Criterion Hospitality Limited - Limited company accounts 25.1

REGISTERED NUMBER: 11346796 (England and Wales)

STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2025

FOR

CRITERION HOSPITALITY LIMITED

Page

Company Information

1

Strategic Report

2

Report of the Directors

5

Report of the Independent Auditors

7

Income Statement

11

Other Comprehensive Income

12

Balance Sheet

13

Statement of Changes in Equity

14

Cash Flow Statement

15

Notes to the Cash Flow Statement

16

Notes to the Financial Statements

17

DIRECTORS:

Mr F Ahmad

Mr D Hanif

Mr K Bal

REGISTERED OFFICE:

C/O Zedwell Hotel

Great Windmill Street

London Trocadero

London

W1D 7DH

REGISTERED NUMBER:

11346796 (England and Wales)

AUDITORS:

Xeinadin Audit Limited Chartered Accountants

Statutory Auditor

8th Floor, Becket House

36 Old Jewry

London

EC2R 8DD

The directors present their strategic report for the year ended 31 March 2025.

REVIEW OF BUSINESS

Criterion Hospitality Limited ('CHL') is a management company that operates private rental serviced buildings and hospitality venues, such as hotels, restaurants and serviced apartments.

We have a clear strategy to create long-term value, recognise, and progressively pursue, the opportunities for our assets to reach their full potential. We delight our guests every day, through engaging service and quality accommodation in inviting places.

CHL aims to disrupt the accommodation market with pioneering concepts that do the basics well, remove clutter and make experiences seamless. The CHL team is not afraid to challenge industry norms and lead by introducing integrated technology solutions to positively impact guest experience and create cost efficiencies.

The company prioritises comprehensive training to integrate its employees into its culture and provides the necessary support and investment in people development to navigate challenges and drive growth.

The company's trading momentum continues to be strong as it enters the year ahead and achieved the following key financial indicators as shown on the Income Statement on page 11:

Company revenue was £21m (2024: £19.5m)

Operating profit for the year was £770k (2024: loss £197k)

The strong revenue performance during the year was supported by higher occupancy and average room rates ('ARR'), stringent cost control and introduction of efficiencies, resulting in a Gross Profit Margin of 72% (2024: 68%) (note: Rent and Management fees of £7.2m (2024: £6.7m) are excluded in the calculation for the gross profit margin).

The Balance Sheet on page 13 shows net liabilities of £1,441,111 (2024: £1,689,544) at the end of the year, with a cash position of £285,158 (2024: £22,487).

The company has a net liability position, the directors consider that the adoption of the going concern basis in these financial statements is appropriate, as the immediate and ultimate parent company, Continuation Holdings Limited and ACT Finance Limited, provide finance to the subsidiaries of Continuation Holdings Limited.

PRINCIPAL RISKS AND UNCERTAINTIES

Risk - Price:

The company is exposed to price risk due to high inflationary increases in prices for goods and services purchased in the UK. CHL will therefore continue to fully utilise systems such as Procure Wizard and other global purchasing systems to procure at best value in 2025/26.

The energy market remains significantly higher than historic levels and rising tourism across London continues to increase demand across the hospitality sector. Inflationary pressures have affected service and operating costs. To mitigate these risks, CHL has reduced labour expenses by introducing further automation, integrating booking systems more efficiency, and expanding online self-check-ins, all of which support cost control.

The company will continue to explore additional strategic measures to manage pricing-related risks in line with changing market conditions.

Risk - Technological:

Cyber and data security remains key risks, with businesses facing continuously evolving methods of cyber-attack. Data breaches or operational disruption from malware such as ransomware, can lead to reputational damage, regulatory penalties, and financial impact.

CHL maintains a specialist team and robust Information Security Management framework, supported by a wide range of proactive and reactive security controls in place, including firewall, antivirus systems, continuous monitoring and regular testing.

CHL makes use of current, well-established principles and techniques such as training staff and creating awareness via Ninjio and Cyber Griffin Courses. In addition, all emails are filtered via the use of Hornet mail services, and E-Set as our antivirus system which includes device encryption, alongside our 2-factor authentication system for all email accounts.

Our risk-monitoring processes and ongoing threat modelling enable early identification and mitigation of emerging threats.

Risk - Talent, attraction, and retention:

Structural labour market challenges and changes to immigration regulations continue to affect the UK hospitality sector, particularly in front-of-house, restaurant and housekeeping roles, contributing to wage inflation and staff shortages. To address this, CHL continues to expand the use of technology and digital solutions to operate efficiently with lower staffing levels, without compromising the guest experience.

CHL uses computerised scheduling (via Knowcross and Harri), keyless room entry (via Flexipass) and contactless digital check-in and check-out (via Mews) to reduce the manual administration tasks previously carried out by reception employees. These tools improve accuracy, reduce administrative workload and allow the team to focus on guest service and safety.

Risk - Health and Safety:

There is a risk of adverse publicity and brand damage resulting from serious injury, death, or external incidents such as terrorism. CHL maintains strong health and safety policies and works closely with companies such as Shield and Food Alert to ensure regular updates, compliance and timely employee training.

Environmental, Social and Governance ("ESG") - Top-line ESG Strategy 2025/26

The future development, performance, and position of CHL continue to be shaped by key Environmental, Social, and Governance (ESG) trends and factors. Environmental considerations, Employee welfare, Social, community, and Human Rights issues, including our partnerships for reforestation and rigorous governance practices, guide our commitment to accountability, transparency, and positive social impact. These ESG factors collectively influence CHL's long-term success and shape our strategic policies.

CHL remains deeply committed to environmental sustainability, actively working to reduce its carbon footprint and manage resources responsibly. The company has implemented policies to minimize energy consumption, reduce waste, and conserve water resources across all properties. CHL continues to partner with environmental organisations to support wider sustainability efforts and maintain sourcing policies that prioritize eco-friendly suppliers. Our focus on sustainability reflects industry expectations and supports compliance with emerging environmental regulations.

ON BEHALF OF THE BOARD:

Mr K Bal - Director

31 December 2025

The directors present their report with the financial statements of the company for the year ended 31 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the company in the year under review was that of hotel and restaurant management.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2025, in line with the prior year.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 April 2024 to the date of this report.

Mr F Ahmad

Mr D Hanif

Other changes in directors holding office are as follows:

Mr K Bal was appointed as a director after 31 March 2025 but prior to the date of this report.

GOING CONCERN

We consider that the adoption of the going concern basis in these financial statements is appropriate, as the immediate and ultimate parent company, Continuation Holdings Limited and ACT Finance Limited, which provide finance to the subsidiaries of Continuation Holdings Limited, have indicated their willingness in writing to provide the necessary support to enable the company to meet its liabilities as they fall due for a period of at least 12 months from the date of signature of these financial statements.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors 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 company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies 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 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:

Mr K Bal - Director

31 December 2025

Opinion

We have audited the financial statements of Criterion Hospitality Limited (the 'company') for the year ended 31 March 2025 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 company's affairs as at 31 March 2025 and of its profit for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

-	the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

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, or returns adequate for our audit have not been received from branches not visited by us; or

-	the 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 five, 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 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.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors 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 hospitality 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, employment, and health and safety legislation; regulations relating to hospitality industry.

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of

management and inspecting legal correspondence where necessary.

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 transactions;

- agreed income to underlying contracts;

- tested authorisation of expenditure;

- tested the appropriateness of journal entries;

- investigated the rationale behind significant or unusual transactions.

To address the risk that revenue could be misstated due to fraud, we:

- we obtained an understanding of the company's revenue recognition policies and compared these to the accounting standard;

- performed a walkthrough to confirm our understanding of the processes and controls through which the business

initiates, records, processes and reports revenue transactions;

- tested a sample of revenue transactions to supporting evidence; and

- tested, on a sample basis, revenue related balances in the balance sheet.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

- agreeing financial statement disclosures to underlying supporting documentation;

- enquiring of management as to actual and potential litigation and claims; and

- reviewing legal expenses for any potential issues.

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 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 Report of the Auditors.

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 a Report of the Auditors 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.

Thurairatnam Sudarshan FCCA (Senior Statutory Auditor)

for and on behalf of Xeinadin Audit Limited Chartered Accountants

Statutory Auditor

8th Floor, Becket House

36 Old Jewry

London

EC2R 8DD

31 December 2025

TURNOVER

3

21,046,212

19,511,230

Cost of sales

(13,083,437

)

(12,925,586

)

GROSS PROFIT

7,962,775

6,585,644

Administrative expenses

(7,191,800

)

(6,783,798

)

770,975

(198,154

)

Other operating income

-

700

OPERATING PROFIT/(LOSS)

770,975

(197,454

)

Interest payable and similar expenses

5

(308

)

-

PROFIT/(LOSS) BEFORE TAXATION

770,667

(197,454

)

Tax on profit/(loss)

6

(522,234

)

49,344

PROFIT/(LOSS) FOR THE FINANCIAL
YEAR

248,433

(148,110

)

PROFIT/(LOSS) FOR THE YEAR

248,433

(148,110

)

OTHER COMPREHENSIVE INCOME

-

TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

248,433

(148,110

)

CURRENT ASSETS

Stocks

7

29,000

25,496

Debtors

8

47,089,238

17,388,544

Cash at bank

285,158

22,487

47,403,396

17,436,527

CREDITORS

Amounts falling due within one year

9

48,844,507

19,126,071

NET CURRENT LIABILITIES

(1,441,111

)

(1,689,544

)

TOTAL ASSETS LESS CURRENT
LIABILITIES

(1,441,111

)

(1,689,544

)

CAPITAL AND RESERVES

Called up share capital

10

1

Retained earnings

11

(1,441,112

)

(1,689,545

)

SHAREHOLDERS' FUNDS

(1,441,111

)

(1,689,544

)

The financial statements were approved by the Board of Directors and authorised for issue on 31 December 2025 and were signed on its behalf by:

Mr K Bal - Director

Called up

share

Retained

Total

capital

earnings

equity

£

Balance at 1 April 2023

1

(1,541,435

)

(1,541,434

)

Changes in equity

Total comprehensive income

-

(148,110

)

(148,110

)

Balance at 31 March 2024

1

(1,689,545

)

(1,689,544

)

Changes in equity

Total comprehensive income

-

248,433

Balance at 31 March 2025

1

(1,441,112

)

(1,441,111

)

Cash flows from operating activities

Cash generated from operations

1

16,241,140

(53,350

)

Interest paid

(308

)

-

Net cash from operating activities

16,240,832

(53,350

)

Cash flows from financing activities

Net amounts owed to group undertakings

(15,978,161

)

(55,596

)

Net cash from financing activities

(15,978,161

)

(55,596

)

Increase/(decrease) in cash and cash equivalents

262,671

(108,946

)

Cash and cash equivalents at beginning of
year

2

22,487

131,433

Cash and cash equivalents at end of year

2

285,158

22,487

1.	RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

Profit/(loss) before taxation

770,667

(197,454

)

Finance costs

308

-

770,975

(197,454

)

Increase in stocks

(3,504

)

(928

)

Increase in trade and other debtors

(11,718,550

)

(6,195,020

)

Increase in trade and other creditors

27,192,219

6,340,052

Cash generated from operations

16,241,140

(53,350

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 March 2025

31.3.25

1.4.24

£

Cash and cash equivalents

285,158

22,487

Year ended 31 March 2024

31.3.24

1.4.23

£

Cash and cash equivalents

22,487

131,433

3.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.24

Cash flow

At 31.3.25

£

Net cash

Cash at bank

22,487

262,671

285,158

22,487

262,671

285,158

Total

22,487

262,671

285,158

1.	STATUTORY INFORMATION

Criterion Hospitality Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going concern review

The directors have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The directors have made this assessment in respect to a period of one year from the date of approval of these accounts.

The directors have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The directors are of the opinion that the company will have sufficient resources to meet its liabilities as they fall due as the immediate and ultimate parent company, Continuation Holdings Limited and Act Finance Limited, which provide finance to the subsidiaries of Continuation Holdings Limited, have indicated their willingness in writing to provide the necessary support to enable the company to meet its liabilities as they fall due for a period of at least 12 months from the date of signature of these financial statements.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Critical accounting judgements and key sources of estimation uncertainty

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.

The items in the accounts where these judgements and estimates have been made, include:

- assessing the recoverability of outstanding debtors; and

- valuation of stock.

Turnover

Sale of accommodation

The contract to provide accommodation is established when the customer books accommodation. The performance obligation is the right to use accommodation for a given number of nights, and the transaction price is the room rate for each night determined at the time of the booking. The performance obligation is met when the customer is given the right to use the accommodation, and so revenue is recognised for each night as it takes place, at the room rate for that night. Customers may pay in advance for accommodation. In this case the Company has received consideration for services not yet provided. This is treated as a contract liability until the performance obligation is met.

Sale of food and beverage

The contract is established when the customer orders the food or drink item, and the performance obligation is the provision of food and drink by the outlet. The performance obligation is satisfied when the food and drink is delivered to the customer, and revenue is recognised at this point at the price for the items purchased. Payment is made on the same day and consequently there are no contract assets or liabilities.

Management charges

Management charges are recognised as income at the point when the company becomes contractually entitled to the charges.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Costs, which comprise direct production costs and an appropriate allocation of production overheads, are based on the method most appropriate to the type of inventory class, but usually on a first-in-first-out basis. Net realisable value is based on the estimated selling price less any estimated completion or selling costs.

When stocks are sold, the carrying amount of those stocks is recognised as an expense in the period in which the related revenue is recognised. The amount of any write-down of stocks to net realisable value and all losses of stocks are recognised as an expense in the period in which the write-down or loss occurs. The amount of any reversal of any write-down of stocks is recognised as a reduction in the amount of inventories recognised as an expense in the period in which the reversal occurs.

Financial instruments

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 classified and accounted for according to the substance of 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.

Taxation

The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and 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 end of the reporting period.

Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible timing differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period 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 assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current or deferred tax for the year is recognised in profit or loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Debtors and creditors

Short term debtors and creditors with no stated interest rate are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account.

Interest bearing borrowings

Interest-bearing borrowings are recognised initially at fair value less attributable transaction costs. Subsequent to initial recognition, interest-bearing borrowings are stated at amortised cost with any difference between the amount initially recognised and redemption value being recognised in the statement of comprehensive income over the period of the borrowings, together with any interest and fees payable, using the effective interest method.

Provisions

Provisions are recognised when the company has a present legal or constructive obligation arising as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expense.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and in hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities.

3.

TURNOVER

The turnover and profit (2024 - loss) before taxation are attributable to the one principal activity of the company.

An analysis of turnover by class of business is given below:

2025

2024

£

Hotels

13,831,005

13,701,427

Restaurants

1,443,616

1,413,302

Management fees

5,771,591

4,396,501

21,046,212

19,511,230

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

Wages and salaries

6,048,762

6,359,265

Social security costs

538,045

541,236

Other pension costs

74,752

86,532

6,661,559

6,987,033

The average number of employees during the year was as follows:

2025

2024

Hotel staff

168

153

Restaurant staff

9

39

177

192

2025

2024

£

Directors' remuneration

-

5.

INTEREST PAYABLE AND SIMILAR EXPENSES

2025

2024

£

Interest on late payment

308

-

6.

TAXATION

Analysis of the tax charge/(credit)

The tax charge/(credit) on the profit for the year was as follows:

2025

2024

£

Origination and reversal of

timing differences

522,234

(49,344

)

Tax on profit/(loss)

522,234

(49,344

)

Reconciliation of total tax charge/(credit) included in profit and loss

The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2025

2024

£

Profit/(loss) before tax

770,667

(197,454

)

Profit/(loss) multiplied by the standard rate of corporation tax in the UK of
25% (2024 - 25%)

192,667

(49,364

)

Effects of:

Losses carried forward

-

49,364

Deferred tax

522,234

(49,344

)

Group relief

(192,667

)

-

Total tax charge/(credit)

522,234

(49,344

)

7.

STOCKS

2025

2024

£

Finished goods

29,000

25,496

8.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Trade debtors

6,281,828

3,212,005

Amounts owed by group undertakings

21,174,995

2,670,617

Other debtors

19,494,362

8,855,504

Deferred tax asset

-

522,234

Prepayments and accrued income

138,053

2,128,184

47,089,238

17,388,544

9.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2024

£

Trade creditors

401,108

418,400

Amounts owed to group undertakings

2,529,791

3,574

Social security and other taxes

148,654

158,028

VAT

257,236

340,649

Other creditors

44,646,306

16,581,378

Accruals and deferred income

861,412

1,624,042

48,844,507

19,126,071

10.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2025

2024

value:

£

1

Ordinary

£1

1

11.

RESERVES

Retained

earnings

£

At 1 April 2024

(1,689,545

)

Profit for the year

248,433

At 31 March 2025

(1,441,112

)

12.	PENSION COMMITMENTS

The company operates a defined contribution scheme. During the year the company contributed £74,146 (2024: £86,532). At the year end the company had a liability of £14,200 (2024: £13,185).

13.	CONTINGENT LIABILITIES

There were no contingent liabilities at either the beginning or the end of the financial year.

14.	RELATED PARTY DISCLOSURES

During the year the company received services from related parties not within the group totalling £8,031,219 (2024: £6,256,287) and supplied services to related parties not within the group totalling £2,644,140 (2024: £4,396,501).

At the year end, total loans due from related parties not within the group amounted to £19,461,472 (2024: £8,720,661) and total loans due to related parties not within the group amounted to £44,203,969 (2024: £16,007,365).

During the year, salary recharges to Greenwich Hotel Opco Limited amounted to £269,524 (2024: £nil)

15.	PARENT COMPANY

Continuation Holdings Ltd, a company incorporated in the Isle of Man, is the immediate and ultimate parent company. Continuation Holdings Limited's registered office is 3rd Floor, 10 Finch Road, Douglas, IM1 2PT, Isle of Man.

The ultimate controlling party is deemed to be the Trustees of The Aziz Continuation Purpose Trust (formerly known as The Aziz Continuation Star Trust) which is based in the Isle of Man.