Company registration number 01708566 (England and Wales)
NEWMARKET PROMOTIONS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
NEWMARKET PROMOTIONS LIMITED
COMPANY INFORMATION
Directors
T P Frei
J C Griffin
S C Hibbs
M T R Vincent
Mr N Alobaidi
Company number
01708566
Registered office
Cantium House
Railway Approach
Wallington
SM6 0BP
Auditor
Landau Morley LLP
325-327 Oldfield Lane North
Greenford
Middlesex
UB6 0FX
NEWMARKET PROMOTIONS LIMITED
CONTENTS
Page
Strategic report
1 - 5
Directors' report
6 - 7
Independent auditor's report
8 - 10
Income statement
11
Group statement of comprehensive income
12
Group statement of financial position
13
Company statement of financial position
14
Group statement of changes in equity
15
Company statement of changes in equity
16
Group statement of cash flows
17
Notes to the financial statements
18 - 33
NEWMARKET PROMOTIONS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 1 -

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

 

The principal activity of the Group during the year was that of a holiday tour operator, mainly targeting the 50+ age bracket, with a broad range of escorted tours, cruises and events. There are no current plans for diversifying the main activities.

Review of the business

 

The business was pleased to see another year-on-year significant uplift in the revenue from its holiday packages departing in 2024, delivering just over £75.7M (up by over 30% from £58.2M in 2023). This growth was achieved through a combination of an increase in the average price per person of 17% and an increase in departed passengers of over 11% to nearly 46,000.

 

 

Long haul destinations continued their strong growth since the COVID-19 pandemic, with a 23% increase in departed passengers and 39% increase in revenue, compared to 2023, out-performing short haul on total revenue for the first ever time. This growth was particularly supported by the success of a selection of brand-new safari tours in southern Africa, however most long haul regions saw material year on year revenue growth.

 

 

The growth in top-line figures was supported by a number of successful operational efficiency initiatives below the line enabling improved margins. The increased focus on service which began in 2022 also gained further momentum, with the Trustpilot score improving from 4.7 to a sector high 4.8.

 

 

The directors were pleased to see that, through a combination of growth in revenue, operational efficiency initiatives and continuous service improvement, the business achieved its highest profit performance in its 42-year history.

 

 

Whilst the ‘cost of living’ crisis continued through 2024, alongside high inflation levels, the business has found its customer demographic to be far less impacted by these challenges and is pleased to see forward trading continue to improve.

 

The business has delivered a new web platform, which is supporting growth through direct, trade and internal sales channels. The business also launched a new Premier Collection concept in Q2 2024, following survey feedback suggesting 1 in 3 customers having a specific interest in this concept.

 

In October 2024, the Group was acquired by Blossom Bidco Ltd, following investment interest in the business from a number of different investment houses. The Group is already benefiting from support and advice from the new Non-Executive Directors along with the Investment House as it continues to refine the opportunities for growth to take the Group to the next level.

 

NEWMARKET PROMOTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -
Principal risks and uncertainties

 

The main risks that may affect the performance of the company continue to be external, with the wars in Ukraine and the Middle East, trade war between USA and China, ongoing inflation and the ‘cost of living crisis’ seen as the biggest uncertainties at this time. The business continues to mitigate against these risks through product innovation and a focus on negotiation with key supply partners. The business believes that it is already well placed to respond to these risks, and that its targeted customer demographic is more protected against these uncertainties than most other customer groupings.

 

 

The UK travel industry continues to be highly competitive, and industry margins are consequently tight. The company maintains its approach to meeting this risk by an innovative and structured approach to product development and distribution, such that many of the company's packages are not readily available from other businesses. The group's profitability is also influenced by the GBP exchange rate environment, particularly in relation to EUR and USD. The group mitigates this risk by hedging its currency exposure.

 

 

At the year ended 31 December 2024, the company's financial position is healthy. The company's staff and management are committed and expert. The company's suppliers are long-standing and loyal. On these foundations the directors believe there is considerable scope for further development of the business.

 

NEWMARKET PROMOTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 3 -

Financial Risk Management

Credit Risk

Both customers and Travel Agents pay in advance of receiving the holiday, thus non-payment issues are avoided as customers are not issued with tickets prior to receiving the final balance for their holiday.

For suppliers, credit checks are undertaken using Creditsafe to ensure that each supplier is financially robust and for key suppliers a credit alert is in place. Any material prepayments require authorisation from the CFO.

 

Liquidity Risk

The Group mitigates liquidity risk through the use of a daily cashflow forecast that is built from historical movements and is regularly reviewed by both the Financial Controller and the CFO. As part of the review, monies in notice accounts are regularly put on notice to ensure sufficient funds are available to meet payment runs and currency purchases.

 

Interest Rate Risk

The Group invests surplus cash in notice deposit accounts. The Group’s interest income is therefore affected by the movement in interest rates.

 

Regulation Risk

The sale of travel and holiday arrangements is a highly regulated industry. The Group seeks to manage the associated risks by constantly monitoring changes, attending update seminars, adapting terms of trade and the business model as required.

 

Technology Risk

The Group has undertaken a review of it’s technology infrastructure and uses an Information Security company (DataGuard) to help ensure best practice is followed. In addition, the Group has taken out Cyber insurance which both covers risk and provides assistance in the event of a cyber breach.

 

 

 

NEWMARKET PROMOTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 4 -
Section 172 statement

 

 

Stakeholder Engagement

The board of directors consider that the decision they have made during the financial year and the way they acted have promoted the success of the Group for the benefit of its stakeholders. The Board meets on a monthly basis to review the management accounts for the Group with standing items on the agenda covering areas such as current trading, customer feedback, employee engagement and review of the business plan delivery. The Board considers the company’s key stakeholders to include employees, customers, suppliers, and shareholders.

 

 

Principal decisions taken by the Board during the period

The Board meet on a regular basis to evaluate longer term strategic direction and agree levels and areas for investment. The decision-making process takes into account, financial benefit to the group, as well as the long term effect on the Group’s going concern, service for our customers, development of employees and the environment. The approach to all stakeholders is one of mutually beneficial partnership where sustained returns and good long term relationships are key.

 

 

During the 2024 financial period, the Board considered a wide range of matters affecting both the short term and long term future of the Group. Whilst the matters varied throughout the period, the approach to reviewing them was through the Newmarket Holidays Brand bullseye and the framework of PACERS (People, Acquisition, Conversion, Efficiency, Responsibility & Service).

 

 

We set out below how we engaged with all key stakeholders during the period to communicate strategy and take onboard stakeholder feedback.

 

 

Customer & Suppliers

We engage with our customers through various channels (Retail, call centre and online). The focus is 100% on customer satisfaction, with continual innovation to our service delivery at all customer touch points.

 

 

We maintain open and regular communication with our key suppliers as well as holding training days for both our employees and our suppliers' employees as appropriate. In addition, we engage constructively to set clear and balanced expectations of our supplier relationships through contracts, agreements and service levels.

 

 

 

Employees

Our employees are key to the success of the Group and future growth. The Board aims to be a responsible employer, ensuring that pay and benefits are fair, consistent and competitive. The health, safety and well-being of employees is a primary focus of the board and is supported by quarterly employee surveys. After each survey, as appropriate actions are taken to improve employee engagement and address areas of employee concern.

 

Each month a Town Hall is held for all employees, where business updates, new products and employee awards are shared.

NEWMARKET PROMOTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 5 -

 

 

Trading Updates

The Board considers trading performance from across the Group’s operations, discussing performance from both a booking and departure perspective, along with a review of margins by product type.

 

 

Financial Updates

The Board discusses performance against budget and a rolling forecast, understanding the drivers of both out and under performance. In addition, working capital and the liquidity position are reviewed to ensure they are sufficient for both the Group’s and regulatory requirements.

On behalf of the board

Mr N Alobaidi
Director
21 May 2025
NEWMARKET PROMOTIONS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 6 -

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

Principal activities

The principal activity of the group continued to be that of holiday tour operators.

Results and dividends

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

No ordinary dividends were paid. The directors do not recommend payment of a further dividend.

Directors

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

T P Frei
J C Griffin
S C Hibbs
A J McWalter
(Resigned 4 October 2024)
M T R Vincent
Mr N Alobaidi
Future developments

In the years ahead the directors believe that there is considerable scope for the development of the existing activities of the group. There are no current plans for the diversification of activities.

Energy and carbon report

As the large company within the group has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

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.

NEWMARKET PROMOTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 7 -
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.

On behalf of the board
Mr N Alobaidi
Director
21 May 2025
NEWMARKET PROMOTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF NEWMARKET PROMOTIONS LIMITED
- 8 -
Opinion

We have audited the financial statements of Newmarket Promotions Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the group income statement, the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, the group statement of changes in equity, the company statement of changes in equity, the group 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:

NEWMARKET PROMOTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NEWMARKET PROMOTIONS 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.

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.

 

We are not responsible for preventing non-compliance and cannot be expected to detect non­ compliance with all laws and regulations - this responsibility lies with management with the oversight of the directors.

 

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

 

NEWMARKET PROMOTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NEWMARKET PROMOTIONS LIMITED
- 10 -

 

 

 

 

 

 

 

 

 

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements of the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).

 

The potential effects of inherent limitations are particularly significant in the case of misstatement resulting from fraud because fraud may involve sophisticated and carefully organized schemes designed to conceal it, including deliberate failure to record transactions, collusion or intentional misrepresentations being made to us.

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.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in 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.

Sabrina Dunn FCA (Senior Statutory Auditor)
For and on behalf of Landau Morley LLP, Statutory Auditor
Chartered Accountants
325-327 Oldfield Lane North
Greenford
Middlesex
UB6 0FX
22 May 2025
NEWMARKET PROMOTIONS LIMITED
GROUP INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2024
- 11 -
2024
2023
Notes
£
£
Turnover
3
75,756,089
58,258,863
Cost of sales
(54,067,674)
(43,961,651)
Gross profit
21,688,415
14,297,212
Administrative expenses
(17,484,021)
(12,166,077)
Other operating income
50,757
68,159
Operating profit
4
4,255,151
2,199,294
Interest receivable and similar income
8
1,269,691
728,488
Interest payable and similar expenses
9
-
0
(59,501)
Profit before taxation
5,524,842
2,868,281
Tax on profit
10
(1,569,869)
(255,650)
Profit for the financial year
21
3,954,973
2,612,631
Profit for the financial year is all attributable to the owners of the parent company.
NEWMARKET PROMOTIONS LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024
- 12 -
2024
2023
£
£
Profit for the year
3,954,973
2,612,631
Other comprehensive income
Cash flow hedges loss arising in the year
(21,326)
(385,784)
Total comprehensive income for the year
3,933,647
2,226,847
Total comprehensive income for the year is all attributable to the owners of the parent company.
NEWMARKET PROMOTIONS LIMITED
GROUP STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2024
31 December 2024
- 13 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
1,243,029
842,401
Tangible assets
12
262,785
251,052
1,505,814
1,093,453
Current assets
Debtors - deferred tax
18
311,529
1,561,272
Debtors - other
16
8,995,000
4,953,168
Cash at bank and in hand
21,230,342
16,319,038
30,536,871
22,833,478
Creditors: amounts falling due within one year
17
(23,511,387)
(19,332,780)
Net current assets
7,025,484
3,500,698
Net assets
8,531,298
4,594,151
Capital and reserves
Called up share capital
20
75,000
75,000
Share premium account
21
475,000
475,000
Hedging reserve
21
(235,853)
(214,527)
Other reserves
21
3,500
-
0
Profit and loss reserves
21
8,213,651
4,258,678
Total equity
8,531,298
4,594,151
The financial statements were approved by the board of directors and authorised for issue on 21 May 2025 and are signed on its behalf by:
21 May 2025
Mr N Alobaidi
Director
Company registration number 01708566 (England and Wales)
NEWMARKET PROMOTIONS LIMITED
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
31 December 2024
- 14 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
262,785
251,052
Investments
13
20,000
20,000
282,785
271,052
Current assets
Debtors
16
11,564,224
10,165,739
Cash at bank and in hand
527,445
10,936
12,091,669
10,176,675
Creditors: amounts falling due within one year
17
(5,388,604)
(3,608,443)
Net current assets
6,703,065
6,568,232
Net assets
6,985,850
6,839,284
Capital and reserves
Called up share capital
20
75,000
75,000
Share premium account
21
475,000
475,000
Other reserves
21
3,500
-
0
Profit and loss reserves
21
6,432,350
6,289,284
Total equity
6,985,850
6,839,284

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 £143,063 (2023 - £1,178 profit).

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 21 May 2025 and are signed on its behalf by:
21 May 2025
Mr N Alobaidi
Director
Company registration number 01708566 (England and Wales)
NEWMARKET PROMOTIONS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 15 -
Share capital
Share premium account
Hedging reserve
Other reserves
Profit and loss reserves
Total
£
£
£
£
£
£
Balance at 1 January 2023
75,000
475,000
171,257
-
1,646,047
2,367,304
Year ended 31 December 2023:
Profit for the year
-
-
-
-
2,612,631
2,612,631
Other comprehensive income:
Cash flow hedges gains/(losses) arising in the year
-
-
(385,784)
-
-
(385,784)
Total comprehensive income for the year
-
-
(385,784)
-
2,612,631
2,226,847
Balance at 31 December 2023
75,000
475,000
(214,527)
-
0
4,258,678
4,594,151
Year ended 31 December 2024:
Profit for the year
-
-
-
-
3,954,973
3,954,973
Other comprehensive income:
Cash flow hedges gains/(losses) arising in the year
-
-
(21,326)
-
-
(21,326)
Total comprehensive income for the year
-
-
(21,326)
-
3,954,973
3,933,647
Movement in respect of share based payments
-
-
-
3,500
-
3,500
Balance at 31 December 2024
75,000
475,000
(235,853)
3,500
8,213,651
8,531,298
NEWMARKET PROMOTIONS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024
- 16 -
Share capital
Share premium account
Other reserves
Profit and loss reserves
Total
£
£
£
£
£
Balance at 1 January 2023
75,000
475,000
-
6,288,107
6,838,107
Year ended 31 December 2023:
Profit and total comprehensive income for the year
-
-
-
1,177
1,177
Balance at 31 December 2023
75,000
475,000
-
6,289,284
6,839,284
Year ended 31 December 2024:
Profit and total comprehensive income
-
-
-
143,064
143,064
Movement in respect of share based payments
-
-
3,500
-
3,500
Balance at 31 December 2024
75,000
475,000
3,500
6,432,350
6,985,850
NEWMARKET PROMOTIONS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 17 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
25
4,514,706
8,016,266
Interest paid
-
0
(59,501)
Net cash inflow from operating activities
4,514,706
7,956,765
Investing activities
Purchase of intangible assets
(730,643)
(520,749)
Purchase of tangible fixed assets
(193,914)
(129,453)
Proceeds from disposal of tangible fixed assets
51,464
34,749
Interest received
1,269,691
728,488
Net cash generated from investing activities
396,598
113,035
Financing activities
Repayment of bank loans
-
(2,395,528)
Net cash used in financing activities
-
(2,395,528)
Net increase in cash and cash equivalents
4,911,304
5,674,272
Cash and cash equivalents at beginning of year
16,319,038
10,644,766
Cash and cash equivalents at end of year
21,230,342
16,319,038
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 18 -
1
Accounting policies
Company information

Newmarket Promotions Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is Cantium House, Railway Approach, Wallington, SM6 0BP.

 

The group consists of Newmarket Promotions Limited and all of its subsidiaries.

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, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

The consolidated group financial statements consist of the financial statements of the parent company Newmarket Promotions 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 December 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.

1.2
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover represents the aggregate value receivable, net of discounts, from inclusive tours, commissions and other travel services excluding VAT. Turnover, when acting as the principal tour operator, is recognised at the point of departure, where commission receivable when acting as an agent is recognised at the point of booking. Where payments are received from customers in advance of departure, the amounts are recorded as deferred income and included as part of creditors within the year.

1.4
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

1.5
Intangible fixed assets other than goodwill

Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at revalued amounts, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses.

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 19 -

Amortisation 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:

Software
Over 6 years
Web development costs
Over 3 years
1.6
Tangible fixed assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

 

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

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:

Leasehold buildings / improvements
10% on cost
Fixtures / Computers / Equipment
15% on reducing balance / 33% on cost
Motor vehicles
25% on reducing balance

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 income statement.

1.7
Fixed asset investments

Interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

 

Other fixed asset investments are measured at fair value with changes in fair value being recognised through profit or loss.

1.8
Cash at bank and in hand

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.

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 20 -
1.9
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.

 

Financial instruments are recognised in the group's statement of financial position when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

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.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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.

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 21 -
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.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

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.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value though profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.10
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.

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 22 -
Hedge accounting

The company designates certain hedging instruments, including derivatives, embedded derivatives and non-derivatives, as either fair value hedges or cash flow hedges.

 

At the inception of the hedge relationship, the company documents the relationship between the hedging instrument and the hedged item along with risk management objectives and strategy for undertaking various hedge transactions. At the inception of the hedge and on an ongoing basis, the company documents whether the hedging instrument is highly effective in offsetting changes in fair values or cash flows of the hedged item.

 

Fair value hedges

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

 

Cash flow hedges

The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognised in other comprehensive income.

 

The gain or loss relating to the ineffective portion is recognised immediately in profit or loss, and is included in the 'other gains and losses' line in this item.

 

Amounts previously recognised in other comprehensive income and accumulated in equity are reclassified to profit or loss in the periods when the hedged item is recognised in the profit or loss in the same line as of the income statement as the recognised hedged item. However when the forecast transaction that is hedged results in the recognition of a non-financial asset or liability, the gains and losses previously accumulated in equity are transferred from equity and included in the initial measurement of the cost of the asset or liability concerned.

1.11
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 income statement 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 company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

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 income statement, 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 when the company has 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.

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 23 -
1.12
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.

1.13
Retirement benefits

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

1.14
Leases

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.

1.15
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions for administrative expenses, and at rates published in the Newmarket Holidays brochures for the departure year to which they relate in accordance of the requirements of HMRC’s Tour Operators Margin Scheme legislation. 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 are included in the income statement for the period.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, 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.

 

Accounts and transactions that include key estimates are amortisation of tangible and intangible fixed assets (requiring an estimate of the useful life of the asset), deferred tax asset (requiring an estimate of the recoverability of tax losses which is based on current levels of profitability and future forecasts), the cashflow hedging reserve (requiring an estimate of foreign currency requirements in respect of future transactions) and a cancellations provision against commission accrued in respect of bookings for holidays that have not departed as at the Balance Sheet date (requiring an estimate of cancellation rates which is based on cancellation levels in prior years)

3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by class of business
Rendering of travel services
75,756,089
58,258,863
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
3
Turnover and other revenue
(Continued)
- 24 -
2024
2023
£
£
Other significant revenue
Interest income
1,269,691
728,488

The whole of turnover and profit before tax is attributable to the one principal activity being holiday tour operators.

 

All turnover arose within the United Kingdom.

4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange gains
(3,055,597)
(1,815,437)
Depreciation of owned tangible fixed assets
137,446
110,205
Profit on disposal of tangible fixed assets
(6,729)
(16,373)
Amortisation of intangible assets
330,015
406,230
Operating lease charges
201,955
223,524
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
29,934
20,063
Audit of the financial statements of the company's subsidiaries
35,859
37,839
65,793
57,902
6
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
141
120
141
120
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
6
Employees
(Continued)
- 25 -

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
7,897,249
5,473,815
7,897,249
5,473,815
Social security costs
905,460
596,110
905,460
596,110
Pension costs
241,323
165,442
241,323
165,442
9,414,471
6,235,367
9,414,471
6,235,367
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
1,823,941
1,100,915
Company pension contributions to defined contribution schemes
39,389
48,860
1,863,330
1,149,775

The number of directors for whom retirement benefits are accruing under defined contribution schemes is 5 (2023 - 5).

Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
563,654
244,026
Company pension contributions to defined contribution schemes
-
10,000
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
1,269,691
728,488
9
Interest payable and similar expenses
2024
2023
£
£
Other interest
-
59,501
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 26 -
10
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
320,126
-
0
Deferred tax
Origination and reversal of timing differences
1,249,743
768,137
Changes in tax rates
-
0
(512,487)
Total deferred tax
1,249,743
255,650
Total tax charge
1,569,869
255,650

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

2024
2023
£
£
Profit before taxation
5,524,842
2,868,281
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 23.44%)
1,381,211
672,325
Tax effect of expenses that are not deductible in determining taxable profit
187,738
105,445
Effect of change in corporation tax rate
-
(512,487)
Permanent capital allowances in excess of depreciation
920
(9,633)
Taxation charge
1,569,869
255,650
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 27 -
11
Intangible fixed assets
Group
Software
Web development costs
Total
£
£
£
Cost
At 1 January 2024
2,539,420
436,230
2,975,650
Additions
119,005
611,638
730,643
At 31 December 2024
2,658,425
1,047,868
3,706,293
Amortisation and impairment
At 1 January 2024
2,133,249
-
0
2,133,249
Amortisation charged for the year
251,937
78,078
330,015
At 31 December 2024
2,385,186
78,078
2,463,264
Carrying amount
At 31 December 2024
273,239
969,790
1,243,029
At 31 December 2023
406,171
436,230
842,401
The company had no intangible fixed assets at 31 December 2024 or 31 December 2023.
12
Tangible fixed assets
Group
Leasehold buildings / improvements
Fixtures / Computers / Equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 January 2024
323,472
247,662
226,194
797,328
Additions
6,849
53,352
133,713
193,914
Disposals
-
0
-
0
(124,132)
(124,132)
At 31 December 2024
330,321
301,014
235,775
867,110
Depreciation and impairment
At 1 January 2024
284,385
146,418
115,473
546,276
Depreciation charged in the year
32,347
60,418
44,681
137,446
Eliminated in respect of disposals
-
0
-
0
(79,397)
(79,397)
At 31 December 2024
316,732
206,836
80,757
604,325
Carrying amount
At 31 December 2024
13,589
94,178
155,018
262,785
At 31 December 2023
39,087
101,244
110,721
251,052
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
12
Tangible fixed assets
(Continued)
- 28 -
Company
Leasehold buildings / improvements
Fixtures / Computers / Equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 January 2024
323,472
247,662
226,194
797,328
Additions
6,849
53,352
133,713
193,914
Disposals
-
0
-
0
(124,132)
(124,132)
At 31 December 2024
330,321
301,014
235,775
867,110
Depreciation and impairment
At 1 January 2024
284,385
146,418
115,473
546,276
Depreciation charged in the year
32,347
60,418
44,681
137,446
Eliminated in respect of disposals
-
0
-
0
(79,397)
(79,397)
At 31 December 2024
316,732
206,836
80,757
604,325
Carrying amount
At 31 December 2024
13,589
94,178
155,018
262,785
At 31 December 2023
39,087
101,244
110,721
251,052

The carrying value of land and buildings comprises:

Group
Company
2024
2023
2024
2023
£
£
£
£
Short leasehold
13,589
39,087
13,589
39,087
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
-
0
-
0
20,000
20,000
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
13
Fixed asset investments
(Continued)
- 29 -
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 January 2024 and 31 December 2024
20,000
Carrying amount
At 31 December 2024
20,000
At 31 December 2023
20,000
14
Subsidiaries

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

Name of undertaking
Registered
Nature of business
Class of
% Held
office key
shares held
Direct
Indirect
Newmarket Holidays Limited
United Kingdom
Holiday Tour Operator
Ordinary
100.00
0
Newmarket Transport Limited
United Kingdom
Transportation
Ordinary
0
100.00
The above subsidiaries' registered office is at Cantium House, Railway Approach, Wallington, SM6 0BP.
15
Financial instruments
Group
2024
2023
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
4,303,026
2,798,753
Carrying amount of financial liabilities
- Other financial liabilities
235,853
214,527
Measured at amortised cost
22,773,349
17,976,699

Details of financial instruments are provided at group level only because, as permitted by the reduced disclosure framework within FRS 102, the company has taken advantage of the exemption from disclosing the carrying amount of certain classes of financial instruments.

 

 

NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
15
Financial instruments
(Continued)
- 30 -
Hedging arrangements

The group designates certain derivative financial instruments as cash flow hedges of certain forecast transactions. These transactions are highly probable to occur and present an exposure to variations in cash flows that could ultimately affect amounts determined in profit and loss.

The group has elected to adopt the general Hedge accounting model in FRS 102. This requires the group to ensure that hedge accounting relationships are aligned with its risk management objectives and strategy and to apply a qualitative and forward-looking approach to assessing hedge effectiveness.

The group uses forward foreign exchange contracts to hedge the variability in cash flows arising from the changes in foreign currency rates. For foreign exchange contracts, the group designates the fair value change of the full forward price as the hedging instrument in cash flow hedging relationships. The effective portion of changes in fair value of hedging instruments is recognised in other comprehensive income and amounted to £(21,326) (2023: £(385,784)). This is accumulated in a cash flow hedge reserve as a separate component of equity. At the year end the fair value of the amount hedged is £(235,853) (2023: £(214,527)) Any ineffective portion of the fair value gain or loss is recognised immediately within the income statement.

When a hedging instrument no longer meets the criteria for hedge accounting, through maturity, sale, or other termination, hedge accounting is discontinued prospectively. If the hedged forecast transaction is still expected to occur, the associated cumulative gain or loss remains in the hedging reserve and is recognised in accordance with the above policy when the transaction occurs. If the hedged transaction is no longer expected to occur, the cumulative unrealised gain or loss is recognised in the income statement immediately.

16
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
63,970
18,340
1,200
-
0
Amounts owed by group undertakings
3,843,539
-
10,851,311
9,564,057
Other debtors
2,680,925
2,780,413
711,713
547,307
Prepayments and accrued income
2,406,566
2,154,415
-
0
-
0
8,995,000
4,953,168
11,564,224
10,111,364
Deferred tax asset (note 18)
311,529
-
0
-
0
-
0
9,306,529
4,953,168
11,564,224
10,111,364
Amounts falling due after more than one year:
Deferred tax asset (note 18)
-
0
1,561,272
-
0
54,375
Total debtors
9,306,529
6,514,440
11,564,224
10,165,739
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 31 -
17
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£
£
£
£
Trade creditors
3,774,374
4,088,001
328,930
419,511
Amounts owed to group undertakings
-
0
-
0
3,209,595
2,276,314
Corporation tax payable
320,126
-
0
134,853
-
0
Other taxation and social security
182,059
181,105
181,515
180,948
Derivative financial instruments
235,853
214,527
-
0
-
0
Other creditors
17,026,866
13,707,594
-
0
-
0
Accruals and deferred income
1,972,109
1,141,553
1,533,711
731,670
23,511,387
19,332,780
5,388,604
3,608,443
18
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
£
£
Tax losses
311,529
1,561,272
Assets
Assets
2024
2023
Company
£
£
Tax losses
-
54,375
Group
Company
2024
2024
Movements in the year:
£
£
Asset at 1 January 2024
(1,561,272)
(54,375)
Charge to profit or loss
1,249,743
54,375
Asset at 31 December 2024
(311,529)
-
19
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
241,323
165,442
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
19
Retirement benefit schemes
(Continued)
- 32 -

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.

20
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
75,000
75,000
75,000
75,000
21
Reserves
Share premium

This reserve represents the premium paid on the issue of new shares.

Profit and loss reserves

This reserve records retained earning and accumulated losses.

Hedging reserve

This reserve relates to the amount of gain or loss recognised on forward contracts and derivatives that are cash flow hedges for committed foreign exchange transactions occurring in the 12 months post year end.

Other reserves

Other reserves represents a capital contributions reserve in respect of shares issued to employees of the company in a share based payment scheme operated by the parent company.

22
Financial commitments, guarantees and contingent liabilities

Certain assets of the group are subject to a fixed and floating charge to guarantee the borrowings of a fellow group company, the value of which at the Balance Sheet date, stood at £24,573,849.

23
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
166,178
194,014
166,178
194,014
Between two and five years
495,219
208,106
340,219
208,106
661,397
402,120
506,397
402,120
NEWMARKET PROMOTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 33 -
24
Controlling party

During the year the company became a wholly owned subsidiary of Blossom Bidco Limited, which is part of a group with Blossom Topco Limited as the ultimate parent company. All companies are incorporated in the United Kingdom.

 

The company is controlled by directors common to both the company and its ultimate parent company, Blossom Topco Limited.

25
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
3,954,973
2,612,631
Adjustments for:
Taxation charged
1,569,869
255,650
Finance costs
-
0
59,501
Investment income
(1,269,691)
(728,488)
Gain on disposal of tangible fixed assets
(6,729)
(16,373)
Amortisation and impairment of intangible assets
330,015
406,230
Depreciation and impairment of tangible fixed assets
137,446
110,205
Equity settled share based payment expense
3,500
-
Movements in working capital:
(Increase)/decrease in debtors
(4,041,832)
845,898
Increase in creditors
3,837,155
4,471,012
Cash generated from operations
4,514,706
8,016,266
26
Analysis of changes in net funds - group
1 January 2024
Cash flows
31 December 2024
£
£
£
Cash at bank and in hand
16,319,038
4,911,304
21,230,342
2024-12-312024-01-01falsefalseCCH SoftwareCCH Accounts Production 2025.100T P FreiJ C GriffinS C HibbsA J McWalterM T R VincentMr N 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