REGISTERED NUMBER: 05340636 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 July 2024 |
for |
Oak Ridge Hotels Limited |
REGISTERED NUMBER: 05340636 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 July 2024 |
for |
Oak Ridge Hotels Limited |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 July 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 4 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 9 |
Consolidated Other Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 18 |
Oak Ridge Hotels Limited |
Company Information |
for the Year Ended 31 July 2024 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
8th Floor, Becket House |
36 Old Jewry |
London |
EC2R 8DD |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Group Strategic Report |
for the Year Ended 31 July 2024 |
The director presents his strategic report of the company and the group for the year ended 31 July 2024. |
The Oak Ridge Group operates within the hospitality sector, managing two Lincolnshire-based hotels that cater to a range of guests. Both establishments fall within the three-star category and offer high-quality accommodations, dining, and event hosting. Despite economic challenges, the Group remains committed to continuous improvement, maintaining its reputation for excellent service and guest satisfaction. |
REVIEW OF BUSINESS |
The Group's portfolio includes two key properties: |
Brackenborough Hotel and Lakes Resort: A boutique hotel and lodge resort with 24 hotel rooms and 40 lodges with hot tubs, set within 30 acres of landscaped grounds. The resort offers a bistro restaurant, Salon Carina, and function suites, making it a popular choice for weddings and special events. |
Ashbourne Hotel: A well-established 36-room hotel with function suites and a bistro, catering to both leisure and business guests. |
During the year, both properties focused on increasing customer awareness and enhancing guest experiences. The Brackenborough Hotel and Lakes Resort emphasised its unique lodge accommodations, while the Ashbourne Hotel worked to strengthen its wedding and conference offerings. While there were no major diversification efforts, continuous improvements to facilities, such as gardens and bedrooms, remained a priority. |
Financially, Brackenborough Hotel and Lakes Resort experienced a 19% revenue growth, though food and beverage gross profit declined by 1%. Occupancy rates were 77% for hotel rooms and 75% for lodges, with revenue per available room at £50.26. Ashbourne Hotel recorded a 6% increase in revenue, with food and beverage gross profit rising by 5%. However, conference bookings fell by 15%. Occupancy stood at 71%, with revenue per available room at £46.71. |
Both properties maintained strong customer satisfaction ratings, receiving 8.2 feedback scores on Booking.com and recognition through TripAdvisor's Travelers' Choice Awards. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The Group faces several challenges that may impact its operations: |
Market Risks |
Economic Factors: National Living Wage increases, a shortage of skilled staff, and the evolving landscape of corporate travel due to remote work trends. |
Competition: Key competitors include Kenwick Park and Laceby Manor for Brackenborough Hotel and Lakes Resort, and Healing Manor Hotel and Oaklands Hotel for Ashbourne Hotel. |
Operational Risks |
Staffing: The hospitality industry continues to experience recruitment and retention difficulties, affecting service quality and operational efficiency. |
Health & Safety: Regulatory compliance remains a priority to ensure guest and staff well-being. |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Group Strategic Report |
for the Year Ended 31 July 2024 |
External Risks |
Regulatory Changes: Legislative updates, including the Employment Rights Bill 2024, could impact employment practices. |
Environmental Factors: Guests are increasingly seeking eco-friendly accommodations, requiring potential investment in sustainable practices such as green technologies and enhanced recycling programs. |
ON BEHALF OF THE BOARD: |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Report of the Director |
for the Year Ended 31 July 2024 |
The director presents his report with the financial statements of the company and the group for the year ended 31 July 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of a hotelier. |
DIVIDENDS |
An interim dividend of 5.6p per share was paid on the Ordinary £1 shares on 31 March 2024. No dividends were paid on the Ordinary A £1 shares. |
The total distribution of dividends for the year ended 31 July 2024 will be £ 28,000 . |
DIRECTOR |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is 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 director is required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Xeinadin Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Oak Ridge Hotels Limited |
Qualified opinion |
We have audited the financial statements of Oak Ridge Hotels Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion, except for the possible effects of the matter described in the basis for qualified opinion section of our report, the financial statements: |
- give a true and fair view of the state of the group's affairs as at 31 July 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 qualified opinion |
As this is the first year the group has had the requirement for an audit after previously taking advantage of audit exemption under s477 of the Companies Act, we are unable to satisfy ourselves concerning the closing balances for the year ended 31 July 2023, which form the opening balances included in the financial statements as at 31 July 2024. Consequently, we are unable to determine whether any adjustments to these amounts are necessary. |
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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the 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. |
Report of the Independent Auditors to the Members of |
Oak Ridge Hotels Limited |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Oak Ridge Hotels Limited |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Through discussion with management and those charged with governance we gained an understanding of the legal and regulatory framework applicable to the entity and the industry in which it operates, and considered the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud. During the engagement team briefing we communicated the identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. |
We focused on laws and regulations that could give rise to a material misstatement in the financial statements, including, but not limited to, UK GAAP (FRS102), the Companies Act 2006, tax legislations and food safety legislations. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. |
We evaluated management's incentives and opportunities for fraudulent manipulations of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates. |
Audit procedures undertaken in response to the potential risk relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: |
- enquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; |
- enquiries with the same concerning any actual or potential litigation claims; |
- reviewed risk of management override; |
- reviewed journal entries posted with unusual account combinations or posted by senior management; |
- reviewed accounting estimates for bias; |
- performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud; |
- agreeing financial statement disclosures to underlying supporting documentation. |
The likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK). |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
Oak Ridge Hotels Limited |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
8th Floor, Becket House |
36 Old Jewry |
London |
EC2R 8DD |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Consolidated Income Statement |
for the Year Ended 31 July 2024 |
31.7.24 | 31.7.23 |
Notes | £ | £ |
TURNOVER | 3 | 4,119,610 | 3,584,060 |
Cost of sales | 1,045,762 | 857,204 |
GROSS PROFIT | 3,073,848 | 2,726,856 |
Administrative expenses | 2,906,907 | 2,761,299 |
OPERATING PROFIT/(LOSS) | 5 | 166,941 | (34,443 | ) |
Interest receivable and similar income | 1,268 | - |
168,209 | (34,443 | ) |
Interest payable and similar expenses | 6 | 311,069 | 120,419 |
LOSS BEFORE TAXATION | (142,860 | ) | (154,862 | ) |
Tax on loss | 7 | (26,850 | ) | 12,330 |
LOSS FOR THE FINANCIAL YEAR | ( |
) | ( |
) |
Loss attributable to: |
Owners of the parent | (116,010 | ) | (167,192 | ) |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Consolidated Other Comprehensive Income |
for the Year Ended 31 July 2024 |
31.7.24 | 31.7.23 |
Notes | £ | £ |
LOSS FOR THE YEAR | (116,010 | ) | (167,192 | ) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(116,010 |
) |
(167,192 |
) |
Total comprehensive income attributable to: |
Owners of the parent | (116,010 | ) | (167,192 | ) |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Consolidated Balance Sheet |
31 July 2024 |
31.7.24 | 31.7.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 | 2,750 | 4,250 |
Tangible assets | 11 | 6,924,186 | 6,490,036 |
Investments | 12 | - | - |
6,926,936 | 6,494,286 |
CURRENT ASSETS |
Stocks | 13 | 40,534 | 338,591 |
Debtors | 14 | 261,410 | 1,095,515 |
Cash at bank and in hand | 325,552 | 500,465 |
627,496 | 1,934,571 |
CREDITORS |
Amounts falling due within one year | 15 | 3,127,097 | 4,592,805 |
NET CURRENT LIABILITIES | (2,499,601 | ) | (2,658,234 | ) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,427,335 |
3,836,052 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(3,133,470 |
) |
(2,459,860 |
) |
PROVISIONS FOR LIABILITIES | 20 | (93,332 | ) | (31,649 | ) |
NET ASSETS | 1,200,533 | 1,344,543 |
CAPITAL AND RESERVES |
Called up share capital | 21 | 1,000,000 | 1,000,000 |
Retained earnings | 22 | 200,533 | 344,543 |
SHAREHOLDERS' FUNDS | 1,200,533 | 1,344,543 |
The financial statements were approved by the director and authorised for issue on 10 February 2025 and were signed by: |
A R Lidgard - Director |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Company Balance Sheet |
31 July 2024 |
31.7.24 | 31.7.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
CURRENT ASSETS |
Debtors | 14 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 15 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
16 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 21 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's loss for the financial year | (69,035 | ) | (861 | ) |
The financial statements were approved by the director and authorised for issue on |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 July 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 August 2022 | 1,000,000 | 511,735 | 1,511,735 |
Changes in equity |
Total comprehensive income | - | (167,192 | ) | (167,192 | ) |
Balance at 31 July 2023 | 1,000,000 | 344,543 | 1,344,543 |
Changes in equity |
Dividends | - | (28,000 | ) | (28,000 | ) |
Total comprehensive income | - | (116,010 | ) | (116,010 | ) |
Balance at 31 July 2024 | 1,000,000 | 200,533 | 1,200,533 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Company Statement of Changes in Equity |
for the Year Ended 31 July 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 August 2022 |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 July 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 July 2024 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Consolidated Cash Flow Statement |
for the Year Ended 31 July 2024 |
31.7.24 | 31.7.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 293,640 | 301,666 |
Interest paid | (308,183 | ) | (118,438 | ) |
Interest element of hire purchase payments paid |
(2,886 |
) |
(1,981 |
) |
Tax paid | (46,959 | ) | (116,942 | ) |
Net cash from operating activities | (64,388 | ) | 64,305 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (856,370 | ) | (2,753,691 | ) |
Sale of tangible fixed assets | 293,947 | 474,458 |
Interest received | 1,268 | - |
Net cash from investing activities | (561,155 | ) | (2,279,233 | ) |
Cash flows from financing activities |
New loans in year | 1,690,000 | 2,506,559 |
Loan repayments in year | (951,592 | ) | (248,753 | ) |
Other loan repayments the year | (322,571 | ) | 35,772 |
Capital repayments in year | (12,532 | ) | (8,108 | ) |
Amount introduced by directors | 168,013 | 291,930 |
Amount withdrawn by directors | (92,688 | ) | (119,397 | ) |
Equity dividends paid | (28,000 | ) | - |
Net cash from financing activities | 450,630 | 2,458,003 |
(Decrease)/increase in cash and cash equivalents | (174,913 | ) | 243,075 |
Cash and cash equivalents at beginning of year |
2 |
500,465 |
257,390 |
Cash and cash equivalents at end of year | 2 | 325,552 | 500,465 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 July 2024 |
1. | RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.7.24 | 31.7.23 |
£ | £ |
Loss before taxation | (142,860 | ) | (154,862 | ) |
Depreciation charges | 317,723 | 271,924 |
Profit on disposal of fixed assets | (170,481 | ) | (241,312 | ) |
Finance costs | 311,069 | 120,419 |
Finance income | (1,268 | ) | - |
314,183 | (3,831 | ) |
Decrease/(increase) in stocks | 298,057 | (303,726 | ) |
Decrease/(increase) in trade and other debtors | 45,419 | (58,607 | ) |
(Decrease)/increase in trade and other creditors | (364,019 | ) | 667,830 |
Cash generated from operations | 293,640 | 301,666 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 July 2024 |
31.7.24 | 1.8.23 |
£ | £ |
Cash and cash equivalents | 325,552 | 500,465 |
Year ended 31 July 2023 |
31.7.23 | 1.8.22 |
£ | £ |
Cash and cash equivalents | 500,465 | 257,390 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 July 2024 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1.8.23 | Cash flow | changes | At 31.7.24 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 500,465 | (174,913 | ) | 325,552 |
500,465 | (174,913 | ) | 325,552 |
Debt |
Finance leases | (49,082 | ) | 12,532 | (17,495 | ) | (54,045 | ) |
Debts falling due |
within 1 year | (1,280,215 | ) | 1,076,835 | - | (203,380 | ) |
Debts falling due |
after 1 year | (1,602,565 | ) | (1,492,672 | ) | - | (3,095,237 | ) |
(2,931,862 | ) | (403,305 | ) | (17,495 | ) | (3,352,662 | ) |
Total | (2,431,397 | ) | (578,218 | ) | (17,495 | ) | (3,027,110 | ) |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 July 2024 |
1. | STATUTORY INFORMATION |
Oak Ridge Hotels Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Turnover |
Turnover comprises revenue recognised by the company during the year, in respect of goods and services that are common to hotels and their related activities, exclusive of Value Added Tax and trade discounts. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Freehold property | - |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Stocks |
Stocks are valued at the lower of cost and estimated selling price after making due allowances for obsolete and slow mowing items. Stocks are valued on an average cost basis. |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
3. | TURNOVER |
The turnover and loss before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
31.7.24 | 31.7.23 |
£ | £ |
Wedding and events | 576,794 | 567,847 |
Accommodation | 1,054,477 | 1,021,425 |
Food and drinks | 1,585,148 | 1,535,558 |
Lodge sales and rentals | 903,191 | 459,230 |
4,119,610 | 3,584,060 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
4. | EMPLOYEES AND DIRECTORS |
31.7.24 | 31.7.23 |
£ | £ |
Wages and salaries | 1,445,692 | 1,429,511 |
Social security costs | 94,433 | 98,099 |
Other pension costs | 32,491 | 33,154 |
1,572,616 | 1,560,764 |
The average number of employees during the year was as follows: |
31.7.24 | 31.7.23 |
Director | 1 | 1 |
Management | 9 | 9 |
Admin and reception | 11 | 11 |
Hotel | 70 | 70 |
The average number of employees by undertakings that were proportionately consolidated during the year was 91 (2023 - 91 ) . |
31.7.24 | 31.7.23 |
£ | £ |
Director's remuneration | 10,723 | 9,854 |
Director's pension contributions to money purchase schemes | 13,059 | 12,500 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 1 | 1 |
5. | OPERATING PROFIT/(LOSS) |
The operating profit (2023 - operating loss) is stated after charging/(crediting): |
31.7.24 | 31.7.23 |
£ | £ |
Depreciation - owned assets | 300,073 | 260,098 |
Depreciation - assets on hire purchase contracts | 16,173 | 11,327 |
Profit on disposal of fixed assets | (170,481 | ) | (241,312 | ) |
Computer software amortisation | 1,500 | 500 |
Auditors' remuneration | 33,250 | - |
Auditors' remuneration for non audit work | 180 | - |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.7.24 | 31.7.23 |
£ | £ |
Bank loan interest | 305,304 | 100,678 |
Interest on corporation tax | - | 2,954 |
Interest on VAT | 2,879 | - |
Interest payable | - | 14,806 |
Hire purchase | 2,886 | 1,981 |
311,069 | 120,419 |
7. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
31.7.24 | 31.7.23 |
£ | £ |
Current tax: |
UK corporation tax | (88,533 | ) | (10,704 | ) |
Deferred tax | 61,683 | 23,034 |
Tax on loss | (26,850 | ) | 12,330 |
Reconciliation of total tax (credit)/charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.7.24 | 31.7.23 |
£ | £ |
Loss before tax | (142,860 | ) | (154,862 | ) |
Loss multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19 %) |
(35,715 |
) |
(29,424 |
) |
Effects of: |
Expenses not deductible for tax purposes | 55,615 | 40,781 |
Capital allowances in excess of depreciation | (9,106 | ) | - |
Depreciation in excess of capital allowances | - | 41,042 |
Capital gain | 39,250 | - |
Correction of prior years provisions | (77,370 | ) | (57,650 | ) |
Loss carried back rate difference | 5,900 | - |
Losses carried forward | 10,989 | - |
Tax rate differences | - | 10,975 |
Group relief | - | (5,868 | ) |
Transactions already included in prior years | (16,413 | ) | - |
Brackenborough lakes transactions included | - | 12,474 |
Total tax (credit)/charge | (26,850 | ) | 12,330 |
8. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
9. | DIVIDENDS |
31.7.24 | 31.7.23 |
£ | £ |
Ordinary shares of £1 each |
Interim | 28,000 | - |
10. | INTANGIBLE FIXED ASSETS |
Group |
Computer |
software |
£ |
COST |
At 1 August 2023 |
and 31 July 2024 | 5,000 |
AMORTISATION |
At 1 August 2023 | 750 |
Amortisation for year | 1,500 |
At 31 July 2024 | 2,250 |
NET BOOK VALUE |
At 31 July 2024 | 2,750 |
At 31 July 2023 | 4,250 |
11. | TANGIBLE FIXED ASSETS |
Group |
Improvements |
Freehold | to | Plant and |
property | property | machinery |
£ | £ | £ |
COST |
At 1 August 2023 | 6,444,719 | 1,148,431 | 533,811 |
Additions | 739,381 | 45,332 | 4,163 |
Disposals | (118,731 | ) | (13,044 | ) | - |
At 31 July 2024 | 7,065,369 | 1,180,719 | 537,974 |
DEPRECIATION |
At 1 August 2023 | 296,466 | 1,009,881 | 450,057 |
Charge for year | 209,917 | 29,825 | 26,293 |
Eliminated on disposal | (7,955 | ) | (3,243 | ) | - |
At 31 July 2024 | 498,428 | 1,036,463 | 476,350 |
NET BOOK VALUE |
At 31 July 2024 | 6,566,941 | 144,256 | 61,624 |
At 31 July 2023 | 6,148,253 | 138,550 | 83,754 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
11. | TANGIBLE FIXED ASSETS - continued |
Group |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 August 2023 | 1,299,224 | 57,190 | 68,600 | 9,551,975 |
Additions | 61,124 | 21,561 | 2,301 | 873,862 |
Disposals | (5,407 | ) | - | - | (137,182 | ) |
At 31 July 2024 | 1,354,941 | 78,751 | 70,901 | 10,288,655 |
DEPRECIATION |
At 1 August 2023 | 1,227,301 | 11,326 | 66,908 | 3,061,939 |
Charge for year | 31,315 | 16,544 | 2,352 | 316,246 |
Eliminated on disposal | (2,518 | ) | - | - | (13,716 | ) |
At 31 July 2024 | 1,256,098 | 27,870 | 69,260 | 3,364,469 |
NET BOOK VALUE |
At 31 July 2024 | 98,843 | 50,881 | 1,641 | 6,924,186 |
At 31 July 2023 | 71,923 | 45,864 | 1,692 | 6,490,036 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Motor |
vehicles |
£ |
COST |
At 1 August 2023 | 57,190 |
Additions | 17,996 |
At 31 July 2024 | 75,186 |
DEPRECIATION |
At 1 August 2023 | 11,327 |
Charge for year | 16,173 |
At 31 July 2024 | 27,500 |
NET BOOK VALUE |
At 31 July 2024 | 47,686 |
At 31 July 2023 | 45,863 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
12. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 August 2023 |
and 31 July 2024 |
NET BOOK VALUE |
At 31 July 2024 |
At 31 July 2023 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: The Brackenborough Limited, Cordeaux Corner, Brackenborough, Louth, Lincolsnhire, LN11 0SZ |
Nature of business: |
% |
Class of shares: | holding |
Registered office: The Brackenborough Hotel, Cordeaux Corner, Louth, Lincolnshire, LN11 0SZ |
Nature of business: |
% |
Class of shares: | holding |
Registered office: The Brackenborough Hotel, Cordeaux Corner, Louth, Lincolnshire, LN11 0SZ |
Nature of business: |
% |
Class of shares: | holding |
13. | STOCKS |
Group |
31.7.24 | 31.7.23 |
£ | £ |
Stocks | 40,534 | 338,591 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
14. | DEBTORS |
Group | Company |
31.7.24 | 31.7.23 | 31.7.24 | 31.7.23 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 127,786 | 150,850 |
Amounts owed by group undertakings | - | 819,651 |
Other debtors | 86,748 | 102,835 |
Tax | 31,039 | - |
Prepayments | 15,837 | 22,079 |
261,410 | 1,095,415 |
Amounts falling due after more than one | year: |
Amounts owed by group undertakings | - | 100 |
Aggregate amounts | 261,410 | 1,095,515 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
31.7.24 | 31.7.23 | 31.7.24 | 31.7.23 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 173,316 | 1,070,592 |
Other loans (see note 17) | 30,064 | 209,623 |
Hire purchase contracts (see note 18) | 15,812 | 11,438 |
Trade creditors | 440,153 | 916,939 |
Amounts owed to group undertakings | - | 100 |
Corporation tax | - | 104,453 |
Social security and other taxes | 27,121 | 22,222 |
VAT | 190,376 | 15,864 | - | - |
Other creditors | 209,578 | 325,076 |
Directors' current accounts | 1,948,215 | 1,872,890 | 1,948,215 | 1,872,890 |
Accrued expenses | 92,462 | 43,608 |
3,127,097 | 4,592,805 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
31.7.24 | 31.7.23 | 31.7.24 | 31.7.23 |
£ | £ | £ | £ |
Bank loans (see note 17) | 3,026,023 | 1,390,339 |
Other loans (see note 17) | 69,214 | 212,226 |
Hire purchase contracts (see note 18) | 38,233 | 37,644 |
Amounts owed to group undertakings | - | 819,651 | - | - |
3,133,470 | 2,459,860 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
31.7.24 | 31.7.23 | 31.7.24 | 31.7.23 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 173,316 | 1,070,592 |
Other loans | 30,064 | 209,623 |
203,380 | 1,280,215 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 1,690,000 | - |
Other loans - 1-2 years | 69,214 | 212,226 | - |
1,759,214 | 212,226 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 1,336,023 | 1,390,339 |
18. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
31.7.24 | 31.7.23 |
£ | £ |
Net obligations repayable: |
Within one year | 15,812 | 11,438 |
Between one and five years | 38,233 | 37,644 |
54,045 | 49,082 |
19. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
31.7.24 | 31.7.23 | 31.7.24 | 31.7.23 |
£ | £ | £ | £ |
Bank loans | 3,199,339 | 2,460,931 |
Hire purchase contracts | 54,045 | 49,082 | - | - |
3,253,384 | 2,510,013 |
Bank loans are secured against the all the land, freehold and leasehold property within the group. |
Hire purchase contracts are secured against the assets in which they relate to. |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
20. | PROVISIONS FOR LIABILITIES |
Group |
31.7.24 | 31.7.23 |
£ | £ |
Deferred tax | 93,332 | 31,649 |
Group |
Deferred |
tax |
£ |
Balance at 1 August 2023 | 31,649 |
Provided during year | 61,683 |
Balance at 31 July 2024 | 93,332 |
21. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.7.24 | 31.7.23 |
value: | £ | £ |
Ordinary | £1 | 500,000 | 500,000 |
Ordinary A | £1 | 500,000 | 500,000 |
1,000,000 | 1,000,000 |
The ordinary shares and the "A" ordinary shares are separate classes of shares. The ordinary shares and the "A" ordinary shares have the following restrictions and rights. The holders of the ordinary shares and the "A" ordinary shares shall be entitled to receive notice of or attend or vote at any meetings. Each share has equal rights except in the case of a resolution as follows. The "A" ordinary shares shall attract a prior dividend of an amount (to be decided by the Director) of up to a maximum of £50,000 (subject to passing a resolution at a general meeting approving the dividend). In all other respects the ordinary shares and the "A" ordinary shares shall rank pari passu as regards dividends. On a return of assets on liquidation, capital reduction or otherwise the assets of the company remaining after the payment of its liabilities shall be applied in paying to the holders of the ordinary shares and the "A" ordinary shares the balance of any assets pro rata to the paid up amount of each share. |
22. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 August 2023 | 344,543 |
Deficit for the year | (116,010 | ) |
Dividends | (28,000 | ) |
At 31 July 2024 | 200,533 |
Oak Ridge Hotels Limited (Registered number: 05340636) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 July 2024 |
23. | RELATED PARTY DISCLOSURES |
31.7.24 | 31.7.23 |
£ | £ |
Balance owing from (to) related parties | 178,523 | 179,684 |
Sales to related parties | 19,667 | 16,871 |
Purchases from related parties | 19,058 | 27,900 |
Related parties are companies in which the director is also a director or has a controlling interest. |
24. | ULTIMATE CONTROLLING PARTY |
The controlling party is A R Lidgard. |