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Company registration number: 02224523







ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED
30 SEPTEMBER 2021


MARCUS EVANS CONFERENCES LTD


































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MARCUS EVANS CONFERENCES LTD
 


 
COMPANY INFORMATION


Directors
M Van Os 
T Redmond  
M Studd 




Company secretary
M Studd



Registered number
02224523



Registered office
Magnus House
7th Floor

3 Lower Thames Street

London

EC3R 6HE




Independent auditors
Menzies LLP
Chartered Accountants & Statutory Auditor

Magna House

18-32 London Road

Staines-Upon-Thames

TW18 4BP





 


MARCUS EVANS CONFERENCES LTD
 



CONTENTS



Page
Group Strategic Report
1 - 2
Directors' Report
3 - 5
Independent Auditors' Report
6 - 9
Consolidated Statement of Comprehensive Income
10 - 11
Consolidated Statement of Financial Position
12
Company Statement of Financial Position
13
Consolidated Statement of Changes in Equity
14
Company Statement of Changes in Equity
15
Consolidated Statement of Cash Flows
16
Consolidated Analysis of Net Debt
17
Notes to the Financial Statements
18 - 36


 


MARCUS EVANS CONFERENCES LTD
 


 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 SEPTEMBER 2021

Introduction
 
The directors present this Strategic Report for Marcus Evans Conferences Ltd (previously Marcus Evans (UK Holdings) Limited) ("the company") and its subsidiary undertakings (together "the group") for the year ended 30 September 2021.

Principal activity
 
The company is the UK holding company of a group of companies that is part of an international network of companies under common ownership, organising business summits and conferences and providing professional training, business intelligence and sports hospitality products.

Business review and key performance indicators
 
The turnover during the year was £15.1m (2020: £36.0m) and the loss before taxation was £2.5m (2020: £2.7m loss  before taxation after recording a net profit on disposal of subsidiaries of £2.7m). The directors consider the group to be in a reasonable trading position at the reporting date. 
The directors consider the key performance indicators of the group to be the gross profit per event, the number of attendees or delegates per event and the number of events held.
Turnover has reduced by 58.0% mainly due to the group restructure where Marcus Evans (Singapore) PTE Ltd and Marcus Evans Inc were moved outside the Group which contributed £19.0 million turnover in the year ending 30 September 2020. The impact on Group Revenue and Profit numbers are shown within the Discontinued operations column within the Consolidated Statement of Comprehensive Income.
Note 23 to the financial statements provides more detail into the discontinued operations of the two disposed subsidiaries.
Turnover from continuing operations reduced by 11.0% due to a decrease in the number of attendees and delegates at events due to Covid-19 outbreak. In addition, the flattening of certain European economies has created a difficult trading market; however, it is expected that the group will be able to continue current level of continuing operations for the foreseeable future. 
The gross profit margin has increased from 25.7% in 2020 to 27.7% in 2021. The directors consider that the number of attendees and delegates per event and number of events held is in line with the expectations of management.

Principal risks and uncertainties
 
The directors consider the key risks and uncertainties to be:

the uncertainty of when in person events can be offered as a result of COVID-19 outbreak in March 2020 in certain
locations;
 
the decreasing demand for events held by the group as a result of a deterioration in market conditions and reductions
in corporate spending; and
 
the ability to replace and create new events and continue to generate revenues and maintain margins.

Page 1

 


MARCUS EVANS CONFERENCES LTD
 



GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2021

Financial key management
 
The group is exposed to a variety of financial risks and has assessed the risks affecting the group as follows:
Credit risk: The group has exposure to credit risk in relation to its trade debtor and intercompany debtor balances. The risks are mitigated by credit checks on trade debtors, and financial support from the ultimate parent company and ultimate shareholder.
Interest rate risk: The group's interest bearing assets include only cash balances that earn interest based on prevailing bank rates.
Foreign exchange risk: The group is exposed to fluctuations in the exchange rates, principally the US Dollar and the Euro against Sterling. It is the group's policy not to take our instruments to hedge against exchange rate movements.
Liquidity risk: The group manages its cash and borrowing requirements centrally to maximise interest income and minimise interest expense, whilst ensuring the group has sufficient liquid resources to meet the operating needs of the business. The group has available the financial support of its ultimate parent company and its ultimate shareholder.

Future developments

The group provides many products that will assist an organisation in developing its strategies and enable growth. The aim to meet all client strategic business informational requirements through the delivery of premium products and services by way of a variety of media. We continue maintaining the highest standards of quality and service in research, technology and product development. In addition, an ongoing extensive analysis into our client's business needs and innovation is vital in order to provide the information required for the clients' future success.

Response to COVID-19

Management have continued to evaluate the impact of the COVID 19 pandemic has on its business operations and its customers’ business operations, including the reduction in revenues. In response, the group took action to reduce operating costs while the economy emerged from the impacts of the COVID 19 outbreak. The action taken was to continue to run both events and courses, whether that was in person or online, and are currently still looking to grow the business by putting extensive recruitment programs in place. 
Due to the measures mentioned above management are still confident the group can trade as a going concern.
Now the pandemic is behind us, the Group is seeing a good recovery in all areas, but are aware that should COVID-19 or a similar situation return, the Group would be more prepared to tackle the downturn.  
A group company, Marcus Evans Holdings IOM Ltd continues to provide financial resources as may be required for this group to meet its financial commitments as they fall due.


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



................................................
M Van Os
Director

Date: 31 July 2024

Page 2

 


MARCUS EVANS CONFERENCES LTD
 


 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 SEPTEMBER 2021

The directors present their report and the financial statements for the year ended 30 September 2021.

Directors' responsibilities statement

The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated 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 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 for the Group's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The loss for the year, after taxation, amounted to £2,503,390 (2020 - loss £2,681,532).

The company did not pay dividends during the year (2020: £3,000,000 interim dividend paid). The directors do not propose the payment of a final dividend.

Directors

The directors who served during the year were:

M Van Os 
T Redmond 
M Studd (appointed 17 February 2021) 

Going concern

The financial statements have been prepared on a going concern basis.
The directors have a reasonable expectation that the company has adequate resources to continue in operation for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

Brexit impact

The director has assessed the impact of Brexit and believes that, although significant uncertainty exists, there will be no material effect on the trade and operations of the group or company.

Page 3

 


MARCUS EVANS CONFERENCES LTD
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2021

Future developments

The group provides many products that will assist an organisation in developing its strategies and enable growth. The aim to meet all client strategic business informational requirements through the delivery of premium products and services by way of a variety of media. We continue maintaining the highest standards of quality and service in research, technology and product development. In addition, an ongoing extensive analysis into our client's business needs and innovation is vital in order to provide the information required for the clients' future success.

Engagement with employees

The group's policy is to consult and discuss with employees matters likely to affect employees' interests. Information on matters of concern to employees is given through regular company communication meetings, information memoranda and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance. 

Disabled employees

The group's policy is to give full and fair consideration to the recruitment of disabled persons having regard to their particular aptitudes and abilities. Appropriate training will be arranged for the disabled persons, including retraining for alternative work of employees who become disabled, to promote their career development within the organisation. 

Matters covered in the Group Strategic Report

As permitted by Paragraph 1A of Schedule 7 to the Large and Medium sized Companies and Groups (Accounts and Reports) Regulations 2008 certain matters which are required to be disclosed in the Directors' Report have been omitted as they are included in the Strategic Report on pages 1 and 2. These matters relate to the business review, key performance indicators and principal risks and uncertainties. 

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 and the Group'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 and the Group's auditors are aware of that information.

Post balance sheet events

On 27 October 2021 Magnus Language Training Limited (co number: 00846378) ceased trading and went into voluntary liquidation.
On 26 July 2022 ICM Conferences Ltd (co number: 02261192) ceased trading and went into voluntary liquidation.
On 4 October 2022 one of the group companies Event Services Holland Ltd (co number: 04825861) dissolved.

Auditors

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

Page 4

 


MARCUS EVANS CONFERENCES LTD
 


 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2021

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





................................................
M Van Os
Director

Date: 31 July 2024

Page 5

 


MARCUS EVANS CONFERENCES LTD
 

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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MARCUS EVANS CONFERENCES LTD

Opinion


We have audited the financial statements of Marcus Evans Conferences Ltd (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 30 September 2021, which comprise the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Financial Position, the Company Statement of Financial Position, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company 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 Group's and of the parent Company's affairs as at 30 September 2021 and of the Group's loss 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 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 Group's or 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.


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.


Page 6

 


MARCUS EVANS CONFERENCES LTD


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MARCUS EVANS CONFERENCES LTD (CONTINUED)

Opinion on other matters prescribed by the Companies Act 2006
 

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


the information given in the Group 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 Group 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 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 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 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 Directors' Responsibilities Statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the 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.


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MARCUS EVANS CONFERENCES LTD


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MARCUS EVANS CONFERENCES LTD (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 Group financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
 
The Company is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant including UK Companies Act, employment law and tax legislation. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.
 
We understood how the Company is complying with those legal and regulatory frameworks by, making inquiries to management, those responsible for legal and compliance procedures and the company secretary.
 
The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The assessment did not identify any issues in this area.
 
We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:
 
°Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
 
°Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process; and
 
°Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations.
 
As a result of the above procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas:
 
°Posting of unusual journals and complex transactions;
 
°Risk of fictitious employees; and
 
°Revenue recognition

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


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.


Page 8

 


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INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MARCUS EVANS CONFERENCES LTD (CONTINUED)

Use of our report
 

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





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

31 July 2024
Page 9

 


MARCUS EVANS CONFERENCES LTD
 


 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 SEPTEMBER 2021

Continuing operations
Discontinued operations
Total
Continuing operations
Discontinued operations
Total
2021
2021
2021
2020
2020
2020
Note
£
£
£
£
£
£

  

Turnover
 4 
15,085,293
-
15,085,293
16,954,692
19,003,766
35,958,458

Cost of sales
  
(10,899,566)
-
(10,899,566)
(16,374,279)
(10,352,921)
(26,727,200)

Gross profit
  
4,185,727
-
4,185,727
580,413
8,650,845
9,231,258

Administrative expenses
  
(8,777,422)
-
(8,777,422)
(6,683,116)
(12,087,495)
(18,770,611)

Other operating income
 5
2,167,271
-
2,167,271
2,305,973
1,881,341
4,187,314

Operating loss
 6 
(2,424,424)
-
(2,424,424)
(3,796,730)
(1,555,309)
(5,352,039)

Loss on disposal of subsidiary
  
-
-
-
(97,818)
-
(97,818)

Profit on disposal of subsidiary
  
-
-
-
2,799,603
-
2,799,603

Interest receivable and similar income
 11 
6
-
6
85
-
85

Interest payable and similar expenses
 12 
(41,239)
-
(41,239)
(484)
-
(484)

Loss before taxation
  
(2,465,657)
-
(2,465,657)
(1,095,344)
(1,555,309)
(2,650,653)

Tax on loss
 13 
(37,733)
-
(37,733)
(31,607)
728
(30,879)

Loss for the financial year
  
(2,503,390)
-
(2,503,390)
(1,126,951)
(1,554,581)
(2,681,532)

  

Currency translation differences
  
447,471
207,073

Other comprehensive income for the year
  
447,471
207,073

Total comprehensive income for the year
  
(2,055,919)
(2,474,459)

(Loss) for the year attributable to:
  

Owners of the parent Company
  
(2,503,390)
-
(2,503,390)
(2,681,532)
-
(2,681,532)

  
(2,503,390)
-
(2,503,390)
(2,681,532)
-
(2,681,532)
Page 10

 


MARCUS EVANS CONFERENCES LTD
 



CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (CONTINUED)
FOR THE YEAR ENDED 30 SEPTEMBER 2021


Total comprehensive income for the year attributable to:
  

Owners of the parent Company
  
(2,055,919)
(2,474,459)

  
(2,055,919)
(2,474,459)

There were no recognised gains and losses for 2021 or 2020 other than those included in the consolidated statement of comprehensive income.

The notes on pages 18 to 36 form part of these financial statements.

Page 11

 


MARCUS EVANS CONFERENCES LTD
REGISTERED NUMBER:02224523



CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2021

2021
2020
Note
£
£

Fixed assets
  

Tangible assets
 15 
198,713
396,090

  
198,713
396,090

Current assets
  

Debtors
 17 
25,873,256
26,068,284

Cash at bank and in hand
  
1,696,062
1,965,206

  
27,569,318
28,033,490

Creditors: amounts falling due within one year
 18 
(27,730,487)
(26,392,502)

Net current (liabilities)/assets
  
 
 
(161,169)
 
 
1,640,988

Total assets less current liabilities
  
37,544
2,037,078

Creditors: amounts falling due after more than one year
 19 
(56,385)
-

Net (liabilities)/assets
  
(18,841)
2,037,078


Capital and reserves
  

Called up share capital 
 21 
1,000
1,000

Capital redemption reserve
 22 
3,364,410
3,364,410

Profit and loss account
 22 
(3,384,251)
(1,328,332)

Total equity
  
(18,841)
2,037,078


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




................................................
M Van Os
Director

Date: 31 July 2024

The notes on pages 18 to 36 form part of these financial statements.

Page 12

 


MARCUS EVANS CONFERENCES LTD
REGISTERED NUMBER:02224523



COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2021

2021
2020
Note
£
£

Fixed assets
  

Tangible assets
 15 
142,343
294,797

Investments
 16 
2,402
2,102

  
144,745
296,899

Current assets
  

Debtors
 17 
21,242,215
20,834,112

Cash at bank and in hand
  
283,985
-

  
21,526,200
20,834,112

Creditors: amounts falling due within one year
 18 
(996,609)
(136,000)

Net current assets
  
 
 
20,529,591
 
 
20,698,112

Total assets less current liabilities
  
20,674,336
20,995,011

  

  

Net assets
  
20,674,336
20,995,011


Capital and reserves
  

Called up share capital 
 21 
1,000
1,000

Capital redemption reserve
 22 
11,670,665
11,670,665

Profit and loss account brought forward
  
9,323,346
11,016,811

Loss/(profit) for the year
  
(320,675)
1,306,535

Other changes in the profit and loss account

  

-
(3,000,000)

Profit and loss account carried forward
  
9,002,671
9,323,346

  
20,674,336
20,995,011


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


................................................
M Van Os
Director

Date: 31 July 2024

The notes on pages 18 to 36 form part of these financial statements.

Page 13

 


MARCUS EVANS CONFERENCES LTD
 



CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2021


Called up share capital
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£


At 1 October 2019
1,000
3,364,410
4,146,127
7,511,537


Comprehensive income for the year

Loss for the year
-
-
(2,681,532)
(2,681,532)

Currency translation differences
-
-
207,073
207,073
Total comprehensive income for the year
-
-
(2,474,459)
(2,474,459)


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(3,000,000)
(3,000,000)



At 1 October 2020
1,000
3,364,410
(1,328,332)
2,037,078


Comprehensive income for the year

Loss for the year
-
-
(2,503,390)
(2,503,390)

Currency translation differences
-
-
447,471
447,471
Total comprehensive income for the year
-
-
(2,055,919)
(2,055,919)


At 30 September 2021
1,000
3,364,410
(3,384,251)
(18,841)


The notes on pages 18 to 36 form part of these financial statements.

Page 14

 


MARCUS EVANS CONFERENCES LTD
 



COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 SEPTEMBER 2021


Called up share capital
Capital redemption reserve
Profit and loss account
Total equity

£
£
£
£


At 1 October 2019
1,000
11,670,665
11,016,811
22,688,476


Comprehensive income for the year

Profit for the year
-
-
1,306,535
1,306,535


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(3,000,000)
(3,000,000)



At 1 October 2020
1,000
11,670,665
9,323,346
20,995,011


Comprehensive income for the year

Loss for the year
-
-
(320,675)
(320,675)


At 30 September 2021
1,000
11,670,665
9,002,671
20,674,336


The notes on pages 18 to 36 form part of these financial statements.

Page 15

 


MARCUS EVANS CONFERENCES LTD
 



CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2021
2020
£
£

Cash flows from operating activities

Loss for the financial year
(2,503,390)
(2,681,532)

Adjustments for:

Depreciation of tangible assets
193,350
309,791

Profit on disposal of subsidiaries
-
(2,701,785)

Interest paid
41,239
484

Interest received
(6)
(85)

Taxation charge
37,733
30,879

Decrease in debtors
195,027
4,911,090

Increase in creditors
1,344,370
1,207,139

Corporation tax (paid)
(16,655)
(49,011)

Net cash generated from operating activities

(708,332)
1,026,970


Cash flows from investing activities

Purchase of tangible fixed assets
-
(89,367)

Sale of tangible fixed assets
12
21,238

Sale of listed investments
-
(2,653,380)

Interest received
6
85

Net cash from investing activities

18
(2,721,424)

Cash flows from financing activities

New other loans
50,000
-

Dividends paid
-
(3,000,000)

Interest paid
(41,239)
(484)

Net cash used in financing activities
8,761
(3,000,484)

Net (decrease) in cash and cash equivalents
(699,553)
(4,694,938)

Cash and cash equivalents at beginning of year
1,965,206
6,448,565

Foreign exchange gains and losses
430,409
211,579

Cash and cash equivalents at the end of year
1,696,062
1,965,206


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
1,696,062
1,965,206

1,696,062
1,965,206


The notes on pages 18 to 36 form part of these financial statements.

Page 16

 


MARCUS EVANS CONFERENCES LTD
 



CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 30 SEPTEMBER 2021





At 1 October 2020
Cash flows
New other loans
At 30 September 2021
£

£

£

£

Cash at bank and in hand

1,965,206

(269,144)

-

1,696,062

Debt due after 1 year

-

-

(43,788)

(43,788)

Debt due within 1 year

-

-

(6,212)

(6,212)


1,965,206
(269,144)
(50,000)
1,646,062

The notes on pages 18 to 36 form part of these financial statements.

Page 17

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

1.


General information

Marcus Evans Conferences Limited ("the company") is a private company limited by shares, registered in England and Wales. The address of its registered office and principal place of business is Magnus House, 7th Floor, 3 Lower Thames Street, London, EC3R 6HE.
The company's functional currency is Pound Sterling, being the currency of the primary economic environment in which the company operates.

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 Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

  
2.3

Disclosure exemptions

In preparing the separate financial statements of the parent Company, advantage has been taken of the following disclosure exemptions available in FRS 102:
 - No Statement of Cash Flows has been presented for the parent Company.

Page 18

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2.Accounting policies (continued)

 
2.4

Going concern

The financial statements have been prepared on a going concern basis, which assumes the Group will continue to trade in operational existence for the foreseeable future.
Marcus Evans Holdings IOM Ltd has confirmed that currently, as a major creditor of the Group, it will not demand repayment of the amounts outstanding until such a time that the Group is able to make repayments without having a detrimental impact on the Group. The period for not demanding payment is at least 12 months from the date of signing these financial statements.
Marcus Evans Holdings IOM Ltd has also confirmed that it will currently continue to provide financial resources as may be required for the Group to meet its financial commitments as they fall due for at least twelve months from the date of approval of these financial statements.
At the time of approving the financial statements, the directors have reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future and Group also has group financial support available in case of financial difficulties. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

 
2.5

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 except when deferred in other comprehensive income as qualifying cash flow hedges.

On consolidation, the results of overseas operations are translated into Sterling at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.

 
2.6

Revenue

Revenue arises from the provision of services in respect of management and arrangement of conferences. Revenue is measured at the fair value of the consideration received or receivable and represents amounts for the provision of services in the normal course of business, net of discounts and other sales related taxes.
Revenue is recognised at the completion of the conference, until which point the amounts invoiced are recorded as deferred income.

Page 19

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2.Accounting policies (continued)

  
2.7

Event related expense

Directly attributable event expenses are recognised in the year in which the event has been completed. Expenses that relate to an event taking place in a subsequent financial year but paid prior to the reporting date, are recorded as prepayments in the statement of financial position.

 
2.8

Operating leases: the Group 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.

 
2.9

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Consolidated Statement of Comprehensive Income in the same period as the related expenditure.

 
2.10

Interest income

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

 
2.11

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.

 
2.12

Borrowing costs

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

 
2.13

Pensions

Defined contribution pension plan
The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group 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 Group in independently administered funds.

Page 20

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2.Accounting policies (continued)

 
2.14

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 and the Group operate and generate income.

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

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

Page 21

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2.Accounting policies (continued)

 
2.15

Tangible fixed assets

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

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

Depreciation is provided on the following basis:

Long-term leasehold property
-
straight line over the life of the lease
Short-term leasehold property
-
straight line over the life of the lease
Plant and machinery
-
25% straight line basis
Motor vehicles
-
25% straight line basis
Fixtures and fittings
-
20-50% straight line basis
Office equipment
-
25% straight line basis
Computer equipment
-
25% straight line basis

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.

Tangible assets are tested for impairment where an indication of impairment exists at the reporting date.

 
2.16

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Investments are tested for impairment where an indication of impairment exists at the reporting date.

  
2.17

Impairment of assets

At each reporting date, the group reviews the carrying value of its assets to determine whether there is any indication that those assets have suffered an impairment loss. If exists the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss.
The recoverable amount of an asset is the higher of fair value less costs to sell and value in use. Value in use is the present value of the future cash flows expected to be derived from the asset. The present value calculation involves estimating the future cash inflows and outflows to be derived from continuing use of the asset, and from its ultimate disposal, applying an appropriate discount rate to those future cash flows.
Where the recoverable amount of an asset is less than the carrying amount an impairment loss is recognised immediately in profit or loss. An impairment loss recognised for all assets is reversed in a subsequent year if, and only if, the reasons for the impairment loss have ceased to apply.

Page 22

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

2.Accounting policies (continued)

  
2.18

Financial instruments

The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. The Group has chosen to apply the measurement and recognition provisions of Section 11 Basic Financial Instruments and Section 12 Other Financial Instrument Issues in full.

 
2.19

Dividends

Equity dividends are recognised as a liability in the period in which they are approved by shareholders. Dividends are recognised in the statement of changes in equity.

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

  
2.20

Employee benefits

Short-term benefits
Short-term benefits, including holiday pay and other similar non-monetary benefits, are recognised as an expense in the period in which the service is received. An accrual is provided for short-term compensated absences where entitlement has accumulated, but has not been taken, at the reporting date.
Defined contribution pension scheme
Obligations for contributions to the defined contribution pension scheme are charged to the Statement of Comprehensive Income in the period to which the contributions relate.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In applying the group's accounting policies, the director is required to make judgements, estimates and assumptions in determining the carrying amounts of assets and liabilities. The director's judgements, estimates and assumptions are based on the best and most reliable evidence available at the time the decisions are made, and are based on historical experience and other factors that are considered to be applicable. Due to the inherent subjectivity involved in making such judgements, estimates and assumptions, the actual results and outcomes may differ.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the year in which the estimate is revised, if the revision affects on that year, or in the year of the revision and future years, if the revision affects both current and future years.
Critical judgements in applying the group's accounting policies
The critical judgements that the director has made in the process of applying the group's accounting policies and that have the most significant effect on the amounts recognised in the financial statements are discussed below.
(i) Assessing indicators of impairment
In assessing whether there have been any indicators of impairment of assets, the director has considered both external and internal sources of information such as market conditions, counterparty credit ratings and experience of recoverability and where applicable, the ability of the asset to be operated as planned. There have been no indicators of impairments identified during the current financial year.

 
Page 23

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

3.Judgments in applying accounting policies (continued)

(ii) Recognition of a deferred tax asset
A deferred tax asset is recognised only to the extent that it is considered probably to be recoverable against future taxable profits. The directors have reviewed the business plans and forecasts and have judged it inappropriate to recognise timing differences as deferred tax assets, as disclosed in note 12.
Key sources of estimation uncertainty
The key assumptions concerning the future, and other key sources of estimation uncertainty, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
(i) Recoverability of debtors
The group establishes a provision for debtors that are estimated not to be recoverable. When assessing recoverability, the director has considered factors such as the aging of the debtors, past experience of recoverability, and the credit profile of individual or groups of customers.
(ii) Deferred commission on sales not recognised as revenue
The group defers, as an event related expense, commission paid during the year in relation to future events for which revenue has been recognised deferred. The deferred commission is calculated as a fixed percentage of deferred income based on the total commission paid compared to amounts invoices to customers across the Marcus Evans Worldwide Holdings (IOM) Limited group of companies.
(iii) Determining residual values and useful economic lives of tangible assets
The group depreciates tangible assets over their estimated useful lives. The estimation of the useful lives of tangible assets is based on historic performance as well as expectations about future use and therefore requires estimates and assumptions to be applied. The actual lives of these assets can vary depending on a variety of factors, including technological innovation, product life cycles and maintenance programmes.
Estimation is also required in determining the residual values for tangible assets. When determining the residual value, the director has assessed the amount that the group would currently obtain for the disposal of the asset, if it were already of the condition expected at the end of its useful life. Where possible this is done with reference to external market prices.


4.


Turnover

All revenue arises from the provision of services in respect of management and arrangement of business summits, conferences, sports hospitality and business intelligence and executive language training courses.
The group has taken advantage of the exemption to disclose the analysis of turnover by geographical market on the basis that it is prejudicial to the group's interests.

Page 24

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

5.

Other operating income

2021
2020
        £
        £
Other operating income

99,836

575,249
 
Net rents receivable

101,483

183,419
 
Government grants receivable

1,965,952

3,428,646
 

2,167,271

4,187,314
 


6.


Operating loss

The operating loss is stated after charging:

2021
2020
£
£

Depreciation of tangible assets
193,350
309,791

Foreign exchange differences
1,509
19,944

Operating leases
1,593,286
2,383,159


7.

Auditors' remuneration

2021
2020
        £
        £
Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements

187,500

187,500
 

187,500

187,500
 

The auditors' remuneration has been recharged to the relevant subsidiaries totalling £122,000 for the audit work carried out for the year ended 30 September 2021.

2021
2020
        £
        £
Fees payable to the Group's auditor and its associates in respect of:

Preparation of financial statements

40,250

40,250
 

40,250

40,250
 

Page 25

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

8.


Employees

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


Group
Group
2021
2020
£
£


Wages and salaries
14,050,635
22,225,664

Social security costs
1,477,842
2,548,943

Pension costs
107,503
125,864

15,635,980
24,900,471

The Company has no employees other than the directors, who did not receive any remuneration
Commissions charged during the year, and which have been deferred as an event related expense, amount to £240,869 (2020: £5,720,658). These amounts are included in staff costs above, but are not included in profit or loss for the year, as they have been included within prepayments and accrued income and are released in the year in which the revenue in relation to the event is recognised. During the year, commissions of £209,145 (2020: £7,385,809) has been recognised in profit or loss relating to commissions paid in previous years for events for which the revenue has been recognised during the current year.




The average number of employees during the year was as follows:

Group
Group
Company
Company
2021
2020
2021
2020
No.
No.
No.
No.


Management and administration
104
134
-
-

Operations
368
453
-
-

Sales
167
290
-
-

639
877
-
-

Page 26

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

9.


Directors' remuneration

2021
2020
£
£

Directors' emoluments
128,326
139,604

128,326
139,604


During the year retirement benefits were accruing to 1 of the directors (2020 - nil) in respect of definted contribution pension schemes.
The value of the Group's contributions paid to a defined pension scheme in respect of the directors amounted to £675 (2020 - £nil).
The directors are also directors or employees of other companies in the Marcus Evans Worldwide Holdings (IOM) Limited group, and receive remuneration from those companies in respect of services to that group. It is not possible to determine the amount of that remuneration that relates to the services provided to the Company.
The key management personnel comprises of the three directors remunerated in the period.


10.


Income from investments

2021
2020
£
£

Income from fixed asset investments
-
97,818

-
97,818







11.


Interest receivable

2021
2020
£
£


Bank interest receivable
6
85

6
85


12.


Interest payable and similar expenses

2021
2020
£
£


Interest payable on overdue taxes
41,212
-

Finance leases and hire purchase contracts
-
447

Other interest payable
27
37

41,239
484

Page 27

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

13.


Taxation


2021
2020
£
£



UK corporation tax
-
-


Foreign tax
37,733
30,879

Total current tax
37,733
30,879

Deferred tax

Total deferred tax
-
-


Taxation on profit on ordinary activities
37,733
30,879

Factors affecting tax charge for the year

The tax assessed for the year is the same as (2020 - the same as) the standard rate of corporation tax in the UK of 19% (2020 - 19%) as set out below:

2021
2020
£
£


Loss on ordinary activities before tax
(2,465,657)
(2,650,653)


Loss on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2020 - 19%)
(468,475)
(503,444)

Effects of:


Expenses not deductible for tax purposes
30,444
51,873

Effect of different tax rates in different jurisdictions
(10,294)
(57,540)

Other foreign taxes payable
37,733
31,607

Losses unutilised carried forward
448,325
508,383

Total tax charge for the year
37,733
30,879


Factors that may affect future tax charges

The main rate of corporation tax in the UK is 19%. The Finance Bill 2021, published on 11 March 2021 includes an increase to the main rate of corporation tax to 25% from 1 April 2023.
The group has estimated tax losses of approximately £11.2m (2020: £11.2m) available to carry forward against future trading profits. A potential deferred tax asset of approximately £2.8m (2020: £2.2m) has not been recognised in respect of the losses on the grounds that there is insufficient certainty on the timing of future profits against which these utilised.

Page 28

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

14.


Dividends

2021
2020
£
£


Interim dividend
-
3,000,000

-
3,000,000

The directors do not propose the payment of a final dividend.

Page 29


MARCUS EVANS CONFERENCES LTD
  
 
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2021



15.


Tangible fixed assets


Group





Long-term leasehold property
Short-term leasehold property
Motor vehicles
Fixtures and fittings
Office equipment
Computer equipment
Leasehold improvements
Total

£
£
£
£
£
£
£
£



Cost or valuation


At 1 October 2020
459,829
193,338
74,027
1,165,091
411,197
442,129
1,064,308
3,809,919


Disposals
-
-
(32,824)
(104,044)
-
(18,529)
(95,283)
(250,680)


Exchange adjustments
(14,803)
(15,646)
(2,284)
(42,944)
(79,822)
(239,304)
(15,723)
(410,526)



At 30 September 2021

445,026
177,692
38,919
1,018,103
331,375
184,296
953,302
3,148,713



Depreciation


At 1 October 2020
432,584
176,523
74,027
1,063,440
398,760
413,663
854,832
3,413,829


Charge for the year
11,072
6,215
-
68,489
3,724
10,249
93,601
193,350


Disposals
-
-
(32,824)
(104,034)
-
(18,527)
(95,283)
(250,668)


Exchange adjustments
(13,507)
(14,840)
(2,284)
(42,148)
(79,213)
(238,919)
(15,600)
(406,511)



At 30 September 2021

430,149
167,898
38,919
985,747
323,271
166,466
837,550
2,950,000



Net book value



At 30 September 2021
14,877
9,794
-
32,356
8,104
17,830
115,752
198,713



At 30 September 2020
27,245
16,815
-
101,651
12,437
28,466
209,476
396,090
Page 30

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

           15.Tangible fixed assets (continued)


Company






Fixtures and fittings
Leasehold improvements
Total

£
£
£

Cost or valuation


At 1 October 2020
730,967
921,409
1,652,376



At 30 September 2021

730,967
921,409
1,652,376



Depreciation


At 1 October 2020
643,082
714,497
1,357,579


Charge for the year
60,313
92,141
152,454



At 30 September 2021

703,395
806,638
1,510,033



Net book value



At 30 September 2021
27,572
114,771
142,343



At 30 September 2020
87,885
206,912
294,797






Page 31

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

16.


Fixed asset investments

Company





Investments in subsidiary companies

£



Cost or valuation


At 1 October 2020
720,324


Additions
300



At 30 September 2021

720,624



Impairment


At 1 October 2020
718,222



At 30 September 2021

718,222



Net book value



At 30 September 2021
2,402


Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Registered office

Principal activity

Holding

ICM Conferences Limited
(1)
Conference management
100%
Event Services Holland Limited
(1)
Conference management
100%
Eventsearch CZ Limited
(1)
Conference management
100%
Marcus Evans (Germany) Limited
(1)
Conference management
100%
Linguarama Spracheninstitut GmbH
(2)
Language school
100%
ICM Conferences Espana Limited
(1)
Conference management
100%
Linguarama lberica, S.A
(3)
Language school
100%
Marcus Evans (INC) Limited
(1)
Conference management
100%
Linguarama Holdings BV
(4)
Holding company
100%
Linguarama Nederland BV
(4)
Language school
100%
Linguarama France SARL
(5)
Language school
100%
Linguarama Italia SARL
(6)
Language school
100%
Marcus Evans (Scandinavia) Limited
(1)
Conference management
100%
Marcus Evans Business Education Centres Limited
(1)
Holding company
100%
Linguarama International Group Limited
(1)
Holding company
100%
Magnus Language Training Limited
(1)
Language school
100%
THG Worldwide Sdn Bhn
(7)
Conference management
100%
Marcus Evans (Malaysia) Sdn Bhd
(7)
Conference management
100%
Linguarama Holland Limited
(1)
Language school
100%
The Hospitality Corporation North America Limited
(1)
Non-trading
100%
The Hospitality Corporation North America Limited
(1)
Non-trading
100%
Marcus Evans Production Services (CZ) Limited
(1)
Non-trading
100%
Page 32

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021
Subsidiary undertakings (continued)


Name

Registered office

Principal activity

Holding

Marcus Evans Events Spain Limited
(1)
Non-trading
100%
Marcus Evans Events KL Ltd
(1)
Non-trading
100%

(1) The registered address for each of these companies is Magnus House, 7th Floor, 3 Lower Thames Street, London, EC3R 6HE.
(2) The registered address for this company is Axel-Springer-Str. 54b 6. Etage, Berlin 10117, Germany.
(3) The registered address for this company is C/Rosario Pino, 6 1A Madrid  28020, Spain.
(4)The registered address for this company is Bleijenburh 1, 2511 VC Den Haag, Netherlands.
(5)The registered address for this company is Le Belvédère, 1-7 cours Valmy, Paris 92923, France.
(6)The registered address for this company is Via Po, 72, 00198 Roma, Italy.
(7)The registered address for this company is Suite A-20-1, Level 20, Hampshire Place Office, 157 Hampshire, 1, Jalan Mayang Sari, 50450 Kuala Lumpur, Malaysia.
The following subsidiary has dissolved post year end:
Event Services Holland Limited (co number: 04825861)
The following subsidiaries went into voluntary liquidation post year end:
ICM Conferences Limited (co number: 02261192)
Magnus Language Training Limited (co number: 00846378)

Page 33

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

17.


Debtors

Group
Group
Company
Company
2021
2020
2021
2020
£
£
£
£

Due after more than one year

Other debtors
47,960
22,999
-
-

47,960
22,999
-
-

Due within one year

Trade debtors
1,265,539
1,508,719
79,158
-

Amounts owed by group undertakings
23,014,833
23,589,816
20,739,799
20,834,112

Other debtors
659,881
597,746
79,059
-

Prepayments and accrued income
885,043
349,004
344,199
-

25,873,256
26,068,284
21,242,215
20,834,112


Amounts owed by related undertakings are unsecured, interest free and repayable on demand.


18.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2021
2020
2021
2020
£
£
£
£

Bank loans
6,212
-
-
-

Trade creditors
1,347,340
1,243,828
199,729
-

Amounts owed to group undertakings
19,831,314
19,563,855
-
-

Other taxation and social security
3,061,535
2,545,760
734
-

Other creditors
515,384
540,331
5,710
-

Accruals and deferred income
2,968,702
2,498,728
790,436
136,000

27,730,487
26,392,502
996,609
136,000


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


19.


Creditors: Amounts falling due after more than one year

Group
Group
2021
2020
£
£

Bank loans
43,788
-

Other creditors
12,597
-

56,385
-




Page 34

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

20.


Loans


Analysis of the maturity of loans is given below:


Group
Group
2021
2020
£
£

Amounts falling due within one year

Bank loans
6,212
-

Amounts falling due 1-2 years

Bank loans
43,788
-



50,000
-



21.


Share capital

2021
2020
£
£
Allotted, called up and fully paid



1,000 (2020 - 1,000) Ordinary shares of £1.00 each
1,000
1,000



22.


Reserves

Capital redemption reserve

This reserve represents the capital contribution made by the intermediate parent company ME Holdings (IOM) Limited, a company registered in the Isle of Man, to the subsidiary undertaking of Marcus Evans Conferences Limited.

Profit and loss account

This reserve represents the cumulative profits and losses of the Group. 


23.


Discontinued operations

In the year ended 30 September 2020 there was a restructure of the Group whereby Marcus Evans (Singapore) PTE Ltd  and Marcus Evans Inc were moved outside the Group.
The revenue that Marcus Evans (Singapore) PTE Ltd contributed to the year ended 30 September 2020 was £318,167 and the profit for the year was £16,734. The net asset position prior to the restructure was £97,820 and consideration of £1 was received for the entity.
The revenue that Marcus Evans Inc. contributed to the year ended 30 September 2020 was £18,685,599 and the loss for the year was £1,688,169. The net liability position prior to the restructure was £2,799,605 and consideration of £1 was received for the entity.
The impact of the discontinued operations is shown within the Consolidated Statement of Comprehensive Income.

Page 35

 


MARCUS EVANS CONFERENCES LTD
 


 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2021

24.


Commitments under operating leases

At 30 September 2021 the Group had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
Company
Company
2021
2020
2021
2020
£
£
£
£

Not later than 1 year
1,182,459
1,303,885
78,215
-

Later than 1 year and not later than 5 years
899,676
754,232
-
-

2,082,135
2,058,117
78,215
-


25.


Related party transactions

The company is a part of an international network of companies, under common ownership and control of Mr M P B Evans.
The company is a wholly owned subsidiary of Marcus Evans Worldwide Holdings (IOM) Limited, and utilises the exemptions contained in Section 33 Related Party Disclosures, not to disclose any transactions with entities which are wholly owned members of that group. Transactions with entities that do not fall into this exemption are disclosed below.


26.


Post balance sheet events

On 27 October 2021 Magnus Language Training Limited (co number: 00846378) ceased trading and went into voluntary liquidation. As at 30 September 2021, the net liabilities were £1,112,922.
On 26 July 2022 ICM Conferences Ltd (co number: 02261192) ceased trading and went into voluntary liquidation. As at 30 September 2021, the net liabilities were £2,844,939.
On 4 October 2022 one of the group companies Event Services Holland Ltd (co number: 04825861) dissolved. As at 30 September 2021, the net liabilities were £975,734.


27.


Ultimate parent undertaking and controlling party

The company's immediate parent undertaking is ME Holdings (IOM) Limited, a company registered in the Isle of Man.
The company's ultimate parent undertaking is Marcus Evans Worldwide Holdings (IOM) Limited, a company registered in the Isle of Man.
The ultimate controlling party is Mr M P B Evans by virtue of his interest in the entire issued share capital of Marcus Evans Worldwide Holdings (IOM) Limited.

 
Page 36