REGISTERED NUMBER: 03932228 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JULY 2023 |
FOR |
NILVIP HOLDINGS LIMITED |
REGISTERED NUMBER: 03932228 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JULY 2023 |
FOR |
NILVIP HOLDINGS LIMITED |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JULY 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Profit and Loss Account | 10 |
Consolidated Balance Sheet | 12 |
Company Balance Sheet | 14 |
Consolidated Statement of Changes in Equity | 16 |
Company Statement of Changes in Equity | 17 |
Consolidated Cash Flow Statement | 18 |
Notes to the Consolidated Cash Flow Statement | 19 |
Notes to the Consolidated Financial Statements | 21 |
NILVIP HOLDINGS LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 JULY 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JULY 2023 |
The directors present their strategic report of the company and the group for the year ended 31 July 2023. |
REVIEW OF BUSINESS |
The group continues to operate hotels in Reading and Berkshire. It also operates restaurants within some of these hotels. On 30 September 2022, the group disposed of one of it 100% owned subsidiaries, Richmond Company 222 Limited, which had the hotel operation in Bath. |
The Group's operating profit for the year to 31 July 2023 was £1.5 million compared to an operating profit of £1.0 million in 2022. Net assets at 31 July 2023 were £14.2 million (2022: £13.8 million). Turnover for the year to 31 July 2023 was £3.4 million (2022: £3.3 million). The Directors have been actively managing the business to cut costs and this has contributed to the increase in operating profit by £0.5 million, while turnover increased by £0.1 million. |
The long term strategic objectives are to deliver organic growth and improve operating profit. |
Key performance indicators |
The Group uses turnover and operating profit to review and monitor the performance, the last two years of KPIs are summarised below. |
2023 | 2022 |
Turnover | £3.4m | £3.3m |
Operating profit | £1.5m | £1.0m |
Net assets | £14.2m | £13.8m |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 JULY 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The risks below are deemed to be the major risks for the group. |
Economic conditions |
The economic downturn affects the sustained level of occupancy rates. The directors take all steps possible to mitigate any downturn in turnover due to the current climate, however, this is mainly out of the control of the group. On the whole, the expenses incurred by the group are fairly static, therefore, the group is affected by short term changes in revenue. |
Despite the economic crisis caused by the Covid-19 pandemic, the Directors have taken steps to pivot the businesses sources of income in such a way as to continue generating sustainable levels of income until the economy returns to a more normal level. |
Hotel industry risks |
The hotel industry is competitive and our hotels are subject to competition from other hotels for guests. |
We value our relationships with our customers and attempt to deliver exceptional customer service consistently while ensuring our pricing remains competitive. |
Borrowings |
The group is exposed to liquidity risk associated with the group's existing bank borrowings and its ability to satisfy debt covenants. Failure to satisfy these under current financing arrangement could give rise to default risk and require the group to refinance its borrowings. |
FUTURE DEVELOPMENTS |
As seen over the covid-19 pandemic years, successfully operating in the midst of change and uncertainty is a track record of the Management and continues to be one of our greatest strengths. Our strategy of developing alternative revenue streams in the form of food and beverage, and a change in our customer base means we remain resilient through varying economic cycles. Continuing to evolve with changing consumer trends, we will expand further into both new and existing markets. Our hotels are well placed to cater for the returning tourist and corporate markets. |
ON BEHALF OF THE BOARD: |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JULY 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 July 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of operation of hotels in Reading, Berkshire and Bath, Somerset. It also operates restaurants within some of these hotels. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 July 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 August 2022 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 JULY 2023 |
AUDITORS |
The auditors, Vale & West Accountancy Services Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
NILVIP HOLDINGS LIMITED |
Opinion |
We have audited the financial statements of Nilvip Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2023 which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 July 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the 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 group's and the parent 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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
NILVIP HOLDINGS LIMITED |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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. |
Opinions 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 Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
NILVIP HOLDINGS LIMITED |
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 a Report of the Auditors 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
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: |
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the nature of the company's industry and its control environment. We discussed the directors' policies relating to fraud and compliance with laws and regulations, and their assessment of the risk of irregularities, which are considered low due to the financial obligations laying with the parent company. |
We obtained an understanding of the legal and regulatory framework that the company operates in. The key laws and regulations we considered had a direct impact on the determination of material amounts and disclosures in the financial statements included the UK Companies Act and tax legislation. |
The audit team considered the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements. We considered the biggest opportunities for fraud lay with management override of controls. |
Irregularities that arise from fraud are inherently more difficult to detect than those resulting from error. Given our responsibilities for the engagement, detection of those types of irregularity which give rise to a risk of material misstatement will be those that have a higher likelihood of detection. |
In common with all audits under ISAs (UK), we are required to perform specific procedures to respond to the risk of fraud through management override. We performed the following procedures: |
- testing the appropriateness of journal entries and other adjustments; |
- assessing whether the judgements made in making accounting estimates are indicative of a potential bias; |
and |
- evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. |
In addition to the above, our procedures to respond to the risks identified included the following: |
- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; and |
- enquiring of the directors concerning actual and potential litigation and claims, and instances of non-compliance with laws and regulations. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
NILVIP HOLDINGS LIMITED |
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 Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Statutory Auditors |
Victoria House |
26 Queen Victoria Street |
Reading |
Berkshire |
RG1 1TG |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED |
PROFIT AND LOSS ACCOUNT |
FOR THE YEAR ENDED 31 JULY 2023 |
31.7.23 | 31.7.23 | 31.7.23 |
Continuing | Discontinued | Total |
Notes | £ | £ | £ |
TURNOVER | 3,258,852 | 117,457 | 3,376,309 |
Cost of sales | (325,252 | ) | (3,152 | ) | (328,404 | ) |
GROSS PROFIT | 2,933,600 | 114,305 | 3,047,905 |
Administrative expenses | (1,816,469 | ) | (115,144 | ) | (1,931,613 | ) |
1,117,131 | (839 | ) | 1,116,292 |
Other operating income | 3 | 357,456 | 750 | 358,206 |
OPERATING PROFIT/(LOSS) | 5 | 1,474,587 | (89 | ) | 1,474,498 |
Profit on sale of shares |
in subsidiary | 6 | - | 3,221,775 | 3,221,775 |
1,474,587 | 3,221,686 | 4,696,273 |
Interest payable and similar expenses | 7 | (411,580 | ) | - | (411,580 | ) |
PROFIT BEFORE TAXATION | 1,063,007 | 3,221,686 | 4,284,693 |
Tax on profit | 8 | (229,379 | ) | - | (229,379 | ) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
4,055,314 |
Profit attributable to: |
Owners of the parent | 4,055,314 |
Total comprehensive income attributable to: |
Owners of the parent | 4,055,314 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED |
PROFIT AND LOSS ACCOUNT |
FOR THE YEAR ENDED 31 JULY 2023 |
31.7.22 | 31.7.22 | 31.7.22 |
Continuing | Discontinued | Total |
Notes | £ | £ | £ |
TURNOVER | 3,339,827 | - | 3,339,827 |
Cost of sales | (322,665 | ) | - | (322,665 | ) |
GROSS PROFIT | 3,017,162 | - | 3,017,162 |
Administrative expenses | (2,350,648 | ) | - | (2,350,648 | ) |
666,514 | - | 666,514 |
Other operating income | 3 | 319,128 | - | 319,128 |
OPERATING PROFIT | 5 | 985,642 | - | 985,642 |
Interest payable and similar expenses | 7 | (368,268 | ) | - | (368,268 | ) |
PROFIT BEFORE TAXATION | 617,374 | - | 617,374 |
Tax on profit | 8 | (139,947 | ) | - | (139,947 | ) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
477,427 |
Profit attributable to: |
Owners of the parent | 477,427 |
Total comprehensive income attributable to: |
Owners of the parent | 477,427 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED BALANCE SHEET |
31 JULY 2023 |
31.7.23 | 31.7.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 | - | - |
Tangible assets | 11 | 15,601,319 | 21,355,499 |
Investments | 12 | - | - |
Investment property | 13 | 5,500,000 | 5,725,500 |
21,101,319 | 27,080,999 |
CURRENT ASSETS |
Stocks | 14 | 4,000 | 6,000 |
Debtors | 15 | 123,723 | 252,950 |
Cash at bank and in hand | 903,978 | 1,576,014 |
1,031,701 | 1,834,964 |
CREDITORS |
Amounts falling due within one year | 16 | 3,662,687 | 7,394,797 |
NET CURRENT LIABILITIES | (2,630,986 | ) | (5,559,833 | ) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
18,470,333 |
21,521,166 |
CREDITORS |
Amounts falling due after more than one year |
17 |
(3,348,105 |
) |
(6,133,897 |
) |
PROVISIONS FOR LIABILITIES | 20 | (950,479 | ) | (1,628,550 | ) |
NET ASSETS | 14,171,749 | 13,758,719 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED BALANCE SHEET - continued |
31 JULY 2023 |
31.7.23 | 31.7.22 |
Notes | £ | £ | £ | £ |
CAPITAL AND RESERVES |
Called up share capital | 21 | 2,397,000 | 2,397,000 |
Revaluation reserve | 22 | 4,996,202 | 8,496,981 |
Fair value reserve | 22 | 1,930,431 | 2,071,936 |
Retained earnings | 22 | 4,848,116 | 792,802 |
SHAREHOLDERS' FUNDS | 14,171,749 | 13,758,719 |
The financial statements were approved by the Board of Directors and authorised for issue on 20 December 2023 and were signed on its behalf by: |
N N Patel - Director |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
COMPANY BALANCE SHEET |
31 JULY 2023 |
31.7.23 | 31.7.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
Investment property | 13 |
CURRENT ASSETS |
Debtors | 15 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
17 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 21 |
Retained earnings | ( |
) |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 3,607,017 | 211,243 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
COMPANY BALANCE SHEET - continued |
31 JULY 2023 |
The financial statements were approved by the Board of Directors and authorised for issue on |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 JULY 2023 |
Called up | Fair |
share | Retained | Revaluation | value | Total |
capital | earnings | reserve | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 1 August 2021 | 2,397,000 | 315,375 | 8,496,981 | 2,071,936 | 13,281,292 |
Changes in equity |
Total comprehensive income | - | 477,427 | - | - | 477,427 |
Balance at 31 July 2022 | 2,397,000 | 792,802 | 8,496,981 | 2,071,936 | 13,758,719 |
Changes in equity |
Disposal of subsidiary | - | - | (3,500,779 | ) | (141,505 | ) | (3,642,284 | ) |
Total comprehensive income | - | 4,055,314 | - | - | 4,055,314 |
Balance at 31 July 2023 | 2,397,000 | 4,848,116 | 4,996,202 | 1,930,431 | 14,171,749 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 JULY 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 August 2021 | ( |
) |
Changes in equity |
Total comprehensive income | - |
Balance at 31 July 2022 | ( |
) |
Changes in equity |
Total comprehensive income | - |
Balance at 31 July 2023 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 JULY 2023 |
31.7.23 | 31.7.22 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,469,443 | 1,140,190 |
Interest paid | (411,580 | ) | (368,268 | ) |
Tax paid | (89,076 | ) | (28,042 | ) |
Net cash from operating activities | 968,787 | 743,880 |
Cash flows from investing activities |
Sale of shares in subsidiary | 4,920,562 | - |
Net cash from investing activities | 4,920,562 | - |
Cash flows from financing activities |
Loan repayments in year | (8,323,721 | ) | (756,769 | ) |
Government grants | - | 90,777 |
Net cash from financing activities | (8,323,721 | ) | (665,992 | ) |
(Decrease)/increase in cash and cash equivalents | (2,434,372 | ) | 77,888 |
Cash and cash equivalents at beginning of year |
2 |
1,576,014 |
1,498,126 |
Cash and cash equivalents at end of year |
2 |
(858,358 |
) |
1,576,014 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 JULY 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.7.23 | 31.7.22 |
£ | £ |
Profit before taxation | 4,284,693 | 617,374 |
Depreciation charges | 69,820 | 131,560 |
Profit on sale of shares in subsidiary | (3,221,775 | ) | - |
Government grants | - | (90,777 | ) |
Finance costs | 411,580 | 368,268 |
1,544,318 | 1,026,425 |
Increase in stocks | (2,325 | ) | - |
Decrease/(increase) in trade and other debtors | 76,343 | (1,346 | ) |
(Decrease)/increase in trade and other creditors | (148,893 | ) | 115,111 |
Cash generated from operations | 1,469,443 | 1,140,190 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 July 2023 |
31.7.23 | 1.8.22 |
£ | £ |
Cash and cash equivalents | 903,978 | 1,576,014 |
Bank overdrafts | (1,762,336 | ) | - |
(858,358 | ) | 1,576,014 |
Year ended 31 July 2022 |
31.7.22 | 1.8.21 |
£ | £ |
Cash and cash equivalents | 1,576,014 | 1,498,126 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 JULY 2023 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.8.22 | Cash flow | At 31.7.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,576,014 | (672,036 | ) | 903,978 |
Bank overdrafts | - | (1,762,336 | ) | (1,762,336 | ) |
1,576,014 | (2,434,372 | ) | (858,358 | ) |
Debt |
Debts falling due within 1 year | (6,508,721 | ) | 5,537,929 | (970,792 | ) |
Debts falling due after 1 year | (6,048,897 | ) | 2,785,792 | (3,263,105 | ) |
(12,557,618 | ) | 8,323,721 | (4,233,897 | ) |
Total | (10,981,604 | ) | 5,889,349 | (5,092,255 | ) |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 JULY 2023 |
1. | STATUTORY INFORMATION |
Nilvip Holdings Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £. |
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. |
The financial statements of the group and the company have been prepared on a going concern basis, under the historical cost convention, as modified by the recognition of certain fixed assets at fair value, and in accordance with the accounting policies set out below which have been consistently applied to all the years presented. |
These financial statements have been prepared in compliance with Financial Reporting Standard 102, "The Financial Reporting Standard applicable in the UK and Republic of Ireland", ("FRS 102"), and the Companies Act 2006. |
The company is entitled to take advantage of certain disclosure exemptions available within FRS 102 on the basis that the company is a qualifying entity and equivalent disclosures are included in these group consolidated financial statements of Nilvip Holdings Limited. |
The company has taken advantage of the following disclosure exemptions as permitted by FRS 102: |
a) Section 4 'Statement of Financial Position' - Reconciliation of opening and closing number of shares; |
b) Section 7 'Statement of Cash Flows' - Presentation of a statement of cash flow and related notes and disclosures; |
c) Section 11 'Financial Instruments' paragraphs 11.39 to 11.48A; and |
d) Section 33 'Related Party Disclosures' paragraph 33.7, compensation for key management personnel. |
Basis of consolidation |
The consolidated financial statements incorporate the financial statements of the parent company and its wholly owned subsidiaries. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
2. | ACCOUNTING POLICIES - continued |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Significant judgements and estimates |
The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet dale and the amounts reported for revenues and expenses during the period. |
However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is recognised at the fair value of the consideration received or receivable for hotel accommodation and other related services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. Revenue is recognised at the time of hotel stay and restaurant visit by guests. |
Goodwill |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Land and Buildings | - |
Plant and machinery | - |
Tangible fixed assets are initially measured at deemed cost at 1 August 2014, and subsequently at deemed cost, net of depreciation and any impairment losses. No depreciation is provide on freehold land. Freehold buildings are not depreciated as in the opinion of the directors such depreciation is not material. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
2. | ACCOUNTING POLICIES - continued |
Investment property |
Investment properties are initially recognised at cost and subsequently remeasured to fair value at each balance sheet date. Fair value is based on the selling price of similar properties in the same condition and age as the property being valued. The aggregate surplus or deficit arising from any changes in fair value is charged or credited to profit and loss account. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Government grants |
Government grants are recognised in the income and expenditure account so as to match them with expenditure they are intended to contribute. To the extent that a grant is made as a contribution towards expenditure on a fixed asset, the grant is deferred and written off to match the amortisation charge of the fixed asset. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Profit and Loss Account, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
2. | ACCOUNTING POLICIES - continued |
Going concern |
After reviewing the company's forecasts and projections, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis in preparing its financial statements. |
3. | OTHER OPERATING INCOME |
31.7.23 | 31.7.22 |
£ | £ |
Rents received | 319,708 | 228,351 |
Insurance proceeds | 28,498 | - |
Other income | 10,000 | - |
Government grants | - | 90,777 |
358,206 | 319,128 |
4. | EMPLOYEES AND DIRECTORS |
31.7.23 | 31.7.22 |
£ | £ |
Wages and salaries | 851,118 | 958,619 |
Social security costs | 61,168 | 67,240 |
Other pension costs | 4,866 | 6,676 |
917,152 | 1,032,535 |
The average number of employees during the year was as follows: |
31.7.23 | 31.7.22 |
Hotel, restaurant and office staff |
31.7.23 | 31.7.22 |
£ | £ |
Directors' remuneration | 120,000 | 117,967 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
31.7.23 | 31.7.22 |
£ | £ |
Other operating leases | 11,500 | 11,500 |
Depreciation - owned assets | 69,820 | 131,560 |
Auditors' remuneration | 18,150 | 27,275 |
Auditors' remuneration for non audit work | 2,895 | 7,870 |
6. | DISCONTINUED OPERATIONS |
In September 2022, the group disposed of its interest in a subsidiary company, Richmond Company 222 Limited, after which point control passed directly to the acquirer. |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.7.23 | 31.7.22 |
£ | £ |
Bank interest | 411,580 | 368,268 |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.7.23 | 31.7.22 |
£ | £ |
Current tax: |
UK corporation tax | 229,379 | 139,947 |
Tax on profit | 229,379 | 139,947 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
8. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
31.7.23 | 31.7.22 |
£ | £ |
Profit before tax | 4,284,693 | 617,374 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2022 - 19 %) |
1,071,173 |
117,301 |
Effects of: |
Income not taxable for tax purposes | (805,421 | ) | - |
Depreciation in excess of capital allowances | 8,679 | 14,970 |
Utilisation of tax losses | (1,182 | ) | - |
Losses carried forward | - | 7,676 |
Effect due to change in tax rate | (43,870 | ) | - |
Total tax charge | 229,379 | 139,947 |
9. | INDIVIDUAL PROFIT AND LOSS ACCOUNT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
10. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 August 2022 | 4,143,289 |
Disposals | (2,254,336 | ) |
At 31 July 2023 | 1,888,953 |
AMORTISATION |
At 1 August 2022 | 4,143,289 |
Eliminated on disposal | (2,254,336 | ) |
At 31 July 2023 | 1,888,953 |
NET BOOK VALUE |
At 31 July 2023 | - |
At 31 July 2022 | - |
11. | TANGIBLE FIXED ASSETS |
Group |
Land and | Plant and |
Buildings | machinery | Totals |
£ | £ | £ |
COST |
At 1 August 2022 | 21,087,251 | 1,438,058 | 22,525,309 |
Disposals | (5,574,500 | ) | (209,192 | ) | (5,783,692 | ) |
At 31 July 2023 | 15,512,751 | 1,228,866 | 16,741,617 |
DEPRECIATION |
At 1 August 2022 | 240,000 | 929,810 | 1,169,810 |
Charge for year | 30,000 | 39,820 | 69,820 |
Eliminated on disposal | - | (99,332 | ) | (99,332 | ) |
At 31 July 2023 | 270,000 | 870,298 | 1,140,298 |
NET BOOK VALUE |
At 31 July 2023 | 15,242,751 | 358,568 | 15,601,319 |
At 31 July 2022 | 20,847,251 | 508,248 | 21,355,499 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
12. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakin |
£ |
COST |
At 1 August 2022 |
Disposals | ( |
) |
At 31 July 2023 |
NET BOOK VALUE |
At 31 July 2023 |
At 31 July 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
The George Hotel (Reading) Ltd |
Registered office: 10-12 King Street, Reading, Berkshire, RG1 2HE |
Nature of business: Hotel Services |
% |
Class of shares: | holding |
Ordinary | 100.00 |
Richmond Company 207 Limited |
Registered office: 10-12 King Street, Reading, Berkshire, RG1 2HE |
Nature of business: Hotel services |
% |
Class of shares: | holding |
Ordinary | 100.00 |
The George Hospitality Company Ltd |
Registered office: 10-12 King Street, Reading, Berkshire, RG1 2HE |
Nature of business: Hotel Services |
% |
Class of shares: | holding |
Ordinary | 100.00 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
12. | FIXED ASSET INVESTMENTS - continued |
Richmond 207 Hospitality Company Limited |
Registered office: 10-12 King Street, Reading, Berkshire, RG1 2HE |
Nature of business: Hotel Services |
% |
Class of shares: | holding |
Ordinary | 100.00 |
13. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 August 2022 | 5,725,500 |
Disposals | (225,500 | ) |
At 31 July 2023 | 5,500,000 |
NET BOOK VALUE |
At 31 July 2023 | 5,500,000 |
At 31 July 2022 | 5,725,500 |
Investment properties were subject to valuation by the directors who have experience in the location and class of investment properties valued. |
If investment properties had not been revalued it would have been included at the following historical cost: |
2023 | 2022 |
£ | £ |
Cost | 2,362,045 | 2,420,559 |
14. | STOCKS |
Group |
31.7.23 | 31.7.22 |
£ | £ |
Stocks | 4,000 | 6,000 |
Finished goods and goods for resale. |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
15. | DEBTORS |
Group | Company |
31.7.23 | 31.7.22 | 31.7.23 | 31.7.22 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 40,865 | 75,667 |
Other debtors | 53,962 | 88,387 |
Prepayments and accrued income | 28,896 | 88,896 |
123,723 | 252,950 |
Amounts falling due after more than one | year: |
Amounts owed by group undertakings | - | - |
Aggregate amounts | 123,723 | 252,950 |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.7.23 | 31.7.22 | 31.7.23 | 31.7.22 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 2,733,128 | 6,508,721 |
Trade creditors | 105,724 | 206,843 |
Social security and other taxes | 431,266 | 347,043 |
Other creditors | 318,978 | 267,564 |
Accruals and deferred income | 73,591 | 64,626 |
3,662,687 | 7,394,797 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
31.7.23 | 31.7.22 | 31.7.23 | 31.7.22 |
£ | £ | £ | £ |
Bank loans (see note 18) | 3,263,105 | 6,048,897 |
Other creditors | 85,000 | 85,000 |
3,348,105 | 6,133,897 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
31.7.23 | 31.7.22 | 31.7.23 | 31.7.22 |
£ | £ | £ | £ |
Amounts falling due within one year or | on demand: |
Bank overdrafts | 1,762,336 | - |
Bank loans | 970,792 | 6,508,721 |
2,733,128 | 6,508,721 |
Amounts falling due in more than five | years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 3,263,105 | 6,048,897 | 3,263,105 | 6,048,897 |
19. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
31.7.23 | 31.7.22 |
£ | £ |
Bank overdraft | 1,762,336 | - |
Bank loans | 4,233,897 | 12,557,618 |
5,996,233 | 12,557,618 |
The bank loans are secured by fixed charges over the land and buildings. |
The bank loans are repayable by installments with final repayment in 2028. Interest is charged at variable rates above base rate. |
20. | PROVISIONS FOR LIABILITIES |
Group |
31.7.23 | 31.7.22 |
£ | £ |
Deferred tax | 950,479 | 1,628,550 |
NILVIP HOLDINGS LIMITED (REGISTERED NUMBER: 03932228) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 JULY 2023 |
20. | PROVISIONS FOR LIABILITIES - continued |
Group |
Deferred |
tax |
£ |
Balance at 1 August 2022 | 1,628,550 |
Unwinding of deferred tax | (678,071 | ) |
Balance at 31 July 2023 | 950,479 |
21. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.7.23 | 31.7.22 |
value: | £ | £ |
Ordinary Shares | £1 | 1,000 | 1,000 |
Redeemable Preference Shares | £100 | 2,396,000 | 2,396,000 |
2,397,000 | 2,397,000 |
22. | RESERVES |
Group |
Fair |
Retained | Revaluation | value |
earnings | reserve | reserve | Totals |
£ | £ | £ | £ |
At 1 August 2022 | 792,802 | 8,496,981 | 2,071,936 | 11,361,719 |
Profit for the year | 4,055,314 | 4,055,314 |
Disposal of subsidiary | - | (3,500,779 | ) | (141,505 | ) | (3,642,284 | ) |
At 31 July 2023 | 4,848,116 | 4,996,202 | 1,930,431 | 11,774,749 |
23. | RELATED PARTY DISCLOSURES |
At the year end, entities with control, joint control or significant influence over the group were due £nil. |
The company's liabilities to its bankers have been guaranteed by its subsidiary undertakings. |
24. | ULTIMATE CONTROLLING PARTY |
There is no ultimate controlling party. |