The directors of the company have elected not to include a copy of the income statement within the financial statements.true

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

Coldunell Limited is a private company limited by shares incorporated in England and Wales. The registered office is Dawes Court House, Dawes Court, High Street, Esher, Surrey, KT10 9QD.

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1.

The financial statements have been prepared under the historical cost convention, modified to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

- Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’: Interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;

- Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.

The financial statements of the company are consolidated in the financial statements of Surrey Hills Investments Limited. These consolidated financial statements are available from its registered office, Coldunell House, Dawes Court, Esher, Surrey, KT10 9QD.

The company is lessor in operating leases. Rental income arising from operating leases on investment property is accounted for on a straight-line basis over the lease terms and is included in revenue in the income statement due to its operating nature.

Tenant lease incentives are recognised as a reduction of rental revenue on a straight-line basis over the non-cancellable period of the lease together with any further term for which the tenant has the option to continue the lease where the directors are reasonable certain that the tenant will exercise that option.

Amounts received from tenants to terminate leases or compensate for dilapidations are recognised in the income statement when the right to receive them arises.

A provision is made when there is objective evidence that the company will not be able to recover the balances in full.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Investment property, which is property held to earn rentals, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.

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

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

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

Biological stocks are initially measured at cost and subsequently measured at the lower of cost and fair value. Changes in value are included in profit and loss in the period in which such changes are recognised.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

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

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

Basic financial assets, which include debtors, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

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

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

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

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Where items recognised in other comprehensive income or equity are chargeable to or deductible for tax purposes, the resulting current or deferred tax expense or income is presented in the same component of comprehensive income or equity as the transaction or other event that resulted in the tax expense or income. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

Group financial statements

The company does not prepare group financial statements as permitted by s400(1) of the Companies Act 2006 as itself is a wholly owned subsidiary of Surrey Hills Investments Limited in whose financial statements the company's results are consolidated.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The estimates and assumptions which have a significant risk of causing material adjustment to the carrying amount of assets and liabilities are the valuations attributed to investment properties and livestock (racehorses).

The average monthly number of persons (including directors) employed by the company during the year was:

Investment property comprises residential and commercial property. The fair value of the investment property was arrived at on the basis of a valuation carried out by CBRE. The valuations took place in February 2024. The valuations were made on an open market value basis by reference to market evidence of transaction prices for similar properties. The director has reviewed the value of the portfolio as at 31 March 2025 and amended the valuations as seen fit as a RICS qualified individual.

The investments are in subsidiaries with unquoted shares. There is no active market for these shares therefore they have not been valued at fair value. Instead they have been carried at cost and are reviewed for impairment on an annual basis.

Included within other debtors is £1,020,175 (2024: £573,289) in relation to participators' loans. These are with the ultimate shareholders of the company's parent, Surrey Hills Investments Limited and are interest free and repayable on demand.

Included within other creditors is £1,165 (2024: £24,784) in relation to participators' loans. These are from the ultimate shareholders of the company's parent, Surrey Hills Investments Limited. Interest is charged at the official rate of interest and loans are repayable on demand.

Included within other creditors is £nil (2024: £nil) payable to a director of the Company.

In December 2019, the company agreed a loan from The Royal Bank of Scotland plc to provide revolving loans of up to £50m for a five year period. In January 2025 a new agreement was reached for a facility of £42m. Interest is calculated on a calendar quarterly basis at the prevailing rate of interest at the beginning of the quarter. Interest calculated is payable at the end of each calendar quarter.

The bank loan is secured by charges over the properties within the company and its wider group.

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

The deferred tax liability is expected to fluctuate in accordance with property revaluations and will eventually reverse on disposal of property. It cannot be said with any reasonable certainty when the deferred tax liability is expected to reverse.

A deferred tax rate of 25% has been applied as this is the substantively enacted rate as at the year end.

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

At the reporting end date the company had contracted with tenants for the following minimum lease payments:

The company has taken advantage of the exemption available in FRS 102 Section 33 "Related Party Disclosures" whereby it has not disclosed transactions with the ultimate parent or other wholly owned subsidiaries.

The ultimate parent, Surrey Hills Investments Limited is owned and controlled by the shareholders of a related company. Included within other debtors is £10,219,628 (2024: £9,528,817) which is due from related companies. The balance paid off in the year was repayable on demand and accrued interest at 6.5% per annum. Net interest received in the year from one related company amounted to £705,547 (2024: £731,183). Included within trade and other creditors is £nil (2024: £1,774) which is due to related companies. The company paid £124,000 (2024: £124,000) to a related company as part of an annual asset charge.

Includes within creditors at the year end is £1,165 (2024: £24,784) which is due to the shareholders. Included within debtors at the year end is £1,016,202 (2024: £569,316) due from the shareholders. Interest on these amounts is charged at the official rate of interest and these amounts are repayable on demand.

A director is also a director for Andantino Asset Management. Included within trade creditors is £13,854 (2024: £10,605) which is due to Andantino Asset Management. Included within other debtors is £19,193 (2024: £50,941) which is due from Andantino Asset Management.

In the year, a director bought stock from the company totalling a purchase price of £5,000 (2024: £nil). The company had expenditure of £19,110 (2024: £nil) with a director in the year.

The ultimate parent company is Surrey Hills Investments Limited, a company registered in England and Wales.