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

The company's result in 2025 was a profit before tax of £94k (2024 £134k). 29 fixtures were scheduled for 2025 (the same as in 2024). 2 fixtures and 2 races were abandoned due to bad weather in 2025 (4 fixtures in 2024). 184 races were run (165 in 2024).

The record-breaking wet weather of 2023 and 2024 continued to the end of January 2025 when 2 fixtures were abandoned. The pendulum then swung the other way as the next 9 months nearly reached our driest record. So, the start of the jump season in November lost 2 steeplechases as the ground was too firm to race. We invested in renewing and extending our track drainage and widening in the first year of phased track

improvements.

The 2 extra racedays and 19 extra races in the year helped improve the raceday income for the year.

Our media rights income continues to modestly grow due to our media rights partner's prudent strategy despite being under pressure from the general decline of betting turnover in the horse racing industry. Raceday attendances and income from racegoers were very marginally better in 2025. Non-raceday results were good. Inflationary pressures continued to increase many costs, although costs in 2025 included an expensive refurbishment of our hospitality washrooms. Overall, it was another tough trading year.

No Capital Credits were claimed in 2025 or in 2024.

Despite disappointing financial results for the year, the cashflow and balance sheet remain strong.

The company's activities expose it to a variety of risks.

The principal risk is the generation of income streams. This is largely managed by funding via the HBLB and contracts for media rights. The company has media rights contracts that run to 31 March 2028, following renewals starting in 2023.

The directors consider that the company is financially well placed by having no external debt.

Continual efforts are being made to maximise both raceday and non-raceday income, and to control expenditure.

On behalf of the board

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

The principal activity of the company continued to be that of the promotion of race meetings under British Horseracing Authority rules.

No dividend was paid in 2025 (2024: £nil).

The directors shown below have held office during the whole of the period from 1 January 2025 to the date of this report.

The company uses cash resources as a financial instrument. The main risks arising from the company's financial instrument are price, liquidity and cash flow risk. The directors regularly review and agree policies for the mitigation of these risks.

The industry continues to be unsettled by a combination of Government action and inaction. The 2025 Budget hit UK bookmakers. This disrupted the business of our media rights customers and may impact future revenue streams. There continues to be uncertainty over the Gambling Act reform, especially how affordability checks will be carried out. It is estimated that at least 15% of all UK horse racing betting turnover has moved to the black market (i.e. with non-UK unregulated bookies). This results in the "double whammy" of reduced Levy revenue and reduced media rights income to the horse racing industry. Since the FOBT regulations 1 April 2019, when the Government reduced the maximum bet on FOBTs from £100 to £2, about 40% of the UK's LBOs (licenced betting offices) have closed. These issues have had a significant impact on betting and consequentially our media rights income from bookmakers.

BHA appointed a new Chairman, Lord Charles Allen in 2025. He tried to change the governance structure and include a commercial remit. However, the changes were not agreed and Lord Allen resigned in March 2026. The search for a new Chairman will recommence in 2026.

The RCA's Chief Executive, David Armstrong, stepped down at the end of 2025 after 7 years. Alex Eade will be the next CEO in 2026. In addition, Sir Philip Davies will join the RCA Board as a Non-Executive Director in 2026.

In 2026 we start negotiating the renewal of our media rights contract (that currently runs to 2028) that is fundamentally important for our future income.

The weather is, of course, outside our control. Although we hope for fewer extremes and no new records in 2026, we continue to plan improvements to our tracks, particularly for drainage. In late Summer we are planning our second improvements phase. Issues from geopolitical problems continue. Just as the UK economy seemed poised for modest recovery and lower interest rates, the USA and Israel war against Iran has caused new volatility into world markets. The UK now faces renewed inflationary pressures, driven by higher energy costs, and probably delayed interest rate cuts with even possibly interest rate increases.

The company will continue to add value to events, in particular on our premium racedays. The highest profile raceday in 2026 will be our Ladies Day on Saturday 4 July. In addition to racing there will be live music headlined by Heather Small with a DJ set and support from Go West.

Despite many challenges the directors believe that the company is in a satisfactory position, both financially and contractually, to ensure the continuing health of the business. The directors are confident with the continued strength of the company due to prudent management with healthy cashflow and reserves.

Newby Castleman LLP were appointed as auditor to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.

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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and accounting estimates that are reasonable and prudent;

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

We have audited the financial statements of Leicester Racecourse Co.,Limited (the 'company') for the year ended 31 December 2025 which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and notes to the financial statements, including 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 December 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's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

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

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.

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.

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.

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. However, responsibility for the prevention and detection of fraud ultimately rests with both those charged with governance and management of the company.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

• obtaining an understanding of the legal and regulatory framework applicable to the company by considering the nature of the industry in which the company operates and enquiring of management; and

• identifying the key laws and regulations considered to have a direct impact on the financial statements including the UK Companies Act 2006, UK Generally Accepted Accounting Practice and UK tax legislation. Other regulations identified which were not considered to have a direct impact on the financial statements but which were considered central to the ability of the company to operate were the BHA General Instructions; and

• assessing how the company is complying with the applicable legal and regulatory framework by making further enquiries of management and observing the company's control environment regarding compliance with regulations and fraud prevention; and

• assessing the susceptibility of the company’s financial statements to material misstatement, including how fraud might occur, by considering the effectiveness of the company’s accounting systems and controls and how these were monitored by management. Where the risk of material misstatement was considered to be higher in certain areas, further audit procedures were designed to address this increased risk; and

• discussing amongst the engagement team how and where fraud might occur in the financial statements and any potential indicators of fraud.

Our procedures to respond to risks identified included the following:

• reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and

• enquiry of company staff responsible for compliance to identify any instances of non-compliance with laws and regulations; and

• reviewing supporting documentation confirming compliance with specific laws and regulations considered central to the ability of the company to operate; and

• enquiry of management, those charged with governance and other relevant parties around actual and potential litigation claims; and

• reviewing supporting documentation regarding actual and potential litigation claims; and

• reviewing minutes of meetings of those charged with governance; and

• performing audit work over revenue recognition including analytical procedures and substantive tests of detail of a sample of revenue transactions; and

• performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias; and

• communicating identified laws and regulations and potential fraud risks to all engagement team members and assessing whether there are any indications of fraud or non-compliance with laws and regulations throughout the audit.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

Use of our report

This report is made solely to the company's member 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 member those matters we are required to state to the member 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 member, for our audit work, for this report, or for the opinions we have formed.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

The notes on pages 10-17 form part of these financial statements.

The notes on pages 10-17 form part of these financial statements.

The notes on pages 10-17 form part of these financial statements.

Leicester Racecourse Co.,Limited is a limited company, registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

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

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

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 FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

• the requirements of Section 7, Statement of Cash Flows;

• the requirement of paragraph 33.7, Key Management Personnel compensation.

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover represents income receivable (excluding VAT) on performance of the principal activities of the company of operating and managing racecourses, their facilities and media rights and is recognised in the period to which it relates. Turnover is recognised only when it is probable that the company will receive the previously agreed upon payment and that this amount can be measured reliably.

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

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

Stock is valued at the lower of cost and net realisable value.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets

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

Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans and loans from fellow group companies are initially recognised at transaction price.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price.

The tax expense represents the sum of the tax currently payable, adjustments in respect of prior periods and deferred tax.

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

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

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.

The company operates a defined contribution retirement benefit 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 when they are due. The assets of the plan are held separately from the company in independently administered funds.

Rentals payable under operating leases, including any lease incentives received, are charged to the profit and loss account on a straight line basis over the term of the relevant lease.

Capital grants

The directors can elect to claim capital grants, known as Capital Credits, as an alternative to turnover from the Horserace Betting Levy Board ("HBLB"). Grants are accounted for on a received and receivable basis. Grants received to fund capital expenditure are amortised to the profit and loss account over the expected useful life of the assets they are funding.

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

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Part of the company's income from its media rights partner is calculated after the end of the financial year. The company uses its media rights partner's best estimates, although these can vary with time.

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. The annual amortisation charge for capital grants directly reflects the depreciation charge of such assets. See note 10 for the carrying amount of the property plant and equipment, and note 1.4 for the useful economic lives for each class of assets.

The turnover and profit/(loss) before taxation are attributable to the principal activities of the company.

All turnover arises in the UK.

The directors have taken the decision to take £nil (2024: £nil) of the grants from the HBLB as capital grants to fund further developments.

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

Their aggregate remuneration comprised:

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 4 (2024 - 4).

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

Minimum lease payments under non-cancellable operating leases fall due as follows:

Operating lease payments represent rentals payable by the company for its land and buildings.

The movement in deferred tax for the following period, based on current rates and information, is estimated to be a decrease of £15,000. This primarily relates to the timing differences on capital allowances and availability of tax losses.

There is a single class of Ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital. Each share is entitled to one vote in any circumstances.

Retained earnings represents accumulated comprehensive income for the year and prior periods less dividends paid.

Contributions totalling £5,109 (2024: £4,979) were due at the balance sheet date.

During the year, a total key management personnel compensation of £173,856 (2024 - £170,158) was paid.

The ultimate parent company is Leicester Racecourse Holdings Limited which is incorporated in Great Britain and registered in England and Wales for which consolidated group accounts are prepared.

The company is controlled by Leicester Racecourse Holdings Limited.

Copies of Leicester Racecourse Holdings Limited consolidated accounts are available from Companies House, Crown Way, Maindy, Cardiff. This is the largest and the smallest group into which the results are consolidated.