Company registration number 09344503 (England and Wales)
ALBRIN SUBSIDIARY LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024
ALBRIN SUBSIDIARY LIMITED
COMPANY INFORMATION
Directors
Ms S L Fenn
Mr S P Fenn
Company number
09344503
Registered office
2 Villiers Court
40 Upper Mulgrave Road
Cheam
Sutton
Surrey
SM2 7AJ
Auditor
Bryden Johnson Limited
Kings Parade
Lower Coombe Street
Croydon
Surrey
CR0 1AA
ALBRIN SUBSIDIARY LIMITED
CONTENTS
Page
Strategic report
1 - 4
Directors' report
5 - 7
Independent auditor's report
8 - 10
Group profit and loss account
11
Group statement of comprehensive income
12
Group balance sheet
13
Company balance sheet
14
Group statement of changes in equity
15
Company statement of changes in equity
16
Group statement of cash flows
17
Company statement of cash flows
18
Notes to the financial statements
19 - 34
ALBRIN SUBSIDIARY LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 AUGUST 2024
- 1 -

The directors present the strategic report for the year ended 31 August 2024.

 

The group, established in 1992, is a high-quality provider of Early Years education, operating 20 nurseries across London and the Home Counties with a total capacity of 1,950 places for children aged three months to five years.

 

The group achieved robust financial growth during the year, with mature sites consistently reaching high occupancy levels-with the majority maintaining waiting lists. Three new sites opened during the financial period are progressing well and are on track to achieve full occupancy as projected. The group continues to be recognized within the sector, earning accolades including the NMT Nursery Group of the Year, National Apprenticeship Provider of the Year and Mayor of London Apprenticeship Provider of the Year. This year, the group was also shortlisted as a finalist for the Laing Buisson Excellence in Children's Services award and several NMT awards.

 

In addressing past challenges in attracting talent to the profession, the group has enhanced its recruitment and Learning & Development teams, resulting in a record number of applicants and minimal open positions. Through our commitment to learning and development and creating an environment where you can grow your career in Early Years at the group, 40% of promotions have come from internal candidates.

 

Strategy and Objectives

 

For over 30 years, the group has been a leader in Early Years education across London and the Southeast of England. Guided by the philosophy of "providing the right start for the under-5's," the group is committed to delivering uniquely designed nurseries that meet the highest standards in resources and facilities. Our Education Team offers a bespoke Early Years curriculum, carefully crafted to support the development and well-being of each child.

 

Our commitment to staff investment and leadership excellence is central to the group's success. The group prioritises employee engagement, ensuring our workforce is highly qualified, motivated, and aligned with the group's core values. Senior leadership emphasises staff well-being, which has led to high satisfaction scores, strong retention rates, and notable performance improvements. Flexible, agile working practices, combined with a family-friendly culture that supports diverse caregiving responsibilities, form the foundation of our people strategy.

 

The group is dedicated to maintaining safe, legally compliant facilities that foster a stimulating and secure environment for children. A proactive approach to planned maintenance and continued capital investment ensures our properties are kept to the highest standards, a policy we are committed to sustaining into the future.

Review of the business

The group generated a loss for the period of £59,470 (2023 : £2,223,270) before tax. The operational profit (being Earnings Before Interest, Taxation, Depreciation and Amortisation (EBITDA)) was £3,907,390 for the period (2023: £1,618,436).

 

The group's key financial performance indicators during the period were as follows:

 

Year           Year

2024         2023

Turnover             £29,192,218     £23,217,681

EBITDA                  £3,907,390     £1,618,436

ALBRIN SUBSIDIARY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 2 -
Principal risks and uncertainties

The directors have identified the following as the key risks to which the group is exposed:

 

Regulatory risk

Every nursery is registered with and regulated by Ofsted in England or the Care Inspectorate in Scotland. Comprehensive internal control procedures ensure that all relevant regulations are consistently met.

 

Liquidity risk

The group prepares regular forecasts of future cash and debt requirements and monitors cash flow on an ongoing basis to ensure sufficient liquidity.

 

Credit risk

The group's main financial asset is its trade receivables. To manage this, robust credit control systems and advanced financial software have been implemented, enabling continuous monitoring of balances and prompt action on any overdue accounts.

 

Pricing risk

Operating in a competitive sector, the group is exposed to cost increases driven by regulatory factors such as national living wage hikes, business rate adjustments, and the Modern Apprenticeship levy. The group actively forecasts these cost increases and aims to recover them through carefully balanced pricing adjustments to remain competitive in the market.

 

Development and performance

The group has a strong pipeline of future site openings, to support the acquisition, planning and design of future sites, we have set up a Fennies Real Estate Division. The division has recruited Project Management Quantity surveying and Site Management skills, to refine and reduce risk of new site openings running over budget and programme. The group has spent over £1,000,000 this year on the 10 sites in and around London, that now all have planning, design complete along with demolition and structural works. These sites will add a further 1,100 childcare places over the next 18 months, funding for this additional growth is in place.

 

The sector faces ongoing challenges due to significant increases in labour costs, largely driven by annual National Living Wage adjustments each April, along with the Government's announced changes to Employers National Insurance contribution rates, these rising costs necessitate corresponding fee adjustments, balanced with the need to provide a competitive, high-value service.

 

The group remains focused on delivering exceptional environments and educational services for parents and children, fostering growth in both revenue and occupancy. Management has implemented a rolling investment programme to continuously improve and upgrade settings, while ensuring compliance with health and safety requirements. This commitment to quality supports sustainable growth and strengthens our market position.

 

ALBRIN SUBSIDIARY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 3 -
SECTION 172(1) STATEMENT

Section 172 of the Companies Act 2006 requires the Directors to consider the interests of stakeholders and other matters in their decision making.

 

The Directors of the company are fully aware of their duties under Section 172 of the Companies Act 2006. This statement explains how the Directors have fulfilled their obligations to promote the success of the nursery for the benefit of its members as a whole, considering the interests of stakeholders, including employees, parents, children, suppliers, and the community.

 

Decision-Making and Strategy

Our strategy is to provide high-quality early childhood education and care, ensuring that the needs and well-being of children are at the forefront of our decision-making processes. In all decisions, the Directors consider the impact on our stakeholders, aligning with our core values and long-term objectives.

 

Long-Term Impact

The Directors are committed to the long-term success of the nursery. We regularly review our policies and practices to ensure they align with our strategic goals and stakeholder interests. Investments in facilities, staff training, and educational resources are made with a focus on sustainable growth and continuous improvement.

 

Risk Management

The nursery has robust risk management processes in place to identify, assess, and mitigate potential risks. Regular audits, compliance checks, and safety drills are conducted to ensure a safe and secure environment for children, staff, and visitors.

 

Child Safety and Wellbeing

We cultivate and support each child’s potential, equipping them with the confidence, enthusiasm, and skills needed to begin school eagerly and thrive as lifelong learners.

 

The health, safety, and well-being of children, families, and staff are our highest priorities. We follow strict health, hygiene, and disinfection protocols developed in alignment with public health guidelines. Our dedicated health and safety personnel support our centers to ensure adherence to these standards and maintain excellence in all areas.

 

Our early education and child care centers implement various security measures, such as secure electronic access systems and thorough sign-in and sign-out procedures for children. Additionally, our trained teachers and clear sightline center designs further ensure the safety and security of the children. Our facilities are designed to minimize injury risks by featuring child-sized amenities, rounded furniture corners, age-appropriate toys and equipment, and cushioned areas around play structures.

Nutritional Health

We work closely with registered nutritionists to create our nursery menus which provide healthy, nutritionally balanced meals, that support a child’s needs as they grow, prepared fresh daily by our on-site Nursery Chefs. Fennies Day Nurseries Limited are accredited by the EYNP (Early Years Nutrition Partnership) who work to improve future health outcomes of young children.

 

ENGAGEMENT WITH EMPLOYEES

Our employees are vital to the nursery's success. We invest in their professional development, offer competitive compensation, and create a positive working environment. Regular staff meetings, training sessions, and feedback mechanisms ensure that employees are engaged and their voices are heard.

 

Information of matters of concern to employees is given through information bulletins 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 persons

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the company continues and that the appropriate training is arranged. It is the policy of the company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

ALBRIN SUBSIDIARY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 4 -

ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS

Parents and Children: The trust of parents and the well-being of children are central to our operations. We maintain open communication channels with parents through regular meetings, feedback surveys, and parent-teacher conferences. Children's development and happiness are monitored closely, and we adapt our services to meet their evolving needs.

 

Suppliers: We build strong relationships with our suppliers, ensuring that they share our commitment to quality and safety. Regular evaluations and feedback sessions help us maintain high standards and foster mutual growth.

 

The dedicated procurement function ensures that the company is prepared for supply chain disruptions

and external market risk. It establishes an end to end value stream process and utilizes a customer centric tools and methods.

 

It is the group's policy to agree terms with its suppliers, terms of settlement which are appropriate for

the markets in which they operate, and to abide by such terms where suppliers have also met their obligations.

 

We continue to work hard with all our supply chain to reduce waste packaging, reduce food waste and eliminate products that are harmful to our environment, in addition to educating our children on the importance of behaviour and its impact on the environment.

 

Community: The nursery is an integral part of the local community. We participate in community events, support local initiatives, and engage in partnerships that benefit the wider community. Our nursery also promotes environmental sustainability through various green initiatives and educational programs.

On behalf of the board

Mr S P Fenn
Director
25 February 2025
ALBRIN SUBSIDIARY LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 AUGUST 2024
- 5 -

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

Principal activities

The principal activity of the company and group continued to be that of childcare for children aged 3 months to 5 years old via daycare nurseries.

 

Results and dividends

The results for the year are set out on page 11.

No ordinary dividends were paid.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Ms S L Fenn
Mr S P Fenn
Post reporting date events

Information relating to events since the end of the year is given in the notes to the financial statements.

Future developments

The group has chosen in accordance with Companies Act 2006, S.414C(11) to set out in the company's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and reports) Regulations 2008, Sch 7 to be contained in the directors' report. It has done so in respect of Future Developments.

Auditor

The auditor, Bryden Johnson Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

ALBRIN SUBSIDIARY LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 6 -
STREAMLINED ENERGY AND CARBON REPORTING

The group actively monitors its energy usage as part of a comprehensive group wide strategy, aiming to reduce its environmental impact.

 

We have worked with Monarch Partnership since 2017 and in that time, we have implemented a green strategy focusing on three key areas:

 

Energy and water efficiency : Implementing energy and water efficiency measures and enhancing operational efficiencies at nurseries.

 

Travel and Transport: Reducing greenhouse gas emissions from business travel.

 

Waste: Minimizing food waste in nurseries and reducing the use of plastic packaging.

 

The Streamlined Energy and Carbon Reporting (SECR) details have been compiled with the help of an external energy consultant to assess the total energy use and associated emissions for the period. This assessment includes electricity, natural gas, and mandated transport, such as Company car usage and Grey Fleet Mileage.

 

The primary source of energy consumption data for electricity and natural gas is supplier invoices. When invoices do not align with the financial year, a pro rata calculation estimates the usage for the reporting period. If consumption data is unavailable for part of the year, estimates are based on the average monthly consumption for the available period. For sites without data, the annual consumption is estimated from the average annual consumption of accessible sites. Notably, our electricity contract is 100% renewable.

 

Company car usage is calculated either by mileage or expenses, with mileage costs based on the average diesel prices published by the AA. Where possible, we use electric vehicles in our fleet.

Statement of directors' responsibilities

The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

ALBRIN SUBSIDIARY LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 7 -
On behalf of the board
Mr S P Fenn
Director
25 February 2025
2025-02-25
ALBRIN SUBSIDIARY LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ALBRIN SUBSIDIARY LIMITED
- 8 -
Opinion

We have audited the financial statements of Albrin Subsidiary Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 August 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows, the company statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and 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 auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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. 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.

Opinions on other matters prescribed by the Companies Act 2006

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

ALBRIN SUBSIDIARY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ALBRIN SUBSIDIARY LIMITED
- 9 -
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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 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 parent company or to cease operations, or have no realistic alternative but to do so.

Auditor's 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 auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the company and industry, we identified that the principal risks of non-compliance with laws and regulations related to UK taxation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to management override of controls. Audit procedures performed by the engagement team included:

 

- Reviewing minutes of meetings of those charged with governance;

- Enquiry of management and those charged with governance around actual and potential litigation and claims;

- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations, and

- Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness and testing accounting estimates (because of the risk of management bias).

 

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

ALBRIN SUBSIDIARY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ALBRIN SUBSIDIARY LIMITED
- 10 -

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 an auditor's 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.

Jackie Wilding (Senior Statutory Auditor)
For and on behalf of Bryden Johnson Limited
26 February 2025
Chartered Accountants
Statutory Auditor
Kings Parade
Lower Coombe Street
Croydon
Surrey
CR0 1AA
ALBRIN SUBSIDIARY LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 AUGUST 2024
- 11 -
2024
2023
Notes
£
£
Turnover
3
29,192,218
23,217,681
Administrative expenses
(27,429,771)
(23,565,578)
Other operating income
250,369
450,470
Exceptional item
4
(307,547)
(1,182,234)
Operating profit/(loss)
6
1,705,269
(1,079,661)
Interest receivable and similar income
9
7,459
-
0
Interest payable and similar expenses
10
(1,772,198)
(1,143,609)
Loss before taxation
(59,470)
(2,223,270)
Tax on loss
11
(295,244)
91,411
Loss for the financial year
(354,714)
(2,131,859)
Loss for the financial year is all attributable to the owners of the parent company.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

ALBRIN SUBSIDIARY LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 AUGUST 2024
- 12 -
2024
2023
£
£
Loss for the year
(354,714)
(2,131,859)
Other comprehensive income
-
-
Total comprehensive income for the year
(354,714)
(2,131,859)
Total comprehensive income for the year is all attributable to the owners of the parent company.
ALBRIN SUBSIDIARY LIMITED
GROUP BALANCE SHEET
AS AT 31 AUGUST 2024
31 August 2024
- 13 -
2024
2023
Notes
£
£
£
£
Fixed assets
Goodwill
12
86,000
110,000
Negative goodwill
12
(65,839)
(91,324)
Net goodwill
20,161
18,676
Tangible assets
13
16,433,417
16,115,776
16,453,578
16,134,452
Current assets
Stocks
17
1,133,634
143,980
Debtors
16
8,092,052
8,497,993
Cash at bank and in hand
399,940
274,693
9,625,626
8,916,666
Creditors: amounts falling due within one year
18
(14,748,675)
(12,596,522)
Net current liabilities
(5,123,049)
(3,679,856)
Total assets less current liabilities
11,330,529
12,454,596
Creditors: amounts falling due after more than one year
19
(9,196,953)
(9,966,306)
Net assets
2,133,576
2,488,290
Capital and reserves
Called up share capital
24
100,000
100,000
Profit and loss reserves
2,033,576
2,388,290
Total equity
2,133,576
2,488,290
The financial statements were approved by the board of directors and authorised for issue on 25 February 2025 and are signed on its behalf by:
25 February 2025
Mr S P Fenn
Director
Company registration number 09344503 (England and Wales)
ALBRIN SUBSIDIARY LIMITED
COMPANY BALANCE SHEET
AS AT 31 AUGUST 2024
31 August 2024
- 14 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
14
539,500
539,500
Current assets
-
-
Creditors: amounts falling due within one year
18
(441,537)
(441,537)
Net current liabilities
(441,537)
(441,537)
Net assets
97,963
97,963
Capital and reserves
Called up share capital
24
100,000
100,000
Profit and loss reserves
(2,037)
(2,037)
Total equity
97,963
97,963

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was 0 (2023 - 0 profit).

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the board of directors and authorised for issue on 25 February 2025 and are signed on its behalf by:
25 February 2025
Mr S P Fenn
Director
Company registration number 09344503 (England and Wales)
ALBRIN SUBSIDIARY LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 AUGUST 2024
- 15 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 September 2022
100,000
4,520,150
4,620,150
Year ended 31 August 2023:
Loss and total comprehensive income
-
(2,131,859)
(2,131,859)
Balance at 31 August 2023
100,000
2,388,291
2,488,291
Year ended 31 August 2024:
Loss and total comprehensive income
-
(354,714)
(354,714)
Balance at 31 August 2024
100,000
2,033,577
2,133,577
ALBRIN SUBSIDIARY LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 AUGUST 2024
- 16 -
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 September 2022
100,000
(2,037)
97,963
Year ended 31 August 2023:
Profit and total comprehensive income for the year
-
-
-
0
Balance at 31 August 2023
100,000
(2,037)
97,963
Year ended 31 August 2024:
Profit and total comprehensive income
-
-
-
0
Balance at 31 August 2024
100,000
(2,037)
97,963
ALBRIN SUBSIDIARY LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 AUGUST 2024
- 17 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
30
3,131,012
2,686,023
Interest paid
(1,772,198)
(1,143,610)
Corporation taxes refunded/(paid)
100,695
(160,553)
Net cash inflow from operating activities
1,459,509
1,381,860
Investing activities
Purchase of tangible fixed assets
(2,213,699)
(5,362,190)
Proceeds from disposal of tangible fixed assets
-
19,455
Interest received
7,459
-
0
Net cash used in investing activities
(2,206,240)
(5,342,735)
Financing activities
Loans made to directors
(298,353)
-
Repayment of borrowings
(103,067)
(382,679)
Repayment/Receipt of bank loans
(137,688)
3,663,581
Repayment/Receipt of finance lease obligations
(87,531)
379,149
Net cash (used in)/generated from financing activities
(626,639)
3,660,051
Net decrease in cash and cash equivalents
(1,373,370)
(300,824)
Cash and cash equivalents at beginning of year
(7,032,307)
(6,731,483)
Cash and cash equivalents at end of year
(8,405,677)
(7,032,307)
Relating to:
Cash at bank and in hand
399,940
274,693
Bank overdrafts included in creditors payable within one year
(8,805,617)
(7,307,000)
ALBRIN SUBSIDIARY LIMITED
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 AUGUST 2024
- 18 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Net increase in cash and cash equivalents
-
-
Cash and cash equivalents at beginning of year
-
0
-
0
Cash and cash equivalents at end of year
-
0
-
0
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2024
- 19 -
1
Accounting policies
Company information

Albrin Subsidiary Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 2 Villiers Court, 40 Upper Mulgrave Road, Cheam, Sutton, Surrey, SM2 7AJ.

 

The group consists of Albrin Subsidiary Limited and all of its subsidiaries.

 

Albrin Subsidiary Ltd 'The Company' is the parent undertaking of Albrin Subsidiary Ltd and its subsidiaries (together 'the group'). The parent undertaking is the largest and the smallest group for which consolidated accounts have been prepared. Copies of these accounts can be obtained from Companies House, Crown Way, Cardiff CF14 3UZ.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.2
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Albrin Subsidiary Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 August 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 20 -

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

1.3
Going concern

The financial statements have been prepared on the going concern basis, which assumes that the Group will continue to trade for the foreseeable future, being a period of at least twelve months from the date of approval of these financial statements and will be able to meet its debts as they fall due.

 

As with any business, the Group relies upon the availability of working capital and generation of profits and cash in future to meet its liabilities as they fall due.

 

The Group is currently undertaking a refinancing exercise that on completion, will provide additional development funding and refinance the existing facilities.

 

The directors believe that the Group will receive the ongoing support of the bank, which will enable the Group to continue to operate as a going concern and that it will continue for a period of at least twelve months from the date of the signing of the accounts.

1.4
Turnover

Revenue is recognised at the fair value of the consideration received or receivable excluding discounts and rebates and represents fee income received and local authority funding for the provision of early years education and is recognised as the service is provided.

1.5
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is ten years.

1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Long leasehold
5% on cost
Plant and machinery
33% on cost, 20% on cost and 10% on cost
Fixtures and fittings
33% on cost and 20% on cost
Computer equipment
33% on cost
Motor vehicles
20% on cost
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 21 -

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

1.7
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.8
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

1.9
Stocks and work in progress

Inventories are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items

Work in progress in the accounts represents labour and material costs incurred a the year end in relation to incomplete construction work in relation to nurseries under construction not yet opened together with capital improvement projects being undertaken on existing nursery sites.

1.10
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.11
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 22 -

Trade debtors, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as 'loans and receivables'. Loans and receivables are measured at amortised cost using the effective interest method, less any impairment.

 

Interest is recognised by applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial. The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the debt instrument to the net carrying amount on initial recognition.

Classification of financial liabilities

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

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.12
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

1.13
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 23 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.14
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.15
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.16
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

1.17
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
1
Accounting policies
(Continued)
- 24 -
1.18
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, which are described in note 4, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

 

The following are the critical judgments, apart from those involving estimations, that the directors have made in the process of applying the group's accounting policies and that have the most significant effect on the amounts recognised in the consolidation financial statements:

 

- impairment of Goodwill

 

The assessment of impairment of goodwill requires the group to make subjective judgment to determine the identified cash-generating units, allocate the goodwill to relevant cash-generating units and estimate the recoverable amount of relevant cash-generating units. The level is monitored by management and is based on fair value and the estimate useful economic life of the assets to which the goodwill attaches.

3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2024
2023
£
£
Turnover analysed by class of business
Rendering of services
29,192,218
23,217,681
2024
2023
£
£
Other revenue
Interest income
7,459
-
Grants received
-
40,500
Management income received
82,901
364,645
Lease inducement fees
167,468
45,325
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
3
Turnover and other revenue
(Continued)
- 25 -

During the year to 31.08.2024, the company received £167,468 (2023 : £45,325) in the form of leaseback inducements in respect of rented properties.

 

In the year to 31.08.2023, the company received £40,500 from the Department of Education and Skills under the apprenticeship scheme.

The grant income is recognised during the period to which it is intended to contribute. There are no unfulfilled conditions or other contingencies attaching to the grants that have not been recognised.

 

In the year to 31.08.2024, the company also received £82,901 (2023 : £364,645) in management recharges from Origen Developments Ltd.

4
Exceptional item
2024
2023
£
£
Expenditure
Exceptional Expenditure
307,547
1,182,234

Exceptional expenditure relates to a write off of an amount owed by Origen Developments Ltd, an associated company which was placed into liquidation on 23rd January 2024. The amount written off was £38,574 (2023 : £1,182,234).

 

Costs of £268,972 were also incurred in respect of exceptional and non-recurring professional fees in relation to Financial Due-diligence and refinancing carried out during the period.

5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
-
-
Audit of the financial statements of the company's subsidiaries
22,500
13,000
6
Operating profit/(loss)
2024
2023
£
£
Operating profit/(loss) for the year is stated after charging/(crediting):
Government grants
-
(40,500)
Depreciation of owned tangible fixed assets
1,896,058
1,517,349
(Profit)/loss on disposal of tangible fixed assets
-
4,758
Amortisation of intangible assets
(1,485)
(1,485)
Operating lease charges
3,432,669
2,282,263
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 26 -
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
198,000
245,000
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
-
100,000
8
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Nursery staff
696
670
-
-
Management and support
68
74
2
2
Total
764
744
2
2

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
14,845,420
12,775,199
-
0
-
0
Social security costs
1,180,739
960,237
-
-
Pension costs
138,077
135,314
-
0
-
0
16,164,236
13,870,750
-
0
-
0
9
Interest receivable and similar income
2024
2023
£
£
Interest income
Other interest income
7,459
-
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 27 -
10
Interest payable and similar expenses
2024
2023
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
1,633,194
1,027,881
Other finance costs:
Interest on finance leases and hire purchase contracts
139,004
102,084
Other interest
-
13,644
Total finance costs
1,772,198
1,143,609
11
Taxation
2024
2023
£
£
Deferred tax
Origination and reversal of timing differences
295,244
(91,411)

The actual charge/(credit) for the year can be reconciled to the expected credit for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Loss before taxation
(59,470)
(2,223,270)
Expected tax credit based on the standard rate of corporation tax in the UK of 25.00% (2023: 25.00%)
(14,868)
(555,818)
Tax effect of expenses that are not deductible in determining taxable profit
21,238
206,778
Permanent capital allowances in excess of depreciation
295,245
264,000
Amortisation on assets not qualifying for tax allowances
(6,371)
(6,371)
Taxation charge/(credit)
295,244
(91,411)
12
Intangible fixed assets
Group
Goodwill
Negative goodwill
Total
£
£
£
Cost
At 1 September 2023 and 31 August 2024
480,000
(254,854)
225,146
Amortisation and impairment
At 1 September 2023
370,000
(163,530)
206,470
Amortisation charged for the year
24,000
(25,485)
(1,485)
At 31 August 2024
394,000
(189,015)
204,985
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
12
Intangible fixed assets
(Continued)
- 28 -
Carrying amount
At 31 August 2024
86,000
(65,839)
20,161
At 31 August 2023
110,000
(91,324)
18,676
The company had no intangible fixed assets at 31 August 2024 or 31 August 2023.
13
Tangible fixed assets
Group
Long leasehold
Plant and machinery
Fixtures and fittings
Computer equipment
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 September 2023
15,645,661
382,187
3,566,624
598,264
833,269
21,026,005
Additions
1,603,342
30,798
249,936
41,999
287,624
2,213,699
At 31 August 2024
17,249,003
412,985
3,816,560
640,263
1,120,893
23,239,704
Depreciation and impairment
At 1 September 2023
1,937,284
162,027
2,168,888
396,517
245,513
4,910,229
Depreciation charged in the year
855,155
66,642
670,143
106,399
197,719
1,896,058
At 31 August 2024
2,792,439
228,669
2,839,031
502,916
443,232
6,806,287
Carrying amount
At 31 August 2024
14,456,564
184,316
977,529
137,347
677,661
16,433,417
At 31 August 2023
13,708,377
220,160
1,397,736
201,747
587,756
16,115,776
The company had no tangible fixed assets at 31 August 2024 or 31 August 2023.

The net book value of tangible fixed assets includes £1,280,046 (2023: £1,259,981), in respect of assets held under finance lease or hire purchase contracts. The depreciation charge in respect of such assets amounted to £411,939 (2023: £249,798) for the year.

14
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
15
-
0
-
0
539,500
539,500
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
14
Fixed asset investments
(Continued)
- 29 -
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 September 2023 and 31 August 2024
539,500
Carrying amount
At 31 August 2024
539,500
At 31 August 2023
539,500
15
Subsidiaries

These financial statements are separate company financial statements for Albrin Subsidiary Limited.

Details of the company's subsidiaries at 31 August 2024 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Fennies Day Nurseries Limited
UK
Ordinary
100.00
The aggregate capital and reserves and the result for the year of the subsidiaries noted above was as follows:
Name of undertaking
Capital and Reserves
Profit/(Loss)
£
£
Fennies Day Nurseries Limited
2,640,953
(380,199)
16
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
183,802
286,947
-
0
-
0
Other debtors
6,623,775
6,953,806
-
0
-
0
Prepayments and accrued income
1,119,697
797,217
-
0
-
0
7,927,274
8,037,970
-
-
Amounts falling due after more than one year:
Deferred tax asset (note 22)
164,778
460,023
-
0
-
0
Total debtors
8,092,052
8,497,993
-
-
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 30 -
17
Stocks
Group
Company
2024
2023
2024
2023
£
£
£
£
Work in progress
1,048,848
-
-
-
Stocks
84,786
143,980
-
0
-
0
1,133,634
143,980
-
-
18
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
21
8,879,672
7,320,057
-
0
-
0
Obligations under finance leases
20
571,635
402,683
-
0
-
0
Trade creditors
1,209,649
1,331,546
-
0
-
0
Amounts owed to group undertakings
-
0
-
0
2,037
2,037
Corporation tax payable
100,694
-
0
-
0
-
0
Other taxation and social security
348,314
411,104
-
-
Other creditors
2,861,511
2,246,302
439,500
439,500
Accruals and deferred income
777,200
884,830
-
0
-
0
14,748,675
12,596,522
441,537
441,537
19
Creditors: amounts falling due after more than one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
21
6,515,218
6,713,904
-
0
-
0
Obligations under finance leases
20
553,925
810,408
-
0
-
0
Other borrowings
21
-
0
103,067
-
0
-
0
Other creditors
3,983
74,681
-
0
-
0
Accruals and deferred income
2,123,827
2,264,246
-
0
-
0
9,196,953
9,966,306
-
-
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 31 -
20
Finance lease obligations
Group
Company
2024
2023
2024
2023
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
571,635
402,683
-
0
-
0
In two to five years
553,925
810,408
-
0
-
0
1,125,560
1,213,091
-
-

Finance lease payments represent rentals payable by the company or group for certain items of plant and machinery. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is three to five years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

21
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank loans
6,589,273
6,726,961
-
0
-
0
Bank overdrafts
8,805,617
7,307,000
-
0
-
0
Other loans
-
0
103,067
-
0
-
0
15,394,890
14,137,028
-
-
Payable within one year
8,879,672
7,320,057
-
0
-
0
Payable after one year
6,515,218
6,816,971
-
0
-
0

The bank overdraft with Cynergy bank PLC is secured with a fixed and floating charge over all property and assets of the company and related parties.

 

The bank loan facility with Cynergy Bank PLC is secured with a fixed charge over the leasehold property acquired by the company.

 

Other loans include amounts payable to directors, due over one year.

22
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Assets
Assets
2024
2023
Group
£
£
Accelerated capital allowances
164,778
460,023
The company has no deferred tax assets or liabilities.
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
22
Deferred taxation
(Continued)
- 32 -
Group
Company
2024
2024
Movements in the year:
£
£
Asset at 1 September 2023
(460,023)
-
Charge to profit or loss
295,245
-
Asset at 31 August 2024
(164,778)
-
23
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
138,077
135,314

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

24
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100,000
100,000
100,000
100,000
25
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
1,936,680
1,937,941
-
-
Between two and five years
7,311,666
7,492,543
-
-
In over five years
15,947,452
17,576,255
-
-
25,195,798
27,006,739
-
-
ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 33 -
26
Events after the reporting date

There are no other post balance sheet events that have taken place between 31 August 2024 and the date of this report that are required to be brought to the attention of shareholders.

27
Directors' transactions

At the year end, the group was owed £298,353 (2023: £103,067 creditor) from a director. The sum owed is subject to interest at an annual rate of 2.5% and is repayable on demand.

 

The group leased property owned personally by the directors. The amounts payable during the period were £627,000 (2023: £627,000).

 

28
Related party transactions

At the year end, the group was owed £NIL (2023 : £919,749) by Origen Developments Ltd, a company associated by virtue of common control. The group received £82,901 (2023 : £364,645) in management fee income from Origen Developments Limited in the year.

 

£5,761,609 (2023 : £5,792,245) was owed by Albrin Capital Ltd, a company associated by virtue of common control. The company also owed Albrin Capital Ltd £439,500 (2023 : £439,500) at the year end. During the year, the group paid rents to Albrin Capital Ltd amounting to £683,663 (2023 : £531,996).

 

£322,629 (2023 : £117,712) was owed by Woodham House Ltd, a company associated by virtue of common control. The group paid rents to Woodham House Ltd amounting to £192,000 (2023: £192,000).

 

£3,196 (2023 : £NIL) was owed by 41 Down Road Ltd, a company associated by virtue of common control.

 

£471 (2023 : £NIL) was owed by 41 Down Road Flats Ltd, a company associated by virtue of common control.

 

£807 (2023 : £NIL) was owed by Albrin Property Ltd, a company associated by virtue of common control.

 

£393 (2023 : £NIL) was owed by Nibral Capital Ltd, a company associated by virtue of common control.

 

All amounts were interest free.

 

29
Controlling party

The ultimate controlling party is Mr S Fenn by virtue of his majority shareholding in the company.

 

ALBRIN SUBSIDIARY LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2024
- 34 -
30
Cash generated from group operations
2024
2023
£
£
Loss for the year after tax
(354,714)
(2,131,859)
Adjustments for:
Taxation charged/(credited)
295,244
(91,411)
Finance costs
1,772,198
1,143,609
Investment income
(7,459)
-
0
(Gain)/loss on disposal of tangible fixed assets
-
4,758
Amortisation and impairment of intangible assets
(1,485)
(1,485)
Depreciation and impairment of tangible fixed assets
1,896,058
1,517,349
Movements in working capital:
Increase in stocks
(989,654)
(96,518)
Decrease/(increase) in debtors
409,049
(411,611)
Increase in creditors
111,775
2,753,191
Cash generated from operations
3,131,012
2,686,023
31
Analysis of changes in net debt - group
1 September 2023
Cash flows
31 August 2024
£
£
£
Cash at bank and in hand
274,693
125,247
399,940
Bank overdrafts
(7,307,000)
(1,498,617)
(8,805,617)
(7,032,307)
(1,373,370)
(8,405,677)
Borrowings excluding overdrafts
(6,830,028)
240,755
(6,589,273)
Obligations under finance leases
(1,213,091)
87,531
(1,125,560)
(15,075,426)
(1,045,084)
(16,120,510)
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