REGISTERED NUMBER: 02671815 (England and Wales)

Strategic Report,

Report of the Directors and

Audited Financial Statements

for the Year Ended 31 March 2025

for

Morley Hayes Leisure Limited

Page

Company Information

1

Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Statement of Comprehensive Income

9

Balance Sheet

10

Statement of Changes in Equity

11

Cash Flow Statement

12

Notes to the Cash Flow Statement

13

Notes to the Financial Statements

15

DIRECTORS:

A R G Allsop

R J F Allsop

SECRETARY:

A R G Allsop

REGISTERED OFFICE:

Morley Hayes

Main Road

Morley

Derbyshire

DE7 6QA

REGISTERED NUMBER:

02671815 (England and Wales)

AUDITORS:

PKF Smith Cooper Audit Limited

Statutory Auditors

Prospect House

1 Prospect Place

Millennium Way

Derby

DE24 8HG

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

RESULTS & KEY PERFORMANCE INDICATORS

Turnover

Turnover for the year to March 2025 of £8,058,008 represents an increase of 9.4% on the turnover achieved in the year to March 2024.

Profitability

The gross profit margin for the year was 73.2% compared with 72.0% for the year to March 2024.

A profit before tax of £4,165 compares with pre-tax losses, excluding exceptional items, of £237,063 for the year to March 2024.

Cashflows and balance sheet

£716,538 has been reinvested in fixed assets during the year as the company continues to invest in its facilities. This included the ongoing construction of a new greenkeepers' complex, an extensive network of buggy paths, refurbishment of restaurant areas and hotel suites and the purchase of several plant items to assist in the maintenance of the golf courses. The investment has been financed by a combination of the company's accumulated trading profits and new hire purchase contracts taken out during the year.

Key Performance Indicators

2025

2024

Sales growth % versus prior year

9.4%

5.1%

Current asset ratio %

25.4%

47.1%

REVIEW OF BUSINESS

Despite poor weather in the first quarter of the financial year initially affecting golfing income, the company was able to increase turnover derived from golf by 14% year-on-year. Following the construction of buggy paths, Morley Hayes is now able to offer year-round buggy access to all 18 holes of its Manor course. Morley Hayes also continues to offer the golfer an enhanced interactive experience following the installation of Trackman virtual technology into its driving range bays over the summer of 2023.

Revenue from hospitality increased 10% year-on-year, with functions over the summer months and the festive period proving particularly popular.

In common with most UK businesses and the hospitality sector in particular, Morley Hayes has continued to be impacted by high levels of food inflation and increases in labour costs along with the challenge of reduced consumer spending due to cost of living increases.

Increases in hourly wage rates have led to a 8% increase in labour costs over the year, following on from a 9% increase in the previous year.

These cost increases have been offset by a 9.4% increase in turnover across all divisions and the improvement of gross profit margin, despite the considerable headwinds.

The new financial year has started well, with improved weather contributing towards a further improvement in golf revenues.

The directors, therefore, remain cautiously optimistic for an improved financial result for the year to March 2026.

PRINCIPAL RISKS AND UNCERTAINTIES

The key risk areas of the company are:

Social and demographic

Maintaining sales and operating profit while taking into consideration lifestyle changes and changes to fashion and trends.

Economic

Maintaining profitability despite changes in disposable income and changes in consumer habits due to the economic cycle, particularly during the current cost of living crisis.

Operational

Maintaining profitability despite the changeable British weather, which can impact on the golf division, and volatile supply chain issues for foodstuffs, energy and supply of labour.

Finance

Maintaining and improving the assets, services and products of the company, whilst not having a detrimental effect on cash flows and profitability.

Legislative

Maintaining profitability whilst balancing service provision and customer expectations against legislative increases to the national living wage, health and safety requirements.

Competition

New competitors entering the industry or existing competitors changing their objectives.

The company seeks to manage as far as possible the key risks that it faces by continually investing in the assets of the company while improving the services and products it offers.

Having considered the above risks and uncertainties, the directors are confident that the company has adequate resources to continue investing and developing into the future. Therefore, they continue to adopt the going concern basis of accounting in preparation of the financial statements.

ON BEHALF OF THE BOARD:

A R G Allsop - Secretary

11 November 2025

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

PRINCIPAL ACTIVITIES

The principal activities of the company in the year under review were those of a leisure and hospitality venue including golf courses, restaurants and hotel.

DIVIDENDS

No dividends will be distributed for the year ended 31 March 2025.

DIRECTORS

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

A R G Allsop

R J F Allsop

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

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

-	select suitable accounting policies and then apply them consistently;

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

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

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he 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.

ON BEHALF OF THE BOARD:

A R G Allsop - Secretary

11 November 2025

Opinion

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

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 31 March 2025 and of its loss for the year then ended;

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

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

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

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

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

Matters on which we are required to report by exception

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

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

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

-	the financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditors' responsibilities for the audit of the financial statements

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

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 identified that the principal risk of fraud or non-compliance with laws and regulations related to:

- management bias in respect of accounting estimates and judgements made;

- management override of control;

- posting of unusual journals or transactions;

- significant cash based transactions;

- compliance with bank/debt covenants.

We focussed on those areas that could give rise to a material misstatement in the Company financial

statements.

Our procedures included, but were not limited to:

- Enquiry of management and those charged with governance/review of correspondence around actual and potential litigation and claims, including instances of non-compliance with laws and regulations and fraud;

- Reviewing minutes of meetings of those charged with governance where available;

- Reviewing legal expenditure in the year to identify instances of non-compliance with laws and regulations and fraud and enquiries with third party advisors about potential claims;

- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

- 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.

It is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

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 for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

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

James Delve (Senior Statutory Auditor)

for and on behalf of PKF Smith Cooper Audit Limited

Statutory Auditors

Prospect House

1 Prospect Place

Millennium Way

Derby

DE24 8HG

11 November 2025

TURNOVER

3

8,058,008

7,364,060

Cost of sales

2,161,882

2,062,038

GROSS PROFIT

5,896,126

5,302,022

Administrative expenses

5,857,321

5,484,968

38,805

(182,946

)

Other operating income

56,685

41,473

OPERATING PROFIT/(LOSS)

5

95,490

(141,473

)

Fire insurance claim proceeds

6

-

1,200,048

Remedial costs arising

6

-

(325,056

)

Impairment of fixed assets

6

-

(318,841

)

95,490

414,678

Interest receivable and similar income

-

764

95,490

415,442

Interest payable and similar expenses

7

91,325

96,354

PROFIT BEFORE TAXATION

4,165

319,088

Tax on profit

8

21,015

97,665

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(16,850

)

221,423

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(16,850

)

221,423

FIXED ASSETS

Intangible assets

9

26,266

26,907

Tangible assets

10

5,735,499

5,348,357

Investments

11

35,000

35,000

Investment property

12

850,000

850,000

6,646,765

6,260,264

CURRENT ASSETS

Stocks

13

118,245

139,206

Debtors

14

246,524

225,463

Cash at bank and in hand

62,796

397,643

427,565

762,312

CREDITORS

Amounts falling due within one year

15

1,682,865

1,616,934

NET CURRENT LIABILITIES

(1,255,300

)

(854,622

)

TOTAL ASSETS LESS CURRENT LIABILITIES

5,391,465

5,405,642

CREDITORS

Amounts falling due after more than one year

16

(1,606,485

)

(1,624,827

)

PROVISIONS FOR LIABILITIES

20

(612,397

)

(591,382

)

NET ASSETS

3,172,583

3,189,433

CAPITAL AND RESERVES

Called up share capital

21

9,000

9,000

Revaluation reserve

22

17,010

17,010

Retained earnings

22

3,146,573

3,163,423

SHAREHOLDERS' FUNDS

3,172,583

3,189,433

The financial statements were approved by the Board of Directors and authorised for issue on 11 November 2025 and were signed on its behalf by:

A R G Allsop - Director

R J F Allsop - Director

Called up

share

Retained

Revaluation

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2023

9,000

2,942,000

17,010

2,968,010

Changes in equity

Total comprehensive income

-

221,423

-

221,423

Balance at 31 March 2024

9,000

3,163,423

17,010

3,189,433

Changes in equity

Total comprehensive income

-

(16,850

)

-

(16,850

)

Balance at 31 March 2025

9,000

3,146,573

17,010

3,172,583

Cash flows from operating activities

Cash generated from operations

1

371,822

1,190,572

Interest paid

(69,286

)

(76,168

)

Interest element of hire purchase payments paid

(22,039

)

(20,186

)

Tax refunded / (paid)

-

20,698

Net cash from operating activities

280,497

1,114,916

Cash flows from investing activities

Purchase of tangible fixed assets

(493,591

)

(534,032

)

Sale of tangible fixed assets

31,000

15,626

Interest received

-

764

Net cash from investing activities

(462,591

)

(517,642

)

Cash flows from financing activities

Bank loan repayments

(100,138

)

(95,953

)

Hire purchase capital repayments

(98,596

)

(66,343

)

Net cash from financing activities

(198,734

)

(162,296

)

(Decrease)/increase in cash and cash equivalents

(380,828

)

434,978

Cash and cash equivalents at beginning of year

2

397,643

(37,335

)

Cash and cash equivalents at end of year

2

16,815

397,643

1.	RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

Profit before taxation

4,165

319,088

Depreciation charges

297,893

268,004

Loss/(profit) on disposal of fixed assets

1,144

(3,847

)

Impairment of fixed assets

-

318,841

Finance costs

91,325

96,354

Finance income

-

(764

)

394,527

997,676

Decrease/(increase) in stocks

20,961

(33,752

)

(Increase)/decrease in trade and other debtors

(21,061

)

50,550

(Decrease)/increase in trade and other creditors

(22,605

)

176,098

Cash generated from operations

371,822

1,190,572

2.	CASH AND CASH EQUIVALENTS

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

Year ended 31 March 2025

31/3/25

1/4/24

£

£

Cash and cash equivalents

62,796

397,643

Bank overdrafts

(45,981

)

-

16,815

397,643

Year ended 31 March 2024

31/3/24

1/4/23

£

£

Cash and cash equivalents

397,643

37,875

Bank overdrafts

-

(75,210

)

397,643

(37,335

)

3.	ANALYSIS OF CHANGES IN NET DEBT

Other

non-cash

At 1/4/24

Cash flow

changes

At 31/3/25

£

£

£

£

Net cash

Cash at bank

and in hand

397,643

(334,847

)

62,796

Bank overdrafts

-

(45,981

)

(45,981

)

397,643

(380,828

)

16,815

Debt

Finance leases

(204,111

)

98,596

(222,947

)

(328,462

)

Debts falling due

within 1 year

(99,331

)

(5,585

)

-

(104,916

)

Debts falling due

after 1 year

(1,479,072

)

105,723

-

(1,373,349

)

(1,782,514

)

198,734

(222,947

)

(1,806,727

)

Total

(1,384,871

)

(182,094

)

(222,947

)

(1,789,912

)

1.	STATUTORY INFORMATION

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

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

The financial statements are prepared in sterling, which is the functional currency of the Company, and are rounded to the nearest pound.

Going concern

The directors have prepared detailed cashflow forecasts up to the end of March 2027 in assessing the Company's ability to continue trading as a going concern. After reviewing the Company's forecasts and projections, the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future and at least 12 months from the date of approval of the financial statements. As such the Company continues to adopt the going concern basis in preparing it's financial statements.

Turnover

Turnover represents net invoiced sales of goods and services, excluding value added tax.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Intangible assets are being amortised evenly over their estimated useful life of fifty years.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Freehold land

-

not provided

Hotel

-

at varying rates on cost

Improvements to leasehold property

-

at varying rates on cost

Plant and machinery

-

25% on reducing balance, 15% on reducing balance and 10% on reducing balance

Fixed asset investments

Investments, including investment property, are shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

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

Pension costs and other post-retirement benefits

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

3.

TURNOVER

The turnover and profit before taxation are attributable to the principal activities of the company.

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

2025

2024

£

£

Leisure services

7,786,766

7,066,079

Plant hire

271,242

297,981

8,058,008

7,364,060

4.	EMPLOYEES AND DIRECTORS

2025

2024

£

£

Wages and salaries

3,134,255

2,897,234

Social security costs

215,054

194,246

Other pension costs

68,679

71,008

3,417,988

3,162,488

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

2025

2024

190

193

2025

2024

£

£

Directors' remuneration

166,183

141,262

Directors' pension contributions to money purchase schemes

26,650

26,658

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes

2

2

5.	OPERATING PROFIT/(LOSS)

The operating profit (2024 - operating loss) is stated after charging/(crediting):

2025

2024

£

£

Hire of plant and machinery

155,492

108,468

Depreciation - owned assets

246,651

234,124

Depreciation - assets on hire purchase contracts

50,601

33,239

Loss/(profit) on disposal of fixed assets

1,144

(3,847

)

Intangible assets amortisation

641

641

Auditors' remuneration

12,000

12,040

Operating leases - land and buildings

150,000

150,000

6.	EXCEPTIONAL ITEMS

2025

2024

£

£

Fire insurance claim proceeds

-

1,200,048

Remedial costs arising

-

(325,056

)

Impairment of fixed assets

-

(318,841

)

-

556,151