Nilvip Holdings Limited - Period Ending 2024-07-31

Registration number: 03932228

Nilvip Holdings Limited

Annual Report and Consolidated Financial Statements

for the Year Ended 31 July 2024

Nilvip Holdings Limited

Contents

Company Information	1
Strategic Report	2
Directors' Report	3 to 5
Statement of Directors' Responsibilities	4
Independent Auditor's Report	6 to 8
Consolidated Profit and Loss Account	9
Consolidated Balance Sheet	10
Balance Sheet	11
Consolidated Statement of Changes in Equity	12
Statement of Changes in Equity	13
Consolidated Statement of Cash Flows	14
Notes to the Financial Statements	15 to 27

Nilvip Holdings Limited

Company Information

Directors

Mr N N Patel

Mr V N Patel

Registered office

10-12 King Street
Reading
Berkshire
RG1 2HE

Auditors

Vale & West Accountancy Services Limited Victoria House
26 Queen Victoria Street
Reading
Berkshire
RG1 1TG

Nilvip Holdings Limited

Strategic Report for the Year Ended 31 July 2024

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

Principal activity

The principal activity of the group is operation of hotels in Reading, Berkshire and Bath, Somerset. It also operates restaurants within some of these hotels.

Fair review of the business

The Group's operating profit for the year to 31 July 2024 was £1.3 million compared to an operating profit of £1.5 million in 2023. Net assets as 31 July 2024 were £14.8 million (2023: £14.4 million). Turnover for the year to 31 July 2024 was £3.2 million (2023: £3.4 million).

The long term strategic objectives are to deliver organic growth and improve operating profit.

The company's key financial performance indicators during the year were as follows:

Financial KPIs	Unit	2024	2023
Turnover	£m	3.2	3.4
Operating profit	£m	1.3	1.5
Net assets	£m	14.9	14.2

Principal risks and uncertainties

The risks below are deemed to be the major risks for the group.

Economic conditions

The directors take all steps possible to mitigate any increase in costs due to the current economic and geo-political climate. However, this is mainly out of the control of the Group, and increased costs affect the operating profit. On the whole, the revenue incurred by the group is fairly static, therefore, the group is affected by short term changes in costs.

Hotel industry risks

The hotel industry is competitive and our hotels are subject to competition from other hotels for guests. We value our relationships with our customers and attempt to deliver exceptional customer service consistently while ensuring our pricing remains competitive.

Approved and authorised by the Board on 26 September 2025 and signed on its behalf by:

.........................................
Mr N N Patel
Director

Nilvip Holdings Limited

Directors' Report for the Year Ended 31 July 2024

The directors present their report and the for the year ended 31 July 2024.

Dividends

No dividends will be distributed for the year ended 31 July 2024.

Directors of the group

The directors who held office during the year were as follows:

Mr N N Patel

Mr V N Patel

Mr B B Patel (ceased 28 April 2025)

Mr S V Patel (ceased 28 April 2025)

Future developments

As seen over the years, successfully operating in the midst of change and uncertainty is a track record of the Management and continues to be one of our greatest strengths. Our strategy of developing alternative revenue streams and a change in our customer base means we remain resilient through varying economic cycles. Continuing to evolve with changing consumer trends, we will expand further into both new and existing markets.

Nilvip Holdings Limited

Directors' Report for the Year Ended 31 July 2024 (continued)

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities 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 the company 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 and apply them consistently;

•

make judgements and accounting estimates that are reasonable and prudent;

•

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

•

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group's and the company's transactions and disclose with reasonable accuracy at any time the financial position of the group and the 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 the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Nilvip Holdings Limited

Directors' Report for the Year Ended 31 July 2024 (continued)

Disclosure of information to the auditor

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditor is unaware.

Reappointment of auditors

In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Vale & West Accountancy Services Limited as auditors of the company is to be proposed at the forthcoming Annual General Meeting.

Approved and authorised by the Board on 26 September 2025 and signed on its behalf by:

.........................................
Mr N N Patel
Director

Nilvip Holdings Limited

Independent Auditor's Report to the Members of Nilvip Holdings Limited

Opinion

We have audited the financial statements of Nilvip Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 July 2024, which comprise the Consolidated Profit and Loss Account, Consolidated Balance Sheet, Balance Sheet, Consolidated Statement of Changes in Equity, Statement of Changes in Equity, Consolidated Statement of Cash Flows, and Notes to the Financial Statements, 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 the parent company's affairs as at 31 July 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 auditor 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 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 director's 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 ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Nilvip Holdings Limited

Independent Auditor's Report to the Members of Nilvip Holdings Limited (continued)

Opinion on other matter 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 Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

•	the Strategic Report and 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 our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Directors' Report.

We have nothing to report in respect of the following matters where 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 Statement of Directors' Responsibilities [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 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 company or to cease operations, or have no realistic alternative but to do so.

Auditor Responsibilities for the audit of the financial statements

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities,
including fraud and non-compliance with laws and regulations, was as follows:

•

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations,

•

we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector,

•

we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, and health and safety legislation,

•

we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

•

identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

Nilvip Holdings Limited

Independent Auditor's Report to the Members of Nilvip Holdings Limited (continued)

	We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
•	making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
•	considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
	To address the risk of fraud through management bias and override of controls, we:
•	performed analytical procedures to identify any unusual or unexpected relationships;
•	tested journal entries to identify unusual transactions;
•	assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and
•	investigated the rationale behind significant or unusual transactions.
	In response to the risk of irregularities and non-compliance with laws and regulations, we design procedures which included, but were not limited to:
•	agreeing financial statement disclosures to underlying supporting documentation;
•	reading the minutes of meetings of those charged with governance; and
•	enquiring of management as to actual and potential litigation and claims.
	There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
	Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: 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.

......................................
Lee Gardner FCA (Senior Statutory Auditor)
For and on behalf of Vale & West Accountancy Services Limited, Statutory Auditor
Victoria House
26 Queen Victoria Street
Reading
Berkshire
RG1 1TG

26 September 2025

Nilvip Holdings Limited

Consolidated Profit and Loss Account for the Year Ended 31 July 2024


	Note	2024 Continuing £	2024 Discontinued £	2024 Total £	2023 Continuing £	2023 Discontinued £	(As restated) 2023 Total £
Turnover	3	3,185,523	-	3,185,523	3,258,852	117,457	3,376,309
Cost of sales		(296,775)	-	(296,775)	(325,252)	(3,152)	(328,404)
Gross profit		2,888,748	-	2,888,748	2,933,600	114,305	3,047,905
Administrative expenses		(1,875,617)	-	(1,875,617)	(1,786,469)	(115,144)	(1,901,613)
Other operating income	4	318,113	-	318,113	357,456	750	358,206
Operating profit/(loss)	5	1,331,244	-	1,331,244	1,504,587	(89)	1,504,498
Loss on financial assets at fair value through profit and loss		(95,000)	-	(95,000)	-	-	-
Income from other fixed assets investments		-	-	-	-	3,221,775	3,221,775
Loss on disposal of fixed assets		(270,607)	-	(270,607)	-	-	-
Interest payable and similar expenses		(352,578)	-	(352,578)	(411,580)	-	(411,580)
Profit before tax		613,059	-	613,059	1,093,007	3,221,686	4,314,693
Tax on profit	10	(255,542)	-	(255,542)	(229,379)	-	(229,379)
Profit for the financial year		357,517	-	357,517	863,628	3,221,686	4,085,314
Profit/(loss) attributable to:
Owners of the company		357,517	-	357,517	863,628	3,221,686	4,085,314

The group has no recognised gains or losses for the year other than the results above.

The notes on pages 15 to 27 form an integral part of these financial statements.

Page 9

Nilvip Holdings Limited

(Registration number: 03932228)
Consolidated Balance Sheet as at 31 July 2024

	Note	2024 £	(As restated) 2023 £
Fixed assets
Tangible assets	12	16,830,516	15,971,412
Investment property	13	4,270,000	5,500,000
		21,100,516	21,471,412
Current assets
Stocks	15	4,000	4,000
Debtors	16	202,198	123,724
Cash at bank and in hand		638,261	903,978
		844,459	1,031,702
Creditors: Amounts falling due within one year	18	(3,671,663)	(3,662,688)
Net current liabilities		(2,827,204)	(2,630,986)
Total assets less current liabilities		18,273,312	18,840,426
Creditors: Amounts falling due after more than one year	18	(2,366,906)	(3,348,105)
Provisions for liabilities	19	(1,007,047)	(950,479)
Net assets		14,899,359	14,541,842
Capital and reserves
Called up share capital	21	2,397,000	2,397,000
Revaluation reserve		4,883,472	4,996,202
Other reserves		1,985,463	1,930,431
Retained earnings		5,633,424	5,218,209
Equity attributable to owners of the company		14,899,359	14,541,842
Shareholders' funds		14,899,359	14,541,842

Approved and authorised by the Board on 26 September 2025 and signed on its behalf by:

.........................................
Mr N N Patel
Director

Nilvip Holdings Limited

(Registration number: 03932228)
Balance Sheet as at 31 July 2024

	Note	2024 £	2023 £
Fixed assets
Investments	14	1,795,007	1,795,007
Debtors	16	9,474,654	10,150,583
		11,269,661	11,945,590
Current assets
Cash at bank and in hand		84,183	270,440
Creditors: Amounts falling due within one year	18	(2,939,458)	(3,016,714)
Net current liabilities		(2,855,275)	(2,746,274)
Total assets less current liabilities		8,414,386	9,199,316
Creditors: Amounts falling due after more than one year	18	(2,281,906)	(3,263,105)
Net assets		6,132,480	5,936,211
Capital and reserves
Called up share capital	21	2,397,000	2,397,000
Retained earnings		3,735,480	3,539,211
Shareholders' funds		6,132,480	5,936,211

The company made a profit after tax for the financial year of £196,269 (2023 - profit of £3,607,017).

Approved and authorised by the Board on 26 September 2025 and signed on its behalf by:

.........................................
Mr N N Patel
Director

Nilvip Holdings Limited

Consolidated Statement of Changes in Equity for the Year Ended 31 July 2024
Equity attributable to the parent company

	Share capital £	Revaluation reserve £	Other reserves £	Retained earnings £	Total £	Total equity £
At 1 August 2022	2,397,000	8,496,981	2,071,936	792,802	13,758,719	13,758,719
Prior period adjustment	-	-	-	340,093	340,093	340,093
At 1 August 2022 (As restated)	2,397,000	8,496,981	2,071,936	1,132,895	14,098,812	14,098,812
Profit for the year	-	-	-	4,085,314	4,085,314	4,085,314
Disposal of subsidiary	-	(3,500,779)	(141,505)	-	(3,642,284)	(3,642,284)
At 31 July 2023	2,397,000	4,996,202	1,930,431	5,218,209	14,541,842	14,541,842

	Share capital £	Revaluation reserve £	Other reserves £	Retained earnings £	Total £	Total equity £
At 1 August 2023	2,397,000	4,996,202	1,930,431	5,218,209	14,541,842	14,541,842
Profit for the year	-	-	-	357,517	357,517	357,517
Transfers	-	(112,730)	55,032	57,698	-	-
At 31 July 2024	2,397,000	4,883,472	1,985,463	5,633,424	14,899,359	14,899,359

The notes on pages 15 to 27 form an integral part of these financial statements.

Page 12

Nilvip Holdings Limited

Statement of Changes in Equity for the Year Ended 31 July 2024

	Share capital £	Retained earnings £	Total £
At 1 August 2023	2,397,000	3,539,211	5,936,211
Profit for the year	-	196,269	196,269
At 31 July 2024	2,397,000	3,735,480	6,132,480

	Share capital £	Retained earnings £	Total £
At 1 August 2022	2,397,000	(67,806)	2,329,194
Profit for the year	-	3,607,017	3,607,017
At 31 July 2023	2,397,000	3,539,211	5,936,211

Nilvip Holdings Limited

Consolidated Statement of Cash Flows for the Year Ended 31 July 2024

	Note	2024 £	2023 £
Cash flows from operating activities
Profit for the year		357,517	4,085,314
Adjustments to cash flows from non-cash items
Depreciation and amortisation	5	39,820	39,820
Loss on disposal of tangible assets		270,607	-
Profit from disposals of investments		-	(3,221,775)
Finance costs		352,578	411,580
Income tax expense	10	255,542	229,379
Impairment loss		95,000	-
		1,371,064	1,544,318
Working capital adjustments
Increase in stocks	15	-	(2,325)
(Increase)/decrease in debtors	16	(78,475)	76,343
Increase/(decrease) in creditors	18	56,627	(148,893)
Cash generated from operations		1,349,216	1,469,443
Income taxes paid	10	(234,539)	(89,076)
Net cash flow from operating activities		1,114,677	1,380,367
Cash flows from investing activities
Proceeds from sale of subsidiaries		-	4,920,562
Acquisitions of tangible assets		(34,531)	-
Net cash flows from investing activities		(34,531)	4,920,562
Cash flows from financing activities
Interest paid		(352,578)	(411,580)
Repayment of bank borrowing		(970,791)	(8,323,721)
Net cash flows from financing activities		(1,323,369)	(8,735,301)
Net decrease in cash and cash equivalents		(243,223)	(2,434,372)
Cash and cash equivalents at 1 August		(858,358)	1,576,014
Cash and cash equivalents at 31 July		(1,101,581)	(858,358)

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024

1	General information

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
10-12 King Street
Reading
Berkshire
RG1 2HE
England

These financial statements were authorised for issue by the Board on 26 September 2025.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

2	Accounting policies (continued)

Basis of consolidation

The consolidated financial statements consolidate the financial statements of the company and its subsidiary undertakings drawn up to 31 July 2024.

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

The results of subsidiaries acquired or disposed of during the year are included in the Profit and Loss Account from the effective date of acquisition or up to the effective date of disposal, as appropriate. Where necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the group.

The purchase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a business combination is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. Any excess of the cost of the business combination over the acquirer’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities recognised is recorded as goodwill.

Inter-company transactions, balances and unrealised gains on transactions between the company and its subsidiaries, which are related parties, are eliminated in full.

Intra-group losses are also eliminated but may indicate an impairment that requires recognition in the consolidated financial statements.

Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group.

Revenue recognition

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts,rebates, value added tax and other sales taxes.
Turnover is recognised at the fair value of the consideration received or receivable for hotel accommodation and other related services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts,settlement discounts and volume rebates. Revenue is recognised at the time of hotel stay and restaurant visit by guests.

Tax

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

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the group operates and generates taxable income.

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the consolidated financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

2	Accounting policies (continued)

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Land and buildings	Nil
Plant and machinery	Straight line over 20 years, and straight line over 4 years

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Business combinations

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the group’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be made.

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

2	Accounting policies (continued)

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the group will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

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

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the group does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the group has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

Turnover

The analysis of the group's turnover for the year from continuing operations is as follows:

	2024 £	2023 £
Rendering of services	3,185,523	3,376,309

4	Other operating income

The analysis of the group's other operating income for the year is as follows:

	2024 £	2023 £
Rental income	318,113	319,708
Miscellaneous other operating income	-	38,498
	318,113	358,206

5	Operating profit

Arrived at after charging/(crediting)

	2024 £	(As restated) 2023 £
Depreciation expense	39,820	39,820

6	Interest payable and similar expenses

	2024 £	2023 £
Interest on bank overdrafts and borrowings	352,578	411,580

7	Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

	2024 £	2023 £
Wages and salaries	887,819	851,119
Social security costs	71,544	61,168
Pension costs, defined contribution scheme	4,120	4,865
	963,483	917,152

The average number of persons employed by the group (including directors) during the year, analysed by category was as follows:

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

7	Staff costs (continued)

	2024 No.	2023 No.
Administration and support	39	39
	39	39

8	Directors' remuneration

The directors' remuneration for the year was as follows:

	2024 £	2023 £
Remuneration	120,000	120,000

9	Auditors' remuneration

	2024 £	2023 £
Audit of these financial statements	16,552	18,150
Other fees to auditors
All other assurance services	-	2,895

Taxation

Tax charged/(credited) in the consolidated profit and loss account

	2024 £	2023 £
Current taxation
UK corporation tax	198,974	229,379
Deferred taxation
Arising from changes in tax rates and laws	93,870	-
Arising from write-down or reversal of write-down of deferred tax asset	(37,302)	-
Total deferred taxation	56,568	-
Tax expense in the income statement	255,542	229,379

The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2023 - the same as the standard rate of corporation tax in the UK) of 25% (2023 - 25%).

The differences are reconciled below:

	2024 £	(As restated) 2023 £
Profit before tax	613,059	4,314,693

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

10	Taxation (continued)

	2024 £	(As restated) 2023 £
Corporation tax at standard rate	153,265	1,078,673
Tax (decrease)/increase from effect of capital allowances and depreciation	(12,308)	1,179
Increase/(decrease) from effect of different UK tax rates on some earnings	20,715	(43,870)
Effect of revenues exempt from taxation	-	(805,421)
Effect of tax losses	-	(1,182)
Deferred tax expense from unrecognised temporary difference from a prior period	93,870	-
Total tax charge	255,542	229,379

11	Intangible assets

Group

Goodwill
£

Total
£

Cost or valuation

At 1 August 2023

1,888,953

1,888,953

At 31 July 2024

1,888,953

1,888,953

Amortisation

At 1 August 2023

1,888,953

1,888,953

At 31 July 2024

1,888,953

1,888,953

Carrying amount

At 31 July 2024

-

-

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

12

Tangible assets

Group

Land and buildings
£

Plant and machinery
£

Total
£

Cost or valuation

At 1 August 2023

15,512,751

1,228,866

16,741,617

Additions

-

34,531

34,531

Reclassification from investment property

1,135,000

-

1,135,000

Disposals

-

(537,127)

(537,127)

Transfers

(180,762)

180,762

-

At 31 July 2024

16,466,989

907,032

17,374,021

Depreciation

At 1 August 2023

-

770,205

770,205

Charge for the year

-

39,820

39,820

Eliminated on disposal

-

(266,520)

(266,520)

At 31 July 2024

-

543,505

543,505

Carrying amount

At 31 July 2024

16,466,989

363,527

16,830,516

At 31 July 2023

15,512,751

458,661

15,971,412

Prior period adjustment and reclassifications

Following a review of fixed assets in the year, management identified the following adjustments:

Plant and machinery additions for prior years of £180,762 had been incorrectly recognised within land and buildings. This amount has been reclassified to plant and machinery

£100,093 of depreciation of a long leasehold asset held within the group and recognised within land and buildings in the consolidated financial statements had previously been recognised against plant and machinery.
Additionally, management identified that the brought forward depreciation of the group's land and building (including the £100,093 noted above), whilst appropriate in the subsidiary company, was not in accordance with the group's accounting policy.

As a result, a prior period adjustment has been recognised to reverse the brought forward total depreciation recognised in respect of land buildings of £370,093.

Following a review of investment properties, management identified that certain properties had been incorrectly classified. As a result a property with a cost of £2,090,000 has been reclassified from investment property to freehold land buildings, and two properties with a combined cost of £955,000 have been reclassified in the opposite direction. The net movement of £1,135,000 is disclosed in the note above.

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

13	Investment properties

Group

	2024 £
At 1 August	5,500,000
Transfers to and from owner-occupied property	(1,135,000)
Fair value adjustments	(95,000)
At 31 July	4,270,000

14	Investments

Group

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the group holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking	Registered office	Holding	Proportion of voting rights and shares held
			2024	2023
Subsidiary undertakings
The George Hotel (Reading) Limited*	10-12 King Street, Reading, Berkshire, RG1 2HE	Ordinary	100%	100%

Richmond Company 207 Limited*	10-12 King Street, Reading, Berkshire, RG1 2HE	Ordinary	100%	100%

The George Hospitality Company Limited*	10-12 King Street, Reading, Berkshire, RG1 2HE	Ordinary	100%	100%

Richmond 207 Hospitality Limited*	10-12 King Street, Reading, Berkshire, RG1 2HE	Ordinary	100%	100%

* indicates direct investment of the company

The nature of business for each subsidiary undertaking listed is Hotel services

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

14	Investments (continued)

Company

	2024 £	2023 £
Investments in subsidiaries	1,795,007	1,795,007

Subsidiaries	£
Cost or valuation
At 1 August 2023	1,795,007
Provision
Carrying amount
At 31 July 2024	1,795,007
At 31 July 2023	1,795,007

Stocks

	Group		Company
	2024 £	2023 £	2024 £	2023 £
Other inventories	4,000	4,000	-	-

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

Debtors

	Group		Company
Current	2024 £	2023 £	2024 £	2023 £
Trade debtors	118,652	40,865	-	-
Other debtors	20,717	53,962	-	-
Prepayments	62,829	28,897	-	-
	202,198	123,724	-	-

	Group		Company
Non-current	2024 £	2023 £	2024 £	2023 £
Amounts owed by group undertakings	-	-	9,474,654	10,150,583
	-	-	9,474,654	10,150,583

17	Cash and cash equivalents

	Group		Company
	2024 £	2023 £	2024 £	2023 £
Cash on hand	7,386	11,000	-	-
Cash at bank	630,875	892,978	84,183	270,440
	638,261	903,978	84,183	270,440
Bank overdrafts	(1,739,842)	(1,762,336)	(1,739,842)	(1,762,336)
Cash and cash equivalents in statement of cash flows	(1,101,581)	(858,358)	(1,655,659)	(1,491,896)

Creditors

		Group		Company
	Note	2024 £	2023 £	2024 £	2023 £
Due within one year
Loans and overdrafts	22	2,721,042	2,733,128	2,721,042	2,733,128
Trade creditors		201,080	105,724	-	-
Social security and other taxes		379,557	431,266	97,162	114,840
Other payables		152,680	318,979	54,964	140,958
Accruals and deferred income		217,304	73,591	66,290	27,788
		3,671,663	3,662,688	2,939,458	3,016,714

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

18	Creditors (continued)

		Group		Company
	Note	2024 £	2023 £	2024 £	2023 £
Due after one year
Loans	22	2,281,906	3,263,105	2,281,906	3,263,105
Other financial liabilities		85,000	85,000	-	-
		2,366,906	3,348,105	2,281,906	3,263,105

19	Provisions for liabilities

Group

	Deferred tax £	Total £
At 1 August 2023	950,479	950,479
Increase (decrease) from transfers and other changes	56,568	56,568
At 31 July 2024	1,007,047	1,007,047

20	Pension and other schemes

Defined contribution pension scheme

The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £4,120 (2023 - £4,865).

21	Share capital

Allotted, called up and fully paid shares

	2024		2023
	No.	£	No.	£
Ordinary shares of £1 each	1,000	1,000	1,000	1,000
Redeemable Preference shares of £100 each	23,960	2,396,000	23,960	2,396,000
	24,960	2,397,000	24,960	2,397,000

Nilvip Holdings Limited

Notes to the Financial Statements for the Year Ended 31 July 2024 (continued)

22	Loans and borrowings

Non-current loans and borrowings

	Group		Company
	2024 £	2023 £	2024 £	2023 £

Bank borrowings	2,281,906	3,263,105	2,281,906	3,263,105

Current loans and borrowings

	Group		Company
	2024 £	2023 £	2024 £	2023 £

Bank borrowings	981,200	970,792	981,200	970,792
Bank overdrafts	1,739,842	1,762,336	1,739,842	1,762,336
	2,721,042	2,733,128	2,721,042	2,733,128

The bank loans are secured by fixed charges over the land and buildings.
The bank loans are repayable by instalments with final repayment in 2028. Interest is charged at variable rates above base rate.

	Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
•	the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations,
•	we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector,
•	we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, and health and safety legislation,
•	we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
•	identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

	Goodwill £	Total £
Cost or valuation
At 1 August 2023	1,888,953	1,888,953
At 31 July 2024	1,888,953	1,888,953
Amortisation
At 1 August 2023	1,888,953	1,888,953
At 31 July 2024	1,888,953	1,888,953
Carrying amount
At 31 July 2024	-	-

	Land and buildings £	Plant and machinery £	Total £
Cost or valuation
At 1 August 2023	15,512,751	1,228,866	16,741,617
Additions	-	34,531	34,531
Reclassification from investment property	1,135,000	-	1,135,000
Disposals	-	(537,127)	(537,127)
Transfers	(180,762)	180,762	-
At 31 July 2024	16,466,989	907,032	17,374,021
Depreciation
At 1 August 2023	-	770,205	770,205
Charge for the year	-	39,820	39,820
Eliminated on disposal	-	(266,520)	(266,520)
At 31 July 2024	-	543,505	543,505
Carrying amount
At 31 July 2024	16,466,989	363,527	16,830,516
At 31 July 2023	15,512,751	458,661	15,971,412