Registered number:
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
COMPANY INFORMATION
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THE ADELPHI THEATRE COMPANY LIMITED
CONTENTS
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THE ADELPHI THEATRE COMPANY LIMITED
STRATEGIC REPORT
FOR THE PERIOD ENDED 30 JUNE 2024
The company's shares with voting rights are owned 50% by J Ned Inc and 50% by Adelphi Theatre Holdings Limited (formerly New London Theatre Limited).
The principal activites of the company continued to be that of management, maintenance and refurbishment of the Adelphi theatre and the provision of theatre related services to producers and promoters. The company's activities are expected to continue for the foreseeable future.
During the entire financial period Bob Gale’s and Robert Zemeckis’s Back To The Future continued to play at The Adelphi Theatre, and was seen by 545 thousand visitors (2023: 554 thousand). In addition, the theatre hosted a number of concerts on the show’s rest days.
The ongoing success of the resident show and concert programming meant that turnover for the period reported in financial statements was £34.0m (2023: £34.6m) and resulted in retained profits for the period of £4.0m (2023: £4.0m). After taking account of the £4.0m dividend paid in respect of 2023 trading, net assets remained unchanged at £5.8m. We continue to focus on mitigating the impact of the difficult economic conditions in the UK on our producers, staff and customers in order to enable the theatre to continue to trade successfully.
The company faces competitive pressures from other theatre owning companies in London to attract and stage successful productions. There is also a risk that once the production is in the theatre, it is not popular with the public. The company carefully manages this risk by using its experience to only select productions that it believes will be successful, both for the company itself and the producer. The company ensures it can attract productions that it believes will be successful by being focused on providing quality service to producers, being able to react quickly to producer queries and to maintain and develop strong relationships with new and continuing theatre producers.
The company has no financial instruments apart from cash, trade debtors and trade creditors, all arising in the normal course of business. There are no foreign operations of the company and all transactions are conducted in sterling. The main financial risks to which the company is exposed are liquidity risk and credit risk. These risks are managed by ensuring sufficient liquidity is available to meet foreseeable needs.
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THE ADELPHI THEATRE COMPANY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
The company uses a number of key performance indicators to track performance. Key areas of focus include the following metrics and how they compare throughout the year with the budget set by the directors:
- Number of performances - Attendance figures - Average ticket price - Box office takings - Advance bookings - In theatre spend per head From the list above, the most important drivers are attendance figures of 545,024 (2023: 553,998) and box office takings of £22.9m (2023: £23.5m).
This report was approved by the board on 13 March 2025 and signed on its behalf.
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THE ADELPHI THEATRE COMPANY LIMITED
DIRECTORS' REPORT
FOR THE PERIOD ENDED 30 JUNE 2024
The directors present their report and the financial statements for the period ended 30 June 2024.
The directors who served during the period were:
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the company's financial statements and then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The profit for the period, after taxation, amounted to £3,996,132 (2023 - £3,965,646).
Dividends of £4,000,000 (2023 - £2,000,000) were paid during the period.
After making reasonable enquiries and considering the trading forecasts of the company, the directors have a
reasonable expectation that the company has adequate resources to continue in operational existence for at least twelve months from the date of signing these financial statements. Accordingly, they continue to adopt the going concern basis in preparing the company's financial statements.
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THE ADELPHI THEATRE COMPANY LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 JUNE 2024
The Adelphi Theatre Company Limited recognises the importance of its environmental responsibilities and
implements policies to reduce any damage that might be caused by the company's activities. The company operates initiatives designed to minimise the company's impact on the environment. These policies include recycling and reduction of energy consumption.
Details of the number of employees and related costs can be found in note 7 to the financial statements.
The company aims to: secure good relations between management and all employees; to promote a better understanding of the issues influencing the company's business; to improve productivity; to enhance the quality of working life and to gain the commitment of all concerned to the company's business objectives. Disabled persons are considered for employment, training, career development and promotion on the basis of their aptitudes and abilities, in common with all employees of the company. Employees are informed on matters relevant to them through periodic meetings. Employee representatives are consulted regularly on a wide range of matters affecting their interests.
There have been no significant events affecting the company since the year end.
The auditors, Nyman Libson Paul LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board on
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THE ADELPHI THEATRE COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE ADELPHI THEATRE COMPANY LIMITED
We have audited the financial statements of The Adelphi Theatre Company Limited (the 'company') for the period ended 30 June 2024, which comprise the Statement of Income and Retained Earnings, the Balance Sheet, the Statement of Cash Flows and the related notes, 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).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
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THE ADELPHI THEATRE COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE ADELPHI THEATRE COMPANY LIMITED (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual 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.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.
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THE ADELPHI THEATRE COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE ADELPHI THEATRE COMPANY LIMITED (CONTINUED)
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that 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 misrepresentations, or through collusion. We focussed on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation, reading minutes of meetings of those charged with governance, enquiries with management and review of accounting estimates. There are inherent limitations in the audit procedures described above and, the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.
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THE ADELPHI THEATRE COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE ADELPHI THEATRE COMPANY LIMITED (CONTINUED)
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 Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants
Statutory Auditors
124 Finchley Road
NW3 5JS
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THE ADELPHI THEATRE COMPANY LIMITED
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
REGISTERED NUMBER: 02761565
BALANCE SHEET
AS AT 30 JUNE 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf on
The notes on pages 12 to 24 form part of these financial statements.
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THE ADELPHI THEATRE COMPANY LIMITED
STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
The Adelphi Theatre Company Limited is a private company limited by shares and incorporated in England and Wales. The address of its principal place of business is Adelphi Theatre, Strand, London, WC2R 0NS. The company operates the Adelphi Theatre in London and its income is derived from box office, merchandise and bar sales, overhead recoveries and commissions on ticket sales.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).
Box office income comprises the sale of tickets and is recorded after the deduction of commissions. It is initially recorded as deferred income and recognised as revenue once the performance to which it relates has taken place. Retail sales Retail income comprise sales of food, drink and merchandise at the theatre and is recognised at the point of sale. Retail income also includes income from hiring the theatre's conference rooms for private use. Recoveries Wages and overhead recoveries comprise contributions by the producers towards the theatre's management, box office and technical staff costs and other overheads during the run of productions. Ticketing commissions Ticketing commissions comprises fees payable to the company in relation to ticketing services provided to producers.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the costs of assets less their residual value over their estimated useful lives on the following basis:
At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately through profit or loss.
The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable and loans from related parties. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
2.Accounting policies (continued)
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the country where the company operates and generates income. Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that: - The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and - Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met. Deferred tax balances are not recognised in respect of permanent differences. Deferred tax is determined using tax rated and laws that have been enacted or substantively enacted by the reporting date.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
The following are the company's key areas of estimation uncertainty: Tangible assets Tangible assets are depreciated over their useful lives taking into acount residual values where appropriate. The actual lives of assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the assets' lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Accruals The company makes an estimate of accruals at the year end based on invoices received after the year end, work undertaken which has not been invoiced based on quotations or estimates of amounts that may be due for payment.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
9.Taxation (continued)
There were no factors that may affect future tax charges.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
The company operates a defined contributions pension scheme. The assets of the scheme are held seperately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £68,292 (2023: £63,113). Contributions totalling £36,127 (2023: £1,178) were payable to the fund at the reporting date.
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THE ADELPHI THEATRE COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 JUNE 2024
The company is under the control of J Ned Inc and Adelphi Theatre Holdings Limited (formerly New London Theatre Limited).
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