Watkins Distribution UK Limited

The principal activity of the company during the year was to retail Spas and Aquatic Fitness Systems (AQF) to the general public and trade customers. GOING CONCERN The accounts have been prepared on a going concern basis despite the trading loss for the year and balance sheet deficit. The company is party to a cashpooling arrangement with fellow group companies that provides up to £5,000,000 of funding until 31 December 2028. Based on the worst case scenario forecasts produced for the years ending 31 December 2025 and 31 December 2026, the company is expected to have significant cash headroom and will therefore have sufficient resources to meet its liabilities as they fall due. The company has also received a letter of support from its parent company, Masco Corporation Limited, to continue to provide financial assistance as required. The Directors are also reviewing the business and its operations to explore the potential for new revenue streams and due to changes in the allocation of central group costs, the results so far in 2025 much improved. In light of this, the accounts have been prepared on a going concern basis.