|
Registered number:
FOR THE PERIOD ENDED 30 MARCH 2025
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
COMPANY INFORMATION
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
CONTENTS
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STRATEGIC REPORT
FOR THE PERIOD ENDED 30 MARCH 2025
The directors present their Strategic Report for the period ended 30 March 2025.
The Company’s principal activity is to acquire, invest in, and operate community-focused public houses across the United Kingdom and to provide management services to other group companies. Valiant Pub Company Limited ("VPCL") was incorporated in 2021 with a clear mission: to breathe new life into under-loved pubs across the UK. Our strategy is to acquire and revitalise community pubs, creating spaces serving as both social hubs and essential parts of local life. We partner with local operators to run pubs under a Managed Service Agreement (MSA) model, allowing for a flexible and collaborative approach to pub management. Every Valiant pub is unique, reflecting the spirit of its location, yet all are based on the same foundation: great food, carefully selected drinks, warm service, and a deep respect for heritage. Increasingly, our pubs offer more than a great evening out, they are also places to stay. Our growing range of rooms means guests can enjoy a relaxed overnight stay, experiencing the charm and character of the local area.
The 2024/25 financial year (FY25) has been an exciting one for the group, underpinned by the successful expansion of our community pub estate to 80 sites at year end. During the financial year we acquired and refurbished 24 new sites and disposed of 3 sites considered non-core to our operations. Operating under an MSA model, our pubs continue to deliver high-quality food, drink, and accommodation, embedding our position as a trusted operator of warm, welcoming, and locally focused pubs.
During the period under review, a new group structure was implemented to streamline operations, secure debt funding, and support the Company’s long-term growth objectives. This new structure comprises three trading entities, where previously there was only one: • Valiant Pub Company Limited (“VPCL”): incorporated in 2021 and until August 2024 the sole trading entity within the group • Valiant Asset Company 1 Limited (“VAC 1”): incorporated in 2024 with the transfer of 24 pubs previously owned by VPCL on 4th September 2024. These assets were transferred at net book value (£13.2m) via an intercompany loan. This facilitated the successful raise of a £12 million bank facility from Metro Bank secured on the 24 pubs transferred into VAC1. These funds have been used to fund acquisitions and capital expenditure across the portfolio within VAC1. • Valiant Asset Company 2 Limited (“VAC 2”): incorporated in 2024 with the transfer of 4 pubs previously owned by VPCL on 24th June 2024. These assets were transferred at net book value (£2.7m) by way of an intercompany loan. The shareholder loans provided by VPCL to VAC 1 and VAC 2 accrue interest quarterly at a rate of 12.25%. As a result of this restructure, the number of pubs in VPCL reduced from 59 at the start of the year to 34 at year end.
Page 1
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 MARCH 2025
After the year end, on 4th August, the Company completed a further transaction involving the transfer of an additional 16 pubs into Valiant Asset 1 Limited, enabling the drawdown of a second facility of £14 million into that entity, bringing the Group’s total committed bank funding to £26 million. These additional funds significantly enhance the Group’s capacity to scale its acquisition and refurbishment programme. After this restructure and following the disposal of 2 additional sites post year end, 16 sites now remain trading in VPCL.
VPCL’s ongoing success has been underpinned by the steadfast support and strategic partnership of its co-founder, Njord Partners. With deep operational insight, strategic expertise, and significant financial backing, Njord has played a vital role in enabling the business to scale rapidly and effectively. Government decisions regarding the National Insurance cap and the increase to the National Living Wage continue to place upward pressure on operating costs — both for our Managed Service Agreement (MSA) operators and for us directly. These changes present a significant challenge across the hospitality sector, and we are actively working in close partnership with our operators to mitigate their impact through a combination of strategic pricing adjustments and cost efficiency measures.
VPCL delivered a resilient operational performance over the past year, supported by sales growth, disciplined cost control, and continued investment in the estate and guest experience.
The company reported an adjusted EBITDA loss of £0.1m in the year (FY24: loss of £0.8m). This result was impacted by the transfer of the 24 pubs into VAC1 in September 2024 and also reflects the planned investment phase of Valiant's growth strategy, with a focus on acquiring, refurbishing, and repositioning underperforming pub assets within our expanding portfolio. FY25 FY24 £ £ Operating profit/(loss) (1,881,620) (2,665,348) Add back: depreciation 1,490,853 1,268,602 Add back: impairment of assets 374,000 367,000 Add back: exceptional costs 131,611 321,085 Deduct: profit on disposal (264,094) (120,171) Adjusted EBITDA (149,250) (828,832) Adjusted EBITDA is a non-GAAP measure that reflects earnings before interest, taxes, depreciation, and amortisation, further adjusted for non-recurring, non-operational, or non-recurring items to provide a clearer view of underlying operational performance.
Page 2
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 MARCH 2025
The KPIs are considered to be of limited value in the year given the period of change the company has undergone. Nevertheless, VPCL measured performance against a range of financial and operational KPIs to track progress, ensure accountability, and guide strategic decisions.
The following highlights the key indicators: • Total revenue: £18.8m (FY24: £18.2m) ahead of expectations driven by a resilient like-for-like performance in the core estate and the impact of the acquisition programme. • Pub EBITDA: £3.1m (FY24: £2.8m), with margins increasing despite inflationary pressures, supported by ongoing price increases, supply chain efficiencies and disciplined cost control offsetting increased wage and utility costs. • Adjusted EBITDA (defined above): loss of £0.1m (FY24: loss of £0.8m) ahead of expectations. Adjusted EBITDA in VPCL impacted by the loss of profit from the pubs transferred to the subsidiary entities and three disposals during the year. • Net debt: £45.5m (FY24: £28.4m), the increase a result of additional investor funds received to continue our acquisition programme. • People & Engagement: Recruitment and retention of operators to run our pubs under an MSA agreement remain a key area of focus and improvement. Employee satisfaction and internal engagement metrics improved year-on-year. • Customer Experience: Google and Trip Advisor reviews are monitored and discussed between Valiant and our Managed Service Agreement operators. We actively seek feedback and encourage reviews from guests who visit our pubs. Our Operations and Leadership team also visit the pubs on a regular basis to experience them as customers.
Page 3
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 MARCH 2025
As part of the Valiant group, VPCL continues to place a high priority on robust corporate governance as a cornerstone of its responsible growth strategy. As our business expands across the UK, maintaining strong governance structures ensures that we stay aligned with our core values, regulatory responsibilities, and stakeholder expectations.
We have taken proactive steps to strengthen our internal frameworks, including: • Board Oversight: Our leadership team operates with a clear division of responsibilities, ensuring strong oversight and accountability. Strategic decisions are guided by a diverse and experienced board with deep industry knowledge. • Risk Management: Considering inflationary pressures, wage legislation changes, and operational expansion, we have enhanced our risk management protocols to identify and mitigate financial, legal, and operational risks in a timely and effective manner. • Ethical Operations: We are committed to upholding the highest standards of integrity and transparency. This includes fair supplier practices, health and safety compliance, and fostering inclusive, respectful workplaces across all sites. • Stakeholder Engagement: Open communication with investors, employees, local communities, and our MSA partners remains central to our governance ethos. We believe that a business built around shared trust is better equipped for long-term success. As Valiant grows, our governance structures will continue to evolve, ensuring that our operations remain ethical, resilient, and future-ready.
As part of the Valiant group, VPCL integrates sustainability into its core business strategy, recognising the vital role that hospitality businesses play in reducing environmental impact. The company takes a proactive, long-term approach to environmental stewardship, guided by clear goals across key operational areas, including energy efficiency, waste reduction, and sustainable sourcing.
Valiant prioritises responsible procurement practices, working closely with suppliers to minimize packaging waste and ensure products are ethically and sustainably sourced. Efforts are also being made to lower carbon emissions across the supply chain incorporating energy-efficient systems in pub refurbishments. Valiant places a strong emphasis on ‘giving back’ to the communities it serves. At the heart of its operations is a commitment to ensuring its venues act as more than just social spaces—they are positioned as active contributors to local well-being. Through organised fundraising events including ‘Pedal for Pubs’ and organised walks and runs, support for local causes, and partnerships with charitable organisations, Valiant consistently fosters a spirit of generosity. Staff across the company are encouraged to engage in voluntary work and charity initiatives, creating a culture where community support is embedded into daily operations. This approach helps forge lasting relationships between pubs and the communities they operate in, reinforcing the company’s identity as a socially responsible pub operator.
Page 4
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 MARCH 2025
We are committed to fostering a diverse, inclusive, and respectful environment across all aspects of its business. The company maintains a zero-tolerance policy toward discrimination of any kind.
We invest in comprehensive training and development programs, offering clear career progression pathways for those who want to develop within the hospitality industry. New team members receive onboarding that emphasises company values, while ongoing learning opportunities focus on leadership, customer service excellence, and compliance. Workplace culture is rooted in respect, inclusivity, and accountability. We encourage a collaborative environment where ideas are shared openly, and achievements are celebrated. Mental health and well-being are key priorities, with resources available to support staff both personally and professionally. By nurturing talent and fostering a positive, supportive work culture, Valiant ensures its pubs are not only great places to visit—but great places to work.
Valiant Pub Company operates in a dynamic and often challenging environment. While the company continues to expand its portfolio and invest in its people, venues, and technology, it remains mindful of key risks and uncertainties that could impact performance. The following outlines the principal risks and mitigating strategies identified by the Board:
Economic and Consumer Confidence Risk: Our revenues are closely tied to discretionary consumer spending. Macroeconomic pressures such as inflation, interest rates, or a downturn in GDP may lead to reduced footfall and spend per head. We continuously monitor market trends and adjust pricing strategies, promotions, and value propositions accordingly. Our increasingly diversified estate also helps to spread the risk. Cost Inflation (Food, Beverage, Utilities & Wages): Ongoing cost pressures in the price of goods for resale, utilities, and labour could serve to erode profit margins, particularly in a competitive pricing environment. Strategic procurement, long-term supplier relationships, and energy hedging strategies help manage cost volatility. Operational efficiencies and price increases are employed to protect margins where possible. Food Health & Safety: Risks related to food safety, such as contamination or allergens, can lead to increased costs and reputational damage. The company has implemented robust food safety management systems and works closely with suppliers and operators to ensure compliance with safety standards. Labour Market Constraints: Labour shortages and rising wage expectations in the hospitality sector can affect service quality, recruitment, and retention. Valiant strives to provide training to MSA partners and aims to provide competitive remuneration packages in a supporting environment. The Board reviews the risk register regularly and considers emerging risks as part of its strategic planning process. Despite the current uncertain economic environment, the company believes it is well-positioned, through strong governance and adaptable operations, to respond effectively to new challenges.
This report was approved by the board and signed on its behalf.
Page 5
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
DIRECTORS' REPORT
FOR THE PERIOD ENDED 30 MARCH 2025
The directors present their report and the financial statements for the period ended 30 March 2025.
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The loss for the period, after taxation, amounted to £4,879,521 (2024: loss £5,564,162).
Dividends of £nil (2024: £nil) were paid during the period ended 30 March 2025.
The directors who served during the period were:
The Company has chosen, in accordance with Companies Act 2006, s.414C(11), to set out in the Company's Strategic Report; the information relating to future development and financial risk management.
Page 6
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 MARCH 2025
On 4 August, subsequent to the year end, the Company completed a transaction involving the transfer of 16 pubs to Valiant Asset Company 1 Limited.
On 18 November 2024, the Company’s auditors changed their name from Haysmacintyre LLP to HaysMac LLP.
The auditors, HaysMac LLP, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
Page 7
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF VALIANT PUB COMPANY LIMITED
We have audited the financial statements of Valiant Pub Company Limited (the 'Company') for the period ended 30 March 2025, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the 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).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Page 8
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF VALIANT PUB COMPANY LIMITED (CONTINUED)
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Directors' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.
Page 9
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF VALIANT PUB COMPANY LIMITED (CONTINUED)
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud. Based on our understanding of the Company and industry, we identified that the principal risks of non-compliance with laws and regulations related to employment law, foods standards regulations, licencing regulations and health and safety laws, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and corporation tax. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting inappropriate journal entries to overstate revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included:
∙inspecting correspondence with regulators and tax authorities;
∙discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;
∙evaluating management's controls designed to prevent and detect irregularities;
∙identifying and testing accounting journal entries, in particular those journal entries which exhibited the characteristics we had identified as possible indicators of irregularities; and
∙challenging assumptions and judgements made by management in their critical accounting estimates such as whether there are indictors of impairment on fixed assets and recoverability on intercompany debtors.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
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.
Page 10
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF VALIANT PUB COMPANY LIMITED (CONTINUED)
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditors
10 Queen Street Place
EC4R 1AG
Page 11
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 30 MARCH 2025
Page 12
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
REGISTERED NUMBER: 13684671
STATEMENT OF FINANCIAL POSITION
AS AT 30 MARCH 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 15 to 29 form part of these financial statements.
Page 13
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 30 MARCH 2025
Page 14
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Valiant Pub Company Limited is a private company, limited by shares, and incorporated in England and Wales. The Company's registered number is 13684671 and registered office address is Third Floor, 5, Lower Temple Street, Birmingham, England, B2 4JD
The principal activity of the Company is the operation of public houses.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of Valiant Pub Holdco Limited as at 30 March 2025 and these financial statements may be obtained from Companies House.
The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.
Based on operational performance forecast and continuously monitoring of cash flows, the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future.
The Company is funded by the wider Valiant Pub Group, and it is reliant on continued funding to continue with its expansion, which is available under the Groups shareholder agreement. The Company therefore continues to adopt the going concern basis in preparing its financial statements.
Page 15
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
2.Accounting policies (continued)
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding rebates, value added tax and other sales taxes. Revenue is generated from the sale of food and beverages in managed pubs, as well as the provision of accommodation.
Food and beverage revenue is recognised at the point of sale and the below criteria must be met before revenue is recognised:
∙the Company has transferred the significant risks and rewards of ownership to the buyer;
∙the Company retains no effective control over the goods sold;
∙the amount of revenue can be measured reliably;
∙it is probable that the Company 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.
Other revenue is measured at the fair value of consideration received or receivable, and is derived from the rental of tenanted pubs. Revenue is recognised in the period to which it relates, excluding discounts and value added tax.
Accommodation income is recognised at the point the accommodation is provided. Any amounts received in advance are recognised in deferred income and released to turnover at the point of the stay. Any stays offered on a credit basis are recognised in trade debtors until the amount is paid.
Gambling machine income is recognised, in the Company’s capacity as agent, where net takings are recognised as earned on the Company’s proportion of gambling machine proceeds in the period of sale. Management fee revenue is recognised when services are provided to group companies. Revenue is measured at the fair value of the consideration received or receivable. Income is recognised in the period in which the related services are rendered, and when it is probable that the economic benefits associated with the transaction will flow to the Company and the amount of revenue can be reliably measured.
Page 16
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
2.Accounting policies (continued)
The Company issues cash-settled share-based payments to certain employees. These awards require the Company to pay the intrinsic value of the option in cash at the settlement date, based on the increase in the Company’s share price from the grant date to the settlement date.
In accordance with FRS102 Section 26, the liability arising from these cash-settled share-based payment transactions is measured at the fair value of the liability at each reporting date, with changes in fair value recognised in profit or loss. Vesting conditions, other than market conditions, are not taken into account when estimating the fair value of the cash-settled options at the measurement date. Instead, they are taken into account by adjusting the number of awards included in the measurement of the liability arising from the transaction. To apply this requirement for non-market vesting conditions, an amount is recognised for the goods or services received during the vesting period based on the best available estimate of the number of awards expected to vest. That estimate is revised if subsequent information indicates that the number of awards expected to vest differs from previous estimates. On the vesting date, the estimate is revised to equal the number of awards that ultimately vest. A provision is recognised over the vesting period, based on the best estimate of the liability.
Page 17
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
2.Accounting policies (continued)
At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.
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.
Depreciation is provided on the following bases:
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.
Assets that are subject to depreciation are assessed at each reporting date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each reporting date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.
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.
At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Statement of Comprehensive Income.
Page 18
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
2.Accounting policies (continued)
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.
Page 19
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Impairment of tangible fixed assets In carrying out the impairment review of fixed assets, it has been necessary to make estimates and judgements. Individual sites are viewed as separate cash generating units. The recoverable amount of each cash generating unit (CGU) has been identified as the higher of the fair value less cost to sell, or the value in use. A fair value of each CGU was identified using an EBITDA multiple which requires an estimation of future cash flows for a mature site post redevelopment, and judgment around the multiple that could be achieved on sale. If the estimated future cashflows were not achieved or the multiple could not be achieved on sale of a site, there could be a material impact on the financial statements through an impairment charge. The impairment charge is highly sensitive to these estimates and judgements and small movements in EBITDA or multiple can lead to an increased impairment charge. Recoverability of intercompany debtors Management evaluate intercompany debtors for impairment whenever circumstances indicate, in management’s judgement, that the carrying value may not be recoverable. An impairment review requires management to make subjective judgements concerning the future trading prospects and cash flows of the group companies under review. Where actual cash flows in subsequent years differs to those forecast as part of the management’s impairment review this may result in additional impairments or conversely reversals of existing impairments recognised in future years. Useful lives of tangible fixed assets The estimated useful economic lives of tangible fixed assets are based on management's judgement and experience. When management identifies that the actual useful economic lives differ materially from the estimates used to calculate depreciation, that charge is adjusted prospectively. Due to the significance of tangible fixed asset investment to the Company, variations between actual and estimated useful economic lives could impact operating results both positively and negatively. Impairment of investments in subsidiaries Management evaluate investments for impairment whenever circumstances indicate, in management’s judgement, that the carrying value may not be recoverable. As part of the impairment review, management make judgements around the true net asset value of investments in subsidiaries, for example one that could be achieved on sale to a third party. This involves an estimate of the fair value of assets compared to the carrying value of assets, which is at cost, in the subsidiary. Were these estimates and judgements to be incorrect, the value of the investment could be identified as less than the cost of the investment and an impairment would be required. Given the headroom identified here, no impairment is considered necessary nor likely in the future. Cash settled share options Management assess the need to recognise a liability in respect of cash-settled share-based payment arrangements based on the likelihood of a qualifying exit event occurring. This assessment requires judgement in evaluating future strategic plans and the probability of a transaction that would trigger payment under the incentive agreement. At the reporting date, management concluded that there was no reasonable expectation of a qualifying sale in the foreseeable future. As such, no liability has been recognised. Should future expectations change, this may result in a charge being recognised in subsequent periods.
Page 20
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 21
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 22
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 23
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
11.Taxation (continued)
There were no factors that may affect future tax charges.
Page 24
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 25
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 26
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
Page 27
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
On 4 March 2025, 41,000,000 ordinary shares of £0.01 were issued.
On 23 December 2024, 160,000,000 ordinary shares of £0.01 were issued. On 23 August 2024, 47,500,000 ordinary shares of £0.01 were issued. On 28th June 2024, 18,750,000 ordinary shares of £0.01 were issued. On 19 April 2024, 87,500,000 ordinary shares of £0.01 were issued.
Profit and loss account
Page 28
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
VALIANT PUB COMPANY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 MARCH 2025
The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £129,177 (2024: £87,047). Contributions totalling £20,036 (2024: £14,203) were payable to the fund at the reporting date.
The immediate parent is Valiant Pub Bidco Limited, a company registered in England and Wales. The registered office address is Third Floor, 5, Lower Temple Street, Birmingham, England, B2 4JD.
The smallest group in which they are consolidated is that headed by Valiant Pub Holdco Limited, a company incorporated in England and Wales. Its registered office address is Third Floor, 5, Lower Temple Street, Birmingham, England, B2 4JD. The ultimate controlling party is Njord Partners LLP, an entity registered in England and Wales. The registered office address is 4th Floor Phoenix House, 1 Station Hill, Reading, Berkshire, United Kingdom, RG1 1NB.
Page 29
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||