Caseware UK (AP4) 2022.0.179 2022.0.179 2022-12-252022-12-25296true2021-12-27truetruetruetruefalseNo description of principal activity331truefalse 05163943 2021-12-27 2022-12-25 05163943 2022-12-25 05163943 2020-12-28 2021-12-26 05163943 2021-12-26 05163943 2020-12-28 05163943 c:RestatedAmount 2021-12-26 05163943 c:RestatedAmount 2020-12-28 05163943 1 2021-12-27 2022-12-25 05163943 1 2020-12-28 2021-12-26 05163943 e:CompanySecretary1 2021-12-27 2022-12-25 05163943 e:Director1 2021-12-27 2022-12-25 05163943 e:Director2 2021-12-27 2022-12-25 05163943 e:RegisteredOffice 2021-12-27 2022-12-25 05163943 c:FurnitureFittings 2021-12-27 2022-12-25 05163943 c:FurnitureFittings 2022-12-25 05163943 c:FurnitureFittings 2021-12-26 05163943 c:FurnitureFittings c:OwnedOrFreeholdAssets 2021-12-27 2022-12-25 05163943 c:ComputerEquipment 2021-12-27 2022-12-25 05163943 c:ComputerEquipment 2022-12-25 05163943 c:ComputerEquipment 2021-12-26 05163943 c:ComputerEquipment c:OwnedOrFreeholdAssets 2021-12-27 2022-12-25 05163943 c:OwnedOrFreeholdAssets 2021-12-27 2022-12-25 05163943 c:Goodwill 2021-12-27 2022-12-25 05163943 c:Goodwill 2022-12-25 05163943 c:Goodwill 2021-12-26 05163943 c:CurrentFinancialInstruments 2022-12-25 05163943 c:CurrentFinancialInstruments 2021-12-26 05163943 c:CurrentFinancialInstruments c:WithinOneYear 2022-12-25 05163943 c:CurrentFinancialInstruments c:WithinOneYear 2021-12-26 05163943 c:ReportableOperatingSegment1 2021-12-27 2022-12-25 05163943 c:ReportableOperatingSegment1 2020-12-28 2021-12-26 05163943 c:UKTax 2021-12-27 2022-12-25 05163943 c:UKTax 2020-12-28 2021-12-26 05163943 c:ShareCapital 2021-12-27 2022-12-25 05163943 c:ShareCapital 2022-12-25 05163943 c:ShareCapital 2020-12-28 2021-12-26 05163943 c:ShareCapital 2021-12-26 05163943 c:ShareCapital 2020-12-28 05163943 c:SharePremium 2021-12-27 2022-12-25 05163943 c:SharePremium 2022-12-25 05163943 c:SharePremium 2020-12-28 2021-12-26 05163943 c:SharePremium 2021-12-26 05163943 c:SharePremium c:RestatedAmount 2021-12-26 05163943 c:SharePremium 2020-12-28 05163943 c:SharePremium c:RestatedAmount 2020-12-28 05163943 c:RetainedEarningsAccumulatedLosses 2021-12-27 2022-12-25 05163943 c:RetainedEarningsAccumulatedLosses 2022-12-25 05163943 c:RetainedEarningsAccumulatedLosses c:PriorPeriodIncreaseDecrease 2021-12-27 2022-12-25 05163943 c:RetainedEarningsAccumulatedLosses 2020-12-28 2021-12-26 05163943 c:RetainedEarningsAccumulatedLosses 2021-12-26 05163943 c:RetainedEarningsAccumulatedLosses c:RestatedAmount 2021-12-26 05163943 c:RetainedEarningsAccumulatedLosses c:PriorPeriodIncreaseDecrease 2020-12-28 2021-12-26 05163943 c:RetainedEarningsAccumulatedLosses 2020-12-28 05163943 c:RetainedEarningsAccumulatedLosses c:RestatedAmount 2020-12-28 05163943 e:OrdinaryShareClass1 2021-12-27 2022-12-25 05163943 e:OrdinaryShareClass1 2022-12-25 05163943 e:OrdinaryShareClass1 2021-12-26 05163943 e:FRS102 2021-12-27 2022-12-25 05163943 e:Audited 2021-12-27 2022-12-25 05163943 e:FullAccounts 2021-12-27 2022-12-25 05163943 e:PrivateLimitedCompanyLtd 2021-12-27 2022-12-25 05163943 c:WithinOneYear 2022-12-25 05163943 c:WithinOneYear 2021-12-26 05163943 c:BetweenOneFiveYears 2022-12-25 05163943 c:BetweenOneFiveYears 2021-12-26 05163943 c:MoreThanFiveYears 2022-12-25 05163943 c:MoreThanFiveYears 2021-12-26 05163943 c:AcceleratedTaxDepreciationDeferredTax 2022-12-25 05163943 c:AcceleratedTaxDepreciationDeferredTax 2021-12-26 05163943 c:Goodwill c:OwnedIntangibleAssets 2021-12-27 2022-12-25 05163943 c:SharePremium c:PriorPeriodErrorIncreaseDecrease 2021-12-27 2022-12-25 05163943 c:SharePremium c:PriorPeriodErrorIncreaseDecrease 2020-12-28 2021-12-26 05163943 c:RetainedEarningsAccumulatedLosses c:PriorPeriodErrorIncreaseDecrease 2021-12-27 2022-12-25 05163943 c:RetainedEarningsAccumulatedLosses c:PriorPeriodErrorIncreaseDecrease 2020-12-28 2021-12-26 05163943 c:PriorPeriodErrorIncreaseDecrease 2021-12-27 2022-12-25 05163943 c:PriorPeriodErrorIncreaseDecrease 2020-12-28 2021-12-26 xbrli:shares iso4217:GBP xbrli:pure
Company registration number: 05163943







ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED
25 DECEMBER 2022


THE WOODPECKER INN LIMITED






































img2d10.png                        

 


THE WOODPECKER INN LIMITED
 


 
COMPANY INFORMATION


Directors
Mr B Shedden 
Mr J Shedden 




Company secretary
Mrs C Shedden



Registered number
05163943



Registered office
2nd Floor, Magna House
18-32 London Road

Staines-Upon-Thames

Surrey

TW18 4BP




Independent auditors
Menzies LLP
Chartered Accountants & Statutory Auditor

Magna House

18-32 London Road

Staines-Upon-Thames

TW18 4BP





 


THE WOODPECKER INN LIMITED
 



CONTENTS



Page
Strategic Report
1 - 2
Directors' Report
3 - 4
Independent Auditors' Report
5 - 8
Statement of Income and Retained Earnings
9
Statement of Financial Position
10
Statement of Changes in Equity
11
Notes to the Financial Statements
12 - 26


 


THE WOODPECKER INN LIMITED
 


 
STRATEGIC REPORT
FOR THE PERIOD ENDED 25 DECEMBER 2022

Introduction
 
The directors present the Strategic Report for the period ended 25 December 2022.

Business review
 
The company continued its existing strategy of identifying and investing in new stores where there is potential for growth, to supplement its current sites.
There continued to be a strategy of identifying and investing in new stores, though no new sites were opened during the year. 
Revenue fell to £11.9m (2021 - £12.9m), a decline of 7.1% and gross margins fell to 34.7% (2021 - 38.9%), resulting in a reduced profit before tax of £1.8m (2021 - £2.6m). The net assets at the year-end were £5m (2021 - £4.4m). The directors remain satisfied with the company's financial position at the year-end and believe it is well placed to meet any challenges ahead.

Principal risks and uncertainties
 
The company, as part of the Full House Restaurant Holdings Group continuously reviews risks and uncertainties.
A key challenge to the business continues to be aggregators within the marketplace, offering discounted introductions and driving customer traffic away from traditional take away sites. This is a contributing factor to the decline seen in gross margins in the year. The Franchisor entered into an agreement to work with one provider collaboratively “Just Eat” during the year. 
The company continues to be subject to variable wholesale food prices, anticipated to continue in the medium term. It is working closely to manage these costs and related supply chain issues, activity switching to UK based suppliers where feasible.
 
There remains the threat of higher gas prices, which was a global issue throughout 2022, although the majority of sites are currently fixed until 2026.
As the company continues to grow and open new sites – there are increased resourcing challenges for both store staff and delivery drivers. The management are actively recruiting and training staff to optimally run the operations.

Financial key performance indicators
 
Retaining market share continues to be the key KPI – and this is tracked by growth in revenue, by individual site and region. The company's revenue decreased by 7.1% (2021 - increased by 3.2%) from prior year due to the end to the temporary reduced rate of VAT introduced by the Government during the pandemic and slow down in consumer spending.
The gross margin is monitored and was 34.7% (2021 - 38.9%) for the year due to the general increase in food and other operational costs. The franchisor has had to provide better offers to customers due to the competition faced from aggregators and reduced consumer spending from the inflationary pressures within the economy.

Other key performance indicators
 
The company is committed to ensuring the highest standards and regularly monitors customer feedback and where arising customer complaints are tracked and appropriately followed up.

Page 1

 


THE WOODPECKER INN LIMITED
 



STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 25 DECEMBER 2022


This report was approved by the board and signed on its behalf.



................................................
Mr B Shedden
Director

Date: 13 October 2023

Page 2

 


THE WOODPECKER INN LIMITED
 


 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 25 DECEMBER 2022

The Directors present their report and the financial statements for the period ended 25 December 2022.

Directors' responsibilities statement

The Directors are responsible for preparing the Strategic Report, the Directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 company and of the profit or loss of the company for that period.

 In preparing these financial statements, the Directors are required to:


select suitable accounting policies for the company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the period, after taxation, amounted to £1,455,092 (2021 - £2,110,981).

A final dividend for 2021 of £500,000 plus an interim dividend for 2022 of £400,000 were paid during the financial year. A final dividend has been proposed and paid on 10 April 2023 of £400,000 (2021 - £500,000)

Directors

The Directors who served during the period were:

Mr B Shedden 
Mr J Shedden 

Future developments

The overall business outlook remains positive; the directors are experienced in the takeaway business and are well aware of the challenges that require consistently applied, high quality procedures to minimise risks. The company continues to invest in its operations and maintains high standards in product quality and staff training.

Engagement with employees

The company's policy is to consult and discuss with employees, through unions, staff councils and at meetings, matters likely to affect employees' interests.
Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the company's performance.
There is no employee share scheme at present.

Page 3

 


THE WOODPECKER INN LIMITED
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 25 DECEMBER 2022

Disabled employees

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 company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:

so far as the Director is aware, there is no relevant audit information of which the company's auditors are unaware, and
the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the company since the year end.

Auditors

Under section 487(2) of the Companies Act 2006, Menzies LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

This report was approved by the board and signed on its behalf.
 





................................................
Mr B Shedden
Director

Date: 13 October 2023

Page 4

 


THE WOODPECKER INN LIMITED
 

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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WOODPECKER INN LIMITED

Opinion


We have audited the financial statements of The Woodpecker Inn Limited (the 'company') for the period ended 25 December 2022, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 company's affairs as at 25 December 2022 and of its profit for the period 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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 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 Annual Report other than the financial statements and  our Auditors' Report thereon.  The Directors are responsible for the other information contained within the Annual Report.  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.


Page 5

 


THE WOODPECKER INN LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WOODPECKER INN LIMITED (CONTINUED)

Opinion on other matters prescribed by the Companies Act 2006
 

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


the information given in the Strategic Report and the Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the 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 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 Strategic Report or 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:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the 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 Directors' Responsibilities Statement set out on page 3, 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.


Page 6

 


THE WOODPECKER INN LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WOODPECKER INN LIMITED (CONTINUED)

Auditors' 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 Auditors' 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:

The Company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant including UK Companies Act, employment law and tax legislation. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

We understood how the Company is complying with those legal and regulatory frameworks by, making inquiries to management, those responsible for legal and compliance procedures and the company secretary.

The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The assessment did not identify any issues in this area.

We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

°Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;

°Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process; and

°Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations.

As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:

°Posting of unusual journals, and;

°Risk of fictitious employees.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.  The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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 Auditors' Report.


Page 7

 


THE WOODPECKER INN LIMITED


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE WOODPECKER INN LIMITED (CONTINUED)

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 2006Our 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 Auditors' 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.





Andrew Cook FCA (Senior Statutory Auditor)
  
for and on behalf of
Menzies LLP
 
Chartered Accountants
Statutory Auditor
  
Magna House
18-32 London Road
Staines-Upon-Thames
TW18 4BP

15 October 2023
Page 8

 


THE WOODPECKER INN LIMITED
 


 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE PERIOD ENDED 25 DECEMBER 2022

Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
Note
£
£

  

Turnover
 4 
11,948,865
12,867,407

Cost of sales
  
(7,807,844)
(7,862,575)

Gross profit
  
4,141,021
5,004,832

Administrative expenses
  
(2,347,435)
(2,374,898)

Operating profit
 5 
1,793,586
2,629,934

Tax on profit
 9 
(338,494)
(518,953)

Profit after tax
  
1,455,092
2,110,981

Retained earnings
  

-  as previously stated
  
4,565,840
3,145,588

-  correction of a prior period error
  
(455,215)
(245,944)

At the beginning of the period as restated
  
4,110,625
2,899,644

  

Profit for the period
  
1,455,092
2,110,981

Dividends declared and paid
  
(900,000)
(900,000)

Retained earnings at the end of the period
  
4,665,717
4,110,625
The notes on pages 12 to 26 form part of these financial statements.

Page 9

 


THE WOODPECKER INN LIMITED
REGISTERED NUMBER:05163943



STATEMENT OF FINANCIAL POSITION
AS AT 25 DECEMBER 2022

25 December
As restated
26 December
2022
2021
Note
£
£

Fixed assets
  

Intangible assets
 11 
48,382
59,885

Tangible assets
 12 
352,747
442,024

  
401,129
501,909

Current assets
  

Stocks
 13 
57,715
36,817

Debtors: amounts falling due within one year
 14 
9,345,346
7,722,829

Cash at bank and in hand
  
-
2,836

  
9,403,061
7,762,482

Creditors: amounts falling due within one year
 15 
(4,714,978)
(3,708,178)

Net current assets
  
 
 
4,688,083
 
 
4,054,304

Total assets less current liabilities
  
5,089,212
4,556,213

Provisions for liabilities
  

Deferred tax
  
(81,895)
(103,988)

Net assets
  
5,007,317
4,452,225


Capital and reserves
  

Called up share capital 
 17 
698
698

Share premium account
 18 
340,902
340,902

Profit and loss account
 18 
4,665,717
4,110,625

  
5,007,317
4,452,225


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
Mr B Shedden
Director

Date: 13 October 2023

The notes on pages 12 to 26 form part of these financial statements.

Page 10

 


THE WOODPECKER INN LIMITED
 



STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 25 DECEMBER 2022


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 28 December 2020 (as previously stated)
698
340,902
3,145,588
3,487,188

Prior year adjustment - correction of error
-
-
(245,944)
(245,944)


At 28 December 2020 (as restated)
698
340,902
2,899,644
3,241,244


Comprehensive income for the period

Profit for the period

-
-
2,110,981
2,110,981


Other comprehensive income for the period
-
-
-
-


Total comprehensive income for the period
-
-
2,110,981
2,110,981


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(900,000)
(900,000)


Total transactions with owners
-
-
(900,000)
(900,000)



At 27 December 2021 (as previously stated)
698
340,902
4,565,840
4,907,440

Prior year adjustment - correction of error
-
-
(455,215)
(455,215)


At 27 December 2021 (as restated)
698
340,902
4,110,625
4,452,225


Comprehensive income for the period

Profit for the period

-
-
1,455,092
1,455,092


Other comprehensive income for the period
-
-
-
-


Total comprehensive income for the period
-
-
1,455,092
1,455,092


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(900,000)
(900,000)


Total transactions with owners
-
-
(900,000)
(900,000)


At 25 December 2022
698
340,902
4,665,717
5,007,317


The notes on pages 12 to 26 form part of these financial statements.

Page 11

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

1.


General information

The Woodpecker Inn Limited is a private company limited by shares incorporated in England and Wales. The registered office is given on the company information page of these financial statements. The principal place of business is Unit 5, The Forum, Hanworth Lane, Chertsey, Surrey, KT16 9JX.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Full House Restaurant Holdings Limited as at 25 December 2022 and these financial statements may be obtained from Companies House.

 
2.3

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the company and
the revenue can be reliably measured. Turnover is generated via the operation of fast food outlets and is
measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value
added tax and other sales taxes.

Page 12

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

2.Accounting policies (continued)

 
2.4

Intangible assets

Goodwill

Goodwill arising on the acquisition of branches, represents any excess of the fair value of the consideration given over the fair value of the identifiable assets and liabilities acquired.
Goodwill is being written off over twenty years on the basis that the company has the option, as stipulated in its franchise agreements, to renew the existing franchises for further ten year terms at the end of the initial ten year term. As the directors are likely to take up the option and due to the company being in a good standing with regards to the terms of the franchise agreement, the directors believe amortisation over the full 20 years reflects the likely consumption of economic benefits.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

                             Franchise rights                            -  10 years straight line

 
2.5

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
10 years straight line
Computer equipment
-
5 years straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Page 13

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

2.Accounting policies (continued)

 
2.6

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is 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.

 
2.7

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.

 
2.8

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

 
2.9

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.10

Pensions

Defined contribution pension plan

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the company in independently administered funds.

Page 14

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

2.Accounting policies (continued)

 
2.11

Current and deferred taxation

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 and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

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 company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.


3.


Judgments in applying accounting policies 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.
Key sources of estimation uncertainty
Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:
Useful economic life of fixed assets.

Page 15

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

4.


Turnover

An analysis of turnover by class of business is as follows:


Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
£
£

Sale of Pizza's
11,948,865
12,867,407

11,948,865
12,867,407


All turnover arose within the United Kingdom.


5.


Operating profit

The operating profit is stated after charging:

Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
£
£

Depreciation of tangible fixed assets
135,517
137,243

Other operating lease rentals
163,558
146,052

Amortisation of intangible assets
11,503
11,503


6.


Auditors' remuneration

Auditor's remuneration is paid by Full House Restaurant Holdings Limited, the Company's immediate parent company. The Company has taken advantage of the exemption not to disclose amounts paid for audit services as these are disclosed in the group accounts of the parent company.



Page 16

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

7.


Employees

Staff costs were as follows:


Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
£
£

Wages and salaries
3,077,784
3,103,552

Social security costs
131,115
146,118

Cost of defined contribution scheme
32,942
39,789

3,241,841
3,289,459


The average monthly number of employees, including the Directors, during the period was as follows:





Period from 27 December 2021 to
     25 December
      As restated
Period from 28 December 2020 to
26 December
           2022
           2021







Directors
2
2



Employees
329
294

331
296


8.


Directors' remuneration

The directors of the company are remunerated through the parent Company, Full House Restaurants Holdings Limited. Their remuneration is disclosed in the consolidated financial statements.



Page 17

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

9.


Taxation


Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
£
£

Corporation tax


Current tax on profits for the year
357,088
495,548

Adjustments in respect of previous periods
3,499
-

Total current tax
360,587
495,548

Deferred tax


Origination and reversal of timing differences
(15,001)
(1,552)

Changes to tax rates
(4,737)
24,957

Adjustments in respect of previous periods
(2,355)
-

Total deferred tax
(22,093)
23,405


Taxation on profit on ordinary activities
338,494
518,953
Page 18

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022
 
9.Taxation (continued)


Factors affecting tax charge for the period

The tax assessed for the period is lower than (2021 - higher than) the standard rate of corporation tax in the UK of 19% (2021 - 19%). The differences are explained below:

Period from 27 December 2021 to
25 December
As restated
Period from 28 December 2020 to
26 December
2022
2021
£
£


Profit on ordinary activities before tax
1,793,586
2,629,934


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2021 - 19%)
340,781
499,687

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
-
476

Enhanced capital allowances
(1,976)
(3,783)

Ineligible differences on fixed assets
2,436
2,186

Adjustments to tax charge in respect of prior period
3,499
(4,570)

Effect of change in deferred tax rates
(4,737)
24,957

Adjustments to tax charge in respect of prior periods - deferred tax
(2,355)
-

Other tax adjustments
846
-

Total tax charge for the period
338,494
518,953


Factors that may affect future tax charges

The tax rate increased to 25% from 1 April 2023. A marginal relief is available if profits fall below £250,000, apportioned across the group, to reduce the rate of tax applied with the lowest boundary being 19%.


10.


Dividends

Period from 27 December 2021 to
25 December
Period from 28 December 2020 to
26 December
2022
2021
£
£


Dividends paid
900,000
900,000

900,000
900,000

Page 19

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

11.


Intangible assets






Goodwill

£



Cost


At 27 December 2021 (as restated)
349,843



At 25 December 2022

349,843



Amortisation


At 27 December 2021 (as restated)
289,958


Charge for the period on owned assets
11,503



At 25 December 2022

301,461



Net book value



At 25 December 2022
48,382



At 26 December 2021 (as restated)
59,885



Page 20

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

12.


Tangible fixed assets







Fixtures and fittings
Computer equipment
Total

£
£
£



Cost or valuation


At 27 December 2021 (as restated)
2,337,762
72,171
2,409,933


Additions
34,840
11,400
46,240



At 25 December 2022

2,372,602
83,571
2,456,173



Depreciation


At 27 December 2021 (as restated)
1,902,956
64,953
1,967,909


Charge for the period on owned assets
126,018
9,499
135,517



At 25 December 2022

2,028,974
74,452
2,103,426



Net book value



At 25 December 2022
343,628
9,119
352,747



At 26 December 2021 (as restated)
434,806
7,218
442,024

Included in the above are assets held under hire purchase arrangements within the group with a net book value of £98,362 (2021: £122,953)

Page 21

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

13.


Stocks

25 December
As restated
26 December
2022
2021
£
£

Raw materials and consumables
57,715
36,817

57,715
36,817



14.


Debtors

25 December
As restated
26 December
2022
2021
£
£

Amounts owed by group undertakings
8,950,411
7,465,688

Prepayments and accrued income
394,935
257,141

9,345,346
7,722,829


15.


Creditors: Amounts falling due within one year

25 December
As restated
26 December
2022
2021
£
£

Trade creditors
351,287
351,441

Amounts owed to group undertakings
3,945,637
3,045,637

Corporation tax
266,204
155,670

Accruals and deferred income
151,850
155,430

4,714,978
3,708,178



16.


Deferred taxation






2022


£






At beginning of year
103,988


Charged to profit or loss
(22,093)



At end of year
81,895

Page 22

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022
 
16.Deferred taxation (continued)

The provision for deferred taxation is made up as follows:

25 December
26 December
2022
2021
£
£


Accelerated capital allowances
81,895
103,988

81,895
103,988


17.


Share capital

25 December
26 December
2022
2021
£
£
Allotted, called up and fully paid



698 (2021 - 698) Ordinary shares of £1.00 each
698
698

The Company has one class of ordinary share which carries no right to fixed income.


18.


Reserves

Share premium account

This reserve records amounts received in excess of par value of shares.

Profit and loss account

This reserve records retained earnings and accumalated losses.

Page 23

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

19.


Prior year adjustment

The details of the correction of a prior period error are given below:
The following adjustments have been made due to an error in accounting for recognition for one store in The Woodpecker Inn Limited, rather than in fellow subsidiary, Sherston Limited and the fixed assets for one store in the same felow subsidiary.
i) Sales for the year 2021 have reduced from £14,072,603 to £12,867,407 after an adjustment of £1,205,196.
ii) Cost of sales for the year 2021 have reduced from £8,586,208 to £7,862,575 after an adjustment of £723,633.
iii) Administration expenses for the year 2021 have reduced from £2,592,459 to £2,374,898 after an adjustment of £217,561.
iv) Tax on profit for the year 2021 has decreased from £573,684 to £518,953 after an adjustment of £54,731.
v) The previously reported brought forward Profit and Loss Reserves as at 28 December 2020 of £3,145,588 have been adjusted by £245,944 and resulting in the restated amount of £2,899,644.
vi) The net book value of fixed assets at 26 December 2021 have reduced from £849,270 to £501,909 after an adjustment for £347,361.
vii) Current assets at 26 December 2021 have reduced from £7,937,967 to £7,762,482 after an adjustment for £175,485.
viii) Creditors at 26 December 2021 have reduced from £3,775,809 to £3,708,178 after an adjustment for £67,631.
.
The overall impact on net assets at 26 December 2021 has meant a reduction from £4,907,440 to £4,452,225 after
the adjustments totalling £455,215. Retained earnings at 26 December 2021 has also reduced by £455,215 from
£4,565,840 to £4,110,625 due to the error in recognising a store and the fixed assets for one store in this company.


20.


Commitments under operating leases

At 25 December 2022 the company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

25 December
As restated
26 December
2022
2021
£
£


Not later than 1 year
153,042
161,875

Later than 1 year and not later than 5 years
568,833
598,500

Later than 5 years
929,979
1,016,479

1,651,854
1,776,854

Page 24

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

21.


Guarantees

There is in place a Composite Company Unlimited Unilateral Guarantee in place, dated 7 February 2012, given to
HSBC plc by this company, Full House Restaurants Holdings Limited, Full House Restaurants Limited, House
Special Limited, Classic Crust Limited, Sunmead Limited, Sherston Limited and Surrey Pizzas Limited.

Page 25

 


THE WOODPECKER INN LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 25 DECEMBER 2022

22.


Related party transactions

At the year end this company owed the Franchisor, Dominos Pizza UK & Ireland Limited who own 49% of share capital in Full House Restaurant Holdings Limited, £267,323 in relation to trading activities (2021 - £98,444). The total amount paid to Dominos Pizza UK & Ireland Limited and its fellow group entity, DP Realty Limited, in relation to trading activities was £5,224,404 (2021 - £5,107,500). Trading activities are comprised of the following: cost of sales, store development, rent and service charges, advertising, administration costs and loan interest payments. 


23.


Controlling Party

The parent of the Company is Full House Restuarants Holding, which owns 100% of the issued share
capital of the Company. The registered office of Full House Restaurants Holdings Limited is 2nd Floor, Magna House, 18-32 London Road, Staines-upon-Thames, Surrey, TW18 4BP. The ultimate controlling parties are J Shedden and B Shedden.

 
Page 26