Company registration number:
for the Year Ended
Taunton Racecourse Company Limited
Contents
Chairman's Statement |
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Balance Sheet |
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Notes to the Unaudited Financial Statements |
Taunton Racecourse Company Limited
Chairman's Statement for the Year Ended 31 May 2024
2024 has been another successful year for the company, not only financially but also in terms of competitive racing and continued development of the facilities through reinvestment.
The year has seen the completion of the syndicate room which will enable us to improve our offering for the ever increasing number of syndicates which enable more individuals to enjoy being an owner. The room will also provide a very good commercial opportunity for functions on non-race days.
The other major project has been around irrigation and the installation of two new bore holes and an additional irrigator which will enable us to water 365 days a year and at a greater volume. The impact
of this will be to ensure that we do not lose fixtures through dry ground in the autumn and early spring. Your board views this as an important future proofing for racing at Taunton.
Our financial position continues to be strong and group pre tax profits, which include the return from Orchard Restaurant Limited our wholly owned subsidiary are 328K for the year. However, caution is always needed as on a like for like basis after allowing for one off items the result is actually slightly down on the previous two years and racing revenues in particular are under continual pressure. We aim to maintain an appropriate level of cash reserves which will be used for future improvements to the facilities and to ensure that we are in a position to maintain prize money at the levels which attract good fields and maintain our reputation with owners and trainers. Orchard Restaurant continues to perform well in terms of commercial income from non-racing activities and the board are always alert to the need to consider other commercial opportunities to use the excellent facilities.
I also wish to record our appreciation and thanks to our staff who are a vital part of our success and who always go above and beyond when dealing with members, guests and other commercial partners Finally, I have to sadly record the death of one of our long serving board colleagues, Chris Dunn. Chris and his family before him have been and remain among the strongest supporters of racing at Taunton and the company generally. His input and contribution will be greatly missed, although we are delighted that his widow Heather will maintain the family tradition by serving as a vice president.
During the year we welcomed Guy Henderson to our board who brings with him valuable experience from Wincanton and Ascot racecourses.
In summary, the board feel that we are well positioned in all respects to deal with the challenges which lie ahead both in general business terms, but also the various issues around racing in general.
David Griffin
19 September 2024
Taunton Racecourse Company Limited
(Registration number: 00223275)
Balance Sheet as at 31 May 2024
Note |
2024 |
2023 |
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Fixed assets |
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Tangible assets |
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Investment property |
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Investments |
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Other financial assets |
18,930 |
36,186 |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
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( |
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Net current assets |
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Total assets less current liabilities |
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Grant account |
( |
( |
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Provisions for liabilities |
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Deferred tax liabilities |
(130,928) |
(98,562) |
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Net assets |
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Capital and reserves |
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Called up share capital |
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Share premium reserve |
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Capital redemption reserve |
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Fair value reserve |
118,220 |
118,220 |
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Profit and loss account |
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Total equity |
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Taunton Racecourse Company Limited
(Registration number: 00223275)
Balance Sheet as at 31 May 2024
For the financial year ending 31 May 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. |
Approved and authorised by the
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Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
These financial statements are presented in Sterling (£).
Group accounts not prepared
Turnover recognition
Turnover represents amounts receivable by the company for the supply of media rights, the receipt of revenue incentives and the provision of goods or services to race-goers and other parties. Turnover is shown net of VAT.
The largest components of turnover are admission income, income from the suppply of race day media rights, income from sponsors and revenue incentives received from the Horserace Betting Levy Board (HBLB), all recognised when the related race meeting has taken place; it also includes non-race day media rights, recognised when contractually due. Turnover includes club membership income, recognised on a time-apportioned basis across the period to which it relates.
Other operating income comprises lettings and rental income, recognised when it relates to an event that has taken place or where contractually due; it also includes the amortisation of capital grants, recognised at the same rate at which related assets are being depreciated, other government grants, recognised as related costs are included, and management charges receivable, recognised when due.
Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Government grants
Revenue grants in the form of racing incentives are received from the Horserace Betting Levy Board (HBLB) and accounted for as turnover.
Under the HBLB's capital credit scheme, racecourses can elect to claim capital grants as an alternative to revenue grants. Capital grants receivable under this scheme are recognised as a debtor and as deferred income (by a credit to the grant account). When a capital grant is approved and paid by the HBLB, the debtor is reduced and credits are made to the profit and loss account to amortise the related grant by equal instalments which match the period over which the relevant fixed assets are depreciated.
Other government grants are recognised under the accruals model resulting in income being recognised on a systematic basis over the period in which the related costs are incurred for which the grant is compensating. The income from the scheme is recognised as other income in the profit and loss and timing differences presented as other debtors or deferred income within the balance sheet.
Tax
The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
The current tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.
Deferred tax is recognised on timing differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.
The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.
Deferred tax liabilities are presented within provisions for liabilities on the balance sheet.
Tangible assets
Tangible assets are stated at cost, less accumulated depreciation and accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation of tangible assets
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Freehold land |
Not depreciated |
Stands and buildings |
2 - 5% straight line basis |
Course improvements |
5% straight line basis |
Machinery, fittings and equipment |
15% straight line basis |
Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Motor vehicles |
25% straight line basis |
Investment property
Business combinations
Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.
Investments
Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Debtors
Trade debtors are amounts due from customers for services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities. Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payments obligations.
The contributions are recognised as an expense in the profit and loss account when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.
Staff numbers |
The average number of persons employed by the company (including directors) during the year was
Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Tangible assets |
Freehold land |
Stands and buildings |
Course improvements |
Machinery, fittings and equipment |
Motor vehicles |
Total |
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Cost or valuation |
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At 1 June 2023 |
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Additions |
- |
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At 31 May 2024 |
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Depreciation |
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At 1 June 2023 |
- |
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Charge for the year |
- |
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At 31 May 2024 |
- |
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Carrying amount |
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At 31 May 2024 |
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At 31 May 2023 |
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Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Investment properties |
2024 |
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At 1 June 2023 |
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Additions |
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At 31 May 2024 |
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The investment properties class of fixed assets was valued at £295,000 by the directors, who are internal to the company.
There has been no valuation of investment property by an independent valuer.
Investments |
2024 |
2023 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
Cost or valuation |
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At 1 June 2023 |
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Provision |
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Carrying amount |
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At 31 May 2024 |
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At 31 May 2023 |
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Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Other financial assets (current and non-current) |
Financial assets at cost less impairment |
Total |
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Non-current financial assets |
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Cost or valuation |
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At 1 June 2023 |
18,930 |
18,930 |
At 31 May 2024 |
18,930 |
18,930 |
Impairment |
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Carrying amount |
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At 31 May 2024 |
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18,930 |
Taunton Racecourse Company Limited
Notes to the Unaudited Financial Statements
for the Year Ended 31 May 2024
Debtors |
Current |
2024 |
2023 |
Trade debtors |
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Prepayments |
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Other debtors |
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Details of non-current trade and other debtors
£84,987 (2023 -£185,260) of Trade debtors is classified as non current. These amounts represent capital grants receivable from the Horserace Betting Levy Board, which will be paid at their discretion. An equivalent deferred income creditor is recognised within the Grant account.
Creditors |
Creditors: amounts falling due within one year
Note |
2024 |
2023 |
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Trade creditors |
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Amounts owed to group undertakings and undertakings in which the company has a participating interest |
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Taxation and social security |
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Other creditors |
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Grant account |
Grant account |
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At 1 June 2023 |
1,629,142 |
Amortisation released to profit for the year |
(79,311) |
At 31 May 2024 |
1,549,831 |