Caseware UK (AP4) 2023.0.135 2023.0.135 2024-03-312024-03-31The principal activity of the Company in the year under review continued to be that of a travel agent and a tour operator.2023-04-01false2728falsefalsefalse 01869431 2023-04-01 2024-03-31 01869431 2022-04-01 2023-03-31 01869431 2024-03-31 01869431 2023-03-31 01869431 2022-04-01 01869431 5 2023-04-01 2024-03-31 01869431 5 2022-04-01 2023-03-31 01869431 d:CompanySecretary1 2023-04-01 2024-03-31 01869431 d:Director1 2023-04-01 2024-03-31 01869431 d:Director2 2023-04-01 2024-03-31 01869431 d:Director3 2023-04-01 2024-03-31 01869431 d:RegisteredOffice 2023-04-01 2024-03-31 01869431 d:Agent1 2023-04-01 2024-03-31 01869431 e:FurnitureFittings 2023-04-01 2024-03-31 01869431 e:FurnitureFittings 2024-03-31 01869431 e:FurnitureFittings 2023-03-31 01869431 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 01869431 e:ComputerEquipment 2023-04-01 2024-03-31 01869431 e:ComputerEquipment 2024-03-31 01869431 e:ComputerEquipment 2023-03-31 01869431 e:ComputerEquipment e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 01869431 e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 01869431 e:CurrentFinancialInstruments 2024-03-31 01869431 e:CurrentFinancialInstruments 2023-03-31 01869431 e:CurrentFinancialInstruments e:WithinOneYear 2024-03-31 01869431 e:CurrentFinancialInstruments e:WithinOneYear 2023-03-31 01869431 e:UKTax 2023-04-01 2024-03-31 01869431 e:UKTax 2022-04-01 2023-03-31 01869431 e:ShareCapital 2024-03-31 01869431 e:ShareCapital 2023-03-31 01869431 e:ShareCapital 2022-04-01 01869431 e:SharePremium 2024-03-31 01869431 e:SharePremium 2023-03-31 01869431 e:SharePremium 2022-04-01 01869431 e:RetainedEarningsAccumulatedLosses 2023-04-01 2024-03-31 01869431 e:RetainedEarningsAccumulatedLosses 2024-03-31 01869431 e:RetainedEarningsAccumulatedLosses 2022-04-01 2023-03-31 01869431 e:RetainedEarningsAccumulatedLosses 2023-03-31 01869431 e:RetainedEarningsAccumulatedLosses 2022-04-01 01869431 d:OrdinaryShareClass1 2023-04-01 2024-03-31 01869431 d:OrdinaryShareClass1 2024-03-31 01869431 d:OrdinaryShareClass1 2023-03-31 01869431 d:FRS102 2023-04-01 2024-03-31 01869431 d:Audited 2023-04-01 2024-03-31 01869431 d:FullAccounts 2023-04-01 2024-03-31 01869431 d:PrivateLimitedCompanyLtd 2023-04-01 2024-03-31 01869431 2 2023-04-01 2024-03-31 01869431 7 2023-04-01 2024-03-31 01869431 f:PoundSterling 2023-04-01 2024-03-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 01869431









SOUTHALL TRAVEL LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2024

 
SOUTHALL TRAVEL LIMITED
 
 
COMPANY INFORMATION


Directors
D Bahia 
K S Bahia 
J D Borkhatria 




Company secretary
D Bahia



Registered number
01869431



Registered office
Palmoak House
19 South Road

Southall

UB1 1SU




Independent auditors
White Hart Associates (London) Limited
Chartered Accountants and Statutory Auditors

2nd Floor, Nucleus House

2 Lower Mortlake Road

Richmond

TW9 2JA




Bankers
Barclays Bank Plc
1 Churchill Place

London

E14 5HP





 
SOUTHALL TRAVEL LIMITED
 

CONTENTS



Page
Strategic Report
1 - 6
Directors' Report
7 - 9
Independent Auditors' Report
10 - 13
Statement of Comprehensive Income
14
Statement of Financial Position
15
Statement of Changes in Equity
16
Statement of Cash Flows
17
Notes to the Financial Statements
18 - 28


 
SOUTHALL TRAVEL LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024

Introduction
 
The directors present their annual report of Southall Travel Limited (“the Company”) for the year ended 31 March 2024.
The Company is required by the Companies Act 2006 to set out a report outlining a fair review of the business of the Company during the financial year ended 31 March 2024. This report will therefore include the position of the Company at the year ended 31 March 2024 and outline the principal risks and uncertainties facing it. The review contained within this report is prepared solely to provide additional information to shareholders to assess the Company's strategies and their potential for success. Please note, this report and business review should not be relied upon by any other party or for any other purpose than stated above.

Corporate Structure

The Company's immediate parent company is Onkar International Limited, a company incorporated in England and Wales. The principal activity is that of a property development and investment company. The ultimate parent company is ST Holdings Limited, a company incorporated in Guernsey.

Principal Activity

The Company’s principal activity is that of a licensed tour operator and travel agency. Established in 1984, the company has since grown into one of the largest travel companies in the UK. It holds an ATOL licence, which allows the company to sell fully consumer protected package holiday arrangements to UK consumers.

Section 172 Statement

We, as Directors of the Company, uphold the professional conduct and obligations as outlined under section 172(1) of the Companies Act 2006 (‘Section 172’). Given our compliance to this code of conduct, we as Directors, act in a way that we consider to most likely to promote the success of the company for the benefit of its members. Our commitment to uphold such professional integrity encompasses the following factors (amongst many other considerations):
-The likely consequences of any decision in the long term.
-The interests of the Company’s employees.
-The need to foster the Company’s business relationships with suppliers, customers and all other external and  internal stakeholders.
-The impact of the Company’s operations on the wider community and the environment.
-The necessity of the Company to maintain a reputation for high standards of business conduct at all times.
-The requirement to act fairly with, and between, members of the Company.
We, as Directors of the Company, acting in our capacity as both individual agents and as a collective corporate entity, consider that we have fully discharged our duties in accordance with Section 172, considering the factors listed above in our decisions made during the year. Many of the decisions taken by us (as Directors) during the year relate to supporting the strategic initiatives the company. Additionally, the company have effectively handled the challenges posed by the unpredictable events of the past 24 months.

Page 1

 
SOUTHALL TRAVEL LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Performance of the Business During the Year
 
The results for the year and the financial position of the Company are detailed on pages 14 to 28. Despite a period of unparalleled operational and financial challenges management is pleased to report the Company’s turnover has returned to pre pandemic levels in the year ended 31 March 2024. The company recorded turnover of £514 million (2023: £524 million) and profit before tax of £19 million (2023: £30.7 million). The company has continued to recover towards pre pandemic levels and turnover of £514 million as the Company positioned itself operationally to be ready for the resurgence of travel as the world opened again.
The Company has maintained the high level of customer service that its name has become synonymous with. There are several factors which have contributed to successful trading results:
•The company has a proactive approach by quickly adapting its operations to meet changing customer expectations.
•It offers innovative quality offerings, such as unique experiences and flexible booking policies, which attracts discerning customers seeking personalized and safe travel experiences.
•The company’s brand positioning plays a crucial role to its success. Targeted advertising and effective communication as to the value proposition keeps the company engaged with its target audience. The company has increased marketing and advertising spend by 45% to £9.1 million in comparison with £6.3 million for the year ended 31 March 2023, as a commitment to its continued engagement and brand recognition. 
•Strategic partnerships in the form of collaborations with airlines, hotels and local service providers allows the company to differentiate in a very competitive market.
•The embracing of sustainable practices to align with evolving consumer expectations and promoting responsible tourism and engaging in community development.
•Adherence to consumer protection laws and travel regulatory regime in relation to responsible protection of client monies. The company’s cash at year end was in excess of £60 million (2023: £49 million) and this is cash cover of 5 times the customer monies held in advance of travel.  This evidences the company’s commitment to consumers monies being fully used for providing their travel arrangements.  
Despite the challenges posed by the cost-of-living crisis, political landscape and global economy downturn, the company made £19 million pre-tax profit, (2023: £30.7 million). The company faced the challenge of rising direct and operational costs together with fluctuations in the foreign currency exchange rates, resulting in a decrease in its gross profit margin. Reduced consumer spending could have led to decline in travel demand, but the company did not experience this due to continued demand for flights and ATOL protected package holidays returning back to pre-pandemic levels. Customers were willing to allocate funds to facilitate their important family experiences and knew they could trust the company to offer them the best value for money and an excellent level of customer service.
The Company is one of the leading travel agents selling flights to the Middle East, Indian subcontinent, USA, and Far East. Our focus is, and will remain, to ensure our cost base continues to be aligned with the revenue capability of all the divisions of the business.
 
Page 2

 
SOUTHALL TRAVEL LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024


The company has strong reserves, including the robust cash reserves, which held the company in good stead to deal with the reduced trading during the pandemic and the large bounce back subsequently. The Company’s balance sheet value has decreased, reflecting shareholders’ funds of £29 million (2023: £31 million) of which £28.4 million (2023: £30.6 million) are net current assets. The Company has a cost structure that is unique for a tour operator; it is both scalable for upsizing and downsizing. Despite poor economic conditions, the Company has maintained the level of investments in areas of technology and human resources. It increased its marketing and branding budget spend in the year significantly. 
The company has not had to resort to any debt funding, having prudently stored exceptional reserves. These actions have led to consumers feeling confident because they know that management are taking the necessary steps to ensure the safety of the money they are holding on behalf of consumers. The Company can still repay customer refunds unequivocally and because of the commitment to maintain an exceptionally high standard of service, the Company’s reputation and branding have remained in high regard.
The Company’s business model remains unchanged and we, as Directors, believe it has tremendous future potential; potential which will be propelled by its reputation that consumers can trust.

Travel Regulatory Bodies

The Company holds an IATA and ATOL licence to ensure protection of customer monies and compliance with the package travel regulations.

Principal Risks and Uncertainties
 
Economic Recovery: Current economic conditions within the UK and worldwide has led to high inflation over the last year and this has inhibited growth.  With the stabilisation of the inflation rate and economic landscape experienced post year end it has cast a realistic hope of improved growth for 2024/2025. Consumers are still very committed to travelling in the way they enjoyed pre pandemic. However, the UK travel industry remains extremely competitive, and the Company expects such competitive pressure to continue this year.
The continued cost-of-living crisis and increase in inflation rate over the last year can have a significant impact on the amount of money people have available to spend on travel. This reduced spending power can affect the company as customers may have less disposable income to allocate towards travel spent.
Disruption in destinations: As a provider of travel services, the Company is naturally exposed to the risk of demand downturns from disruption in the destinations on offer. These downturns may be caused by factors such as disease, political volatility, natural disasters and terrorist activity, leading to travel restrictions, periods of uncertainty and reduced consumer confidence.
The company seeks to mitigate these risks by offering a diverse portfolio of destinations by geography, season and nature of holiday; working closely with suppliers to ensure the best standards of safety are afforded to the customers throughout their holiday; and leveraging these to offer customer friendly terms and conditions that give customers the flexibility and security to book with confidence. The company has resilience plans for such events.
The war in Ukraine and Middle East has led to subsequent rising costs of fuel prices which has impacted the cost of flights and will likely continue at unpredictable levels until stability is achieved. Geographical and political upheaval are unpredictable factors which could have a significant impact on air travel. These are outside our control and could have an impact on the Company’s trading position. No specific mitigation can be put in place to cover all possible threats, but the Company continues to offer a diverse offering of destinations and avoids high risk areas.
Cyber threats: The travel industry is facing increasingly aggressive and sophisticated cyber threats. The Company does have tight financial controls, adherence to quality controlling of data protection and robust internal controls to prevent excessive exposure to this threat.
 
Page 3

 
SOUTHALL TRAVEL LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024


Financial risks: Due to the Company’s strong financial position and prudent maintaining of cash there was no need to obtain debt to support activity over the last 36-months. This has meant that the Company has no exposure to increased interest rates; as is being used by government to keep the inflation rate controlled. It has actually benefitted from the increased interest rates on its cash balances. 
Change and Environmental Factors: There are increasing concerns about climate change and sustainability which can impact the travel industry. Changes in weather patterns, rising awareness of carbon footprints, and environmental regulations can influence customer preferences and demand for eco-friendly travel options. Both management and staff are well informed and understand the information that can be provided to consumers to assist in making choices. The company has entered into a number of initiatives with parties and suppliers to concentrate on reduction in carbon emissions.
We, as Directors together with our management teams, are confident that the strategies and actions undertaken will positively reinforce the Company’s business activities. Furthermore, our collective commitment to continue to progress the Company’s strategic initiatives, will maintain the Company in a strong position to make progress in the current year.

Financial Key Performance Indicators (‘KPI’)
 
The Company continues to monitor several KPI's across all of it's divisions, including; sales, gross profit margin, return on capital employed and operating cash flows.

Financial Instruments
 
The Company has a normal level of exposure to currency fluctuations. We, as Directors, continuously take appropriate steps to minimise the effects of such fluctuations. Any course of action is only undertaken after careful consideration and assessment of the situation. These types of reviews are ongoing.

Company Culture

The Company’s culture focuses on the importance of strong financial and operational risk management controls and ensuring that it complies with all applicable laws, regulations, and ethical principles. We, as Directors, regularly monitor the fulfilment of this culture at the operational level of the Company; receiving and considering regular reports from relevant business lines relating to key performance metrics and make decisions for improvement considered appropriate. By protecting the reputation and economic viability of the Company, the Directors believe that cultivating this culture is in the long-term interests of all its stakeholders.

Page 4

 
SOUTHALL TRAVEL LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Long-Term Strategy
 
The Company has not deviated from its long-term strategic plan, despite the unprecedented disruption and financial uncertainty experienced in the last 3 years. The Company’s long-term policy is to generate and grow revenues by trading and providing high quality products to consumers in the travel sector. This is whilst managing financial, operational, regulatory, and legal risks in addition to optimising efficiencies.
As Directors we are committed to effectively managing specific risk-management objectives, which are outlined below:
•Always maintain adequate financial resources.
•Deliver sustainable and stable earnings growth.
•Ensure stable and efficient access to funding and liquidity.
•Always maintain stakeholder confidence.
•Adhere to best practice for compliance with regulatory guidelines.
We, as Directors, have made decisions relating to the critical areas of financial risk management, information technology investment, customer experience and information security. Additionally, a staff training and development regime has been implemented to maintain integrity, competence and capability of all members of staff.

Stakeholder Relationships

The Company’s key internal and external stakeholders are their employees, customers, suppliers, shareholders and other relevant business partners. We, as Directors, uphold these relationships with the greatest importance; the interest and welfare of all the Company’s stakeholders are at the centre of our decision-making processes, as is the aim to promote the success of the Company for the benefit of all stakeholders. We, as Directors, believe that the Company’s actions in relation to achieving its strategic objectives are in line with the interest of its employees and the Company’s desire to foster positive business relationships with customers, suppliers and other relevant business partners.
The Company has a policy of fairness to all suppliers with the timeous payment of invoices. The Company protects the financial interest of customers by safeguarding their monies, and not using such monies to finance the working capital of the Company. This ensures customer funds are only used on supplying the consumer with their desired holiday arrangement. Further to this, when a refund is requested, it can be rendered immediately.

Employees

Communication and engagement with Company employees have continued of paramount importance during the last year. The Company has made staff welfare (including health and safety obligations) one of it’s top priorities. The Company has been committed to providing opportunities for its employees to develop and foster a secure, inclusive culture and office environment. 
The Company’s employment policy is to provide equal opportunities to all current and prospective employees without any discrimination. The Company provides work environments in which all individuals are treated with respect and dignity.

Social, Environmental and Ethical Matters

The Company believes that by operating in an ethical and socially responsible manner it will help to preserve the environment. We, as Directors, believe such an ethical commitment is integral to forging an efficient and profitable business management approach, and recognise that success in these areas depends on the involvement and commitment of everyone in the organisation. The Company supports causes it believes are beneficial to the local community and the environment. Amongst other things, the Company contributes to a local charity which helps disadvantaged young people in need.

Page 5

 
SOUTHALL TRAVEL LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024


This report was approved by the board on 28 July 2024 and signed on its behalf.






D Bahia
Director

Page 6

 
SOUTHALL TRAVEL LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024

The directors present their report and the financial statements for the year ended 31 March 2024.

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;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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.

The directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements and other information included in Directors' Reports may differ from legislation in other jurisdictions.

Principal activity

The principal activity of the Company in the year under review continued to be that of a travel agent and a tour operator.

Dividends

The profit for the year, after taxation, amounted to £14,265,768 (2023 - £24,859,849).

Dividends paid for the year ended 31 March 2024 were £16.5 million (2023: £20 million).

Directors

The directors who served during the year were:

D Bahia 
K S Bahia 
J D Borkhatria 

 
Page 7

 
SOUTHALL TRAVEL LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

The Company did not provide qualifying third-party indemnity provisions to its directors during the financial year and at the date of this report (2023: none).

Going concern

The Company has a net current assets position of £28.4 million (2023: £30.6 million), net assets of £29 million as at 31 March 2024 (2023: £31 million) and generated profit before tax of £19 million (2023: £31 million).  Despite the significant challenges posed by the global economic unrest  the company has successfully continued to maintain its position of strength within the market. 
One of the key factors contributing to the company’s positive results is the continued demand trajectory for travel and exploration.  Despite the pressures on consumer finances people still have a very strong desire to prioritise travel and continue to create new experiences. The company continues to tap into this demand and offer attractive tour packages  has been instrumental in this success.
During the pandemic, the company did not break consumer laws and did not mistreat consumers by refusing refunds, forcing the acceptance of vouchers or refund credit notes when they were entitled to a cash refund. The company responded quickly, despite the unprecedented challenge faced, and maintained the high level of care to customers. Subsequently, unlike a lot of our competitors, this has meant we do not need to regain our customers trust in the post pandemic period, as it was never broken.
While some businesses faced financial hardships and have been on a recovery path, or have high debt, the company was well prepared to weather the storm and seize opportunities as they arose. This stability has allowed us to invest in expanding our operations, enhancing our offerings, and exploring new markets, positioning us for long term success.
The directors have prepared cash flow forecasts for an 18-month period from the date of approval of these financial statements. Forecasts prepared for the Company assume a steady and increasing demand for the rest of 2024, despite trends not being quite the same as pre pandemic. The outcome of the worst-case scenario indicates that, taking account of potential downside pressures, the Company will continue to have sufficient funds to meet its liabilities as they fall due for that period. The Company has substantial historic retained reserves that would enable the Company to sustain a long-term recovery of international travel market, including airline disruption, cost of living pressure on finances, increased supply costs, and the global economy unrest.
Consequently, the directors are confident that the Company will have sufficient funds and cash reserves to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements and therefore have prepared the financial statements on a going concern basis. 

Political and charitable contributions

The Company made no political donations or incurred any political expenditure during the year (2023: £nil). During the year under review the Company made charitable donations of £51,200 (2023: £52,855).

Future developments

The Company expects to grow further in the 2024/2025 period utilising current structure and strategy. They will focus on brand, technology and customer proposition.  

Page 8

 
SOUTHALL TRAVEL LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024

Engagement with suppliers, customers and others

Relationship with suppliers: The Company has developed strong and ethical relationships with its suppliers. During a difficult period, the Company has continued to pay its suppliers on time and in full to ensure local wellbeing. The company believes that having strong direct relationships with our supply partners is of paramount importance as this guarantees quality, best practice and competitive pricing.  
Relationship with customers: The Company has engaged and communicated with its customers. It has remained fully accessible by phone and online to assist in customer concerns and extra support for travel documentation and testing requirements. The company has customer focused policies, including timeliness of refunds, transparency on pricing and value for money. It remains one of the few tour operators to extend customers credit for flights already paid to the airline. 
Modern Slavery Act: The Modern Slavery Act requires the Company to publish an annual slavery and human trafficking statement. The latest statement can be found at the https://www.southalltravel .co.uk/modern -slavery-statement.pdf. The Company does not permit, condone, or otherwise accept any form of human trafficking or slavery in its business or supply chains.

Greenhouse gas emissions, energy consumption and energy efficiency action

The Company has not disclosed information in respect of greenhouse gas emissions, energy consumption and energy efficiency action as its energy consumption in the United Kingdom for the year is 40,000kWh or lower.

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

The auditorsWhite Hart Associates (London) Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 28 July 2024 and signed on its behalf.
 





D Bahia
Director

Page 9

 
SOUTHALL TRAVEL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOUTHALL TRAVEL LIMITED
 

Opinion


We have audited the financial statements of Southall Travel Limited (the 'Company') for the year ended 31 March 2024, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Cash Flows, 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 March 2024 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 10

 
SOUTHALL TRAVEL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOUTHALL TRAVEL LIMITED (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 ReportOur 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 7, 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 11

 
SOUTHALL TRAVEL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOUTHALL TRAVEL LIMITED (CONTINUED)


Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- We exercise professional judgment and maintain professional skepticism throughout the audit;
- We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the deliberate override of internal control;
- We obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of internal control;
- We evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made;
- We assess the risk of management override of controls, including testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business;
- We review the scope of the Company's compliance with its regulator, the Civil Aviation Authority ("CAA"), and sample test relevant documentation to assess this and the effectiveness of its control environment;
- We request and review the minutes of management meetings, and assess any matters identified not already provided for or disclosed that may materially impact the financial statements;
- We conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity's ability to continue as a going concern. if we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit
evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the entity to cease to continue as a going concern.


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 12

 
SOUTHALL TRAVEL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SOUTHALL TRAVEL LIMITED (CONTINUED)


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.







Ms N A Spoor FCA FCCA (Senior Statutory Auditor)
  
for and on behalf of
White Hart Associates (London) Limited
 
Chartered Accountants and Statutory Auditors
  
2nd Floor, Nucleus House
2 Lower Mortlake Road
Richmond
TW9 2JA

28 July 2024
Page 13

 
SOUTHALL TRAVEL LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
Note
£
£

  

Turnover
  
513,681,549
524,409,898

Cost of sales
  
(472,916,755)
(471,620,552)

Gross profit
  
40,764,794
52,789,346

Administrative expenses
  
(23,994,322)
(22,473,986)

Other operating income
 4 
25,000
25,000

Operating profit
 5 
16,795,472
30,340,360

Interest receivable and similar income
 9 
2,366,638
482,472

Interest payable and similar expenses
 10 
-
(108,507)

Profit before tax
  
19,162,110
30,714,325

Tax on profit
 11 
(4,896,342)
(5,854,476)

Profit for the financial year
  
14,265,768
24,859,849

There were no recognised gains and losses for 2024 or 2023 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 18 to 28 form part of these financial statements.

All results derive from continuing operations in the United Kingdom

Page 14

 
SOUTHALL TRAVEL LIMITED
REGISTERED NUMBER: 01869431

STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2024

2024
2023
Note
£
£

Fixed assets
  

Tangible assets
 12 
300,079
354,419

  
300,079
354,419

Current assets
  

Debtors: amounts falling due within one year
 13 
24,968,032
27,975,465

Cash at bank and in hand
 14 
60,005,930
49,839,754

  
84,973,962
77,815,219

Creditors: amounts falling due within one year
 15 
(56,518,656)
(47,180,021)

Net current assets
  
 
 
28,455,306
 
 
30,635,198

Total assets less current liabilities
  
28,755,385
30,989,617

  

Net assets
  
28,755,385
30,989,617


Capital and reserves
  

Called up share capital 
 16 
100,000
100,000

Share premium account
  
15,000
15,000

Profit and loss account
  
28,640,385
30,874,617

  
28,755,385
30,989,617


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 28 July 2024.






D Bahia
Director

The notes on pages 18 to 28 form part of these financial statements.

Page 15

 
SOUTHALL TRAVEL LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024


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

£
£
£
£


At 1 April 2022
100,000
15,000
26,014,768
26,129,768


Comprehensive income for the year

Profit for the year
-
-
24,859,849
24,859,849


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(20,000,000)
(20,000,000)



At 1 April 2023
100,000
15,000
30,874,617
30,989,617


Comprehensive income for the year

Profit for the year
-
-
14,265,768
14,265,768


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(16,500,000)
(16,500,000)


At 31 March 2024
100,000
15,000
28,640,385
28,755,385


The notes on pages 18 to 28 form part of these financial statements.

Page 16

 
SOUTHALL TRAVEL LIMITED
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
£
£

Cash flows from operating activities

Profit for the financial year
14,265,768
24,859,849

Adjustments for:

Depreciation of tangible assets
81,529
90,081

Interest paid
-
108,507

Interest received
(2,366,638)
(482,472)

Taxation charge
4,896,342
5,854,476

Decrease/(increase) in debtors
3,007,433
(5,586,715)

Increase/(decrease) in creditors
12,298,777
(13,886,054)

Corporation tax (paid)
(7,856,484)
(4,359,484)

Net cash generated from operating activities

24,326,727
6,598,188


Cash flows from investing activities

Purchase of tangible fixed assets
(27,189)
(273,551)

Interest received
2,366,638
482,472

Net cash from investing activities

2,339,449
208,921

Cash flows from financing activities

Dividends paid
(16,500,000)
(20,000,000)

Interest paid
-
(108,507)

Net cash used in financing activities
(16,500,000)
(20,108,507)

Net increase/(decrease) in cash and cash equivalents
10,166,176
(13,301,398)

Cash and cash equivalents at beginning of year
49,839,754
63,141,152

Cash and cash equivalents at the end of year
60,005,930
49,839,754


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
60,005,930
49,839,754

60,005,930
49,839,754


The notes on pages 18 to 28 form part of these financial statements.

Page 17

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

1.


General information

As disclosed in the Directors' Report, the principal activity of the Company during the year under review continued to be that of a travel agent and a tour operator.
The Company is a private company limited by shares and is incorporated in England & Wales. The address of the Company's principal place of business, being different to the registered office stated on the Company information page is 32 Dover Street, Mayfair, London, W1S 4NE.

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 Company's parent undertaking, Onkar International Limited, includes the Company in its consolidated financial statements. The consolidated financial statements of Onkar International Limited are prepared in accordance with FRS 102 and are available to the public and can be obtained from 19 South Road, Southall Middlesex UB1 1SU. In these financial statements, the Company is considered to be a qualifying entity (for the purposes of this FRS) and has applied the exemptions available under FRS 102 in respect of the following disclosures: 
- Key Management Personnel compensation;
- Disclosures in respect of transactions with wholly owned subsidiaries (see note 19).

The following principal accounting policies have been applied:

 
2.2

Going concern

The company holds cash as at 31 March 2024 of £60 million, which is all unrestricted cash.  The company has no borrowings.  
The company has net current assets of £28.4m as at 31 March 2024 as compared to £30.6 million as at 31 March 2023.
These high levels of cash and net current assets at the reporting date provide a strong financial cushion and enhance the company’s ability to meet its short-term financial obligations. The availability of substantial cash reserves enables the company to fund its ongoing operations, invest in growth opportunities and withstand unforeseen financial shocks. The high net current assets indicate a healthy liquidity position, which provides the company with the necessary flexibility to manage its day-to-day operations, settle its obligations, have coverage for all customer deposits paid in advance, and respond to changes in market conditions effectively. 
The directors have conducted a thorough review of the company's financial statements, cash flow forecasts, and projected profitability. Based on their assessment, they believe that the company's high cash reserves, high net current assets, and favourable liquidity position provide a reasonable expectation that the company will be able to continue its operations and meet its financial obligations as they become due in the normal course of business.
 
Page 18

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)


2.2
Going concern (continued)

It should be noted that the company's ability to operate as a going concern is subject to various risks and uncertainties, including those related to the tourism industry, economic conditions, and regulatory changes. The directors will continue to closely monitor these factors and take appropriate actions to mitigate any potential adverse effects on the company's financial stability and going concern status.
Taking all factors into consideration the directors are satisfied that it is appropriate to continue to adopt the going concern basis of accounting in preparing the company’s financial statements, for at least the 12 months following the approval of the financial statements.

 
2.3

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 profit or loss

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'.

 
2.4

Turnover

Turnover represents sales of airline tickets and package tours, net of value added tax. Revenue in respect of tours and packages is recognised on the departure date of travel. Revenue relating to flight only sales is recognised at the date of booking. 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.

Page 19

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.5

Operating leases: the Company as lessee

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

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

The Company has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard 01 April 2019 to continue to be charged over the period to the first market rent review rather than the term of the lease.

 
2.6

Interest income

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

 
2.7

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.

 
2.8

Pensions

Defined contribution pension plan

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

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

 
2.9

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

 
2.10

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.

Page 20

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)


2.10
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Fixtures and fittings
-
20%
Computer equipment
-
25%

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.

 
2.11

Debtors

Short-term debtors are measured at transaction price, less any impairment.

 
2.12

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.

 
2.13

Creditors

Short-term creditors are measured at the transaction price.

 
2.14

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 Statement of Financial Position date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are set off against the provision carried in the Statement of Financial Position.

Page 21

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.15

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

 
2.16

Dividends

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

Page 22

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
a) Critical judgments in applying the Company's accounting policies
The directors believe that there are no critical judgments involved in applying the Company's accounting policies that warrant disclosure.
b) Key accounting estimates and assumptions
The directors believe that there are no key accounting estimates and assumptions involved in applying the Company's accounting policies that warrant disclosure.


4.


Other operating income

2024
2023
£
£

Management fees
25,000
25,000

25,000
25,000



5.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Other operating lease rentals
346,338
340,566

Exchange differences
141,877
263,862

Depreciation of tangible assets
81,529
90,081


6.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors and their associates:


2024
2023
£
£

Fees payable to the Company's auditors and their associates for the audit of the Company's financial statements
39,000
36,000

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

Page 23

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

7.


Employees

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


2024
2023
£
£

Wages and salaries
1,346,881
1,553,681

Social security costs
151,653
187,724

Cost of defined contribution scheme
19,202
19,656

1,517,736
1,761,061


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


        2024
        2023
            No.
            No.







Administrative
9
10



Business development
18
18

27
28


8.


Directors' remuneration

2024
2023
£
£

Directors' remuneration
147,917
445,000

Company contributions to defined contribution pension schemes
1,321
1,573

149,238
446,573


During the year retirement benefits were accruing to 1 director (2023 - 1) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £147,917 (2023 - £300,000).


9.


Interest receivable

2024
2023
£
£


Bank interest receivable
2,366,638
482,472

2,366,638
482,472

Page 24

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

10.


Interest payable and similar expenses

2024
2023
£
£


Other loan interest payable
-
108,507

-
108,507


11.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
4,896,342
5,854,476


4,896,342
5,854,476


Total current tax
4,896,342
5,854,476

Deferred tax

Total deferred tax
-
-


Taxation on profit on ordinary activities
4,896,342
5,854,476

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 - higher than) the standard rate of corporation tax in the UK of 25% (2023 - 19%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
19,162,110
30,714,325


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 19%)
4,790,528
5,835,722

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
105,814
18,754

Total tax charge for the year
4,896,342
5,854,476

Page 25

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
 
11.Taxation (continued)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.




12.


Tangible fixed assets





Fixtures and fittings
Computer equipment
Total

£
£
£



Cost or valuation


At 1 April 2023
560,659
239,595
800,254


Additions
4,764
22,425
27,189



At 31 March 2024

565,423
262,020
827,443



Depreciation


At 1 April 2023
283,206
162,629
445,835


Charge for the year on owned assets
55,886
25,643
81,529



At 31 March 2024

339,092
188,272
527,364



Net book value



At 31 March 2024
226,331
73,748
300,079



At 31 March 2023
277,453
76,966
354,419

Page 26

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

13.


Debtors

2024
2023
£
£


Trade debtors
16,200,606
17,856,337

Prepayments and accrued income
8,767,426
10,119,128

24,968,032
27,975,465



14.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
60,005,930
49,839,754

60,005,930
49,839,754



15.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
39,899,051
24,348,707

Corporation tax
944,341
3,904,483

Other taxation and social security
119,651
109,697

Other creditors
4,059,832
7,072,490

Accruals and deferred income
11,495,781
11,744,644

56,518,656
47,180,021


For IATA BSP creditors refer to note 17 for detail.


16.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



100,000 (2023 - 100,000) Ordinary shares of £1.00 each
100,000
100,000


The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.


Page 27

 
SOUTHALL TRAVEL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

17.


BSP outstanding

As at 31 March 2024 an amount of £36,673,833 (2023: £21,449,774) was payable to International Air Transport Association (IATA) for tickets issued in the month of March 2024.


18.


Related party transactions

The Company has taken advantage of the exemption under section 33.1A of Financial Reporting Standard 102 from the requirement to disclose transactions and balances with group companies on the grounds that consolidated financial statements are prepared by immediate parent company and are publicly available. The Company is a wholly owned subsidiary of Onkar International Limited.


19.


Ultimate parent company and ultimate controlling party

The Company's immediate parent undertaking is Onkar International Limited, a company incorporated in England & Wales. The ultimate parent company is ST Holdings Limited incorporated in Guernsey with registered office at Third Floor, Cambridge House, Le Truchot, St. Peter Port, Guernsey GY1 WD. The ultimate controlling party is K S Bahia.

 
Page 28