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Whitsbury Farm & Stud Limited

Annual Report and Financial Statements
Year Ended 31 August 2025

Registration number: 01329943

 

Whitsbury Farm & Stud Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3

Statement of Directors' Responsibilities

4

Independent Auditor's Report

5 to 8

Profit and Loss Account

9

Balance Sheet

10

Statement of Changes in Equity

11

Statement of Cash Flows

12

Notes to the Financial Statements

13 to 29

 

Whitsbury Farm & Stud Limited

Company Information

Directors

Mr C J Harper

Mrs N W Harper

Mr E J Harper

Company secretary

Mr E J Harper

Registered office

Estate Office
Manor Farm
Whitsbury
Fordingbridge
Hampshire
SP6 3QP

Bankers

Lloyds Bank plc
Salisbury
38 Blue Boar Row
Salisbury
Wiltshire
SP1 1DB

Auditors

PKF Francis Clark
Statutory AuditorHitchcock House
Hilltop Park
Devizes Road
Salisbury
Wiltshire
SP3 4UF

 

Whitsbury Farm & Stud Limited

Strategic Report for the Year Ended 31 August 2025

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

Principal activity

The principal activity of the company is bloodstock breeding within the United Kingdom

Fair review of the business

Turnover increased by 14.2% on the previous year to £14,552,582 after a another good performance at the bloodstock sales. The company made a profit before tax of £6,815,626.

The company purchased freehold and investment property for £16,255,634, funded by bank loans of £10,065,000.

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

Financial KPIs

Unit

2025

2024

Turnover

£

14,552,582

12,743,469

Gross profit

£

9,625,608

7,890,708

Gross margin

%

66

62

Principal risks and uncertainties

Market risk – The breeding and racing industry is a unique one. Whilst a stallion remains in demand, the market is good, but trends and fashion can change quickly. We continue to strive to have the best stallions and progeny.

The farming market is a much more secure industry in that land is finite and will always be in demand. Farming is a price taker and at risk to global events. Staying diversified helps to combat this.

Trade debtors – With long lead times on progeny, debtors can be a risk. These are monitored closely to minimise bad debts.

Reputation – This remains our priority. The company prides itself on its quality and level of service and strives to ensure that management and staff undertake their roles with this as a priority.

Labour – We maintain a policy of offering every opportunity to our workforce both old and new. We ensure that equal opportunities are offered to job applicants.

Potential concerns – The racing industry is dependant on a strong economy to keep it buoyant. The farming business can be impacted by global micro and macro economic conditions. The directors have appropriate processes in place to constantly monitor any situation that may arise and to minimise any risks.

Approved and authorised by the Board on 29 May 2026 and signed on its behalf by:
 

.........................................
Mr E J Harper
Company secretary

 

Whitsbury Farm & Stud Limited

Directors' Report for the Year Ended 31 August 2025

The directors present their report and the financial statements for the year ended 31 August 2025.

Directors of the company

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

Mr C J Harper

Mrs N W Harper

Mr E J Harper

Information included in the Strategic Report

- The financial risk managment objectives and policies of the company.
- The exposure of the company to price risk, credit risk, liquidity risk and cash flow risk.

Going concern

The company has net current assets of £5,776,120 at year end and continues to be profitable, and cash generative post year end. The directors have considered the availability of committed bank facilities for a period of at least 12 months from the date of approval of these financial statements. They are satisfied that it is appropriate to adopt the going concern basis in preparing the financial statements.

Disclosure of information to the auditors

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

Approved and authorised by the Board on 29 May 2026 and signed on its behalf by:
 

.........................................
Mr E J Harper
Company secretary

 

Whitsbury Farm & Stud Limited

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the 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 apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

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

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the 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.

 

Whitsbury Farm & Stud Limited

Independent Auditor's Report to the Members of Whitsbury Farm & Stud Limited

Opinion

We have audited the financial statements of Whitsbury Farm & Stud Limited (the 'company') for the year ended 31 August 2025, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the company's affairs as at 31 August 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 auditor 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other information

The directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

 

Whitsbury Farm & Stud Limited

Independent Auditor's Report to the Members of Whitsbury Farm & Stud Limited

Opinion on other matter prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, 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 4, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor Responsibilities for the audit of the financial statements

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

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:

 

Whitsbury Farm & Stud Limited

Independent Auditor's Report to the Members of Whitsbury Farm & Stud Limited

As part of our audit planning we obtained an understanding of the legal and regulatory framework that is applicable to Whitsbury Farm & Stud Limited. This was gained through appropriate audit engagement team selection (ensuring competence and capability to recognise non-compliance) and discussions with management. This covered any knowledge or evidence of actual and potential fraud, litigation and claims, which was followed up with corroborative audit review work. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the company’s ability to continue trading and the risk of material misstatement to the accounts. Based on our understanding of the company and industry, we identified that the principal risks of non-compliance with laws and regulations relating to breaches around health and safety regulations. We considered the extent to which non-compliance with these laws and regulations may 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 relevant tax legislation.

We also discussed with management to what extent the business is exposed to fraud – either inherently because of nature of operations, assets or because of weaknesses in internal controls. From these discussions we have evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements. The key incentive identified is to ensure a good financial position to third parties and we determined that the principal risks were related to the overstatement of profit, either through overstating revenue, understating expenditure or management bias in accounting estimates.

Based on this understanding we designed our audit procedures to identify non-compliance with relevant laws and regulations. Our procedures involved the following:

• Enquiries of management regarding their knowledge of any non compliance with laws and regulations that could affect the financial statements. As part of these enquiries we also discussed with management whether there have been any known instances of fraud, of which there were none.
• Reviewed legal and professional costs to identify any possible non compliance.

In response to the identified risk, as part of our audit work we:
• We sampled sales from documentation outside the accounting system to ensure they are complete in the accounts. We have performed cut off testing to ensure the revenue is recongised in the correct financial year.
• Audited the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business.
• Reviewed estimates and judgements made in the accounts for any indication of bias and challenged assumptions used by management in making the estimates.

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. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate omissions, collusion, forgery, misrepresentations, or the override of internal controls. We are also less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

 

Whitsbury Farm & Stud Limited

Independent Auditor's Report to the Members of Whitsbury Farm & Stud Limited

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

......................................
Paul Giessler FCA (Senior Statutory Auditor)
PKF Francis Clark, Statutory Auditor

Hitchcock House
Hilltop Park
Devizes Road
Salisbury
Wiltshire
SP3 4UF

29 May 2026

 

Whitsbury Farm & Stud Limited

Profit and Loss Account

Year Ended 31 August 2025

Note

2025
£

2024
£

Turnover

3

14,552,582

12,743,469

Cost of sales

 

(4,926,974)

(4,852,761)

Gross profit

 

9,625,608

7,890,708

Administrative expenses

 

(2,724,927)

(3,413,229)

Other operating income

4

307,506

206,455

Operating profit

5

7,208,187

4,683,934

Income from other Fixed assets investments

 

22,684

(13,860)

Other interest receivable and similar income

10

1,912

37,156

Interest payable and similar expenses

11

(417,157)

(17,495)

   

(392,561)

5,801

Profit before tax

 

6,815,626

4,689,735

Tax on profit

12

(1,745,625)

(1,195,109)

Profit for the financial year

 

5,070,001

3,494,626

The above results were derived from continuing operations.

 

Whitsbury Farm & Stud Limited

Balance Sheet

31 August 2025

Note

2025
£

2024
£

Fixed assets

 

Tangible assets

14

17,697,213

5,299,231

Investment property

15

32,065,064

28,925,747

Investments

16

1

1

Other financial assets

27

70,321

48,503

 

49,832,599

34,273,482

Current assets

 

Stocks

17

4,078,830

4,096,048

Debtors

18

5,618,632

5,855,800

Cash at bank and in hand

 

33,971

1,110,853

 

9,731,433

11,062,701

Creditors: Amounts falling due within one year

20

(3,955,313)

(4,794,668)

Net current assets

 

5,776,120

6,268,033

Total assets less current liabilities

 

55,608,719

40,541,515

Creditors: Amounts falling due after more than one year

20

(10,065,000)

-

Provisions for liabilities

23

(4,373,967)

(4,361,764)

Net assets

 

41,169,752

36,179,751

Capital and reserves

 

Called up share capital

100,000

100,000

Revaluation reserve

1,247,533

-

Profit and loss account

39,822,219

36,079,751

Shareholders' funds

 

41,169,752

36,179,751

Included within Profit and loss account are non distributable reserves amounting to £14,848,984 (2024: £16,077,416).

Approved and authorised by the Board on 29 May 2026 and signed on its behalf by:
 

.........................................
Mr E J Harper
Director

Company Registration Number: 01329943

 

Whitsbury Farm & Stud Limited

Statement of Changes in Equity

Year Ended 31 August 2025

Share capital
£

Revaluation reserve
£

Profit and loss account
£

Total
£

At 1 September 2024

100,000

-

36,079,751

36,179,751

Profit for the year

-

-

5,070,001

5,070,001

Transfers between reserves

-

1,247,533

(1,247,533)

-

Dividends

-

-

(80,000)

(80,000)

At 31 August 2025

100,000

1,247,533

39,822,219

41,169,752

Share capital
£

Profit and loss account
£

Total
£

At 1 September 2023

100,000

32,585,125

32,685,125

Profit for the year

-

3,494,626

3,494,626

At 31 August 2024

100,000

36,079,751

36,179,751


Transfers between reserves
During the year ended 31 August 2025, some investment properties were recategorised as freehold land and buildings as no longer let, these assets were transferred at their fair value of £1,570,000, less historical cost net book value of £9,822 and depreciation charge of £1,250 and deferred tax of £313,895, resulting in the transfer between reserves of £1,247,533.

 

Whitsbury Farm & Stud Limited

Statement of Cash Flows

Year Ended 31 August 2025

Note

2025
£

2024
£

Cash flows from operating activities

Profit for the year

 

5,070,001

3,494,626

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

5

77,558

91,407

Changes in fair value of investments through profit and loss

 

(21,818)

(14,726)

Profit on disposal of tangible assets

(40,187)

(3,132)

Finance income

10

(24,596)

(23,296)

Finance costs

11

417,157

17,495

Income tax expense

12

1,745,625

1,195,109

Foreign exchange gains/losses

 

-

15,556

 

7,223,740

4,773,039

Working capital adjustments

 

Decrease in stocks

17

17,218

100,229

Decrease/(increase) in trade debtors

18

237,168

(260,515)

Increase in trade creditors

20

274,151

126,637

Cash generated from operations

 

7,752,277

4,739,390

Income taxes paid

12

(1,453,845)

(1,748,254)

Net cash flow from operating activities

 

6,298,432

2,991,136

Cash flows from investing activities

 

Interest received

10

24,596

23,296

Acquisition of subsidiaries

16

-

(1)

Acquisitions of tangible assets

(10,905,540)

(128,195)

Proceeds from sale of tangible assets

 

40,187

20,810

Acquisition of investment properties

(5,715,782)

(6,640,747)

Proceeds from sale of investment properties

 

1,006,465

-

Net cash flows from investing activities

 

(15,550,074)

(6,724,837)

Cash flows from financing activities

 

Interest paid

11

(417,157)

(17,495)

Proceeds from bank borrowing draw downs

 

7,761,000

3,019,500

Payments to finance lease creditors

 

-

(23,873)

Dividends paid

25

(80,000)

-

Net cash flows from financing activities

 

7,263,843

2,978,132

Net decrease in cash and cash equivalents

 

(1,987,799)

(755,569)

Cash and cash equivalents at 1 September

 

1,110,853

1,866,422

Cash and cash equivalents at 31 August

 

(876,946)

1,110,853

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

1

General information

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

The address of its registered office is:
Estate Office
Manor Farm
Whitsbury
Fordingbridge
Hampshire
SP6 3QP

These financial statements were authorised for issue by the Board on 29 May 2026.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Going concern

The company has net current assets of £5,776,120 at year end and continues to be profitable, and cash generative post year end. The directors have considered the availability of committed bank facilities for a period of at least 12 months from the date of approval of these financial statements. They are satisfied that it is appropriate to adopt the going concern basis in preparing the financial statements.

Judgements

There are no key judgements.

Key sources of estimation uncertainty

Investment property is valued by the directors at year end using observable market values of similar properties. Details on the basis of the valuation can be found in the accounting policy. The carrying amount is £32,065,064 (2024 -£28,925,747).

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of value added tax, credit notes and discounts and after eliminating sales within the company.

The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.

Nomination income is recognised once the service has been provided and the mare is in foal.

Bloodstock sales are recognised once agreement on the sale has been made. Amounts not invoiced before the year end are included in accrued income.

Agricultural and environmental subsidies are accounted for at the earlier of the date that obligations under the scheme have been met or end of scheme year.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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

Deferred tax is recognised on all timing differences at the balance sheet date unless indicated below. Timing differences are differences between taxable profits and the results as stated in the profit and loss account and other comprehensive income. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

The carrying amount of deferred tax assets are reviewed at each reporting date and a valuation allowance is set up against deferred tax assets so that the net carrying amount equals the highest amount that is more likely than not to be recovered based on current or future taxable profit.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses; except for freehold land and building recategorised at fair value from investment properties, which is considered deemed cost.

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

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

Depreciation

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

Asset class

Depreciation method and rate

Land and buildings

2.5% per annum straight line on buildings only

Assets under construction

Not depreciated until the asset is brought into use

Other property, plant and equipment

20% per annum straight line

Investment property

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

Investments

Other investments are initially measured at cost and then valued at fair value with gains and losses recognised in profit or loss. Fair value is determined by reference to published market listings. Deferred tax arising on the difference between cost and carrying value is booked in profit or loss.

Unlisted investments are valued at cost less any impairment as no fair value is readily available.

Income from investments is recognised in the period in which it becomes due. Specifically, dividends are recognised when they are declared, interest and other income when it becomes receivable.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Except for stallions and brood mares which are valued at cost less amortisation over the period from the date they begin breeding to their expected retirement age, which for stallions is expected to be age 10 and for brood mares is expected to be age 18. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

Defined contribution pension obligation

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

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

Financial instruments

Classification
The company holds the following financial instruments:

• Short term trade and other debtors and creditors;
• Bank borrowings; and
• Cash and bank balances.

All financial instruments are classified as basic.

 Recognition and measurement
The company has chosen to apply the recognition and measurement principles in FRS102.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument and derecognised when in the case of assets, the contractual rights to cash flows from the assets expire or substantially all the risks and rewards of ownership are transferred to another party, or in the case of liabilities, when the company’s obligations are discharged, expire or are cancelled.

Except for bank borrowings, such instruments are initially measured at transaction price, including transaction costs, and are subsequently carried at the undiscounted amount of the cash or other consideration expected to be paid or received, after taking account of impairment adjustments.

Bank borrowings are initially measured at transaction price, including transaction costs, and are subsequently carried at amortised cost using the effective interest method.

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

3

Turnover

The analysis of the company's Turnover for the year by class of business is as follows:

2025
£

2024
£

Bloodstock and other sale of goods

10,254,522

8,835,401

Nomination income

4,159,449

3,735,579

Grants and subsidies

18,611

26,189

Management charges

120,000

146,300

14,552,582

12,743,469

The analysis of the company's Turnover for the year by market is as follows:

2025
£

2024
£

UK

14,552,582

12,743,469

4

Other operating income

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

2025
£

2024
£

Rental income

307,506

206,455

5

Operating profit

Arrived at after charging/(crediting)

2025
£

2024
£

Depreciation expense

77,558

91,407

Foreign exchange losses

12,436

15,556

Profit on disposal of property, plant and equipment

(40,187)

(3,132)

6

Government grants

During the year the company received agricultural and environment grants and subsidies from the Rural Payments Agency

The amount of grants recognised in the financial statements was £18,611 (2024 - £26,189).

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

7

Staff costs

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

2025
£

2024
£

Wages and salaries

1,327,207

1,233,040

Social security costs

169,245

236,411

Pension costs, defined contribution scheme

56,087

69,200

1,552,539

1,538,651

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

2025
No.

2024
No.

Stud

21

20

Administration and support

3

2

Directors

3

3

Other departments

7

6

34

31

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

8

Directors' remuneration

The directors' remuneration for the year was as follows:

2025
£

2024
£

Remuneration

231,356

652,205

Contributions paid to money purchase schemes

353

351

231,709

652,556

Directors' non-cash benefits in both the current and comparative periods mainly comprise accommodation and healthcare benefits. In addition, in the year ended 31 August 2024 two directors received loan write-off benefits totalling £400,000.

During the year the number of directors who were receiving benefits and share incentives was as follows:

2025
No.

2024
No.

Accruing benefits under money purchase pension scheme

1

1

In respect of the highest paid director:

2025
£

2024
£

Remuneration

98,394

294,970

Company contributions to money purchase pension schemes

353

-

9

Auditor's remuneration

2025
£

2024
£

Audit of the financial statements

25,000

25,000


 

10

Other interest receivable and similar income

2025
£

2024
£

Interest income on bank deposits

-

35,353

Other finance income

1,912

1,803

1,912

37,156

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

11

Interest payable and similar expenses

2025
£

2024
£

Interest on bank overdrafts and borrowings

417,157

17,437

Interest expense on other finance liabilities

-

58

417,157

17,495

12

Taxation

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

2025
£

2024
£

Current taxation

UK corporation tax

1,733,422

1,195,311

Deferred taxation

Arising from origination and reversal of timing differences

12,203

(202)

Tax expense in the income statement

1,745,625

1,195,109

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of 25% (2024 - 25%).

The differences are reconciled below:

2025
£

2024
£

Profit before tax

6,815,626

4,689,735

Corporation tax at standard rate

1,703,907

1,172,434

Tax (decrease)/increase from effect of capital allowances and depreciation

(27,370)

8,706

Effect of expense not deductible in determining taxable profit (tax loss)

41,232

22,624

Tax decrease from effect of dividends from UK companies

(217)

(216)

Tax increase/(decrease) from other tax effects

28,073

(8,439)

Total tax charge

1,745,625

1,195,109

Deferred tax

Deferred tax assets and liabilities

2025

Asset
£

Liability
£

Fixed asset timing differences

-

6,151

Capital gains on fair value movement in freehold land and buildings

-

313,895

Capital gains/(losses) on fair value movement in investment property

-

4,056,862

Short term timing differences

-

(2,941)

-

4,373,967

2024

Asset
£

Liability
£

Fixed asset timing differences

-

23,682

Capital gains/(losses) on fair value movement in investment property

-

4,338,470

Short term timing differences

-

(388)

-

4,361,764

13

Intangible assets

Trademarks, patents and licences comprised purchased agricultural basic payment subsidy entitlements, that by 31 August 2023 had been fully amortised in anticipation becoming of negligible value. On 31 December 2023 agricultural subsidy payments were de-linked from entitlements attached to land and consequently these intangible assets are deemed to have been disposed.

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

14

Tangible assets

Land and buildings
£

Properties under construction
 £

Plant and machinery
£

Total
£

Cost or valuation

At 1 September 2024

5,782,577

83,586

802,471

6,668,634

Additions

10,593,362

162,801

149,377

10,905,540

Disposals

-

-

(9,050)

(9,050)

Transfers

1,678,195

(108,195)

-

1,570,000

At 31 August 2025

18,054,134

138,192

942,798

19,135,124

Depreciation

At 1 September 2024

697,528

-

671,875

1,369,403

Charge for the year

36,500

-

41,058

77,558

Eliminated on disposal

-

-

(9,050)

(9,050)

At 31 August 2025

734,028

-

703,883

1,437,911

Carrying amount

At 31 August 2025

17,320,106

138,192

238,915

17,697,213

At 31 August 2024

5,085,049

83,586

130,596

5,299,231

Included within the net book value of land and buildings above is £17,320,106 (2024 - £5,085,049) in respect of freehold land and buildings.
 

Freehold land, which is not depreciated, included within land and buildings comprises land carried at historical cost of £10,034,605 (2024 - £398,757).

During the year ended 31 August 2025 freehold buildings were recategorised from investment properties as no longer let are carried at their director's market value of £1,570,000. This has been treated as deemed cost.

15

Investment properties

£

At 1 September

28,925,747

Additions

5,715,782

Disposals

(1,006,465)

Transfers to and from Tangible assets

(1,570,000)

At 31 August

32,065,064

There has been no valuation of investment property by an independent valuer.

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

16

Investments

2025
£

2024
£

Investments in subsidiaries

1

1

Subsidiaries

£

Cost or valuation

At 1 September 2024

1

Provision

Carrying amount

At 31 August 2025

1

At 31 August 2024

1

Details of undertakings

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

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

2025

2024

Subsidiary undertakings

Whitsbury Manor Stud Limited

Whitsbury Manor Stud, Whitsbury, Fordingbridge, Hampshire, SP6 3QP

England and Wales

Ordinary share

100%

100%

Subsidiary undertakings

Whitsbury Manor Stud Limited

The principal activity of Whitsbury Manor Stud Limited is non-trading bloodstock breeder.

17

Stocks

2025
£

2024
£

Raw materials and consumables

181,167

156,320

Finished goods and goods for resale

3,897,663

3,939,728

4,078,830

4,096,048

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

18

Debtors

2025
£

2024
£

Trade debtors

4,477,753

4,964,290

Other debtors

835,635

845,478

Prepayments

305,244

46,032

5,618,632

5,855,800

Details of trade and other debtors

£82,397 (2024 -£51,241) of taxation recoverable is classified as non current. Taxation paid on loans to participators is repayable 9 months after the end of the financial period in which the loan is repaid.

19

Cash and cash equivalents

2025
£

2024
£

Cash on hand

2,430

4,857

Cash at bank

31,541

1,105,996

33,971

1,110,853

Bank overdrafts

(910,917)

-

Cash and cash equivalents in statement of cash flows

(876,946)

1,110,853

20

Creditors

Note

2025
£

2024
£

Due within one year

 

Loans and borrowings

21

1,626,417

3,019,500

Trade creditors

 

1,012,875

722,653

Amounts due to group undertakings

26

1

1

Social security and other taxes

 

33,725

94,148

Outstanding defined contribution pension costs

 

4,707

4,102

Other creditors

 

-

19,723

Accruals

 

526,459

462,989

Corporation tax

12

751,129

471,552

 

3,955,313

4,794,668

Due after one year

 

Loans and borrowings

21

10,065,000

-

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

21

Loans and borrowings

Non-current loans and borrowings

2025
£

2024
£

Bank borrowings

10,065,000

-

Current loans and borrowings

2025
£

2024
£

Bank borrowings

715,500

3,019,500

Bank overdrafts

910,917

-

1,626,417

3,019,500

Bank borrowings

Lloyds Bank variable loan is denominated in £ with a nominal interest rate of base rate plus 1.21%, which at the outset was 6.21%, and the final instalment is due on 19 August 2029. The carrying amount at year end is £3,019,500 (2024 - £3,019,500).

Secured by legal charges over the company's freehold property, a floating charge over the company's assets and a personal guarantee from two directors for £500,000 plus costs
Borrowing limit due for renewal on 15 May 2026
Interest only loan with capital due for repayment upon maturity

Lloyds Bank variable loan is denominated in £ with a nominal interest rate of base rate plus 1.21%, which at the outset was 5.96%, and the final instalment is due on 22 January 2030. The carrying amount at year end is £3,522,750 (2024 - £Nil).

Secured by legal charges over the company's freehold property, a floating charge over the company's assets and a personal guarantee from two directors for £500,000 plus costs
Borrowing limit due for renewal on 15 May 2026
Interest only loan with capital due for repayment upon maturity

Lloyds Bank fixed rate treasury loan is denominated in £ with a nominal interest rate of base rate plus 1.24%, which at the outset was 5.99%, and the final instalment is due on 24 January 2028. The carrying amount at year end is £3,522,750 (2024 - £Nil).

Secured by legal charges over the company's freehold property, a floating charge over the company's assets and a personal guarantee from two directors for £500,000 plus costs
Interest only loan with capital due for repayment upon maturity

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

Lloyds Bank variable loan is denominated in £ with a nominal interest rate of base rate plus 1.21%, which at the outset was 5.21%, and the final instalment is due on 28 August 2026. The carrying amount at year end is £715,500 (2024 - £Nil).

Secured by legal charges over the company's freehold property, a floating charge over the company's assets and a personal guarantee from two directors for £500,000 plus costs
£700,000 of facility available to drawdown on 31 August 2025, with borrowing limit due for renewal on 15 May 2026
Interest only loan, repaid early on 11 December 2025

22

Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

2025
£

2024
£

Not later than one year

31,500

31,500

Later than one year and not later than five years

120,000

126,000

Later than five years

67,500

99,000

219,000

256,500

The amount of non-cancellable operating lease payments recognised as an expense during the year was £49,041 (2024 - £48,000).

23

Provisions for liabilities

Deferred tax
£

Total
£

At 1 September 2024

4,361,764

4,361,764

Increase / (decrease) in existing provisions

12,203

12,203

At 31 August 2025

4,373,967

4,373,967

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

24

Share capital

Allotted, called up and fully paid shares

2025

2024

No.

£

No.

£

Ordinary shares of £1 each

100,000

100,000

100,000

100,000

       

Rights, preferences and restrictions

Ordinary shares have the following rights, preferences and restrictions:
Each share is entitled to one vote and pari passu to dividends and participate in a distribution on winding up.

25

Dividends

Interim dividends paid

2025
£

2024
£

Interim dividend of £0.80 (2024 - £Nil) per each Ordinary shares

80,000

-

 

 
 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

26

Related party transactions

Summary of transactions with key management

During the year the company was charged rent of £30,000 (2024 - £30,000) by a director.

Summary of transactions with entities with joint control or significant interest

Included in other debtors is a balance of £342,755 (2024 - £635,237) due from a company controlled by a director. During the year management charges were charged to this company of £120,000 (2024 - £146,300).

Loans to related parties

Balance owed by C J and N W Harper to the company at year end was £183,093 (2024: 95,018).
Balance owed by E J Harper to the company at year end was £61,044 (2024: £56,808).

 

Key management

2025
£

2024
£

At start of period

151,826

-

Advanced

219,111

162,300

Repaid

(126,800)

(10,474)

At end of period

244,137

151,826

Terms of loans to related parties

Interest-free advances to directors are repayable on demand.
 

Loans from related parties

 

Subsidiary

2025
£

2024
£

At start of period

1

-

Advanced

-

1

At end of period

1

1

Terms of loans from related parties

Wholly owned subsidiary was incorporated on 25 September 2023 and share capital remains unpaid
 

 

Whitsbury Farm & Stud Limited

Notes to the Financial Statements

Year Ended 31 August 2025

27

Other investments

Financial assets at fair value through profit and loss
£

Financial assets at cost less impairment
£

Total
£

Non-current financial assets

Cost or valuation

At 1 September 2024

48,293

210

48,503

Fair value adjustments

21,818

-

21,818

At 31 August 2025

70,111

210

70,321

Carrying amount

At 31 August 2025

70,111

210

70,321

At 31 August 2024

48,293

210

48,503

28

Analysis of changes in net debt

At 1 September 2024
£

Financing cash flows
£

At 31 August 2025
£

Cash and cash equivalents

Cash

1,110,853

(1,076,882)

33,971

Overdrafts

-

(910,917)

(910,917)

1,110,853

(1,987,799)

(876,946)

Borrowings

Bank borrowings

(3,019,500)

(7,761,000)

(10,780,500)

 

(1,908,647)

(9,748,799)

(11,657,446)