distributions were paid from Ardhu Power Limited to NWMCWC Limited in the current year of £11,593 (2024: £50,000).

34

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

24. Gross cash flows

24.
Gross cash flows
2025 2024
Group £ £
Returns on investments and servicing of finance
Interest received 684 -
Interest paid 40,517 40,231
--------------- ---------------
41,201 40,231
========= =========
Capital expenditure
Payments to acquire tangible assets (32,917) (22,535)
--------------- ---------------
(32,917) (22,535)
========= =========
Financing
Loan movement (36,861) (37,805)
--------------- ---------------
(36,861) (37,805)
========= ========
2025 2024
Charitable company £ £
Returns on investments and servicing of finance
Interest received (2,399) (1,715)
Interest paid 40,375 58,206
--------------- ---------------
37,976 56,491
========= =========
Capital expenditure
Payments to acquire tangible assets (32,917) (22,535)
--------------- ---------------
(32,917) (22,535)
========= =========
Financing
Loan movement (36,861) (37,805)
--------------- ---------------
(36,861) (37,805)
========= ========

35

NORTH WEST MULL COMMUNITY WOODLAND COMPANY LIMITED

(A company limited by guarantee)

NOTES to the FINANCIAL STATEMENTS (continued)

For the year ended 31 July 2025

25. Analysis of changes in net funds

Opening Other Closing
Group Balance Cash flows movement balance
£ £ £ £
Cash at bank and in hand 338,431 23,553 - 361,984
Debt due within one year (191,433) 79,433 - (112,000)
Debt due after one year (714,585) 35,121 - (679,464)
Net funds (567,585) 138,107 - (429,480)
======== ======== ======== ========
Opening Other Closing
Charitable company Balance Cash flows movement balance
£ £ £ £
Cash at bank and in hand 260,217 19,022 - 279,239
Debt due within one year (125,210) 51,572 - (73,638)
Debt due after one year (638,986) 31,173 - (607,813)
Net funds (503,979) 101,767 - (402,212)
======== ======== ======== ========

26. Company limited by guarantee

North West Mull Community Woodland Company Limited is a company limited by guarantee and accordingly does not have share capital.

Every member of the company undertakes to contribute such amount as may be required not exceeding £1 to the assets of the charitable company in the event of its being wound up while he or she is a member, or within one year after he or she ceases to be a member.

36