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Registered number: 00472556









THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 NOVEMBER 2025

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
COMPANY INFORMATION


Directors
L I P Carminger 
M A Carminger 




Company secretary
L I P Carminger



Registered number
00472556



Registered office
Fourteen Acre Barn
Climping Street

Climping

Littlehampton

West Sussex

BN17 5TG




Independent auditors
Nyman Libson Paul LLP
Chartered Accountants & Registered Auditors

124 Finchley Road

London

NW3 5JS





 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 

CONTENTS



Page
Strategic report
 
1 - 2
Directors' report
 
3 - 4
Independent auditors' report
 
5 - 8
Statement of income and retained earnings
 
9
Statement of financial position
 
10
Statement of changes in equity
 
11
Notes to the financial statements
 
12 - 26


 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
STRATEGIC REPORT
FOR THE PERIOD ENDED 30 NOVEMBER 2025

The directors present the strategic report and financial statements for the period ended 30 November 2025.

Principal activity
 
The principal activity of the company during the period continued to be the operation of a luxury country house
hotel and wellness centre.

Fair review of the business
 
The company is operating in an established and specialised niche within the hospitality industry and competing with an appropriate business model.
The company largely competes in the southern part of England with providers of luxury hotel and spa services. The historic premises and parkland of the company’s operation has over many years been subject to substantial investment and development. 
The company operates in a wide ranging legal and regulatory environment such as but not limited to: corporate governance, health and safety, environment, bribery and corruption, employment law and diversity, disability access, data privacy and information protection, relationships, accounting and taxation.

The overriding aim of the company is to further strengthen its financial position, produce the reserves needed to continue to reward its employees and shareholders, provide funds for future capital investment and provide support to the local community.
Operationally the company is focused on customer or guest satisfaction. The aim of the company is to meet those needs and develop customer loyalty.
Over many years the company has made continuing and substantial capital investment into the property by way of upgrading, bedroom expansion, the addition of facilities such as the wellness centre and technological improvements. These changes have enabled the business to upscale its price point(s), increase volumes and reduce per capita cost, bringing about a significant and substantive improvement in operating margins and ultimately earnings.

To continue to grow its business substantially and responsibly the company needs a talented and passionate team of people and we as a company employ and attract some of the best professionals in our sector.
The company is a subsidiary of a larger hotel operating group and as such has access to a broader range of operational technologies and systems which will deliver commercial advantage.
The directors consider the financial performance in 2025 to be satisfactory.

Page 1

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 NOVEMBER 2025

Principal risks and uncertainties
 
The company is a subsidiary of Historic Sussex Hotels Limited and the company may be directly or indirectly impacted by circumstances that affect the parent company or its subsidiaries. The 'risks and uncertainties' stated below may be common to the company, the parent and its subsidiaries.
The company is exposed to political and economic developments such as recession, inflation, availability of credit and currency fluctuations that could lower revenues, reduce profit and ultimately impact the value of the business.
The room rates and occupancy levels of the company could be adversely impacted by events that reduce domestic travel, such as natural disasters and epidemics. A decrease in demand for hotel rooms as a result of such events may have an adverse effect on the company operations and financial results. In addition, inadequate contingency planning or recovery capability in relation to a major incident or crisis may prevent operational continuity and consequently impact the reputation of the company.

The company is required to comply with existing and changing regulations. This affects countless aspects of the company's business ranging from corporate governance, health and safety, environment, bribery and corruption, employment law and diversity, disability access, data privacy and information protection, relationships, accounting and taxation. Regulatory changes may require significant changes in the way the business operates and may inhibit the strategy including the markets the company operates in, brand protection and use of transmittal or customer data. If the company fails to comply with existing or changing regulation, the company may be subject to fines, prosecution or loss of operational licenses, which may cause the company to cease or restrict normal trading levels, or reputation damage.

The company and wider group is exposed to a variety of risks associated with its financial stability and ability to borrow and satisfy debt covenants. The company and group has utilised its own capital and utilised lenders funds in order to develop and extend its business. The group is reliant upon having financial strength to meet its debt service covenants. Non-compliance with these covenants could result in the lenders demanding repayment of the funds advanced.

Key performance indicators
 
The company has a holistic set of carefully selected key performance indicators (KPI's) to monitor its success in achieving strategy. In particular the company uses the following measures to monitor performance:
- Revenue
- Staff costs as a ratio to revenue
- EBITDA

The company's recent performance against these KPI's is summarised below
• Revenue in the year increased by 12%
• Staff costs as a % of revenue was 41%
• EBITDA increased by 103%


This report was approved by the board on 19 June 2026 and signed on its behalf.



L I P Carminger
Director

Page 2

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE PERIOD ENDED 30 NOVEMBER 2025

The directors present their report and the financial statements for the period ended 30 November 2025.

Directors

The directors who served during the period were:

L I P Carminger 
M A Carminger 

Directors' responsibilities statement

The directors are responsible for preparing the strategic report, the directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

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

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the period, after taxation, amounted to £199,262 (2024 - £63,814).

Dividends of £Nil (2024: £Nil) was paid during the year.

Engagement with employees

Information of matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the Company's performance.

Page 3

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 NOVEMBER 2025

Disclosure of information to auditors

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Auditors

The auditorsNyman Libson Paul LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 19 June 2026 and signed on its behalf.
 




L I P Carminger
Director

Page 4

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 

Opinion


We have audited the financial statements of The Spread Eagle Hotel (Midhurst) Limited (the 'Company') for the period ended 30 November 2025, which comprise the statement of income and retained earnings, the statement of financial position, the statement of changes in equity and the related notes, including a summary of significant accounting policiesThe 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 30 November 2025 and of its profit for the period 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


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.


Page 5

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion 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 directors' report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.


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 directors' report.


We have nothing to report in respect of the following matters in relation to which 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 directors' responsibilities statement set out on page 3, 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.


Page 6

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED (CONTINUED)


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


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the Company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that 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 concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We focused on laws and regulations which could give rise to a material misstatement in the financial statements. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement teammembers and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors' report.


Page 7

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED (CONTINUED)


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 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.







Hetal Mistry (Senior Statutory Auditor)
  
for and on behalf of
Nyman Libson Paul LLP
 
Chartered Accountants
Registered Auditors
  
124 Finchley Road
London
NW3 5JS

2 July 2026
Page 8

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

2025
2024
Note
£
£

  

Turnover
 4 
3,734,800
3,307,538

Cost of sales
  
(461,820)
(427,560)

Gross profit
  
3,272,980
2,879,978

Administrative expenses
  
(3,004,536)
(2,760,177)

Operating profit
 5 
268,444
119,801

Interest receivable and similar income
 8 
80,434
95,053

Interest payable and similar expenses
 9 
(84,074)
(72,151)

Profit before tax
  
264,804
142,703

Tax on profit
 10 
(65,542)
(78,889)

Profit after tax
  
199,262
63,814

  

  

Retained earnings at the beginning of the period
  
(43,531)
(107,345)

  
(43,531)
(107,345)

Profit for the period
  
199,262
63,814

Retained earnings at the end of the period
  
155,731
(43,531)
The notes on pages 12 to 26 form part of these financial statements.

Page 9

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
REGISTERED NUMBER: 00472556

STATEMENT OF FINANCIAL POSITION
AS AT 30 NOVEMBER 2025

30 November
24 November
2025
2024
Note
£
£

Fixed assets
  

Tangible fixed assets
  
7,055,271
7,000,000

  
7,055,271
7,000,000

Current assets
  

Stocks
 12 
39,437
30,430

Debtors: amounts falling due within one year
 13 
142,074
126,706

Cash at bank and in hand
 14 
2,542,926
2,206,211

  
2,724,437
2,363,347

Creditors: amounts falling due within one year
 15 
(1,497,814)
(1,295,547)

Net current assets
  
 
 
1,226,623
 
 
1,067,800

Total assets less current liabilities
  
8,281,894
8,067,800

Creditors: amounts falling due after more than one year
 16 
(1,328,262)
(1,328,262)

Provisions for liabilities
  

Deferred tax
 17 
(1,149,803)
(1,134,971)

  
 
 
(1,149,803)
 
 
(1,134,971)

Net assets
  
5,803,829
5,604,567


Capital and reserves
  

Called up share capital 
 18 
100
100

Revaluation reserve
  
5,647,998
5,647,998

Profit and loss account
  
155,731
(43,531)

  
5,803,829
5,604,567


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 19 June 2026.


L I P Carminger
Director

The notes on pages 12 to 26 form part of these financial statements.

Page 10

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 30 NOVEMBER 2025


Called up share capital
Revaluation reserve
Profit and loss account
Total equity

£
£
£
£


At 26 November 2023
100
5,846,858
(107,345)
5,739,613



Profit for the period
-
-
63,814
63,814

Deficit on revaluation of freehold property
-
(265,147)
-
(265,147)

Deferred taxation on revaluation
-
66,287
-
66,287



At 24 November 2024
100
5,647,998
(43,531)
5,604,567



Profit for the period
-
-
199,262
199,262


At 30 November 2025
100
5,647,998
155,731
5,803,829


The notes on pages 12 to 26 form part of these financial statements.

Page 11

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

1.


General information

The Spread Eagle Hotel (Midhurst) Limited is a private company limited by shares and is incorporated in England. The address of the registered office is Fourteen Acre Barn, Climping Street, Climping, Littlehampton, West Sussex, BN17 5TG.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.


The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

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:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of HSH Hotels (2017) Limited as at 30 November 2025 and these financial statements may be obtained from the Registrar of
Companies in England and Wales.

Page 12

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

2.Accounting policies (continued)

 
2.3

Going concern

The financial statements have been prepared on a going concern basis. The directors have considered relevant information, including the annual budget, forecast future cash flows and the impact of subsequent events in making their assessment. The directors have performed a robust analysis of forecast future cash flows based on uninterrupted trading for the forseeable future. 

Based on these assessments and having regard to the resources available to the entity, the directors have concluded that there is no material uncertainty in relation to the appropriateness of continuing to adopt the going concern basis in preparing the annual report and accounts.

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Revenue represents income from hotel, catering and spa treatment activities.
Income from accommodation
The hotel supplies conference and event facilities as well as hotel rooms to businesses and private customers. Revenue generated from the sale of rooms and conference and event facilities is recognised when the rooms are occupied, the functions have taken place and services have been rendered. Deposits received in advance are not recognised as revenue until the day of the stay or the event.
Income from bars and restaurants
The hotel operates bar and restaurant activities. Revenue comprises sales of food and drink and is recognised as income at the point of sale.
Income from spa treatments and membership
Spa membership joining fees are recognised in full at the time membership commences. Annual subscriptions are recognised evenly over the membership year.

 
2.5

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred.

Page 13

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

2.Accounting policies (continued)


2.5
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, .

Depreciation is provided on the following basis:

Long-term leasehold property
-
revaluation model - land not depreciated
Fixtures and fittings
-
20%
reducing balance
Computer equipment
-
10%
straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.6

Revaluation of tangible fixed assets

Individual freehold and leasehold properties are carried at current year value at fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Revaluations are undertaken with sufficient regularity to ensure the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.
Fair values are determined from market based evidence normally undertaken by professionally qualified valuers.

Revaluation gains and losses are recognised in other comprehensive income unless losses exceed the previously recognised gains or reflect a clear consumption of economic benefits, in which case the excess losses are recognised in profit or loss.

 
2.7

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

 
2.8

Debtors

Short-term debtors are measured at transaction price, less any impairment.

 
2.9

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
Page 14

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

2.Accounting policies (continued)

 
2.10

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, and other third parties and loans to related parties.
Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not at market rate or in the case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.


 
2.11

Creditors

Short-term creditors are measured at the transaction price.

 
2.12

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount.

 
2.13

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.14

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the statement of financial position. The assets of the plan are held separately from the Company in independently administered funds.

 
2.15

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.16

Borrowing costs

All borrowing costs are recognised in profit or loss in the period in which they are incurred.

Page 15

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

2.Accounting policies (continued)

  
2.17

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or
constructive obligation that probably requires settlement by a transfer of economic benefit, and a
reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware
of the obligation, and are measured at the best estimate at the reporting date of the expenditure
required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the statement of
financial position.

 
2.18

Current and deferred taxation

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

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

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.


  
2.19

Comparatives

Comparatives are for the period 27 November 2023 to 24 November 2024.

Page 16

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the reporting date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

In preparing these financial statements, the directors have had to make the following judgments:
• Determine whether leases entered into by the company either as a lessor or a lessee are operating ease or finance leases. These decisions depend on an assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lessee on a lease by lease basis.
• Determine whether there are indicators of impairment of the company's tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a larger cash-generating unit, the viability and expected future performance of that unit.
Other key sources of estimation uncertainty:
Revaluation of land and buildings
The company carries its property, plant and equipment at fair value with change in fair value being recognised in other comprehensive income. The judgement relating to the fair value is based on the director's use of the professional valuation carried out on behalf of the company's bankers in February 2025 at £7m, taking into account any additions and depreciation since the date of valuation. The valuation was carried out in accordance with RICS Valuation – Global Standards effective from 31 January 2020, by Avison Young LLP, an independent firm of Chartered Surveyors. Long leasehold land and buildings are maintained to such a standard that their estimated residual value is not materially less than their carrying value, therefore no depreciation is charged on freehold land and buildings as it is not considered material.
Tangible assets
Tangible assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on the number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.


4.


Turnover

The whole of the turnover is attributable to its principal activity.

All turnover arose within the United Kingdom.

Page 17

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

5.


Operating profit

The operating profit is stated after charging:

2025
2024
£
£

Depreciation
51,276
37,458

Other operating lease rentals
175,828
172,036


6.


Auditors' remuneration

2025
2024
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
8,500
8,000

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.


7.


Employees

Staff costs were as follows:


2025
2024
£
£

Wages and salaries
1,371,180
1,220,755

Social security costs
126,747
80,746

Cost of defined contribution scheme
22,195
17,268

1,520,122
1,318,769


The average monthly number of employees, including the directors, during the period was as follows:


        2025
        2024
            No.
            No.







Management
3
3



Administration
8
8



Production and sales
67
58

78
69

Page 18

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

8.


Interest receivable

2025
2024
£
£


Other interest receivable
80,434
95,053

80,434
95,053


9.


Interest payable and similar expenses

2025
2024
£
£


Other loan interest payable
84,074
72,151

84,074
72,151


10.


Taxation


2025
2024
£
£

Corporation tax


Current tax on profits for the year
50,710
39,948

Adjustments in respect of previous periods
-
(1,924)

Total current tax
50,710
38,024

Deferred tax


Origination and reversal of timing differences
14,832
40,865


Taxation on profit on ordinary activities
65,542
78,889
Page 19

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025
 
10.Taxation (continued)


Factors affecting tax charge for the period

The tax assessed for the period is lower than (2024 - higher than) the standard rate of corporation tax in the UK of 25% (2024 - 25%). The differences are explained below:

2025
2024
£
£


Profit on ordinary activities before tax
264,804
142,703


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2024 - 25%)
66,201
35,676

Effects of:


Capital allowances for period in excess of depreciation
(15,986)
4,348

Expenses not deductible for tax purposes
495
(76)

Adjustments to tax charge in respect of prior periods
-
(1,924)

Other timing differences
14,832
40,865

Total tax charge for the period
65,542
78,889

Page 20

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

11.


Tangible fixed assets


Long-term leasehold property
Fixtures and fittings
Total

£
£
£



Cost & valuation


At 25 November 2024
9,153,719
1,919,788
11,073,507


Additions
-
106,547
106,547



At 30 November 2025

9,153,719
2,026,335
11,180,054



Depreciation


At 25 November 2024
2,303,552
1,769,955
4,073,507


Charge for the period on owned assets
-
51,276
51,276



At 30 November 2025

2,303,552
1,821,231
4,124,783



Net book value



At 30 November 2025
6,850,167
205,104
7,055,271



At 24 November 2024
6,850,167
149,833
7,000,000




The net book value of land and buildings may be further analysed as follows:


30 November
24 November
2025
2024
£
£

Long leasehold
6,850,167
6,850,167

6,850,167
6,850,167


A professional valuation on behalf of the group's bankers of the property, plant and equipment was carried out as at 4 February 2025 on the basis of market value (existing use as a hotel) at that date. This valuation was reflected in the financial statements as at 24 November 2024.
If the land and buildings had not been included at valuation they would have been included under the historical cost convention, the carrying amounts would have been £1,183,059 (2024: £1,193,258) being cost totalling £2,178,269 (2024: £2,178,269) less depreciation totalling £995,210 (2024: £985,011). 

Page 21

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

12.


Stocks

30 November
24 November
2025
2024
£
£

Finished goods and goods for resale
39,437
30,430

39,437
30,430



13.


Debtors

30 November
24 November
2025
2024
£
£


Trade debtors
43,858
40,052

Amounts owed by group undertakings
49,403
52,150

Other debtors
4,193
635

Prepayments and accrued income
44,620
33,869

142,074
126,706



14.


Cash and cash equivalents

30 November
24 November
2025
2024
£
£

Cash at bank and in hand
2,542,926
2,206,211

2,542,926
2,206,211


Page 22

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

15.


Creditors: Amounts falling due within one year

30 November
24 November
2025
2024
£
£

Trade creditors
149,554
187,871

Amounts due to group undertakings
13,847
13,558

Corporation tax
50,710
39,948

Other taxation and social security
210,301
177,814

Other creditors
104,723
87,880

Accruals and deferred income
968,679
788,476

1,497,814
1,295,547



16.


Creditors: Amounts falling due after more than one year

30 November
24 November
2025
2024
£
£

Amounts owed to group undertakings
1,328,262
1,328,262

1,328,262
1,328,262


Secured loans
Interest is charged on loans from group undertakings at a commercial rate. This rate is based on the interest rate charged on loans held in the ultimate parent company.

Page 23

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

17.


Deferred taxation






2025


£






At beginning of year
(1,134,971)


Charged to profit and loss
(14,832)



At end of year
(1,149,803)

The deferred taxation is made up as follows:

30 November
24 November
2025
2024
£
£


Revaluation of land and buildings
(1,089,870)
(1,089,870)

Accelerated Capital Allowances
(61,087)
(45,101)

Other short term timing differences
1,154
-

(1,149,803)
(1,134,971)


18.


Share capital

30 November
24 November
2025
2024
£
£
Allotted, called up and fully paid



100 (2024 - 100) Ordinary shares of £1.00 each
100
100



19.


Contingent liabilities

The company has given legal charges over its long leasehold property and inter-group cross guarantees to secure repayment of the bank loans of its ultimate parent company, HSH Hotels (2017) Limited. At the balance sheet date, the amount outstanding was £20,000,000 (2024: £20,000,000)

Page 24

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

20.


Pension commitments

The Company operates money purchase pension schemes. The assets of the schemes are held separately from those of the Company in independently administered funds. The pension cost charge represents contributions payable by the Company to the funds and amounted to £22,195 (2024: £17,268). There was £4,616 outstanding at the year end (2024: £3,259).


21.


Commitments under operating leases

At 30 November 2025 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

30 November
24 November
2025
2024
£
£


Not later than 1 year
172,984
172,984

Later than 1 year and not later than 5 years
691,936
691,936

Later than 5 years
19,268,996
19,444,823

20,133,916
20,309,743


22.


Related party transactions

The company forms part of a wholly owned group for which consolidated financial statements are publicly available. Accordingly the company has taken advantage of the exemptions provided by FRS 102 not to disclose transactions with other group entities including its parent and fellow subsidiary undertakings.
Group companies have given various guarantees to secure the company's bank borrowings. Additionally the company has entered into unlimited corporate guarantees along with its fellow subsidiary undertakings Ockenden Manor Limited and Bailiffscourt Limited in respect of all liabilities incurred between them.

Page 25

 
THE SPREAD EAGLE HOTEL (MIDHURST) LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 NOVEMBER 2025

23.


Controlling party

The ultimate parent company is HSH Hotels (2017) Limited which is the parent undertaking for the largest group for which the financial statements are drawn up and of which the company is a member.
The financial statements of HSH Hotels (2017) Limited are filed with the Registrar of Companies in England and Wales.
At the balance sheet date the company and the group of which it is a member were under the control of Mr L I P Carminger and Mrs M A Carminger.
 
Page 26