ACCOUNTS - Final Accounts preparation

An analysis of turnover by class of business is as follows:

Registered number: 07161009

Deckers Hospitality Group Limited

Annual Report and Financial Statements

For the year ended 30 September 2024

Deckers Hospitality Group Limited

Company Information

Directors	Clifford Brierley
	Maxwell Brierley
	Victoria Cosgrove
	Andrew Waller


Company secretary	Victoria Cosgrove


Registered number	07161009


Registered office	Unit F
	Royle Pennine Trading Estate
	Lynroyle Way
	Rochdale
	OL11 3EX


Independent auditors	Hurst Accountants Limited
	Chartered Accountants & Statutory Auditors
	3 Stockport Exchange
	Stockport
	Cheshire
	SK1 3GG


Bankers	HSBC UK Bank PLC
	St Peter's Square
	Landmark 1 Oxford Street
	Manchester
	M1 4PB


Solicitors	Gunnercooke LLP
	53 King Street
	Manchester
	M2 4LQ

Deckers Hospitality Group Limited

Contents

	Page
Group strategic report	1 - 3
Directors' report	4 - 6
Independent auditors' report	7 - 10
Consolidated statement of comprehensive income	11
Consolidated balance sheet	12 - 13
Company balance sheet	14 - 15
Consolidated statement of changes in equity	16
Company statement of changes in equity	17
Consolidated statement of cash flows	18
Consolidated analysis of net debt	19
Notes to the financial statements	20 - 45

Deckers Hospitality Group Limited

Group Strategic Report

For the year ended 30 September 2024

Introduction

The directors present the strategic report and financial statements for the year ended 30 September 2024.

Business review

The group saw significant growth year-on-year with a 15% increase in turnover. This was driven by a wider wholesale drinks customer base and strengthening route to market opportunities for suppliers. The Royal Toby faced challenges from increased competition and a decline in the wedding market. However the underlying trade remained strong with customer experience feedback remaining high.
Investment in the business in the year remains high with a capital expenditure of £387,511. The final floor of The Royal Toby Hotel refurbishment was completed during the year. The group also invested in vehicles and butchery equipment to support the growth of the businesses.
Despite the strong sales growth and 6% increase in gross profit, the operating profit saw a small decrease to £522,074. This reflects the inflationary pressures on the cost base in particular on wages, power, and fuel. These increases in costs could not be passed on in full to customers.
The directors believe the disproportionately large cost increases due to inflation and market conditions are masking the improved trade and progression of the business.
Net assets saw a 2.7% increase to £5,688,491.

Page 1

Deckers Hospitality Group Limited

Group Strategic Report (continued)

For the year ended 30 September 2024

Principal risks and uncertainties

The directors consider the principal risks and uncertainties facing the group to be financial, liquidity, credit, compliance and legislative.
Government Policy
The change in government and the outcomes of the Autumn 2024 budget have inherent risks to the hospitality industry and family owned businesses. The directors consider the unpredictability and strain on businesses of these policy decisions is a key risk to the business.
Pandemic Risk
Although the risk of another Pandemic exists, the directors believe the learnings from Covid 19 can be applied to mitigate the impact of any future closures.
Financial Risk
The directors monitor the interest rate closely. The group has previously used interest rate hedges and may do so again in the future if the directors consider it necessary to reduce the uncertainty.
Liquidity Risk
The group aims to mitigate liquidity risk by managing cash generation from operations.
Investment is carefully monitored, with authorisation limits operating up to Board level. The approval procedures apply to all capital items. The method of funding to be used is dictated in each case by the cash flow implications.
Credit Risk
Debtors represent a significant level of the group's financial assets. Levels of credit are carefully monitored and reviewed by the directors. The group manages its credit risk through credit insurance for the substantial part of the debt contained within the wholesale business.
Compliance risk
The group is subject to the Alcohol Wholesaler Registration Scheme (AWRS) and the Warehousekeepers and Owners of Warehoused Goods Regulations 1999 (WOWGR). The directors consider compliance with these regulations as critical to the operation of the business and have implemented appropriate procedures and controls.
Legislative risk
The group is subject to Health, Hygiene and Safety legislation which is constantly reviewed. Compliance imposes costs and failure to comply with these standards could result in the business being unable to operate. The group has a Health & Safety policy and promotes the culture of a safe working environment. All employees are included in the internal training programme.
Employee legislation is subject to continuous revision and any new Directive may have a material impact on the ability of the group to operate profitably.

Page 2

Deckers Hospitality Group Limited

Group Strategic Report (continued)

For the year ended 30 September 2024

Financial key performance indicators

The group's key financial performance indicators are as follows. All figures are for continuing operations.

	2024	2023	Movement
	£000	£000	%
Turnover	46,651	40,572	14.98
Gross profit	6,440	6,062	6.23
Profit before tax	229	274	(16.4)
Cash at bank	1,106	1,340	(17.44)
Net assets	5,688	5,540	2.67
Gross margin	13.8%	14.9%	(1.1)
EBITDA margin excl exceptional items	1.73%	1.98%	(0.25)
Staff costs a % of sales	8.36%	8.6%	(0.24)

Other key performance indicators

Non-financial key performance indicators monitored by management comprise delivery targets and customer feedback.

This report was approved by the board and signed on its behalf.

Victoria Cosgrove

Director

Date: 13 June 2025

Page 3

Deckers Hospitality Group Limited

Directors' Report

For the year ended 30 September 2024

The directors present their report and the financial statements for the year ended 30 September 2024.

Directors' responsibilities statement

The directors are responsible for preparing the group strategic report, the directors' report and the consolidated 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 Company and the Group and of the profit or loss of the Group for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Group'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 Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The profit for the year, after taxation, amounted to £156,572 (2023 - £205,560).

A dividend of £8,370 (2023: £Nil) was paid during the year. The directors do not recommend payment of a final dividend.

Directors

The directors who served during the year were:

Clifford Brierley

Maxwell Brierley

Victoria Cosgrove

Andrew Waller

Page 4

Deckers Hospitality Group Limited

Directors' Report (continued)

For the year ended 30 September 2024

Future Developments and going concern
Post year end the group purchased a free-trade wholesale business, Young’s Beers Wines and Spirits Ltd. This further expands the group's route to market offering, delivering direct to on-trade customers. As a family business, it is both an exciting and a natural fit to bring the Young's family business into the Deckers group. Whilst the Young's business will continue as a stand-alone operation, it will benefit from access to both a wider product portfolio and additional skill sets that will fit perfectly with today’s consumer trends.
Young's will continue to trade from the current East Lancashire site under the Young's name, all the current staff will remain while the team will grow with the addition of 4 members of staff transferring in from the wider Deckers group to help achieve the group’s growth aspirations. The directors are committed to delivering the high levels of service and customer relationships this business already has.
HSBC helped finance the acquisition and are very supportive of expansion plans for the group. They remain a key partner to the group.
For the existing businesses, the continued “cost of living crisis” and consistently increasing prices remains a challenge for the group. The impact of the national living wage increase, the employer NI cost increases and the reduction in the hospitality rates reliefs are all putting immense pressure on the hospitality industry. The directors are continually reassessing the impact of these government policy decisions resulting in a redesign of job roles and menus to increase productivity and reduce hours of employment per £ of revenue generated.
The group continues to review each company’s impact on the wider world, with a continuous improvement plan in place. Education and enrolment of colleagues and supply chains about the benefits of carbon reduction are key areas of focus.
The directors have no concerns over the viability of the business to continue as a going concern. The group is financed centrally, and forecasts are performed on an ongoing basis. Actual sales performance along with forecast sales remain strong. Cash availability is forecast to be more than sufficient to meet the businesses requirements.

Disclosure of information to auditors

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Post balance sheet events

As noted above, on 14 March 2025 Deckers Hospitality Group acquired Young's Beers Wines and Spirits Ltd and warehouses for a combined estimated consideration of £2.1m. The company financed the purchase via a £1.35m loan from HSBC with the remainder from working capital. The total consideration is estimated at time of the financial statements.

Auditors

The auditors, Hurst Accountants Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 5

Deckers Hospitality Group Limited

Directors' Report (continued)

For the year ended 30 September 2024

This report was approved by the board and signed on its behalf.

Victoria Cosgrove

Director

Date: 13 June 2025

Page 6

Deckers Hospitality Group Limited

Independent Auditors' Report to the Members of Deckers Hospitality Group Limited

Opinion

We have audited the financial statements of Deckers Hospitality Group Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 30 September 2024, which comprise the consolidated statement of comprehensive income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company Statement of Changes in Equity 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).

In our opinion the financial statements:

∙give a true and fair view of the state of the Group's and of the parent Company's affairs as at 30 September 2024 and of the Group's profit for the year then ended;

∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

∙have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group 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.

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 or the parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the 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 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.

Page 7

Deckers Hospitality Group Limited

Independent Auditors' Report to the Members of Deckers Hospitality Group Limited (continued)

Opinion on other matters prescribed by the Companies Act 2006

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

∙the information given in the group strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

∙the group strategic report and the directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the group strategic report or the 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:

∙adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or

∙the parent Company financial statements are not in agreement with the accounting records and returns; or

∙certain disclosures of directors' remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the directors' responsibilities statement set out on page 4, 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 Group's and the parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the parent Company or to cease operations, or have no realistic alternative but to do so.

Page 8

Deckers Hospitality Group Limited

Independent Auditors' Report to the Members of Deckers Hospitality Group Limited (continued)

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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 Group 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:

Identifying and assessing potential risks related to irregularities
In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

∙The nature of the industry and sector in which the company operates; the control environment and business performance including key drivers for directors' remuneration, bonus levels and performance targets.

∙The outcome of enquiries of local management and parent company management, including whether management was aware of any instances of non-compliance with laws and regulations, and whether management had knowledge of any actual, suspected, or alleged fraud.

∙Supporting documentation relating to the Company's policies and procedures for:

°Identifying, evaluating, and complying with laws and regulations

°Detecting and responding to the risks of fraud

∙The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.

∙The outcome of discussions amongst the engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

∙The legal and regulatory framework in which the Company operates, particularly those laws and regulations which have a direct effect on the financial statements, such as the Companies Act 2006, pensions and tax legislation, or which had a fundamental effect on the operations of the Company, including the Alcohol Wholesaler Registration Scheme, the Warehousekeepers and Owners of Warehoused Goods Regulations, General Data Protection requirements, and Anti-bribery and Corruption legislation.

Audit response to risks identified

Our procedures to respond to the risks identified included the following:

∙Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the provisions of those relevant laws and regulations which have a direct effect on the financial statements.

∙Discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud.

∙Evaluation of the operating effectiveness of management’s controls designed to prevent and detect irregularities.

∙Enquiring of management about any actual and potential litigation and claims

∙Performing analytical procedures to identify any unusual or unexpected relationships which may indicate risks of material misstatement due to fraud.

∙Reading minutes of meetings of those charges with governance.

Page 9

Deckers Hospitality Group Limited

Independent Auditors' Report to the Members of Deckers Hospitality Group Limited (continued)

We have also considered the risk of fraud through management override of controls by:

∙Testing the appropriateness of journal entries and other adjustments.

∙Challenging assumptions made by management in their significant accounting estimates, and assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and

∙Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of them. 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 misrepresentations, or through collusion.

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.

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 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.

Helen Besant-Roberts (senior statutory auditor)

for and on behalf of

Hurst Accountants Limited

Chartered Accountants

Statutory Auditors

3 Stockport Exchange

Stockport

Cheshire

SK1 3GG

15 June 2025

Page 10

Deckers Hospitality Group Limited

Consolidated Statement of Comprehensive Income

For the year ended 30 September 2024

	2024	2023
Note	£	£


Turnover	4	46,651,339	40,571,592
Cost of sales		(40,211,924)	(34,509,970)
Gross profit		6,439,415	6,061,622
Distribution costs		(3,901,520)	(3,526,190)
Administrative expenses		(2,135,375)	(2,104,566)
Other operating income	5	119,554	121,865
Operating profit	6	522,074	552,731
Interest payable and similar expenses	10	(218,049)	(216,974)
Fair value movements		(74,841)	(61,553)
Profit before taxation		229,184	274,204
Tax on profit	12	(72,612)	(68,644)
Profit for the financial year		156,572	205,560

Profit for the year attributable to:
Owners of the parent Company	156,572	205,560
	156,572	205,560

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 20 to 45 form part of these financial statements.

Page 11

Deckers Hospitality Group Limited

Registered number: 07161009

Consolidated Balance Sheet

As at 30 September 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	14		12,473		18,568
Tangible assets	15		7,326,974		7,227,126
			7,339,447		7,245,694
Current assets
Stocks	17	3,409,336		3,218,194
Debtors: amounts falling due within one year	18	4,264,024		3,737,959
Cash at bank and in hand	19	1,105,821		1,339,517
		8,779,181		8,295,670
Creditors: amounts falling due within one year	20	(7,410,452)		(6,773,930)
Net current assets			1,368,729		1,521,740
Total assets less current liabilities			8,708,176		8,767,434
Creditors: amounts falling due after more than one year	21		(2,151,242)		(2,424,214)
Provisions for liabilities
Deferred taxation	25	(811,256)		(745,744)
Other provisions	26	(58,498)		(58,498)
			(869,754)		(804,242)
Net assets			5,687,180		5,538,978

Capital and reserves
Called up share capital	27	26,999	26,999
Revaluation reserve	28	790,056	790,056
Capital redemption reserve	28	245,000	245,000
Other reserves	28	34,000	34,000
Profit and loss account	28	4,591,125	4,442,923
		5,687,180	5,538,978

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Victoria Cosgrove

Director

Date: 13 June 2025

The notes on pages 20 to 45 form part of these financial statements.

Page 12

Deckers Hospitality Group Limited

Registered number: 07161009

Consolidated Balance Sheet (continued)

As at 30 September 2024

Page 13

Deckers Hospitality Group Limited

Registered number: 07161009

Company Balance Sheet

As at 30 September 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	14		3,432		7,082
Tangible assets	15		167,364		219,619
Investments	16		272,003		272,003
			442,799		498,704
Current assets
Debtors: amounts falling due within one year	18	4,088,696		4,361,179
Cash at bank and in hand	19	118,767		131,401
		4,207,463		4,492,580
Creditors: amounts falling due within one year	20	(1,948,392)		(2,007,134)
Net current assets			2,259,071		2,485,446
Total assets less current liabilities			2,701,870		2,984,150

Creditors: amounts falling due after more than one year	21		(2,114,092)		(2,386,623)
Provisions for liabilities
Deferred taxation	25	(34,284)		(20,431)
			(34,284)		(20,431)
Net assets			553,494		577,096

Capital and reserves
Called up share capital	27		26,999		26,999
Capital redemption reserve	28		245,000		245,000
Profit and loss account brought forward		305,097		184,199
Loss/(profit) for the year		(15,232)		120,898
Other changes in the profit and loss account		(8,370)		-
Profit and loss account carried forward			281,495		305,097
			553,494		577,096

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Victoria Cosgrove

Director

Date: 13 June 2025

The notes on pages 20 to 45 form part of these financial statements.

Page 14

Deckers Hospitality Group Limited

Registered number: 07161009

Company Balance Sheet (continued)

As at 30 September 2024

Page 15

Deckers Hospitality Group Limited

Consolidated Statement of Changes in Equity

For the year ended 30 September 2024

	Called up share capital	Capital redemption reserve	Revaluation reserve	Other reserves	Profit and loss account	Total equity
	£	£	£	£	£	£
At 1 October 2022	26,999	245,000	790,056	34,000	4,237,363	5,333,418
Comprehensive income for the year
Profit for the year	-	-	-	-	205,560	205,560
Total comprehensive income for the year	-	-	-	-	205,560	205,560

At 1 October 2023	26,999	245,000	790,056	34,000	4,442,923	5,538,978
Comprehensive income for the year
Profit for the year	-	-	-	-	156,572	156,572
Total comprehensive income for the year	-	-	-	-	156,572	156,572
Contributions by and distributions to owners
Dividends: Equity capital	-	-	-	-	(8,370)	(8,370)
Total transactions with owners	-	-	-	-	(8,370)	(8,370)
At 30 September 2024	26,999	245,000	790,056	34,000	4,591,125	5,687,180

The notes on pages 20 to 45 form part of these financial statements.

Page 16

Deckers Hospitality Group Limited

Company Statement of Changes in Equity

For the year ended 30 September 2024

	Called up share capital	Capital redemption reserve	Profit and loss account	Total equity
	£	£	£	£
At 1 October 2022	26,999	245,000	184,199	456,198
Comprehensive income for the year
Profit for the year	-	-	120,898	120,898

At 1 October 2023	26,999	245,000	305,097	577,096
Comprehensive income for the year
Loss for the year	-	-	(15,232)	(15,232)
Total comprehensive income for the year	-	-	(15,232)	(15,232)
Contributions by and distributions to owners
Dividends: Equity capital	-	-	(8,370)	(8,370)
Total transactions with owners	-	-	(8,370)	(8,370)
At 30 September 2024	26,999	245,000	281,495	553,494

The notes on pages 20 to 45 form part of these financial statements.

Page 17

Deckers Hospitality Group Limited

Consolidated Statement of Cash Flows

For the year ended 30 September 2024

			2024	2023
			£	£

Cash flows from operating activities
Profit for the financial year	156,572	205,560
Adjustments for:
Amortisation of intangible assets	6,095	6,739
Depreciation of tangible assets	277,508	242,789
(Profit) on disposal of tangible assets	(1,595)	(8,525)
Interest paid	218,049	222,189
Taxation charge	72,612	68,644
(Increase) in stocks	(191,142)	(221,738)
(Increase)/decrease in debtors	(600,906)	272,746
Increase/(decrease) in creditors	779,267	(844,546)
Corporation tax (paid)/received	(8,920)	-
Movement in valuation of financial instruments	74,841	61,553
Net cash generated from operating activities	782,381	5,411

Cash flows from investing activities
Purchase of tangible fixed assets	(339,817)	(444,749)
Sale of tangible fixed assets	11,750	9,650
HP interest paid	(3,197)	(1,364)
Net cash from investing activities	(331,264)	(436,463)
Cash flows from financing activities
New secured loans	-	264,504
Repayment of loans	(269,050)	(274,220)
Net repayment of finance leases	(34,138)	(30,677)
Movements on invoice discounting	(158,403)	90,509
Dividends paid	(8,370)	-
Interest paid	(214,852)	(220,825)
Net cash used in financing activities	(684,813)	(170,709)
Net (decrease) in cash and cash equivalents	(233,696)	(601,761)
Cash and cash equivalents at beginning of year	1,339,517	1,941,278
Cash and cash equivalents at the end of year	1,105,821	1,339,517

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	1,105,821	1,339,517
	1,105,821	1,339,517

Page 18

Deckers Hospitality Group Limited

Consolidated Analysis of Net Debt

For the year ended 30 September 2024


At 1 October 2023	Cash flows	Other non-cash changes	At 30 September 2024
£	£	£	£

Cash at bank and in hand	1,339,517	(233,696)	-	1,105,821
Debt due after 1 year	(2,386,623)	-	272,531	(2,114,092)
Debt due within 1 year	(543,903)	(269,050)	290,415	(522,538)
Finance leases	(61,835)	(13,556)	-	(75,391)
Liquid investments	129,633	-	(74,841)	54,792
	(1,523,211)	(516,302)	488,105	(1,551,408)

The notes on pages 20 to 45 form part of these financial statements.

Page 19

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

1.	General information

Deckers Hospitality Group Limited is a private company limited by shares and incorporated in England, registered number 07161009. The registered office is Unit F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX.
The group's principal activities and nature of operations during the period was that of a restaurateur, hotelier, bar operator, butcher, and drinks wholesaler. The principal activity of the company was that of a holding company which incurred central costs for the group.

2.Accounting policies

2.1

Basis of preparation of financial statements

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 Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Page 20

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Group has transferred the significant risks and rewards of ownership to the buyer;

∙the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.4

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

2.5

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 21

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.6

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

2.7

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet 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;

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and

∙Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 22

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.8

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the consolidated statement of comprehensive income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Amortisation is provided on the following bases:

				Goodwill	-	20%	straight line
				Software	-	20%	straight line

2.9

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 23

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.9

Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method and reducing balance method.

Depreciation is provided on the following basis:

Freehold property and improvements	-	Not depreciated
Leasehold property	-	Over the duration of the lease
Motor vehicles	-	25% reducing balance
Furniture, fixtures and fittings	-	On a straight line basis over the estimated useful life ranging from 5 to 20 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

No depreciation has been provided on freehold property, contrary to Financial Reporting Standard 102, which requires that provision be made for depreciation of fixed assets having a finite useful life. The directors are of the opinion that the residual values at the end of the estimated useful lives of the buildings are not likely to be materially different from their carrying values. This is because it is the company's policy to maintain buildings in such a condition that their value is not diminished by the passage of time, and the relevant expenditure is charged to profit before tax in the year in which it is incurred. Therefore, any element of depreciation is considered to be immaterial and no provision is made.

2.10

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the balance sheet date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

2.11

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 24

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.12

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet 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 in profit or loss.

2.13

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.14

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.15

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.16

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

Page 25

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.17

Financial instruments

The Group has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

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

Basic financial liabilities, which include trade and other payables, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Page 26

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

2.Accounting policies (continued)

2.17

Financial instruments (continued)

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

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

2.18

Hedge accounting

The Group uses an interest rate cap to manage its exposure to interest rate risk on its debt. These derivatives are measured at fair value at each balance sheet date.

Gains and losses on the hedging instruments and the hedged items are recognised in profit or loss for the year. When a hedged item is an unrecognised firm commitment, the cumulative hedging gain or loss on the hedged item is recognised as an asset or liability with a corresponding gain or loss recognised in profit or loss.

2.19

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 27

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

Preparation of the financial statements requires management to make significant judgements, estimates and assumptions that affect the amounts reported for assets and liabilities at the balance sheet date and amounts reported for revenues and expenses during the year. The nature of estimation means that actual outcomes could be different from those estimates. The items in the financial statements where these judgements and estimates have been made include:
Stock provisions
Stock is reviewed to assess obsolescence on a regular basis. In determining whether provision for obsolescence should be recorded in profit and loss, the company makes judgements as to whether there is any observable data indicating that there is future saleability of the product and the estimated net realisable value for such product. Accordingly, provision for impairment is made where net realisable value is less than the cost based on best estimates by the management. The provision for obsolescence of stock is based on the ageing and historical sales pattern. At the year end, a stock provision of £15,013 was recognised in these financial statements (2023: £35,895).
Depreciation
Management of the company exercises judgement in estimating the useful economic life of property, plant and equipment; such estimations are reviewed regularly to ensure they remain appropriate.
No depreciation is charged on the freehold property held by The Royal Toby Hotel (Castleton) Limited. Management have judged that the residual values at the end of the estimated useful lives of the buildings are not likely to be materially different from their carrying values. This is because it is the company’s policy to maintain buildings in such a condition that their value is not diminished by the passage of time, and the relevant expenditure is charged to profit before tax in the year in which it is incurred.
Value of property
Management considers the value of the group's freehold property and makes appropriate provision for impairment where it is believed that the realisable value of a property is below its book value. No impairments were charged to the Statement of Comprehensive Income during the period.

Wholesale	40,336,189	34,852,695
Hotel and pub operations	6,282,539	5,670,445
Distribution charges	32,611	48,452
	46,651,339	40,571,592

All turnover arose within the United Kingdom.

Page 28

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

5.	Other operating income
		2024	2023
		£	£

Other operating income	98,889	110,000
Net rents receivable	20,665	11,865
	119,554	121,865

	Other operating lease rentals	166,152	153,532
	Depreciation	277,508	242,789

	Fees payable to the Group's auditor for the audit of the consolidated and parent Company's financial statements	25,775	20,985
	Fees payable to the Group's auditors for all other services	11,000	13,990

Page 29

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

8.	Employees
	Staff costs, including directors' remuneration, were as follows:

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Wages and salaries	3,741,003	3,209,609	3,741,003	712,527
Social security costs	95,827	267,943	95,827	79,389
Cost of defined contribution scheme	67,258	98,908	67,258	57,617
	3,904,088	3,576,460	3,904,088	849,533

During the year, the group centralised its payroll function within the parent company. As a result, all the payroll costs for group employees are incurred by the parent company and recharged to the respective subsidiaries on a cost basis.

The average monthly number of employees, including the directors, during the year was as follows:

	Group	Group	Company	Company
	2024	2023	2024	2023
	No.	No.	No.	No.

Administration	20	44	20	20
Operational	115	107	115	-

	135	151	135	20

9.	Directors' remuneration
		2024	2023
		£	£

Directors' emoluments	321,576	289,352
Group contributions to defined contribution pension schemes	5,218	4,993
	326,794	294,345

During the year retirement benefits were accruing to 4 directors (2023 - 4) in respect of defined contribution pension schemes.

The highest paid director received remuneration of £106,655 (2023 - £100,946).
The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to £1,728 (2023 - £1,762).

Page 30

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

10.	Interest payable and similar expenses
		2024	2023
		£	£

Bank interest payable	214,852	215,610
Finance leases and hire purchase contracts	3,197	1,364
	218,049	216,974

11.	Fair value movements
		2024	2023
		£	£

	Fair value loss on interest rate cap	74,841	61,553
		74,841	61,553

Corporation tax
Current tax on profits for the year	7,100	-
Adjustments in respect of previous periods	-	8,920
	7,100	8,920

Total current tax	7,100	8,920

Deferred tax
Origination and reversal of timing differences	55,094	59,724
Changes to tax rates	1,512	-
Adjustments in respect of prior periods	8,906	-
Total deferred tax	65,512	59,724


	Tax on profit	72,612	68,644

Page 31

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

12.Taxation (continued)

Profit on ordinary activities before tax

229,184

274,204

Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 22%)	57,296	60,325
Effects of:
Expenses not deductible for tax purposes, other than goodwill amortisation and impairment	1,348	277
Adjustments to tax charge in respect of prior periods	8,906	8,920
Other timing differences leading to an increase (decrease) in taxation	4,958	2,234
Super deduction enhancement	-	(3,112)
Group relief	29,280	-
Marginal relief	(1,116)	-
Remeasurement of deferred tax for changes in tax rates	(28,060)	-
Total tax charge for the year	72,612	68,644

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

13.	Dividends
		2024	2023
		£	£

	Dividends paid	8,370	-
		8,370	-

Page 32

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

14.	Intangible assets
	Group

	Computer software	Goodwill	Total
	£	£	£
Cost
At 1 October 2023	113,162	8,940	122,102
At 30 September 2024	113,162	8,940	122,102
Amortisation
At 1 October 2023	101,746	1,788	103,534
Charge for the year on owned assets	4,343	1,752	6,095
At 30 September 2024	106,089	3,540	109,629
Net book value
At 30 September 2024	7,073	5,400	12,473
At 30 September 2023	11,416	7,152	18,568

Page 33

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

14.Intangible assets (continued)

	Company

		Computer software
		£
	Cost
	At 1 October 2023	70,529
	At 30 September 2024	70,529
	Amortisation
	At 1 October 2023	63,447
	Charge for the year	3,650
	At 30 September 2024	67,097
	Net book value
	At 30 September 2024	3,432
	At 30 September 2023	7,082

Page 34

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

15.	Tangible fixed assets
	Group

	Freehold property	Long-term leasehold property	Plant and machinery	Motor vehicles	Total
	£	£	£	£	£
Cost or valuation
At 1 October 2023	5,333,973	1,607,425	3,226,910	577,358	10,745,666
Additions	94,280	-	247,231	46,000	387,511
Disposals	-	-	-	(54,362)	(54,362)
At 30 September 2024	5,428,253	1,607,425	3,474,141	568,996	11,078,815
Depreciation
At 1 October 2023	-	792,331	2,449,969	276,240	3,518,540
Charge for the year on owned assets	-	30,246	169,256	57,311	256,813
Charge for the year on financed assets	-	-	4,278	16,417	20,695
Disposals	-	-	-	(44,207)	(44,207)
At 30 September 2024	-	822,577	2,623,503	305,761	3,751,841
Net book value
At 30 September 2024	5,428,253	784,848	850,638	263,235	7,326,974
At 30 September 2023	5,333,973	815,094	776,941	301,118	7,227,126

The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:
	2024	2023
	£	£


Plant and machinery	43,416	-
Motor vehicles	47,402	63,203
	90,818	63,203

The Group's land and buildings were revalued by external valuer CB Richard Ellis Limited on 16 May 2022. The valuation, based on an ongoing trading basis, was £5.9 million, including fixtures and fittings.
The directors are not aware of any material variances to the value between the date of the valuation report and the balance sheet date.
The group has not depreciated freehold property and improvements as explained in accounting policy 2.10.

Page 35

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

15.Tangible fixed assets (continued)

	Company

	Plant and machinery	Motor vehicles	Total
	£	£	£
Cost or valuation
At 1 October 2023	218,052	246,763	464,815
Additions	5,181	-	5,181
At 30 September 2024	223,233	246,763	469,996
Depreciation
At 1 October 2023	198,914	46,282	245,196
Charge for the year on owned assets	7,316	50,120	57,436
At 30 September 2024	206,230	96,402	302,632
Net book value
At 30 September 2024	17,003	150,361	167,364
At 30 September 2023	19,138	200,481	219,619

Page 36

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

16.	Fixed asset investments

	Company

		Investments in subsidiary companies
		£
	Cost or valuation
	At 1 October 2023	272,003
	At 30 September 2024	272,003

Subsidiary undertakings
The following were subsidiary undertakings of the Company:
Name	Registered office	Principal activity	Class of shares	Holding

Deckers Trading Limited	Unit F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Liquor wholesaler and butchery	Ordinary	100%
Sale Waterpark Restaurant Limited	Unit F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Property rental	Ordinary	100%
Deckers Retail Limited	Unit E-F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Bar operator	Ordinary	100%
The Royal Toby Hotel (Castleton) Limited	Unit F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Restaurateur	Ordinary	100%
Deckers Group Limited	Unit F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Dormant	Ordinary	100%
Deckers Restaurants Limited	Unit E-F, Royle Pennine Trading Estate, Lynroyle Way, Rochdale, OL11 3EX	Dormant	Ordinary	100%

All subsidiary undertakings are included in the consolidation.

Page 37

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

17.	Stocks
		Group	Group
		2024	2023
		£	£

Raw materials and consumables	49,600	49,600
Finished goods and goods for resale	3,359,736	3,168,594
	3,409,336	3,218,194

	The difference between purchase price or production cost of stocks and their replacement cost is not material.
	The carrying value of stocks are stated net of impairment losses totalling £15,013 (2023 - £35,895). Impairment gains totalling £20,882 (2023 - £158) were recognised in profit and loss.

18.

Debtors

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£


Trade debtors	3,557,660	2,968,566	-	-
Amounts owed by group undertakings	-	-	4,004,350	4,189,072
Other debtors	90,137	43,524	-	17,958
Prepayments and accrued income	561,435	596,236	29,554	24,516
Financial instruments	54,792	129,633	54,792	129,633
	4,264,024	3,737,959	4,088,696	4,361,179

An impairment gain was recognised in the year against trade debtors of £1,560 (2023: £899 loss)

19.	Cash and cash equivalents
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Cash at bank and in hand	1,105,821	1,339,517	118,767	131,401
	1,105,821	1,339,517	118,767	131,401

Page 38

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

20.	Creditors: Amounts falling due within one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans	272,538	269,057	272,538	269,057
Trade creditors	4,736,107	3,696,547	140,686	157,794
Amounts owed to group undertakings	-	-	1,016,799	1,135,556
Corporation tax	11,620	13,440	-	-
Other taxation and social security	300,290	363,674	132,970	22,464
Obligations under finance lease and hire purchase contracts	38,241	24,244	-	-
Advances from invoice discounting	1,357,267	1,515,670	-	-
Other creditors	506,005	453,387	327,975	278,057
Accruals and deferred income	188,384	437,911	57,424	144,206
	7,410,452	6,773,930	1,948,392	2,007,134

During the prior year, the group and company received a £400,000 Green Loan from HSBC. This loan enabled the group to claim cashback on qualifying purchases made in accordance with HSBC’s Green Framework, the ability to draw down against this balance has now expired. At 30 September 2024, £171,684 remained outstanding. The loan is also repayable by monthly instalments and carries a fixed interest rate.

The following liabilities were secured:
	Group	Group
	2024	2023
	£	£

Advances from invoice discounting	1,357,267	1,515,670
Obligations under finance lease and hire purchase contracts	38,241	24,244
	1,395,508	1,539,914

Details of security provided:

The invoice discounting facility with HSBC Equipment Finance (UK) Limited and HSBC Asset Finance (UK) Limited is secured by a charge dated 30 November 2015 over the book debts of Deckers Trading Limited.
There is a group cross-company guarantee dated 2 May 2013 in favour of HSBC Bank Plc. The guarantee was given by Deckers Hospitality Group Limited, Deckers Trading Limited, Sale Waterpark Restaurant Limited, and The Royal Toby Hotel (Castleton) Limited.
Deckers Trading Limited has a legal assignment of contract monies in favour of HSBC Bank Plc dated 2 September 2013, as security for the bank loan.
Deckers Trading Limited entered into a further legal assignment of contract monies in favour of HSBC UK Bank plc, dated 22 November 2023. This charge is registered at Companies House and includes a negative pledge. It forms part of the wider group banking arrangements.
Net obligations under finance lease and hire purchase contracts are secured by fixed charges on the assets concerned.

Page 39

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

21.	Creditors: Amounts falling due after more than one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Bank loans	2,114,092	2,386,623	2,114,092	2,386,623
Net obligations under finance leases and hire purchase contracts	37,150	37,591	-	-
	2,151,242	2,424,214	2,114,092	2,386,623

At 30 September 2024, the group’s and company's bank loan of £2,216,117 is repayable by equal monthly instalments until 2028.
During the prior year, the group and company received a £400,000 Green Loan from HSBC. This loan enabled the group to claim cashback on qualifying purchases made in accordance with HSBC’s Green Framework, the ability to draw down against this balance has now expired. At 30 September 2024, £171,684 remained outstanding. The loan is also repayable by monthly instalments and carries a fixed interest rate.

The following liabilities were secured:
	Group	Group
	2024	2023
	£	£


Net obligations under finance leases and hire purchase contracts	37,150	37,951
Bank loans	2,114,092	2,386,623
	2,151,242	2,424,574

Details of security provided:

Net obligations under finance lease and hire purchase contracts are secured by fixed charges on the assets concerned.
The bank loan is secured by a debenture including a fixed and floating charge over all present freehold and leasehold property, book and other debts, chattels, goodwill, and uncalled capital dated 3 May 2013. Interest is charged at a variable rate.
The group has a legal assignment of contract monies in favour of HSBC Bank Plc dated 2 September 2013 as security for the bank loan.

Page 40

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

22.	Loans
	Analysis of the maturity of loans is given below:
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Amounts falling due within one year
Bank loans	272,538	269,057	272,538	269,057
Amounts falling due 1-2 years
Bank loans	276,385	272,595	276,385	272,595
Amounts falling due 2-5 years
Bank loans	1,837,707	2,114,028	1,837,707	2,114,028

23.	Hire purchase and finance leases
	Minimum lease payments under hire purchase fall due as follows:
		Group	Group
		2024	2023
		£	£

Within one year	43,145	24,244
Between 1-5 years	38,833	37,591
	81,978	61,835

24.	Financial instruments
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

	Financial assets
	Interest rate cap	54,792	129,633	54,792	129,633

On 28 July 2022 the company purchased an interest rate cap to hedge against future interest movements.
The existing bank loan is subject to interest charged at base rate plus a margin of 2.35% therefore the company was exposed to interest rate movements and the cap was purchased to limit this exposure.
The interest rate cap is valued at fair value through profit or loss account.

25.	Deferred taxation

Page 41

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

25.Deferred taxation (continued)

Group

	2024	2023
	£	£

At beginning of year	745,744	686,021
Charged to profit or loss	65,512	59,723
At end of year	811,256	745,744

Company

	2024	2023
	£	£

At beginning of year	(20,431)	11,958
Charged to profit or loss	(13,853)	(32,389)
At end of year	(34,284)	(20,431)

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£

Accelerated capital allowances	620,078	590,829	35,048	20,431
Tax losses carried forward	-	(45,169)	-	-
On revaluations	200,084	200,084	-	-
Adjustments in respect of prior periods	(8,906)	-	(764)	-
	811,256	745,744	34,284	20,431

Page 42

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

26.	Provisions
	Group

		Dilapidations
		£

	At 1 October 2023	58,498
	At 30 September 2024	58,498

The provision of £58,498 (2023: £54,498) relates to the expected cost of dilapidations to be paid in respect of lease upon expiration.

Page 43

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

27.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

26,999 (2023 - 26,999) Ordinary shares of £1.00 each	26,999	26,999

28.

Reserves

Revaluation reserve

The cumulative revaluation gains and losses in respect of land and buildings, except revaluation gains and losses recognised in profit and loss.

Capital redemption reserve

The nominal value of shares repurchased by the parent company and still held at the year end of the reporting period.

Other reserves

The nominal value of shares repurchased by Deckers Trading Limited and still held at the end of the reporting date.

Profit and loss account

All current and prior period retained profits distributable to the owners, net of dividends.

29.	Contingent liabilities

Contingent liabilities with the group's bankers
A member of the group has a legal assignment of contract monies in favour of HSBC Bank plc dated 2 September 2013.
There is a group cross-company unlimited guarantee dated 2 May 2013 in favour of HSBC Bank plc. The guarantee was given by Deckers Hospitality Group Limited, Deckers Trading Limited, Sale Waterpark Restaurant Limited and The Royal Toby Hotel (Castleton) Limited.

30.	Pension commitments

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charged represents contributions payable by the group to the fund and amounts to £67,258 (2023: £98,908). Contributions totalling £6,206 (2023: £53,622) were payable to the fund at the balance sheet date.

Page 44

Deckers Hospitality Group Limited

Notes to the Financial Statements

For the year ended 30 September 2024

31.	Commitments under operating leases
	At 30 September 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
		Group	Group
		2024	2023
		£	£

Not later than 1 year	179,399	155,698
Later than 1 year and not later than 5 years	678,653	39,606
Later than 5 years	25,798	-
	883,850	195,304

32.

Related party transactions

The group has taken advantage of the exemptions available under FRS 102 Section 33 "Related Party Transactions" not to disclose transactions with other wholly owned group companies.
Loans from directors totalling £250,000 are included in other creditors at 30 September 2024 (2023: £272,000).
Directors’ loan interest totalling £6,473 (2023: £11,981) was incurred at an annual interest rate of 1% in excess of base rate. Accrued interest totalling £6,473 (2023: £13,638) remains unpaid at the year end.
Group key management personnel remuneration totalled £326,793 (2023: £363,574).

33.	Post balance sheet events

On the 14 March 2025 Deckers Hospitality Group acquired Young's Beers Wines and Spirits Ltd and warehouses for a combined estimated consideration of £2.1m. The company financed the purchase via a £1.35m loan from HSBC with the remainer from working capital. The total consideration is estimated at time of the financial statements.

34.	Controlling party

The ultimate controlling parties are Mr C Brierley, Mr M Brierley and Mrs V Cosgrove by virtue of majority shareholding. Deckers Hospitality Group Limited is the parent company of the largest and smallest group for which group accounts are prepared.

Page 45