Registration number:
Altonwood Holdings Limited
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Brebners
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Altonwood Holdings Limited
Contents
Company Information |
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Strategic Report |
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Directors' Report |
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Statement of Directors' Responsibilities |
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Independent Auditor's Report |
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Consolidated Statement of Income and Retained Earnings |
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Consolidated Statement of Financial Position |
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Statement of Financial Position |
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Consolidated Statement of Cash Flows |
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Notes to the Financial Statements |
Altonwood Holdings Limited
Company Information
Directors |
Mr S Hodsdon Mrs N L Nugee Mr R O Noades Mr C G Honeywill Mr P G Bevis Mr I C Granne |
Registered office |
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Auditor |
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Altonwood Holdings Limited
Strategic Report for the Year Ended 30 April 2023
The directors present their strategic report for the year ended 30 April 2023.
Principal activity
The principal activity of the group is that of leisure operations which includes the ownership and management of golf and hospitality venues.
Fair review of the business
Altonwood has continued to provide golfers with excellent golf course facilities and value for money, evidenced with the continued increase in the number of rounds played.
The group made further significant capital investments in its golf courses and club house facilities during the year, spending over £520,000 on various new greenkeeping items across the group.These investments will assist in providing golfers with an even better experience when playing the Altonwood Group of golf clubs.
The offering of five golf courses is still very attractive to local golfers, for both members and visitors alike. The Loyalty Card continues to be a success and almost 15,000 golfers have signed up to receive discounted green fees, buggy hire and range balls. The group has a diverse range of golf courses ideal for all golfers, from complete beginners through to the most experienced of players.
Following the removal of all Covid-19 restrictions in the previous year, the business has continued to grow in the current year, with an increase in both catering and golf income streams. The group continues to have some of the busiest golf clubs in Surrey and Kent. The directors pride themselves on the growing reputation of these clubs within their market place and the continuing support and development they offer to members.
The consolidated results for the year show turnover increased by 8.49% to £9.42 million, which resulted in gross profit of £6.23 million, an increase of £305,000 over the prior year. The gross profit margin has fallen slightly from 68% to 66% and despite the various inflationary increases during the 'cost of living crisis', the directors were able to exercise good control over overheads during the period. During the year, the group completed various course works (in particular at the Addington) which resulted in a significant increase in maintenance costs. As a result overall profit before tax has decreased from £1.38 million to £440,000.
The directors recognise the importance of the staff employed within the group and would like to thank them for all their hard work and efforts throughout the year.
Financial Key Performance Indicators
The group's key financial and other performance indicators during the year were as follows:
Financial KPIs |
Unit |
2023 |
2022 |
Turnover |
£m |
9.42 |
8.68 |
Percentage change |
% |
8.49 |
58.47 |
Gross profit |
£m |
6.23 |
5.92 |
Gross profit percentage |
% |
66.14 |
68.24 |
Altonwood Holdings Limited
Strategic Report for the Year Ended 30 April 2023
Non-Financial Key Performance Indicators
Non-financial KPIs
The group seeks to ensure that responsible business practice is fully integrated into the management of all its operations and into the culture of all parts of its business. It believes that the consistent adoption of reasonable business practice is essential for operational excellence which in turn ensures the delivery of its core objective of sustained profitability.
In a group of this size the directors consider there are collectively numerous non-financial performance indicators but that individually none are key.
Operational risk
Operational risk is caused by failures in business processes, systems or physical infrastructure that support them that have the potential to result in financial loss or reputation damage. This includes errors, omissions, systems failure, lack of resources or physical assets and deliberate acts of fraud.
The directors impose continuing self assessment and appraisals along with continually seeking to improve its operating efficiencies and standards.
Credit risk
The group places its cash with creditworthy institutions and performs ongoing credit evaluation of its debtors financial condition. The carrying amount of cash and debtors represents the maximum credit risk to which the group is exposed. All customers who wish to trade on credit terms are subject to credit verification procedures. Trade debtors are reviewed on a regular basis and provision is made for doubtful debts when necessary.
Liquidity risk
The group ensures that liquidity is maintained by monitoring the cash balances on a daily basis to ensure it retains flexibility in the management of cash flow.
Market risk
The group is exposed to market risk as there are nearby golf courses as competitors. The group regularly monitors its prices and services offered to maintain its customer base.
Foreign currency risk
As the group's transactions are solely designated in sterling, it is not exposed to foreign currency risk.
Interest rate risk
The group is exposed to interest rate risk on bank overdrafts. Interest rates are regularly monitored by the directors.
Risk Summary
The directors continuously monitor and respond to changes in the group's risk environment, so ensuring that the group remains well placed to address operational, reputational, financial and business risks in a timely and appropriate manner.
Altonwood Holdings Limited
Strategic Report for the Year Ended 30 April 2023
Section 172(1) statement
The Companies (Miscellaneous Reporting) Regulations 2018 require Directors to explain how they considered the interest of key stakeholders; as set out in section 172(1) (A) to (F) of the Companies Act 2006 when performing their duty to promote the success of the group. The following paragraphs summarise how the Directors fulfil their duties:
Long term decision making
By operating in a competitive market, it has remained necessary for the group to continue adapting and expanding their business. Over recent years, the group has concentrated on expanding the various income streams, including golf, catering and rental income achieved from their growing investment property portfolio. They continue to invest in both the courses and clubhouses year on year to ensure a high quality product is provided to its customers, ensuring they maintain their strong position in the market.
The group have a number of long- standing supplier and member relationships and continues to invest resources in maintaining and developing these relationships. The directors are aware of the significance of maintaining a high level of customer satisfaction and the growth achieved as a result.
Sustainability of the business is also considered to be an important factor in long term decision making.
Employees interests
The group management has remained consistent for a number of years and is made up of a small group of employees with extensive knowledge and understanding of the business.
The workforce includes a number of long standing employees who have grown with the business over the years and the business actively encourages internal growth with existing employees. In addition to this however the business also regularly hires recent school leavers, ensuing opportunities and experience are offered to the younger generation too.
The directors note the importance of employees having good job satisfaction.
Relationships with suppliers, customers and others
The group recognises the need to work with and support both customers and suppliers of the business and is proud of the relationships they have established. The directors maintain continuous communication to ensure both parties needs are met. The directors will continue developing these relationships and identifying any new opportunities as they arise.
Impact on the community and environment
As the environmental aspects of a business continue to become more and more significant, the group is continuing to adapt their business and find ways to minimise their impact on the environment.
Legislation has changed in recent years with chemicals, including fungicides, insecticides and pesticides being removed from the market, The directors always strive to utilise the most environmentally friendly products on the group’s courses. They also look to utilise scarce water resources in the optimum way so they can provide year-round quality golf.
The group are actively trying to minimise their carbon footprint by reducing the amount of printing and instead storing information electronically.
Altonwood Holdings Limited
Strategic Report for the Year Ended 30 April 2023
Reputation for high standards and business control
The directors consider it crucial that the group maintains a reputation for high standards of business conduct.
The director's will continue to review the business policies and standards and adapt as and when required to ensure the highest standards are achieved.
Need to act fairly between members
The group is a family owned business and therefore ensures shareholders are treated fairly. In addition to this, the group has created a business culture with open communication from the top down and ensures that each group member feels involved and appreciated. Relevant managers are given control over specific areas of the business and encouraged to drive growth in these areas.
Future developments
The directors always look to ensure that there are appropriate cash and cost management measures in place to provide suitable working capital facilities at Group level. They have also prepared projected cashflows and budgets that cover the period to 30 April 2024 to ensure the Group has sufficient working capital for the foreseeable future.
The directors continue to actively manage the subsidiary undertakings, with a focus on making targeted investments in the companies to ensure they maintain their reputation in the South East as renowned golf and leisure clubs.
Approved by the
...........................................
Director
Altonwood Holdings Limited
Directors' Report for the Year Ended 30 April 2023
The directors present their report and the for the year ended 30 April 2023.
Directors
The directors who held office during the year were as follows:
Dividends
Particulars of dividends paid in the year are detailed in note 25 to the financial statements. No final dividend is proposed.
Disclosure of information in the Strategic Report
The group has chosen in accordance with Section 414C(11) Companies Act 2006 to set out in the group's strategic report information required by Schedule 7 of the large and medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 to be contained in the directors' report. It has done so in respect of financial risk management, exposure and future developments.
Employment of disabled persons
Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the group continues and that the appropriate training is arranged. It is the policy of the group that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.
Employee involvement
The group's policy is to consult and discuss with employees through meetings, on matters likely to affect employees' interests.
Information on matters of concern to employees is communicated internally to achieve a common awareness of the financial and economic factors affecting the performance of the group. Regular meetings are also held between the local management and employees to allow a free flow of information and ideas.
Directors' liabilities
The group maintains Directors' and Officers' liability insurance for Directors and Officers as permitted by section 233 of the Companies Act 2006.
Disclosure of information to the auditor
Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Altonwood Holdings Limited
Directors' Report for the Year Ended 30 April 2023
Approved by the
.........................................
Director
Altonwood Holdings Limited
Statement of Directors' Responsibilities
The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and the company and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
• |
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
• |
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006 and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Altonwood Holdings Limited
Independent Auditor's Report to the Members of
Altonwood Holdings Limited
Opinion
We have audited the financial statements of Altonwood Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 April 2023, which comprise the Consolidated Statement of Income and Retained Earnings, Consolidated Statement of Financial Position, Statement of Financial Position, Consolidated Statement of Cash Flows, 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:
• | give a true and fair view of the state of the group's and the company's affairs as at 30 April 2023 and of the group's profit for the year then ended; |
• | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
• | have been prepared in accordance with the requirements of the Companies Act 2006. |
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 responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 director's 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 group's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements 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.
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
Altonwood Holdings Limited
Independent Auditor's Report to the Members of
Altonwood Holdings Limited
Opinion on other matter 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 Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
• |
the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the parent company financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of directors' remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities [set out on page 8], the directors 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 directors 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 directors are responsible for assessing the 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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.
Altonwood Holdings Limited
Independent Auditor's Report to the Members of
Altonwood Holdings Limited
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:
Based on our understanding of the Group and the industry in which it operates, we determined that the principal risks of non-compliance with laws and regulations related to the reporting framework (FRS 102 and the Companies Act 2006) and UK corporate taxation laws, health and safety legislation and data protection legislation. These risks were communicated to our audit team and we remained alert to any indications of non-compliance throughout our audit.
We understood how the Group is complying with relevant legislation by making enquiries of management and those responsible for legal and compliance procedures. We also considered the results of our audit procedures and to what extent these corroborate this understanding and assessed the susceptibility of the company’s financial statements to material misstatement. This included consideration of how fraud might occur and evaluation of management’s incentives and opportunities for fraudulent manipulation of the financial statements.
We designed our audit procedures to identify any non-compliance with laws and regulations. Such procedures included, but were not limited to, inspection of any regulatory or legal correspondence; challenging assumptions and judgements made by management; identifying and testing journal entries with a focus on large or unusual transactions as determined based on our understanding of the business; and identifying and assessing the effectiveness of controls in place to prevent and detect fraud.
Owing to the inherent limitations of an audit, there remains a risk that a material misstatement may not have been detected, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance with laws and regulations and cannot be expected to detect all instances of non-compliance.
The primary responsibility for the detection and prevention of fraud rests with those responsible for governance and management. The further removed non-compliance with laws and regulations is from the events reflected in the financial statements, the less likely the auditor will become aware of it.
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, collusion, omission, misrepresentation or forgery.
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.
Altonwood Holdings Limited
Independent Auditor's Report to the Members of
Altonwood Holdings Limited
Use of our report
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members 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 company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
For and on behalf of
1 Suffolk Way
Kent
TN13 1YL
Altonwood Holdings Limited
Consolidated Statement of Income and Retained Earnings for the Year Ended 30 April 2023
Note |
2023 |
2022 |
|
Turnover |
|
|
|
Cost of sales |
( |
( |
|
Gross profit |
|
|
|
Administrative expenses |
( |
( |
|
Other operating income |
|
|
|
Operating profit |
|
|
|
Other interest receivable and similar income |
|
|
|
Interest payable and similar charges |
( |
( |
|
(156,244) |
(46,419) |
||
Profit before tax |
|
|
|
Taxation |
( |
( |
|
Profit for the financial year |
|
|
|
Profit/(loss) attributable to: |
|||
Owners of the company |
|
|
|
Retained earnings brought forward |
17,973,861 |
17,118,697 |
|
Dividends paid |
( |
( |
|
Retained earnings carried forward |
17,912,615 |
17,973,861 |
Altonwood Holdings Limited
Consolidated Statement of Financial Position as at 30 April 2023
Note |
2023 |
2022 |
|
Fixed assets |
|||
Tangible assets |
|
|
|
Investment property |
|
|
|
|
|
||
Current assets |
|||
Stocks |
|
|
|
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
Total assets less current liabilities |
|
|
|
Creditors: Amounts falling due after more than one year |
( |
( |
|
Provisions for liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
|
|
|
Profit and loss account |
|
|
|
Equity attributable to owners of the company |
|
|
|
Total equity |
|
|
Approved and authorised by the
.........................................
Director
.........................................
Director
Company registration number: 03594411
Altonwood Holdings Limited
Statement of Financial Position as at 30 April 2023
Note |
2023 |
2022 |
|
Fixed assets |
|||
Investments |
|
|
|
Current assets |
|||
Debtors |
|
|
|
Cash at bank and in hand |
|
|
|
|
|
||
Creditors: Amounts falling due within one year |
( |
( |
|
Net current liabilities |
( |
( |
|
Net assets |
|
|
|
Capital and reserves |
|||
Called up share capital |
9,189,048 |
9,189,048 |
|
Other reserves |
3,214,874 |
3,214,874 |
|
Retained earnings |
14,912 |
27,246 |
|
Shareholders' funds |
12,418,834 |
12,431,168 |
The company made a profit after tax for the financial year of £395,830 (2022 - £186,117).
Approved and authorised by the
.........................................
Director
.........................................
Director
Company registration number: 03594411
Altonwood Holdings Limited
Consolidated Statement of Cash Flows for the Year Ended 30 April 2023
Note |
2023 |
2022 |
|
Cash flows from operating activities |
|||
Profit for the year |
|
|
|
Adjustments to cash flows from non-cash items |
|||
Depreciation and amortisation |
|
|
|
Profit on disposal of tangible assets |
- |
( |
|
Profit from sales of investment properties |
- |
( |
|
Finance income |
( |
( |
|
Finance costs |
|
|
|
Income tax expense |
|
|
|
|
|
||
Working capital adjustments |
|||
Increase in stocks |
( |
( |
|
(Increase)/decrease in trade and other debtors |
( |
|
|
Increase/(decrease) in trade and other creditors |
|
( |
|
Cash generated from operations |
|
|
|
Income taxes paid |
( |
( |
|
Net cash flow from operating activities |
|
|
|
Cash flows from investing activities |
|||
Interest received |
|
|
|
Acquisitions of tangible assets |
( |
( |
|
Proceeds from sale of tangible assets |
- |
|
|
Acquisition of investment properties |
( |
( |
|
Proceeds from sale of investment properties |
- |
|
|
Net cash flows from investing activities |
( |
( |
|
Cash flows from financing activities |
|||
Interest paid |
( |
( |
|
Proceeds from bank borrowing draw downs |
- |
|
|
Repayment of bank borrowing |
( |
( |
|
Repayment of other borrowing |
- |
( |
|
Payments to finance lease creditors |
( |
|
|
Dividends paid |
( |
( |
|
Net cash flows from financing activities |
( |
( |
|
Net decrease in cash and cash equivalents |
( |
( |
|
Cash and cash equivalents at 1 May |
|
|
|
Cash and cash equivalents at 30 April |
(749,095) |
63,420 |
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
The principal activity of the group is that of leisure operations which includes the management of golf clubs and venue hire, alongside property investment.
Accounting policies |
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except any items disclosed in the accounting policies as being shown at fair value and are presented in sterling, which is the functional currency of the entity.
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Summary of disclosure exemptions
The parent company satisfies the criteria of being a qualifying entity as defined by FRS 102. As such, advantage has been taken of the following reduced disclosures available under FRS 102:
a) No cash flow statement has been presented for the company.
b) Disclosures in respect of financial instruments have not been presented.
c) No disclosure has been given for the aggregate remuneration of key management personnel..
Basis of consolidation
The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 30 April each year.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
A subsidiary is an entity controlled by the company. Control is achieved where the company has the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.
The results of subsidiaries acquired or disposed of during the year are included in the Income Statement from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.
The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.
Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.
Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.
Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group. Non-controlling interests in the net assets of consolidated subsidiaries are identified separately from the group’s equity therein. Non-controlling interests consist of the amount of those interests at the date of the original business combination and the non-controlling shareholder’s share of changes in equity since the date of the combination.
Going concern
The group made a profit for the year ended 30 April 2023 and had net assets at that date of £27,101,663.
The directors have considered the impact of the ongoing economic uncertainty in the UK and the war between Ukraine and Russia and do not believe these events will have a significant impact on the group.
The group has prepared projected cashflows and budgets and considered the groups position for a period of greater than 12 months from the date of approval of the financial statements.
On the basis of the above, and after making enquiries, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. |
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. Key assumptions and other estimation uncertainties provide a risk of causing a material adjustment to the carrying values of assets and liabilities. |
Judgements and estimates that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are as follows: |
Tangible fixed assets are depreciated to their estimated residual values over their estimated useful lives. The group exercises judgement to determine these useful lives and residual values. |
Investment Properties are reflected at their fair value. The directors exercise their judgement, two of whom of chartered surveyors to determine the fair value. |
Revenue recognition
Turnover comprises amounts receivable for goods and services net of value added tax. Intra-group sales and transactions are eliminated on consolidation.
Membership turnover is recognised evenly over the period of the membership. Shop turnover is recognised when the customers take delivery of the goods and bar and catering revenue is recognised when the services are provided. Rental income is recognised over the period of the leases. Venue hire turnover is recognised on the date of the event.
Government grants
Grants are accounted under the accruals model. Grants of a revenue nature are recognised in other income in the same period as the related expenditure.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a charge attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Plant and machinery |
20% straight line |
Fixtures, fittings and equipment |
25% straight line |
Motor vehicles |
25% straight line |
Freehold buildings |
2% straight line |
Freehold buildings are depreciated over their economic useful life at cost less estimated residual value. The estimated residual value is such that no material annual depreciation charge arises.
Investment property
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.
The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the income statement over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease. Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the Statement of Financial Position as a finance lease obligation.
Lease payments are apportioned between finance costs in the Income Statement and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Assets held under hire purchase contracts are capitalised at the lesser of fair value or present value of minimum lease payments in the statement of financial position. The present value of the minimum lease payments is calculated using the interest rate implicit in the lease. A corresponding liability is recognised at the same value in the statement of financial position. The asset is then depreciated over its useful life.
The minimum lease payments are apportioned between the finance charge recognised in the income statement and the reduction of the outstanding liability using the effective interest method. The finance charge in each period is allocated so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the group’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Turnover |
The analysis of the group's revenue for the year from continuing operations is as follows:
2023 |
2022 |
|
Sale of goods and services |
|
|
Rental income from investment property |
|
|
Other revenue |
|
|
|
|
The whole of the turnover is attributable to the principal activity of the group undertaken in the United Kingdom.
Other operating income |
The analysis of the group's other operating income for the year is as follows:
2023 |
2022 |
|
Government grants |
|
|
Other gains and losses |
The analysis of the group's other gains and losses for the year is as follows:
2023 |
2022 |
|
Gain on disposal of Tangible assets |
- |
|
Gain from sales of investment properties |
- |
|
- |
45,696 |
Operating profit |
Arrived at after charging/(crediting)
2023 |
2022 |
|
Depreciation expense |
|
|
Operating lease expense - plant and machinery |
|
|
Profit on disposal of property, plant and equipment |
- |
(26,873) |
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Other interest receivable and similar income |
2023 |
2022 |
|
Net changes in fair value of investment property |
|
|
Other finance income |
|
|
|
|
Interest payable and similar expenses |
2023 |
2022 |
|
Interest on bank overdrafts and borrowings |
|
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
Interest expense on other finance liabilities |
- |
|
|
|
Staff costs |
The aggregate payroll costs (including directors' remuneration) were as follows:
2023 |
2022 |
|
Wages and salaries |
|
|
Social security costs |
|
|
Pension costs, defined contribution scheme |
56,592 |
|
Other employee expense |
|
|
|
|
The average number of persons employed by the group during the year, analysed by category, was as follows:
2023 |
2022 |
|
Green-keeping and course management |
|
|
Administration and support |
|
|
Food & Beverage |
|
|
Kitchen |
|
|
Pro-shop and reception |
|
|
Management |
|
|
|
|
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Directors' remuneration |
The directors' remuneration for the year was as follows:
2023 |
2022 |
|
Remuneration |
|
|
Contributions paid to money purchase schemes |
|
|
788,595 |
673,042 |
During the year the number of directors who were receiving benefits and share incentives was as follows:
2023 |
2022 |
|
Accruing benefits under money purchase pension scheme |
|
|
In respect of the highest paid director:
2023 |
2022 |
|
Remuneration |
|
|
Auditor's remuneration |
2023 |
2022 |
|
Audit of these financial statements |
6,000 |
5,000 |
Other fees to auditors |
||
Audit of the financial statements of subsidiary undertakings |
|
|
Taxation compliance services |
|
|
All other non-audit services |
|
|
|
|
Taxation |
Tax charged/(credited) in the income statement
2023 |
2022 |
|
Current taxation |
||
UK corporation tax |
|
|
Deferred taxation |
||
Arising from origination and reversal of timing differences |
|
|
Tax expense in the income statement |
|
|
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2022 - higher than the standard rate of corporation tax in the UK) of
The differences are reconciled below:
2023 |
2022 |
|
Profit before tax |
|
|
Corporation tax at standard rate |
|
|
Effect of expense not deductible in determining taxable profit (tax loss) |
|
|
Deferred tax expense relating to changes in tax rates or laws |
- |
|
Effect of fair value adjustments |
( |
( |
Tax increase from effect of capital allowances and depreciation |
|
|
Tax (decrease)/increase from other short-term timing differences |
( |
|
Total tax charge |
|
|
In its Spring 2021 budget, the UK government announced that from 1 April 2023 the corporation tax rate would increase from 19% to 25%. This was substantively enacted for UK GAAP purposes on 10 June 2021.
The deferred tax movements have been measured using the enacted rate of 25% (2022: 25%).
Deferred tax
Group
2023 |
Liability |
Capital allowances |
|
Fair value adjustments |
|
Other timing differences |
( |
|
2022 |
Liability |
Capital allowances |
|
Fair value adjustments |
|
|
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Tangible assets |
Group
Freehold Land and buildings |
Furniture, fittings and equipment |
Motor vehicles |
Plant and equipment |
Total |
|
Cost or valuation |
|||||
At 1 May 2022 |
|
|
|
|
|
Additions |
|
|
|
|
|
At 30 April 2023 |
|
|
|
|
|
Depreciation |
|||||
At 1 May 2022 |
- |
|
|
|
|
Charge for the year |
- |
|
|
|
|
At 30 April 2023 |
- |
|
|
|
|
Carrying amount |
|||||
At 30 April 2023 |
|
|
|
|
|
At 30 April 2022 |
|
|
|
|
|
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
2023 |
2022 |
|
Plant and equipment |
982,092 |
1,065,229 |
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Investment properties |
Group
2023 |
|
Fair value |
|
At 1 May 2022 |
|
Additions |
|
Fair value adjustments |
|
At 30 April 2023 |
|
The investment properties are reflected at fair value at 30 April 2023 as estimated by the directors, two of whom are chartered surveyors, based upon their experience and qualifications, at an amount of £3,670,000.
Investments |
Company
2023 |
2022 |
|
Investments in subsidiaries |
|
|
£ |
|
Cost or valuation |
|
At 1 May 2022 and 30 April 2023 |
|
Carrying amount |
|
At 30 April 2023 |
|
At 30 April 2022 |
|
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Details of undertakings
Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
Undertaking |
Holding |
Proportion of voting rights and shares held |
||
2023 |
2022 |
Subsidiary undertakings |
||||
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
|
Ordinary |
|
|
|
Altonwood Limited is a direct subsidiary of the company. The other investments are held indirectly.
All subsidiaries are included in the consolidated financial statements.
Stocks |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Finished goods and goods for resale |
|
|
- |
- |
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Debtors |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Trade debtors |
|
|
- |
- |
Amounts owed by group undertakings |
- |
- |
|
|
Other debtors |
|
|
- |
- |
Prepayments |
|
|
- |
- |
Corporation tax asset |
|
- |
- |
- |
|
|
|
|
Amounts owed by group undertakings are interest free, unsecured and repayable on demand.
Cash and cash equivalents |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Cash on hand |
|
|
- |
- |
Cash at bank |
|
|
|
|
|
|
|
|
|
Bank overdrafts |
( |
( |
- |
- |
Cash and cash equivalents in statement of cash flows |
(749,095) |
63,420 |
815 |
9,995 |
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Creditors |
Group |
Company |
||||
Note |
2023 |
2022 |
2023 |
2022 |
|
Due within one year |
|||||
Loans and borrowings |
|
|
- |
- |
|
Trade creditors |
|
|
- |
- |
|
Amounts due to group undertakings |
- |
- |
|
|
|
Social security and other taxes |
|
|
- |
- |
|
Other payables |
|
|
|
|
|
Accruals |
|
|
|
|
|
Corporation tax liability |
60,947 |
197,482 |
- |
- |
|
|
|
|
|
||
Due after one year |
|||||
Loans and borrowings |
|
|
- |
- |
|
Other non-current financial liabilities |
|
|
- |
- |
|
5,475,421 |
5,784,466 |
- |
- |
Amounts due to group undertakings are interest free, unsecured and payable on demand.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Loans and borrowings |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Current loans and borrowings |
||||
Bank loans |
|
|
- |
- |
Bank overdrafts |
|
|
- |
- |
Hire purchase obligations |
|
|
- |
- |
|
|
- |
- |
Group |
Company |
|||
2023 |
2022 |
2023 |
2022 |
|
Non-current loans and borrowings |
||||
Bank loans |
|
|
- |
- |
Hire purchase obligations |
|
|
- |
- |
|
|
- |
- |
Bank loans and overdrafts are secured by a fixed charge over certain freehold properties owned by the group and by a fixed and floating charge over the other assets and undertakings of the group.
Hire purchase obligations are secured on the assets concerned.
Group
Included in loans and borrowings are the following amounts payable by instalments due after more than five years:
2023 |
2022 |
|
After more than five years |
|
|
Deferred tax and other provisions |
Group
Deferred tax |
Total |
|
At 1 May 2022 |
|
|
Increase (decrease) in existing provisions |
|
|
At 30 April 2023 |
|
|
|
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Pension and other schemes |
Defined contribution pension scheme
The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £
Share capital |
Allotted, called up and fully paid shares
2023 |
2022 |
|||
No. |
£ |
No. |
£ |
|
|
|
9,189,048 |
|
9,189,048 |
There are no restrictions on the repayment of capital or the declaration of dividends.
Reserves |
Profit and loss account - This reserve records retained earnings and accumulated losses.
Dividends paid |
2023 |
2022 |
|||
Dividends of £ |
|
|
||
Contingencies and guarantees |
Company
The parent company has jointly guaranteed the group's bank loan and overdraft facilities.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Analysis of changes in net debt |
Group
At 1 May 2022 |
Financing cash flows |
At 30 April 2023 |
|
Cash and cash equivalents |
|||
Cash at bank and in hand |
164,772 |
78,746 |
243,518 |
Overdrafts |
(101,353) |
(891,260) |
(992,613) |
63,419 |
(812,514) |
(749,095) |
|
Borrowings |
|||
Long term borrowings |
(4,902,037) |
177,886 |
(4,724,151) |
Short term borrowings |
(458,633) |
- |
(458,633) |
Lease liabilities |
(975,888) |
118,364 |
(857,524) |
(6,336,558) |
296,250 |
(6,040,308) |
|
|
|||
( |
( |
( |
Related party transactions |
Summary of transactions with subsidiaries
Compensation to key management personnel
The directors are considered to be the key management personnel. Compensation in the year is disclosed in note 10.
Summary of transactions with entities with joint control or significant interest
Transactions with directors |
At 30 April 2023 an amount of £30,172 (£6,910) was due from the directors. During the year there were advances of £91,941 and repayments of £69,132. Interest charged in the year amounted to £453 (2022: £547) at 2% pa. There are no agreed terms.
Dividends amounting to £206,531 (2022: £103,265) were paid to directors during the year.
Altonwood Holdings Limited
Notes to the Financial Statements for the Year Ended 30 April 2023
Ultimate control |
The ultimate controlling party is