Caseware UK (AP4) 2022.0.179 2022.0.179 2023-08-312023-08-31trueRetailing - sale of boutique products and food/beverage31truetruetruetruetruetruetruefalsetrue352022-09-01 05034988 2022-09-01 2023-08-31 05034988 2023-08-31 05034988 2021-09-01 2022-08-31 05034988 2022-08-31 05034988 2021-09-01 05034988 c:Director1 2022-09-01 2023-08-31 05034988 c:RegisteredOffice 2022-09-01 2023-08-31 05034988 d:Buildings d:LongLeaseholdAssets 2022-09-01 2023-08-31 05034988 d:Buildings d:LongLeaseholdAssets 2023-08-31 05034988 d:Buildings d:LongLeaseholdAssets 2022-08-31 05034988 d:LandBuildings 2023-08-31 05034988 d:LandBuildings 2022-08-31 05034988 d:FurnitureFittings 2022-09-01 2023-08-31 05034988 d:FurnitureFittings 2023-08-31 05034988 d:FurnitureFittings 2022-08-31 05034988 d:FurnitureFittings d:OwnedOrFreeholdAssets 2022-09-01 2023-08-31 05034988 d:ComputerEquipment 2022-09-01 2023-08-31 05034988 d:ComputerEquipment 2023-08-31 05034988 d:ComputerEquipment 2022-08-31 05034988 d:ComputerEquipment d:OwnedOrFreeholdAssets 2022-09-01 2023-08-31 05034988 d:OtherPropertyPlantEquipment 2022-09-01 2023-08-31 05034988 d:OtherPropertyPlantEquipment 2023-08-31 05034988 d:OtherPropertyPlantEquipment 2022-08-31 05034988 d:OtherPropertyPlantEquipment d:OwnedOrFreeholdAssets 2022-09-01 2023-08-31 05034988 d:OwnedOrFreeholdAssets 2022-09-01 2023-08-31 05034988 d:DevelopmentCostsCapitalisedDevelopmentExpenditure 2022-09-01 2023-08-31 05034988 d:DevelopmentCostsCapitalisedDevelopmentExpenditure 2023-08-31 05034988 d:DevelopmentCostsCapitalisedDevelopmentExpenditure 2022-08-31 05034988 d:ComputerSoftware 2022-09-01 2023-08-31 05034988 d:ComputerSoftware 2023-08-31 05034988 d:ComputerSoftware 2022-08-31 05034988 d:CurrentFinancialInstruments 2023-08-31 05034988 d:CurrentFinancialInstruments 2022-08-31 05034988 d:Non-currentFinancialInstruments 2023-08-31 05034988 d:Non-currentFinancialInstruments 2022-08-31 05034988 d:CurrentFinancialInstruments d:WithinOneYear 2023-08-31 05034988 d:CurrentFinancialInstruments d:WithinOneYear 2022-08-31 05034988 d:Non-currentFinancialInstruments d:AfterOneYear 2023-08-31 05034988 d:Non-currentFinancialInstruments d:AfterOneYear 2022-08-31 05034988 d:ShareCapital 2022-09-01 2023-08-31 05034988 d:ShareCapital 2023-08-31 05034988 d:ShareCapital 2021-09-01 2022-08-31 05034988 d:ShareCapital 2022-08-31 05034988 d:ShareCapital 2021-09-01 05034988 d:RetainedEarningsAccumulatedLosses 2022-09-01 2023-08-31 05034988 d:RetainedEarningsAccumulatedLosses 2023-08-31 05034988 d:RetainedEarningsAccumulatedLosses 2021-09-01 2022-08-31 05034988 d:RetainedEarningsAccumulatedLosses 2022-08-31 05034988 d:RetainedEarningsAccumulatedLosses 2021-09-01 05034988 d:AcceleratedTaxDepreciationDeferredTax 2023-08-31 05034988 d:AcceleratedTaxDepreciationDeferredTax 2022-08-31 05034988 d:TaxLossesCarry-forwardsDeferredTax 2023-08-31 05034988 d:TaxLossesCarry-forwardsDeferredTax 2022-08-31 05034988 d:RetirementBenefitObligationsDeferredTax 2023-08-31 05034988 d:RetirementBenefitObligationsDeferredTax 2022-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2022-09-01 2023-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2023-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability1ComponentTotalProvisionsContingentLiabilities 2022-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability3ComponentTotalProvisionsContingentLiabilities 2022-09-01 2023-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability3ComponentTotalProvisionsContingentLiabilities 2023-08-31 05034988 d:FurtherSpecificTypeProvisionContingentLiability3ComponentTotalProvisionsContingentLiabilities 2022-08-31 05034988 c:OrdinaryShareClass1 2022-09-01 2023-08-31 05034988 c:OrdinaryShareClass1 2023-08-31 05034988 c:OrdinaryShareClass1 2022-08-31 05034988 c:FRS101 2022-09-01 2023-08-31 05034988 c:Audited 2022-09-01 2023-08-31 05034988 c:FullAccounts 2022-09-01 2023-08-31 05034988 c:PrivateLimitedCompanyLtd 2022-09-01 2023-08-31 05034988 c:SmallCompaniesRegimeForAccounts 2022-09-01 2023-08-31 05034988 d:FinancialLiabilitiesAmortisedCost 2022-09-01 2023-08-31 05034988 d:InternallyGeneratedIntangibleAssets 2022-09-01 2023-08-31 05034988 d:DevelopmentCostsCapitalisedDevelopmentExpenditure d:InternallyGeneratedIntangibleAssets 2022-09-01 2023-08-31 05034988 d:ComputerSoftware d:InternallyGeneratedIntangibleAssets 2022-09-01 2023-08-31 05034988 2 2022-09-01 2023-08-31 05034988 d:CurrentFinancialInstruments 7 2023-08-31 05034988 d:CurrentFinancialInstruments 7 2022-08-31 05034988 d:Buildings d:Right-of-useAssets 2022-09-01 2023-08-31 05034988 d:Buildings d:Right-of-useAssets 2021-09-01 2022-08-31 05034988 d:Right-of-useAssets 2022-09-01 2023-08-31 05034988 d:WithinOneYear 2023-08-31 05034988 d:WithinOneYear 2022-08-31 05034988 d:BetweenOneFiveYears 2023-08-31 05034988 d:BetweenOneFiveYears 2022-08-31 iso4217:GBP xbrli:shares xbrli:pure
Company registration number: 05034988







FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 AUGUST 2023


TOURVEST DUTY FREE (UK) LIMITED






































img6365.png                        

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
COMPANY INFORMATION


Director
Clive Jones 




Registered number
05034988



Registered office
One Crown Square
Church Street East

Woking

GU21 6HR




Independent auditors
Menzies LLP
Chartered Accountants & Statutory Auditor

Lynton House

7-12 Tavistock Square

London

WC1H 9LT





 


TOURVEST DUTY FREE (UK) LIMITED
REGISTERED NUMBER:05034988



BALANCE SHEET
AS AT 31 AUGUST 2023

2023
2022
Note
£
£

Fixed assets
  

Intangible assets
 4 
95,814
317,114

Tangible assets
 5 
395,584
332,720

  
491,398
649,834

Current assets
  

Stocks
 6 
1,400,030
954,979

Debtors: amounts falling due after more than one year
 7 
82,106
-

Debtors: amounts falling due within one year
 7 
5,676,754
4,678,768

Cash at bank and in hand
 8 
4,452,338
2,553,677

  
11,611,228
8,187,424

Creditors: amounts falling due within one year
 9 
(12,934,073)
(14,007,018)

Net current liabilities
  
 
 
(1,322,845)
 
 
(5,819,594)

Total assets less current liabilities
  
(831,447)
(5,169,760)

Creditors: amounts falling due after more than one year
  
(119,384)
-

Provisions for liabilities
  

Provisions
 12 
(374,570)
(230,866)

  
 
 
(374,570)
 
 
(230,866)

Net liabilities
  
(1,325,401)
(5,400,626)


Capital and reserves
  

Called up share capital 
 13 
1,250,000
1,250,000

Profit and loss account
 14 
(2,575,401)
(6,650,626)

  
(1,325,401)
(5,400,626)


Page 1

 


TOURVEST DUTY FREE (UK) LIMITED
REGISTERED NUMBER:05034988


    
BALANCE SHEET (CONTINUED)
AS AT 31 AUGUST 2023

The Company's financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

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



Clive Jones
Director

Date: 15 December 2023

The notes on pages 4 to 22 form part of these financial statements.

Page 2

 


TOURVEST DUTY FREE (UK) LIMITED
 



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


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 September 2021
1,250,000
(7,672,528)
(6,422,528)


Comprehensive income for the year

Profit for the year
-
1,021,902
1,021,902
Total comprehensive income for the year
-
1,021,902
1,021,902



At 1 September 2022
1,250,000
(6,650,626)
(5,400,626)


Comprehensive income for the year

Profit for the year
-
4,075,225
4,075,225
Total comprehensive income for the year
-
4,075,225
4,075,225


At 31 August 2023
1,250,000
(2,575,401)
(1,325,401)


The notes on pages 4 to 22 form part of these financial statements.

Page 3

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

1.


General information

Tourvest Duty Free (UK) Limited (Registration number 05034988) is a private company limited by shares incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is shown on the Company information page. 
The principal activity of the Company is the retail of both refreshment and boutique products on behalf of a leading global airline in the United Kingdom. The refreshment products consist of food and beverage for consumption inflight and duty free items available on pre order through an E-Commerce platform with delivery options of inflight or home delivery. Pre orders can also be placed onboard for delivery on a future flight.

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 101 'Reduced Disclosure Framework'  and the Companies Act 2006.

As permitted by FRS 101, the Company has taken advantage of the disclosure exemptions available under that standard in relation to Statement of cash flows, new accounting standards not yet effective, key management
compensation, comparative details of property, plant and equipment, financial assets and liabilities in respect of
financial instruments held at amortised cost, related party transactions between group entities which are wholly
owned and risk management and presentation of a third balance sheet as at the beginning of the preceding
period.

The preparation of financial statements in compliance with FRS 101 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies.

The following principal accounting policies have been applied:

Page 4

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.2

Financial Reporting Standard 101 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions under FRS 101:
the requirements of IFRS 7 Financial Instruments: Disclosures
the requirements of paragraphs 91-99 of IFRS 13 Fair Value Measurement
the requirements of the second sentence of paragraph 110 and paragraphs 113(a), 114, 115, 118, 119(a) to (c), 120 to 127 and 129 of IFRS 15 Revenue from Contracts with Customers
the requirement in paragraph 38 of IAS 1 'Presentation of Financial Statements' to present comparative information in respect of:
 - paragraph 79(a)(iv) of IAS 1;
 - paragraph 73(e) of IAS 16 Property, Plant and Equipment;
 - paragraph 118(e) of IAS 38 Intangible Assets;
the requirements of paragraphs 10(d), 10(f), 16, 38A, 38B, 38C, 38D, 40A, 40B, 40C, 40D, 111 and 134-136 of IAS 1 Presentation of Financial Statements
the requirements of IAS 7 Statement of Cash Flows
the requirements of paragraphs 30 and 31 of IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors
the requirements of paragraph 74A(b) of IAS 16
the requirements of paragraphs 130(f)(ii), 130(f)(iii), 134(d)-134(f) and 135(c)-135(e) of IAS 36 Impairment of Assets.

This information is included in the consolidated financial statements of Tourvest Group Proprietary Limited  as at 31 August 2023 and these financial statements may be obtained from Stonewedge Office Park, 1 Wedgelink Road, Bryanston, Johannesburg, 2031, South Africa..

 
2.3

Going concern

The financial statements for the company are prepared on the going concern basis. In making this assessment, the director  has reviewed the company's cash flow forecast for the 12 months following the signing of the financial statements, which shows that the company will be able to meet its obligations as and when they fall due. He has also considered how sensitive this cash flow forecast is to reasonably possible scenarios and is satisfied that the company will have sufficient headroom on cash were these scenarios to materialise.

 
2.4

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.

Page 5

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.5

Revenue

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:

The Company does not expect to have any contracts where the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year. As a consequence, the Company does not adjust any of the transaction prices for the time value of money.

Sale of goods

Revenue from the sale of goods is recognised on the satisfaction of performance obligations, such as the transfer of a promised good, identified in the contract between the Company and the customer. These are delivered via different sales channels including inflight sales on board aircraft, e-commerce sales pre-ordered and delivered on a flight in the future, sales made in ground stores and e-commerce sales for home delivery.

A receivable is recognised when the goods are delivered as this is the point in time that the consideration is unconditional because only the passage of time is required before the payment is due.
The Company segments its revenue by the nature. The main segments are:
- Boutique merchandise;
- Food and beverages;
- Website sales;  and
- Products through retail stores

Page 6

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.6

Leases

Leases are recognised as a right-of-use asset and a corresponding lease liability at the date when the leased asset becomes available for use by the Company.
The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted by using the rate implicit in the lease. If this rate cannot be readily determined, the company uses its incremental borrowing rate. The incremental borrowing rate is the amount that is defined as the interest rate at which the entity can borrow funds of a similar amount to the lease term; secured by the right-of-use asset associated with the lease; for a similar term to the lease and in a similar economic environment. 
Right of use assets are measured at cost and mainly comprises of the amount of the initial measurement of the lease liability.
They are subsequently measured at cost less accumulated depreciation and impairment losses.
Lease payments associated with short-term leases and leases of low value assets are charged to the profit or loss. 

  
2.7

Impairment on Right of use asset

Right-of-use assets are assessed for indicators of impairment. Indicators of impairment generally relate to managements future expectation of the utilisation of the related asset. The right-of-use asset is tested for impairment on a single standalone basis. If the recoverable amount of the right- of-use asset is less than the carrying amount, the impairment loss is debited to the profit or loss. Where management decides to impair the related right-of-use asset as a result of there being no further economic benefit, the value of the right-of-use asset is impaired to £nil and the liability remains on the Balance Sheet.

 
2.8

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

 
2.9

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.10

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.11

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 7

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.12

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 Balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.13

Current and deferred taxation

The tax expense for the year 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 balance sheet 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 balance sheet 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 balance sheet date.

Page 8

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.14

Intangible assets

Intangible assets consist of:
 
Purchased Computer Software; and
External website development costs

Purchased Computer Software
 
Purchased Computer software is initially recognised at cost and amortised over the period in which that software is licensed to the business or where no such restriction exists amortised over the period in which
the benefits flow. Amortisation is recognised using the straight-line basis and results in the carrying amount being expensed to the profit or loss over the estimated useful lives which range from 2 to 4 years.
External Web Development Costs
 
External expenditure incurred on the development of the Company's web platform used to facilitate sales of product are recognised at cost to the extent that the costs incurred meet the recognition criteria under IAS38 and are amortised on a straight-line basis over its estimated useful live of 3 years.

Typically development costs recognised as an intangible asset include costs during the Application and Infrastructure Development, graphical design, and content development stages.

Once development of a web site has been completed and the Operating stage begins, the costs incurred in maintaining, enhancing applications, infrastructure, graphical design and content of the web site are expensed unless they meet the recognition criteria in IAS38.

Amortisation is recognised using the straight-line basis and results in the carrying amount being expensed to the profit or loss over 3 years.

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.

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.

 
2.15

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.

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 profit or loss during the period in which they are incurred.

Page 9

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)


2.15
Tangible fixed assets (continued)

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:

Leasehold improvements
-
6 years straight line
Fixtures and fittings
-
6 years straight line
Computer equipment
-
2 to 3 years straight line
Right of use assets
-
life of the minimum lease period

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.

 
2.16

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 balance sheet 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.

 
2.17

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.18

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.19

Creditors

Creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers.

Creditors are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method.

Page 10

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.20

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 balance sheet 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 Balance sheet.

 
2.21

Financial instruments


IFRS 9 contains three principal classification categories for financial assets: measured at amortised cost,
FVOCl and FVTPL. The classification of financial assets under IFRS 9 is generally based on the business
model in which a financial asset is managed and its contractual cash flow characteristics.
Financial assets
The financial assets of the company comprise trade and other receivables and cash and bank balances. They are all classified and measured at amortised cost.
The company recognises a loss allowance for expected credit losses on all financial assets measured at amortised cost. The amount of expected credit losses is updated at each reporting date to reflect changes in credit risk since initial recognition of the respective assets.
The company measures the loss allowance at an amount equal to lifetime expected credit losses (lifetime ECL) when there has been a significant increase in credit risk since initial recognition. If the credit risk on a loan has not increased significantly since initial recognition, then the loss allowance for that asset is measured at 12 month expected credit losses (12 month ECL).
Lifetime ECL represents the expected credit losses that will result from all possible default events over the expected life of an asset. In contrast, 12 month ECL represents the portion of lifetime ECL that is expected to result from default events on an asset that are possible within 12 months after the reporting date.
In order to assess whether to apply lifetime ECL or 12 month ECL, in other words, whether or not there has been a significant increase in credit risk since initial recognition, the company considers whether there has been a significant increase in the risk of a default occurring since initial recognition rather than at evidence of an asset being credit impaired at the reporting date or of an actual default occurring.
 

Financial liabilities

At amortised cost

The financial liabilities of the company comprise trade payables and borrowings. They are classified and
measured at amortised cost.

Page 11

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

3.


Employees

2023
2022
£
£

Wages and salaries
2,067,902
1,654,310

Social security costs
231,769
168,565

Defined contribution pension costs
89,124
75,688

2,388,795
1,898,563


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


        2023
        2022
            No.
            No.







Operational and administrative
35
31


4.


Intangible assets




Website development costs
Software Licenses
Total

£
£
£



Cost


At 1 September 2022
683,820
121,876
805,696


Additions - internal
-
3,480
3,480


Disposals
-
(1,055)
(1,055)



At 31 August 2023

683,820
124,301
808,121



Amortisation


At 1 September 2022
366,706
121,876
488,582


Charge for the year on owned assets
224,732
48
224,780


On disposals
-
(1,055)
(1,055)



At 31 August 2023

591,438
120,869
712,307



Net book value



At 31 August 2023
92,382
3,432
95,814



At 31 August 2022
317,114
-
317,114




Page 12

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

5.


Tangible fixed assets





Leasehold improvements
Fixtures and fittings
Computer equipment
Right of use asset
Total

£
£
£
£
£



Cost or valuation


At 1 September 2022
39,335
185,175
373,363
-
597,873


Additions
49,272
29,570
25,877
194,567
299,286


Disposals
(39,335)
(9,295)
-
-
(48,630)



At 31 August 2023

49,272
205,450
399,240
194,567
848,529



Depreciation


At 1 September 2022
39,335
177,200
48,618
-
265,153


Charge for the year on owned assets
9,118
9,670
183,631
34,003
236,422


Disposals
(39,335)
(9,295)
-
-
(48,630)



At 31 August 2023

9,118
177,575
232,249
34,003
452,945



Net book value



At 31 August 2023
40,154
27,875
166,991
160,564
395,584



At 31 August 2022
-
7,975
324,745
-
332,720




The net book value of land and buildings may be further analysed as follows:


2023
2022
£
£

Long leasehold
40,154
-

40,154
-



The net book value of owned and leased assets included as "Tangible fixed assets" in the Balance sheet is as follows:

2023
2022
£
£


Tangible fixed assets owned
395,584
332,720

395,584
332,720

Page 13

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

           5.Tangible fixed assets (continued)

Information about right-of-use assets is summarised below:

Net book value





2023
2022
£
£

Property
160,564
-


Additions to right-of-use assets

2023
£

Additions to right-of-use assets
194,567


6.


Stocks

2023
2022
£
£

Net realisable value of inventory held
1,400,030
954,979

1,400,030
954,979


A provision of £383,488 has been recognised (2022: £751,342).
The difference between purchase price of stocks and their replacement cost is not material.


Page 14

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

7.


Debtors

2023
2022
£
£

Due after more than one year

Amounts owed by group undertakings
82,106
88,932

Impairment loss allowance under expected credit loss model - IFRS 9**
-
(88,932)

82,106
-


2023
2022
£
£

Due within one year

Trade debtors
350,287
528,397

Amounts owed by group undertakings
1,064,712
1,057,167

Other debtors
1,196,446
1,918,712

Prepayments and accrued income*
2,236,605
1,477,040

Tax recoverable
154,458
116,763

Deferred taxation
708,347
-

Impairment loss allowance under expected credit loss model - IFRS 9**
(34,101)
(419,311)

5,676,754
4,678,768


* Out of this balance, £1,917,782 (2022: £1,370,914) are due from related parties and reference to Note 17.
** The company establishes a loss allowance that represents its estimate of expected credit losses in respect of financial assets held at amortised cost. The allowance comprises individually significant exposures as well as exposure to a general portfolio of customers where the nature of customers, overdue accounts and collateral held are taken into account.
The amounts due from related parties are unsecured and repayable on demand. Where these balances are denominated in foreign currency, any exchange gains/losses are recognised through the profit or loss. Further details are contained in Note 17 of the financial statements.
Lifetime ECLs are recognised for all trade and other receivables. The Company's receivables were all included within the same category for determining ECL based on the similar credit risk profile of its receivables. These comprise of debts due from corporates for advertising, volume rebates and inventories returned to suppliers, royalty recharges due from its airline business partner, unremitted credit card and cash payments and intragroup receivables. Probabilities of default and loss given default percentages were determined using empirical historical data with judgemental overlay to determine a loss rate adjusted for forward looking information.


8.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
4,452,338
2,553,677


Page 15

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

9.


Creditors: Amounts falling due within one year

2023
2022
£
£

Other loans
8,595,807
7,854,532

Trade creditors
2,063,460
1,269,818

Amounts owed to group undertakings
531,817
490,496

Other taxation and social security
101,598
96,273

Lease liabilities
53,476
-

Other creditors
1,427
-

Accruals and deferred income
1,586,488
4,295,899

12,934,073
14,007,018


Intercompany balances at the balance sheet date are unsecured and repayable on demand. Where these balances are denominated in foreign currency any unrealised exchange gains/losses are recognised through profit or loss.
*Out of this balance, £978,516 (2022: £3,580,308) are due to related parties and reference to Note 17.

Page 16

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

10.

Leases

Company as a lessee



Lease liabilities are due as follows:

2023
2022
£
£

Not later than one year
53,476
-

Between one year and five years
119,384
-

172,860
-


The following amounts in respect of leases, where the Company is a lessee, have been recognised in profit or loss:

2023
2022
£
£


Interest expense on lease liability
(10,274)
(494)

Page 17

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

11.


Deferred taxation




2023


£






Charged to profit or loss
708,347



At end of year
708,347

The deferred tax asset is made up as follows:

2023
2022
£
£


Accelerated capital allowances
80,376
-

Tax losses carried forward
618,458
-

Temporary difference in provisions
9,513
-

708,347
-


12.


Provisions




Leave Pay
Incentives
Total

£
£
£





At 1 September 2022
50,866
180,000
230,866


Charged to profit or loss
(541)
144,245
143,704



At 31 August 2023
50,325
324,245
374,570

The Company's holiday year runs from 1 January to 31 December. The leave provision represents the liability for untaken holiday over and above the amount that is expected to have been taken by the 31 August each year.
Incentive provisions represent the estimated value of incentive payments due to employees based on both Company and individual performance. The finalised incentives are due for payment in December following the financial year to which they relate.


13.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



125,000 (2022 -125,000) Ordinary share shares of £10.00 each
1,250,000
1,250,000


Page 18

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

14.


Reserves

Profit and loss account

The reserve records retained earnings and accumulated losses. 


15.


Capital commitments

The Company had no capital commitments at 31 August 2023 (2022: £nil).


16.


Contingencies

Securities provided in terms of Tourvest Group Banking Facilities (known as "the Amended & restated Common terms of agreement")
Tourvest Duty Free (UK) Limited has provided security in respect of its parent company's banking facilities in accordance with the amended & restated Common Terms Agreement ("CTA").
This includes:
Acting as Guarantor in respect of Tourvest Group's obligations; and
Providing its assets as security to the lenders including:
 
°Immovable & moveable assets;
°Shares and loan accounts;
°Bank accounts;
°Trademarks;
°Insurance policies; and
°Book debts.

 
In addition to the security specified in the CTA, the lenders have the right in terms of the CTA to call for additional security from time to time over existing Tourvest companies.

It is impracticable to estimate the financial effect or to indicate the uncertainties relating to the amount or timing of any future outflow.

Page 19

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

17.


Related party transactions

The Company have entered into related party transactions and/or hold balances with the following related parties.


Name
Relationship

Tourvest Duty Free (Nigeria) (Pty) Ltd
Group undertaking

Tourvest Retail Services - a division of Tourvest Holdings (Pty) Ltd
Parent undertaking 

Tourvest Duty Free Kenya - a branch of Tourvest Holdings (Pty) Ltd
Parent undertaking 

Tourvest Holding Proprietary Limited - Sucursal Em Angola - a branch of Tourvest Holdings (Pty) Ltd
Parent undertaking 


Amounts included in trade debtors - non-current


2023
2022

£
£

Tourvest Holding Proprietary Limited - Sucursal Em Angola
82,106
88,932


Amounts included in trade debtors - current


Tourvest Duty Free (Nigeria) (Pty) Ltd
1,941
1,941

Tourvest Holding Proprietary Limited - Secursal Em Angola
2,527
2,527

Tourvest Duty Free Kenya
229,022
235,428

Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd
817,905
817,271

1,051,395
1,057,167


Amounts included in accrued income - current


Tourvest Duty Free (Nigeria) (Pty) Ltd
227,933
73,059

Tourvest Holding Proprietary Limited - Sucursal Em Angola
122,590
122,590

Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd
1,804,606
1,175,265

2,155,129
1,370,914

Accrued income relates to rental income chargeable on electronic point of sale devices utilised in group company operations and management fees charged to related parties in respect of services provided by the Company's employees in support of the activities of those companies.

Page 20

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023


Related party transactions (continued)

Loan amounts included in borrowings - current


2023
2022

£
£

Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd 
(8,595,807)
(7,854,532)

The loan is unsecured and repayable on demand. The loan is subordinated if required, should at any time the total assets of Tourvest Duty Free (UK) Limited do not exceed its liabilities. The balance includes accrued interest of £741,276 (2022: £355,549). Interest is chargeable on the net balances owed between the Company and Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd and applied to the loan at a rate of LIBOR + 3% (2022: 3%). This represents the loan interest rate available on an arms length basis.



Amounts included in trade and other payables - current


Tourvest Duty Free (Nigeria) (Pty) Ltd
(4,129)
(4,597)

Tourvest Duty Free Kenya
(43,602)
(47,530)

Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd
(411,614)
(438,369)

(459,345)
(490,496)


Amounts included in accruals and deferred income - current


Tourvest Retail Services a division of Tourvest Holdings (Pty) Ltd
(978,516)
(3,580,308)

Balances relate to uninvoiced management charges accrued for which are repayable on demand.
 





Page 21

 


TOURVEST DUTY FREE (UK) LIMITED
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

18.


Controlling party

The immediate parent company is Tourvest Holdings (Pty) Ltd, a company incorporated in South Africa. Tourvest Holdings (Pty) Ltd is a 100% subsidiary of Tourvest Group (Pty) Ltd. Tourvest Group (Pty) Ltd produces consolidated financial statements however these are not publicly available as there is no requirement under South African company law to publish private company financial statements. However, any member of the public may request a copy of the consolidated financial statements from the Company Secretary of Tourvest Group (Pty) Limited. The ultimate controlling party is Robert Matana Gumede Family Business 2007 Trust and the ultimate parent company is Guma Investments Group (Pty) Ltd, a company incorporated in South Africa.
The smallest group preparing consolidated financial statements of which the company is a member is Tourvest Group (Pty) Ltd whose registered address is Stonewedge Office Park, 1 Wedgelink Road, Bryanston, Johannesburg, 2031, South Africa. The largest group preparing consolidated financial statements of which the company is a member is Guma Investments Group (Pty) Ltd whose registered office is 1st Floor, Venus Building, 47 Landmarks Avenue, Kosmosdal, Samrand, Centurion, South Africa, 0046.
Copies of the consolidated financial statements can be obtained from their registered office address.


19.


Auditors' information

The auditors' report on the financial statements for the year ended 31 August 2023 was unqualified.

The audit report was signed on 15 December 2023 by Robin Hopkins FCA (Senior statutory auditor) on behalf of Menzies LLP.

 
Page 22