Caseware UK (AP4) 2022.0.179 2022.0.179 2023-01-312023-01-31truetruetruetruetruetrue2022-02-01false204false187 01588612 2022-02-01 2023-01-31 01588612 2021-02-01 2022-01-31 01588612 2023-01-31 01588612 2022-01-31 01588612 2021-02-01 01588612 1 2022-02-01 2023-01-31 01588612 1 2021-02-01 2022-01-31 01588612 d:CompanySecretary1 2022-02-01 2023-01-31 01588612 d:Director1 2022-02-01 2023-01-31 01588612 d:Director2 2022-02-01 2023-01-31 01588612 d:Director3 2022-02-01 2023-01-31 01588612 d:Director3 2023-01-31 01588612 d:Director4 2022-02-01 2023-01-31 01588612 d:Director4 2023-01-31 01588612 d:Director5 2022-02-01 2023-01-31 01588612 d:Director6 2022-02-01 2023-01-31 01588612 d:Director7 2022-02-01 2023-01-31 01588612 d:Director8 2022-02-01 2023-01-31 01588612 d:Director9 2022-02-01 2023-01-31 01588612 d:RegisteredOffice 2022-02-01 2023-01-31 01588612 e:Buildings e:LongLeaseholdAssets 2022-02-01 2023-01-31 01588612 e:Buildings e:ShortLeaseholdAssets 2022-02-01 2023-01-31 01588612 e:Buildings e:ShortLeaseholdAssets 2023-01-31 01588612 e:Buildings e:ShortLeaseholdAssets 2022-01-31 01588612 e:MotorVehicles 2022-02-01 2023-01-31 01588612 e:MotorVehicles 2023-01-31 01588612 e:MotorVehicles 2022-01-31 01588612 e:MotorVehicles e:OwnedOrFreeholdAssets 2022-02-01 2023-01-31 01588612 e:FurnitureFittings 2022-02-01 2023-01-31 01588612 e:FurnitureFittings 2023-01-31 01588612 e:FurnitureFittings 2022-01-31 01588612 e:FurnitureFittings e:OwnedOrFreeholdAssets 2022-02-01 2023-01-31 01588612 e:OwnedOrFreeholdAssets 2022-02-01 2023-01-31 01588612 e:FreeholdInvestmentProperty 2023-01-31 01588612 e:FreeholdInvestmentProperty 2022-01-31 01588612 e:FreeholdInvestmentProperty 2 2022-02-01 2023-01-31 01588612 e:CurrentFinancialInstruments 2023-01-31 01588612 e:CurrentFinancialInstruments 2022-01-31 01588612 e:CurrentFinancialInstruments e:WithinOneYear 2023-01-31 01588612 e:CurrentFinancialInstruments e:WithinOneYear 2022-01-31 01588612 e:ReportableOperatingSegment1 2022-02-01 2023-01-31 01588612 e:ReportableOperatingSegment1 2021-02-01 2022-01-31 01588612 e:ReportableOperatingSegment2 2022-02-01 2023-01-31 01588612 e:ReportableOperatingSegment2 2021-02-01 2022-01-31 01588612 e:ReportableOperatingSegment3 2022-02-01 2023-01-31 01588612 e:ReportableOperatingSegment3 2021-02-01 2022-01-31 01588612 e:ReportableOperatingSegment5 2022-02-01 2023-01-31 01588612 e:ReportableOperatingSegment5 2021-02-01 2022-01-31 01588612 e:ReportableOperatingSegment7 2022-02-01 2023-01-31 01588612 e:ReportableOperatingSegment7 2021-02-01 2022-01-31 01588612 e:ShareCapital 2022-02-01 2023-01-31 01588612 e:ShareCapital 2023-01-31 01588612 e:ShareCapital 2021-02-01 2022-01-31 01588612 e:ShareCapital 2022-01-31 01588612 e:ShareCapital 2021-02-01 01588612 e:SharePremium 2022-02-01 2023-01-31 01588612 e:SharePremium 2023-01-31 01588612 e:SharePremium 2021-02-01 2022-01-31 01588612 e:SharePremium 2022-01-31 01588612 e:SharePremium 2021-02-01 01588612 e:RetainedEarningsAccumulatedLosses 2022-02-01 2023-01-31 01588612 e:RetainedEarningsAccumulatedLosses 2023-01-31 01588612 e:RetainedEarningsAccumulatedLosses 2021-02-01 2022-01-31 01588612 e:RetainedEarningsAccumulatedLosses 2022-01-31 01588612 e:RetainedEarningsAccumulatedLosses 2021-02-01 01588612 e:AcceleratedTaxDepreciationDeferredTax 2023-01-31 01588612 e:AcceleratedTaxDepreciationDeferredTax 2022-01-31 01588612 e:TaxLossesCarry-forwardsDeferredTax 2023-01-31 01588612 e:TaxLossesCarry-forwardsDeferredTax 2022-01-31 01588612 e:RetirementBenefitObligationsDeferredTax 2023-01-31 01588612 e:RetirementBenefitObligationsDeferredTax 2022-01-31 01588612 e:OtherDeferredTax 2023-01-31 01588612 e:OtherDeferredTax 2022-01-31 01588612 d:OrdinaryShareClass1 2022-02-01 2023-01-31 01588612 d:OrdinaryShareClass1 2023-01-31 01588612 d:OrdinaryShareClass1 2022-01-31 01588612 d:FRS102 2022-02-01 2023-01-31 01588612 d:Audited 2022-02-01 2023-01-31 01588612 d:FullAccounts 2022-02-01 2023-01-31 01588612 d:PrivateLimitedCompanyLtd 2022-02-01 2023-01-31 01588612 e:WithinOneYear 2023-01-31 01588612 e:WithinOneYear 2022-01-31 01588612 e:BetweenOneFiveYears 2023-01-31 01588612 e:BetweenOneFiveYears 2022-01-31 01588612 e:MoreThanFiveYears 2023-01-31 01588612 e:MoreThanFiveYears 2022-01-31 01588612 2 2022-02-01 2023-01-31 01588612 5 2022-02-01 2023-01-31 01588612 6 2022-02-01 2023-01-31 01588612 7 2022-02-01 2023-01-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 01588612









FIRMDALE HOTELS PLC









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 JANUARY 2023

 
FIRMDALE HOTELS PLC
 
 
COMPANY INFORMATION


Directors
T J R Kemp 
J K Kemp 
A Kemp (appointed 1 February 2022)
W Kemp (appointed 1 February 2022)
R Cheles 
C A Markham 
M R Read 
C C Ring 
M T Soden 




Company secretary
M T Soden



Registered number
01588612



Registered office
18 Thurloe Place

London

SW7 2SP




Independent auditors
MHA
Statutory Auditor

6th Floor

2 London Wall Place

London

EC2Y 5AU





 
FIRMDALE HOTELS PLC
 

CONTENTS



Page
Strategic report
1 - 3
Directors' report
4 - 6
Independent auditors' report
7 - 10
Statement of comprehensive income
11
Statement of financial position
12
Statement of changes in equity
13 - 14
Notes to the financial statements
15 - 32


 
FIRMDALE HOTELS PLC
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2023

Introduction
 
The directors have pleasure in presenting their report and audited financial statements of the company for the year ended 31 January 2023.

Business review
 
The principal activity of the Company is that of luxury hotel developer, manager and operator in Central London. The properties it manages on behalf of other Group companies are the Covent Garden Hotel, the Charlotte Street Hotel, the Soho Hotel, the Haymarket Hotel and the Ham Yard hotel in the West End, and Number 16 hotel in South Kensington. It also operates the Dorset Square Hotel in Marylebone and the Knightsbridge hotel in Knightsbridge. The company carries all the central administration and property costs for the Firmdale London business.
The company was very pleased to have received the Queen’s Award for Enterprise 2018 in recognition of its outstanding achievements in International Trade. This is the fourth time the company has received the award. 
Other accolades awarded before the Covid closures included the 2018 Catey Hotel of the Year – Group award for The Ham Yard Hotel and the European Hotel Investment Conference Hall of Fame award for the Group. In 2019 the Charlotte Street restaurant and bar won the OpenTable Diner’s Choice Award.    
Revenue Performance
Trading in 2021/22 was tremendously difficult as Government directives mandated complete closure of the hotels through to May 2021. Ham Yard had a soft reopening on 17th May, but the remaining travel restrictions in place through to early July significantly constrained demand such that Number 16 hotel was the only other property open by the end of June. The Covent Garden, Charlotte Street and Soho hotels had a phased opening during July, with Haymarket, Knightsbridge and Dorset Square phased in during late August to mid September. Trading demand recovered strongly during the autumn of 2021 although staff shortages across the industry, and indeed the economy as a whole, necessitated managing demand carefully. 
Against that background, 2022/23 was characterised by a tremendously strong recovery as international travel was re-established, and by March 2022 revenues were already outperforming pre Covid levels. The upward trend continued throughout the year. 
As a result, total 2022/23 revenues for the eight hotels operated by the company were a new record of £116.4m, a 2.3 fold increase on the Covid restrictions impacted prior year, and a 5.2% increase over pre Covid 2019/20.  

Page 1

 
FIRMDALE HOTELS PLC
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2023

Principal risks and uncertainties
 
The principal financial risks faced by the Company, and the Company's objectives and policies in relation to those risks, are as follows:
Cash flow risk
The finance department closely manages the Company's cashflow. Detailed cashflow forecasts are regularly prepared with the objective of alerting the directors to potential future risks. It is the Company's policy to ensure that forecast funding requirements can be met with available committed facilities.
Credit risk
Credit risk is the financial exposure generated by the potential default of third parties in fulfilling their obligations. Credit risk arises for the Company if it is unable to recover sums due from clients and is mitigated by setting maximum levels of credit tolerance for more significant clients.
Currency risk
The Company faces minimal risks as it operates wholly in the UK.
Interest rate risk
The company’s interest rate policy has the twin objectives of minimising net interest expense whilst providing protection from material adverse movements in interest rates. The company had no debt at any time during the year and therefore has no exposure to interest rate risk.  

Financial key performance indicators
 
Combined average room across the eight managed properties was £568 (2021/22 - £492) an increase of 15.4% year on year. This compares to £410 in pre Covid 2019/20.
Combined average occupancy across the eight managed properties was 72% (2021/22 - 44%) a 28% points increase year on year. This compares to 87% in pre Covid 2019/20.
The resultant average rooms yield (RevPAR) growth across the eight managed properties was thereby 89% compared to 2021/22, and 13.6% ahead of pre Covid 2019/20. 
Food & Beverage revenues increased 73.5% over 2021/22, but remained 9.5% below pre Covid 2019/20.
Income from private events contributed 9.7% of total revenues (2022 – 11.2%).
Conversion of Hotel Revenues to Gross Operating Profit was 42.8% compared to a prior year 33.1%.

Page 2

 
FIRMDALE HOTELS PLC
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2023

Going concern

The directors view the cashflows and liabilities of Firmdale Holdings Ltd and its subsidiaries (“the Group”) as a whole in making assessments of the group’s ability to meet its liabilities as they fall due. Therefore, as part of their assessment of going concern, the directors of the company have considered the funding and liquidity position of the Group to determine the appropriateness of preparing the financial statements on a going concern basis. 
The outbreak of the global Covid-19 pandemic in early 2020 had a very significant impact on the operations of the group in common with the majority of businesses worldwide, and the hospitality sector in particular. Following the elimination of all material UK restrictions with effect from 19th July 2021, and the gradual restoration of international travel thereafter, trading demand recovered quickly and since March 2022 both Revenues and Earnings have exceeded those achieved in pre-Covid 2019, a significant milestone in recovery. The continuing growth led to record profitability for the Group in the financial year to January 2023. Furthermore, rising interest rates have not had a significant impact on the Group given that 67% of group debt is fixed and a further 31% has the benefit of an interest rate cap should LIBOR exceed 3.5%. 
The trading results for the first six months of the new financial year are slightly ahead of budget and the outlook for the remainder of the year and beyond remains positive. The lenders remained very supportive during the Covid period and the relationships remain strong with comfortable delivery of financial covenant hurdles now firmly re-established. 
The Board will continue to monitor developments closely and adjust their forecasting assumptions as required, but have a high degree of confidence that the company will be able to meet its liabilities as they fall due and meet its covenant obligations for a period of at least twelve months. The Directors have therefore concluded that the company can continue to adopt the going concern basis in preparing the annual report and accounts.


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



................................................
T J R Kemp
Director

Date: 10 October 2023

Page 3

 
FIRMDALE HOTELS PLC
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JANUARY 2023

The directors present their report and the financial statements for the year ended 31 January 2023.

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.

Principal activity

The principal activity of the company is that of a luxury hotel developer, manager and operator in Central London.

Results and dividends

The profit for the year, after taxation, amounted to £8,763 thousand (2022 - loss £2,767 thousand).

The directors do not recommend the payment of a dividend (2022 - £Nil).

Directors

The directors who served during the year were:

T J R Kemp 
J K Kemp 
A Kemp (appointed 1 February 2022)
W Kemp (appointed 1 February 2022)
R Cheles 
C A Markham 
M R Read 
C C Ring 
M T Soden 

Page 4

 
FIRMDALE HOTELS PLC
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2023

Future developments

The Company is actively seeking further development opportunities in London. A long leasehold interest in three adjacent buildings in the Bloomsbury area was acquired in April 2022. Plans for converting these to a first class hotel as part of our Town House collection are well advanced. 

Directors' qualifying third party indemnity provisions

Third party qualifying directors' and officers’ insurance has been maintained throughout the financial year and to the date of this report which extends to all subsidiaries within the wider group under Firmdale Holdings Limited.

Financial instruments

The company has established a risk and financial management framework whose primary objectives are to protect the company from events that hinder the achievement of the company's performance objectives.
The objectives aim to limit undue counterparty exposure, ensure sufficient working capital exists and monitor the management of risk at a business unit level.
Further detail in respect to the company's exposure to risks such as cash flow and liquidity risk has been provided in the strategic report on pages 1 - 3.

Matters covered in the Strategic report

As permitted by paragraph 1A of schedule 7 of the Large and Medium Sized Companies and Groups (Accounts and Reports) Regulation 2008, certain matters which are required to be disclosed in the directors' report have been omitted as they are included in the strategic report on pages 1 - 3.

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

Following a rebranding exercise on 15 May 2023 the trading name of the company's independent auditor changed from MHA MacIntyre Hudson to MHA. A resolution to reappoint MHA as independent auditor will be proposed at the next Annual General Meeting.

Page 5

 
FIRMDALE HOTELS PLC
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2023

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




................................................
T J R Kemp
Director

Date: 10 October 2023

Page 6

 
FIRMDALE HOTELS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FIRMDALE HOTELS PLC
 

Opinion


We have audited the financial statements of Firmdale Hotels Plc (the 'Company') for the year ended 31 January 2023, which comprise the Statement of comprehensive income, 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 31 January 2023 and of its 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 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.


Page 7

 
FIRMDALE HOTELS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FIRMDALE HOTELS PLC (CONTINUED)


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.


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 year 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 4, 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 8

 
FIRMDALE HOTELS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FIRMDALE HOTELS PLC (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:
enquiry of management, those charged with governance and Company legal advisors around actual and potential litigation and claims;
 
performing audit work over the risk and management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias;

reviewing minutes of meetings of those charged with governance; and

reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations

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 9

 
FIRMDALE HOTELS PLC
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF FIRMDALE HOTELS PLC (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.





Rajeev Shaunak FCA (Senior Statutory Auditor)
  
for and on behalf of
MHA
 
Statutory Auditor
  
London, United Kingdom

19 October 2023
MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313).
Page 10

 
FIRMDALE HOTELS PLC
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 JANUARY 2023

2023
2022
Note
£000
£000

  

Turnover
 4 
19,204
7,474

Cost of sales
  
(5,035)
(8,385)

Gross profit/(loss)
  
14,169
(911)

Administrative expenses
  
(12,601)
(4,441)

Other operating income
 5 
-
1,288

Movement in fair value of investment property
  
195
-

Operating profit/(loss)
 6 
1,763
(4,064)

Interest receivable and similar income
 10 
2,657
1,316

Interest payable and similar expenses
 11 
(204)
(19)

Profit/(loss) before tax
  
4,216
(2,767)

Tax on profit/(loss)
 12 
4,547
-

Profit/(loss) for the financial year
  
8,763
(2,767)

All amounts relate to continuing operations.

There was no other comprehensive income for 2023 (2022:£000NIL).

The notes on pages 15 to 32 form part of these financial statements.

Page 11

 
FIRMDALE HOTELS PLC
REGISTERED NUMBER: 01588612

STATEMENT OF FINANCIAL POSITION
AS AT 31 JANUARY 2023

2023
2022
Note
£000
£000

Fixed assets
  

Tangible assets
 13 
2,170
1,587

Investments
 14 
71,523
70,219

Investment property
 15 
650
455

  
74,343
72,261

Current assets
  

Stocks
 16 
1,686
885

Debtors: amounts falling due within one year
 17 
204,653
158,561

Cash at bank and in hand
 18 
25,095
26,568

  
231,434
186,014

Creditors: amounts falling due within one year
 19 
(150,664)
(111,925)

Net current assets
  
 
 
80,770
 
 
74,089

Total assets less current liabilities
  
155,113
146,350

  

Net assets
  
155,113
146,350


Capital and reserves
  

Called up share capital 
 21 
1,668
1,668

Share premium account
 22 
4,592
4,592

Profit and loss account
 22 
148,853
140,090

  
155,113
146,350


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




................................................
T J R Kemp
Director

Date: 10 October 2023

The notes on pages 15 to 32 form part of these financial statements.

Page 12

 
FIRMDALE HOTELS PLC
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JANUARY 2023


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

£000
£000
£000
£000

At 1 February 2022
1,668
4,592
140,090
146,350



Profit for the year
-
-
8,763
8,763
Total comprehensive income for the year
-
-
8,763
8,763


At 31 January 2023
1,668
4,592
148,853
155,113


The notes on pages 15 to 32 form part of these financial statements.

Page 13

 
FIRMDALE HOTELS PLC
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JANUARY 2022


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

£000
£000
£000
£000

At 1 February 2021
1,668
4,592
142,857
149,117



Loss for the year
-
-
(2,767)
(2,767)
Total comprehensive income for the year
-
-
(2,767)
(2,767)


At 31 January 2022
1,668
4,592
140,090
146,350


The notes on pages 15 to 32 form part of these financial statements.

Page 14

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

1.


General information

Firmdale Hotels plc is a public limited company, incorporated and registered in England and Wales under the Companies Act. The company's registered office is 18 Thurloe Place, London, SW7 2SP.
The principal activity of the Company is that of luxury hotel developer, manager and operator in Central London.
The Company's functional and presentational currency is pound sterling (GBP), rounded to the nearest £1,000.

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 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).

The following principal accounting policies have been applied:

 
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 Firrndale Holdings Limited  as at 31 January 2023 and these financial statements may be obtained from the Registrar of Companies.

Page 15

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
2.3

Going concern

The directors view the cashflows and liabilities of Firmdale Holdings Ltd and its subsidiaries (“the Group”) as a whole in making assessments of the group’s ability to meet its liabilities as they fall due. Therefore, as part of their assessment of going concern, the directors of the company have considered the funding and liquidity position of the Group to determine the appropriateness of preparing the financial statements on a going concern basis. 
The outbreak of the global Covid-19 pandemic in early 2020 had a very significant impact on the operations of the group in common with the majority of businesses worldwide, and the hospitality sector in particular. Following the elimination of all material UK restrictions with effect from 19th July 2021, and the gradual restoration of international travel thereafter, trading demand recovered quickly and since March 2022 both Revenues and Earnings have exceeded those achieved in pre-Covid 2019, a significant milestone in recovery. The continuing growth led to record profitability for the Group in the financial year to January 2023. Furthermore, rising interest rates have not had a significant impact on the Group given that 67% of group debt is fixed and a further 31% has the benefit of an interest rate cap should LIBOR exceed 3.5%. 
The trading results for the first six months of the new financial year are slightly ahead of budget and the outlook for the remainder of the year and beyond remains positive. The lenders remained very supportive during the Covid period and the relationships remain strong with comfortable delivery of financial covenant hurdles now firmly re-established. 
The Board will continue to monitor developments closely and adjust their forecasting assumptions as required, but have a high degree of confidence that the company will be able to meet its liabilities as they fall due and meet its covenant obligations for a period of at least twelve months. The Directors have therefore concluded that the company can continue to adopt the going concern basis in preparing the annual report and accounts.

 
2.4

Revenue

Revenue represents amounts receivable for accommodation, food and beverage sales and ancillary hotel services provided in the normal course of business.
Revenue 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. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Deposits which have been received at the reporting date for which services have not yet been provided are included in accruals and deferred income within creditors.

Page 16

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
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.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to the statement of comprehensive income during the period in which they are incurred.

Land is not depreciated. Depreciation on other assets is charged so as to allocate the cost of assets less their residual value over their estimated useful lives.

Depreciation is provided on the following basis:

Leasehold property
-
Over the lease term
Motor vehicles
-
20% to 33% per annum on cost
Fixtures and fittings
-
15% per annum on cost


 
2.6

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.


 
2.7

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to the statement of comprehensive income on a straight line basis over the lease term.

 
2.8

Operating leases: the Company as lessor

Rental income from operating leases is credited to the statement of comprehensive income on a straight-line basis over the lease term.

Page 17

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
2.9

Impairment of non-financial assets

Assets that are subject to depreciation or amortisation are assessed at each reporting date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU`s) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each reporting date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

 
2.10

Investment property

Certain company properties are held for long-term investment. Investment properties are accounted for as follows:
Investment properties are initially recognised at cost, which includes purchase cost and any directly attributable expenditure.
Investment properties whose fair value can be measured reliably are measured at fair value. The surplus or deficit on revaluation is recognised in the statement of comprehensive income and accumulated in retained earnings.

 
2.11

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Loans to fellow group companies are recognised as investments where the nature of the loan agreement allows repayment in the form of equity or cash at the sole discretion of the borrower. Such investments are recognised at the fair value of consideration paid and subsequently at amortised cost.

 
2.12

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell after making due allowance for obsolete and slow-moving stocks. Cost is based on the cost of purchase on a first in, first out basis.

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 the statement of comprehensive income.

 
2.13

Debtors

Short term debtors are measured at transaction price, less any impairment, unless the arrangement constitutes a financing transaction.

Page 18

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
2.14

Cash and cash equivalents

Cash and cash equivalents in the statement of financial position comprise cash at banks and in hand and short term deposits with a maturity date of three months or less and bank overdrafts.

 
2.15

Creditors

Short term creditors are measured at the transaction price unless the arrangement constitutes a financing transaction.

 
2.16

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the statement of comprehensive income.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in the statement of comprehensive income within 'other comprehensive income'.

 
2.17

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 the statement of comprehensive income 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 19

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
2.18

Holiday pay adjustment

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the reporting date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the reporting date.

To the extent that the holiday pay adjustment gives rise to an asset balance at the reporting date the amount is reported in prepayments.

 
2.19

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the reporting date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Statement of financial position.

 
2.20

Interest income

Interest income is recognised in the statement of comprehensive income using the effective interest method.

 
2.21

Government subsidies and grant income

Government subsidies and grant income are recognised when there is reasonable assurance that the conditions attached to the income will be met and that the income will be received. The income is recognised in the statement of comprehensive income over the periods in which the company incurs expenses for which the subsidies or grants are intended to compensate. In this financial year, under FRS102 reporting standards, the company has included its income from the Government's Coronavirus Job Retention Scheme within other income.

 
2.22

Borrowing costs

All borrowing costs are recognised in the statement of comprehensive income in the year in which they are incurred.

 
2.23

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its 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.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that
Page 20

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)


2.23
Financial instruments (continued)

are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.

Investments in non-derivative instruments that are equity to the issuer are measured:
at fair value with changes recognised in the Statement of comprehensive income if the shares are publicly traded or their fair value can otherwise be measured reliably;
at cost less impairment for all other investments.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the reporting date.

Financial assets and liabilities are offset and the net amount reported in the Statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Page 21

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

2.Accounting policies (continued)

 
2.24

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the statement of comprehensive income 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 following judgements (including the key areas of estimation uncertainty) have had the most significant effect on amounts recognised in the financial statements:
Revaluation of tangible fixed assets
The long term leasehold property is held under the revaluation model based on the directors' conclusions, having consulted and reviewed the previous valuations completed by independent valuation specialists. These valuers hold recognised and relevant professional qualifications. The valuations are based on discounted cash flow models which include judgements surrounding future performance and market factors.
Fair value of investment properties
Freehold investment property is held at fair value based on the directors' conclusions, having consulted and reviewed the previous valuations completed by independent valuation specialists. These valuers hold recognised and relevant professional qualifications. The valuations are based on discounted cash flow models which include judgements surrounding future performance and market factors. 

Page 22

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

4.


Turnover

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


2023
2022
£000
£000

Rooms
7,353
1,683

Other
72
60

Food and beverage
1,226
320

Residential design fee income and Shop Kit Kemp
1,516
1,692

Management fee income
9,037
3,719

19,204
7,474


All turnover arose within the United Kingdom.


5.


Other operating income

2023
2022
£000
£000

Government grants receivable
-
1,288



6.


Operating profit/(loss)

The operating profit/(loss) is stated after charging:

2023
2022
£000
£000

Depreciation of tangible fixed assets
654
619

Exchange differences
(239)
(502)

Other operating lease rentals
2,270
2,242


7.


Auditors' remuneration

2023
2022
£000
£000


Fees payable to the Company's auditor and its associates for the audit of the Company's annual financial statements
65
101


The Company has taken advantage of the exemption not to disclose amounts paid for non audit services as these are disclosed in the group accounts of the parent Company.

Page 23

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

8.


Employees

Staff costs, including directors' remuneration, were as follows:


2023
2022
£000
£000

Wages and salaries
9,443
6,879

Social security costs
1,061
722

Cost of defined contribution scheme
140
115

10,644
7,716


The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Hotel staff
86
73



Administrative staff
94
93



Sales staff
15
12



Directors
9
9

204
187


9.


Directors' remuneration

2023
2022
£000
£000

Directors' emoluments
2,510
2,011

Company contributions to defined contribution pension schemes
8
8

2,518
2,019


During the year retirement benefits were accruing to 5 directors (2022 - 5) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £517 thousand (2022 - £441 thousand).


10.


Interest receivable

2023
2022
£000
£000


Interest receivable from group companies
2,657
1,316

Page 24

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

11.


Interest payable and similar expenses

2023
2022
£000
£000


Bank interest payable
204
19


12.


Taxation


2023
2022
£000
£000



Total current tax
-
-

Deferred tax


Origination and reversal of timing differences
1,055
(11)

Adjustments in respect to prior periods
(5,602)
8

Effect of tax rate change on opening balance
-
3

Total deferred tax
(4,547)
-


Tax on profit/(loss)
(4,547)
-
Page 25

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 19% (2022 - 19%). The differences are explained below:

2023
2022
£000
£000


Profit/(loss) on ordinary activities before tax
4,216
(2,767)


Profit/(loss) on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2022 - 19%)
801
(526)

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
3
12

Super-deduction expenditure adjustment
(9)
-

Adjustments to tax charge in respect of prior periods
(5,602)
8

Deferred tax recognised at a higher rate
254
399

Capital gains
43
-

Revaluation of investment property
(37)
-

Group relief
-
107

Total tax credit for the year
(4,547)
-


Factors that may affect future tax charges

The standard rate of corporation tax in the UK has increased on a sliding scale based on profits from 19%
to 25%, effective from 1 April 2023.

Page 26

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

13.


Tangible fixed assets





Leasehold hotels
Motor vehicles
Fixtures and fittings
Total

£000
£000
£000
£000



Cost or valuation


At 1 February 2022
12,244
229
5,240
17,713


Additions
48
65
1,124
1,237



At 31 January 2023

12,292
294
6,364
18,950



Depreciation


At 1 February 2022
12,220
221
3,685
16,126


Charge for the year on owned assets
22
21
611
654



At 31 January 2023

12,242
242
4,296
16,780



Net book value



At 31 January 2023
50
52
2,068
2,170



At 31 January 2022
24
8
1,555
1,587

The leasehold hotels were valued by the directors, with support of Cushman & Wakefield, Chartered Surveyors, an independent valuer with a recognised and relevant professional qualification and with recent experience in the location and category of the property being valued. A formal valuation was carried out at the previous reporting date, 31 January 2022 and since then an assessment has been carried out by the directors with guidance from Cushman & Wakefield as at 31 January 2023, on the basis of fair value in accordance with the Appraisal and Valuation Manual of The Royal Institution of Chartered Surveyors.
If the leasehold hotels had not been included at valuation they would have been included under the historical cost convention as follows:

2023
2022
      £000
      £000
Cost

12,292

12,244
 
Accumulated depreciation

(6,886)

(6,864)
 
Net book value

5,406

5,380
 

Page 27

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

14.


Fixed asset investments





Loans to fellow subsidiaries

£000



Cost or valuation


At 1 February 2022
70,219


Additions
1,304



At 31 January 2023
71,523



Net book value



At 31 January 2023
71,523



At 31 January 2022
70,219


15.


Investment property


Freehold investment property

£000



Valuation


At 1 February 2022
455


Surplus on revaluation
195



At 31 January 2023
650

The fair value of the investment property has been determined by the directors with reference to the sales price of similar properties in the same geographic location.






Page 28

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

16.


Stocks

2023
2022
£000
£000

Food and beverage stocks
120
66

Refurbishment and maintenance stocks
1,566
819

1,686
885


The replacement cost of stock was not materially different to the amount stated above.


17.


Debtors

2023
2022
£000
£000


Trade debtors
82
127

Amounts owed by group undertakings
194,938
155,811

Other debtors
1,444
694

Prepayments and accrued income
3,642
1,929

Deferred taxation
4,547
-

204,653
158,561


All amounts shown under debtors fall due for payment within one year.
Amounts owed by group undertakings are unsecured, interest-free and are repayable on demand.


18.


Cash and cash equivalents

2023
2022
£000
£000

Cash at bank and in hand
25,095
26,568


Page 29

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

19.


Creditors: Amounts falling due within one year

2023
2022
£000
£000

Trade creditors
2,758
3,948

Amounts owed to group undertakings
139,523
102,191

Other taxation and social security
3,611
1,771

Other creditors
487
389

Accruals and deferred income
4,285
3,626

150,664
111,925


Amounts owed to group undertakings are unsecured, interest-free and are repayable on demand.


20.


Deferred taxation




2023


£000






Credited to profit or loss
4,547



At end of year
4,547

The deferred tax asset is made up as follows:

2023
2022
£000
£000


Fixed asset timing differences
804
-

Tax losses carried forward and other deductions
2,622
-

Temporary difference on the revaluation of leasehold property
1,088
-

Short term timing differences
33
-

4,547
-

Page 30

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

21.


Share capital

2023
2022
£000
£000
Allotted, called up and fully paid



1,667,596 (2022 - 1,667,596) Ordinary shares of £1.00 each
1,668
1,668

The ordinary shares have attached to them full voting, dividend and capital distribution (including on winding up) rights; they do not cover any rights of redemption.



22.


Reserves

Share premium account

This reserve records the amount above the nominal value received for shares issued, less transaction costs.

Profit and loss account

Profit and loss account represents cumulative profits or losses, net of dividends paid and other adjustments.


23.


Pension commitments

The company operates a defined contribution scheme for employees. The assets of the scheme are held separately from those of the company in independently administered funds. The pension costs charge for the year represents contributions payable by the company to the funds and amounted to £140,000 (2022 -£115,000). Contributions totaling £132,000 (2022 - £88,000) were payable to the fund at the reporting date.


24.


Commitments under operating leases

At 31 January 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£000
£000


Not later than 1 year
2,509
2,538

Later than 1 year and not later than 5 years
9,649
9,868

Later than 5 years
30,191
32,484

42,349
44,890

The company holds one residential property as investment property as disclosed in Note 15. The offices are occupied under non-cancellable leases and have remaining terms of between one and five years. The residential property is freehold tenure and is let to third parties.

Page 31

 
FIRMDALE HOTELS PLC
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2023

25.


Related party transactions

The company has taken advantage of the exemption available under paragraph 33.1A of the Financial Reporting Standard 102 not to disclose transactions with other wholly owned members of the group.
At the reporting date T J R Kemp, a director of the company, owed £793,000 to the company (2022 -owed by the company £35,405). The maximum amount owing to the company during the year was £793,373 (2022 - £496,631). The loan is interest free and fully repaid post year end.


26.


Controlling party

The immediate parent and controlling company is Firmdale Holdings Limited, a company registered in England and Wales.
The company is included within the consolidation of the Firmdale Holdings Limited group and this is the parent of the smallest and largest group which draws up consolidated financial statements. Firmdale Holdings Limited registered office address is 18 Thurloe Place, London, SW7 2SP. The consolidated accounts of this group are publicly available from the Registrar of Companies.
In the opinion of the directors, the Trustees of Kemp Family Foundation are the ultimate controlling party
of the Group and therefore of this entity.

 
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